Coinbase Generates $1.9B in Transaction Revenue
The largest crypto trading platform in the United States, Coinbase, has raked in almost 2 billion USD in Q2, shattering estimates. Previously, the platform was expected to turnover 1.57 billion in transaction revenue, however, following growth to 8.8 million monthly transacting users (MTUs), the exchange’s earnings shot up dramatically. This upward momentum was also due in part to the fact that over 9,000 financial institutions are now utilising Coinbase for the purposes of creating their own crypto products. The exchange also named several of its new partners in the most recent report, including (but not limited to) PNC Bank, WisdomTree Investments, SpaceX, Elon Musk, and Tesla. However, it wasn’t all good news, with July’s MTUs seeing a small drop-off, and the platform warning that Q3 is projected to show further contraction. The report went on to state: “However, the crypto industry continues to evolve rapidly and we anticipate volatility in our industry will persist in the near term resulting in unpredictable quarterly financial results. We are no stranger to a fast pace of innovation and volatility, and we remain focused on long-term execution throughout crypto price cycles.” As to be expected, in the wake of this, Coinbase shares immediately followed suit, and also shot up in the hours following the report’s release, now sitting at around 7% above their reference price of $250, but still 30% down from their opening trade price. Considering the massive volatility that some larger cryptocurrencies have seen in the past few months, and the fear instilled in many newbie traders as result, what Q3 truly holds in store for the platform is anyone’s guess#Cryptonews
What’s the True Value of Cryptocurrency?
Value is something marvellous we strive for in everything. Both in our personal and professional lives. When you think about it, everything is about value, efficiency, and optimization these days. So, now, more than ever, people (including you and me) are aware of the existence of cryptocurrencies. Plus ‒ we’re all becoming even more knowledgeable about the benefits crypto is able to bring in the future, i.e., on the government level, education-wise, all-around better quality of life, etc. But for the master plan to work, it’s absolutely vital that there be a simple solution to exchange fiat currencies into crypto, as well as the reverse. The price of this “digital money” should not, nor need be, based on supply and demand. Read about the subject of value in one of our previous blog posts about price vs valuation. Don’t dwell on the past. Look to the horizon. Back when it all kicked off, we witnessed massive fluctuations in the prices of all of the cryptocurrencies. This issue is precisely the reason that was keeping merchants away from accepting non-fiat currencies. What also happens is when crypto prices rise, folks become super active, engage in crazy promotions, and provide ridiculous promises. Then when the price falls they get scared and step on the safe side, and become extra cautious. Fluctuation, of course, slows down, firstly, the spread, and secondly, the mass adoption of cryptocurrencies. Therefore, the value should depend on real measurables, not on the currently agreed-upon ones. We believe that cryptocurrencies should be treated as money, not as financial instruments. We’re absolutely convinced that the value should be based on the users, merchants, and usability. So, if you want to be a winner, well, then start accepting dags. The more possibilities there are for using the coins, and the more people that have and use them, the more valuable it becomes. Value adds even more value. Simple. The magic word is usability (and time) A strong indicator for evaluating cryptocurrency is its usage – meaning the number of transactions performed using the coins. This doesn’t include transactions done on the exchanges, aka trading platforms, but ones completed in real life, for example., sending funds between people and buying items from the merchants. However, coin usage shouldn’t be taken into account just yet, as the world has only just started to see the whole picture, trusting it, and therefore moving closer to adopting it. Time-wise, it’ll take a few years for the coins (and using them most and foremost) to start making proper sense to the masses. - As a result, there will be, thanks to a large number of people who’ve adapted to cryptocurrencies, real stability on the market. How delightful would that be? - Moreover, even the majority of merchants are going to accept the coins and will be able to cover their full supply chain with cryptocurrencies. - There will be many possible financial services available for cryptos, and without the ridiculous costs which we’re all (still) experiencing today via fiat currencies. But, before all of the above will commence, we need to focus on spreading this info, and communicating to the masses the real benefits of using cryptocurrencies. We need to get people and merchants involved and continue building the ecosystem around the currency. With this strategy, we believe dagcoin will be one of the biggest cryptocurrencies in the future. The sky's the limit. So, what are you waiting for? Jump aboard, and let’s forge the future of currency, together.#Blog
What People Get Wrong About Cryptocurrencies
Cryptocurrencies have yielded countless technological advancements, with fraud and identity theft prevention being just one — something that abounds when it comes to traditional banks and fiat currencies. Fraud is so prevalent in these sectors, that it’s estimated that businesses lose somewhere in the region of 5% of their total revenue to fraudsters each year, and over 16 million people annually fall victim to identity theft in the United States alone. However, these problems are almost totally eradicated by blockchain and DAG-chain technologies. With a regular bank account, the bank will hold all your personal and banking information and provides you with a card to spend and withdraw cash. So what’s the solution here? Fortunately, blockchain, DAG-chain, and other analogues almost eradicate these problems entirely. If you’re unsure as to how, consider your standard brick-and-mortar bank. The bank holds all your personal and banking data, then provides you with a method of spending your capital. All of this can be compromised through hacking, mail interception etc. With cryptocurrencies, only you, the user, has access to owned currency and personal information, none of which is disclosed when making a transaction. With external bodies cut out of the equation, the issue of fraud is almost eliminated. While this is one of the reasons many champion cryptocurrencies, a great amount of trepidation is felt by those who may have fallen prey to some commonly shared misconceptions around them. Let’s dive in. Where Perception Currently Lies It is very fair to say that over the last 10 years people have become increasingly aware of cryptocurrencies, especially Bitcoin. However, often for all the wrong reasons. Hardly a day goes by without a news story or criminal conviction regarding the use of cryptocurrencies to buy or sell illegal items on the dark web, such as the story regarding 2 businessmen who were using their own online cryptocurrency exchange business to launder the proceeds of marijuana sold on the dark web. However, these are not the only negative stories seen by the public. Go back just two years to the euphoria that was being placed around Bitcoin and its ever-increasing price and the huge amounts of money that could be made by investing. Sadly, we all know how this ended. Despite reaching a high of almost $20,000 on the 17th of December 2017, just 5 days later, the price of Bitcoin had fallen to a little over $13,000. This tumbling price generated mass panic and sales of the coin, sending the price tumbling yet further, all the way to $6000 by the start of February – just 5 weeks later. Leading ultimately to many of those new investors losing money, some, their entire life savings. And in that comes the majority of people’s views about cryptocurrencies in general - their instability. It is this instability that draws in traders - people trying to profit from the fluctuations in the prices of these coins. Large coins like Bitcoin can go up or down many hundreds of dollars each day, and smaller altcoins potentially 100’s of percent. So, what we have is a mass public who see cryptocurrencies as being used by those trying to avoid the law and by traders to make a fast buck. All leading people a long way from the original intention of these coins, to be… Money of the Future We mentioned above the increased security benefits that cryptocurrencies bring for their users, but that is not all. In one of our last posts (Helping you get a Credit History), we wrote how the poorest 2 billion people in the world are unable to open a bank account because the banks simply do not see them as profitable. Cryptocurrencies give anyone with a smartphone the chance to use them. Giving people their first alternative to cash, and a safe place to store, save and spend their money. And, in the process, create a credit history that they can use to borrow if they wish. Providing billions of people with an opportunity to improve their lives without restrictions. Because banks ultimately seek profits, this also makes them expensive to use. The cost of making a bank transfer can be anywhere from 1-5% along with a separate transaction fee. Cryptocurrency transactions cost anywhere from 0.1-1.5%, with no added fee. This means that people could save almost 5% per transaction. No small chunk of change! We mentioned earlier how fraud costs businesses 5% of their total revenues, when you add the cost savings of using crypto (another 5%), a business in a loss (perhaps on the verge of bankruptcy or layoffs) could suddenly break even or make a profit. And, for those companies already in profit, could result in better wages for employees and/or cheaper products for us – the end consumers. These reasons for using cryptos are fantastic, and there are a whole host more. To read more about the benefits of using cryptocurrencies click here. Dagcoin takes this aim of a better form of currency and makes it a reality by removing the current fears held by the public. The volatility in prices caused by trading is removed simply by not making Dagcoin available on any trading platform - making it impossible to trade the coin. In turn, by making all transactions visible on its ledger it is much harder for criminals to hide their illegal activities and profits than any other cryptocurrency. Conclusion Cryptocurrencies bring with them many great technological advancements. However, these are all too often lost due to the misconceptions created by the media. For the general public, their knowledge of cryptocurrencies revolves largely around the instability of prices, the huge gains or losses that could be made by trading or investing, and the convictions of those who are using them illegally to avoid detection when conducting criminal activities. However, cryptocurrencies: — Provide a safer and more secure place to store and spend your money than traditional methods, freeing you from the stresses and worry of fraud and theft — Cut the costs of transfers dramatically, and slice down transfer times from days (at worst) to mere seconds (when it comes to Dagchain currencies). — Allows those blockaded from building a credit history by banks the opportunity to take control of their financial lives and do just that. The list goes on, and while we could sit here all day discussing it, one thing is amply clear — cryptocurrencies are the future, and thankfully, they’re here to stay.#Blog
Jamaica Mints First Round of CBDCs
Following the announcement of an intended pilot program slated for May 2021, Jamaica’s Central Bank has now minted its first batch of the nation’s new official digital currency. The pilot program, set to run until December this year, will feature the issue of J$230,000,000 (equivalent to around 1,500,00 USD at the time of writing) for deposit-taking institutions and authorised payment service providers. Over a year in the making, the Jamaican government had been working closely with Ireland-based technology firm eCurrency Mint on the project since early 2020. The primary impetus behind this move was to transition Jamaica to a digital economy as swiftly as possible in wake of the damage caused by the ongoing COVID-19 pandemic. In a formal ceremony conducted in August, Jamaican Finance Minister, Dr. Nigel Clarke, emphasised the rapid pace at which the digital currency program had progressed, and promised that a legislative amendment to accompany it would be put in place before the end of the current fiscal year. Following the ceremony, Clarke stated on Twitter: “CBDC offers a more secure, more efficient form of currency that offers the potential of significantly broadening financial inclusion. Along with national identification, the CBDC will form the foundation of the digital transformation of our society(...)” Praise was also given by eCurrency CEO, Jonathan Dharmapalan, hailing Jamaica’s CBDC project as the fastest in the world due to the pace of the rollout.#Cryptonews
Your Burning Dagcoin Questions Answered
The truth is, a lot of what we do here in Dagcoin may be slightly unclear to some of you. Therefore, we’ve put together some of the most frequently asked questions about Dagcoin in one article in order to provide some clarity.
Dagcoin – Overcoming The Blockchain Speed Problems
Just over ten years ago. If you wanted to send money to someone on the other side of the world, you would have sent it via a traditional bank transfer. For those of you that made such transactions, you will remember all too well how they took five business days or more to be received. And to top it off, you were hit by a transaction fee of around 5%, which could become very costly if you were sending a lot of money.
Dag Tech Day II: the things you need to know about DeFi
The second Dag Tech Day was a DeFi special, taking a closer look at the pros and cons of one of the fastest-growing sectors in the crypto industry: decentralised finance. Often referred to as the future of finance, DeFi is seen as a shift from traditional centralised financial systems to peer-to-peer finance enabled by decentralised technologies built on decentralised solutions.