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Κυριακή 25 Σεπτεμβρίου 2022

Kenyan Central Bank Says It’s ‘Craziness’ to Convert Country’s Reserves to Bitcoin

The Kenyan central bank governor Patrick Njoroge has described as “craziness” the calls to convert Kenya’s reserves into bitcoin. He added that he would have to be out of his mind before agreeing to this. Njoroge argued that cryptocurrencies like bitcoin are not only volatile, but are hardly solving any problem.

CBK Governor Says Converting Kenya’s Reserves to Bitcoin Deserves a Jail Term

The Central Bank of Kenya (CBK) governor, Patrick Njoroge, has described the idea of putting the country’s reserves into bitcoin as “craziness.” Njoroge, who was addressing recently elected members of Kenya’s legislature, added that if it occurred that he agrees to convert Kenya’s reserves to bitcoin, he should be jailed and the keys to his prison cell must be thrown away.

Under Njoroge’s stewardship, the CBK has issued statements and advisories warning Kenyan residents against trading or investing in cryptocurrencies. For instance, Bitcoin.com News reported in June 2022 that Njoroge, together with the Central Bank of Nigeria (CBN) deputy governor Kingsley Obiora, had cited cryptocurrencies’ volatility as one of the reasons why they cannot become a widely used payment method.

Yet, despite Njoroge and the CBK’s opposition, several studies have suggested that Kenyan residents’ use of, or investment in, cryptocurrencies is growing. For example, the peer-to-peer crypto exchange Paxful recently revealed that its users from the country had digital assets valued at $125 million during the first half of 2022.

Njoroge: No Problems Being Solved by Cryptocurrencies

However, in a video recently uploaded to Youtube, Njoroge still questions the benefits of cryptocurrencies for the Kenyan economy. He said:

In our economy what problem are they resolving? Are they better vehicles for let’s say payments, transactions? And the answer is no. Are they better in terms of …. security more than a bank account? And the answer is no.

Further, in his attempts to dissuade lawmakers from entertaining individuals hyping bitcoin and other cryptocurrencies, Njoroge claimed that he too is also being pressured.

“I do know you are under a lot of pressure from some of these people that are pushing these things. Because for them it is good. I can assure you I have a lot of people that are pushing to put our reserves in bitcoin.”

Njoroge however suggested that he would have to be out of his mind before he agrees to this call to convert reserves to bitcoin.

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What are your thoughts on this story? Let us know what you think in the comments section below.



from Bitcoin News

JPMorgan: Demand for Crypto as Payment Method Has Drastically Declined

JPMorgan: Demand for Crypto as Payment Method Has Drastically Declined

Global investment bank JPMorgan is seeing little demand for crypto as a payment method. However, the bank noted that cryptocurrencies are becoming “larger and larger” in the gaming sector, including in the metaverse.

JPMorgan Sees Little Demand for Crypto as a Payment Tool

The global head of payments for JPMorgan’s Corporate & Investment Bank division, Takis Georgakopoulos, talked about client demand for crypto as a payment method in an interview with Bloomberg Television this week. He said:

We saw a lot of demand for our clients, let’s say up until six months ago. We see very little right now.

While noting that the demand for crypto as a payment tool has drastically declined, Georgakopoulos stressed that the bank will still support clients who want to use crypto for this purpose.

He added that cryptocurrencies are also becoming “larger and larger” in the gaming sector — both in traditional gaming and in the metaverse, where he sees many opportunities.

This week, JPMorgan CEO Jamie Dimon also reiterated his skepticism about bitcoin and cryptocurrency. “I’m a major skeptic on crypto tokens which you call currency, like bitcoin. They are decentralized Ponzi schemes,” the executive said. However, he emphasized that he is not skeptical about blockchain and decentralized finance (defi), calling them “real” innovations.

A recent survey conducted by Deloitte in collaboration with Paypal found that over 85% of merchants “are giving high or very high priority to enabling cryptocurrency payments.” In addition, “nearly three-quarters of those surveyed reported plans to accept either cryptocurrency or stablecoin payments within the next 24 months.”

A different survey by Bank of America showed “growing interest” in crypto’s use as a payment method. “39% and 34% of respondents reported using crypto / digital assets as a payment method to make online or in-person purchases, respectively,” the bank described. Additionally, 49% and 53% of respondents expressed interest in using crypto / digital assets to make either online or in-person purchases, respectively.

What do you think about JPMorgan saying that there’s little demand for crypto as a payment tool? Let us know in the comments section below.



from Bitcoin News

Robert Kiyosaki Says End of Fake Money Is Here — Shares 3 Lessons to Help Investors Amid Market Crashes

Robert Kiyosaki Says End of Fake Money Is Here — Shares 3 Lessons to Help Investors Amid Market Crashes

After predicting the biggest crash in world history, Robert Kiyosaki, the famous author of the best-selling book Rich Dad Poor Dad, says the “end is here” for fake money. He reiterated three lessons that will help investors “do well in market crashes.”

Robert Kiyosaki on the End of Fake Money

The author of Rich Dad Poor Dad, Robert Kiyosaki, shared some of his views and investment lessons in a couple of tweets this week. Rich Dad Poor Dad is a 1997 book co-authored by Kiyosaki and Sharon Lechter. It has been on the New York Times Best Seller List for over six years. More than 32 million copies of the book have been sold in over 51 languages across more than 109 countries.

Kiyosaki tweeted on Tuesday explaining why he thinks the end of “fake” money has arrived. The famous author wrote:

End is here. Called Jerry Williams, my trusted gold and silver dealer. He said: ‘I can’t get gold or silver coins. The mint will not sell me anymore.’ To me, this means the end of fake $ is here.

He proceeded to reiterate his silver recommendation. “As stated in earlier tweet silver going to $100 to $500. Get some. Protect yourself,” he wrote. His advice followed another statement he made recently that gold is expensive, calling silver the best investment value today.

Kiyosaki previously explained that when President Richard Nixon removed the U.S. dollar from the gold standard in 1971, “the U.S. dollar became fake money.” He clarified that “This is because rather than being tied to real money,” such as gold, “it was tied to the ‘full faith and credit’ of the United States.”

In a tweet on Thursday, the renowned author reminded investors of some lessons. “In Rich Dad Poor Dad, I stated Rich Dad’s 3 lessons,” he described, elaborating:

1: Your house is not an asset. 2: Savers are losers. 3: The rich do not work for $.

“The rich are entrepreneurs who do not need a job,” he added, noting that these people “create jobs, create [their] own assets, and do well in market crashes.” He then emphasized that “2022 is your time to get richer.”

Last week, Kiyosaki urged people to “invest in real money,” naming gold, silver, and bitcoin. He stressed that the Federal Reserve “raising interest rates will destroy the U.S. economy.”

Kiyosaki has repeatedly warned that the biggest crash in world history is coming. In April, he said all markets are crashing.

He recently urged his mailing list subscribers to buy cryptocurrency now, ahead of the biggest crash in world history. The famous author has stated for several months that he is waiting for the price of the cryptocurrency to bottom out before getting in. He recently said he was in a cash position ready to buy BTC, suggesting at one point that the price of the crypto could test $1,100.

What do you think about the warnings and advice by Robert Kiyosaki? Let us know in the comments section below.



from Bitcoin News

Moscow Exchange Suggests Issuing Crypto Receipts for Those Afraid of Blockchain

Moscow Exchange Suggests Issuing Crypto Receipts for Those Afraid of Blockchain

The Moscow Exchange has proposed to legalize the issuance of receipts for digital financial assets. The trading platform says this will allow custodians to offer clients who are not ready for distributed ledgers to essentially work with securities. MOEX also plans to become a licensed crypto exchange operator.

Largest Russian Stock Exchange Gears Up to Enter Digital Asset Market

The leading exchange for equities and derivatives in Russia has drafted new legislation that would authorize depositories to issue receipts for digital financial assets (DFAs). In current Russian law, the broad term ‘DFAs’ encompasses cryptocurrencies in the absence of a more precise definition, but mainly refers to digital coins and tokens that have an issuer.

Under such arrangement, DFA receipts can be traded as securities, explained Sergey Shvetsov, who heads the supervisory board of the Moscow Exchange (MOEX). During the latest edition of the International Banking Forum, the official emphasized that the exchange “will naturally enter this market” and stated:

We have prepared a project that allows you to issue receipts for digital assets, then these receipts are circulated as securities.

MOEX has already filed the respective bill with the Central Bank of Russia (CBR) and will also coordinate the initiative with the Ministry of Finance. The legislation will provide those who are not ready to work with distributed ledgers and afraid of custodial risks an opportunity to transfer these risks and be able to issue securities, Shvetsov added.

“In order for DFAs to develop, we want to propose that the market itself makes the choice – blockchain accounting or depositary accounting,” he further elaborated, reminding the audience that the Moscow Exchange also wants to obtain a license from the CBR to operate as a digital asset exchange. In August, MOEX announced its intention to launch a DFA-based product by the end of the year.

“If such a law is adopted, Russian depositories will be able to accumulate DFAs on their accounts in the blockchain and give receipts against them to their clients. As soon as a customer needs the underlying asset, he would cancel the receipt and receive his digital asset on his blockchain account,” Shvetsov was quoted as saying by the Prime business news agency.

Support has been growing in Moscow to permit the use of digital assets such as cryptocurrencies for international settlements amid sanctions, while it’s still unclear if regulators will allow their free circulation inside the country. In any case, Russia must create its own crypto infrastructure, according to the head of the parliamentary Financial Market Committee. Anatoly Aksakov recently said that the stock exchanges in Moscow and Saint Petersburg are ready to provide it.

Do you expect the Moscow Exchange to become a major player in Russia’s crypto market? Share your thoughts on the subject in the comments section below.



from Bitcoin News

Σάββατο 24 Σεπτεμβρίου 2022

Erdogan Suggests Turkish-Russian Payment System, Local Media Reports

Erdogan Suggests Turkish-Russian Payment System, Local Media Reports

Turkish President Recep Tayyip Erdogan is reportedly pushing for Turkey and Russia to establish a new payment system between them. The initiative comes amid U.S. pressure against the use of the Russian Mir cards in Turkey. Some Turkish banks have been working with them to facilitate payments by Russian tourists visiting the country.

President Erdogan Tasks Turkish Government With Developing Mir Alternative, Report

President of Turkey Recep Tayyip Erdoğan has instructed ministers to develop a payment system with Russia to serve as an alternative to the Russian banking system Mir. According to the A Haber TV channel, Turkish and Russian officials have already held talks on this matter.

The move follows a statement from Washington that the United States would try to persuade Turkey to limit support for Mir. Its cards are one of the few remaining options for Russians vacationing in Turkey as Western sanctions have cut them off from major global credit cards and also destinations. Many of them visited Turkey this year.

Quoted by the Russian business daily Kommersant, A Haber revealed that that the relevant Turkish and Russian government departments are now negotiating while President Erdogan himself will also participate in discussions on the topic.

In mid-September, the administration in Washington indicated it may impose sanctions on nations conducting transactions with Mir. Two of the five Turkish lenders that had been working with the Russian payment system, Isbank and Denizbank, suspended operations with it. The state-owned Halkbank, Vakifbank, and Ziraat are still using it.

Later, the U.S. Treasury expressed readiness to convince the Turkish government of the need to reduce the use of Mir. Last week, American authorities expanded the sanctions imposed over Russia’s invasion of Ukraine to include the chief executive of the Central Bank of Russia’s National Card Payment System (NSPK), Mir’s operator.

The NSPK is processing domestic transactions in Russia. Moscow established Mir after the annexation of Crimea in 2014, when several Russian banks were denied services by Visa and Mastercard. Russia also developed the System for Transfer of Financial Messages (SPFS), an alternative to SWIFT, from which some Russian banking institutions have been disconnected.

During the current crisis, Russia has also turned its attention to cryptocurrencies. Earlier this month the Ministry of Finance and the Bank of Russia agreed that under the current conditions, Russia would need to legalize crypto payments for cross-border transactions to relieve the sanctions pressure on its economy and foreign trade.

Do you think Turkey and Russia will develop a new payment system to substitute Mir? Share your expectations in the comments section below.



from Bitcoin News

UK Proposes New Law to ‘Seize, Freeze and Recover’ Crypto Assets Easier and Faster

UK Proposes New Law to 'Seize, Freeze and Recover' Crypto Assets Easier and Faster

The British government has presented the Economic Crime and Corporate Transparency Bill to Parliament that will “make it easier and quicker” for law enforcement agencies “to seize, freeze and recover crypto assets.” The government stressed: “We must ensure that law enforcement agencies have the right legislative framework in place to recover criminals’ crypto assets.”

UK’s New Bill to Help Authorities Seize, Freeze, and Recover Crypto

The British government introduced the Economic Crime and Corporate Transparency Bill in the House of Commons Thursday. The bill “aims to strengthen the U.K.’s fight against economic crime,” the government detailed, noting that “It will also support efforts to tackle terrorist financing.”

The government explained:

The new law will make it easier and quicker for law enforcement agencies such as the National Crime Agency to seize, freeze and recover crypto assets — the digital currency increasingly used by organized criminals to launder profits from fraud, drugs and cybercrime.

Moreover, the bill includes amendments to the Proceeds of Crime Act 2002 (POCA) to support the recovery of crypto assets.

“We must ensure that law enforcement agencies have the right legislative framework in place to recover criminals’ crypto assets to ensure crime does not pay and prevent those assets being used to fund further criminality and terrorist activities,” the government continued. “The use of this digital currency has significantly increased in recent years, with the Metropolitan Police reporting a big rise in cryptocurrency seizures last year.”

Director General of the National Crime Agency Graeme Biggar commented:

Domestic and international criminals have for years laundered the proceeds of their crime and corruption by abusing U.K. company structures, and are increasingly using cryptocurrencies.

Crypto regulation may be undergoing changes in the U.K. under the new prime minister, Liz Truss. Several key officials who previously worked on the country’s crypto policy resigned from government before she took office, including Former Chancellor of the Exchequer Rishi Sunak and Economic Secretary to the Treasury John Glen.

In May, the U.K. government outlined its plans to support crypto adoption and affirmed its commitment to regulate stablecoins.

Sunak said in April: “It’s my ambition to make the U.K. a global hub for crypto asset technology, and the measures we’ve outlined today will help to ensure firms can invest, innovate, and scale up in this country.” Glen similarly said: “We want this country to be a global hub — the very best place in the world to start and scale crypto-companies.”

What do you think about the U.K. Economic Crime and Corporate Transparency Bill? Let us know in the comments section below.



from Bitcoin News

Coinbase Receives Approval to Offer Full Suite of Crypto Products in Netherlands

Coinbase Receives Approval to Offer Full Suite of Crypto Products in Netherlands

Crypto exchange Coinbase has received approval to offer its full suite of retail and institutional crypto products and services in the Netherlands. “We have taken strides to work collaboratively with government, policymakers, and regulators to shape the future in a responsible way,” Coinbase said.

Dutch Regulator Approves Coinbase

The Nasdaq-listed cryptocurrency exchange Coinbase (Nasdaq: COIN) announced Thursday that it “has successfully registered with the Dutch central bank (De Nederlandsche Bank — DNB) as a crypto service provider.” The announcement details:

This registration will allow Coinbase to offer our full suite of retail, institutional, and ecosystem products to customers in the Netherlands.

“We are proud to be the first major global crypto exchange to receive DNB registration approval,” the company claimed, noting that Coinbase Europe Ltd. and Coinbase Custody International Ltd. are both listed in the DNB’s public register as a crypto service provider.

Nana Murugesan, vice president of Coinbase’s international and business development, commented:

We have taken strides to work collaboratively with government, policymakers and regulators to shape the future in a responsible way.

“The Netherlands is a critical international market for crypto, and I am really excited for Coinbase to bring the potential of the crypto economy to the market here,” the executive opined.

Coinbase explained that it serves customers across almost 40 European countries through dedicated hubs in Ireland, the U.K., and Germany. The company is also pursuing additional registrations or license applications in several major markets.

In August, the Dutch central bank warned that Binance is illegally offering crypto exchange services in the country. “This may increase the risk of customers becoming involved in money laundering or terrorist financing,” the regulator cautioned at the time. In July, the DNB said it fined Binance Holdings $3.4 Million due to “very serious” violations. The crypto exchange subsequently applied for authorization to operate in the country with the central bank.

What do you think about Coinbase receiving approval to offer its full suite of crypto products and services in the Netherlands? Let us know in the comments section below.



from Bitcoin News

Github Partially Reinstates Tornado Cash Codebase, Open Source Code Set to Read-Only Mode

Github Partially Reinstates Tornado Cash Codebase, Open Source Code Set to Read-Only Mode

The internet hosting and software development subsidiary of Microsoft, Github, has partially unbanned the Tornado Cash repositories following the recent sanctions enforced by the U.S. Treasury Department’s Office of Foreign Asset Control (OFAC). Github’s decision follows the U.S. Treasury updating the public, noting that U.S. persons can copy, view, and discuss the open-source code. Github’s partial reinstatement lets repository visitors look at the Tornado Cash codebase in read-only mode.

Github Reinstates Tornado Cash Repositories in Read-Only Mode

The cryptocurrency community has been discussing the internet hosting and software development platform Github after the service decided to partially reinstate the Tornado Cash open source code on the platform. On August 8, 2022, the U.S. Treasury Department’s regulatory watchdog OFAC sanctioned the ethereum mixer Tornado Cash and several ethereum addresses associated with the platform. When OFAC’s sanctions were published, third-party platforms started to take action and one open source programmer was banned from Github.

“My Github account was just suspended,” the software developer Roman Semenov said at the time. “Is writing an open source code illegal now?” Additionally, the Microsoft-owned Github removed the Tornado Cash codebase repositories, and no one could access the code via the software development platform.

On September 13, 2022, after significant criticism from the crypto community, the U.S. Treasury updated the public about U.S. persons that associate themselves with Tornado Cash. For instance, sanctions do not fully apply to U.S. persons that transacted with the ethereum mixing application prior to August 8. If this was the case, and a U.S. person still held funds on the application they can “request a specific license from OFAC to engage in transactions involving the subject virtual currency.”

OFAC Allows US Persons to View, Discuss, and Teach About Sanctioned Platforms and Open-Source Code in Written Publications

OFAC’s frequently asked questions (FAQ) update also discusses open source code tied to Tornado Cash. “U.S. persons would not be prohibited by U.S. sanctions regulations from copying the open-source code and making it available online for others to view, as well as discussing, teaching about, or including open-source code in written publications,” the Treasury’s regulatory department noted.

Following the FAQ update roughly ten days ago, the Ethereum developer Preston Van Loon reported that Github had partially reinstated the Tornado Cash codebase and unbanned codebase contributors. “Github has unbanned the Tornado Cash organization and contributors on their platform,” the developer said. “It looks like everything is in ‘read only’ mode, but that is progress from an outright ban. I still encourage Github to reverse all actions and return the repositories to their former status,” Van Loon added.

What do you think about Github partially reinstating Tornado Cash repositories? Let us know what you think about this subject in the comments section below.



from Bitcoin News

Παρασκευή 23 Σεπτεμβρίου 2022

Founder of Web3 Messaging App: Decentralized Platforms Enable Users ‘to Build Their Communities in a Safe Place’

In a world where censorship is growing and the right to privacy is being undermined, Web3 — the next iteration of the world wide web — looks to some like the solution users of online platforms are waiting for. As some pioneering Web3 products and solutions have demonstrated, when users are in control, there are fewer incidents of breaches or unsanctioned use or transfer of their data.

Decentralized Communication Finance (Dcfi)

Building on this success, some Web3 startups are now attempting to create solutions that make it possible to combine decentralized finance and decentralized communications. One of such startup, Pravica Club — an Egypt-based Web3 firm — recently launched such a messaging platform.

According to the startup’s co-founder and chief executive officer, Mohamed Abdou, Pravica Club — a Web3 messaging, self-custody, decentralized identity and blockchain-enabled conversations app — gives users an “opportunity to build their communities in a safe place.”

Abdou told Bitcoin.com News how Pravica Club’s eternal message and crypto payments functions make the app competitive. In addition to sharing information on the messaging app, the co-founder gave his perspective on crypto regulations and the emergence of the United Arab Emirates (UAE) as a blockchain and crypto hub.

Below are Abdou’s written responses to questions sent to him.

Bitcoin.com News (BCN): You recently launched a decentralized communication finance (dcfi) platform that you call Pravica Club. Can you explain what this “dcfi” is all about and why you think such a platform is needed?

Mohamed Abdou (MA): Dcfi is a new rising term in the crypto space and explains the nature of platforms that enable decentralized communication and decentralized finance under one platform to service a wide range of users.

Pravica Club totally fits under this term, we enable private, decentralized and secure messaging that is end-to-end encrypted with the user’s owned encryption keys. Our users are using their own decentralized identities (DIDs) to log in to Pravica Club without any need for a username/password, mobile number or email, for example, yourName. ETH or yourName. BTC and so on.

We are giving people in the Web3 era the opportunity to build their communities in a safe place and can earn from multiple channels like Value Weighted Messages (VWM), where community members are enabled to not only like posts but also to “value” the post with a small fraction of crypto tokens to show appreciation to the one who posted it.

Also, community builders can earn bitcoin by introducing premium features to the community members and followers who do stacking (not staking) for a certain amount of crypto tokens and redirect the rewards to the community owners.

BCN: According to your company’s recent blog post, the messaging platform comes with the so-called “eternal message” feature. How does this feature make your platform different or better than the centralized messaging platforms?

MA: We all know that using any messaging app like WhatsApp or Telegram, every message is stored on servers that are owned and controlled by the service provider. What if you want to save a piece of conversation in such a way that it stays forever even when you stop using the service? In the web2 world, there is no way to do it, but in the web3 and by using smart contracts, people can take a piece of conversation and put it in plain text on the chain, this piece of conversation will be converted into a one single transaction ID that you can share it with anyone and will stay forever on the blockchain where you can verify it and show it as a proof-of-chat.

It is a message that can never be deleted or changed and it is in an NFT [non-fungible token] format that allows the owners to maybe one day benefit from it.

So for example, when Vitalik Buterin announced the success of the Ethereum merge, and if he had shared this with his community via Pravica Club, the very statement announcing the success could be made into an eternal message and maybe 100 years from now, this message will have a value and can be seen not in history books but on the blockchain.

BCN: Based on what you said in a recent statement, users of the Dcfi platform are also able to send crypto payments. Can you shed more light on this?

MA: As you are already authenticated with your crypto wallet, you will have the ability to interact with your crypto assets directly while you are chatting. This phenomenal feature allows our users to send and receive crypto assets while they are chatting, and we call this feature CASH_TAG. You don’t need to leave the chatting session and then ask the other side for his crypto address and go to your crypto wallet to complete a transaction, instead of this long process, just in a matter of clicks you can do the task easily. Thanks to web3.

BCN: Your company is based in Eygpt, where monetary authorities recently reiterated their opposition to cryptocurrencies. In addition, you have prominent individuals like Egyptian billionaire Naguib Sawiris denouncing cryptocurrencies like bitcoin. How does this impact or affect your attempt to encourage the use of cryptocurrencies as a payment method by Egypt-based users of Pravica Club?

MA: This is a great question. Thank you for shining a spotlight on this issue. Pravica is a company that is registered in Egypt, UAE and USA, our mission is to solve a huge problem when it comes to data privacy. Yes we are utilizing the power of blockchain technology to tackle these issues yet we do not promote any cryptocurrency and we don’t operate using tokens and we didn’t issue any token to be used in our tools and services.

So, given that we are working within the guidelines set by the Egyptian regulator there is no problem at all. If there is any service that deals directly with any crypto asset, we are warning our users to make sure that they are following the regulations where they are from.

Pravica is a global product and it is not dedicated to any specific country or region, we are taking the advantage of being in Egypt by hiring great talents and utilizing the cost efficiency when it comes to the cost of operations, and we are very proud to be the only company from Egypt that started to work in the blockchain space since three years ago and still operating despite the whole challenges.

BCN: In your opinion, are there more Egyptians embracing cryptocurrencies today than, say, four years ago (2018) when the central bank initially warned against using them?

MA: I don’t have confirmed statistics about this point, but as I am following the news about the industry, I read an article from months ago indicating that Egypt has about 2% of the population owning crypto (more than 2 million people), I don’t know if it is a correct number or not.

Personally, I believe that Egypt is not different from the rest of the world, and more and more people are starting to embrace crypto, that is one of the reasons we built a fully web3 crypto native Pravica Club platform, because if [there are users] today that are not into crypto, tomorrow they will be.

BCN: While many regulators from the Middle East and North Africa (MENA) region have generally adopted a very conservative approach towards cryptocurrencies and blockchain, those from the UAE have largely embraced the technology. As a result, the UAE has emerged as a hub for crypto and blockchain startups in the MENA region. In your opinion, what does the emergence of the UAE as a hub for crypto and blockchain say about the country’s approach to the regulation of cryptocurrencies?

MA: I believe that this is the best way to adopt and utilize this great technology. UAE is running aggressively toward the technology adoption and this is what encouraged us at Pravica to register in UAE under DMCC, crypto centre.

The UAE is pioneering and adopting the blockchain technology in the region by issuing regulations that organize the way people are dealing with the technology and I believe that a lot of countries will follow, I see there is a great initiative nowadays in Saudi Arabia to begin issuing the needed regulations that organize the way people are dealing with crypto and virtual assets.

Finally, crypto is here to stay and as fast as you can adopt it as a country, as max the gain you will earn. We at Pravica will continue to expand our offering and our geographical presence and are currently looking to raise a seed round of $5 million.

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What are your thoughts about this interview? Let us know what you think in the comments section below.



from Bitcoin News

Ethereum Hard Fork Instigator Chandler Guo Claims the Value of ETH and Forked ETHW Will Be the Same in 10 Years

The U.S. dollar value of the recently airdropped coin native to the forked Ethereum proof-of-work (PoW) blockchain will be at par with that of ether, Chandler Guo, the instigator of the latest Ethereum hard fork, has said. Guo added that he expects the value of the token, which is currently “very cheap,” to grow by 100x in ten years’ time.

Surging ETHW Trade Volumes

According to Chandler Guo, the self-appointed organizer of the recent Ethereum hard fork, Ether (ETH) and the recently airdropped, proof-of-work ETHW will have the same USD value in ten years. Guo argued that the new token, which currently trades at just a fraction of its September 15 high, still has the potential to grow by 100x.

In an interview with Bitcoin.com News, Guo claimed that the current price of the forked coin is “very cheap,” hence the scope for it to grow by 100x exists. Guo, a former bitcoin and ethereum miner, nonetheless concedes that the forked blockchain has a lot of catching up to do before this hundred-fold growth is achieved. He explained:

Currently, ETH price is high because there are many developers and over 200 different projects running on top of the Ethereum PoS [proof-of-stake] blockchain. On the other hand, there are less than 10 projects on the ETHW.

Still, to prove that the work aimed at ensuring the forked chain eventually matches the PoS chain has started, Guo revealed that in just four days following the merge, “the ETH proof-of-work chain already has two DEXs [decentralized exchanges], two bridges, and two NFT [non-fungible token] exchanges already launched.”

He added: “Things are happening step-by-step and after one year I think there will be over 100 projects running on top of the PoW chain.”

Besides the launch of exchanges and bridges on the new chain, the protocol’s daily trade volume has been rising since The Merge. While the data from Coinmarketcap on September 21, 2022, suggests that the ETHW’s daily traded volume was just above $100 million, Guo however insists that the actual volume is closer to $1 billion.

“[Already] the trading volume of ETHW is huge. Today it’s almost a billion dollars. [As of today] ETHW [is] supported by more than 20 mining pools, and 2000 miners from around the world. More than 30 exchanges have listed ETHW,” claimed the former miner.

Just under a month before The Merge, Bitcoin.com News reported that a team led by Guo had confirmed that another Ethereum chain split was coming. However, as soon as the migration to PoS was concluded, two alternative chains emerged: the ETHW blockchain and Ethereumfair (ETF).

Abandoned Energy

Commenting on the other coin’s prospects, Guo, who gained prominence after he played a part in the Ethereum blockchain’s 2016 hard fork, said:

I know another team has forked ETH but nobody is mining there, nobody is listing their token. Only a few exchanges and mining pools. It [the success of a fork] all depends on who forked the ETH. I did not fork this so that I could benefit from this. But others fork for their own good or benefit. That’s why they get rich from that — I do not [do] that.

Meanwhile, prior to the Ethereum blockchain’s switch from a PoW to a PoS consensus mechanism, it was widely reported this would result in the protocol’s use of energy dropping by more than 99%. As expected, climate change advocates have applauded the September 15 Merge, which some miners now fear will embolden opponents of the PoW consensus mechanism.

When asked to respond to the argument that bitcoin mining harms the environment, the former miner outrightly rejected this assertion. He said instead of buying electricity from power companies, bitcoin miners — particularly from China — often prefer using “abandoned energy” which is cheaper.

Abandoned energy can be natural gas or hydroelectricity which is not currently being utilized, he said. According to Guo, in regions like Kazakhstan and Russia where miners are harnessing such energy to mine bitcoin, local communities have benefited.

Meanwhile, concerning reports that the Ethereum Merge may have given the U.S. Securities and Exchange Commission (SEC) grounds to launch or institute some kind of proceedings against the blockchain’s co-founders, Guo remarked:

“I think Vitalik [Buterin] and the boss behind him, his name is Joseph Lubin. This guy knows how to fix this problem because he has got links with Wall Street. He knows how to deal with the SEC.”

What are your thoughts on this story? Let us know what you think in the comments section below.



from Bitcoin News

Huobi Partners With Astropay to Facilitate Fiat Payments in Latam

huobi

Huobi Global, one of the biggest exchanges in volumes traded, has announced a partnership to make it easier for its Latam-based customers to acquire cryptocurrencies. The exchange has allied with Astropay, a payment services platform, to allow customers in Latam to purchase cryptocurrency with fiat currencies in several countries.

Huobi to Make Crypto Easier to Purchase in Latam

Huobi is aiming to be more appealing to Latam-based customers who want to enter the cryptocurrency market for the first time. The leading crypto exchange has recently announced a partnership with Astropay, a payment processing platform, to allow customers in Latam to purchase crypto using fiat currencies in selected countries.

Customers will have to use Astropay’s wallet in order to purchase the assets, having the opportunity to do so in countries like Brazil, Mexico, Colombia, Chile, Peru, and Uruguay. The company informed that various payment methods would be supported, including credit and debit cards, and bank transfers. Region-specific options like Pix in Brazil, and SPEI in Mexico, will also be supported.

The company is aiming to offer a better experience for the growing number of customers based in the area. On this, Lily Zhang, chief financial officer of Huobi Global, stated:

Latin America lays claim to a young and vibrant population brimming with enthusiasm for the crypto industry, and we have observed a significant increase in the number of new Huobi Global users from this region.

Furthermore, Zhang explained that the goal of the company’s move is to make “the purchase and trading of digital assets a secure, convenient, and enjoyable experience for everyone.”

Jumping Through Hoops

This initiative puts Huobi in competition with local exchanges and P2P (peer-to-peer) offers in the region, that have an edge in acquiring users due to their acceptance of local payment options. In countries like Venezuela, access to international or dollar-based debit cards is difficult, powering the reach of markets like Binance P2P, which allows Venezuelans to acquire crypto with their fiat currency. Argentina also has had exchange controls that might affect the availability of foreign currency.

However, even with these problems, some Latam nations are in the top 20 list of the countries with the highest cryptocurrency adoption, according to a recent report issued by Chainalysis. Brazil is listed at number seven, and countries like Argentina are also present.

What do you think about Huobi’s alliance with Astropay to ease fiat-to-crypto transactions in Latam? Tell us in the comments section below.



from Bitcoin News

Uniswap Foundation to Distribute $1.8 Million in Grants to 14 Recipients

Uniswap Foundation to Distribute $1.8 Million in Grants to 14 Recipients

The Uniswap Foundation (UF), the group behind the decentralized exchange (dex) Uniswap, announced the first wave of foundation grants on Wednesday as it plans to distribute $1.8 million total, awarded across 14 grants. The UF announcement details that a touch more than $800K will be awarded to Uniswap Diamond, a project being constructed by GFX Labs.

Uniswap to Disperse $1.8 Million to 14 Different Projects

On September 21, the Uniswap Foundation announced the first wave of grants that aims to bolster the decentralized finance (defi) ecosystem and progress research and development. According to the UF, the foundation will disperse $1.8 million in the form of 14 grants, and the project Uniswap Diamond will receive the largest sum. The Uniswap Diamond project is in the midst of being crafted by GFX Labs and it will get a total of $808,725 across 3 disbursements. The UF says the project is “one of the most ambitious initiatives ever to be funded by Uniswap Grants.”

The other grants will be given to projects like Uniswap.fish (previously Uniswap Calculator), an Uniswap data extraction tool, a constant function market maker called Numoen, and a Uniswap v3 development course. UF details that the grants’ size and scope were broken down into three different categories, which include:

  • Protocol Growth, including a decentralized volatility oracle, and a data analysis tool that extracts data from the Uniswap subgraph into a CSV file.
  • Community Growth, including a Uniswap v3 development course and events in Latin America, Africa, and Canada.
  • Governance Stewardship, including a deep dive into the state of Uniswap delegation, which will be translated into a series of recommendations to improve governance.

Additionally, Uniswap community-based grants will be given to promote defi in Latin America and Africa. This includes a “series of events, workshops, and gatherings” in Latin America and “sponsorship of the Ghana Crypto and Defi Summit 2022.” UF further explains that a grant is being awarded to the Phi Metaverse, in order to give “support for the creation of Uniswap specific in-game assets and quests.” Another grant will go towards sponsoring the virtual hackathon Ignition Hacks and another, toward a governance stewardship solution called Holdim.

What do you think about the Uniswap Foundation distributing $1.8 million in grants to 14 different recipients? Let us know what you think about this subject in the comments section below.



from Bitcoin News

Πέμπτη 22 Σεπτεμβρίου 2022

Hong Kong to Start Testing Digital Currency in Coming Months

Hong Kong to Start Testing Digital Currency in Coming Months

China’s special administrative region of Hong Kong is going to trial а digital version of its dollar as early as this year, in preparation for eventual roll-out. The territory is trying to catch up with those that are already launching central bank digital currencies, including the People’s Republic with its digital yuan project.

Trials of Digital Hong Kong Dollar Planned for Q4

Hong Kong intends to begin testing a currency called the e-HKD, a digital incarnation of the Hong Kong dollar, in the remaining months of the year. The trials will be facilitated by the adoption of legislative amendments and the building of digital infrastructure necessary to support the project, the Hong Kong Monetary Authority (HKMA) announced, quoted by the South China Morning Post.

The pilot phase comes after consultations conducted to gather feedback on potential demand, privacy aspects, and other issues that may arise around the issuance of a central bank digital currency (CBDC). Howard Lee, deputy chief executive of the HKMA, which performs the role of a central bank, elaborated:

Although there might not be an imminent use case for e-HKD, taking into account the findings of our study and the feedback from market consultation and international development, the HKMA will start paving the way for e-HKD implementation and will proceed toward a launch of e-HKD in the future.

The high-ranking official also noted that many jurisdictions are already exploring the launch of CBDCs. Participants in the consultations held by the banking authority expressed their concerns that Hong Kong is lagging behind and needs to catch up with the international trend.

The trials will involve selected banks, payment providers, and tech firms. These entities will examine the usage of the digital currency among their employees and a small number of clients, Lee detailed. “The purpose of introducing the e-HKD is to provide more choice for the customer,” the deputy CEO added. He also emphasized that the move will not affect Hong Kong’s three note-issuing banks.

HKMA to Set Timeline for e-HKD Launch After Tests

Following the pilot phase, the Hong Kong Monetary Authority will set the timeline for launching the e-HKD, said Colin Pou, executive director for financial infrastructure at the HKMA. The regulator first announced the CBDC plan in June 2021, as part of the Fintech 2025 strategy. A white paper was issued in October and the consultations ended in May.

Dozens of central banks around the world have been studying digital currencies and taking steps to create their own. The People’s Bank of China (PBOC) has been running pilot programs for its digital yuan (e-CNY) in a number of cities and recently announced the expansion of the pilot area in four of them to the province level.

Hong Kong has also conducted small-scale tests with the e-CNY this year, Howard Lee revealed earlier this month. Last summer, the region’s financial authorities said they will link the digital yuan to its domestic payments system. Besides its cooperation with the PBOC, the HKMA has been also working with the central banks of Thailand and the United Arab Emirates on cross-border CBDC payments.

Do you expect Hong Kong to catch up with mainland China in its digital currency project? Tell us in the comments section below.



from Bitcoin News

This Week’s NFT Sales Slide, Bored Ape Market Cap Drops 21%, Floor Prices Sink Lower

This Week’s NFT Sales Slide, Bored Ape Market Cap Drops 21%, Floor Prices Sink Lower

Non-fungible token (NFT) sales this week dropped 10.88% lower than the week prior. Roughly $118.02 million worth of NFTs were sold this week compared to last week’s $132.43 million. Further, the top two NFT collections with the largest market capitalizations shed significant value during the past seven days. While Bored Ape Yacht Club’s market valuation lost 21.29%, Cryptopunks’ market cap slid by 19.18%.

NFT Sales and Prices Nosedive

NFTs had a lackluster week as sales and prices have followed in sync with falling crypto asset prices. Statistics show that a large number of NFT collections have lost considerable market value during the past week. For instance, metrics show that Bored Ape Yacht Club’s (BAYC) floor value on September 13, 2022, was $114,388 and today, the floor value is around $90,026. BAYC’s market valuation on September 13 was $1.14 billion and today it’s down 21.29% to $900.25 million.

Data shows that the second most expensive NFT floor value belonged to Cryptopunks on September 13, and that’s still the case today. However, the cheapest Cryptopunk last week was around $98,941, but today you can get one for $79,960. Cryptopunks’ market cap has nosedived 19.18% lower during the past week. The same can be said for a majority of blue chip NFT collections like PROOF Collective, Mutant Ape Yacht Club (MAYC), Castaways, and Doodles.

Seven-day statistics show that the BAYC NFT collection is the compilation with this week’s top sales, as $8,603,290 in trades were recorded. BAYC sales have increased by 17.33% and the second largest NFT collection in terms of weekly sales is RENGA. The RENGA NFT collection has managed to print $5,822,323 in seven-day sales, up 121.08% since last week. Overall, however, NFT sales across 17 blockchains monitored by cryptoslam.io are down 10.88% lower than last week.

This Week’s NFT Sales Slide, Bored Ape Market Cap Drops 21%, Floor Prices Sink Lower

Ethereum (ETH) captured the top NFT sales and Solana (SOL) recorded the second largest number of digital collectible sales this week. Although, ETH-based NFT sales slipped 1.66% lower than last week with $79.05 million in seven-day sales. SOL-based NFT sales are down this week 42.11% lower than last week with $23.71 million. Both Flow and Immutable X saw an uptick in NFT sales. Flow NFT sales jumped 59.42% higher, and Immutable X NFT sales saw a significant 790.96% increase.

The top five most expensive NFTs sold this week all stemmed from the BAYC collection and include Bored Ape #441, Bored Ape #2897, Bored Ape #5733, Bored Ape #4179, and Bored Ape #1846. Bored Ape #441 sold for 351,000 DAI and Bored Ape #2897 sold for 215.38 ether or $296,404. Bored Ape #5733 was sold three days ago for 120 ether or $176,458, and Bored Ape #4179 sold for 123 ether or $176,307. Lastly, the fifth most expensive, Bored Ape #1846, was sold for 106 ether or $151,939 four days ago.

What do you think about this week’s NFT sales dropping more than 10% lower than last week’s sales? Let us know what you think about this subject in the comments section below.



from Bitcoin News

Τετάρτη 21 Σεπτεμβρίου 2022

Chinese Currency Breaches 7:1 Exchange Rate Against US Dollar for First Time in Two Years

The offshore exchange rate of China’s fiat currency versus the U.S. dollar recently breached the 7:1 mark for the first time in over two years, after it touched a new 2022 low of 7.0188 yuan for every dollar on September 15. Similar to other global currencies that have depreciated in 2022, the yuan’s decline is being driven by the strengthening of the U.S. dollar.

The Yuan’s Depreciation

The offshore exchange rate of the Chinese currency versus the U.S. dollar breached the seven RMB per every dollar mark after it traded at 7.0188 on September 15, 2022. This is the first time in over two years that the exchange rate of the two currencies has gone past this threshold. However, on the same day, the yuan onshore exchange rate had not breached the 7:1 threshold.

According to a report in the Economic Times, the yuan’s depreciation against the greenback comes against the backdrop of a strengthening dollar. The currency’s decline also came amidst growing fears that the Chinese economy may be slowing down.

However, as per the report, the Chinese central bank’s attempts to assist the economy via an interest rate cut in August helped to spark a 3% depreciation of the yuan.

Remarking on the dilemma that the People’s Bank of China (PBOC) now faces, Ken Cheung, chief Asian FX strategist at Mizuho Bank, said:

The PBOC has demonstrated its stance to defend the RMB exchange rate from breaking above [the] 7 handle shortly and a rate cut will contradict such objective.

Cheung is also quoted in another report stating that he now believes that the PBOC is no longer interested in stopping the currency from breaching 7 yuan for every dollar, but will attempt to “delay and smooth out the yuan depreciation pace.”

The Surging Dollar

The Economic Daily report notes that the yuan is not the only currency struggling with the stronger dollar. According to the report, authorities in Japan are also wary of the strengthening dollar, which has seen the exchange rate between the currencies move from 115:1 on January 2, 2022, to over 143:1 by September 20, 2022.

Just the like yen, European Union’s single currency — the euro — began the year trading around €0.88 for every dollar but by August 21, 2022, it reached parity with the greenback. With the exception of a few currencies like the Zambian kwacha and the Russian ruble, many other currencies have struggled against the dollar.

Some economists believe the U.S. Federal Reserve’s attempts to bring down the United States inflation rate via regular marginal increases in interest rates could be one of the reasons why the dollar has gained against other currencies.

What are your thoughts on this story? Let us know what you think in the comments section below.



from Bitcoin News

PORTX Token Goes Live on CEXs and DEXs

PRESS RELEASE. The team at ChainPort is incredibly excited to update the public about PORTX’s Token Generation Event (TGE). The team has worked tirelessly to develop the most exemplary ecosystem token for the next-generation cross-chain bridge.

Since its launch last year, ChainPort has created a new standard as a cross-chain bridge. ChainPort includes impressive security features, full interoperability, and fast bridging of tokens. Currently, ChainPort supports over nine chains, has a port volume of $615,923,820, and has a total value of $71M.

Progress advances at an accelerated pace. For example, ChainPort has established a fee mechanism and bridge support for more chains, and the PORTX token is now an integral part of the ecosystem.

Even though PORTX’s TGE was supposed to take place earlier, different factors delayed the launch, including market conditions, rigorous testing of ChainPort’s security, and testing the new fee model.

With ChainPort’s fee model in place, ChainPort will accumulate all revenues until the TGE. Following PORTX’s TGE, up to 95% of all revenues will be swapped to PORTX tokens and redistributed per PORTX’s tokenomics. With the market stabilizing and the fee mechanism tested, ChainPort is ready to launch PORTX. The TGE for PORTX is taking place today, on the 20th of September, 2022.

The launch of the PORTX token is a significant milestone in ChainPort’s history. Launching the PORTX token makes ChainPort more significant than just a bridge. It becomes a fully-fledged ecosystem with PORTX at its heart.

The ChainPort team will launch the PORTX token on a centralized exchange and right after on several DEXs on different chains. ChainPort has partnered with top market makers and multiple DEXs.

Be sure to double-check the official contract address before on DEXs. The official contract address will be published following the launch.

Remember that PORTX on different chains will have separate contract addresses corresponding to each chain. Please double-check contract addresses to verify that the address is correct on the proper chain.

Trade PORTX on:

Gate.io

PancakeSwap

Uniswap

SpookySwap

Fantom Contract: 0x504ec4f9af7bbf8cad73ccc2121a3a7fb4c81bcf

Ethereum Contract: 0x104F3152D8ebFC3f679392977356962Ff36566aC

Polygon Contract: 0x189586b5f6317538ae50c20a976597da38984a24

BNB Chain Contract: 0x54c3b88b7e9702f915ddc6e483aaf369b2615f8d

PORTX holders can easily port their tokens to the four chains currently using ChainPort’s bridge. These chains include Ethereum, Polygon, BNB Chain/BSC, and Fantom. Porting is permissionless and will allow users to trade their tokens on Specific DEXs.

ChainPort may announce additional DEXs and exchanges at a later date.

About ChainPort

ChainPort is a next-gen cross-chain bridge that provides custodian-level security with full interoperability. ChainPort introduces an unprecedented security architecture, porting tokens safely across blockchains with just a click.

Security is always paramount for ChainPort, and 95% of the funds are stored in cold storage wallets provided by leading industry security experts: FireBlocks MPC and Gnosis-safe multi-sig.

ChainPort is a permissionless bridge already porting more than 190 tokens between blockchains, with additional projects joining daily. Porting is done in minutes through a friendly and straightforward UI without requiring technical integration.

Since its launch in 2021, Chainport has managed 40,000 ports and more than $630,000,000 in volume. Learn more by visiting ChainPort.io or reading the documentation.

Join the ChainPort community for updates:

ChainPort | Twitter | Telegram | ChainPort News | Documentation | Medium | Reddit

 

 

 


This is a press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.



from Bitcoin News

Ukraine to Revise Virtual Assets Law in Line With EU Crypto Rules

Ukraine to Revise Virtual Assets Law in Line With EU Crypto Rules

Work is underway in Ukraine to update the legal act that applies to cryptocurrencies in order to align the nation’s legislation with European standards. Several government institutions in Kyiv are preparing changes to the bill “On Virtual Assets,” which was signed into law earlier this year.

Ukraine to Transpose European Crypto Regulations Into National Law

Ukraine’s law “On Virtual Assets,” the main piece of legislation that concerns the country’s crypto space, will be amended in accordance with the provisions of the European Union’s Markets in Crypto Assets (MiCA) legislative package.

Since the East European nation was granted the status of a candidate for EU membership, Ukraine needs to adapt its national legislation to European standards, the country’s Ministry of Digital Transformation explained, quoted by the crypto news outlet Forklog.

The law was first adopted by the Ukrainian parliament a year ago, but President Volodymyr Zelenskyy returned it with some recommendations. The Verkhovna Rada passed the revised bill in February of this year and Zelenskyy signed it into law in March.

The virtual assets (VA) legislation may now undergo significant change, the report reveals. The National Securities and Stock Market Commission (NSSMC), the National Bank of Ukraine (NBU), and representatives of the industry are also working on the amendments. The digital ministry elaborated:

The revision may even affect the adopted classification of virtual assets. The terms for initial VA offerings will also be reviewed.

The new version of the law “On Virtual Assets” is likely to be filed towards the end of 2022. The NSSMC emphasized the update is necessary in order to develop rules for the taxation of cryptocurrencies which will be introduced with a separate bill. The VA legislation will enter into force only after the amendment of Ukraine’s Tax Code.

Government efforts to regulate the crypto space come after Ukraine gradually became a leader in terms of cryptocurrency adoption in the region and beyond. Blockchain analytics company Chainalysis ranks the country third in the latest edition of its global crypto adoption index.

Ukraine received the status of a candidate for EU accession in June. In early July, the key participants in the European Union’s complex legislative process — the Parliament, Council, and Commission — agreed to implement MiCA across the 27-strong bloc.

Do you expect Ukraine to finalize its crypto legislation by the end of this year? Tell us in the comments section below.



from Bitcoin News

Τρίτη 20 Σεπτεμβρίου 2022

Bitcoin-Embracing El Salvador President’s Re-Election Declaration Slammed

Just over a year after overseeing El Salvador’s adoption of bitcoin, the Central American country’s 41-year-old president, Nayib Bukele, recently declared his intention serve another five-year term. The announcement has been criticized by some who have been quick to remind Bukele that El Salvador’s constitution prohibits presidents from serving consecutive terms.

Re-Election of Presidents a Common Practice in Developed Countries

El Salvador’s bitcoin-embracing leader, President Nayib Bukele, recently revealed that he plans to serve another five-year term even though the country’s constitution bars presidents from serving consecutive terms. The announcement by Bukele, who reportedly enjoys high approval ratings, has been slammed by opponents and critics who accuse him of undermining the country’s democratic institutions.

According to an Al Jazeera report, the 41-year-old leader made the announcement while delivering a speech about El Salvador’s independence. In the speech, Bukele said his plan to serve consecutive terms was justified because this practice is also common in developed countries.

“I’m announcing to the Salvadoran people that I’ve decided to run as a candidate for president of the republic. Developed countries have re-election. And thanks to the new configuration of the democratic institution of our country, now El Salvador will too,” Bukele reportedly said.

In another report, Bukele is quoted suggesting that while resistance and opposition to his plans by developed countries might be inevitable, he remains unperturbed by this because “they’re not the ones who get to decide. The people of El Salvador do.”

However, just as Bukele anticipated when he made the announcement, critics that include the U.S. government have challenged his threat to override a clause in El Salvador’s constitution, which specifically forbids presidents from serving consecutive terms. The United States-based think-tank the Atlantic Council has characterized Bukele’s plan as the “final step of his power grab.”

Fitch Ratings Downgrades El Salvador’s Debt to CC

Meanwhile, the controversy sparked by Bukele’s re-election bid came just a few days after the credit ratings agency Fitch Ratings downgraded El Salvador’s debt to CC. According to a Bloomberg report, this rating means the Central American state’s debt is seen as riskier than that of war-torn countries such as Ukraine and The Republic of Congo.

Before Fitch Ratings’ latest downgrade, El Salvador also faced widespread criticism over its decision in June 2021 to adopt bitcoin as legal tender. As reported by Bitcoin.com News, institutions including the International Monetary Fund (IMF) have slammed the move, which it said threatens financial stability.

The IMF’s subsequent call on El Salvador to abandon its bitcoin law was rebuffed by the Bukele government. Instead of giving in to the growing pressure from the IMF and others, the El Salvador government took steps to educate citizens about bitcoin. It also transferred bitcoins to citizens using the official wallet application, Chivo.

As the first country to designate bitcoin as a legal tender, El Salvador also organized a bitcoin conference at which 44 central banks were represented. However, the country’s much-talked-about bitcoin volcano bonds are yet to come to fruition. As per a Bitcoin.com News report, El Salvador’s treasury officials have previously blamed the Ukraine-Russia war for causing the latest postponement of the issuance of the bonds.

What are your thoughts on this story? Let us know what you think in the comments section below.



from Bitcoin News

Harris Poll Report Finds That 71% of Crypto Investors Are Confident They Will Become Billionaires

harris poll

A new survey conducted by Harris Poll has found that most cryptocurrency investors in America feel they have the necessary tools to become billionaires in the future. The survey, which inquired about how Americans see billionaires, also revealed that this sentiment is higher amongst millennials and Gen Zers, with other groups falling behind

Crypto Still Seen as Billionaire-Maker Investment, According to Harris Poll Survey

While the recent downturn in the global economy and the subsequent price deceleration in traditional stock and crypto markets has made some investors lose confidence, many cryptocurrency investors are still optimistic. A survey conducted by Harris Poll in July has revealed that cryptocurrency investors are very hopeful about the future of the industry.

Harris Poll contacted close to 2,000 Americans to inquire about their views on billionaires and how society sees them. 71% of the cryptocurrency investors polled stated that they believed they had the available tools to become a billionaire in the future. This percentage was high compared to the percentage of all the groups combined, which only reached 44%.

In the same way, 60% of the polled stated that they want to become billionaires and that they look up to the men and women part of this select group.

Gen Z and Millennials Confident, Too

The survey results also reveal that Gen Zers and millennials rank high when it comes to being confident about the possibilities of becoming billionaires. These groups are also commonly associated with new financial technologies such as crypto and fintech.

In 2020, a survey conducted by the Devere group indicated that two thirds of millennials prefer bitcoin to gold as a safe haven asset. At that time, Nigel Green, CEO and founder of Devere group, stated:

In-line with the findings that show that millennials have a preference for bitcoin over gold, the cryptocurrency is set up for growing prominence as a serious safe-haven asset class.

Green also linked the interest and preference of these younger generations for crypto with the level of inflation in devaluation that global economies are facing due to the high issuance of unbacked fiat money. The edge that bitcoin could have over gold and other traditional fiat currencies depends on its unique characteristics, which allow it to be non-sovereign, decentralized, scarce, and a store of value, according to Green.

What do you think about the confidence that crypto investors have in becoming billionaires? Tell us in the comments section below.



from Bitcoin News

US Sentences Promoter of $3.4B Bitconnect Crypto Ponzi Scheme to 38 Months in Prison

The U.S. has sentenced a Los Angeles man to 38 months in federal prison for his role in the Bitconnect crypto Ponzi scheme.

The U.S. has sentenced a Los Angeles man to 38 months in federal prison for his role in the $3.4 billion Bitconnect crypto Ponzi scheme. He admitted to earning no less than $24 million from the scam, all of which will now be “repaid to investors in restitution or forfeited to the government,” the Department of Justice (DOJ) explained.

US Bitconnect Promoter Sentenced to 38 Months in Prison

The U.S. Department of Justice (DOJ) announced Friday that a Los Angeles man has been sentenced to “38­ months in prison for his participation in Bitconnect.” The DOJ described Bitconnect as “a massive fraudulent cryptocurrency investment scheme.”

Glenn Arcaro, 44, conspired with others to exploit investor interest in cryptocurrency by fraudulently marketing Bitconnect’s proprietary coin offering and digital currency exchange as a lucrative investment, court documents showed.

The Justice Department described:

The Bitconnect Ponzi scheme ensnared 4,154 victims from 95 countries making it a true worldwide Ponzi scheme.

According to the DOJ, Arcaro transmitted the proceeds that he earned from the Bitconnect scheme to offshore accounts, changed some of the proceeds into precious metals storage, and obtained foreign passports. The Justice Department noted that his goal was to avoid paying federal and state income taxes on his Bitconnect income and to shield his assets from collection by the Internal Revenue Service (IRS).

The DOJ detailed:

Arcaro admitted that he earned no less than $24 million from the Bitconnect scheme, all of which, according to court documents, will now be repaid to investors in restitution or forfeited to the government.

According to U.S. authorities, the Bitconnect Ponzi scheme reached a market capitalization of $3.4 billion at its peak. The founder and his co-conspirators allegedly obtained about $2.4 billion from investors. Recently, the Indian police launched an investigation into Bitconnect and booked its founder, although the U.S. had already charged him in February.

What do you think about Glenn Arcaro going to prison for 38 months for his role in the Bitconnect Ponzi scheme? Let us know in the comments section below.



from Bitcoin News

Kenyan Central Bank Says It’s ‘Craziness’ to Convert Country’s Reserves to Bitcoin

The Kenyan central bank governor Patrick Njoroge has described as “craziness” the calls to convert Kenya’s reserves into bitcoin. He added ...