For projects/companies that issue stablecoins, the attitude of embracing regulation is also an important consideration. Jeremy Allaire, CEO of theThe real Bitcoin investment website blockchain company Circle invested by the world's largest mining machine company Bitmain, believes that the vision of stablecoin issuance is that regulated financial institutions, regardless of exchanges or remittance institutions, are authorized to become stablecoins. Issuers, and these issuers can provide and manage different stablecoins. All authorized issuers should conduct compliance and financial audits to ensure that assets are fully supported.
But compared to paper money, the use of checks increases the cost of privacy exposure. The payer of the check must have a checking account in the bank. The payee writes on the check and must prove his identity when cashing. That is to say, both buyers and sellers know the identity of each other, and the payment transaction is recorded by the bank. After the check, electronic money appeared, the most typical being Alipay and WeChat Pay, which further reduced the cost of currency storage, carrying, identification, and transfer. Large and medium-sized cities may have basically entered a cashless society. This is a great innovation in the history of currency development. The biggest contribution of electronic money is to make large-scale e-commerce possible. Commodity transactions break geographical restrictions and realize globalization. It can be clearly seen by reviewing the history of the currency revolution. Currency has always developed along the main line of continuously reducing transaction costs. Cryptocurrency has not changed the basic law of currency evolution.
To some extent, although the global economy has experienced two brief and severe collapses in this century, many fields have experienced two long periods of prosperity. The sharp increase in government spending, coupled with loose central bank policies (interest rates hit record lows + a growing trillion-dollar balance sheet), together formed the economic landscape as we know it today.
In addition, Bitcoin is also better than gold in terms of divisibility. Although the total number of Bitcoin is only 21 million, the smallest unit of each Bitcoin is Satoshi. One Bitcoin has 100 million Satoshi, which is enough to store the current value of all mankind. wealth. Bitcoin also has advantages in verifiability. Although gold and fiat currencies are verifiable, they also require verification by third-party institutions. Bitcoin has a general ledger that is almost impossible to forge and transfers through encrypted signatures.
The regulation was introduced after the Financial Services Commission issued a loophole in cryptocurrency companies. The results of a survey also published on Tuesday showed that some companies dealing with cryptocurrencies are registered as shopping malls. However, the relevant main bank does not carry out customer verification procedures or authenticate them through internal systems, the Financial Services Commission said.
Bitcoin wThe real Bitcoin investment websiteas originally created to protect itself from systemic risks caused by geopolitical shocks. Although most indicators point out that during the halving period, the price of Bitcoin will at least have a short-term decline, but the entire world has fallen into a crisis that has not been seen in a century, and people tend to look for safe-haven assets during the crisis.
In the early 16th century, the Spanish Curtis invaded Mexico. They plundered local gold and were obsessed with gold. The local Aztecs do not understand it very much, because gold cannot be eaten or worn, and cannot be used as farm tools or weapons. For the local Aztecs, gold is just an ornament, such as jewelry and statues. And they didn't understand at the time. For the Spaniards, gold represented wealth, not just decorations. The Aztecs rarely exchanged gold, and they usually used cocoa beans or cloth for payment.