During the week, I released an article for Tekedia institute.
The article, entitled: ‘The success of the cryptocurrencies of the future will depend on their ecosystem having a strong and diversified GDP’ took an aside to explain how the US dollar is under pressure from two sides.
‘With the US Debt/GDP running at 120.36%. USD position as the defacto international trade medium is critical to its stability, and the life of the US economy.
There is a fight the USD now feels it has to wage, not only against a diversification away from the dollar by sovereign actors, but also by increased interest in cryptocurrency payment media by global corporations and domestic individuals.
The US is increasingly seeing a world not transacting in dollars, and doesn’t like it.’
Barnett Frank, familiarly known as ‘Barney Frank’ was a member of the U.S. House of Representatives from Massachusetts from 1981 to 2013. He served as chairman of the House Financial Services Committee from 2007 to 2011.
Yesterday, Wall Street Journal – Opinion Reported:
Barney Frank says regulators seized Signature Bank last weekend because they wanted to send a message to other banks not to do business with the crypto industry. The evidence increasingly suggests the former Congressman could be right….
…New York’s Department of Financial Services took possession of Signature on Sunday after it experienced a run on deposits following the collapse of Silicon Valley Bank (SVB).’
Unfortunately for them, the plan of the regulator has backfired.
https://www.msn.com/en-us/money/markets/wsj-opinion-was-svb-the-first-twitter-fueled-bank-run/vi-AA18GdQK
While ‘Blockchain Industry Assets’ across the board fell during FTX, and fell during Silvergate, SVB was seen as an established piece of the traditional banking community. Attacking Signature, was going even deeper into ‘traditional’ territory. This prompted a recovery of Blockchain Industry Assets as investors piled into them as one of several alternatives to the traditional banking community.
It is well publicized that my brand, 9ja Cosmos, achieved the first Web 3 ccTLD (Country Top Level Domain) in the world (for Nigeria) in September last year.
9ja Cosmos operates off Handshake, which is a hard fork of Bitcoin. It’s native currency is a token called ‘HNS’ Between the week spilling over from October to November 2022, HNS hit an all time low of $0.0194. It had recovered in early 2023 to above $0.04 but in empathy with what other Blockchain Industry Assets were doing in the wake of Silvergate, it dropped to just above $0.03.
On SVB, and further, Signature news, HNS has rallied and is now above $0.04 as of this instant.
The creation and sale of Web 3 Domains off the Handshake chain is the utility that drives the value of the HNS coin.
While 9ja Cosmos main products are Second Level Domains off .9jacom and .9javerse. in a non-core part of our operations, we separately sell complete TLDs to peers. 2023 to date, we have sold 177 TLDs alone.
This isn’t a boast but just an indicator of the power of the Blockchain Asset Industry as a whole, something in which 9ja Cosmos is just a very small part.
As indicated by Barney Frank, this is an industry of which Sovereign Finance Actors, are very, very afraid.
We do however need to break from this habit of seeing Blockchain Industry Assets as rising in value simply because they become worth more $USD.
The $USD creates its own value momentum. If the Fed raises interest rates, $USD rises against other instruments. When they indulge in quantitative easing by printing a load of new money, the $USD falls against other instruments.
If a Blockchain Industry Asset has done nothing particularly new in the period to add value, then Fed shenanigans don’t make it worth more (or less). Real improvement in a particular Blockchain Industry Asset needs to be benchmarked against average performance of the industry as a whole.
Blockchain businesses need to change focus to products customers and community members can monetize through bringing their own additional work, and creativity to add REAL value… we need to move away from products that are simply consumed… ‘collected’… or hoarded in the hope the $USD will develop a self-inflicted value problem.
For about the last six months, HNS has outstripped most things, demonstrated by the value of 9ja Cosmos products and those of some of its peers.
Hence why that article was entitled: ‘The success of the cryptocurrencies of the future will depend on their ecosystem having a strong and diversified GDP’
9ja Cosmos is here…
Get your .9jacom and .9javerse Web 3 domains for $2 at:
All reference sites (including those in article body) accessed 18/03/2023
https://en.wikipedia.org/wiki/Barney_Frank
https://www.wsj.com/articles/signature-banks-crypto-execution-c707bb48
