Industry 4.0 is the current and developing environment which has led to the evergrowing use of disruptive technology in all areas of life, including finance and investment.Cryptocurrency appeared on the surface of capital markets in 2008, as one of the greatest innovations of our century.The study shows that cryptocurrencies have their own niche in payment systems; they are highly competitive and dependable financial instruments.The growth dynamics of cryptocurrency market capitalization in the world makes Bitcoin the most successful example of the use of virtual currency in the information economy.Our country's economy should follow the path of innovation in finding solutions to a number of technical, economic and legal issues concerning the development of the cryptocurrency market in India through involving the experience of the leading countries.The study also assesses how the financial industry uses Cryptocurrency to enhance the efficiency and wealth of investors as the alternative for the traditional investment avenues.Cryptocurrency has an enormous propensity to improve an investor's risk-yield profile.The paper substantiates opportunities and perspectives for the development of the future of Indian cryptocurrency market.
Recent converging events have created a potential turning point as to both the future of ESG investing and the mitigation of harm from cryptocurrencies. Key investing demographics have shown an increasing interest in ESG investments. Legislators have demonstrated an interest in regulations for both cryptocurrencies and ESG funds, which has sparked a powerful lobbying effort from cryptocurrency advocates. States such as Florida, Louisiana, and West Virginia have divested from all ESG funds. Newly-elected legislators have vowed to investigate ESG funds, attacking them as “a cancer within the U.S. economy.” We are at a potential point of no return regarding environmental action, of which cryptocurrencies pose a great threat. Finally, the legitimacy of ESG investing criteria has been called into question by recent, seemingly inconsistent decisions such as excluding Tesla and allowing Exxon Mobile. Among this backdrop, this first-of-its-kind Article provides a much-needed assessment of the harms and benefits of cryptocurrencies. Societal harms include the environment; facilitation of illegal transactions; the diversion away from traditional stocks and bonds, which produce positive externalities; and the harm from providing an alternative to those who hold the U.S. dollar internationally. And properly understood, the alleged societal benefits of cryptocurrencies are highly exaggerated. These include protections from oppressive regimes, investment portfolio diversification, currency conversion fee avoidance, and ability to scale for consumer transactions. An honest weighing of these factors points conclusively to the harms far outweighing the benefits. Therefore, this Article concludes that ESG funds should exclude cryptocurrency-exposed companies. Inaction on this matter would be inconsistent with the stated goal of ESG investment funds. Fortunately, this standard would be relatively simple to implement, and relatively easy for businesses to comply with, therefore maximizing positive change. The novel framework provided in this Article is applicable to a broad range of applications regarding ESG determinations specifically and ethical considerations more broadly. Consequently, this Article will likely serve as a valuable catalyst for future scholarship into this and related areas.
Application of regulatory mechanisms to decentralized financeDecentralized Finance (DeFi) is a rapidly emerging area of finance next to traditional centralized financial institutions with decentralized protocols that are blockchain-based or operate on another distributed ledger technology.DeFi leverages the power of smart contracts, which are self-executing contracts which may have the terms of an agreement between a buyer and a seller directly written in code.This technology enables financial transactions to occur without the need for intermediaries such as banks, allowing for faster, cheaper, and more transparent financial transactions (Bergt, 2020).As DeFi continues to grow, it is important to consider how regulatory mechanisms can be applied to ensure its safety and stability.This chapter will explore the application of regulatory mechanisms to DeFi coming from a centralized finance perspective.The term "smart contract" was coined by Szabo (1994): " A smart contract is a computerized transaction protocol that executes the terms of a contract.The general objectives of smart contract design are to satisfy common contractual conditions (such as payment terms, liens, confidentiality, and even enforcement), minimize exceptions both malicious and accidental, and minimize the need for trusted intermediaries.Related economic goals include lowering fraud loss, arbitration and enforcement costs, and other transaction costs.Some technologies that exist today can be considered as crude smart contracts, for example POS terminals and cards, EDI, and agoric allocation of public network bandwidth." The name smart contract, which refers to a contract, is rather misleading, especially since a smart contract represents a tamper-proof, self-verifying, and self-executing script.While such a script can indeed also represent a contract in a legal context, since contracts can also be concluded verbally or implicitly, not all smart contracts are actually contracts or even smart for that matter (Bergt, 2020).In the words of Buterin ( 2018): "To be clear, at this point I quite regret adopting the term 'smart contracts'.I should have called them something more boring and technical, perhaps something like "persistent scripts."In his manifesto on smart contracts, Szabo (1994) suggests that the considerations for smart contracts go even further back to the so-called agoric computing, which has its origins in the 1970s and 1980s (cp.
United Nations Conference on Trade and Development
Financing for development requires that countries simultaneously mobilize resources from various sources while tackling financial leakages. This policy brief discusses how cryptocurrencies have become a new channel undermining domestic resource mobilization in developing countries. While cryptocurrencies can facilitate remittances, these same digital technologies may also enable tax evasion or avoidance through offshore flows whose ownership is not easily identifiable. In this way, they may curb the effectiveness of capital controls, a key instrument for developing countries to preserve their policy and fiscal space and macroeconomic stability. This policy brief recommends policies to reduce the financial leakages from cryptocurrencies. Given the global nature of cryptocurrencies, it highlights the importance and urgency of international cooperation regarding cryptocurrency tax treatments, regulation and information sharing as well as of redesigning capital controls to take account of the decentralized, borderless and pseudonymous features of cryptocurrencies.
Abstract While contemporary technological disruption is increasingly conceptualized in terms of the logic and paradoxes of the digital platform economy, discussions of FinTech have only engaged to a limited extent with these debates—particularly from an economic geographic standpoint. This chapter fills this gap by extending the Global Financial Network (GFN) framework to problematize the organizational and geographic logic of the digital platform economy in finance, and applying it to examine the impact of the digital platform model on asset management. It shows that asset management is being profoundly disrupted by what we dub digital asset management platforms—or DAMPs—which encompass services including index fund and ETF provision, robo-advising, and analytics and trading support. Like other digital platforms, DAMPs do not so much leverage technology to enhance their competitiveness within markets, as to radically restructure the market itself. Also, like other platforms, their rise has produced a winner-take-all paradox of centralization through democratization that defies predictions of technology-enabled industry decentralization. However, the logic and implications of the rise of DAMPs diverges, in other respects, from nonfinancial digital platforms, as finance has long possessed an informational intensity and regulatory and organizational fluidity characteristic of the digital platform economy. Consequently, the digital platform model has mostly developed endogenously in asset management through incremental innovation by major financial firms—in a process that has reinforced the position of leading incumbent asset management centers, and above all New York—rather than being introduced from the outside by upstart technology firms and clusters.
Going ahead, Ethereum Trader appears nicely supported with the aid of using high-quality basics past Ethereum Trader 2.zero. Its platform remains a main participant withinside the improvement and launching of latest decentralised programs (dApps). Ethereum Trader has additionally been connected with the challenge COSMOS, an infrastructure as a way to permit interoperability and the cappotential to carry out transactions among one-of-a-kind blockchain structures through the so-referred to as Gravity Bridge.\n\n\nhttps://www.theethereumtrader.com\nhttps://twitter.com/ethereumtrader_\nhttps://www.instagram.com/ethereumtrader_\nhttps://www.pinterest.co.uk/ethereumtrader\nhttps://www.linkedin.com/in/ethereumtrader/\nhttps://www.facebook.com/ethereumtrader.officials\nhttps://www.youtube.com/channel/UC5tBxyrI9LhP6OiHVyA6KdQ
Purpose This paper analyzes global interest in Internet information about decentralized finance (DeFi), embedded finance (EmFi), open finance (OpFi), ocean finance (OcFi) and sustainable finance (SuFi) and the relationship among them. Design/methodology/approach The paper used a comparative methodology based on regression and correlation analyses to assess global interest in Internet information about DeFi, EmFi, OpFi, OcFi and SuFi. Findings The findings reveal that global interest in Internet information about EmFi was more popular in Asian and European countries. Global web search for Internet information about OcFi decreased during the financial crisis while global web search for Internet information about OpFi and EmFi increased during financial crisis years. Global web search for Internet information about DeFi, SuFi and EmFi increased during the pandemic years. There is a significant and positive correlation between interest in DeFi, EmFi, OcFi and SuFi. Also, there is a significant and negative correlation between interest in EmFi and interest in OpFi. The regression coefficient matrix shows that OpFi, EmFi, OcFi, DeFi and SuFi are significantly related. Originality/value To the best of the author’s knowledge, this is the first paper that analyses the association between interest in DeFi, EmFi, OpFi, OcFi and SuFi. Thus, this study addressed an important knowledge gap in the literature by exploring people’s interest in Internet information about DeFi, EmFi, OpFi, OcFi and SuFi.
In this note, the authors discuss the practical issues beneficial owners holding portfolio investments and financial intermediaries providing services face when making treaty claims, the latest developments on this from a national and international perspective, and how new innovative technology may be the way to resolve these issues.
Ke Huang, Yi Mu, Fatemeh Rezaeibagha, Xiaosong Zhang
This chapter summarizes all enumerated works to derive some empirical knowledge and generalizes some open problems as future challenges. This chapter concludes as follows: (1). The practical design and analysis of cryptographic schemes for blockchain can address significant problems in blockchain at the algorithmic level. This type of research has received popularity from both global cryptographic community and blockchain developer&s;s community. This research field is the most fast-developing region of all research areas. (2). The intrinsic deficiencies in some traditional cryptographic primitives, like ring signature, IND-CCA2 secure encryption, zero knowledge, etc, prevent the successful application of these primitives in the blockchain. However, tremendous efforts are being made to make these primitives practical and applicable by researchers. Hopefully, we can derive efficient and practically-secure zk-SNARKs or public key schemes as building blocks or overlays for blockchain in the near future.} (3) The formal and rigorous design and analysis of public key cryptographic algorithms matters to the researches and development of blockchain. In cryptographic academia, it is generally recommended to design and analyze cryptographic schemes strictly by practising provable security theory, complexity theory, and proof techniques to validate proposed schemes.
State-owned companies dominate China’s “strategic heights” fields, such as finance, defense, education, science and technology, power and water supply, posts and telecommunication, railways and civil aviation, and minerals and mining. But a huge private sector has emerged, which is particularly active in the services, knowledge, and hi-tech industries and follows the rules of a modern market system. Many couples of migrant workers live in the cities only for some time; they return home to their villages or townships in the countryside during the Spring Festival. China’s financial system is regulated, controlled, and supervised by the People’s Bank of China, China’s central bank, which is represented in the State Council by a minister. China’s fiscal system is highly decentralized. The central government determines the broad outline of expenditures and revenue sharing with each province or municipality, but expenditure assignments are handled on a provincial level.
The unique characteristics of sovereign debt finance provide fertile ground for opportunistic behavior and intractable disputes among states and their creditors. Lacking reliable contractual enforcement mechanisms and formal bankruptcy procedures, the sovereign debt restructuring process is hampered by fragmentation, costly standoffs, and unpredictable outcomes. The result is a non-system of ad hoc, decentralized negotiations and litigation that some fear is perpetually at risk of falling apart. To address these concerns, recent years have seen renewed efforts to fix sovereign debt through soft law, public-private collaboration, and informal governance mechanisms, which this Article collectively refers to as sovereign debt governance. This Article focuses on one of the most prominent proposed reforms in sovereign debt governance: the use of creditor committees to facilitate engagement between a sovereign debtor and its private external creditors. Notwithstanding the uniqueness of sovereign debt in international law and financial regulation, we explain how the debtor-creditor relationship reflects a fundamental governance challenge amidst individual distrust and collective disorder. This challenge suggests that the sovereign debt restructuring process can be improved by reforming the procedural rules and institutional frameworks that govern debtor-creditor engagement. To assess this proposition, we examine the use of creditor committees in the current era of sovereign debt, focusing on factors that influence the conduct of debtors and their creditors vis-a-vis each other. Drawing on our observations, we consider the potential value and limitations of creditor committees in the context of sovereign debt governance.
Growth as an inevitable human nature roots even in our business operation. Private entities, similarly, in seek of expansion and maybe more influence over their area of expertise, decide to go public in a certain point of time. The timing to move from private to public, indeed, is a critical factor in the future success of the business. In the traditional capitalist structure of this move, small private companies, which are defined by the Australian Securities and Investments Commission as those entities with consolidated revenue of less than $50 million per year, choose between sellout to a parent firm or Initial Public Offering (IPO). Both options have their own advantages and disadvantages. Yet, they are both complex, highly regulated, costly, and frustrating which are truly major drawbacks for small entities. Failure to go public caused by these drawbacks results in death of small businesses and loss of jobs which is followed by terrible socio-economic consequences. To avoid the conventional frustrating publicity of the private firms, in this article, utilization of cryptocurrency as the modern financial instrument is discussed. Digital currencies enable fast transition, globalization, grassroot economy, and social justice.
В статье представлены причины, побудившие венесуэльское правительство к созданию первой в мире государственной криптовалюты - Petro, условия ее создания и принцип действия. В отличие от других криптовалют Petro является активом, обеспеченным природными ресурсами страны. Предлагается считать его токеном, дающим инвестору право на его обмен на национальную валюту по курсу, зависящему от котировок цены на венесуэльскую нефть. В результате ICO (initial coin offering, первичное размещение монет) удалось привлечь значительные финансовые ресурсы. Petro уже функционирует как национальная платежная система, торгуется на местных криптовалютных биржах. Автором дается оценка реализации этого проекта и возможные перспективы его дальнейшей эволюции. The article sees the reasons that pushed the Venezuelan government to create the first state-owned cryptocurrency - Petro as well as the context of its creation and principals of functioning. Unlike other cryptocurrencies Petro is an asset backed by country’s natural reserves. The author offers to consider it to be a token which gives an investor a right to exchange it into the national currency according to Venezuela’s oil quotations. Due to its ICO (initial coin offering) the government managed to attract significant financial resources. Petro already functions as a national payment system and is traded at local cryptocurrency exchanges. Evaluation of this project implementation and its possible perspectives are given.
The popularity of crypto-assets that have become a fast-growing trend in world finances is changing the list of tools and techniques of wealth management. Being a form of decentralized digital instruments, crypto-assets (cryptocurrencies, tokenized securities and decentralized finance (DeFi) products) disrupt the conventional approaches to investment, custodial activities, and portfolio diversification. The present paper discusses how wealth management has evolved to accommodate the incorporation of crypto-assets, citing the opportunities and risks that the latter have. On the one hand, these assets mean that it is now possible to achieve a better portfolio diversification, obtain a global reach, and make investment opportunities more democratic. They, on the other hand, come up with essential dissatisfaction concerning volatility, regulatory insecurity, cybersecurity risks, and absence of structured valuation standards. The research focus is on how wealth managers are coping with the paradigm shift by integrating some digital assets into client plans, creating new advisory frameworks, as well as using enhanced analytics to manage risk and make maximum returns. The ethical and fiduciary obligation of wealth managers is highlighted because wealth managers operate in such an environment with high levels of information asymmetry and a reshaping legal framework. In addition, the paper discusses how much the adoption of the institutions as well as regulation structure and investor education play in future integration into mainstream financial management of crypto-assets. In blending scholarly studies, regulatory statements, and business activity, this paper reveals that the effectiveness of the wealth management industry under the digital age will be determined by establishing a compromise between scientifical experimentation and wisdom. In the end, crypto-assets are not only speculative tools, much more are the gears that push managers into reconsidering expired paradigms, agile approaches, and technology-based solutions to satisfy their clients whose needs and wants are not confined to the realms of a rapidly digitalizing economy.