Politicians call for regulatory measures
Calls for comprehensive regulation of crypto business are largely having a negative impact on prices. The International Monetary Fund (IMF) criticizes the risks associated with crypto trading and calls for global regulatory measures to empower investors. Some countries, such as Spain, have already seen implementations of such calls: Spanish authorities recently issued guidelines for crypto advertising – for example, crypto trading advertising materials should be characterized by a high level of truthfulness, comprehensibility and the avoidance of misleading information in order to protect investors.
In India, too, measures are emerging with which the government wants to become master of the crypto situation, as the market portal “Finbold” reports. Prime Minister Narendra Modi, speaking at the World Economic Forum’s annual virtual meeting, called for global cooperation to address the challenges of cryptocurrencies, saying, “As the global order changes, so do the challenges we face as a global family. With the type of technology involved in cryptocurrencies, the actions of any one country will not be enough to address the challenges involved. All countries must have the same approach to the issues.”
Cardano unimpressed
Modi’s demands accelerated the downward pressure of the most popular cryptocurrencies – with the exception of Cardano, the No. 6 largest cryptocurrency with a market capitalization of around $36 billion. The reason is likely due to the fact that the blockchain project recently announced a Metaverse integration. The concept, named Pavia.io, is currently still in an early stage of development, as the creators of the virtual world announce on the project page. The project, placed on the Cardano blockchain, allows users to buy virtual properties in digital Pavia. “In total, Pavia.io has about 100,000 land parcels, each of which is imprinted as a unique NFT with coordinates,” a press release states. Between October and November 2021, about 60 percent of the land parcels are expected to have already been sold, which can then be viewed on a two-dimensional map on the developers’ website. However, 3D properties are also planned for the future.
Advantage: sustainability and security
Unlike Bitcoin, Cardano focusses on sustainability. “The protocol is the result of tireless efforts built on fundamental research and is driven by a vision for more secure and transparent global payment systems and a means to distribute power and control more equitably,” Cardano’s website states. That should benefit Cardano, as regulatory advocates often call for an increased focus on sustainability when mining cryptocurrencies.