Fri | 16.12.2022
FX & Currency
In this cryptocurrency era, things are moving faster than ever, so you'd better keep one eye constantly on the market changes. Find out what are the top performance leaders in the past 5 days.
The world’s largest financial watchdog, the FSB, plans to roll out regulatory guidelines for crypto in 2023.
According to the Financial Times, the FSB intends to set out a timeline for global regulators in the coming months. It will enable them to implement its first recommendations on global crypto regulation, it added.
The move is part of an accelerated push to regulate and restrict crypto activities following a year of high-profile company catastrophes. However, what most policymakers fail to grasp is that crypto is not the culprit, it is the people running these centralized lending companies that have been at fault.
Secretary General of the FSB, Dietrich Domanski, told the FT that the regulator was seeking a clear way forward for the crypto industry. Dispelling fears that they were about to quash the fledgling financial sector, he added:
“Many crypto market participants argue that authorities are hostile to innovation. I would say so far, authorities have been fairly accommodating . . . recent events have reinforced the recognition that it is indeed urgent to address risks.”
There has never been a time in the world’s history where environmental sustainability for major businesses has been more critical. The planet is showing signs of dramatic change, and the public is calling for greater accountability from all industries. Often, the blockchain community is portrayed as part of the problem, but this is largely a misrepresentation. This technology may actually assist in the global transition necessary for a sustainable future.
The possibilities afforded by sustainable blockchains are massive, and the upsides for the environment are too important to ignore. Of course, there are still challenges to address as is true of any industry, but they are recognized and are being actively worked on. What other industry has had its second-largest operator reduce its energy consumption and emissions by more than 99% in less than 10 years since inception?
Stefan Renton is the sustainability lead at Polygon, a blockchain development platform.
Today, the importance of ecologically sustainable business practices has become a central part of the popular narrative. Prominent companies rush to declare that they are launching various programs to address sustainability, and in many cases they do just what they say. However, it is also common for some of these businesses to hide behind opaque metrics and somewhat more interpretive goals. A lack of transparent oversight or explicit standards exacerbates this. Some companies have been caught fudging the truth about their efforts to be greener in an effort to merely improve their image (also known as “greenwashing”). This serves nobody but company executives and has sown mistrust amongst the broader public.
Will cryptocurrency soar, plummet, or tease investors along an unpredictable path for the foreseeable future? Will Bitcoin continue its volatility? Will regulation play a more significant role? Which type of cryptocurrency will be the best bet this coming year?
There are as many predictions as there are analysts charting the future of cryptocurrency.
Crypto continued its popularity in 2021. Crypto became accepted by Goldman Sachs. Coinbase debuted in April 2021 (the first major crypto company to go public), and the first U.S. exchange-traded fund linked to Bitcoin launched in October.
According to CNBC, the best-known cryptocurrency, Bitcoin, had a good year. The digital currency has been up nearly 70 percent since the start of 2021, driving the entire crypto market to a combined $2 trillion in value.
Looking at the future of cryptocurrency, if the past is any indication, investors in cryptocurrency are in for an exciting ride. Some interesting crypto predictions to watch out for in 2022 include:
Cryptocurrency prices could fall further in 2022. They leaped to a record high of almost $69,000 in November, but they are now below $50,000, down nearly 30 percent from its high. Carol Alexander, a Sussex University professor of finance, expects Bitcoin to plummet to a low of $10,000 in 2022, which would erase most of its gains in the past year and a half.
Others don’t see a crash in 2022. Yuya Hasegawa, a crypto market analyst at Japanese digital asset exchange Bitbank, believes the most significant risk factor is [quantitative tapering] by the Fed. He thinks it has been decided and is probably priced in.
Cryptocurrency paved the way for a decentralized banking system. Bitcoin was the first crypto created in 2009, and today, thousands of other cryptocurrencies, known as altcoins, have been created.
While many may still be on the fence about crypto investment, there’s undoubtedly a steady growth in this industry. One of the biggest draws for this digital currency is that buying, and selling are executed without the governmental regulations found in fiat currency. Regulations have been criticized for benefiting the system more than the investors, and they usually get in the way of efficient transactions.
Businesses around the world are now accepting various forms of cryptocurrency in transactions. There’s a continuous movement towards a decentralized financial system to counterbalance fiat currency. Crypto has continued to flourish as an alternative option for investors looking to diversify their portfolio.
We gathered some of the most crucial cryptocurrency stats for 2022 and 2023. Hopefully, these will prove useful for your next move in the crypto market:
This article is provided by our Cryptocurrency Partner, Bitcoin Romania.