Digital banks are coming on the market – banks that allow you to open accounts, take out loans or send money in just a few minutes. But how does it work? We’ve interviewed the CEO of PointPay to figure out how your first crypto bank will try to challenge the traditional financial system.
Q: Tell us about the PointPay ecosystem. What projects does it include, and what services does it provide? Who are your main clients?
A: PointPay is a comprehensive service provider in the cryptocurrency market. Launched in 2018, PointPay already has more than one million active users worldwide. We seek to help people from all walks of life access the financial tools they need to build a better future.
Our core products are a blockchain-based bank, exchange platform, cryptocurrency wallet, and payment system. We offer a diverse range of services that enable you to buy and sell digital assets, take out cryptocurrency loans, store your holdings securely, earn passive income on your holdings, and more.
We aim to provide a comprehensive range of services in one place. We’ve developed many innovative products, such as Launchboard, Escrow, and HR Talent:
PointPay Launchboard offers investors the opportunity to be among the first to invest in promising cryptocurrency projects. Our goal is to support the crypto economy by providing our customers with priority access to quality emerging projects.
PointPay’s Escrow Platform is a service that helps protect buyers and sellers in transactions. We act as a middleman to help ensure successful transactions by keeping the buyer’s money secure in an escrow account.
PointPay Talent Platform – is a platform that matches employers with remote professionals. The Talent Platform is our solution to finding and attracting top-level talent worldwide.
Q: Your company provides cryptocurrency banking services. What functions are already available? Tell us more about it.
A: PointPay, a blockchain-based bank, allows users to earn interest on 32 of the most popular digital assets by simply funding a Savings account. We offer a transparent and simple interest rate that allows anyone to earn APY on their assets.
Furthermore, PointPay customers can borrow and lend seven popular cryptocurrencies with USDT as collateral. Cryptoloans do not require a credit check because digital assets serve as collateral for transactions. We offer the lowest interest rates on cryptocurrency loans – users can borrow assets from us at 0.012% per day. We are planning to launch crypto debit cards, enabling users to make online and in-store purchases with the same ease as with a traditional debit card.
Q: What crypto processing options do you offer? How do you work with accounts? Can a large business organize cryptocurrency acceptance with the help of your solutions?
A: Several months ago, we introduced the Unified Balance System. Now users have two accounts in the PointPay System – Regular and Savings. Regular Accounts can be used to perform any transactions, such as trading on the exchange, buying or selling crypto, etc. A Savings account serves as an interest-bearing account. It is suitable for holding your funds as you can transfer funds only 3 times per month; otherwise, you will not earn interest on your funds.
PointPay Payment System allows customers to buy and sell digital assets with a bank card for fiat currencies, such as USD, EUR, GBP, and others. You can easily buy or sell assets using Visa, MasterCard, Bank Transfer, and more. We support over 50 major fiat currencies via our developed network of payment providers.
We are planning to introduce recurring payments for individual clients and businesses so that they can accept periodic payments from customers.
Q: What earning opportunities for regular users (staking, trading) does your platform provide?
A: In addition to Savings accounts, we offer a Staking Program that allows you to earn passive income. The program provides an easy way to earn passive income by locking up PXP tokens in your personal wallet. Users can lock their tokens for 3, 6, or 12 months to receive rewards on a progressive scale – the more tokens they invest, the higher their return will be at the end of the period.
We are constantly adding new ways for customers to earn rewards. For instance, our new service Launchboard allows PXP token holders to vote on projects that want to be listed on our platform. In return, token holders will receive project tokens.
Our users can take advantage of our cryptocurrency exchange to grow their portfolios. We provide three types of interfaces: Classic, Advanced and Quick Exchange. The Classic and Advanced versions are intended for experienced customers, while Quick Exchange offers simplified exchange functionality. We also offer some of the market’s lowest trading and withdrawal fees.
Q: Tell us more about your token. How is it used in the ecosystem?
A: PXP is a utility token that allows our clients to use all the benefits of our PointPay Ecosystem.
As the owner of the token, you can enjoy:
Reduced Maker/Taker fees, depending on the number of tokens you hold;
Earning passive income on Savings accounts and Staking;
Instant commission-free transfers within the PointPay Ecosystem;
Access to promising innovative projects on the Launchboard platform and much more!
We are constantly working on expanding the perks and bonuses for our token holders.
Q: Tell us about the company’s plans for the next 3-5 years.
A: We are committed to becoming a crypto bank for 7 billion people. We plan to attract investors, traders, and everyday users by creating an ecosystem of complex solutions. We always follow the trends in cryptocurrencies to offer the most relevant and in-demand products. Soon, we plan to launch several new solutions such as Margin Trading, Recurring Payments, ACH transfers, and much more.
In three to five years, we aim to build the leading ecosystem of cryptocurrency products that provide our users with all the services they may require in one place. We strive to become the number one cryptocurrency services provider in the world.
Bitcoin At $1,000: Looking Back At Nine Years Of Bull Run
If the first part of the above headline about Bitcoin price had your heart pumping, it might be time to reduce the amount of leverage you are using.
No, we aren’t calling for BTC to reach a target of $1,000 – we are instead looking back and celebrating the nine-year anniversary of the first time Bitcoin breached above $1,000.
Nine Years Ago: BTC Breaks Above $1,000
Bitcoin is now in the midst of its fourth ever bear market and currently trading at a price of around $16,000 per coin. After the dramatic fall from $69,000 in late 2021 to current levels, sentiment has taken a beating. It isn’t unusual to see targets on crypto Twitter for $1,000 BTC in the days ahead.
Today, however, we aren’t as focused on future targets for the top cryptocurrency, but the long journey Bitcoin has had from when it first passed $1,000.
Nine years ago from yesterday, on November 27, 2013, BTC breached above $1,000. The level proved to be significant at the time, with BTCUSD trading above $1,000 for less than ten days before the 2014-2015 bear market started.
From that point on, it was more than 1000 days before Bitcoin passed $1,000 again. But when it passed it again, Bitcoin became a household name.
Bitcoin breached $1,000 exactly nine years ago yesterday | Source: BTCUSD on TradingView.com
Where To Next: $1K or $1M Per Bitcoin?
$1,000 per BTC was significant for several reasons. It was a large, rounded number in US dollars, but 1 BTC was almost exactly the same price of an ounce of gold at the time.
After breaching above $1,000 a second time, Bitcoin went on to climb just under 2,000% to nearly $20,000 per coin. Today, five years later, BTC is below the 2017 bull market peak.
From the $1,000 milestone to current prices at around $16,000 per BTC, the top cryptocurrency still has more than 16,000% ROI its held onto. From its inception, it has gained more than 150,000,000% cumulatively.
Despite this, there are equal calls for a revisit to the $1,000 level as there are for Bitcoin reaching $1 million per coin, making BTC the most interesting speculative asset of all-time.
Follow @TonySpilotroBTC on Twitter or join the TonyTradesBTC Telegram for exclusive daily market insights and technical analysis education. Please note: Content is educational and should not be considered investment advice.
Featured image from iStockPhoto, Charts from TradingView.com
Crypto Fraud in UK Claims 32% to £226M amid Recession
Many UK residents are currently struggling to survive in the wake of a recession that is taking a toll on all and sundry, leading to a rise in crypto fraud. In hard times like this, criminals seek to exploit people and reap their funds. Reports have shown that crypto fraud in the UK grew 32% over the past year. According to data from the UK police unit Action Fraud, about £226 million ($273 million) was lost in crypto fraud over the past year.
UK Crypto Fraud Increases amid Recession
The recession in the UK is getting worse by the day, with readings suggesting that the economy is shrinking at a 0.4% quarterly rate. A major survey also added that the economic downturn could linger into the coming year. While S&P Global’s poll places the economic fall at a 0.4% quarterly rate, Gloom said it was widespread. There are also expectations that new businesses may stumble to the point of no recovery.
The cost of living has increased amid the recession, and many are now vulnerable to fraudsters. A forensic accountant at Pinsent Masons, Hinesh Shah, told Financial Times on Monday:
“Whenever times are tough, fraudsters always seek to prey on less experienced investors by promising huge returns.”
There have been major discussions on crypto in the UK and the presence of crypto firms in the country. The UK Financial Conduct Authority (FCA) said in a report that crypto fraud is tied to increased cyber crimes. The agency noted 5,568 suspected crypto scams between the 1st of April 2021 and the 31st of March this year. The reports increased 36% YoY, and the UK financial watchdog intensified its commitment to warning consumers of the risks of crypto investments. There are currently 39 crypto-asset firms legally operating in the US, with 246 running without undergoing necessary procedures. The FCA’s executive director of markets, Sarah Pritchard, stated:
“Setting high standards and acting quickly to crack down on problem firms will help ensure market and consumer confidence, supporting the integrity and growth of UK financial services.”
With the recent happenings in the UK, crypto fraud is almost inevitable not to record crypto fraud cases. Illicit activities involving cryptocurrencies make major news headlines, and law enforcement has seized crypto assets worth millions due to criminal acts.
About a month ago, UK lawmakers agreed to legally see crypto as a regulated financial instrument. Parliamentarian Andrew Griffit proposed that crypto should be regulated in the country. He added that this would not mean that it would have preferential treatment. Instead, it would help the UK’s regulatory framework for financial assets.
Genesis Bankruptcy by EOY Now At 59% – Sentiment Of Bitcoin Investors Pivots
A possible Chapter 11 bankruptcy of Genesis Trading and parent company DCG is still depressing the sentiment on the Bitcoin market. Genesis last commented on Twitter on November 16. Parent company DCG last spoke out on November 18 via the social media platform.
Investors, however, seem to take a rather positive view of the silence. As recent data from the world’s largest decentralized prediction market Polymarket shows market participants now estimate the probability of a Genesis insolvency at only 59% by the end of year (EOY).
The peak value was 81%. Thus, the narrative appears to have pivoted to the extent that the problem is fixable for Genesis and DCG. Expert opinions currently suggest that it is more of a liquidity shortage than a solvency problem for DCG.
Bitcoin Experts Warn Against False Panic
Bitcoin OG Samson Mow explained that the DCG group has real assets and income-generating businesses, and the problem is primarily a liquidity shortage.
According to Mow, Genesis and DCG have enough assets to pay debts, they’re just not available in cash. The worst-case scenario, a bankruptcy of Genesis and DCG “seems unlikely” for him.
Since DCG has high revenues and assets, insolvency of Genesis would not be the end of the parent company. To that extent, Mow considers the theory that Grayscale could be liquidated and the 634,000 BTC could hit the open market also “an unlikely outcome.”
DCG still has a number of good assets, including Grayscale, which generates around $500 to $800 million a year in management fees. According to Mow, the likely outcome is a restructuring or an outright buyout by a bigger player.
Ryan Selkis, founder of Messari, currently strikes a similar tone. He also warns against scaremongering that DCG can simply “dump” its GBTC shares. “That’s part of their liquidity crisis, but also net good news for GBTC shareholders and FUD fighting,” Selkis said.
The reason is that Grayscale has to follow strict rules. Thus, DCG cannot simply sell its nearly $800 million worth of GBTC shares because it is not an ETF as desired but a listed vehicle that falls under Rule 144.
Because of this, there are two important restrictions. DCG must make public a notice of proposed sales. Furthermore, there are caps on sales of 1% of outstanding shares or weekly trading volume.
Given GBTC has a daily volume of ~4.5mm shares that works out to quarterly cap on sales of 2.5mm shares ($23mm / quarter) under the trading test and 6.9mm shares ($62mm / quarter) under the asset test.
If Grayscale were to start forced sales, it would send the price of GBTC further down, and the discount would continue to grow. According to Selkis, this liquidity problem makes it much more likely that DCG-Genesis will refinance using GBTC as collateral.
At press time, Bitcoin was trading at $16,157. Thus, the next important resistance is currently at $16,310, while the support at $16,050 is of major concern.
Bitcoin price, 1-hour chart. Source: TradingView
Gaming2 months ago
Elden Ring Is Being Turned Into A Board Game
Gaming2 months ago
Chess Champion Ratchets Up Cheating Drama By Resigning In Just One Move
Gaming2 months ago
EVGA, Popular Graphics Card Maker, Parts Ways With Nvidia In Messy Breakup
Crypto2 months ago
These Two On-Chain Signals Precede Bitcoin Falls, Suggests Analyst
Gaming2 months ago
GTA Forums Remove GTA 6 Leak Posts To Avoid Being “Obliterated” By Take-Two
Gaming2 months ago
Riot Discusses Its Diversity Efforts For Wild Rift And The Power Spike Update
Crypto2 months ago
Cosmos (ATOM) In Green While Entire Market Bleeds
NFT2 months ago
Actor Scott Eastwood is Ready to Release His Own NFTs