Connect with us

Blockchain

How An Ineffective And Inadequate Banking System In Latin America Is Accelerating Cryptocurrency Adoption

How An Ineffective And Inadequate Banking System In Latin America Is Accelerating Cryptocurrency Adoption

Cryptocurrency has become a buzz word for individuals looking to make a ton of money through speculation. However, it’s not just speculation for some people. Individuals and businesses in Latin America are turning to crypto to escape from the chaos associated with the banking sector. Blockchain analytics provider Chainalysis has confirmed via a blog post […]

Republished by Plato

Published

on

How An Ineffective And Inadequate Banking System In Latin America Is Accelerating Cryptocurrency Adoption

Advertisement1xbit
&  & 

Cryptocurrency has become a buzz word for individuals looking to make a ton of money through speculation. However, it’s not just speculation for some people. Individuals and businesses in Latin America are turning to crypto to escape from the chaos associated with the banking sector.

Blockchain analytics provider Chainalysis has confirmed via a blog post that the number of cryptocurrency transactions in Latin America has been soaring since March, despite the pandemic.

As Banks In Latin America Fail, Crypto Rises To Fill The Gap

In a September 3 report, Chainalysis observed that besides speculation, the number of people in Latin America using crypto as a medium of exchange and a store of value has grown rapidly. Chainalysis notes that the reason for the full-scale cryptocurrency adoption in Latin America appears to be the inefficient banking sector in the region that the people are so sick of.

Remittances are a particularly important sub-sector of the Latin American economy. Previously, a majority of the remittances to Latin America originated from migrants mainly in the US who remitted cash to family members back at home. However, transactions involving crypto are visibly more prevalent between Latin America and East Asia. The two have transacted cryptocurrency worth over $1 billion, the report says.

Regional experts like Luis Pomata, the co-founder of the Paraguayan exchange, Cripex, consulted by Chainalysis said that people are switching to crypto because it is much easier and faster. In contrast, working with traditional banks is a complicated process that many wish to avoid. Pomata said:

Advertisement

“Banks in Paraguay are worried about money laundering and picky with who they’ll work with, so the banking application process is long and difficult — many businesses are rejected. And even if you have a bank, it is still very hard and costly to make a wire transfer due to the amount of supporting documentation you need to provide. That is the main reason people switch to crypto.”

Crypto Offers A More Reliable Store Of Value

The Chainalysis blog further outlines that both businesses and individuals in Latin America deem cryptocurrency as a safer store of value as compared to the region’s unstable currencies. This is well evidenced by the trend where peer-to-peer (P2P) trading volumes rise as native fiat currencies lose value.

SatoshiTango’s Sebastian Villanueva, for instance, noted that Venezuela and Argentina are currently printing insane amounts of money which are leading to the devaluation of their respective fiat currencies. This has encouraged more citizens to turn to crypto amidst depreciating currencies. 

Despite bitcoin behaving like a risk-on asset like equities at times, the bellwether crypto is still looking mighty attractive to Latin Americans looking to safely store their savings or simply transact. In other words, cryptocurrency usage in Latin America is increasing — and it goes way beyond mere speculation.


Get Daily Crypto News On Facebook | Twitter | Telegram | Instagram


DISCLAIMER Read More

The views expressed in the article are wholly those of the author and do not represent those of, nor should they be attributed to, ZyCrypto. This article is not meant to give financial advice. Please carry out your own research before investing in any of the various cryptocurrencies available.

Source: https://zycrypto.com/how-an-ineffective-and-inadequate-banking-system-in-latin-america-is-accelerating-cryptocurrency-adoption/

Blockchain

Concordium Completes $15M Private Sale Round Following Successful MVP Testnet

Republished by Plato

Published

on

[PRESS RELEASE – Please Read Disclaimer]

Zug, Switzerland, 9th March, 2021, // ChainWire // Privacy-centric blockchain Concordium has finalized its MVP testnet and concluded a private sale of tokens to fund further development. The company secured $15M in additional funding for the Public and permissionless compliance-ready privacy-centric blockchain.

Late February Concordium announced joint venture cooperation between Concordium and Geely Group, a Fortune 500 company and automotive technology firm. The partnership will focus on building blockchain-based services on Concordium’s enterprise-focused chain.

Concordium recently completed Testnet 4, which saw over 2,300 self-sovereign identities issued and over 7,000 accounts created, with more than 1,000 active nodes, 800 bakers, and over 3,600 wallet downloads. The successful testnet led to the release of Concordium smart contracts functionality based on RustLang, with a select group of community members participating in stress-testing the network. Test deployments for smart contracts included gaming, crowdfunding, time-stamping, and voting.

Concordium CEO Lone Fonss Schroder said: “The interest of the community, from RustLang developers, VCs, system integrators, family offices, crypto service providers, and private persons, has been amazing. Concordium has fielded strong demand from DeFi projects looking to build on a blockchain with ID at the protocol level.”

Concordium will bring its blockchain technology for broad use, which also appeals to enterprises with protocol-level ID protected by zero-knowledge proofs and stable transaction costs to support predictable, fast, and secure transactions. Its core scientific team is made up of renowned researchers Dr. Torben Pedersen, creator of the Pedersen commitment, and Prof. Ivan Damgård, father of the Merkel-Damgård Construct.

Concordium, which is on course for a mainnet launch in Q2, aims to solve the long-standing blockchain-for-enterprise problem by addressing it in a novel way with a unique software stack based on peer-reviewed and demonstrated advanced identity and privacy technologies providing speed, security and counterpart transparency.

The Concordium team intends to announce its post-mainnet roadmap in the coming days.

About Concordium

Concordium is a next-generation, broad-focused, decentralized blockchain and the first to introduce built-in ID at the protocol level. Concordium’s core features solve the shortcomings of classic blockchains by allowing identity management at the protocol level and zero-knowledge proofs, which are used to replace anonymity with perfect privacy. The technology supports encrypted payments with software that upholds future regulatory compliance demands for transactions made on the blockchain. Concordium employs a team of dedicated cryptographers and business experts to further its vision. Protocols are science-proofed by peer reviews and developed in cooperation with Concordium Blockchain Research Center Aarhus, Aarhus University, and other global leading universities, such as ETH Zürich, a world-leading computer science university, and the Indian Institute of Science.

SPECIAL OFFER (Sponsored)
Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.


Invest w Mintos
Source: https://cryptopotato.com/concordium-completes-15m-private-sale-round-following-successful-mvp-testnet/

Continue Reading

Blockchain

Seychelles’ FSA issues notice cautioning against use of Huobi services

Republished by Plato

Published

on

Huobi, one of the market’s most-popular crypto-exchanges and one synonymous with Seychelles, is in the news today after the archipelago’s Financial Services Authority clarified that it has never supervised or regulated the exchange in question. This is an interesting development, especially since Huobi, with a daily trading volume of over $29 billion at press time, has often been perceived as being headquartered in Seychelles.

Via a notice issued today, the agency informed investors that Huobi Global Limited does not hold any license issued by the FSA to undertake any activity related to online trading of virtual assets.

“The FSA strongly urges investors and members of the public to exercise caution in respect to the services offered by the above mentioned IBC and any other company providing such services,” it said, with IBC bearing reference to Huobi’s International Business Company number.

What’s odd and interesting here is that according to the crypto-platform, Huobi Global Limited “is a company incorporated in the Republic of Seychelles under the laws of the Republic of Seychelles.” In fact, its User Agreement “in its entirety is a contract concluded under the laws of the Republic of Seychelles, and relevant laws of the Republic of Seychelles shall apply to its establishment, interpretation, content, and enforcement.”

Also, Seychelles’ actions are uncannily similar to Malta’s handling of Binance in 2020.

On 21 February 2020, the Malta Financial Services Authority (MFSA) issued a similar statement to investors stating that Binance is not authorized by the MFSA to operate in the cryptocurrency sphere and is therefore not subject to regulatory oversight by the MFSA.

To this date, there is much ambiguity around the cryptocurrency exchange’s “real headquarters” since Binance Holding Company has reportedly been established in the Cayman Islands, with several other offices across the globe.

“We have offices in Malta for customer services, and some compliance people there, but it’s not the headquarters per se. It’s the spiritual headquarters,” Ted Lin, Binance’s Chief Growth Officer had said in an old interview.

After multiple attempts to extract information regarding where exactly the company’s headquarters are, Binance CEO CZ had gone on record to state that Binance has multiple offices across different cities with staff across 50 countries.

“It’s not that we don’t want to admit it, it’s not that we want to obfuscate it or we want to kind of hide it. We’re not hiding, we’re in the open,” he had said. According to CZ, Binance is a new type of organization that doesn’t need registered bank accounts and postal addresses.

Here, it’s worth noting that some have speculated that Seychelles FSA’s actions in this regard may force Huobi to relocate its official place of business to an entirely new geography. At the time of writing, Huobi was yet to come out with a statement regarding the development in question.


Sign Up For Our Newsletter


Invest w Mintos
Source: https://ambcrypto.com/seychelles-fsa-issues-notice-cautioning-against-use-of-huobi-services

Continue Reading

Blockchain

Bitcoin whales ‘bought the dip’ as orders for $100K or more hit all-time highs

Republished by Plato

Published

on

Bitcoin (BTC) whales and institutions alike have made the most of the recent BTC price “dip” by buying big, data suggests.

In an update on March 9, on-chain analytics service Material Indicators noted that buy orders of $100,000 and higher on Binance — the biggest cryptocurrency exchange by volume worldwide — are reaching all-time highs.

Big Bitcoin buyers don’t hesitate

In stark contrast to orders worth less than $100,000, larger buys are more frequent than ever before in Bitcoin’s history. 

Smaller allocations have plummeted in 2021, matching an existing narrative that institutions are scooping up liquidity on exchanges which surfaced during the recent bull run.

“The $100k – $1M class is now also about to make a new ATH,” Material Indicators commented on Twitter alongside a chart.

“Meaning, they bought the dip.”

BTC/USD vs. order volume chart. Source: Material Indicators/ Twitter

Material Indicators previously voiced concerns about this week’s price rise, arguing that whales could “sell into” the surge, producing a repeat of the run to $58,000 all-time highs and subsequent 25% correction.

While this has so far not come to pass, analysts also noted that macroeconomic factors were also having a different impact to that which was expected.

Whale orders declined after news that the United States’ $1.9 trillion stimulus package had passed the Senate, while China providing support to tech stocks had the opposite effect. As Cointelegraph reported, tech had led a dramatic change of fortunes on equities markets.

$54,500 surge followed major Coinbase buy

Later, meanwhile, another batch of nearly 12,000 BTC left professional trading platform Coinbase Pro as an example of major BTC allocations continuing at current prices.

“That happened just before the recent surge in price. Nice coincidence,” quant analyst Lex Moskovski commented on data from fellow on-chain analytics resource Glassnode.

BTC/USD hit two-week highs of $54,500 earlier on Tuesday.

BTC/USD vs. Coinbase outflows chart. Source: Glassnode/ Twitter

Zooming out, the increasing institutional involvement around Bitcoin could fuel its entry as a standard for investors alongside traditional plays.

“We do think it will behave, actually, I would say more like the fixed income markets, believe it or not,” Cathie Wood, founder and CEO of ARK Investment Management, told CNBC this week.

Binance orderbooks show the next major BTC/USDT resistances for the bulls are around $58,000 — the all-time high — and $59,500.

Invest w Mintos
Source: https://cointelegraph.com/news/bitcoin-whales-bought-the-dip-as-orders-for-100k-or-more-hit-all-time-highs

Continue Reading
Blockchain4 days ago

How to Protect Yourself from the Cryptojacking Threat

Blockchain1 day ago

ETC Group adds Ethereum ETP on Deutsche Borse

Blockchain4 days ago

Experts divided on BTC predictions: Bullish or super bullish?

Blockchain4 days ago

Bitcoin “Cheat Sheet” Calls For Next Leg Up To $77K

Blockchain4 days ago

BitGo To Introduce Crypto Custodial Services To New York Clients

Blockchain4 days ago

Mark Cuban’s Dallas Mavericks to Accept Dogecoin Payments

Blockchain4 days ago

Ethereum gas fees drop as daily DEX and DeFi volumes decline

Blockchain5 days ago

XRP Price Analysis: 04 March

Blockchain4 days ago

Analyst tells Tesla to dump Bitcoin for buybacks as shares plunge alongside MSTR’s

Blockchain4 days ago

Thailand’s largest movie theater chain accepts Bitcoin

Blockchain4 days ago

Decentralized Companies Are the New Norm and It’s the DAO Revolution That’s Making It Possible

Blockchain18 hours ago

NYDIG raises $200 million from strategic partners to work toward Bitcoin-focused initiatives

Blockchain4 days ago

TA: Bitcoin Price Back Below 100 SMA, Why BTC Could Retest $45K

Blockchain4 days ago

Binance Coin, Neo, Enjin Price Analysis: 05 March

Blockchain4 days ago

Co-founder of Floyd Mayweather-promoted ICO sentenced to 8 years

Blockchain1 day ago

Norwegian Oil Mogul Sets Up $58 Million Entity to Buy Bitcoin

Blockchain5 days ago

Crypto fund KR1 makes investment in blockchain data protocol LazyLedger

Blockchain4 days ago

Aave vs. Compound: Which DeFi Lending Platform is Better?

Blockchain4 days ago

PAID Crashes 70% In Minutes as Network Purportedly Exploited

Blockchain4 days ago

Blockchain Association meeting with key Biden staff about regulations

Trending