logo

SpaceX owns BTC, daily Dogecoin volume surged in Q2, Grayscale eyeing ETF: Hodler’s Digest, July 18–24

By Admin | Crypto News Today

Coming each Saturday, Hodler’s Digest will aid you monitor each single necessary information story that occurred this week. The greatest (and worst) quotes, adoption and regulation highlights, main cash, predictions and far more — every week on Cointelegraph in one hyperlink.

Top Stories This Week

SpaceX owns Bitcoin, Elon Musk and Nic Carter believe BTC is becoming greener

Elon Musk, Dogecoin (DOGE) proponent and fair-weather pal to Bitcoin (BTC), revealed for the primary time on July 21 that his aerospace agency SpaceX owns an undisclosed quantity of Bitcoin. 

“I do own Bitcoin; Tesla owns Bitcoin; SpaceX owns Bitcoin,” he stated. 

Musk was talking at “The ₿ Word” — a digital occasion devoted to Bitcoin — alongside Twitter CEO Jack Dorsey and Ark Invest CEO Cathie Wood, and the erratic tech billionaire prompt Tesla was on the verge of accepting the cryptocurrency once more following promising indicators that the share of renewable power used for mining was rising.

Tesla’s $1.5 billion foray into Bitcoin earlier this yr sparked a serious BTC worth rally. However, Tesla’s suspension of Bitcoin as a fee methodology over environmental considerations in May appeared to tank the worth of Bitcoin, with BTC crashing round 40% over the previous two months. 

Now that there’s a diminishing Chinese coal-powered hash fee after the mining ban, it seems that Musk is warming as much as digital gold once more. Musk has said that, after he does a bit extra “due diligence” on mining sustainability and might affirm it’s backed by 50% renewables or extra, Tesla might re-enter the market.

One wonders what stated due diligence this entails, and why he didn’t do it earlier than the $1.5 billion Tesla BTC purchase. 

Musk additionally revealed, for the primary time, that he holds Ethereum (ETH), and unsurprisingly reaffirmed his help for the meme-inspired Dogecoin.

“I do personally own a bit of Ethereum, and Dogecoin of course,” he stated.

Daily Dogecoin volume soared to nearly $1B during Q2

Speaking of Musk’s favourite cryptocurrency, buying and selling volume for Dogecoin elevated by greater than 13 instances in the course of the second quarter of 2021, almost tagging $1 billion daily.

According to information compiled by Coinbase and reported by Business Insider, Dogecoin buying and selling volumes soared 1,250% between April and June, with $995 million price of DOGE altering arms daily on common in the course of the quarter.

By comparability, Dogecoin’s common daily volume for the primary quarter of 2021 was $74 million.

While these figures are certain to spark hype among the many fiery-eyed Dogecoin group, the topic of the highest canine coin could also be a sensitive one for Coinbase. 

A Coinbase consumer has filed a class-action lawsuit searching for $5 million in damages due to an allegedly deceptive Dogecoin marketing campaign.

According to courtroom paperwork, plaintiff David Suski stated he was deceived into buying and selling $100 of Dogecoin for entry right into a $1.2 million sweepstakes supply on Coinbase. The lawsuit asserts that Coinbase failed to speak that an individual may enter the sweepstakes with out buying $100 of Dogecoin.

Ethereum must innovate beyond just DApps for DeFi degens: Vitalik Buterin

Ethereum co-founder and lead developer Vitalik Buterin has urged the Ethereum group to innovate past the confines of decentralized finance, or DeFi.

Buterin was talking throughout his keynote on the Ethereum Community Conference in Paris on July 21, and described non-financial utilities as “the most interesting part of the vision of general-purpose blockchains.”

The 27-year-old outlined a number of non-financial functions for Ethereum, together with decentralized social media, id verification and attestation, and retroactive public items funding.

The Ethereum co-founder has had a busy week, and after talking on the Ethereum convention, he additionally surfaced in Ashton Kutcher’s and Mila Kunis’ living room. He wasn’t trespassing after all, and was there as a part of the promotion for Kunis’ NFT undertaking dubbed “Stoner Cats.” 

Buterin launched right into a prolonged clarification of Ethereum’s elementary elements and articulated how the good contract protocol differs from “single-purpose” chains resembling Bitcoin.

Grayscale sets sights on institutional DeFi fund

While Buterin is wanting past the decentralized bounds of finance, digital asset administration big Grayscale is seeking to achieve publicity in the sector. 

On July 19, Michael Sonnenshein, CEO of Grayscale, introduced a brand new funding automobile geared toward DeFi property.

In an interview with CNBC’s Squawk Box, the CEO chimed in to announce Grayscale’s plans for a DeFi Fund and index. Detailing the aim of the brand new product, the Grayscale CEO stated the fund would supply publicity to DeFi property, resembling Uniswap and Aave, for its institutional shoppers.

During the identical week, Sonnenshein said he thinks that solely a “couple of maturation points” separate the United States from its first Bitcoin exchange-traded fund, or ETF.

After many rejections of BTC ETFs in the previous, together with 13 ETF functions into account, Sonnenshein is undeterred and stated the agency is “100% committed” to remodeling its Bitcoin product, the Grayscale Bitcoin Trust, into an ETF as soon as situations are proper.

US lawmakers don’t want Olympic athletes to use digital yuan at 2022 games

Despite nearly all of Japanese residents reportedly wanting the Olympics canceled over pandemic-related considerations, the occasion goes forward.

The U.S. authorities has already received its eyes on the 2022 Winter Olympics in Beijing, nevertheless, and three U.S senators signed a letter urging Olympic officers to forbid American athletes from utilizing the digital yuan in the course of the upcoming occasion earlier this week.

In a July 19 letter to the U.S. Olympic and Paralympic Committee board chair Susanne Lyons, Republican Senators Marsha Blackburn, Roger Wicker and Cynthia Lummis, additionally a BTC proponent, requested that officers stop U.S. athletes from utilizing or accepting the digital yuan.

The senators asserted that the athletes’ use of the central financial institution digital forex will be “tracked and traced” by the People’s Bank of China.

The senators said that the Chinese authorities not too long ago rolled out new options for the digital yuan, giving officers the power “to know the exact details of what someone purchased and where.”

If Olympic officers approve of the request, China will, sadly, should deploy different strategies to trace and hint the U.S. athletes that do enter the nation.

Winners and Losers

At the tip of the week, Bitcoin is at $32,580, Ether at $2,070 and XRP at $0.60. The whole market cap is at $1.35 trillion, based on CoinMarketCap information.

Among the most important 100 cryptocurrencies, the highest three altcoin gainers of the week are Telcoin (TEL) at 26.82%, SushiSwap (SUSHI) at 26.17%, and Axie Infinity (AXS) at 23.12%.

The prime three altcoin losers of the week are Mdex (MDX) at -25.55%, THORChain (RUNE) at -18.98%, and Theta (XDC) at -11.26%.

For extra data on crypto costs, make certain to learn Cointelegraph’s market analysis.

Most Memorable Quotations

“I might pump, but I don’t dump. I definitely do not believe in getting the price high and selling it or anything like that.” - Elon Musk, Tesla CEO

“Moving beyond DeFi is not about being against DeFi. I actually think […] the most interesting Ethereum applications are going to combine elements of finance and non-finance.” - Vitalik Buterin, Ethereum co-founder

“Neither USDC nor Tether is a regulated digital asset, for the simple reason that neither token has a regulator. In fact, neither USDC nor Tether tokens are ‘stablecoins’ in anything other than name.” - Paxos, stablecoin supplier

“I think that digital art is probably going to last a lot longer than galleries. I mean, you probably won’t be going into galleries. We’ll be sitting in bars showing each other what we’ve recently bought on our phones, and that’s kind of what we do now.” - Damien Hirst, world-renowned up to date artist

“Make no mistake: It doesn’t matter whether it’s a stock token, a stable value token backed by securities, or any other virtual product that provides synthetic exposure to underlying securities. These platforms — whether in the decentralized or centralized finance space — are implicated by the securities laws and must work within our securities regime.” - Gary Gensler, SEC Chair

“More than ever, we need to take advantage and harness the potential of these new technologies to ensure that we are better equipped and more united in the future, in order to make our planet a more livable, equitable place for all.” - Irakli Beridze, head of the Centre for Artificial Intelligence and Robotics on the United Nations Interregional Crime and Justice Research Institute

“If a Bitcoin ETF is coming through the Gensler administration, my view is it’s not going to happen this year. […] There’s also been quite a bit of sort of a body of language and rhetoric and points that have been made by the staff with previous applications that need to be addressed. And so this isn’t a slam dunk.” - Greg King, CEO of Osprey Funds

“Recent calls to establish a more appropriate standard for technologically complex digital assets have turned into a firestorm since the Ripple case was filed. Some tech policy experts closely following the case have called for a ‘Ripple Test’ to replace Howey.” - George Nethercutt Jr., former member of U.S. Congress

Prediction of the Week

$13K Bitcoin price predictions emerge with BTC falling below historic trendline

Ever because the crypto downturn started round May 12, the bears have been on parade as they forecast doom and gloom for the longer term worth of BTC.

This week, Cointelegraph reported {that a} pseudonymous chartist who goes by the identify “Bitcoin Master” shared considerations about Bitcoin’s potential to bear an 80% common worth decline upon breaking bearish on its 50-day easy shifting common (SMA). The analyst famous that if the stated fractal performs out, BTC/USD change charges may crash to as little as $13,000.

The 50-week SMA represents the typical worth merchants have paid for Bitcoin over the previous 50 weeks. Over the years, and in 2020, its invalidation as worth flooring has contributed to pushing the Bitcoin market into extreme bearish cycles.

However, earlier market cycles haven’t been impacted by Elon Musk’s inclination to trigger mayhem in crypto by means of his tweets, so we might even see a 50-week Musk tweeting common turn into the accepted methodology for BTC worth predictions in the longer term.

FUD of the Week 

SEC Chairman says cryptocurrency falls under security-based swaps rules

The United States Securities and Exchange Commission, or SEC, might quickly problem new guidelines for the regulation and registration of security-based swaps, together with cryptocurrency.

In a speech to the American Bar Association Derivatives and Futures Law Committee, SEC Chairman Gary Gensler outlined that, from November, new necessities will go into impact, which embrace inner threat administration, supervision and chief compliance officers, commerce acknowledgment and affirmation, and recordkeeping and reporting procedures, to call a number of. 

“Make no mistake: It doesn’t matter whether it’s a stock token, a stable value token backed by securities, or any other virtual product that provides synthetic exposure to underlying securities. These platforms — whether in the decentralized or centralized finance space — are implicated by the securities laws and must work within our securities regime,” Gensler stated.

Auditors reveal USDC backing as Jim Cramer sounds alarm over Tether’s mad money

Speaking throughout a July 20 interview with TheAvenue, Jim Cramer, the host of CNBC’s Mad Money, questioned Tether’s lack of transparency and requested why the agency hasn’t disclosed the composition of its industrial paper, which accounts for a big proportion of its holdings.

Tether’s transient reserve breakdown in May confirmed that, as of March 31, three-quarters of its reserves have been held in money, money equivalents, different short-term deposits and industrial paper. Within that class, industrial paper accounted for 65.39%, with money alone accounting for simply 3.87%.

“I am concerned about Tether, and I’m not gonna stop sounding the alarm until I know what Tether has. They’ve got about $60 billion in commercial paper. Tether, open up the kimono, what commercial paper do you own?” Cramer stated.

Crypto is an ‘untested asset category,’ says UBS CEO Ralph Hamers

Ralph Hamers, CEO of Swiss financial institution UBS, stated on July 20 that he doesn’t worry lacking out on crypto, citing that it’s an untested and risky asset.

Speaking to Bloomberg, Hamers asserted, “Clients are looking at different alternatives, and they hear about crypto, and there is a bit of a fear of missing out as well. They read it in the papers, but they also see the volatility.”

Commenting on the financial institution’s strategy to offering publicity to crypto for its wealth administration shoppers, the united statesCEO emphasised that he holds no FOMO in the direction of crypto, noting, “We don’t offer it actively. […] We feel that crypto itself is still an untested asset category.”

Hamers, after all, works throughout the confines of the standard finance and banking system, which is a well-tested business that has prompted a number of world monetary crises.

Best Cointelegraph Features

Stock-to-flow model possibly invalidated as Bitcoin price loses $30K

Plan B’s stock-to-flow mannequin is the closest it’s ever been to being invalidated as Bitcoin stagnates in the $30,000 vary.

China is pumping money out of the US with Bitcoin

Chinese authorities appear to be placing issues in order quite than declaring battle on crypto, aiming to additional weaken the U.S. financial system.

It is time for the US to create a ‘Ripple test’ for crypto

The SEC’s strategy to crypto have to be modified to extra clearly articulate how securities legal guidelines ought to apply to digital property.