Digital assets are about more than just Bitcoin. The global adoption of blockchain, expansion of cross-border payments, new investment vehicles tied to intellectual property, and more, could one day establish a global market of digitized assets worth $50 trillion. This channel provides access to the latest developments, opportunities, risks, and thought leaders in the growing Digital Assets space.
In a speech on Wednesday, Jon Cunliffe of the Bank of England called for tough regulations on cryptocurrencies, drawing a parallel between the $1.2 trillion subprime mortgage market in 2008 and the growth of the crypto market from a mere $16 billion five years ago to its $2.3 trillion capitalization today.
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More Stories on Digital Assets
Bitcoin barreled through the $50,000 price level over the weekend, touching a high of $50,495.95, and putting on about 3% over the last 24 hours, according to Coindesk data. As at the time of writing, it is marginally off that high and is trading at $49,612.46.
It’s a huge plug for the cryptoeconomy, which Coinbase (NASDAQ: COIN) envisions as a future where economic transactions would be based on crypto assets. Coinbase CEO Brian Armstrong revealed today that the company’s board had approved the investment of a massive $500 million in crypto. Armstrong also said that going forward the company, which is the largest digital exchange in the US by trade volume, would invest 10% of its quarterly profits in crypto.
Wells Fargo’s (NYSE: WFC) Form D filing with the SEC on Thursday for a fund titled FS NYDIG Bitcoin Fund I, LP, a pooled investment fund the bank it will offer to its well-heeled clients for exposure to bitcoin.
United Wholesale Mortgage (NYSE: UWMC) has announced plans to accept cryptocurrencies in payment for home loans from the third quarter of this year, starting with bitcoin. Other cryptocurrencies, such as ether, are under evaluation, too. The move by UWMC is a first for the mortgage industry.
Japan is one of the largest markets by crypto trading volumes globally. Coinbase (NASDAQ: COIN) announced today the launch of digital assets trading in Japan, a country that was among the first off the block to embrace cryptos. The company said it intended to be a fully compliant and most trusted crypto exchange in Japan…
Dickens county, in rural Texas, has a population of 2,300, and in the words of Kevin Brendle, a top county official, “is mostly improved pasture and grassland.” Yet, its idyllic environs will soon be home to a 320-acre crypto facility where hundreds of computers will be used to mine bitcoin, each currently worth about $45,000. The draw: Texas’ cheap power.
Alternative Investments/Digital: Galaxy Digital Takes Aim (Again) At Bitcoin ETF Using Futures Route
Enthused by a comment from Gary Gensler, the Chair of the Securities and Exchange Commission, that filing with the SEC for a futures-based bitcoin ETF stood a higher chance under the Securities Act of 1940, Mike Novogratz’s Galaxy Digital (TSE: GLXY) just took its second shot at that elusive vehicle. Note that the company previously filed for a bitcoin ETF in April 2021 under the Securities Act of 1933.
Austrian cryptocurrency broker Bitpanda announced today (August 17, 2021) its raise of $263 million in a Series C round led by Valar Ventures, with the participation of Alan Howard and REDO Ventures, as well as existing investors LeadBlock Partners and Jump Capital. Valar Ventures is the venture capital firm co-founded by U.S. tech billionaire Peter Thiel. The round valued Bitpanda at $4.1 billion, up from $1.2 billion in March, when the startup raised $170 million.
Meanwhile, the Hashdex Nasdaq Ethereum Reference Price Index Fund goes live in Brazil next week. Delaware-based digital asset investment manager Kryptoin has filed a proposal with the U.S. Securities and Exchange Commission to launch a physically-backed Ethereum exchange-traded fund (ETF). (FXSTREET) Kryptoin eyes Ether ETF approval The ETF would provide exposure to the second-largest cryptocurrency…
In an SEC filing, the Neuberger Berman Commodity Strategy Fund has permitted actively managed exposure to cryptocurrency investments and digital assets through i) cryptocurrency derivatives, such as bitcoin futures and ether futures, and (ii) investments in bitcoin trusts and exchange-traded funds to gain indirect exposure to bitcoin.
In what could be the biggest crypto heist ever, a criminal hacked $600 million worth of tokens from Poly Network. But there’s a twist in the tale. Though the hacker exploited a vulnerability in blockchain network Poly Network and made off with that huge amount, it seems they had a change of heart and have started returning the stolen assets.
Facebook co-founder Eduardo Saverin’s B Capital led CoinDCX’s $90 million Series C round that catapulted the Indian crypto exchange into the unicorn club with a valuation of $1.1 billion. CoinDCX also became the first Indian crypto company to achieve this status.
Melanion Capital, a Paris-based asset manager specializing in derivatives and computer-driven strategies, has been greenlighted by French regulators to launch a bitcoin UCITS ETF. This is a major landmark for the adoption of cryptocurrencies because the EU would be a potentially large market and one that has lacked an investment vehicle with the coveted UCITS tag – which signifies higher regulatory protection.
Alternative Investments/Real Estate: As Low Interest Rates Bite, UK Investors Tilt Towards Alternatives
An independent survey of 889 UK investors commissioned by NexGen Cloud found that over 40% are likely to consider alternative investments such as real estate, cryptocurrencies and collectibles in the present low-interest rate environment.
JPMorgan Chase & Co. (NYSE: JPM), which is led by bitcoin-sceptic CEO Jamie Dimon, is now offering an in-house bitcoin fund to clients at its Private Banking unit, CoinDesk reported. The big-four US bank is said to have partnered with New York Digital Investment Group (NYDIG) for the fund.
Earlier this week, NCR (NYSE: NCR), the software and device provider for payments with a market capitalization of $5.26 billion, announced its acquisition of Libertyx, America’s first and largest U.S. network of bitcoin ATMs, cashiers and kiosks with thousands of locations across 44 states nationwide.
Speaking on a Bloomberg interview on Tuesday, Gary Gensler, chairman of the United States Securities and Exchange Commission, said he supported more regulatory protection of the crypto space. His comments had a negative effect on the price of bitcoin, the leading cryptocurrency, which at one stage fell below $38,000.
Marathon Digital Holdings (NASDAQ: MARA) has placed an order on Bitmain for the supply of 30,000 numbers of its flagship bitcoin mining hardware the AntMiner S19j Pro. The order, valued at $120.7 million will be fulfilled between January 2022 and June 2022. Marathon would thereafter have a capacity of over 133,000 bitcoin miners.
Mutual fund issuer, Bethesda-based ProFunds launched last week an innovative bitcoin mutual fund suitable for retail investors looking to invest in the leading crypto currency without the risks and hassles of holding it in wallets or exchange accounts. The Bitcoin Strategy ProFund (BTCFX) is the first open-ended U.S. mutual fund that will track bitcoin prices.
Greenidge Generation Holdings, which runs a bitcoin mining operation alongside its power supply unit in Upstate New York, announced Thursday (July 29, 2021) that it will shutter a 40-year old coal ash landfill in the Finger Lakes region, and thereafter set up a 5MW solar farm at the 143-acre site.
New investors joined Figure Technologies’ Series D, taking the round to $200 million. The Series D, originally announced in May, saw new investors joining up, including entities and funds managed and/or advised by affiliates of Apollo Global Management, Inc., Blockchain.com, Rockaway Blockchain, HOF Capital, Endeavour Capital, National Bank Holdings, Goldentree Asset Management and L1 Digital.
In a blog this week the IMF warned against the use of cryptoassets as a national currency, saying it was a “step too far.” Though cryptos had obvious advantages such as cheap and faster cross-border transfers, financial inclusion, and ease of access, the IMF warned that “in most cases, risks and costs outweigh potential benefits.”