This last few days we have seen several indicators that the initial speculative crypto bubble is over and that any time soon the long-awaited evolutionary explosion will come, thanks to an increasingly mature market, in which serious 'players' emerge and scale.
It's true that the speculative nature of cryptocurrencies has led to several shameful and somber moments during its decade of existence _ just as it happened in the early stages of the dot com era in the early 90's _ but we are heading towards the end of that painful process, and into a much more interesting era.
Those of us who grew up in the 80's remember the first stages and the frenzy caused by the emergence of the internet: companies with ambitious business plans based on this new technology, but also scammers confusing and taking advantage of people.
But the speculative and even corrupt environment, combined with the desire to make quick money from enthusiastic investors, seem to be coming to an end.
One of the most relevant news this week was the announcement that IBM teamed up with financial technology start-up Stronghold to create a cryptocurrency pegged to the U.S. dollar.
The tech giant gave its support to a so-called “stablecoin”, a digital token that, in principle, is linked to an existing government-backed currency, in order to reduce the volatility associated with virtual currencies.
In this case, the cryptocurrency, called “Stronghold USD”, is backed by the Federal Deposit Insurance Corporation-insured U.S. dollars (FDIC), as revealed by IBM.
On another front, nearly two years after its initial announcement and months of delays this year, the world’s first bank-owned cryptocurrency Exchange finally made its public launch in Japan.
This Tuesday, Japanese financial giant SBI Holdings formally launched its cryptocurrency Exchange platform, dubbed ‘VCTRADE’.
SBI first announced a limited launch of the exchange for some 20,000 pre-registered users, while holding off on a wider public launch in Japan, one of the world’s largest cryptocurrency trading markets, where exchanges are required to be licensed under Japan's regulatory laws.
Likewise, there was also a historical event in the era of cryptoeconomics, as one company acquired a share of another firm paying exclusively with cryptocurrencies, marking a historic achievement for the crypto market.
On June 29th of this year, the CyClean Platform acquired a 60% share of Imusic Things Limited, the holding company of the Ketchup Shared Bicycle Platform. The event marks a historic moment, as it is the first time in the history of digital assets where an acquisition has been completed solely in cryptocurrency and not through cash or goods.
The acquisition meant that the Singapore-based CyClean Platform purchase a 60% share in Imusic Things Limited using only cryptocurrencies. 50% of the acquisition was made in CyClean coins and the remaining 50% in JPAY coins.
These three events, which took place during the last week, seem to have been decisive for the recent break in the total capitalization of the digital market, which in a period of only five days grew almost 20% (near $50 billion USD).
By Alejandro Cortés