Five Russian Banks to Participate in Digital Ruble Trial

Five Russian Banks to Participate in Digital Ruble Trial
October 20, 2020

 

The cryptocurrency market remains range-bound with a slight bullish bias. Bitcoin (BTC) is inching towards $12,000 level. At the time of writing this article, Bitcoin was trading at $11,696.70, reflecting a gain of 1.9% in the last 24 hours. Ether (ETH) has gained 0.7% to trade at $378.14. XRP has gained 1.2% to trade at $0.2450.

Major altcoins which have rallied in the past 24 hours include Bitcoin Cash (BCH-$248.67, 0.3%), Monero (XMR-$125.40, 1.6%), Litecoin (LTC-$47.91, 1.4%), Cardano (ADA-$0.1081 1.1%), ChainLink (LINK-$10.83, 0.5%), Huobi (HT-$4.38, 0.1%), Dash (DASH-$74.48, 11.5%), IOTA (IOTA-$0.2737, 1.4%), Bitcoin SV (BSV-$160.04, 0.2%), Tether (USDT-$0.9986, 0.1%), EOS (EOS-$2.57, 1.5%), and Stellar (XLM-$0.0846, 5.5%).

Major altcoins which have lost value in the past 24 hours are OKB (OKB-$4.56, -2.2%), Tron (TRX-$0.0257, -0.4%), Tezos (XTZ-$2.18, -1.2%), Binance Coin (BNB-$29.86, -1.6%), Cosmos (ATOM, $5.44, -3.5%) and Polkadot (DOT-$3.97, -2.1%).

Government level initiatives

Singapore Airlines launches Kris+

Singapore Airlines, the flag carrier airline of Singapore, has unveiled its latest “payment, lifestyle and rewards” application, named Kris+, an improved version of its prevailing blockchain reward wallet KrisPay. The earlier reward system KrisPay is miles-based digital wallet associated with KrisFlyer, the frequent flyer program of Singapore Airlines. Microsoft and KPMG Digital Village developed the underlying technology of KrisPay.

At the time of launch two years back, KrisPay boasted to be the first-ever blockchain-powered loyalty wallet offered by an airline. Kris+ is backed by more than 150 associates having over 650 outlets offering tailor-made deals for air travellers.

Kris+, which has an updated interface, permits making personalized offers to its clients on the basis of location and priorities. Travellers are rewarded miles based on their everyday spending. Conversely, miles can be used to settle bills. The app also rewards customers with discounts from restaurants, entertainment venues and retailers.

KrisFlyer members will be able to redeem their miles into KrisPay tokens, which can be used for payment at several retailers. The current Senior VP of Marketing and Planning, JoAnn Tan said, “Our vision is to create a comprehensive and updated lifestyle and payments system with Kris+. This will offer even more and better options and benefits for our global customer base, and bring additional value to our partners around the world.”

 

Russian Digital Currency Trials Progress

Several financial institutions in Russia have shown a willingness in piloting the country’s central bank digital currency (CBDC). According to media outlet Izvestia, a minimum of five Russian banks have communicated their willingness in partaking in Russia’s non-public digital ruble trial in the first of next year.

The list of banks participating includes the mortgage bank Dom.RF, Credit Bank of Moscow, Commercial Bank Zenit, state-backed Promsvyazbank, and Crimea’s Russian National Commercial Bank. The latter of whom are notably interested in participating in the trial, because this will offer Crimea with the “most innovative banking technologies.”

The Bank of Russia intends to use the digital ruble to disburse salaries and benefits after the digital ruble gets adopted. Furthermore, the users will also be able to store and move the digital currency via an “analogue bank card.”

 

Private Sector Initiatives

CMA CGM completes integration of the TradeLens Blockchain platform

CMA CGM, one of the renowned container carriers, and the Mediterranean Shipping Company (MSC) has completed its in-house integration of the TradeLens blockchain platform developed by IBM and Maersk. Top five container shippers had announced the collaboration with the digital network last May. Nevertheless, as of date, all transactions carried out through the platform have been on a trial basis only.

With the completion of the integration of the TradeLens platform, MSC and CMA CGM intend to facilitate access of data pertaining to all of their containers in a permissioned manner. That is expected to boost the network usage. IBM has pointed out that the inclusion of two carriers implies that data on almost 50% of the sea-borne containers can be accessed through a single blockchain-powered platform.

Marc Bourdon, CMA CGM SVP, said “Only by working together and agreeing to a shared set of standards and goals are we able to enact the digital transformation that is now touching nearly every part of the global shipping industry.”

It took more than a year for the integration process and necessitated the development of a new API (application programming interface). One of the trials involved 15 clients with over 3,000 consignments, 6,000 containers and 100,000 events.

Both MSC and CMA CGM will join with Maersk and IBM as TradeLens validators, implying that they will “have dedicated blockchain nodes against which encrypted data can be validated to ensure authenticity as bonafide original documents issued by each of these carriers”.

 

Miscellaneous

Bitcoin could reach the $15K mark, according to Stack Funds

According to a report published by crypto index fund provider Stack Funds, Bitcoin has enough momentum to reach $15,000 as per market cap vs realized cap ratio (MVRV).

MVRV is a measure developed by analysts Murad Mahmudov and David Puell, who also created Bitcoin’s Puell Multiple. It utilizes market capitalization versus realized cap ratio to assess the valuation of Bitcoin in a better manner than the conventional market cap. Realized capitalization was developed by CoinMetrics.

Bitcoin, which got rejected at $11,700 this week, is yet to break above $12,000. However, the numero uno crypto is having solid support at the $11,000 level. Looking ahead, Bitcoin is expected to rally after the completion of the US elections on 3rd November. Stack Funds has pointed out that MVRV ratio is currently at 1.80 and a retest of 2.5 reached in 2019 is quite possible.

The report states “The current MVRV ratio is at 1.8, and is purportedly well supported by the trendline where bitcoin bottomed back in late 2018. The trend is also painting a similar trajectory as it did back in the 2017 bull run, with a steady growth inclination that tested an identical support trendline multiple times.”

Given the strength in support, we are expecting a significant break of 2.0 in the near term as it looks to retest the 2019 peak at 2.5, which will put Bitcoin price above the $15,000 level.”

Notably, since late 2018, MVRV had been rising. However, the uptrend got snapped by the COVID-19 induced cross-asset market slump in March 2020.

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.

Ian Maguire

Ian Maguire

Ian is our resident contributor to the latest going ons in the cryptomarket, keeping up to date with the latest icos and coins


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