An “epic milestone” is what Bitcoin reached, with an all time high of $100,100. The currency peaked at $103,000 on Thursday.

With president-elect Donald Trump promising to make the US “the crypto capital of the planet”, the digital currency is up more than 130 per cent so far this year. However, that indicates a shifted stance as during his first term, Trump referred to cryptocurrencies as “scam”.

He has also promised the country – a crypto advisory council for which several crypto companies, including Ripple, Kraken, and Circle are vying for a seat.

Anthony Pompliano, CEO of Professional Capital Management and crypto enthusiast posted on X, “There are so many people around the world who did their homework, they thought independently and critically, and they bought this thing that no one had ever heard of before.”

Since Trump’s win, Bitcoin has seen stunning growth and is now placed among the top performing assets of 2024 and as the crowning glory, the president-elect has decided to nominate a cryptocurrency advocate as the country’s SEC chair. On Wednesday, he said he would nominate Paul Atkins to run the Securities and Exchange Commission, who has been involved in crypto policy as co-chair of the Token Alliance.

Dan Held, a notable crypto investor said that Bitcoin surpassing $100,00 does not just represent a price, it shows that the world is gradually accepting Bitcoin as a future reserve currency. He added that this turning point represents “financial freedom”.

“We’re witnessing a paradigm shift. Bitcoin and the entire digital asset ecosystem are on the verge of mainstream financial acceptance,” Mike Novogratz, CEO of US-based crypto firm Galaxy Digital, told Reuters.

Experts embrace this change as a positive step and the conviction gets stronger with Trump’s personal interest in crypto. In September, he launched World Liberty Financial with his three sons.

Although the rise of crypto bodes well, it is interesting to recall Sam Bankman-Fried, his jailing and subsequent damage to the sector’s reputation and bear in mind crypto’s notorious market volatility and the industry’s energy consumption.

Steven McClurg, founder of Canary Capital, told Reuters, “Investors may look to take profits after this milestone, which could lead to short-term dips. However, once these sell orders are cleared, bitcoin could rise even further, possibly hitting $120,000 by Christmas.”
 

Reserve Bank of India Governor Shaktikanta Das. File
| Photo Credit: PTI

Digital Rupee users will soon be able to execute transactions in areas with limited internet connectivity as the Reserve Bank of India (RBI) on February 8 announced that offline capability will be introduced on the Central bank digital currency (CBDC) pilot project.

RBI Governor Shaktikanta Das said that programmability-based additional use cases will be introduced as part of the pilot project. RBI launched a pilot of the retail CBDC in December 2022 and achieved the target of having 10 lakh transactions a day in December 2023.

It can be noted that other payment platforms, especially the very popular Unified Payments Interface (UPI), already offer offline possibilities.

“It is proposed to introduce an offline functionality in CBDC-R (Retail) for enabling transactions in areas with poor or limited internet connectivity,” Mr. Das said while announcing the bimonthly monetary policy review.

He said multiple offline solutions, which include both proximity and non-proximity based ones, will be tested across hilly areas, rural and urban locations for the purpose.

On the programmability front, he said that currently, the system enables Person to Person (P2P) and Person to Merchant (P2M) transactions using digital rupee wallets provided by pilot banks.

“It is now proposed to enable additional use cases using programmability and offline functionality,” he said.

“The programmability feature will permit users such as government agencies to ensure that payments are made for defined benefits,” he said, adding that corporates will also be able to programme specified expenditures like business travel for their employees.

“Additional features such as validity period or geographical areas within which CDBC may be used can also be programmed,” he said.

Meanwhile, Mr. Das also announced RBI’s intent to enhance the security features of Aadhaar enabled Payment Systems (AePS), which was used by 37 crore people in 2023.

“To enhance the security of AePS transactions, it is proposed to streamline the onboarding process, including mandatory due diligence, for AePS touch point operators, to be followed by banks,” Mr. Das said, adding that instructions on the same will be issued shortly.

At present, Mr. Das said lenders are using the SMS method for complying with the additional factor authentication requirements but advancements in technology have opened up newer means.

“To facilitate the use of such mechanisms for digital security, it is proposed to adopt a principle-based “Framework for authentication of digital payment transactions”,” he said.

New Delhi:

The State Bank of India (SBI) on Monday said it has implemented UPI interoperability in its digital rupee, called Central Bank Digital Currency (CBDC).

With this move, the bank aims to deliver unprecedented convenience and accessibility to its customers, SBI said in a statement.

This cutting-edge feature, accessible through the ‘eRupee by SBI’ application will empower SBI CBDC users to effortlessly scan any merchant UPI QR code for swift and secure transactions, it said.

SBI was among the first few banks to participate in the RBI’s retail digital e-rupee project in December 2022.

“The seamless integration of CBDC with UPI marks a significant leap for the bank, enhancing the acceptance and utilization of digital currencies in everyday transactions,” it said.

This integration will be a game changer for the digital currency ecosystem, it said, adding, the move is the outcome of our unwavering commitment to pushing the boundaries of digital innovation to accelerate the transition to a more cashless economy.

SBI remains dedicated to providing secure, efficient, and user-friendly solutions that reshape conducting transactions.

By bridging the gap between CBDC and the extensively used UPI platform, SBI aims to revolutionize payments made in India. With this move in the realm of digital payments, it said, the future of CBDC integration appears promising.