When the world is receiving benefits from digital currency, Dubai does not want to lag behind. According to the reports, Dubai Department of Finance is about to enter in Blockchain technology.
The Dubai Department of Finance (DoF) has collaborated with the Smart Dubai Office (SDO) to initiate a blockchain-build payment system. As reported by a local news site Zawya, on September 23.
On last Sunday, “Payment Reconciliation and Settlement,” was officiallyinaugurated which is a new platform. The government entities like the Road and Transport Authority (RTA), Dubai Police, Dubai Health Authority (DHA) will be utilizing the aforesaid payment system.
The Dubai DoF and SDO aim for the system that can provide a more accurate and transparent governance process, as well as to enable real-time payments within and between government structures. The existing system for transactions in Dubai government is pretty time absorbing that it takes up to 45 days to accomplish any given operation, as stated by Zawya.
Amid this, the new system is already applied at the Dubai Electricity and Water Authority (DEWA) and the Knowledge and Human Development Authority (KHDA), having a total number of test transactions successfully amounting to more than five million, according to reports.
The director general at the SDO, Dr. Aisha Bin Bishr expressed her views by saying, “blockchain is one of the most promising of emerging technologies.”
As we know, in 2017, the SDO group was approved with the top honors at the Smart Cities Expo and World Congress in Barcelona, earning the City Project Award from among 308 other teams for their Dubai blockchain Strategy.
As pe the valid report, Vice President and Prime Minister of the UAE and Ruler of the Dubai Emirate Sheikh Mohammed bin Rashid launched the Smart City project in 2013. The organization’s target is to deliver a smart ecosystem for cooperation between government entities and residents and visitors. The said goal is backed by the government, private sector, and institutional partners.
Apart from that, Smart Dubai is not the only government-supported initiative that is planned to engage major emerging technologies like blockchain in the country. As, the UAE Vice President and Prime Minister initiated the “UAE Blockchain Strategy 2021” In April of this year, with an aspiration to achieve the position of a global leader in selecting the technology.
Also, in July, the Dubai International Financial Centre (DIFC) declared its future joint efforts with Smart Dubai to develop a “Court of the Blockchain.” The organization is focussed on examining the power and capabilities of the technology in terms of improvising the UAE’s legal system. For instance, by incorporating blockchain-based verification of court judgements.
So, let’s see how it helps the UAE’s Gov’t on a larger scale.
The crypto space has continued on roller coaster method. That is seems to keep extending since it began. The industry is in a slump presently. This pattern is stable. There are many chief executives with the Bitcoin mining sector. They are not disappointed by the prices of current in the crypto world.
A Chinese firm Innosilicon founded by Alex Ao told to encourage the community. His firm was started in 2014. When they made one of the first bitcoin, he sees the mining business as an independent sector which has a pattern of its own cycles. He is taking the chance to double down with their mining stage.
Ao said that he saw the price of bitcoin goes up and down over the years but still believe in the future. He made a statement that history always repeats itself and that is the nature of the economy. Even the chief revenue officer Henry Monzon of BitFury agreed with him and said that the mining industry is in a stage of consolidation that needs to be taken advantage of.
Expansion of firm:
Monzon doesn’t plan to use the resources of BitFury to expand their mining efforts to include the Crypto currencies beyond the present network. It doesn’t mean that they will never expand in future. Monzon told that it is too early to decide the ongoing situation in the crypto world. The traditional chip makers should not be concerned with the new creators in the world. There are well designed and technically improved but required for traditional chips that are different from what are required for Bitcoins.
Initial public offering:
Many firms in the mining industry have filed applications to go with the public as a result they can make offer initial public offerings. Bitcoin seems to rule this technology as the dominant creator of mining hardware. Competitors are making it tuff to maintain that role. There is a link between mining and Crypto network shows that the mining firm is starting to get into the public’s view eye sight.
An official press release published on September 10 reported The International Monetary Fund (IMF) has alerted the Republic of the Marshall Islands (RMI) with regards to the perils of adopting a cryptocurrency as a second legal tender.
According to the report, the U.S. based agency supported by the United Nations addresses the government of the Republic of the Marshall Islands, communicating the introduction of digital currency as an official form of legal tender will risk the country’s financial integrity, as well as relationships with foreign banks.
The statement communicates, embracing digital currency as a second official currency after the U.S. dollar, the Bank of Marshall Islands (BOMI) — the only local commercial bank of the country — will increase the risk of letting go of “the last U.S. dollar correspondent banking relationship (CBR)” as a result of increased diligence by banks in the U.S.
The IMF also said that the loss of important banking relationships could damage the country’s economy as the Marshall Islands are “highly dependent on receiving and spending U.S. grants,”
Furthermore, the IMF believes the costs of embracing cryptocurrencies, such as the expansion and implementation of anti-money laundering (AML) and counter financing of terrorism (CFT) policies, are “considerably smaller” than any potential financial gains
The IMF strongly advised the Marshallese authorities to reconsider issuing a digital currency until the government is able to supply and device “strong policy frameworks” in regards to economic, reputational, AML/CFT, and governance risks.
Early February 2018 The Republic of the Marshall Islands — with a population of roughly 53,000 — disclosed plans to create and introduce its own cryptocurrency dubbed the Sovereign (SOV). Officials then declared the Sovereign currency would be “another step of manifesting [their] national liberty.” The Sovereign is ready to be a substitute to the official currency of the U.S. dollar and is planned to be dispensed via Initial Coin Offering (ICO).
Uzbekistan Legalizes Cryptocurrency
In a landmark decision, the government of Uzbekistan has given a thumbs-up to the promising cryptocurrency industry. The President of Uzbekistan, Shavkat Mirziyoyev has signed a memorandum of understanding (MoU) with the Korean Blockchain Business Association (KOBEA) which now allows use of cryptocurrency and establishment of Uzbekistan’s first government-licensed crypto exchange. This move has come in as part of the government’s various efforts to augment its market-based economy.
As per the decree titled ‘On Measures to Organize the Activities of Crypto-exchanges in Uzbekistan’, crypto activity will not be treated as securities and therefore, the existing legislation for securities and other traditional exchanges will not be applicable. All bitcoin exchanges and activities of crypto trading platforms will be subject to a new set of normative acts developed for digital assets.
However, crypto-exchange licensing will be limited only to foreign legal entities which have already established a subsidiary or other enterprise in Uzbekistan. To lure investments, the government has also offered firms tax exemption on all their cryptocurrency turnovers. Also, licensed exchanges with cryptocurrencies and foreign fiat currencies would not be regulated by the current foreign currency rules.
The licensing regime for aspiring crypto trading platforms comes with certain terms and conditions, mentioned as below:
- They must have an authorized capital equivalent to 30,000 minimum wages on the day they apply. And 20,000 minimum wages are required to be reserved in a separate account with one of the country’s commercial banks.
- Their servers must be located in Uzbekistan.
- The platforms need to adhere to the statutes for trading and publish exchange rates based on the demand-supply ratio.
- For 5 years, they will have to save information regarding their transactions, users’ identification and other related data.
- The presidential decree allows crypto startups to organize, exchange transactions with residents and non-residents. These transactions can involve the acquisition and/or alienation of crypto assets in exchange for the national and international fiat currencies, as well as the exchange of certain cryptocurrencies with other digital coins.
Mirziyoyev’s ordinance also legitimizes cryptocurrency mining and has asked state-controlled energy firms to allocate land for mining operations which would utilize over 100 KW/h of power on locations designated by the National Project Management Agency.
A recent report suggests that Goldman Sachs is pulling out of the near-term plans for opening a bitcoin trading desk and instead plans to focus on the key business of driving Wall Street investments in the world of cryptocurrency. The former plans by Goldman Sachs are now on hold indefinitely for opening a way to trade bitcoin and other cryptocurrencies with the familiar public.
Goldman, however, is focusing their efforts on a custody project for crypto which will serve a much larger group of institutional clients and provide them with better services. Even a company as big as Goldman Sachs, who is a giant in Wall Street market trade and manages major assets, couldn’t find a way for trading bitcoin.
According to the sources familiar with the situation believes that the bank is downgrading its plans and ditching the former plan of building a desk for crypto trading as the platform concerning regulatory cryptocurrency framework remains uncertain as such.
However, people believe that the former plans may make a comeback in the future; right now Goldman is focusing solely on the possibilities of introducing cryptocurrency in the new market and participate digitization in the world of Wall Street.
Right now, the company is focusing on acquiring a custody project for crypto whereby the banks would hold the cryptocurrencies and also can manage the tracking of price changes for the large fund clients. Most of the market observers believe that for a large firm to get accessible trading of bitcoin, there need to be reputed custody offerings meant to secure holdings.
The speculations for bitcoin trading were quiet underway concerning Goldman and their projects where the bank was observing the journey of the market. Recently, the executives of the institutional firm confirmed that there are still some more steps to be taken for allowing cryptocurrency trade in a regulated bank.
The company spokesman reported earlier this week and said that they are exploring the best possibilities to serve their clients in space as such regarding their interests in the digital industry. As of now, the company lacks a concrete answer to the future of digital asset offering.
Goldman allows their clients to make markets for bitcoin futures and allows them to bet on the price without owning assets. Ever since then, the market price has fluctuated widely in the last six months as it crashed down to less than $7,000 (following a major decline in the last 24 hours) from a major high of more than $20,000. As a result, the firm has also tried to manage the ambitions of the market and released statements about their ongoing assessment of the market.
Finally, in October of last year, the initial interests were rising for Goldman as it suggested its further foray in crypto trading and strategic investments. It was in May that the New York Times reported about the bank exploring its way for a trading desk and get a regulatory appeal over the risks of holding currencies. As many aspiring firms, the hopes and excitement about desk regulations crashed over regulation miniatures.
Fed governor, Lael Brainard speaks publicly about the challenges and opportunities of virtual currencies. He says that extreme volatility, lack of legal framework and governance along with money laundering vulnerability, it makes it difficult for such forays.
He says that the combination of a new asset, not a liability of an individual or institution, and record-keeping transfer technology, with no maintenance by individual or institution, showcases the powerful abilities of modern technology and it comes with serious challenges.
As a result, Goldman focused its plans on competing with other firms to become their choice of provider for those clients interested in custody services. Other crypto firms looking for offering the same are Coinbase, BitGo, Fidelity, JPMorgan, and Nomura.
There is good news for all the people who are invested in thinking about investing in the cryptocurrency. As BITSMO just announced their new all-in-one platform this month. By taking a different strategy, BITSMO launched its new platform that allows its users to find the best prices while selling or buying their cryptocurrency. What it does is that it compares the cost across 30 different cryptocurrency exchange so that its users can go with the best one while selling or buying new cryptocurrency. This starts a competition among different cryptocurrency exchanges to provide the best price in the market. This platform will come as an advantage to all the individuals who are interested in cryptocurrency. With the help of BITSMO’s new platform now users can make the most out of their investment while trading from the BITSMO.
BITSMO is not just a price comparison platform as it offers many other features as well. One of the most attractive features of this new BITSMO platform is that it provides fast and simple transaction process. The reason behind their fastest transaction processing is that the matching engine that has been used by the BITSMO is the currently one of the quickest engine available. Their new engine can support up to 10 MM transactions per second that give rise to many happy users.
BITSMO understand the need for security, and that’s why they are using the same security features that are used by the NASA and CIA. Other than that BITSMO is supported by the Modulus and Bitgo, which are the two best companies when it comes to providing high-class security to the cryptocurrency agencies.
As per the news published in News BTC, because the hackers can’t access the funds, BITSMO has stored their funds in cold storage. Other than that BITSMO has started to implement an advanced KYC and AML features in its new platform. To carry out the process of KYC and AML the company will soon be providing both the in-house and third-party services.