Dual Currency Bond – Basket Village USA http://basketvillageusa.com/ Tue, 11 Jan 2022 00:25:58 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://basketvillageusa.com/wp-content/uploads/2021/03/basketvillageusa-icon-70x70.png Dual Currency Bond – Basket Village USA http://basketvillageusa.com/ 32 32 An open letter on Bitcoin to Tesla and Elon Musk https://basketvillageusa.com/an-open-letter-on-bitcoin-to-tesla-and-elon-musk/ Sun, 09 Jan 2022 23:00:00 +0000 https://basketvillageusa.com/an-open-letter-on-bitcoin-to-tesla-and-elon-musk/

The Bitcoin Magazine Policy Team invites Tesla and Elon Musk to reconsider their position on the environmental impact of bitcoin.

Dear Tesla and Elon Musk,

In February 2021, Tesla became a leader in the Bitcoin industry by accepting payments alongside Microsoft, PayPal, Starbucks, Overstock, and Twitch. As users and supporters of Bitcoin, we were obviously disappointed in May when Tesla announced that it would no longer accept bitcoin and only accept fiat currencies.

Much has been written on the issues of this currency, such as aid to organized crime, untraceability and the environmental impact of its use. Nonetheless, while this currency is used extensively for crime, virtually unobtainable, and kills thousands of trees every year, we still believe that it would be excessive to ban fiat money altogether. However, we don’t know why a double standard seems to exist for bitcoin.

We are aligned parties in understanding the environmental impact:

When Tesla stopped accepting bitcoin, Elon wrote: “Tesla’s mission is to accelerate the interest in sustainable energy. We cannot be the company that does this and also fail to exercise due diligence on the use of Bitcoin’s energy. . ” As you know, many Tesla owners are bitcoin owners, and although the Bitcoin community is large, it includes many people aligned with the cited concern. Bitcoin users also want to “speed up […] sustainable energy. ”Moreover, many (even most) believe that“ due diligence ”is prudent when it comes to bitcoin’s energy consumption.

We are surprised that these arguments are being used against bitcoin, as the available evidence shows that bitcoin does accelerated adoption of sustainable energy. In real time, renewable energy companies often produce electricity beyond local demand, making continued clean energy production uneconomic and discouraging investment in these projects. To research confirms, however, that revolving projects can dramatically increase profits by integrating bitcoin mining into their operations. Since bitcoin can be mined anywhere and anytime, businesses can mine bitcoin when grid demand is met and energy prices are low, and sell energy when demand is. positive. This allows renewable energy operations to make money when they would otherwise not have been profitable, prompting more investment in renewable technologies and accelerating the R&D needed to make renewables so cheap. as possible. In this way, Bitcoin can be one of the most important technologies to help in the expansion of clean energy.

In addition, a lot of things, like Tesla cars themselves, consume huge amounts of energy; we decide whether this energy consumption is worth it based on the benefits it provides. Bitcoin only works if the benefits of the technology outweigh the cost, and understanding the true environmental impact of the technology allows us to do this cost-benefit analysis correctly.

Given the common interest of the Bitcoin community in environmental matters, we are allies of “Bitcoin’s due diligence on energy use”. It is difficult to generate a quality analysis of the environmental impact of bitcoin. As a result, the existing traditional writings on environmental issues are highly problematic, result from misunderstandings about bitcoin, and generally have inflammatory and misleading titles. But the evidence seems to indicate that while Tesla vehicles and bitcoin use energy, both technologies are good for the environment.

Energy mix assessment

In July 2021, Elon Musk explained as the rationale for his decision to suspend payments: “I wanted a little more due diligence to confirm that the percentage of renewable energy use is most likely equal to or greater than 50%, and that there is a tendency to increase that number, and if so, Tesla would start accepting bitcoin again. ”

It’s a little ironic that Tesla is so concerned about Bitcoin’s energy sources. Bitcoin’s energy mix already exists, according to the best available research 56% renewable, compared to approximately 20% for the electricity consumption of the average American. Because over 80% of Tesla charging is done at home, does that mean Teslas should be put on hold until the energy people use to charge them is over 50% renewable? We hope not.

The percentage of renewable energy used by Bitcoin is also prompted to increase rapidly. In March 2021, Bloomberg New Energy Finance found that “renewable energies are the cheapest energy option for 71% of global GDP and 85% of global electricity production. It is now cheaper to build a new solar or wind farm to meet the growing demand for electricity or to replace a build a new fossil fuel power plant. … On a cost basis, wind and solar are the best economic choice in markets where there are firm production resources and where demand is increasing. more affordable available, anywhere in the world, and that the cheapest energy is most often renewable energy, then logically, Bitcoin’s energy mix will continue to move towards renewable energies.

Bitcoin’s environmental impact requires more research:

The fundamental question about the environmental impact of bitcoin is a reasonable one that requires further analysis. We would postulate that operational questions, and those that have received virtually no research attention, would include: (1) What is the environmental impact of the global bitcoin network to be mined? (2) What is the incremental impact of bitcoin transactions? (3) What is the environmental cost of keeping your bitcoin (for those who keep their bitcoin with a provider like Gemini)? And (4) In what ways does bitcoin positively impact the environment?

For each analysis, a proper breakdown would not just say “bitcoin uses as much energy as XYZ” but contextual information such as: (A) What is the delta of bitcoin’s energy consumption relative to equivalent in fiat currency and gold? (B) What type of energy is used? (C) When is the energy used (given the duck’s energy consumption curve)?

Methodology of the initial example

The existing, albeit limited, research on these topics indicates that The environmental impact of bitcoin is vastly overestimated. Most research on the environmental impact of bitcoin assumes that there is essentially no electrical or environmental cost to fiat currency and financial systems; yet (among other examples) until fairly recently, checks were often loaded on planes across the country before clearing customs. A large portion of bitcoin transactions are cross-border, which, in fiat dollars, is not only hugely expensive, but also resource intensive.

Tesla should also sympathize with this situation as criticism of Tesla’s energy mix is ​​widespread.

Our proposal:

To be more effective in getting to the bottom of this question and convincing Tesla, other future suppliers and policymakers in Washington of the robustness of the results, we suggest that this research be conducted by those with strong environmental credentials to achieve the the root of the problem with results that resonate well outside the existing Bitcoin user base. We know Tesla has access to such institutions and can help our coalition include environmental groups. It is time to get some firm answers on the subject.

We, the undersigned, are co-founders of a new initiative advocating public policies for bitcoin. Let’s develop a robust methodology to analyze this topic, build in public, develop a research coalition with strong environmental convictions, and get to the bottom of the problem through a research project that authoritatively answers this question.

All Bitcoin users should be aware of the impact of their use on carbon dioxide and be able to deal with vendors such as Tesla. They should also know the impact of carbon dioxide from using dollars.

Truly,

Derek Khanna, Grant McCarty and David Zell.

This is a guest article by Derek Khanna, Grant McCarty and David Zell. The opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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Climate Debt Swaps Make Sense | The Japan Times https://basketvillageusa.com/climate-debt-swaps-make-sense-the-japan-times/ Thu, 06 Jan 2022 23:00:14 +0000 https://basketvillageusa.com/climate-debt-swaps-make-sense-the-japan-times/

What if there was a silver bullet to deal with the climate crisis, the pandemic-induced debt tightening and the need to boost development finance at the same time?

It is certainly interesting to try to solve these problems jointly, as we already need to mobilize climate finance from rich countries (the main polluters) to support low-income countries (which will bear a disproportionate burden of climate change).

President of the European Commission Ursula von der leyen at noted that “the big economies have a special duty towards the least developed and most vulnerable countries”. Meanwhile, the Managing Director of the International Monetary Fund Kristalina Georgieva says that “it makes sense” to seek to jointly tackle debt pressures and the climate crisis. the idea consists of organizing “green debt swaps”.

The idea is not new; something similar has been tested since the 1980s. In that lost decade, so-called Brady bonds were the mainstay of an international “menu” of debt restructuring instruments. Debtors used official IMF and World Bank loans to acquire US Treasury bonds as collateral, allowing them to swap existing bank loans at a steep discount for tradable and guaranteed Brady bonds. Debt-for-nature swaps were also on the menu during this time, but they were side effects.

The first such instruments were structured as agreements between a custodian organization, creditors, and a debtor government. In 1987, Conservation International used donor funds to acquire $ 650,000 in Bolivian external debt at the greatly reduced price of $ 100,000. In return, Bolivia has pledged to protect the Beni Biosphere Reserve, furnishings $ 250,000 (in local currency) for its management. Similar approaches have been used to establish a marine sanctuary in the Philippines and to protect mountain gorillas in Uganda.

Debt-for-nature swaps were attractive to conservation organizations as they could buy distressed debt at greatly reduced prices and leverage funding from their donors. But doubts remained about the effectiveness and sustainability of these strategies, so the sums involved remained low.

The most significant deal was the $ 580 million debt-for-nature swap with Poland in 1992. This established a new model by creating a central trust fund to oversee the selection, implementation and monitoring of projects. conservation projects. A similar structure is currently in use in Belize, which is allowing holders of its 2034 obligation of $ 533 million “to offer their tickets at a 45% discount off their principal” while also committing to allocate $ 23.4 million to an endowment account for the marine conservation.

Despite this encouraging recent example, debt-for-nature swaps have not taken off over the past 30 years. Yet the scale of debt and climate problems has grown to enormous proportions. The number of extreme weather events has doubled every year, triple and even quadruple since the 1980s.

Fortunately, the analyzes produced by the Intergovernmental Panel on Climate Change are now generally accepted. The IPCC reports systematically Pin up that the global “carbon budget” to keep global warming below 1.5 degrees Celsius is rapidly depleting. The world can only afford to emit about 300 gigatonnes more of carbon dioxide. At the current emissions rate of about 35 gigatonnes per year, that gives us less than a decade.

Finally feeling a sense of urgency, many countries and companies adopted net zero emissions targets, and the financial sector began to adopt ESG (environmental, social and governance) investment criteria. But the task that awaits us is difficult. Mark Carney, current UN Special Envoy for Climate Action and Finance, estimates that a global transition to a net zero economy will require between $ 3.5 trillion and $ 4.5 trillion in annual funding.

Over-indebtedness is also reaching historic levels. During the pandemic, the overall debt burden of low-income countries increased by 12%, reaching $ 860 billion in 2020. When the pandemic struck, the threat of a sudden halt in capital flows and a veritable financial crisis in emerging markets was felt. The G20 responded by adopting the Debt Service Suspension Initiative, which has been used by more than 40 countries defer reimbursement. Nevertheless, an IMF To analyse out of 70 low-income countries find that seven are already in debt distress and 63 are at high or moderate risk of debt distress.

A mountain gorilla sits in the canopy of the dense jungle at the edge of Bwindi National Park in Uganda in January 2007. | usage worldwide STUART PRICE / AFP / VIA GETTY IMAGES

A new menu

One of the problems when trying to tackle climate change and debt with one package is that they don’t line up perfectly. Funding for climate change mitigation is need the most in high-income countries, with around a third of the transition investments required in Europe and the United States, and more than half in the Asia-Pacific region, mainly in China. With few exceptions, the contribution of low-income countries to global warming is negligible. The match between financing needs and the management of the environmental externality is imperfect at best.

On the other hand, since many low-income countries are highly exposed to climate change, they will need finance to invest in adaptation. Part of this could be provided through debt relief; but, once again, the match between financing needs and over-indebtedness is imperfect. While countries like Haiti, Niger and South Sudan face both high debt and acute climate risk, many others face just one of these issues.

A related question is whether debt conversions are the most effective way to provide relief. Rich countries have generally provided bilateral debt relief without conditionality on recipient spending. If they wanted to support specific climate adaptation spending in low-income countries, they could always do so through tax transfers and conditional grants. The suitability of conditional debt relief as a financing tool for low-income countries is not always clear.

What is evident is that rich countries are responsible for the climate crisis and therefore have a moral responsibility to help poorer countries cope with the consequences. The international community is right to explore options for transferring resources for climate finance to low-income countries. Given the non-alignment of risks and financing needs, a menu of instruments for middle and low income countries will be needed.

Debt swaps for the climate can then be one option among many. They could be implemented using a Brady-type structure, which can solve the dual problem of scaling up and mobilizing private sector flows. Mobilizing both private and public finance will be essential and will require the creation of liquid markets for climate bonds and possibly some credit enhancements as part of a tripartite Brady deal.

To facilitate the process, the IMF and multilateral development banks could structure conditional debt relief and make various improvements. For example, the IMF could use recycled Special Drawing Rights to lend low-income countries the resources they need to acquire collateral for Brady Green Bonds. Private and public creditors would agree to swap their bonds at a steep discount against these green bonds, thus providing the country with fiscal space for spending on climate projects. The management and monitoring of reduction and climate investments could be done using the trust fund model which has been tested and proven in previous nature agreements.

An ambitious “Green Brady Deal” could mobilize public and private flows for climate finance in countries suffering from both high debt and climate risk. It would not be a silver bullet, nor the main course on the climate finance menu. But it could make a big difference for some of the most vulnerable countries.

Beatrice Weder di Mauro is professor of economics at the University Institute of Geneva. © Project Syndicate, 2021

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The Federal Reserve sets the wheels in motion to reduce its balance sheet https://basketvillageusa.com/the-federal-reserve-sets-the-wheels-in-motion-to-reduce-its-balance-sheet/ Thu, 06 Jan 2022 08:46:22 +0000 https://basketvillageusa.com/the-federal-reserve-sets-the-wheels-in-motion-to-reduce-its-balance-sheet/

The Federal Reserve, at its December meeting, began to consider starting to reduce the amount of bonds it holds, with members saying a balance sheet reduction will likely begin some time after the central bank begins to increase. interest rates, according to the minutes released Wednesday.

While officials have not determined when the Fed will start disbursing the nearly $ 8.3 trillion in treasury bills and mortgage-backed securities it holds, statements from the meeting indicated that the process could start in 2022, maybe in the next few months.

“Almost all of the participants agreed that it would likely be appropriate to initiate the balance sheet runoff at some point after the first increase in the target range for the federal funds rate,” the meeting summary reads.

Market expectations currently are that the Fed will start raising its benchmark interest rate in March, which would mean that balance sheet reduction could begin before the summer.

The minutes also said that once the process started, “the appropriate pace of bankruptcy would likely be faster than it was during the previous episode of normalization” in October 2017.

The size of the Fed’s balance sheet matters as central bank bond purchases were seen as a key element in keeping interest rates low while stimulating financial markets by maintaining cash flow.

Wall Street reacted negatively to the news, with stocks falling and government bond yields rising in the run-up to a Fed tightening in 2022.

Fed officials said repeatedly during the meeting that they believe the super-easy policies instituted at the start of the Covid-19 pandemic are no longer justified or justified. Addressing the main pillars of their dual goals, committee members expressed concern over soaring inflation while saying they see the labor market close to full employment.

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“They did more than talk about it. Obviously, there was a fairly long discussion. It was a pretty serious conversation, ”said Kathy Jones, chief fixed income strategist at Charles Schwab, of the minutes, which had a special section titled“ Discussion of policy standardization considerations ”.

“The fact that almost all of the participants agreed that it was appropriate to initiate the balance sheet runoff after the first increase in the federal funds rate target range implies that there is not a great appetite for ‘let’s wait. to see, ”Jones added. “The last time they waited two years. This time it looks like they’re ready to go.

During this 2017-19 reduction, the Fed allowed a monthly capped level of proceeds from the bonds it holds while reinvesting the rest. The central bank started by authorizing $ 10 billion in treasury bills and mortgage-backed securities each quarter, increasing by the same amount each period until caps hit $ 50 billion.

The program aimed to significantly reduce the balance sheet but was bypassed by the weakness of the global economy in 2019, followed by the pandemic crisis in 2020. In total, the reduction is only about $ 600 billion. . Former President Donald Trump was a vocal critic of the program, sometimes referred to as “quantitative tightening,” as he lambasted Fed officials.

Rate hikes, tapering off

As expected, the Fed’s decision-making group after the December meeting kept its benchmark interest rate near zero. However, officials also said they were forecasting up to three-quarters of a percentage point increase in 2022, along with three more hikes in 2023 and two more the following year.

Meeting officials said inflation indicators “have been higher and more persistent than expected,” the minutes said. While members said they believe growth will be “robust” in 2022, they also said inflation poses a significant risk, perhaps even more so than the pandemic.

Therefore, they said it would be time to tighten the policy sooner than expected.

“Some participants felt that a less accommodating future policy would probably be warranted and that the committee should express a firm commitment to deal with high inflationary pressures,” the minutes said.

In this sense, the committee announced that it would step up the pace of its monthly bond purchase program. Under the new plan, the program would now end around March, after which it would release the committee to start raising rates.

Current federal funds futures market prices indicate a 2-to-1 probability that the first hike will occur in March, according to the CME. FedWatch Tool. Traders believe the next increase will come in June or July, followed by a third move in November or December.

Fed officials have indicated that the reasoning behind the measures was a response to higher and more persistent inflation than they had imagined. Consumer prices are rising at their fastest rate in almost 40 years.

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Chinese state media publish video mocking Huawei fears https://basketvillageusa.com/chinese-state-media-publish-video-mocking-huawei-fears/ Tue, 04 Jan 2022 12:00:00 +0000 https://basketvillageusa.com/chinese-state-media-publish-video-mocking-huawei-fears/

Image of article titled Chinese state media publish video mocking Western fears of Huawei

Screenshot: Xinhua / Twitter

Chinese state media Xinhua on Tuesday released an English-language parody video targeting US and UK fears over tech giant Huawei. And it’s one of those things that is both extremely embarrassing and incredibly fascinating at the same time.

The video, published on Twitter and Youtube, features two figures of British intelligence operatives attempting to parody James Bond, plus Wayne’s World slogans for good measure.

In the video, the two intelligence operatives meet at a castle to get their instructions from “M,” who has a new “top priority” for Western spies. The male agent, known as James Pond (understood?), Speculates that maybe Julian Assange escaped from prison or that Edward Snowden was arrested.

While they wait, one of the officers casually talks about National Security Agency spying. She also mentions that “China” has advanced propaganda capabilities, which was actually revealed to be done by the United States during a hokey reveal when she turns over a file to reveal the letters “USA”.

Image of article titled Chinese state media publish video mocking Western fears of Huawei

Screenshot: Xinhua / Twitter

Pond’s spy character keeps saying “exSQUEEZE me,” which was a catchphrase for SNL’s character Wayne Campbell in the Wayne’s world ’90s movies. It’s unclear why the spy character continues to say a catchphrase from 30 years ago, but Wayne is played by Mike Myers, who was also in the Austin Powers films, a parody of the James Bond films. Maybe the producers of this video got confused and thought Austin Powers was saying, “Excuse me? ” too much? It also says “Yabba Dabba Doo” at one point, Fred Flintstone’s slogan, so who knows? It is all extremely confusing.

When the agents finally talk to “M,” he tells James Pond not to buy a Huawei phone. When Pond asks why, he discovers that his masters are spying on him.

“So why not Huawei? James Pond asks, before learning about Americans’ concerns about backdoors. But the other agent, known as 0.06, reveals there is no real evidence of backdoors and that this is a sinister propaganda campaign by Western intelligence agencies. .

Huawei has come under attack from Western governments who believe the company’s technology could be compromised by the Chinese government. US officials have not given details on how China would theoretically initiate an attack on the US communications infrastructure, but last month there were reports of Chinese spies who managed to penetrate Australian networks. in 2012 using a Huawei software update, according to Bloomberg News. This is the kind of claim that is incredibly difficult to independently confirm, of course.

At the end of the video, the two agents are given CIA certified phones, which are obviously buggy. You really have to see the video to appreciate how forced and strange it all is.

China clearly sees the hypocrisy of tech espionage as a weak spot for the United States in the New Cold War. In February 2019, a Huawei executive launched a similar attack at Mobile World Congress, citing Edward Snowden’s revelations as a reason not to believe U.S. officials regarding espionage allegations.

Chinese state media propaganda in English has become more and more bizarre over the past two years. In May 2020, Xinhua released a cartoon character called Terry-cotta to counter claims that China was accumulating PPE around the start of the covid-19 pandemic. And Xinhua more recently posted rap videos about American hypocrisy.

No one knows what 2022 has in store for the new US-China Cold War, but if today’s post is any guide, we can probably bet it’s going to be filled with plenty of weird propaganda videos.


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Trump named resigns after scuffle with Democratic banking regulators https://basketvillageusa.com/trump-named-resigns-after-scuffle-with-democratic-banking-regulators/ Fri, 31 Dec 2021 21:57:44 +0000 https://basketvillageusa.com/trump-named-resigns-after-scuffle-with-democratic-banking-regulators/

The Republican chairman of the Federal Deposit Insurance Corporation, who was appointed by former President Donald J. Trump, said on Friday she was cutting her term short after a clash with Democratic banking regulators.

Jelena McWilliams, who began a five-year term as president in June 2018, will resign effective February 4, she wrote in a letter to President Biden. She is also stepping down as a director of the FDIC board of directors. Ms McWilliams is the only Republican currently on the board, and her departure will add a second vacant position.

“Throughout my tenure, the agency has focused on its core mission of maintaining and building confidence in our banking system,” she wrote. “Today, banks continue to maintain strong capital and liquidity levels to support lending and protect against potential losses. “

Her exit came after Rohit Chopra, a member of the FDIC board and new director of the Consumer Financial Protection Bureau, complained earlier this month that Ms McWilliams had refused to acknowledge attempts by Democratic regulators to review the rules on bank mergers. Ms McWilliams called the conflict “Hostile takeover” by other board members in a Wall Street Journal essay.

Ms. McWilliams mainly adhered to Republican ideological lines during her tenure. That made her an obstacle to President Biden’s agenda to change the federal government’s stance on big issues like climate change and income inequality.

Democrats on the board of the FDIC, which is known primarily for supporting consumer deposits but oversees all banks across the country, claimed Ms McWilliams was blocking majority attempts to set policy.

The partisan struggle atop the sleeping banking regulator, seen by some experts as part of a Democrats’ effort to topple Ms McWilliams, spread to the public in early December. Mr Chopra and two other Democrats on the board – Martin J. Gruenberg, a long-time member, and Michael J. Hsu, interim controller of the currency – voted by email to seek public comment on the issue of bank mergers. A declaration on demand was not published on the FDIC website but on that of the consumer office led by Mr. Chopra. The FDIC soon released a statement saying it had not approved such a request for comment.

A week later, after a meeting on December 14, Mr Chopra said in a declaration, “This approach to governance is dangerous and unhealthy. By refusing to recognize the votes of other board members, he wrote, Ms. McWilliams had “attacked the rule of law.” She retaliated the next day, accusing other board members of trying to “wrest control” from the head of an independent agency. Banking sector groups called for calm and transparency.

Pat Toomey, a Republican who sits on the Senate Banking Committee, released a statement Friday criticizing Democratic board members for ending bipartisan cooperation that has spanned the 88-year history of the FDIC.

“The recent and irresponsible efforts of Director Chopra and Acting Director Gruenberg to take over the FDIC board of directors leaves a dark mark both on the FDIC and on their own personal records,” Mr. Toomey wrote. “I am deeply disturbed to see the administration support this extremist destruction of institutional standards and this unprecedented action to undermine the independence and integrity of our financial regulators.”

The CFPB did not immediately respond to a phone message and email requesting comment.

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South Korea crackdown on games to win https://basketvillageusa.com/south-korea-crackdown-on-games-to-win/ Thu, 30 Dec 2021 18:00:00 +0000 https://basketvillageusa.com/south-korea-crackdown-on-games-to-win/

Image of article titled South Korea asks app stores to end 'Play-To-Earn' Crypto Games

Photo: Pau Barrena (Getty Images)

Play-to-earn (P2E) games where users trade their playing time for crypto revenue are the latest trend storm the crypto community, and the latest subject of a crackdown in South Korea. The Naver regional newswire was first to report that the South Korean authorities have asked Apple and Google to block these games ” national distribution.

The request came from South Korea’s Game Management Committee (GMC), an official arm of the country’s Ministry of Culture, Sports and Tourism, as part of South Korea’s ongoing attempts to implement new laws for App Store operators throughout the region. Authorities last announced that under these rules, Apple and Google must allow third party payment systems in their respective South Korean App Stores.

Local legislators allege the two companies haven’t done a great job of complying with this particular payment mandate since it was passed in August, and it’s unclear whether the law will have the impact South Korean officials imagine. Some of the best game developers in the country are getting started in P2E games at present, although often technically already illegal to distribute on South Korean soil.

As a GMC official Explain to CoinTelegraph, this is because some withdrawals offered by popular P2E titles exceed 10,000 South Korean won (around $ 8.40) per pop, which means they are technically qualified as “prizes” under current South Korean law. On this basis, the official continued, it is “reasonable” to prevent P2E games from obtaining the necessary age groups to be listed in the App Store, probably because doing so would give young people access to a irresponsible amount of volatile currency.

These pre-existing local laws, however, did not prevent P2E operators from distributing their games, which brings us to the GMC’s latest call to the App Store operators themselves.

Naver reports that the committee sent letters this week asking Apple and Google to prevent app developers from registering on stores without an existing age range, namely from the GMC. or through an internal filing operator. But if these games cannot be rated in the first place because of the high payouts they promise players, then, well.

The South Korean authorities have essentially put game developers in a corner where the only way to be listed is to offer users lower payouts, which appears to be a move that would bite gamers more than anyone else. But considering how this country is among the most strict rules when it comes to how citizens are allowed to earn bitcoin, it’s no surprise to see games and players come under fire as well.

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Debt swaps against the climate, an effective means of relief https://basketvillageusa.com/debt-swaps-against-the-climate-an-effective-means-of-relief/ Thu, 30 Dec 2021 17:55:17 +0000 https://basketvillageusa.com/debt-swaps-against-the-climate-an-effective-means-of-relief/

It is certainly interesting to try to solve these problems jointly, as we already need to mobilize climate finance from rich countries (the main polluters) to support low-income countries (which will bear a disproportionate burden of climate change). The President of the European Commission, Ursula von der Leyen, declared that “the big economies have a special duty towards the least developed and the most vulnerable countries”, and the Managing Director of the International Monetary Fund, Kristalina Georgieva, declared that “It makes sense” to seek to tackle debt pressures and the climate crisis together. The idea is to organize “green debt swaps”.

The idea is not new; something similar has been tested since the 1980s. During that lost decade, so-called Brady bonds were the mainstay of an international “menu” of debt restructuring instruments. Debtors have used official IMF and World Bank loans to acquire US Treasury bonds as collateral, allowing them to swap heavily discounted bank loans for negotiable and guaranteed Brady bonds. Debt-to-nature swaps were also on the menu during this time, but they were side dishes.

The first such instruments were structured as agreements between a custodian organization, creditors, and a debtor government. In 1987, Conservation International used donor funds to acquire $ 650,000 in Bolivian external debt at the greatly reduced price of $ 100,000. In return, Bolivia pledged to protect the Beni Biosphere Reserve, providing $ 250,000 (in local currency) for its management. Similar approaches have been used to establish a marine sanctuary in the Philippines and to protect mountain gorillas in Uganda.

Debt-for-nature swaps were attractive to conservation organizations as long as they could buy distressed debt at greatly reduced prices and leverage funding from their donors. But doubts remained about the effectiveness and sustainability of these strategies, so the sums involved remained low.

The most significant deal was the $ 580 million debt-for-nature swap with Poland in 1992. This established a new model by creating a central trust fund to oversee the selection, implementation and monitoring of projects. conservation projects. A similar structure is currently in use in Belize, which allows holders of its $ 533 million 2034 bond “to offer their tickets at a 45% discount off their principal” while also committing to allocate 23, $ 4 million to a marine conservation endowment account.

Despite this encouraging recent example, debt-for-nature swaps have not taken off over the past 30 years. Yet the scale of debt and climate problems has grown to enormous proportions. The number of extreme weather events each year has doubled, tripled and even quadrupled since the 1980s.

Fortunately, the analyzes produced by the Intergovernmental Panel on Climate Change are now generally accepted. IPCC reports consistently show that the global “carbon budget” for keeping global warming below 1.5 ° Celsius is rapidly depleting. The world can only afford to emit about 300 gigatonnes more of carbon dioxide. At the current emission rate of about 35 gigatonnes per year, that gives us less than a decade.

Finally feeling a sense of urgency, many countries and companies adopted net zero emissions targets, and the financial sector began to adopt ESG (environmental, social and governance) investment criteria. But the task that awaits us is difficult. Mark Carney, the current UN special envoy for climate action and finance, estimates that a global transition to a net zero economy will require funding of $ 3.5 billion to $ 4.5 trillion annually.

Over-indebtedness is also reaching historic levels. During the pandemic, the overall debt burden of low-income countries increased by 12%, reaching $ 860 billion in 2020. When the pandemic struck, the threat of a sudden halt in capital flows and a a real financial crisis in emerging markets was looming on the horizon.

The G20 responded by adopting the Debt Service Suspension Initiative, which has been used by more than 40 countries to delay repayment. Nonetheless, an IMF analysis of 70 low-income countries reveals that seven are already in debt distress and 63 are at high or moderate risk of debt distress.

One of the problems when trying to tackle climate change and debt with one package is that they don’t line up perfectly. Climate change mitigation funding is most needed in high-income countries, with around one-third of transitional investments required in Europe and the United States, and more than half in the Asia-Pacific region, mostly in China. With few exceptions, the contribution of low-income countries to global warming is negligible. The match between financing needs and the management of the environmental externality is imperfect at best.

On the other hand, since many low-income countries are highly exposed to climate change, they will need finance to invest in adaptation. Part of this could be provided through debt relief; but, once again, the match between financing needs and over-indebtedness is imperfect. While countries like Haiti, Niger and South Sudan face both high debt and acute climate risk, many others face just one of these issues.

A related question is whether debt conversions are the most effective way to provide relief. Rich countries have generally provided bilateral debt relief without conditionality on recipient spending. If they wanted to support specific climate adaptation spending in low-income countries, they could always do so through tax transfers and conditional grants. The suitability of conditional debt relief as a financing tool for low-income countries is not always clear.

What is evident is that rich countries are responsible for the climate crisis and therefore have a moral responsibility to help poorer countries cope with the consequences. The international community is right to explore options for transferring resources for climate finance to low-income countries. Given the non-alignment of risks and financing needs, a menu of instruments for middle and low income countries will be needed.

Debt swaps for the climate can then be one option among many. They could be implemented using a Brady-type structure, which can solve the dual problem of scaling up and mobilizing private sector flows. Mobilizing both private and public finance will be essential and will require the creation of liquid markets for climate bonds and possibly some credit enhancements as part of a tripartite Brady deal.

To facilitate the process, the IMF and multilateral development banks could structure conditional debt relief and make various improvements. For example, the IMF could use recycled Special Drawing Rights to lend low-income countries the resources they need to acquire collateral for Brady Green Bonds. Private and public creditors would agree to swap their bonds at a steep discount against these green bonds, thus providing the country with fiscal space for spending on climate projects. The management and monitoring of reduction and climate investments could be done using the trust fund model which has been tested and proven in previous nature agreements.

An ambitious “Green Brady Deal” could mobilize public and private flows for climate finance in countries suffering from both high debt and climate risk. It would not be a silver bullet, nor the main course on the climate finance menu. But it could make a big difference for some of the most vulnerable countries. © 2021 / PROJECT SYNDICATE (www.project-syndicate.org)

Beatrice Weder Di Mauro is professor of economics at the University Institute of Geneva.

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IS SRI LANKA THE VICTIM OF AN INTERNATIONAL PLOT? – The Island https://basketvillageusa.com/is-sri-lanka-the-victim-of-an-international-plot-the-island/ Sun, 26 Dec 2021 05:48:45 +0000 https://basketvillageusa.com/is-sri-lanka-the-victim-of-an-international-plot-the-island/

The 9e October 2021, the Vatican announced the appointment of Rt. Rev. Dr Valence Mendis (Bishop of Chilaw) as Bishop of Kandy by His Holiness Pope Francis, succeeding Bishop Vianney Fernando on his retirement after a long episcopate very successful and record over 38 years. Its installation as 7e Bishop of Kandy will take place on the 17the January 2022 at St. Anthony’s Cathedral in Kandy in a ceremony presided over by Bishop Vianney, after which he will simultaneously lead the Diocese of Chilaw as apostolic administrator.

Bishop Valence is no stranger to Kandy. Shortly after his priestly ordination for the diocese of Chilaw on the 20the July 1985 it was given as “priest fidei donum” (ie temporarily “loaned”) to the Diocese of Kandy by the late Bishop Frank Marcus Fernando, for a period of two years. This was in response to a request made by Bishop Vianney for a young priest to overcome a crisis resulting from a shortage of priests in the diocese of Kandy. Thus, the 15e August 1985, feast of the Assumption of Our Lady in Heaven, a young, handsome and pleasant priest celebrated mass at 5.30 p.m. at Saint Anthony’s Cathedral in Kandy. The Holy Mass was uplifting and the sermon was inspiring and the inhabitants of Kandy immediately fell in love with this young priest whom the then parish priest, the late Fr. Gregory Fernando, presented as “Fr. Valence Mendis who was loaned to the diocese of Kandy by the Bishop of Chilaw for a short period ”.

Impressed both by his abilities and by his priestly commitment, Bishop Vianney recommended to Bishop Frank Marcus in early 1987 that Father Valence should pursue higher studies. This was readily accepted by Bishop Frank Marcus who extended his stay in the Diocese of Kandy by two years so that he could read for a master’s degree at Peradeniya University.

He transferred as pastor of Padiwatte in 1987, where he effectively used his talents and managed his time to nurture the parish and build a vibrant community while pursuing his academic career.

During this time, he also used his talents as a musician, lyricist and singer. His melodious interpretation of his own composition wdor foú iñf | a (Aadara Devi Saminde) in the very first audio cassette produced by the Diocese of Kandy in 1987 to commemorate the tercentenary of the arrival of Saint Joseph Vaz to Sri Lanka in 1687 and the centenary of the diocese, is still fresh in people’s minds. (In recognition of her contribution to the production of the cassette, Bishop Vianney decided to appoint her wdor foú iñf | a.

He reached out to everyone without any form of favoritism or discrimination. For him, all were children of God. He did not condemn the rich, but inspired them to care for the needy and the oppressed. By his actions and his persuasion, and his inspiring and meaningful sermons, he has shown that one can work for the upliftment of the poor as well as against injustice and abuse without being portrayed as a revolutionary. When it came to serving the poor or anyone in need, he always advised people to reach out to them – (“go the extra mile for the good of others” was his favorite saying), and his advice were well understood by people. because he practiced what he preached. Special mention must be made of how he guided and protected the youth of Padiwatte Parish (both Catholic and Buddhist) during the turbulent period of youth unrest and violence in 1988/1989.

He presented his thesis on “Ritual in Buddhism” and obtained a Master of Arts in Comparative Religion from the University of Peradeniya in 1989.

His brief stay of two and a half years as parish priest of Padiwatte culminated in the very significant celebration of the 35e Anniversary of the Shrine of Fatima (the only Marian Shrine in the diocese of Kandy) in October 1989. At the end of the celebrations, Bishop Vianney publicly thanked him for his services to the diocese and announced that he would henceforth return to the diocese of Chilaw.

In fact, when Bishop Vianney thanked Bishop Franck Marcus for giving him a very good priest, he said: “when I give, I give my best”. Upon his return to the Diocese of Chilaw, Bishop Frank Marcus decided that his talents should be used to train, guide and shape future priests in Sri Lanka. Thus began his career at the National Seminary of Ampitiya, in October 1989.

From the National Seminary he went to Rome in September 1992 to prepare a doctorate in philosophy at the Urban University. I realized the importance of his doctoral thesis (Philosophy of creation in Saint Thomas Aquinas: MAKING GOD INTELLIGIBLE TO NON-THESISTS “), only when I heard the Abbot General of the Sylvestro-Benedictine Congregation at the time say to him in June 1993: “Young man, you have chosen a daring subject for your thesis. I wish you good luck! ”After successfully defending his doctoral thesis within two years, he returned to the National Seminary in October 1994 and was appointed Dean of Philosophy. When a decision was made by The Episcopal Conference to house the philosophy students in a separate location, he was given the task of overseeing the design and construction of the new complex.The magnificent complex housing the Philosopher is sufficient proof of his versatility.

After serving the National Seminary as the first director of Philosphate (from October 2000) and subsequently as rector (from 4e February 2001), he was ordained Coadjutor Bishop of Chilaw on 2sd April 2005. He succeeds Mgr Frank Marcus as Bishop of Chilaw when he retires on the 28th.e October 2006.

Her deep spirituality centered on Christ and her devotion to Mother Mary and to the Saints are worthy of emulation. His is a spirituality which is a combination of prayer and action – a spirituality based on Jesus’ message of love and concern not only for the poor, the needy and the oppressed, but for all peoples.

Unity and charity are two words that are very dear to him, two virtues that he practices a lot. He is a fervent promoter of unity in families, in communities, in parishes and also between people of different cultures, ethnicities and beliefs. Charity, he practices until the end. Therefore, it was no wonder that he chose as his currency “UNITE OMNES IN CARITATE” (that is, to unite all in charity). Indeed, his motto is a faithful reflection of what he has been and of his vision for the future.

Until now, Bishop Valence has headed the diocese of Chilaw for 15 years. For the sake of brevity, his many works for the spiritual nourishment and social upliftment of his flock are not listed here. Suffice it to mention that his commitment to justice, peace and other social issues has blended wonderfully with the ultimate goal of proclaiming Jesus Christ and his message of love and peace.

He is smiling even in times of crisis. He personifies the servant who doubled his talents for his master (as mentioned in Jesus’ parable – Matthew 25: 14-30) because he continues to make full use of his gifts for the sake of Christ, his Church and his people. He put the needs of the Church above all else when he acceded to the request of the Holy Father, Pope Francis. Keeping two dioceses simultaneously is not an easy task. Yet his zeal and commitment combined with his total trust and faith in God through the intercession of Mother Mary and the saints will surely help him to be a true shepherd – a shepherd of the heart of God (cf. Jeremiah 3: 15).

The Diocese of Kandy is fortunate to have in Bishop Valence a worthy successor to Bishop Vianney as the seventh bishop, and it has the unique peculiarity of succeeding two learned and highly respected bishops of Sri Lanka in contemporary times and also to lead simultaneously two important dioceses, Chilaw and Kandy.

Born and raised in Moratuwa; ordained priest for the diocese of Chilaw; years of training as a newly ordained priest in the Diocese of Kandy; assist the Church in Sri Lanka in the orientation and formation of her future priests; returns to the diocese of Chilaw as his shepherd; and now returns to the Diocese of Kandy as its Shepherd while not abandoning the Diocese of Chilaw. The “fidei donum priest” of 1985 becomes bishop of the diocese in 2022! All of these make up God’s mysterious providential plan for all of us – HIS chosen children through our baptism. No wonder God tells us: “My thoughts are not your thoughts, my ways are not your ways… My thoughts are above your thoughts” (Isaiah 55: 8-9) and invites us to place our faith and trust in HIM to: “With God nothing is impossible” (Luke 1:37).

As Bishop Valence takes over the diocese of Kandy, it is our duty to seek the intercession of Mother Mary and the Saints and to pray that Almighty God will grant him long life, good health, prudence and wisdom so that he may be a good shepherd. to the flock (in the two dioceses of Chilaw and Kandy) entrusted to its care by the Lord.

Ad Multos Anos

in the Lord’s Vineyard and welcome to Kandy, dear Bishop Devasritha Valence Mendis!

Victor Silva (FCA, FCMA, MCIM – Retired)

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In Myanmar, notable Burmese family quietly outfitted a brutal army https://basketvillageusa.com/in-myanmar-notable-burmese-family-quietly-outfitted-a-brutal-army/ Sat, 25 Dec 2021 06:08:00 +0000 https://basketvillageusa.com/in-myanmar-notable-burmese-family-quietly-outfitted-a-brutal-army/

The family’s initial fortune came from jute, a natural fiber that is used to make rope and twine. The jute factory was nationalized during the army’s disastrous adventure into socialism, after its first coup in 1962.

Burma, once praised for its beautiful schools and polyglot cosmopolitanism, has fallen into scarcity. The ruling junta renamed the country Myanmar.

Mr Jonathan Kyaw Thaung’s father was sent to Northern Ireland, where he escaped the deprivation of Myanmar. His siblings have dispersed to Thailand, Singapore, the United States and Great Britain. The family’s gracious villa in Yangon has gone moldy, as has the rest of the country.

But even though many of them traveled abroad, the family remained linked in Myanmar and traveled there to do business. Their return journey was made easier by the extensive family tree, which included high-ranking Tatmadaw officers, ministers, and confidants of junta leaders.

A cousin married U Zeyar Aung, a courteous English-speaking general who led the Northern Command and the 88th Light Infantry Division, both linked by the United Nations to decades of war crimes against Myanmar’s own people. He was then Minister of Railways, then Minister of Energy and then headed the National Investment Commission, while the Kyaw Thaung fought over military contracts.

Myanmar’s patronage networks are a tangle of roots that tie family trees together. Children of generals tend to marry in close circles, perhaps with other military descendants or the offspring of business buddies.

As the Tatmadaw began to loosen control of the economy, engaging in an inflammatory sale of assets that had once been the stronghold of the military, this elite class of well-connected people rushed into profit. . Mr Jonathan Kyaw Thaung, whose mother is Irish, returned to Myanmar, along with his siblings and cousins ​​who had also been raised abroad.

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Climate Debt Swaps Make Sense | Arab News https://basketvillageusa.com/climate-debt-swaps-make-sense-arab-news/ Wed, 22 Dec 2021 20:35:56 +0000 https://basketvillageusa.com/climate-debt-swaps-make-sense-arab-news/

Climate Debt Swaps Make Sense

What if there was a silver bullet to tackle the climate crisis, the pandemic-induced debt tightening and the need to boost development finance at the same time?

It is certainly interesting to try to solve these problems jointly, as we already need to mobilize climate finance from rich countries (the main polluters) to support low-income countries (which will bear a disproportionate burden of climate change). President of the European Commission Ursula von der leyedeclared that “the big economies have a special duty towards the least developed and the most vulnerable countries”, while the managing director of the International Monetary Fund Kristalina Georgieva said that “it makes sense” to seek to jointly tackle debt pressures and the climate crisis. the idea is to organize “green debt swaps”.

The idea is not new; something similar has been tested since the 1980s. In that lost decade, so-called Brady bonds were the mainstay of an international “menu” of debt restructuring instruments. Debtors have used official IMF and World Bank loans to acquire US Treasury bonds as collateral, allowing them to swap existing bank loans at a steep discount for negotiable and guaranteed Brady bonds. Debt-for-nature swaps were also on the menu during this time, but they were side effects.

The first such instruments were structured as agreements between a custodian organization, creditors, and a debtor government. In 1987, Conservation International used donor funds to acquire $ 650,000 in Bolivian external debt at the greatly reduced price of $ 100,000. In return, Bolivia pledged to protect the Beni Biosphere Reserve, by providing $ 250,000 (in local currency) for its management. Similar approaches have been used to establish a marine sanctuary in the Philippines and to protect mountain gorillas in Uganda.

Debt-for-nature swaps were attractive to conservation organizations as they could buy distressed debt at greatly reduced prices and leverage funding from their donors. But doubts remained about the effectiveness and sustainability of these strategies, so the sums involved remained low.

The most significant deal was the $ 580 million debt-for-nature swap with Poland in 1992. This established a new model by creating a central trust fund to oversee the selection, implementation and monitoring of projects. conservation projects. A similar structure is currently in use in Belize, which is allowing holders of its 2034 bond of $ 533 million “to deliver their notes at a 45% discount from their principal”, while also committing to allocate $ 23.4 million to an endowment account for the marine conservation.

Despite this encouraging recent example, debt-for-nature swaps have not taken off over the past 30 years. Yet the scale of debt and climate problems has grown to enormous proportions. The number of extreme weather events has doubled every year, triple and even quadruple since the 1980s.

Fortunately, the analyzes produced by the Intergovernmental Panel on Climate Change are now generally accepted. The IPCC reports systematically Pin up that the global “carbon budget” to keep global warming less than 1.5 degrees Celsius below pre-industrial levels is rapidly being depleted. The world can only afford to emit about 300 gigatonnes more of carbon dioxide. At the current emission rate of 35 gigatonnes per year, that gives us less than a decade.

An ambitious “Green Brady Deal” could mobilize public and private flows for climate finance in countries suffering from both high debt and climate risk.

Beatrice Weder di Mauro

Finally feeling a sense of urgency, many countries and companies adopted net zero emissions targets and the financial sector began to adopt environmental, social and governance investment criteria. But the task that awaits us is difficult. Mark Carney, current UN Special Envoy for Climate Action and Finance, estimates that a global transition to a net zero economy will require between $ 3.5 trillion and $ 4.5 trillion in annual funding.

Over-indebtedness is also reaching historic levels. During the pandemic, the overall debt burden of low-income countries increased by 12%, reaching $ 860 billion in 2020. When the pandemic struck, the threat of a sudden halt in capital flows and a veritable financial crisis in emerging markets loomed on the horizon. The G20 responded by adopting the Debt Service Suspension Initiative, which has been used by more than 40 countries to delay repayment. Nevertheless, an IMF To analyse out of 70 low-income countries find that seven are already in debt distress and 63 are at high or moderate risk of debt distress.

One of the problems when trying to tackle climate change and debt with one package is that they don’t line up perfectly. Funding for climate change mitigation is need the most in high-income countries, with around a third of the transition investments required in Europe and the United States and more than half in the Asia-Pacific region, mainly in China. With few exceptions, the contribution of low-income countries to global warming is negligible. The match between financing needs and the management of the environmental externality is imperfect at best.

On the other hand, since many low-income countries are highly exposed to climate change, they will need finance to invest in adaptation. Part of this could be provided through debt relief; but, once again, the match between financing needs and over-indebtedness is imperfect. While countries like Haiti, Niger and South Sudan face both high debt and acute climate risk, many others face just one of these issues.

A related question is whether debt conversions are the most effective way to provide relief. Rich countries have generally provided bilateral debt relief without conditionality on recipient spending. If they wanted to support specific climate adaptation spending in low-income countries, they could always do so through tax transfers and conditional grants. The suitability of conditional debt relief as a financing tool for low-income countries is not always clear.

What is evident is that rich countries are responsible for the climate crisis and therefore have a moral responsibility to help poorer countries cope with the consequences. The international community is right to explore options for transferring resources for climate finance to low-income countries. Given the non-alignment of risks and financing needs, a menu of instruments for middle and low income countries will be needed.

Debt swaps for the climate may be one option among many. They could be implemented using a Brady-type structure, which can solve the dual problem of scaling up and mobilizing private sector flows. Mobilizing both private and public finance will be essential and will require the creation of liquid markets for climate bonds and possibly some credit enhancements as part of a tripartite Brady deal.

To facilitate the process, the IMF and multilateral development banks could structure conditional debt relief and make various improvements. For example, the IMF could use recycled Special Drawing Rights to lend low-income countries the resources they need to acquire collateral for Brady Green Bonds. Private and public creditors would agree to swap their bonds at a steep discount against these green bonds, thus providing the country with fiscal space for spending on climate projects. The management and monitoring of reduction and climate investments could be done using the trust fund model which has been tested and proven in previous nature agreements.

An ambitious “Green Brady Deal” could mobilize public and private flows for climate finance in countries suffering from both high debt and climate risk. It would not be a silver bullet, nor the main course on the climate finance menu. But it could make a big difference for some of the most vulnerable countries.

• Beatrice Weder di Mauro is professor of economics at the University Institute of Geneva. Copyright: Project Syndicate, 2021.

Disclaimer: The opinions expressed by the authors of this section are their own and do not necessarily reflect the views of Arab News

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