Bitcoin’s price fell $1000 after Pfizer announced successful COVID-19 vaccine trials. It is expected to rebound, but this news highlights how much crypto has helped people during the pandemic.
The US Federal Reserve posted a report exploring the possibility of a CBDC. The report explored the “intrinsic” value drivers of a digital dollar.
Lebanon’s central bank governor said that the country must prepare a digital currency project. Economic and financial turmoil has plagued the nation, making its national currency, the lira, plunge. Transacting using the lira has been nearly impossible.
A report by Reuters revealed that crypto related crimes have dropped significantly since last year. Losses from fraud, thefts, and hacks fell from $4.4 billion in 2019 to $1.8 billion in 2020. The opposite is true for DeFi however. DeFi hacks last year were almost nonexistent. This year DeFi hacks account for 20% of crypto losses.
President elect Joe Biden has added crypto-savvy Gary Gensler to his transition team. Gensler served as chairman for the Commodity Futures Trading Commission, or CFTC, under President Barack Obama. Gary Gensler is currently a senior advisor at the MIT Media Lab’s Digital Currency Initiative. He has stated that Initial Coin Offerings should be considered securities.
China Construction Bank, the second largest bank in the world by total assets, issued bonds that can be bought with Bitcoin. This is the first ever blockchain based digital security issued by a Chinese financial institution.
The SEC has had a record year. It seized $4.68 Billion, a quarter of which came from ICOs. Cases involving Bitclave, Shopin, NAC Foundation, Unikrn, Boon Tech, Bitcoiin2Gen and most notably Telegram’s Gram token amassed a total of $1.26 billion in seized funds.
Paypal’s crypto trading went live in the US. users can trade up to $20,000 per week, double the initially announced $10,000. Paypal is planning on expanding globally to 26 million merchants.
Belarusbank, the largest bank in Belarus, has announced it will launch a cryptocurrency exchange service using a Visa payment card. Users from Belarus and Russia will be able to trade crypto against fiat currencies like the Belarusian ruble and US dollar.
BitPay launched a blockchain powered mass-payout platform for businesses. “BitPay Send” allows businesses to issue payments without having to own or hold crypto themselves.
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Yesterday's trading was mixed. Early in the session, even with reports of economic slowdown in the US, traders were still buying, maybe thinking it solidified the accommodative Fed policies.
Yesterday’s narrative was somewhat bittersweet. On the one hand, Fed policies remain hyper accommodating, which is positive. On the other hand, the accommodating stance is based on lingering concerns about the economic recovery in the US (and also globally).
Bitcoin has fallen back below $40,000 today, as the denial from Amazon of the impending acceptance of Bitcoin as a payment method came through. Prices returned to our support level of $36,500 before rallying once more, a sign that this move may be supported by more than just click-bait headlines.