As cryptocurrencies market continued to recover Tuesday from the last week sell-off Polygons MATIC an Ethereum product was among the gainers. In this article, we will read about the latest news from crypto market.
1) Polygons MATIC Token Up 40% Amid Crypto Rebound
The native token of the Polygon Community, MATIC, has seen a sharp increase in price in the last 24 hours despite a broader cryptocurrency rebound. Traders seek out layer two scaling options, and a recent conference on zk-STARKs, or zero-knowledge proofs, is promising for the company. With these new developments, the Polygon community is poised to take advantage of a broader investor base.
MATIC has been one of the most successful cryptocurrencies in the past month. Its MATIC token has gained more than 20% in 24 hours and now sits at $2.31, with a market cap of $16.2 billion. The company is competing against Ethereum and Cosmos’ Stargate to establish a blockchain and a decentralized exchange. The most popular crypto of this year is Ethereum, but the crypto markets have shown a rebound. For more information about crypto visit cryptoaclass.com
The Polygon cryptocurrency has jumped more than 760% in four weeks. On 18 May 2021, MATIC reached a high of $2.68. On 23 May, the MATIC token plunged to $0.69. On 26 May, the coin rebounded to $2.21, and it subsequently declined to $0.69. Since the beginning of this year, MATIC has been gaining traction. It is currently selling at $2.52.
2) Japan exploring all ways to force stable coin issuers to register as a bank
A new initiative restricts stable coin issuance to banks, wire transfer companies, and transfers. The agency says this will reduce risks and ensure that the financial institutions are protected. Without bank registration, companies like Tether, Circle, and other companies would not issue stable coins for users in Japan. These changes could also affect Bitcoin and other virtual currencies.
The government’s Financial Services Agency is trying to regulate these institutions to prevent the proliferation of digital currencies in the country. It tries to control money laundering and other risks that can arise from unregulated Cryptocurrencies. The agency is considering a proposal that would require all stable coin issuers to register as banks. In return, this would restrict the operations of a popular stable coin issuer.
The agency says that limiting the issuance of stable coins will protect consumers from fraudulent activity. It aims to bring intermediaries involved in stable coin transactions under its regulatory umbrella. It means that these companies must meet specific obligations under Japanese law, such as verifying users’ identities and reporting suspicious transactions. The agency will use these findings to evaluate new registration applications.
This regulation may affect the use of stable coins in Japan, and however, it would only affect banks and wire transfer firms. If stable coin issuers fail to register as banks in Japan, they won’t issue yen-pegged coins to Japanese users. Therefore, if you want to invest in a stable coin, you must register as a bank in Japan.
The FSA plans to regulate the issuance of stable coins by 2022. The new regulations will force stable coin issuers to register as banks to provide yen-pegged coins to the Japanese market. The Japanese government wants to avoid money laundering and terrorist financing, regulate banks, and regulate stable coin issuers.
In the meantime, the FSA has proposed that stable coin issuers must register as banks to offer their services in the country. The FSA has the power to approve or disapprove a stable coin and its intermediaries, but it is not clear whether it will take effect in the country until the new regulations are in place. The agency plans to propose legislation in the coming year, but it will not make any final decision until the end of this year. Get updates by visiting cryptoaclass.com
3) Visa Launches Cryptocurrency Advisory Service for Financial Institutions and Retailers
World’s largest payment processor Visa Inc. has launched a crypto advisory service to help financial institutions, retailers, central banks, and other institutions explore digital currencies. The service includes:
- Education about crypto and cryptocurrencies.
- Using the payment processor’s network to offer digital offerings.
- Managing the backend operations.
The new service will provide advice on leveraging cryptocurrencies as a payment method.
The service will provide institutional clients with guidance in assessing opportunities and developing concrete strategies to enter this growing market. The new offering will be used by retailers looking to incorporate cryptocurrencies into their offerings, financial institutions looking to implement NFTs, and central banks evaluating the potential of digital currencies. The advisory service will also support the integration of consumer wallets with CBDCs. Further, the service will provide a dedicated team to handle backend operations.
In addition to the advisory service, Visa has filed numerous patents related to blockchain technology. One of the projects in its research division is the Universal Payment Channel, which connects multiple blockchain networks, allowing digital assets to move seamlessly between them. The global adoption of cryptocurrencies has led many payment processors to enter the space. Mastercard, for example, recently launched a cryptocurrency-linked payment card, and PayPal launched a cryptocurrency consumer app.
In addition to being a central payment processor, Visa offers crypto-related expertise to help financial institutions explore cryptocurrencies. It will help them evaluate opportunities and develop concrete strategies. It will also help pilot new projects, such as consumer wallets integrating with CBDCs. In addition to this, it will also assist with managing the backend operations. This service will allow the institutions to tap into the emerging crypto market. For latest information on crypto visit cryptoaclass.com.