The cryptocurrency market remains range-bound as Bitcoin (BTC) continues to hover around $20,000. While writing this article, Bitcoin was trading at $20,684, down 1.90% in the last 24 hours. Ethereum (ETH) was trading at $1,182, a decrease of 2.50% in the same period. XRP had lost 4.10% to trade at $0.3502.
Major altcoins, which have gained ground in the past 24 hours, include Tezos (XTZ- $1.57, 7.20%).
Major altcoins, which have lost ground in the past 24 hours, include VeChain (VET, $0.02418, -2.40%), Uniswap (UNI – $5.23, -7.50%), IOTA (IOTA – $0.2869, -0.9%), Stellar (XLM – $0.1177, -3.40%), Polkadot (DOT, $7.58, -4.40), Cardano (ADA, $0.4792, -3.60%), Internet Computer (ICP, $5.79, -0.40%), Binance Coin (BNB- $232.22, -1.30%), Avalanche (Avax- $18.99, -4.50%), EOS (EOS-$0.9705, -3.30%), ChainLink (LINK – $6.43, -6%), Cosmos (ATOM, $7.61, -6.90%), Polygon (MATIC- $0.5141, -9.40%), Shiba Inu (SHIB – $0.00001084, -3.90%), Solana (SOL, $37.60, -5.20%) and Dogecoin (DOGE- $0.070044, -7.60%).
Government level initiatives
Central Bank of Nigeria to increase financial inclusion of the eNaira
The Central Bank of Nigeria, which launched its central bank digital currency (CBDC) trial in October 2021, has taken steps for further financial inclusion through the eNaira service.
As of date, the CBDC is offered only for bank account holders and through smartphone apps. Now, the central bank intends to increase financial inclusion, which is currently at about 70%, by enabling Unstructured Supplementary Service Data (USSD) codes-based payment service. Notably, USSD functions similar to SMS.
In general, the USSD codes involve sending a message to a specific number, and a response containing a series of options, including fund remittance, is given to the user. The payment process will be completed with the response made by the user to the received message. Notably, the M-Pesa Africa payments platform, which uses USSD for payment transfers, has been in operation since 2020.
Even though Nigeria’s app has recorded 764,000 downloads, nearly 50% have never utilized the app, and only 80 merchants are using the platform.
ECB to cap digital euro issuance
Fabio Panetta, an executive board member of the European Central Bank (ECB), made a detailed speech about the digital euro a week before. As per the details revealed by the member, the central bank would bar the aggregate central bank digital currency (CBDC) issuance to €1-1.5 trillion ($1.56 trillion). This would assist in retaining financial stability and minimize substitution of bank deposits as the holdings of the digital euro will be restricted to €3,000-4,000 per person.
The central banker also disclosed the ECB is looking at the possibility of offering interest on the digital euro. On significant deposits, the interest rate would be lower. The ECB believes that it would discourage people from having huge deposits in the form of digital euro. Panetta reaffirmed the primary objectives behind the CBDC. Specifically, the European Central Bank intends to link private money to public funds. Secondly, the ECB believes that a digital euro will boost the strategic autonomy of Europe.
Private sector initiatives
Alliance Bernstein partners with Allfunds Blockchain
Alliance Bernstein (AB), an asset management company, has adopted blockchain across its global platform, domiciled in the EU, by partnering with Allfunds Blockchain. At the end of March, Alliance Bernstein had $735 billion worth of assets under management (AUM). Its associate firm, Equitable Life and Equitable Holdings own nearly 75% stake in the firm.
Allfunds, which manages nearly $1.50 trillion worth of funds, unveiled its blockchain subsidiary two years back. Currently, it is offering multiple services in Spain, including FAST funds transfer solution.
Notably, AB joined hands with Spanish asset manager Renta 4 Banco for tokenization of funds with respect to Spain’s Regulatory Sandbox. Earlier in 2022, AB revealed that it had successfully completed the processing of its first live transactions.
The tokenization solution utilizes smart contracts for the entire process, including tokenizing of funds that are disbursed, distribution, settlement, and enrolment of participants. Allfunds utilizes the Ethereum enterprise blockchain Quorum and collaborates with ConsenSys, the Ethereum-focused development firm.
Chevrolet and SuperRare join hands
Chevrolet, a subsidiary of General Motors, has joined hands with SuperRare, a non-fungible token (NFT) marketplace, to auction a solo digital collectible symbolizing the forthcoming 2023 Corvette Z06. The venture, named “Own the Color,” reflects Chevrolet’s initial “appearance” in the Web3 domain. The auction winner will also get to own a real-world, physical version of the car.
The NFT artwork was designed by digital artist Xsullo and portrayed the car in mint green. To ensure the auction and the offering classier, the Corvette Z06 will not be offered for sale in mint green this year.
The funds generated from the NFT auction will be granted to DonorsChoose, a charity offering financial support to deserving teachers. As the auction accepts only Ether (ETH), the native crypto of the Ethereum blockchain, as payment, the donation will also be offered in cryptocurrency.
Commenting on the data, Steve Majoros, VP of Chevrolet Marketing, said, “The Chevrolet Corvette is the company’s shining star. It has reached the zenith of performance, and maintaining a leading-edge requires venturing into uncharted territory with a pioneering spirit. This is the very first NFT for our firm. We view ‘Own the Color’ as a crucial launching pad for Chevrolet towards forthcoming digital activities for our clients and believe it will play a significant part in such projects.”
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