Crypto market news about Bitcoin, regulation and Blockchain auditing! What’s next up on the CoinMetro releases list, and much more — all in This Week in Crypto!
Crypto Market News Highlights
Millennials grew up on the internet, outside of what generally would be called traditional markets. They are not concerned about ownership. Things like Uber/AirBNB killed the old urge to own something. So at the end of the day, it makes perfect sense that they would prefer Bitcoin over gold.
They are not traders and not market professionals. And they look and see that Bitcoin absolutely destroyed gold over the last 10 years. Will that continue over the next 10 years? No one knows. But if you assume it does, then you’d prefer it. Plus, it’s just kinda cooler.
This happens in traditional markets as well. It’s basically them saying “okay, you can start doing this, but you will have an external auditor over your shoulder for 6 months”. If they meet the conditions, then they go ahead and get the license.
Kevin thinks it’s smart and makes a lot of sense. If it reduces the amount of paperwork needed, and the amount of time it takes to approve it — awesome. If you’re a business doing what you’re supposed to be doing, then having somebody check on you shouldn’t be an issue. As long as those checks don’t actually obstruct daily operations.
This whole thing about “compliant blockchains”/”compliant tokens” puzzles Kevin. There is really no need to go that far. And even if you did, most blockchains can’t handle the throughput that would be required to use these things in a true onboarding fashion.
Well, this is just a basic fraud case. They said they were selling a product they never had, and they ran a token sale in the US without the proper exemptions. They’ll definitely lose this one.
[27:41] Binance-Backed Blockchain Auditing Firm Partners With Hdac to Track Internet of Things Devices
Oracle information put on a blockchain. Lots of companies are already doing that. These companies want a piece of that action, after seeing what happened with Chainlink for example.
Kevin thinks that things like Chainlink and interoperability companies are going to do quite well for the next few years, but eventually we’re going to get standards for blockchains for specific industries.
If you are going to develop a certain blockchain-esque DLT technology for a very specific use case, you are probably going to build out those use cases yourself. But for the first years, they will likely use some sort of already existing technology. But they are cost-based, latency etcetera, there will be a move eventually to create their own standards.
Check out our Medium post to read more crypto market news!
Live Questions – CoinMetro updates and Cryptocurrency News Today
[48:08] Señor Kevin, I would love to see more XCM utility. Like posting collateral, but XCM lacks liquidity. Please help.
It’s a self-fulfilling prophecy. As we do do marketing, and as we bring in more people, XCM will gain more liquidity. Yep, taking longer than initially imagined. There was a lack of funds, a global pandemic, smacked right in there. Issues with initial dev teams. So we have weathered a lot of storms together, guys. And now we are in pretty calm waters. And it’s just about focusing energy. XCM utility is something that is always on our minds. But we don’t want to create utility, just to create utility. It’s about creating products that drive usage. That’s super important.
[50:37] How is the upcoming marketing campaign? I didn’t know it was in collaboration with advertising companies.
When we actually found out how the campaign was going to be run, it was completely different from how they sold it to us. So we paused that one. And we started to work on other things. We have some press-releases for products coming up, and press-releases for a partnership.
Shortlisting some new assets to come on, and we’ve been in talk with their communities. So, we are moving into other tests and talks. We are going to get more exposure on Twitter and Facebook. We have a Kevin explains Crypto site.
Plans for Funding
[30:55] We had some FUD going around this week about lack of funds. I think this is for all the XCM holders still the biggest risk. But is it? – XCM_hodl
Kevin doesn’t think it is the biggest risk. The company has always been, and will always remain to be, flexible. Which means that we have different ways that we can source funding, and we will do whatever we have to do to make sure the company remains sustainable. And we did that all through 2019, and we can do it through 2020 if we have to.
We do have investors onboard that are willing to put up more capital, but that will probably not happen before the end of the year. The CoinMetro bond is definitely part of the puzzle. At the end of the day, depending on how much interest there is in the secondary market opening within that first 90 days or so, we have an option to keep that primary sale open for a bit longer.
Kevin thinks and knows that there is interest. We do expect to raise some funds there. And we also have other interested parties in terms of equity. The fact is that the current valuation would already be higher, if we had closed the last round on the money we received, and opened a new round. But we decided to keep this round open, and include the bond in the round. So bond holders would get, if they convert into equity, would get the same current equity deal that’s on the table. It might be 2x, 4x, 10x. But it will be an x of what the current valuation is.
[33:20] The volume in late Q2 was somehow really low. Do you expect it to go way higher with the ongoing marketing? – XCM_hodl
The exchange needs volume, that’s for sure. More products that we bring out, the more ways we can push volume on the exchange. The marketing test was quite successful though. You’ll notice that the price reflected that, very quickly. But we stopped the test. We had a goal of bringing 2000 new users on, and we got 7000 new users. And yes, many of them are holders or just came in for the affiliate bonus. But that happens with every promotion. But it did push prices higher, and it did so rather quickly, on the back of a cheap promotion, in terms of costs for the company.
Once we launch in Montenegro with the bond offering, the first bond offering for Tangible, and then we move into polishing up what we currently have — people are not using CoinMetro for the reason that we don’t fit the bill, it’s because they simply don’t know who we are. Lots of things in the pipeline, and more coming. And lots of progress made.
[35:20] A lot of ICO holders (like me) are just holders, because they believe in XCM but are shitty traders. Since there is no usage of XCM to create volume, is there anything to come soon? – XCM_hodl
There are benefits. If you are not going to trade it, then yeah you are maybe not getting the other perks that comes with the Rebates program, but locking that XCM takes it off the market and makes the XCM token itself more appetizing to certain traders and holders.
But most importantly, getting the word out. We have copy trading, we have other things like these securities tokens, which is huge.
Virtual IBANs and debit cards are coming soon. Lots of new currencies coming onboard. So there is lots to talk about on CoinMetro! So much to talk about at times that we forget to talk about it.
Future of CoinMetro
[45:05] How do you envision the future of tokenization and where does CoinMetro fit into that? – Friendly_Parrot_
CoinMetro in Montenegro along with Ignium, the CSD, are going to be going into tokenized securities. Big time. We have the first one coming out at the end of July, a tokenized real estate project in Japan, CoinMetro bond to follow after that, and another 2 or 3 companies to follow after that. Mostly Estonian based. All bonds or convertible bonds. Shortly after that, we will tokenize the equity of both CoinMetro and Ignium, and we will have the first tokenized equity end-to-end as well, of the same sandbox.
Kevin’s vision is that eventually, everything is tokenized, and our Dashboard basically becomes an easy road to swap and get in and out of different tokens, whether those be reward-like, utility-like, securities-like etc, and doing so in a very seamless manner. We have thought about having a non-fungible marketplace. So, we can definitely start looking at NFTs after we get through this initial Montenegro sandbox. We have discussed it earlier, and it is a unique market.
[44:38] You mentioned briefly that PayPal had reached out to you, could you elaborate a bit on what they wanted and what impact, if any, it could have associating CoinMetro with Paypal crypto services? – da9el84
PayPal reached out to us and will have a call on Monday. If we do add PayPal, it’s going to be for withdrawals only. Deposits are too risky, with chargebacks and frozen accounts. But we can add it as a withdrawal method, and that means we can probably get the USD market in quicker. Stablecoin in, PayPal out.
[51:37] Do you feel that CoinMetro is ready at this point to do mass marketing?
As is, we can do it. We always kinda strive for something better. But at some point, you have to launch. And when Kevin looks at most of our competition, CoinMetro is in many ways, at the level or better. So might need a bit of polishing, a few UI/UX things that need polishing — we got a great UI/UX guy now.
Kevin thinks we could, and we will. But we want to make sure that we get the right optimization on those ads. And that’s why we are testing.
That’s a wrap for this week’s crypto market news with CoinMetro Founder Kevin Murcko! Please join us next week for more CoinMetro reports, Bitcoin news feed, Altcoin prices and crypto market news! We’ll be live on CoinMetro’s Facebook and YouTube Channel at 12 PM (UTC). Make sure you submit your questions to the CoinMetro subReddit!