Connect with us


XRP Is to Be Complimentary to Stablecoins and CBDCs, Ripple Exec Says



Ripple executive explained that XRP is not a rival to stablecoins and CBDCs in international settlements.

Ripple’s senior director of global operations Emi Yoshikawa has revealed in an interview that the XRP coin was not designed to compete with Central Bank Digital Currencies (CBDCs) and Stablecoins, rather, it is complimentary. She noted:

“There are various types of crypto assets, but I think that the role of XRP as a bridge asset in international settlement is not a competition with Stablecoin or CBDC, but on the contrary, complementary. We believe that various stable coins and CBDCs will create a synergy by responding to the liquidity problem by bridging independent crypto assets, XRP.”

The need for the clarity must have been fueled based on Tether’s (USDT) stride in unseating XRP as the third-largest cryptocurrency by market capitalization. Although XRP has regained its position, questions about the possibility of the two coins and possible CBDCs like the Chinese digital Yuan being in the competition have lingered to date.

XRP and Stablecoins Are Crucial for Cross-Border Payments

Through Ripple’s flagship settlement product (On-Demand Liquidity), XRP coin has earned its place as an important digital currency in cross border transactions and settlements. As explained by Yoshikawa, the On-Demand Liquidity is a service for procuring cash liquidity through the RippleNet platform.

“Until now, when a financial institution sent money to a foreign country, it was necessary to prepare a Nostro account at the local financial institution and put in a reserve fund (prefunding) in the local currency. This process is costly both in terms of capital efficiency and currency risk, and also places a heavy burden on compliance and operations,” she said.

As the pandemic rages, stablecoins particularly Tether (USDT) which were built to withstand constant extreme volatility also saw increased usage in payments and settlement. The same role stablecoins and XRP are playing in settlements is being threatened by Central Bank Digital Currencies. While none has yet been launched, they are sure to provide a fast and scalable alternative to the traditional fiat currencies they are pegged against

Ripple’s Growth Has Gotten Recognition

As recognized by Inc, a renowned American Business Magazine, Ripple saw about 3,039% growth from 2016 to 2019, earning it a place as the 123rd fastest-growing company in the United States.

Coming with a unique product offering with a growing demand by financial institutions around the world, Ripple has been able to position itself as a key company in the payment settlement ecosystem.

To bolster the position made by Emi Yoshikawa that the XRP coin was not designed to compete with stablecoins and CBDCs, the company’s CTO David Schwartz noted back in June that the company has no plans to create any stablecoin

Altcoin News, Blockchain News, Cryptocurrency news, FinTech News, News

Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.

Source link


Square to Acquire Australian Company Afterpay in $29 Billion Deal




Jack Dorsey’s Square will be acquiring Afterpay, which is a “buy now and pay later” firm in a deal worth $29 billion.

Jack Dorsey, CEO of Twitter Inc, is all set to purchase Afterpay, a company that offers an option to buy now and pay later to its clients while making bargains at various other platforms. Square will be acquiring the Afterpay company in a striking $29 billion which is publicized by the media as Australia’s biggest “buyout” to date.

Afterpay is one of the pioneering companies in the world having more than 16 million customers and is used by 100 million businesses all over the world.

Square All Set to Acquire Afterpay in a Deal Worth $29 Billion

Twitter Co-Founder and CEO Jack Dorsey’s Square will now be acquiring a buy now and pay later platform Afterpay in a whopping 29 billion dollar deal. The company will expand its operations through Afterpay which has a customer base spanning 16 million active consumers and is frequently used by 100 million businesses across the world.

Afterpay has confirmed that the board of directors associated with the firm have unanimously suggested the deal to their shareholders and have established an agreement to own 18.5% of the new company.

Afterpay has successfully ascertained a niche where credit-based payment ideas can be utilized to establish a profitable business. Afterpay offers a facility where users can make purchases first and pay later under a time limit which has been a source of massive popularity for consumers all over the world.

Twitter’s CEO Jack Dorsey has expressed his views on the acquisition and has commented that Square and Afterpay were created to conduct fair financial proceedings that are accessible to the masses in a simplified manner. Afterpay has built a strong brand image that can be utilized to achieve the desired results with optimum efficacy and safety.

Afterpay had recently acquired significant popularity in terms of transactions where it was noted that a considerable number of people, especially young professionals, and individuals have utilized the platform to purchase everyday essentials and equipment on a buy now and pay later format, because of growing coronavirus concerns.

The following agreement is said to accelerate the Australian firm proceedings and also help the company to scale work operations in America. Square too, has announced their second-quarter earnings stating the company’s gross profit which has increased to $1.14 billion since last year.

Afterpay’s novel move to offer credit-based payment options that allow the users to make payments in installments has made the company quite popular and prominent among other contenders. Shares of Afterpay have noticed a surge in prices by 19% after the news of acquisition went viral on various social media outlets.

next Business News, Deals News, Market News, News

Juhi Mirza is an archaeology major who is obsessive about blockchain/Crypto technology and deems it to be the foundational philosophy of the future. Her dogged ability to research and crystallise technical facts/multiple perspectives into rivetting stories makes her an accessible finance writer. She tends to her archaeological pursuits and loves unearthing the past over the weekends.

Source link

Continue Reading


Matrixport Becomes Unicorn in Just Two Years Post Series C Funding




Matrixport, with its knowledge of both traditional finance and modern crypto, is best suited to provide solutions to the emerging challenges of this novel crypto asset class.

Singapore-based digital asset financial services venture Matrixport closed its latest Series C funding round raising over $100 million elevating its pre-money valuation to over $1 billion in just a couple of months. It is now officially a Unicorn and has raised a total of $129 million to date since its inception.

Its fast-growing success can be attributed to its fierce and exceptional technological competency through which it has been offering unique products to its customers. Matrixport’s suite of offerings is tailor-made for a wide variety of investors and traders both institutional as well as retail. No matter what your risk appetite is or what yields you expect to earn, Matrixport will provide the best at hand making sure you get more from your crypto. All their product offerings thus make their mission possible – Get More From Your Crypto.

Key Features of the Series C Funding by Matrixport

As said earlier, the company raised over $100 million in an impressive Series C funding round thus turning the start-up into a unicorn at such an early stage. While DST Global, K3 Ventures and C Ventures became the leading investors of this round, the start up’s early investors namely Lightspeed, Dragonfly Capital, Polychain, IDG Capital and CMT Digital also participated. The others included Qiming Venture Partners, Tiger Global, CE Innovation Capital, Palm Drive Capital, A&T Capital, Cachet Group, Foresight Ventures.

The new funds will be put to use in enabling sophisticated research and development that in turn will improve their offerings and enhance customer experience on the platform. The new employees will range from those having industry capabilities across world-class banks and internet giants to those with niche expertise in blockchain technology firms. Currently, the company has its user base in over 40 countries which it plans to expand through securing licenses for operations in additional jurisdictions, thus consolidating its global expansion goal.

About the Company

Matrixport was founded in 2019 by Jihan Wu and John Ge, both earlier associated with the world’s largest Bitcoin mining rigs maker Bitmain. The platform offers a full collection of services like dual currency BTC/USDC linked product (DCP), spot OTC, fixed income, Cactus CustodyTM, structured products and asset management for both institutions and retail customers. As per its website, the company holds currently over $10 billion in assets and has $5 billion worth of monthly transactions across all products.

The company’s goal is to be the one-stop financial services platform that will give crypto users multiple products to invest their digital assets and sustainably earn profits. Already being recognised as a thought leader in the crypto-based financial services industry, Matrixport enhances the experience of all three crypto customer communities namely the crypto natives, the emerging first-time crypto users largely consisting of the younger generation and the sophisticated institutional customers.

According to a statement released by Ge to Bloomberg, the company plans to go public in three to five years and thus provide investors with an exit route. Though its profit numbers have not been released, Ge also confirmed Matrixport’s ambition to have hundreds of billions of dollars in assets under management and custody within the same time frame.

next Business News, Investors News, Market News, News

Content specialist with interest across sectors like Finance, Politics, Environment, Technology & Education. Loves Fiction! A reader, dreamer & blogger. When not writing, you will find her enjoying solitude like her cats

Source link

Continue Reading


Marathon Digital Spends $120.7M on Procuring 30,000 S19j Pro Bitcoin Miners from Bitmain




Marathon is purchasing the miners from Bitmain to boost its total hash rate to 13.3 EH/S. The purchase brings Marathon’s miner total to 133,000.

Marathon Digital Holdings Inc (NASDAQ: MARA) has agreed to procure an additional 30,000 Antminer S19j (100 TH/s) miners from Bitmain. The digital assets technology company from Las Vegas is expected to spend $120.7 million on the miners as it expects to boost its hash rate. Marathon has drawn a contract to that effect with Bitmain, a Chinese application design and chip-manufacturing company. The newly acquired miners currently have a due date of delivery between January 2022 and June 2022 from Beijing. This increase (30%) brings the total number of Bitcoin miners in Marathon’s mining operations to more than 133,000.

The Marathon Bitmain Collaboration

Marathon CEO, Fred Thiel, believes that the added firepower will exponentially increase the network’s total hash rate to 13.3 EH/s once fully deployed. This, he believes, will increase the earning company’s earning power. Thiel said that the current prevailing conditions of the mining environment are extremely favorable for the addition. 

The CEO also expressed gratitude to Bitmain for the upcoming supply as Marathon plans to scale operations. Irene Gao, a key figure in Bitmain’s upper management also weighed in on the impending supply from his company. The Antminer Sales Director of North, Central, and South America (NCSA), identified Marathon as a valued client of the company. She further stated Bitmain’s continued support and alluded to more collaborations between both companies down the road.

Currently, Marathon is one of the largest Bitcoin mining companies in North America, with plans for global expansion. All 133,000 miners will account for roughly 13.08 EH/s out of Bitcoin’s network’s total hash rate. This is approximately 12% of the total 109 EH/s recorded as at August 1, 2021. In addition to being a digital assets company, Marathon is also a patent-holding company with several tech-related subsidiaries.

Marathon Digital Holdings Share Price

Over the past month, Marathon shares dipped by about 10.46%. However, as recently as two days ago, it closed at $27.63, which was a +0.55% uptick. This was higher than the S&P 500’s 0.54% loss of the day. 

As it nears its next earnings release, Marathon will look to consolidate and report earnings of 0.23% per share. This translates to a year-over-year increase of 276.92%. The projected increase in output capacity from the additional miners is expected to see further gain in price per share. Projections according to Zacks Consensus Estimate for revenue, sees net sales of $40.5 million. This is an increase of 13710.34% from the same period last year.

Investors will certainly be paying close attention to the share price in the coming months. Analyst estimates may also play a major role as recent revisions are a reflection of near-term business trends. Despite the optimism from recent developments, the crypto space is popular for its volatility. As such in its investor notice, Marathon always explicitly issues a disclaimer that addresses such even as the company looks set to expand.  

next Bitcoin News, Blockchain News, Business News, Cryptocurrency news, Market News

Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge.
When he’s not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.

Source link

Continue Reading