By
Godfrey Benjamin
April 23rd, 2024
Some of the other parties in the CDAP alliance include the British International Investment, Fidelity, and the World Bank.
In an association with the International Monetary Fund (IMF), the Bank for International Settlements (BIS) among others, Cambridge University’s Centre for Alternative Finance (CCAF) has revealed plans to launch full-fledged research on the crypto space. The collaboration also called the Cambridge Digital Assets Programme (CDAP), pushes to bring forth a detailed understanding of the evolving digitized token industry.
According to CCAF executive director Bryan Zhang, the Cambridge Digital Assets Programme plans to attain significant clarity and exposure while offering data-driven perspicuity through collective research that concerns both public and private sector stakeholders. Some of the other parties in the CDAP alliance include the British International Investment, Ernst & Young, Fidelity, and finally, the World Bank. Some other Banking giants like Goldman Sachs and payment biggies like Mastercard and Visa will also be featured in the partnership.
Sixteen organizations are collectively engaged in the Cambridge Digital Assets Programme alliance. According to Terry Angelos, SVP and Global Head of Fintech at Visa, Industry inclusion along with the public-private collaboration will be essential in carrying the advantages of digitized currencies to everyday life in a durable, comprehensive, and safe way.
The Cambridge Digital Assets Programme is a result of Cambridge University’s earlier research into Blockchain and Cryptocurrency. The CCAF’s Cambridge Bitcoin Electricity Consumption Index is a popular source for quoting the yearlong electricity consumption of Bitcoin. As of today, the total electricity consumption of Bitcoin is at a staggering figure of hundred and thirty terawatt-hours per year. The same unit at Cambridge University also disclosed information on the fact that the United States has currently become the world’s greatest market for Bitcoin Mining. The United States was placed at the top following the Chinese government’s ban on crypto mining activities in the country in 2021. This led to many crypto users migrating to the States for better opportunities.
Other parties in the newly formed Cambridge-driven alliance have, previously, been associated with the crypto space.
Moreover, the Bank of International Settlements has introduced a wide-ranging list of issues with cryptocurrency and the crypto market. While this was presented in December last year, the BIS cautioned everyone against the Crypto space. According to BIS, the decentralized Finance space (DeFi), possesses the potential to endanger the entire framework of the financial system already in place. The organization fears a spillover of the crypto hacks into the traditional financial systems. While this hasn’t happened in the past, the “potential for spillovers should not be underestimated”.
The bank has been known to disapprove of cryptocurrencies while calling them assets with very rare redeeming public interest attributes. This term was brandished on the digited tokens in a report on the flagship cryptocurrency (Bitcoin’s) energy consumption and role in money laundering.