by Samuel Mbaki | May 4, 2023 | Finance
European Markets are trading lower this Thursday as new bank rate decisions are being waited for from the European Central Bank. The market reacts this way as investors digest the latest rates hike by the U.S. Federal Reserve on May 3 2023, by 25 bps.
European Markets react to U.S. latest rates hike
The ECB is widely expected to raise its interest rates yet again as it attempts to tame the inflation rates that are running wild. Most market watchers expect a similar hike with the U.S. Federal Reserve of 25 basis points, though a bigger hike may also be ruled out.
The new rates decision is set to be published at 1.15 p.m. London time, with ECB President Christin Lagarde giving a statement shortly after. The markets seem wary of a major hike, as the U.S. got one yesterday. The federal funds rate ranges from 5% to 5.25%, the highest range since August 2007.
However, the Fed has hinted at a rate hike pause. In its post-meeting statement, the Fed said that its committee anticipates that some additional policy firming would be appropriate for it to hit its 2% inflation goal.
This means it may pause or pivot rate hikes fueled further by the U.S. bank’s collapse. Keep watching Fintech Express for more updates on Finance and banking stories.
by Samuel Mbaki | May 3, 2023 | Blockchain
Solana finally revealed the SAGA phone in Mid-April after being waited for by crypto enthusiasts for long. The device is designed to be seamless in making transactions and will allow customers from select regions to order it beginning May 8
First Web 3 smartphone?
Solana has introduced the SAGA smartphone to the world, with customers from the U.S., E.U., U.K., Canada, Switzerland, Australia, and New Zealand to be allowed to order it beginning May 8.
The device retails at $1000 and runs on Android software. Since Google and Apple stores enforce strict regulations around their payment systems, which affects many Web 3 applications, Solana decided to step in to prevent compromises being made by the applications, which may, in turn, inhibit the full potential of the Web 3 solutions.
One example of the inhibition affecting Web 3 applications is the Uniswap app. This application was stuck in the Apple Store publishing process for over a month to ‘comply’ with the set standards. Now, Solana’s SAGA steps in here. It will have a separate app store designed to allow for the publishing of Web 3 applications without much struggle.
Is Solana giving Web 3 enthusiasts crypto’s smart security tech?
Yes, they are going to get a taste of their tech. The phone is packed with multiple security protocols and solutions employed in the crypto industry. Once users acquire their Solana Saga Phone, they will be prompted to connect their Web3 wallets or create a new one integrated into the device.
The selected wallet will then be used to conduct the transactions securely. The inbuilt wallet is secured in a separate layer from the Android operating system. The phone also has an element processor, meaning that the wallet is encrypted, so the device administration systems cannot decrypt it without the owner’s engagement.
The mobile device will feature 16 Dapps ready for downloading from the Solana App Store during the first launch phase. These apps include Audius, Dialect, Jupiter Aggregator, Ledger, Magic Eden, Marinade, Squads, and others.
The phone will also allow its buyers to claim a SAGA NFT token once they are done setting it up. The first few users will also receive a welcome package featuring crypto assets and sticker packs. Keep watching Fintech Express for updates on the progress of the SAGA phone in the markets and other Web 3-related stories.
by Fintech Express | May 3, 2023 | Blockchain
Solve.Care, a Web 3 health services company, has tapped into the expertise of OMRON Healthcare to integrate it with its systems. OMRON offers blood pressure monitoring and cardiovascular disease management solution.
Now, OMRON’s devices can send and receive data directly from Solve.Care platform. The Web 3 solutions provider said the measurement data will be stored directly in its decentralized user data nodes via OMRON’s Evolv® BP7000 Blood Pressure Monitor.
In a press release, the company said that Evolve by OMRON will allow users of its platform to share their readings peer-to-peer with health services providers or within their Care.Circle. Care.Circle is a personalized healthcare support group comprising family and friends or other care providers.
The press release explained that the integration of OMRON devices is part of Solve.Care’s strategy of creating an entire healthcare ecosystem for patients, physicians, and all healthcare stakeholders.
“We admire OMRON Healthcare’s goal for developing life-saving cardiovascular health technologies and sharing a like-minded vision of enabling consumers to access their real-time healthcare data,” said Pradeep Goel, CEO of Solve.Care.
“While accelerating the expansion of OMRON devices to reach more consumers and new markets, we are creating a more holistic approach to healthcare on the Solve.Care platform. We’re thrilled to integrate our innovative Care.Wallet technology with one of the most reputable blood pressure devices worldwide.”
Pradeep Goel, CEO of Solve.Care.
The deal between OMRON and Solve.Care is expected to impact many people as OMRON is the world’s largest blood pressure monitoring device manufacturer, with over 300 sold units. It will also make Solve.Care an authorized reseller of its devices which will harmonize their joint efforts further. Keep watching Fintech Express for updates on Web 3 and other Fintech-related stories.
by Samuel Mbaki | May 3, 2023 | Banking
Bitcoin bull and former Coinbase CTO Balaji Srinivasan has released a statement on Twitter claiming that the US actively ignores looming financial meltdowns. He also said that he is still optimistic about Bitcoin hitting the $1M tag but in 90 months now rather than 90 days.
Balaji concedes that Bitcoin won’t hit $1M in 90 days and is not happy with US economic meltdown
Bitcoin enthusiast Balaji has confirmed that the famous bet that Bitcoin would hit a $1M price tag within 90 days is officially closed out by mutual agreement. He made this statement via Twitter, saying that he conceded the possibility of that happening and has fully paid the bet amount and exceeded it by 50%.
Balaji said that he paid the amount in provable on-chain donations as follows:
1) $500k to Bitcoin Core development via Chaincode: http://bit.ly/core500k
2) $500k to Give Directly: http://bit.ly/gived500k
3) $500k to Medlock: http://bit.ly/med500k
In his Twitter statement, he said that he honored the bet because he believes in the public good but is disappointed that it’s not feasible to rely on the public sector anymore for alarms when something needs to be fixed.
He claimed that Treasury’s Janet Yellen knew the 2008 financial meltdown was coming but didn’t bother telling anyone. He said that Yellen claimed the economy would face a mild recession only for a global collapse to happen 158 days later.
An excerpt from his tweet read:
“So I spent my money to send a provably costly signal that there’s something wrong with the economy and that it’s not going to be a “soft landing” like Powell promises — but something much worse.”
He added links to articles covering the 2008 financial meltdown and a video asking people to gather information and figure out if we are indeed headed for soft economic turbulence.
[1]: https://archive.is/CMsIM
[2]: https://archive.is/N9ETF
[3]: https://archive.is/1yWtb
[4]: https://balajis.com/fiat
Watch Fintech Express for updates on the 2023 banking crisis and other fintech-related stories.
by Fintech Express | May 2, 2023 | Cryptocurrencies
Coinbase, one of the largest crypto exchanges by trading volume, has launched an international platform following tensions with US SEC. The exchange will roll out Bitcoin and Ethereum perpetual futures trading to commence trading.
Coinbase takes a giant step following unfriendly US regulations
Brian Armstrong, Coinbase CEO, is guiding his company to fight back against US SEC regulations after the authority threatened to take legal action against his company. The SEC issued a wells notice earlier in the year after it charged Kraken for offering crypto staking services in the US without its knowledge.
Armstrong strongly condemned the authority for its method of administration, saying that it sought to charge companies rather than formulate workable regulatory frameworks first. He said the exchange would seek to go offshore as other crypto companies could follow suit.
He added that his company was not scared of starting a legal battle with the SEC for what it considered an ‘unfavourable’ regulation style for their business. On May 2, 2023, the exchange announced the launch of Coinbase International Exchange (CIE), a new institutional platform designed and optimized for crypto derivatives trading.
The exchange will start by listing Bitcoin and Ethereum perpetual futures later in the week. It will operate by settling all trading in Coinbase-backed stablecoin USD Coin, requiring no fiat on-ramps. The exchange has stressed that direct access trading on the new platform will be available to institutional traders via application programming and eligible to non-U.S. jurisdictions. As such, those products won’t be available to retail investors initially.
According to the exchange’s announcement, the new international platform has been launched with the help of Bermuda regulators. The exchange received a license from the Bermuda regulators in Mid-April. The Class F license issued by the regulators will allow the exchange to operate as a digital asset exchange and a digital asset derivatives exchange provider. It will also grant the platform permission to operate activities like token sales and issuance.
Keep watching Fintech Express for updates on the developments surrounding CIE, Coinbase vs SEC and other crypto-related news.
by Fintech Express | May 2, 2023 | Finance, Technology
Uber reported its Q1 results on Tuesday, showing higher performance than analysts’ expectations. It has recorded a revenue increase of 29% YoY
Uber revenue rises 29% for Q1 2023 YoY
Taxify company Uber gained 9% in its shares pre-market trading Tuesday after it released a financial report showing that it had registered a massive growth in Q1 2023 against analysts’ expectations.
Here is how it performed:
- Loss per share: 8 cent loss vs the expected 9 cents
- Revenue: $8.82B vs. $8.72B expected revenue
- Mobility (gross bookings): $14.98 billion, up 40% year-over-year
- Delivery (gross bookings): $15.02 billion, up 8% year-over-year
The company noted that it had registered a net loss of $157 million for the quarter but had a net profit of $320 million due to unrealized gains on equity investments. This report is much different and encouraging for the market, unlike the $5.9 billion loss it registered in the same period last year.
Its CEO, Dara Khosrowshahi, said Uber had showcased a strong start to the year. He added that the company’s global scale gives it an advantage over its competitors, allowing it to onboard AI solutions for both the consumer and earner sides of its business model.
He added that the company is already using AI to predict highly accurate arrival times for rides and deliveries and expediting driver onboarding via processing documents more reliably and cost-efficiently.
“We are still in the early stages of using large data models to power improved user experiences and efficiencies across our platform, with much more to come,” he added.
The Q1 report was impressive compared to last year. The company expects to report gross bookings of between $33 and $34 billion for Q2 2023. It also expects an adjusted EBITDA of $800 million to $850 million.
by Samuel Mbaki | May 2, 2023 | Technology
Samsung has issued a company-wide ban against generative AI tools like ChatGPT on all internally owned devices and networks. The company is now among the growing number that detests using AI tools.
Battle against AI tools continues
Samsung has joined a number of high-profile individuals and companies that are fighting against the use of AI. This mobile manufacturer has issued an ultimatum to its employees against using AI tools like ChatGPT on the devices it issues or its internal networks.
The company has said it’s taking this step to protect its trading secrets after one of its employees uploaded a sensitive code to ChatGPT. The company told its staff that although the interest surrounding AI platforms is growing, their security risks are also increasing.
In the internal memo, the company highlighted concerns over the data shared with AI platforms and its potential to be stored on external servers that it may have little control over retrieving or modifying. It added that its HQ is reviewing the safety measures for using AI tools to enhance the productivity of its employees.
However, it added that its worth noting that unless and until such measures are in place, the use of AI tools by its employees is temporarily restricted. It added that the company employees would go against the memo’s instructions and risk disciplinary action, including the termination of work contracts.
Samsung is now among other major companies like JPMorgan, Bank of America, Goldman Sachs and Citigroup that are restricting the usage of AI tools. Others like Elon Musk have warned that the risks of using AI tools may be far more significant than any weapon ever created.
However, most of these entities are already developing their AI-based tools. Keep watching Fintech Express for updates on technology and Fintech-related stories.
by Samuel Mbaki | May 2, 2023 | Regulation
A class action lawsuit has been proposed against Coinbase regarding the violation of customer privacy via biometrics collections. The lawsuit claims that the company went against the privacy laws set in Illinois when it collected and stored its users’ fingerprints and facial scans biometric data.
Illinois resident challenges Coinbase’s KYC process in court
The lawsuit was filed on May 1 in a California District Court by one of the exchange’s users claiming that the requirement for a customer to upload pictures of their valid government ID and Self-Potrait for Know Your Customer checks (KYC) may be violating certain provisions of Illinois’ Biometric Information Privacy Act (BIPA).
The court filing argues that the requirement for users to give Coinbase their biometric data shouldn’t be mandatory, according to BIPA. It explains that the company should rather ask for permission from Illinois residents to collect their data and include information on how long it intended to store it, how it would be using it and the steps involved in the permanent destruction of the sensitive data.
“Coinbase had no written policy, made available to the public, establishing a retention schedule and guidelines for permanently destroying biometric information,” the suit argued.
Coinbase lawsuit May 1 2023
The complainant argues that Thousands of Highly detailed geometric maps of the face have been wrongfully taken, processed and stored by the company against the will of Illinois residents. It explains that the actions by Coinbase in the collection, usage and storage of the data pose serious and irreversible privacy risks.
The lawsuit added that in the case of Coinbase’s database hacking, Illinois residents would have no means of preventing identity theft. It stressed that Coinbase is in the wrong for lacking transparency in destroying the data permanently once a user opts to close their trading accounts.
The lawsuit seeks the payments of damages of $5,000 per intentional BIPA violation or $1,000 per violation if the court finds out that the company did not go against the regulations willingly.
The KYC process used by Coinbase is similar to all other crypto exchanges. As such, the direction of this case rests with the court process. Keep watching Fintech Express for updates on this and other FinTech-related news.
by admin_786 | May 1, 2023 | Banking
Nigeria’s Securities and Exchange Commision has expressed interest in licensing digital assets companies to operate in the country. The Commission, however, wants to allow the trading of assets based on financial products like Equity, Debt or property but not cryptocurrencies.
Nigeria SEC: Digitize traditional financial products but not cryptos!
The Western African country is gearing up to legalize the trading of traditional financial products in the tokenized form at the expense of cryptos like BTC, ETH and other altcoins.
According to the head of Nigeria’s SEC, Abdulkadir Abbas, the country will only authorize listings of tokens that are not essentially crypto. He added that the Authority aims to register Fintech Firms as digital sub-brokers, crowdfunding third parties, tokenized coin issuers and fund managers. However, the Authority will not register crypto exchanges until there is a clear regulatory framework for the crypto market in the country.
He noted that the license applicants would also have to undergo a year of ‘incubation’, allowing the country’s SEC to study their operations, work culture and how they will render their services. He added that by the 10th month of the applicant’s stay in the country, the SEC would be able to determine whether the applicant is fit to hold the license or would have to be asked to stop offering services there.
The new report regarding SEC’s stance on crypto regulation comes after Nigeria’s Central Bank banned financial institutions from offering crypto services earlier in the year. The bank had launched the digital Naira, and its adoption was going slower than expected. As a result, it banned the usage of other cryptocurrencies as means of payment.
Despite that Ban, Nigeria is still topping in P2P trading of digital assets. According to data from Google Trends, Nigeria ranks second in the world y search interest of crypto assets behind El Salvador. Other data from Chainalysis shows that the country was among the top 20 globally regarding crypto adoption in 20233.
Keep watching Fintech Express for updates on this and other crypto-related news.
by admin_786 | May 1, 2023 | Cryptocurrencies
Binance has warned Justin Sun of possible legal action if he uses TUSD to farm SUI tokens on the Binance Launchpool. The exchange’s CEO, Changpeng Zhao, has asked Justin Sun not to try to farm SUI tokens using TUSD after he deposited over $59M in TUSD today.
Binance CEO Changpeng Zhao fires warning shot at Justin Sun
Justin Sun, the founder of the Tron Network, is known for his witty usage and investments in the crypto market. He has made several large transactions that made him huge profits, a trend that has been noticeable over the past years.
Due to these trends, Binance CEO has warned Sun to avoid using TUSD to join the SUI LaunchPool, saying that legal action may be taken.
Sun replied that his colleagues did use the opportunity and TUSD tokens to participate in the SUI token launch but are regretful.
In a statement, Sun said
“Regrettably, some of our team members were not fully aware of the intended purpose of these funds and inadvertently used a portion of them to participate in exchange campaigns. Upon realizing this error, we immediately contacted the exchange team and arranged for a full refund of the funds.”
Neither Binance nor its CEO has issued a stance on the next steps they will take on Sun for defying their directives. Also, Sun seems apologetic and willing to cooperate with the exchange. Keep watching for updates, as this is a developing story.
