The Chilean cryptocurrency exchange CryptoMKT opens about the latest crypto breakthrough in Chile and as with the latest technology and ever increasing demand for the financial assets to be transferred over a large scale, the Chilean market set every piece right for the citizens of Chile to purchase goods and services from over 5000 traders with their cryptocurrency.
CryptoMKT is a 2016 company based in Las Condes, Chile. The company offers a cryptocurrency platform to deal in, mostly interacting with ethereum wallet and the bitcoin exchange aiding the dealers to initiate a virtual asset deal and complete it to entirety without any sort of hindrance.
CryptoMKT SpA owns and operates an electronic crypto currencies trading platform and exchange. Its offers Stellar Network, an infrastructure built to facilitate transfers of value between assets, including payments; Ethereum; a digital asset which permits the creation of logic associated rule accounts (smart contracts); and Ethereum Wallet, a wallet for sending and receiving Ether in Ethereum network; and Bitcoins exchange.
The CryptoMKT has allowed the people of Chile to transfer virtual assets from or to another party as cryptocurrency. The exchange makes it possible for the customers and the investors to transfer monetary property as either bitcoin, stellar, or ethereum keeping the pesos way to transfer over the table too, as the exchange also wants to promote country’s own currency.
The customers can purchase goods or services through cryptocurrency and the exchange can also devise so as to pay the traders in pesos, as they strive for the prior mentioned objective. The added ability for the customers to pay with cryptocurrency has been reported in an announcement as the crypto enthusiasts witness a partnership between CryptoMKT and online payments platform Flow.cl. The partnership has yielded into constructing a platform that has resulted in the added functionality into the market titled, CryptoCompra.com currently operating in the regions of Chile, Argentina, Brazil, and Europe.
Though paying the trader with cryptocurrency, with the exchange further paying the trader with the pesos sure looks good on paper and quite a striking way to deal in goods and services but there still is a minor blemish to resolve over the matter as the cryptocurrency has quite an interesting trend to display often a bullish behaviour. But owing to the increased risks and the denial of ETFs by the SEC, the always green stock info about the cryptocurrency does not stand intact.
The CryptoMKT folks have regarded this issue as nothing to really care about as they have it all covered up. They state that the irregular trend in the prices of distinct cryptocurrencies will not alter the payments as the process progresses, further mentioning,
There is a guarantee fund that allows payments not to be affected by large increases or decreases in the price of Bitcoin, Ethereum and Stellar. This gives tranquility and security to the client, since it will not have surprises in its payments.
The move sees to set the standard in welcoming investors oversees, as introducing the ability to pay as cryptocurrencies can elevate the status of a local market to an international one. This tends to be so as customers and investors can pour money into the market with cryptocurrencies with the most ease. CryptoMKT ensures the transfer transparency and enables the market to go globally known. But the banks are rather acting against the crypto exchanges, with the inclusion of CryptoMKT and BUDA by shutting the accounts of the exchange making the exchanges handicapped in pulling off their designated job successfully.
The companies have knocked onto the doors of Asociación de Bancos e Instituciones Financeras (ABIF), Chile’s banking association in order to evaluate their own shortcomings in no more securing themselves a bank account in the banks where the immense dealings of cryptocurrencies take place. According to a Chilean news PULSO, the banks reportedly cut the exchanges off of ties as the banks had instructions to close any account that deals with cryptocurrency and bears any relation to the crypto trading. The exchanges have been rumoured to put words out that the banks are insecure of the fact that the virtual market would overcome the concrete outdated system of trading and dealing. The banks stick to rather diplomatic version of stance describing that the bank system does not bear the knowledge of how the virtual system works and can not ensure full monetary precautions. Their words read,
The lack of knowledge and regulatory clarity has given rise to the fact that some banks, out of fear, misinformation or perhaps by strategy, are refusing to provide their services to anyone who has any relationship with any digital asset.
The exchanges do have some really harsh words for the banking system that they are killing off a technology outbreak before even studying it. This is true to some extent as lacking knowledge is no good reason to shut down a transaction system and without thorough investigation. This reflects the unwelcoming behaviour of the Chilean government towards the emerging trend of the cryptocurrencies.
A Chilean news platform has revealed that the president of Chile’s central bank, Mario Marcel seeks to put the crypto market under the microscope of some set of rules and regulations that are supposed to keep the risk free and a safe pace of things that are dealt with on a regular basis over the platform. He states,
Considering that these assets exist in the country, there is an associated industry and people who own them, it is questionable if it would be appropriate to change this situation.
Marcel envisages the regulations to,
allow having a registry of the participants in these activities and thus have information to monitor associated risks. These activities could be developed under more robust standards and mechanisms, especially in terms of market transparency, consumer protection, and prevention of money laundering and terrorist financing.
The major authorities and governments fear the risks of the cryptocurrency platforms as they are prone to greater threats as the official transactions and trade cannot be held while being openly viewed by a third party, that can most likely turn out to be the scammer of the century and run off with it, untouched and unpunished.