• CBUAE Launched FIT Initiative to Boost Digital Transactions
• IMF Issues Warning To El Salvador: Address Risks Of Bitcoin Adoption
• BTC/USD Plunges As It Forms First-Ever „Death Cross“
CBUAE Launches FIT Initiative
The Central Bank of the United Arab Emirates (CBUAE) has introduced a Financial Infrastructure Transformation (FIT) program to facilitate the digital transformation of the financial sector. The FIT program will be rolled out in phases, beginning with the introduction of various digital payment infrastructures and services. Subsequently, the program will expand to include a variety of digital infrastructures related to data management and regulation. As part of the first phase of the FIT initiative, the CBUAE plans to introduce a domestic and international central bank digital currency (CBDC). In a statement, the bank claimed that the FIT is a step towards making the CBUAE one of the world’s leading central banks. The initiative aims to promote digital transactions and enhance the financial services industry.
Impact on Bitcoin
The news is positive for Bitcoin as it means that UAE’s Central Bank is actively investing in their infrastructure for digital payments which could benefit Bitcoin among other cryptocurrencies. This would boost its security and operational resilience while also improving innovation and customer experience, reducing operating costs, and enhancing regulatory compliance.
IMF Warns El Salvador
On February 10th, following its recent visit to El Salvador where it met with country’s financial representatives, International Monetary Fund (IMF) released a caution declaration due to economic risks associated with trading bitcoin bonds that El Salvador supports. IMF urged El Salvador to avoid trading them in order to minimize risks associated with using bitcoin as an official currency or store of value within its borders.
BTC/USD started trading at $21,796 on February 13th but has since fallen by nearly 2% over previous 24 hours and plunged 6% in value over past week ending on 12th February 2021; losing significant market capitalization against US Dollar (USD). At time writing BTC/USD moved between high $21,902 & low $21,444 mark indicating downward trend in crypto market prices raising concerns amongst crypto investors across globe regarding future price movements & stability of cryptocurrency markets worldwide
Cryptocurrency markets across globe are seeing volatility due rising concerns surrounding BTC/USD plunge & death cross formation along with warnings from IMF regarding adoption & usage of bitcoin bonds by governments like El Salvador. Such developments could have potential impact on overall global crypto market scenario going forward however more clarity needs be obtained before any concrete decisions can be taken regarding future price movements & stability across cryptocurrency markets worldwide