GlobalCoin Holders May Receive Dividends From FB

Member of the Wyoming Blockchain Task force believes FB will profit from a basket of currencies and low-risk securities that will be used to secure Globalcoin
11 June 2019   585

The social network Facebook will pay a certain percentage to the holders of its Global Coin, which is preparing for an early launch. This assumption was made by a member of the Wyoming Blockchain Task force, Caitlin Long, Forbes reports.

According to Long, the company will make a profit from a basket of currencies and low-risk securities that will be used to secure cryptocurrency.

Facebook parks the entire US dollar balance at the Federal Reserve via one of its bank partners, for example, it could earn 2.35% risk-free—that’s $235 million for every $10 billion deposited into its cryptocurrency. These profits will quickly turn into a new hot potato for Facebook politically, if not shared with users.

Caitlin Long

Member, WY Blockchain Task Force

A significant role, according to Caitlin Long, will be played on the global market by the Swiss management company of this crypto project. She believes that the unit will take over the function of the central bank - it will determine the share of national currencies in the steylcoin basket in order to set its rate.

Also, Long did not rule out that in the future, the use of Global Coin could make regulators reconsider the criteria for securities.

Is Facebook’s cryptocurrency a security? If it is, will users face the absurdity of needing a US brokerage account to buy a cup of coffee with it? Will Facebook catch breaks from regulators that smaller start-ups haven’t—because of the tax data honeypot Facebook’s project will generate for governments? That’s a good segue to the next prediction.

Caitlin Long

Member, WY Blockchain Task Force

The expert added that, in general, the emergence of a new coin will positively affect Bitcoin, because, unlike him, the Global Coin offer is not limited and opens up prospects for trading in this pair.

CFTC to Approve LedgerX's Deliverable BTC Futures

At the same time, another platforms such as Bakkt, ErisX and Seed CX still awaiting regulatory approval
26 June 2019   63

Cryptocurrency derivatives provider LedgerX LLC has received a license from the Authorized Derivatives Market (DCM) from the US Commodity Futures Trading Commission (CFTC), which will allow it to launch the country's first bitcoin futures.

Deliveries for deliverable futures are made in the underlying asset, not in fiat funds. Thus, LedgerX outstripped the Bakkt, ErisX and Seed CX platforms, which are still awaiting regulatory approval.

At the same time, LedgerX intends to launch the Omni platform for trading options, swaps, and bitcoin futures for retail investors, since at the moment it does not see enough interest from institutional market participants.

However, it should be added that some experts have already expressed fears that the nature of the license received will not allow LedgerX to provide margin tools to customers, and Bakkt should have such functionality.

Recall about the intentions to obtain the appropriate permission and overtake competitors LedgerX said in April.