MicroStrategy Raises "Free" USD 1B to Buy More Bitcoin As It Hits USD 1T Market Cap.
One of the most bullish non-crypto companies, US-based software developer MicroStrategy, confirmed that its latest offering of convertible senior notes was sold out and it aims to spend over USD 1 billion on bitcoin (BTC) again. The market capitalization of the most popular cryptocurrency just surpassed USD 1 trillion today, per market data aggregators.
"The aggregate principal amount of the notes sold in the offering was USD 1.05bn," the company said, adding that it estimates that the net proceeds from the sale of the notes will be approximately USD 1.03bn.
"MicroStrategy intends to use the net proceeds from the sale of the notes to acquire additional bitcoin," the company confirmed.
As reported, this offering was different from the previous one last year because the company this time raised the money "for free" by selling 0% convertible senior notes due 2027.
The notes are convertible into cash, shares of MicroStrategy’s class A common stock, or a combination of cash and shares of MicroStrategy’s class A common stock, at MicroStrategy’selection.
At the end of January, the company owned approximately BTC 70,784 (currently USD 3.9bn). At today's prices, for USD 1.03bn they could buy BTC 18,685.
At the time of writing, BTC trades at USD 55,133, hitting another all-time high. The price is up by 6.5% in a day and 15.5% in a week. It rallied by 53% in a month. Meanwhile, as market data aggregators claim that BTC's market capitalization surpassed USD 1 trillion today, some analysts say this number might be overstated.
"Bitcoins market cap hitting USD 1trn demonstrates the mainstreaming of cryptocurrency as a store of value. Most of us in the market view this milestone as validation for the entire market. In this way, Bitcoin acts as a rising tide that raises all boats. We expect that Bitcoin is only the first of many USD 1trn market caps that we'll see in the blockchain economy," Adam Liposky, Ecosystem Operations Lead at Pocket Network, a blockchain data ecosystem for Web3 applications, said in an emailed comment.
One of the most bullish non-crypto companies, US-based software developer MicroStrategy, confirmed that its latest offering of convertible senior notes was sold out and it aims to spend over USD 1 billion on bitcoin (BTC) again. The market capitalization of the most popular cryptocurrency just surpassed USD 1 trillion today, per market data aggregators.
"The aggregate principal amount of the notes sold in the offering was USD 1.05bn," the company said, adding that it estimates that the net proceeds from the sale of the notes will be approximately USD 1.03bn.
"MicroStrategy intends to use the net proceeds from the sale of the notes to acquire additional bitcoin," the company confirmed.
As reported, this offering was different from the previous one last year because the company this time raised the money "for free" by selling 0% convertible senior notes due 2027.
The notes are convertible into cash, shares of MicroStrategy’s class A common stock, or a combination of cash and shares of MicroStrategy’s class A common stock, at MicroStrategy’selection.
At the end of January, the company owned approximately BTC 70,784 (currently USD 3.9bn). At today's prices, for USD 1.03bn they could buy BTC 18,685.
At the time of writing, BTC trades at USD 55,133, hitting another all-time high. The price is up by 6.5% in a day and 15.5% in a week. It rallied by 53% in a month. Meanwhile, as market data aggregators claim that BTC's market capitalization surpassed USD 1 trillion today, some analysts say this number might be overstated.
"Bitcoins market cap hitting USD 1trn demonstrates the mainstreaming of cryptocurrency as a store of value. Most of us in the market view this milestone as validation for the entire market. In this way, Bitcoin acts as a rising tide that raises all boats. We expect that Bitcoin is only the first of many USD 1trn market caps that we'll see in the blockchain economy," Adam Liposky, Ecosystem Operations Lead at Pocket Network, a blockchain data ecosystem for Web3 applications, said in an emailed comment.
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Craig Wright Sends His Lawyers Against Bitcoin Developers.
The outspoken Australian, Craig Wright, dubbed “Faketoshi” due to his unproven claims that he's Satoshi Nakamoto, made another move that left the cryptoverse bewildered.
UK-based litigation law firm Ontier said it begun legal proceedings against a number of unspecified Bitcoin (BTC), Bitcoin Cash (BCH), and even Bitcoin SV (BSV) developers on behalf of Tulip Trading Limited (TTL), controlled by Wright.
Per the firm, TTL "is requesting that the developers enable TTL to regain access to and control of its bitcoin," allegedly stolen from Wright in February 2020.
"The Developers owe Bitcoin owners both tortious and fiduciary duties under English law as a result of the high level of power and control they hold over their respective blockchains," Ontier said, adding that the value of the claim as at today’s market rates will be in excess of GBP 3.5bn (USD 4.94bn).
According to Paul Ferguson, Partner at Ontier, "the fact that someone has stolen Tulip Trading's digitally-held private Bitcoin keys does not prevent developers from deploying code to enable the rightful owner to regain control of its bitcoin."
The cryptoverse was quick to react.
"This is crazy. The developers don’t run these chains, they just maintain the codebases. This is like threatening [Linux developer] Linus Torvalds because you lost your Bank of America password," a partner at US-based law firm Anderson Kill, Preston Byrne, said.
The outspoken Australian, Craig Wright, dubbed “Faketoshi” due to his unproven claims that he's Satoshi Nakamoto, made another move that left the cryptoverse bewildered.
UK-based litigation law firm Ontier said it begun legal proceedings against a number of unspecified Bitcoin (BTC), Bitcoin Cash (BCH), and even Bitcoin SV (BSV) developers on behalf of Tulip Trading Limited (TTL), controlled by Wright.
Per the firm, TTL "is requesting that the developers enable TTL to regain access to and control of its bitcoin," allegedly stolen from Wright in February 2020.
"The Developers owe Bitcoin owners both tortious and fiduciary duties under English law as a result of the high level of power and control they hold over their respective blockchains," Ontier said, adding that the value of the claim as at today’s market rates will be in excess of GBP 3.5bn (USD 4.94bn).
According to Paul Ferguson, Partner at Ontier, "the fact that someone has stolen Tulip Trading's digitally-held private Bitcoin keys does not prevent developers from deploying code to enable the rightful owner to regain control of its bitcoin."
The cryptoverse was quick to react.
"This is crazy. The developers don’t run these chains, they just maintain the codebases. This is like threatening [Linux developer] Linus Torvalds because you lost your Bank of America password," a partner at US-based law firm Anderson Kill, Preston Byrne, said.
MoneyGram Slapped With Lawsuit Over Ripple, XRP Partnership.
The money transfer firm MoneyGram is facing a class action lawsuit claiming that the company made false and/or misleading statements about its partnership with American blockchain company Ripple and the legal status of the XRP token.
Per a press release by Rosen Law Firm, the suit has already been filed, and on behalf of purchasers of the securities of MoneyGram between June 17, 2019 and February 22, 2021.
The law firm claims that those who purchased "MoneyGram securities during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement."
A lead plaintiff is yet to be chosen.
MoneyGram and Ripple became partners, after the latter made a USD 30m initial investment in MoneyGram equity in June 2019. However, Ripple found itself in a long battle with the SEC over XRP, as the regulator claims that XRP is an unregistered security, which Ripple disputes.
MoneyGram recently claimed that its support for Ripple stayed in place, but still announced that it would suspend the receipt of "market development fees." Alex Holmes, the MoneyGram CEO, said at the time that they are "definitely supportive of Ripple's efforts, but at the same time, we have to do what is right for the organization."
In 2020, MoneyGram received USD 38m in net market development fees from Ripple in 2020, representing about 15% of the company’s adjusted earnings before interest, taxes, depreciation, and amortization. The company said it also faced logistical challenges in using the platform, as well as legal and reputational risks, following the lawsuit against Ripple.
The money transfer firm MoneyGram is facing a class action lawsuit claiming that the company made false and/or misleading statements about its partnership with American blockchain company Ripple and the legal status of the XRP token.
Per a press release by Rosen Law Firm, the suit has already been filed, and on behalf of purchasers of the securities of MoneyGram between June 17, 2019 and February 22, 2021.
The law firm claims that those who purchased "MoneyGram securities during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement."
A lead plaintiff is yet to be chosen.
MoneyGram and Ripple became partners, after the latter made a USD 30m initial investment in MoneyGram equity in June 2019. However, Ripple found itself in a long battle with the SEC over XRP, as the regulator claims that XRP is an unregistered security, which Ripple disputes.
MoneyGram recently claimed that its support for Ripple stayed in place, but still announced that it would suspend the receipt of "market development fees." Alex Holmes, the MoneyGram CEO, said at the time that they are "definitely supportive of Ripple's efforts, but at the same time, we have to do what is right for the organization."
In 2020, MoneyGram received USD 38m in net market development fees from Ripple in 2020, representing about 15% of the company’s adjusted earnings before interest, taxes, depreciation, and amortization. The company said it also faced logistical challenges in using the platform, as well as legal and reputational risks, following the lawsuit against Ripple.
Consider These Legal Questions Before Spending Millions on NFTs.
There are lots of intellectual property (IP) issues that are raised by non-fungible tokens (NFTs). Let's dive in to cover a few.
The main IP issues raised by NFTs have to do with copyright law. Copyright law has a mixed reputation in the world of software and cryptocurrency, but it is definitely a major concern in the art world.
What copyright issues come up because of NFTs? Ownership.
Who really owns the copyright in the work? The creator? The purchaser of the NFT? A downstream purchaser? The platform? Platforms? The smart contract?
Now you might say that copyright ownership is figured out and governed by the smart contract, but would it be recognized in all jurisdictions that the blockchain exists in? Have the requirements of the various copyright treaties been taken into consideration?
What about situations where there is more than one creator? What about situations where creators disagree after creation about how the work can and should be used?
What about "moral rights?" Is that on the radar of the NFT community? Do they know or care about these rights that are so important in Europe?
What happens when things break? Also, known as "what happens when people sue?" Do they sue platforms? Do they sue artists? Do they sue buyers? Are these questions even contemplated?
What about when a third-party copyright holder chimes in claiming their copyright is violated by a piece of NFT art? Is there a resolution process in place for platforms? Do they know or care?
Copyright is not the only issue for NFTs.
What about trademarks?
Trademarks are traditionally thought of as being concerned with consumer protection. So, if you have a NFT that incorporates a trademarked brand/slogan do you have infringement risks? If so, who should be liable?
Copycats. This is both a trademark risk and a copyright risk for NFTs. Big companies and small companies are rightly protective of their IP assets in these classes. A devil may care attitude to honoring such rights is risky.
It is easy to dismiss these concerns when a market is frothy, new, exciting and built on a YOLO mentality. It will be much harder to dismiss all this when the market is more mature and elbows are sharp.
There are lots of intellectual property (IP) issues that are raised by non-fungible tokens (NFTs). Let's dive in to cover a few.
The main IP issues raised by NFTs have to do with copyright law. Copyright law has a mixed reputation in the world of software and cryptocurrency, but it is definitely a major concern in the art world.
What copyright issues come up because of NFTs? Ownership.
Who really owns the copyright in the work? The creator? The purchaser of the NFT? A downstream purchaser? The platform? Platforms? The smart contract?
Now you might say that copyright ownership is figured out and governed by the smart contract, but would it be recognized in all jurisdictions that the blockchain exists in? Have the requirements of the various copyright treaties been taken into consideration?
What about situations where there is more than one creator? What about situations where creators disagree after creation about how the work can and should be used?
What about "moral rights?" Is that on the radar of the NFT community? Do they know or care about these rights that are so important in Europe?
What happens when things break? Also, known as "what happens when people sue?" Do they sue platforms? Do they sue artists? Do they sue buyers? Are these questions even contemplated?
What about when a third-party copyright holder chimes in claiming their copyright is violated by a piece of NFT art? Is there a resolution process in place for platforms? Do they know or care?
Copyright is not the only issue for NFTs.
What about trademarks?
Trademarks are traditionally thought of as being concerned with consumer protection. So, if you have a NFT that incorporates a trademarked brand/slogan do you have infringement risks? If so, who should be liable?
Copycats. This is both a trademark risk and a copyright risk for NFTs. Big companies and small companies are rightly protective of their IP assets in these classes. A devil may care attitude to honoring such rights is risky.
It is easy to dismiss these concerns when a market is frothy, new, exciting and built on a YOLO mentality. It will be much harder to dismiss all this when the market is more mature and elbows are sharp.
Breaking: Seychelles FSA Issues Caution Notice Against Huobi Crypto Exchange; Denies Claims of Operations in the State
The Financial Service Authority of Seychelles issued a regulatory warning against Huobi Global Limited, the largest crypto exchange originating from China for allegedly claiming to be functioning under the International Business Company (“IBC”) FSA act 2013. FSA clarified that it had not issued any such operating license to the crypto exchange and never regulated the platform.
The FSA also issued a warning to investors to be wary of making any investment in the crypto platform as it could lead to fraudulent activities given the platform does not fall under the jurisdiction of the regulatory body.
Huobi Claims Similar to Binance?
The regulatory warning against Huobi Global is quite similar to Malta issuing a similar warning against Binance in 2020 where the exchange had claimed throughout its operation to be headquartered in Malta which eventually turned out to be false. The news came as a surprise back then, since Binance is one of the top crypto exchanges with revenue growing into billions. The exchange back then tried downplaying the incident claiming to be a decentralized organization with no physical headquarter.
Huobi is yet to make any official statement on the warning raised against them, however, it won’t be a big surprise if they play it down too.
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Read more
The Financial Service Authority of Seychelles issued a regulatory warning against Huobi Global Limited, the largest crypto exchange originating from China for allegedly claiming to be functioning under the International Business Company (“IBC”) FSA act 2013. FSA clarified that it had not issued any such operating license to the crypto exchange and never regulated the platform.
The FSA also issued a warning to investors to be wary of making any investment in the crypto platform as it could lead to fraudulent activities given the platform does not fall under the jurisdiction of the regulatory body.
Huobi Claims Similar to Binance?
The regulatory warning against Huobi Global is quite similar to Malta issuing a similar warning against Binance in 2020 where the exchange had claimed throughout its operation to be headquartered in Malta which eventually turned out to be false. The news came as a surprise back then, since Binance is one of the top crypto exchanges with revenue growing into billions. The exchange back then tried downplaying the incident claiming to be a decentralized organization with no physical headquarter.
Huobi is yet to make any official statement on the warning raised against them, however, it won’t be a big surprise if they play it down too.
👇👇👇👇
Read more
CoinGape
Breaking: Seychelles FSA Issues Caution Notice Against Huobi Crypto Exchange; Denies Claims of Operations in the State
The Financial Service Authority of Seychelles issued a regulatory warning against Huobi Global Limited, the largest crypto exchange originating from China
A Year Since Big Market Crash: Bitcoin Up 1,370%, Ethereum - 1,740%.
It has been a year since the infamous Black Thursday (USA time) / Black Friday (UTC time) - one of the "droppiest" events in Bitcoin (BTC)'s, Ethereum (ETH)'s, and altcoins' history. And the world's first crypto has come a long way since.
On the night (UTC time) from Thursday, March 12, to Friday, March 13, 2020, the crypto markets turned very bloody. The focus was on the number one crypto by market capitalization which had abruptly taken a steep dive - some 40%. It went from the USD 9,000 level to below USD 5,000, and at one point even below USD 4,000.
Numerous industry insiders, analysts, researchers, and many outside the industry - all gave their insights into what had happened, why it might have happened, and took to social networking sites, research papers, and blog posts to share what they expect to see next.
Nic Carter, Partner at venture capital firm Castle Island Ventures said this loss marked the second-biggest one-day loss in bitcoin’s history, while crypto analysis firm Glassnode revealed that more than half of all circulating bitcoin was held at a loss, for the first time in over a year.
Hot on the heels of this massive event, there was major selling in altcoins, including ethereum (ETH), XRP, and litecoin (LTC). And soon after, BTC safe-haven status was questioned.
Vijay Ayyar, head of business development at crypto exchange Luno, said at the time that “investors are moving out of any risky assets.” While BTC is compared to gold as a safe-haven asset, "it’s very under-penetrated and is considered more as a risky asset to hold at this point,” he added. Jonathan Leong, CEO of fintech BTSE, also argued that "it is difficult to consider bitcoin as a safe haven at this time," while crypto trader Alex Krüger said that bitcoin was trading like “the exact opposite” of a safe-haven.
Yet Ross Middleton, Chief Financial Officer at decentralized exchange DeversiFi, noted that BTC will show "its safe-haven credentials" longer-term, while Mike Novogratz argued that the crash set "the narrative of bitcoin as a store of value ... back 12 to 18 months," adding that "we’re going to have to get through this, and then we’re going to have to rebuild confidence."
It has been a year since the infamous Black Thursday (USA time) / Black Friday (UTC time) - one of the "droppiest" events in Bitcoin (BTC)'s, Ethereum (ETH)'s, and altcoins' history. And the world's first crypto has come a long way since.
On the night (UTC time) from Thursday, March 12, to Friday, March 13, 2020, the crypto markets turned very bloody. The focus was on the number one crypto by market capitalization which had abruptly taken a steep dive - some 40%. It went from the USD 9,000 level to below USD 5,000, and at one point even below USD 4,000.
Numerous industry insiders, analysts, researchers, and many outside the industry - all gave their insights into what had happened, why it might have happened, and took to social networking sites, research papers, and blog posts to share what they expect to see next.
Nic Carter, Partner at venture capital firm Castle Island Ventures said this loss marked the second-biggest one-day loss in bitcoin’s history, while crypto analysis firm Glassnode revealed that more than half of all circulating bitcoin was held at a loss, for the first time in over a year.
Hot on the heels of this massive event, there was major selling in altcoins, including ethereum (ETH), XRP, and litecoin (LTC). And soon after, BTC safe-haven status was questioned.
Vijay Ayyar, head of business development at crypto exchange Luno, said at the time that “investors are moving out of any risky assets.” While BTC is compared to gold as a safe-haven asset, "it’s very under-penetrated and is considered more as a risky asset to hold at this point,” he added. Jonathan Leong, CEO of fintech BTSE, also argued that "it is difficult to consider bitcoin as a safe haven at this time," while crypto trader Alex Krüger said that bitcoin was trading like “the exact opposite” of a safe-haven.
Yet Ross Middleton, Chief Financial Officer at decentralized exchange DeversiFi, noted that BTC will show "its safe-haven credentials" longer-term, while Mike Novogratz argued that the crash set "the narrative of bitcoin as a store of value ... back 12 to 18 months," adding that "we’re going to have to get through this, and then we’re going to have to rebuild confidence."
Hack Sunday: NFT Theft Follows a Personal Token Attack.
After personal tokens (aka social or community tokens) had gotten hit this weekend, a non-fungible token (NFT) hack emerged as well.
A number of personal tokens saw a sudden plunge this past Sunday, following a reported security breach at social money startup Roll, which issues social tokens on the Ethereum (ETH) network - with allegedly nearly ETH 3,000 (USD 5.4m) lost.
WHALE, RARE, Friends With Benefits (FWB), Kerman Kohli (KERMAN), and Alex Masmej (ALEX) are just some of the affected tokens - and all of these had plunged between 48% and 100%.
Per Roll's report, a security incident occurred on March 14, at around 7:30 UTC, Roll’s hot wallet was hacked, with the attacker completely emptying it and selling all the tokens on Uniswap for ETH. "As of this writing, it seems like a compromise of the private keys of our hot wallet and not a bug in the Roll smart contracts or any token contracts," they said.
As the investigation continues, with an audit and a forensic analysis announced, Roll said that they have temporarily disabled withdraw from the Roll wallet of all social money until the hot wallet has been migrated. They also announced a USD 500,000 fund "to help the creators and their communities affected by this."
They provided the attacker contract and the attacker contract creator address, with a balance of nearly USD 2m in ETH. It also shows ETH 1,900 transferred to privacy tool Tornado Cash.
The creator of WHALE, one of the affected social tokens, said that "this represented 2.17% of total supply and it has been fully diluted into the market." The founder also said that the incident will not have "a material effect" on WHALE's plans, near- or long-term, and that all tokens meant for community distribution have been secured in cold wallets.
To the hacker the creator said: "You did not steal from large corporations, you stole from hardworking individuals," but also noting that the team noticed "a large number of long term holding new wallets."
Igor Igamberdiev, an analyst at The Block, said that the victims actually approved the transfers, and that this " indicates a possible private key compromise or inside job."
After personal tokens (aka social or community tokens) had gotten hit this weekend, a non-fungible token (NFT) hack emerged as well.
A number of personal tokens saw a sudden plunge this past Sunday, following a reported security breach at social money startup Roll, which issues social tokens on the Ethereum (ETH) network - with allegedly nearly ETH 3,000 (USD 5.4m) lost.
WHALE, RARE, Friends With Benefits (FWB), Kerman Kohli (KERMAN), and Alex Masmej (ALEX) are just some of the affected tokens - and all of these had plunged between 48% and 100%.
Per Roll's report, a security incident occurred on March 14, at around 7:30 UTC, Roll’s hot wallet was hacked, with the attacker completely emptying it and selling all the tokens on Uniswap for ETH. "As of this writing, it seems like a compromise of the private keys of our hot wallet and not a bug in the Roll smart contracts or any token contracts," they said.
As the investigation continues, with an audit and a forensic analysis announced, Roll said that they have temporarily disabled withdraw from the Roll wallet of all social money until the hot wallet has been migrated. They also announced a USD 500,000 fund "to help the creators and their communities affected by this."
They provided the attacker contract and the attacker contract creator address, with a balance of nearly USD 2m in ETH. It also shows ETH 1,900 transferred to privacy tool Tornado Cash.
The creator of WHALE, one of the affected social tokens, said that "this represented 2.17% of total supply and it has been fully diluted into the market." The founder also said that the incident will not have "a material effect" on WHALE's plans, near- or long-term, and that all tokens meant for community distribution have been secured in cold wallets.
To the hacker the creator said: "You did not steal from large corporations, you stole from hardworking individuals," but also noting that the team noticed "a large number of long term holding new wallets."
Igor Igamberdiev, an analyst at The Block, said that the victims actually approved the transfers, and that this " indicates a possible private key compromise or inside job."
BNY Mellon Doubles Down On Its Bitcoin Plans, Invests In Fireblocks.
The oldest bank in the US, New York Mellon Corp., joined other investors and made a strategic investment in digital asset storage, transfer, and issuing platform Fireblocks.
Today, Fireblocks said they raised USD 133 in Series C funding led by Coatue, Ribbit, and Stripes with strategic investment from BNY Mellon and SVB.
"Developing products to bridge digital and traditional assets is foundational to the future of custody," Roman Regelman, CEO of Asset Servicing and Head of Digital at BNY Mellon, was quoted as saying in an announcement.
As reported, in February, the bank said it will hold, transfer and issue bitcoin (BTC) and other unspecified cryptoassets on behalf of its asset-management clients later this year.
Meanwhile, after raising USD 179m in total, Fireblocks said it "will continue to expand global resources to service the world’s biggest banks and fintechs and connect them to the entire crypto capital markets."
"Engineering is going to be a major part of our spend," Fireblocks’ CEO and Co-founder Michael Shaulov told Forbes, adding that the firm closely advises 50% of the top 70 banks in the world and is developing pilot products with five undisclosed multinational banks.
The company claims that its platform allows banks and fintechs to deploy custody, tokenization, asset management, trading, lending, and payment solutions across public and private blockchain networks. Fireblocks said it serves over 200 financial institutions and has secured over USD 400 billion in digital assets. Per Forbes, over the past couple of months, the firm has onboarded 70 new clients and will likely have 80 new customers by the end of this quarter, twice more than forecasted.
"While we have no plans to become a bank, we believe our infrastructure will lend itself perfectly to power an entirely new era of financial services," Shaulov said in the announcement
The oldest bank in the US, New York Mellon Corp., joined other investors and made a strategic investment in digital asset storage, transfer, and issuing platform Fireblocks.
Today, Fireblocks said they raised USD 133 in Series C funding led by Coatue, Ribbit, and Stripes with strategic investment from BNY Mellon and SVB.
"Developing products to bridge digital and traditional assets is foundational to the future of custody," Roman Regelman, CEO of Asset Servicing and Head of Digital at BNY Mellon, was quoted as saying in an announcement.
As reported, in February, the bank said it will hold, transfer and issue bitcoin (BTC) and other unspecified cryptoassets on behalf of its asset-management clients later this year.
Meanwhile, after raising USD 179m in total, Fireblocks said it "will continue to expand global resources to service the world’s biggest banks and fintechs and connect them to the entire crypto capital markets."
"Engineering is going to be a major part of our spend," Fireblocks’ CEO and Co-founder Michael Shaulov told Forbes, adding that the firm closely advises 50% of the top 70 banks in the world and is developing pilot products with five undisclosed multinational banks.
The company claims that its platform allows banks and fintechs to deploy custody, tokenization, asset management, trading, lending, and payment solutions across public and private blockchain networks. Fireblocks said it serves over 200 financial institutions and has secured over USD 400 billion in digital assets. Per Forbes, over the past couple of months, the firm has onboarded 70 new clients and will likely have 80 new customers by the end of this quarter, twice more than forecasted.
"While we have no plans to become a bank, we believe our infrastructure will lend itself perfectly to power an entirely new era of financial services," Shaulov said in the announcement
NFTs Are Selling for Millions, But How Do You Tell a Diamond From a Dud?
With a non-fungible token (NFT)-based digital artwork selling for USD 69.35m, you’d be forgiven for assuming that most NFTs are worth a small — or large — fortune. However, for every multi-million-dollar NFT, there are hundreds, if not thousands, of obscure tokens sold for modest sums.
This raises an important question: with so many NFTs flooding the market, how can a potential buyer appraise the ‘inherent’ value of a non-fungible token and evaluate which types of NFT are most likely to appreciate in value?
While there’s as much justification to sell NFTs for high (or low) prices as physical artworks or collectibles, modelling their ‘fundamental’ value as if they were stocks is incredibly fraught. At the same time, most experts would expect an NFT market crash to happen sooner or later, even if they also acknowledge that NFTs are here to stay.
NFT is in the eye of the beholder
According to Messari’s Mason Nystrom, the potential value of a non-fungible token is likely to vary according to its category, and according to what it represents.
“If the NFT is a piece of art or collectible, the value is whatever the market demands. NFTs that can be utilized in games to win prizes like Sorare a digital collectible football platform trading cards have an element of utility that can be valued,”
Additionally, Nystrom also noted that NFTs which represent financial products, such as Nori's Carbon Removal Credits, can be priced similarly to existing products.
When it comes to pricing — or predicting the future price of — NFT artworks or collectibles, it’s very hard to say which particular NFTs will end up attracting a high value.
Frederik Haga, an analyst with Dune Analytics said,
“Some people make a living of buying and selling art and I don't think there's any reason for that not to happen for NFTs as well. However, I do think it's fair to say that it is harder to make a model for the ‘underlying’ value of an NFT than a stock or token for instance.”
Assuming that the creator of an NFT is already a respected artist (or simply a famous celebrity), it may be fair to assume that it will command a high price. That said, predicting whether it will rise higher in the future is probably nearly impossible, while it’s also very difficult to predict which particular NFT of a famous artist or creator will end up being the most valuable.
“Even though Picasso’s life is relatively documented, there is little evidence to suggest he kept his most valuable paintings. So, even artists themselves aren’t always capable of determining which pieces will accrue the most value,” said Mason Nystrom.
“As with any purchase consumers should consider whether they are getting value for money, in terms of what the NFT is worth to them, but I wouldn’t bet on being able to sell it on at a profit. That doesn’t mean you won’t be able to, but that shouldn’t be your primary motivation.”
With a non-fungible token (NFT)-based digital artwork selling for USD 69.35m, you’d be forgiven for assuming that most NFTs are worth a small — or large — fortune. However, for every multi-million-dollar NFT, there are hundreds, if not thousands, of obscure tokens sold for modest sums.
This raises an important question: with so many NFTs flooding the market, how can a potential buyer appraise the ‘inherent’ value of a non-fungible token and evaluate which types of NFT are most likely to appreciate in value?
While there’s as much justification to sell NFTs for high (or low) prices as physical artworks or collectibles, modelling their ‘fundamental’ value as if they were stocks is incredibly fraught. At the same time, most experts would expect an NFT market crash to happen sooner or later, even if they also acknowledge that NFTs are here to stay.
NFT is in the eye of the beholder
According to Messari’s Mason Nystrom, the potential value of a non-fungible token is likely to vary according to its category, and according to what it represents.
“If the NFT is a piece of art or collectible, the value is whatever the market demands. NFTs that can be utilized in games to win prizes like Sorare a digital collectible football platform trading cards have an element of utility that can be valued,”
Additionally, Nystrom also noted that NFTs which represent financial products, such as Nori's Carbon Removal Credits, can be priced similarly to existing products.
When it comes to pricing — or predicting the future price of — NFT artworks or collectibles, it’s very hard to say which particular NFTs will end up attracting a high value.
Frederik Haga, an analyst with Dune Analytics said,
“Some people make a living of buying and selling art and I don't think there's any reason for that not to happen for NFTs as well. However, I do think it's fair to say that it is harder to make a model for the ‘underlying’ value of an NFT than a stock or token for instance.”
Assuming that the creator of an NFT is already a respected artist (or simply a famous celebrity), it may be fair to assume that it will command a high price. That said, predicting whether it will rise higher in the future is probably nearly impossible, while it’s also very difficult to predict which particular NFT of a famous artist or creator will end up being the most valuable.
“Even though Picasso’s life is relatively documented, there is little evidence to suggest he kept his most valuable paintings. So, even artists themselves aren’t always capable of determining which pieces will accrue the most value,” said Mason Nystrom.
“As with any purchase consumers should consider whether they are getting value for money, in terms of what the NFT is worth to them, but I wouldn’t bet on being able to sell it on at a profit. That doesn’t mean you won’t be able to, but that shouldn’t be your primary motivation.”
DeFi - CeFi Convergence & 'Explosive' Growth Are Coming - BIS Summit Panel.
Decentralized finance (DeFi) and centralized finance (CeFi) are heading towards convergence as we are entering a period of rapid development for DeFi applications worldwide, according to the participants of a panel discussion at this year’s BIS Innovation Summit, an event hosted by the Bank for International Settlements (BIS).
The panel, entitled 'CeFi to DeFi: can global finance be de/re-constructed?', featured a mix of private and public sector participants who voiced their ideas and concerns related to how the opportunities and risks inherent to DeFi could transform the global financial landscape.
David Puth, CEO at Centre, the company that manages USD Coin (USDC), said that “the promise of what can happen in decentralized finance” is increasingly appreciated by the world of legacy finance.
The world is heading toward a “convergence” of centralized finance and DeFi, according to the CEO, who said “there’s an explosive period of growth ahead of us”.
Asked about the potential coexistence of central bank digital currencies (CBDCs) and stablecoins, Puth argued that, while “every central bank is going to move at its own pace accordingly,” he was confident that “stablecoins and CBDCs are going to be peacefully co-existing for an indefinite period of time.”
Joseph Lubin, Founder and CEO of blockchain company ConsenSys and Co-founder of Ethereum (ETH), stated that “the trust characteristic of blockchain comes from maximum decentralization” and “technologists and regulators have the same overarching goal: to build better systems that serve more people.”
“In these early stages of development of technology there are many sharp edges,” Lubin said, pointing to some of the areas which could be transformed through DeFi.
He further opined that microlending businesses could be built "more effectively" with the use of DeFi, but that it would take time, adding:
“Payments will be a massive innovation. Self-custody wallets already are an innovation. The way we trade tokens … is going to become more fair, in my opinion.”
Presenting a regulator’s point of view, Hester Peirce, Commissioner at the U.S. Securities and Exchange Commission (SEC), noted that “regulators are used to dealing with a centralized counterparty to which we can go.”
“There are ways to deal with that risk. You can set up a system to mutualize losses in such a scenario in which you deal with DeFi entities," she argued. But another risk in her opinion is that people often don’t think about regulation until a problem arises, and "when there is a problem, they really need a regulator,” Peirce said.
While many things in DeFi are out of the SEC’s purview, some are building "things that mimic securities … and that would fall within our purview," said Peirce, admitting that the agency has been “slow to give guidance, so people did things that potentially implicated securities.”
Sheila Warren, Head of Blockchain and Data Policy and Member of the Executive Committee at the World Economic Forum (WEF), stated that she believed “DeFi promotes financial inclusion” but that “many people use that … for claiming inclusion when there really is not a lot of it”.
Barriers to DeFi’s further proliferation included lack of digital literacy and wealth in many parts of the world, paired with a lack of infrastructure and Internet access. These represented issues which DeFi itself could not solve, according to Warren.
Pointing to a “danger of regulatory fragmentation,” Warren said she would encourage international coordination of respective countries’ regulation of DeFi.
Decentralized finance (DeFi) and centralized finance (CeFi) are heading towards convergence as we are entering a period of rapid development for DeFi applications worldwide, according to the participants of a panel discussion at this year’s BIS Innovation Summit, an event hosted by the Bank for International Settlements (BIS).
The panel, entitled 'CeFi to DeFi: can global finance be de/re-constructed?', featured a mix of private and public sector participants who voiced their ideas and concerns related to how the opportunities and risks inherent to DeFi could transform the global financial landscape.
David Puth, CEO at Centre, the company that manages USD Coin (USDC), said that “the promise of what can happen in decentralized finance” is increasingly appreciated by the world of legacy finance.
The world is heading toward a “convergence” of centralized finance and DeFi, according to the CEO, who said “there’s an explosive period of growth ahead of us”.
Asked about the potential coexistence of central bank digital currencies (CBDCs) and stablecoins, Puth argued that, while “every central bank is going to move at its own pace accordingly,” he was confident that “stablecoins and CBDCs are going to be peacefully co-existing for an indefinite period of time.”
Joseph Lubin, Founder and CEO of blockchain company ConsenSys and Co-founder of Ethereum (ETH), stated that “the trust characteristic of blockchain comes from maximum decentralization” and “technologists and regulators have the same overarching goal: to build better systems that serve more people.”
“In these early stages of development of technology there are many sharp edges,” Lubin said, pointing to some of the areas which could be transformed through DeFi.
He further opined that microlending businesses could be built "more effectively" with the use of DeFi, but that it would take time, adding:
“Payments will be a massive innovation. Self-custody wallets already are an innovation. The way we trade tokens … is going to become more fair, in my opinion.”
Presenting a regulator’s point of view, Hester Peirce, Commissioner at the U.S. Securities and Exchange Commission (SEC), noted that “regulators are used to dealing with a centralized counterparty to which we can go.”
“There are ways to deal with that risk. You can set up a system to mutualize losses in such a scenario in which you deal with DeFi entities," she argued. But another risk in her opinion is that people often don’t think about regulation until a problem arises, and "when there is a problem, they really need a regulator,” Peirce said.
While many things in DeFi are out of the SEC’s purview, some are building "things that mimic securities … and that would fall within our purview," said Peirce, admitting that the agency has been “slow to give guidance, so people did things that potentially implicated securities.”
Sheila Warren, Head of Blockchain and Data Policy and Member of the Executive Committee at the World Economic Forum (WEF), stated that she believed “DeFi promotes financial inclusion” but that “many people use that … for claiming inclusion when there really is not a lot of it”.
Barriers to DeFi’s further proliferation included lack of digital literacy and wealth in many parts of the world, paired with a lack of infrastructure and Internet access. These represented issues which DeFi itself could not solve, according to Warren.
Pointing to a “danger of regulatory fragmentation,” Warren said she would encourage international coordination of respective countries’ regulation of DeFi.
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PayPal Launches Crypto Pay Services in US for Bitcoin, Ether, Altcoins.
The payments giant PayPal – widely credited with inadvertently sparking the current crypto bull run last year with its major crypto move – has announced the launch of a service that will allow its customers to pay with cryptoassets such as bitcoin (BTC).
In a press release, the firm stated that its latest move would “significantly expand the utility of cryptocurrency,” and would be “available at millions of global online businesses.” It further stated that the service would be “continuing to expand over the coming months.”
Like its last move, which allowed offering account holders the ability to buy, sell, and (almost) hold crypto on its platform, the new service – named Checkout with Crypto – has initially only been made available in the United States.
However, the innovation, which debuts today, will also allow for conversions from crypto to fiat at the transaction stage, with the company adding that “converting cryptocurrency holdings to fiat currency at checkout,” would be enabled. This fact, it said, will allow “certainty of value and no additional transaction fees.”
The firm claimed that its new services would allow firms and individuals to receive payments in crypto and its CEO Dan Schulman was quoted as stating,
“Enabling cryptocurrencies to make purchases at businesses around the world is the next chapter in driving the ubiquity and mass acceptance of digital currencies.”
The company said that its new service supports bitcoin, as well as litecoin (LTC), ethereum (ETH) and bitcoin cash (BCH) “depending on what customers are holding with PayPal and the balances available in each cryptocurrency.”
"While for now the seller (registered in Paypal) receives money in fiat and not crypto, I believe that it won’t be long before the seller can receive crypto from the user. Over the next 2 - 3 years we will see a real revolution," she added.
The payments giant PayPal – widely credited with inadvertently sparking the current crypto bull run last year with its major crypto move – has announced the launch of a service that will allow its customers to pay with cryptoassets such as bitcoin (BTC).
In a press release, the firm stated that its latest move would “significantly expand the utility of cryptocurrency,” and would be “available at millions of global online businesses.” It further stated that the service would be “continuing to expand over the coming months.”
Like its last move, which allowed offering account holders the ability to buy, sell, and (almost) hold crypto on its platform, the new service – named Checkout with Crypto – has initially only been made available in the United States.
However, the innovation, which debuts today, will also allow for conversions from crypto to fiat at the transaction stage, with the company adding that “converting cryptocurrency holdings to fiat currency at checkout,” would be enabled. This fact, it said, will allow “certainty of value and no additional transaction fees.”
The firm claimed that its new services would allow firms and individuals to receive payments in crypto and its CEO Dan Schulman was quoted as stating,
“Enabling cryptocurrencies to make purchases at businesses around the world is the next chapter in driving the ubiquity and mass acceptance of digital currencies.”
The company said that its new service supports bitcoin, as well as litecoin (LTC), ethereum (ETH) and bitcoin cash (BCH) “depending on what customers are holding with PayPal and the balances available in each cryptocurrency.”
"While for now the seller (registered in Paypal) receives money in fiat and not crypto, I believe that it won’t be long before the seller can receive crypto from the user. Over the next 2 - 3 years we will see a real revolution," she added.
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Ripple Bosses Break from Legal Battle to Bash Bitcoin.
Not content with fighting the American regulatory Securities and Exchange Commission over the nature of the XRP token, the heads of Ripple have picked a fight with bitcoin (BTC) advocates – attacking the Bitcoin network’s often-maligned proof-of-work (PoW) consensus mechanism.
In an interview with TechRadar, the Ripple Chief Technical Officer David Schwartz claimed that the PoW has been touted as a “secret sauce” but showed “cracks” right from the outset, adding that the design of the Bitcoin PoW consensus mechanism was “such that true decentralization and disintermediation was never a possibility.”
He said,
“A cryptocurrency should be a one-sided market; the users want a store of value and a means of exchange. But what Bitcoin did was turn it into a two-sided market. Miners have historically fought for high transaction fees, because that’s their revenue. The reality is that you have another set of stakeholders who are trying to charge the highest fees they can get away with, and that’s not much different from the way payments work at a bank.”
The media outlet quoted Schwartz as stating that bitcoin was “doomed to fail its most important mission: to deliver a system whereby people can transact freely with one another, without the involvement of any intermediary.”
Meanwhile, the Ripple CEO Brad Garlinghouse also questioned Bitcoin’s carbon credentials.
He conceded that BTC was “an exceptional store of value,” but attacked its payment potential, writing,
“It’s just not ideal as a payments mechanism because of PoW energy costs/carbon dioxide emitted – estimates show a weighted average carbon intensity of 480-500 grams of carbon dioxide equivalent per kWh.”
“It’s great to see more and more individual players taking action to address climate change/use renewables for mining, but we need consensus (no pun intended) across the entire industry to make all cryptos 100% renewable,” he added.
Bitcoin defenders reacted with incredulity, with one observer quipping in a Twitter reply,
“So when will legislators/authorities utilize carbon-neutral tech such as XRP to facilitate instant, cross-border payments?”
Bitcoin critics have repeatedly attacked the network’s PoW model, with much evidence to suggest that a number of powerful mining pools rely on cheap, arcane and highly polluting coal-powered energy stations in China and elsewhere.
But even from the outset, defenders – including founder Satoshi Nakamoto himself all the way back in 2010 – have sought to justify PoW and its energy usage model.
And late last month, Lyn Alden, the founder of Lyn Alden Investment Strategy defended PoW and the Bitcoin network, pointing out that Bitcoin’s “total energy usage is determined primarily from market capitalization and difficulty adjustments, not transaction volume” – which means that “marginal bitcoin transaction/spending choice has virtually no impact on” the network’s total energy usage.
She added that much of the energy now being used in BTC mining was now coming from renewable sources and concluded,
“A lot of energy concerns directed at Bitcoin start with the presupposition that it is useless. A trillion dollars in market cap disagrees. Little concern is given to worldwide washing machine energy usage, for example, because we understand the value.”
Not content with fighting the American regulatory Securities and Exchange Commission over the nature of the XRP token, the heads of Ripple have picked a fight with bitcoin (BTC) advocates – attacking the Bitcoin network’s often-maligned proof-of-work (PoW) consensus mechanism.
In an interview with TechRadar, the Ripple Chief Technical Officer David Schwartz claimed that the PoW has been touted as a “secret sauce” but showed “cracks” right from the outset, adding that the design of the Bitcoin PoW consensus mechanism was “such that true decentralization and disintermediation was never a possibility.”
He said,
“A cryptocurrency should be a one-sided market; the users want a store of value and a means of exchange. But what Bitcoin did was turn it into a two-sided market. Miners have historically fought for high transaction fees, because that’s their revenue. The reality is that you have another set of stakeholders who are trying to charge the highest fees they can get away with, and that’s not much different from the way payments work at a bank.”
The media outlet quoted Schwartz as stating that bitcoin was “doomed to fail its most important mission: to deliver a system whereby people can transact freely with one another, without the involvement of any intermediary.”
Meanwhile, the Ripple CEO Brad Garlinghouse also questioned Bitcoin’s carbon credentials.
He conceded that BTC was “an exceptional store of value,” but attacked its payment potential, writing,
“It’s just not ideal as a payments mechanism because of PoW energy costs/carbon dioxide emitted – estimates show a weighted average carbon intensity of 480-500 grams of carbon dioxide equivalent per kWh.”
“It’s great to see more and more individual players taking action to address climate change/use renewables for mining, but we need consensus (no pun intended) across the entire industry to make all cryptos 100% renewable,” he added.
Bitcoin defenders reacted with incredulity, with one observer quipping in a Twitter reply,
“So when will legislators/authorities utilize carbon-neutral tech such as XRP to facilitate instant, cross-border payments?”
Bitcoin critics have repeatedly attacked the network’s PoW model, with much evidence to suggest that a number of powerful mining pools rely on cheap, arcane and highly polluting coal-powered energy stations in China and elsewhere.
But even from the outset, defenders – including founder Satoshi Nakamoto himself all the way back in 2010 – have sought to justify PoW and its energy usage model.
And late last month, Lyn Alden, the founder of Lyn Alden Investment Strategy defended PoW and the Bitcoin network, pointing out that Bitcoin’s “total energy usage is determined primarily from market capitalization and difficulty adjustments, not transaction volume” – which means that “marginal bitcoin transaction/spending choice has virtually no impact on” the network’s total energy usage.
She added that much of the energy now being used in BTC mining was now coming from renewable sources and concluded,
“A lot of energy concerns directed at Bitcoin start with the presupposition that it is useless. A trillion dollars in market cap disagrees. Little concern is given to worldwide washing machine energy usage, for example, because we understand the value.”
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Proof-of-Disagreement: Bitcoin's Work vs. Ethereum's Planned Staking.
In the never-ending battle between Bitcoin (BTC) and Ethereum (ETH), one of the biggest bones of contention is which consensus mechanism is best: proof-of-work (PoW) or proof-of-stake (PoS). This particular tussle has emerged amid Ethereum’s planned transition to PoS, and it’s gained fresh impetus in the light of recent efforts to accelerate the move.
While the Ethereum developers have decided that PoS is the best way forward for Ethereum, the question remains as to whether it might offer advantages to Bitcoin, which, as a store of value, has different aims.
Opinion is very much divided on this within the wider crypto community, with some believing that proof-of-work is ideal for Bitcoin, helping it to achieve greater stability and security. On the other hand, others contend that proof-of-stake offers similar levels of security while also providing more simplicity and scalability, and not to mention less of an environmental impact.
Different purposes
For some diehard Bitcoiners, the PoW vs. PoS debate isn’t even worth addressing. One BTC developer told that he isn’t the right person to comment for the purposes of this article, adding, “I don’t use shitcoins.”
However, less partisan commentators are willing to acknowledge that proof-of-work and proof-of-stake each have their own strengths and weaknesses, although many add that PoW is generally better for Bitcoin than PoS.
“While PoW is certainly a more time-tested model for securing and minting new coins on blockchains like Bitcoin, it requires huge amounts of energy, which some would even consider a feature. PoS, on the other hand, isn't’ as energy-intensive and is better at scaling blockchains,” said Mike Colyer, the CEO at crypto-mining finance company Foundry.
On the flipside, Colyer added that PoS is “theoretically more prone to centralization and has the inherent security issue of using the native tokens of a blockchain to decide the future of those tokens or the blockchain.”
Even people on the Ethereum side of the debate acknowledge that proof-of-work has its strengths, and has certainly provided the crypto industry with a strong foundation.
“One of the strongest advantages of proof of work is that it has worked as the chassis for cryptographic security for over 10 years, and now secures a trillion in value. It is technically and economically complex, which plays a role in attracting specialized mining companies to the work of maintaining the network,” said Lex Sokolin, the global fintech co-head at Ethereum-focused major blockchain company ConsenSys.
This diplomacy aside, Sokolin also affirms that PoS offers various advantages, while still providing many of the key properties of PoW.
Sokolin went on to explain that PoS is ideal for a network such as Ethereum, which is aiming to provide the digital infrastructure for a future decentralized/crypto-based financial system.
In the never-ending battle between Bitcoin (BTC) and Ethereum (ETH), one of the biggest bones of contention is which consensus mechanism is best: proof-of-work (PoW) or proof-of-stake (PoS). This particular tussle has emerged amid Ethereum’s planned transition to PoS, and it’s gained fresh impetus in the light of recent efforts to accelerate the move.
While the Ethereum developers have decided that PoS is the best way forward for Ethereum, the question remains as to whether it might offer advantages to Bitcoin, which, as a store of value, has different aims.
Opinion is very much divided on this within the wider crypto community, with some believing that proof-of-work is ideal for Bitcoin, helping it to achieve greater stability and security. On the other hand, others contend that proof-of-stake offers similar levels of security while also providing more simplicity and scalability, and not to mention less of an environmental impact.
Different purposes
For some diehard Bitcoiners, the PoW vs. PoS debate isn’t even worth addressing. One BTC developer told that he isn’t the right person to comment for the purposes of this article, adding, “I don’t use shitcoins.”
However, less partisan commentators are willing to acknowledge that proof-of-work and proof-of-stake each have their own strengths and weaknesses, although many add that PoW is generally better for Bitcoin than PoS.
“While PoW is certainly a more time-tested model for securing and minting new coins on blockchains like Bitcoin, it requires huge amounts of energy, which some would even consider a feature. PoS, on the other hand, isn't’ as energy-intensive and is better at scaling blockchains,” said Mike Colyer, the CEO at crypto-mining finance company Foundry.
On the flipside, Colyer added that PoS is “theoretically more prone to centralization and has the inherent security issue of using the native tokens of a blockchain to decide the future of those tokens or the blockchain.”
Even people on the Ethereum side of the debate acknowledge that proof-of-work has its strengths, and has certainly provided the crypto industry with a strong foundation.
“One of the strongest advantages of proof of work is that it has worked as the chassis for cryptographic security for over 10 years, and now secures a trillion in value. It is technically and economically complex, which plays a role in attracting specialized mining companies to the work of maintaining the network,” said Lex Sokolin, the global fintech co-head at Ethereum-focused major blockchain company ConsenSys.
This diplomacy aside, Sokolin also affirms that PoS offers various advantages, while still providing many of the key properties of PoW.
Sokolin went on to explain that PoS is ideal for a network such as Ethereum, which is aiming to provide the digital infrastructure for a future decentralized/crypto-based financial system.
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🤓It stores verified personal profiles based on academic and professional achievements. It is backed by Cardano founders, who invested in the project.
👉DISCIPLINA's blockchain is quite compact, just like Mina's. It also has a testnet and a Mac wallet.
🔅NFT's implementation is planned to validate the authenticity of platform's content and courses.
➕Pros:➕
✅ Great technology with its own blockchain, not another Ethereum-based token
✅ Strong team
✅ Backed and supported by Cardano founder
✅ Traction in China
✅ Launchpad IDO, sweet profit and BSC is expected - just the way we like it
🚀It’s gonna be a GEM!🚀
Bitcoin, Ethereum and Altcoins Lose Steam, Correct Lower.
Bitcoin price struggled to clear the USD 58,000 resistance zone. As a result, BTC reacted to the downside and traded below the USD 57,000 support. It is currently (12:00 PM UTC) showing signs of more losses and it could drop below USD 56,000.
Similarly, most major altcoins are declining. ETH is down over 5% and it even broke the USD 2,000 level. XRP/USD topped near USD 1.100 and corrected over 12%.
Bitcoin price
After losing momentum above USD 58,000, bitcoin price started another decline. BTC traded below the USD 57,200 and USD 57,000 support levels. The next major support is near the USD 55,500 level, below which there is a risk of a sharp decline in the coming sessions towards USD 52,000.
On the upside, an immediate resistance is near the USD 57,000 level. The main resistance is now forming near the USD 57,000 and USD 57,200 levels.
Ethereum price
Ethereum price failed to clear the USD 2,120 resistance zone, resulting in a bearish reaction. ETH broke the USD 2,075 and USD 2,050 support levels. The price even broke the USD 2,000 level and it may possibly test the USD 1,920 support zone.
On the upside, the price might face resistance near USD 2,050. The main resistance is still near the USD 2,120 level, followed by USD 2,150. |
BNB, ADA, litecoin, and XRP price
Binance Coin (BNB) topped near USD 415 and it started a major decline. BNB dropped below the USD 385 and USD 380 support levels. It is now approaching the USD 350 support zone. Any more losses could lead the price towards the USD 332 level. On the upside, the price could struggle near USD 380 and USD 382.
Cardano (ADA) trimmed all gains and it traded below the USD 1.200 support level. ADA even broke USD 1.165 and it is now trading near USD 1.150. Any more losses might call for a move toward the USD 1.050 level. On the upside, the bulls might struggle again near USD 1.200.
Litecoin (LTC) failed near USD 245 and it started a fresh decline. LTC traded below the USD 225 support and it is now approaching USD 212. The next key support is at USD 205. The main support is near the USD 200 level (the last key breakout zone).
XRP price spiked above USD 1.10 and recently started a downside correction. It traded below the USD 1.02 and USD 1.00 support levels. If there are more losses, the bears are likely to aim for a test of the USD 0.925 level. Conversely, there might be a fresh increase above the USD 1.02 level.
Bitcoin price struggled to clear the USD 58,000 resistance zone. As a result, BTC reacted to the downside and traded below the USD 57,000 support. It is currently (12:00 PM UTC) showing signs of more losses and it could drop below USD 56,000.
Similarly, most major altcoins are declining. ETH is down over 5% and it even broke the USD 2,000 level. XRP/USD topped near USD 1.100 and corrected over 12%.
Bitcoin price
After losing momentum above USD 58,000, bitcoin price started another decline. BTC traded below the USD 57,200 and USD 57,000 support levels. The next major support is near the USD 55,500 level, below which there is a risk of a sharp decline in the coming sessions towards USD 52,000.
On the upside, an immediate resistance is near the USD 57,000 level. The main resistance is now forming near the USD 57,000 and USD 57,200 levels.
Ethereum price
Ethereum price failed to clear the USD 2,120 resistance zone, resulting in a bearish reaction. ETH broke the USD 2,075 and USD 2,050 support levels. The price even broke the USD 2,000 level and it may possibly test the USD 1,920 support zone.
On the upside, the price might face resistance near USD 2,050. The main resistance is still near the USD 2,120 level, followed by USD 2,150. |
BNB, ADA, litecoin, and XRP price
Binance Coin (BNB) topped near USD 415 and it started a major decline. BNB dropped below the USD 385 and USD 380 support levels. It is now approaching the USD 350 support zone. Any more losses could lead the price towards the USD 332 level. On the upside, the price could struggle near USD 380 and USD 382.
Cardano (ADA) trimmed all gains and it traded below the USD 1.200 support level. ADA even broke USD 1.165 and it is now trading near USD 1.150. Any more losses might call for a move toward the USD 1.050 level. On the upside, the bulls might struggle again near USD 1.200.
Litecoin (LTC) failed near USD 245 and it started a fresh decline. LTC traded below the USD 225 support and it is now approaching USD 212. The next key support is at USD 205. The main support is near the USD 200 level (the last key breakout zone).
XRP price spiked above USD 1.10 and recently started a downside correction. It traded below the USD 1.02 and USD 1.00 support levels. If there are more losses, the bears are likely to aim for a test of the USD 0.925 level. Conversely, there might be a fresh increase above the USD 1.02 level.
Settlement Is Most Likely Outcome in Ripple vs. SEC Case - Attorney.
While XRP has muscled its way back into the top-four cryptoassets by market capitalization as Ripple scored an important victory in the court, the legal battle with the US Securities and Exchange Commission (SEC) is far from over and most likely will end with a settlement, per an attorney.
According to Andrew Hinkes, attorney at Carlton Fields and adjunct professor at NYU School of Law and NYU Stern School of Business, Ripple’s ability to win discovery, leaving the SEC to serve up “disputed documents” on bitcoin and ether to the blockchain startup, was “significant.”
“Ripple will receive previously undisclosed materials providing insight into the SEC's view of bitcoin and ethereum, both of which to date have not been considered to be securities. Ripple has argued that it is entitled to see those materials to understand why the SEC views Ripple's conduct to violate the securities laws but why they do not consider the conduct associated with bitcoin and ethereum to have violated those same laws. The information should be informative, especially as to Ethereum, which, like Ripple, sold tokens to distribute its assets at inception,” said Hinkes.
While Ripple chief Brad Garlinghouse, who is named as a defendant in the lawsuit alongside Executive Chairman Chris Larsen and Ripple Labs, was seemingly empowered by the legal nod, he is not out of the woods yet.
“Ripple has vast financial resources and has hired an exceptional legal team, including several former high-ranking SEC officials. Unlike many large projects that have been sued by the SEC, they appear to have the resources to take the case to a judgment and appeal,” stressed Hinkes.
One of those officials is Mary Jo White, former chair of the SEC. Also, at the end of 2019, Ripple attracted USD 200m to its coffers in venture capital, with a valuation of USD 10bn attached.
However, per Hinkes, it's far too early to handicap their case.
“To date the SEC's interpretation and application of the securities laws to offerings and sales of digital assets has been supported by courts in virtually every instance,” he said.
The most likely outcome, according to the attorney, will be a negotiated settlement.
“It’s the most common outcome in high-stakes litigation,” he said.
As reported in February, counsels for the SEC, Ripple, and two of its executives said back then they "do not believe there is a prospect for settlement at this time." "Defendants agree with the statement, but note that previous settlement discussions took place under a previous administration and were principally with relevant division directors who have since left the SEC," Ripple and its executives added back then.
Messaging app Kik also fought a similar battle with the SEC, one that cost the company USD 5m, not to mention legal fees.
In either case, while there are still many twists and turns that will likely play out during the litigation, one thing that is clear that there is a lot at stake, and not just for Ripple.
“If the case is litigated to a judgment and the judgment is appealed, the appeal will go to the judges of the US Court of Appeals for the 2nd Circuit. The rulings on legal issues from the 2nd Circuit would be the first binding law specifically focused on the application of the securities laws to token issuances. The entire industry is watching this case,” said Hinkes.
While XRP has muscled its way back into the top-four cryptoassets by market capitalization as Ripple scored an important victory in the court, the legal battle with the US Securities and Exchange Commission (SEC) is far from over and most likely will end with a settlement, per an attorney.
According to Andrew Hinkes, attorney at Carlton Fields and adjunct professor at NYU School of Law and NYU Stern School of Business, Ripple’s ability to win discovery, leaving the SEC to serve up “disputed documents” on bitcoin and ether to the blockchain startup, was “significant.”
“Ripple will receive previously undisclosed materials providing insight into the SEC's view of bitcoin and ethereum, both of which to date have not been considered to be securities. Ripple has argued that it is entitled to see those materials to understand why the SEC views Ripple's conduct to violate the securities laws but why they do not consider the conduct associated with bitcoin and ethereum to have violated those same laws. The information should be informative, especially as to Ethereum, which, like Ripple, sold tokens to distribute its assets at inception,” said Hinkes.
While Ripple chief Brad Garlinghouse, who is named as a defendant in the lawsuit alongside Executive Chairman Chris Larsen and Ripple Labs, was seemingly empowered by the legal nod, he is not out of the woods yet.
“Ripple has vast financial resources and has hired an exceptional legal team, including several former high-ranking SEC officials. Unlike many large projects that have been sued by the SEC, they appear to have the resources to take the case to a judgment and appeal,” stressed Hinkes.
One of those officials is Mary Jo White, former chair of the SEC. Also, at the end of 2019, Ripple attracted USD 200m to its coffers in venture capital, with a valuation of USD 10bn attached.
However, per Hinkes, it's far too early to handicap their case.
“To date the SEC's interpretation and application of the securities laws to offerings and sales of digital assets has been supported by courts in virtually every instance,” he said.
The most likely outcome, according to the attorney, will be a negotiated settlement.
“It’s the most common outcome in high-stakes litigation,” he said.
As reported in February, counsels for the SEC, Ripple, and two of its executives said back then they "do not believe there is a prospect for settlement at this time." "Defendants agree with the statement, but note that previous settlement discussions took place under a previous administration and were principally with relevant division directors who have since left the SEC," Ripple and its executives added back then.
Messaging app Kik also fought a similar battle with the SEC, one that cost the company USD 5m, not to mention legal fees.
In either case, while there are still many twists and turns that will likely play out during the litigation, one thing that is clear that there is a lot at stake, and not just for Ripple.
“If the case is litigated to a judgment and the judgment is appealed, the appeal will go to the judges of the US Court of Appeals for the 2nd Circuit. The rulings on legal issues from the 2nd Circuit would be the first binding law specifically focused on the application of the securities laws to token issuances. The entire industry is watching this case,” said Hinkes.
Bitcoin Spikes Above USD 61K, Ethereum Hits New ATH.
The crypto market started this weekend in green, with the most popular cryptocurrency, bitcoin (BTC), jumping above USD 61,000 for the first time in almost a month, while the dominant smart contract platform, ethereum (ETH), reached its new all-time high (ATH) against USD.
BTC trades at USD 60,511, correcting lower from 61,206, reached earlier today. The price is up by almost 5% in a day and more than 2% in a week.
At the same time, ETH is up by 4.5% in a day, trading at USD 2,165, after it hit USD 2,198, or its new ATH (per Coingecko) today. The price is up by 1.5% in a week.
The crypto market started this weekend in green, with the most popular cryptocurrency, bitcoin (BTC), jumping above USD 61,000 for the first time in almost a month, while the dominant smart contract platform, ethereum (ETH), reached its new all-time high (ATH) against USD.
BTC trades at USD 60,511, correcting lower from 61,206, reached earlier today. The price is up by almost 5% in a day and more than 2% in a week.
At the same time, ETH is up by 4.5% in a day, trading at USD 2,165, after it hit USD 2,198, or its new ATH (per Coingecko) today. The price is up by 1.5% in a week.
