Saturday, July 2, 2022
  • Login
Crypto Newsmart
No Result
View All Result
  • CRYPTO LIVE PRICE
  • HOME
  • BITCOIN
  • CRYPTO UPDATES
    • ALTCOIN
    • ETHEREUM
    • NFT’s
  • LEARN CRYPTO
  • CRYPTO EXCHANGES
  • BLOCKCHAIN
  • MINING
  • SCAM ALERT
CRYPTO LIVE PRICE
  • CRYPTO LIVE PRICE
  • HOME
  • BITCOIN
  • CRYPTO UPDATES
    • ALTCOIN
    • ETHEREUM
    • NFT’s
  • LEARN CRYPTO
  • CRYPTO EXCHANGES
  • BLOCKCHAIN
  • MINING
  • SCAM ALERT
No Result
View All Result
Crypto Newsmart
No Result
View All Result

Crypto and blockchain acceleration in uncertain times IBM Supply Chain

by Crypto Newsmart
in Blockchain
Reading Time: 4 mins read
Crypto and blockchain acceleration in uncertain times IBM Supply Chain and Blockchain Blog
2
VIEWS
Share on Facebook

 

Share this post:

There are moments that change the world, that create seismic shifts in what feels like an instant. The ongoing cycles of COVID pandemic and the fallout of the Russian war in Ukraine have changed the world. These shifts are felt daily in the world of trade, where we’re seeing new widespread adoption of digital solutions to overcome volatility; shortages and lockdown impacts fueling inflation; currency flux; and of course stress on global supply chains. As a result, both government and private organizations around the world are turning to crypto and enterprise ecosystem solutions, powered by blockchain.

Background: digitization of trade under COVID

The onset of COVID increased the urgency of the digitization of trade, and the war in Ukraine ratcheted it up further still. We have learned that digitization alone is not going to prevent goods from being stuck in customs and on vessels for extended periods of time due to problems in processing paperwork. In many cases over the last years, goods could still not be offloaded because the paperwork workflow in those emerging digitized processes still needed to be reconciled between parties in a “manual” manner. While the paperwork had been digitally scanned, it still had to be “signed and stamped” to pass to the next stage of the workflow.

Trade through public ledgers and smart contracts can lower the costs of transacting by its optimum, as the reconciliation step across the trade ecosystem is automated. This capability and agility is critical now given the war in Ukraine. An International Chambers of Commerce report highlighted that with full digitization, global trade could increase by $9 trillion within 5 years, and that trade would grow by 46%. Such reductions in operational costs could drive positive GDP growth and provide small and medium-sized enterprises (SMEs) access to capital and thereby reduce the $1.5 trillion trade finance gap. This access to funding will be critical as part of the rebuilding work in eastern Europe after the war.

Business outcomes powered by blockchain are not limited to the enterprise. The effect of cryptocurrency acceleration in Russia and Ukraine is notable and reflects the differences between the two countries’ regulatory environments before the invasion.

In Ukraine, whose regulatory environment has sped up acceptance and promotion of digital currency adoption, the government has raised significant funds through NFTs and other cryptocurrency efforts.

In Russia, which lacked this regulatory promotion, there has been limited use of cryptocurrency to transfer funds in or out of the country. In fact, the dependency on the ruble is becoming severe, as international sanctions against Russia now limit the exchange of currencies.

The war shows five wartime advantages for countries that promote cryptocurrency through regulation — advantages that accrue to both a government and its citizens.

Cryptocurrency can improve access to capital during wartime

The war in Ukraine caused a spike in cash withdrawals from banks as Ukrainians prepared for uncertain times. To prevent capital flight, the government of Ukraine recently banned its citizens from buying crypto with local currency.

Meanwhile, as the ruble collapsed, Russian citizens looked to cryptocurrencies as a store of value because they were not correlated, or indeed connected, to the local instability. These citizens can only make limited use of digital currencies for everyday purchases. But this wealth vehicle can provide citizens with a decentralized, censor-resistant safe harbor of their capital. During the conflict, crypto has become an increasingly popular method of transaction, as it is viewed as a secure alternative method to access finances.

Cryptocurrency can ease inflationary pressure

In wartime situations where traditional currencies tend to fluctuate, the use of global cryptocurrencies could reduce volatility in price and currency supply. The Russian invasion of Ukraine has sent markets scrambling for alternative sources of oil, wheat, and sunflower outputs. To combat inflationary pressures, both consumers and SMEs can hedge against devaluing currencies by considering cryptocurrencies as value shelters.

Blockchain improves transparency and makes fundraising more public

Ukraine, now a digital assets and cryptocurrency leader in Eastern Europe (with significant adoption even prior to the invasion), has raised significant funds over recent months by accepting donations through crypto exchanges to help finance its Department of Defense.

The Museum of War NFT helps supporters donate directly to the Ukrainian government without an intermediary organization, increasing donations by ensuring the transactions are public and secure. The data is recorded in a decentralized blockchain network, making the data difficult to tamper with. The system is available to everyone simultaneously, contributing to agility and transaction transparency.

Blockchain can help Ukraine rebuild by improving access to capital

While traditional legacy banking systems require three days to complete a cross-border transaction, blockchain networks allow for transactions to be settled in several minutes. In late March, Ukrainian lawmakers requested that Ukraine be accepted into the European Blockchain Partnership (EBP) to support the reconstruction of Ukraine. Joining the international organization would achieve the goal of streamlining access to cross-border electronic services.

Looking to the future of digital trade

Multinational companies should continue to expand their consideration to connect their ecosystems with the trusted sharing of data across common workflows. For example, powering digital identity, supply chain provenance and digital asset workflows with blockchain will create capabilities to not only capitalize on new market model capabilities, but also to foster the needed agility for uncertain times. What we’re seeing in 2022 is still just the beginning, as evaluation and acceptance grows for cryptocurrency and the blockchain.

Source link

What Are Cryptocurrency NFTs ? How Do They Work?

7 BEST Crypto Mining Software of 2022


  • Trending
  • Comments
  • Latest
Centralized vs Decentralized

Centralized vs Decentralized (Crypto& Exchanges)

27 June 2022
What’s going on with cryptos?

What’s going on with cryptos?

21 June 2022
France facing backlash for Binance regulatory approval, French MEP called the move “surprising and worrying”

France facing backlash for Binance regulatory approval, French MEP called the move “surprising and worrying”

28 June 2022
How to Start Buying Cryptocurrency in 2020

How to Start Buying Cryptocurrency in 2022

20 April 2022
Binance Announces New Payments Partner Amid Fiat Deposit and Withdrawal Suspension in Brazil – Exchanges Bitcoin News

Binance Announces New Payments Partner Amid Fiat Deposit and Withdrawal Suspension in Brazil

27 June 2022
Exchange scenarios

Delivery versus payment on a blockchain

1 July 2022
money id c9a037b4 31e8 4826 8b16 13d7ad8e151c size900

Magic Square Raises $3 Million in Binance-Led Seed Funding Round

1 July 2022
stablecoin regulation

Biden administration official hints at stablecoin legislation that could come into force this year

1 July 2022
Grid blog image 1

101 Blockchains Recognized As G2 LEADER in G2 Summer 2022 Reports

30 June 2022
shutterstock 1063157114

Risk of ‘Significant Drawdowns’ Pushes Cypherpunk Holdings to Sell Entire Stash of Bitcoin and Ethereum – Bitcoin News

30 June 2022

  • Home
  • Disclaimer
  • Privacy Policy
  • Digital Millennium Copyright Act Policy (DMCA)
  • Cookie Privacy Policy
  • Terms and Conditions
  • Contact us
CRYPTO NEWSMART

Copyright © 2021 Crypto Newsmart.

No Result
View All Result
  • CRYPTO LIVE PRICE
  • HOME
  • BITCOIN
  • CRYPTO UPDATES
    • ALTCOIN
    • ETHEREUM
    • NFT’s
  • LEARN CRYPTO
  • CRYPTO EXCHANGES
  • BLOCKCHAIN
  • MINING
  • SCAM ALERT

Copyright © 2021 Crypto Newsmart.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Manage Cookie Consent

We use cookies to optimise our website and our service.

Functional Always active
The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Statistics
The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
Manage options Manage services Manage vendors Read more about these purposes
Preferences
{title} {title} {title}