Cardano ADA Founder Made Hard Statements About Bitcoin!!!
In this episode, we are going to go through five outstanding events. In the first news segment, UNICEF, the United Nations International Children’s Emergency Fund, announced that it is working on a prototype that will allow the organization to accept Bitcoin and Ethereum – but they will be keeping these donations as cryptocurrencies and won’t convert the raised funds to cash or fiat money. Next up, the Canadian social media and messaging app Kik announced that “Kik is here to stay” despite their costly lawsuit with the SEC. Third up, the suspension of Telegram’s TON may curb investor compensation. Furthermore, during an interview for the Off the Chain podcast on Oct. 10, the Cardano founder and creator Charles Hoskinson believes that “if Bitcoin fails, the whole industry’s probably in for a really bad time”. And Finally, in a letter sent to G20 finance ministers and central bank governors, the G7 Group considers stablecoins a risk to world finance.
The Market Today
It looks like the crypto sphere is recovering, with major gains from the altcoins. Bitcoin is currently at $8,360, slightly gaining by0.75%. Likewise, ETH and XRP are also increasing by 2.25% and 4.46% respectively.
UNICEF will not convert BTC and ETH donations into fiat
According to a report on BeinCrypto, the United Nations International Children’s Emergency Fund (UNICEF) is developing a pilot platform allowing it to receive non-fiat currencies such as Bitcoin (BTC) and Ethereum (ETH) donations. Notably, they are not going to convert these tokens into fiat currencies. For those who are unaware, the new pilot program is the first time the international agency will be accepting cryptocurrencies.
In this project, we have the participation from UNICEF USA, UNICEF Australia, UNICEF New Zealand, and UNICEF France. According to Christina Lomazzo, the Blockchain leader at UNICEF Ventures, the Ethereum Foundation has provided the first donation with 1 BTC and 10,000 ETH. So, what is the reason for keeping those donations in digital currencies? The organization explained that this will ensure better transparency and increase the number of donors. As all transactions are recorded on the blockchain, there is little or no room to cheat on the donated funds.
Kik announces It’s ‘Here to Stay’
the Canadian social media and messaging app Kik has just announced that it ‘is here to stay’. For those who are not aware the SEC sued Kik for its initial coin offering, stating that the company conducted an allegedly unregistered $100 million token offering. Earlier during their legal difficulties with the SEC, Kik announced that they had to shut down their Kik messaging app, but it looks like they are now reversing their earlier plans of shut down.
It’s great to see that Kik won’t be leaving anytime soon. According to a blog post from CEO Ted Livingston last month, he stated that he had to reduce the Kik workforce from 151 to just 19.
But the first hint of a turn in fortunes appeared last week when Livingston tweeted:
Some exciting news: we may have found a home for Kik! We just signed an LOI [letter of intention] with a great company. They want to buy the app, continue growing it for our millions of users, and take the Kin integration to the next level. Not a done deal yet, but could be a great win-win. More soon.
“Force majeure” clause may save Telegram from breaking the agreement
According to CoinTelegraph, Telegram’s pledge to return money to investors in the event of a delay to the launch of its blockchain network may be superseded by a force majeure clause in its purchase agreement. For those who are not aware, on Friday, Oct. 11, the SEC announced that it is suing two offshore entities, Telegram and its wholly-owned subsidiary, TON Issuer, for holding $1.7 billion unregistered token sales, ordering an immediate suspension of the project.
Now, Telegram’s failure to launch TON requires the company to refund money back to investors. However, thanks to the force majeure clause, which includes natural disasters, terrorist threats, the eruption of war, and legal or regulatory actions on the part of the authorities. So it looks like based on this clause they’re not actually liable to return the funds back to investors. I’m not too sure what Telegram is going to be doing next. TON’s developers had, however, outlined a letter to investors that they are accessing the best ways to respond to the agency’s action in the interests of relevant parties.
Charles Hoskinson: if BTC fails, the crypto industry will collapse
In a report on Cointelegraph, Cardano (ADA) creator Charles Hoskinson believes that Bitcoin can massively impact other digital currencies if it fails. Now, this thought was shared during an interview for the Off the Chain podcast on Oct. 10. In the conversation, he reflected on Bitcoin’s origins, the parameters they set for other crypto projects, and how Bitcoin’s development and future survival is intimately bound up with the fate of the entire cryptocurrency industry.
Bitcoin frankly is the brand of cryptocurrencies. We can’t say, oh, I’m going to succeed but Bitcoin’ll fail. if Bitcoin fails, the whole industry’s probably in for a really bad time.
However, he also pointed out that the Bitcoin system also needs improvement. Hoskinson referred to the Proof-of-Work (PoW) vs. Proof-of-Stake systems, and which of the two is more likely to survive. Later on, he made the case that PoW systems can only keep going if they find a way to make the process of computing useful.
G7 considers stablecoins as a risk to the financial segment
In a letter to G20 finance ministers and central bank governors on Sunday, Oct 13, the chairman of Financial Stability Board (FSB) said that the G7 working group is evaluating stablecoins as a potential risk to the global financial industry. Although the G20 leaders earlier stated that crypto-assets do not threaten global financial stability, the introduction of global stablecoins could create “a host of challenges” for the world regulators.
While the letter didn’t mention any specific stablecoin, it’s worth noting that many large economies have expressed their concerns about the launch of Libra token. Furthermore, the report from the G7 working group also clarifies that even if Libra can satisfy all those concerns, the project may not gain approval from regulators.
That’s it, guys! After hearing all the news, what are your thoughts?
Do you think it’s a good idea for UNICEF to keep the cryptocurrency tokens in crypto?
Are you happy to Kik’s messaging app finds a way back?
Do you think Telegram will properly return the funds to investors?
Is Bitcoin really the face of cryptocurrencies?
Do you think the regulators are too conservative in the crypto industry?
Please leave a comment right below to let me know what you guys are thinking.
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Disclaimer: Cryptopig content is written by a team of blockchain passionate people. We are not registered as investment advisors. Don’t take the information in this post as investment advice and make sure you do your own research before investing. Cryptocurrencies are a very risky investment, never invest more money than you can afford to lose.