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Source: https://cryptopotato.com/europe-now-worlds-biggest-crypto-economy-boasts-over-1t-worth-of-transactions/

The race to launch the first CBDC is one the world is following intently. While most have their eyes fixed on China’s digital yuan pilot, a group of countries has come together to take CBDCs a step further.

Phase 3 of Project Inthanon-LionRock saw BIS Innovation Hub Hong Kong Centre, the Digital Currency Institute of the People’s Bank of China, and the Central Bank of the United Arab Emirates experiment with a multi-CBDC bridge or an mBridge.

What does this mean?

The mBridge initiative would ideally allow central banks in different countries to issue and redeem their own CBDCs across borders on a common platform – without having to depend on correspondent banks.

Meanwhile, commercial banks would be able to “submit peer-to-peer CBDC push payments.”

The BIS September 2021 report stated,

“If successful, an efficient, low cost, compliant and scalable multi-currency, multi-jurisdiction arrangement can provide a network of direct central bank collaboration, greatly increasing the potential for international trade flows and cross-border business at large.”

The report further clarified,

“The prototype demonstrates a substantial improvement in cross-border transfer speed from multiple days to seconds, as well as the potential to reduce several of the core cost components of correspondent banking.”

Here, it is also interesting to note that the project’s Phase 2 prototype was built on Ethereum. This was because the core layer of the prototype contained the blockchain ledger and smart contracts.

Notes on features

As a multiple CBDC project, regulation and compliance were functional requirements. Central banks would be able to monitor transactions in real-time, set balance limits, control the balance held by their commercial banks, and use data for surveillance.

Scalability was also part of the design to later onboard more participants and jurisdictions.

However, one complication was the wide difference in remittance charges across countries. While the global average was calculated to be 6.38% of the remitted sum, the report observed that even a percentage as low as 1% would be costly for payments in the millions of dollars.

An update from China

Alongside the mBridge project, China has also been steamrolling ahead with its CBDC program.

Changchun Mu, Director-General of the DCI of the People’s Bank of China. confirmed that e-CNY pilots have been taking place in 10 areas.

Mu added,

“Payment methods such as QR code and tap-and- go have been well-supported and innovative services such as dual-offline payment and wearable device payment have been tested for safety and efficiency.”

Meanwhile, Howard Lee, Deputy Chief Executive of the Hong Kong Monetary Authority, suggested that an e-HKD could also be in the works.

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Source: https://ambcrypto.com/heres-why-a-multi-cbdc-bridge-is-being-tested-on-ethereum

Disclaimer: The findings of the following analysis are the sole opinions of the writer and should not be taken as investment advice

Very few buy opportunities have been presented in the Dogecoin market. Trading at a 73% discount from its May all-time high, DOGE has been picked apart by short-sellers who have capitalized on weakening metrics on all fronts.

Over the next week, the major support line of $0.160 would be under tremendous pressure to fuel a rally. If sellers continue their relentless assault, another 50% plummet to February levels would be possible.

At the time of writing, DOGE was trading at $0.201, down by 3.4% over the last 24 hours.

Dogecoin Daily Chart

Source: DOGE/USD, TradingView

Dogecoin’s daily chart offered a buffet of bearish signals. Firstly, the candles traded below their daily 20, 50, and 200 Simple Moving Average lines. Not only do such readings attract short-selling, but also dissuade buyers from taking up long positions.

Secondly, a death cross was just around the corner, one which exposed the market to another major sell-off. Moreover, retail traders have sought different options rather than testing their luck with Dogecoin. Data from Santiment highlighted that its trading volume has remained in the $1-$2 billion range lately, as opposed to the $5-$7 billion range seen during rallies.

Now, keeping these factors aside, the Visible Profile suggested that DOGE was still trading within its developing value range of $0.455 and $0.17. As long as DOGE maintains above the lower end of this range, a complete blowout can be avoided.

A minor rally seemed possible as investors mop up DOGE at the $0.16-support. However, a close below $0.16 would open the floodgates for an extended fall. The next immediate support lay at $0.087. This meant that DOGE would decline by another 43% before buyers can respond.

Reasoning

Of late, Dogecoin has been trending lower after a descending triangle breakdown. A throwback to $0.232 can be expected to transpire into further losses towards $0.16. Naturally, DOGE’s indicators flashed alarm bells. The RSI was close to the overbought zone and suggested some more weakness before a reversal.

The Awesome Oscillator and MACD also maintained movement below their respective half-lines due to market weakness.

Conclusion 

Apart from a few scalping opportunities, short-selling seemed to be the most viable trading strategy in the Dogecoin market.

Although shorting at DOGE’s press time level would not be a bad call, a safer bet can be placed once DOGE closes below $0.16-$0.17.

PlatoAi. Web3 Reimagined. Data Intelligence Amplified.

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Source: https://ambcrypto.com/this-is-the-safest-strategy-for-dogecoin-traders