The cryptocurrency world has witnessed many notable changes over the past year, as Bitcoin and altcoins continue to attract strong interest from both the public and institutions. Here are the prominent trends and events shaping this field.
One of the most notable milestones is MicroStrategy (MSTR) becoming the first Bitcoin-focused company to be added to the Nasdaq-100 index. This is significant because this index includes the 100 largest non-financial companies on Nasdaq, including giants like Apple and Amazon. Following this announcement, the price of Bitcoin reached an astonishing $102,000. With a market capitalization of about $92 billion at the time recorded, MicroStrategy is now among the top 40 largest companies in this index.
MicroStrategy's participation will significantly increase Nasdaq 100's exposure to Bitcoin, as the company holds about $42 billion in Bitcoin. ETFs tracking the Nasdaq 100 index manage over $550 billion in assets, which could mean MicroStrategy will receive billions in passive investment. However, analysts predict that this presence may only be temporary due to the possibility of MicroStrategy being reclassified as a financial company next March, based on the amount of Bitcoin it holds.
In the cryptocurrency sector, former Thai Prime Minister Thaksin Shinawatra believes that Thailand should explore cryptocurrencies to maintain its competitiveness. He cited the global trend towards digitization and the demand for alternative currencies in the context of increasing protectionist policies. Thailand is also currently working to develop its digital economy, including experimenting in a cryptocurrency regulatory environment and collaborating with the monetary authority of Hong Kong.
Meanwhile, cryptocurrency exchange Coinbase is facing a $1 billion lawsuit from BiT Global Digital Limited. The company accuses Coinbase of engaging in unfair competition by removing Wrapped Bitcoin (WBTC) to prioritize its own cbBTC product. This lawsuit also questions Coinbase's compliance standards due to the decision to list highly speculative coins.
In response, Coinbase's legal director, Paul Grewal, defended the company's token listing activities, asserting that they adhere to high standards. However, Grewal's statements were criticized by industry figures, raising concerns about transparency in Coinbase's operations.
In summary, the cryptocurrency industry is undergoing rapid and continuous changes, as both individuals and institutions seek opportunities and face challenges in the context of digitization becoming the dominant trend.
