Cardano ADA Launches Shelley Testnet!!!
Welcome back to our daily crypto news. First up, it looks like the ECB, so European Central Bank is reportedly investigating stablecoins and a possible digital Euro. Next up, during a banking and financial conference, the Ripple’s managing director for Southeast Asia, the Middle East and North Africa noted that the company’s XRP- powered xRapid could help financial institutions and companies trigger a $10 trillion dollar innovation. In another interesting news piece, a crypto entrepreneur has carefully and thoroughly analyzed Ethereum before concluding that this is the ‘best model for money the world has ever seen’. Lastly, it looks like the Cardano team succeeded in launching their Shelley network testnet on September 26.
The Market Today
Today, we still have a pretty bearish market with most of the coins in reds. Bitcoin is currently at the $8,000 mark, dropping 2.11% over the weekends. Ethereum and XRP are also losing 2.42% and 0.95% respectively.
ECB: Cryptocurrencies are potential in the banking sector
According to a report on Beincrypto, the European Central Bank (ECB) apparently has a pretty open-minded approach to new technologies in the financial sector that align with its purposes. In a letter written by Mario Draghi the president of the ECB to the European parliament and crypto advocate Eva Kaili, the president expressed his thoughts on cryptocurrencies and their future in the banking sector. He mentioned that the European System of Central Banks (ESCB) is very open-minded towards new technologies that can facilitate developments of the financial sector, such as cryptocurrencies. The ECB’s president also clarified in the letter that they are looking into the cryptocurrencies in terms of
“monetary policy, the safety and efficiency of payments and market infrastructures and the stability of the financial system.”
He also mentioned Libra as a new stablecoin arrangement that has the potential for widespread adoption and uses since it is backed by large tech companies. That being said, LIbra still needs the approval of countries like France. Draghi also shared the views of the G7 working group on the matter concerning stablecoins, noting that the group is aware of the current challenges when it comes to cross border payments and access to payment services. But despite their advantages, they also present a lot of risks concerning
“monetary policy transmission, financial stability, and the smooth functioning of the global payment system.”
xRapid could trigger $10 trillion innovation
According to an article on DailyHodl, Ripple’s managing director for Southeast Asia, Middle East and North Africa, Navin Gupta claimed that with their XRP-powered xRapid, they can trigger a $10 trillion innovation among financial institutions and companies. Gupta believes that if xRapid can achieve global liquidity, companies will be able to send money around the world instantly without needing to hold pools of money in many bank accounts around the world.
“People are looking at making things faster in their existing correspondent bank network, but nobody is taking away the need for pre-funded accounts. That’s the fundamental value proposition that we are discussing today.
Our guess is that there is about $5 to $10 trillion that is stuck in pre-funded accounts around the world. This is money which the originating bank has to keep with the beneficiary institution to be able to make the pay-outs.
If this US$5-10Tn were to be redeployed back into the home economies can you imagine what effect it can have? When we speak with central banks, they love it.”
Breanne Madigan, the head of Ripple’s global institutional markets team stated that Ripple is pushing to get enough liquidity to launch xRapid in new corridors as well as in Mexico and the Philippines.
COO at RealT: ETH is “the best model for money the world has ever seen”
In a recent publication, David Hoffman, chief of operations at the tokenized real estate platform RealT, has praised Ethereum for being the ‘Best Model for Money the World Has Ever Seen’. The COO added:
“Ethereum is a foundation for building an alternative Internet-based financial system. This financial system has the capacity to be completely open and trustless.”
He also pointed out the rapid development of online platforms like Netflix, YouTube, Google, Facebook, which provide an endless stream of data, including video, photo, sound, text. One of the main advantages of Ethereum has over other cryptocurrencies like BTC is how Ethereum facilitates all types of data exchanged on the internet, effectively becoming “the value layer” of the internet. According to the analysis from Hoffman, Ether fits into the puzzle as a capital asset on Ethereum:
“In its capital-asset form, Ether is: A share in the Ethereum Network, a decentralized institution. A claim on Ethereum’s fees. The right to produce work for Ethereum”.
Shelley testnet is up
BTC manager reported over the weekend that the Cardano (ADA) team has achieved a major milestone in its journey towards full decentralization. They launched their Shelley network testnet on September 26. Accordingly, this is the very first decentralized implementation of the Ouroboros Genesis consensus algorithm. If you are not familiar with the term Ouroboros Genesis, it is a proof-of-sake (PoS) protocol that enables entities to safely enter or rejoin the protocol execution using just the genesis block information of the distributed ledger. The team also revealed that the new testnet allows IOHK and the Cardano community to test the performance of the Ouroboros protocol before integrating with the mainnet. A representative from Cardano stated,
“Presently, Cardano mainnet operates on a federated model, with all nodes in the network controlled by either Cardano Foundation, IOHK, or EMURGO. As a project, the primary goal is complete decentralization, with the majority of nodes run by the community.”
According to the Cardano team, the new Shelley updated is designed to being complete decentralization to Cardano, making the network 50 to 100 times more decentralized than other blockchain networks.
And there you have it guys! That’s the end of our daily news segment.
First up, do you think the European Central Bank will one day open up to stablecoins?
Do you think xRapid can accomplish to bring about a $10 trillion dollar innovation?
Do you agree with the claim of David Hoffman about Ethereum advantages and potential?
Are you excited to see Cardano launch Shelley on their testnet?
Don’t drop your 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.