A system to track cryptocurrency trades is being developed by the Bank for International Settlements and a few central banks in Europe.
A proof-of-concept (PoC) system recording on-chain and off-chain transactions from cryptocurrency exchanges and public blockchains, including Bitcoin, has been created by the Bank for International Settlements (BIS).
The BIS has launched a successful Proof of Concept (PoC) named Project Atlas in collaboration with the Deutsche Bundesbank, De Nederlandsche Bank, the European Central Bank, and the Bank of France to assess the macroeconomic importance of cryptocurrency markets and decentralized finance (DeFi) protocols.
The BIS Innovation Hub detailed the idea in its publication, citing a lack of transparency and potential risks to financial stability, including high-profile failures in the crypto-space like the Terra ecosystem collapse in 2022. The concept aims to provide insights, information, and economic implications of the sector.
The initiative combines on-chain data from public blockchains collected by nodes with off-chain data from bitcoin exchanges. Project Atlas tracked cryptocurrency flows across geographical locations in the initial proof-of-concept version.
Stay in the know on crypto by frequently visiting Crypto News Today
The initial method substitutes for cross-border capital flows transactions in the Bitcoin network that are attributed to centralized exchanges together with the location of such exchanges.
Due to the difficulty of identifying the country where exchanges are taking place, the methodology states that flows are probably lower-bound estimates of actual transaction volumes. However, the initial Project Atlas pilot shows that inter-exchange is “significant and substantial economically.”
Project Atlas now has a front end that displays dashboards that highlight the outcomes of data collection and analysis, including on-chain transactions and the movement of funds globally.
Advertisement
Follow GappyCoin PreSale on Twitter, and ReCap for information and more.
The PoC will give a summary of cross-border flows and give central banks a way to assess the relative economic importance of the cryptocurrency ecosystem in various jurisdictions:
“The data will allow flows to be analyzed structurally and the influence of price shocks, financial market developments and country characteristics on crypto flows to be investigated.”
In order to enter the next development stage, the project will keep adding new data sources, and data extraction and analysis from Ethereum network nodes and DeFi protocols are also planned.
We hope you found this article insightful. Before you go, please consider supporting CryptoCaster’s independent journalism.
In the world of media owned by billionaires like Elon Musk, Larry Fink (BlackRock), and Jamie Dimon (JP Morgan Chase), influence over narratives surrounding cryptocurrency and Web3 often reflects their interests. CryptoCaster is different. With no billionaire backers or shareholder obligations, we are committed solely to public interest journalism, covering crypto advancements and institutional changes without profit-driven motives.
Unlike much of mainstream media, which can fall into neutrality traps that obscure the real impacts on retail investors, we’re guided by transparency and integrity. We are unafraid to take a stand in the ongoing struggle against fiat banking dominance and in support of the monetary innovation driven by crypto and Web3. Reporting on issues like FTX, Binance, and Ripple, we bring a bold, unfiltered outsider’s view on global financial disruption—free from the constraints of traditional media narratives.
CryptoCaster remains paywall-free, accessible to everyone, thanks to the support of readers like you. Your contributions keep us independent and help ensure that critical information on the crypto landscape reaches all. If you value our work, please consider supporting us with a one-time contribution starting at just $1 in Bitcoin or Ether, or even monthly if you’re able. Scroll down to find our wallet addresses and help keep CryptoCaster independent and thriving.
Thank you for your support,
Kristin Steinbeck
Editor, CryptoCaster
Please Read Essential Disclaimer Information Here.
© 2024 Crypto Caster provides information. CryptoCaster.world does not provide investment advice. Do your research before taking a market position on the purchase of cryptocurrency and other asset classes. Past performance of any asset is not indicative of future results. All rights reserved.
Contribute to CryptoCaster℠ Via Metamask or favorite wallet. Send Coin/Token to Addresses Provided Below.
Thank you!
BTC – bc1qgdnd752esyl4jv6nhz3ypuzwa6wav9wuzaeg9g
ETH – 0x7D8D76E60bFF59c5295Aa1b39D651f6735D6413D
CRYPTOCASTER HEATMAP
