Japan Geared Towards Global Cryptocurrency Payment SystemJuly 19, 2019
There was a sharp sell-off on Tuesday, and the Altcoins have recovered from the recent lows. It is seen that all the Altcoins are seen in the green; however, the upside momentum is yet to gain traction.
The overall capitalization of the digital assets in circulation has gone up from $264 billion to $252 billion. The overall trading volume is seen at $7.9 billion. The market share of the Bitcoin market has decreased down to 65.6% which is down from the recent high recorded at 66.6%
Reuters recently published on July 18 that the push for the network has been motivated by the resolve of the Japanese government to combat money laundering effectively.
Japan is geared to create a new global cryptocurrency payment system, which will be a lot similar to SWIFT. The plans are kept under wraps, but anonymous sources have to say that Tokyo will have the network established in the next few years.
The Financial Services Agency, The national regulator of Japan and Japan’s Ministry of Finance, proposed the plans for the network.
An inter-governmental organization, which promoted the legal, operational, and regulatory measures are focusing on fighting money laundering on a global scale. The prospective network has been approved for oversight by the Financial Task Action Force, which is a G7-initiated intergovernmental organization.
While the US lawmakers grilled Facebook over its ambitions plan about its attempts to creating a digital currency based ecosystem, the G7 group consisting of the most developed economies of the world have also expressed their concerns over Libra.
The G7 Finance ministers felt that severe regulatory problems should be worked out before the introduction of Libra.
The G7 bloc includes nations like “Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States.”
A French official said, “Concerns (were) expressed by all the participants about the current situation and the need to act quickly.”
While there has been intense scepticism over the Facebook’s cryptocurrency plan from financial regulators, politicians, and data protection activists, the prevailing concern among all of them is about the social media giant with the 2.38 billion users to be able to upend the financial system.
President Trump is also in the list of the concerned. He tweeted in the past week, “will have little standing or dependability.” Mnuchin further stated on Monday, “They’re going to have to convince us of very high standards before they have access to the US financial system.”
Sherrod Brown, the Democratic Senator, stated, “Facebook has demonstrated through scandal after scandal that it doesn’t deserve our trust.” He further added, “We’d be crazy to give them a chance to let them experiment with people’s bank accounts.”