Seeds of Wisdom RV and Economic Updates Sunday Morning 10-6-24
Good Morning Dinar Recaps,
IMF COMPARES CBDC, FASTER PAYMENTS, E-MONEY
The International Monetary Fund (IMF) recently published a paper exploring potential choices between central bank digital currency (CBDC), faster payment systems (FPS) and e-money. Given the IMF’s focus on emerging markets, it highlights the threat to monetary sovereignty of dollar stablecoins and foreign CBDCs.
As always, local circumstances and priorities will influence choices. However, in many economies the three types of payment systems are expected to coexist in the future. The combination of different systems removes any single point of failure, helping to ensure resiliency.
All three types provide efficient instant payments. And they can all enhance financial inclusion, although technology can be a barrier for some users.
Unique advantages of CBDCs
However, the IMF views CBDC as having two unique benefits. By far the largest is ensuring retail access to central bank money continues as cash usage declines. It highlights the downward spiral with cash. As people use it less, fewer merchants remain willing to accept it.
Access to a CBDC addresses the two key monetary sovereignty threats of stablecoins and foreign CBDCs.
“Although stablecoins have not gained much use outside of crypto-asset ecosystems in advanced economies, preliminary data suggest that in emerging and developing market economies, they are being used in a limited capacity for cross-border transactions and remittances (FSB 2024).
The same analysis also suggested that there was a perceived preference for US dollar-denominated stablecoins as a store of value in countries with high inflation, currency devaluation, or the presence of capital flow measures,” the authors wrote. They warn that if there’s significant adoption, a stablecoin could start being used as an alternative unit of account.
The other area where it believes a CBDC can help is competition. A private FPS could inhibit competition, and most e-money systems are closed loop and could become monopolistic.
By contrast, the IMF believes that a CBDC can lower the barriers to entry for nonbank payment service providers, enhancing competition.
@ Newshounds News™
Source: Ledger Insights
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RIPPLE NEWS: XRP HOLDERS RALLY AGAINST SEC APPEAL, THREATEN LAWSUIT!
▪️XRP holders are petitioning against the SEC's appeal in the Ripple case and considering legal action.
▪️Attorney Rispoli believes a lawsuit against the SEC is possible but challenging, citing the Madoff case as a precedent.
▪️Rispoli emphasizes the need for reforms within the SEC to address corruption and improve transparency.
As tensions rise in the legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC), XRP holders are speaking out on social media platforms like X.
They have launched a petition titled “Stop the SEC’s Unnecessary and Frivolous Appeal in the Ripple v. SEC Case,” which has attracted nearly 5,000 signatures.
Can a Petition Against the SEC Succeed?
In a recent podcast episode with Thinking Crypto, attorney Fred Rispoli discussed the potential outcomes of the petition and whether individual investors could sue the SEC. When asked if a petition against the SEC could succeed, Rispoli responded positively but cautioned that winning such a case would be difficult.
He highlighted that John Deaton, who has gained support from 75,000 people, might consider filing a case against the SEC. However, Rispoli pointed out the challenge of proving that the SEC acted outside its legal authority.
“And there are certainly some arguments to make that happen, especially as the revolving door has become a little more grotesque and easily, more easily able to be discovered through civil discovery, for example. But that happened in the Madoff case, where everybody that got screwed by Madoff sued the SEC and they lost on the grounds that the SEC was immune and the opinion was scathing.
The second circuit said the SEC was incompetent, imbecilic, and derelict in their duties, but they were just bad at their jobs. They didn’t go outside of the range where they could be liable, civilly liable for that.”
It’s Not Going to Be Easy!
While there is a chance for a lawsuit, Rispoli acknowledged the challenges involved. He expressed his strong support for Deaton, saying he would not want anybody else leading that charge other than Mister Deaton himself.
He also emphasized the need for broader reform within the SEC, calling for increased transparency and efforts to root out corruption beyond the current case.
@ Newshounds News™
Source: Coinpedia
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HEDERA HBAR HOLDERS AN ETF MAY BE CLOSE - HUGE MOVES ARE HAPPENING | Youtube
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Unchartered Territory the Constitution Call | Youtube
@ Newshounds News™
Source: Seeds of Wisdom Team RV Currency Facts
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Seeds of Wisdom Team RV Currency Facts Youtube and Rumble
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