The Basel Committee on Banking Supervision (BCBS) which is the international banking authority, issued a warning on crypto assets today, March 13 that we are discussing more about in our crypto news below.
The BCBS is a committee of banking authorities that conduct supervision which is supported and hosted by the Switzerland-based Bank for International Settlements (BIS) that is actually an organization consisted of 60 of the largest central banks in the world.
According to the issued statement, the committee warns that the massive growth of he crypto industry could pose a serious threat and to ‘’raise financial stability concerns and increase risks faced by banks.’’ The committee also pointed out that the risks were already here despite the crypto market’s small scale when compared to the entire, global financial system.
The BCBS also made clear that the crypto assets are ‘’unsafe to rely on’’ as a store of value or as a medium of exchange which are the two most important functions of money while actually saying that cryptocurrency is a living contradiction. Providing a list of risks associated with the relations between a bank and a crypto related business, there are the ones that we are most familiar with including money laundering, terrorist financing, hacking and fraud. For that reason, the committee provided another list of the minimum requirements for a bank to be able to operate with crypto-related services.
The committee also pointed out that if a bank decides to work with crypto-related assets, first it should ensure that it has the relevant technical expertise which can bring for the bank to accurately evaluate the risks that come out by using or doing business with crypto assets. The bank should also guarantee a clear and effective risk management framework for an improved protection of the relevant data of the bank.
The bank should also be able to disclose any other crypto-related services together with the usual financing disclosures but most importantly to e complaint with all the general and local regulations.
Back in January, the BIS published a research where they claim that the departing from the Proof-of-work bitcoin system won’t actually solve any major issue that occur by the biggest cryptocurrency. Also, the BIS reported that nearly 70 percent of the global central banks are looking into the benefits of the central bank digital currencies issuance but clear plans for an implementation are still far away and depending on the context and timing.
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Binance.US Begins Registration Today: 13 States Excluded
"Launching tomorrow, Binance.US is a fast and secure digital asset marketplace, delivering the world’s leading digital asset trading technology, speed, and experience to everyday users in America," the post said.According to an official blog post which went viral in the Bitcoin and altcoin news published on September 17, the exchange will start the registration at 8am ET on September 18 in most of the US states. The list will exclude the states of Alabama, Alaska, Connecticut, Florida, Georgia, Hawaii, Idaho, Louisiana, New York, North Carolina, Texas, Vermont and Washington.
“Although it is upsetting that we cannot offer Binance.US in [these] states [...] at this time, please rest assured that this is just the beginning, and it is our mission to bring access to those of you in these states many of us call home,” the post continues.Once the registration process starts, Binance.US will start accepting inbound transfers for Bitcoin (BTC), Ether (ETH), Ripple (XRP), Bitcoin Cash (BCH), Litecoin (LTC), Tether (USDT) and USD "upon appropriate account verification" as the exchange revealed. According to the announcement, there would be no trading fees until November 1st. A popular question in the coming altcoin news are the trading fees. As Binance.US stated in the post, they are an "independent entity" which means that any of the digital assets held by other trading venues or custody solutions "will not automatically transfer to Binance.US." The fees for personal accounts are 0.10% per trade (flat) which means that if you buy $100 of BTC, the fee will be $0.10. Binance.US also noted that the exchange will be separate from Binance.com since the former is a separate company operated by BAM Trading Services. Currently, US users and their digital assets will also be stored in Binance.US wallets. As many best cryptocurrency news sites reported on September 11, the 24-hour trading volume of major cryptocurrency exchange Binance and its futures markets has exceeded $150 million, all of which was denominated in USDT.
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Wells Fargo Will Launch A New Stabelcoin Cryptocurrency Next Year
“We believe DLT holds promise for a variety of use cases, and we’re energized to take this significant step in applying the technology to banking in a material and scalable way. Wells Fargo Digital Cash has the potential to enable Wells Fargo to remove barriers to real-time financial interactions across multiple accounts in multiple marketplaces around the world.”Wells Fargo will launch its stablecoin after the largest bank in the United States JPMorgan Chase announced the launch of their own digital currency as a solution to changes in the global financial space. JPMorgan’s coin saw some mixed reactions on the announcement which was made earlier this year. The stance that both banks have is based on the decentralized cryptocurrencies. At many points, the executives have issued warnings about the dangers of using innovations and the control of the fiat-based financial system. Wells Fargo made it to the headlines after it confirmed it was refusing to allow some of the domestic banking customers to use cryptocurrencies and conduct crypto-related transactions. One of the officials of the bank pointed out:
“Unfortunately, Wells Fargo does not allow transactions involving cryptocurrency. As a result of the increasing digitization of banking services globally, we see a growing demand to further reduce friction regarding traditional borders, and today’s technology puts us in a strong position to do that.’’As per the announcement in the coming altcoin news, the governments and central banks are still drawing lines as to what the iterations of cryptocurrency are acceptable. Facebook’s Libra crypto project is also set to release in 2020 so a lot of interesting crypto projects are preparing for next year.
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