Each week, the Coinme Private Client team sends a weekly email, highlighting the top industry news and stories. Included in that email is “This Week in Bitcoin”, your guide to the state of bitcoin. Here’s the top news in This Week in Bitcoin 11.12.2019:
It felt like 2017 again last week, as it’s been a while since Bitcoin traded down while many other digital assets finished the week in positive territory. While Bitcoin itself is stuck in an indecisive range, the crypto market responded positively to certain events and catalysts. A prominent exchange offered “staking” interest for retail customers for Tezos sending the asset on a rocket ship upward. Meanwhile, Stellar burned 50% of the token supply creating demand for the asset. These tactics help increase the utility of digital assets and are usually met with more long-lasting results. These are no different than Apple buying back their stock or unveiling a new product. Another dgital asset, Maker Dao (MKR), the token at the top of one of the fastest-growing decentralized finance loan systems, rose 30% week-over-week for a couple of reasons. First The stable token (DAI) historically could only be loaned using Ether (ETH) as collateral, but multi-collateral DAI is launching November 18th. Additionally MKR token holders voted to raise the DAI ceiling to 120M from 100M proving increased demand for these token-backed loans.
Speaking of This Week in Bitcoin, all eyeballs continue to be on China. China continues to fuel growth initiatives in crypto; this is evident with large spikes in both volume and price recently during Asian trading hours. Even today one of the prominent state newspapers in China put out a front-page article headlined “Bitcoin: The First Successful Application of Blockchain Technology”.
The internet has broken down geographic barriers for dating, shopping, and information — but Financial Institutions are largely still regional. However, this is starting to change. Whether it’s Square, J.P. Morgan, Uber, Facebook, Microsoft, NYSE-ICE, or Fidelity, there has been a flurry of announcements of forays into crypto/blockchain in 2019; often by publicly traded U.S. companies. Square retail users alone are now absorbing 8% of the Bitcoin mining supply, while Fidelity and ICE (Bakkt) are talking to just about every institutional client on the planet. Meanwhile, Silvergate Bank just did an IPO, and crypto mining equipment maker Canaan Creative is coming to US equity markets next.
It’s an exciting development to watch heading into 2020. And if you’re not paying attention to crypto simply because equities and debt are booming, you might miss the sentiment shift happening right in front of you.
Here’s the infographic for This Week in Bitcoin:
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