Posts belonging to Category bitcoin



Bitcoin surges past $33,000

Fears of a global recession

The price of Bitcoin (BTC-USD) has surged to a new record pushing to above $33,000 (£24,135) for the first time in history on Sunday, after it crossed the $30,000 mark on Saturday. It soared by 18% on Sunday morning, reaching a new all-time high above $34,000, before trickling back down. Other digital coins, such as Ethereum and Litecoin, also recorded sharp price increases.

Bitcoin’s record-breaking rally has seen the cryptocurrency increase by more than 300% in 2020.In comparison, Wall Street’s blue-chip S&P 500 stock index (^GSPC) saw a 16% lift and gold (GC=F) had a 25% rally.

It comes as lockdowns and fears of a global recession, due to the coronavirus pandemic, sent investors flocking to alternative financial assets.

https://uk.finance.yahoo.com/

 

Facebook hopes the cryptocurrency it backs will launch in 2021

Facebook should be given the “benefit of the doubt” by regulators in its ambitions to launch the cryptocurrency it backs and its digital wallet, the head of the company’s financial services arm said on Monday.

David Marcus, the head of Facebook Financial, also known as F2, said he hopes both the cryptocurrency called Diem and the social networking firm’s wallet Novi will launch next year. The cryptocurrency was initially called Libra and was designed to be managed by a non-profit consortium consisting of several companies called the Libra Association. Facebook had planned to launch a wallet called Calibra that would allow users to send this cryptocurrency to each other.

One Libra coin was initially supposed to be backed by a basket of currencies. But regulators raised a number of concerns from the impact Libra could have on financial stability to issues over data privacy and money laundering. In April, the Libra Association scaled back plans and said it would offer stable coins backed by just one nation’s currency, rather than a single coin backed by several currencies.

https://www.cnbc.com/

Bitcoin rockets past $18,000

The all-time high is in sight

Bitcoin prices continue to skyrocket and the cryptocurrency is now within striking distance of its all-time high from December 2017. Bitcoin briefly surged above $18,000 on Wednesday, having passed the $15,000, $16,000 and $17,000 milestones in the past few days. The record high for bitcoin is just below $20,000. The total value of all the bitcoins in circulation is now more than $300 billion — also near an all-time high.
The cryptocurrency, which has more than doubled in value this year, has picked up steam lately for a variety of reasons.
Bitcoin, like gold, has benefited from a weaker dollar. Investors increasingly view bitcoin as a viable alternative to paper, government-backed currencies. The dollar could remain in the doldrums for awhile — especially since most market experts expect the Federal Reserve to keep interest rates at zero for the foreseeable future.

https://edition.cnn.com/

Bitcoin could surge to $1 million in 5 years

‘Enormous wall of money’

Raoul Pal, the former Goldman Sachs hedge-fund manager who founded Real Vision, said the price of bitcoin could hit $1 million in five years. In an interview with Stansberry Research on October 7, he pinned such a price increase to a wave of institutional funds pouring “an enormous wall of money” into the asset.

Bitcoin’s price has exploded about 40% year-to-date and was worth $11,387 on Thursday. It is also the largest digital currency by market capitalization, at about $200 billion, according to data published by Statista.

https://www.msn.com/

Bitcoin Surged Above $12,000

Gold market is “in control” of Bitcoin’s price

After two weeks of consolidation under $12,000, Bitcoin cleared that technical resistance early Monday morning. According to TradingView, cryptocurrency traded at $12,320, with the rally finding legs on an influx of buying volume on exchanges like Coinbase and Bitstamp.

Bitcoin’s latest leg higher coincided with a move upward in the value of gold. The precious metal almost matched Bitcoin’s price performance, with both rallying a few percent higher over a matter of hours. This is in line with analyses that indicate the gold market is “in control” of Bitcoin’s price.

Analysts are optimistic about what comes next for Bitcoin, citing the importance of the $12,000 level to BTC’s recent price action.

https://www.forbes.com/

Digital yuan nears launch

China sweats over Libra

China appears on track to launch a sovereign digital currency next year, becoming the first major country to do so, as Beijing aims to track money flows more closely and combat planned cryptocurrencies such as Facebook’s Libra.

With work completed on conducting research and setting standards for the virtual yuan, the next step involves choosing a region for a test launch, Fan Yifei, deputy governor of the People’s Bank of China, said at the end of November. A month earlier, former Chongqing Mayor Huang Qifan told a Shanghai forum that the PBOC was likely to be the world’s first central bank to launch a digital currency.

Digitizing the yuan should lighten the workload for banks by reducing cash circulation, but the move also lets Beijing tighten scrutiny of international transactions and promote the use of its currency on the global stage.

The virtual yuan additionally looks to serve as a preemptive strike against Libra, a cryptocurrency backed by major companies like Facebook that has Beijing worried both about capital outflows and about losing more ground to the dollar.

https://asia.nikkei.com/

Trump blasts Bitcoin, Facebook’s Libra

Trump demands cryptocurrencies face banking regulations

U.S. President Donald Trump on Thursday criticized Bitcoin, Facebook’s proposed Libra digital coin and other cryptocurrencies and demanded that companies seek a banking charter and make themselves subject to U.S. and global regulations if they wanted to “become a bank.”

“I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air,” Trump wrote on Twitter.“If Facebook and other companies want to become a bank, they must seek a new Banking Charter and become subject to all Banking Regulations, just like other Banks, both National and International,” he added.

Facebook said last month it would launch its global cryptocurrency in 2020. Facebook and 28 partners, including Mastercard Inc (MA.N), PayPal Holdings Inc (PYPL.O) and Uber Technologies Inc (UBER.N), would form the Libra Association to govern the new coin. No banks are currently part of the group.

http://www.reuters.com

Bitcoin Devours More Electricity Than Switzerland

Enormous amount of electricity

As well as attracting criticism for price volatility, use in illegal transactions and thefts from exchanges, Bitcoin has also provoked controversy for the enormous amount of electricity it consumes. A new online tool released by the University of Cambridge estimates the crypto-currency network’s energy usage and compares it with other entities. It found that Bitcoin uses an estimated 61.76 terawatt-hours (TWh) of electricity per year – more than many countries and approximately 0.28% of total global electricity consumption.

By comparison, the Czech Republic uses an estimated 62.34 TWh per year while Switzerland consumes 58.46 TWh. If Bitcoin was a country, it would be the 41st most-energy-demanding nation on the planet. The crypto-currency’s massive energy demands come from the computing power needed for mining, a process whereby machines are connected to the network to verify transactions which involves solving puzzles. In order to lower energy costs, some Bitcoin miners have relocated to countries such as Iceland where geothermal energy is cheap and abundant while the Arctic air helps with cooling.

http://www.forbes.com

Bitcoin briefly surged above $11,000

One analyst predicts that price could hit $40,000 “in a few months”

After reaching the $10,000 mark for the first time in more than a year Friday, the price of bitcoin briefly surged above $11,000 on Saturday but was struggling to push past the fresh threshold in Sunday trading. Bitcoin BTCUSD, -2.87% was recently up 0.3% at $10,723.37 Sunday evening Eastern U.S. time, according to CoinDesk. Over the weekend, bitcoin traded as high as $11,307.69 intraday, its highest level since March 2018.

It was the third price milestone in a week, after the world’s largest cryptocurrency topped the $9,000 level for the first time in 13 months last Sunday. Bitcoin’s price is up 193% year to date, with most of the gain coming in the past three months. Last week, one bitcoin analyst predicted that prices could hit $40,000 “in a few months” now that the $10,000 level had been cracked. “Bottom line: Crypto winter looks over,” Fundstrat’s Thomas Lee said. After topping out above $19,000 in December 2017, bitcoin prices sank to as low as $3,122 in December 2018.

As of Sunday evening, bitcoin’s market cap sat at roughly $190 billion, according to Coinmarketcap.com.

http://www.marketwatch.com

The Federal Reserve left its key interest rate unchanged

Rate cuts are on the way

The Federal Reserve left its key interest rate unchanged Wednesday but signaled that it’s prepared to start cutting rates if needed to protect the U.S. economy from trade conflicts and other threats.

The Fed kept its benchmark rate — which influences many consumer and business loans — in a range of 2.25% to 2.5%, where it’s been since December.

It issued a statement saying that because “uncertainties” have increased, it would “act as appropriate to sustain the expansion.” That language echoed a remark Chairman Jerome Powell made two weeks ago that analysts interpreted as a signal that rate cuts were on the way.

http://www.abcnews.go.com

Facebook’s Cryptocurrency Libra Is Coming

Everything We Know So Far

Codenamed Libra and possibly named GlobalCoin, Facebook’s big blockchain play will reportedly create a crypto-based payments ecosystem across Facebook, Messenger, Instagram, WhatsApp, and beyond. Here’s what we know right now. Facebook’s long-rumored cryptocurrency is about to get its big debut. The formal launch is expected sometime in 2020 after a testing phase later this year, but the social network is gearing up to officially announce it with a white paper on Tuesday laying out the basics of its crypto token. Here’s everything we know so far.

We’ve heard rumblings about a secret blockchain project since last May, when Cheddar’s Alex Heath reported that Facebook had been exploring blockchain and the creation of its own cryptocurrency for use within its apps since 2017. Facebook’s goal is to launch a virtual token allowing the company’s billions of users across Facebook, Messenger, Instagram, and WhatsApp to make digital payments. This includes both internally among other users within Facebook’s app ecosystem, and externally on e-commerce purchases and third-party services without ever leaving their Facebook-owned app of choice. The BBC reported it’ll be called GlobalCoin, but personally I’m still pulling for Facebucks.

http://www.pcmag.com

 

Facebook stablecoin for WhatsApp is set to hit the market soon

‘Facebook Coin’ Reportedly Coming in First Half of 2019

The social media giant has been in discussion with various exchanges for the launch of its new stable-coin that would allow cryptocurrency transactions between WhatsApp users. Facebook had recently acquired a high profile blockchain team to gear up the process for the same. As many as five different sources have reportedly confirmed that Facebook is going to launch the currency within the first half of the current year, i.e., 2019.

It is also being stated that the currency is in its testing phases with a small pilot group being involved. The coin when launched is expected to be one of the most rapidly growing digital assets since the social media network has an over two and a half billion global user base on the instant messaging application WhatsApp. Experts also believe that Facebook would have various options to go to after the currency has been launched.

https://www.cryptopolitan.com/

All Venezuelan Oil Will Be Sold In Petro Cryptocurrency

Experts see El Petro as nothing but a scam 

Venezuela’s President Nicolas Maduro said on state television that Venezuela would put in place in 2019 a program to sell all its oil production in the Petro cryptocurrency, which the leader is touting as the first state-backed oil-backed digital currency.

Gradually, Venezuela will sell all its oil production in Petro, Maduro said during a visit to Russia. For 2019, Venezuela will have a timetable to sell all its oil production in the cryptocurrency, its president said. In this way, Venezuela will free itself from the currency used by Washington “to create economic pain” to other countries, and to “persecute countries, as it does with Venezuela, Cuba, Iran, and Russia”, Maduro said.

El Petro, however, is seen by analysts and experts as nothing but a scam and another effort by Venezuela to skirt sanctions and mask the inability to overhaul the ailing domestic economy.

http://www.oilprice.com

 

Are blockchain and bitcoin scams?

Economist Nouriel Rubini : bitcoin and blockchain represent a significant threat

The economist who predicted the 2008 financial collapse has been telling congressional leaders that bitcoin and blockchain represent a significant threat to the stability of the financial marketplace. But he’s getting pushback. Today, Roubini doubled down on his claims in a column published on CNBC.com in which he said blockchain has promised to cure the world’s ills through decentralization but is “just a ruse to separate retail investors from their hard-earned real money.”
Blockchain, which can be used to create a decentralized, permissioned electronic ledger for all kinds of business transactions, “has not even improved upon the standard electronic spreadsheet, which was invented in 1979,” Roubini wrote in the  op-ed column.

Chinese bitcoin mining giant Bitmain had revenues of $2.8 billion in the first half of the year

IPO plan despite slump in bitcoin

After months of speculation about the company’s plans, Bitmain released its first-ever public disclosures, confirming its intention to list on the Hong Kong stock exchange. Bitmain Technologies, founded by billionaires Jihan Wu and Micree Zhan, came on the scene five years ago and rode the cryptocurrency boom to a $12 billion valuation after its most recent funding round.
The financial statements released Wednesday, which were the result of an audit by KPMG, answer key questions about the company’s financial health as the price of bitcoin and other cryptocurrencies have plummeted. Bitmain made $742.7 million in profit during the first half of this year, marking a nine-fold increase from a year earlier, according the heavily redacted documents. Revenue was up tenfold in the same period, to $2.8 billion as of the end of June, and adjusted return on equity was 58.8 percent.
http://www.cnbc.com