DePIN needs thoughtful regulation — not lawsuits
The new SEC leadership has an opportunity to set a positive precedent for crypto regulation by providing clear guidelines for DePIN projects.
Bitcoin reserve backlash signals unrealistic industry expectations
The concept of a government-backed BTC Reserve was once considered a radical and groundbreaking idea. However, as the world of cryptocurrency continues to evolve and gain mainstream acceptance, this notion is becoming more and more plausible.
In fact, according to a blockchain regulatory expert interviewed by Cointelegraph, the idea of a BTC Reserve supported by a federal government was once seen as a far-fetched and unlikely possibility. But as the value and potential of Bitcoin and other cryptocurrencies become increasingly recognized, governments are starting to take notice and explore the potential benefits of holding a reserve of digital assets.
This shift in perception is a testament to the growing influence and impact of cryptocurrency on the global economy. With its decentralized nature and secure blockchain technology, Bitcoin has proven to be a viable alternative to traditional fiat currencies. As a result, governments are beginning to see the potential of incorporating digital assets into their financial strategies.
One of the main advantages of a government-backed BTC Reserve is the potential for stability and security. By holding a reserve of Bitcoin, governments can diversify their assets and protect against inflation and economic instability. This could also lead to increased adoption and legitimacy of cryptocurrency, as governments themselves become investors and supporters of the digital currency.
Of course, there are still many challenges and obstacles to overcome before a government-backed BTC Reserve becomes a reality. Regulatory frameworks and policies need to be established, and there are concerns about the volatility and security of cryptocurrency. However, the fact that this idea is even being considered by governments is a clear indication of the growing influence and potential of Bitcoin and other digital assets.
In conclusion, the concept of a government-backed BTC Reserve may have once been seen as a radical idea, but it is now becoming a more realistic and feasible possibility. As the world of cryptocurrency continues to evolve and gain mainstream acceptance, we may see more and more governments embracing and incorporating digital assets into their financial strategies.
Bitcoin risks weekly close below $82K on US BTC reserve disappointment
Bitcoin, the world’s largest cryptocurrency, has been on a wild ride in recent weeks, with its price reaching record highs and then experiencing a sharp drop. This volatility has caused concern among investors and traders, who are closely monitoring the market for any signs of a potential crash.
One particular risk that has been highlighted is the possibility of leveraged long liquidations. This occurs when traders borrow money to increase their buying power and make leveraged bets on the price of Bitcoin. If the price of Bitcoin falls below a certain level, these leveraged positions can be automatically liquidated, resulting in significant losses for the traders.
According to recent data, there is currently $1.13 billion worth of leveraged long positions in the Bitcoin market. This means that if the price of Bitcoin were to drop below the $82,000 support level, these positions could be liquidated, resulting in a massive sell-off and potentially causing a further drop in the price of Bitcoin.
This risk is not to be taken lightly, as the cryptocurrency market is known for its high volatility and sudden price movements. In fact, just a few weeks ago, Bitcoin experienced a sharp drop of over 20% in a matter of hours, causing panic among investors.
So, what can be done to mitigate this risk? One solution is to diversify your portfolio and not rely solely on leveraged positions. By spreading your investments across different assets, you can reduce your exposure to any one market and minimize the impact of a potential crash.
Additionally, it’s important to stay informed and keep a close eye on the market. By staying up to date with the latest news and developments, you can make more informed decisions about your investments and potentially avoid any major losses.
In conclusion, while the potential for leveraged long liquidations in the Bitcoin market is a cause for concern, there are steps that can be taken to mitigate this risk. By diversifying your portfolio and staying informed, you can navigate the volatile cryptocurrency market with more confidence and potentially avoid any major losses.
Michael Saylor pushes US gov’t to purchase up to 25% of Bitcoin supply
According to Michael Saylor, the founder of Strategy, the US government should have a goal of holding 25% of Bitcoin’s supply by 2035. This statement comes as the world’s most popular cryptocurrency continues to gain mainstream acceptance and adoption.
Saylor’s belief is based on the fact that by 2035, 99% of all Bitcoin will have been issued, leaving only a small percentage available for purchase. This scarcity will drive up the value of Bitcoin, making it a valuable asset for governments to hold.
But why does Saylor think the US government should hold such a significant amount of Bitcoin? The answer lies in the potential benefits that come with owning a portion of the digital currency.
Firstly, Bitcoin is a decentralized currency, meaning it is not controlled by any government or central authority. This makes it a hedge against inflation and economic instability, as its value is not tied to any specific country’s economy.
Secondly, Bitcoin has a finite supply, with only 21 million coins ever to be in existence. This makes it a deflationary asset, as the supply cannot be increased to meet demand. As a result, its value is expected to continue to rise over time.
Furthermore, as more companies and institutions adopt Bitcoin as a form of payment and investment, its value is likely to increase even further. This would make it a valuable asset for the US government to hold, providing a potential source of revenue and diversifying its portfolio.
However, Saylor’s suggestion is not without its critics. Some argue that the government should not be involved in owning a volatile asset like Bitcoin, as it could pose a risk to taxpayers’ money.
Despite the differing opinions, one thing is clear: Bitcoin’s growing popularity and potential for long-term value make it an attractive asset for governments to consider holding. And with Saylor’s bold prediction of 25% of Bitcoin’s supply being held by the US government in just over a decade, it will be interesting to see how this plays out in the future.
Fed not cutting rates 'at all' in 2025 may trigger a bear market — Analyst
According to network economist Timothy Peterson, Bitcoin may reach a bottom of $57,000 in the next bear market. However, he believes this scenario is unlikely due to the high number of investors closely monitoring the cryptocurrency.
Peterson’s model, which takes into account various factors such as market trends and investor behavior, predicts that Bitcoin could potentially drop to $57,000 in a bear market. This may seem like a significant decrease from its current value, but Peterson explains that it is not uncommon for Bitcoin to experience sharp drops before bouncing back even stronger.
Despite this prediction, Peterson remains skeptical that Bitcoin will actually reach this low point. He points out that there are too many investors closely watching the cryptocurrency, ready to swoop in and buy when the price dips. This constant monitoring and buying pressure creates a safety net for Bitcoin, making it less likely to experience a significant drop.
In fact, Peterson believes that Bitcoin’s current bull market may continue for a while longer, potentially reaching new all-time highs. He notes that the cryptocurrency has been steadily gaining mainstream acceptance and adoption, which could drive its value even higher.
While Peterson’s model provides valuable insights into potential market trends, it is important to remember that no prediction is ever certain. The cryptocurrency market is highly volatile and subject to various external factors, making it difficult to accurately predict its future movements.
In the end, whether Bitcoin reaches a bottom of $57,000 or continues its upward trajectory, one thing is certain: it remains a highly sought-after asset by investors around the world. As more people recognize its potential and continue to invest in it, Bitcoin’s value and influence in the financial world will only continue to grow.
El Salvador acquired over 13 BTC since March 1, despite IMF deal
El Salvador’s President Nayib Bukele has been making waves in the cryptocurrency world with his bold decision to adopt Bitcoin as legal tender in the country. Despite facing criticism and pushback from international organizations and financial institutions, Bukele remains steadfast in his belief that Bitcoin is the future of money.
In a recent move, Bukele announced that the country had purchased an additional 150 Bitcoins, bringing their total holdings to 550 Bitcoins. This decision has been met with both praise and skepticism, with some applauding Bukele’s forward-thinking approach and others questioning the potential risks and volatility of investing in a digital currency.
However, Bukele shows no signs of wavering in his BTC treasury strategy. In fact, he has been actively promoting Bitcoin and encouraging other countries to follow in El Salvador’s footsteps. Bukele believes that adopting Bitcoin will bring financial freedom and economic growth to the country, as well as attract foreign investment and boost tourism.
Despite facing challenges and criticism, Bukele’s decision to embrace Bitcoin has gained international legitimacy. The International Monetary Fund (IMF) recently stated that El Salvador’s decision to adopt Bitcoin as legal tender is a “step towards macroeconomic stability.” This recognition from a major global organization is a significant win for Bukele and his BTC treasury strategy.
Moreover, Bukele’s move has sparked a global conversation about the role of cryptocurrency in the future of finance. Many countries are now considering following in El Salvador’s footsteps, with some even exploring the possibility of creating their own digital currencies.
As Bitcoin continues to gain mainstream acceptance and legitimacy, Bukele’s decision to adopt it as legal tender may prove to be a game-changer for the cryptocurrency world. Only time will tell if Bukele’s bold move will pay off, but for now, he remains confident in his decision and continues to champion Bitcoin as the currency of the future.
David Sacks pushes back against idea of crypto transaction tax
The current administration under President Trump is considering significant changes in the areas of taxation, cryptocurrency, and administrative policies in the United States. These proposed reforms have the potential to greatly impact the country’s economy and financial landscape.
One of the key areas of focus is tax reform. The administration is exploring various proposals to simplify the tax code and potentially lower tax rates for individuals and businesses. This could potentially stimulate economic growth and provide relief for taxpayers. However, there are also concerns about the potential impact on the federal deficit and the distribution of tax burden among different income groups.
In addition to tax reform, the government is also looking into the regulation of cryptocurrencies. With the rise in popularity and value of digital currencies like Bitcoin, there is a growing need for clear guidelines and oversight. The administration is considering measures to protect consumers and prevent illegal activities such as money laundering and fraud. This could bring more legitimacy to the cryptocurrency market and potentially attract more investors.
Furthermore, the administration is exploring administrative reform to streamline government processes and reduce bureaucracy. This could lead to more efficient and cost-effective operations, potentially saving taxpayers money. However, there are also concerns about potential job cuts and the impact on government services.
Overall, these proposed reforms have the potential to greatly impact the country’s economy and financial system. While there are potential benefits, there are also valid concerns and potential challenges that need to be carefully considered. It remains to be seen how these proposals will be implemented and what the ultimate effects will be. As with any major changes, it is important for the government to carefully weigh the potential consequences and ensure that the best interests of the country and its citizens are taken into account.
Bitcoin investors share mixed reactions to White House Crypto Summit
Institutional crypto investors tended to view the White House Crypto Summit more favorably than retail traders and BTC maximalists.