The other day I posted about BitSpark's CEO explaining why he made the switch to the Bitshares network. Basically, we see a situation where a company dealing with a real world issue, the transfer of money to poorer nations, needed a blockchain that could perform. The BitSpark team obviously felt the Bitshares network was a better option than Bitcoin.
Certainly the technical abilities of the Bitshares blockchain was attractive. I also believe the transaction costs appealed to their business model.
However, one of the biggest reasons was the Market-Pegged Assets that are available on the Bitshares network. This tokens eliminate the burden of market volatility since they are pegged to a currency such as the USD.
This appeals to BitSpark because transferring cryptocurrency could mean a sharp change from the time it is sent until it is received. Bitcoin is really susceptible to this since the network could be back-logged. It is not unheard of for a cryptocurency to drop 10% in under an hour.
MPAs eliminate this concern. For BitSpark, this means that one can send money over a blockchain network, for a fee much lower than the traditional money transfer companies, using an asset that is pegged. Hence, what is sent is the amount received (less the transaction cost).
Now for the real bombshell.
BitSpark is going to use the Bitshares MPAs to create a smart token for every currency in the world.
This is sensational news.
To start, this means that BitSpark is planing to conduct transactions in every country in the world. They are going global with the initiative. The advantage to this is they are able to make the fiat to crypto to transfer to fiat very easy. There will be no fiat currency that they cannot handle.
The other major benefit to this is that each MPA requires 2 times the amounts of Bitshares tied up. Certainly, this is going to mean a lot of Bitshares that has to be used to back these tokens. I am not sure how many there are in the world, but the number of currencies has to eclipse 100.
Perhaps I am missing something here since this did not appear to be a major announcement. Yet for hodlers of Bitshares, this could be enormous.
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