It has been a really long time since the cryptocurrency industry was first introduced and honestly, the industry has had a wonderful journey so far by being able to lure in potential investors from all across the globe and managing to make a name for itself in the global marketplace. Not just that, as mentioned, the industry has had a surge in its overall growth and popularity recently, thus helping it to reach greater heights!
Having said that, I believe a majority of you are already familiar with the basics of the industry and I am sure that you are eagerly waiting for us to start with what we have with us today but, for some of you who are new to this whole thing, it’s best if we have a brief look at the industry first
To begin with, cryptocurrencies as the name suggest is nothing but a form of online or virtual currencies that can easily be made use of for a variety of purposes including the purchase and sale of goods and services as well as for the purpose of trade and exchange over cryptocurrency exchanges available online.
In other words, crypto is a blockchain-based platform that is known to be decentralized to its very core. Being decentralized, the crypto world becomes more than capable of stepping outside the overall control and jurisdiction of central authorities and can work freely without any unnecessary government interferences as well.
Also, when the industry was first introduced there were not many currencies to choose from and honestly, not many people were looking to be a part of it either as people back then were very skeptical with respect to the return on investments they could expect as well as the safety of their money too.
That is surely not the case anymore as today, we have pools of currencies available for investors to choose from, with newer ones coming in with each passing day and tons of new investors joining in every hour.
Speaking of a lot of currencies available today in the marketplace, some of the most popular ones worth investing in includes Bitcoin, Cardano, Baby Doge, Ethereum, Dogecoin, Polkadot, Binance Coin, PancakeSwap as well as EverGrow Coin to name just a few of course.
In addition to this, it feels rather interesting seeing such a rapid growth of the industry over the past couple of years and so, let’s look at some of the major contributing factors responsible for this huge success including portability, high-profit margins, volatility, negligible response time, convince it offers, intuitive nature as well as ease of use of course.
Being volatile, it is important for you to be aware of the fact that, it is not always possible to predict the price changes and act accordingly as the price fluctuations in the crypto marketplace are almost immediate, thus leaving no time to plan. Therefore, whenever dealing in online currencies, keep in mind that, if the industry is providing you with an opportunity to earn huge profits and make quick money, if not done right, you could also end up having significantly huge losses as well.
Not just that, as per the chatter amongst some of the leading experts on the field, it has come to our notice that, crypto is rapidly progressing towards completely revolutionizing the global payment system and from where I stand, it looks like it has already started to do so as many merchants and businesses have started accepting crypto as an official mode of payment from their customers.
Now that you have a brief backstory about the crypto world, you will be able to have a much better understanding of what we have with us today, A$DC. To know more, I suggest you read further!
Everything to know about A$DC
ANZ bank this Thursday announced the successful execution of the first-ever Australian bank-issued stablecoin payment, which is known to be pegged to the Australian dollar with the help of a public permissionless blockchain transaction. Not just that, according to the bank, this is said to be the first time that a major bank has managed to be involved in the creation of a stablecoin.
Before moving any further, since some of you might not be very well aware of what exactly are stablecoins? let’s have a brief look at it first. To begin with, a stablecoin is nothing but simply a class of virtual currencies that are backed by a certain reserve asset and is known to offer price stability. Stablecoins have really managed to gain traction as they have tried to offer the best of both worlds, the instant security or privacy as well as processing payments of digital currencies, and the volatility-free stable valuations of fiat currencies.
Basically, Stablecoins are cryptocurrencies that attempt to simply peg their market value to some external reference. They may be pegged on a currency like the U.S Dollar or even to the price of a certain commodity like gold. Apart from this, Stablecoins are known to achieve their price stability with the help of collateralization or via algorithmic mechanisms of purchasing and selling reference assets or their derivatives.
As mentioned, stablecoins have really managed to become quite a standard for investors to peg cryptocurrencies due to their volatility. However, with any new introduction of stablecoins, there is always a risk that one of these projects might not be able to handle the US peg volatility well or can be exposed for not pegging properly. Not just that, before moving on any further, you should be aware of the fact that you can also start to lose value in the so-called ‘stable’ coin if the pegged US dollar starts to devaluate.
Coming back to the topic, Big four bank, ANZ has been more than successful in making history today by developing the first stablecoin that is pegged to the Australian dollar, thus encouraging its customers to support virtual assets. In addition to this, ANZ as talked about earlier is the first Australian bank to mint a digital asset that is linked to the value of the AUD, the A$DC, which is the native utility token of the platform.
Furthermore, the said token has already been used in a real transaction, thus allowing Victor Smorgon Group to send nearly 30 million dollars to a virtual asset fund manager, Zerocap, just within 10 minutes, which typically would have easily taken a couple of days.
Also, according to ANZ, they were able to mint about 30 million worth of A$DC by making use of an ANZ-built Ethereum Virtual Machine which is known to be compatible with smart contracts that are deployed through the Fireblocks platform. All of these coins were transferred to various people and then were later redeemed back into the Fiat currency.
As mentioned, Australia and New Zealand banking group (ANZ) has joined hands with cryptocurrency custodian Fireblocks in order to mint a stablecoin that is pegged to the Australian dollar, which is the first step in enabling customers to find a rather secure and safe gateway to the virtual economy, said ANZ Banking Services Portfolio Lead, Nigel Dobson in a press release.
Having said that, as of today, A$DC is based on the popular Ethereum blockchain but in the near future, ANZ does plan to expand it to Hedera as well as various other chains. On a similar note, ANZ’s A$DC is planned on initially being marketed towards institutional clients, with retail availability on an Australian crypto exchange coming soon.
It is worth noting that, this has probably happened as the federal government considers new laws in order to help Australia in becoming a leading jurisdiction for virtual assets.
As mentioned, ANZ is presently been working with local regulators including the Australian Prudential Regulation Authority (APRA) as well as the Australian Transaction Reports and Analysis Centre (AUSTRAC) in order to get the project signed off in a rather compliant manner and has already run a test transaction on the Ethereum blockchain.
As per recent reports, while the transaction was conducted on Ethereum, an official from ANZ is likely to take its time to weigh up their options, with the distributed ledger technology or as commonly referred to as DLT, based Hedera also being looked at.
Reading so far, I hope you must have gotten a fair insight into the A$DC and I believe, now you’ll be able to decide on your own whether or not you would like to choose the said platform to deal your way into the crypto world!
As mentioned at the very beginning, crypto is a highly volatile marketplace and is extremely uncertain. Thus, It is very important for you to understand the fact that just like any other currency in the crypto marketplace, A$DC does have its own risks as well and you should invest only if you are willing to take those risks and bear any and all losses if at all necessary.
In conclusion, what are your thoughts on the A$DC? Do let us know in the comments area below. To know more about various cryptocurrencies, do check out other articles we have on our website. Thank you for your time & if you found our content informative, do share it with your investor friends!
Also read: Top 10 long term cryptocurrencies to invest in 2022
