The earthquake that the German company Wirecard has caused in the markets has hit Payoneer cards. The more than $ 2 billion lost by the German-born company has caused English authorities to freeze the operations of one of the world’s leading freelance market companies. Point for?
Wirecard, a German company that is listed – at a price 1/100 of what it had just 2 weeks ago – on the Frankfurt Stock Exchange, shook the market this week when the results of its audits were known. Even though they were clients of Ernst & Young, one of the world’s most respected accounting firms, their accounts were unclear for years and finally, last week the bomb went off to the public: 1,900 million euros that nobody knew where they were.
However, for many people the problem seemed far away, until the consequences began to be seen. Cards Payoneer They are (or were) issued by Wirecard Card Solutions Limited, a subsidiary of Wirecard.
Given the financial and accounting problem they are having at the moment from the German company, the authorities of the Financial Conduct Authority (FCA) in the United Kingdom they decided to freeze all Wirecard funds, including funds that were housed on Payoneer’s cards issued.
Is people’s money safe on Payoneer?
Without wishing to be alarmist, there is still no really clear answer from the situation that is happening. At release that issued by the British FCA explain that if there are people with funds inside the card “they must contact their card provider directly and can do so using the contact details on their website.”
However, Payoneer’s response to the matter has also not been entirely clear. In a statement they issued to their users yesterday to explain what was happening, they mentioned “we believe that the funds of the cardholders are properly protected and that the freeze will be temporary”.
However, from the British authorities confirmed in the same announcement that the measure to freeze the accounts was proposed for “protect consumer interests and money”Given the embezzlement of the 1,900 million euros. What is sought is that the company (Wirecard) does not seek to empty accounts or misuse funds in order to justify the accounting data among its subsidiaries.
Not your keys, not your money
In the crypto world there is an emblematic phrase titled “Not your keys, not your Bitcoins”, which translates as “They are not your keys, they are not your bitcoins”And refers to the fact that if you do not control the private keys of the wallet in which you deposit your Bitcoins, they are not really yours and they are from the person / company that manages the keys.
Although in this case we are not talking about cryptocurrencies, but from a Fintech company, the example could be applied in the same way. The money that the common user thinks he “owns” does not really have it, it is still kept by the company, bank or institution. Despite all the “consumer protection” system that has been tried to be raised on the management of third party money, These types of events continue to happen within the financial world.
The banking crises in Venezuela, Argentina, Colombia and Mexico show that “centralized money” and its “security” is not guaranteed despite all the guarantees that are said to be raised.
Bitcoin, outside of any speculative sense or theoretical vision, is precisely a response to this type of situation in the financial world. As the Venezuelan educator Anibal Santaella explained via Twitter, “Bitcoin is the first form of digital money that gives each owner the ability to be in full control of the money they own without the need for an intermediary. The main use of Bitcoin is that it can be owned without intermediaries.”
In these cases, we must remember that Bitcoin is financial sovereignty.
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