Alterego Europe

• The Bank of England and the UK Treasury have released a consultation paper outlining their case for a retail central bank digital currency (CBDC) or “digital pound.”
• Bank CEOs in the UK are blocking customers’ access to cryptocurrencies due to concerns over fraud and volatility.
• The UK is taking steps towards confinement and restriction of the bitcoin and cryptocurrency industry while pursuing a CBDC system.

The Bank of England’s Proposal

The Bank of England and the UK Treasury have released a consultation paper outlining their case for a retail central bank digital currency (CBDC) or “digital pound”. The paper has been reviewed by the Bank-Treasury CBDC Taskforce, which was established in April 2021. If introduced, the digital pound would be used by households and businesses for their daily payments. The Bank of England and the UK Treasury will engage with stakeholders across the country to seek their views on the proposed model. Simultaneously, a roadmap unveiled by Governor Andrew Bailey and Chancellor Jeremy Hunt detailed their aim to prevent a run on banks, including limiting Britons to transferring only a few thousand digital pounds into their accounts.

Banks Blocking Cryptocurrency Access

Just as these developments are taking place, bank CEOs in the UK are blocking customers’ access from accessing cryptocurrencies due to concerns over fraud and volatility. Alison Rose, CEO of NatWest Group told the committee that her bank had taken a “pretty hard line” on cryptocurrency due to its associated risks. Social media and technology platforms were cited as major sources of fraud but executives expressed support for new regulations proposed by the Treasury.

Restrictions On Bitcoin And Cryptocurrency Industry

The UK continues to make further strides towards confinement and restriction of bitcoin and cryptocurrency industry while simultaneously pursuing its own CBDC system that could potentially limit citizens’ financial freedom. Banks can now block customer access from investing in cryptocurrencies while government officials work on regulating them further without citizen input or approval through consultations with stakeholders across countries.

Financial Obedience With Strict Regulation

These events indicate capacity for government control with major companies helping lock citizens into financial obedience with strict regulation regarding usage of each private citizen’s money. Banks can now limit transfers up to £10,000 per customer, preventing large outflows from traditional banks all while protecting against potential instability caused by frictionless nature of digital money thus promoting security measures among institutions associated with banking services

Conclusion
Government restrictions continue stifling growth in bitcoin industry while promoting development of centralized currency through collaboration between governments, institutions, regulators etc all striving towards common goal: increasing stability & security within banking systems & overall financial market as well as safeguarding wealth & assets belonging private citizens alike against potential risks posed by fraudulent activities arising from misuse/abuse new technologies especially those associated cryptocurrency investments & transactions

• The Federal Reserve is expected to raise interest rates by +0.25% at their upcoming meeting.
• Financial conditions are currently not seen as sufficiently restrictive, which is why the Fed expects ongoing hikes to be appropriate.
• Market participants expect inflationary pressures to abate in 2023 and beyond, which will be bullish for risk-assets.

The Upcoming FOMC Meeting

The Federal Reserve (FOMC) will be meeting on February 1st to decide their next policy decision regarding interest rates. Currently, the market assigns a near 100% certainty that they will raise rates by +0.25%, setting the policy rate to 4.5%-4.75%.

Maintaining Policy Restraint

In Jerome Powell’s December 14 press conference, he stressed the need for maintaining policy restraint in order to ensure that inflation does not stage a comeback after initial signs of slowing, similar to what happened in the 1970s. He also mentioned that their focus was on persistent moves and not short-term ones when it comes to financial conditions.

Pricing In The Transitory Inflation

Market participants are expecting inflationary pressures from 2022 to abate in 2023 and beyond, which has caused global risk assets to rally so far this year. If these expectations come true, it would lead to lower interest rates and thus be bullish for risk-assets accordingly.

Second Order Effects Of Changes

When considering the potential second-order effects of interest rate changes and other market movements, it’s important to keep in mind that they can be quite frivolous in nature and should not necessarily cause any long-term shifts or disruptions if they don’t last too long or go too deep into financial conditions overall.

Conclusion

The Federal Reserve is expected raise interest rate by +0 25% soon with the current expectation being an 100% certainty of this outcome; however readers should watch out for any unexpected changes as well as potential second-order effects of said changes such as frivolous disruptions if they go too deep into financial conditions overall . Finally market participants are optimistically expecting inflationary pressures from 2022 to abate in 2023 and beyond which would lead to lower interest rates and thus be bullish for risk-assets accordingly

• Mt Pelerin, a Swiss-based cryptocurrency exchange, has announced new support for the Bitcoin’s Lightning Network on their app.
• The app and exchange serve 171 countries and six languages globally.
• Mt Pelerin plans to let advanced users run their own Lightning node in Bridge Wallet in the near future.

Mt Pelerin’s Plans

Mt Pelerin, a Swiss-based cryptocurrency exchange, has announced new support for the Bitcoin’s Lightning Network on their app. This allows users to buy and sell sats with no identification required for amounts under CHF1,000 per day while preserving privacy. Additionally, Mt Pelerin plans to let advanced users run their own Lightning node in Bridge Wallet in the near future as well as explore a payments solution for merchants which could greatly grow the merchant-end of the Lightning Network.

App Availability

The app and exchange are available worldwide; they serve 171 countries and six languages globally. This provides an easy user experience with virtually free and instant transactions enabled by Lighting.

Swiss Regulations

The Swiss regulations allow for users to buy and sell bitcoin with no identification required for amounts under CHF1,000 per day; this preserves privacy in the face of growing threats related to compromised personal information.

Features of App

Users can get Bitcoin directly on the Lightning network easily by card or bank transfer, spend, receive and manage their sats with Mt Pelerin’s mobile app Bridge Wallet, as well as cash out funds from Lightning back on their bank account in 14 currencies.

Benefits of App

The virtually free and instant transactions that Lighting enables are especially useful for merchants, who will benefit from exploring a payments solution provided by this service – allowing them to express the power of Bitcoin in tangible ways with their customers.

• Santiago Varela gave his sister an unusual gift for her 18th birthday: the orange pill.
• The orange pill refers to the process of introducing someone to Bitcoin and its advantages.
• The process of orange-pilling his sister began with a letter and a copy of Saifedean Ammous’ “The Bitcoin Standard,” with the goal of helping her set a path to financial freedom, empowering her as a woman, and potentially giving her some ideas for what she wants to do.

When his sister turned 18 years old, Santiago Varela decided to give her a very special gift: the orange pill. This refers to the process of introducing someone to Bitcoin and its advantages. Before handing her the gift, Santiago wrote a letter to explain the reasons why he was giving her this specific gift. He wanted to set her on the path to financial freedom, empower her as a woman in a fiat world where dishonest relationships have been normalized, and give her some ideas for what she wants to do, since she was a high school senior and still didn’t know what to study in college.

To start the orange-pilling process, Santiago gave his sister a copy of Saifedean Ammous’ “The Bitcoin Standard,” plus a hardware wallet. He asked her to read the prologue of the book over and over again before beginning the journey, as it contained a quote which Santiago considered the perfect starting point.

After reading the book, Santiago and his sister were able to have meaningful conversations about Bitcoin and its potential to revolutionize the world. Santiago was amazed to see how quickly his sister was able to understand the basics of Bitcoin and its potential for financial freedom. They discussed the importance of taking control of one’s finances, the potential of Bitcoin as a store of value, and the power of decentralization.

From that day on, Santiago and his sister have been talking regularly about Bitcoin and its implications. His sister is now an active member of the Bitcoin community and has started to invest in the asset. Santiago is confident that his sister is now on the path to financial freedom and that his gift has been a success.