Corporate cryptocurrencies: Following Facebook, Walmart is now increasing the pressure on politicianssteemCreated with Sketch.

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Corporate cryptocurrencies: Following Facebook, Walmart is now increasing the pressure on politicians
After the first wave of controversial discussions about the Facebook crypto currency Libra has passed, now reports another group with crypto plans. For example, US retail giant Walmart has filed a patent for the issue of its own cryptocurrency. Which motives play a role, what are the chances for admission and how the project influences the crypto sector?

After Facebook has also Walmart in the form of a patent application announced to plan the issue of its own cryptocurrency in stable coin format. Like Facebook's Libra, the Walmart Coin should also be linked to Fiat currencies, most likely the US dollar.

Walmart: An underrated giant
With more than two million employees, Walmart is not only the largest private employer in the world, but also the strongest in sales. No retailer in the world handles more transactions than Walmart. The potential to save not only hundreds of millions of dollars in transaction costs. But optimizing the added value of one's own ecosystem also opens up hitherto unimagined possibilities - starting with the two million employees whose incentives can be better covered through token models, right through to supplier and customer loans and bonus programs.

As with Facebook's Libra, the effect on crypto adaptation would be enormous. A not inconsiderable part of the world's population could come into direct contact with a cryptocurrency.

America first: For the time being only on American soil?
Despite the global dominance of Walmart, the project is apparently aimed at the US citizens themselves. While Facebook focuses on developing countries in particular, the lower strata of society in the US should be addressed as a target group in particular. It can be assumed that Walmart intends to create further consumer incentives that are not thwarted by the often permanently overdone credit card framework of consumers. The "culture" of credit card debts and bonus programs in the US is known to occupy a very different position than in Europe.

Although Walmart also fishes in the waters of banks and credit card service providers, competition for the banking sector is likely to be lower here than on Facebook. At least Walmart tries to calm the minds of the regulators by downplaying their own plans. After the sometimes violent reactions from the US policy to Facebook's Libra, Walmart finally wants to avoid unnecessarily early on the target of the regulators and the public.

Pandora's Box
At the same time, with Walmart's letter of intent to issue a cryptocurrency, there is growing pressure on hitherto overtaxed policies. How can private money - even if it is US dollar-covered stable coins - exist alongside the US Federal Reserve's US dollar? Caught between financial market liberalism on the one hand and state control on the other hand, one is afraid to open the Pandora's box. Of course, the US government is (still) able to shake off the individual plans of a corporate cryptocurrency.

Nevertheless, the price would be too high and the victory only a temporary one. Every halfway enlightened government knows that it can not stop such overarching developments and innovations. Especially since the lure in Facebook's case is far too big to win a new buyer for US government bonds. As can be seen from the plans, Facebook would also buy government bonds for stable-coin coverage and thereby stabilize the sovereign debt roundabout.

Currently, it can be seen from the reaction of the regulators that you want to push the day X back as far as possible. If you can not prevent him, then at least gain time. While it's still unclear when Walmart will release a coin, it's safe to predict that Facebook's Libra will actually be approved later rather than earlier.

Consolidated FOMO
Facebook and Walmart are not the only corporations that have submitted crypto patents. It can be assumed that the largest companies in the world are currently all examining the extent to which crypto features can be meaningfully implemented. The fear of being left behind by the competition is simply too great - Fear of Missing Out sends its regards.

A particularly exciting patent, for example, the sporting goods manufacturer Nike has submitted under the name Cryptokicks. This suggests that you will soon be able to store and trade sneakers as digital collectibles on the Blockchain. There are also rumors that Samsung is also working on plans for its own cryptocurrency. It is very likely that in the next few months

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Interesting perspective. ;)

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