Daily Crypto NewsEDITION #243, 21 June 2021

Who is Pozni here?!

Hey #Moni Maker 🎸

Today international yoga day is celebrated all over the world. We, traders of the crypto market, are also a kind of yogis. After all, crypto sometimes puts us in such positions that even the conventional Shiva would envy.

But Digests help to have fun even in the most negative moments. Let’s go!

Federal Reserve Bank of Minneaopolis President Neel Kashkari took a jab at Dogecoin (DOGE) last week by referring to the meme coin as a ponzi, upping his rhetoric against cryptocurrencies.

Kashkari’s comments were in response to a LinkedIn poll by Paul Grewal, the chief legal officer and corporate secretary at Coinbase, asking his connections about the proper way to pronounce Doge.

“The right pronunciation is pon-zi,” Kashkari quipped.

Fifty-seven percent of respondents pronounce Doge correctly. Source: LinkedIn.Kashkari's witty attempt gets over 200 interactions. Source: LinkedIn

This isn’t the first time Kashkari has taken aim at cryptocurrencies. In February 2020, he said digital assets like Bitcoin (BTC) lack the basic tenants of a stable currency and praised the Securities and Exchange Commission for “cracking down” on initial coin offerings.

So what?

Fear our king and father Elon Musk, you are rubble!

As Forbes reports, The World Bank has poured cold water on El Salvador’s adoption of bitcoin as legal tender, saying it cannot support the move due to “environmental and transparency” concerns.

But the developmental body may soon be forced to accept bitcoin payments from countries that have embraced the cryptocurrency.

Its founding document, the 1944 Articles of Agreement, outlines the procedures and principles by which the World Bank pledges to engage with sovereign governments. A central theme in the document is its commitment to accept payments from member states in local currencies.

So, as well as allowing payments in “the member’s currency”, the charter allows central banks to pay with “notes or similar obligations” backed by their reserves.

These are effectively IOUs from governments. They can be backed by dollars. They can be backed by precious metals (the US Federal Reserve guaranteed its notes with gold until 1934, and with silver until the 1960s). Or they can be backed by bitcoin; perhaps, in El Salvador’s case, the $150m bitcoin fund being established by Banco de Desarrollo de El Salvador, the national development bank.

Things gets more awkward. Section 9 of Article II states that holdings paid into the bank by members should be continually re-valued (presumably against a “real” benchmark like USD). If the local currency has appreciated, it says, the World Bank should do the decent thing and hands the gains back:

Conversely, if the local currency has depreciated, the member gets margin called and has to “pay to the Bank within a reasonable time an additional amount of its own currency sufficient to maintain the value”. Or, put another way: when bitcoin starts tanking, the World Bank starts stacking. Nice.

Our Design God Artem decided to share his thoughts on ... design! Stop, why do you need to read this article?

You will know:

– Why is simplicity important?

– Why is Moni so cool to use?

– Our insights (pst!)

Then you will use this knowledge in other areas :) Here is the link!

Bear Market — is the time when the crypto market is in stagnation or even falls. Antonym — bull market (or bullrun).

And more you can find in our Glossary!

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