El Salvador’s Chivo Wallet Saw 500,000 Registrations In One Week

200 Chivo bitcoin ATMs up and running in the country and 50 machines installed in the U.S

The state-owned bitcoin dollar account has over half a million users, 200 ATMs in El Salvador, 50 ATMs in the U.S.

The President of El Salvador, Nayib Bukele, has shared updated information on the state-owned bitcoin and dollar wallet Chivo on Twitter, as well as some news regarding the country’s work towards facilitating BTC usage and exchange.

Bukele disclosed that there are 200 Chivo bitcoin ATMs up and running in the country and 50 machines installed in the U.S., which allow users to top up their app balance with zero commission fees. Los Angeles, San Francisco, Atlanta, Chicago, Dallas, Houston, El Paso, El Doral, Laredo, and McAllen all have working Chivo ATMs installed.

https://www.nasdaq.com/

Sweden’s central bank compares Bitcoins to ‘trading in stamps’

Twitter and Reddit users tried to push up the price on ‘bitcoin day’

Cryptocurrencies were broadly down on Friday as Sweden’s central bank governor said bitcoin could eventually collapse. Bitcoin (BTC-USD) was down roughly 1%, to trade at $45,918 (£33,090) while Ethereum (ETH-USD) tumbled 4.5% to trade at $3,373. Bitcoin, hit by regulatory crackdowns and concerns over the environmental impact of mining it, had fallen below $50,000, after reaching all-time highs of $63,000 in April.

It managed to claw its way past the $50,000 mark earlier this week but has since tumbled again. This was despite the fact that Twitter and Reddit users tried to push up the price on ‘bitcoin day’ to celebrate El Salvador’s acceptance of the crypto as legal tender. The rollout was fraught with issues including protests from citizens and tech glitches. Bitcoin’s woes come as Riksbank Governor Stefan Ingves was reported by Bloomberg as saying: “Private money usually collapses sooner or later. And sure, you can get rich by trading in bitcoin, but it’s comparable to trading in stamps.”

https://news.yahoo.com/

Bitcoin crashes on first day as El Salvador’s legal tender

Bitcoin could save the country $400m a year in transaction fees on funds sent from abroad

The price of Bitcoin on Tuesday crashed to its lowest in nearly a month, falling from $52,000 (£37,730) to under $43,000 at one point. An opposition politician said the fall caused one of Latin America’s poorest countries to lose $3m.

The rollout of bitcoin in El Salvador was far from what President Nayib Bukele would have envisaged when he began his bold experiment. Platforms such as Apple and Huawei weren’t offering the government-backed digital wallet, known as Chivo, and servers had to be pulled offline after they couldn’t keep up with user registrations.

The government has even given Salvadorans $30 each of Bitcoin to encourage its adoption. It says bitcoin could save the country $400m a year in transaction fees on funds sent from abroad. However, using data from the World Bank and the government, the BBC calculates this to be closer to $170m.

https://www.bbc.com/

First Crypto Fund in Japan

The diversification benefits of cryptocurrencies

Japanese financial conglomerate SBI Holdings Inc. hopes to launch the country’s first cryptocurrency fund by the end of November.

The fund could include cryptocurrency staples such as Bitcoin, Ethereum, XRP, Bitcoin Cash, Litecoin, and grow to several hundred million dollars. The fund aims for investors who understand risks associated with cryptocurrencies. Due to these risks, investors will likely have to put down a minimum of 1-3 million yen ($9,000-$27,000). President of an SBI affiliate Tomoya Asakura particularly emphasized the diversification benefits of cryptocurrencies, rather than their speculative qualities. Asakura even acknowledged this “overwhelming perception that cryptocurrencies are highly volatile and speculative,” in regard to his mandate.

https://finance.yahoo.com/

PayPal to allow UK users to buy and sell cryptocurrencies

Payment platform offers service for bitcoin, ethereum, litecoin and bitcoin cash

PayPal is to allow users in the UK to buy, hold and sell cryptocurrencies through the payment platform for the first time.

The firm said it would allow customers to choose from four types of cryptocurrency – bitcoin, ethereum, litecoin and bitcoin cash – and that the service would be available via the PayPal app and its website. A crypto tab will be added to the platform, showing real-time currency prices as well as offering educational content to help answer common questions and learn more about cryptocurrencies, including the potential risks, PayPal said.

The payment company said it hoped that the move to embrace the currency would help improve knowledge and understanding of it.

https://www.theguardian.com/

The Bitcoin Crash of 2021 Compared to Past Sell-Offs

As Bitcoin Crashes, Coinbase and Other Cryptocurrency Exchanges Are Reeling

While bitcoin has been one of the world’s best performing assets over the past 10 years, the cryptocurrency has had its fair share of volatility and price corrections. Using data from CoinMarketCap, this graphic looks at bitcoin’s historical price corrections from all-time highs.

With bitcoin already down ~15% from its all-time high, Elon Musk’s tweet announcing Tesla would stop accepting bitcoin for purchases helped send the cryptocurrency down more than 50% from the top, dipping into the $30,000 price area.

https://www.visualcapitalist.com/

 

‘Britcoin’ not bitcoin? UK considers new digital currency

Other central banks are also looking to set up digital versions of their own currencies

British finance minister Rishi Sunak told the Bank of England on Monday to look at the case for a new “Britcoin”, or central bank-backed digital currency, aimed at tackling some of the challenges posed by cryptocurrencies such as bitcoin.  A BoE-backed digital version of sterling would potentially allow businesses and consumers to hold accounts directly with the bank and to sidestep others when making payments, upending the lenders’ role in the financial system.

“We’re launching a new taskforce between the Treasury and the Bank of England to coordinate exploratory work on a potential central bank digital currency (CBDC),” Sunak told a financial industry conference. Soon after, Sunak tweeted the single word “Britcoin” in reply to the finance ministry’s announcement of the taskforce.

Other central banks are also looking at whether to set up digital versions of their own currencies, essentially widening access to central bank funds which only commercial banks can use at present. This could speed up domestic and foreign payments and reduce financial stability risks.

https://www.reuters.com/

Coinbase is listing for US$100 billion on NASDAQ

Instead of following the traditional initial public offering (IPO) route, Coinbase plans to post its shares straight on the NASDAQ exchange via a direct listing, a technique pioneered by big names like Spotify and Palantir in recent years. Whereas an IPO involves a company creating new shares and having an underwriter that buys them for a set price and then sells them to the market, in a direct listing a company sells existing shares and has no underwriter.

Coinbase was founded in 2012 by Brian Armstrong, a former engineer at Airbnb, and Fred Ehrsam, who was a trader at Goldman Sachs. Their mission was to make investing and transacting in cryptocurrencies easier, more efficient and fairer. The company has since risen to become the largest cryptocurrency exchange in the US. Even though there are numerous other exchanges around the world with considerably larger trading volumes, including Binance, Huobi and OKEx, Coinbase’s growth has been incredible lately.

https://theconversation.com/

Citi says bitcoin could become the currency of global trade

Change in tone for major financial institutions on bitcoin

Citi thinks bitcoin is at a “tipping point” and could one day “become the currency of choice for international trade” as companies like Tesla and PayPal warm to it and central banks explore issuing their own digital currencies.

“There are a host of risks and obstacles that stand in the way of Bitcoin progress,” the U.S. bank’s global perspectives and solutions team wrote in a note Monday. “Bitcoin’s future is thus still uncertain, but developments in the near term are likely to prove decisive as the currency balances at the tipping point of mainstream acceptance or a speculative implosion.”

It marks a change in tone for major financial institutions on bitcoin. Many banks have historically shunned the digital asset, arguing it has no intrinsic value and the hype surrounding it is akin to the tulip mania of the 17th century. But bitcoin’s wild ascent over the last few months has forced big Wall Street players to reevaluate the cryptocurrency. BNY Mellon, the oldest bank in the U.S., last month said it would offer custody services for bitcoin and other digital currencies. Meanwhile, JPMorgan has said it’s looking seriously as bitcoin.

https://www.cnbc.com/

Bitcoin

If applied widely to the inner workings of our global economy, this model could slash trillions in financial fees; computerize much of the work done by payment processors, government property-title offices, lawyers and accountants; and create …
http://www.marketwatch.com/?dist=rss — Sat, 31 Jan 2015 14:09:00 -0800