Seeds of Wisdom RV and Economic Updates Monday Evening 10-28-24

Good Evening Dinar Recaps,

IF TOKENIZED DEPOSITS DON’T PROGRESS, BANK OF ENGLAND LIKELY TO LAUNCH CBDC

During a speech on Saturday, Andrew Bailey the Governor of the Bank of England, discussed the importance of central bank money for both wholesale and retail payments. 

He argued that the role of central bank money is particularly important for wholesale high value payments and the settlement of payment systems. Hence, the Bank wants to enable digital innovation in the wholesale sector.

In July the Bank published a discussion paper on wholesale money, highlighting likely trials for both wholesale CBDC and an RTGS synchronization solution.

However, for retail payments, Governor Bailey thinks the Bank of England should be indifferent to whether payments use central bank money such as a retail CBDC or commercial bank money.

He’s quite keen to maintain the status quo in that most retail payments are in commercial bank money. Doing so doesn’t interfere with fractional reserve banking and the availability of credit in the economy. Regarding digital innovation such as tokenized deposits, he thinks commercial banks are where this should happen.

However, he added, “If for some reason innovation is unlikely to happen, then the central banks have to decide whether they are the only game in town. For me, this justifies why we must continue to prepare for retail CBDC. We have not yet seen enough evidence that the innovation will happen in commercial banks.”

Governor Bailey noted that on occasion, infrastructures and technologies have failed to incentivize innovation. Sometimes that relates to the concentration of market power. Hence the ongoing exploration of CBDC. “That is not my preferred outcome, but not one that we should rule out.”

Tokenized deposits trials
Meanwhile, the UK banking sector has been exploring tokenized deposits as part of the Regulated Liability Network. In September it said the next step was to engage with regulators.

The speech comes across as a ‘giddy up’, and is not the first time the Bank has made such comments. In April Deputy Governor Sarah Breeden outlined a potential scenario where bank innovation is slow, unsuccessful or fragmented.

Fragmentation has been a feature of digital securities, but for tokenized deposits, slightly less so. Some banks purely support tokenized deposits for their own clients. But there are many multi-bank projects.

Ledger Insights Research mapped more than 70 tokenized deposit, stablecoin and other DLT payment initiatives. At least 18 are multi-bank, without counting cross border payment initiatives.

@ Newshounds News™

Source:  Ledger Insights

~~~~~~~~~

HBAR ADOPTION EXPANDS AS DUBAI LAUNCHES DIGITAL WILL SOLUTION ON HEDERA

▪️Unlike traditional wills that manage physical assets, the DIFC Courts have chosen Hedera for its reliability, security, speed, and trust, ensuring a transparent process.

▪️This initiative underscores Dubai’s strategic approach to establishing a sustainable digital asset infrastructure and regulatory framework.

The Dubai International Financial Centre (DIFC) announced its integration of Hedera’s Hashgraph technology which will power a new Digital Asset Will inheritance solution.

This initiative is distinct from the traditional FinTech focuses like tokenized assets and payments.

Thus, it marks a unique application of distributed ledger technology (DLT) in estate planning, especially for digital asset inheritance.

Managing digital assets in inheritance is a new challenge, unlike conventional wills that distribute stocks, cash, and gold. As a result, the DIFC Courts have chosen Hedera’s technology for its reliability, security, speed, and, most importantly, trust.

 Moreover, the governing council of Hedera provides the DIFC and beneficiaries a complete peace of mind via a trusted, transparent process.

Some of the key features of Hedera like the Hedera Consensus Service (HCS), have played a crucial role in offering audit trails at every step along with accuracy. This helps to ensure the correct management of inheritances. For example, HCS’s real-time audit logs prevent mistakes in transferring assets, safeguarding beneficiaries from potential delays or errors.

The DIFC’s move highlights Dubai’s forward-thinking strategy in building sustainable digital asset infrastructure and regulation, setting a standard for digital asset planning. This collaboration is a win for both Hedera as a DLT leader and Dubai’s vision for long-term, responsible digital asset growth.

Key Developments in the Hedera Ecosystem
The Hedera ecosystem is currently seeing strong growth as several industry players are willing to transition to blockchain tech and prefer Hedera for its transparent governance and trust.

Earlier this month, investment firm Canary Capital announced the launch of the first HBAR Trust in the United States, reported CNF. This fueled further speculation around the potential introduction of a Hedera-focused Exchange-Traded Fund (ETF).

The Canary HBAR Trust will provide safe access for investors to cryptocurrency HBAR while opening the gates for institutional participation in the crypto.

 Steven McClurg, CEO of Canary Capital, highlighted that the HBAR Trust is designed to provide U.S. institutional investors with new opportunities to tap into the growing demand for crypto-related products.

On the other hand, Prove AI recently launched its artificial intelligence product on the Hedera blockchain allowing businesses to securely manage their AI training data while ensuring compliance by using Hedera’s secure and scalable infrastructure. 

Furthermore, Hedera will also provide governance solutions for businesses interacting with AI regulations and development, reported CNF.

In other news, Karate Combat, the world’s premier professional strike league, has announced the upcoming launch of its Layer-2 platform on the Hedera blockchain.

Named “UP,” this Layer-2 blockchain and crypto-native software licensing platform is set to go live in Q1 2025, aiming to propel Web3 adoption across esports, sports, and entertainment sectors, reported CNF.

@ Newshounds News™

Source:  Crypto News Flash

~~~~~~~~~

The President of China says:

“At present, the world is going through changes unseen in a hundred years, the international situation is intertwined with chaos.”

The big word here…

Change.

Read: https://x.com/goldtelegraph_/status/1848901796821168254?s=46

 @ Newshounds News™

Source:   Gold Telegraph  

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Monday Afternoon 10-28-24

Good Afternoon Dinar Recaps,

IOTA NEARS MAINNET SMART CONTRACTS RELEASE, PAVING PATH FOR POTENTIAL ATH IN 2024

▪️IOTA is set to launch smart contracts on its Layer 1 network this year, with the transition from testnet to the mainnet expected to be swift.

▪️This would enable the L1 network to anchor decentralized applications and support tokenization, which founder Dominik Schiener says is the network’s key target market.

IOTA has been working towards being an all-encompassing network that can anchor decentralized applications, NFTs, tokenization, decentralized exchanges, and every other blockchain application. While most of these developments have been on the Shimmer staging network, the IOTA Layer 1 could catch up before the end of the year, starting with the debut of smart contracts.

According to discussions from the IOTA’s developers forum, the smart contracts could launch later this year. As noted by one community member on X, they would initially launch in a testnet environment but quickly transition to the main network.

Known as IOTA Academy, he noted:

If this is true and major RWA (real-worl assets) liquidity starts flowing in, we might easily approach IOTA‘s ATH next year.

According to the quoted forum conversation, IOTA developers have been working in private repos on big tech upgrades, but they are bound by non-disclosure agreements against speaking out about these developments.

It also claims that the smart contracts upgrade might include the introduction of MoveVM, a virtual machine designed to run smart contracts written in the Move programming language.

MoveVM enhances flexibility and security while also promoting speed through parallel transaction processing; it has been credited with allowing Web3 apps on networks like Aptos to process up to 150,000 transactions per second.

Earlier this year, IOTA announced the integration of Supra Oracles for IOTA EVM to enhance the data accuracy of its smart contracts.

IOTA Prepares for a Revolution
This year, IOTA has made significant advancements. While every development has been important to the growth of the ecosystem, none has been as significant as the launch of IOTA 2.0. It launched in May this year on a testnet and signals the network’s most radical development in years.

The testnet allows the entire ecosystem of developers, users, and the Foundation to experiment with the new decentralized framework. It comes with features such as feeless transactions and permissionless voting.

IOTA has already been recognized as the best infrastructure for the Internet of Things ecosystem, with Tangle being singled out as the best implementation of decentralized ledger technology for the rapidly growing sector by a recent study.

As we reported recently, a separate study showed that smart contracts on IOTA 2.0 can enhance and secure software-defined networking (SDN), which makes networks more flexible by separating the components of a data network.

IOTA trades at $0.1097 at press time, dipping 2% in the past day despite a 24% rise in the trading volume and a broader uptick in the overall market cap.

@ Newshounds News™

Source:  Crypto News Flash

~~~~~~~~~

XRP LAWSUIT: LEGAL EXPERT SAYS THE SEC IS ‘NOT DELAYING’ THE RIPPLE APPEAL TO 2025

Ripple’s legal battle with the U.S. Securities and Exchange Commission (SEC) continues, with the SEC requesting yet another extension for its main brief submission, now pushing the deadline to January 2025. According to legal analyst Fred Rispoli, this request hints at more than just logistical issues; it shows that the SEC is struggling with its resources in handling cryptocurrency cases, adding to an already packed agenda.

During his appearance on the “Good Morning Crypto Show,” Rispoli said that Ripple’s appeal will focus exclusively on written submissions, characterizing the situation as a “battle of briefs” rather than live courtroom confrontations. Oral arguments are expected to take place in late 2025, providing both parties an opportunity to strengthen their positions.

However, former SEC attorney Marc Fagel countered Rispoli’s assessment, asserting that the SEC merely selected a date to file its briefs within the established timeline and that there are no delays occurring.

Taking to his X handle, Rispoli wrote,

“False. The SEC simply picked a day to file their briefs within the allocated time period. Nothing is being delayed.”

Gary Gensler, New Laws and More
On the show, Fred also discussed how a new law could affect Ripple. If a law were passed stating it would start on January 1, 2026, it might make the current legal arguments irrelevant, as long as it clearly includes Ripple. If the law is unclear about Ripple’s status, the appellate court might send the case back to the trial court for more clarification.

Fred said that new SEC leadership could greatly impact Ripple’s lawsuit.  Regarding Gary Gensler, the current SEC chairman, Fred predicted there’s a “0% chance” he’ll still be in that role by 2026.

@ Newshounds News™

Source:  CoinPedia

~~~~~~~~~

🌱ZIMBABWE DITCHES U.S. DOLLAR FOR GOLD-BACKED CURRENCY. WHAT DOES IT MEAN?   |  Youtube

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Monday Morning 10-28-24

Good Morning Dinar Recaps,

BIS PROJECT DEMONSTRATES AUTOMATED CROSS-BORDER TRANSACTION COMPLIANCE',.

Project Mandala uses zero-knowledge proofs to complete compliance checks across different jurisdictions.

The Bank for International Settlements (BIS) and its central bank partners have shown through Project Mandala that regulatory compliance can be embedded into cross-border transaction protocols.

The project is a collaboration involving central banks worldwide, including the BIS Innovation Hub Singapore Centre, the Reserve Bank of Australia, the Bank of Korea, Bank Negara Malaysia and the Monetary Authority of Singapore (MAS).

On Oct. 28, the BIS updated its page for Project Mandala, highlighting that the project has reached its proof-of-concept stage.

The project, which seeks to automate compliance for cross-border transactions, is one of the BIS’ key projects for 2024. On Jan. 23, the BIS included Project Mandala in its work program.

The project also aligns with the G20 priority actions for enhancing cross-border payments.

Automated compliance checks in cross-border transactions
In an explainer video, the BIS detailed that, during the proof-of-concept phase of Project Mandala, all participant institutions, including commercial banks, central banks and other regulated financial entities, will operate a Mandala node within their systems.

Participants will interact through a peer-to-peer messaging system, which will help them obtain relevant policies applicable to transactions. The system will then transmit the necessary data to generate proof of compliance and manage any other information needed for automated compliance checks.

Within the Mandala system, rules across jurisdictions are stored in a repository and distributed across relevant parties. The data is applied against consumer transaction data to ensure that cross-border transactions are compliant.

How Project Mandala would streamline cross-border transactions. Source: BIS

The system implements zero-knowledge proofs to complete transaction compliance checks privately. ZK-proofs allow a prover to convince a verifier that a particular claim is true without revealing the details of the claims.

BIS “optimistic” about early results
In an announcement, Maha El Dimachki, head of the BIS Innovation Hub Singapore Centre, said that the central bank is optimistic about the potential of Project Mandala’s early results to enhance cross-border payments.

The official said that Mandala is “pioneering the compliance-by-design approach to improve cross-border payments without compromising privacy or the integrity of regulatory checks.”

@ Newshounds News™

Source:  CoinTelegraph

~~~~~~~~~

HONG KONG PARTNERS CENTRAL BANKS OF BRAZIL, THAILAND FOR TOKENIZATION. TO OFFER DIGITAL BOND GRANTS

Today the Hong Kong Monetary Authority (HKMA) announced collaborations with the central banks of Brazil and Thailand for cross border tokenization transactions, including atomic settlement of digital asset transactions (delivery versus payment / DvP) and wholesale CBDC (payment versus payment / PvP). Additionally, the HKMA plans to provide grants of up to HK$2.5 million for digital bond issuances to promote Hong Kong as a tokenization venue.

Hong Kong has previously issued two tokenized government green bond issuances, one tokenized (so the primary issuance was conventional) the other natively digital. The second one was worth more than US$750 million across multiple currencies and was the largest digital bond at the time. It has since been eclipsed by two KfW issuances.

As part of Hong Kong’s push to promote the digital asset ecosystem, it soon plans to publish guidelines for a new Digital Bond Grant Scheme that will offer a maximum grant of HK2.5 million for each eligible issuance.

Cross border collaborations
Given Brazil’s hugely successful launch of its Pix real time payment system, many are eagerly watching the progress of DREX, the Banco Central do Brasil’s wholesale CBDC and tokenization project. DREX recently announced the 13 themes to be trialed and re-opened applications for participants.

Now DREX and Hong Kong’s Project Ensemble tokenization project will trial cross border transactions, including for trade finance and carbon credits.

Previously, Hong Kong conducted a trial with the Banque de France.

HKMA unveiled a similar collaboration with the Bank of Thailand, with whom it previously partnered for CBDC in Project Inthanon-LionRock. That initiative expanded to mBridge, the cross border CBDC project that has reached the minimum viable project stage.

The Thai collaboration will involve Thailand’s Project San, an internal experiment that is testing a tokenization ecosystem. This includes wholesale settlement, Ethereum-compatible ledgers for tokenized deposits and digital assets, plus an interoperability mechanism.

HKMA emphasized the interoperability work, specifically how to enable the interoperability of separate distributed financial market infrastructures (dFMIs).

For the interoperability aspect, the HKMA is also a new associate member of the Linux Foundation (LF) Decentralized Trust (an evolution of Hyperledger), joining seven other central bank members that are collaborating on the technical requirements for central bank digital currencies (CBDC).

Project Ensemble Sandbox update
Additionally, the HKMA provided an update on its Project Ensemble Sandbox for wholesale CBDC, tokenized deposits and tokenization. It previously outlined some of the planned use cases, and today disclosed which ones have completed. JP Morgan has joined the sandbox alongside two technology firms, R3 and Tencent affiliate, WeBank Technology Services.

It added a new use case for tokenized or digital funds involving China Construction Bank (Asia), Fubon Bank (Hong Kong), JETCO and OSL Digital Securities.

These announcements were part of the Hong Kong Fintech Week. This morning, keynotes by the Treasury, Securities and Futures Commission and HKMA involved sharing other updates on stablecoins and cryptocurrency.

@ Newshounds News™

Source:  Ledger Insights

~~~~~~~~~

🌱WHAT ARE BONDS? WHY WE WATCH ISAAC. WHAT IS ISAAC'S WORD WHEN HE IS COMPLETE?  |  Youtube

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Sunday Afternoon 10-27-24

Good Afternoon Dinar Recaps,

INDO-PACIFIC NATIONS OUTPACING THE US IN CRYPTO REGULATION, SEC COMMISSIONER SAYS

A U.S. Securities and Exchange Commission (SEC) commissioner has urged the U.S. to adopt a more proactive approach to crypto regulation, pointing to the leadership of Indo-Pacific nations like Japan, Singapore, and Hong Kong. He emphasized that these countries have crafted clear frameworks that foster innovation while protecting investors, in contrast to the U.S., where unclear guidelines leave market participants struggling with uncertainty.

SEC Commissioner Urges US to Learn from Indo-Pacific’s Crypto Leadership
U.S. Securities and Exchange Commission (SEC) Commissioner Mark T. Uyeda compared the U.S. SEC’s regulatory approach to those of other countries, especially in the Indo-Pacific, regarding crypto and fintech, at the AIMA APAC Annual Forum in Hong Kong on Wednesday.

He stressed that while the U.S. continues to grapple with unclear regulatory frameworks for digital assets, countries like Japan, Singapore, Hong Kong, and Australia have taken a leadership role in fostering innovation while protecting investors.

Uyeda praised the regulatory advancements in the Indo-Pacific, stating: “I believe there is much to learn from market regulators in the Indo-Pacific region on how to promote these values and objectives.”

The SEC commissioner highlighted how countries in the region have crafted forward-looking regulations that balance the need for innovation with investor protection.

For instance, Hong Kong has introduced a stablecoin licensing regime, Singapore has committed $150 million to promote fintech, Japan has issued guidelines for crypto exchange supervision, and Australia has its own regulatory sandbox.

Uyeda said:

My impression is that Hong Kong, Singapore, Japan, and Australia, among others, have shown leadership in how to facilitate crypto and fintech capital formation and innovation while promoting investor protection.

The U.S. regulator emphasized that many companies have been forced to navigate these uncertainties on their own. “My view is that the SEC could do much more in addressing the key gating question of whether a crypto asset is a security.

Market participants have been forced to struggle with this analysis and decipher SEC views from various settled enforcement actions and litigation in the courts,” he detailed. 

“One concern expressed by market participants has been that the SEC has not provided sufficient guidance on key issues, such as when does a particular crypto offering need to be regulated as a security offering.”

In comparison, the SEC’s approach has been less clear, leaving market participants uncertain about key regulatory issues, Uyeda pointed out, adding:

By comparison to the Indo-Pacific region, the SEC’s current regulatory approach to crypto and related technology is less advanced.

Uyeda urged the SEC to learn from the Indo-Pacific’s proactive stance and become more transparent and engaged with the crypto industry. He pointed to fintech events and regulatory sandboxes used by regulators in the region as examples of how to support innovation. 

In contrast, the U.S. lacks a specific registration form for crypto, making the regulatory process difficult for issuers. 

Uyeda warned that the U.S. must not “bury our heads in the sand about the growing benefits and risks of crypto and financial technology,” calling for the SEC to take a more active role in addressing these challenges.

@ Newshounds News™

Source:  Bitcoin News

~~~~~~~~~

WILL JAPAN LAUNCH BITCOIN AND ETHEREUM CRYPTO ETFS? KEY INDUSTRY GROUP PUSHES FOR APPROVAL

In a recent move to boost the growth of crypto investment products in Japan, a coalition of Japanese companies has recommended that any upcoming exchange-traded funds (ETFs) in the region should focus on Bitcoin (BTC) and Ethereum (ETH).

This recommendation comes as Japan debates whether to follow the US and other nations that have already approved crypto-backed ETFs.

The Push For Crypto ETF Approval
It is no more news that the recent introduction of crypto ETFs in the US and other major countries such as Hong Kong is viewed as a milestone for the digital asset industry, following years of regulatory resistance.

Despite the embrace crypto ETFs have received from these countries, Japan, on the other hand, has been so far cautious on this front, with officials from the Financial Services Agency (FSA) previously expressing reservations about the advantages of these ETFs.

However, as of October 25, a certain group, which includes prominent financial institutions appears to be pushing and urging the country’s regulator to prioritize Bitcoin and Ethereum ETFs due to their “market value and long-term performance” which make them “well-suited” for asset-building over medium to long-term horizons.

Particularly, the group’s proposal highlights the perceived reliability of Bitcoin and Ethereum, pointing out their track records, and significant market caps, which are key players in the overall digital currency market.

As Japan explores a potential shift in its stance on crypto ETFs, this coalition seems to ensure that the focus remains on well-established assets such as Bitcoin and Ethereum.

In addition to recommending that Bitcoin and Ethereum be prioritized in potential ETF offerings, the coalition also advised that Japan reconsider its tax policies on crypto income.

Japan’s tax rate on crypto gains can reach as high as 55%, which many argue is a deterrent to individual and institutional investors.

The group suggested that a separation of tax on income earned from cryptocurrencies could help make Japan a more “competitive” destination for digital currency investment.

Notably, members of this coalition include key players in Japan’s financial landscape, such as Mitsubishi UFJ Trust and Banking Corp., Sumitomo Mitsui Trust Bank Ltd., crypto exchange bitFlyer Inc., and brokerage firms like Nomura Securities Co. and SBI Securities Co.

These institutions with vast industry experience have collectively expressed their concerns and recommendations as a consensus rather than individual opinions.

The coalition’s insights come when Japan’s digital currency regulatory environment is under close examination, and the FSA has confirmed its intent to review its regulatory policies. However, this review is expected to take time and its outcome remains uncertain.

@ Newshounds News™

Source:  Bitcoinist

~~~~~~~~~

RUSSIA PUBLISHES NEW CRYPTO LAW EXPANDING STATE CONTROL OVER DIGITAL ASSETS

Russia’s new crypto law amplifies state control, enabling regional restrictions, tighter infrastructure regulations, and enhanced transaction monitoring.

State Authority Over Digital Currency Grows as Russia Publishes New Law
The Russian government released a document on Friday detailing a law signed by President Vladimir Putin that broadens the scope of digital currency regulations. 

This new law significantly extends government oversight of cryptocurrency mining activities and related infrastructure across the nation.

Taking effect on Nov. 1, the legislation includes several amendments designed to strengthen oversight and impose limitations on crypto mining activities based on regional needs. 

The law enables the Russian government to implement mining restrictions by location and define specific procedures and circumstances for banning mining operations. 

A notable provision in the law gives the government the power to stop digital currency mining pools from functioning in certain areas.

Additionally, the government now has the authority to regulate infrastructure providers supporting mining operations.

This legislation also grants multiple federal agencies, beyond the Federal Financial Monitoring Service (Rosfinmonitoring), access to digital currency identifier addresses. This expansion includes federal executive agencies and law enforcement, bolstering their capability to track transactions that may be linked to money laundering or terrorist financing activities.

Moreover, the amendments transfer responsibility for the national mining register from the Ministry of Digital Development to the Federal Tax Service, which will now oversee mining registrations for businesses and remove those with repeated infractions.

 While individual miners can continue without registering if they adhere to specific electricity consumption limits, companies and individual entrepreneurs must comply with new registration requirements.

In its approach to digital currencies, Russia is advancing crypto regulations and developing a state-backed digital currency, the digital ruble. The country has legalized crypto mining and permitted cryptocurrency use in international trade, aiming to bypass sanctions and reduce reliance on the U.S. dollar in foreign exchanges. 

Putin signed legislation in August allowing experimental frameworks for cryptocurrency use in international transactions. 

This law enables legal adjustments for cross-border crypto transactions, placing oversight of pilot projects with the Bank of Russia and requiring approval from the Finance Ministry, Federal Security Service, and Rosfinmonitoring.

@ Newshounds News™

Source:   Bitcoin News 

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Sunday Morning 10-27-24

Good Morning Dinar Recaps,

BLOCKCHAIN LIFE 2024 GATHERED THE LEADERS OF THE CRYPTO COMMUNITY FROM 120 COUNTRIES IN DUBAI

Dubai, UAE, October 26th, 2024, Chainwire

The 13th edition of the Blockchain Life Forum, the premier gathering for cryptocurrency leaders worldwide, recently concluded with an astounding attendance of over 12119 participants.

The forum showcased over 200 esteemed speakers, featuring industry pioneers and executives from top companies, including OKX, CoinMarketCap, Bitmain, Bybit, Binance, Animoca Brands, Circle, BingX, ICP, Kraken, TON, Sandbox, Polygon, Litecoin, Sui, BNB Chain, Cardano, DYDX, VeChain, Osmosis, Chiliz, Algorand, Ether Fi, Manta, Mantle, Delysium, and many more.

The exhibition of crypto companies featured 125 amazingly beautiful booths. Major players such as OKX, Bitmain, BingX, KuCoin, Bitget, Listing.Help, and Uminers offered attendees an exclusive glimpse into the latest technologies and innovations shaping the crypto landscape.

As a spectacular finale to the forum, participants enjoyed the Legendary AfterParty at one of the world’s premier clubs, SKY2.0. 

This informal networking event provided a platform for top industry figures to connect, complemented by a dazzling live performance from internationally celebrated artist French Montana, who thrilled over 1,200 attendees with his chart-topping hits.

@ Newshounds News™

Source:  Crypto News Flash

~~~~~~~~~

NETHERLANDS PROPOSES CRYPTO TAX COMPLIANCE TO ALIGN WITH EU STANDARDS

Aligning themselves with the tax reporting rule on digital currency enacted by the European Union (EU), the Netherlands revealed its intention to apply tax monitoring rules on crypto. 

The Dutch government, an EU member, is obliged to accept and apply the new reporting requirement, a structure meant to assist EU member states in controlling digital currencies.

New Reporting Policy
The Dutch Ministry of Finance announced that the government seeks to pass a new policy that will ensure that activities related to cryptocurrencies will be reported and subjected to tax.

According to tax authorities, under the proposed legislation, the government will require crypto service providers to gather and share their users’ data with the Dutch taxation agency starting January 2026.

The Dutch Taxation and Tax Authorities noted, however, that digital currency owners are already required to submit a tax return on their balance and that the measure would not effect them.

Citing that the suggested step will improve cooperation among EU members by exchanging crypto data and transactions, State Secretary for taxes and Tax Authorities Folkert Idsinga clarified that the bill is viewed as an important initiative made by the Dutch government on crypto taxes.

“This will combat tax avoidance and evasion, and European governments will no longer miss out on tax revenues,” Idsinga said.

Under the new rule, digital asset service providers should submit the user data of individuals who are residents of EU member nations. They must submit the data to the Dutch tax administrator, which can be shared by the tax agency with other tax authorities across the regional bloc.

Public Feedback
The Dutch government said that it wants to know the opinion of the public on the proposed tax monitoring law. There will be a consultation period that will run until November 21 wherein the people are encouraged to give their concerns and reactions to the new policy.

The feedback gathered during the consultation will be used to draft the final version of the legislation. Tax authorities aim to submit the proposed measure to the country’s House of Representatives next year.

EU Crypto Tax Reporting
In October 2023, the EU introduced DAC8, a crypto taxation rule that requires all crypto service providers across the EU to provide their respective tax authorities with their users’ data.

The Dutch government said that DAC8 allows data exchange between tax authorities within the EU, limiting the administrative burden for crypto service providers because they only need to communicate with the proper authorities in the country they are registered.

“Without this DAC8 directive, providers could be asked for information by any member state,” Dutch tax authorities explained.

@ Newshounds News™

Source:  Bitcoinist

~~~~~~~~~

🌱SWIFT & MBRIDGE: THE FUTURE OF CROSS-BORDER PAYMENTS?  |  Youtube

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Saturday Afternoon 10-26-24

Good Afternoon Dinar Recaps,

FED RATE CUT TO HAPPEN 2 DAYS AFTER US ELECTION, POSSIBLE MARKET IMPACT?

▪️The US Fed rate cut is imminent in November with 0.25% cut in view

▪️FOMC policy meeting will hold on Nov 7, two days after coming US election

▪️Bitcoin might benefit from this potential market rattling ahead

Beyond Bitcoin trend, one of the most important conversations on Wall Street now is the potential Fed rate cut in November. With the US economic data coming in below expectations, there is a higher level of certainty of a rate cut next month. The timing, however, has created a new conversation on what this might mean for the broader market.

US Fed Rate Cut: What Is With the Timing?
In September, the Federal Open Market Committee (FOMC) slashed interest rate by 50 basis points. This pivot comes after about 4 years of aggressive monetary policies. At the time, Federal Reserve officials including Chairman Jerome Powell revealed that more cuts are likely, depending on economic outlook.

Recent economic data shows a need for more cuts. Although the latest US PPI inflation data comes in hotter than expected, jobless claims remain a concern to tackle. With the outlook, many projected a 25 basis point Fed rate cut for November and possibly December.

A recent Beige Book report from the apex bank confirmed the need for further cuts, leaving the question of the timeline. Per a report from MarketWatch, the Fed officials are silently preparing for the November policy meeting on the 7th. This is 2 days after the US Presidential election between Donald Trump and Kamala Harris.

It remains unclear what the market impact will be as the elections might not have produced a winner by then. This is bound to leave the market investors highly cautious based on the broader uncertainty on what to expect. However, more clarity on what to expect with the release of PCE Inflation and the October job report next week.

What is in it for Bitcoin?
US Fed rate cut events are historically bullish for Bitcoin (BTC) and the broader crypto market. Branded as a hedge against inflation, Bitcoin might gain more attraction from investors over time.

This thesis stems from the likelihood of the US Dollar losing its purchasing power with excess capital flow amid the Fed rate cut push. This is already playing out as many firms are already exploring keeping funds in digital currencies as a hedge.

In a major twist, Microsoft shareholders will vote in the coming weeks about investing in Bitcoin. Following this revelation, top proponents like Michael Saylor has offered to help Microsoft make trillions through BTC if the leadership is open to talk.

@ Newshounds News™

Source:  CoinGape

~~~~~~~~~

CARDANO FOUNDER REVEALS EPIC BITCOIN PLAN: DETAILS

Cardano founder Charles Hoskinson has teased an ambitious plan to enhance Bitcoin’s ecosystem by relaunching the Bitcoin Education Project in 2025 and introducing advanced resources for Bitcoin developers.

Hoskinson started The Bitcoin Education Project in 2013, providing free, peer-reviewed content on Bitcoin and the digital asset environment.  Now, as he noted in a tweet, with Bitcoin “back in the family,” he intends to relaunch the Bitcoin Education Project in 2025 as well as develop a new edition of his course in the educational program.

The new edition, according to Hoskinson, will not only update previous content but will also include resources specifically for developers looking to build applications on the Bitcoin network.

In a push to expand the programming toolkit available for Bitcoin developers, Aiken education — a modern programming language and toolkit for developing smart contracts on the Cardano blockchain — will be prepared for Bitcoin developers, including hosting on Maestro and using the hyperledger GitHub.

@ Newshounds News™

Source:  U Today

~~~~~~~~~

🌱 THE CONSTITUTION CALL WITH SILVER 57 JIM. LOWTIDE, R JAX AND MASON GREAT INFO - DID YOU KNOW?  |  Youtube

 Replay of the Constitution Live Call from last night October 25, 2024 with guest speaker Mason.

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Saturday Morning 10-26-24

Good Morning Dinar Recaps,

CROSS BORDER PAYMENTS: CITI SPOTLIGHTS DLT. FSB REPORTS ON G20 PROGRESS

During the past week Citi and the Financial Stability Board (FSB) have published separate reports on cross border payments. 

Both papers explore G20 targets for improving cross border payments. Unfortunately, 2024 speed figures were worse than 2023 for wholesale, retail and remittance payments, largely reflecting more accurate data.

Citi’s report highlights that fintechs expect to gain 10% in market share from banks in the next two to five years. Its survey shows that DLT is one tool to address the pain points, but more in the medium term.

G20 cross border payment speed bumps
The G20’s targets for 2027 are multifaceted, including improving speed, cost, transparency and access. After improvements last year, the speed statistics have gone backwards in 2024. For wholesale payments, this has more to do with some calculation changes by Swift. The others seem to boil down to more accurate data in 2024.

For example, 99.6% of North American B2P payments settled in one day in 2023, but the figure collapsed to 46.3% in 2024. Similarly, in South Asia, the one day figure went from close to 100% in 2023 to just over 20% in 2024. The explanation for the American figure was that far more payment providers shared speed data compared to 2023. However, the data reported comes from less than a quarter of payment providers. That could mean as more providers share data, the statistics might get worse.

Given stablecoins are becoming more user friendly, we’d observe that retail figures like those in the table could drive greater adoption of stablecoins, unless banks and payment service providers move faster.

The role of blockchain and tokenization
Numerous blockchain initiatives are in progress to address some of the challenges highlighted by the FSB report. Examples include the BIS Project Agorá with seven central banks and 40 institutions which aims to re-engineer correspondent banking using tokenization. 

In Asia, mBridge involves five central banks and is already at the minimum viable product stage. It links to banks, but aims to remove the need for correspondent banks.

In the private sector there’s Partior, a joint venture involving DBS, JP Morgan, Standard Chartered and Temasek with similar goals to Agorá. Plus there’s the Regulated Liability Network, which was originally conceived by Citi. Several more of these solutions are explored in our report on tokenized deposits and bank stablecoins.

Citi aims to make a direct contribution on the wholesale front with the launch of its Citi Token Services. However, the solution is not particularly promoted in the report, which briefly covers stablecoins, tokenized deposits and CBDCs.

The authors state, “We believe, efficiency features such as always on operability, atomic settlement and programmability could be embedded into tokenized forms of money to address pain-points of cross-border payments.”

However, it acknowledges that because today’s infrastructure works at scale, building new rails is not a priority and is also disruptive. It requires ‘deep commitment’ from institutions to lean into something like tokenization. However, future requirements will require substantial changes.

DLT can help liquidity demands
One of the requirements explored in the report is the liquidity demands of 24/7 payments. Before the advent of real time payments, liquidity management could be more passive. Now liquidity and credit availability need more attention to prevent failed payments.

“Blockchain or tokenization is also a key solution for liquidity management in enabling the pooling of a client’s or bank’s liquidity buffers, leading to optimized allocation of capital, reduced counterparty risk, and faster settlement times.” In fact, that’s precisely the goal of Citi Token Services for Cash which enables institutions to move money between Citi branches 24/7.

While the wholesale segment dominates cross border payments, the Citi report also highlights the growth potential in the non-wholesale segment, which could grow by almost 50% between now and 2030. However, if banks don’t move fast, a large part of that could go to fintechs, perhaps even stablecoins.

@ Newshounds News™

Source:  Ledger Insights

~~~~~~~~~

CARDANO TO LAUNCH FIRST PERMISSIONLESS LAYER 2, OUTPACING ETHEREUM

Cardano is set to unveil its first permissionless Layer 2 (L2) solution, positioning itself ahead of other blockchains like Ethereum. The announcement was made during the Cardano Summit 2024 in Argentina, where Philip DiSarro, CEO and founder of Anastasia Labs, detailed the forthcoming launch of Midgard, an optimistic rollup designed to enhance ADA’s scalability and functionality.

DiSarro highlighted the unique advancements of Midgard via X, stating, “Not a single blockchain has managed to achieve true permissionless general purpose rollups. At the end of the day, the top ‘L2s’ in the blockchain space right now are all custodial multisigs.” 

He emphasized that existing L2 solutions predominantly rely on custodial multisignature schemes, which introduce centralized elements into the otherwise decentralized blockchain environment.

Cardano Is Ahead Of Ethereum, Solana And Sui
Midgard distinguishes itself by inheriting the full security of Cardano’s Layer 1 (L1) through several innovative features. In contrast to Ethereum’s L2 like Arbitrum, Optimism and Base, Midgard operates without a centralized sequencer, challenge response proofs, multisignatures, or custodians.

 Instead, it utilizes a permissionless operator set, trustless fraud proofs, and trustless deposits and withdrawals, ensuring that the inbox and outbox mechanisms remain fully censorship-resistant.

Via X, DiSarro highlighted Cardano’s unique local state Extended Unspent Transaction Output (EUTxO) architecture. “This is all made possible by Cardano’s unique local state EUTxO architecture. UTxO contention, small block size, local state, transaction determinism— all of these ‘problems’ may have led you to question why these design choices were made. Midgard aims to show you that these are actually not problems at all.”

The founder Anastasia Labs also further argued: “In fact, quite the opposite; they are extremely powerful properties that, together, provide unique value that simply does not exist in any other ecosystem. These are, in actuality, the core pillars that make Midgard even possible in the first place,” DiSarro explained.

Midgard’s architecture purportedly leverages the inherent strengths of ADA’s design, making it unfeasible to replicate on other blockchain platforms such as Ethereum, Solana, or Sui. DiSarro asserted, “You cannot build Midgard on Ethereum, Solana or Sui. It is a protocol that is only possible on Cardano.”

The impending launch of Midgard is anticipated within the next few months, with DiSarro confidently predicting its impact: “True rollups, L2 protocols that inherit the full security of the L1, are coming in the next few months. Our optimistic rollup, Midgard, is a first of its kind permissionless rollup.”
The announcement garnered attention from within the ADA community and beyond. Danogo, operating the first decentralized exchange (DEX) trading Optim Bond tokens on Cardano, referenced DiSarro’s presentation on the Cardano Summit: 

“Only on Cardano you can have a new generation of Rollup that is permissionless! There is no multi sig that controls the Layer-2 like on Ethereum! Even Vitalik recognizes that now. […] That inherits full security from L1. And Cardano will have the first L2 that is fully permissionless in a few months!!!!”

Furthermore, Charles Hoskinson, the founder of Cardano, responded to the discourse with a meme on X stating, “This guy gets it,” signaling endorsement of DiSarro’s vision and the potential of Midgard.

@ Newshounds News™

Source:  Bitcoinist

~~~~~~~~~

🌱 THE CONSTITUTION CALL WITH SILVER 57 JIM. LOWTIDE, R JAX AND MASON GREAT INFO - DID YOU KNOW?  |  Youtube

Replay of the Constitution Live Call from last night October 25, 2024 with guest speaker Mason.

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Friday Afternoon 10-25-24

Good Afternoon Dinar Recaps,

BRICS+ EXPANDS PLANS FROM DLT PAYMENTS TO DLT CLEARING AND DEPOSITARY
Following this week’s BRICS+ meetings in Kazan, Russia, the group published a 136-page statement, with a small part of it touching on payments (see below). Plans for a new cross border payment system, BRICS Bridge, have been discussed for some time. Additionally, Russia is now pushing for a BRICS-based securities system to provide clearing and a depositary, reportedly also DLT-based.

In January BRICS expanded its membership from the original five members — Brazil, Russia, India, China, and South Africa — with the addition of Iran, the UAE, Ethiopia and Egypt. While Saudi Arabia was expected to be one of the new joiners, it has not officially signed up. Instead, it is a BRICS ‘partner’.

BRICS Pay
Before the main meetings, BRICS Pay cards loaded with 500 Rubles ($5.20) were distributed to visitors at the BRICS Business Forum in Moscow. Egyptian and South African news outlets describe the cards as a symbolic promotional gesture rather than suggesting that a live system exists.

However, this is a reminder of another initiative – to interconnect domestic payment systems – which has not gained traction, according to a recent Forbes Russia report.

Discussions about a BRICS common basket currency have also faded, mainly because that’s viewed as extremely difficult. However, the BRICS+ statement referenced exploring ‘payment instruments and platforms’, which could include either a basket or more likely local currency CBDCs.

BRICS Bridge
In recent times the main focus has been on the DLT-based BRICS Bridge as a way to enable local currency transactions, potentially with CBDCs.

The use of the word Bridge is a nod to mBridge the cross border payment system co-developed by some of the BRICS members, that has reached the minimum viable product stage.

Notably, the group is in the process of open sourcing the mBridge code, which might make it easier for BRICS members to adopt. Unlike BRICS Pay, mBridge is more of a backend payment infrastructure that links to existing banking systems.

However, in the short term the aim is to use local currency settlement as part of the existing correspondent banking network. That’s emphasized in the official joint BRICS+ statement (see below).

Meanwhile, IMF managing director Kristalina Georgieva wants to know more about the plans for the payment system.

“The idea of having a payments system of a group of countries is not new,” she said, according to Reuters.

“What we need to see is more details,” she added. “What is it in this idea? How that may translate into reality? And then we will be able to assess it.”

BRICS Clear
The statement also included a paragraph on the study of a “BRICS Securities Depository and Settlement Infrastructure” which would be an alternative to Western infrastructures like the DTCC, Euroclear and Clearstream. 

This was previously floated as an idea in a Russian paper circulated before the meetings. Bloomberg reported that some view this as an initiative from Russia and Iran, while other BRICS members might have less appetite for it.

BRICS statement
Below are the relevant excerpts from the joint BRICS statement:

We reaffirm our commitment to strengthening BRICS financial cooperation. We recognize that a fast, low-cost, efficient, transparent, secure and inclusive cross-border payment system based on the principle of minimization of trade barriers and non-discriminatory access has broad benefits.

 We welcome the use of local currencies by BRICS countries and their trading partners in financial transactions.

We encourage the strengthening of the BRICS correspondent banking network and the promotion of local currency settlement under the voluntary and non-binding BRICS Cross-Border Payments Initiative, and look forward to further discussions on this under the BRICS Payments Working Group and other mechanisms.

We authorize the BRICS Finance Ministers and Central Bank Governors to continue their study on local currency cooperation, payment instruments and platforms as appropriate and to submit a report during the next BRICS Presidency.

We recognize the importance of exploring the feasibility of interconnecting the financial market infrastructure of BRICS countries, and agree to discuss and study the feasibility of establishing a “BRICS Securities Depository and Settlement Infrastructure” on a voluntary basis to supplement the existing financial market infrastructure.

In addition, we will explore the establishment of BRICS (re)insurance companies on a voluntary basis to enhance the independent reinsurance capacity of BRICS countries.

@ Newshounds News™

Source:  Ledger Insights

~~~~~~~~~

REGULATORY UNCERTAINTY IS A BARRIER TO THE INSTITUTIONAL ADOPTION OF TOKENIZED MONEY MARKET FUNDS: ANALYST

▪️According to an analyst, the potential for adverse regulatory intervention remains a major obstacle to the broader adoption of tokenized money market funds among institutional investors.

▪️The analyst added that while there is growing institutional interest in using tokenized assets like BlackRock’s BUIDL as collateral in crypto derivatives trading, adoption hinges on regulatory clarity and developing foundational infrastructure.

The risk of adverse regulatory intervention remains a major obstacle to the broader adoption of tokenized money market funds among institutional players, an analyst said.

"Tokenized money market funds are under constant threat of adverse regulatory action, curbing investors’ appetite," Rho Labs founder Alex Ryvkin told The Block. 

"And, as someone with first-hand experience implementing blockchain-compatible infrastructure for the incumbents, I can confirm that widespread tokenized RWA-readiness is, although inevitable, still a couple of years away."

Ryvkin explained that while awareness and interest in tokenized real-world assets have grown, progress on regulatory clarity and infrastructure development will be necessary before these products achieve mass adoption.

He noted that the current adoption stage remains in the "experimentation phase," with the usage of tokenized money market products still lagging far behind their traditional finance counterparts.

"While we’ve seen some impressive shifts in RWA adoption, we’re still in that early experimentation phase. The outstanding interest in RWA products is dwarfed by similar trades in the tradfi space, and the adoption is mostly limited to institutional or qualified investor participation," Ryvkin added.

Tokenized MMFs used as collateral on crypto-derivative exchanges
Ryvkin highlighted some recent institutional moves in the space — including interest in using tokenized assets such as BlackRosk's BUIDL token as collateral on crypto derivatives exchanges, such as Deribit. "That’s good news and not just for BlackRock, as the development of crypto-liquidity backed by traditional securities as collateral, once the rails are widely established, would not stop," he said.

However, Ryvkin noted that although developments are promising, true adoption requires a foundational infrastructure that is still being built. Ryvkin then pointed to critical steps needed for products like BlackRock’s tokenized BUIDL fund to move beyond proof of concept and integrate broadly into capital markets.

@ Newshounds News™

Source:  The Block

~~~~~~~~~

PENNSYLVANIA HOUSE PASSES CRYPTO PROTECTION BILL IN BIPARTISAN VOTE

The Pennsylvania House of Representatives passed a bill protecting residents' rights to use and store cryptocurrency on October 22, 2024. The Digital Assets Authorization Act secured an overwhelming majority of 176-26 votes, backed by all 100 Republican members and 76 Democrats, according to the official Pennsylvania General Assembly voting record.

The strong bipartisan support for the bill reflects a broader trend in U.S. politics, where cryptocurrency regulation represents a rare unifying issue. Among crypto owners, 35% identify as Democrats, 33% as Republicans and 32% as independents or other according to a Grayscale report.

However, the House's voting pattern shows that some resistance remains among Democrats, with 26 voting against the bill while Republicans showed unanimous support.

Voters are paying close attention to crypto policy, with 51% of crypto-positive voters monitoring candidates' positions, while 48% of all voters express distrust towards politicians who interfere with crypto development, rising to 63% among crypto-positive voters, according to a recent DCG and Harris Poll survey of swing states, including Pennsylvania. 

"This data shows crypto is top of mind for voters in swing Senate states and that a pro-crypto position is a net positive for policymakers and candidates," said Julie Stitzel, Senior Vice President of Policy at DCG in a press release statement.

Bill Specifics And Enforcement Plan
If enacted, this crypto legislation would establish clear protections for digital asset usage and custody rights across Pennsylvania, while maintaining existing regulatory frameworks.

@ Newshounds News™

Source:  Forbes  

~~~~~~~~~

TETHER PROPOSES BOLD PLAN: BORON-BACKED TOKENS FOR TURKEY’S MARKET—HERE’S WHY

Tether Holdings Ltd., the issuer behind the world’s largest stablecoin USDT, has proposed an ambitious plan to Turkey’s government. The plan aims to “modernize” the country’s boron market using blockchain technology.

The proposal involves creating digital tokens backed by borate minerals, a key resource where Turkey controls over 70% of the global supply.

Further Details On The Proposal
As Bloomberg reported earlier today, citing individuals familiar with the matter, Tether pitched the idea to Turkish officials to tokenize boron, used in various industries such as ceramics, fertilizers, and glass production.

In addition to the tokenization proposal, the company has also raised the possibility of establishing a digital asset exchange in Istanbul, Turkey’s financial hub.

Tokenization is a growing trend within the digital asset space, where real-world commodities or assets are represented by digital tokens on a blockchain.

Bloomberg revealed that proponents argue that tokenization can improve market efficiency, liquidity, and transparency.

With Turkey projected to generate $1.3 billion in boron sales by 2024, the government may view Tether’s proposal as an opportunity to tap into innovative technologies and boost economic growth.

Turkey’s Growing Crypto Market And Tether’s Interest in Boron
Although the specific benefits of Tether’s proposal remain unclear, the company’s interest in Turkey is not entirely unexpected.

So far, Turkey has emerged as an attractive market for digital assets, particularly due to “high inflation and the declining value of the Turkish lira,” which has led to increased crypto adoption. Boron, a naturally abundant resource in Turkey, presents an intriguing choice for Tether’s tokenization efforts.

Turkey’s state-owned mining company Eti Maden Isletmeleri Genel Mudurlugu manages the country’s boron reserves, and the government’s control over this valuable resource could make it an ideal candidate for blockchain-based solutions.

While the Turkish government has not yet committed to the proposal, discussions are ongoing, with key meetings between Tether officials and senior Turkish figures, including Vice President Cevdet Yilmaz and Energy Minister Alparslan Bayraktar.

A Turkish government official has noted that the idea is still in its early stages and may not be implemented immediately. Additionally, a Turkey’s Energy Ministry representative confirmed that the discussions with Tether are ongoing, though no concrete plans have been confirmed yet.

Meanwhile, in a statement, Tether’s CEO Paolo Ardoino reaffirmed the company’s commitment to supporting innovation in Turkey’s digital-asset ecosystem. Ardoino noted:

Tether is] deeply committed to fostering innovation in Turkey’s digital-asset landscape and keen to continue exploring new opportunities for growth.

@ Newshounds News™

Source:  Bitcoinist

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Friday Morning 10-25-24

Good Morning Dinar Recaps,

RIPPLE SUBMITS FORM C IN SEC CASE, HIGHLIGHTING 4 KEY ISSUES: DETAILS

The appeal focuses on specific legal questions rather than a sweeping examination of the regulatory classification of cryptocurrencies.

Ripple Labs has stepped up its legal battle with the U.S. Securities and Exchange Commission (SEC) after filing its Civil Appeal Pre-Argument Statement, also known as Form C.

The filing comes only days after the SEC entered a last-minute appeal against several parts of a 2023 judgment which found that Ripple’s programmatic sales of its native XRP token to retail investors did not break U.S. securities laws.

Major Points of Contention
In its statement shared on X by lawyer James K. Filan, the crypto payments company outlined four fundamental questions for the Second Circuit Court of Appeal to consider.

▪️The first concerns whether an “investment contract” under the Securities Act of 1933 must include a formal agreement, post-sale obligations, and the right for buyers to receive profit from sellers. This definition could potentially reshape the understanding of digital asset transactions.

▪️Ripple’s second point is challenging the lower court’s ruling that its XRP transfers met the criteria established in SEC vs. W.J. Howey Co. This case, which gave rise to the Howey Test, defined the conditions under which something is considered an investment contract.

Ripple is arguing that its transactions did not represent an investment of money in a common enterprise with profits expected solely from the company’s efforts.

▪️The San Francisco-based firm also raised a third important issue regarding “fair notice.” It claims it gave ample evidence to potential XRP buyers showing the uncertainty surrounding cryptocurrencies in as far as federal laws apply to them.

This point is key to Ripple’s defense because it suggests that the SEC and other concerned agencies failed in their mandate to give clear guidance on the legality of the crypto company’s actions.

▪️Ripple’s final question in the filing contests the clarity required for issuing injunctions under the Federal Rules of Civil Procedure. It argues that the injunction issued to it by Judge Analisa Torres in a ruling where she also imposed a $125 million fine on the company merely instructs it to obey the law and lacks the necessary specificity and clarity.

Ripple’s Strategic Outlook
Speaking after the filing, Ripple’s Chief Legal Officer Stuart Alderoty insisted that the ongoing case is not about the broader classification of XRP as a security. He pointed out that, like Bitcoin (BTC), XRP currently enjoys a non-security status, which wasn’t challenged by the SEC in its Form C submission last week.

The lawyer believes this perspective allowed Ripple to focus its appeal on specific legal nuances rather than crypto’s overarching regulatory classification.

With both parties in the case having submitted their briefings, experts say it is now up to the Second Circuit to issue a scheduling order that will streamline them.

According to Alderoty, the court will only look at the existing record, meaning it will not allow the introduction of new evidence into the process, a point the attorney believes could minimize disruptions and hasten the final judgment.

@ Newshounds News™

Source:  CryptoPotato

~~~~~~~~~

 WHAT WILL JIM SPILL TONIGHT? MORE INTEL? ARE YOU A CITIZEN? HUMM  |  Youtube

📣LIVE CALL TONIGHT ON THE CONSTITUTION

Ever wonder why sometimes it looks as though our government is focusing more on other countries than us? or not really working for us? or even adhering to the Constitution at times?  Join us tonight for a live call and listen, ask questions, and learn..

Join us in the Constitution room  Link

TONIGHT AT  8 PM ET, 7 PM CT, 5PM PT

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Thursday Evening 10-24-24

Good Evening Dinar Recaps,

SEC OUTLINES CRITERIA FOR SAB 121 DIGITAL ASSET CUSTODY EXEMPTIONS

More than two years ago, the SEC published accounting guidance, SAB 121, regarding how listed companies should disclose crypto-assets held on behalf of clients, requiring the assets to be counted on the balance sheet. This particularly affects banks because regulations on capital requirements are based on the contents of the balance sheet.

After both the House and Senate voted to overturn SAB 121, President Biden used his veto so that SAB 121 still stands. However, there has been some softening in the SEC’s stance, with the world’s largest custodian BNY receiving a specific exemption to custody assets for a crypto ETF. However, BNY and other banks have to apply for exemptions on a case by case basis.

A September speech by SEC Chief Accountant Paul Minter reveals the significant work required in order to achieve such exemptions. Ideally custodians should build crypto experience slowly with low volumes. But the processes required for the SAB 121 exemption means that only the largest opportunities will be worthwhile pursuing.

The rationale behind SAB 121 was that if the custodian lost control of the private keys, the assets they control might be hard to recover and could result in a claim on the custodian.

How banks, broker-dealers get SAB 121 exemptions
Mr Minter gave the example of a bank that had engaged on the topic both with the prudential regulator at the state level and its primary federal prudential regulator. Since 2022, banks are required to notify their regulator in advance of engaging with crypto-assets.

The bank had systems in place to safeguard private keys. Additionally, it ensured that its custody structure is bankruptcy remote, as confirmed by a lawyer, and its contracts with client institutions preclude re-hypothecation of the crypto-assets.

 The same contracts explicitly excluded liability for blockchain-specific risks. Finally, the bank had risk management processes in place for each specific crypto-asset that it safeguards.

The Chief Accountant also gave the example of broker-dealers, where a third party provides transaction execution and custody. An exemption to SAB 121 is likely to apply where the broker-dealer is just the introducer, doesn’t have the private keys, and the custodian third party is clearly the agent of the customer, rather than the broker-dealer.

He provided a list of points he’d want to see as confirmation, including contracts and evidence of the client having a direct relationship with the third party. The broker-dealer would also have to get a legal opinion reinforcing that the broker-dealer is not the customer’s agent.

SAB 121 remains questionable

Meanwhile, apart from the unorthodox accounting treatment required by SAB 121, and blocking banks from engaging with crypto-assets until now, in some ways SAB 121 has made it less safe for crypto-asset clients.

The largest custodians are each responsible for trillions in conventional assets, and have the headcount, experience and processes that are more likely to provide safeguards against hackers.

Yet startups are currently the primary providers of crypto custody, particularly Coinbase for ETFs. That sort of concentration is usually something regulators are not keen on.

Plus, depending on agreements, assets under custody are conventionally treated as belonging to the client. By including them on the balance sheet, this implies the assets belong to the company, which could be bad news for clients if the custodian goes bankrupt.

We’re also reminded of a thought provoking paper by Duke University’s Steven Schwarcz on fintech regulation. He made an interesting observation that one regulatory option is to have the financial equivalent of the FDA in which all fintech innovations would need approval in advance.

He dismisses this as an innovation killer. If you look at U.S. banks in the context of crypto-assets and crypto custody, they effectively have several FDAs – their own prudential regulators (plural) plus the SEC for SAB 121.

@ Newshounds News™

Source:  Ledger Insights

~~~~~~~~~

🌱SWIFT & MBRIDGE: THE FUTURE OF CROSS-BORDER PAYMENTS?  |  Youtube

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Thursday Afternoon 10-24-24

Good Afternoon Dinar Recaps,

INTERVIEW WITH CARDANO’S CHARLES HOSKINSON: FOUNDER DISCUSSES RECENT ETHEREUM REMARKS AND INVOLVEMENT WITH ARGENTINA

▪️Cardano co-founder Charles Hoskinson has clarified his earlier remark on Ethereum and Vitalik Buterin as he projects Bitcoin to reach between $200k and $300k by next year.

▪️According to him, Argentina’s attraction to several crypto projects stems from the desire to find an alternative to the local currency. 

 CNF recently reported that Cardano (ADA) co-founder Charles Hoskinson has labeled Ethereum as a “dictator” that solely relies on its co-founder Vitalik Buterin for direction. 

In his presentation at the Token2049 event in Singapore, Hoskinson explained that the entire roadmap of Ethereum is within the control of Buterin. In this case, the project would be vague and visionless if the 30-year-old is removed from the bracket.

The Dictatorship Nature of Ethereum
During an interview with news outlet Ámbito, Hoskinson was asked if he is on bad terms with Buterin or if his statement only referred to the direction of Ethereum.

Responding to this, the Cardano co-founder explained that his expression of “dictator” in his previous presentation was just to put a complex discussion or word into a simple phrase.

According to him, his use of that word was just to imply that Buterin runs Ethereum in an authoritarian manner. In other words, holders of Ethereum and Bitcoin have no say in the direction of the protocol. Per his observation, disagreement with Buterin’s decision would likely arise once the governance model becomes unsustainable.

Ethereum could end up like Bitcoin, where innovation stagnates, or it will need to adopt a more inclusive governance model. Although Vitalik has shown resistance to on-chain governance, he seems to be acknowledging that this stance can be problematic. Most modern blockchain projects, like Cardano, are exploring on-chain governance models.

Why Argentina Attracts Several Crypto Big Players

In the interview, Hoskinson pointed out the growing distrust in the local currencies, forcing individuals to seek alternatives to hedge against inflation. According to him, Argentina is embracing crypto and aggressively learning yield farming, metaverse, and GameFi. Per his observation, this trend would continue as long as the local currency faces higher inflation, capital control, and trade barriers.

In addition to that, he explained that Argentina has emerged as a favorable market to test its products like wallet software, identity software, and microfinance platforms. 

On top of that, he believes that Argentina is the best place to hire people as the first developers working on Cardano in 2016 were from Buenos Aires.

Difference Between Blockchain and Liberalism

According to Hoskinson, the vision of Argentina’s president Javier Milei, such as the concept of private and sound currencies, aligns with that of the industry. However, liberalism has a challenge of implementation. Meanwhile, blockchain presents itself as a third way that belongs to neither government nor private industry.

Sometimes it behaves like a government entity, and other times, like a private actor. This makes it an ideal solution for issues such as voting systems, national identification, or the functions of a central bank. I believe that as Milei deepens his knowledge in that field, he will recognize three key points: 

first, that Blockchain is highly compatible with his philosophy; 

second, that Argentina is already a global leader in cryptocurrencies; and 

third, that the country has enormous local talent to drive and execute these initiatives.

Concluding the interview with a Bitcoin projection, Hoskinson estimated that the involvement of BlackRock in the asset could push BTC to between $200,000 and $300,000 next year.

@ Newshounds News™

Source:  Crypto News Flash

~~~~~~~~~

VISA SEES THE ‘STABLECOIN SANDWICH’ AS PATH TO STABLECOINS GOING MAINSTREAM

While stablecoins offer cheap and fast cross border payments, their usability drawbacks have prevented them from going mainstream, until now. Visa’s Cuy Sheffield said it’s no longer always obvious to the user when stablecoins are being used for payments. 

He referred to the so-called ‘stablecoin sandwich’ where someone makes a conventional payment, and the payment service provider sends stablecoins to the destination. The stablecoin is then converted to the local currency with the last mile sent via the local real time payment system.

“If you used a stablecoin a year ago, it was very explicit,” said Mr Sheffield, during a DC Fintech Week panel. “You knew you were using a stablecoin. You usually had to seek out a crypto wallet, you had to figure out how to manage your private key. We’re starting to see both major fintechs, existing wallets like PayPal and others put frontend interfaces on it that just look like another fiat wallet. And so they use stablecoins on the backend.”

PayPal’s Jose Fernandez da Ponte noted that with cross border payments today, most bank customers don’t know much about correspondent banking or Swift. Stablecoins will evolve in a similar manner.

Mr Sheffield highlighted that for non-crypto users, the concept of making a payment in dollars then having to pay gas fees using the blockchain’s native token doesn’t make sense, and means the user has to get involved in crypto. Some of the new payment apps are starting to abstract away these gas fees.

With a move into mainstream, there’s a need for consumer protection.

Stablecoin risks and consumer protection

Mr Sheffield raised the need for standards to reduce consumer risk. Where tokens don’t comply with the standards, they shouldn’t be allowed to be called stablecoins. 

“If you can compare two products that are marketed to consumers as stablecoins, they could be entirely different around: is there a fiat asset behind it? If so, where are those reserves held? What audits or attestations are done?

 So I think it’s a really challenging environment for consumers if you’re being offered a stablecoin to have to go under the hood and do due diligence,” said Mr Sheffield.

Anna Yuan, formerly with Solana and now the founder of Perena, believes the crypto world now distinguishes between stablecoins as narrow banking-style tokens, versus asset referenced tokens that peg to a currency with reserves in assets such as crypto, trade finance or something else. 

“Those should not be considered for daily average consumer use cases. Those are for the crypto bros,” she said. That would include mutli billion dollar coins such as the DAI and Ethena.

Stablecoin sandwiches and the current regulatory status carry risks. Today, many stablecoin holders are choosing to custody their own stablecoins, particularly in emerging markets. To abstract away blockchain gas costs, most apps take on the role of custodian. The users also don’t know which stablecoins they own and not all stablecoins are equal. Many of these app providers are not licensed.

“That means your assets are no longer yours. And why would you use that when you could use a trusted entity like PayPal to custody your assets,” she said. She’s concerned that bad experiences “could really hurt people’s perceptions of stablecoin sandwiches in the long run.” Ms Yuan also emphasized that it’s important not to do away with self custody for those that want it.

Banks and stablecoins
Meanwhile, Mr Sheffield said Visa spends a lot of time exploring what role banks are going to play. Until now stablecoins were not issued by banks, but a number of large banks are now getting involved. He referred to Societe Generale Forge and its EURCV stablecoin. Plus, Visa recently announced its helping BBVA explore stablecoins.

@ Newshounds News™

Source:  Ledger Insights

~~~~~~~~~

Key points of the Putin's speech at the plenary session of the 16th #BRICS2024 Summit in the outreach format:

🔹Ukraine

🟠Ukraine is being used to create critical security threats to Russia;

🟠Those who want to inflict strategic defeat on Russia do not know the history of the country; these are illusory calculations.

🔹The Middle East

🟠The situation in the Middle East is worrying, as it involves the exacerbation of a long-standing conflict;

🟠Russia consistently opposes any form of terrorist actions;

🟠The escalation of the conflict in the Middle East brings the region to the brink of full-scale war;

🟠Russia seeks to contribute to the stabilization of the situation in the Middle East;

🟠Putin called for an end to violence in the Middle East;

🟠A settlement in the Middle East must be achieved based on universally recognized global principles;

🟠It is impossible to restore peace in the region without rectifying the historical injustice in the Palestinian territories;

🟠The launch of a comprehensive political process is necessary for a settlement in the Middle East;

🟠All BRICS countries are concerned about the situation in Gaza and hope that all options will be used to reduce tensions.

🔹BRICS Plus outreach

🟠The BRICS Plus outreach format has proven itself well, allowing for direct and open dialogue;

🟠As chair, Russia invited the leaders of neighboring countries and partners wanting to join BRICS to the BRICS Plus meeting;

🟠At the BRICS Plus session, Putin invited all interested countries to develop the "North-South" corridor and the Northern Sea Route.

🔹Global politics, UN, and financial mechanisms

🟠The transition to a fair world order is challenging, and some are trying to hinder this process;

🟠The UN is called upon to continue playing a central role in ensuring peace and security;

🟠The representation of African countries, whose leaders gathered at the BRICS summit, should be expanded in the UN Security Council;

🟠Reforming UN development institutions and global financial structures has long been overdue;

🟠The next wave of global economic growth is emerging in the countries of the global majority;

🟠It is necessary to build alternative financial mechanisms free from any diktat;

🟠Putin called for ensuring access for countries in the Global South and East to technologies and helping them adapt to climate change;

🟠Russia is making a significant contribution to ensuring global food and energy security. 

@ Newshounds News™

Source:   Gipper's News Reader

~~~~~~~~~

🌱WHY BRICS IS SHAPING THE FUTURE  |  Youtube

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Thursday Morning 10-24-24

Good Morning Dinar Recaps,

TOKENIZATION: BIS INNOVATION HEAD SAYS PRIVATE SECTOR NEEDS TO EMBRACE CHANGE

The BIS Innovation Hub lead, Cecilia Skingsley spoke about the need for the current financial industry to embrace change. It’s one thing if there’s a department exploring the possibilities of tokenization, but if the C-suite is happy with the way things currently work because they’re making money, that inhibits progress.

“Because the financial infrastructures of today, they are not going to be fit for tomorrow,” she said, talking during the Institute of International Finance (IIF) annual meeting.

She believes there are two key requirements for tokenization to work at a global scale. One is digital identity and the other is around regulation. Different jurisdictions are creating their own rules, but there’s a need for mutual regulatory recognition, which will take time. Otherwise tokenization might just take off in certain regions, without the potential global benefit.

While some are disappointed with the slow speed of progress of tokenization, Ms Skingsley said she would have been surprised if it had moved faster. The financial sector needs to be humble. 

“The last time the financial industry got really excited about new technology, it was during the securitization era,” she said, noting its contribution to the Global Financial Crisis. Hence, it’s good to be deliberate.

Talking about today’s Financial Stability Board (FSB) report on tokenization, she noted that the FSB’s job is to highlight risks. While everyone wants safety, the public sector wants “safe, safe, safe”, whereas the private sector wants flexibility.

She also shed light on the tradeoffs that central banks consider.

In order to encourage inclusion and competition, the public sector tends to embrace low barriers to entry. That’s until that triggers financial stability risks, at which point the questions is whether they want many participants or a few, and it’s easier to supervise a few.

Another trade off relates to liquidity. On the one hand, fragmented liquidity is not good for efficient markets. But at the other extreme, the public sector doesn’t want to see dependence on one particular marketplace.

In terms of solving liquidity issues, Ms Skingsley doesn’t currently see tokenization as addressing it, although that could change. Most market observers describe the current tokenization sector as fragmented. However, it could swing from one extreme to the other.

Ms Skingsley also noted that a few central banks are adapting their real time gross settlement (RTGS) to accommodate DLT-based financial market infrastructures (FMIs). The Bank of England is one of them.

“An increasing number of central banks are wanting to allow for a DLT-based FMI. And then you will see the beginnings of bridges from the current to what could be future tech.”

@ Newshounds News™

Source:  Ledger Insights

~~~~~~~~~

BRICS CURRENCY OFFICIALLY UNVEILED

A mock-up of the upcoming BRICS currency has finally been unveiled at the alliance’s ongoing summit in Kazan, Russia. Indeed, Russian president Vladimir Putin was seen with a mock-up up “BRICS bill” at the summit, the first time the new currency has been put on display.

The BRICS bill in question features the five BRICS nations’ flags (Brazil; Russia; India; China; and South Africa) connected together to form a circle. The displayed currency appeared to be a note with a value of 100. On the flip side of the note appears to be multiple additonal flags, likely of new interested countries that may join BRICS. These include Mexico; Egypt, Nigeria, and Bahrain.

The BRICS bloc has yet to formally announce the launch of the new BRICS currency, however, it has been at the front and center of conversations within the bloc for years. Earlier today, Chinese President Xi Jinping made a historical announcement regarding the bloc’s new payment system.

Speaking to those in attendance, the president discussed why the system is so important to groups that continued seeking a multipolar world. “There is an urgent need to reform the international financial architecture,” Jinping said. “BRICS must play a leading role in promoting a new system that better reflects the profound changes in the international economic balance of power,” he added.

BRICS Currency Launch To Be Revealed Soon?
The blockchain-based BRICS pay system has always been viewed as a key de-dollarization development. For the bloc, it presents a chance to circumvent Western financial infrastructure like the SWIFT payment platform. Therefore, presents a key opportunity for nations within the group to promote the use of their currencies for trade.

The BRICS bloc has enjoyed unprecedented growth over the last two years. It has sought to increase its presence on a global scale and disrupt the West’s dominant run. Throughout the last year, it has increased its de-dollarization efforts to lessen overall reliance on the US dollar. The new BRICS currency will be the next key step in establishing a world where USD isn’t the supreme leader.

The BRICS currency is expected to be backed by gold, the precious metal currently establishing new highs in value. According to reports, the new currency will consist of a backing of 40% gold and 60% tied to local currencies. The regional currencies could involve the Chinese yuan, Russian ruble, and Indian rupee, among other member’s legal tenders.

@ Newshounds News™

Source:  Watcher Guru

~~~~~~~~~

🌱 BRICS OFFICIALLY ADDS 13 NEW NATIONS TO THE ALLIANCE AS PARTNER COUNTRIES  |  Youtube

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Seeds of Wisdom RV and Economic Updates Wednesday Evening 10-23-24

Good Evening Dinar Recaps,

WHY IOTA’S SUPPLY INCREASE ISN’T A THREAT: INFLATION AND ECOSYSTEM GROWTH KEY

▪️Since IOTA increased the token supply last year to 4.6 billion—up from an initial 2.79 billion—there have been concerns that this has suppressed its price.

▪️However, one ecosystem member says the increase was in line with the broader inflation, other major tokens experienced similar figures, and it’s the ecosystem growth that ultimately matters.

In September last year, IOTA made a massive announcement, revealing that it would increase the supply of IOTA tokens from 2.79 billion to 4.6 billion. Since then, some analysts have claimed that the new tokens have been the key factor suppressing the price of the token.

However, one community member argues that what the ecosystem builds on the network is more important than the token inflation.

In its September 2023 announcement, IOTA revealed that it would release new tokens every two weeks for the next four years, presumably up to the end of 2027. 

Of the new 1.82 billion tokens, the ecosystem fund, which includes the IOTA Foundation and the Tangle Ecosystem Association, would receive 31%, the highest share. The funds would go towards supporting developers to build on IOTA. Contributors received 5%, while Assembly stakers got 3.5%.

Did IOTA’s Supply Increase Suppress the Price?
Since the announcement, debate has been heated over the effect it has had on the price. IOTA’s price has dipped 22% since September last year. However, in that time, it has surged to a yearly high of $0.4146 in March this year, which sent its market cap to $1.32 billion.

He states that today, the token supply has only increased by 24.5% (currently stands at 3.48 billion).

This may seem like a lot, but when we consider USD inflation (which has grown by 29% over the same period), things start to look very different…The takeaway? The supply increase has not hurt IOTA’s value as much as you might think.

The member further notes that IOTA has been getting a bad rep like it was the only token whose supply had increased since it hit its all-time high back in 2017. In that time, BTC supply has grown 18%, while Ethereum’s is up 25%. Cardano has increased by a much bigger rate than IOTA at 35%. However, all these projects haven’t been attacked and accused of suppressing the price.

He adds:

The increase in supply is common for most crypto projects, and it’s a natural part of blockchain ecosystems, especially those with staking rewards or inflationary mechanisms.

Token inflation isn’t the most important factor for a crypto project, the member added. Rather, it’s more about “expanding the ecosystem (IOTA 2.0, SCL1, Shimmer), which brings value far beyond supply metrics.”

Remember: Market dynamics, adoption, and technological advancements will ultimately drive long-term value. The supply increase is a part of this evolution, not a hindrance.

IOTA trades at $0.1169, dipping 1.7% in the past day to bring its weekly losses to 5.3%.

@ Newshounds News™

Source:  Crypto News Flash

~~~~~~~~~

BRICS 2024 PIC

JUST IN: BRICS officially adds 13 new nations to the alliance as partner countries (not full members).

🇩🇿 Algeria
🇧🇾 Belarus
🇧🇴 Bolivia
🇨🇺 Cuba
🇮🇩 Indonesia
🇰🇿 Kazakhstan
🇲🇾 Malaysia
🇳🇬 Nigeria
🇹🇭 Thailand
🇹🇷 Turkey
🇺🇬 Uganda
🇺🇿 Uzbekistan
🇻🇳 Vietnam

@ Newshounds News™

Source:  @Brics News

~~~~~~~~~

WILL REGULATORS ALLOW TOKENIZED COLLATERAL FOR DERIVATIVES IN THE EU AND US?

During the SIBOS banking event yesterday, David Durouchoux from Société Générale (SocGen) FORGE explained that combining tokenization and derivatives is crucial to encourage the sector to grow.

However, derivatives are not part of the EU DLT Pilot Regime, which relaxes certain laws for DLT and tokenization.

Derivatives traders have to provide collateral as margin when prices move against them. However, traditionally the transfer of collateral is slow because it takes time to settle.

This results in added risks. It also means when traders want to withdraw collateral, it takes time. Hence, the desire to explore alternatives such as tokenization.

Meanwhile, Stateside there are moves afoot to get the Commodity Futures Trading Commission (CFTC) to support DLT-based collateral used for margin. We spoke to the CEO of Hashnote, a traditional finance (TradFi) affiliated firm that has launched a tokenized money market fund, USYC.

He sees the crypto world as a stepping stone to getting tokenized money market funds (MMFs) accepted as collateral in TradFi.

SocGen FORGE: digital bonds as collateral for derivatives
As context, SocGen FORGE provided the infrastructure for the issuance of the very first European Investment Bank (EIB) digital bond of €100m that was issued on the Ethereum blockchain in early 2021.

Mr Durouchoux said that a key requirement is to develop liquidity for digital bonds first. While DLT is already used for repo, it is usually based on the tokenization of existing government bonds.

The next step is to use digitally native bonds for repo. This is already happening in some jurisdictions, such as Switzerland.

“If we have that, then we can build up on that a derivative market, which is efficient. We have trading rooms, we are sell side and we know how to do it,” he said, adding that there have been discussions with the European Commission about reforming the DLT Pilot Regime law to support derivatives.

There are two types of derivative opportunities. ,One is tokenized derivatives and the other is the use of tokenized collateral for derivative margin calls. 

The latter is the one more widely discussed and experimented with because tokenization enables collateral mobility. Rather than collateral being stuck with a single custodian and taking two days to settle, tokenization enables collateral to transfer almost instantly.

Tokenized collateral takes shape
Several solutions are already available. Europe’s HQLAᵡ is the traditional finance platform for mobilizing collateral. JP Morgan has its Tokenized Collateral Network and Broadridge’s repo solution DLR can also be used for collateral mobility. State Street says it’s working on a tokenized money market fund for use as collateral.

Some of this has been triggered by the interest in tokenized money market funds in the crypto world. Franklin Templeton was the first traditional finance (TradFi) firm to launch a tokenized money market fund on a public blockchain, with BlackRock launching BUIDL this year.

Hashnote’s tokenized MMF used as collateral for derivatives
In fourth place in crypto money market funds (MMF) is another TradFi affiliated firm, Hashnote, which is associated with high frequency trading firm DRW and its crypto offshoot, Cumberland.

Hashnote’s USYC fund, with $375 million in assets under management, isn’t a typical MMF in that its cash is in a bank during the day and earns yield on overnight repo.

It is the first tokenized money market fund to be accepted as collateral by crypto derivatives firm Deribit. Cumberland is one of the TradFi-linked firms that are using it as collateral. Hashnote’s CEO Leo Mizuhara told Ledger Insights that it sees crypto as a stepping stone to getting USYC accepted in the TradFi sector.

“My long game for the collateral product at least (is) that we want to be in the CME, in Eurex and LCH,” he said, calculating the collateral between them at around $90 billion, a figure substantially larger than crypto sector collateral. Short term he hopes to roll out the offering with crypto exchanges Binance, ByBit and OKX.

There are sufficient traditional finance firms active in the crypto world that they can lobby to include tokenized collateral.

“You get adoption in the crypto world, and you get the TradFi firms to tell the CFTC, ‘hey we trust this product, it’s working’,” said Mizuhara. “That’s how you get into the TradFi world and become dependable”.

In fact, the CFTC’s advisory group is already recommending that DLT-based collateral be allowed.

Meanwhile, Bloomberg reported that BlackRock has similar plans with its BUIDL MMF. BUIDL is already accepted as collateral at prime brokers FalconX and Hidden Road and it is eyeing Deribit, Binance and OKX as well.

Tokenized design matters
Hashnote’s Mizuhara pointed out that its USYC fund has a key advantage, because interest accumulates within the token. By contrast, BlackRock airdrops interest as new tokens to BUIDL holders once a month.

That’s fine for individual holders, but it’s a challenge if an intermediary has to ensure these airdropped tokens are distributed to clients. It’s an extra process that has to be programmed.

And the whole point of tokenized collateral is to reduce friction and enhance efficiencies.

@ Newshounds News™

Source:   Ledger Ins9ghts  

~~~~~~~~~

🌱 DID DONALD J TRUMP BUY DINAR? SEEDS OF WISDOM TEAM  |  Youtube

@ Newshounds News™

Source:  Seeds of Wisdom Team RV Currency Facts

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps