Connect with us

Altcoins

Can IBM’s Stellar-powered BWW make Ripple scratch its head?

Published

on

Ripple Stellar IBM
READ LATER - DOWNLOAD THIS POST AS PDF

A few days ago the technology giant IBM announced to be preparing a project for cross-border payments dubbed ‘Blockchain World Wire (BWW).’ The solution aims to revolutionize the finance sector by introducing a seamless protocol capable of reducing costs and transactions speeds to nearly a real-time matter. Oh, wait. Where have we heard that before? That’s right. This sounds a lot like the blockchain-based solutions that Ripple introduced to us long ago, xRapid, and xCurrent.

To create the ambitious project, IBM has partnered with Stellar Lumens and has agreed to use its blockchain protocol ‘The Stellar protocol,’ the channel in which transactions are going to be enabled. In fact, the partnership between these two was known since the beginning of the year, but it wasn’t until now that the project has been announced.

In lights of the goals of the initiative, the Blockchain World Wire not only supposes a great competency to SWIFT, the global (and archaic) cross-border payment solution that is used right now; it also represents a considerable obstacle for Ripple’s solutions to continue their path towards mass adoption. Let’s check out how it goes.

How does the Blockchain World Wire work?

Blockchain World Wire will eliminate intermediary institutions that are normally required on transactions by introducing the groundbreaking figure of a stable coin. Let’s recall a stable coin is a virtual currency that is meant to have a stable value, or in other words, a value that doesn’t depend on the supply and demand of the market.

Regarding this, the website of the company published a message saying,

“Sending money across borders today requires a series of intermediaries for both clearing and settlement, each adding time and cost to the process.”

Like this, with the addition of a stable coin in the process, IBM will collaborate to clear and settle payments with finality, and that will happen in near real time.

The process that BWW will deploy can be divided into three steps. The first one being the agreement that the transacting entities will commit to by using a stable coin as a transactional bridge, this stable coin can be either a central bank digital currency or any of the virtual currencies of the crypto sector.

Like this, the digital asset utilized can make the transaction smoother and serves as an instruction that the involved financial institution can follow by using its own payment system integrating it to the BWW through the use of a group of APIs.

The second step would involve the correct plugging of the payment system of the financial institution to the Blockchain World Wire, and the exchange or conversion of the first fiat currency into a digital asset at bank A. Then, it would appear the step number three, which would be the transmission of the digital currency to another institution denominated bank B. In this stage, the digital currency will be simultaneously converted into the second fiat currency, and this would be the finalization of the process.

At the end of the transaction, the details of the operation are recorded onto an unchangeable blockchain, and like this, the transaction gets cleared. With relation to this, the Blockchain services head, Jesse Lund, stated:

“What we really want to do is enable all sorts of digital transactional networks to settle their transactions with digital fiat currency on the same blockchain networks.”

The project will be launched in the upcoming event SIBOS that will be held in Sydney in the coming month. It worths to mention that SWIFT is organizing SIBOS.

Conclusion

The Blockchain World Wire undoubtedly represents a massive competition for both SWIFT and Ripple’s solutions. It’s an innovative payment system that has it all to become the next mass adopted payment network, and to that, we need to add the enormous endorsement that represents IBM and the Stellar Network.

However, when it comes to recognition, Ripple has more time with its solutions being launched, and is currently adopted by several institutions such as Banco de Santander, Mastercard, American Express, Western Union, and others… While BWW is only just under development.

We all need to wait to see the final results, but surely Ripple needs to snap out of it and come out with a strategy if it doesn’t want to lose the battle. Stay tuned.

For the latest cryptocurrency news, join our Telegram!

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 thorough research before investing in any cryptocurrency and read our full disclaimer.

Photo by Carolina Heza on Unsplash

Altcoins

SonicX and Dash Could Challenge Facebook’s Libra for Global Payments Market Share

Published

on

SonicX
READ LATER - DOWNLOAD THIS POST AS PDF

When Satoshi Nakamoto unveiled Bitcoin to the world, the dream was always for Bitcoin to serve as a new universal currency.  It would be free from the bureaucracy of governments.  And free from the tyranny of the old-world financial cartels.  Although the dream hasn’t yet materialized, it comes closer and closer with each passing day.

One of the biggest roadblocks for Bitcoin has been scalability.  At a speed of approximately 7 transactions per second, Bitcoin lags behind other cryptocurrencies like Ripple and global payment processors like Visa.  Many expect the lightning network to have a positive impact on Bitcoin’s TPS but until that comes to fruition, mass adoption will likely need another significant development.

Libra Currency Announcement

One development that could help pave the way toward mass adoption is the launch of the Libra currency.  Libra is expected to go live during the first half of 2020 according to Facebook’s June announcement.  According to Facebook, Libra will make sending money online cheaper and faster.  It will also have a hand in improving access to financial services, especially for the unbanked.  Given Facebook’s global reach, including many third world countries, providing financial access to the unbanked could provide a huge spark to global economies.  Additionally, it could provide the growth spark that cryptocurrency needs.

Facebook’s most popular messenger, WhatsApp, has approximately 1.5 billion monthly users.  This application is…

Continue Reading

Altcoins

Encrypgen’s New HODLING Incentive Program May Send DNA Token Soaring

Published

on

Encrypgen
READ LATER - DOWNLOAD THIS POST AS PDF

Cryptocurrency traders have enjoyed a Bitcoin moon shot during the past few months.  Those gains have created a much more enjoyable environment for crypto bulls.  Whether it’s a temporary or permanent increase remains to be seen but hitting the 10,000 level has put everyone in a better mood.  Unfortunately, altcoins have not had experienced the same type of gains and are lagging significantly behind Bitcoin.

I’ve written articles in the past year that there is at least a decent chance that many altcoins won’t survive the current environment.  The ones that do will do so because they created a platform that has real world usage.  After spending countless hours researching many of the existing altcoins, I’ve yet to see a company that is more promising than Encrypgen (DNA).

Encrypgen Background Information

Encrypgen is a genomic blockchain network that provides customers and partners with best-in-class, next generation, blockchain security for protecting, sharing and re-marketing genomic data. This creates a fair marketplace for a person’s DNA that can be stored privately and sold (if a person wishes to do that). A person’s DNA can also be shared privately and securely with their physician for their personalized care.

Typically, people can send their DNA off to a lab to find out who they are and where they come from. As fun as that might sound, there is a significant security problem…

Continue Reading

Altcoins

Top 3 Coins to Buy Before They Go Big

Published

on

coins
READ LATER - DOWNLOAD THIS POST AS PDF

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…

Continue Reading

Elite