Advertisements

Grayscale To Move Billions In Bitcoin, Ripple’s XRP, Ethereum, And Litecoin To Coinbase In One Of The Largest Ever Crypto Transfers

Bitcoin and cryptocurrency asset manager Grayscale Investments is today planning to move billions of dollars worth of holdings to U.S. crypto wallet provider and trading platform Coinbase in what could be one of the largest single day transfers of bitcoin and crypto assets ever.

Grayscale, which claims to be the world’s largest bitcoin and digital currency asset manager, is today announcing Coinbase Custody will serve as custodian of the underlying assets for its products, and is expected to transfer nearly $3 billion of assets in fewer than 12 hours to Coinbase.

Coinbase Custody, which is operated as a standalone, independently-capitalized business to Coinbase, will now will oversee Grayscale’s cryptocurrency holdings, including bitcoin, bitcoin cash, ethereum, litecoin, and Ripple’s XRP, among other major tokens, as well as Grayscale’s publicly quoted cryptocurrency trusts and its Grayscale Digital Large Cap Fund, which provides exposure to bitcoin and crypto through a market cap-weighted portfolio.

“Grayscale and Coinbase have led the way in providing safe, secure, trustworthy, and regulated access to digital assets. Grayscale is an established, trusted, and valuable partner to its clients and its service providers should be the same,” said Sam McIngvale, Coinbase Custody chief executive.

“As a NY State-chartered trust company, Coinbase Custody is held to the same fiduciary standards as national banks. We also offer some of the broadest and deepest insurance coverage in the crypto industry.”

The move comes as bitcoin and cryptocurrency investors nervously look for signs of how global regulators will react to Facebook’s plans to launch its own cryptocurrency sometime next year, dubbed libra.

Expectations that some of Silicon Valley’s biggest companies, including iPhone-maker Apple and micro-blogging platform Twitter, are increasingly looking to bitcoin and cryptocurrencies as a potential source of revenue has been largely responsible for the rise in the bitcoin price so far this year.

Earlier this month, the New York-based Grayscale reported assets under management of $2.7 billion, an all-time high for the company and up three-fold on the previous quarter.

Last month, Coinbase, the largest U.S. cryptocurrency exchange and wallet service, boasted it has signed up 30 million users since launching in 2012, with eight million new users added over the last 12 months.

Meanwhile, Grayscale last week found that more than a third (36%) of U.S. investors would consider buying bitcoin, representing a potential market of more than 21 million investors.

“Since its introduction in 2009, bitcoin has steadily grown in popularity and today has expanded its reach to a broad mainstream audience,” Grayscale reported.

“Investors are constantly looking for new ways to diversify their portfolios as traditional assets and markets have begun to move more closely in sync with one another.”

Follow me on Twitter.

I am a journalist with significant experience covering technology, finance, economics, and business around the world. As the founding editor of Verdict.co.uk I reported on how technology is changing business, political trends, and the latest culture and lifestyle. I have covered the rise of bitcoin and cryptocurrency since 2012 and have charted its emergence as a niche technology into the greatest threat to the established financial system the world has ever seen and the most important new technology since the internet itself. I have worked and written for CityAM, the Financial Times, and the New Statesman, amongst others. Follow me on Twitter @billybambrough or email me on billyATbillybambrough.com. Disclosure: I occasionally hold some small amount of bitcoin and other cryptocurrencies.

Source: Grayscale To Move Billions In Bitcoin, Ripple’s XRP, Ethereum, And Litecoin To Coinbase In One Of The Largest Ever Crypto Transfers

Advertisements

Enjin Coin Price Gains Another 20% as Bullish Momentum Returns

Due to all of the rather uneasy cryptocurrency market momentum in place right now, it remains to be seen how things will unfold over the next few hours and days. While there is some excitement in certain markets, the top currencies are rather disappointing right now. The Enjin Coin price, which recently saw a major value surge, is still going strong as of right now. Enjin Coin Price Resumes its Uptrend.No one will be too surprised to note some altcoins succeed in noting strong gains whereas the majority of the top coins are struggling. While projects such as Enjin Coinwould certainly benefit from bullish Bitcoin price momentum, it seems they can effectively move on their own as well. That is part of what cryptocurrency so interesting right now, as one never knows where the next batch of profits might come from……

Source: Enjin Coin Price Gains Another 20% as Bullish Momentum Returns

Keplerk Plans to Sell Bitcoin in 6500 Stores by February

On January 8,  2019, the first six tobacco stores in France began selling bitcoin as a result of a deal inked with Keplerk, a French fintech company that intends to expand the sale of bitcoin to 6,500 more stores by February. In November 2018, it was announced that Keplerk, a French fintech company, would be partnering with tobacco shops in France to make bitcoin as easily purchasable as cigarettes. Now, the first 6 tobacco shops in France have begun selling bitcoin alongside their products and according to the management of Keplerk, there are plans to bring aboard as much as 6,500 more shops by February……

Source: Keplerk Plans to Sell Bitcoin in 6500 Stores by February

Crypto exchange Huobi Russia launches legal lab – TokenPost

Earlier this month, Huobi Group officially announced the opening of its Russian office, launched in partnership with the VEB Digital Transformation Center and Russian experts in the field of blockchain and exchange trading. According to the latest announcement, the legal competence center has been launched with the support of VEB’s Digital Transformation Center. The legal lab will be led by Elina Sidorenko, Professor at Moscow State Institute of International Relations (MGIMO).

Source: Crypto exchange Huobi Russia launches legal lab – TokenPost

Investor: Value of Crypto Dropped, But Ecosystem and Industry are Growing Rapidly – Joseph Young

1.jpg

In the past seven days, the valuation of the crypto market dropped from $184 billion to $138 billion, by more than $46 billion.

The cryptocurrency market experienced one of the worst weekly sell-offs in all of 2018, and the prices of major digital assets like Bitcoin have dropped by around 75 percent to 85 percent from their all-time highs.

crypto market cap
Source: CoinMarketCap

Despite the steep decline in the valuation of the crypto market, renowned cryptocurrency investor and CoinShares executive Meltem Demirors stated that the cryptocurrency ecosystem, market, and industry are still improving at a rapid rate.

ICOs in Trouble But Industry is Vibrant

Over the past several months, initial coin offering (ICO) projects have lost billions in market cap, after raising more than $30 billion in the past two years. Many projects that have had less than $10 million in daily volume had valuations of hundreds of millions of dollars to billions of dollars, in most cases without any working product to show.

ICOs have started to struggle in remaining relevant and driving new capital into the cryptocurrency market. As Binance CFO Wei Zhou pointed out, it is of significant importance for the long-term trend of the market for the space to see the emergence of high-quality projects and founders to attract smart capital.

“On the issuer side, many crypto projects that raised money through an ICO face massive challenges to stay relevant and create real purpose. This is what happens when you lack a true finance function, and unfortunately, ‘crypto finance’ is still nebulous and undefined on the whole. Just look at this balance sheet below, which characterizes many crypto firms that raised cash through token offerings,” Demirors said.

But, as seen in the success of infrastructure-building businesses like Coinbase and Binance that have achieved a market cap of over $8 billion, the cryptocurrency exchange market and industry have started to see exponential growth in terms of infrastructure, user base, and revenues.

Binance, for instance, achieved 10 million users across 180 countries and in an interview, Binance CFO Wei Zhou emphasized that the company is aiming to secure one billion users in the long run.

As such, while the value of major cryptocurrencies has declined substantially over the past eleven months, Demirors stated that the cryptocurrency ecosystem had grown noticeably in virtually every major area.

“So while value may be moving out of the assets themselves as the market digests new information and re-formulates its thesis on crypto assets, value is continuing to grow across the cohort of companies serving the crypto ecosystem. Just look at the people in this industry — thousands who continue to spend their time, energy, and capital on helping the crypto ecosystem grow. By writing, researching, advocating, building, developing, or simply holding.”

Even Traditional Finance is Struggling

blackrock

Blackrock, the world’s largest asset manager, recorded its first quarter of net outflows as clients withdrew more than $3.1 billion and analysts are predicting the US stock market to continue sinking after deleting all of 2018 gains.

Bespoke Investment Group co-founder Paul Hickey stated that most investors in the US market are “rushing for the exits,” given current market conditions and intensity of the recent sell-off.

The decline in the momentum of the US stock market, which will directly affect major economies in Asia in the likes of South Korea and Japan, is having a negative impact on the cryptocurrency sector as investors shift away from high-risk, high-return trades.

However, Demirors noted that funds and asset managers in the crypto sector have historically survived several market cycles and major corrections in the past, and 2018 will be no different.

“Lastly, the funds and asset managers in the space, while under pressure, have historically done well given their longer time horizon and their ability to survive and weather market cycles. We expect this trend to continue, especially for some of the larger, better capitalized managers with deep experience who are able to manage finances and allocation strategies to capitalize on short-term price movements while keeping a long-term investment outlook.”

As Binance CEO Changpeng Zhao and Coinbase CTO Balaji Srinivasan said, it is of utmost importance for both businesses and individuals in the space to continue building throughout a mid-term bearish trend.

 

 

Donate us if you like

%d bloggers like this:
Skip to toolbar