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Can Bitcoin Become a World Currency in a Predicted Impending Global Recession?

  • Jack Thomas
    🤷 Opinions

    The word is that a global recession is around the corner, but could this be a perfect time for Bitcoin to make it big and come to the rescue?

Can Bitcoin Become a World Currency in a Predicted Impending Global Recession?
Cover image via 123rf.com
Contents

Currently, the tensions surrounding America and China’s relations have started to escalate fears that their coming together could spark off a global recession. President Donald Trump has said he wants to increase tariffs on Chinese goods, and China is not happy about this.

Based on Trump’s comments, a 10 percent tariff on another $325 billion dollars worth of imported Chinese goods could be increased to 25 percent by the first of June. Chief Economist Chetan Ahya of Morgan Stanley warns that this action could catalyze a global recession.

If this is to be the case, it would be interesting to see just how Bitcoin fits into the picture as a global, borderless and digital currency that is unaffected by any geopolitical events going on.

In fact, it could push a lot more people towards the cryptocurrency and thus, it could have a big effect on its price and the use of cryptocurrencies in general.

Using the economy as a weapon

The issue as its stands is that the dollar is considered a global currency with its value being tied to many areas that fall outside of its borders. This means that the dollar is extremely powerful across the globe, but also highly susceptible to changes.

If this war with China escalates further, the power of the dollar will start to feel the pinch, and for the first time in a long time, there is another global currency alternative – Bitcoin. Already there is evidence in China of an uptick in the buying of Bitcoin interpretation, but it could go global.

A new alternative

Bitcoin is a type of digital currency that, on a global level, is far more attractive and beneficial in times of geopolitical strife. A trade war with China is bound to have an effect on the economy, and as Chetan Ahya of Morgan Stanley warns, it could lead to a recession.

However, Bitcoin is removed from the general economy and its price would more than likely move in the other direction as people look to escape the economic downturn by snapping up as much Bitcoin as they can, and using it as a borderless currency.

There have been fears lodged that Bitcoin is a threat to the global sovereignty of the US dollar and could detract from its power. But, if the globe is forced into taking up Bitcoin because of a dollar that is under pressure, there can be no argument as to why this happened.

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About the author

Jack Thomas is a journalist from Australia who has had a long career writing about finance and technology. He has combined his enthusiasm for these two subjects and applied his writing to covering blockchain and cryptocurrencies in the past few years.

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📰 News
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XRP Currently Bringing 80% of Total Trading Volume on Ripple-Funded Bitso Exchange

  • Yuri Molchan
    📰 News

    A major XRP community member shares data that XRP is generating 80% of volume on Bitso exchange that is Ripple’s partner at introducing On-Demand Liquidity in Mexico

 XRP Currently Bringing 80% of Total Trading Volume on Ripple-Funded Bitso Exchange
Cover image via www.123rf.com
Contents

After Ripple had rebranded its xRapid product as On-Demand Liquidity (ODL) and partnered with the largest Mexican exchange Bitso, the introduction of ODL in cooperation with MoneyGram starts bringing its first fruits. As part of the collaboration, Ripple has invested in Bitso and got them to add one of its top executives to the board of directors.

 

On-Demand Liquidity successfully integrated on Bitso

A member of the XRP community @XrpCenter reports that things are looking good for XRP on the largest Mexican exchange Bitso and for Ripple’s ODL product. ODL was introduced there after the crypto giant invested an undisclosed amount in the trading platform.

The chart in the tweet shows that the XRP/MXN pair now accounts for 80 percent of the overall trading volume of Bitso.

Bitso became the key partner of Ripple and MoneyGram at introducing On-Demand Liquidity to the Mexican market. So far, the implementation has been going successfully.

This has not impacted the XRP price much though, since over the last 24 hours it rose merely by 0.54 percent. Unlike it, BTC and its forks – BCH and BSV – have posted much higher gains, as reported by U.Today earlier.

XRP price
Image via Coinmarketcap

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Ripple Dispels XRP FUD Allegations, Q3 Report Blames Twitter Bots

Ripple Dispels XRP FUD Allegations, Q3 Report Blames Twitter Bots

Ripple releases its Q3 report

At the end of last week, Friday, Ripple issued its regular report on the results of Q3. In the document, Ripple covered several major issues, such as movements of XRP from escrow and back to it, recent Ripple’s partnerships with Logos, Algrim and other startups, Coinme crypto ATM network.

Ripple also addressed the issues of FUD (fear, uncertainty, doubt) that has been recently actively spreading around the company and its XRP asset.

Ripple Q3 report
Image via www.ripple.com

What are your thoughts on the Ripple expanding XRP use in Mexico? Share them in the comments section below!

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About the author

Yuri is a journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future. ‘Hodls’ cryptocurrencies. Has written for several crypto media. Currently is a news writer at U.Today.

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