The rapid growth and adoption of cryptocurrencies caught regulators by surprise. Since then, regulators have formed stronger positions, and even in some cases, legislation on how to regulate cryptocurrencies within established markets.
Speculation abounds and currencies like bitcoin have been used as a diversification strategy to avoid relying on fiat currencies. There is likely to be a lot of evolution as cryptos become accepted as a payment mechanism, but this depends on blockchains adapting to support much higher transaction throughput than current designs.
In the short term, speculators will continue to invest in cryptocurrencies in the hope of timing the market and buying in early. In parallel, crypto will be used as a store of value without boundaries and a means of international remittance while regulators are still catching up with the trend. The sheer number of currencies and volatility of those not pinned to a fiat currency makes the use of crypto as a ubiquitous payment mechanism unlikely in the short term but could happen very quickly if there is a perfect storm pushing people to an alternative whose value is not determined by decisions of central banks.
The unique power of Eclipse provides a holistic offering that allows end-users to have multiple wallets, each with different currencies, including cryptocurrencies. Eclipse enables one API to move funds between these distinct wallets. Through our partners, this falls within the required compliance and regulatory reporting that needs to be in place per territory.
Ukheshe is ready to back our digital wallets with traditional fiat currency as well as for cryptocurrencies. By utilising our Eclipse API, Ukheshe partners and their customers will be able to use and interact with cryptocurrencies in various ways, such as trading platforms, simple store of value accounts for transactional purposes, as well as remittances.