📊Market Update📊
Political strife has stunted the United States government from agreeing on a bill for the Federal budget. As a result, the United States government has shutdown.
The initial effects are clear, Government employees, unless declared vital, or essential, to US safety, are on furlough, meaning they cannot work until a bill has passed. These employees are termed “nonessential”.
Whether you’re essential or nonessential, neither group will be paid during this time. As such, mass panic may ensue, forcing citizens to seek outlets of financial security. Government or financial unrest typically bodes well for cryptocurrency and decentralized assets.
Our position stems from when the United States shutdown in 2013, which led to Bitcoin surging hundreds of percent.
Another, more recent example, is what occurred in Zimbabwe this last year. Political turmoil shook the country, sending citizens into mass hysteria. Unsure as to whether their finances were safe in government controlled banks, Zimbabweans sought the crypto market, subsequently sending bitcoin’s price to over $7,000 USD in Zimbabwe, a huge premium at the time.
Lastly, BTC dumped as futures contracts expired. It's clear to see that when futures came online, Wall St. shorted BTC and likely spent time accumulating more. The FUD over the last week pushed BTC to new recent lows and bears made a killing.
The lead up to futures launching, as you'll remember, pushed BTC to new highs. New futures contracts start January 22nd and we expect the cycle to repeat itself. It makes sense for big money to LONG BTC here.
We're not convinced a huge bull run is starting quite yet, but it's important to think critically about how institutional money will continue to push the market up or down to yeild the most profit.
As of now, BTC looks very bullish, both fundamentally and technically. $14k will prove to be a very important number, keep a close eye on that resistance level.
Political strife has stunted the United States government from agreeing on a bill for the Federal budget. As a result, the United States government has shutdown.
The initial effects are clear, Government employees, unless declared vital, or essential, to US safety, are on furlough, meaning they cannot work until a bill has passed. These employees are termed “nonessential”.
Whether you’re essential or nonessential, neither group will be paid during this time. As such, mass panic may ensue, forcing citizens to seek outlets of financial security. Government or financial unrest typically bodes well for cryptocurrency and decentralized assets.
Our position stems from when the United States shutdown in 2013, which led to Bitcoin surging hundreds of percent.
Another, more recent example, is what occurred in Zimbabwe this last year. Political turmoil shook the country, sending citizens into mass hysteria. Unsure as to whether their finances were safe in government controlled banks, Zimbabweans sought the crypto market, subsequently sending bitcoin’s price to over $7,000 USD in Zimbabwe, a huge premium at the time.
Lastly, BTC dumped as futures contracts expired. It's clear to see that when futures came online, Wall St. shorted BTC and likely spent time accumulating more. The FUD over the last week pushed BTC to new recent lows and bears made a killing.
The lead up to futures launching, as you'll remember, pushed BTC to new highs. New futures contracts start January 22nd and we expect the cycle to repeat itself. It makes sense for big money to LONG BTC here.
We're not convinced a huge bull run is starting quite yet, but it's important to think critically about how institutional money will continue to push the market up or down to yeild the most profit.
As of now, BTC looks very bullish, both fundamentally and technically. $14k will prove to be a very important number, keep a close eye on that resistance level.
🚨India FUD / Bitcoin Support🚨
Today, February 1st, Arun Jaitley, the finance minister of India, spoke on bitcoin and other cryptocurrencies in a budget speech, “The government does not recognize cryptocurrency as legal tender or coin and will take all measures to eliminate the use of these crypto assets in financing illegitimate activities or as part of the payments system.”
Jaitley has also announced they will be adopting blockchain, the fundamental technology behind cryptocurrency for the nation of India.
India FUD started with this article by Quartz Media (https://qz.com/1148361/budget-2018-indias-government-wants-to-kill-bitcoin-but-it-loves-blockchain/) and frankly we find this to be extremely poor reporting and misleading.
It's important to note that this "India FUD" is old news as the statement released today reiterates the same position Jaitley made before Indian Parliament on January 2nd, “bitcoins or such cryptocurrencies are not legal tender and those indulging in such transactions are doing it at their own risk.”
As you can see no major policy shift has occurred today that wasn’t made public knowledge in early January. In reality, the only position that has been made clear is that they do not want Bitcoin and other cryptocurrencies to be used in illegitimate financial activities. Go figure🤦♂️
As more nations are publically defining their stance on Cryptocurrency, it is clear to see that regulation and oversight seem to be the goal of nation states rather than a severe ban on the industry that would undoubtedly stifle the technology and innovation currently taking place.
Perhaps a better article to reference is this one by BitcoinMagazine which outlines in part "only concern is to make sure that every individual who has generated some income though trading of cryptocurrencies [knows they are] liable for taxes.”
https://bitcoinmagazine.com/articles/indian-government-turns-fiat-currency-war-cryptocurrencies/
Bitcoin bounced around our $8800 support zone (GDAX) and moved sideways along $9k for a bit. It just dropped back to the $8800 area and looks to drop further it if can't find support at $8700.
Today, February 1st, Arun Jaitley, the finance minister of India, spoke on bitcoin and other cryptocurrencies in a budget speech, “The government does not recognize cryptocurrency as legal tender or coin and will take all measures to eliminate the use of these crypto assets in financing illegitimate activities or as part of the payments system.”
Jaitley has also announced they will be adopting blockchain, the fundamental technology behind cryptocurrency for the nation of India.
India FUD started with this article by Quartz Media (https://qz.com/1148361/budget-2018-indias-government-wants-to-kill-bitcoin-but-it-loves-blockchain/) and frankly we find this to be extremely poor reporting and misleading.
It's important to note that this "India FUD" is old news as the statement released today reiterates the same position Jaitley made before Indian Parliament on January 2nd, “bitcoins or such cryptocurrencies are not legal tender and those indulging in such transactions are doing it at their own risk.”
As you can see no major policy shift has occurred today that wasn’t made public knowledge in early January. In reality, the only position that has been made clear is that they do not want Bitcoin and other cryptocurrencies to be used in illegitimate financial activities. Go figure🤦♂️
As more nations are publically defining their stance on Cryptocurrency, it is clear to see that regulation and oversight seem to be the goal of nation states rather than a severe ban on the industry that would undoubtedly stifle the technology and innovation currently taking place.
Perhaps a better article to reference is this one by BitcoinMagazine which outlines in part "only concern is to make sure that every individual who has generated some income though trading of cryptocurrencies [knows they are] liable for taxes.”
https://bitcoinmagazine.com/articles/indian-government-turns-fiat-currency-war-cryptocurrencies/
Bitcoin bounced around our $8800 support zone (GDAX) and moved sideways along $9k for a bit. It just dropped back to the $8800 area and looks to drop further it if can't find support at $8700.
📜The Oversight Role of the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission📜
Today a profound step in the future of cryptocurrency occurred with the United States Senate Hearing on the oversight of virtual currencies. To capitalize the transcending leap we, those involved in blockchain technology, cryptocurrency, and the future of decentralization, took today, please wade through the Honorable Christopher Giancarlo’s, the CFTC Chairman, quote and the succeeding content:
“We owe it to this new generation to respect their interest in this new technology with a thoughtful and regulatory approach.”
The Honorable Christopher Giancarlo spoke volumes of his fascination with cryptocurrency, its potential benefits, and the reason to regulate it - to protect investors from fraud and manipulation. He never once spoke ill of virtual currencies, a demonstration all should keep in mind, as this, through our eyes, exemplifies the prominence of cryptocurrency and its perceived importance.
Another prominent figure in today’s hearing was the Honorable Jay Clayton, the Chairman of the SEC. He, like the Honorable Christopher Giancarlo, orated tremendous praise, interest, and knowledge with respect to cryptocurrency. To summate much of his thoughts, we believe the following quote is sufficient.
“I am very optimistic that developments in financial technology will help facilitate capital formation, providing promising investment opportunities for institutional and Main Street investors alike.”
While the interpretations of the preceding quote may vary, we certainly see this as a sign that the SEC values virtual currencies and views it as a means through which greater financial metrics can be achieved by companies and individuals.
Additionally, there are several take-aways that must be addressed from today’s hearing that have left us optimistic about the future of cryptocurrency:
ICOs, as viewed by the SEC, are securities. As such, they must follow regulatory policies that intend to protect investors from fraud and manipulation. Accredited investors, therefore, are the only people/companies that can invest.
With respect to exchanges, the SEC and CFTC, with the guidance of Congress, must discern whether regulation of cryptocurrency trading platforms (exchanges), is necessary or apropos.
Lastly, as it currently stands, a more definitive stance as to whether vitural currencies are commodities or securities remains at question, therefore further deliberation must ensue.
In sum, the sentiment towards virtual currencies is positive. The United States has no reason to prevent the exchange of cryptocurrency; as a result, we are highly bullish in that this news is exactly what we have desired for months.
Today a profound step in the future of cryptocurrency occurred with the United States Senate Hearing on the oversight of virtual currencies. To capitalize the transcending leap we, those involved in blockchain technology, cryptocurrency, and the future of decentralization, took today, please wade through the Honorable Christopher Giancarlo’s, the CFTC Chairman, quote and the succeeding content:
“We owe it to this new generation to respect their interest in this new technology with a thoughtful and regulatory approach.”
The Honorable Christopher Giancarlo spoke volumes of his fascination with cryptocurrency, its potential benefits, and the reason to regulate it - to protect investors from fraud and manipulation. He never once spoke ill of virtual currencies, a demonstration all should keep in mind, as this, through our eyes, exemplifies the prominence of cryptocurrency and its perceived importance.
Another prominent figure in today’s hearing was the Honorable Jay Clayton, the Chairman of the SEC. He, like the Honorable Christopher Giancarlo, orated tremendous praise, interest, and knowledge with respect to cryptocurrency. To summate much of his thoughts, we believe the following quote is sufficient.
“I am very optimistic that developments in financial technology will help facilitate capital formation, providing promising investment opportunities for institutional and Main Street investors alike.”
While the interpretations of the preceding quote may vary, we certainly see this as a sign that the SEC values virtual currencies and views it as a means through which greater financial metrics can be achieved by companies and individuals.
Additionally, there are several take-aways that must be addressed from today’s hearing that have left us optimistic about the future of cryptocurrency:
ICOs, as viewed by the SEC, are securities. As such, they must follow regulatory policies that intend to protect investors from fraud and manipulation. Accredited investors, therefore, are the only people/companies that can invest.
With respect to exchanges, the SEC and CFTC, with the guidance of Congress, must discern whether regulation of cryptocurrency trading platforms (exchanges), is necessary or apropos.
Lastly, as it currently stands, a more definitive stance as to whether vitural currencies are commodities or securities remains at question, therefore further deliberation must ensue.
In sum, the sentiment towards virtual currencies is positive. The United States has no reason to prevent the exchange of cryptocurrency; as a result, we are highly bullish in that this news is exactly what we have desired for months.
🚨IMPORTANT: MyEtherWallet
We feel as though addressing this is of the upmost importance as MyEtherWallet (MEW) is such an important part of the Ethereum (and crypto) ecosystem.
Earlier today, as we previously reported, the MEW Twitter handle was changed to MyCrypto. Then, MEW CoFounder Taylor Monahan posted a - very long - Medium article (see below) explaining the lifecycle of MEW and the evolution to MyCrypto.
But then the @MyEtherWallet Twitter handle was reopened and posted the following:
“@myetherwallet Twitter handle was changed without knowledge or permission of MEW's founder. We are investigating the matter, and will update everyone shortly. Stay tuned for further updates.”
Without this tweet, everything else looks very legitimate, the article is digitally signed by Taylor, and she even tweeted an image of herself with MyCrypto stickers. We are confident that this is real information and that MEW has in fact evolved in some way (rebranded) to MyCrypto.
Then we get a tweet from Brayton Williams (@BraytonKey), advisor to MyEtherWallet and EtherScan, showing support for MyCrypto.
Taylor mentions in the article that Kvhnuke, CoFounder of MEW, is still in control of the MEW repository and it will remain operational for the foreseeable future. He’s also, allegedly, still in control of the MEW twitter.
If this transition is in fact legitimate and the MEW Twitter is being operated by a founding member, then the tweet they sent out is one of the most egregious and irresponsible acts we’ve witnessed of late by leaders in the space. The amount of confusion that surrounds this now is not healthy, it even opens the door for scammers to pray on confused users.
For that reason, until there is significant clarity to this situation, we recommend you avoid using MyCrypto or MEW for the time being. You can use a different ERC20 wallet to access your coins if need be, using your private key.
As always, do your own research and be extremely careful when access your wallets. Always double check the URL.
We’ll keep you posted.
You can read the Medium article here: https://medium.com/mycrypto/mycrypto-launch-6a066bf41093
We feel as though addressing this is of the upmost importance as MyEtherWallet (MEW) is such an important part of the Ethereum (and crypto) ecosystem.
Earlier today, as we previously reported, the MEW Twitter handle was changed to MyCrypto. Then, MEW CoFounder Taylor Monahan posted a - very long - Medium article (see below) explaining the lifecycle of MEW and the evolution to MyCrypto.
But then the @MyEtherWallet Twitter handle was reopened and posted the following:
“@myetherwallet Twitter handle was changed without knowledge or permission of MEW's founder. We are investigating the matter, and will update everyone shortly. Stay tuned for further updates.”
Without this tweet, everything else looks very legitimate, the article is digitally signed by Taylor, and she even tweeted an image of herself with MyCrypto stickers. We are confident that this is real information and that MEW has in fact evolved in some way (rebranded) to MyCrypto.
Then we get a tweet from Brayton Williams (@BraytonKey), advisor to MyEtherWallet and EtherScan, showing support for MyCrypto.
Taylor mentions in the article that Kvhnuke, CoFounder of MEW, is still in control of the MEW repository and it will remain operational for the foreseeable future. He’s also, allegedly, still in control of the MEW twitter.
If this transition is in fact legitimate and the MEW Twitter is being operated by a founding member, then the tweet they sent out is one of the most egregious and irresponsible acts we’ve witnessed of late by leaders in the space. The amount of confusion that surrounds this now is not healthy, it even opens the door for scammers to pray on confused users.
For that reason, until there is significant clarity to this situation, we recommend you avoid using MyCrypto or MEW for the time being. You can use a different ERC20 wallet to access your coins if need be, using your private key.
As always, do your own research and be extremely careful when access your wallets. Always double check the URL.
We’ll keep you posted.
You can read the Medium article here: https://medium.com/mycrypto/mycrypto-launch-6a066bf41093
Medium
A New Beginning: MyCrypto.com
By Taylor Monahan
🚨Bull Trap or Bull Run?🚨
Today BTC finally broke our key resistance point we've been sharing with you for weeks -$8800 (on Coinbase). The crypto marketcap has climbed back above $400mm, and we're all seeing green....
But is it a trap?🤔
It's hard to trust the market right now, admittedly, but we’ve address multiple significant events with you over the past few days that have us growing more and more bullish. However, we’re coming into the weekend which typically brings lower volume, and thus typically results in higher volatility📈📉
It’s also important to note that even though Bitcoin looked great today, BTC had the lowest volume (by USD) it’s had since December 4th! When there’s lower volume, it’s much easier for market makers to pump, or dump, the price of an asset (or coin in this case).
This makes it harder to trust the movements we saw in the market today. The chart below is the same chart we’ve shared with you the last few posts. Though our analysts are constantly tearing apart charts and looking at tons of complicated indicators, we’re keeping it simple for you right now - primarily watching support and resistance📊
You’ll see that today BTC finally broke out of our channel (green line) and then hit our resistance (white line). After finally pushing past resistance, you’ll note that it became our new support.
If BTC doesn’t gain volume, it will be hard for it to stay above this point.
Sometimes we hear, “Yeah but who cares about BTC, give me some ALTS!" We hear you, but BTC owns this market.
A fall back to the high $7k range would be brutal for ALTs and for that reason we’re still holding off most short term ALT trades.
If we can hold up over the weekend above $8800, we may start taking a serious look at allocating more of our BTC holdings into some favorite ALT positions.
We believe that if Bitcoin does start making a run, many ALTs will run with it - some with much higher short term potential than Bitcoin🔥
Today BTC finally broke our key resistance point we've been sharing with you for weeks -$8800 (on Coinbase). The crypto marketcap has climbed back above $400mm, and we're all seeing green....
But is it a trap?🤔
It's hard to trust the market right now, admittedly, but we’ve address multiple significant events with you over the past few days that have us growing more and more bullish. However, we’re coming into the weekend which typically brings lower volume, and thus typically results in higher volatility📈📉
It’s also important to note that even though Bitcoin looked great today, BTC had the lowest volume (by USD) it’s had since December 4th! When there’s lower volume, it’s much easier for market makers to pump, or dump, the price of an asset (or coin in this case).
This makes it harder to trust the movements we saw in the market today. The chart below is the same chart we’ve shared with you the last few posts. Though our analysts are constantly tearing apart charts and looking at tons of complicated indicators, we’re keeping it simple for you right now - primarily watching support and resistance📊
You’ll see that today BTC finally broke out of our channel (green line) and then hit our resistance (white line). After finally pushing past resistance, you’ll note that it became our new support.
If BTC doesn’t gain volume, it will be hard for it to stay above this point.
Sometimes we hear, “Yeah but who cares about BTC, give me some ALTS!" We hear you, but BTC owns this market.
A fall back to the high $7k range would be brutal for ALTs and for that reason we’re still holding off most short term ALT trades.
If we can hold up over the weekend above $8800, we may start taking a serious look at allocating more of our BTC holdings into some favorite ALT positions.
We believe that if Bitcoin does start making a run, many ALTs will run with it - some with much higher short term potential than Bitcoin🔥
🚨AZ: Pay Taxes w/ Crypto🚨
On February 8th, a pioneering development occurred in Arizona: the Arizona Senate passed Bill 1091. The bill, which the Senate passed at a 16 to 13 difference, is to allow Arizona residents the ability to pay taxes with cryptocurrencies.
The bill is now subject to Arizona’s House of Representatives, which will decide as to whether the Senate Bill 1091 should be adopted. If accepted, Arizona would become the first in America to permit cryptocurrency tax payments🎉
We are not entirely surprised by Arizona’s innovative leap to accept cryptocurrency tax payments in that its largest university, Arizona State, partnered with DASH last year to facilitate the growth of blockchain technology. By 2019, ASU will be the first US university to provide courses in blockchain technology, bolstering its reputation as the US leader in innovation and solidifying the future of blockchain technology.
Moreover, with such progress, we are confident more states will follow in Arizona’s steps. Wyoming, for instance, is configuring a bill that would classify tokens as currency, not assets, which would, significantly, alleviate the current tax burdens incurred by crypto traders and investors.
Also, if you want your state to follow in the steps of Arizona, you are encouraged to reach out to your local and state representatives 🇺🇸
On February 8th, a pioneering development occurred in Arizona: the Arizona Senate passed Bill 1091. The bill, which the Senate passed at a 16 to 13 difference, is to allow Arizona residents the ability to pay taxes with cryptocurrencies.
The bill is now subject to Arizona’s House of Representatives, which will decide as to whether the Senate Bill 1091 should be adopted. If accepted, Arizona would become the first in America to permit cryptocurrency tax payments🎉
We are not entirely surprised by Arizona’s innovative leap to accept cryptocurrency tax payments in that its largest university, Arizona State, partnered with DASH last year to facilitate the growth of blockchain technology. By 2019, ASU will be the first US university to provide courses in blockchain technology, bolstering its reputation as the US leader in innovation and solidifying the future of blockchain technology.
Moreover, with such progress, we are confident more states will follow in Arizona’s steps. Wyoming, for instance, is configuring a bill that would classify tokens as currency, not assets, which would, significantly, alleviate the current tax burdens incurred by crypto traders and investors.
Also, if you want your state to follow in the steps of Arizona, you are encouraged to reach out to your local and state representatives 🇺🇸
🚨BItcoin Cracks 9,000: South Korea Publically Steps Away From Exchange Ban🚨
With the announcement that South Korea plans to adopt a cryptocurrency exchange license similar to Bitlicense, Bitcoin emphatically broke through its 9,000 resistance. 📈
We were beginning to see an ascending triangle forming, with the culmination of price action leading to a very important movement in price last night. The break upwards showed bear exhaustion and leads us to believe that the price will reach the next resistance level around 9,400-9,500 USD.
Hong Nam-ki, minister of the Office for Government Policy Coordination for South Korea, posted a video on the presidential website, stating that policy will focus more on making the trading platforms transparent rather than banning them entirely. This suggests that the South Korean government is respecting the petition from over 200,000 South Koreans on the Blue House website of President Moon Jae-in denouncing the justice ministry’s proposal. We believe this is another great step for the crypto-community as it shows the power of the masses being respected.
It is clear to us that this movement has sparked passionate responses from people all across the world. Regulators and Governments everywhere will have to weigh into consideration their approach to these emerging markets because of the potential retribution that may occur if they inhibit access to this budding financial ecosystem.
A few traders in our inner circle are still proceeding with caution as they plan for all variants of BTC’s price movement from here. That being said, a combination of technical and fundamental analysis has strengthened our faith in the state of the cryptocurrency market.
With the announcement that South Korea plans to adopt a cryptocurrency exchange license similar to Bitlicense, Bitcoin emphatically broke through its 9,000 resistance. 📈
We were beginning to see an ascending triangle forming, with the culmination of price action leading to a very important movement in price last night. The break upwards showed bear exhaustion and leads us to believe that the price will reach the next resistance level around 9,400-9,500 USD.
Hong Nam-ki, minister of the Office for Government Policy Coordination for South Korea, posted a video on the presidential website, stating that policy will focus more on making the trading platforms transparent rather than banning them entirely. This suggests that the South Korean government is respecting the petition from over 200,000 South Koreans on the Blue House website of President Moon Jae-in denouncing the justice ministry’s proposal. We believe this is another great step for the crypto-community as it shows the power of the masses being respected.
It is clear to us that this movement has sparked passionate responses from people all across the world. Regulators and Governments everywhere will have to weigh into consideration their approach to these emerging markets because of the potential retribution that may occur if they inhibit access to this budding financial ecosystem.
A few traders in our inner circle are still proceeding with caution as they plan for all variants of BTC’s price movement from here. That being said, a combination of technical and fundamental analysis has strengthened our faith in the state of the cryptocurrency market.
🇺🇸 The State of U.S. Regulations 🇺🇸
With uncertainty as to how each major country plans to handle cryptocurrency, regulatory concerns remain as the unquestioned impediment to investors and traders across the space. Ultimately, regulations should not frighten, nor dissuade, investors, traders, and enthusiasts. Regulations provide the necessary securities consumers need in all spaces, so when a country enacts regulations, not bans, give praise, as these measures are to prevent fraud and manipulation - key features to bolstering your financial security and well-being.
Today, during the Munich Security Conference in Germany, Rob Joyce, the Whitehouse cybersecurity coordinator, said: “There is a long way to go before the U.S. government starts regulating Bitcoin.”
Joyce extended the discussion by admitting the importance and complexity of cryptocurrency, stating that with such potential value and intricacies, the U.S. must meticulously study all cryptocurrencies so that proper, effective regulations are in place. Rushing any such actions, therefore, would be a disservice to the community. That aside, despite the apparent benefits of digital currencies, Joyce still fears the malevolence in the space, which is why he values a thoughtful, careful scheme responsible for regulatory implementation.
In sum, we are, naturally, bullish on this news as it pertains to positive regulatory action. The U.S., from the Senate Hearing on virtual currencies to this announcement, is, in our opinion, supportive of this space, not tempting any idea of a ban, which is highly important to the development of the market, our mission, and your educational advancement. 🚀
With uncertainty as to how each major country plans to handle cryptocurrency, regulatory concerns remain as the unquestioned impediment to investors and traders across the space. Ultimately, regulations should not frighten, nor dissuade, investors, traders, and enthusiasts. Regulations provide the necessary securities consumers need in all spaces, so when a country enacts regulations, not bans, give praise, as these measures are to prevent fraud and manipulation - key features to bolstering your financial security and well-being.
Today, during the Munich Security Conference in Germany, Rob Joyce, the Whitehouse cybersecurity coordinator, said: “There is a long way to go before the U.S. government starts regulating Bitcoin.”
Joyce extended the discussion by admitting the importance and complexity of cryptocurrency, stating that with such potential value and intricacies, the U.S. must meticulously study all cryptocurrencies so that proper, effective regulations are in place. Rushing any such actions, therefore, would be a disservice to the community. That aside, despite the apparent benefits of digital currencies, Joyce still fears the malevolence in the space, which is why he values a thoughtful, careful scheme responsible for regulatory implementation.
In sum, we are, naturally, bullish on this news as it pertains to positive regulatory action. The U.S., from the Senate Hearing on virtual currencies to this announcement, is, in our opinion, supportive of this space, not tempting any idea of a ban, which is highly important to the development of the market, our mission, and your educational advancement. 🚀
🚨Wyoming: A Cryptocurrency Frontrunner🚨
Yes another tremendous stride in the cryptosphere was made yesterday: the Wyoming state legislature passed House Bill 70, which may stand as the most important crypto-related bills in U.S. history. 🇺🇸 The House Bill 70 exempts specific Blockchain tokens from falling under securities regulations and transactions laws concerning money.
An impressive measure to address is how one-sided the passing was. The House Bill 70 passed in the senate at 27-3, which is nothing short of amazing. This figure clearly illustrates Wyoming’s understanding and desire for proper cryptocurrency regulations.
House Bill 70 underlines that open Blockchain tokens provided via an ICO or a different avenue may avoid specific regulations, so long as the token has not been labeled, if you will, as an investment, is solely used for the purpose to buy or sell goods and services, and the developer or issuer is without malevolent intentions to manipulate the token’s value on a secondary market.
It is important to address that Wyoming currently has a string of crypto-related bills in the mix, all of which stand to further promote virtual currencies as well as safeguard crypto enthusiasts, investors, and traders from malicious acts. 🔐
Yes another tremendous stride in the cryptosphere was made yesterday: the Wyoming state legislature passed House Bill 70, which may stand as the most important crypto-related bills in U.S. history. 🇺🇸 The House Bill 70 exempts specific Blockchain tokens from falling under securities regulations and transactions laws concerning money.
An impressive measure to address is how one-sided the passing was. The House Bill 70 passed in the senate at 27-3, which is nothing short of amazing. This figure clearly illustrates Wyoming’s understanding and desire for proper cryptocurrency regulations.
House Bill 70 underlines that open Blockchain tokens provided via an ICO or a different avenue may avoid specific regulations, so long as the token has not been labeled, if you will, as an investment, is solely used for the purpose to buy or sell goods and services, and the developer or issuer is without malevolent intentions to manipulate the token’s value on a secondary market.
It is important to address that Wyoming currently has a string of crypto-related bills in the mix, all of which stand to further promote virtual currencies as well as safeguard crypto enthusiasts, investors, and traders from malicious acts. 🔐
📉MARKET DUMP - WHY?📉
The cryptosphere is, not the least of which, tumultuous, constantly swaying to positive and negative sentiment. Today has been met with a series of unfortunate events, yet we view the following as common developmental features of the space. This stuff comes with the territory of investing in an emerging asset class.
News from Japan 🇯🇵
Today, Japan announced it would take action against cryptocurrency exchanges that currently do not comply with the Financial Service Agency’s customer protection and anti-money laundering measures. There is a chance that the FSA will indefinitely shut several exchanges; this potential punitive action is likely to ensure exchanges are granted time to create the proper procedures to protect consumers. The exchanges that are to be targeted remains unknown; however, it is ostensible this news has shaken investors, contributing to the market’s sharp decline.
Read more here: https://goo.gl/E2MnCr
SEC Press Release 🇺🇸
The SEC just released a statement regarding potentially unlawful online digital currency trading platforms. Since exchanges have become a common place to trade and sell ICO tokens, and other coins that are considered securities under the federal securities laws, then the exchange must comply with the SEC as a national securities exchange to be exempt from registration. This statement falls in line with the remarks the SEC made at the Virtual Currencies Hearing in February. The statement reaffirms that if investors want protection from the asset trading they are partaking in, they must use exchanges that are registered with the SEC. The SEC worries that many consumers believe the exchanges they use are SEC compliant, but, the truth of the matter is, few, if any, virtual currency trading platforms are SEC compliant, thereby subjecting users to potentially unlawful acts.
This clarification is necessary for investors. We believe this is just an edifying reminder from the SEC that aims to create more vigilant, cognizant consumers. The SEC is doing their due diligence by alerting participators in these markets that they may be interacting with entities that are not SEC regulated. They are not saying that these companies have to be regulated to continue operations.
The press release can be found here: https://goo.gl/rCaeT3
🐋Whale sells $400mm in BTC!?📉
Not exactly...Mt. Gox (yes, that Mt. Gox) sold around $405 million worth of Bitcoin and Bitcoin Cash over the course of the past two months. The details of the sale were published today, March 7th, by trustee Nobuaki Kobayshi. This didn't just happen, it's been ongoing, but the details of the sale were just published today: https://goo.gl/8sWjLo
⚠️Binance Hacked!?⚠️
No. However, there were users that had their account compromised and it looks to be due to faulty API integrations that had security volunerabilities. Binance wasn't hacked, but some users were. An important reminder to be very cautious using ANY tools that use API to connect to your exchange accounts, and not to keep the majority of your assets on an exchange at all. The official statement from the Binance telegram is below.
"We are investigating reports of some users having issues with their funds. Our team is aware and investigating the issue as we speak.
As of this moment, the only confirmed victims have registered API keys (to use with trading bots or otherwise). There is no evidence of the Binance platform being compromised."
All of this happening on the same morning has caused a huge stir and a lot of panic. Hopefully we've brought clarity to some of the news.
MANY outlets are misreporting the SEC news and implying that the $400mm sell off happened TODAY as well. This is, as usual, terrible reporting. But we got your back.👊
The cryptosphere is, not the least of which, tumultuous, constantly swaying to positive and negative sentiment. Today has been met with a series of unfortunate events, yet we view the following as common developmental features of the space. This stuff comes with the territory of investing in an emerging asset class.
News from Japan 🇯🇵
Today, Japan announced it would take action against cryptocurrency exchanges that currently do not comply with the Financial Service Agency’s customer protection and anti-money laundering measures. There is a chance that the FSA will indefinitely shut several exchanges; this potential punitive action is likely to ensure exchanges are granted time to create the proper procedures to protect consumers. The exchanges that are to be targeted remains unknown; however, it is ostensible this news has shaken investors, contributing to the market’s sharp decline.
Read more here: https://goo.gl/E2MnCr
SEC Press Release 🇺🇸
The SEC just released a statement regarding potentially unlawful online digital currency trading platforms. Since exchanges have become a common place to trade and sell ICO tokens, and other coins that are considered securities under the federal securities laws, then the exchange must comply with the SEC as a national securities exchange to be exempt from registration. This statement falls in line with the remarks the SEC made at the Virtual Currencies Hearing in February. The statement reaffirms that if investors want protection from the asset trading they are partaking in, they must use exchanges that are registered with the SEC. The SEC worries that many consumers believe the exchanges they use are SEC compliant, but, the truth of the matter is, few, if any, virtual currency trading platforms are SEC compliant, thereby subjecting users to potentially unlawful acts.
This clarification is necessary for investors. We believe this is just an edifying reminder from the SEC that aims to create more vigilant, cognizant consumers. The SEC is doing their due diligence by alerting participators in these markets that they may be interacting with entities that are not SEC regulated. They are not saying that these companies have to be regulated to continue operations.
The press release can be found here: https://goo.gl/rCaeT3
🐋Whale sells $400mm in BTC!?📉
Not exactly...Mt. Gox (yes, that Mt. Gox) sold around $405 million worth of Bitcoin and Bitcoin Cash over the course of the past two months. The details of the sale were published today, March 7th, by trustee Nobuaki Kobayshi. This didn't just happen, it's been ongoing, but the details of the sale were just published today: https://goo.gl/8sWjLo
⚠️Binance Hacked!?⚠️
No. However, there were users that had their account compromised and it looks to be due to faulty API integrations that had security volunerabilities. Binance wasn't hacked, but some users were. An important reminder to be very cautious using ANY tools that use API to connect to your exchange accounts, and not to keep the majority of your assets on an exchange at all. The official statement from the Binance telegram is below.
"We are investigating reports of some users having issues with their funds. Our team is aware and investigating the issue as we speak.
As of this moment, the only confirmed victims have registered API keys (to use with trading bots or otherwise). There is no evidence of the Binance platform being compromised."
All of this happening on the same morning has caused a huge stir and a lot of panic. Hopefully we've brought clarity to some of the news.
MANY outlets are misreporting the SEC news and implying that the $400mm sell off happened TODAY as well. This is, as usual, terrible reporting. But we got your back.👊
www.sec.gov
SEC.gov | Statement on Potentially Unlawful Online Platforms for Trading Digital Assets
Statement on Potentially Unlawful Online Platforms for Trading Digital Assets
Divisions of Enforcement and Trading and Markets
March 7, 2018
Divisions of Enforcement and Trading and Markets
March 7, 2018
📊BTC Misery Index📊
Tom Lee, Managing Partner & head of Research at Fundstrat Advosors, crypto enthusiast, & former Chief Equity Strategist for JP Morgan shares his BTC Misery Index.
The Misery Index is set on a scale of 0-100 and uses economic indicators and a variety of BTC market factors. Think of it as a way of measuring how happy or sad you are owning Bitcoin.
He shares on a Fast Money broadcast, “When the Bitcoin Misery Index is at ‘misery’ (below 27), bitcoin sees the best 12-month performance.”
Currently the “BMI” of BTC is 18.8 - the lowest since 2011.
According to Lee, when the misery index is low, it’s a good time for investors to acquire more BTC.
Check out the BMI chart below, and let us know what you think of this unique evaluation on Twitter and Facebook👍
Tom Lee, Managing Partner & head of Research at Fundstrat Advosors, crypto enthusiast, & former Chief Equity Strategist for JP Morgan shares his BTC Misery Index.
The Misery Index is set on a scale of 0-100 and uses economic indicators and a variety of BTC market factors. Think of it as a way of measuring how happy or sad you are owning Bitcoin.
He shares on a Fast Money broadcast, “When the Bitcoin Misery Index is at ‘misery’ (below 27), bitcoin sees the best 12-month performance.”
Currently the “BMI” of BTC is 18.8 - the lowest since 2011.
According to Lee, when the misery index is low, it’s a good time for investors to acquire more BTC.
Check out the BMI chart below, and let us know what you think of this unique evaluation on Twitter and Facebook👍
🇺🇸Congress Hearing: Examining Cryptocurrencies and ICOs🇺🇸
Often times, consumers interpret regulations as barriers; obstacles that stymie innovation. This stance is entirely unfortunate because a firm, transparent regulatory atmosphere is ideal for innovation. With regulations, investors and inventors alike benefit from the protective constructs resultant of regulations. Therefore, entrepreneurs, venture capitalists, and innovators, for instance, can thrive, fostering the development of new beneficial products and services for business and consumers.
A quandary the crypto market currently faces involves how the United States Congress plans to regulate digital currency. With there being few, if at all, incumbents in government who understand digital currencies, many regulators are uninformed and, therefore, over complicating how to regulate the crypto market, causing many to believe there must be a new scheme to regulate cryptocurrency.
Developing a new system to regulate cryptocurrency is unnecessary. Per Mike Lempres, the Chief Legal and Risk Officer at Coinbase, who spoke at today’s Congress Hearing: Examining Cryptocurrencies and ICOs, digital currencies and spot markets can be properly regulated under present laws. He further digressed by stating that a new regulatory scheme and legal missteps could unintentionally damage the incredible benefits of cryptocurrency. Therefore, regulating the market under current law would be most advantageous, ensuring the longevity of cryptospace.
In addition to the aforementioned, there is much to address from the hearing, particularly news concerning Coinbase. Under the present regulatory system, Coinbase, which is a spot market, operates within legal CFTC standard, solidifying Coinbase as, in our eyes, the most ethically operating exchange in all of crypto. Further, of the four cryptocurrencies exchanged on Coinbase - Bitcoin, Bitcoin Cash, Ethereum, and Litecoin - each, according to several federal court decisions, is viewed as a digital currency, not a security.
This makes us increasingly bullish on those 4 big cap coins for our longer term porfolio positions, as they've stood the test of time.
Often times, consumers interpret regulations as barriers; obstacles that stymie innovation. This stance is entirely unfortunate because a firm, transparent regulatory atmosphere is ideal for innovation. With regulations, investors and inventors alike benefit from the protective constructs resultant of regulations. Therefore, entrepreneurs, venture capitalists, and innovators, for instance, can thrive, fostering the development of new beneficial products and services for business and consumers.
A quandary the crypto market currently faces involves how the United States Congress plans to regulate digital currency. With there being few, if at all, incumbents in government who understand digital currencies, many regulators are uninformed and, therefore, over complicating how to regulate the crypto market, causing many to believe there must be a new scheme to regulate cryptocurrency.
Developing a new system to regulate cryptocurrency is unnecessary. Per Mike Lempres, the Chief Legal and Risk Officer at Coinbase, who spoke at today’s Congress Hearing: Examining Cryptocurrencies and ICOs, digital currencies and spot markets can be properly regulated under present laws. He further digressed by stating that a new regulatory scheme and legal missteps could unintentionally damage the incredible benefits of cryptocurrency. Therefore, regulating the market under current law would be most advantageous, ensuring the longevity of cryptospace.
In addition to the aforementioned, there is much to address from the hearing, particularly news concerning Coinbase. Under the present regulatory system, Coinbase, which is a spot market, operates within legal CFTC standard, solidifying Coinbase as, in our eyes, the most ethically operating exchange in all of crypto. Further, of the four cryptocurrencies exchanged on Coinbase - Bitcoin, Bitcoin Cash, Ethereum, and Litecoin - each, according to several federal court decisions, is viewed as a digital currency, not a security.
This makes us increasingly bullish on those 4 big cap coins for our longer term porfolio positions, as they've stood the test of time.
📊Lowest Volume Since Nov📊
When evaluating the 1 yr log uptrend (the one that broke last week) we were looking at the candle closes - as opposed to the wicks. It's not necessarily right or wrong, it's a matter of preference; as long as you’re consistent. That means you shouldn’t connect wicks to candles and visa versa.
We used the candle close because the wick from hitting the $6k bottom was a capitulation point and the bounce was massive. We figured if we dropped below that trendline it'd be a great short opportunity, and boy were we right. There’s been 13% downside since that trendline broke. Another profitable short.
With all that said, if we use the wicks to draw the uptrend, you'll see that we're now right on it - technically the 1yr uptrend is still intact, though we’ve been in a downtrend the last 91 days...but who’s counting 🤷♂️
Today Bitcoin saw the least amount of volume it’s seen since late November. It’s about half of the volume average of the last 30 days. The last time volume was this low, the BTC price (and therefore marketcap) were almost exactly the same.
If we bounce off this uptrend and find consistency at this level of volume, we could finally be in for some consolidation - some sideways price action.
This is what we need to see before we can expect any major move up👍
When evaluating the 1 yr log uptrend (the one that broke last week) we were looking at the candle closes - as opposed to the wicks. It's not necessarily right or wrong, it's a matter of preference; as long as you’re consistent. That means you shouldn’t connect wicks to candles and visa versa.
We used the candle close because the wick from hitting the $6k bottom was a capitulation point and the bounce was massive. We figured if we dropped below that trendline it'd be a great short opportunity, and boy were we right. There’s been 13% downside since that trendline broke. Another profitable short.
With all that said, if we use the wicks to draw the uptrend, you'll see that we're now right on it - technically the 1yr uptrend is still intact, though we’ve been in a downtrend the last 91 days...but who’s counting 🤷♂️
Today Bitcoin saw the least amount of volume it’s seen since late November. It’s about half of the volume average of the last 30 days. The last time volume was this low, the BTC price (and therefore marketcap) were almost exactly the same.
If we bounce off this uptrend and find consistency at this level of volume, we could finally be in for some consolidation - some sideways price action.
This is what we need to see before we can expect any major move up👍
🗞G20 & The Bitcoin Bounce📈
With market sentiment worsening as prices reached the $7200-$7400 range on Sunday, capitulation to ‘Bitcoin Bears’ was seeming inevitable. We, however, can not help but draw parallels to the bounce we just witnessed to the one that was undergone in early February when Bitcoin prices reached sub $6k levels.
In the past two months, as our current bear market has progressed, there have been two defining moments where positive sentiment has returned to crypto after major governing bodies have made decisive statements against the need to regulate these emerging assets.
On February 6th, as we reported, the CFTC and SEC were represented in a Senate hearing, in which they ultimately expressed that they would not be pursuing further regulation of digital currency exchanges at this time. This news alleviated the slide in prices that had been taking place up until that time.
In a very similar manner, but to a more decisive degree, great news was passed on from the G20 summit yesterday as they announced they are also not interested in pursuing further regulation of cryptocurrency and blockchain.
The G20 is an international forum of governments and central bank leaders from the most financially influential countries around the world. Their aim is to create policy that will provide international financial stability. The letter published by the Bank of England governor, Mark Carney, who is the chair of the Financial Stability Board (FSB), stated that “The FSB’s initial assessment is that crypto-assets do not pose risks to global financial stability at this time.”
You can read the full report here: http://www.fsb.org/2018/03/fsb-chairs-letter-to-g20-finance-ministers-and-central-bank-governors/
Financially speaking, the G20 might be one of the single most important entities in the world for deciding direction and policy of world economies.
One can not question the gravitas of this news. With the 20 most powerful nations in terms of economic standing agreeing that no additional regulatory action against cryptocurrency is necessary at this time, as well as it having no risk to global financial stability, one cannot help but remain optimistic for the future of this space.
With market sentiment worsening as prices reached the $7200-$7400 range on Sunday, capitulation to ‘Bitcoin Bears’ was seeming inevitable. We, however, can not help but draw parallels to the bounce we just witnessed to the one that was undergone in early February when Bitcoin prices reached sub $6k levels.
In the past two months, as our current bear market has progressed, there have been two defining moments where positive sentiment has returned to crypto after major governing bodies have made decisive statements against the need to regulate these emerging assets.
On February 6th, as we reported, the CFTC and SEC were represented in a Senate hearing, in which they ultimately expressed that they would not be pursuing further regulation of digital currency exchanges at this time. This news alleviated the slide in prices that had been taking place up until that time.
In a very similar manner, but to a more decisive degree, great news was passed on from the G20 summit yesterday as they announced they are also not interested in pursuing further regulation of cryptocurrency and blockchain.
The G20 is an international forum of governments and central bank leaders from the most financially influential countries around the world. Their aim is to create policy that will provide international financial stability. The letter published by the Bank of England governor, Mark Carney, who is the chair of the Financial Stability Board (FSB), stated that “The FSB’s initial assessment is that crypto-assets do not pose risks to global financial stability at this time.”
You can read the full report here: http://www.fsb.org/2018/03/fsb-chairs-letter-to-g20-finance-ministers-and-central-bank-governors/
Financially speaking, the G20 might be one of the single most important entities in the world for deciding direction and policy of world economies.
One can not question the gravitas of this news. With the 20 most powerful nations in terms of economic standing agreeing that no additional regulatory action against cryptocurrency is necessary at this time, as well as it having no risk to global financial stability, one cannot help but remain optimistic for the future of this space.
🗞G20 & The Bitcoin Bounce📈
As you can see, Bitcoin closed within the 1yr uptrend again. The $8800 level that acted as such strong support for so long acted as the first major resistance. We expect to see smaller movements as we continue to move sideways and we’re only trading the larger time frames - smaller time frames are too choppy.
Lessened volatility and consolidation is what will be necessary in order to break through the 4th test of the 97 day downtrend.
As you can see, Bitcoin closed within the 1yr uptrend again. The $8800 level that acted as such strong support for so long acted as the first major resistance. We expect to see smaller movements as we continue to move sideways and we’re only trading the larger time frames - smaller time frames are too choppy.
Lessened volatility and consolidation is what will be necessary in order to break through the 4th test of the 97 day downtrend.
🌳Not out of the Woods 🌳
Yesterday, our post touched upon a few different strategies to hedge portfolios against a potential downturn in the price of Bitcoin. Based on historical data, Bitcoin’s price drives the profitability of the rest of the digital currency sphere. When Bitcoin fails to hold stability or gradually rise with the market, alternative digital currencies have faced difficulty sustaining positive price movements. This is part of the reason why we must reiterate the importance of Bitcoin’s current price levels.
As we discussed yesterday, Bitcoin is hovering above one very crucial support level and just below another. We're above the logarithmic one year uptrend; and just below the 200 day Exponential Moving Average. An Exponential Moving Average is similar to a standard moving average, except it gives for weight to the latest data. The 200 day Exponential Moving Average is an extremely important indicator in the eyes of technical traders, as it provides a market pulse as to whether the price in recent times has remained bullish or bearish in comparison to the past 150 or so days. 📅
These levels are coinciding with the $7500-$7700 range. As of last night, we have seen BTC bounce from the $7700 level back now to above $8000. Although we do like to see this bounce, the volume and and percentage increase in price are not at levels that make us secure in calling this a definitive move off the support regions. For that reason, we are proceeding and hope you all are too, with caution. If these support levels do not hold, Bitcoin’s price will most likely undergo a serious sell off with the rest of the digital currency market.
Until we see healthier levels of volume validated by positive price action, our positions will be limited and members of our team will be ready to secure profits into fiat and tether to have buying power at lower prices.
The key is to watch price action in the $7500-$7700 level and see if any sort of fresh volume wills the price out of this tumultuous zone!
Yesterday, our post touched upon a few different strategies to hedge portfolios against a potential downturn in the price of Bitcoin. Based on historical data, Bitcoin’s price drives the profitability of the rest of the digital currency sphere. When Bitcoin fails to hold stability or gradually rise with the market, alternative digital currencies have faced difficulty sustaining positive price movements. This is part of the reason why we must reiterate the importance of Bitcoin’s current price levels.
As we discussed yesterday, Bitcoin is hovering above one very crucial support level and just below another. We're above the logarithmic one year uptrend; and just below the 200 day Exponential Moving Average. An Exponential Moving Average is similar to a standard moving average, except it gives for weight to the latest data. The 200 day Exponential Moving Average is an extremely important indicator in the eyes of technical traders, as it provides a market pulse as to whether the price in recent times has remained bullish or bearish in comparison to the past 150 or so days. 📅
These levels are coinciding with the $7500-$7700 range. As of last night, we have seen BTC bounce from the $7700 level back now to above $8000. Although we do like to see this bounce, the volume and and percentage increase in price are not at levels that make us secure in calling this a definitive move off the support regions. For that reason, we are proceeding and hope you all are too, with caution. If these support levels do not hold, Bitcoin’s price will most likely undergo a serious sell off with the rest of the digital currency market.
Until we see healthier levels of volume validated by positive price action, our positions will be limited and members of our team will be ready to secure profits into fiat and tether to have buying power at lower prices.
The key is to watch price action in the $7500-$7700 level and see if any sort of fresh volume wills the price out of this tumultuous zone!
📈Lessoned Volatility 📉
The Crypto Marketcap is currently $259bn - snug between our $250bn and $280bn target range for consolidation. In fact, yesterday the uptrend turned down right at $281bn.
If the sideways movement theory (fair market valuation at $250bn) holds up, the market will bounce again soon. If the market comes down another 10% or so, the targets become a lot more pessimistic. However, since we have a chunk of our portfolio in fiat, and we’re only averaged into a few longer term ALT bags, we feel well prepared for whatever is to come.
📊If the market hits scary new lows in the coming weeks/months (which we think will happen if current levels can’t hold up) we’ll be uniquely positioned to take huge positions across a diversified portfolio.
💰Prices many of you may not have seen since you joined the space, are starting to pop up across board.
As you’ve seen, we’re moving slow. We are confident there will be another record bull-run, but it won’t matter if you can’t preserve enough wealth to take another shot at it.
Current average portfolio breakdown across the team are roughly:
• 30% fiat
• 30% ALT exposure
• 40% Bitcoin
We’re looking for some more ALT exposure at these levels if the market can show some continued sideways movement.
The Crypto Marketcap is currently $259bn - snug between our $250bn and $280bn target range for consolidation. In fact, yesterday the uptrend turned down right at $281bn.
If the sideways movement theory (fair market valuation at $250bn) holds up, the market will bounce again soon. If the market comes down another 10% or so, the targets become a lot more pessimistic. However, since we have a chunk of our portfolio in fiat, and we’re only averaged into a few longer term ALT bags, we feel well prepared for whatever is to come.
📊If the market hits scary new lows in the coming weeks/months (which we think will happen if current levels can’t hold up) we’ll be uniquely positioned to take huge positions across a diversified portfolio.
💰Prices many of you may not have seen since you joined the space, are starting to pop up across board.
As you’ve seen, we’re moving slow. We are confident there will be another record bull-run, but it won’t matter if you can’t preserve enough wealth to take another shot at it.
Current average portfolio breakdown across the team are roughly:
• 30% fiat
• 30% ALT exposure
• 40% Bitcoin
We’re looking for some more ALT exposure at these levels if the market can show some continued sideways movement.
🇮🇳India’s Crypto Crackdown🇮🇳
With negative dispositions towards the digital currency ecosystem surfacing in March, it was not of total surprise to hear about the crackdown on cryptocurrencies in India this morning.
“It has been decided that, with immediate effect, entities regulated by RBI shall not deal with or provide services to any individual or business entities dealing with or settling virtual currencies. Regulated entities which already provide such services shall exit the relationship within a specified time. A circular in this regard is being issued separately,” the RBI said in a statement.
This statement is a firm declamation from the central bank of India (RBI), indicating that they will inhibit interaction from RBI regulated entities with companies, or individuals, dealing with digital currencies.
This is an extremely aggressive stance from a major player in the world economy. However, India itself makes up fairly negligible trading volumes. This type of crackdown from a governing body hasn’t been replicated by another large nation other than China. With the recent support for the industry by key nations, such as the United States, Japan, and South Korea, it comes as a surprise to us that they would take such drastic measures.
Stifling a budding industry with the traits of digital currency tells us that governing elite in India are either trying to protect their citizens from the potential rampant scam or illegal activities that is often associated with cryptocurrency, or they see the trend developing of a decentralized power structure that may weaken their financial stranglehold of their population.
We side with the latter. Either way, it is our belief that governmental barring entry to this space will only push citizens of India to find alternate methods to participate in the ongoing financial revolution.
Read the official press release here: https://rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=43574
We haven’t seen this have an effect on the market, and we wouldn’t expect it to with the aforementioned volume that comes from India.
With negative dispositions towards the digital currency ecosystem surfacing in March, it was not of total surprise to hear about the crackdown on cryptocurrencies in India this morning.
“It has been decided that, with immediate effect, entities regulated by RBI shall not deal with or provide services to any individual or business entities dealing with or settling virtual currencies. Regulated entities which already provide such services shall exit the relationship within a specified time. A circular in this regard is being issued separately,” the RBI said in a statement.
This statement is a firm declamation from the central bank of India (RBI), indicating that they will inhibit interaction from RBI regulated entities with companies, or individuals, dealing with digital currencies.
This is an extremely aggressive stance from a major player in the world economy. However, India itself makes up fairly negligible trading volumes. This type of crackdown from a governing body hasn’t been replicated by another large nation other than China. With the recent support for the industry by key nations, such as the United States, Japan, and South Korea, it comes as a surprise to us that they would take such drastic measures.
Stifling a budding industry with the traits of digital currency tells us that governing elite in India are either trying to protect their citizens from the potential rampant scam or illegal activities that is often associated with cryptocurrency, or they see the trend developing of a decentralized power structure that may weaken their financial stranglehold of their population.
We side with the latter. Either way, it is our belief that governmental barring entry to this space will only push citizens of India to find alternate methods to participate in the ongoing financial revolution.
Read the official press release here: https://rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=43574
We haven’t seen this have an effect on the market, and we wouldn’t expect it to with the aforementioned volume that comes from India.
🚨Coinbase to Support Forks🚨
Coinbase President Asiff Hirji was interviewed on CNBCs Fast Money today.
Fast Money initially touted a “big announcement” to drive hype. This resulted in some coins like $ZRX seeing small pumps and subsequently dumps📉
The big announcement is certainly a good one. Coinbase shared their intention to allow those holding Bitcoin in Coinbase wallets (also GDAX) the ability to withdraw coins earned from Bitcoin forks.
This means millions of people will likely be given their allocation of Bitcoin Private, Bitcoin Gold, and Bitcoin Diamond forks🎉
This is good news, one might think of it like a tax return. In our opinion people are likely to sell the “free coins” and some fresh capital can enter the market as a result💰
The most important thing to note is that “Adding withdrawal support for a bitcoin fork does not mean the asset will also be added for trading”.
Read more about the fork and how it will work, here: https://blog.coinbase.com/adding-support-for-bitcoin-forks-to-coinbase-c4bee020898c
Coinbase also announced the launch of Coinbase Ventures 🚀
Coinbase Ventures looks to act as an incubator for startups in the blockchain and cryptocurrency space, investing and supporting the growth of new companies.
You can learn more about Coinbase Ventures here: https://blog.coinbase.com/introducing-coinbase-ventures-c67865a1d2fe
Coinbase President Asiff Hirji was interviewed on CNBCs Fast Money today.
Fast Money initially touted a “big announcement” to drive hype. This resulted in some coins like $ZRX seeing small pumps and subsequently dumps📉
The big announcement is certainly a good one. Coinbase shared their intention to allow those holding Bitcoin in Coinbase wallets (also GDAX) the ability to withdraw coins earned from Bitcoin forks.
This means millions of people will likely be given their allocation of Bitcoin Private, Bitcoin Gold, and Bitcoin Diamond forks🎉
This is good news, one might think of it like a tax return. In our opinion people are likely to sell the “free coins” and some fresh capital can enter the market as a result💰
The most important thing to note is that “Adding withdrawal support for a bitcoin fork does not mean the asset will also be added for trading”.
Read more about the fork and how it will work, here: https://blog.coinbase.com/adding-support-for-bitcoin-forks-to-coinbase-c4bee020898c
Coinbase also announced the launch of Coinbase Ventures 🚀
Coinbase Ventures looks to act as an incubator for startups in the blockchain and cryptocurrency space, investing and supporting the growth of new companies.
You can learn more about Coinbase Ventures here: https://blog.coinbase.com/introducing-coinbase-ventures-c67865a1d2fe