Paolo Ardoino, Tether’s CTO, recently discussed the role of Tether Gold ($XAUT), Bitcoin, and gold in the evolving economic landscape. Ardoino emphasized the similar characteristics shared by Bitcoin and gold, namely their limited supply and the complexity of extraction. However, he pointed out gold’s physical limitations, such as weight and the need for secure storage, which inspired Tether’s creation of $XAUT.
He clarified that $XAUT, a digital token backed 100% by physical gold, isn’t competing with Bitcoin but offers an alternative to traditional fiat money. Despite Bitcoin’s unique properties, he acknowledged that its understanding remains a challenge for many. Tether is thus committed to the long-term project of Bitcoin education.
Ardoino portrayed $XAUT as an accessible first step towards moving away from fiat money and into the digital paradigm. He also revealed the growing recognition of $XAUT, with a market cap of ~$500 million, global trading support, and potential adoption by banks as an inflation hedge. He concluded by stating that Tether Gold is effectively resurrecting the gold standard in a digitized form.
The cryptocurrency community is always looking for new methods to use decentralized finance (DeFi) technologies in order to close the gap that exists between conventional finance and fiat currencies. A main means through which consumers may traverse between these two financial ecosystems is via the use of crypto on-ramp services.
In addition, if there are complications throughout the transaction process, there is a possibility that as many as 90 percent of customers would leave their purchases in the middle of the flow.
The research looked at nine of the most popular fiat-to-cryptocurrency exchanges, such as Coinify, MoonPay, Transak, and Wyre, among others.
According to the statistics, the performance of the different onramps varies greatly; nonetheless, the position of the user is one of the primary elements to consider. The transaction success rates in Europe were among the highest in the world, while those in Africa and South America were among the lowest.
Payment methods, the fiat currency that was converted into cryptocurrency, and the available trading pairings are some of the other elements that influenced transactions on cryptocurrency exchanges. The use of bank transfers as a means of payment has been shown to have higher success rates in transaction completion rates, reaching almost 100% success in two separate cases.
In addition, the value of the transaction was a significant factor in determining whether or not it was successful. Transactions ranging from zero to twenty-six dollars had an authorization rate of sixty-six percent, whereas those with a value of more than five thousand dollars had an authorization rate of nineteen percent on average.
The study came to the conclusion that one of the potential solutions to problems with transaction authorisation might be for token service providers to provide as comprehensive a selection as they can manage of aggregated onramps via a single interface. Another solution is to dynamically route transactions in order to provide consumers with the solution that is most suitable for their circumstances.
Paolo Ardoino, chief technical officer of Tether, made this statement not too long ago at the World Economic Forum. He referred to the platform’s stablecoin Tether (USDT) as an on-ramp for Bitcoin (BTC).
The Hong Kong Monetary Authority has identified its soon-to-be-released retail central bank digital money as a possible entry point into the decentralized finance arena.
Although the billionaire Ray Dalio feels that fiat currency is in danger, he is also of the opinion that neither Bitcoin (BTC) nor stablecoins are the solution to the problem. As a kind of reaction, individuals of the cryptocurrency community have taken to Twitter to share their thoughts on the matter.
During a recent appearance on the show Squawk on CNBC, Dalio was asked about his thoughts on Bitcoin as a possible solution to the issues that are caused by fiat money. The billionaire claimed that it would not be useful as a means of commerce or as a place to keep riches. In addition to this point, Dalio emphasised that stablecoins are only imitations of state-backed currencies and hence would not be an efficient form of currency.
Bitcoin users were quick to reply to the interview, stating that Dalio’s definition of what money should be is already reflected in Bitcoin. Additionally, a Twitter user identified many intrinsic properties of Bitcoin and pointed out that it provides the answer Dalio is seeking for. A member of the community tweeted: One member of the community believes that Bitcoin is the solution to the monetary issue that Dalio outlined because of the cryptocurrency’s resilience to censorship, neutrality, openness, limited supply, and freedom from control.
While this was going on, a different member of the Bitcoin community said that Dalio had “orange pilled” them with his views on the history of money. The opinion of the Twitter user is that the interview demonstrates that the billionaire is getting closer and closer to “really understanding Bitcoin.”
His view on Bitcoin has traditionally shifted back and forth between bullish and bearish for Dalio. In 2021, he moved from characterising Bitcoin as “one heck of an innovation” to adopting a more pessimistic storyline, during which he discussed the possibility of a ban on Bitcoin being enacted in the United States and said that he would prefer gold over Bitcoin as a medium of exchange.
In 2022, the billionaire advocated for an allocation of between one and two percent of investor portfolios to Bitcoin. Back then, Dalio lauded Bitcoin for its resistance to hackers and said that there is no other cryptocurrency that can compete with it on the market.
The cryptocurrency ecosystem has come a long way since the launch of Bitcoin (BTC) and in the last few years smart contracts have revolutionized the industry. With that said, there is still plenty of progress to be made when it comes to integrating blockchain technology to peer-to-peer, business to business and business to consumer payment systems.
Alchemy Pay aims to further the adoption of cryptocurrencies through its hybrid payments system and in the last week its ACH token gained 77% to trade at $0.0625 on Feb. 9.
ACH/USDT 4-hour chart. Source: TradingView
Three reasons for the uptick in ACH price include the cross-chain launch of ACH on the Binance Smart Chain (BSC), multiple new exchange listings that have helped expand access to the token and the integration of Alchemy Pay with multiple blockchain projects across the ecosystem.
ACH joins Binance Smart Chain
The most significant development for the Alchemy Pay protocol was its launch on the Binance Smart Chain at the end of January.
$ACH is live on the Binance Smart Chain!
ACH (BEP-20) staking campaign to earn $STORE announced soon!
— Alchemy Pay | $ACH (@AlchemyPay) January 30, 2022
Aside from allowing for cheaper transactions for ACH users, the cross-chain integration also helped increase the pool of available investors in ACH through the listing of tokens on BSC-based decentralized exchanges like PancakeSwap.
Alchemy Pay also partnered with Bit.Store to conduct an airdrop of the project’s STORE token as a way to reward community members and encourage future collaborations.
Fresh exchange listings tend to boost altcoin prices
A second factor helping boost the momentum in the price of ACH has been its listing on multiple exchanges, including Binance on Jan. 10.
#Binance will list @AlchemyPay $ACH and @Immutable $IMX https://t.co/smkEblDzRP
— Binance (@binance) January 10, 2022
Other notable exchange listings over the past month include WazirX, CoinEx Global, MEXC Global, ONUS Finance, Tokocrypto and XT Exchange.
Several exchanges, including Binance, have also introduced high-yielding staking products to help attract liquidity and Gate recently added a 3X leveraged ACH instrument.
Related:Cointelegraph Research: Valuing a crypto payment token
Integrations across the crypto ecosystem
A third development that has solidified support for ACH has been the integration of Alchemy Pay with multiple blockchain networks and this should speed up the launch of fiat payments.
Networks and protocols that have integrated Alchemy Pay since mid-December include IoTeX, Avalanche, Polygon, Algorand, NIUM, MakerDAO and SimpleHold.
VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for ACH on Feb. 8, prior to the recent price rise.
The VORTECS™ Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.
VORTECS™ Score (green) vs. ACH price. Source:Cointelegraph Markets Pro
As seen in the chart above, the VORTECS™ Score for ACH spiked into the green and reached a high of 74 on Feb. 8, around four hours before the price increased 55.5% over the next day.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
The wish of owning cryptocurrencies this Christmas came true for a 12-year-old schoolkid with an intelligence quotient (IQ) higher than Albert Einstein.
Barnaby Swinburn, a resident of Bristol, England had asked for two Christmas presents, a Mensa test for testing his IQ and a cryptocurrency portfolio. According to BristolLive, Swinburn scored the highest possible score of 162 on the test, beating Einstien’s IQ of 160. As a result, the schoolboy became a member of the high-IQ society, which intakes the top 2% of the highest Mensa scorers.
Speaking about cryptocurrencies, Swinburn’s mother Ghislaine said:
“He’s been watching the markets. He’ll be getting an envelope with money in it for Christmas which he’ll turn into cryptocurrency.”
In tune with his interest in crypto, Swinburn wants to grow up to become a programmer. “He’s already looking at university courses, and he wants to go to Oxford,” Ghislaine added.
Related:Brazilian toddler makes over 6,500% profit on her first Bitcoin holding
A Brazilian father gifted his newborn daughter 1 Bitcoin (BTC) back in 2017 when it was priced at roughly $915.80. Fast-forward four years, the young girl witnessed a return of over 6,500% as BTC surged above $60,000 back on Oct. 17.
The father, João Canhada, who is also the founder of a Brazilian crypto exchange Foxbit, later realized that the year 2017 was the last chance for him to purchase Bitcoin under $1000:
“As soon as my daughter was born, in 2017, I bought 1 Bitcoin for her, not just as a gift, but as a way of investing in this new economy. At the time, BTC cost 5,000 Brazilian Real.”
Turkey’s President Recep Tayyip Erdoğan has reportedly confirmed the completion of a crypto law draft that will soon be shared with the Parliament for mainstream implementation in the country.
In an effort to counter the falling value of the Turkish lira, President Erdoğan shared plans to implement a new economic model while speaking at a press conference in Istanbul. As reported by local media NTV, Erdoğan said that the cryptocurrency bill is ready, adding:
“We will take steps on this issue by sending it to Parliament without delay.”
Acknowledging the country’s recent inflationary episode, Erdoğan said that the currency event is not related to mathematics but a matter of process — implying a possibility and potential of lira’s value growth:
“With this understanding, we intend to channel it to a dry spot. But the exchange rate will find its own price on the market.”
With the introduction of the new crypto law, the president envisions Turkey to become one of the 10 largest economies in the world. Speaking about the rising prices in the region, he shared plans to follow the people who change the labels of the price list organizers several times a day. “We want them to lower the dollar’s increases now,” he concluded.
Related:Bitcoin hits new all-time high in Turkey as fiat currency lira goes into freefall
On Nov. 23, Bitcoin holders in Turkey avoided an accelerating currency collapse as the lira lost 15% against the U.S. dollar in a single day.
As Cointelegraph reported, the fiat currency’s fall resulted in Bitcoin (BTC) reaching a new all-time high against the Turkish lira. The BTC/TRY trading pair reached 723,329 Turkish lira on Binance.
Major cryptocurrency exchange Crypto.com continues expanding its crypto on-ramp and off-ramp solutions with a new partnership with the California state-chartered bank Silvergate.
Crypto.com announced on Nov. 30 that it is working with Silvergate to allow institutional clients to deposit and withdraw from the exchange using the U.S. dollar (USD).
According to the announcement, bank transfers to and from the Crypto.com exchange are now available for institutional investors. With the help of Silvergate, institutional clients can transfer USD between their bank accounts and Crypto.com with no fees.
The new feature is enabled through the Silvergate Exchange Network, a payments platform enabling users to instantly send U.S. dollars at any time of the day. The feature will be available to institutional clients in all exchange available markets, the announcement notes.
Crypto.com co-founder and CEO Kris Marszalek said that the new feature is “highly requested” and supports the company’s vision of accelerating the world’s transition to cryptocurrency. “We are excited to work with Silvergate to provide an additional fiat on/off ramp solution to our institutional clients,” he added.
As previously reported, Crypto.com has been working with the USD Coin (USDC) stablecoin issuer Circle to provide USD deposits and withdrawals on its platform.
Crypto.com launched withdrawals through USD bank transfers for institutional clients across more than 60 countries via Circle API in August. The exchange previously partnered with Circle to enable USD deposits and USDC transfers for users in more than 30 countries.
Related:Silvergate Bank issues $100M credit line to mining firm Marathon Digital
Silvergate is a crypto-focused bank known as the issuer of Facebook’s not-yet-launched digital currency Diem USD and the manager of its reserve. The bank also assisted the launch of El Salvador’s government-backed Bitcoin (BTC) wallet Chivo, acting as a responsible entity for facilitating Chivo’s U.S. dollar transactions.
Central bank digital currencies (CBDC), digital versions of national currencies introduced in response to growing cryptocurrency adoption, would be an essential tool for combating crypto, according to the Bank of Indonesia.
The central bank of Indonesia is considering launching a digital rupiah to “fight” against cryptocurrencies like Bitcoin (BTC), Bank of Indonesia’s assistant governor Juda Agung said at a recent parliamentary meeting.
“A CBDC would be one of the tools to fight crypto. We assume that people would find CBDC more credible than crypto. CBDC would be part of an effort to address the use of crypto in financial transactions,” Agung stated, according to a Nov. 30 Bloomberg report.
The official noted that cryptocurrencies like Bitcoin are currently traded alongside commodity futures and regulated by the trade ministry despite severe impacts on the financial system.
The news comes shortly after the National Ulema Council (MUI), Indonesia’s top Islamic scholarly body, reportedly found cryptocurrencies like Bitcoin to be haram, or forbidden, by the tenets of Islam. The East Java branch of one of MUI previously issued a statement deeming the use of the cryptocurrency haram in late October.
As previously reported, the Indonesian government has taken a mixed stance on crypto regulation. Despite banning cryptocurrency payments back in 2017, local authorities have opted to keep cryptocurrency trading legal. In April 2021, Indonesia’s Commodity Futures Trading Regulatory Agency (Bappebti) of the Ministry of Trading reportedly announced plans to launch a government-backed crypto exchange in the second half of 2021.
While maintaining a mixed stance on crypto, Indonesian regulators have been increasingly looking at a potential CBDC. In May, the Bank of Indonesia Governor Perry Warjiyo announced plans to launch a digital rupiah as a legal payment instrument in Indonesia.
Related:Retail-focused Singaporean CBDC to hedge against privately issued stablecoins
CBDCs like the Chinese digital yuan are apparently designed to curb cryptocurrency adoption as one of their key features. Indonesia is not alone in thinking that CBDCs can help governments combat crypto. In mid-November, Bank of Russia’s governor Elvira Nabiullina said that CBDCs should serve as a good option for governments to replace decentralized cryptocurrencies like Bitcoin.
Bank of England governor Andrew Bailey has expressed concerns over El Salvador’s adoption of Bitcoin (BTC) as legal tender after President Nayib Bukele announced the launch of Bitcoin City.
Bailey argued that El Salvador’s decision to adopt Bitcoin as a currency was alarming because consumers are likely to suffer from the cryptocurrency’s extreme volatility.
Trading around $43,000 on the first day of El Salvador’s Bitcoin adoption as legal tender, Bitcoin surged to a new historical high above $68,000 on Nov. 9. BTC price has significantly tumbled since then, with Bitcoin trading at $54,626 at the time of writing.
Bitcoin 90-day price chart. Source: CoinGecko
“It concerns me that a country would choose it as its national currency,” Bailey said at the Cambridge University student union appearance, Bloomberg reported Nov. 25.
The governor also questioned whether El Salvador citizens understand the nature and the volatility of Bitcoin at all, which causes his biggest concern.
Bailey also cited a new statement on El Salvador by the International Monetary Fund (IMF), which is responsible for tracking risks to global financial systems. Issued on Monday, the statement outlines “significant risks” arising from Bitcoin as a legal tender and Bitcoin trading in El Salvador.
The IMF previously issued a warning against El Salvador’s Bitcoin Law in June, which didn’t prevent the country from adopting it and accepting BTC as legal tender in September. Bailey added that the BoE is studying whether to launch a central bank digital currency (CBDC), stating:
“There is a strong case for digital currencies, but in our view, it has to be stable, particularly if it’s being used for payments. That is not true for crypto assets.”
Related:El Salvador’s dollar debt dives on Bitcoin bond plans
The news comes shortly after BoE deputy governor for financial stability Sir Jon Cunliffe declared that CBDCs are a “revolution in the functionality of money driven by technology.” On the other hand, the majority of the British adult population were skeptical and concerned about a potential CBDC adoption in an August survey by Redfield & Wilton Strategies.
