Ancient Bitcoin Block Rewards See Decrease in Spending After Record Activity in 2020 and 2021

January 2, 2023 Bitcoin.com

While His Digital Trading Cards Tumble in Value, Trump Says His ‘Cute’ NFTs Were About the Art

December 29, 2022 Bitcoin.com

Donald Trump Trading Card NFTs Skyrocket in Value Despite Being Mocked for His ‘Major Announcement’

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Standard Chartered forecasts ‘surprise’ Bitcoin downside after FTX collapse

December 5, 2022 Coin Telegraph

2023

Multinational bank Standard Chartered considers potential downside for Bitcoin in 2023 as the cryptocurrency ecosystem weathers the collapse of FTX.

The value of Bitcoin (BTC) is being touted to drop as low as $5,000 in 2023 according to Standard’s Chartered global research head and chief strategist.

As initially reported by Bloomberg, a note to investors published on Dec. 4 from the multinational bank’s chief strategist Eric Robertsen weighed-up a potential drop in Bitcoin’s value correlated with a surge in physical Gold.

Robertsen outlined prospective scenarios for 2023 that could see interest rate reversals from hikes in 2022, further cryptocurrency sector bankruptcies and negative sentiment towards the market.

This could include further downside for Bitcoin next year, with a 70% decline from its current market value while Gold could see an upside of up to 30% to the $2,250 mark per ounce.

The closing months of 2022 have been tumultuous for the wider cryptocurrency ecosystem. The collapse of Sam Bankman-Fried’s FTX cryptocurrency exchange and hedge fund Alameda Research sent shockwaves through the industry in what has already been a tough year.

FTX’s bankruptcy proceedings has already led to collateral damage, with cryptocurrency lender BlockFi following in its footsteps due in part to ‘significant exposure’ to FTX and Alameda and obligations that the defunct companies had with the former.

Meanwhile cryptocurrency proponents have provided contrasting outlooks for the space in 2023. Renowned Venture capitalist and blockchain investor Tim Draper touted Bitcoin hitting $250,000 next year, highlighting his belief that the FTX fiasco would lead to greater decentralization, adoption of BTC and increased self-custody by users.

As Cointelegraph previously reported in late November, macro market analyst Henrik Zeberg also outlined a potential surge in the value of Bitcoin alongside other risk assets over the $100,000 barrier.

Hedge fund manager Mark Yusko also touted the potential start of Bitcoin’s next major bull run in the second quarter of 2023 as the ecosystem begins to accumulate BTC in anticipation of the next reward halving event.

Texas authorities object to Voyager’s disclosure statement in its current form

October 15, 2022 Coin Telegraph

Bankruptcy

The Texas state authorities, SSB and DOB, argued that Voyager fails to explain the methodology used to calculate the average coin prices, among others.

The Texas State Securities Board (SSB) and the Texas Department of Banking (DOB) raised an objection in court against Voyager Digital’s disclosure statement, questioning the various methodologies and calculations used to estimate the fair market value of the bankrupt exchange’s crypto assets.

In a pleading filed with the United States Bankruptcy Court for the Southern District of New York, the attorneys for the SSB and DOB objected to the order approving the adequacy of Voyager’s amended disclosure statement. Voyager Digital filed for Chapter 11 bankruptcy in New York in July 2022, while proposing a recovery plan for investors.

The Texas state authorities argued that Voyager’s disclosure statement, which asserted that creditors might get a 70% return, fails to explain the methodology used to calculate the average coin prices, adding that:

“The Debtors (Voyager) have never been licensed by the SSB or the DOB and faces very large fines and penalties for operating without a license. FTX is also not licensed to do business in the State of Texas.”

The attorneys further highlighted that with the court that crypto exchange FTX offers a product similar to ‘Voyager Earn Program,’ a Voyager offering that has been subject to cease-and-desist orders from multiple states in the US.

As a resolution, the SSB and DOB seek the denial of Voyager’s disclosure statement in its current form. Moreover, it demands that Voyager discloses the methodology and calculations used to determine its fair market value for funds recovery.

On Oct. 5, FTX US secured the winning bid for the assets of Voyager. According to Voyager, the bid was made up of the fair market value of its crypto holdings “at a to-be-determined date in the future” estimated to be around $1.3 billion, along with $111 million in “incremental value.”

The hearing date for the case has been slated for Oct. 19 at the time of the writing.

On Sept. 30, the SSB, DOB and the Vermont Department of Financial Regulation objected to crypto lender Celsius’ plans to sell off its stablecoin holdings, arguing that the firm could use the resultant capital to resume operating in violation of state laws.

Celsius reached out to the United States Bankruptcy Court for the Southern District of New York, seeking permission to sell its stablecoin holdings, reportedly worth $23 million.

5 reasons why Bitcoin could be a better long-term investment than gold

June 3, 2022 Coin Telegraph

Bitcoin Price

Crypto advocates often refer to Bitcoin as “digital gold,” but how does BTC stack up against gold as a long-term investment?

The emergence of forty-year high inflation readings and the increasingly dire-looking global economy has prompted many financial analysts to recommend investing in gold to protect against volatility and a possible decline in the value of the United States dollar.

For years, crypto traders have referred to Bitcoin (BTC) as “digital gold,” but is it actually a better investment than gold? Let’s take a look at some of the conventional arguments investors cite when praising gold as an investment and why Bitcoin might be an even better long-term option.

Value retention

One of the most common reasons to buy both gold and Bitcoin is that they have a history of holding their value through times of economic uncertainty.

This fact has been well documented, and there’s no denying that gold has offered some of the best wealth protection historically, but it doesn’t always maintain value. The chart below shows that gold traders have also been subject to long bouts of price declines.

For example, a person who bought gold in September of 2011 would have had to wait until July 2020 to get back in the green, and if they continued to hold, they would once again be near even or underwater.

In the history of Bitcoin, it has never taken more than three to four years for its price to regain and surpass its all-time high, suggesting that on a long-term timeline, BTC could be a better store of value.

Could Bitcoin be a better inflation hedge?

Gold has historically been seen as a good hedge against inflation because its price tended to rise alongside increases in the cost of living.

But, a closer look at the chart for gold compared with Bitcoin shows that while gold has seen a modest gain of 21.84% over the past two years, the price of Bitcoin has increased 311%.

*Gold vs. BTC/USDT 1-day chart. Source: TradingView*

In a world where the overall cost of living is rising faster than most people can handle, holding an asset that can outpace the rising inflation actually helps increase wealth rather than maintain it.

While the volatility and price declines in 2022 have been painful, Bitcoin has still provided significantly more upside to investors with a multi-year time horizon.

Bitcoin could mirror gold during geopolitical uncertainty

Often called the “crisis commodity,” gold is well-known to hold its value during times of geopolitical uncertainty as people have been known to invest in gold when world tensions rise.

Gold is called the crisis metal so I’d assume if we enter into a recession again, gold will go up as a commodity
— Scott Hempstead (@scottytrip1) April 22, 2022

Unfortunately for people located in conflict zones or other areas subject to instability, carrying valuable objects is a risky proposition, with people being subject to asset seizures and theft.

Bitcoin offers a more secure option for people in this situation because they can memorize a seed phrase and travel without fear of losing their funds. Once they reach their destination, they can reconstitute their wallet and have access to their wealth.

The digital nature of Bitcoin and the availability of multiple decentralized marketplaces and peer-to-peer exchanges like LocalBitcoins provides a greater opportunity to acquire Bitcoin.

The dollar keeps losing value

The U.S. dollar has been strong in recent months, but that is not always the case. During periods where the dollar’s value falls against other currencies, investors have been known to flock to gold and Bitcoin.

If various countries continue to move away from being U.S. dollar centric in favor of a more multipolar approach, there could be a significant amount of flight out of the dollar but those funds won’t go into weaker currencies.

While gold has been the go-to asset for millennia, it’s not widely used or accepted in our modern digital society and most people in younger generations have never even seen a gold coin in person.

For these cohorts, Bitcoin represents a more familiar option that can integrate into people’s digitally-infused lifestyles, and it doesn’t require extra security or physical storage.

Bitcoin is scare and deflationary

Many investors and financial experts point to scarcity and supply constraints for gold following years of declining production as a reason gold is a good investment.

It can take five to ten years for a new mine to reach production, meaning rapid increases in supply are unlikely and central banks significantly slowed their rate of selling gold in 2008.

That being said, it is estimated that there is still more than 50,000 metric tons of gold in the ground, which miners would happily focus on extracting in the event of a significant price increase.

Gold will never reach the promised land of 'true scarcity'. The more the price inches up, the more it is mined, thus increasing supply, which then lowers the price. #bitcoin #gold #goldprice
— DeepSee-er (@ErDeepsee) March 7, 2022

On the other hand, Bitcoin has a fixed supply of 21 million BTC that will ever be produced, and its issuance is happening at a known rate. The public nature of the Bitcoin blockchain allows for the location of every Bitcoin to be known and verified.

There’s no way to ever really locate and validate all of the gold stores on this planet, meaning its true supply will never really be known. Because of this, Bitcoin wins the scarcity debate, hands down, and it is the hardest form of money created by humankind to date.

Want more information about trading and investing in crypto markets?

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Bitcoin’s rocky road to becoming a risk-off asset: Analysts investigate
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Shitcoins are ‘garbage:’ Bitcoin-only brokers on freedom and finance
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The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

JPMorgan places BTC fair price at $38K, declares crypto a preferred alternative asset

May 25, 2022 Coin Telegraph

JPMorgan places BTC fair price at K, declares crypto a preferred alternative asset

Banks

The banking giant says Terra's collapse did not appear to harm the VC market, and things will be looking up for crypto as long as VC stays in.

JPMorgan has placed Bitcoin’s (BTC) fair price at $38,000, which is 28% higher than its current level of around $29,500, according to a note the bank issued to clients on Wednesday. “The past month's crypto market correction looks more like capitulation relative to last January/February and going forward we see upside for Bitcoin and crypto markets more generally," the note said. Bank strategist Nikolaos Panigirtzoglou was the lead author of that document.

A bank investors’ note placed Bitcoin’s fair value at the same level in February. It was trading around $43,000 at that time.

Crypto has surpassed real estate as a preferred “alternative asset” for the bank, along with hedge funds, the note continues. It said:

“Thus far, there is little evidence of VC [venture capital] funding drying up post-Terra’s collapse. Of the $25 billion VC funding year-to-date, almost $4 billion came after Terra. Our best guess is the VC funding will continue and a long winter similar to 2018/2019 would be averted.”

VC funding would be critical to avoiding that crypto winter, it added.

On the same day, major venture capitalist Andreessen Horowitz announced the closing of its fourth cryptocurrency fund at $4.5 billion. Also on Wednesday, crypto-focused venture firm NGC Ventures launched its third blockchain fund with $100 million raised from investors that included Babel Finance, Huobi Ventures and Nexo Ventures.

JPMorgan CEO Jamie Dimon has repeatedly expressed his personal antipathy toward cryptocurrency, going so far as to call it a fraud, but the bank, itself, has taken a more practical stance. It became the first major bank in the Metaverse earlier this year. Dimon has praised crypto for it cross-border payment facility.

New survey sheds light on people’s concerns about investing in crypto

May 18, 2022 Coin Telegraph

Coin Telegraph

Eighteen percent of respondents in a new survey said that learning more about the benefits of investing in cryptocurrency was the most effective approach to transition from skeptic to believer.

While some people believe in the long-term potential of cryptocurrency, others are hesitant to put money in because of different concerns. A recent study conducted by Coupon Follow found out that the majority of people who haven't invested in cryptocurrency cite worries such as value volatility and restricted applications, environmental impact as well as regulatory concerns.

*Search interest for "should I invest in crypto" overtime. Source: Google Trends*

The survey, which included respondents aged 18 and above, was answered by 1,172 people among Gen Z, Millennials, Gen Xers and Baby Boomers. Each group was represented by samples ranging from 172 to 333 individuals. According to the report, all respondents were "no coiners," or individuals who have not yet invested in crypto.

A lack of understanding was reported as the most popular reason for buyers' hesitation across all generations, according to the research. When asked about their refusal to buy crypto, 42% of the respondents said they didn't "understand their value."

However, the report suggests that interest in learning more about crypto has not died down. Even if they were unwilling to invest money in it, the majority of respondents were at least somewhat interested in learning more about cryptocurrency. A significant percentage of respondents, 39%, were scared off by crypto volatility.

Eighteen percen of respondents said that learning more about the benefits of investing in cryptocurrency was the most effective approach to transition from skeptic to believer. Millennials said that having greater disposable income was the most likely scenario that would persuade them to invest in cryptocurrency. The research found that members of Gen Z are more interested in government regulation and law enforcement within the nascent space.

Given the growing number of financial crimes , DeFi exploits as well as last week's dramatic collapse of Terra (LUNA), this should come as no surprise.

Regulators are primarily concerned with protecting consumers, and it's evident that they're having difficulty keeping up with a fast-moving sector. Regulation exists but feels disorganized. The U.S Securities and Exchange Commission (SEC) recently revamped its crypto unit with more hires, and with the general public becoming increasingly aware of cryptocurrencies, we may expect to see more regulation in this area. Experts believe that crypto businesses should work with regulators to increase adoption.