PayPals Venmo has launched support for cryptocurrencies this week, although Bitcoin and other cryptocurrencies are once again experiencing sellouts
Bitcoin price falls below 50,000 USD
The cryptocurrency market posted massive losses last week. Bitcoin initially fell from a stand at $ 60,000 last weekend and was trading in the range of $ 54,000. Within a few hours it fell by over 10 %. The market recovered during the week, but Bitcoin is currently trading below $ 50,000 after losing another 10% in the last 24 hours. The loss also extended to other cryptocurrencies. Ethereum, Binance Coin,Ripple and others were traded in the red.
Venmo adds support for four cryptocurrencies
PayPal-owned company Venmo announced new support for cryptocurrencies earlier this week. The payment app said its 70 million users in the United States could now buy, sell and store four coins: Bitcoin, Ethereum, Bitcoin Cash, and Litecoin. Venmo added that users also crypto trends, view and access to guides and Videos in the App can get to answer frequently asked questions. The payment app ventured into the crypto space a few months later as the parent company PayPal. PayPal had started offering cryptocurrency services. Venmo’s senior vice president Darrell Esch said the latest development will help customers explore the world of cryptocurrencies and learn more about the topic. The company said that more than 30% of its customers are already buying cryptocurrencies, with the majority venturing into the market in the wake of the coronavirus pandemic.
China sees alternative assets in cryptocurrencies
China has recognised cryptocurrencies as alternative investment instruments for the first time. Li Bo, deputy governor of the People’s Bank of China (PBoC), said that the bank considers cryptocurrencies as alternative assets. However, he added that from the Central Bank’s perspective, there would continue to be regulatory risks related to cryptocurrencies. That is why the Central Bank has banned Initial Coin offerings (ICOs) and crypto exchanges in the country. With regard to stablecoins, the PBoC also has concerns and believes that greater regulation is needed for them. China was previously the world’s largest cryptocurrency market. However, the country lost this position after the government banned the operation of crypto exchanges in the country.
Facebook’s Digital currency Diem launches this year
Facebook-backed Stablecoin Diem is expected to be launched before the end of the year. The project stalled due to regulatory concerns. Facebook launched the Stablecoin project in 2019 (then under the name Libra). The Libra coin will be a universal stablecoin tied to numerous fiat currencies. However, he met with resistance from regulators and politicians. They believe Libra will destabilize the current financial ecosystem. The project was later renamed Diem. A source familiar with the project said the stablecoin could be launched before the end of the year. Diem would start with a dollar-linked stablecoin before expanding to other fiat currencies.
TIME magazine now accepts cryptocurrencies on digital subscriptions
The century-old Time Magazine announced at the beginning of the week that it would accept cryptocurrencies as a means of payment for digital subscriptions in the future. The editor has dealt with Crypto.com teamed up to offer subscribers in the US and Canada the ability to pay for their services using cryptocurrencies. For the coming months, TIME plans to extend the payment feature to subscribers from other parts of the world. Subscribers make a one-time purchase with cryptocurrencies and get unlimited access to the content for 18 months Time.com. In addition, you can enjoy events and exclusive subscriber offers. The move came after TIME had minted and auctioned some NFT pieces and teamed up with Grayscale Investments to create videos on cryptocurrencies. The magazine also announced to keep the Bitcoin in its balance sheet.
Thodex Exchange users do not have access to their money
Users of the Turkish crypto exchange Thodex fear large losses because they do not have access to their funds on the trading platform. The CEO of the stock exchange, Fatih Ozer, was unavailable. Users believe he fled the country. The crypto exchange has almost 400,000 users. The CEO is suspected to have burned through with over 2 billion US dollars. A group of platform users has appointed the lawyer Oguz Evren Kilic with a legal complaint. The authorities then launched a formal investigation into the incident. Ozer is said to have fled to Albania. According to this recent development, the Turkish authorities are calling for stricter regulation of the crypto space. This is how you want to ensure that there are no more such incidents in the future.
UK forms taskforce for possible digital currency of Bank of England
The UK has formed a task force to look at the potential development of a Central Bank digital currency (CBDC). The Chancellor of the Exchequer Rishi Sunak announced this earlier this week. He added that the task force would be composed of representatives from the Ministry of Finance and the Bank of England. The minister said the UK would expand its CBDC development efforts as most countries now recognise the need to develop and issue such a currency. The UK will also set up a new financial market infrastructure for companies called “sandbox” for innovations such as distributed ledger technologies. This latest development puts the UK on par with other countries currently looking for ways to develop and release CBDCs.
Louis Vuitton, Cartier and Prada adopt blockchain solution
Luxury brands Louis Vuitton, Cartier and Prada have introduced a blockchain solution that allows customers to verify the authenticity of their goods. The service is available to customers who want an additional seal of authenticity for luxury products. The Aura blockchain makes products more comprehensible and transparent. It provides customers with an encrypted warranty certificate that allows them to easily identify whether or not products purchased are counterfeit. The three companies expect that additional luxury brands will join the consortium and take over the blockchain solution.