Author: Staff

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Business

Binance NFT marketplace expands to Polygon network

Binance has recently announced the integration of the Binance NFT Marketplace on the Polygon network. This integration means that the Binance NFT marketplace is now a multi-chain open platform where users can trade NFTs on both the BNB Chain (BSC), and now Polygon (MATIC).

The crypto exchange stated in its announcement, “Binance NFT Marketplace is excited to announce that the Polygon network has been added to its list of supported chains, further expanding the NFT ecosystem for its community.”

“The integration of Polygon network further elevates Binance NFT to a multi-chain, open marketplace ecosystem, where users can now explore and trade a wider variety of NFTs across multiple blockchains, including BNB Smart Chain (BSC), Ethereum (ETH) network, and Polygon (MATIC) network, from their Binance accounts,” further stated.

The inclusion of the Polygon Network on the Binance NFT Marketplace is a significant milestone for both platforms, as it opens up a wide range of possibilities for the NFT community. Users on the Binance NFT marketplace can now buy, deposit, withdraw, and list NFTs from the Polygon Network using their Binance accounts.

To trade NFTs on the Binance NFT Marketplace, users must hold MATIC or any token in their spot wallets. Also, note that only selected ERC-721 NFT Collections on the Polygon network are available on the Binance NFT Marketplace at the moment. However, Binance NFT will integrate more NFT collections regularly.

Users can trade unique digital goods including artwork, music, films, and other collectibles as NFTs on the Binance NFT Marketplace. The Binance NFT Marketplace has made great progress toward building a complete NFT ecosystem with the launch of the Polygon Network, providing traders and collectors with a wider selection of NFTs.

One of the significant advantages of this integration is that it allows for collaboration between quality NFT projects on the Polygon Network and the Binance NFT Marketplace.

The integration of the Polygon Network on the Binance NFT Marketplace represents a significant development for the NFT industry. More platforms will probably integrate with other networks as the NFT business develops, increasing chances for cooperation and broadening the NFT ecosystem.

Traders and collectors should stay tuned to Binance NFT’s Telegram, Twitter, Discord, and Instagram for updates on Binance NFT’s activities. However, users must exercise caution and perform due diligence before investing in any NFT, as NFTs are subject to high market risk. 
Interested projects can reach out to Binance NFT at nft@binance.com for collaboration opportunities.

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Business

Brazil’s central bank launches experimental CBDC

The discussion of digital assets now heavily emphasizes central bank digital currencies, or CBDCs. Also, some countries are starting beta rollouts for the development of the financial industry as other countries decide whether or not to start developing such assets.

According to Reuters, Brazil’s central bank has officially launched its experimental CBDC. Specifically, the bank has announced the launch of its digital current pilot project seeking to emulate the success shown by the instant payment system, Pix, according to the report.

By the end of 2024, according to Fabio Araujo, the Project Coordinator for the bank’s CBDC initiative, the CBDC should be used by the general population. As per a recent statement, a testing phase will be followed by a review of user feedback before that adoption happens.

The report also noted Araujo’s statement that the experiment, is built as a payment option on distributed ledger technology (DLT), to support the provision of retail financial services settled through tokenized deposits in institutions of the financial and payment systems in Brazil.

Araujo stated, “This environment reduces costs and brings the possibility of financial inclusion for all people. You have services that are very expensive to carry out, such as repo operations, which are only for banks, but which would be performed by anyone with technology based on digital currencies.”

He added, “This could reduce the cost of credit, the cost of improving the return on investments. There is a great potential for new service providers, FinTechs, democratizing access to the market and offering new services.” 

Conclusively, he noted, “Banks are very interested in this new tokenized world, in every conversation we have they have shown a lot of interest.”

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Business

Central bank of Nigeria partners with blockchain company to deepen e-Naira adoption

The Central Bank of Nigeria has recently partnered with Convexity, a Nigerian-based tech firm focused on developing blockchain solutions and products, to speed up the adoption of the e-Naira. The partnership is also to also carry out more sensitization on the essence of the eNaira.

The consultancy company stated on LinkedIn, “The CBN in line with their mandate to push for a cashless economy and strengthen the naira has decided to partner with Convexity Technologies Ltd, a turnkey blockchain solution and consultancy company with deep reach in the blockchain and cryptocurrency space in Nigeria and Africa to champion the adoption and utility of the e-Naira across Nigeria.”

“We are glad to have this strategic partnership with the Apex bank and the monetary policy maker of Nigeria. This will boost the weakened confidence between the private sector who are champions of the Nigerian economy and FX drivers and the Central Bank of Nigeria. Cheers to a productive partnership,” Convexity further stated.

According to the Central Bank, the project is meant to help bank the unbanked, and provide a more flexible digital financial tool that will boost investments and business transactions in the country. 

While it’s part of the step the bank designed to implement the cashless policy, the eNaira has had a low adoption rate Nigerians are yet to fully embrace the currency due to several factors. These include doubt about the transparency of the CBDC, little to no insight into the essence of the CBDC since there’s an already existing digital form of the naira in use between commercial banks and customers, and other reasons.

Prior to the launch, Bitt Inc, a Barbados-based tech firm, was contacted as the key partner in the release of the CBDC. In February 2023, the CBN reached out to R3, a blockchain company in New York, to discuss changing the underlying infrastructure of the eNaira.

Categories
Blockchain

What is Proof of Stake (PoS) and how does it differ from Proof of Work (PoW)?

Mining cryptocurrency is an energy-intensive business, however, it doesn’t have to be. The Ethereum community has been working to change how the Ether currency is created in order to radically reduce the blockchain’s carbon footprint. The method it’s working toward is called proof of stake (PoS).

Proof of stake is an alternative to proof of work (PoW), which Bitcoin and Ethereum currently use and they are both examples of consensus mechanisms.

Public blockchains, at their most basic level, are just databases. Most databases set permissions for those who can access and edit them. This centralized control is convenient but makes them vulnerable to hacks. By contrast, blockchains make everyone running the software from exchanges to traders in their basement responsible for updating them.

That sounds like it would be messy, which is why blockchains use consensus mechanisms or consensus algorithms. Consensus mechanisms keep the network humming, making sure that only legitimate transactions get added to blocks. It’s all the nodes or computers running the blockchain software checking amongst themselves to conclude.

In doing so, they guard against 51% attacks, which is when someone accumulates more than half of the computing power in a distributed network and can then control it.

Proof of Stake

Proof of Stake on Ethereum 2.0 aims to achieve the same outcome as Proof of Work, to securely verify transactions on the blockchain.

Whereas PoW miners dedicate hardware resources (large, expensive computers) to secure the network, PoS validators dedicate their cryptocurrency. With PoS, to get a chance to verify transactions in a block, and to get the associated fees validators must lock up, or stake, at least 32 ETH that they can’t spend. The blockchain uses that locked-up crypto to secure the network.

Proof of Work

To prevent attacks, which make it possible to spend funds twice, Bitcoin uses the proof-of-work consensus algorithm. That system asks people to use hardware (and electricity) to help the network process transactions. In proof of work, miners (or, their computers, to be precise) try to solve fiendishly difficult puzzles in order to be the first to complete a block of transactions. Their work helps to verify that the transactions are legitimate. As compensation, they’re rewarded with cryptocurrency such as Bitcoin.

Proof of work was built into the design of Bitcoin and replicated by other cryptocurrencies, including Ethereum. However, one of the by-products of this system is it requires a lot of machines using a lot of electricity to solve complex problems, the vast majority of it rendered moot except for the energy expended by the winning miner.

According to the Ethereum Foundation, proof of stake has several advantages over proof of work. To begin with, since earning rewards isn’t based on having the most computing power, you don’t need super-fancy hardware. Additionally, because of the lower hardware requirements, proof of stake uses far less energy than proof of work and more people can participate in running an Ethereum node, which will allow for further decentralization and more resistance to 51% attacks.

Ethereum developers are building a number of phased upgrades, Ethereum 2.0, which will run on proof of stake and will eventually merge with the Ethereum mainnet.

Conclusively, Ethereum isn’t the first cryptocurrency to use proof of stake. Algorand, Cardano, Cosmos, EOS, Polkadot, and Tezos have all implemented a version of proof of stake.

The Ethereum network is currently in Phase 0 of its upgrade to Ethereum 2.0. While people have staked ETH to the network, it’s not yet ready to be used.

Categories
Business

Bybit partners with Mastercard to offer crypto payments debit card

Bybit will soon launch a new debit card allowing users to make payments and withdraw cash using cryptocurrency holdings.

The Bybit card will operate on the Mastercard network and will allow fiat-based transactions by debiting cryptocurrency balances when used to pay for goods and services. The service begins with the launch of a free virtual card for online purchases, while physical debit cards are set to be available in April 2023.

The service will be compatible with user account balances for Bitcoin (BTC), Ethereum (ETH), Tether (USDT), USD Coin (USDC), and XRP. Depending on the user’s country of residency, payments will immediately convert the balances of these initial cryptocurrencies into euros or pounds.

According to Bybit, ATM withdrawals and global payments will be limited to aggregated cryptocurrency holdings of a user’s Bybit account. The cards are issued by London-based payments solutions provider Moorwand.

The roll-out of Bybit’s virtual and physical debit card offering comes days after the Dubai-based exchange announced it would be halting U.S. dollar bank transfers. The suspension of dollar deposits and withdrawals was pinned on service outages by one of its processing partners.

Bybit users can continue to make USD deposits using Advcash Wallet and credit cards, while users are urged to carry out any pending U.S. dollar wire withdrawals by March 10.

United States-based crypto exchanges and businesses were affected when Silvergate Bank announced the discontinuation of its digital assets payment network on March 4. Meanwhile, a report at the end of February 2023 suggests that Mastercard and Visa would hold off on announcing or embarking on further direct partnerships with the cryptocurrency and blockchain industry.

Categories
Opinions

El Salvador’s bitcoin legal tender boosts tourism by 95%, President says

On June 5, 2021, El Salvador’s president, Nayib Bukele, revealed a plan to make Bitcoin the country’s official currency. As a result, El Salvador became the first nation to accept Bitcoin as a legal currency.

It was widely recognized as the first time a country used a volatile currency as legal tender. However, many slammed Bukele’s move, stating that it would increase money laundering and illicit behavior.

Bukele, who recently spoke on Tucker Carlson Today about various topics, including the advantages of legalizing Bitcoin, has a different viewpoint on this. The noticeable increase in tourism to the nation was one of the main advantages emphasized by Bukele.

Speaking of legalizing Bitcoin in the country, Bukele stated that it definitely had some advantages in the new economic system that is in the works. Bukele also mentioned that legalizing BTC has also increased tourism by 95%.

The president of El Salvador went on to discuss further advantages, such as private investments, as well as how the nation was drawing Bitcoiners due to numerous conferences, with the legalization of BTC serving as the main driver.

By accepting and legalizing the king of cryptocurrencies, Bukele also gained the backing of the Bitcoin community. Even though he faced a lot of criticism for his choice, other nations are starting to recognize the potential of cryptocurrencies. This is clear from the attitudes and progress made by different countries in embracing blockchain technology and cryptocurrencies.

Categories
Business

Reserve bank of Australia unveils proposed CBDC use cases

The central bank of Australia, which has been investigating the advantages of central bank digital currency (CBDC), recently disclosed the intended use cases for the digital currency as well as the names of providers who have been asked to take part in the live pilot.

The Reserve Bank of Australia (RBA), the bank, stated in a news release that the identified use cases were picked from a significant number of submissions from industry parties.

In the statement, Brad Jones, an Assistant Governor at the RBA, praises the industry participants’ readiness to interact with authorities. 

Jones stated, “We are delighted with the enthusiastic engagement by the industry in this important research project. It has also been encouraging that the use case providers that have been invited to participate in the pilot span a wide range of entities in the Australian financial system, from smaller fintechs to large financial institutions.”

Jones also claims that the pilot study and the more extensive investigation will be carried out concurrently to accomplish two goals. 

The first of these ends is helping the industry gain some hands-on learning experience. Bolstering policymakers’ understanding of how a CBDC could potentially benefit the Australian financial system and economy.

The process of validating use cases with industry participants and regulators, according to Dilip Rao, a CBDC program director with the Digital Finance Cooperative Research Centre (DFCRC), is crucial because it will probably guide further research into design considerations for a CBDC that could potentially play a role in a tokenized economy.

The RBA has also selected use cases for offline payments, corporate bond payments, and money custody. The statement demonstrates that the RBA has selected more than eight vendors and about 14 use cases.

Categories
Business

Binance.US is operating an unregistered securities exchange SEC Official says

According to a representative of the U.S. Securities and Exchange Commission, the staff at the agency believes that Binance.US is running an unregistered securities exchange in the country and that Voyager Digital sold VGX tokens in violation of federal securities laws.

Speaking during a hearing to decide whether Voyager should be sold to Binance during a bankruptcy. Judge Michael Wiles of the Southern District Bankruptcy Court in New York stated at the beginning of the hearing that the SEC had provided little direction or specifics about its objection to the Voyager sale. US, SEC Senior Trial Attorney William Uptegrove stated that he was responding to Judge Wiles.

“The staff believes based solely on the facts and circumstances currently known to the staff – that the offering and sale of VGX tokens has the attributes of a securities transaction. The staff also believes that Binance.US is operating an unregistered securities exchange in the United States.”

The representative noted that the opinions of the SEC staff may not always correspond to those of the agency’s five commissioners.  He omitted to mention whether the SEC was considering taking enforcement action as a result of his statement.

“The commission has not made any determinations on either of these issues. The staff beliefs do not represent the view of the commission,” he stated.

Usually, the staff of the SEC initiates an enforcement action, but for it to move forward, a majority of the commissioners must approve it.

“It is regrettable that an SEC staff member would make allegations, that Binance.US and platforms like ours are operating an unregistered exchange, without specifying the assets listed on our exchange that the SEC considers to be securities,” a Binance.US spokesperson said. 

“We, along with others in our industry, remain committed to constructive dialogue with regulators and supporting a comprehensive regulatory framework drafted and passed by Congress to ensure innovation continues in the United States.”

Uptegrove’s remarks concur with those of SEC Chair Gary Gensler, who has previously expressed the opinion that most cryptocurrency trading platforms ought to be registered as national securities exchanges so that they can operate under the agency’s disclosure and compliance framework. 

As part of its Chapter 11 bankruptcy restructuring plan, Voyager intends to sell its assets to Binance.US. The proposal has received 97% of the votes from Voyager’s creditors, and the hearing to discuss the plan is about to enter its third day.

Categories
Opinions

Nigerian crypto leverage searches second-highest globally

Nigeria is the “second-highest country in the world for searches related to crypto leverage,” per Leverage Trading’s analysis of Google searches. The West African country also dominates searches for the term “trade crypto,” along with South Africa and Ghana. Regulators and consumer protection agencies must “provide greater safeguards against predatory practices,” according to a spokesperson for Leverage Trading.

Singapore (100) is the only country that outperformed the West African country in terms of searches “with an emphasis on transactional searches such as ‘how to leverage trade crypto.'”

The analysis, on the other hand, shows that Nigeria, along with South Africa and Ghana, dominate Google searches for the term “trade cryptocurrency.” Leverage Trading discovered that Nigerian searches were four times higher than similar searches by US residents.

Leveraged trading, according to Investopedia, is the “use of borrowed funds to increase one’s trading position beyond what would be available from their cash balance alone.” While this type of trading has the potential to increase a trader’s profits, it also has the potential to increase a trader’s losses, so it is not recommended for inexperienced traders.

Despite this, African traders appear unconcerned about the risks associated with leveraged trading.  A spokesperson for Leverage Trading commented on the findings, which show that Africa has a disproportionately large share of total global searches for leveraged investment products:

As technology advances, it becomes easier for individuals in emerging markets to gain access to high-risk financial products such as leverage trading.  While these products may promise to create wealth, the reality is that they can also cause devastating losses, perpetuating the cycle of poverty. The risks of high leverage and potential losses cannot be overstated, and individuals must fully understand these risks before engaging in leverage trading.

As financial firms increasingly target individuals in poorer countries, regulators and consumer protection agencies must “provide greater safeguards against predatory practices,” according to the unnamed spokesperson.

Meanwhile, Leverage Trading discovered that while Africa dominates many leverage trading-related searches, the continent lags behind when it comes to searches for the term “stock leverage.” This category is dominated by Singapore, Hong Kong, and the United Arab Emirates, according to the analysis.

Categories
Business

Manga Productions and Animoca brands form strategic partnership for Web3 market in MENA

Manga Productions, a Saudi entertainment company, and Animoca Brands, a digital entertainment company based in Hong Kong, signed a memorandum of understanding on Thursday for a strategic partnership in which they will create Web3 initiatives that feature Manga Productions’ content and characters.

The third generation of the World Wide Web, known as Web3, is currently evolving. It is more open and decentralized, and it makes use of blockchain technologies to speed up information sharing and business transactions.

Essam Bukhary, the CEO of Manga Productions, announced the agreement. The businesses announced that they will collaborate closely on a number of initiatives to advance the Saudi company’s content in the Web3 ecosystem, advance the local blockchain sector, and enhance media accessibility.

Manga Productions is referred to as the leading Middle Eastern producer of animation, comics, and games, while Animoca claimed to be known for advancing digital property rights in gaming and the open metaverse.  They stated that their partnership will initially focus on creating Web3 pilot projects that utilize the high-quality content library of Manga Productions and the vast ecosystem of Animoca.

Animoca stated that it will utilize its operational and business resources to offer regional talent educational and professional opportunities in pertinent fields, and it has already begun preliminary discussions with educational institutions in the area to develop introductory blockchain courses.

According to Bukhary, who spoke to Arab News, the collaboration shows the potential for cross-industry collaborations in the quickly developing entertainment and gaming sectors.

“Manga Productions and Animoca Brands can create engaging and unique experiences that appeal to a wide audience by leveraging each other’s strengths and expertise,” he said.

“We are delighted to announce our partnership with Animoca Brands and take our IPs (intellectual properties) beyond content and into various applications and experiences.

“With this partnership, we believe that this will further develop the creative industry in the region through Web3 applications, as well as expand our portfolio within online and offline activations of IPs.”

“We are incredibly excited to join forces with Manga Productions on this partnership to leverage our respective complementary strengths,” said Yat Siu, co-founder, and chair of Animoca.

“This partnership is one of our first significant steps in expanding into the Middle East, one of the fastest-growing Web3 ecosystems. In addition, the enriched cultural heritage can adapt to various forms of virtual content.

“We look forward to bringing the various initiatives with Manga Productions to life, and we expect to see more activities in the region through investment and strategic collaboration.”

In order to bring top-notch blockchain game titles to the area and support the international distribution of locally created content, Animoca said it will also investigate the viability of a specialized regional game-publishing platform with local partners, including Manga Productions.