European Central Bank Policymaker Says Stablecoins Not Cause for Alarm

A European Central Bank (ECB) official has stated that users should be aware of the risks associated with the stablecoins use, but not to be alarmed. As Reuters reported on July 18, member of the ECB’s governing council and president of the Deutsche Bundesbank, Jens Weidmann said that stablecoins — digital currency designed to minimize price volatility by being pegged to another asset — offer users opportunities for prosperity, however users should be vigilant in regards of the associated risks. Weidmann delivered his comments at a news conference at a…

Samsung, Dutch Bank, Rotterdam Port Send Blockchain-Tracked Shipment

Samsung SDS, Dutch bank ABN AMRO and the Port of Rotterdam have jointly conducted a proof-of-concept (PoC) shipment from South Korea to the Netherlands in which they tracked a container exclusively using an interoperable blockchain platform, according to a report by The Maritime Executive on July 1. According to the announcement, the container was tracked via the blockchain platform “DELIVER,” which allowed for the shipment to be instantly financed, fully tracked, and conducted paperlessly.  According to Port of Rotterdam CFO Paul Smits, the traditional process of shipping is usually paper-heavy…

Bank of England Governor on Libra as a Solution to Financial Problems

Bank of England governor Mark Carney said that people need to acknowledge the issues Facebook is attempting to solve with Libra, regardless of the project’s potential downsides. Carney delivered his remarks at the Financial Stability Report press conference as seen on the Bank of England’s YouTube channel on July 11.  Carney said: “It’s way too expensive to do domestic payments. It’s way too slow, and that hurts consumers and businesses. It stifles innovation, and it’s far too expensive to send money cross-border, and there are huge financial inclusion issues related…

Bank of English Governor on Libra as a Solution to Financial Problems

Bank of England governor Mark Carney said that people need to acknowledge the issues Facebook is attempting to solve with Libra, regardless of the project’s potential downsides. Carney delivered his remarks at the Financial Stability Report press conference as seen on the Bank of England’s YouTube channel on July 11.  Carney said: “It’s way too expensive to do domestic payments. It’s way too slow, and that hurts consumers and businesses. It stifles innovation, and it’s far too expensive to send money cross-border, and there are huge financial inclusion issues related…

Poloniex Crypto Exchange Users Can Now Use Cards and Bank Accounts

Major cryptocurrency exchange Poloniex announced that it now allows its customers to use credit cards and bank accounts on the platform in a Medium post published on July 9. Per the release, exchange users from 80 countries can now directly move funds to and from their bank accounts, which will be automatically converted into stablecoin USD Coin (USDC) on Poloniex.  Initially, the weekly limits are $50,000 for deposits and $25,000 for withdrawals, but the exchange admits that those limits can be increased to fit the needs of specific customers.  Customers…

Bitcoin’s Clobbering Bank Stocks So Badly It’s Not Even Funny

According to data published by crypto research firm Messari, bitcoin has massively outperformed the largest banking stocks in the world over the past five years. In fact, the cryptocurrency is pummeling them so badly it’s not even funny anymore. They say a picture is worth a thousand words But this is worth 5: “Long bitcoin, short the bankers” pic.twitter.com/HI2DdO6ria — Jack Purdy (@jpurd17) July 10, 2019 JPMorgan, Bank of America, Deutsche Bank, Morgan Stanley, Citigroup, and Wells Fargo have recorded total returns in the range of -89 percent to -99…

The Provident Bank Now Offers Deposit Services for Crypto-Related Entities

American community bank The Provident Bank has begun offering deposit services to digital currency-related customers, according to an announcement published on July 9. The Provident Bank now offers deposit and other banking services to cryptocurrency issuers, exchangers and investors. The bank deploys Bitfury’s blockchain analytics tool Crystal that maps cryptocurrency transactions and related entities to reveal suspicious funds and parties. Crystal will purportedly ensure that the bank’s new clients are compliant with the anti-money laundering and Know Your Customer procedures. Additionally, the bank claims to provide full insurance to customers’…

China’s Central Bank Developing Own Digital Currency in Response to Libra

China’s central bank is reportedly developing its own digital currency in response to Facebook’s Libra as the latter could purportedly pose a risk to the country’s financial system, the South China Morning Post reported on July 8. Wang Xin, director of the People’s Bank of China (PBoC) research bureau, argued that “if [Libra] is widely used for payments, cross-border payments in particular, would it be able to function like money and accordingly have a large influence on monetary policy, financial stability and the international monetary system?”  Wang said that the…

As Deutsche Bank Axes 18,000 Jobs, Bitcoin Offers a Powerful ‘Plan ฿’

Deutsche Bank taking an axe to 18,000 jobs and winding down its investment banking arm paints a bleak picture of traditional finance at a time of booming growth for crypto. As reported by Reuters on July 7, Deutsche Bank’s momentous decision will entail the bank exiting its equities sales and trading business — which had reportedly raked in €1.96 billion ($2.20 billion) in revenue in 2018.  While retaining a small-scale equity capital markets business, DB also plans to rein in its fixed-income business — in particular, its rates trading desks…