An important news that did not appear widely in the most of the cryptocurrency media was the news about IBM designing its own “stable” digital currency.
A frequent argument of bitcoin opponents is the one concerning large fluctuations of its exchange rate. For some time now, however, the topic of creating digital currencies, which would be connected with fiat currencies, returns. Hence ideas about CryptoRubel, the currency of the Marshall Islands, dPLN or FedCoin, which we have already written before.
Now the subject returned to the media, which may arouse associations with FedCoin. IBM wants to design a cryptocurrency whose market price would be closely related to the US dollar exchange rate. The currency is referred to as “Stronghold USD” and its course is to be supported by deposits expressed in dollars that would be kept at the US Federal Deposit Insurance. Another technological detail that is known about the project is the information that it is to be based on the Stellar platform.
The project can arouse emotions today. On the one hand, a similar idea is to be a controversial Tether. Some also fear that it may jeopardize the very idea of cryptocurrencies. However, it is not difficult to find other statements, from which it follows that Stronghold may contribute to the increase of domination and popularization of bitcoin and its derivatives in the world. There is a chance that IBM’s currency will be a bridge between cryptocurrencies and fiat currencies and help tame society with the operation of digital coins. It can use what is best for many in blockchain currencies – the speed of international transfers.
This type of stable cryptocurrencies can create a separate market, functioning alongside the traditional cryptocurrency market. The first experiments of this type eventually lead to even Venezuela with its electronic Petro coin. In addition to the aforementioned CryptoRuble or Polish dPLN, Estonia is also working on a similar project.
IBM likes Blockchain
However, this is not IBM’s first idea to use the idea of Blockchain. This year, the company has partnered with Veridium, an organization that deals with the development of technologies for ecology. The synergy of both companies is to give exchange of carbon credits – instruments aimed at reducing greenhouse gas emissions – to digital tokens. In addition, IBM is also investigating the use of tokens for banks.