The president of Germany’s central bank has highlighted the ongoing debate about the holding limit for the digital euro, Europe’s central bank digital currency (CBDC). He noted that recent Bundesbank research indicates that the optimal amount could be in the range of 1,500 to 2,500 digital euros per person. ‘The Jury Is Still Out Here’ […]
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Moscow Exchange Stops Trading in Dollar and Euro Due to US Sanctions
On Wednesday, the Moscow Exchange (MOEX) announced new restrictions on its trading activities. The exchange revealed that, due to the enactment of U.S. sanctions against its platform, it would stop activity in all trading pairs involving the U.S. dollar and the euro. These measures came into effect on June 13th and affected FX, precious metals, […]
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Study: Half of Surveyed Germans ‘Imagine Using a Digital Euro as an Additional Payment Option’
A new report has found that half of Germans who participated in a survey study can “imagine using a digital euro as an additional payment option.” However, the study also revealed that some three-quarters of the respondents view the “aspect of privacy in connection with the use of the digital euro as very important or […]
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Belarusian President Claims Decline in US Dollar and Euro Use Globally
Belarusian President Alexander Lukashenko stated that many nations are reconsidering their use of the U.S. dollar and euro due to recent global financial tensions. Speaking in Minsk, Lukashenko highlighted that this shift is not limited to Belarus and Russia, but is observed worldwide. He attributed the declining relevance of these currencies to the controversy surrounding […]
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Deutsche Bundesbank President on Digital Euro: ‘The Eurosystem Has No Interest in Monitoring People’s Payment Patterns’
Joachim Nagel, President of the Deutsche Bundesbank, praised the privacy traits a hypothetical upcoming digital euro would possess. During a speech, Nagel specified that the Eurosystem would have “no interest” in monitoring the payments and expenses of digital euro users and would not be able to identify them based on their payments. Deutsche Bundesbank President […]
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Bitcoin Proves European Central Bank Wrong: Hits All-Time High Against Euro
Bitcoin (BTC), the leading cryptocurrency, continues its remarkable bullish run, surpassing the ,000 mark on Monday and inching closer to its all-time high of ,000. Simultaneously, BTC has achieved a significant milestone against the Euro as economic concerns escalate across Europe.
BTC Achieves Record Highs Against 14 G20 Currencies
Despite previous skepticism from European authorities, Bitcoin has soared to an all-time high of ,200 against the official currency of the European Union (EU). This achievement is noteworthy, considering the Euro’s recent depreciation against Bitcoin, as depicted in the chart below.
On February 22, the European Central Bank (ECB) expressed doubts about Bitcoin’s potential as a global decentralized digital currency, citing its “limited use” for legitimate transactions.
The ECB argued that Bitcoin had failed to live up to its initial promise of becoming a widely accepted payment or a reliable investment. It also highlighted the alleged “inconvenience, slowness, and high costs” of Bitcoin transactions.
The ECB further raised concerns about the “history of price manipulation” and fraudulent activities associated with Bitcoin. It attributed these issues to the absence of a “fair value” for the cryptocurrency. However, despite the ECB’s reservations, Bitcoin has experienced a surge in institutional and retail investments.
The recent approval and success of Bitcoin spot exchange-traded funds (ETFs) have played a pivotal role, attracting inflows of over .3 billion to the BTC market within just two months, prompting renewed bullish sentiment in the industry.
Bitcoin’s success extends beyond its achievement against the Euro. The cryptocurrency has reportedly reached all-time highs against the currencies of fourteen G20 countries, including the Japanese Yen, British Pound, Australian Dollar, Canadian Dollar, Chinese Yuan, New Zealand Dollar, Swedish Krona, and South Korean Won.
Bitcoin Set For Potential Surge To 0k
Reports of an impending surge in Bitcoin’s value have sparked excitement among investors, as market expert Gert Van Lagen predicts another substantial price increase.
With BlackRock’s renewed interest in purchasing Bitcoin and a reported scarcity of the cryptocurrency on over-the-counter (OTC) desks, conditions seem favorable for a straight pump to 0,000. Van Lagen emphasizes that with limited resistance to upward movement, the potential for exponential growth appears limitless.
The analyst suggests that continued buying by spot ETFs at a rate of 0 million per day, coupled with a shallow market depth of approximately -40 million, can drive significant price surges.
Van Lagen’s analysis also suggests that based on historical cycles, once the 1.618 Fibonacci extension of the 2018 bear market is breached, Bitcoin peaks within 2-3 months at the 2.272 extension. Currently, the 2.272 extension projects a potential peak of 7,000.
Looking back at previous cycles, notable patterns emerge. 2013 Bitcoin topped within six weeks at the 2.272 extension of the 2011 bear market after breaking the 1.618 extension.
Similarly 2017, Bitcoin peaked within three months at the 2.272 extension of the 2015 bear market, following a breakthrough of the 1.618 extension.
Bitcoin has surpassed the 1.618 extension of the 2018 bear market in the current market. Van Lagen anticipates that Bitcoin will likely peak at the 2.272 extension of the 2018 bear market, estimated at around 0,000.
Currently, the largest cryptocurrency on the market is trading at ,300, up over 5% in the last 24 hours and over 27% in the last seven days.
Featured image from Shutterstock, chart from TradingView.com
Digital Euro Association Partners With HBAR Foundation to Boost Understanding of CBDCs and Stablecoins
The Digital Euro Association (DEA) has entered into a partnership with the HBAR Foundation. This collaboration aims to bolster its comprehension of central bank digital currencies (CBDCs) and stablecoins. Although this partnership marks a significant milestone in the digital currency landscape it nevertheless does not amount to an endorsement of any ideologies or products. Enhancing […]
Bitcoin News
Monei Starts Conducting Euro Stablecoin Tests
European payment platform Monei has announced the start of the testing phase of EURM, a euro-pegged stablecoin, as part of the Bank of Spain’s national financial sandbox. The token will leverage Ethereum’s and Polygon’s blockchains, allowing each one of a reduced number of users to issue 10 EURM during this phase.
Monei Rolls Digital Euro Token Pilot Under Bank of Spain Supervision
Monei, a European payment provider, recently rolled out the first tests for EURM, a 1:1 backed euro stablecoin, under the approval of the Bank of Spain’s national sandbox, which allows for introducing innovative projects with mitigated risks. The token will be issued using Monei’s wallet, which will hold the EURM tokens issued by the users, accepting deposits using Bizum, a popular national payment system.
During these first tests, only a small number of individuals will have the opportunity to issue 10 EURM. The euros backing the issued EURM will be under the custody of BBVA and Caixabank, two reference financial institutions in Spain, ready to be swapped at any moment.
On the relevance of EURM’s first batch of tests, Monei’s founder and CEO Alex Saiz Verdaguer stated:
EURM proposes an unprecedented innovation and we have in our hands the opportunity to make the management of collections and payments, and the sending of money more secure, programmable, economical, democratic and liberalized than ever.
EURM, issued on top of Ethereum’s and Polygon’s blockchain, is designed for applications where leveraging standard digital money would be impractical.
These include sending euros to pay transport and food quotas to employees several times a day, automatizing payments to providers depending on the funds available, organizing daily deposits to complete larger credit payments, and allowing companies to organize daily payments to employees without disrupting their workflow or paying excessive fees.
Monei expects to reach several million users with this product after the test, having a potential target of 57 million users in Spain only.
What do you think about the start of the testing phase of EURM? Tell us in the comments section below.
Euro at 25: ECB President Christine Lagarde Calls Euro the ‘World’s Second Most Important Currency’
The president of the European Central Bank Christine Lagarde and fellow European Union leaders recently hailed the euro for its role in giving the bloc “greater sovereignty in a turbulent world.” The EU leaders added, however, that more still needs to be done if the bloc and the currency are to emerge from the present-day challenges unscathed.
‘World’s Second-Most Important Currency’
According to Christine Lagarde, the president of the European Central Bank, the euro has given the European Union (EU) “greater sovereignty in a turbulent world” since its issuance twenty-five years ago. In a joint statement to mark the currency’s 25th anniversary, Lagarde claimed that the euro has made “life simpler” for European citizens and protected growth and jobs.
Launched on January 1, 1999, the EU currency project initially started with 11 countries participating, but this number has since grown to 20 countries. Despite the euro’s emergence as the “world’s second most important currency,” Lagarde and other EU leaders still acknowledged that it has seen its fair share of challenges.
During what was one of the euro’s worst periods, the currency, which commenced trading with an exchange rate of €1:.17, nearly reached parity with the greenback in October 2023. It has however recovered and was trading around €1:.11 at the time of writing (10.00 PM GMT).
Bringing the Euro Into the Digital Age
Commending the steps taken by the bloc to ensure the euro’s survival in an era dominated by sovereign debt crises, Lagarde and her colleagues said:
In response to the global financial crisis and sovereign debt crisis, for example, we established safeguards like the harmonised system of banking supervision and resolution or the European Stability Mechanism. Today, support for the single currency among euro-area citizens is close to record levels.
The EU leaders added, however, that more still needs to be done if the bloc and the currency are to emerge from the present-day challenges unscathed. Overcoming these challenges, which include rising geopolitical tensions, will require the EU to prioritize issues like defence, green, and digital transitions, the joint statement said.
Lagarde and her colleagues suggest that prioritizing such issues potentially includes bringing the single currency itself into the digital age. This will likely be done by setting the foundations for a digital euro that complements cash.
What are your thoughts on this story? Let us know what you think in the comments section below.
Circle Launches EURC Stablecoin on Solana, Expanding Euro Access in the Crypto Space
Expanding the global reach of euro-based stablecoins, Circle has debuted its EURC token on the Solana blockchain, offering a fully reserved, euro-backed digital asset.
Circle Expands its Stablecoin Portfolio With EURC Launch on Solana, Boosting Euro Integration in Digital Finance
Circle, a leading stablecoin issuer, has announced the launch of its euro-backed digital currency, EURC, on the Solana blockchain. The addition of EURC to Solana’s platform is set to provide new options for users and developers in the realm of digital currency transactions.
EURC is designed as a fully reserved, euro-backed stablecoin, aiming to facilitate global, instant settlement and 24/7 on-chain foreign exchange (FX) operations. Its launch on Solana, known for its high-speed and low-cost network, represents an expansion of Circle’s stablecoin offerings and a potential increase in access to the euro within the global digital asset market.
2/ $EURC is a fully reserved, euro-backed #stablecoin that expands access to the euro globally.
Developers can build on top of EURC and $USDC on @solana to deliver new applications for always-on FX, payments, cross-border remittances, and financial services.
— Circle (@circle) December 18, 2023
Several decentralized finance (defi) protocols and digital wallets on the Solana network have already added support for EURC. These include Jupiter Exchange, Kamino Finance, and many more. Digital wallets such as Coinbase Wallet, Glow Wallet, Phantom, and Solflare Wallet are also set to provide support for EURC.
The launch brings the number of blockchain networks supporting EURC to four, with Solana joining Avalanche, Ethereum, and Stellar. This expansion reflects Circle’s continued strategy to diversify its stablecoin offerings across various blockchain ecosystems.
Stablecoins like EURC play a crucial role in the digital asset market, serving as a link between fiat currencies and crypto assets. They support trading and transactions on blockchain networks and offer alternatives to traditional banking methods, particularly in regions with unstable financial systems. Analysts anticipate significant growth in the stablecoin market, currently valued at around 0 billion, as more platforms integrate these digital tokens.
EURC’s market capitalization currently stands at approximately million, in contrast to the larger USDC market capitalization of billion and Tether’s USDT at billion. Tether additionally provides a token linked to the euro, known as EURT. Currently, the circulation of EURT stands at 36.38 million.
Circle plans to align EURC with the upcoming EU digital asset regulations for Markets in Crypto-Assets (MiCA), positioning it as a regulated e-money token. Circle’s move to introduce EURC as a regulated e-money token is one of the latest moves to differentiate it from its competitors in the increasingly crowded stablecoin market by positioning it as a leader in the compliant and secure issuance of stablecoins.
Will the EURC take away market share from the dominance of the dollar-denominated stablecoin market? Share your thoughts and opinions about this subject in the comments section below.