An unknown bitcoin wallet has become the third largest holder of bitcoin (BTC) in the world in just three months, data from BitInfoCharts platform shows.

Bitcoins were first transferred to the wallet address on March 8, 2023, at which time 0.25 BTC was purchased. In May, the wallet accumulated 64.1 thousand BTC, in June - another 54.2 thousand BTC. There were also small purchases in July. In total, the wallet has accumulated 118 thousand bitcoins with a total value of $3.08 billion at the current BTC exchange rate of $26 thousand, according to CoinMarketCap. At the time of publication, its investment loss is $91.4 million.

According to one version of X (formerly Twitter) users, the funds collected in the wallet represent funds from one of the crypto exchanges. One user speculated that it could be BlackRock. This large bitcoin purchase of 3.4k occurred exactly one month before the company announced the Bitcoin-ETF.

Currently, the largest bitcoin wallets in the world belong to cryptocurrency exchanges Binance and Bitfinex, according to BitInfoCharts.

Additionally, in August, Glassnode analysts estimated that about 90% of short-term bitcoin holders were at a loss. The most likely scenario going forward is continued selling by short-term bitcoin holders. And stocks of which currently total 2.26 million BTC, our experts believe. Someone is buying a lot of BTC and we will find out who in the near future. $BTC

#bitcoin

The chance of a single 1 PH/s miner mining a block is about 1 in eight years

A solo miner on August 18, 2023 mined a block in the bitcoin network with the number 803,821 and received a reward of 6.25 BTC (over $160k).

He was a user of the CKPool mining pool with the wallet address bc1q2za4ejga366sn28827273pty8trasn5zs4y9hqg6. According to the service administrator. This miner could use 10 S17 devices with a capacity of about 1 PH/s.

According to the calculator on solochance.com, at the current complexity of Bitcoin mining, the chance of a single miner with this power to mine a block is about 1 in eight years.

Our experts remind that on January 11, 2022, a single miner with a computing power of 126 TH/s successfully mined a bitcoin block of 718,124 and received a reward of 6.25 BTC (almost $270 thousand at the cryptocurrency's exchange rate of $42.8 thousand). The miner's share of the total computing power was only 0.000073%, which means the probability of successfully adding 1 block to 1.36 million.

Also on May 23, a single miner with a computing power of 750 TH/s successfully mined bitcoin block number 790,958. The miner was rewarded with 6.25 BTC (about $170k at the exchange rate of $27.3k) for the found block. The total hash rate on the bitcoin network on May 23 was 367.07 exahashes per second (EH/s). 1 EH/s is equal to 1 million TH/s. With a processing power of only 750 TH/s, a lucky miner had only 1 chance out of 489 thousand to successfully find a block. $BTC

#BTC

Approval of spot Bitcoin-ETF in the United States will change the dynamics of supply and demand of cryptocurrency. And as a result, the bitcoin rate will grow significantly, says Fundstrat Managing Partner Tom Lee

Bitcoin (BTC) rate may rise to $150 thousand or even reach $180 thousand in case of approval of a spot bitcoin-ETF in the United States. This was stated by Tom Lee, managing partner and head of research at investment company Fundstrat, in an interview for CNBC.

If the financial instrument is approved, the main cryptocurrency will be able to reach the projected levels by the end of 2024, Tom Lee said.

The approval of spot Bitcoin-ETFs in the United States will change the dynamics of supply and demand of the cryptocurrency, as a result of which the bitcoin rate will increase significantly, explained the Fundstrat representative.

Tom Lee also believes that even if the tool is not implemented, bitcoin will still continue to grow thanks to halving - due to a reduction in supply.

In August, UK-based Jacobi Asset Management launched Europe's first spot bitcoin-ETF almost two years after it was approved.

In August, the SEC postponed a decision on Katie Wood's ARK 21Shares fund's ARK 21Shares bitcoin-ETF application. The SEC is now reviewing more than 12 applications for spot bitcoin ETFs.

On August 8, Katie Wood said she expects the SEC to approve several bitcoin ETFs at once. In June, ARK Invest reported that the company was first in line for potential bitcoin-ETF approval. And because it was ahead of others, it submitted a corresponding filing to the SEC.

In July, the SEC began reviewing bitcoin-ETF applications filed by major UCs. Formally, the review process will begin when the documents are published in the federal register. $BTC

#BTC

Our weekly feature. Our expert analyzed the market situation and told how it may change in the short term for BTC

The past week was packed with drama and exciting events for investors and market participants.

Key moments of the past week:

Bitcoin posted one of the largest weekly declines in 2023.

The price broke through important support levels of $28,500 and $27,700.

GSR, a major market maker, saw several executives leave the company, including its CFO.

There was a massive liquidation of long positions worth $855 million, on bitcoin - $386 million.

Pressure was exerted by negative macro factors and a bearish phase on cycles.

By the end of the week, BTC had fallen below $26k, losing 11.6% over the past seven days.

At the beginning of the second half of August, bitcoin showed one of the worst weekly declines in 2023 amid unfavorable external factors.

On Monday, the price consolidated above the $29,000 mark after a recent slump. On Tuesday, BTC declined to $28,730 amid the fall of stock indices in the United States and the strengthening of the dollar. A negative impact on the crypto market could have been caused by the news that the company GSR. And which is one of the oldest market makers in the crypto market, several executives, including its CFO, left the company.

The decisive blow to investors followed on Wednesday and Thursday, when Bitcoin broke through important support levels of $28,500 and $27,700. Massive forced liquidations of $855 million in margin positions intensified the collapse.

Over Thursday, BTC collapsed by almost 13%, dropping to $25,166. The fall in quotes was reinforced by the court decision in the SEC case against Ripple, risk aversion in other markets. As well as the ongoing bearish phase on cyclical analysis, which is due to end in early September. Several factors coincided.

On Friday, the situation stabilized somewhat, but bitcoin continued its decline, falling below $26k. For the week, BTC losses amounted to more than 11%. Other crypto assets, including Ethereum, are also under pressure. Despite the news about possible SEC approval of exchange-traded funds based on ETH, the price of the coin fell by 10%.

A positive for the market could be the court's decision on Grayscale's lawsuit to convert the bitcoin trust into an ETF. However, the regulator rejected the company's request, and there is no court decision yet.

Anlysis and perspectives

As the trend line was broken after the breakdown of the horizontal support at $28,500, Bitcoin's position has noticeably deteriorated. The price has found support at the $24,820 - $25,150 zone. If it is also taken down as $28,500, the level of $23,300 (trend line from $15,476) will appear on the horizon.

By cyclical analysis, the scales are on the sellers' side until September 3. The lower the price falls before September, the harder it will be for buyers to return to the level of $30 th. For now, the risk of continuing the decline to $23 th. remains. Buyers are reluctant to purchase the cheapened cryptocurrency.

In general, the week demonstrated Bitcoin's serious vulnerability to negative external factors. A reversal of macroeconomic trends and favorable news are needed to improve the situation. Nevertheless, investors remain positive about bitcoin's medium-term prospects ahead of the halving. $BTC

#bitcoin #BTC

The regulator is unlikely to disapprove products based on futures contracts on the second-largest cryptocurrency, sources familiar with the situation said

The U.S. Securities and Exchange Commission (SEC) is ready to approve the first applications for Ethereum-ETF futures. And that serves as a big win for a number of companies that have long wanted to bring such products to market, Bloomberg reports.

According to people familiar with the situation, it's unlikely that regulators won't approve products based on futures contracts on the second-largest cryptocurrency. 12 companies, including Volatility Shares, Bitwise, Roundhill and ProShares, have previously applied to launch ETFs of this type.

That said, it was initially impossible to predict which funds would get the green light. By October, there could be several of them, suggested the official, who wished to remain anonymous when discussing the information, the publication writes. The SEC has not yet commented on the situation.

Earlier, the British company Jacobi Asset Management in August launched Europe's first spot bitcoin-ETF almost two years after approval.

Earlier, the SEC postponed a decision on Katie Wood's ARK 21Shares fund ARK 21Shares' bitcoin-ETF application. The SEC is now reviewing more than 12 applications for spot bitcoin ETFs.

On Aug. 8, Wood said she expects the SEC to approve several bitcoin ETFs at once. In June, her ARK Invest reported that the company was first in line for potential bitcoin-ETF approval. Since it was the earliest to submit an application to the SEC. $ETH

#Ethereum #ETH

The situation in the digital asset market is developing in a bearish direction. Our experts have analyzed and talked about possible entry points.

Crypto whales are now watching from the sidelines in the "HOLD" mode, holding tokens. This strategy involves waiting for significant news triggers to activate purchases.

The main reason for this market condition is the tightening of the monetary policy of the U.S. Federal Reserve System. And which is caused by the fight against the consequences of the "printing press" of the times of the COVID-19 pandemic. A retrospective of the dollar's relationship with Bitcoin (BTC) over the past decade confirms: in such periods, all crypto-tokens had a bearish attitude, or, simply put, fell.

The regulator's actions to raise interest rates gradually had their effect. And in recent months, inflation has begun to retreat. There are more frequent calls for rate cuts. The Fed has not yet announced that it has reached the rate ceiling. And rates may be raised one or two more times this year. The ceiling is close, and that's a good sign for digital coins.

The official announcement will be followed by a transition period when rates are not raised, but not yet lowered. It usually lasts for one calendar year. Bitcoin and other cryptocurrencies will have a second wind when they return to a soft monetary policy. In this phase of the market, they are moving into a state of strong growth.

Complete regulation of the cryptocurrency market will make it possible to distinguish projects with real technology and infrastructure from projects created to make a quick buck by "pumping" a token.

The latter enrich the creators of the coin by artificially inflating the price of the digital asset. When the coin reaches the maximum mark, it is dumped, and the asset itself begins to fall rapidly. This is often the case with "memcoins" - tokens created as a joke or meme and promising huge profits to the holders. In essence, this is very similar to a financial pyramid scheme, which is actively combated by the SEC. So it's worth keeping an eye on the regulatory segment and the emergence of spot digital funds under the prism of bitcoin's strength.

Summary: it is premature to expect bitcoin to take off right here and now. But this does not exclude the possibility of making money on buying BTC in the short term.

Trading plan

Now the price is in a corrective downward phase. It is "squeezed" between two large accumulations of futures volumes - $30 thousand (resistance) and $26 (support). This is the current trading range of the instrument. If we consider a short-term plan to buy bitcoin, we recommend waiting for quotes to enter the zone of the above support.

If there is a response from the buyers, which can be a popular reversal, we should consider buying with the targets: $28 thousand, $29 thousand and $30 thousand per coin. Fixing the price below the local minimum of $24,700 will cancel this scenario for growth.

Stop-loss is placed on the opposite side of the entry level at a distance allowed within the limits of your management. It is recommended to follow the classical rule: no more than 2-3% risk in one trade. $BTC

#bitcoin

The PayPal Cryptocurrency Hub will also play a big role for conversion between the PYUSD stablecoin and other crypto assets

Payment company PayPal updated the terms and conditions of operation after the launch of the "stable coin" PayPal USD (PYUSD). And in which it announced the launch of the "Cryptocurrencies Hub" (Cryptocurrencies Hub).

PayPal users will be able to store and transact with bitcoin (BTC). And other cryptocurrencies, the statement clarified. "The Cryptocurrency Hub will also be used to convert between PYUSD and other crypto assets.

"The balance in the cryptocurrency hub shows the user's ownership of the amount of each displayed crypto asset. Users will not be able to store directly the crypto-assets themselves in their account in the system," the updated terms and conditions said.

The hub will only be available to users who have a "personal PayPal account and balance account in good standing." The company will also verify the required customer identification information. These are such as name, location address, date of birth and taxpayer number.

Our experts note that in August, after two years of development and portability, PayPal launched its own dollar stablecoin. And actually becoming one of the first major payment companies to bring their crypto product to the mass market. The stablecoin from the payment service was named PayPal USD and the exchange ticker PYUSD. Its issuer is the company Paxos.

#crypto2023 #bitcoin

Access to Sugartown will require ERC-721 tokens called Oras, for them users will be able to "earn" in-game currency

Take-Two Interactive Software, the publisher of the Grand Theft Auto (GTA) series of games. Now through its subsidiary Zynga, bought last year for $12.7 billion, announced the release of the game Sugartown with tokens on the Ethereum blockchain.

An initial issue of 10,000 tokens is planned for later this year, the publication said.

To access Sugartown, ERC-721 format tokens called Oras will be needed. And for them, users will be able to "earn energy." As well as in-game currency, for which they will receive "rewards".

"We are excited to launch Sugartown as Zynga's first game for Web3. And also as the first new game for Web3 based on original IP [intellectual property]," said Matt Wolf, Zynga's VP of Web3.

Take-Two Interactive Software also invested in the Web game startup last year, the publication recalled.

Our experts note that last July, Sega decided to abandon "boring" blockchain games. It also banned the use of characters and trademarks from its most famous franchises (in particular, Sonic the Hedgehog) in third-party blockchain games. But Sega will still allow partners to use characters from lesser-known franchises, particularly Three Kingdoms and Virtua Fighter, as NFTs. Sega has also decided to put its own blockchain-based game projects on hold and not implement the Web3 technology in new "super games" for now.

#NFT #bitcoin

NFT Coca-Cola contains works by emerging artists and works of world art. In particular, Edvard Munch's "The Scream" and Johannes Vermeer's "Girl with a Pearl Earring"

Coca-Cola has issued a series of non-fungible tokens (NFTs) called Masterpiece on Coinbase's new Base network.

Base is a so-called Level 2 (L2) blockchain, with Coinbase's cryptocurrency exchange team behind its development. After several months of work in test mode, the network was fully launched on August 9. The launch was timed to coincide with the Onchain Summer program. The program includes a hackathon for developers and several blockchain-related initiatives in art, music and games. One of them was the NFT collection from Coca-Cola.

Coca-Cola tokens contain works by little-known artists as well as works of world art, including Edvard Munch's "The Scream" and Johannes Vermeer's "Girl with a Pearl Earring."

So far, eight different NFTs are available, ranging in price from 0.0011 ETH ($2) to 0.014 ETH ($25.8). The NFT collection is based on the corporation's recent advertising campaign. And which is partially created with the help of artificial intelligence.

Our experts note that in August it became known that former U.S. President Donald Trump invested up to $500 thousand in cryptocurrency. The funds of the former President of the United States are stored on Ethereum-wallet. As the media believe, he may be associated with a number of past projects of Trump. And in particular, with the collection of NFT which he began to sell after he left the post of head of state.

#NFT #crypto2023

Weekly feature: Our experts analyzed the market situation and told how it may change in the short term for Bitcoin

Bitcoin has been trading in a narrow range for 28 days now, and there is a risk of a breakout down to $27,500.

In the week from August 6 to August 13, bitcoin demonstrated boring sideways dynamics. And in doing so, stuck in a narrow corridor between $28,700 and $30,400. It feels like Bitcoin is stuck in a traffic jam on the crypto highway and can't get out of it.

Also investors are clearly bored and yawning as they stare at their monitor screens. Even inflation data in the U.S. could not cause strong price fluctuations. Quotes only slightly swung back and forth and returned back to the range.

Apparently, market participants are indecisive about the prospects of the Fed's monetary policy. Until there is clarity about the September meeting and spot Bitcoin-ETFs, the price is likely to sleep.

The technical price pattern is not bad for price to consolidate above $30,400. But the lack of volatility in the market during the release of consumer and manufacturing inflation data begs the question.

In the week from August 14 through August 20 the trend line passes through $27,500. This level is the key support, below which it is impossible to fall. Its violation will cause the market to close long positions on the futures market and open the way to $25,300 for sellers. Our experts consider it ideal to stay above $27,800 until September and start a new rally in anticipation of a halving in 2024.

Bitcoin is actually benefiting from this, though. It is better to let it gather strength in a sideways trend. Before breaking into unpredictability with sharp ups and downs. Besides, the longer the consolidation lasts, the more powerful the subsequent spurt.

Conclusions:

Bitcoin is stuck in a narrow price corridor waiting for clarity on the Fed. The sideways dynamics is likely to persist. New catalysts are needed for an exit.

$BTC #BTC #bitcoin

About one in three believe that "cryptocurrency makes the financial system fairer," a New York poll found

About 19% of New York State residents own cryptocurrencies, according to a Morning Consult study commissioned by Coinbase.

The report also notes that there are 692 companies registered in the state of New York. Which are engaged in blockchain technology activities. About 52% of them are in the Fortune 100 (a ranking of the 100 largest public and private companies in the U.S. by revenue). And as of 2020, they are introducing cryptocurrency, blockchain and Web3 projects.

"New Yorkers are optimistic about the possibilities of cryptocurrency. About one in three believe that 'cryptocurrency makes the financial system fairer' and that <...> it is a 'worthy investment for the future,'" the cryptocurrency exchange said in a statement."

The U.S. Federal Reserve (Fed) recently expanded the scope of its program. And under which U.S. banks oversee cryptocurrency and blockchain. On August 8, the agency unveiled a program to restrict a range of cryptocurrency-related transactions for the banks it supervises.

Our experts also note that in August, U.S. presidential candidate and Florida Governor Desantis accused Biden of a "war on Bitcoins." Ron Desantis said he would allow Americans to invest in cryptocurrencies if he wins the presidential election.

#bitcoin #crypto2023

Payment company Visa has tested a technical solution for the Ethereum blockchain

With this solution, users will be able to pay fees for so-called gas on the Ethereum network in the traditional way using bank cards. If this technology becomes popular, using the Ethereum network could become more affordable. And more comfortable for a wider range of users, Visa believes.

"Gas" in Ethereum is a unit of measure for the amount of computing resources required to perform a particular operation (coin transfer, NFT issuance, credit protocol operation, and any other blockchain scenario). The price of "gas" is specified in Gwei, which is a designation for the smallest fraction of the Ethereum cryptocurrency (0.00000001 ETH).

The cost of commissions for transactions in Ethereum depends on the load on the network and the complexity of these transactions. The amount of commission is calculated based on the amount of "gas" required for a particular transaction and its value at the time of the transaction.

In order to conduct any transactions with Ethereum, it is necessary to keep a small amount of ETH cryptocurrency on the wallet balance to pay commissions. If the technology from Visa becomes popular. Then using the Ethereum network may become more accessible and comfortable for a wider range of users, the report said.

"Our experiment aims to offer a promising approach to an existing blockchain-based transaction solution," Visa's tech team wrote.

In March, Visa denied media reports that it was allegedly suspending its cryptocurrency projects following the collapse of several major cryptocurrency companies. A spokesperson for the company said that it continues to cooperate with crypto projects and follows its roadmap for creating new products related to digital assets.

$ETH #ETH #BTC

The Bitcoin market is in a long period of quiet. Our experts have analyzed this situation and made conclusions.

The cryptocurrency market is experiencing one of the least volatile periods in its history. And this raises doubts that noticeable jumps in the price of Bitcoin at all will take place in the future. This is what Glassnode analysts wrote in their weekly market report.

Bitcoin's realized volatility in various month-to-year intervals has declined significantly this year, reaching multi-year lows. Volatility in the year-to-date range is at levels not seen since December 2016. According to the company's metrics, this is the fourth such period.

The first time there was such a prolonged lull was during the bear market period in late 2015 and early 2016. The bear market of early 2018 was also accompanied by a lack of significant price swings. And in November of that year, it experienced a 50% collapse. However, this was followed by an upswing in April 2019, when Bitcoin's price rose from $4k to $14k in three months. A prolonged consolidation also took place after March 2020, when the world adapted to the COVID-19 epidemic. Then there was a brief period of stability at the end of 2022.

Bitcoin volatility chart by Glassnode

The price range separating the seven-day high and low price is only 3.6%. In the history of the market, less than 5% of trading days have ever had a narrower weekly trading range. The 30-day price range is even narrower. Periods of consolidation and narrowing of a price range of this magnitude are extremely rare for Bitcoin.

Weekly lows and highs for the bitcoin price. Source: Glassnode

At the same time, Glassnode notes that the number of long-term Bitcoin holders has reached an all-time high, accounting for about 15.6 million BTC (75% of coins in circulation).

What's next for the Bitcoin price, our experts' opinions

In general, the technical picture on the daily charts "looks positive for the "bulls". According to our experts' estimates, the beginning of fall will be the starting point for a new growth phase. However, now the cyclic analysis points to the advantage of "bears". And that in conditions of low volatility constrains the market.

Last week, the BTC/USDt pair declined on the background of strong statistics on US GDP. And which gives the Fed grounds for further tightening of monetary policy in the fight against inflation. This raises concerns for investors trading risky assets.

For now, uncertainty and regulatory risks remain amid tough statements from the head of the SEC. Low trading volumes increase the probability of BTC's decline to the levels of $27,700 - $27,900. But in case of passing the $31,800 mark, the "bulls" will be able to regain the leading position.

$BTC #BTC

A social media user has warned investors about the spread of scam messages that non-existent X coins have allegedly increased in value many times over

Elon Musk, who owns social network X (formerly Twitter), said his platform will "never" issue its own crypto-token.

Responding to a user posting that the social network has never issued platform-related cryptocurrencies, Musk wrote: "And never will."

A social network user under the nickname DogeDesigner warned investors about the spread of fraudulent messages. And that non-existent X coins have allegedly increased in value many times over. The author of the post cited several relevant news headlines.

Twitter's official Twitter account on the eponymous social network was renamed X on July 24. The corporate logo with a blue bird was replaced with a white letter X on a black background. Twitter CEO Elon Musk published on his page a photo of the company's headquarters with a projection of the new logo.

Amid news of the social network's renaming, scam tokens X appeared on decentralized exchanges. Among the dozens of low-liquidity tokens that have appeared, there are those whose developers assure of their intentions to develop them, but there are also those that look like a blatant attempt at fraud under the scheme of "pump and dump". AI-X token with a logo resembling the new logo of the social network jumped in price more than ten times. Another, called Deus X, rose 2,600% after Musk's tweet. Our experts warn all of these projects have nothing to do with social network X.

#BTC #crypto2023

PayPal has launched its own dollar stablecoin. We tell you why it is necessary and what it means for the cryptosphere. As well as what prospects the new instrument has on the global financial market

After two years of development and portability, PayPal has launched its own dollar-stablecoin. And actually became one of the first major payment companies that were able to bring their crypto product to the mass market.

The stablecoin from the payment service was named PayPal USD and the stock ticker PYUSD. Its issuer is Paxos and it will be fully backed by dollar deposits, short-term treasuries and similar financial instruments. Its exchange rate is pegged to the U.S. dollar exchange rate. And the company will initially gradually make it available to PayPal customers in the US.

Stablecoin from PayPal will be exchangeable for dollars or other cryptocurrencies available in PayPal wallets. The company will set an exchange rate that includes the service's commission on each conversion. PayPal USD will also be able to be used to pay for purchases through a wallet in Venmo, a popular payment app from PayPal. In addition, it will be possible to transfer the token to compatible third-party wallets that are not part of the PayPal network. At an early stage, PayPal expects that PYUSD will be used mainly in the cryptocurrency and Web3 sectors, for example, to exchange for other crypto-assets or for payments in blockchain games. Even then, steiblcoin will gradually gain traction in areas such as money transfers and micropayments.

Stablecoin from PayPal has every chance to join the list of the most popular stablecoins in the future.

PayPal itself has a developed infrastructure and is represented in many countries. It greatly facilitates cross-border payments and speeds them up.

PayPal is actively used by freelancers and developers with international customers. Our experts believe that PYUSD will be a convenient way for them to get paid. It is also interesting that PayPal by the readiness of its infrastructure bypasses many central banks that are just trying to develop digital national currencies (CBDC). In other words, we are witnessing the emergence of a corporate currency that has a chance to become a significant player in the currency market, displacing central banks.

PayPal is one of the global payment giants, so we would like to believe that the future of PYUSD is very bright. At least due to the support of 430 million users of the platform.

Pay Pal and cryptocurrencies

PayPal has been supporting transactions with cryptocurrencies for some time now. And allows users to store such of them as Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH) and Litecoin (LTC). In its earnings report for the first quarter of this year, the company said it stores about $1 billion worth of cryptocurrencies for its customers.

Since last year, users have been able to transfer cryptocurrency from PayPal accounts to third-party wallets. The company also invests in blockchain startups. And that includes recently leading a $52 million investment round for Magic. Which provides infrastructure for integrating digital wallets into online services and enterprise projects.

PayPal co-founder Peter Thiel's Founders Fund venture capital fund began investing in Bitcoin back in early 2014. Shortly before the collapse of the crypto market in the spring of 2022, the fund sold almost all cryptocurrency assets, earning about $1.8 billion.

In 2021, it first became known that PayPal began looking for developers to create its own dollar-stablecoin. Despite regulatory scrutiny, problems over the BUSD issue, Paxos remained PayPal's launch partner for the steblecoin. The company said the partnership was a milestone for the entire industry.

"PYUSD is a first-of-its-kind currency that represents the next stage in the evolution of the U.S. dollar on blockchain," Paxos said.

And calling PayPal USD "the world's most secure dollar-backed digital asset." On the day of the announcement of the stablecoin, the U.S. House of Representatives issued a press release. And where it says that with proper regulation, stablecoins "could become the basis for a 21st century payment system in the United States."

The PYUSD stablecoin is not yet available on cryptocurrency exchanges. And to purchase it, you must be verified on PayPal's website.

#crypto2023 #BTC

Our experts told about opportunities to invest in crypto-assets with a link to the price of gold

It's been more than 35 years since The Economist magazine published a cover story titled "Get ready for a world currency" with the name Phoenix and the year 2018 minted on the coin. This magazine partly influenced the credibility of bitcoin and cryptocurrencies, but many people don't know about the story until now. The first notable hype around cryptocurrencies happened just in 2017-2018. And the top of the cryptocurrency market capitalization of that period was formed on January 8, 2018. The magazine was published on January 9, 1988, it said that in 30 years people will buy goods online and all price tags will be indicated in the new world currency.

Fiat currencies aren't going anywhere. And it will be easier for states to manage their economies. It is possible that this is what the market maker took advantage of. And after all, thanks to this magazine, many people believed that in 2018 there was a new world currency, and bought cryptocurrencies at the peak of the price.

The main Bitcoin network was launched on January 3, 2009. And today it's 2023, and settlements are still predominantly in dollars, some continue to believe that Bitcoin will eventually become the world currency that it is. But there is another option. Our experts allow varianto that under the new world currency hides ordinary gold. But in digitized or tokenized form.

In this variant it can be divided into dust and instantly make payment. And the proof of its originality will be recorded in the blockchain. We, on the other hand, believe in the value of the Tether USD (USDT) stablecoin today. And which is issued in this way, on the blockchain and backed by real financial instruments.

News is emerging that the BRICS countries are going to launch their own currency.

And some sources believe that it will be pegged to the value of gold or backed by gold reserves. In such a case BRICS comes to exchange of goods and resources. And it is practically a barter system of settlements between the countries. Gold will act as a unit of measurement in mutual settlements. Thus, everything will return to the original idea, when the dollar was backed by the gold reserve.

The blockchain organization with DPoS (Delegated Proof-of-Stake) consensus is most suitable for building such a payment system. This consensus algorithm was first developed by Dan Larimer in 2013 for his BitShares project. The DPoS protocol is also referred to as a form of "digital democracy". The difference between DPoS and the Proof-of-Stake (PoS) algorithm. And on which Ethereum (ETH) or Cardano (ADA) operate, is the separation of network participants into block producers and voters. If we project this idea into the form of a supranational digital currency. And it will turn out that citizens of countries choose the government. And the government sets up a node to validate transactions. Sooner or later, elections will also take place on the blockchain, and such a consensus will become more transparent.

For such a payment network, for example, the architecture of the EOS cryptocurrency would fit well. But it is clear that the government will not use the blockchains of existing cryptocurrencies.

The new currency will probably be backed by commodities or raw materials. Not the growth of any one country's economy. It will be a separate network where each BRICS member will hold a node (node) of the network. When the consensus will be that even if one participant (node) of the network confirms a transaction (without considering the sender). And all others are against it, and such a transaction goes through, it will be called a multipolar world. In such a network, money will not be frozen by the decision of just one party, as in the case of the dollar or the euro. This would be the creation of a new model, where the old one would simply become obsolete and cease to be popular.

Investment option

Since the 2008 crisis, central banks have been actively buying gold. This has only happened once in history, before the dollar was decoupled from gold.

Today, you can buy tokenized gold, such as PAX Gold (PAXG). Each token is backed by one troy ounce of London gold in 400 ounce bars stored in Brink's vaults. If you own PAXG, you own the underlying physical gold. And held in the custody of the Paxos Trust Company. Tether also issues tokenized Tether Gold (XAUt), but it is less trusted.

Our experts believe that gold is a more promising instrument for value saving in the coming years.

Gold is trading at $1930 an ounce today. Short-term we expect growth up to $2390. $PAXG

#PAXG #BTC

Weekly feature: our experts analyzed the market situation and told how it may change in the short term for Bitcoin

The week from July 31 to August 6 was relatively quiet. The BTC/USDt pair traded in the range of $28,585 - $30,047. Increased volatility in the market was observed on August 1 and 2. On August 1, the price of Bitcoin fell to $28,585. The market was pressurized by fears of regulatory action by the Securities and Exchange Commission (SEC) regarding the crypto projects Hex, PulseChain and PulseX. The hack of the Curve crypto exchange was also negatively impacted. And as a result of which hackers stole about $50 million. Despite the fall in quotes in the first half of the day, the daily candle closed with growth at $29,705.

On August 2, Bitcoin was recovering to $30,047. There are two reasons that may have provided support for buyers:

The first one is the release of MicroStrategy's Q2 2023 report. The company made a profit for Q2 and purchased 12,333 BTC. As of July 31, the company owns 152,800 BTC. The total BTC purchase price is $4.53 billion at an average price of $29,672 per 1 BTC.

Second - Fitch Ratings downgraded the U.S. sovereign credit rating from AAA to AA+ due to a growing budget deficit and a buildup of government debt. The downgrade had a limited impact on the markets. And since with such debt it is an expected event. U.S. government debt service has nearly reached $1 trillion a year. At this rate, debt interest payments will soon become a major spending item in the U.S. budget. Hardly anyone will repay the debt. The share of the dollar is declining in international settlements and in central bank reserves. No matter what anyone says, U.S. bonds are becoming toxic.

Analysis of other factors

Friday's U.S. labor market data points to a continued slowdown in job growth. 187,000 jobs were created in July. And that is below forecasts. And the figures for June were revised downward to 185k. That's the smallest job gain since December 2020.

Although the unemployment rate has fallen. And wages have risen, the low rate of job growth suggests the labor market is gradually cooling under the influence of the Fed's tighter monetary policy and a slowing economy. Companies are cutting back on hiring because of rising costs and an uncertain outlook.

Overall, the data points to weakening employee attitudes and cooling labor demand. This could have a dampening effect on inflation and cause the Fed to slow the pace of rate hikes. Nevertheless, the labor market remains relatively resilient despite the slowdown.

Despite a relatively quiet week in terms of economic events, the key indicator will be the U.S. Consumer Price Index (CPI), which will be released on August 10. It will give an indication of the inflation rate and could affect the US Dollar's performance and the Fed's monetary policy expectations.

The dollar ended last week on a weak note after a five-day rally. And the question is whether it was a correction of the uptrend or the beginning of its reversal. Overall, the US inflation report will be a key benchmark in the coming week to understand the outlook for the dollar and monetary policy. Bitcoin did not take advantage of the dollar's weakness, and that's a bad thing, as its rebound and a decline in U.S. stock indices could bring down the market more.

Buyers' activity in the crypto market is low due to fears of a new market crash

The U.S. Attorney's Office is preparing charges against Binance. However, it fears that it may provoke a massive outflow of user funds, as in the case of the bankrupt FTX.

DOJ officials are rumored to be concerned that filing criminal fraud charges against Binance could cause panic. And mass withdrawals by customers, causing them to lose money and destabilize the entire cryptocurrency market.

Therefore, prosecutors are considering alternative options to punish Binance, such as fines, deferred prosecution, or a settlement agreement. This would avoid a harsh reaction from investors and negative consequences for the industry. A decision on what charges will ultimately be brought against Binance has not yet been made and is under review by the US Department of Justice.

Prospects

Our experts note that despite the local recovery, buyers failed to gain a strong foothold above $30 th. The price Bitcoin stabilized around $28,950, where it traded until the end of the week amid the absence of positive triggers. The key support level is the $28,250 mark. If the trend line from the low of $16,333 does not hold. The risks of falling to $25,250 will increase sharply. According to seasonal cycles, the bearish phase should last until September. BitRiver estimates that Bitcoin needs to break through the resistance at $30,500 for the situation to turn bullish.

$BTC #BTC

BayLDA officials fear Worldcoin is handling "sensitive data on a very large scale" with new technology

The Bavarian Data Protection Supervisory Authority (BayLDA) is investigating Sam Altman's Worldcoin project for collecting biometric data from the end of 2022, Reuters reports.

The regulator fears that the company is processing "sensitive data on a very large scale" using new technologies.

As the head of BayLDA Michael Will noted. That this situation could lead to significant risks. And in particular because of the fact that users consent to the processing of their highly sensitive biometric data on the basis of complete and clear information.

"These technologies <...> are not adequately designed or studied for the specific core purpose of processing data as part of the transmission of financial information," Will noted.

Also in late July, the French regulator questioned the legality of Worldcoin's biometrics collection. The project collected data in France. And because of this, the country's Data Privacy Protection Service initiated an investigation.

Also earlier, Britain's Information Commissioner's Office (ICO) said it would check the Worldcoin project.

Worldcoin scans people's eyeballs using the Orb device. A reflective metal ball that records information about a person's iris in the form of a cryptographic code. Everyone who passes the scan will participate in periodic giveaways of WLD tokens. And the creators of the project position this as a form of universal basic income.

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Litecoin miners' rewards have dropped to 6.25 LTC

The Litecoin (LTC) cryptocurrency network has hosted an event called halving. This is a pre-determined reduction in the reward that miners receive for keeping the coin's blockchain running.

The halving officially occurred after miners confirmed transaction block number 2,520,000. This is the third halving since the cryptocurrency was created in 2011. The payout amount for processing one block dropped from 12.5 LTC to 6.25 LTC.

In early July, the price of the coin exceeded the $110 mark for the first time since 2022. The historical maximum of the LTC rate was reached in May 2021 at $410.

Litecoin is the second oldest cryptocurrency in existence, originally created as a slightly modified copy (fork) of Bitcoin by developer Charlie Lee. Like Bitcoin, Litecoin runs on the Proof-of-Work (PoW) algorithm. And in which verification of transactions in the blockchain is maintained by miners in exchange for rewards in the form of new coins. Each new block of transactions is added to the Litecoin blockchain every 2.5 minutes on average, compared to Bitcoin's 10 minutes.

Halving also takes place in bitcoin and other cryptocurrencies that use its code as the basis for their own - Zcash (ZEC), for example.

According to Litecoin creator Charlie Lee, lowering miner rewards helps to achieve mass distribution of the coin without compromising the security of the network.

Our experts note that the next halving of the coin will take place tentatively in July 2027. $LTC

#Litecoin #BTC

Cryptocurrency exchange HashKey Exchange has been authorized to provide services to retail investors in Hong Kong

Cryptocurrency exchange HashKey Exchange has become the first company in Hong Kong. Which has been licensed under the region's new licensing regime. And which allows cryptocurrencies to offer retail services.

HashKey has been granted Type 1 (securities transactions) and Type 7 (automated trading services) licenses. And can now serve retail investors in the region, the company said in a statement.

On April 27, the Hong Kong Monetary Authority (HKMA) issued a circular to banks to clarify the rules for opening accounts for cryptocurrency companies. The document clarifies how banks should conduct customer due diligence (CDD).

On June 1, 2023, Hong Kong introduced a new licensing regime for companies providing cryptocurrency trading services.

Our experts note that at the end of June, the Hong Kong unit of British bank HSBC allowed clients to trade shares of cryptocurrency ETFs. It was noted that the purchase of shares of four cryptocurrency exchange traded funds will be available to users through official trading applications.

Hong Kong's first official crypto exchange HashKey Exchange will not provide services to users from 34 countries. Also including Russia, Iran, South Africa and Myanmar

The exchange does not restrict access to clients from the USA, Japan, China and a number of other countries. But on condition that they live in the territory of states where the circulation of digital assets is not restricted. They will have to confirm their location address and phone number during the verification procedure.

From the user agreement also became known that the processing of payments for the HashKey Exchange is engaged in the Asian division of the bank JPMorgan Chase. And one more partner bank will become ZA Bank in the future.

#HongKong #BTC