- IMF recently published a report on the potential risks of crypto assets to the international monetary system and recommended not to provide legal tender status to crypto assets.
- A Hybrid Crypto-CBDC: The Digital Currency Monetary Authority (DCMA) announced their official launch of Universal Monetary Unit (UMU), Unicoin, an international CBDC that can transact SWIFT-like cross-border payments over digital currency rails completely bypassing the correspondent banking system at best-priced wholesale FX rates and with instantaneous real-time settlement.
- Universal Monetary Unit is a money commodity regulated by the U.S. Commodities Futures and Trade Commission (CFTC), which offers the best of both worlds between a cryptocurrency and a CBDC. As a crypto asset, Unicoin adopts monetary policies to ensure it sustains its store of value stronger than any fiat currency while simultaneously complying with banking regulations to strengthen monetary sovereignty.
- Unicoin is built on open standards and is deployed like a money operating system, offering several innovations designed to make banking faster and safer while strengthening and not disrupting the international monetary system.
As the popularity of Bitcoin and other cryptocurrencies continues to surge, so do concerns about their impact on the traditional banking and financial systems. Many experts worry that the rise of crypto assets could pose significant risks to the stability of the international monetary system and the financial sovereignty of nations.
In response to these concerns, the Digital Currency Monetary Authority (DCMA) has recently launched Universal Monetary Unit (UMU), Unicoin, a ‘hybrid of cryptocurrency and CBDC’ designed to strengthen the international banking system and promote monetary sovereignty. With the launch of Unicoin, the DCMA aims to offer a solution that addresses the challenges posed by traditional cryptocurrencies while maintaining the benefits of a decentralized financial system.
This comes after the International Monetary Fund (IMF) published a report on the potential risks of crypto assets to the international monetary system and recommended not to provide legal tender status to crypto assets.
Unicoin is built on open standards and is deployed like a money operating system. Banks and fintech companies can easily integrate with existing apps with a UMU store of value wallet to conduct real-time cost-efficient digital banking, digital trade, and digital payments worldwide. According to the DCMA, Unicoin is a best-in-class money commodity for strengthening monetary sovereignty with a digital economic union.
DMCA claimed that it recieved tremendous response to the announcement, with emerging market participants expressing hope that Unicoin would be a solution for decolonizing the international monetary system, whereas others expressed fears Unicoin could be a global centralized surveillance tool for governments.
Darrell Hubbard, the Executive Director of the DCMA, explains that “Unicoin offers the best of both worlds between a cryptocurrency and a CBDC. As a crypto asset, Unicoin adopts monetary policies to ensure it sustains its store of value stronger than any fiat currency while simultaneously complying with banking regulations to strengthen monetary sovereignty.”
The international monetary system has some inherent encumbrances that have caused many countries to adopt de-dollarization monetary policies. Many of these de-dollarization projects are seeking digital currency solutions as an alternative to the current international monetary system.
The DCMA has published the Universal Monetary Unit Whitepaper titled “A Best-in-Class Money Commodity for Strengthening Monetary Sovereignty with a Digital Economic Union.”
In this Whitepaper, the DCMA responds to the IMF’s recently published report on the potential risks crypto assets pose to the banking industry. The DCMA refutes every single potential risk identified by the IMF and explains how Unicoin strengthens and not weakens the international monetary system.
Unicoin is legally a money commodity, can transact in any legal tender settlement currency, and functions like a CBDC to enforce banking regulations and to protect the financial integrity of the international banking system. The DCMA hopes that Unicoin will be a solution for decolonizing the international monetary system while also complying with banking regulations and strengthening monetary sovereignty.