COVID-19

Zambia’s crypto regulation tests to be wrapped by June: Report

According to Zambia Tech Minister Felix Mutati, the country needs digital identities and other necessary digital infrastructures before it introduces crypto.

Cryptocurrency regulation tests aiming to help shape crypto laws in Zambia that simulate the real-world use of crypto are on track to finish by June.

In an April 12 Reuters interview, Zambia’s innovation, science and technology minister, Felix Mutati, said the purpose of conducting the tests was to help the government “see what would happen in the real world,” to assist in forming crypto regulations.

Zambia’s central bank and securities regulator commenced the tests on Feb. 19, which Mutati said was looking to balance safety and innovation:

“Our main goal in the area of cryptocurrency is to strike a balance between innovation in terms of digital payments […] against citizens’ safety, particularly given that cryptocurrency is very volatile.”

Additionally, Mutati stated that before cryptocurrencies can be introduced, digital identities and other digital infrastructures need to be implemented.

Related: Swedish Riksbank report looks at collaboration with potential e-krona in retail payments

Although Zambia’s debt restructuring process has been “long delayed,” with the largest portion of its debt owed to creditors from China, Mutati suggested it hasn’t deterred investment in Zambia.

“What we are seeing is increased appetite to invest in Zambia.”

Zambia was the first African country to default at the start of the COVID-19 pandemic in 2020. In a separate April 12 Reuters report, the country’s treasury secretary, Felix Nkulukusa, said thathe nation could lose the gains it achieved from its macroeconomic reforms if the debt restructuring is delayed further.

When Mutati initially announced the country would be testing technology for crypto regulation on Feb. 19, he stated that “through digital payment platforms, people will become much more included in digital financial services.”

He added that “cryptocurrency will be a driver for financial inclusion and a change maker for Zambia’s economy.”

Many countries in the African region have made moves toward crypto adoption in recent times.

The Central African Republic made Bitcoin legal tender in April 2022, along with a regulatory framework for the use of cryptocurrency in the country.

It was reported on Dec. 18 that the Nigerian government plans to pass a new law in the near future that will recognize “cryptocurrency and other digital funds as capital for investment,” despite banning crypto activity in 2021.

Magazine: BTC white paper hidden on macOS, Binance loses AUS license and DOGE news: Hodler’s Digest, April 2-8

The government should fear AI, not crypto: Galaxy Digital CEO

Galaxy Digital CEO Mike Novogratz believes regulators have got it “completely upside-down” on crypto vs AI regulation.

Mike Novogratz, the CEO of digital asset investment firm Galaxy Digital told investors he is shocked over the amount of regulatory attention for crypto rather than artificial intelligence (AI), a technology he believes will trigger a “deep fake” identity crisis.

The chief executive explained at the firm’s fourth-quarter conference call on March 28 that the U.S. government has it “completely upside-down” in choosing to focus so much on crypto regulation and yet turn a blind eye to AI:

“When I think about AI, it shocks me that we’re talking so much about crypto regulation and nothing about AI regulation. I mean, I think the government’s got it completely upside-down.”

This concern appeared to stem from Novogratz’s fear that AI will trigger a “deep fake” identity crisis.

“In lots of ways, one of the best use cases for crypto is going to be identity around AI, because pretty soon you’re going to get a fake Mike Novogratz, hopefully with hair […] how do you prove identity in a world like that?” he said.

However, he believes blockchain-based applications will play a “huge role” in combating some of the issues presented by AI:

“Crypto and blockchain is going to have a huge role in that. It is dumb to think that we should cache this industry because of Sam Bankman-Fried in his Bermuda shorts, period.”

That said, the U.S. Commodity Futures Trading Commission recently engaged in talks about AI and its impacts with the Technology Advisory committee last week.

Seller exhaustion, China easing

As for the current state of the market, Novogratz said “seller exhaustion” and the reopening of China has helped the crypto industry recover remarkably thus far in 2023.

“All the selling that needed to get done got done, right? There was so much bad news, if you had to sell, panic selling and just the nervousness of “Oh my God! This thing could go to zero,” and people were in sheer panic, you had seller’s exhaustion,” he said.

Following a tough zero-COVID approach by the Chinese government, Novogratz said he has since noticed more crypto activity coming out of China.

“China took the regulatory boot off the necks of their tech companies, and that includes crypto, [so] you’re seeing more activity from Asia.”

Related: Could Hong Kong really become China’s proxy in crypto?

From a more technical lens, Novogratz was confident that the crypto market will continue in an upwards trajectory throughout the remainder of 2023:

“The market feels strong, and when I look at it technically on charts, we’ve had big weekly closes. I’m surprised to hear myself say this, given where my mindset was in late December, but it would not surprise if we were substantially higher three months, six months, nine months from now.”

The strong rebound in the crypto market reflected well on Galaxy’s balance sheet too with the firm today revealing in its quarterly results that it finally swung back into profit after a tough loss of $1 billion in 2022.

Magazine: Crypto winter can take a toll on hodlers’ mental health

LBRY alleges Apple forced it to censor certain terms amid COVID-19 pandemic

After Elon Musk lamented the winding back of Apple’s Twitter advertising, crypto company LBRY replied about its own troubles with Apple and censorship.

Blockchain-based file-sharing and payment network LBRY has alleged that tech giant Apple forced it to filter out certain search terms during the height of the COVID-19 crisis in an apparent censorship attempt. 

In a Nov. 28 post on Twitter, LBRY alleges that it was asked to censor anything related to COVID-19, especially vaccines and potential human origins of the virus, or face having its apps removed from the Apple store.

“We had to build a list of over 20 terms to not show results for, only on Apple devices. If we did not filter the terms, our apps would not be allowed in the store,” the crypto company alleged.

LBRY is a decentralized content-sharing platform that allows artists, filmmakers, writers and other content creators to retain full artistic and financial control over their work. Its Odysee video-sharing website is one of its best-known apps, but it’s unclear if this application was involved in the alleged censorship.

The blockchain firm made the revelation in response to a post from Elon Musk, who said that Apple has “mostly stopped” advertising on Twitter due to concerns about the social media platform’s content, prompting LBRY to share its experience with Apple during the COVID-19 pandemic.

LBRY also alleged that when some of its users included images of Pepe the Frog in videos, Apple “rejected” them.

Pepe the Frog is an Internet meme of a green anthropomorphic frog originating in 2005, which has since been adopted by protest groups in Hong Kong alongside being used in right-wing political ideology.

The crypto company said that “Apple may make good products, but they have been opposed to free speech for some time.”

Cointelegraph reached out to Apple for comment but has not received a reply by the time of publication.

Related: Crypto Twitter unhappy with SBF ‘puff piece’ pushed by mainstream media

Meanwhile, discussions around censorship on Twitter have continued to rage on. 

Musk took over Twitter on Oct. 28 and has been teasing the release of the “Twitter Files,” supposed proof of a concentrated effort by the previous Twitter administration to stifle free speech on the platform.

Musk’s takeover of Twitter and subsequent plans for the platform have seen some users seek out decentralized social networks as an alternative. 

Twitter co-founder and former CEO Jack Dorsey recently unveiled his new Bitcoin (BTC)-powered Bluesky Social app as part of a decentralized answer to Twitter.

The Oct. 18 announcement came roughly three years after the initiative was announced by Dorsey, with the goal of allowing users to have control over their data and be able to move it from platform to platform without permission.

Robert Kiyosaki calls Bitcoin a ‘buying opportunity’ as US dollar surges

The best-selling author of Rich Dad Poor Dad has tipped Bitcoin and two other commodities as buying opportunities, noting a U.S. dollar crash could occur by January.

Robert Kiyosaki, businessman and best-selling author of Rich Dad Poor Dad, has called Bitcoin (BTC), silver and gold a “buying opportunity” amid the strengthening United States dollar and continued interest rate hikes. 

In an Oct. 2 Twitter post to his 2.1 million followers, the author noted the prices of the three commodities — sometimes referred to as “safe haven” assets — would continue getting lower as the United States dollar strengthens, proving its worth once the “FED pivots” and drops interest rates.

In a post the day before, Kiyosaki predicted this “pivot” could happen as soon as January 2023, which would see the U.S. dollar “crash” in the same way as the recently collapsed British pound.

“Will the US dollar follow English Pound Sterling? I believe it will. I believe US dollar will crash by January 2023 after Fed pivots,” said Kiyosaki, adding he “will not be a victim of the F*CKed FED.”

Since as early as May. 2020, Kiyosaki has been a proponent for asset classes that the Fed cannot directly manipulate, having once warned investors to “Get Bitcoin and save yourself” following the Fed’s immediate mass money printing episodes in response to the COVID-19 pandemic.

Interestingly, Kiyosaki’s liking for Bitcoin stands despite not believing there’s any value to it, he said in a recent interview on Rich Dad. The author appears to be standing behind Bitcoin again in his most recent tweet, noting: 

“When FED pivots and drops interest rates as England just did you will smile while others cry.”

In a September letter to his mailed subscribers, Kiyosaki stressed the need to invest in digital assets now in order to score outsized returns over the long term:

“It’s not enough to WANT to get into crypto […] Now is the time you NEED to get into crypto, before the biggest economic crash in history.”

The U.S. dollar has been gradually gaining strength over other major global currencies over the last year, with the GBP/USD, euro/USD, and Japanese yen/USD falling 18.24%, 15.54%, and 23.33% respectively, according to Trading Economics.

At the same time, the Fed’s interest rate hike, along with a strengthening USD has coincided with a 55% drop in the crypto market cap over the last 12 months.

Related: The British pound collapse and its impact on cryptocurrency: Watch the Market Report

Last month, hedge fund co-founder CK Zheng said he expected October to be a “very volatile” month for BTC.

“October is a pretty volatile period of time, especially when combined with high inflation, with a lot of debate in terms of the Fed and policy change. The concern is that if the Fed tightens too much, the U.S. economy may actually go into a severe recession.”