Wealth Speculation is Nothing New

Aleksi Raisa

Let’s be honest, people have been speculating on various avenues for fortune over the course of human history. We are over a decade in the cryptocurrency “main stream” environment. I say that because the idea of digital assets goes back decades before Bitcoin (BTC) was launched.

Yet here we are in the year 2022 wanting and waiting for the same gold rush style wealth that was possible in the American West in the 1800s. People spent fortunes, risking everything they had to strike it rich on the speculation of a gold claim. Media and government propaganda machines convinced everyone from hard working to get-rich-quick people with no means and no job to throw everything they knew to chance and start digging.

This brought people from all walks of life to a new area of the country, encouraging settlement, economies, and new lives to take root. The westward expansion during the gold rush did less for the miners and more for the long-term establishment of American economies and society in an area that to this day, is still often wrought with difficulties (earthquakes, fires, floods, landslides, etc.). None the less, the expansion brought forward by speculation enabled growth and acceptance of a culture to settle into an unknown and unfamiliar territory.

Out of the countless failures of the speculators, few success stories were made. Today, we see nothing different than when we look at that period of time. People pouring into a new asset class, following propaganda, tips, and hints, pushed forward by those “in the know.” There is nothing inherently wrong with educated investment and moderate speculation (money you will never miss once gone) in a quest to achieve financial gain, but it should be sought with caution and an educated understanding of what the assets are all about. Read white papers and understand the technology. Have an understanding of where the digital assets will be regulated, because they will be regulated. Watch the big players and see where they are developing partnerships and interests. Just as the West became regulated, all things will eventually fall under the control of government and banking institutions.

Best,

Rand

This is not investment advice. This is my view on history and investing. I am not an investment advisor. This is for entertainment and informational purposes. Consult a licensed financial advisor before trading.

Money is Moving Faster. Time for you to Understand.

Image: CHUTTERSNAP

As the world move closer to widespread adoption of ISO 20022, the future standard for international transactions, what can we expect from the cryptocurrency world? For one, it is unlikely that major cryptocurrencies such as Bitcoin (BTC) will be used for conducting cross-border transactions. Not only is Bitcoin built on a proof-or-work consensus, but its transaction time is exceedingly slow compared to other projects in the fintech space. Bitcoin is also not currently an ISO 20022 compliant digital asset.

Of the thousands of cryptocurrencies in existence, the following currently comply with the ISO 20022 standard: (courtesy cryptopolitan.com)

One only needs to visit the ISO 20022 website to dive deeply in the guts of the project. Here, you can explore the many members of the standards committees across the five domains that the standard will address. The business domains are: payments, securities, cards and related retail financial services, foreign exchange, and trade services.

As far as the ISO standard’s syntax, the most widely used is eXtensible Mark-up Language (XML). This is not to be confused with the digital asset minted by Steller, the Lumen (XLM). The reason for using this syntax is simple, it is the most widely used method for encoding documents electronically.

Real Time Gross Settlement processing (RTGS) is speeding up the movement of money. It facilitates the electronic movement of money from bank to bank in seconds, settling out with near immediacy. This enhancement of transaction speed creates new levels of liquidity by freeing up funds that would otherwise be used as nostro/vostro or delayed settlement through old messaging systems, such as SWIFT MT. Follow this link to see a timeline of the adoption for ISO 20022 and RTGS across the globe.

Image Source: Compact

The ISO 20022 project is over a decade old and quickly approaching unilateral adoption across the global monetary system. Referring back to the five business practices gives you a good understanding of the impact that the world of finance will experience in the coming months. While many cryptocurrency projects are left seemingly unaffected, watch for the legal outcome of one particular company engaged in the global payment remittances sector, Ripple. While the US Securities Exchange Commission is trying to convince the legal system that the cryptocurrency XRP was sold as an unregistered security, the digital asset XRP does comply with the ISO 20022 standard and the company Ripple is on the ISO 20022 Payment Standards Evaluation Board as an expert for one of the five business practices: payments.

Best,

Rand

This is not investment advice. I am not an investment advisor. This is for entertainment and informational purposes. Consult a licensed financial advisor before trading.

Blockchain Impacts – Understanding ISO 20022

Photo: NASA

Most people have never heard of SWIFT, nor do they have any idea of how money have moved around the globe for the past 40+ years. Regardless of catching up to speed now, the world of international payments is about to receive a major overhaul. There is a massive amount of information regarding this standard and by 2025, all financial institutions will have to be able to process ISO 20022 compliant payments. The five business domains that ISO 20022 covers are: payments, securities, cards and related retail financial services, FX (foreign exchange), and trade services.

The new standard, currently in an opt-in phase, will allow for open and transparent messaging between financial institutions around the globe. Within the new syntax-rich messaging system is a central repository containing the information necessary to support the various APIs.

In order to move the current financial messaging system from the existing legacy system, a team of dedicated professionals work to support the migration to the new system. This is a delicate transfer and must be performed with diligence, since not all institutions are migrating at the same time.

Putting it simply, all major currencies that exist have already adopted ISO 20022 or have a migration plan to adopt. The reason, in a nutshell, is the improved efficiency that this standard provides. End-to-end processing of payments messaging are streamlined, and delivery is straight forward. SWIFT MT has been the legacy system enabling payments to move around the globe since the 1970s. This will no longer be the case.

Interesting information about ISO 20022 can be found on the Payments Standards Evaluation Group page on the ISO 20022 website. Under the list of EXPERTS, two of the member entities listed in the column dominated by countries are in fact, not countries. These two member entities are SWIFT, the current legacy payments system, as well as Ripple. Ripple is a US based company deeply engrained in the development of RTGS (real-time gross settlement) digital ledger technology. Ripple is also embattled in a lawsuit that was brought on by the US Securities Exchange Commission in December of 2020. SWIFT is a registered expert on the list of all business domain experts while Ripple is on the list for payments.

If you are interested in the payments portion of the ISO 20022 standard, research ISO 20022 compliant digital assets. Any financial institutions that are processing payments on the SWIFT MT network will be switched over to the ISO 20022 standard by November 2022.

To understand the standard more intimately, I suggest viewing the standards website for the most specific information.

Best,

Rand

This is not investment advice. I am not an investment advisor. This is for informational and entertainment purposes. Consult an investment advisor.

The Lawsuits are Piling-up. It’s a Bad Time to be a Successful Crypto-exchange.

This suit is not so dissimilar to another brought against Ripple, creator of XRP, when a couple of XRP holders felt their returns were not what they should have been. I’ve included the article from dailyhodl.com, so please follow the link for more information.

Coinbase Hit With Lawsuit From Shareholder Alleging 2021 Stock Listing Was Based On Misinformation. https://dailyhodl.com/2022/08/10/coinbase-hit-with-lawsuit-from-shareholder-alleging-2021-stock-listing-was-based-on-misinformation/

Top US-based crypto exchange Coinbase is getting hit with a lawsuit alleging that the firm’s 2021 stock listing was based on misleading information. …

Coinbase Hit With Lawsuit From Shareholder Alleging 2021 Stock Listing Was Based On Misinformation

People need to understand the risks associates with investing and know the difference of investing early in new technologies that may or may not survive.

In a technologies infancy, there are likely to be wild price swings. Do your homework and only invest what you can afford to lose.

Best,

Rand

This post contains a repost from dailyhodl.com

BlackRock Partners with Coinbase

When the world’s largest asset management firm, BlackRock, partners with a leading cryptocurrency platform, we must begin to take notice of the emerging asset class. Read the Bloomberg article here. VanEck already has approximately $500M worth of digital assets under management in ETFs, but holding the actual digital asset may be where the real money is. The Blackrock and Coinbase partnership fuses just that; access to the actual tokens as well as custody through Coinbase Prime.

I would be remiss not to draw attention to Larry Fink’s previous stance on cryptocurrency can be listened to in this Bloomberg video. Mr. Fink was showing no signs of interest in digital assets, even though his firm, along with others, were building out digital asset trading platforms.

Ultimately the operational outcome of this move will allow BlackRock’s platform, Aladdin, to work with Coinbase Prime. Coinbase stock price suffered a substantial drop since going public on April 14, 2021. However, the partnership announcement with BlackRock has been nothing but good news for the titan cryptocurrency platform struggling recently due to tightening financial markets around the globe.

Best,

Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

#crypto #xrp #xlm #algo #hbar #miota #qnt #xdc #iso20022 #cryptocurrency #money #futureofmoney #blackrock #coinbase

ISO 20022 and Crypto

Monumental changes are on the very near horizon in the Finserv sector. As early as August 2022 (next week), financial institutions will be able to opt-in to the ISO 20022 standard through the SWIFT community. By November 2022, the option will be generally available.

Let’s look at some of the details. ISO 20022 is the standard for electronic data interchange between financial institutions. It will be the standard messaging system for financial institutions around the globe to track and monitor payments. This means that the way money moves globally is changing. The SWIFT network is the standard method used to move money around the globe and has been the legacy system in use since the 1970s. Technology is now available and being deployed that will allow the exchanges payments messages to be transformed under the ISO 20022 standard. This change will produce efficiencies on a massive scale.

How does this relate to crypto? Currently, there are seven (7) ISO 20022 compliant cryptocurrencies. They are XLM, HBAR, MIOTA, XDC, XRP, ALGO, and QNT. These currencies represent different transaction systems, but have made their business use case compliant with the standard that is quickly becoming the way money moves around the globe.

Furthermore, both Ripple and Stellar are members of the ISO 20022 Standards Body. Each company has minted a native cryptocurrency that run on their digital ledger technology and they are XRP and XLM, respectively.

Cheers,

Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

#crypto #xrp #xlm #algo #hbar #miota #qnt #xdc #iso20022 #cryptocurrency #money #futureofmoney

What is the SEC’s Motive?

Some digital assets have been given a pass, known in the crypto world as the “Ethereum free pass.” Other digital assets, XRP for instance, have had their entire market disrupted due to a lawsuit that the SEC brought against the “minting” company, Ripple.

Ripple minted a total supply of 100 billion XRP in a project they started over a decade ago. Jed McCaleb broke off from Ripple and started Stellar. Stellar produced the digital token known as XLM.

The comparability of XRP and XLM in terms of their functionality for providing real life solutions to real life problems is well known. They provide on demand liquidity for financial markets around the globe. That’s a big deal.

Why then, would the United States government file a lawsuit against one of these two companies alleging the sale of unregistered securities years after the sale of the the digital token began? We know that Ripple sought guidance from the SEC then, yet none was provided.

This lawsuit began with Jay Clayton, a President Trump appointee and continues to this day with Gary Gensler, a Biden appointee. This lawsuit is bigger than politics. It is about money. Global amounts of money.

– Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

#sec #ripple #stellar #crypto #digitalasset #ethereum #bitcoin

Tweet = Control = Bitcoin Control?

Tweets from business leaders like Elon Musk reshape the landscape of assets like bitcoin in a matter of minutes. Be mindful, though. Elon is in the business of sustainable energy and mining bitcoin consumes massive amounts of energy.

Musk bought $1.5 billion worth of bitcoin only a short time before expressing that Tesla will no longer accept bitcoin for payment, pushing the price of bitcoin downward. If bitcoin mining operations in China were crippled by substantially lower the value of the cryptocurrency, it could pave the way for renewable energy companies like Tesla, controlled by Musk, to bring the operation to the United States.

Bitcoin miners need to have the asset at certain levels in order for the operation to be profitable, at least to break even. Each time bitcoin halves (May 2020), the value of the coin needs to appreciate in value for the operation to remain financially viable.

Gaining control in business sometimes requires making it no longer financially viable for a competitor to perform business operations. Digital assets is business, and big business at that. To give some perspective of where this decade old industry reaches today, we should include financial markets and institutions, energy, government regulators, consumers, and retail business across the globe. It is a world-wide part of the economy and to think it will not continue to progress is to be obtuse.

Musk, among other industry titans, have the opportunity to gain massive influence over the industry, and they know it. Post a “tweet” and sink the market? Effecting billions of dollars has never been so immediate. It also opens an opportunity to bring control of bitcoin mining operations to the United States amid a loosely defined regulatory period surrounding the cryptocurrency market.

Musk has a monumental opportunity to mine digital assets (those that require that activity) through renewable energy, rather than coal power currently deployed in other countries.

– Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

#bitcoin #cryptocurrency #renewableenergy #elonmusk #bitcointweet #digitalasset

Will a Recession Catapult Digital Assets?

Digital assets may become the new safe haven when it comes to sheltering investments during economic downturns. We know that gold has always been classified as a good bet and that bitcoin is dubbed “digital gold.”

The digital asset bitcoin has been around since 2008, just after the onset of the last major recession. This has given it the benefit of coming out in front as the most popular asset in the class. However, it does not mean that it is the only asset in this space, or that it will remain the front runner.

There are many more digital assets that have sustainable business use cases, transforming the way that the world operates. Ethereum is one such digital asset that is recently threatening the status of bitcoin, especially when is comes to being sustainable.

In times of crisis, like that which we are all experiencing now, new systems take hold that reshape society’s idea of normal. The bigger the crisis, the bigger the change. When was the last time economies shut down entire sectors of the business community? The changes that erupt from this pandemic will be massive and it seems that digital assets may have a place in the aftermath. Just listen for the words “liquidity” and “crisis” from the mouths of nation’s leaders. There are options available in the digital asset sphere that can substantially help mitigate such instances.

– Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

2018 brought digital assets to those who paid attention. 2019 will bring it to the rest.

That’s right everyone. The dots for connecting digital assets with real world use cases are growing in number. It reminds me of when as a child, I would connect dots on paper to get a final picture. Sometimes the dots were so few that you could not really visualize what the image would be, but there were also those pictures with so many dots, you could immediately see what was going to present itself.

The picture has been adding dots and a perfect example is the DTCC partnering with a multitude of tech firms in the distributed ledger technology (DLT) and digital asset sphere.

Look around at the mainstream traction that digital assets have been gaining. Brad Garlinghouse, CEO of Ripple just had an interview on CNN explaining the way their native cryptocurrency XRP functions in the banking world. Watch the interview here.

It is highly likely that the digital asset world will shed many of the participants in the coming months as regulators begin determining how best to allow these technologies to function parallel to the existing currency frameworks of global economies.

France, along with other governments, fear the affect of projects such as Facebook’s Libra. Ultimately, national governments are concerned of the threat to their monetary sovereignty with the creation of digital currencies that are designed to compete with, replace, or even coexist with the fiat of the nation. BBC has an article of interest to explain their stance on the Facebook Libra project.

Best,

Rand

Words and opinions are my own. This is for entertainment purposes and to share my own opinions. This is not financial advice.

#digitalasset #cryptocurrency #digitalfuture #ripple #monetarysovreignty #futureofmoney