Crypto Scoop: Bitcoin Stabilises Above $40k As Crypto Adoption Sweeps The Globe!

Welcome to the month of March! We are only a few days into the new month, and several crypto adoption projects have already been initiated. Will these new adoption policies result in new ATHs before the end of the month? Let's take a look at the highlights from this week's crypto scoop:

• Crypto initiatives to support Ukraine
• Luna’s recent status as the second-largest network for staked value
• Switzerland's intentions to become the next crypto utopia
• South Africa Mobile Network (MTN)’s investment in the crypto space
• Rwanda expresses its inability to decide on issuing its CBDC

Bitcoin’s price stabilises above $40k as the world turns to crypto to support Ukraine

Following a disappointing drop in the previous week in the values of prominent cryptocurrencies such as BTC, ETH, and ADA, among others, their prices have begun to stabilize, with bitcoin currently trading above $40k, according to CoinGecko.

The recent price drop could be linked to Russia's invasion of Ukraine. Following the attack, Ukraine's Minister of Foreign Affairs,  Mikhail Fedorov, Ukraine's Digital Transformation Minister, took to Twitter to urge crypto enthusiasts such as Elon Musk and Billy Markus for help in using Dogecoin to support Ukraine's soldiers and residents. Binance has since donated $10 million in cryptocurrency to this cause, as well as launching a crowdfunding portal for its customers to give more.

On Tuesday, CryptoPunk #5364 was transferred to Ukraine's Ethereum wallet, adding a potentially profitable and sought-after asset to a donation campaign that has already raised over $33 million in cryptocurrencies.

 Mikhail Fedorov has also implored crypto exchanges to freeze Russian and Belarusian Crypto accounts. Binance and Kraken refused to freeze these accounts while DMarket a Ukraine born digital assets company has accepted the request. In response, Binance noted “.We are not going to unilaterally freeze millions of innocent users' accounts. Crypto is meant to provide greater financial freedom for people across the globe. To unilaterally decide to ban people's access to their crypto would fly in the face of the reason why crypto exists. However, Binance agreed to ban only Russian accounts which have been sanctioned”.

Luna replaces Ether as Second Largest Network For Staked Value

Terra recently soared to become one of the top cryptocurrencies in terms of market capitalisation, and it is once again making ripples in the crypto community. Terra (LUNA) has flipped Ethereum (ETH) in terms of staked value, according to Staking Rewards, with $29.5 billion worth of LUNA locked up compared to Ether's $25.9 billion. According to Staking Reward, there are currently 226,325 stakers holding $29.5 billion in LUNA, propelling the network into second place in terms of staked value. Solana leads the staking charts with $35 billion in staked value.

LUNA is expected to yield 6.62 percent in annual staking incentives, whereas Ethereum is expected to yield 4.81 percent. Polkadot (DOT) is the most profitable of the top ten staked assets, with a yield of 13.92 percent. However, several users have pointed out that data from DeFi Llama appeared to substantially contradict the findings.

Switzerland set to be the next crypto Utopia

The Swiss city of Lugano has announced that cryptocurrencies will be accepted as legal tender. Bitcoin (BTC), Tether (USDT), and Lugano's own LVGA Points currency will be recognized as de-facto currencies, according to Michele Foletti, the mayor of the City of Lugano.

According to Pietro Poretti, the director of the City of Lugano, the decision to accept Bitcoin and Tether as legal tender took 18 years to reach. In late 2020, the city began experimenting with blockchain technology and cryptocurrency payments by launching a loyalty program using its own points token, LVGA. The LVGA coin was used in all transactions on Lugano's Proof-of-Authority blockchain, which the city established last year.

Tether's Chief Technology Officer (CTO), Paolo Ardoino of Tether, explained the firm collaborated with the city to establish a $100 million incentive fund for entrepreneurs relocating their headquarters and staff to Lugano. Tether will also help build a major startup cluster in the heart of Lugano, which will house tech startups from all around the world.

There has already been a widespread attempt, according to Poretti, to extend bitcoin payments to the public sector. Virtually all public services, including personal and municipal taxes, citizenship fees, access to public infrastructure, and document issuing fees, are already available in cryptocurrency.  “This isn’t a marketing ploy,” Ardoino emphasised. “It’s a set of concrete steps to make Lugano the blockchain capital of the world.”

Mobile Network, MTN invests in the metaverse

MTN, the South African mobile network operator, recently established itself as one of the first firms to enter the metaverse by purchasing 144 plots of digital land in the virtual world Ubuntuland for an undisclosed sum.

Bernice Samuel, MTN's group executive for marketing, stated, "This is precisely the concept of our Ambition 2025 strategy: harnessing trends that enhance consumers' digital experiences and engagement. We've always been on the cutting edge of technological and digital advancements, and we're excited about the possibilities the metaverse offers us and our clients."

 The mobile network operator went on to say that its presence in the metaverse shows its commitment to African innovation. MTN will also try to boost its "consumer attraction" through its presence in the metaverse, according to the report. According to the report, this will be accomplished through a series of experiences that combine consumer passion points such as

Rwanda Announces Its Yet to Reach A Decision on Issuance of CBDC 

Soraya Hakuziyaremye, Rwanda's deputy governor, recently stated that Rwanda is likely to introduce a CBDC by the end of the year. The choice to issue or not  will be based on the conclusions of the research study now being conducted by the National Bank of Rwanda.

 The Rwandan central bank has stated that it will not know whether it would be able to issue a digital currency until December 2022, when it completes research that examines the merits and hazards of such a currency, according to the bank's deputy governor.

"Right now, we're in the middle of an inquiry." We're looking into the potential benefits of CBDC for Rwandans, as well as the risks to our economy and sector, depending on the type of digital currency we issue," Hakuziyaremye remarked.

"What's vital is to think about financial inclusion because if you issue a digital currency, you shouldn't be excluding your population; it has to do with closing the digital divide and ensuring that people can use it."