Multinational Companies Coming Up With Their Own Cryptocurrencies Not OutlandishApril 23, 2019
South Koreans are spending more on fiat to buy cryptocurrency than at any time before. A non-profit organization in Korea recently revealed that nearly 7.4% of the total adults they surveyed were investing in cryptocurrency.
The cryptocurrency industry has been facing several hurdles from the local law due to shifting regulations and hacks in exchanges. Despite this, the numbers of purchasers have changed, and many of them who now own cryptocurrency is buying more of it than before.
The average investment per person in cryptocurrency has increased up by 64% to more than $6000. The investors initially used to be only older buyers. Most of them were in the 50s and then it is now followed by increasing numbers of 30 and 40-year-olds.
The price of BTC went up to $5,300 during the beginning of April, and the Bullish trend is currently re-emerging. The “Kimchi Premium” is the trend peculiar in South Korea where traders pay the local traders to pay a premium for Bitcoin in USD terms particularly on the cryptocurrency exchanges.
Market participants; however, continues to face problems as one of the South Korean exchange is closing its doors in the past week. Bithumb continues to deal with the consequences of an $18 million worth hack which happened in past March.
The parent company of Bithumb recently gained a $200 million in investment from a Japanese fund, therefore, confirming plans for the United States and Japanese expansion.
Meanwhile, a Japanese cryptocurrency is getting dumped post a 70% spiking in the past week. The last week ended for Monocoin with a 50% gain. However, the Monocoin to the USD fell down from its Sunday high by 30% to $0.94. On the basis of a 24-hour adjusted timeframe, the coin continued to be down in terms of price and valuation. The market for Monacoin is not bright as an extended potential for downside correction is seen.
With Facebook likely to come up with its own cryptocurrency, it is now felt that it is not an unreasonable move for businesses to use and create their own cryptocurrencies.
Gavin Brown stated, “What we’re seeing really is the democratization of money, so you know, if you and I wanted to, we could create a CNBC coin.”
It is felt that multinational companies like McDonald have a better rating than several countries like Ireland. Therefore, it is opined that multinationals can issue their own currencies and require their customers to buy with their currencies. This does not sound too outlandish.