24 June

“The analogy for me is the dot-com boom when $5 trillion was wiped off values. A lot of companies went, but the technology didn’t go away. Those that survived—the Amazons and the eBays—turned out to be the dominant players.

The Deputy Governor added that no matter what happens to cryptocurrencies in the coming months, he expects ‘crypto technology and finance to continue. It has the possibility of huge efficiencies and changes in market structure.’

Mark Cuban recently joined the discussion as well, saying that ‘companies that were sustained by cheap, easy money—but didn’t have valid business prospects—will disappear.

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“The government-owned bank’s Institute of Research and Expertise entertained the idea in a report titled “Global Payments Under the Sanctions: Current State and Perspectives” that says the Ministry of Finance must create a framework for how Russian companies under sanctions can use cryptocurrencies.

Gold can be a useful tool to compensate for the loss of most of Russia’s export revenue, the authors say. The metal can also serve as backing for a “golden ruble” stablecoin. The stablecoin would be used exclusively for settling import and export transactions, not for payment inside Russia, it says.

Americans won’t have any means to block operations with the crypto-golden ruble because the price will be tied to the price of gold on the global market.

One drawback: The stablecoin will need to exist for seven to 10 years before it establishes a track record as a reliable cryptocurrency, the authors note.

The authors also suggest increasing collaboration with China, India and other BRICS countries, Brazil and South Africa, including the creation of a blockchain-based settlement system.”

Powell said that the U.S. central bank plans to recommend to Congress how to advance a potential central bank digital currency (CBDC).

It’s something we really need to explore as a country. It’s a very important potential financial innovation that will affect all Americans. Our plan is to work on both the policy side and the technological side in coming years and come to Congress with a recommendation at some point.

One question around CBDCs is do we want a private stablecoin to wind up being the digital dollar? I think the answer is no. If we’re going to have a digital dollar, it should be government-guaranteed money, not private money.”

Cryptocurrency broker Voyager Digital reduced its daily withdrawal limit to $10,000 from $25,000.

Voyager shares (VOYG) plunged by more than 60% Wednesday after the company said it had an aggregated exposure of $720 million to Three Arrows Capital.”

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“Solana Labs has announced an Android-based software kit for developing mobile Web3 apps. The firm will also release its own smartphone called Saga, which will be released in 2023. Solana Mobile Stack (SMS) is an open-source software kit designed to enable the development of native Android apps built around the Solana blockchain.

Another new feature called Seed Vault is a software custody solution that keeps private keys and seed phrases (essentially the passwords that unlock crypto funds) and other sensitive information secure on an Android device. Lastly, SMS includes Solana Pay for Android, which enables mobile payments via the platform. Solana Labs will also launch a new Solana dapp Store.”

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