The Libra issue
Anyone living in fear that Facebook is about to take over the world by controlling the personal data of billions of its users globally can breathe a tentative sigh of relief.
India, home to over almost 20 percent of the total world population at 1.3 billion people, will not see the Libra coin within its borders. This is due to regulatory issues, specifically the fact that an order from the Reserve Bank of India forbids all regulated entities from transacting in virtual currency.
Facebook announced the news recently, with a spokesperson relaying the news via email to Bloomberg. “As you may know, there are local restrictions within India that made a launch of Calibra not possible at this time.”
This is bad news for Facebook, as its stated goal of “transforming the global economy” is not feasible with the exclusion of nearly 20 percent of the global population.
However, India is not the only country raising serious concerns over the Libra token. In the U.S, fed chair Jerome Powell expressing doubts about Libra, citing money laundering, consumer protection, and financial stability as top contenders.
According to Powell, “I just think it cannot go forward without there being broad satisfaction with the way the company has addressed money laundering”.
Central banks from other countries, including Britain, China, the European Central Bank, France, and Singapore are also skeptical about Libra.
Not just Facebook
Libra is not the only platform to face intense scrutiny from regulatory bodies internationally. Canada recently released AML regulations that apply to crypto. The EU announced similar requirements in April.
Many businesses are migrating to nations like Japan, Thailand, and Malta, all willing to welcome a digital economy.
This is in response to many other countries banning cryptocurrency at some level. Whether is it a total ban, or simply focused on safety as governments determine how to properly regulate crypto, it is difficult in many nations to invest, transact, or otherwise build wealth through cryptocurrency.
There is a reason
This isn’t entirely a struggle of superpowers to maintain control over us peasants. KYC and other cryptocurrency regulations implemented by central banks worldwide are really just an attempt to safeguard populations.
It is in the best interest of the government as well as the individual. If individual members of any country are financially secure, the governing agencies of that population benefit as well.
The majority of investors, crypto, fiat, beginner, and experienced, are still relatively uninformed about the digital asset economy. Misinformation abounds, and the market is volatile, somewhat out of necessity. The potential for widespread loss is high.
True blockchain innovation
Thankfully, blockchain technology is on a parallel path to ensure the safety of cryptocurrency investors. It looks a lot different from the regulatory path. However, it is equally, perhaps even more, effective than third-party regulations.
Exchanges, in particular, have stepped up to provide security and safety to investment clients. It began with precautions like cold storage wallets, multi-stage strategies, wallet to wallet transactions, and two-factor authentication.
New exchanges are emerging constantly, joining the existing 250 plus already providing services. Each offers new and unique security features to ensure safety and optimize the user experience.
AMFEIX is one of the newest exchanges to hit the market. Based on a trading fund platform, AMFEIX describes itself as the world’s first pseudo-anonymous blockchain trading fund.
While trading funds are a relatively new feature in the cryptocurrency economy, the concept is taking off. It offers the usual benefits of a fund.
Specifically, someone else is managing client investments. This is a practically perfect scenario in the crypto space, as most investors have no time and no interest in learning everything there is to know about a new and speculative market.
Because the sheer volume of funds is higher, the returns are typically higher as well. AMFIEX additionally offers zero transaction fees beyond the 20 percent profit fee.
Withdrawals are processed in a timely manner, transparency is a priority, and the blockchain is “indefinitely scalable.” These are all standard, but highly desirable features in any exchange.
2019 – the year of the exchange?
The 2017 ICO boom is thankfully over. ICOs in their previous iteration will never again be a profitable endeavor.
The 2018 bear market is a thing of the past, for which we are all grateful.
The blockchain economy, however, used that market downtime wisely. By redirecting its attention to innovation, focusing, and prioritizing, the developer community was able to build and launch some pretty incredible products.
Many of these are exchanges and other investment support options. With this new and flourishing ecosystem and the exponentially growing attention from institutional investors, the time to invest in cryptos is now.