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Here is how IMF is pushing Ripple and Bitcoin towards the mass adoption

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The big announcement on whether cryptos such as Ripple (XRP) will be declared as securities or not hasn’t been finalized. As of now, we can expect the big news to be announced in next couple of weeks, though. Although, the legal foundation of the world’s financial system is working tirelessly to make things better; Ripple, on the other hand, is partnering with them and other financial regulators out there.

The main problem right now is not declaring Ripple as a security, but if Ripple’s technology can be legally used for securities, commodities, stocks, bonds, and dividends – and whether Ripple’s technology can revolutionize the world’s transactions.

The world has $294 trillion financial assets, and part of it is the global market capitalization which has risen from $34 trillion to $69 trillion – this entails the amount of money that moves on a daily basis, and of course, we can now process these transactions with Ripple’s technology.

IMF is ‘bullish’ on cryptocurrencies

The IMF (International Monetary Fund) has recently expressed its support for cryptocurrencies such as Bitcoin and Ripple. IMF’s CEO, Christine Lagarde, stated that cryptos do not impose significant threats to the present-day fiat currencies.

Largarde sees cryptocurrency to be, “volatile, risky, energy incentive and because the underlying technologies are not yet scalable enough.”  Christine believes that the defects of cryptocurrency can be corrected effectively.

She further laid more emphasis on the future preference for digital currencies by saying:

Why would citizens hold onto virtual currencies rather than those physical dollars, physical euros or physical sterling’s. Because it may one day be easier and safer than obtaining paper bills, especially in remote regions and because virtual currencies could actually become more stable.”

The head of IMF had added further,

“Citizens may one day prefer virtual currencies since they potentially offer the same cost and convenience as [there could be] no cash, no settlement risks, no clearing delays, no registration, no intermediary to check accounts and identities.”

Moving forward, Lagarde declared the intentions to expand the Fund’s High-Level Advisory Group on Finance and Technology, to uphold the international organizations. Th team formed for the initiative has 19 members in it, with Ripple’s Ryan Zagone and Chris Larsen. Lagarde said.

The group will provide advice to help IMF staff deepen its understanding of FinTech issues. It will work closely with the IMF’s Interdepartmental Working Group on Finance and Technology, which was established in 2016, to study the economic and regulatory implications of developments in the area of finance and technology. Such a system (Ripple) would stand a good chance of disrupting entrenched players (e.g., Swift), according to the IMF.”

IMF has had several meetings on blockchain technology, and most of these meetings had Ripple’s Ryan Zagone participating in them – which shows that Ripple is working hand-in-hand with IMF. Ryan Zagone and Charles Larson are also collaborating with other big financial companies.

It is worth noting that IMF’s support for cryptos such as Ripple is enormous. That said, the foundation that Ripple has built is strong and steady, and one of the main reasons why there hasn’t been an increase in XRP price is since Ripple is working on laws that govern the technology for communities, technologies, etc. And yes, the SEC case against Ripple’s XRP being a security is also holding its price back. Still, “Ripple is the only company with enterprise-ready solutions in distributed ledger technology.”  

The U.S Federal Reserve

The U.S Federal Reserve has a Faster Payment Task Force Steering committee – with Ripple the only Distributed Ledger Technology platform in the committee. The U.S Federal Reserve has declared that its primary aim is to let the market choose the way out that justifies the market share.

There have been 22 proposals that were submitted to the U.S Federal Reserve, but only 19 made the Steering Committee list. Ripple on its own is currently making sure that it becomes the leading solution or the way out that justifies the market share.

The Federal Reserve further issues the 6 “effectiveness criteria” for the future of RTGS networks, which are efficiency, safety and security, governance, speed, legal, and ubiquity. Lately, Ripple has been working to match with this criteria.

Nevertheless, a report by the U.S Federal Reserve in December 2016 talked about the Interledger Protocol, further stating that the Interledger Protocol would stir the use of the DLT-based platform for cross-border transactions. Financial companies such as Unicredit, Standard Chartered, Westpac, CIBC, among others that are of the Global Payments Steering Group, “will oversee the creation and maintenance of Ripple payment transaction rules, formalized standards for activity using Ripple, and other actions to promote implementation of Ripple capabilities as our network continues to grow,” according to Ripple’s governance advisory board, which means that this Global Payments Steering Group has Ripple in mind.

Final Words

Ripple technology is faster and cheaper. For payments to settle on Ripple’s network, it only takes four seconds. For Ethereum and Bitcoin, it takes 2 minutes and 1 hours – 3 to 5 days for traditional systems. Ripple’s technology is the future of cross-border transactions and IMF is pretty confident that Ripple can take the world to the next level. And ultimately, the trust the at International Monetary Fund has in Ripple and Bitcoin, will help the cryptos in mass adoption.

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Maxpixel.net

Bitcoin

Investors Beware: Another Large Bitcoin Crash Might Be Coming

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The crypto prices have surged quite high in the last few months. Of course, their progress is nowhere near the one seen in 2017, but they appear to be getting there, one day at the time. However, things might not be as simple as that, and according to recent performance — it is more than possible that a major Bitcoin crash is incoming.

The fact is that cryptos saw a massive amount of growth in a very short period. Bitcoin itself more than doubled its price in only two months. Now, the rally is starting to crash in on itself, and the coin is already about $1,000 lower than last week. If such development does come to pass, a lot of people will experience quite large losses, although experienced investors might find some opportunities, and leverage in order to enhance their holdings’ long-term value.

For example, Bitcoin dominance is expected to crash very quickly, which will work in favor of quite a lot of altcoins. While this does not seem to be the best time to invest in BTC, altcoins are another story, and diversifying a portfolio now might end up being very profitable in days to come.

Bitcoin behavior mirrors the pre-bear market situation

The crash that analysts are predicting right now comes as a direct consequence of all the hype that has been building up in…

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Altcoins

Top 3 Coins to Buy Before They Go Big

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coins
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Crypto bulls are back, that much is clear. The long-lasting, harsh crypto winter is gone, and the new era in digital currency sector opens up some rather interesting opportunities. With many more bull runs expected to come in months ahead, a lot of coins are likely to blow up and maybe even hit new all-time highs, although that still remains purely theoretical.

On the other hand, the fact is that numerous coins are seeing prices that were not achieved since early 2018, and the overall momentum remains bullish. With that in mind, even if new records do not come for a very long time — chances are that many of the coins will blow up enough for investors to see some serious gains in months to come. As a result, investing in some of these coins now might be a very profitable decision, for those who have the patience to wait a few months. Here are some of the projects believed to have the greatest potential to go big in the second half of 2019 and beyond.

1. TRON (TRX)

Putting TRON on the list should not really surprise anyone, as the project constantly comes up with new project updates, partnerships, and alike. It also constantly breaks records, as is becoming one of the biggest players in the dApp and smart contract development sector.

In the past few…

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Blogs

Can Crypto Credit Cards Disrupt the Fight Against Financial Crime?

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crypto credit cards
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It is commonly known that the world of finances has the biggest problem with the crime of all existing industries around the world. It has been so throughout history. While the financial world has evolved, so did the criminal activities, and they continue to be an issue. With the arrival of cryptocurrencies, many were hoping that financial crime might be disrupted. However, for now, at least, it appears that cryptos themselves cannot find a way to resolve issues such as international money laundering.

In fact, when it comes to money laundering, the crypto sector appears to be the weakest link, especially because of the nature of digital currencies. The anonymity that cryptos are being praised for means that anyone can get a payment from an unknown source from anywhere in the world. This method can then be used for financing drug trafficking, cyberattacks, terrorists, and more.

Until recently, it was not easy for bad actors to make use of cryptocurrencies obtained for illegal purposes. The number of merchants willing to accept the coins was low, and criminals were forced to find a way to exchange crypto into fiat currencies. However, this came with a set of issues, such as taking foreign exchange risks and then sending the money through wallets and exchanges to a banking system that would allow withdrawal. The banking account was the biggest obstacle here,…

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