Latest news with #digitalassets
South China Morning Post
7 hours ago
- Business
- South China Morning Post
WeChat and Alipay are China's ‘comparative advantage' in stablecoin race: top economist
China already has de facto stablecoins in the form of WeChat Pay and Alipay, a top economist at the country's leading investment bank has argued – amid growing calls for Beijing to quickly adapt to the global rise of digital assets. Advertisement 'From an economic perspective, money based on third-party payment platforms functions much like stablecoins – and China holds a comparative advantage in this area, having already built a relatively mature regulatory framework,' said Peng Wensheng, chief economist at China International Capital Corporation, in a research note published on Friday. Stablecoins are digital currencies pegged to fiat currencies like the US dollar or Hong Kong dollar, or to reserve assets such as gold. Unlike highly volatile cryptocurrencies such as bitcoin, they combine the speed and efficiency of crypto with the stability of traditional money. According to Peng, platform-based digital money is an extension of legal tender, with safeguards in place to maintain a 1:1 peg with fiat currency. 'Its stability is underpinned by stricter safeguards – customer funds are backed by central bank base money, and regulatory oversight imposes tighter limits on its financial expansion,' he said. Advertisement As stablecoins move to the forefront of global economic and financial debate, Chinese state media has urged policymakers to stay ahead of the curve.
Yahoo
16 hours ago
- Business
- Yahoo
Bakkt makes moves to issue $1 billion worth of securities and could potentially use the money to create a crypto treasury
Crypto infrastructure company Bakkt is looking to raise $1 billion from investors in a bid to add digital assets to its corporate assets, becoming the latest company to make moves towards creating a crypto treasury. Bakkt, which trades on the New York Stock Exchange under the ticker BKKT, filed a form with the SEC on Thursday to issue up to $1 billion worth of securities, including common stock and preferred stock, in a Securities and Exchange Commission (SEC) filing on Thursday. Bakkt did not explicitly say that the $1 billion will be used to buy crypto, but the filing noted that the company has recently updated its investment policy to allow for the acquisition of Bitcoin and other cryptocurrencies as part of its treasury strategy. 'We may acquire Bitcoin or other digital assets using excess cash, proceeds from future equity or debt financings, or other capital sources, subject to the limitation set forth in our Investment Policy,' the filing says. 'The timing and magnitude of any such transactions will depend on market conditions, capital market receptivity, business performance and other strategic considerations.' Bakkt did not immediately respond to a request for comment from Fortune. While adopting a crypto treasury strategy has been a boon for some companies, Bakkt's SEC filing acknowledged several risk factors associated with their updated investment policy that could impact the company's overall performance. Among 12 different risk factors listed, the filing says that Bakkt's financial results and the market price of its securities 'are expected to be affected by fluctuations in the price of digital assets we may acquire…which are highly volatile assets.' Bakkt's updated investment policy comes as a growing number of companies begin to establish their own crypto treasuries to diversify their balance sheets. Michael Saylor's software company Strategy, formerly known as Microstrategy, has been accumulating Bitcoin since 2020. Strategy has stockpiled nearly 600,000 Bitcoins, worth over $60 billion at its current price, and has seen its stock price skyrocket over 3,000% in the past five years as the value of Bitcoin increases. It became a more popular move after President Donald Trump signed an executive order to establish a national Bitcoin reserve and separate stockpile of other digital assets like Ethereum and XRP. And in recent months, a flurry of both crypto and non-crypto companies have jumped on the trend. In March, GameStop, the embattled video game retailer, announced that it would begin buying Bitcoin. The company now has a stockpile of more than $500 million worth of Bitcoin. In April, consumer products company Upexi announced that it would raise $100 million as part of a pivot to begin accumulating Solana, the sixth-largest cryptocurrency by market cap. And Trump Media and Technology Group, the Trump family-backed company behind Truth Social, announced in May that it would raise $2.5 billion to establish a Bitcoin treasury. This story was originally featured on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
16 hours ago
- Business
- Yahoo
Bitcoin's Double Top Warrants Caution, But a Full-Blown Price Crash Seems Unlikely: Sygnum Bank
Bitcoin's BTC double top prospects above $100,000 warrant caution, but a full-blown 2022-style crash looks unlikely unless an unexpected black swan hits, according to digital asset banking group Sygnum's Head of Investment Research Katalin Tischhauser. "The crypto market is strongly sentiment-driven as fundamental valuations are challenging; therefore, technical analysis signals such as the double top warrant caution. That said, a full-blown crash needs a catalyst like the Terra collapse of 2022 or the FTX blowup. Barring a similar black swan, we could see a prolonged bull cycle, based on the current political and regulatory support and sticky institutional capital flowing in," Tischhauser told CoinDesk in an interview. Bitcoin has spent 50 days mainly trading back and forth between $110,000 and $100,000, signaling an exhaustion of the uptrend near the highs reached in January this year. That has prompted several observers, including veteran technical analyst Peter Brandt, to consider the possibility of the BTC trend flipping bearish with a double-top pattern. The double top comprises two consecutive peaks at approximately the same price – near $110K in BTC's case – with a trendline drawn through the low point between these peaks. The low point in BTC's case is the early April slide to $75,000. Analysts are concerned that a potential double top breakdown, involving a downturn from $110,000 and a drop below $75,000, could lead to a crash to around $27,000. Yes, you read that right. Such a crash would mean a 75% slide from the peaks. Technical patterns, such as the double top, often become self-fulfilling prophecies – once traders spot the pattern, their collective action reinforces the expected outcome. So, it's natural for prospects of double top above $100,000 to cause some caution and price drop. However, technicals alone seldom cause a price crash of 75%. For instance, BTC's crash from $70,000 to $16,000 over the 12 months to November 2022 happened as the Fed's rate hike cycle exposed asset classes like crypto where excess speculation had built up, setting the stage for the demise of the Terra blockchain and the FTX exchange. Both events caused massive wealth destruction. The latest rally, however, is driven mainly by institutional flows rather than the story or pretence that DeFi is better than traditional finance or Ethereum is the new world computer, as Bloomberg's Joe Weisenthal noted last year. Since their debut on the Nasdaq in January 2024, the 11 spot bitcoin exchange-traded funds (ETFs) have registered net inflows of over $48 billion, per data tracked by Farside Investors. Meanwhile, BTC's adoption as a corporate Treasury asset has picked up the pace, adding to the bull momentum. As of the time of writing, 141 public companies held 841,693 BTC, according to The flows-driven nature of the latest bull run makes it more resilient than the previous bull markets, according to Tischhauser. "Institutions implement rigorous due diligence and risk assessment before they add a new asset class like bitcoin to the model portfolio. But when they do, the eventual allocation is for the long term. This trend of sticky institutional allocation is just beginning, and the resulting demand will continue to provide price support for some time to come," Tischhauser told CoinDesk. Tischhauser explained that these investment vehicles are sucking out liquidity, skewing the demand-supply dynamics in favour of a continued uptrend. "These investment vehicles are sucking liquidity out of the market, which means, every time a new big-ticket investor hits the market with bids, this is addressing less and less supply, and the bullish impact on prices becomes more pronounced," Tischhauser noted. The bearish double-top crash scenario appears plausible to many observers, as we are in the post-halving year, which has historically marked bull market tops, paving the way for year-long bear markets. Halving is a programmed code in Bitcoin's blockchain that reduces the pace of BTC supply expansion by 50% every four years. The last halving occurred in April 2024 and reduced the per-block BTC reward to 3.125 BTC from 6.25 BTC. However, the halving cycle may not unfold as expected, as sticky institutional adoption has a greater bearing on price than miners. Moreover, BTC sold by miners, who regulatory offload coins earned to fund operational costs, now accounts for a tiny percentage of the average daily trading volume. "The change in market leadership means the four-year halving cycle may not play out religiously as it did before. Earlier, most BTC holders were miners, and the BTC issued per year was a huge percentage of the outstanding bitcoin supply. So, selling pressure from miners mattered greatly to the market price. Now, the BTC mined is 0.05-0.1% of the average BTC daily trading volume and halving this supply has no impact on the supply/demand balance in the market. So the halving cycle may be dead," Tischhauser said.
Geek Vibes Nation
19 hours ago
- Business
- Geek Vibes Nation
Choosing The Best Free Bitcoin Wallet For Beginners
As Bitcoin and other cryptocurrencies continue to advantage reputation, new investors are keen to explore the sector of digital assets. One of the primary steps on this journey is choosing a Bitcoin wallet; that's vital for securely storing and coping with your cryptocurrency. For beginners, loose Bitcoin wallets provide an amazing access point into the marketplace, presenting simple safety and capability without the need for big funding. However, with so many alternatives to be had, selecting the right pockets may be tough. When choosing a Bitcoin wallet for beginners, it's important to find one that balances security with ease of use. Auto Profit Hub, a reliable Bitcoin trading platform connecting traders with seamless transactions, offers a convenient way for those exploring the world of cryptocurrency to manage their investments efficiently. What is a Bitcoin wallet? A Bitcoin pocket is a software or bodily device used to keep, send, and acquire Bitcoin. It securely holds your private keys, which are essential for having access to and coping with your Bitcoin holdings. There are several sorts of Bitcoin wallets, each presenting various degrees of safety, comfort, and functionality. Wallets can be divided into two number one categories: warm wallets and bloodless wallets. Factors to Consider When Choosing a Bitcoin Wallet Security Features Two-issue authentication (2FA): This provides an extra layer of security by means of requiring a second form of verification (which includes a code sent to your phone) further for your password. Encryption: The wallet ought to encrypt your non-public keys to prevent unauthorized gain of entry. Backup and Recovery Options: Look for wallets that assist you in creating backups of your non-public keys and offer a simple recuperation method in case you lose access to your device. For the ones searching for an easy way to exchange and manage their Bitcoin in a secure garage, Bitcoin Loophole is a dependable Bitcoin buying and selling platform connecting traders with seamless transactions. Ease of Use For beginners, ease of use is vital. A pocket with an intuitive person interface, clean instructions, and smooth-to-navigate capabilities can make a large distinction, particularly while you're just getting started. Compatibility with Devices Before selecting a Bitcoin wallet, ensure it's compatible with your tool or operating system. Many loose wallets are available on a couple of structures, which include computer, mobile, and web. Consider what works first-class on your wishes: Mobile Wallets: Convenient for daily transactions and cell access. Examples consist of Mycelium and Trust Wallet. Desktop wallets offer more control and security but are much less portable. Electrum and Exodus are true options for desktop users. Web wallets are accessible from any device with an internet connection but may additionally come with additional safety risks. Coinbase and are famous web pocket providers. Reputation and Community Support A pocket's reputation is likewise an important attention. Research the wallet issuer to make sure it has a great song report for protection and reliability. Additionally, wallets with large, active consumer groups frequently receive well-timed updates and higher customer service, which may be beneficial for resolving any problems you could come across. Transaction Fees While many Bitcoin wallets are free to download and use, you may incur transaction fees while sending or receiving Bitcoin. These expenses can range depending on the community's modern call for and the pockets company's guidelines. Best Free Bitcoin Wallets for Beginners Here are a number of the top loose Bitcoin wallets that are perfect for beginners, presenting a balance of security, ease of use, and accessibility: Trust Wallet Trust Wallet is a famous cellular pocket that helps more than one cryptocurrency, along with Bitcoin. It is thought for its easy interface and strong protection capabilities, which include backup options and two-issue authentication. Exodus Exodus is a laptop and cellular wallet. This is newbie-pleasant with an easy, intuitive interface. It supports an extensive variety of cryptocurrencies and offers a built-in exchange for buying and selling property without delay in the wallet. Electrum Electrum is a lightweight Bitcoin wallet for desktop customers. It is notably stable and helps with element authentication, encryption, and customizable transaction charges. Electrum is right for people who want extra manipulation over their transactions and protection settings. Coinbase Wallet Coinbase Wallet is an internet-primarily based and cellular pocket supplied by means of Coinbase, one of the most important cryptocurrency exchanges. It is pretty stable, with two-factor authentication and encrypted personal keys stored domestically in your tool. Wallet is one of the oldest and most depended on internet wallets inside the cryptocurrency space. It gives each an internet and cellular model and provides stability of protection and simplicity of use. Conclusion Choosing the great loose Bitcoin wallet is a vital selection for novices coming into the sector of cryptocurrency. Factors inclusive of safety, ease of use, and compatibility with your gadgets should guide your choice. Trust Wallet, Exodus, Electrum, Coinbase Wallet, and are many of the pinnacle alternatives that offer a good stability of accessibility and safety. Each pocket comes with its own personal strengths and weaknesses, so it is essential to evaluate which features are most critical to your specific with a secure and dependable Bitcoin wallet can set the muse for a hit crypto journey. Disclaimer: The views and opinions expressed in this article are those of the authors and do not reflect those of Geek Vibes Nation. This article is for educational purposes only.
Yahoo
19 hours ago
- Business
- Yahoo
Bolivia crypto transactions up over 530% amid currency woes
(Reuters) -Bolivia's central bank on Friday reiterated a dramatic uptick in transactions of digital assets, following a Reuters report that showed how more Bolivians were turning to crypto exchanges like Binance and stablecoins like Tether as a hedge against the depreciation of the local boliviano currency. According to new figures published on Friday by the Bolivian central bank, transactions using Electronic Payment Channels and Instruments for Virtual Assets (VA) soared more than 530%, from $46.5 million in the first half of 2024, to $294 million in the same period of 2025. New figures showed monthly transactions at a record $68 million in May. "These tools have facilitated access to foreign currency transactions, including remittances, small purchases and payments, benefiting micro and small business owners across various sectors, as well as families nationwide," the bank said in a statement. Cryptocurrencies were outlawed in Bolivia until June last year. Since the ban was lifted, transaction volumes reached $430 million across more than 10,000 individual operations, the bank said. The Bolivian government was working on a "comprehensive regulatory framework for financial technology companies," that aligns with international standards set by the Financial Action Task Force of Latin America (GAFILAT), the bank added. Bolivians are facing an acute economic crisis, with reserves of dollars near zero, inflation at 40-year highs and fuel shortages causing long lines at the pump. The South American country's currency has lost half its value on the black market this year, even as the official exchange rate has been held artificially steady by government intervention. That has meant more Bolivians are looking for alternatives to protect their savings and make transactions. Crypto proponents have pushed blockchain-based tokens as an answer, though economists warn that these digital offerings come with risks. "This (crypto uptick) isn't a sign of stability," said former central bank head Jose Gabriel Espinoza. "It's more a reflection of the deteriorating purchasing power of households." Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
