roadrunner

Steve Hanke, professor of applied economics at Johns Hopkins University, has criticized bitcoin, stating it is not a currency. The economist, known for his vocal opinions about crypto and for the promotion of dollarization initiatives in Latam, blasted bitcoin, saying it has a “fundamental value of zero,” and that it is a “highly speculative asset.” Steve Hanke Criticizes Bitcoin’s Function and Value Steve Hanke, professor of applied economics at Johns Hopkins, has criticized bitcoin and its value in one of his latest tweets. The economist, known to be very vocal about the negative effect that crypto can have on world economies, contested bitcoin’s utility, stating: Bitcoin is not a currency. It’s just a highly speculative asset with a fundamental value of zero. Hanke illustrated his opinion with a cartoon drawn by Robert Rich, as part of his work for Hedgeye Risk Management, where he compares other main fiat currencies including the dollar, the yen, and the euro, with bitcoin. Bitcoin Community Responds Responses from the bitcoin community to Hanke’s opinions came quickly. Digital artist Lucho Poletti, known for his bitcoin-focused work, tweeted a similar cartoon that depicted bitcoin as a better form of money than the fiat currencies that appeared in Robert Rich’s cartoon. Others criticized Hanke’s opinion in writing, like Dr. Julian Hosp, CEO of decentralized finance app Cake Defi, who countered Hanke’s view, declaring: Bitcoin has utility. We can argue how much, but it is definitely >0. There are undoubtedly some people who want its utility. Lastly, it is provably rare. Hence, your statement that bitcoin has zero value is 100% incorrect. Hanke, as a promoter of currency boards and dollarization as a solution for inflation and devaluation problems in countries like Argentina, has criticized the adoption and function of bitcoin several times. In June 2021, Hanke blasted the adoption of bitcoin in El Salvador as legal tender, saying it could cause the collapse of the country’s economy. At the time, he stated that all the dollars in El Salvador could be “vacuumed out” of the country, leaving citizens with only bitcoin. This criticism intensified in October 2021, when he stated that Nayib Bukele, the president of El Salvador, was “playing fast and [loose] with El Salvador’s tax dollars again,” when he announced buying the bitcoin dip while purchasing 150 bitcoin. What do you think about Steve Hanke and his criticism of bitcoin adoption and its fundamental value? Tell us in the comments section below. View the full article

President Nayib Bukele is promoting El Salvador as the “new land of the free,” as part of an invitation for foreigners to move to the Latam country. Bukele tweeted a poster in vintage American style that included several advantages that the country brings its citizen, including the adoption of bitcoin as legal tender. EL Salvador’s ‘New Land of the Free’ Campaign Invites People to Move in With Bitcoin as Legal Tender President Nayib Bukele is inviting people to move to El Salvador. Bukele posted a poster in vintage American style where he depicts a classic American family in a living room, calling his country “the new land of the free,” a motto usually applicable to the U.S. The poster serves to exhibit the achievements that, according to him, his government has reached, principally in the security and monetary policy areas. The poster calls for people to move to El Salvador, explaining that there are “no fentanyl crisis,” “no shootings” and “no lootings,” as a product of the tight security measures that the government has taken during 2022 and 2023. Also, the poster features the adoption of bitcoin as a legal tender, with El Salvador being the first country in the world that presents this option to tourists and residents. Also, president Bukele has made statements about easing the way of migrants by proposing to give Salvadoran citizenship via bitcoin investments. Achievements Among Criticism To some, the poster appears to celebrate the new face that Bukele has brought to El Salvador, making a clear comparison to what the U.S. represented back in the sixties. While heavily criticized for possible violations of human rights in its battle against gangs, Bukele has made security a priority in the country. According to reports, El Salvador finished 2022 with its homicide rate plummeting by 56.8%. Also, Bukele celebrated a milestone of 300 days without homicides on February 14. However, to get to this point, Bukele had to establish an exception state, with curfews for the population while waging an all-out war with the Maras Salvatruchas, the biggest national gang, since March 2022. In the poster, great weather and beaches are also promoted. Bukele had stated before that the recovery of tourism in the country, one of the fastest in the world after the Covid-19 pandemic, was in part thanks to the inclusion of bitcoin in the economy of the country and also because of surf. Bukele has also announced significant investments in landmark beaches like El Zonte, known as Bitcoin Beach due to its adoption. In August, the Salvadoran government destined an investment of $203 million to build support infrastructure for the region including a new drainage system, bridges, and bicycle roads. What do you think about Bukele’s ‘new land of the free’ poster? Tell us in the comments section below. View the full article

Tim Draper, a venture capitalist and bitcoin millionaire, has included bitcoin as part of a series of cash management recommendations offered to startup founders. Draper recommended having at least two payrolls worth of cash in bitcoin or other cryptocurrencies to avoid being affected by bank failures like the collapse of Silicon Valley Bank (SVB). Tim Draper Touts Bitcoin as Hedge Against Bank Failures Tim Draper, a well-known venture capitalist and crypto enthusiast, has recommended bitcoin as part of his cash diversification advice for business founders. Draper, known for winning an auction of 30,000 bitcoins from the U.S. Marshals back in 2014, and for his bitcoin price predictions, posted a document on Twitter that comments on several considerations businesses should make in the face of bank failures. The document, which presents seven different ways to avoid a cash crunch, states: Since boards and management are responsible for making payroll, even in times of crisis, it is important to build out contingency plans for bank failures that could happen more and more often if government continues to print money and whipsaw interest rates to counteract inflation caused by the over-printing of money. Draper comments that the collapse of Silicon Valley Bank (SVB) showed the importance of having a sound contingency strategy in uncertain times. Per different reports, many tech startups that were dependent on Silicon Valley Bank faced a period of uncertainty when the bank collapsed, not having the necessary liquidity to complete payroll payments. However, the U.S. Federal Deposit Insurance Corporation (FDIC) averted the situation and made customers’ deposits whole under a systemic risk exception approved by the Federal Reserve. Bank Diversification Recommendations One of the key points in Draper’s cash management plan, which was designed with the help of Wharton school individuals, is the diversification of banking risk. Draper states that businesses can no longer rely on just one institution to manage their cash, advising to keep at least six months of short-term cash in two banks — one local and one global bank. Also, Draper advises keeping at least two payrolls worth of cash in bitcoin or other cryptocurrencies, maintaining excess money in assets saleable for emergencies. He supports taking these measures by stating: For the first time in many years, governments are taking over banks and governments themselves are at risk of becoming insolvent. Bitcoin is a hedge against a ‘domino’ run on the banks and on poor over-controlling governance. What do you think about Tim Draper’s advice on keeping bitcoin as a hedge against bank failures? Tell us in the comment section below. View the full article

After the U.S. Commodity Futures Trading Commission sued Binance for alleged violations of trading and derivatives rules, a significant amount of cryptocurrency was withdrawn from the exchange. Data from analytics provider Nansen shows $400 million in Ethereum-based funds were withdrawn in 24 hours, and 3,655 bitcoin worth more than $99 million were withdrawn over the past day, according to Coinglass metrics. 3,655 Bitcoin Withdrawn From Binance in 24 Hours On Monday, March 27, 2023, the U.S. Commodity Futures Trading Commission (CFTC) sued Binance and CEO Changpeng Zhao (CZ), alleging the exchange had violated specific trading and derivatives rules. The CFTC is seeking disgorgement and monetary penalties, as well as a ban on future registrations. Following the news, Binance experienced a large number of withdrawals, and some observers noted “large onchain movements prior” to the exchange’s troubles with the CFTC. “A few hours before the Binance CFTC Indictment, there were large stablecoin withdrawals across centralized exchanges, totaling almost $1.5B in just 12 hours. Notably, Binance itself saw an $850M outflow,” analysts from ‘An Ape’s Prologue’ explained. “Just one hour after the announcement, Binance saw an additional $240M withdrawn,” the researchers noted. Data from Nansen and Dune Analytics show more than $400 million in Ethereum-based funds were withdrawn in 24 hours. As of writing, Nansen’s proof-of-reserves portal shows Binance holds $63.36 billion worth of cryptocurrency assets. Statistics also show more than 150 million BUSD stablecoins were redeemed on Monday. There’s currently 7.84 billion BUSD in circulation, and 7.1 billion of those tokens are held on Binance. Binance also holds one of the largest caches of bitcoin, as its cold wallet holds 248,597 bitcoin, the single largest address today. According to Coinglass, Binance’s BTC balance indicates that the exchange has shed 3,655 bitcoin worth close to $100 million over the last day. While Binance saw the most bitcoin outflow over the last 24 hours, Coinglass records indicate that 1,025 bitcoin was withdrawn from Coinbase. What do you think about the CFTC’s lawsuit against Binance? Share your thoughts about this subject in the comments section below. View the full article

PRESS RELEASE. Every year, natural disasters like earthquakes, hurricanes, and floods hit countries around the world, severely damaging local infrastructure and homes and causing casualties. Individuals and communities in the catastrophe-hit areas suffer a heavy loss and need help from the outside badly. For years, numerous public welfare organizations and charitable groups have been actively providing relief and assistance to those affected by disasters worldwide, and among such contributors is CoinEx Charity. Having been committed to disaster relief programs for over a year, CoinEx Charity has joined the global efforts to combat natural disasters by providing food, shelter, and medical assistance for hundreds of affected individuals, with its footprint across the globe. Since its inception, CoinEx Charity has dedicated itself to supporting disaster-stricken areas around the world by providing free medical, material, and financial assistance for those affected by natural disasters. The organization’s commitment to charity has never wavered. Its charitable actions have reached the most remote and inaccessible areas, bringing key support to victims of disasters. Disaster Relief While most natural disasters are unavoidable, CoinEx Charity has extended a helping hand to survivors of natural disasters in time through public welfare campaigns. The organization has played a key role in disaster relief, especially in times of emergency. With quick, effective responses, CoinEx Charity provides assistance and support for survivors. 2023 is a disastrous year for Iran as the country has to cope with multiple crises, including earthquakes and economic challenges. On January 28, a 5.9-magnitude earthquake hit West Azerbaijan in northwestern Iran, killing at least three people and injuring more than 800. The earthquake has devastated the country’s economy, causing job loss and income reduction for many households. At the same time, refugees also grow in number. Actively involved in humanitarian responses in Iran, CoinEx Charity has procured and distributed relief materials including bed sheets, electronic heaters, and tents to people living in disaster-stricken areas. Additionally, the organization also set up temporary shelters for locals affected by the earthquake. In 2022, the Philippines, Brazil, and Bangladesh suffered typhoons, heavy rainfalls, and floods. Across multiple regions, the disasters destroyed villages and homes. Homeless and without any shelter, many locals faced life-threatening conditions and urgently needed daily supplies. In the face of the sudden disasters, CoinEx Charity took fast action, and contributed to local relief efforts with donations to the disaster-stricken areas. The organization not only provided shelters for refugees in the Philippines, Brazil, and Bangladesh but also donated basic necessities such as food, clothing, and medical equipment. Over the past year, CoinEx Charity has played a big role in disaster relief across the globe, and helped millions of people hit by natural disasters such as earthquakes, heavy rainfalls, and typhoons. Such charitable efforts also go on even after the disaster relief. CoinEx Charity has offered living supplies to local impoverished children, making sure that they can access basic necessities such as food, clean water, and medical treatment. It is fair to say that CoinEx Charity’s relief efforts in the earthquake in Iran are commendable, and its charitable action has alleviated the sufferings of families and individuals hit by the disaster. Yet Iran still faces severe challenges and needs more support to fully cope with the aftermath. The dire circumstances facing Iranians call on more global charities to learn from CoinEx Charity, reach out to the disaster-stricken areas, and tap into the power of charity to help more survivors. Together, we can help locals rebuild their communities, passing on a heartwarming message via charity. 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. View the full article

Ethereum co-founder Joseph Lubin says the strength of the crypto ecosystem “has never been better or stronger.” He believes “more clarity” from regulators would be helpful for the crypto industry. “I think our industry has suffered from having two major factions lumped into one: the money-crypto faction … and the tech-crypto faction,” he explained. Ethereum’s Co-Founder on Crypto Ecosystem, Regulation Ethereum co-founder Joseph Lubin discussed the state of the crypto ecosystem, regulation, and whether ether (ETH) is a security in an interview with CNBC last Wednesday. “The strength of our ecosystem has never been better or stronger,” he began. While noting that “There are certainly headwinds — some microeconomic, financial headwinds — out in the world,” as well as “banking issues for a small number of companies” in the crypto space, he emphasized: “The sizes of the conferences that are going on in Paris and Denver and Los Angeles have never been bigger.” The Ethereum co-founder added: Once the builders come into our ecosystem to build essentially an alternative economy, they don’t leave. The speculators run in and they run out, but the building has never been better. Commenting on why the prices of bitcoin and ether have been rising, he said: “Because they’re sound. Bitcoin is sound money. Ether is ultrasound money … the development, the use cases, the usability, the scalability in the Ethereum ecosystem — it’s never been better. It’s accelerating.” Lubin also noted that the possibility of the Federal Reserve hiking interest rates less aggressively in the future has helped boost the prices of cryptocurrencies. “It’s an inflation hedge,” he stressed. Regarding cryptocurrency regulation and the aggressive enforcement actions by the U.S. Securities and Exchange Commission (SEC), the Ethereum co-founder opined: I think more clarity, being more explicit would be helpful to our industry. I think our industry has suffered from having two major factions lumped into one: the money crypto faction … and the tech crypto faction, which is just building decentralized protocols infrastructure. While noting that “Money crypto absolutely should be regulated” and “Money crypto people issued tokens that are rightly seen as securities,” he argued: “Tech crypto people are just technologists. We are just building infrastructure that the traditional economy can use, and our economy can use, and you don’t want to regulate innovation.” Is Ether a Security? Lubin also commented on regulators alleging that ether is a security. Responding to the claim made by the New York Attorney General in its lawsuit against crypto exchange Kucoin that ETH is a security, the Ethereum co-founder said: “Anybody can say anything, it doesn’t make it true.” SEC Chairman Gary Gensler has stated several times that all crypto tokens besides bitcoin are securities “because there’s a group in the middle and the public is anticipating profits based on that group.” Lubin argued: People buy barrels of oil with the expectation of profit. When asked whether he is confident that ether is not a security, the Ethereum co-founder replied: “I don’t think there’s any point to speculate on something that is extremely unlikely.” There are differing opinions among U.S. regulators about whether ether should be classified as a security. SEC Chair Gensler believes that ETH is a security, while the chairman of the Commodity Futures Trading Commission (CFTC) has stated multiple times that it is a commodity. However, both regulators agree that bitcoin is a commodity. What do you think about the statements by Ethereum co-founder Joseph Lubin? Let us know in the comments section below. View the full article

Market strategist Jeremy Grantham, co-founder of asset management firm GMO, has warned of “super bubbles” bursting. He explained that the Federal Reserve has “created an environment conducive to a chain-linked series of super bubbles that break with outrageously consequential, painful effects.” Jeremy Grantham’s Warnings Investment strategist Jeremy Grantham shared his U.S. economic outlook with economist David Rosenberg during a Rosenberg Research webcast, published on March 16. Grantham is a co-founder and chief investment strategist of asset management firm GMO. He has been an investment strategist for over 40 years and has served on the investment boards of several non-profit organizations. Grantham criticized the Federal Reserve for repeatedly causing asset bubbles. He noted that he was not surprised by the recent collapses of major banks. He compared the present economic situation to that of 2000, emphasizing that back then, “the economy had a gentle recession” without any real estate or debt markdown issues. “It’s bad enough just doing the equity market in 2000. This time, we have done a dead ringer for the equity market, plus for gravy, we’ve done the housing market and the bond market,” the strategist opined, elaborating: The trouble with this bubble is it’s an everything bubble. We have bubbled the important and dangerous housing market to record prices. We bubbled the bond market to levels that had never been seen in the history of man with the lowest rates ever recorded. “The big picture is we have a little handful of these super bubbles. Every one of them is followed by a recession. If you get anything really wrong, like 1929, it’s followed by depression. If you mess around with the financial system, you have the terrible happenings of the Great Financial Crash,” Grantham detailed. “I don’t think the bear market is likely to end until deep into next year,” the investment strategist continued, adding that “the fundamentals could drag out for quite a while.” Noting that “after April, we will probably begin to see pressure on profit margins, GDP growth, and the labor market,” he concluded: I hope it’s well known by now that the Fed has never got anything right since Paul Volcker. They have merely created an environment conducive to a chain-linked series of super bubbles that break with outrageously consequential, painful effects. Do you agree with Jeremy Grantham? Let us know in the comments section below. View the full article

The CEO of investment management firm Vaneck has predicted a bull cycle for gold and bitcoin. “We are at the very beginnings of what could be a several-year cycle in gold, and I also put bitcoin in that category as well,” the executive said, adding that the Federal Reserve is “close to the end of their tightening.” Bull Cycle for Gold and Bitcoin Jan van Eck, CEO of investment management firm Vaneck, shared his prediction regarding gold and bitcoin in an interview with CNBC last week. His firm has $69 billion in assets under management. When asked whether gold, at its present levels, should be viewed as an investment or a temporary trade that may yield additional profits, he replied: We are at the very beginnings of what could be a several-year cycle in gold, and I also put bitcoin in that category as well. “Finally, as a gold investor, you’ve been rewarded over the last couple of weeks. Weakness in the banking system and gold rallied. That’s why you own gold,” the executive continued. The Vaneck CEO further explained that “it could be a two-year cycle” because he believes that “the Fed is close to the end of their tightening.” The executive added: “The market is worried now about the consequences and it could take a year or more for those consequences to roll through the commercial real estate market, the banking and lending dynamics, [and] maybe we have a shallow recession.” He elaborated: At some point, the Fed is going to start easing, and that’s when gold is really going to party. Discussing gold and bitcoin, the Vaneck executive opined: I think all the speculation is out of both of those markets. Van Eck pointed out that bitcoin has surged nearly 70% this year, outperforming all other assets, and has rewarded “the people that own bitcoin for that thesis of wanting a hedge in their portfolio.” Last month, Pantera Capital said that we’re already in the next bull market cycle for bitcoin. Last week, the Federal Reserve raised interest rates by 25 basis points. Some people expect the Fed to cut rates soon, including billionaire Jeffrey Gundlach. However, Fed Chair Jerome Powell stated that rate cuts are not in the Fed’s base case. Economist Peter Schiff said the Fed has already returned to quantitative easing whether they admit it or not. Do you agree with Jan van Eck? Let us know in the comments section below. View the full article

Despite Bitcoin’s difficulty reaching an all-time high at 46.84 trillion, participants in bitcoin mining have kept the hashrate running stronger than ever before. According to statistics, on March 23, 2023, the hashrate reached a high of 400 exahash per second (EH/s). The 400 exahash equates to 0.4 zettahash or four hundred quintillion hashes per second. As the hashrate continues to climb, research analyst Sam Wouters at River Financial estimates that at the current growth rate, Bitcoin could reach the zettahash era “by the end of 2025.” Reasons for the Increase in Bitcoin Hashrate: Insights from River Financial Analyst Two days ago, Bitcoin.com News reported that the difficulty of the Bitcoin network had increased for the third consecutive time in the last six weeks. The difficulty is now at an all-time high of around 46.84 trillion after increasing by 7.56% on March 23, 2023. On the same day, Bitcoin’s hashrate peaked at 400 exahash per second, representing an unimaginable four hundred quintillion hashes per second. Soon, Bitcoin’s hashrate will likely reach a single zettahash, which is equivalent to 1,000 EH/s or one sextillion hashes per second. After Bitcoin’s hashrate rose to 400 EH/s, research analyst Sam Wouters at River Financial stated that he has received numerous inquiries regarding the increase. Wouters also estimated that “at the current growth rate in 2023, we’d reach a Zettahash by the end of 2025.” Some have questioned whether the growth is due to nation-states or secret mining operations contributing to the increase. Wouters said he finds it “unlikely that the added hashrate would be mostly from nation-states.” The analyst also acknowledged rumors of miners holding “significant inventories” of unused application-specific integrated circuit (ASIC) miners. Wouters said that with BTC’s price increase, “more of this inventory has been able to go online.” The River Financial analyst also mentioned the use of hydro-powered ASIC units, which he said contribute “tremendous hashrate” and are estimated to have the highest average profitability at present. Wouters stated that he has written a report on what mining in the zettahash era will look like when Bitcoin reaches the 1 zettahash milestone. The River Financial analyst explains that the current increase in hashrate could be due to a variety of factors, such as “unused inventory going online,” “new models becoming available,” “more facilities becoming operational,” and “clever entrepreneurs finding low-cost sources before regulators intervene.” In Wouters’ December 2022 study, the analyst states that a wide range estimate indicates there are approximately 2.5 to 5 million ASIC miners in operation today. The research shows that, without any efficiency improvements to miners, it would take around 11.2 million to support a hashrate of 1 zettahash. What are your thoughts on the future of Bitcoin mining and its potential to reach the zettahash era? Do you think the industry will continue to see significant growth, or are there potential roadblocks that could hinder its progress? Share your opinions in the comments below. View the full article

Nasdaq intends to launch its custody services for digital assets like bitcoin by the end of this year’s second quarter. The exchange operator is among those traditional financial firms that want to play a role as intermediaries in the crypto sector which saw the collapse of some major players. Stock Exchange Nasdaq Seeks Regulatory Approval as Crypto Custodian U.S. exchange operator Nasdaq plans to launch its own custody services for crypto assets by the end of June. The company moves into the industry in the aftermath of a series of failures such as the bankruptcy of FTX, one of the largest cryptocurrency exchanges. The group is now working to obtain the necessary approvals from regulatory bodies that will allow it to provide such services, Bloomberg reported on Friday, quoting Ira Auerbach, senior vice president and head of Nasdaq Digital Assets. Nasdaq has already applied to the New York Department of Financial Services for a limited-purpose trust company charter, which would oversee the new crypto business, the executive revealed in an interview in the French capital. The initiative was first announced in September. It represents the first inroad into the crypto economy for the company which runs the second-largest American stock exchange by market capitalization of the traded shares. The realization of the project will start with safekeeping the leading cryptocurrencies, bitcoin (BTC) and ether (ETH), before expanding the array of services offered by the group’s digital assets division. The plan is to eventually provide execution for financial institutions. The crypto winter caused by falling prices affected banks exposed to digital assets as well, leading to the collapse of the crypto-friendly Silvergate Bank and Silicon Valley Bank in the U.S. In the crypto market, Nasdaq will join large financial firms, like BNY Mellon and Fidelity, offering custody for cryptocurrencies, intermediary services, or tokenization of traditional assets to utilize the advantages of related technologies. Do you expect other major finance firms to enter the crypto space this year? Tell us in the comments section below. View the full article

Regulations governing tokenized deposits and crypto assets are likely to become effective on Jan. 1, 2025, a senior fintech analyst at the South African central bank has revealed. However, according to the analyst, regulators are still trying to understand or learn the risks that come with using distributed ledger technology. Central Bank Considers Appropriateness of Retail CBDC Gerhard van Deventer, a senior fintech analyst at the South African Reserve Bank (SARB) recently disclosed that regulations governing the so-called tokenized deposits and crypto assets are expected to come into effect on Jan.1, 2025. Although taking this step is seen as an important milestone, Deventer, however, warned regulators still need to understand the risks that are associated with the technology underpinning digital assets. To achieve this, the SARB and its partners have conducted experiments whose objective was to understand and identify the risks as well as the benefits of distributed ledger technology (DLT). Project Khokha and Project Khokha 2 are among the experiments that were conducted by the South African central bank in conjunction with commercial banks. In one of the experiments, the SARB is said to have explored a general-purpose retail central bank digital currency (CBDC). The South African central bank similarly explored wholesale and multi-CBDCs and according to Deventer, the bank is now interested in finding a way forward. “At the SARB, we recently completed a project that explored the feasibility, desirability and appropriateness of a retail CBDC for South Africa. We are currently progressing with an internal project to consider the way forward,” the fintech analyst said. However, according to a report published in Creamer Media’s Engineering News, South African regulators; the SARB and the Financial Sector Conduct Authority (FSCA) as well as the financial industry still need to do more work on the prudential treatment of crypto assets. Benefits of a Central Bank Digital Currency Meanwhile, the same report also quotes Sim Tshabalala, the chief executive (CE) of Standard Bank, who recently spoke about the benefits of using CBDCs to facilitate secure interbank clearing. According to Tshabalala, CBDCs, particularly retail ones, can potentially increase participation in the formal financial system. They can also reduce opportunities for tax evasion and other forms of financial crimes. Tshabalala noted however that questions still remain about the role of central banks should CBDCs become widely used. He said: “However, it is not clear at this stage how retail CBDC balances held with commercial banks differ from other deposits, or how CBDC balances held by an individual or a firm directly with the central bank differs from the central bank turning itself into a retail bank.” The Standard Bank CE said failing to address this would be equivalent to doing nothing to “mitigate the risk and moral hazards” that arise from a central bank’s direct participation in the financial system. Register your email here to get a weekly update on African news sent to your inbox: What are your thoughts on this story? Let us know what you think in the comments section below. View the full article

Billionaire Barry Sternlicht, chairman and CEO of Starwood Capital Group, has warned that the U.S. economy is going to implode, emphasizing that interest rates have to fall. He further stressed that the economy “will have a hard landing.” Barry Sternlicht on Hard Landing, Economic Implosion The chairman and CEO of Starwood Capital Group, billionaire Barry Sternlicht, discussed the state of the U.S. economy in an interview with CNBC on Thursday. Following the Federal Reserve hiking interest rates by 25 basis points (bps) on Wednesday, Sternlicht reiterated that the Fed should have stopped raising interest rates, citing the banking crisis. Recently, several major banks failed, including Silicon Valley Bank and Signature Bank. “I think you have to lower rates. That’s how you recapitalize the banks. I think they’ve done enough,” Sternlicht opined, adding: The bond market is telling you what’s going to happen. The bond market is right. Interest rates have to fall. The economy is going to implode. Last week, billionaire Jeffrey Gundlach, aka the “bond king,” also explained how the bond market is signaling that the Federal Reserve will be cutting interest rates substantially soon. Asserting that Federal Reserve Chairman Jerome Powell “is using a steamroller to get the price of milk down two cents, to kill a small fly,” the Starwood Capital CEO stressed: “You do not have to see the car hit the wall to know it’s going 8,000 miles an hour and it will hit the wall.” He cautioned: The economy will have a ‘hard landing.’ Some people believe that there will be a hard landing in the U.S. while some expect a soft landing or even no landing. Recently, economist David Rosenberg examined the Federal Reserve Bank of Philadelphia’s manufacturing business outlook since 1968 and concluded that the U.S. seems to be headed towards a “crash landing.” Many people believe that the Federal Reserve will cut interest rates very soon, including Gundlach. However, Fed Chair Jerome Powell said that rate cuts are not in the Fed’s base case, emphasizing that inflation is still too high. Meanwhile, economist and gold bug Peter Schiff has warned that inflation is about to get a lot worse and Americans’ cost of living will go way up. Do you agree with billionaire Barry Sternlicht? Let us know in the comments section below. View the full article

Billionaire Bill Ackman has warned that the U.S. economy is “heading for a train wreck” if the government allows the current banking crisis to continue. “Trust and confidence are earned over many years, but can be wiped out in a few days,” he said. “Hopefully, our regulators will get this right.” Bill Ackman’s Warning Billionaire Bill Ackman, CEO and portfolio manager of Pershing Square Capital Management, has warned of an incoming train wreck. Pershing Square is a hedge fund management company with approximately $18.5 billion in assets under management. Ackman’s net worth is about $3.4 billion. Commenting on the current banking crisis following the failures of major banks, including Silicon Valley Bank and Signature Bank, Ackman tweeted Wednesday: Consider recent events impact on the long-term cost of equity capital for non-systemically important banks where you can wake up one day as a shareholder or bondholder and your investment instantly goes to zero. Systemically important banks (SIBs) are banks that are considered to be so large or complex that their failure could have a significant impact on the financial system and the wider economy. On the Financial Stability Board’s (FSB) 2022 list, there are 30 systemically important banks, including JPMorgan Chase, Bank of America, Citigroup, HSBC, and the troubled Credit Suisse. “When combined with the higher cost of debt and deposits due to rising rates, consider what the impact will be on lending rates and our economy,” Ackman continued, warning: The longer this banking crisis is allowed to continue, the greater the damage to smaller banks and their ability to access low-cost capital. Trust and confidence are earned over many years, but can be wiped out in a few days. I fear we are heading for a train wreck. Hopefully, our regulators will get this right. The billionaire believes the government should guarantee all bank deposits. On March 22, he tweeted explaining that Treasury Secretary Janet Yellen’s “reassuring comments” the previous day “led the market and depositors to believe that all deposits were now implicitly guaranteed.” He also referenced “a leak” suggesting that Yellen, the Treasury Department, and the Federal Deposit Insurance Corporation (FDIC) “were looking for a way to guarantee all deposits reassured the banking sector and depositors.” However, Yellen then “walked back yesterday’s implicit support for small banks and depositors, while making it explicit that systemwide deposit guarantees were not being considered,” Ackman’s tweet adds. “We have gone from implicit support for depositors to Secretary Yellen’s explicit statement today that no guarantee is being considered,” he further opined, noting that the Federal Reserve has raised the federal funds rate to 4.75%-5.00%. “5% is a threshold that makes bank deposits that much less attractive. I would be surprised if deposit outflows don’t accelerate effective immediately,” Ackman cautioned, elaborating: A temporary systemwide deposit guarantee is needed to stop the bleeding. The longer the uncertainty continues, the more permanent the damage is to the smaller banks, and the more difficult it will be to bring their customers back. Do you agree with Bill Ackman? Let us know in the comments section below. View the full article

The famous author of the best-selling book Rich Dad Poor Dad, Robert Kiyosaki, has warned that the Federal Reserve’s continued rate hikes will crash stocks, bonds, real estate, as well as the U.S. dollar. He expects the next crash to be the “$1 quadrillion derivatives market.” Robert Kiyosaki on Interest Rate Hikes, Market Crashes The author of Rich Dad Poor Dad, Robert Kiyosaki, reiterated his warnings of market crashes and the danger of the Federal Reserve raising interest rates 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 Thursday: Raising interest rates will crash stocks, bonds, real estate, & $ U.S. dollar. Next crash: $1 quadrillion derivatives market. $1 quadrillion is $1 thousand trillion. The Federal Reserve raised interest rates by 25 basis points (bps) on Wednesday. While a number of people expect the Fed to start cutting rates soon, Fed Chair Jerome Powell said that rate cuts are not in the Fed’s base case. This was not the first time Kiyosaki has warned about stocks, bonds, real estate, and the U.S. dollar crashing. Last week, the famous author discussed a “crash landing ahead” as bank bailouts began following the collapse of major banks, including Silicon Valley Bank and Signature Bank. He also predicted the end of the U.S. dollar, calling the USD “fake money.” The renowned author also recently predicted that the world economy is on the verge of collapse, expecting bank runs, frozen savings, and bail-ins. In February, he said that everything will crash. Earlier this year, he said we are in a global recession, warning of soaring bankruptcies, unemployment, and homelessness. What do you think about Rich Dad Poor Dad author Robert Kiyosaki’s crash warnings? Let us know in the comments section below. View the full article

Switzerland’s troubled Credit Suisse and its rescuer, USB, are subject to an investigation into whether bankers helped Russian oligarchs evade Western sanctions, according to a media report. Some major U.S. banking institutions are also under scrutiny within the probe initiated by the Justice Department, sources say. Credit Suisse, US Banks Investigated for Suspected Sanctions Violations Favoring Russia’s Rich Switzerland-based global investment banks and financial services firms, Credit Suisse and UBS, are under scrutiny by the U.S. Department of Justice (DOJ), Bloomberg revealed, quoting knowledgeable sources who remained anonymous. According to the report, the department has been trying to establish if financial professionals working for these and other banks have supported sanctioned wealthy Russians in attempts to circumvent restrictions imposed by Western governments. U.S. authorities have sent out a number of subpoenas to employees of the two Swiss giants as well as some major U.S. banks, two people familiar with the inquiries told the publication. They want to identify the bankers and advisers who worked with such clients over the past several years and find out whether any laws were broken. The DOJ requested information on the matter before the recent crisis at Credit Suisse erupted. Earlier in March, its shares dropped to a record low amid loss of investor confidence. The bank borrowed $54 billion from the Swiss National Bank and UBS came to its rescue with a state-backed acquisition proposal. Russia’s invasion of Ukraine led to a massive expansion of sanctions against the government in Moscow and influential people allied with the Kremlin, including oligarchs. Before that, Credit Suisse was well-known for catering to rich Russians, the report notes. At some point, it managed over $60 billion for them that generated up to $600 million in annual revenue. When it ended its business relations with individual Russian clients in May, 2022, the bank held about $33 billion of their funds, 50% more than UBS. Which other banks do you think may be investigated for facilitating sanctions evasion for Russians? Share your thoughts on the subject in the comments section below. View the full article

Over the past week, statistics show non-fungible token (NFT) sales totaled $193.08 million, down 5.44% from the previous week. Ethereum dominated NFT sales with more than $107 million or 55% of all sales, while Solana-centric NFT sales recorded $26.3 million or 13% of sales in the same period. NFT Market Shows Signs of Slowdown With Declining Weekly Sales and Lower 30-Day Totals Non-fungible token sales, or NFT sales, fell 5.44% this week compared to last week, with $193.08 million in sales recorded across 19 different blockchains. Cryptoslam.io statistics indicate that 30-day sales are generally down, with total sales of $912.54 million, more than 29% lower than last month. The top five blockchains in terms of NFT sales this week were Ethereum ($107M), Solana ($26M), Polygon ($6M), Immutable X ($5.3M), and Cardano ($3.16M). Solana’s NFT sales increased by 37.16% this week, while Cardano’s NFT sales jumped 44.27% higher than the previous week. However, Ethereum, Polygon, and Immutable X NFT sales all saw losses compared to last week’s sales. Notable gainers in terms of blockchain NFT sales include Arbitrum’s 64.49% rise and Avalanche’s 293% increase. Palm blockchain sales increased by 370%, and Algorand NFT sales rose 58% higher than the previous week. While Ethereum dominates NFT sales with 55%, 18 other blockchains represent 45% of the remaining sales. The top five NFT collections this past week, with the most sales, were Cryptopunks, Bored Ape Yacht Club (BAYC), MG Land, Otherdeed, and HV-MTL. Following those collections, the fifth through tenth top sales were Degods, Y00ts, Sorare, Mutant Ape Yacht Club (MAYC), and Gods Unchained Cards. Cryptopunks recorded $12.55 million in sales this week, up 49.15% higher than last week. BAYC sales were approximately $10.14 million this week, up 43.52% higher, while MG Land captured $7.84 million, down 5.72% from the previous week. In terms of the highest-valued NFT sales this week, Otherdeed #2,118 was the most expensive, selling for $375,979 three days ago. Cryptopunks #6,036 sold for $365,508 two days ago, and Bored Ape Yacht Club (BAYC) #5,647 sold for $263,537 six days ago. Lastly, Cryptopunk #2,353 sold for $217,454 two days ago, and Otherdeed #99,728 sold for $205,711 three days ago. While there was close to $1 billion in sales over the past 30 days, the number of NFT buyers increased 17.36% to 1,904,731 this month. What are your thoughts on the current state of the NFT market? Do you think the recent decrease in sales is a temporary dip or a sign of a more long-term trend? Share your opinions in the comments section below. View the full article

Following the Arbitrum token airdrop, ARB has become a top 40 cryptocurrency as it currently holds the 37th largest market valuation out of more than 23,000 listed digital currencies. Currently, there is a circulating supply of 1,275,000,000 ARB, and the Arbitrum Foundation’s DAO Treasury holds 3.52 million or 35.27% of the airdropped supply. Over the past day’s trading sessions, ARB has decreased by 9.8% against the U.S. dollar. Top Ten ARB Addresses Hold 94.41% of Current Circulating Supply According to statistics recorded on Saturday, March 25, 2023, Arbitrum’s native governance token, ARB, is now the 37th largest cryptocurrency by market capitalization. The governance token for the layer two Ethereum scaling project has a larger market valuation than Optimism’s governance token, OP, which is the 66th largest by market capitalization on Saturday. ARB’s overall market valuation is $1.58 billion, and 24-hour trading statistics show a range from $1.19 to $1.39 per unit of ARB over the last day. Data from Dune Analytics indicates that 968.71 million of the 1.275 billion ARB tokens have been claimed so far, accounting for 83.4% of the claimable tokens on March 25. Currently, there are 247,700 unique ARB holders, and the top ten addresses hold 94.41% of the ARB in circulation. The Arbitrum Foundation’s DAO Treasury holds roughly 3.52 million ARB, and the second-largest address holds 2.69 million ARB. Exchanges that hold a significant amount of ARB include Bybit, Kucoin, Mexc Global, and Bitget, as all four exchanges have addresses within the top 25 largest ARB holders. Two days ago, on March 23, ARB reached both an all-time high and an all-time low on the same day. The price today is 89% lower than the recorded all-time high of $11.80 per unit and 12.9% higher than the all-time low of $1.10 per ARB. The trade volume of ARB has increased significantly over the last two days, with $1.738 billion in ARB trades settled during the last 24 hours. The top five most active cryptocurrency exchanges in terms of ARB trade volume include Binance, Bitget, Okx, Uniswap (Arbitrum version), and Gate.io. What do you think the future holds for Arbitrum’s governance token ARB? Let us know in the comments section below. View the full article

On March 23, 2023, bitcoin experienced another difficulty increase, following two previous rises in the last month, jumping 7.56% higher. Currently, bitcoin miners have not been deterred by the increases, as the network hashrate has been coasting along at 346 exahash per second (EH/s). Bitcoin Hashrate Remains High Despite Recent 7.56% Difficulty Rise As of writing, there are more than 1,700 blocks left until the next difficulty retarget on April 5, 2023. Despite the difficulty increase on March 23 at block height 782,208, the hashrate remains high, and block intervals are still faster than the 10-minute average. The April 5 change is expected to be about 6.9% higher, as block times have been between nine minutes and 21 seconds and nine minutes and 14 seconds. The increase at block height 782,208 was 7.56% higher than the difficulty over the previous two weeks. Prior to that, on Feb. 24, 2023, at block height 778,176, the difficulty rose 9.95%, and on March 10, 2023, at block height 780,192, the difficulty jumped by 1.16%. This means that over the last six weeks, bitcoin miners have dealt with three consecutive difficulty increases that amount to a total of 18.67%. Currently, the difficulty is 46.84 trillion and is only 3.16 trillion hashes away from reaching the 50 trillion mark for the first time. If the current estimated 6.9% increase comes to fruition, by April 5, 2023, the difficulty could reach 53.74 trillion. Statistics show that March bitcoin mining revenue may end up slightly lower than February’s $613 million. Incomplete monthly data shows that miners have collected $561 million since March 1. In the last three days, 488 BTC blocks were mined into existence, with Foundry USA discovering 149 of them. Foundry’s hashrate across the three-day span is around 105.71 EH/s or 30.53% of Bitcoin’s total network hashrate. Foundry is followed by Antpool (73.78 EH/s), F2pool (51.79 EH/s), Binance Pool (34.76 EH/s), and Viabtc (31.93 EH/s). Together, Foundry and Antpool command 51.84% of Bitcoin’s global hashrate. What do you think the future holds for bitcoin miners as the difficulty continues to increase? Share your thoughts in the comments section below. View the full article

The crypto asset xrp rose by as much as 5% on Saturday, following declines of a similar amount during yesterday’s session. This comes despite the global crypto market cap moving lower, falling by 0.51% at the time of writing. Litecoin was also higher to start the weekend. XRP XRP, formerly ripple, was back in the green on Saturday, as the token rebounded from Friday’s losses. Following a low of $0.418, XRP/USD raced to an intraday high of $0.4501 earlier in today’s session. The move came as bullish momentum increased at the price floor of $0.4250, after bears failed to sustain an earlier breakout. From the chart, it appears that the rebound took place as the relative strength index (RSI) moved away from its own support, at 58.00 As of writing, the index is tracking at 60.77, and seems to be heading towards a ceiling at the 63.00 mark. The 10-day (red) moving average has also extended its upward cross versus its 25-day (blue) counterpart, which could be a sign of upcoming gains. Litecoin (LTC) Litecoin (LTC), was another notable mover to start the weekend, as prices remained close to a multi-week high. LTC/USD climbed to a peak of $93.97 on Saturday, which comes less than 24 hours after a low of $89.87. As a result of this, litecoin is now trading close to a ceiling of $94.00, and a recent three-week high of $96.11. One catalyst for the rally was a recent crossover between the 10-day (red) and 25-day (blue) moving averages. In addition to this, the RSI is now tracking at 57.07, which is marginally above a resistance level of 56.00. Should bullish momentum continue to rise, there is a strong possibility that LTC will move beyond $100.00. Register your email here to get weekly price analysis updates sent to your inbox: Do you expect litecoin to move higher in the upcoming days? Let us know your thoughts in the comments. View the full article

Bitcoin was trading above $28,000 on Monday, as cryptocurrencies extended a bull run to start the week. This upwards sentiment comes as the Federal Reserve and other major central banks made coordinated moves to enhance market liquidity. Ethereum continues to trade close to $1,800. Bitcoin Bitcoin (BTC) started the week trading above $28,000, as markets responded to the deepening global banking crisis. The coordinated action by several major G7 central banks comes as Credit Suisse was bought out by rival UBS, a move engineered by Swiss authorities. BTC/USD jumped to an intraday peak of $28,527.72 earlier today, which comes a day after trading at a low of $27,196.76. Bitcoin chart by TradingView As a result of the rally, bitcoin climbed to its strongest point since last June, with many now anticipating a move above $30,000. Overall, this surge has sent prices into overbought territory, with the 14-day relative strength index (RSI) now tracking at 72.73. The next visible point of resistance appears to be at 75.00, and should this be hit, there is a strong chance BTC will be at $30,000. Ethereum On the other hand, ethereum (ETH) consolidated recent gains during Monday’s session, as prices fell below $1,800. Following a high of $1,843.84 on Sunday, ETH/USD dropped to a bottom at $1,744.86 to start the week. This drop comes as ethereum bulls appeared to be securing recent gains, days after ETH rose to its highest point since last August. Ethereum chart by TradingView Overall, some are attributing the decline to the RSI, which fell below a long-term ceiling at the 66.00 mark. At the time of writing, the index is tracking at 63.74, with a floor at 62.00 a possible target for bears. Register your email here to get weekly price analysis updates sent to your inbox: Could ethereum hit $2,000, and bitcoin hit $30,000 this month? Leave your thoughts in the comments below. View the full article

Blockchain technology can help solve current issues with settlements, according to the deputy chief executive of Sberbank. Russia’s largest bank is working with other financial institutions to develop blockchain-based payment applications, the banker revealed. Sberbank Sees Solution to Russia’s Troubles With Settlements in Blockchain With major Russian banks disconnected from the main global interbank payment system, SWIFT, due to Moscow’s war on Ukraine, blockchain will help to solve the problem with payments, Sberbank’s First Deputy CEO Alexander Vedyakhin is convinced. “It is blockchain technology that will make it possible to solve this issue because this is a distributed ledger, there is no one point of decision making, no center, no knife switch that can be shut off,” Vedyakhin explained, quoted by the Interfax news agency. “Everyone has everything recorded, there are special protocols that make it possible to do this confidentially,” the executive added during a meeting of the Budget and Financial Markets Committee of the Federation Council, the upper house of Russian parliament. Majority state-owned Sberbank, which is Russia’s largest bank by assets, is currently conducting research on the applications of blockchain technology together with other banking institutions and the Central Bank of Russia. Vedyakhin, who believes that blockchain will become even more relevant in 2023, emphasized: The next generation payment systems are blockchain. Issues With Speed and Privacy Overcome in Latest Protocols, Vedyakhin Says The banker also noted that the crypto-related technology has developed over the past few years and highlighted some of the outstanding issues that had to be resolved. These include the capacity of blockchain platforms and the confidentiality of transactions. “The first was speed. What we were seeing before did not allow us to process a large number of transactions. Now we believe this problem has been generally solved. The second was confidentiality… If we have a transaction, and another 10 million people see it, you are unlikely to want to make it. Now this problem has also been solved in the new protocols,” Alexander Vedyakhin elaborated. A number of Russian banks, including Sberbank, were targeted with sanctions imposed by the U.S. and the EU after the invasion of Ukraine in late February, 2022. The financial restrictions severely limited Russia’s access to the global financial system. Last June, the CEO of Sberbank Herman Gref said that the bank has started working on establishing an international settlements system, alternative to SWIFT, planning to complete it within a year. Russia’s manufacturing and technology conglomerate Rostec announced a blockchain-based platform with the similar purpose the same month. Legalizing crypto payments for cross-border settlements has been considered as an option, too. Do you think Russia will try to employ blockchain technology and cryptocurrencies to circumvent sanctions? Share your thoughts on the subject in the comments section below. View the full article

PRESS RELEASE. WATERPORT PLACE, GIB., March 20th, 2023 – Digital Asset Management Limited and the Damex group (“Damex” or “Damex.io”)), a Distributed Ledger Technology provider based in Gibraltar, recently announced its utility token IEO, the Damex Token ($DAMEX), which can be used within the Damex App along with other non-fungible tokens (NFTs), to earn rewards for adopting a healthier and more active lifestyle. Damex announced its token IEO for 19th April. Its utility went live and was tested during the Q1 of 2023, with future developments for both the Damex Token and the Damex App slated throughout the year. The total supply is 370 million Damex Tokens. The goal of these new offerings by Damex is to encourage users to become healthier individuals while, at the same time, educating them about cryptocurrency and promoting environmental sustainability. What can users gain in exchange for staking Damex Tokens? For instance, when a user stakes 5,000 Damex Tokens, they can get access to a VIP Premium membership, as well as enjoy zero exchange fees while using the Damex App. Premium Subscription members can enjoy benefits such as: Access to top-tier exercise challenges Get a premium member card Unlock cash-back incentives on all tiers Get early access to new Damex features During its first round of private sales (Q4 2022) for the Damex Tokens, Damex raised $3 million. During its second private sale (Q1 2023), Damex raised $1 million. The core Damex Tokens will be created on Ethereum and will then be bridged to other blockchain protocols such as Solana and BSC. Aside from being used for staking and rewards, the Damex Token will allow users to vote on key features within the Damex ecosystem and key features, including Damex Token listing and Damex App features. Damex also introduces its Buy Back and Burn Programme, where 20% of the profits will be used to purchase the Damex native tokens off the market. The tokens will either be burned or used as incentives for users. Users can earn rewards when they complete challenges, which will change every three months. Furthermore, the NFT rewards will vary monthly. For example, if a user completes the Marathon challenge with a step goal of 60,000 steps, which is equivalent to the London Marathon, they can receive standard rewards such as 0.10% cash back and 10% off exchange fees. Premium Members can receive 0.15% cash back, while VIP Premium members (5,000 Damex Tokens) can receive rewards, such as 0.2% cash back, free NFT airdrops, and zero exchange fees on the Damex platform. The Damex Token has received investment from several investors, including: CSPDAO Cetacean Capital Odin Capital Funfair Ventures Coin IX Alpha Praetorium Capital Kebblar Capital Belobaba Catenam Capital Using the Damex digital asset finance application, users can deposit cryptocurrencies, exchange crypto for fiat currencies, and pay for purchases using their Damex Visa debit cards. The Damex App was launched in its beta version on February 17, 2023, with the initial exchange offering for the Damex Token scheduled for April 19, 2023. The Damex App is currently open in the UK and EEA. About Damex.io Damex.io are a digital asset group of companies trading since 2017. Digital Asset Management Limited (trading as Damex or Damex.io) is a Distributed Ledger Technology (DLT) provider that received its Distributed Ledger Technology authorisation from the Gibraltar Financial Services Commission in 2019. The Damex Token is issued by Damex Limited and is registered with the Gibraltar Financial Services Commission for the purposes of its token offering. Visit www.damex.io to get the latest updates and official information on the Damex Token. Interested individuals can also contact Damex via its social media channels. Telegram: damex_io Facebook: damex.io. Twitter: @damex_io. LinkedIn: https://www.linkedin.com/company/damexio/. Headquarters: Damex.io, Suite 2.4 & 2.5, Waterport Place, Gibraltar, GX11 1AA Support Office hours: Monday-Friday, 9:00-18:00. 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. View the full article

A report issued by Globaldata, a global consulting and data analysis company, predicts that China will become a leading country in metaverse tech during 2023. The firm believes that the development of other technologies like artificial intelligence (AI), virtual reality (VR), augmented reality (AR), and 6G will allow China to configure itself as a metaverse hub. China to Lead Metaverse Industry in 2023 While the interest in the metaverse seems to be waning at a worldwide level, China is still pushing to become a leader in the industry. According to a recent report prepared by Globaldata, a consulting firm, China is positioning itself to surpass the West when it comes to metaverse tech, as the country will keep investing in technologies related to this field. The report states the importance that China gives to these accessory technologies will allow it to become a center for the metaverse. It states: The growing emphasis on VR, AR, AI, and 6G aims to outpace advances in the West and position China as a global hub for the metaverse. Furthermore, Globaldata believes that there are signs that indicate that China will continue to invest in virtual reality and artificial intelligence with the objective of promoting the economic development of the nation. Several Chinese provinces and cities have already presented plans to become metaverse tech hubs, including Shanghai and Zhejiang among them. Where Will the Metaverse Go? While the metaverse is commonly associated with software and hardware dedicated to the consumers, the report proposes the Chinese metaverse is likely to focus more on the industry and the benefits that it can reap from including metaverse tech in its processes. The Chinese Ministry of Industry and IT recently released a report on the application of VR and metaverse tech into industrial processes, showing how these can be mixed efficiently. Globaldata predicts the metaverse will be more appreciated than other technologies due to the possibilities it presents. On this, it explains: Chinese investments in metaverse-related technology will highlight the value of the metaverse compared to existing one-off experiences such as social media, gaming, or ecommerce. However, even with estimations that put the metaverse sector value at $376 billion by 2025, 2023 is described as a year in which investments in the metaverse will suffer a cool-down phase, product of the “cooling interest, economic obstacles, and the immaturity of enabling technologies.” What do you think about the prediction that puts China over the western world when it comes to metaverse investments? Tell us in the comment section below. View the full article

Microsoft, the software conglomerate, has introduced an Ethereum-based cryptocurrency wallet in the testing version of its Edge web browser. The new feature, which software sleuth Albacore discovered, is named “Crypto Wallet” and would allow users to store and transact Ethereum and Ethereum-based tokens in a non-custodial way, acting like a Metamask clone. Microsoft Introduces Ethereum Wallet in Its Edge Browser Cryptocurrency and Web3 projects are making inroads into mainstream software products. According to reports coming from Albacore, a software researcher, Microsoft is currently developing a native wallet that would as part of its own web browser, Edge. The new feature, called “crypto wallet,” would allow the users to transact and store Ethereum and Ethereum-based tokens in a non-custodial way. In the screenshots available, Microsoft confirms the status of the project, warning the testers about the dangers of using their funds in this wallet. It stated: As a tester, you will use your own funds. In the event of loss of funds, Microsoft will not reimburse any loss. This is a confidential project and no details should be shared externally. This confirms that the wallet is still in the early testing stages, and not ready for the use of the general public yet. More Details The new native crypto wallet, if finally released, would constitute a native competitor to Metamask, the most used Web3 wallet addon, with the particularity that it would be included natively with Edge. Bleeping Computer, a portal that had the opportunity of testing the wallet, reported it could confirm that the wallet supported different Ethereum accounts, with the user being able to switch between them as desired, and it could be used with already existing Web3 apps. Also, the wallet includes a built-in Ethereum exchange, that has support for ETH, DAI, UNI, USDC, and USDT. Strings present in the software hint at the inclusion of a Bitcoin wallet at a later date, but the functionality is still not present. Microsoft did not confirm the existence of the crypto wallet. A spokesperson of the company stated: At Microsoft, we regularly test new features to explore new experiences for our customers. We look forward to learning and collecting feedback from customers but have nothing further to share at this time. Microsoft has been very active when it comes to supporting Web3-related projects, having participated in establishing standards for the metaverse, and introducing metaverse features in its Teams app, even if its recent layoffs have affected some of these projects. What do you think about the native Ethereum wallet that is currently being tested in Microsoft Edge? Tell us in the comments section below. View the full article

The Mid-Size Bank Coalition of America has asked federal regulators to extend FDIC insurance to cover all deposits for the next two years. “Doing so will immediately halt the exodus of deposits from smaller banks, stabilize the banking sector and greatly reduce chances of more bank failures,” the group claimed. “It is imperative we restore confidence among depositors before another bank fails, avoiding panic and a further crisis.” Preventing ‘Panic and Further Crisis’ The Mid-Size Bank Coalition of America (MBCA) has reportedly asked federal regulators to extend Federal Deposit Insurance Corporation (FDIC) insurance to all deposits for the next two years. The MBCA currently represents about 110 banks, including those with assets of about $100 billion. In a letter to the FDIC, the Comptroller of the Currency (OCC), the Federal Reserve, and Treasury Secretary Janet Yellen, seen by Bloomberg News, the group explained: Doing so will immediately halt the exodus of deposits from smaller banks, stabilize the banking sector and greatly reduce chances of more bank failures. The recent failures of major banks, including Silicon Valley Bank and Signature Bank, have caused many depositors to withdraw their funds from regional banks and transfer them to the largest banks in the country, such as JPMorgan Chase and Bank of America. Customers, concerned about bank failures, are seeking safety in institutions perceived as too big to fail. “Notwithstanding the overall health and safety of the banking industry, confidence has been eroded in all but the largest banks,” the group stressed. “Confidence in our banking system as a whole must be immediately restored,” the letter continues, noting that the deposit flight would accelerate should another bank fail. Their MBCA letter emphasizes: It is imperative we restore confidence among depositors before another bank fails, avoiding panic and a further crisis. “While the cost of deposit insurance is not insignificant, the likelihood of it being needed is much, much smaller should all deposits be temporarily insured,” the coalition wrote. However, U.S. Treasury Secretary Janet Yellen said in a Senate hearing on Thursday that not all uninsured deposits will be protected in future bank failures. Meanwhile, Congressman Blaine Luetkemeyer has warned that if the government does not guarantee all bank deposits, “there’s going to be a run” on smaller banks. Do you think the FDIC should cover all deposits for the next two years? Let us know in the comments section below. View the full article