IMF taking serious steps while the terror financing continues through Cryptocurrency
In a recent discussion held by the International Monetary Funds, in Washington DC the Indian finance minister Nirmala Sitharaman has stated "I think the biggest risk for all countries across the board will be the money laundering aspect and the aspect of currency being used for financing terror."
There has been no hiding that the too good to be true looking nature of cryptocurrencies has started showing its other side. The decentralized nature of crypto has made it the ideal means of terror financing and money laundering. Since there is no regulatory authority, people are more than encouraged to engage in illicit activities by using crypto currencies and digital assets.
With many online frauds regarding Digital Assets being on the rise, and crypto transactions being used freely for illicit activities, many governments and authorities are now concerned. Its fair to say that the need of the hour is a central authority which regulates the whole industry. But the idea of cryptocurrency was unique because of its decentralized nature and taking that away would be a big challenge. "A globally recognised framework that allows digital currencies to be looked upon favourably is the need of the hour," said Arijit Mukherjee, Founder and CEO of Yunometa.
Also Read: As NFT Scams proliferate online, Digital Assets sleuths are fighting back
Even though the gravity of these activities has intensified, there are a lot of people who does not agree with the disclosure of personal information and giving up the decentralized status.
Pratik Guari, the founder and CEO of 5ire believes that the problem is not unique to cryptocurrencies and it will exist even with centralising crypto currencies. "A dark side of the web and technological innovation allows illicit forces to exploit such opportunities,", "Still, this problem is not unique to cryptocurrencies." He also added, "The blockchain technology and Bitcoin were created precisely to avoid single central control, and I think the governments globally should adopt this rather than fighting it."
The IMF has considered the finance minister’s opinion and thoughts and had vowed to expand their work on Cryptocurrency industry to make in an attempt to make digital assets regulated.
Digital Assets
Humans have always been an evolving species and with them develops all the different aspects of human life. But throughout the ages of development and advancement they have not forgotten their history and heritage and have protected the knowledge, be it the timeless wars, the glory they got for achieving various feats or be it the tragedies which has brought mankind to their lowest. With the technology and advancement in the era or internet, everything has shifted online. Any piece of information that has ever existed can be found online.
Our ancestors valued listening to live music, our grandparents owned vinyl records, our parents owned cassette tapes, we owned compact discs and the current generation streaming their music live. As technology gives us the ability to uniquely identify the virtual, we as a society are moving towards access of experience and utility and away from ownership of physical presence. It wasn’t the box that held value, but it was the music itself that gave us the satisfaction. Now music can be heard and shared at ease from Spotify pandora apple music etc. from physical possession to digital access and rights.
Trading and exchanging assets has always been a part of human society. Wealth always had physical identity be it the barter system or the fiat currencies. But with time wealth no more has the need to be tangible. Digital asset is anything that is to digitally and has a unique identity which is used to measure valley. Any digital files stored like an audio video spreadsheet etc. are often called digital asset. They don’t have any physical presence you cannot actually touch them or feel them. They are representations of all kinds of objects and the value associated with them. Digital assets allow issuance and transfer of ownership without the necessity for paper documents.
Digital assets offer many benefits to businesses. Even though digital assets are unregulated thanks to their decentralized nature they're a highly secure payment method. Transactions are recorded on public ledgers which keeps transparency, and transactions are easy to trace. Cannot tamper with a digital asset transaction once it's been initiated. The decentralized blockchain technology make sure that the transactions are protected and secured.
since digital assets are decentralized, they allow businesses to undertake cost effective transactions. They are relatively new have greater control over the method. the transaction is often viewed and approved and you'll also choose when the transfer was initiate list uncertainty and reduced waiting Times unlike the orthodox payment systems.
Digital assets also bring new business opportunities. just only create room for brand spanking new clients but they also allow you to become more suited to the new business trends and opportunity.
But sometimes digital assets also have drawbacks. Digital Assets are volatile in price which suggests that the investment can go either raise. there is no telling what proportion the investment or the payment you've got received awards during a week or maybe tomorrow. Due to this lack of predictability some people are still using traditional payment methods despite their flaws.
Also Read: Bitfinex Hack Recovery Spurs Crypto Community Responses
DAM is a process by which digital assets can be kept well managed. it is a process of storing organizing managing and retrieving Digital Assets. Digital Asset management functions as a centralized library of all the media resources of an organization which everyone involved can access from employees to clients.
There are many benefits of Digital Assets Management
it helps in reduction of cost which allows the business to allocate two resources during a better way.
It also allows business to re-use creative ideas, content and assets to realize efficiencies.
Digital Asset Management can also be expensive ranging from thousand dollars per year to potentially as highest million dollars each year.
it is quite clear that Digital Assets have the potential to change the world of business but on the other hand it would not be the first time to see such a massive potential wasted. Even though Digital Assets offer numerous benefits some businesses are still not comfortable with making the switch, message have to overcome to become mainstream are not just economic but mental as well.
Leave a Comment