Daily Archives: July 18, 2021

Malaysia Flattens Seized Bitcoin Mining Rigs With Steamroller — Over 1,000 Machines Demolished

Malaysia Bulldozes Seized Bitcoin Mining Rigs — Over 1,000 Machines Demolished, 8 People Arrested

Over 1,000 bitcoin mining machines have been totally destroyed in Malaysia after they were seized for illegally mining the cryptocurrency using stolen electricity. The mining machines, worth about $1.26 million, were steamrolled in the Malaysian city of Miri and eight people have been arrested so far.

Over a Thousand Bitcoin Mining Machines Demolished in Malaysia

Malaysian authorities have completely destroyed 1,069 bitcoin mining machines confiscated between February and April with a steamroller, local media reported Friday.

The mining machines were seized in a joint operation carried out by police and Sarawak Energy Berhad (SEB) in Miri, a Malaysian city on the northwest coast of the island of Borneo. They are estimated to be worth 5.3 million Malaysian ringgits ($1.26 million). All seizures that had been settled in court were disposed of at the Miri district police headquarters Friday.

Miri police chief ACP Hakemal Hawari said eight individuals were also arrested for being involved in illegal mining activities. He said in a statement:

A total of six people have been successfully charged under Section 379 of the Penal Code for electricity theft and have been fined up to RM8,000 and jailed for up to eight months.

The authorities said that the mining machines used electricity stolen from SEB’s electricity supply lines to mine bitcoin.

According to the police chief, SEB suffered a loss of 8.4 million Malaysian ringgits due to electricity theft from the bitcoin mining activities. He further detailed:

The electricity theft for mining bitcoin activities has caused frequent power outages and in 2021, three houses were razed due to illegal electricity supply connections.

Local news outlet Dayakdaily posted a video of the destruction of seized bitcoin mining machines Friday.

What do you think about Malaysian authorities destroying bitcoin mining machines with a steamroller? Let us know in the comments section below.

Bithumb Terminates Trademark Agreements With 2 Foreign-Based Exchanges

Bithumb Terminates Trademark Agreements With 2 Foreign-Based Exchanges

Leading Korean crypto exchange Bithumb is terminating its trademark agreements with two coin trading platforms operating abroad under its brand name. The move comes as digital asset exchanges in South Korea prepare to comply with the country’s stricter regulations for the industry that will be enforced in September.

Bithumb Global and Bithumb Singapore to Change Their Brand Names as Bithumb Ends Trademark Agreements

Two cryptocurrency exchanges, Bithumb Global and Bithumb Singapore, will not be able to use the Bithumb brand name and trademark starting from the last day of this month. Bithumb Korea Co., Ltd., operator of the leading South Korean digital currency platform, announced its decision to terminate the Trademark License Agreements with the two entities.

According to the preliminary notice published this week, the termination date for the contracts has been set to Friday, July 30, 2021. The non-exclusive trademark license agreements apply to the usage of the Bithumb logos and trademark, Bithumb detailed in the press release. The Korean company emphasized:

Please be aware that the said exchanges shall not use Bithumb’s brand and trademark after the expiration date, and they need to use their own brand and trademark thereafter.

The South Korean exchange pointed out that the two platforms have been operating as independent overseas service providers, separate from Bithumb Korea. Bithumb Global and Bithumb Singapore only borrowed Bithumb Korea’s brand and trademark “to promote their initial business reputation through the usage of the Bithumb brand.”

Bithumb is a major digital asset exchange and with a score of 8.1, and it currently ranks first in South Korea and eighth in the world, according to Coinmarketcap’s Top Cryptocurrency Spot Exchanges list. The platform now has a daily trading volume of more than $550 million. Earlier in July, Bithumb Korea banned its employees from trading cryptocurrency and announced it will no longer accept registrations of overseas users starting from Aug. 13.

Korean Crypto Exchanges Face Regulatory Challenges

In the past few months, Korean cryptocurrency exchanges have been dealing with various challenges due to the changing regulatory environment in the country. Amendments to South Korea’s Special Funds Act, which went into effect this spring, require them to partner with local banks to ensure traders are issued real-name accounts by Sept. 24, when the new rules will be enforced.

However, leading banking institutions have been reluctant to work with the coin trading platforms, fearing exposure to money laundering, hacking, fraud, and other risks related to cryptocurrencies. Only the four largest exchanges – Bithumb, Upbit, Coinone, and Korbit – have so far managed to establish such cooperation with commercial banks. NH Nonghyup Bank provides services to Bithumb.

Hundreds of smaller exchanges may have to close down in September, as the Financial Services Commission Chairman Eun Sung-soo warned in April, if they fail to secure a partnership agreement with a bank. Addressing the upcoming stricter regulations, a number of platforms, including Bithumb, have started to delist some “high-risk” digital coins and issue warning lists with others.

What do you think about Bithumb’s decision to terminate its trademark license agreements with Bithumb Global and Bithumb Singapore? Tell us in the comments section below.

Jackson, Tennessee Mayor Praises Bitcoin’s Benefits Against Inflation, Aims to Create a BTC Hub

Jackson, Tennessee Mayor Praises Bitcoin's Benefits Against Inflation, Aims to Create a BTC Hub

Jackson, Tennessee’s mayor is a fan of bitcoin and he wants the city to become a bitcoin hub in order to entice technology companies and innovation. Jackson’s mayor Scott Conger is in the midst of discussing creating legislation that allows Jackson residents to pay property taxes with bitcoin.

Jackson, Tennessee’s Mayor Is a Fan of Bitcoin, He Wonders Why We Accept Inflation

Miami mayor Francis Suarez is not the only bitcoiner trying to get bitcoin companies and technological innovation to reside in his city. Jackson, Tennessee’s mayor is also a bitcoin fan and Scott Conger is the third member of his family to be Jackson’s mayor.

Conger has noticed inflation creeping higher after the federal government and central bank created massive quantities of stimulus during the last year and a half. In Conger’s opinion bitcoin is the only solution to this problem. Three days ago Conger tweeted:

Why do we accept inflation? Why don’t we demand more from our federal government 6.3% in 2 years? 172.8% in my lifetime. Every year our dollar is worth less. There is no rebound. There is only 1 fix for this… Bitcoin.

Scott Conger: ‘Let Us Not Accept Any Inflation’

In a recent interview, Conger said he’s been keeping an eye on Mayor Suarez of Miami and he believes bitcoin can benefit Jackson. Bitcoin is ideal for remote workers leveraging the city of Jackson and it could give the Tennessee city an edge. In another interview, Conger mentioned inflation again and started looking at things priced in satoshis (the smallest denomination of bitcoin).

“It really hit home once it was pointed out the price of lumber in dollars… massive inflation vs the price in [satoshis],” Conger detailed. Conger is also known for saying:

Let us not accept any inflation as well as the increasing carbon footprint.

Conger has also initiated a task force dedicated to studying blockchain benefits and how payments with bitcoin can help bolster Jackson. “Our blockchain task force is looking into how the city of Jackson TN can accept property tax payments in bitcoin and allow our employees to DCA in bitcoin,” Conger tweeted on Thursday.

Earlier this year, Eric Adams also joins Conger and Suarez as the New York City (NYC) mayoral candidate wants New York to be a bitcoin hub as well and “the center of all technology.” Prior to Eric Adams, another NYC mayoral candidate, Andrew Yang, also promoted bitcoin during his campaigning in February. As far as Jackson, Tennessee, and Conger, he’s following the footsteps of Suarez.

“I’m taking pointers from Francis Suarez,” Conger tweeted. “In the coming weeks I will be forming a Blockchain Task Force to explore how to best position the city of Jackson TN for the future,” the mayor of Jackson added.

What do you think about the mayor of Jackson, Tennessee promoting bitcoin for his city? Let us know what you think about this subject in the comments section below.

IMF, World Bank, BIS Recommend Countries Work Together on CBDCs to Enhance Cross-Border Payments

IMF, World Bank, BIS Recommend Countries Work Together on CBDCs to Enhance Cross-Border Payments

The International Monetary Fund (IMF), the World Bank, and the Bank of International Settlement (BIS) have conducted an extensive study of using central bank digital currencies (CBDCs) for cross-border payments. Their report to the G20 states that enhanced cross-border payments “can be achieved … as long as countries work together.”

  • The Committee on Payments and Market Infrastructures, the BIS Innovation Hub, the International Monetary Fund, and the World Bank published a joint report to the G20 on July 9 titled “Central bank digital currencies for cross-border payments.”
  • The report explains that “Cross-border payments are commonly criticized for their high cost, low speed, limited access, and insufficient transparency.” To address these challenges, the G20 countries endorsed a roadmap in October last year. It was developed by the Financial Stability Board (FSB) and other relevant standard-setting bodies.
  • Various aspects of central bank digital currencies (CBDCs) were analyzed in the report. This includes domestic and potential designs, current central bank thinking on cross-border CBDC use, and the potential benefits and risks of using CBDCs for cross-border payments.
  • Enhanced cross-border payments “can be achieved through different degrees of integration and cooperation,” the report claims. “The analysis highlights both the need for multilateral collaboration on macro-financial consequences as well as the importance of interoperability between CBDCs.”

  • According to the main conclusion of the joint report:

Central bank digital currencies (CBDCs) have the potential to enhance the efficiency of cross-border payments, as long as countries work together.

  • Many central banks are currently investigating risks, benefits, and various designs of CBDCs, the report details, noting no major jurisdiction has launched a CBDC so far and many design and policy decisions are still unresolved. Some central banks are already in the testing phase, such as China. The full joint report can be found here.

Do you think countries should work together to use CBDCs for cross-border payments? Let us know in the comments section below.

Analyst: ‘Bitcoin Correction Very Similar to 2013 — BTC May Remain Stuck at $30K for a While’

Analyst: 'Bitcoin Correction Very Similar to 2013 — BTC May Remain Stuck at $30K for a While'

The analytics provider Ecoinometrics has published a tweetstorm that shows the current downward spiral from bitcoin’s all-time high is one of “the longest drawdowns bitcoin has had to deal with during a post-halving bull market.” Furthermore, the same day, analyst and economist, Julio Moreno, highlighted in a recent blog post that “in bitcoin, volatility is your friend.”

Analyst Discusses Bitcoin’s Second Longest Drawdown Before the Next Price Move

Most people in the industry understand that bitcoin (BTC) prices have seen better days and many spectators are wondering when the crypto asset will rebound. The fact of the matter is, we really don’t know, but people do leverage previous chart patterns from prior bull markets and have measured a number of timespans.

In recent times, Bitcoin.com News has published at least two market reports that show speculators believe this bull run resembles the action that took place in 2013. According to the analytics provider Ecoinometrics, the current downturn is the second-longest drop since 2013 and there could be a lot more time left on the clock.

Analyst: 'Bitcoin Correction Very Similar to 2013 — BTC May Remain Stuck at $30K for a While'
Plot chart via Ecoinometrics on Twitter.

“Bitcoin after the Halving [on] Jul. 17, 2021,” Ecoinometrics tweeted. “431 days after the 3rd halving [and] BTC at $31,678. One more week stuck in this drawdown, 95 days since the last ATH, bottom -55% below the ATH, and volatility continues to decline,” the analyst added. Ecoinometrics further stressed:

This is one of the longest drawdowns bitcoin has had to deal with during a post-halving bull market. But 95 days is still only half the duration of the big drawdown of 2013… In terms of price trajectory, this correction also looks very similar to 2013. If we continue like that, BTC will remain stuck around $30k for a while.

The analyst also added that bitcoin’s one-month volatility was also down but “historically speaking, it isn’t particularly low.”

“So from that perspective it is possible for the trading range to stay pretty tight for longer,” Ecoinometrics concluded.

‘In Bitcoin, Volatility Is Your Friend’

Analyst and economist Julio Moreno agreed with Ecoinometrics’ volatility assessment, and shared a recent blog post he wrote about bitcoin volatility. Moreno’s report explains how people try to discredit bitcoin over price volatility, and his study asks whether or not “volatility [is] a bad thing.”

The analyst notes in his report that he doesn’t believe volatility is necessarily a bad thing. “I would say it is not, as it increases within each cycle along with price gains. When is bitcoin’s price more volatile? Mostly at market tops, after significant price appreciation,” Moreno’s report emphasized. His bitcoin volatility report concludes:

What does changes in bitcoin’s price volatility imply about its future trend? Accumulation has been better at low levels of volatility and this is typically reached before a big price movement.

What do you think about the assessments from Ecoinometrics and Julio Moreno’s reports? Let us know what you think about this subject in the comments section below.

These Are the Crypto Economy’s 5 Most Expensive Assets per Unit

These Are the Crypto Economy's 5 Most Expensive Assets per Unit

On July 18, the most valuable cryptocurrency in terms of dollars per unit, is bitcoin which is currently trading for $31,693. Besides all the wrapped bitcoins and synthetic bitcoin pegs, the second-highest valued crypto-asset per unit is yearn finance and maker follows behind. Removing the market capitalization positions and viewing crypto assets in this way gives a user an entirely different perspective.

A Look at the Top Digital Currencies by Price per Unit

At the time of writing, there are only two crypto assets worth five-digits in USD value and only two worth four-digits. Looking at the price of each coin per unit shows a view of how many coins are trading at certain price ranges. Price per unit recorded in this report was accounted for at 8:55 a.m. (EDT) on Sunday, July 18, 2021. Data was collected from the crypto market aggregation sites markets.bitcoin.com and coingecko.com.

These Are the Crypto Economy's 5 Most Expensive Assets per Unit
The top five most expensive crypto assets per unit include bitcoin, yearn finance, maker, ethereum, and bitcoin cash. Price per unit was recorded on Sunday, July 18, 2021, at 8:55 a.m. (EDT).

Currently, a person must spend five-digits in U.S. dollars to purchase bitcoin (BTC) and yearn finance (YFI). While BTC is swapping just above $31K per unit, YFI is exchanging hands for $27.9K per token. Similarly, there are only two coins that are priced at four-digits per unit with maker (MKR) and ethereum (ETH).

Market aggregation sites show there are eleven crypto assets at three-digits per unit and bitcoin cash (BCH) leads the pack. BCH is followed by coins like compound (CMP), binance coin (BNB), and aave (AAVE) respectively.

23 Crypto Assets Trade for Two-Digits, 20 Coins Are in the Single-Digit Range

The last coin in the three-digit position is bitclout (CLOUT) which is trading just above the $100 region at the time of writing. There are only 23 crypto assets that are worth two-digits in value and the leader of the two-digit positions today is zcash (ZEC) running just under a hundred dollars.

Horizen (ZEN) and filecoin (FIL) are the only two coins in the $50 range out of the 23 two-digit cryptos. Kucoin token (KCS) holds the 23rd position and is the last two-digit coin out of the batch.

27 coins are in the single-digit range between $1 and $9 and seven of those crypto assets are stablecoins like USDT, USDC, DAI, and TUSD. Only 21 crypto coins have unit values between $0.50 and $0.99. The leader of the 21 is klaytn (KLAY) at the time of writing and the final position belongs to tron (TRX).

Of course, a number of crypto market cap aggregators are a touch different as coingecko.com has 8,545 coins recorded and coinmarketcap.com has 10,939 crypto assets recorded. Other aggregators like markets.bitcoin.com and messari.io have different numbers of recorded crypto assets as well.

Despite a few discrepancies, most of the market websites show roughly the same number of crypto assets per USD value for every unit. From this perspective, the top five coins in terms of the highest value per unit include BTC, YFI, MKR, ETH, and BCH.

What do you think about looking at the crypto economy from this perspective? Let us know what you think about this subject in the comments section below.

Report Claims Nayib Bukele’s Regime May Issue a Salvadoran Stablecoin

Report Claims Nayib Bukele's Regime May Issue a Salvadoran Stablecoin

According to regional reports, El Salvador’s current leadership is in the midst of developing a stablecoin backed by the U.S. dollar. Meanwhile, others believe the stablecoin idea was scrapped now that Nayib Bukele’s government chose to leverage bitcoin.

Some Say the Colón-Dollar Is Being Developed, Others Claim the Salvadoran Stablecoin Idea Was Scrapped

There’s lots of debate going on concerning a report published by the regional news outlet El Faro. The investigation claims the Salvadoran president Nayib Bukele and his regime plans to issue a stablecoin. The El Faro report references videos that show the president’s brothers discussing the stablecoin dubbed “Colón-Dollar.”

The report from El Faro does note a spokesperson from the Bukele regime says the stablecoin plans were scrapped, but “sources familiar” with the matter told El Faro they disagree. This is because it has been said that meetings about the Colón-Dollar are still continuing and happened after Nayib Bukele passed the new bitcoin tender law.

“El Faro has a copy of several videos that add up to more than two hours of virtual meetings, in which different negotiations appear with delegates from at least five technology companies and where the Bukele brothers are protagonists,” the reporters Sergio Arauz , Nelson Rauda and Roman Gressier wrote.

“El Faro also obtained documents in which the action plan proposed by foreign companies to leverage the implementation of a new financial system and the new currency is registered,” the report adds.

In a discussion on Twitter, the owner of the Twitter account tied to the bustling Bitcoin Beach community at Playa El Zonte believes the stablecoin idea was scrapped. The statement was in response to an individual from El Salvador that said the stablecoin idea reminded them of the petro from Venezuela.

“From my understanding, they were considering going this route (which would have been very concerning) but chose to embrace Bitcoin instead,” the Twitter account @bitcoinbeach tweeted. “From what I am hearing this is no longer a consideration. They gave up control to instead embrace an open protocol,” the account added.

However, another individual disagreed with the Bitcoin Beach account and believes otherwise. The person said that “several” of his “Salvadoran correspondents” corroborated the El Faro article, but he could not “vouch for their accuracy.”

Colón-Dollar Could be Integrated With Chivo, Alleged Meetings With Blockchain Teams

The El Faro source notes that the stablecoin called the Colón-Dollar may be introduced by the end of the year. Financial reporter Frances Coppola believes she predicted the creation of a Salvadoran stablecoin in a tweet she wrote on June 9, 2021.

“I reckon that’s what he will do. It won’t be backed with actual USD, it will be backed with a ‘USD-equivalent” stablecoin,’” Coppola said at the time.

In addition to people disliking the idea that Nayib Bukele’s regime may be creating a stablecoin, bitcoiners, as well as citizens from El Salvador, have taken issue with Bukele’s recent vaccine mandates.

A great number of Salvadorans said they were displeased with Bukele’s vaccine mandates and said the Salvadoran “population does not want” these Covid-19 vaccines. One individual tweeted to Bukele and said: “The Bitcoin community does not support you in this.”

Furthermore, the regional source that claims the stablecoin creation is still a go noted that Bukele’s brothers were in charge of the concept, and that the Colón-Dollar would be integrated with the government wallet dubbed “Chivo.”

In addition to the video meetings, the sources also detailed that members of Bukele’s regime met with blockchain teams from Whizgrid, Alogrand, and Cardano.

What do you think about El Salvador reportedly building a stablecoin backed by the U.S. dollar? Do you think the concept was scrapped after the country adopted bitcoin? Let us know what you think about this subject in the comments below.

Ukraine’s ‘Largest Illegal’ Mining Facility May Have Been a FIFA Bot Farm

Ukraine’s ‘Largest Illegal’ Mining Facility May Have Been a FIFA Bot Farm

A data center busted by Ukrainian law enforcement this month for suspected electricity theft may have had a purpose different from mining cryptocurrencies. Ukraine’s security service described the facility as the “largest underground crypto farm” found to date but media reports are challenging that assertion.

Ukrainian Company Files Complaints Against SBU Raid on Its Facility

Earlier in July, the Security Service of Ukraine (SBU) announced it uncovered a crypto mining farm that had been powered with stolen energy in the city of Vinnytsia. Officers seized around 5,000 units of hardware, including 3,800 gaming consoles and 500 video cards, from a former warehouse of Vinnytsiaoblenerho. The local electric utility allegedly suffered losses of up to $256,000.

The illegal mining facility, the law enforcement agency said, was operated by residents of Vinnytsia and the capital Kyiv. According to an article by Ain.ua, the confiscated equipment belongs to a company called MMI Engineering which is engaged in software development, network maintenance, and AI training. Its lawyers contacted the news outlet and accused the SBU of spreading false information.

Ukraine’s ‘Largest Illegal’ Mining Facility May Have Been a FIFA Bot Farm
Source: MMI Engineering

The IT firm claims it buys its electricity from JSC Vinnytsiaoblenerho and the area’s grid operator, Enera Vinnytsia Ltd., paying its bills at commercial rates and in accordance with the meter readings. It also rents the premises hosting its hardware from a company called Alfa Energy which is the current owner of the warehouse.

Meanwhile, Vinnytsiaoblenerho released a statement, according to which the warehouse has never been occupied by a cryptocurrency farm. Its employees were also unable to detect any signs of electricity theft during an investigation conducted with representatives of the regional branch of Ukraine’s State Inspectorate for Energy Supervision. The utility emphasized:

The information about multimillion dollar thefts of electricity does not correspond to reality.

MMI Engineering said the seized equipment costs about 30 million Ukrainian hryvnia (over $1 million) and it’s now trying to get it back. The company added that the SBU raid has paralyzed its operations and its lawyers have already filed official complaints with the Pechersk District Court and the Prosecutor General’s Office in Kyiv.

Suspected Crypto Mining Farm Turns Out to Be Minting In-Game Currency

The Ukrainian entity, which is owned by the UAE-based firm Zafar Technology, did not provide any details regarding the specific use of its computer equipment. Playstation 4 Slims gaming consoles and discs have been spotted in the photographs released by the SBU on June 8. And although it’s generally possible to mine cryptos with them, many in Ukraine believe it’s more likely the consoles have been used for gaming-related applications.

Ukraine’s ‘Largest Illegal’ Mining Facility May Have Been a FIFA Bot Farm

The evidence suggests that the facility in Vinnytsia could have been a gaming bot farm rather than a crypto mining one. According to an investigative report by the Ukrainian business portal Delo.ua, the bot farm may have been used for grinding. That’s when gamers employ software to perform repetitive tasks in gameplay that reward the player with something valuable in the particular scenario like gaining experience points, for example, or raising a character’s level. The SBU declined to comment on the possible use of the hardware citing the ongoing investigation.

Delo is quoting an unnamed source from the SBU, who reportedly said that the Playstations were used for “pumping bots” for FIFA, EA Games’ famous soccer video game series. In FIFA’s popular Ultimate Team mode, gamers can gather a team of favorite players and compete against each other online.

They can either spend real cash on loot boxes that give them a limited chance of obtaining high-value cards, Eurogamer explains, or play for months in order to save enough FUT coins, the in-game currency, to spend on the FIFA auction house. It appears the PS4 consoles in the Ukrainian bot farm have been grinding to create accounts loaded with FUT money that can be subsequently sold to gamers, likely on the black market.

What do you think about the case of the alleged crypto mining farm in Vinnytsia? Share your thoughts in the comments section below.

Dolce & Gabbana to Launch High Fashion-Inspired NFT Collection in Venice

Dolce & Gabbana to Launch High Fashion-Inspired NFT Collection in Venice

This week the Italian luxury fashion house founded in 1985 in Legnano by Italian designers Domenico Dolce and Stefano Gabbana has announced the firm is launching a non-fungible token (NFT) collection. Dolce & Gabbana also known as D&G will reveal the first-ever Alta Moda NFT collection called “DGGenesi.”

D&G to Reveal Alta Moda-Inspired NFT Collection

Well known name brands have invaded the crypto space in order to join the non-fungible token (NFT) revolution. Brands like Topps, Warner Bros., UFC, DeLorean Motor Company, Playboy, MLB, TIME, and USA Today have all entered this new industry.

On July 14, the popular fashion brand and Italian luxury fashion house Dolce & Gabbana explained that it too was joining the NFT craze. D&G has a crafted a large assortment of products like clothes and perfume, but this will be the firm’s first NFT product.

“Dolce & Gabbana proudly reveals DGGenesi,” D&G tweeted. “The first ever Alta Moda NFT exclusive collection in partnership with luxury marketplace unxd.com. The marketplace unxd.com explains how D&G NFT bidders can “reserve a spot in line.”

D&G’s Collezione Genesi Collection Follows High Fashion NFTs by Clothia and Gucci

According to a report stemming from the fashion publication Vogue, the D&G NFT collection will premiere at the August 28-30 Alta Sartoria and Alta Gioielleria shows in Italy. The term “alta moda” means “high fashion” and DGGenesi or the “Collezione Genesi” collection was inspired by this trend.

Usually, Alta Moda is otherwise known as “Haute Couture,” which is basically when a fashion designer leverages hand-made fabrics with an attention to detail. In the 1880s and late 19th century, Alta Moda in Milan also meant ​​”fashion conscious.”

D&G followed the high fashion brand Gucci when the company recently sold its NFT “Gucci Aria” using the auction house Christie’s. The Gucci brand NFT sold for $25K and proceeds from the Gucci Aria NFT will be directed toward Unicef USA. Clothia, a luxury online retailer has also recently announced an NFT collection based on high fashion dresses.

What do you think about Dolce & Gabbana joining in on the NFT craze? Let us know what you think about D&G’s wearable high fashion NFT collection in the comments section below.

Bank of England’s Deputy Governor: Cryptocurrencies Aren’t Big Enough to Pose Financial Stability Risk

Bank of England’s Deputy Governor: Cryptocurrencies Aren’t Big Enough to Pose Financial Stability Risk

Bank of England Deputy Governor Jon Cunliffe believes that cryptocurrencies are not big enough to pose financial stability risk. “They’re not of the size that they would cause financial stability risk, and they’re not connected deeply into the standing financial system,” said the deputy governor.

Crypto Poses No Financial Stability Risk, Says Deputy Governor of Bank of England

Jon Cunliffe, the deputy governor of the Bank of England, talked about cryptocurrency and whether it poses financial stability risk in an interview with CNBC Wednesday. He said:

The speculative boom in crypto is very noticeable but I don’t think it’s crossed the boundary into financial stability risk.

The Bank of England’s deputy governor explained that crypto speculation was mainly limited to retail investors currently. He reiterated the British central bank’s position that people investing in cryptocurrency should be prepared to lose all their money, the viewpoint expressed on several occasions by Andrew Bailey, the governor of the Bank of England.

Cunliffe described:

There are issues of investor protection here. These are highly speculative assets. But they’re not of the size that they would cause financial stability risk, and they’re not connected deeply into the standing financial system.

He noted: “Were we to start to see those links develop, were we to start to see it move out of retail more into wholesale and see the financial sector more exposed, then I think you might start to think about risk in that sense.”

Cunliffe noted that speculative crypto assets, like bitcoin, should be distinguished from stablecoins, emphasizing that stablecoins should be regulated. The deputy governor opined: “I think the international community needs to at least be developing standards to actually be able to distinguish but also to have regulatory standards for that sort of product.”

The governor of the Bank of England previously called cryptocurrencies dangerous, predicting that they won’t last. He said in June, “There will inevitably be elements of tough love” in crypto regulation.

In May, Bailey said cryptocurrencies “have no intrinsic value,” but noted that it “doesn’t mean to say people don’t put value on them, because they can have extrinsic value.” The president of the European Central Bank (ECB), Christine Lagarde, agreed with him.

What do you think about the comments by the deputy governor of the Bank of England? Let us know in the comments section below.