Last week, at the International Monetary Fund (IMF) Spring Meetings 2023, the Digital Currency Monetary Authority (DCMA) announced their official launch of Universal Monetary Unit (UMU), Unicoin, an international central bank digital currency (CBDC) that can transact SWIFT-like cross-border payments over digital currency rails completely bypassing the correspondent banking system at best-priced wholesale FX rates and with instantaneous real-time settlement.
The response to the announcement was tremendous. Emerging market participants expressed hope Unicoin would be a solution for decolonizing the international monetary system, whereas others expressed fears Unicoin could be a global centralized surveillance tool for governments.
According to Darrell Hubbard, the Executive Director of the DCMA, "Central banks do not fully understand the driving forces behind cryptocurrency adoption and have missed the mark on their research, development, and launch of CBDC projects. While banks are focused on monetary sovereignty and financial integrity, crypto investors are keenly interested in making money in a more fair and open financial monetary system."
CBDCs are simply digitized legal tender. If a country's legal tender is systemically losing in value to the U.S. Dollar, so will its CBDC. Hence, crypto investors view CBDCs more like a souvenir and not an innovation that is going to make their life any better.
So, how is Unicoin any different?
CBDCs are legal tender regulated by central banks whereas Universal Monetary Unit is a money commodity regulated by the U.S. Commodities Futures and Trade Commission (CFTC).
Darrell explains "Unicoin offers the best of both worlds between a cryptocurrency and a CBDC. As a crypto asset, Unicoin adopts monetary policies to ensure it sustains its store of value stronger than any fiat currency while simultaneously complying with banking regulations to strengthen monetary sovereignty."
The international monetary system has some inherent encumbrances that have caused many countries to adopt de-dollarization monetary policies. Many of these de-dollarization projects are seeking digital currency solutions as an alternative to the current international monetary system.
This week the DCMA has published the Universal Monetary Unit Whitepaper titled "A Best-in-Class Money Commodity for Strengthening Monetary Sovereignty with a Digital Economic Union."
Universal Monetary Unit introduces a new wave of cryptography reimagined from the ground up for the banking industry. The Unicoin Whitepaper unveils several innovations designed to make banking faster and safer while strengthening and not disrupting the international monetary system.
Unicoin is built on open standards and is deployed like a money operating system. Banks and Fintech companies can easily integrate with existing apps with a UMU store of value wallet to conduct real-time cost-efficient digital banking, digital trade, and digital payments worldwide.
In this Whitepaper, the DCMA responds to the IMF's recently published report on the potential risks crypto assets pose to the banking industry. The DCMA refutes every single potential risk identified by the IMF and explains how Unicoin strengthens and not weakens the international monetary system.
The Unicoin Whitepaper can be downloaded at – https://umu.cash/whitepaper
About the Digital Currency Monetary Authority (DCMA) –
The DCMA is a world leader in the advocacy of digital currency and monetary policy innovations for governments and central banks. Membership within the DCMA consists of sovereign states, central banks, commercial and retail banks, and other financial institutions.
About Universal Monetary Unit (UMU) –
Universal Monetary Unit (UMU), symbolized as ANSI Character, Ü, is legally a money commodity, can transact in any legal tender settlement currency, and functions like a CBDC to enforce banking regulations and to protect the financial integrity of the international banking system.
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