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Monday, 23 April 01:47 (GMT -05:00)



Foreign exchange market

Bitcoin May Trigger Another Major Financial Crisis


Some experts say that Bitcoin and other cryptocurrencies may trigger another major financial crisis.
 
More and more individuals and financial institutions around the globe are getting interested in digital currencies. If they get systemically significant, they will also turn into systemic risks, especially if there are rapid chances in the financial sector. As the amount of those individuals and institutions owning cryptocurrencies reaches critical mass, this is when they become really crucial for the global financial system, especially when there is enough cryptocurrency debt and leverage.
 
As you probably know, Bitcoin has come rapidly from 1000 dollars per BTC all the way up to 20000 dollars per BTC, which clearly made all kinds of investors interested in the asset. Even big-scale players start thinking about investing in Bitcoin in the near future.
 
On the other hand, the more expensive those cryptocurrencies become, the more hostile to them the American and European governments become. Apparently, they are afraid of mass money laundering and terrorism financing.
 
At the same time, as more and more financial institutions catch this crypto-fever, the bubble inflates, thereby increasing the chances of a new major financial crisis further down the road. In particular, more and more hedge funds are now investing in Bitcoin now that the CBOE and the CME have launched their Bitcoin futures. Those derivatives opened a whole new world of investment opportunities for them.
 
Other experts say that the key problem boils down to the fact that cryptocurrencies are two far away from conventional financial markets. Which is why the chances of cryptocurrencies triggering another major financial crisis are really small at this point. However, the distance is getting shorter and shorter. So, we have to get ready for tighter integration. Indeed, cryptocurrencies will definitely be integrated in the global financial system over time.
 
There is another threat. The thing is, investing in cryptocurrencies opens an easy way for institutional investors to transition out of the conventional banking system, which may aggravate the crisis.
 

 

The biggest risk associate with cryptocurrencies is that their true value is hard to measure. Those have been highly speculative assets, with thousands of investors inflating prices for the sake of taking big profits. Amid such a market environment, its next to impossible to figure out how much those cryptocurrencies really cost, especially as there is no clear algorithm of doing that.

 

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Backed by Alpari, Bicycle Expedition Conquers North Pole

For the first time in history, the northernmost point of our planet was conquered by a man on a bicycle, who is famous Russian adventurer Bogdan Bulytchev. For those of you who don’t know, he is a member of the Russian Geographical Society and the State Polar Academy.

Publication date: 21 April 12:23 PM

Roubini Names Blockchain Overhyped Technology

Famous economist Nouriel Roubini criticized the foundation of cryptocurrencies – the so-called blockchain technology. In his article for Project Syndicate, Mr. Roubini called blockchain the most overhyped technology ever.

Publication date: 20 April 04:08 AM

Bitcoin Gains Value: 2 Days in a Row. Over 10% a Day

Now it seems that the long-term retracement of the USD/BTC exchange rate seen over the first quarter of the year is gradually reversing back for the uptrend.

Publication date: 13 April 12:57 PM

Bitcoin Rate and US-China Trade War

The cryptocurrency market has been going down steadily for a while. According to CoinMarketCap, the Bitcoin exchange rate has been moving around 6800 USD/BTC. Ethereum, Ripple, Bitcoin Cash and Litecoin have been trading around 382, 0,49, 633, and 119 dollars per coin respectively.

Publication date: 06 April 10:02 AM

It’s the Day of Reckoning for Cryptocurrency Funds, Bloomberg Says

Bloomberg experts claim that the day of reckoning for cryptocurrency funds has finally come. Last year, when the world’s first digital currency (Bitcoin) went sky-high in mid-December and reached another all-time high at 20000 USD/BTC, over 150 funds specializing in cryptocurrencies emerged on the Internet. In 2017, their profits reached 1000%.

Publication date: 05 April 09:43 AM

Masterforex-V Expo Names World’s Best Forex Brokers For Beginners in March 2018

Each and every forex trader out there faces the same challenge at some point in their career. This challenge boils down to choosing the right forex broker. This holds especially true for beginners who are just getting their feet wet in the forex trading environment. This choice is fairly significant for all of them since their future trading performance will depend on that choice. The truth is, all of those forex companies may differ in a number of aspects, including the offered trading conditions.

Publication date: 04 April 12:01 AM

Bitcoin 2018: New Cryptocurrency Realities

In March, the BTC exchange rate dropped by almost 3000 dollars. Some experts predict a further downtrend in the near future, Market Leader reports.

Publication date: 28 March 06:22 AM

Experts Predict Bitcoin Move Above $10K

This week Bitcoin may come close to the psychological level of 10000 USD/BTC and break above it, some international experts say.

Publication date: 26 March 02:10 AM

Masterforex-V Tells You What You Don’t Know About Bitcoin

How do you treat Bitcoin and other cryptocurrencies? Usually, those who ask you this question expect you to be either pessimistic or optimistic on the future of digital currencies, ICO and blockchain.

Publication date: 23 March 11:27 AM

Google Bans ICO and Cryptocurrency Ads

A couple of days ago, the top management of Alphabet Inc. announced that Google would ban any ICO and cryptocurrency ad campaigns starting from June 2018. On top of that, they would toughen the requirements for advertising other risky financial products, including binary options.

Publication date: 18 March 05:54 AM