Also today, should crypto exchanges offer the same levels of protection for users as gambling websites do?
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A senator is arguing the flurry of ads for exchanges during the Super Bowl proves crypto isn't currency. During a hearing, Sherrod Brown said: "If this were actually meant to be used as currency, why would you need to buy ads? I've never seen the Federal Reserve buy a multimillion-dollar commercial for U.S. dollars." He warned "real people's real money is at risk" from the explosion in digital assets — and politicians "need to look beyond the unproven promises" in their quest to regulate.
JPMorgan has established a presence in the metaverse — and its virtual lounge is surreal to say the least. The major bank has set up shop in Decentraland's Metajuku Mall — tastefully decorating its space with, er, a virtual tiger and a framed photo of CEO Jamie Dimon. The arrival of the Onyx Lounge coincides with the launch of a report where JPMorgan sets out the opportunities provided by the metaverse — giving businesses advice on navigating hype versus reality.
Crypto investors at risk of addictive behavior need greater protection from exchanges, a British charity has warned. Gamcare says excessive trading "can impact not only a person's finances, but can affect their mental, physical health, relationships, work or education." The organization wants trading platforms to offer self-exclusion schemes — a tool commonly used by gambling sites that means users can voluntarily ban themselves for a predetermined period of time.
The threat that cryptocurrencies pose to global financial stability could "rapidly escalate," a new report has warned. The Financial Stability Board says digital assets are being increasingly interconnected with traditional systems — meaning episodes of price volatility could spill over into the markets. Institutions are increasingly gaining exposure to virtual currencies too, and the use of "complex investment strategies" such as leverage is on the rise.
The People's Bank of China has revealed how much the digital yuan is being used at the Beijing Winter Olympics — and the figures may make for disappointing reading. Mu Changchun, the head of the central bank's Digital Currency Research Institute, says total transactions involving the e-CNY have averaged $315,761 a day so far. The digital yuan was meant to take center stage as a payment method during the Games — but the pandemic prompted the country to ban international spectators.