Blockchain for tea and metaverse for archaeology.

Hello, and welcome to our first episode of De.Nomics newsletter, your daily digest to stay ahead in the world of Web3 and decentralized technologies at a regional focus. Today, we have plenty of trending news and stories. So, get your cup of tea and some biscuits, and let’s go ahead.
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Global Biscuits

• FTX, a crypto exchange that filed for bankruptcy last year, has updated its proposal to return most of the funds to its customers. The plan, which will be presented to a U.S. bankruptcy court by Dec. 16, states that customers who withdrew less than $250,000 worth of crypto in the nine days before the shutdown can get their full claim.
  Customers who withdrew more than that will get a "Shortfall Claim" for the rest of their assets. The assets on the exchange are estimated at about $9 billion for FTX.com and $166 million for FTX.US. However, the actual recovery may vary depending on taxes, government claims, token price fluctuation, etc.

  The FTX bankruptcy has affected the crypto market significantly, as it was one of the industry's largest and most influential exchanges. It is reported that FTX's troubles have caused currencies such as Bitcoin to drop 20% this week and increased pressure on other companies to prove their financial strength.

• Ripple Labs, the company that created the XRP cryptocurrency, has recently achieved significant success in its legal dispute with the U.S. Securities and Exchange Commission (SEC). The SEC had sued Ripple's CEO Brad Garlinghouse and Executive Chairman Christian Larsen, claiming they had conducted an illegal $1.3 billion digital asset securities offering involving XRP. However, the SEC has now withdrawn its charges against the two executives, exonerating them of any misconduct.

  This is a significant victory for Ripple and XRP, as it eliminates a major source of doubt and regulatory scrutiny from the company and its token. XRP is one of the biggest and most popular cryptocurrencies in the world, with a market value of over $50 billion as of October 2023. It is designed to enable fast, low-cost and secure cross-border payments using a network of validators that operate on a consensus protocol.

  Ripple Labs has been developing and supporting XRP since 2012 and has collaborated with hundreds of financial institutions, payment providers and platforms around the world. Some of its notable partners include MoneyGram, Santander, SBI Holdings, American Express and Standard Chartered. Ripple Labs also offers various products and services that use XRP, such as RippleNet, On-Demand Liquidity (ODL) and Line of Credit.

  The SEC's lawsuit had hindered Ripple's growth and innovation, as it caused many exchanges and platforms to remove or suspend XRP trading in the U.S.

On the menu (A must-have)
The world is decentralizing your favourite drink

No taste is better than your favourite cup of tea or coffee. However, like any other industry, tea and coffee production faces various challenges from production to distribution. Here’s how blockchain technology can revolutionize the tea and coffee industry.

• Supply Chain Transparency: Blockchain enables end-to-end visibility into the supply chain. For tea and coffee, this means tracking the journey of beans or leaves from farm to cup. Producers can record each step, including cultivation, harvesting, processing, and transportation. Consumers, in turn, can verify the product's authenticity and origins. This transparency can help build trust and ensure the quality and sustainability of the product.

• Fair Trade and Ethical Sourcing: Blockchain can facilitate fair trade practices. It allows for immutable records of transactions and contracts, ensuring that producers are fairly compensated for their labor. Consumers can also see whether the products they purchase meet ethical and sustainable sourcing standards.

• Quality Control: Smart contracts on the blockchain can automate quality control processes. For instance, sensors and IoT devices can monitor temperature and humidity during transportation and storage. The smart contract can trigger alerts or actions to prevent spoilage or contamination if conditions deviate from predefined parameters.

• Reducing Fraud: Coffee and tea often face issues with counterfeit products. Blockchain can authenticate each product's origin, making it challenging for counterfeiters to pass off low-quality products as high-end. Consumers can scan a QR code or use an app to access a product's blockchain history, ensuring authenticity.

• Streamlined Payments: Blockchain simplifies international transactions. This can be a game-changer for coffee and tea producers in developing countries. Payments can be automated, reducing the need for intermediaries and currency conversion fees. This ensures that more money reaches the producers.

• Environmental Impact: Sustainability is a growing concern in the tea and coffee industry. Blockchain can help track the environmental footprint of products, from water usage to carbon emissions, encouraging more sustainable practices.

Many researchers and entrepreneurs are designing and building blockchain technology to support the agriculture industry regarding supply chain management and social and environmental impacts. Such a technology has the potential to transform how we source, consume, and think about these beloved beverages.

Blockchain technology has the potential to transform the tea and coffee industry by providing more transparency and traceability in the supply chain. By using blockchain, farmers can record and verify the transactions of their beans, from the farm to the cup, and ensure they get a fair price for their product. Blockchain can also enhance food safety by enabling faster and more accurate tracking of any contamination or quality issues in the coffee supply chain. A recent study by Yacoub and Castillo (2022) explored how blockchain can improve the sustainability and profitability of coffee production in Colombia.

Check on a few projects revolutionizing this industry.

Global Farmer Connect is a blockchain technology that enables transparent and secure transactions across a distributed network of participants. One of the applications of global blockchain is to improve the traceability and sustainability of coffee and tea projects around the world. For example, IBM has partnered with Farmer Connect, a platform that connects farmers, traders, roasters and consumers, to use global blockchain to track the journey of coffee beans from farm to cup. This allows consumers to verify the origin, quality and social impact of their coffee purchases while also rewarding the farmers for their work. Similarly, global blockchain can be used to monitor the production and distribution of tea, ensuring that ethical and environmental standards are met throughout the supply chain. Global blockchain can also facilitate payments, contracts and certifications for coffee and tea projects, creating more efficiency and transparency in the industry. For more information on how global blockchain can transform the coffee and tea sector, please visit this link.

Tastes of the regions
From regulations to the metaverse, here’s what happened

• The Future Blockchain Summit concluded last week during Gitex2023 in Dubai, and we were there! Over +200 speakers shared their experiences and insights, and +130 exhibitors shared the exciting products they are working on. During our discussion with some exhibitors, many were not yet registered in UAE; however, they participated to explore the potential of moving their business to UAE.
  

• Speaking of Gitex 2023, the Sharjah Archaeology Authority (SAA) unveiled ‘Sharjah Archaeology in the Metaverse’ through the seamless integration of artificial intelligence, augmented reality, and virtual reality. This is considered a groundbreaking and first-of-its-kind project among cultural heritage institutions in the region. We couldn’t be more excited to try it out.
  

• Saudi Central Bank (SAMA) governor warns against the dangers of cryptocurrencies and calls IMF (International Monetary Fund) for good supervision of Crypto Activities. Ayman Alsayari, the governor of SAMA, stated: “We need good supervision, regulation, and coordination of cryptocurrency activities. In this context, we support the work and relevant roadmap of the IMF and the Financial Stability Board to address risks related to cryptocurrencies” during the G20 Finance Ministers and Central Bank Governors (FMCBG) meeting in Marrakech, Morocco.

A new free zone dedicated to web3 businesses… in UAE!

Ras Al Khaimah, a treasure trove of cultural heritage and scenic beauty, is setting its sights on a digital frontier. In a resounding show of ambition and innovation, Sheikh Mohammed bin Saud bin Saqr Al Qasimi inaugurated the RAK Digital Assets Oasis (RAK DAO) on October 19. This visionary endeavor marks a significant shift in the emirate's economic landscape as it steers towards the world of digital assets and Web3 technologies.

RAK DAO seeks to be a beacon for companies venturing into digital and virtual assets, blockchain, Web3, and artificial intelligence (AI). It's a place where the metaverse, utility tokens, NFTs, DAOs, decentralized applications, and other Web3 marvels converge. Besides supporting business setup and governance regulations, RAK DAO and its partners are gearing up to run grant programs and provide tailored technology, marketing, and business development support. The focus here is on fostering growth, innovation, and pioneering ideas.

RAK DAO doesn't stand alone; it thrives on collaboration. Partnerships with the HBAR Foundation, RAKBANK, Humans.ai, and a momentous MOU between the Securities and Commodities Authority and RAK DAO underscore the significance of working together to build the future.

True, RAK DAO enters a competitive arena. Abu Dhabi and Dubai are already attracting global crypto firms. However, its uniqueness lies in being part of the United Arab Emirates' list of Web3-friendly free zones, each offering businesses full ownership, customizable tax schemes, and regulatory autonomy within the UAE's criminal law boundaries. RAK DAO's journey has only just begun, and all we can do is hope it succeeds in building an ecosystem that attracts more web3 startups to our region.

Dictionomics
Word of the day… DAOs

DAOs
​​DAOs refer to Decentralized Autonomous Organizations that are governed by their members through voting and proposals. DAOs can manage funds, assets, projects, or communities in a transparent and democratic way.

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