Argentina President Open to Bitcoin But Central Bank Says Otherwise
During an interview with Caja Negra, a local television network, Argentina President Alberto Fernandez hinted that he is open with the idea of adopting BTC (bitcoin) as legal tender and also the issuance of the country’s own Central Bank Digital Currency (CBDC). He stated:
“I don’t want to go too far out on a limb […] but there is no reason to say ‘no. Perhaps that is a good path to take.”
He further added:
“They say the advantage is that the inflationary effect is largely nullified.”
Fernandez also recognized the increasing perceptions of BTC (bitcoin) as a hedge against inflation but he added up some caution.
“It is a global debate, and I must confess that it is a topic [that I approach with] caution. In my case, there is caution because of how unfamiliar it is, and because it is hard to understand how this fortune materializes. Many people in the world have these concerns, and that is why the project, or the system, has not yet expanded [more than it has]. But it is something to consider.”
But the Central Bank of Argentina holds a different position on the adoption of the most dominant cryptocurrency. On Aug. 10, the head of Argentina’s central bank Miguel Pesce commented on the matter during the Argentine Institute of Executive of Finance’s Digital Finance Forum.
“We are concerned that (cryptocurrencies) are used to generate undue profits on unsuspecting people.”
He also stated that BTC (bitcoin) is “not a financial asset and does not generate any profitability.”
Argentina’s inflation rate is now up by 50% and it has one of the highest rates of inflation among the Latin countries. There have been rumors that it will soon adopt BTC (bitcoin) just like El Salvador to curb the surging inflation rates in the country. But with the contradicting point of view of President Fernandez and the central bank, seems like the adoption will be less likely to happen.
Bitcoin Mining Difficulty Increases After Recent Adjustment
On Friday, the bitcoin mining difficulty has again increased 7.3% after the recent adjustment. On July 31, the mining difficulty increased by 6% after Chinese miners went offline. This is yet another subsequent event after the Chinese authorities implemented a mining ban in the country.
In a report by CNBC, Jason Deane, an analyst at crypto advisory firm Quantum Economics stated:
“Hashrate levels are still down 42.1% from the peak in May 2021 when the China exodus happened.”
On July 3, the bitcoin mining difficulty decreased by 28% after the massive exodus of Chinese miners. But the recent adjustments on the mining difficulty is a good indicator that bitcoin miners are now slowly coming online. Soon it’s going to be business as usual for bitcoin miners who have been displaced and were forced to shut down due to the intensive crackdown by the Chinese authorities.
Bitcoin miners are now looking for alternative sites hopefully with clean and renewable energy resources this time. Bitcoin mining has raised a global concern on its carbon footprint due to the use of dirty energy like coals.
AXS Token Price Surges Following Coinbase Listing
AXS (Axie Infinity), the native token of Axie Infinity, a Pokemon-inspired blockchain game price surges following a listing on Coinbase Pro listing.
On Aug 11, Coinbase announced the opening of deposits respectively for AXS (Axie Infinity) along with three other digital assets. It has recorded its newest all-time high at $76.76 following the announcement. The listing was also announced on the crypto exchange’s Twitter account.
— Coinbase (@coinbase) August 12, 2021
In recent reports, daily active users of Axie Infinity have already reached 1M. The massive growth of its users has also contributed to its meteoric rise.
In recent data by Crypto.co, AXS (Axie Infinity) is now at $69.82 which is slightly down by 9.04% from its recorded all-time high. On Aug. 10, a day before its Coinbase listing, the price of AXS (Axie Infinity) started to soar and has increased by 34.9% from its previous price of $48.
South Korean Won Pairs and Payment Options No Longer Supported in Binance
As part of its regulatory compliance, Binance, the largest crypto trading platform South Korean won pairs and payment options services will no longer be supported.
The announcement was posted in a blog on Binance’s website on Friday. The blog further states:
“Binance P2P will remove KRW trading pairs on Friday, 2021-08-13 at 11:00 UTC (20:00 UTC+9). Users are advised to complete all related P2P trades and remove related trade advertisements by 2021-08-13 10:00 UTC (19:00 UTC+9) to avoid potential trading disputes.”
Also, the exchange will discontinue operating “any official Telegram or other online communication channels in Korean.”
Binance is among the crypto exchanges along with OKEx that have closed down their operations in the region due to rigid regulations implemented in the country coupled with low revenue.