Connect with us

New European Union rules may be needed to better protect consumers from cryptoasset risks, prevent money laundering and stop diverging national regulations from creating unfair competition, EU regulators said on Wednesday.

Regulators have warned investors since 2013 they could lose their shirts by investing in virtual currencies such as Bitcoin and ether, or in initial coin offerings (ICOs) that raise money for companies in return for tokens.

Bitcoin rocketed close to $20,000 in late 2017, sweeping up investors from across the world, but it has since lost three-quarters of its value.

The value of cryptoassets globally peaked at $830 billion a year ago, but fell to $210 billion by October, equivalent to less than 3 percent of the gold market.

The European Banking Authority (EBA) said in a report on cryptoassets that they typically fall outside the scope of EU financial rules, making it harder to build a detailed picture.

EU regulators have identified financial institutions owning cryptoassets directly, making a market in them, lending against cryptoasset collateral, and exchanging cryptoassets for cash, but have little data on these activities.

Market developments also point to the need for a further review of EU anti-money laundering legislation, the EBA said.

A comprehensive cost-benefit analysis would determine what, if any, action is required to regulate “opportunities and risks” from cryptoasset activities and related technologies, EBA said.

The watchdog said a broad approach should be taken, including how high amounts of energy used to mint cryptoassets impact EU climate change and sustainable development goals.

An EU analysis could assess the impact of cryptoasset activities on financial sector resilience, and the links between cryptoassets and traditional banking.

“Given the pace and complexity of change, it would be desirable for a technologically neutral and future-proof approach to be adopted in developing any proposals should it be concluded that EU-level action is needed,” EBA said.

Source link

World

Ahold Delhaize q4 2018 earnings

Published

on

Ahold Delhaize, the Dutch-Belgian supermarket operator, reported fourth-quarter sales in line with expectations on Wednesday, driven by strong online business in the Netherlands.

Sales increased 3 percent to 16.5 billion euros ($18.76 billion) in the three months through Dec. 31, 2018, compared with an average estimate of 16.4 billion euros in a poll of analysts by the company.

Ahold said in a trading update that it expected underlying earnings per share from continuing operations to be at the higher end of its guidance of 1.50-1.60 euros.

The company increased its guidance marginally for free cash flow in 2018 to more than 2 billion euros from an estimate of even 2 billion euros in November.

In the United States, where Ahold is the largest online supermarket retailer and owns Stop & Shop and Food Lion, sales rose 2.7 percent. Online sales grew 12.1 percent at constant exchange rates, it said.

Ahold said in November it was seeking to bolster its U.S. operations through acquisitions, to help it take on competitors such as Kroger, Walmart and Amazon in the race to win online customers.

In the Netherlands, Ahold’s sales rose 3.3 percent, despite losing market share at its flagship Albert Heijn stores. Its online Bol.com store increased sales by 32.3 percent in the quarter and 2.1 billion euros for the full year 2018.

Source link

Continue Reading

World

New Zealand Prime Minister Jacinda Ardern warns leaders

Published

on

The 38-year-old prime minister, who made history last year by giving birth to her first child while holding office, also used the session to discuss New Zealand’s new “well-being budget.” Unlike traditional measures of economic growth, like gross domestic product, the system is designed to measure the country’s environmental and societal performance.

“GDP may say your country is thriving, but it’s not thriving if it’s also degrading the environment and contributing to CO2 emissions,” said Ardern.

Specifically, the budget will consider the well-being of New Zealanders and their impact on the planet, which Ardern said would provide a more holistic measure of the country’s success. New Zealand is often ranked among the top countries globally for quality of living.

“This year, for the first time, we will be undertaking a well-being budget, where we’re embedding that notion of making decisions that aren’t just about growth for growth’s sake, but how are our people faring? How is their overall well-being and their mental health … how is our environment doing? These are the measures that will give us a true measure of our success.”

Don’t miss:

At 100 years old, the world’s oldest billionaire still goes to the office every day

Like this story? Subscribe to CNBC Make It on YouTube!

Source link

Continue Reading

World

Saudi Arabia’s inclusion in benchmarks will change the market

Published

on

Visitors stand and watch stock movements displayed on large video screens inside the Saudi Stock Exchange, also known as the Tadawul All Share Index in Riyadh, Saudi Arabia, on Monday, Nov.28, 2016.

Simon Dawson | Bloomberg | Getty Images

Visitors stand and watch stock movements displayed on large video screens inside the Saudi Stock Exchange, also known as the Tadawul All Share Index in Riyadh, Saudi Arabia, on Monday, Nov.28, 2016.

Saudi Arabia’s long-awaited inclusion in major global benchmarks could have an immediate and dramatic impact on financial markets, according to the chief executive officer of the kingdom’s Capital Markets Authority (CMA).

The taps of foreign capital are about to open for a number of Gulf states over the coming months, with Saudi Arabia poised to be included on the FTSE Russell index from March.

Over the next 12 months, the oil-rich kingdom is also expected to be included on the MSCI EM index as well as the J.P. Morgan Emerging Market government bond index.

Speaking to CNBC’s Hadley Gamble at the World Economic Forum (WEF) in Davos on Tuesday, Yasser Al-Sharif said: “We believe it is going to change the market quite markedly.”

“We are actually quite excited to see how this will change the market dynamic, increase the depth, increase institutionalization,” he added.

Inclusion in these major global benchmarks is expected to trigger tens of billions of dollars into Saudi Arabia’s debt and equity markets.

But, there are also concerns among some external observers that this extra capital could inadvertently cause the Saudi government to take their foot off the gas when it comes to economic reforms.

When asked whether an influx of foreign capital could derail the governments enthusiasm for reforms, Al-Sharif replied: “We don’t believe so.”

“Increasing foreign investor participation is a pivotal part in not just reforming the capital market … But I think it also increases the level of governance even in private companies that are looking to go public eventually. And that’s an area that we are looking to push a lot more strongly as more and more flows come in to absorb that additional liquidity.”

Source link

Continue Reading

Trending