28th December 2021 > > Gibraltar.

tl;dr

My experience of hitbtc.com should stop you from using this exchange in the future.

Market Snap

Market Wrap

Back over 36,000 for Wall Street. The ability of stocks to recover rapidly from any setback continues to astound me.

Additional supply chain constrictions due to Omicron and government mandated energy cost increases means that we are most unlikely to see a reduction in inflationary pressures any time soon.

(Note to Larry, resident techie at CCC Towers, a pint of milk in my shop obstinately remains at 70p. When do you want to settle the bet?)

Curious Cryptos’ Commentary – Gibraltar

The Gibraltar Stock Exchange (GSX) is being readied for a potential sale to Valereum, a crypto exchange. The proposal is currently under consideration by the local regulator.

The regulator has approved 14 crypto companies for its licensing scheme in the last three years, following a radical overhaul of its rules and regulations with the objective of attracting genuine crypto firms that recognise the benefits of working within a stable and welcoming regulatory framework.

If the takeover is approved, then GSX will list not only international stocks and bonds but also cryptos for purchase using Fiat.

This would be a global first and could provide much welcome competition to Coinbase and Binance. If successful it might become a template for the regulation of cryptos, which in spot form – like currencies – are classified as unregulated products in the US, UK, and Europe.

Some elements of the mainstream press are presenting this initiative as a huge risk to the credibility and viability of Gibraltar as a financial services provider, but that is the part of the press which views all cryptos with, at best, distaste.

Albert Isola, minister for digital, financial services and public utilities rejects this criticism:

“I don’t understand how there can be any increased risk in Gibraltar, when you can go to any other European country today and run exactly the same business without being supervised, without being licensed, and without being regulated. So how can we be more exposed by regulating them? It’s completely the opposite.”

To some minds, Gibraltar will forever be associated with the description of being a tax-haven, but in truth, it’s got nothing on the Republic of Ireland and Liechtenstein. In any case, the regulatory race is one of constant improvements to foster and allow innovation and development. Mistakes might be made, but the intention is clear.

The CCC is a big supporter of Gibraltar’s pivot to cryptos.

Reserve Treasury Protocols (before they all go to zero)