Saturday, July 11 , 2020 10:17
AM / by NASD Plc/ Header Image Credit: NASD
What Do You Know About Bitcoins?
Bitcoin is a decentralized digital currency without a central bank or single administrator that can be sent from user to user on the peer-to-peer bitcoin network without the need for intermediaries. Transactions are verified by network nodes through cryptography and recorded in a public distributed ledger called a blockchain (refer to previous newsletters).
A key element of bitcoin is its decentralized status, meaning that it is not controlled or regulated by any central authority. This immediately distinguishes it from fiat currencies.
Now that we have seen a brief overview of what bitcoin is, we can better understand how this leading cryptocurrency provides potential benefits to its users.
The primary draw of bitcoin for many users, and indeed one of the central tenets of cryptocurrencies more generally, is autonomy. Digital currencies allow users more autonomy over their own money than fiat currencies do, at least in theory. Users can control how they spend their money without dealing with an intermediary authority like a bank or government.
Bitcoin purchases are discrete. Unless a user voluntarily publishes his Bitcoin transactions, his purchases are never associated with his personal identity, much like cash-only purchases, and cannot easily be traced back to him. In fact, the anonymous bitcoin address that is generated for user purchases changes with each transaction. This is not to say that bitcoin transactions are truly anonymous or entirely untraceable, but they are much less readily linked to personal identity than some traditional forms of payment.
The bitcoin payment system is purely peer-to-peer, meaning that users can send and receive payments to or from anyone on the network around the world without requiring approval from any external source or authority.
Elimination of Banking Fees
While it is considered standard among cryptocurrency exchanges to charge so-called "maker" and "taker" fees, as well as occasional deposit and withdrawal fees, bitcoin users are not subject to the litany of traditional banking fees associated with fiat currencies. This means no account maintenance or minimum balance fees, no overdraft charges, and no returned deposit fees, among many others.
Very Low Transaction Fees for International Payments
Standard wire transfers and foreign purchases typically involve fees and exchange costs. Since bitcoin transactions have no intermediary institutions or government involvement, the costs of transacting are kept very low. This can be a major advantage for travellers. Additionally, any transfer in bitcoins happens very quickly, eliminating the inconvenience of typical authorization requirements and wait periods.
Like with many online payment systems, bitcoin users can pay for their coins anywhere they have Internet access. This means that purchasers never have to travel to a bank or a store to buy a product. However, unlike online payments made with U.S. bank accounts or credit cards, personal information is not necessary to complete any transaction.
Because users can send and receive bitcoins with only a smartphone or computer, bitcoin is theoretically available to populations of users without access to traditional banking systems, credit cards and other methods of payment.
NASD OTC Securities Exchange Market closed on a positive note YTD as the market recorded an increase in performance. NASD Security Index Year to date return rose by 1.47%. Total volume traded Year-to-Date stands at 7,808,158,770 units in 766 deals and total Value traded is N10,189,975,792.02.
Week 28 Overview
NASD OTC Securities Exchange closed the week with a negative return in NSI. The NSI return fell by -1.28% to close the week at 707.77 points against 716.96 points in the preceding Friday, July 03 2020.
In addition, Week 28 saw NASD Investors lose N6.75 Billion in value. NASD OTC Market capitalization closed at N519.90 Billion compared to N526.65 Billion in the preceding Friday, resulting from a negative movement of prices.
There was a 346.36% increase in the total value traded during the week as week 28 saw NASD Investors trade a total of N59,825,479.95 in value compared to N13,403,014.5 in the previous week. Total trade activity for the year is valued at N10,189,975,792.02.
In the same pattern, volume traded during the week was 10,737,277.00 units compared to 224,488.00 units in the previous week leading to a 4,683.01% increase in trade volume compared to week 27. Total volume traded for the year is 7,808,158,770 units.
Top Traded Securities by Volume
The week closed with Food Concept Plc Ranking top among four most traded securities by volume and VFD Group Plc as the fourth most traded stock by volume in week 28.
Top Traded Securities by Values
The week closed with FrieskandCampina Wamco Nigeria Plc ranking top among top four most traded securities by value and Niger Delta Exploration and Production Plc stood as the fourth most traded Security by Value for the week.
Advancers for the week
Three of NASD OTC stocks closed the week with a positive movement in the prices of three of its Stocks. Afriland Properties Plc, which currently holds a Market Capitalization of N2.94 Billion closes the week at N2.14 representing a 8.08 percent increase from the previous close of N1.98.
Food Concept Plc, which currently holds a Market Capitalization of N4.38 Billion closes the week at N0.75 representing a 7.14 percent increase from the previous close of N0.7.
FrieslandCampina Wamco Nigeria Plc, which currently holds a Market Capitalization of N118.14 Billion closes the week at N121 representing a 0.12 percent increase from the previous close of N120.86.
Decliners for the Week
One of NASD OTC big stocks close the week with a negative movement in price. Central Securities Clearing System Plc which currently holds a Market Capitalization of N67.50 Billion closes the week at N13.5 representing a -9.88 percent decrease from the previous close of N14.98.