The cryptocurrency market remains slightly bullish with Bitcoin (BTC) inching towards $45,000. While preparing this report, Bitcoin was trading at $42,715, up 4.30% in the past 24 hours. Ethereum (ETH) had gained 3.60% to trade at $2,247. XRP was trading at $0.6231, an increase of 2.60% in the same period.
Major cryptocurrencies, that have gained ground in the past 24 hours, are IOTA (IOTA – $0.2743, 6.20%), VeChain (VET, $0.0313, 7.40%), EOS (EOS – $0.7805, 3.40%), Avalanche (Avax- $39.08, 11.20%), Solana (SOL, $70.07, 5.10%), Cardano (ADA, $0.6594, 17.90%), Binance Coin (BNB – $250.31, 0.60%), Bitcoin Cash (BCH, $233.80, 2.60%), Shiba Inu (SHIB, $0.00000986, 5.60%), Polkadot (DOT, $7.47, 9.60%), and ChainLink (LINK – $14.77, 4.50%).
Government Level Initiatives
RBI Engages with US Fed and HKMA on Cross-Border CBDC Use
The Reserve Bank of India has begun holding meetings with the US Fed, the Hong Kong Monetary Authority (HKMA), and Swift regarding the use of a central bank digital currency (CBDC) for cross-border transactions.
Notably, India has started conducting trials of both retail and wholesale digital rupees. In this regard, Governor Shaktikanta Das stated that the central bank is confident that CBDC can be the most capable and efficient method to conduct cross-border transactions.
Interestingly, India and the UAE have already entered into a partnership for the trial and use of CBDC. Furthermore, India already has established cross-border payment channels with Singapore and the UAE. These represent two of the foremost contributors to remittances, standing alongside the United States and the United Kingdom.
To gain momentum for Central Bank Digital Currency (CBDC) and demonstrate its value, it is necessary to target jurisdictions where India currently lacks direct connections. The United States holds the primary position as the leading source of inbound remittances, contributing approximately 23% to India’s total of $111 billion in incoming funds.
Private Sector Initiatives
Circle Teams Up with SBI Holdings to Promote USDC Adoption in Japan
USDC stablecoin issuer Circle has inked a MoU (Memorandum of Understanding) with web3 and blockchain-focused investor SBI Holdings. SBI intends to aid Circle in promoting the use of USDC in Japan. Furthermore, both firms will widen the use of stablecoins in Japan.
Notably, USDC is the second largest stablecoin with a market cap of $24.60 billion. Even though stablecoin USDC cannot match Tether in terms of market cap, the latter is not offered from a regulated jurisdiction. Additionally, New York State has issued a blanket ban on Tether, causing jitteriness among regulated institutions.
Going back to the partnership, SBI Shinsei Bank will also offer banking-related facilities to Circle. And the SBI Group will employ Circle’s Web3 solutions, including its programmable wallet.
cryptocurrency exchange SBI VC Trade, a subsidiary of SBI, has applied for a license to function as a digital payment instrument service provider. This will aid in the distribution of USDC.
Zodia Markets Integrates Circle’s EUROC Stablecoin for Enhanced Forex Operations
Zodia Markets, an associate firm of Standard Chartered, has successfully incorporated Circle’s EUROC stablecoin into its over-the-counter (OTC) cryptocurrency exchange. This strategic integration intends to establish a stablecoin-powered foreign exchange market for Euro-USD, complementing its prevailing support for Circle’s USDC and Tether.
Even though Zodia functions as a standalone entity, Standard Chartered is still one of the largest correspondent banks spread worldwide. Notably, correspondent banks generate profit out of inefficiencies in cross-border payments. Precisely, stablecoins have the capability to resolve the inefficiency.
The UK-headquartered Zodia Markets is focused on institutions, although it offers services in the UAE and Ireland. Zodia, in its LinkedIn post, has highlighted the advantages of stablecoins, stating that they minimize transaction time and minimize geographic restrictions that are common in the banking domain.
SDX Teams Up with DLT Finance for Enhanced Institutional Currency Services in Switzerland
The SIX Digital Exchange (SDX) has partnered with BaFin-licensed brokerage firm DLT Finance to broaden its institutional currency services. SDX will function as custodian and staking provider, while DLT Finance’s associate firm, DLT Securities, performs the role of counterparty for brokerage and trading.
Notably, DLT Finance was the first of three liquidity providers to join when TP ICAP rolled out its institution-focused Fusion Digital Assets platform in May. One of the main attractions of DLT Finance is its ability to offer regulated trading.
Stephan Kunz, Head of SDX Web3 Services, stated that the partnership with DLT Finance further cements SDX Web3’s position as a distinguished cryptocurrency service provider in Switzerland.
Disclaimer: Any financial trading analysis offered here is our opinion and is not intended as advice or direction for investors. We cannot guarantee the success of any trades made as a consequence of this article, and we encourage traders to incorporate a strong money management strategy to limit losses when they enter the markets. Please use this article as part of your own research before formulating strategies prior to trading.
