Developing economies are once again leapfrogging prior waves of technological innovation with the help of cryptocurrency. Much like the way consumers in India and Indonesia a decade ago skipped landlines for cellphones, institutions in Africa are embracing the advancements in crypto over alternatives offered by the traditional plumbing of the global financial system.
Exchange tokens and digital assets associated with proof-of-stake blockchain networks have outperformed the broader cryptocurrency market since the end of 2019, while privacy-focused digital tokens have underperformed, Goldman Sachs wrote in a new report. “As the market matures, monitoring crypto’s market segments may help determine which network features investors are rewarding, as well as the prospect for practical applications of the technologies,” Zach Pandl, Goldman’s co-head of foreign-exchange strategy, and analyst Isabella Rosenberg wrote Wednesday in the report.
India’s central bank is considering launching a digital currency, according to a top executive, giving a clear indication of its intentions for the first time after previously stating that it was studying the idea. T Rabi Sankar, the deputy governor of Reserve Bank of India, said at a conference today that the central bank is considering introducing the nation’s digital currency in a “phased” manner while legal changes are made to the South Asian nation’s foreign-exchange rules and IT laws. The digital currency, which will be backed by sovereign, will lower the economy’s reliance on cash, enable cheaper and smoother international settlements, and protect people from the volatility of privacy cryptocurrencies.
The European Central Bank (ECB) has just announced that Eurosystem has formally launched its central bank digital currency (CBDC) project to prepare “for the possible issuance of a digital euro.” Once again, the central bank used another chance to claim that its CBDC is going to be better than decentralized Bitcoin (BTC). The Governing Council of the ECB has decided today to launch the investigation phase of a digital euro project, which is set to last 24 months, said the press release.
United States investment bank Goldman Sachs is planning to offer Ether (ETH) derivatives products in the coming months, setting the stage for wider adoption of the second-largest cryptocurrency and marking a significant departure from the institution’s critical stance on digital assets in the past. Mathew McDermott, Goldman’s managing director of digital assets, confirmed Monday that the investment bank is expanding into Ether options and futures. In an interview with Bloomberg News, McDermott said institutional demand for cryptocurrencies will continue to grow despite the recent bout of market volatility
Americans got richer off bitcoin than any other country last year — pocketing $4.1 billion in profits as the price of the volatile cryptocurrency soared to $29,000 from under $10,000, according to a new analysis. The US was followed by China, which cashed out some $1.1 billion in profits in 2020, according to data published Monday by blockchain firm Chainalysis. Japan came in third with $900 million, followed by the United Kingdom with $800 million and Russia with $600 million. The figures only cover realized gains, meaning that profits still held in cryptocurrencies or in exchange accounts are not included.
Deutsche Bank, Germany’s largest lender, says the U.S. might be headed for one of its worst inflationary periods in history, arguing that elevated government spending and loose monetary policy could combine to create conditions similar to prior episodes in the 1940s and 1970s. Adding to the pressures are some $2 trillion of “excess savings” that consumers have amassed over the past year, when many businesses were closed and travel mostly shut down, according to the report published Monday.
Google is expanding the scope of its crypto-related advertisement policy, the latest development in a years-long back and forth from the tech giant. In a policy statement published Wednesday, Google said that “beginning August 3, advertisers offering Cryptocurrency Exchanges and Wallets targeting the United States may advertise those products and services when they meet the following requirements and are certified by Google.”
In a relief for the crypto community, the Reserve Bank of India (RBI) issued a clarification on Monday stating the commercial banks cannot quote its now-invalid April 2018 crypto banking ban to deny services to customers involved in digital assets dealings.
PayPal, a well-known digital payment platform, creates a new record upon surpassing $300 million worth of Bitcoin volumes. This news is based on the data provided by nomics, a platform that provides transparent crypto data. Truly, this is another news that brings joy to the Bitcoin community and its investors around the world. Furthermore, Paypal is also working on the possibility of transferring crypto from third-party crypto wallets to its platform. Along with this, Paypal is developing features such as a crypto withdrawal system and other crypto-related functions. Truly, this is a piece of news that excites the Paypal users and the crypto community.