We will issue a CBDC to counter the systemic risk of stablecoins

18. January 2021

Federal Reserve: we will issue a CBDC to counter the systemic risk of stablecoins

According to Chairman Jerome Powell, the United States Federal Reserve needs its own CBDC to crush the possible proliferation of stablecoins

According to Jerome Powell, chairman of the United States Federal Reserve, stablecoins could become very important in a short period of time, almost overnight, which is why the Fed is determined to issue its own CBDC.

CBDCs are the banking world’s answer to stablecoins, which have been all the rage in the crypto sector for a few years now. However, these instruments will Crypto Trader probably have little in common with decentralised cryptocurrencies: CBDCs will be supervised by the banks that issue them, as well as regulated under the laws of their respective jurisdictions.

During an interview with Yahoo Finance, Powell said that advances in technology have allowed private companies to create their own money, and that history has shown that this is a development to be avoided:

“Technology has made this possible, and indeed private companies can create the equivalent of digital money. It has already happened in the past that the public believes that money issued by private companies is real money, only to be disappointed when it turns out not to be. This would be a very negative development, which we need to avoid.”

He also pointed out that the Fed does not yet know

Powell outlined a scenario where stablecoins could suddenly become relevant to a significant number of people, thus becoming a potential systemic risk.

He also pointed out that the Fed does not yet know how it might react to such an event, and that it is not even close to a full understanding of the risks associated with such an eventuality:

“[Stablecoins] could become systemically important overnight, and we are not even close to understanding and managing the risks that would be involved. But the public will expect us to do that, they have every right to expect that. […] It’s one of the top priorities for us.”

However high the priority given to launching its own CBDC, the Fed will not seek to be first to market. Russia, China, Sweden, Australia and the European Central Bank have all made great strides towards launching a CBDC. Nevertheless, Powell believes the US will always have an advantage due to the dollar’s status as the world’s reserve currency:

“Since we are the world’s reserve currency, we think we have to get it right and we don’t feel the need to be first. In fact it means we already have the advantage of being first because we are the reserve currency.”

Powell’s relaxed approach to the prospect of a “CBDC gap” between the world’s superpowers is not shared by everyone, however. In October, a senior official at Japan’s Ministry of Finance issued a warning that China’s CBDC, should it be first to market, could potentially eclipse the fiat currencies of the world’s nations.

The president of the Chinese Finance Association dismissed this idea, adding that the digital yuan is not like Libra and has no intention of replacing international currencies.

According to Powell, a potential “Fedcoin” is still years away. The Fed also seems willing to stand back from privately issued money if it means arriving at a more mature end product:

“We are determined to get it right rather than fast, and that will take some time. […] I’m talking years, not months.”

Gemini launches credit card with cashback in Bitcoin (BTC)

15. January 2021

Bitcoin (BTC) exchange Gemini is coming out with a credit card this year that gives users up to 3% cashback in bitcoin. “The world is changing, people don’t get excited about hotel points or air miles anymore,” said Gemini COO Noah Perlman.

In response to these changes, Gemini is now launching its own credit card Bitcoin Future that allows you to receive bitcoin when you pay with it. To make this happen, the company acquired Blockrize. The Blockrize team is now working to launch the credit card in all 50 states in America this year.

Cashback great way to learn about bitcoin
Bitcoin is the best performing asset of the last decade and more and more people are looking for ways to invest in bitcoin. Cashback with Gemini’s credit card is another step to make that process easier.

How cool is it that you will soon be able to shop and invest a small part of your wealth at the same time. For example, if you get 3% back on a purchase and bitcoin continues to rise, those purchases may prove to be very cheap in the future.

The special thing about cashback in bitcoin compared to air miles or hotel points is that the asset will only increase in value over time. Once people have had that feeling they probably won’t want anything else. As a customer, you will be rewarded for choosing, in this case, Gemini’s card.

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Bitcoin ETF with Gemini as custodian
Beyond the bitcoin cashback news, Gemini has plenty of other cool projects going on. The Winklevoss twins’ company is also currently involved in the possible launch of a bitcoin ETF.

Gemini Trust is set to take on the role of administrator for a Canadian bitcoin ETF. The documents for the Arxnovum Bitcoin ETF, as the product will be called, have been filed with the Canadian Securities Commission.

The ETF is to become tradable on the Toronto Stock Exchange (TSX) under the ticker BIT.U.

Bitcoin never under $ 30K? Analyst: Institutions are now protecting Bitcoin from crashing

14. January 2021

Bitcoin saw a strong rebound today, with the bulls fending off a deeper sell-off as the cryptocurrency approached the region below $ 30,000 overnight.

Where the entire market will head in the short term will undoubtedly depend on BTC and its continued response to its important short term support.

So far, buying pressures of between $ 30,000 and $ 33,000 have been promising and may suggest that another spike is imminent.

An on-chain analyst also notes that this happens to be the price region where tons of institutional buyers entered earlier this month.

As such, these groups could eagerly defend against a fall below this level.

Bitcoin and the entire crypto market have been exposed to intense selling pressure in the last few days.

This caused Ethereum to decline as much as 40% from its highs at one point, while Bitcoin saw a similar decline as it broke below $ 40,000 and tumbled towards $ 30,000.

BTC has not yet broken below this important level of support, and one analyst believes it may be institutions that are protecting it from further downward pressure.

Bitcoin gains momentum, bulls initiate trend reversal

There was a strong influx of buying pressure on Bitcoin Aussie System overnight which helped ease recent selling pressures .

This allowed the price of the cryptocurrency to soar towards $ 35,000 – a level it has now surpassed in the short term. BTC is currently trading at $ 38,300.

If the bulls can convert the mentioned level into support, it could create a base that will allow BTC to expand again towards $ 40,000 in the near future.

Are institutions guarding the $ 30,000 area?

A popular on-chain analyst recently pondered the possibility that institutions could protect Bitcoin from falling below $ 30,000.

In a tweet he writes that $ 30,000 to $ 32,000 is the area where many institutions started buying Bitcoin . As such, they are probably interested in not breaking below this level.

“There are many institutional investors who have bought $ BTC at the 30-32k level. Coinbase’s January 2 outflow was a three-year high. Speculative guess but if these people are behind this bull run they will protect the 30k level. Even if we had a dip, it wouldn’t go below 28k. “

Twitter wird auf Bitcoin verkauft – Was jetzt?

13. January 2021

Die Aktivitäten von Bitcoin auf Twitter nähern sich aufgrund von Daten von Arcane Research dem Niveau von 2017. Tatsächlich liegt der 7-Tage-Durchschnitt der Tweets, in denen Bitcoin erwähnt wird, wieder auf dem Hoch von Dezember 2017. Die Anzahl der Twitter-Nutzer, die Bitcoin erwähnen, hat bereits seinen alten Höchststand überschritten, basierend auf Daten aus dem Diagramm von Arcane Research zur Bitcoin- Tweet-Aktivität.

Trotz des vorübergehenden freien Preisverfalls unterstreicht der Anstieg der Aktivitäten auf Twitter eine positive Stimmung bei den Einzelhändlern.

Das letzte Mal, dass dieser Anstieg festgestellt wurde, war 2017

Es sollte jedoch hier hervorgehoben werden, dass die Werte für Bitcoin in Bezug auf Google Trends immer noch weit unter den Werten von Dezember 2017 liegen.

Der Anstieg der positiven Stimmung auf Twitter wurde auch von PayPal geteilt. Bei PayPal verdoppelte sich das Volumen an einem einzigen Tag auf 240 Millionen US-Dollar. Während das Handelsvolumen bei PayPal im Dezember 2020 bei 100 Millionen US-Dollar begann, nähert es sich jetzt 250 Millionen US-Dollar, da die Nachfrage nach Bitcoin steigt.

Nicht nur die institutionelle Nachfrage, sondern auch die Einzelhändler generieren an den Spotbörsen eine höhere Nachfrage. Dieser Anstieg des Tweets und des Handelsvolumens bei PayPal steht in starkem Kontrast zu dem, was an den Terminbörsen passiert.

An den Terminbörsen haben die Händler in letzter Zeit einen Rückgang der Dynamik und Volatilität verzeichnet

Tatsächlich wurden insgesamt 410 Mio. USD an BTC-Long-Positionen in Futures-Kontrakten an der führenden Börse Binance liquidiert. Dies war der bislang größte Tageswert der Liquidationen. Dieses Massenliquidationsereignis könnte sich direkt und negativ auf die BTC-Stimmung der Derivatehändler ausgewirkt haben.

Mit zunehmendem aktiven Angebot wird erwartet, dass die Bitcoin-Aktivität auf Twitter weiter zunimmt, wenn der Preis steigt oder weitere Korrekturen erleidet. Da das aktuelle Bitcoin-Angebot aktiver ist als in den letzten 3 Jahren, insbesondere im Vergleich zum Bitcoin-Angebot von 2017, ist ein positives Zeichen für Neueinsteiger zu erkennen.

Einzelhändler an Börsen sehen dies möglicherweise als den richtigen Standpunkt an, der eine niedrigere Eintrittsbarriere in den Kryptowährungsmarkt darstellt. Obwohl Bitcoin derzeit im Vergleich zu dieser Phase des Marktzyklus und seiner jüngsten ATH über 33.000 USD handelt, ist dies ein Rückgang. Der Handel zu diesem Preis kann dazu führen, dass die Nachfrage von Bitcoin über dem aktuellen Niveau an Spotbörsen liegt.

Ekonomisti ennustaa Bitcoinin saavuttavan miljoonan dollarin vuoteen 2030 mennessä

12. January 2021

Hampurin liikepankin pääekonomisti Cyrus de la Rubia ennusti Bitcoinin hintatavoitteen miljoonalle dollarille ja lisäsi, että ennuste perustuu sähkömalliin.

Hampurin liikepankin pääekonomisti Cyrus de la Rubia sanoi, että Bitcoinin hinta nousee miljoonaan dollariin vuoteen 2030 mennessä. Taloustieteilijä kertoi saavuttaneensa tämän luvun sähkömallin avulla.

Hän sanoi:

“Tällä hetkellä, kun näille muille energiaintensiivisille tavaroille, kuten teräkselle tai alumiinille, on enemmän kysyntää kuin salausvaluutan lisäyksiköille, Bitcoinin suhteellinen houkuttelevuus vähenee. Sitten ylin hintaraja saavutetaan. ”

Viime kuussa Global Macro Investor -säätiön toimitusjohtaja Raoul Pal ennusti myös, että BTC: n hinta nousee miljoonaan dollariin. Palin osalta Bitcoin nousee miljoonaan dollariin vuoteen 2026 mennessä. Haastattelussa 20. joulukuuta toimitusjohtaja sanoi, että hintaennuste perustuu osakekohtaiseen malliin. Pal sanoi, että osakekohtainen mallin luoja Plan B selittää mallin ja helpottaa tarjonnan vaikutuksen analysointia hintaan.

Pal lisäsi myös, että BTC: n saavuttaminen miljoonaan dollariin vuoteen 2026 mennessä ei ole “kohtuutonta”

Vuonna 2020 Bitcoin houkutteli useita yksityisiä ja institutionaalisia sijoittajia. BTC-hinta nousi yli 3000% vuodessa ja uusia huippuja eri mittareissa. Bitcoinin hinnan nousu vuonna 2020 johtui useista tekijöistä, mukaan lukien PayPalin ilmoitus , jonka avulla salausmaksut sallittiin alustallaan. Lokakuussa PayPal sanoi, että sen 346 miljoonaa käyttäjää voi nyt ostaa ja myydä BTC: tä ja kolmea muuta digitaalista omaisuutta käyttämällä PayPal-tilinsä.