Will the EU Adopt a Digital Currency?
Cryptocurrency is growing across the world, with more and more countries starting to embrace it. Click here to find out if the EU will adopt a digital currency.
It is fair to say that the introduction of cryptocurrency has been met with mixed reactions from governing bodies across the world, including the EU. For hundreds of years, traditional banking has been achieved through centralised banks and tangible assets, which allow stability and safety with transactions.
Cryptocurrency, however, is the polar opposite of this. Run through decentralised systems, there are no banks or middlemen, and it offers wealth that is beyond restriction or tangibility. In short, it is a swing in the direction of entirely digitalised, decentralised finance, which is a concerning concept for governments built on tradition and regulation.
It isn’t just investors in the coin who are aware of its wide-spanning impact and potential. Countries like the Central African Republic and El Salvador are beginning to pave the way towards a full crypto integration into their financial landscape, and it won’t be long before other countries begin to follow suit.
With the biggest players like Bitcoin and Ethereum growing in value without regulation, it is also clear that governments like the EU are attempting to get in on the action on their terms. This is where the new digital euro comes into play.
What Is The Digital Euro?
A lot of people are now aware that the money existing in their bank accounts is not theirs but rather the legal property of a centralised bank. This means that physical money is the only way to own monetary property and not be attached to debt from the bank to the individual. In the new digitalised age we live in, however, owning and trading physical cash is far less feasible than owning a digital currency.
This is why the rise of cryptocurrency has been so integral for the future. Although often volatile, cryptocurrencies can give people a way to make transactions digitally, anonymously, and without the need for any centralised body to own the assets before owing them to you.
Having realised this, the EU has attempted to counteract crypto’s surge and aim for a compromise. This has resulted in the digital euro being introduced into the Eurozone. With this system, people will be able to store money free of charge and non-debt based at a central bank, which they will then be able to make payments and transactions in a purely digital format. According to the ECB, this would lead to the removal of ‘the banking system’s privileged access to central bank money,’ which would subsequently ‘reduce the concentration of economic power and force the banking system to be more ethically responsible and competitive.’
If this reasoning sounds a bit familiar, it is because it is the same reasoning used to get investors on board with crypto. However, the ECB has explicitly referred to this digital coin as being different from cryptocurrency due to its non-volatile nature and dependence on public institutions that are backing them.
So Is The Digital Euro Better Than A Crypto Coin?
The digital euro is essentially a centralised answer to the regulation problem the EU are attempting to deal with. Importantly, it is currently in the research phase where it directly compliments cash rather than entirely overtakes it, and it doesn’t quite solve the problem of middlemen being implicitly involved in the distribution of coins. In this way, it is unlikely that investors in cryptocurrency will see this as anything more than an immediate attempt to appease the digital market, whilst not actually contributing anything of its own merit.
That being said, at least governing bodies like the EU recognise the turn of the tide and are attempting to provide feasible options to consumers. After all, while some are taken in by cryptocurrency's risk vs reward nature, not everyone is as keen on this digital revolution, especially when markets are volatile enough to rise one minute and drop the next. Some consumers will want to remain with centralised banks due to the reassurance given to them.
In this way, if it is a question of the survival of either centralised or decentralised financial systems, then it is down to the consumers themselves to choose which is safer and more efficient. In the future, it is unlikely that one will exist without the other. It is more likely that both centralisation and de-centralisation co-exist together. After all, the more alternatives there are, the better it will be for consumers and investors.
Crypto Trends in October 2022
It’s October! What's trending in crypto this month?
Crypto Trends in September 2022
It’s September! What's trending in crypto this month?
Bitcoin Showing Signs of Resurgence After Catastrophic Dip: What's Contributed?
The Crypto Winter looms even as Bitcoin’s price shows signs of stabilising and resurging. Read on to discover ...
Tesla Sells Bitcoin Holdings: Will This See the Beginning of a Trend for Other Businesses Who Hold Crypto?
Bitcoin Maximalism: What Is It?
Bitcoin maximalists are receiving more attention in the mainstream media. But what are they? Read on for ...
All About Crypto Seasonality
The total market capitalization of the top 100 cryptocurrencies has increased over the past seven years from ...
Getting to Grips with Arbitrage
The world of trading has many different tricks and tools refined over the years by strategists and financiers, ...
The Crypto Winter: Are There Any Advantages?
It seems that another crypto winter is among us, but what does it mean and are there any advantages? Click here ...
The Comparisons Between the 2018 Crypto Bear Market and Now: Are They Useful?
Cryptocurrency is currently heading into another bear market. Click here to find out how noting comparisons can ...
The Blossoming Intersection of Fashion and Crypto: What Does the Future Hold?
Over the last few years, fashion and crypto have been entwined together. Click here to find out what this means ...
Could Post-Merge Ethereum Have a Centralization Problem?
Ethereum recently completed its merge into Ethereum 2.0. Click here to find out if this will bring about a ...
Instagram to Add Support for NFTs
Instagram to launch NFT functionality on its platform in 100 countries worldwide
Can Ethereum’s Ecosystem Keep Its Future Bright Amidst This Crypto Winter?
Ethereum has steadily been building an ecosystem unlike any other. Click here to find out why its future remains ...
Buterin Criticises Bitcoin’s Stock-to-Flow Price Prediction Model – But What Is It?
The stock-to-flow prediction model has caused a mixed reaction amongst the crypto community. Click here to find ...
AVAX, the Ethereum Killer: What You Need to Know
AVAX, which is a token run on the Avalanche blockchain, is said to be the Ethereum killer. Click here to find out ...
A ‘Digital Library of Italian Culture’ in Puglia: Is It Expanding NFT Use to New Areas?
The University Aldo Moro is currently using NFTs as a way to reignite the culture of Puglia. Click here to find ...
Crypto’s Position in the Italian Economy: Will It Only Grow and What Would Regulation Do?
Crypto is continuing to grow in the Italian economy. Click here to find out how and what regulation might mean ...
Ethereum’s Proof of Stake System: Do Other Coins Use It?
Ethereum is currently switching to the proof of stake system. Click here to find out what this means and whether ...
How has Ethereum Fared in Price and Reputation in Light of Terra and Tether?
The de-pegging of Terra and Tether has had wide repercussions for the crypto market. Click here to find out how ...
We have received our official license in Lithuania
It’s just one more step on our journey of expansion throughout Europe and, ultimately, the world.
Further details regarding the Flare (FLR) airdrop
Find out how you can proceed with the next part of the FLR airdrop
Cardano (ADA) network upgrade and hard fork
Cardano (ADA) network upgrade and hard fork is expected to take place at block height 8,403,208 on 14-02-2023 at ...
Join the Zonda Pay affiliate program and earn a 20% commission!
We’re offering handsome rewards to users that help us to onboard new clients - sign up and start earning a ...
Several crypto transfers will be unavailable on 21 January 2023, from 14pm-17pm (UTC)
We are launching Flare (FLR) Airdrop and FLR/PLN market on 19.01.2023 at 2pm (GMT+1)
Are you ready for the Flare (FLR) Airdrop?
Scheduled Maintenance on January 19
Introducing our New Year’s BTC and ETH trading competition
Prove your skills trading BTC and ETH and win up to 10,000 PLN
Limited deposits and withdrawals on 06.01.2023
Due to public holiday, deposits and withdrawals via some channels will be unavailable tomorrow, 06.01.2023
We will be delisting several markets on 11.01.2023
Due to minimal volume and limited use, we will be delisting the following markets
3.03 The Dow theory: principles and statements
This lesson helps you understand the principles and statements of Dow’s theory.
3.05 Candlestick charts and patterns
This lesson focuses on understanding candlestick charts and patterns.
2.05 Bid-Ask spread and slippage
This lesson explains bid-ask spread and slippage.
2.04 Understanding market capitalization
This lesson centers on understanding cryptocurrency market capitalization.
2.03 Common crypto trading terms
This lesson is a compilation of the most commonly used crypto trading terms.
2.02 How to start cryptocurrency trading
This lesson explains a step-by-step process on how to start cryptocurrency trading.
2.01 Why to invest in cryptocurrencies
This lesson explains why cryptocurrencies might be a good asset to include in your investment portfolio.
3.02 Understanding technical analysis
This lesson helps you understand technical analysis in crypto trading.
3.01 What is fundamental analysis in crypto?
This lesson walks you through the fundamental analysis of cryptocurrencies.
3.04 What are the types of charts? How to read a chart?
This lesson explains how to read a chart and types of charts in technical analysis.