Fun

News Feed - 2023-06-29 07:06:00

Derek Andersen2 hours agoRBI lists risks of stablecoins for developing economies, calls for global regulationThe Reserve Bank of India listed six specific ways a stablecoin can undermine emerging markets, adding to its mounting case against crypto.323 Total viewsListen to article 0:00NewsJoin us on social networksStablecoins have a lot of potential to harm emerging markets and developing economies, the Reserve Bank of India (RBI) claimed in its latest Financial Stability Report, released June 28. The report listed six threats that stablecoins present.


The RBI has been a steadfast critic of cryptocurrency, but it was particularly articulate about the problems it sees with stablecoins “from an EMDE [emerging markets and developing economies] perspective.” It listed six specific problems, even though:“The lack of authenticated data and inherent data gaps in the crypto ecosystem impede a proper assessment of financial stability risks.”


A stablecoin could threaten an EMDE through currency substitution, as its underlying assets are generally denominated in freely convertible foreign currency, the report claimed. The “cryptoisation” of the economy that could result from large-scale stablecoin adoption could lead to currency mismatches “on the balance sheets of banks, firms, and households.”News Alert | RBI Financial Stability Report: Governor Shaktikanta Das on importance of tech, opportunities for growth and global cooperation among regulators #RBIFinancialStabilityReport #RBI @RBI @DasShaktikanta pic.twitter.com/D5dwkYcjwn— ET NOW (@ETNOWlive) June 28, 2023


An EMDE central bank could face problems setting the domestic interest rate and liquidity condition due to the presence of stablecoins in the economy, the RBI continued. Furthermore, the “decentralised, borderless, and pseudonymous characteristics of crypto-assets […] make them potentially attractive instruments to circumvent capital flow management measures.”


By presenting an alternative to the domestic financial system, stablecoins could interfere with banks’ ability to mobilize money and create credit by undermining credit risk assessment. Finally, the report said, peer-to-peer transactions are hard to track, which could increase the potential for their use in wrongdoing.


Related: India explores offline functionality of CBDCs — RBI executive director


The RBI took the opportunity to repeat its call for global coordination. It said:“A globally coordinated approach is warranted to analyse risks posed to EMDEs vis-à-vis AEs [advanced economies]. […] In this context, under India’s G20 presidency, one of the priorities is to create a framework for global regulation of unbacked crypto- assets, stablecoins and DeFi.”


The RBI has been more bullish on central bank digital currency (CBDC). It launched a wholesale digital rupee pilot project in November and a retail digital rupee pilot project in February. It also signed an agreement with the Central Bank of the United Arab Emirates in March to study a CBDC bridge to facilitate trade and remittances.


Magazine: Best and worst countries for crypto taxes — plus crypto tax tips# Central Bank# Adoption# India# Reserve Bank of India# Stablecoin# RBIAdd reactionAdd reactionRelated NewsWhat are fan tokens, and how do they work?A brief history of the internetGirlfriends, murdered kids, assassin androids — is AI cursed?Indian banks asked ‘to prepare for the future’ with AI and blockchainDe-dollarization: Is it really happening?Ripple partners with Colombia’s central bank to explore blockchain technology

News Feed

Biggest Movers: DOGE, ADA Nearly 10% Higher, as AXS Leads Today’s Gainers
Biggest Movers: DOGE, ADA Nearly 10% Higher, as AXS Leads Today"s Gainers DOGE was higher during today’s session, as it was reported that a Bitcoin ATM operator added the to
Micree Zhan Says He’ll Take Legal Action to Return to Bitmain
Bitcoin mining giant Bitmain’s co-founder Micree Zhan, who was abruptly ousted from the company last week, said he’s going to take legal action to secure his return to the firm.
Instagram Is ‘Exploring NFTs’ to ‘Make Them More Accessible to a Wider Audience,’ Says CEO
Instagram Is "Exploring NFTs" to "Make Them More Accessible to a Wider Audience," Says CEO According to the CEO of Instagram, Adam Mosseri, the social media application is looking
Turner Wright17 hours agoUS Attorney’s Office announces criminal fraud charges against Alex MashinskyAuthorities said they had reached a “non-prosecution agreement” with Celsius, but former CEO Alex Mashinsky will
Bitcoin analyst sees seller ‘exhaustion’ as BTC price rebounds 10%
William Suberg7 hours agoBitcoin analyst sees seller ‘exhaustion’ as BTC price rebounds 10%Bitcoin sellers run out of steam and BTC price strength returns at the Wall Street open as US stocks initially avoid copying
Technical Analysis: SHIB Climbs 50% Higher, as Meme Coin Hits $16 Billion Market Cap
Technical Analysis: SHIB Climbs 50% Higher, as Meme Coin Hits $16 Billion Market Cap Shiba inu (SHIB) is up over 50% as of writing, with cryptocurrency markets continuing to gain m
Bitcoin Liquidity Blocks Tell A Story: Here’s Why $96,000-$111,000 Is Most Important
Este artículo también está disponible en español. Although Bitcoin price action is still holding above the $100,000 price level, the past 24 hours have been highlighted b
Belgium Startup Launches Smart Chip Hardware Wallet for SLP-Based Tokens
Belgium Startup Launches Smart Chip Hardware Wallet for SLP-Based Tokens On March 1, the Simple Ledger Protocol (SLP) developers’ Twitter account revealed a new hardware wa
VanEck subsidiary’s memecoin index up 137% year-to-date
Zoltan Vardai13 hours agoVanEck subsidiary’s memecoin index up 137% year-to-dateThis represents a 15x increase compared to the S&P 500’s year-to-date returns.1027 Total views5 Total sharesListen to article 0:00Ne
William Suberg9 hours agoBTC price risks new sub-$29K dip as Binance fears test Bitcoin bullsBitcoin is not done with short-term BTC price downside, analysis predicts, with overall volatility still among its lowest-ever
Ikigai Exec Says ‘Large Majority’ of Crypto Asset Management Firm’s Funds Stuck on FTX
Ikigai Exec Says "Large Majority" of Crypto Asset Management Firm"s Funds Stuck on FTX After Kevin Zhou, the co-founder of the hedge fund Galois Capital, revealed half of the firm
Ethereum Leads Altcoin Rally with Solana and Dogecoin – Best Crypto to Buy Now
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu