The mystery of the Chivo Wallet remains. And Bitso comes into the picture as part of a more credible report confirmed through official channels. Looks like NewsBTC was right to doubt the Forbes article BitGo Chivo . is behind Wallet. This Reuters reportOn the other hand, comes with specific information and quotes confirming the news. for example:
“We look forward to working with El Salvador in an initiative that will transform payment structures and enhance financial inclusion in the country,” said Santiago Alvarado, Vice President of Bitso for Business.
Related Reading | Bitcoin Price Bloodbath: Is El Salvador a “Sell the News” Phenomenon?
Even as this can be considered a hoax, it does not refer specifically to the Chivo wallet. On the other hand, this little bit of information leaves little to the imagination.
“Bitso said it will work with Silvergate Bank, a US federally-regulated and California state-chartered bank, to facilitate transactions in US dollars.”
The language suggests that they are talking about business.
El Salvador made history by becoming the first country to make bitcoin legal tender, and today, we are proud to announce that Bitso Chivo has become the main crypto-services provider to build and develop El Salvador’s vision of bitcoin. Committed to.
let’s go #makecryptouseful https://t.co/2rrTNDdXab
— bitso (@bitso) September 7, 2021
If Bitso is behind Wallet, what’s the deal with BitGo?
On the other hand, in the BitGo report, the language suggests otherwise. The quote from the CEO of BitGo was non-committal and it all looked like a paid press release. NewsBTC questioned:
“The most worrying sentence, however, is “Forbes has learned that El Salvador has tapped…” They are not doing anything here. It “appears” like this, but nothing is certain.
However, can both companies be incorporated? Reuters says Bitso will be “Chivo. main service provider forForbes said BitGo.Provide Chivo’s wallet infrastructure and security platform.“Are these two statements contradictory? Or are these two big companies behind the controversial Chivo wallet?
The funny thing is that Bitso’s name was present in it. Chivo Wallet architecture leak that our sister site bitcoinist reported. BitGo was not named. And Athena was at the center of the whole operation. Still, it’s a fun detail.
One thing is for sure, the strike is completely out of the picture. In a recent Twitter thread, Strike CEO Jack Mallers bluntly stated “Strike has no business relationship with Chivo Wallet or any of their ATMs.“
What was needed was interoperability with #bitcoin Network.
strike has no business relationship with @chivowallet Or any of their ATMs.
We both integrate and operate on top of a single, singular, payment standard, which is #bitcoin and Lightning Network.
— Jack Mallers (@jackmallers) September 7, 2021
Mallers seems to be completely fine with the situation. “With the Bitcoin network, there is a single, open standard for the world,” he says later in the thread.
BTC price chart for 09/10/2021 on Bittrex | Source: BTC/USD on TradingView.com
dispatch is key
In the days before the bitcoin law took effect, bitcoinist quotes the executive chairman Central American Bank for Economic Integration, Dante Mossi. He said that his eyes were on the dispatch and that:
“Guatemala, Honduras and El Salvador are the countries that would benefit the most if the adoption of bitcoin reduces the cost of sending remittances.” All the countries in the sphere of influence of his organization.
Instead of focusing on how much Salvadorans are going to get back, a recent report about How much is Western Union going to suffer with El Salvador? Bitcoin’s move made news recently. Regarding this, the Bitcoinist said:
“However with bitcoin, the intermediaries, in this case Western Union and the like, are completely removed from the process. The money sent goes directly to the recipient without the need for processing fees to a third party. That these remittance companies will lose around $400 million per year when remittances are made via bitcoin instead.
Related Reading | Bitso raises over US$1.85m to boost Mexican bitcoin remittances
As it turns out, remittances are Bitso’s specialty. Company processed”More than $1.2 billion in remittances between the United States and Mexico in 2020.In the article, Reuters quoted Santiago Alvarado again:
“As the leading crypto exchange in the region, we are thrilled to bring our experience in remittances and secure and low-friction financial services to Salvador.”
So, it all makes sense. Nevertheless, the mystery of the Chivo Wallet remains.
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