We weekly gather the most important news about cryptocurrencies and blockchain. After all, those who have information, succeed in the market.
Today, we will discuss decentralized internet, stabelcoins recognition, Visa cryptocurrency ecosystem and the BTC return to the April levels.
Microsoft is using blockchain to create a decentralized Internet. The ION project is expected to give users full control over their data and online anonymity.
Developers use the blockchain to design Decentralized Identifiers (DIDs) that can store data about users’ online activity while maintaining their anonymity. DIDs will enable to create a decentralized identity, with each its component stored independently of the others.
The project’s main goal is to free the Internet from the control of organizations and companies. To achieve the desired decentralization level, ION is built on the blockchain.
It is important to remember that blockchain technology can change not only the financial system, but virtually every aspect of our lives. It is a revolutionary technology that is just beginning to demonstrate its potential.
The Bank of England has published a report on financial risks and prospects in the United Kingdom. Its analysts note that, due to an increased interest in risky investments, the institutional investors’ demand for cryptocurrencies has risen in 2021.
The report’s authors warn that despite the rising prices, cryptocurrencies remain volatile and unsafe investments. At the same time, the analysts point out that stablecoins and other new forms of digital money have every chance to become an important part of the global financial system. The Bank’s experts recognize the benefits of stablecoins, among them an ability to make payments quickly, securely and conveniently.
Central banks generally take a negative stance on cryptocurrencies. This is by no means surprising, given their role in the centralized financial system. But now even they cannot help but recognize the digital assets benefits.
Visa has published a report on cryptocurrency usage for the first half of 2021. According to the company, cardholders spent over $1 billion-worth of cryptocurrencies to pay for goods and services.
Visa’s CFO states that the company plans to create an ecosystem to help spread and use cryptocurrencies on a par with other currencies. “There are a lot of issues in terms of volatility, etc. But owners can monitor and control these issues themselves,” he said.
Earlier, a MasterCard study found that 93% of North Americans plan to use cryptocurrencies or other new payment technologies next year. The researchers also found that 75% of millennials are willing to use cryptocurrencies if they would understand them better.
One of the most important tests for cryptocurrencies is their use as a full-fledged means of payment. The numbers suggest that it is only a matter of time.
According to Glassnode, BTC reserves on centralized exchanges have fallen to April levels when Bitcoin was above $60,000. About 2,000 BTC have been daily withdrawn from centralized exchanges since late May.
During the previous upward trend, Grayscale Bitcoin Trust and other funds bought most BTC on the market. This led to the first cryptocurrency’s steady outflow from the exchanges. The trend reversed during the May decline and the exchanges saw inflows of huge coin amounts available for sale.
Major players now return to accumulating BTC. This may suggest that investors expect the prices to go up.