Does this bother anyone else? This little new world currency was introduced on September 10, 2009. What will it mean for us? How soon will we be asked to pay in Wocu since the US Dollar is devalued so much due to overprinting by the current administration?
New World Currency Introduction
/PRNewswire/ -- This week the world's financial markets will see the first ever execution and settlement of a trade conducted in Wocus(TM) (World Currency Unit), the newly-introduced world currency. The Wocu has been developed as a derived world currency unit to allow corporations, financial institutions, governments and even individuals to trade across national boundaries and hold foreign assets with minimal risk of losses caused by exchange rate fluctuations.
Whilst international trade is conducted in US dollars or Euros a sharp change in exchange rates causes huge differentials, vastly complicating risk management and forward planning. With the emergence of Russia, China and India into the world markets a less volatile world currency is needed. As the Wocu is a derivative of the exchange rates of the world's top 20 currencies as measured by GDP it substantially reduces the risk factors. WDX Organisation, the company behind the Wocu, has weighted its algorithm in line with these GDPs, creating a demonstrably less volatile and totally apolitical currency unit.
Howard Flight, fund manager, consultant, politician and author of 'ALL YOU NEED TO KNOW ABOUT EXCHANGE RATES' was the keynote speaker at the launch. He said: "I expect this to be an important moment for the history of currency - a new currency reference is being born which should be very useful for both major buyers and sellers of world commodities." He adds: "The questions are as to who will use it? WDX commercial arrangements are lining up major banks to both trade in and settle international trade transactions on behalf of corporate clients in Wocus. Banks and InterDealer Brokers will also trade Wocu derivatives for clients. It is surprising the IMF has not modernised the SDR, which new technology would enable. The Wocu does just that".
How does the Wocu differ from the IMF's SDR? The SDR, while a valuable tool, is based on 4 currencies and re-weighted only every 5 years, unlike the Wocu which is re-weighted by an independent institute every six months (when the IMF releases its GDP figures).
Michael King, WDX managing director, said: "Market participants and academics are telling us that the Wocu will be well-received. We are offering organisations, governments, and, through them, individuals, a new instrument of great elegance and power. Its use will herald less risk, less volatility and more certainty. Some even see it as the answer to the reserve currency issue. I am delighted that the Wocu, the result of much academic research and technical development, is now a reality."
Flight comments: "Corporate Treasurers and ACT members really like the Wocu concept as it reduces volatility and exchange rate risk and the concept of the Wocu is happily straightforward."