Category Archive: digital currency

Citibank study on Bitcoin: read here their report on digital currencies

citibank study on bitcoin
A few days ago the Citibank study on Bitcoin and other cryptocurrencies was released, where it explains that they should not be considered as disruptive for banks and other traditional institutions. 
Citibank, in fact, published a 56-page report about bitcoin and digital currencies, – written by Keith Horowitz with contributions from Adrien Porter, Frieda Liao, and Michael Cronin; it also explains how Citibank sees lots of new opportunities in the blockchain technology. 
This is an extract:
“The power behind an open network like bitcoin is the possibility of incorporating it with other technologies to bring about true innovation, such as applications that support the Internet of Things (eg machine-to-machine payments).”

Citibank study on Bitcoin

The Citibank study explains how bitcoin and the other digital currencies could revolutionize the market, especially where there isn’t a good payments infrastructure.
However, in this study on bitcoin there is a critical eye on the bitcoin benefits for payments, as the authors explain that they don’t believe the immutability of the blockchain to be a good thing for money transactions. 
“Having written three reports on the topic of blockchain, one common theme we have observed is the limited use-cases for the peer-to-peer transfer of value due to a number of issues including scalability, network adoption and lack of a legal/regulatory framework for dispute resolution.”

Universal Wallet for Digital Currencies

Bitcoin and other digital currencies can be store in a universal wallet where you can manage and store in a safe way different kinds of cryptocurrencies, such as Bitcoin, Peercoin, Ethereum, Dogecoin, Litecoin, Blackcoin and more.

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Satoshi

US Postal Service to create its Digital Currency

us_postal_service_blockchain
Recently the US Postal Service (USPS) published a new document about how the company could create its own digital currency.
This press release written by the Postal Service’s Office of the Inspector General said that the postal company have to consider to use the blockchain for its own purpouses, creating a network where devices can be connected together. 
Released today, this report stated that the Postal Service should study how to develop these applications.
“The Postal Service could benefit from blockchain technology in the short term by studying the technology and possibly experimenting with blockchain-based solutions for financial services. The Postal Service already offers some financial services, including money orders and international money transfers, where blockchain could be an enabling tool, allowing the Postal Service to offer these services more efficiently.”


Australian Postal Service has already started to study Bitcoin

In March the Australia Post announced its researches about how to implement the distributed ledger for its own applications.
Postal Service chief information security officer and VP of digital solutions Randy Miskanic explained:
“As highlighted in the report, we will need to be cautious in specific implementations to account for technology barriers, security concerns and regulatory uncertainty. We will evaluate the use of blockchain for each of the use cases and further review the available opportunities while considering the impact of the technology and financial restrictions.”

Postcoin

One of the most important ideas in the report is the creation of a cryptocurrency for the Postal Service, called “Postcoin”.
That was initially suggested back in 2015 by Swiss Economics. 
Postcoin would allow the Postal service to solve money transfer problems worldwide. Also, this cryptocurrency could help the connection of postal offices to transact each other:

“…the Postal Service currently offers international money transfers. However, these services are currently only cashable in a limited number of countries. The flexibility and convenience associated with the Postcoin could potentially allow the expansion of electronic money transfer services to anyone in the world.”

Multicurrency Wallet 

To store your cryptocurrencies such as Bitcoin, Ethereum, Dogecoin, Litecoin and more, you need to open a wallet.
Here you can open yours for free. Click to read more about HolyTransaction Wallet and how to open it in a few steps. 

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Amelia Tomasicchio

Bank of England will create its own cryptocurrency

The Bank of England announced its decision to create its own digital currency.

The cryptocurrency will be called RSCoin and it will use the blockchain, the decentralized ledger where bitcoin transactions are written and executed.

More Centralized Control

RSCoin has been developed by researchers at the University College of London.

Of course, this new cryptocurrency will provide a more centralized control compared to bitcoin.

“RSCoin introduces a degree of centralization into the two typically decentralized components of a blockchainbased ledger: the generation of the monetary supply and the constitution of the transaction ledger. In its simplest form, the RSCoin system assumes two structural entities: the central bank, a centralized entity that ultimately has complete control over the generation of the monetary supply, and a distributed set of mintettes that are responsible for the maintenance of the transaction ledger”, it is said in the RSCoin abstract.

How could this be positive?

Even if RSCoin is centralized and the opposite thing of Bitcoin, we could say that it is positive as it means that worldwide Central Banks are starting to give importance to cryptocurrencies.

However, RSCoin has its own benefits: for example no double spending, non-repudiable sealing, timed personal audits, universal audits and exposed inactivity.

Read the complete documentation

Univerisity College of London researches George Danezis and Sarah Meiklejohn published an abstract about RSCoin.

The full whitepaper is intitled “Centrally Banked Cryptocurrencies”.

The abstract begins from the bitcoin history, to explain everyone the impact of the digital currencies not only in the finance world:

Recently, major financial institutions such as JPMorgan Chase and Nasdaq have announced plans to develop blockchain technologies. The potential impacts of cryptocurrencies have now been acknowledged even by government institutions: the European Central Bank anticipates their “impact on monetary policy and price stability”.

People’s Bank of China and its own cryptocurrency

In January 2016, the People’s Bank of China commented about its plans to launch its own digital currency and create a new financial infrastructure for the country.

The project started in 2014, when researches began to study cryptocurrencies related to business operations.

People’s Bank of China commented:

“The issuance of digital currency can reduce the significant costs of issuing and circulating traditional currencies, improve the convenience and transparency of economic transactions, reduce money laundering, tax evasion and other criminal acts, enhance the central bank’s control of over the money supply and currency circulation, better support economic and social development and aid in extending financial services to under-served populations”.

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Amelia Tomasicchio