The cryptocurrency market has always worked with an intention to integrate with the mainstream financial ecosystem and the latest development from Societe Generale SA [SocGen] seems to have done just the same.
Latest reports have shown that a unit of the French multinational investment bank sold over 100 million euros in the form of debt backed by mortgages in the form of virtual assets, with SocGen being the only buyer. The bank did not divulge any more details regarding the massive movement. Apart from supporters, the news was also criticized by several people in the crypto-verse, including Romal Almazo, the crypto and blockchain head at Capco:
“The proliferation of tokenization within finance will occur, but don’t expect to see it go mainstream anytime soon. This market will take years to properly mature and evolve.”
Societe Generale stated that the main use of cryptocurrencies was to see the noticeable change in transactional speeds and efficiency. Societe Generale’s entry into crypto was widely covered during the weeks before the official announcement reading:
“[…] issued EUR 100 million of covered bonds in the form of “security tokens” (home financing bonds or “OFH”) directly registered on the Ethereum blockchain. Tokens OFH was rated Aaa / AAA by Moody’s and Fitch and were fully subscribed by Société Générale.”
The bank had stated that the transaction made it possible to explore a more efficient bond issue circuit. According to SocGen, the benefits include increased transparency, faster securities transfer, and settlement. It also makes it possible to offer a new standard for issue and trading in the secondary market and to reduce the costs and the number of intermediaries.
The bank had added:
“Innovation is at the heart of Société Générale’s DNA. It is a priority axis of its “Transform to Grow” strategic plan. The Group’s digital transformation is accelerating by using new technologies to innovate and better serve its customers.”
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Ripple CTO dismisses Coin Metrics report saying it was a ‘timeline issue’, Tron [TRX] futures to soon start trading on OKEx platform and more
Crypto News – 18 May – Ripple CTO dismisses Coin Metrics report saying it was a ‘timeline issue’, Tron [TRX] futures to soon start trading on OKEx platform and more
— AMBCrypto (@CryptoAmb) 18 May 2019
Daily Crypto News – May 18
1) XRP-backed stablecoin: Kava Labs is developing a stablecoin, USDX, backed by XRP on a Cosmos Zone, which dynamically maintains stability to USD with decentralized mechanisms.
Read more at https://bit.ly/2HE7xAv
2) BitMEX insurance funds: While some panicked when Bitcoin crashed suddenly, others remained calm and assessed the situation. It was noticed that there was a huge sell order on Bitstamp, which pushed the price of Bitcoin by ~20% in a few minutes.
Read more at https://bit.ly/2VNgUaK
3) USDC do not exceed balance of US dollars: News revolving around the USD Coin [USDC] had taken a negative connotation when Coinbase CEO Brian Armstrong was called out for shilling the cryptocurrency. As a way to put any fears or speculations to bed, Grant Thornton LLP, an independent accounting firm released the latest attestation report on US dollar reserves backing USDC.
Read more at https://bit.ly/2Ej5dxM
4) SatoshiPay launches Solar Wallet: SatoshiPay has been working closely and designing micro-payment apps for the Stellar Network. Earlier this year, the micro-payment solution company launched ‘Solar wallet’, a stellar network-based and user-friendly desktop wallet. The Solar Wallet has proved to be user-friendly and easy-to-use and can securely manage funds.
Read more at https://bit.ly/2HrJ6HH
5) Blockstream CSO on Bitcoin: Samson Mow, Blockstream’s Chief Strategy Officer appeared in the latest Keiser Report discussion featuring Max Keiser. Talking about the satellite, Mow said that the purpose of Blockstream satellite was to provide redundancy for the Bitcoin [BTC] network.
Read more at https://bit.ly/2VvuQkY
6) HitBTC is insolvent, claim customers: According to a series of tweets by CryptoMedication, from Zerononcense, cryptocurrency analytics and research firm, the exchange is “insolvent”. The Twitter handler exclaimed his surprise that the exchange was “still in operation” as they had only 350,000 BTCs after their liquidation.
Read more at https://bit.ly/2JtlOTK
7) Weiss Ratings on Bitcoin’s price movement: Weiss Ratings, the crypto-specific rankings company, which, at times has rubbed the cryptocurrency industry the wrong way on predictions, suggested an absence of “manipulation” and termed the fiasco as a “normal market correction”.
Read more at https://bit.ly/2JrYtlE
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