2023-10-20 15:46
Copyrighted Image by: Reuters. The landscape for Bitcoin Exchange-Traded Funds (ETFs) is evolving, with the US Securities and Exchange Commission (SEC) showing signs of a more constructive approach towards potential providers. This shift in the SEC's stance is evident in recent public filings and comment periods, as reported on Friday. Galaxy Digital's CEO, Mike Novogratz, expressed confidence that spot Bitcoin ETFs would receive approval from the SEC by the end of 2023. Novogratz's optimism stems from ongoing positive dialogues with the SEC and mounting pressure on the regulatory body to accommodate this emerging asset class. This pressure has been amplified by criticism from the U.S. Court of Appeals regarding perceived bias against Grayscale’s spot product while endorsing futures-based ETFs. Public demand for a regulated crypto ETF has been growing, a sentiment echoed by BlackRock (NYSE:BLK)'s support for Bitcoin and its plans to launch such an ETF. These developments are adding further weight to calls for regulatory approval. In parallel to these regulatory discussions, Bitcoin's value has seen a dramatic surge this year, increasing by 1,300%. This robust performance has prompted the introduction of Bitcoin ETFs. The SEC has already approved one Bitcoin ETF and is currently reviewing another. Two Bitcoin futures contracts ETFs have also been endorsed, facilitating trading through traditional financial instruments. These ETFs are slated for imminent launch on key U.S exchanges such as Nasdaq and CBOE Global Markets. In December 2018, VanEck-SolidX rolled out the first Bitcoin ETF on the Nasdaq platform, following an initial application by the Winklevoss twins to the SEC. The fund's substantial valuation of $200 million per share underscores the projected growth and resilience of the cryptocurrency sector. https://www.investing.com/news/cryptocurrency-news/bitcoin-etfs-gain-momentum-amid-regulatory-shifts-and-soaring-value-93CH-3204605
2023-10-20 15:20
Copyrighted Image by: Reuters Bitcoin's price saw an increase of 4% on Friday, exceeding the $30,000 mark to reach $30,074, a peak not witnessed since August 2023. This surge was attributed to four significant factors. The first factor is the potential approval of spot Bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC). This possibility has led to market speculation, with both BlackRock (NYSE:BLK) and Fidelity updating their respective Bitcoin ETF applications. The news of these updates and the anticipation of Spot Bitcoin ETF approval, which could be announced at Benzinga’s Future of Digital Assets conference on November 14, prompted a bullish market sentiment. James Seyffart confirmed that issuers are responding to SEC feedback while Alex Kruger and Christopher Inks predict substantial price surges on the day of approval. Matrixport’s research suggests that Bitcoin's price could range between $42,000 and $56,000 post-approval. A report from CryptoQuant indicates that the greenlighting of these ETFs could potentially inflate the market cap by up to $1 trillion. The second factor contributing to the increase in Bitcoin's price is Federal Reserve Chairman Jerome Powell's comments on suspending interest-rate hikes if inflation progress remains steady. Powell emphasized the need for balancing inflation control while avoiding recession risks, providing a bullish push for Bitcoin. The third factor is the rising gold price, which has seen an increase of 10% since October 6. Bitcoin often follows gold as a market chaos hedge, influencing its price in turn. Charles Edwards noted the increasing need for such insurance assets due to geopolitical tensions and economic weakening. Lastly, data from Coinglass shows about $21 million in Bitcoin shorts were liquidated recently, with CrypNuevo highlighting a high long-short open positions ratio. Despite these optimistic shifts, Bitcoin's price has slightly fallen under $30,000. Other cryptocurrencies such as Ethereum and BNB recorded rises of 3.3% and 1% respectively, while XRP soared by 7% after the SEC's request to dismiss lawsuits against Ripple’s executives. Furthermore, Solana's SOL/USD saw a substantial rise of 10.58% on Friday. Joe Edwards from Enigma Securities, as mentioned by CoinDesk, predicts a potential "sell the news" event post-approval. This suggests that while anticipation for the ETF approval has driven Bitcoin's price up, the actual approval could trigger a sell-off leading to a temporary price drop. https://www.investing.com/news/cryptocurrency-news/bitcoin-etf-anticipation-fuels-price-surge-blackrock-and-fidelity-update-filings-93CH-3204526
2023-10-20 15:17
Copyrighted Image by: Reuters On Friday, Bitcoin's value rose by 3.30 percent to $29,190, despite a declining US stock market, marking an eight percent growth over the last week. This increase coincided with the 10-year U.S. Treasury yield rising to 4.97 percent, a trend that Edul Patel of Mudrex attributed to potential rate stability until December. In addition to Bitcoin, other cryptocurrencies such as Ether, Binance Coin, Cardano, Dogecoin, Litecoin, Tron, Polygon, Leo Avalanche, Stellar Monero Cosmos, and Uniswap also recorded profits. Ether traded at $1,584 after gaining 2.23 percent. The total market valuation of cryptocurrencies rose by 2.93 percent in the last 24 hours to hit $1.11 trillion. This significant increase was driven by the gains in various cryptocurrencies and other key events in the crypto world. One such event was Chainlink's announcement of its staking v0.2 launch. Another major development was the dropping of SEC charges against Ripple Labs, which led to a seven percent spike in XRP's value. Despite this overall positive trend in the crypto market, some cryptocurrencies recorded losses. These included Tether, Solana, Braintrust, Circuits of Value, Bitcoin Cash, Shiba Inu, and Binance USD. This week's market movements indicate a continued interest and investment in cryptocurrencies amid economic uncertainties and shifting monetary policies. https://www.investing.com/news/cryptocurrency-news/bitcoin-and-altcoins-rally-as-crypto-market-valuation-hits-111-trillion-93CH-3204524
2023-10-20 13:14
Copyrighted Image by: Reuters. Investing.com -- Oil prices rose Friday, on track for a positive week, boosted by the news that the U.S. was looking to refill its strategic reserves as well as heightened fears that the Israel-Gaza crisis may spread in the Middle East, potentially disrupting supply. By 09:05 ET (13.05 GMT), the U.S. crude futures traded 0.9% higher at $89.22 a barrel, while the Brent contract climbed 0.9% to $93.25. Both benchmarks are on course for weekly gains for the second week in a row, with the U.S. contract set for 2% gains and Brent up 2.8% higher. U.S. to refill strategic reserve The oil market received a boost with the news that U.S. President Joe Biden has revived his bid to refill the heavily-drawn Strategic Petroleum Reserve. The Department of Energy announced on Thursday two separate offers of crude purchases totaling 6 million barrels, to be delivered between December this year and January 2024. The U.S. government had drawn about 200 million barrels from the SPR since early-2022, bringing the reserve to its lowest level in nearly 40 years in a bid to combat high gasoline prices following the onset of the Russia-Ukraine war. Middle East conflict escalation concerns remain Crude prices have been supported through the week by the ongoing Israel-Hamas conflict. Israel has vowed to wipe out the Hamas group that rules Gaza, after its gunmen killed hundreds of Israeli civilians earlier this month, and has pounded the enclave with air strikes, preparing for a ground assault. "Signs that an Israeli ground offensive in the Gaza Strip is imminent have been pushing oil prices up significantly since yesterday. A barrel of Brent now costs $93 again. So far, however, the supply situation on the market has not changed," analysts at Commerzbank (ETR:CBKG) wrote in a note. Concerns remain that the conflict could spread further in the volatile region, especially after the Pentagon said U.S. forces intercepted three cruise missiles and several drones launched by the Houthi movement in Yemen, potentially toward Israel. The Houthi, like Hamas in Gaza and Lebanon's Hezbollah, are backed by Iran. U.S. economy remains resilient - Powell Oil markets also took some support from comments by Federal Reserve Chair Jerome Powell, who said that the U.S. economy remained resilient, spurring bets that fuel consumption in the country will remain strong. This was backed up by another larger-than-expected inventory draw from the U.S., the world's biggest oil consumer. Oil markets were also encouraged by data earlier this week showing better-than-expected economic growth in China, the world’s largest crude importer. “Oil numbers were also supportive with refineries in China processing a record 15.5MMbbls/d of crude oil over the September,” said analysts at ING, in a note. “In addition, domestic demand remains robust, coming in at around 15.2MMbbls/d, up 3% MoM and 5% higher YoY. Given these stronger numbers, domestic crude oil inventories fell at a rate of around 200Mbbls/d last month.” https://www.investing.com/news/commodities-news/crude-oil-prices-rise-on-spr-refill-plans-middle-east-concerns-3204391
2023-10-20 11:54
Paolo Ardoino, the current Chief Technology Officer (CTO) of Tether Holdings Ltd, is set to take over as Chief Executive Officer (CEO) from Jean-Louis van der Velde this coming December. Ardoino, who has been serving as the unofficial spokesperson for the company, is preparing to lead the firm that issues the $84 billion stablecoin, USDT, amidst growing regulatory scrutiny over transparency issues. Tether, which is based in the British Virgin Islands, paid over $40 million in 2021 to settle allegations related to its collateral pile. The company had around 60 employees overseeing USDT as of May and plans to expand its team to 90 by the end of 2023. Its assets are primarily composed of short-dated US Treasury bills, and it works with banking partners such as Cantor Fitzgerald, Deltec Bank & Trust Ltd., Britannia Bank & Trust, and Capital Union Bank. In his new role, Ardoino plans to publish real-time data on Tether's reserves and expand tech investments, regulatory liaisons, and renewable energy ventures. He will also continue his work as CTO at Bitfinex, Tether's sister cryptocurrency exchange, where he will focus on its matching engine. Giancarlo Devasini serves as CFO for both companies. Regulatory challenges are on the horizon for Tether as authorities plan stricter rules on stablecoin issuers. Regulations from the European Union (EU), set to come into effect in June 2024, will require operators to disclose their corporate governance plans, shareholders, and risk management practices. Industry consultant Austin Campbell highlighted the pressure on Ardoino to deliver a full financial audit of Tether's books in 2022. Campbell also pointed out potential difficulties arising from US legislation on stablecoins. Ardoino, who is based in Lugano, Switzerland, is preparing for these challenges and is also gearing up for Tether's annual Bitcoin-themed conference and summer school in the city. https://www.investing.com/news/cryptocurrency-news/tether-cto-ardoino-set-to-take-over-as-ceo-amidst-regulatory-scrutiny-93CH-3204229
2023-10-20 11:41
Ripple, a blockchain pioneer, announced on Friday that its CEO Brad Garlinghouse and Chairman Chris Larsen have been exonerated from all SEC charges. This marks the company's third legal victory, following a significant ruling in July 2023 that "XRP is not a security" and an October verdict denying the SEC's interim appeal attempt. Despite the conclusion of the lawsuit, Ripple plans to continue with institutional sales of its XRP Coin. On Thursday, October 19, 2023, Ripple won a key legal battle against the U.S. Securities and Exchange Commission (SEC) over alleged securities law violations. This string of successful legal battles has allowed XRP Coin to reach its $0.52 limit. Meanwhile, LBRY, the creator of Odysee, announced its closure due to debts to various parties including the SEC. Despite a penalty reduction to $130K, LBRY decided against appealing. The closure of LBRY, which had a market cap of $5.5 million, sparked criticism from crypto influencers Ashley Prosper and Slorg, as well as Pro-XRP lawyer John Deaton. They criticized the SEC's heavy-handed approach towards smaller entities like LBRY while failing to prevent larger failures like FTX. Fox News journalist Eleanor Terrett noted that despite Ripple's victory and a market cap of $27 billion, its litigation isn't over due to its $700M+ institutional sales and pending Section 5 violations. The SEC has requested a schedule for further litigation until November 9, 2023. Garlinghouse and Larsen openly criticized the SEC for what they perceived as political motives behind their charges. However, Ripple's successful legal journey continues to impact its business positively and enabled XRP Coin to hit its price limit. https://www.investing.com/news/cryptocurrency-news/ripples-legal-victories-bolster-xrp-coin-as-lbry-shuts-down-93CH-3204223
