With the second month of 2020 gone, there has been an uptick within and around the cryptospace. Many events have occurred that have been worthy of mention. However, a few are critical as to how the year might turn out. Many within the cryptospace aren’t so concerned with how things will change. We know this though that things change very fast when it comes to the world of cryptocurrencies. In a nutshell, here are the few stories which in many ways may change the cryptocurrency world forever.
Ripple Labs Donates $11 Million to MoneyGram
In what has been seen by many as a dramatic twist, Ripple Labs has donated about $11 million to money remittance service, MoneyGram. This reportedly occurred in the last quarter of last year. This information was gleaned from recent SEC filings that MoneyGram made. It has also fueled many speculations about the relationship between the two companies.
MoneyGram has been a remittance organization for more just about eighty years. Ripple Labs has been in existence since 2012. It’s not about the disparity between the ages. Rather, it is about the disparity between the foundations of the companies.
This also goes to show that both companies are set to change the way interactions within the fintech community occur.
What’s certain is that this year we shall see many more interesting announcements from these two as they explore their relationship.
Mastercard Leaves Libra for Good
Early in February Mastercard which is one of the world’s largest payment processors decided to leave Facebook’s Libra for good. In an explanation, Mastercard’s CEO Ajay Banga had in an interview indicated regulatory concerns. He said in the interview that Facebook had gone from an altruistic idea to something he couldn’t understand.
As of the beginning of February, only 20 of the 28 founders of the Libra Foundation. This comes at a time when everyone has become skeptical about what the Libra Foundation is truly after. It has also influenced legislation against moves by big tech in finance. The Keep-big-tech-out-of-finance-act is one of those acts of the United States Congress that are currently restricting the progress of the global cryptocurrency community.
How this plays out will also impact massive cryptocurrency projects throughout 2020.
The European Union Unveils its Central Bank Digital Currency Project
Early in the year, the European Union (EU) had intimated the public of its plans to launch its Central Bank Digital Currency (CBDC). In a paper “Infocus” which is a periodical that is published by the European Central Bank, a proof-of-concept was published in infocus concerning a blockchain that can function as a payment ecosystem. The paper then goes on to describe the
Why this is important is because this may be on the of the first true use-cases of cryptocurrencies on a national basis. Apart from the Chinese who have demonstrated an interest in developing their own Central Bank Digital Currency, the EU seems to be the only other organization that is willing to do this on such a large scale.
As the year progresses, we shall continue to see many other trends emerge. New events will overtake the ones that have been described here. We shall also see innovations emerge within the Cryptospace. How humanity responds to it is another matter entirely.