Coinbase dominated the news this week, adding support for Dogecoin( DOGE) and further improving its Coinbase Card
Coinbase Lists DOGE and Extends Coinbase Card Support
Leading US-based crypto exchange Coinbase officially listed Dogecoin on its Pro platform earlier this week. This comes after the announcement of support a few weeks ago. Dogecoin is one of the best performing cryptocurrencies this year, with a value increase of over 6,000% since the beginning of the year. Although the price has fallen in recent weeks, the cryptocurrency listed on Coinbase has pushed its price back up, and it looks like it will soon reach the $0,5 mark again.
In addition, the cryptocurrency exchange has expanded the usability of its Coinbase Card. Coinbase announced earlier this week that its users can now link the Coinbase Card to Apple Pay and Google Pay. The card has been integrated with Google and Apple Pay, allowing users to use their cryptocurrencies to pay for everyday goods and services through the supported payment platforms.
BNY Mellon expands its presence in the crypto space
Traditional financial institutions seem to be pouring into the crypto space every week. With the opening of a cryptocurrency custody solution in Ireland, BNY Mellon, the oldest bank in America, has expanded its presence in the market this week. BNY Mellon will offer the service through a new digital asset unit called the Digital Innovation Hub. The Dublin-based company will act as a custodian of cryptocurrencies such as Bitcoin and other digital assets such as non-fungible tokens (NFTs). With the Digital Innovation Hub, institutional investors can easily hold, transfer and spend digital assets. By offering more crypto-related services to their clients, BNY Mellon is creating a place for itself as one of the leading traditional financial institutions.
Guggenheim Applies for a new fund to Get Involved in Bitcoin
Global investment firm Guggenheim wants to allow its investors to engage in cryptocurrencies after filing an application with the Securities and Exchange Commission. The Guggenheim Active Allocation Fund would be a diversified, closed-end management mutual fund that would give investors access to a wide range of assets, including Bitcoin and other cryptocurrencies. Guggenheim’s goal is to build exposure to Bitcoin through exchange-traded futures, cryptocurrency derivative contracts, and investment tools that provide access to BTC. The firm said it has requested access to cryptocurrencies due to massive demand from its investors. However, Guggenheim warned that investors could face significant losses due to the volatile nature of cryptocurrencies.
Google Allows Crypto Exchanges and Wallets to Target US Users
Search engine giant Google announced that from August 3, cryptocurrency exchanges and wallet services will be able to show ads targeting US users. Google banned crypto-related ads in March 2018. However, she partially lifted the ban in the same year. The company said it would only allow exchanges and wallet service providers with a federal or statewide banking license to serve ads and target U.S. users. The companies must also meet other requirements, such as keeping the ad and landing page in compliance with Google Ads policies. Cryptocurrency exchanges have experienced massive growth in recent years, with the current bull market leading to tremendous adoption.
SEC Delays Decision on WisdomTree Bitcoin ETF Application
The US Securities and Exchange Commission (SEC) has postponed the decision on the application of WisdomTree Bitcoin ETF for another 45 days. The regulator should decide on the approval or rejection of the application on 30 May. However, she has moved the date forward and will make her decision on 14 July. This is the second application for a Bitcoin ETF that the SEC has postponed. The extension of VanEck’s exam came a few weeks ago. The US Securities and Exchange Commission (SEC) has rejected all Bitcoin ETF applications filed in the past, but now has to consider nine Bitcoin and three Ether ETF applications. While there are no cryptocurrency-focused ETFs in the US yet, Canada is a trailblazer with several Bitcoin and Ether ETFs.
CBDCs are on the rise
Discussions about central bank digital currencies have increased in various parts of the world in recent months. Earlier this week, Yao Qian, a former director of PBOC’s Digital Currency Research Institute, stated that he believes CBDCs can run on the Ethereum network. According to Qian, the functionalities of CBDCs should go beyond the digital version of physical cash, they should include more features such as smart contracts and more. However, Qian said that further efforts still need to be made with smart contracts to ensure their security before they can be deployed on CBDCs.
The European Central Bank published a paper earlier this week warning of the risks to financial stability if central banks do not develop and issue CBDCs. According to the authors, attention should be paid to the stability risks that could arise if a central bank does not offer CBDC. Issuing central bank digital currencies would help maintain the autonomy of local payment systems and the international use of a currency in a digital world. Several central banks are already developing their CBDCs, while others are investing heavily in their research. The ECB under Christine Lagarde is open to the idea of developing and spending the digital euro. However, the bank is trying to find the right infrastructure for the digital euro, and Lagarde believes that it could be introduced by 2025.