Here’s the latest AI news from today’s Algorithm Bulletin. You can sign up for the newsletter here. Google announced that it will add several new features to the Arabic “part” form, including the ability to use images in requests. Tesla’s CEO, Elon Musk, denied the validity of a report published by the American newspaper “The Wall Street Journal” that the company is in talks to build a factory in Saudi Arabia. Should you invest in ARM or NVIDIA? An expert reveals what’s best. Artificial intelligence startup Bird Buddy has launched a new feature on its mobile app called Bird Buddy Explore, which allows anyone to access photo and video feeds…
Economy
After the “PayPal” move…what are “stable currencies”?
Company “Paypal”
Financial transaction giant PayPal enters stable cryptocurrency ranks; On Monday, it announced a stable currency in US dollars in an attempt to improve trust in digital currencies in payments and exchanges.
The move allows the company’s millions of customers to benefit from the wide range of benefits offered by “stable currencies” that differ significantly from traditional cryptocurrencies, particularly the new “PayPal” currency pegged to the dollar.
The stablecoin is backed by dollar deposits and short-term U.S. Treasury notes, and will be issued by Paxos Trust, the company said.
A stablecoin (designed to protect against extreme volatility, which makes it difficult to use digital assets as a payment or store of value) will gradually become available to the company’s US customers, the company announced.
So what are stablecoins? What are its main benefits and risks? How does it differ from well-known traditional cryptocurrencies?
What are Stablecoins?
A stablecoin is a type of cryptocurrency (cryptocurrency) that is designed to maintain its stability of value against a fixed asset such as a fiat currency, an index, or metals.
These coins represent a mechanism to deal with the extreme volatility and fluctuations experienced by traditional digital currencies like Bitcoin.
Standard digital currencies typically rely on equations and technologies such as (blockchain) to verify financial transactions and maintain transparency.
But the key difference is that its value is closely linked to a traditional currency unit such as the US dollar or the euro, or to a commodity index such as gold. This interdependence is usually done through some mechanism that ensures the maintenance of balance between supply and demand for the fixed currency.
The main goal of this type of stable digital currency is to provide a means of digital commerce that combines the advantages of digital technology and ease of use with the stability of financial value, making it a very attractive option for people and companies without exposure to extreme price fluctuations associated with digital currencies such as money transfers or store value.
Although stable digital currencies aim to provide stability in value and improve the trading experience and digital exchanges, they face certain disadvantages and risks, including security risks, as well as challenges in the availability of financial deposits. Digital currency, legal challenges and regulatory limitations and the role of governments and regulators, and the complexity of issuance and management procedures.
Despite these challenges, stable digital currencies still represent a step towards creating a digital financial system that combines technology and financial stability, and over time some of these issues can be overcome and the infrastructure for this type of currency can be improved.
More sustainable investment instruments
Mazen Salhab, chief market strategist for the Middle East and North Africa region at BDSwiss, told “Economy Sky News Arabia” in an exclusive report that a stablecoin is a cryptocurrency that has value linked to or controlled by financial assets or other traditional assets. Coins and financial instruments, this represents the real difference. Between them and traditional cryptocurrencies, cryptocurrencies are based on multiple equations on the blockchain.
And he adds, “Stable currencies are collateralized by special reserves to protect their value, so they are not subject to drastic fluctuations.” It is not subject to speculation and market trading like cryptocurrencies, which does not create traders. Or speculators, and even companies, can use them in daily transactions and calculate the true value due to the volatility of their value.
The chief market strategist for the Middle East and North Africa region at BDSwiss adds: “PayPal’s launch for financial transactions is a stable currency linked to a very stable real balance, which enables the company’s millions of users to benefit greatly from its features. These currencies.”
Regarding the failure of some stable currencies to maintain parity with the dollar and their collapse, he says: “Stable currencies are under the watchful eye of monetary authorities and lawmakers, and their value has reached about $128 billion..but they are also subject to market fluctuations..in this case the loss of value (for a few months It may not be a complete loss of value of the coin, as has happened to some coins before (in light of their impact on the collapse of Silicon Valley banking), but what has happened is that there has been heavy selling that puts pressure on those coins at the time, because confidence in the banking system is collapsing.
Salhab believes that “Cryptocurrencies in general are high-risk investment instruments, as well as stable and dollar-linked currencies are not fully guaranteed (..) There are exaggerations in depicting the level of their guarantee, because they are linked, for example, to the dollar, but the dollar also loses, so stable currencies from losing Not far away.
Peer-to-peer currencies face broader challenges in keeping pace with the U.S. dollar, and these challenges intensified during the U.S. banking crisis last March, which shook some of their ties to the dollar.
Important among the most popular stablecoins is the Tether (USDT) coin, which first appeared in 2014 and is fully backed by cash reserves and short-term treasury bonds, and this was witnessed during the US regional banking crisis in March. – A wider collapse after the collapse of Silicon Valley Bank.
Among the stablecoins is the USDC currency, which has been unable to maintain its peg with the dollar since the Silicon Valley crisis, finally hitting its lowest level in two years. Also stablecoins are DAI, Binance and others.
Historical development of currency
It is worth noting here that there is a historical growth in forms of currencies from traditional currencies to digital currencies as continuous technological and economic development leads to the development of new forms of currencies and digital assets.
In this context, financial market expert Dr. Hosam Al-Qaish talks about the difference between traditional currencies (paper and coins), centralized electronic currencies and cryptographically based digital currencies in exclusive reports to “Economy Sky News Arabia”. Fixed digital currencies pegged to the dollar or assets are different.
- Conventional Currency (Banknotes and Coins): Includes coins and metallic banknotes that are used as a medium of exchange and store of value. These currencies represent units of trade finance issued by central banks and governments, and have a fixed or flexible exchange rate determined based on a number of factors.
- Centralized cryptocurrencies: Centralized cryptocurrencies include units of value that are stored and traded online and can be used for electronic payments and transfers. Unlike traditional currencies, these coins are issued by private companies or platforms.
- Crypto-based digital currencies: They are digital currencies that rely on encryption techniques to maintain a percentage of security (the most famous of which is Bitcoin).
- Stable Digital Currencies: These digital currencies represent another development of digital currencies, and they aim to provide stability in value by linking them to traditional assets such as the US dollar or Euro, and are used to avoid the price fluctuations seen with traditional digital currencies. Coins.
Here, asset-linked digital currencies are referred to as a second type of stable digital currency, and these digital currencies represent ownership rights or shares in real assets outside the world of digital currencies, such as real estate or commodities. These assets are represented by tokens on blockchain networks.
Al-Qaish points out that digital currencies are divided into two main areas (cryptocurrencies and fixed currencies pegged to the dollar) to (cryptocurrency), whose price is determined based on guesswork, so its prices usually (in between) fluctuate greatly. (rises and falls) over the course of the year This represents high risk, and many central banks prefer to avoid dealing with it. Because it is Mudaba that determines their price.
In contrast, the second type of digital currency is stable currency, which typically enjoys a form of stability because it is linked to a currency or basket of currencies, thus exhibiting relative price stability, and is used as part of electronic payment facilitation operations. , and to some extent can be considered as an alternative to “bank cards”, it is believed that because it is encrypted, difficult to hack, and some governments are very compatible with it, and some central banks encourage it, unlike other cryptocurrencies there are speculative factors and wider risk.
“Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator.”
Economy
Amid fuss over “dead monkeys,” Musk’s brain chip company opens registry for human trials
Neuralink, the biotechnology start-up trying to implant chips in the human brain under the watchful eye of entrepreneur Elon Musk, announced Tuesday that it will begin recruiting for its first human clinical trial. .CNNThis coincided with a publication by the “Wired” website, which claimed that the American billionaire had “misled” his followers about killing monkeys during clinical trials of the same chip.
After receiving approval from an independent review board, the company said Neuralink has decided to begin offering operations to implant its chips into the brains of stroke victims as part of the “PRIME” study, which stands for “PRIME.” Brain-Computer Interface, which means: “A precise, robotically implanted brain-computer interface.
The tests seek to evaluate the safety and functionality of the implanted chip.
Participating patients are expected to have a chip surgically implanted in the part of the brain that controls movement commands. The chip, installed by the robot, will then record and transmit brain signals to an app on a smart device, which seeks to “give people the ability to control a computer cursor or keyboard using only their thoughts.” Written by the company.
People with quadriplegia due to cervical spinal cord injury or amyotrophic lateral sclerosis (ALS) may be eligible for the study, which will last six years, including 18 months of home and clinic visits and five years of follow-up visits. Interested candidates can register. In the patient registry on the Neuralink website. .
Musk has spent the past five years working toward Neuralink’s goal of using chips to connect human brains to computers, but the company has so far only tested them on animals. The company faced scrutiny in 2022 after a monkey died while testing the program as part of an effort to get animals to play video games with their thoughts, according to the network.
Allegations of ‘dead monkeys’
An investigation conducted by the website revealedWiredA technology expert said on Wednesday that Musk had said none of the primate species used in the chip tests had died, and the investigation has called for US officials to investigate Musk’s claims.
The website indicated that there were “new allegations of possible security fraud” related to Musk’s statements following the deaths of monkeys participating in experiments for the company “Neuralink”.
That said the site Several letters sent by the Medical Ethics Committee The US Securities and Exchange Commission’s (SEC) “Physicians’ Panel for Responsible Medicine” called on the agency to investigate Musk’s allegations that macaques died during experiments because they suffered fatal diseases, not brain damage. pieces.
However, veterinarian records show that the monkeys died from complications following the implantation of the brain chips, the website said, citing letters sent to the committee’s authority.
Kasthuri confirmed that the monkeys had died… Tweet through his VX accountOn September 10th, he owned, in a reply to a user, where he denied that the dead animals were caused by a “Neuralink chip” and said researchers were “interested in using animals on the brink.” Death.”
At the same time, in a presentation to his company last year, Musk confirmed that Neuralink’s experiments on animals were never for “research” reasons, but rather to ensure that unified scientific principles were proven. “We are very careful.”
But public records it reviewed, as well as interviews with a former NeuraLink employee and a researcher who now works at the Primate Species Center at the University of California, Davis, “paint a completely different picture” of what’s going on in NeuraLink’s animal experiments, Wired noted. .
It noted that the public documents include veterinary records, made public for the first time last year, that “contain gruesome images of the suffering of up to 12 animals of Neuraling’s flagship species, all of whom had to be euthanized.”
Wired noted that the records “could form the basis of a possible SEC investigation into Musk’s comments about NeuraLink,” which has faced multiple federal investigations as the company moves toward its goal of introducing the first commercially available brain-computer interface for humans.
The U.S. authority declined Wired’s request for comment regarding the group’s ethics messages, and Neuralink did not respond to Wired’s questions about Musk’s comments or the group’s allegations.
“Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator.”
Economy
“Dubai Financial” reaches highest level in 8 years
By the end of yesterday’s trade, local bourses attracted liquidity of about 1.75 billion dirhams, while the market capitalization of the Dubai Financial Market gained more than 12.14 billion dirhams, surpassing its highest level in eight years, supported by gains. Leading stocks and “Banks” in “Real Estate” sectors.
After 410.29 million shares were traded by executing more than 24.38 thousand transactions, liquidity was distributed in the Abu Dhabi Securities Market of 986.8 million dirhams and 768.32 million dirhams in the Dubai Financial Market.
The Dubai Financial Market General Index rose 1.56%, or 63.68 points, to end at 4138.4 points, its highest level since August 2015, and the Abu Dhabi General Market Index (FADGI) edged up 0.003%. 9822.56 points level.
The Dubai financial market’s performance strengthened, with shares of “Emaar Properties” rising 5.2% to close at a 9-year high, and shares of “Emirates NBD” rising 3.9% and shares of “Emaar Development” up around 5.5%. , and “Dubai Islamic” shares. 0.7%.
Emaar Properties shares topped the performance, attracting more than Dh337.3 million in liquidity.
Responding to this, General Manager of Al Ansari Financial Services Company, Abdul Qader Shad told “Emirates Today”: “It can be said that the financial markets were remarkable yesterday due to the rise of the Dubai Financial Market. Over the past 8 years, Emaar Properties has been heavily supported by the company’s share price rise.” A rally in shares of ADNOC Logistics supported the Abu Dhabi securities market yesterday and pushed it to close in the green zone. 4%, and ADNOC Drilling 1.84%.
Aaron Leslie John, Chief Market Analyst, Century Financial, said, “The Dubai Financial Market Index hit an 8-year high in early trade and crossed 4100 points, supported by gains in leading stocks. Light of the real estate boom the emirate is witnessing.” “Confidence in the country’s economic growth in general has increased according to recently announced indicators.”
In the same context, equity investment expert Mahmoud Atta pointed out that one of the most important reasons for improving the gains of the Dubai financial market is that listed companies have recorded consistent and good profits compared to stock markets in the region. The banking and real estate sectors, which are characterized by strong financial and operational fundamentals, are attractive stocks for portfolio investors in addition to foreign investment funds.
Organizing World Investors Conference in Singapore
The Dubai Financial Market yesterday announced the third session of the 2023 Global Investors Conference in Singapore, giving investors an opportunity to meet senior representatives of the Dubai market in Singapore.
The conference will be held on September 27 and 28 in collaboration with Goldman Sachs within the framework of the Singapore Corporate Days 2023 initiative, the market said in a statement, confirming Dubai Financial Market’s commitment to expanding the scope of global communication and interaction. Investors, to demonstrate the strength of the capital markets in the Emirate of Dubai.
“Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator.”
Economy
Artificial Intelligence Harvest Today, September 20, 2023
Here are the AI highlights for September 20.
September 20, 2023
“Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator.”
-
Top News1 year ago
Top 3 Cities in Vietnam for Digital Nomads
-
Top News1 year ago
Reasons why there isn’t More Scoring in Soccer
-
Economy3 months ago
Apple’s market cap is about $3 trillion
-
Top News2 years ago
Direction Dubai: Private jets were attacked to escape the health drama in India
-
science2 years ago
A Scientific Surprise .. Contemporary Month of Ancient Egyptians | Science
-
Tech2 years ago
The email is said to have come from Nintendo’s Lost Game Boy extension
-
Tech2 years ago
Netflix launches new video game platform on Android devices
-
entertainment1 week ago
“Hanging Gardens” represents Iraq in the competition for “Oscars”.