The Saudi Arabian Monetary Authority and the United Arab Emirates Central Bank recently announced the launch of a pilot project to create a digital currency, Aber, for use in financial settlements between the two countries. The two institutions described Aber as a "proof of concept" of the feasibility of the use of the cryptocurrency for remittances, including determining whether the cryptocurrency improves the remittance process and reduces costs, and assessing any related technical risks.
This week, Bitspark, a Hong Kong-based money transfer platform, reportedly launched the first stablecoin, Sparkdex HKD, pegged to the Hong Kong dollar. While U.S. dollar stablecoins have dominated the stablecoin market, Bitspark hopes to lead the way to increased currency diversity in the sector. Also this week, Binance, the world's largest cryptocurrency exchange adjusted by trading volume, announced that it has partnered with payment processing firm Simplex to enable the purchase of bitcoin, ether, litecoin and XRP with credit cards. These cryptocurrencies can then be traded against up to 151 tokens offered by the exchange.
Paxful, a peer-to-peer marketplace that enables the purchase of bitcoin using hundreds of payment methods, recently reported that Africa, its largest market, experienced a 130 percent increase in the volume of transactions processed, averaging 17,351 trades per day. In Africa, demand for bitcoin may be linked to it being viewed as an alternative to unstable national currencies. Similarly, bitcoin ATM networks report that the ATM market is thriving, particularly as an alternative to banks in emerging markets. According to reports, demand is growing especially in Latin American markets, with the first bitcoin ATM in Venezuela slated to publicly launch in early February and additional ATMs planned for Argentina and Mexico, among other countries.
For more information, please refer to the following links:
- A Statement on Launching "Aber" Project, the common digital currency between Saudi Arabian monetary authority (SAMA) and United Arab Emirates Central Bank (UAECB)
- Bitspark Debuts Hong Kong Dollar Pegged Stablecoin on Decentralized Exchange
- Binance Users Can Now Pay for Crypto with Credit Cards
- Crypto Payment Firm: 'Volume of Transactions in Africa has Risen 130 Percent in 2018'
- Bitcoin ATM Startups Say They're Booming, Thanks in Part to Venezuela
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