Mini Program: Daily Summary of Cryptocurrency Trends
1. The Hong Kong Securities and Futures Commission issues licenses to virtual asset trading platforms under a fast-tracking procedure.
The Hong Kong Securities and Futures Commission today issued licenses to four applicants for virtual asset trading platforms under a fast-tracking procedure. Dr. Ye Zhi Heng, Executive Director of the SFC's Intermediaries Division, stated: 'We have always actively communicated with the senior management and ultimate controllers of virtual asset trading platforms. This helps us clarify the regulatory standards they should meet and expedite the licensing process for virtual asset trading platforms. We are committed to balancing the protection of investors' interests with the continued development of Hong Kong's virtual asset ecosystem.'
2. Powell: We are not allowed to hold Bitcoin, nor do we wish to change the law.
The debate continues on whether the incoming Trump administration will establish Bitcoin reserves. Federal Reserve Chairman Powell stated that the Fed has no intention of holding Bitcoin. In a press conference after the FOMC meeting, Powell said, 'We are not allowed to hold Bitcoin.' Regarding the legal issues of holding Bitcoin, Powell stated, 'This is something for Congress to consider, but we do not intend to seek a change in the law.'
3. "Bond King" Gundlach: Gold and Bitcoin will experience sideways fluctuations in the short term.
"Bond King" Gundlach stated that positions in gold and Bitcoin may continue to increase. In the short term, both gold and Bitcoin will experience sideways fluctuations. Before the new government takes office, I would never hold Bitcoin.
4. "Bitcoin Whale": A new cryptocurrency purchasing plan will be implemented if necessary.
MicroStrategy (MSTR.O) co-founder Michael Saylor: If necessary, a new (Bitcoin/cryptocurrency) purchasing plan will be implemented. The company may create a smarter leverage. He declined to comment on whether he would meet with the elected US President Trump. If invited, he would consider serving as a member of the advisory committee.
5. BlackRock: Recommends considering gold and Bitcoin as a supplement to bond investments.
BlackRock stated in a report that government bonds are no longer a reliable buffer against sell-offs in risk assets like stocks, and investors should consider using gold and Bitcoin as a supplement to bond investments. Economies are undergoing a transformation that may continue to alter long-term economic trends. In the face of rising inflation, bonds may not be able to withstand stock market sell-offs. Bonds no longer reliably diversify the risk of a portfolio across a wide range of potential outcomes and scenarios. This requires us to reconsider diversification. Therefore, investors should consider new diversification tools like gold and Bitcoin, even though they will not replace bonds.
6. JPMorgan: Trump's victory opens a new era for US crypto, and the choice of CFTC chair will be particularly important.
JPMorgan (JPM) reported on Wednesday that Donald Trump's victory in the November presidential election has opened a new era for US cryptocurrency, noting that the total market value of cryptocurrencies has risen by about 65% since his election. Analysts led by Kenneth Worthington wrote, 'The new government has not only brought a crypto-friendly sentiment but has also shown enthusiasm for promoting this asset class; the nomination of the CFTC chair is a missing piece of the government’s support for the cryptocurrency agenda. This position is important as it could play a significant role in regulating Bitcoin (BTC) and Ethereum (ETH).'
7. Arthur Hayes: High expectations of cryptocurrency investors for Trump may lead to a vicious sell-off.
Arthur Hayes wrote (Trump Truth) that there is a significant gap between cryptocurrency investors' high expectations for how quickly Trump can change things and the reality that Trump has no politically acceptable solutions to achieve such changes quickly. The market will quickly realize that Trump has at most a year, around January 20 or so, to implement any policy changes. This realization will lead to a vicious sell-off of cryptocurrencies and other Trump 2.0 stocks.
8. El Salvador reaches a $1.4 billion loan agreement with the IMF, making Bitcoin payments voluntary.
According to Cointelegraph, El Salvador has reached a $1.4 billion loan agreement with the International Monetary Fund (IMF), planning to obtain funding support over the next 40 months. As part of the agreement, the country will make it voluntary for merchants to accept Bitcoin payments while gradually reducing government involvement in Bitcoin-related projects, including a gradual exit from the management of the Chivo wallet application supported by the government. The IMF stated that this move would significantly reduce the potential risks posed by Bitcoin projects while clearly stipulating that the public sector is limited to specific participation in Bitcoin economic activities. Additionally, taxes will be paid only in US dollars, not Bitcoin. The agreement still requires approval from the IMF Executive Board and marks the end of four years of negotiations with the IMF since El Salvador adopted Bitcoin as legal tender in June 2021. The IMF has previously warned that the speculative nature of Bitcoin could pose financial risks to the country. The agreement will also facilitate additional financing from institutions like the World Bank, with total financing exceeding $3.5 billion. Despite this, El Salvador's Bitcoin advisor Max Keiser expressed disdain for this on social media X, stating that the use of Bitcoin in the country has 'never been more active and continues to grow.' However, surveys show that 92% of Salvadorans have not used Bitcoin for transactions, up from 88% in 2023.
9. BlackRock's spot Ethereum ETF currently holds over 1 million ETH, valued at over $4 billion.
According to Lookonchain monitoring, BlackRock's spot Ethereum ETF, the iShares Ethereum Trust ETF, currently holds over 1 million ETH, totaling 1,025,378 ETH (approximately $4.04 billion).
10. Co-founder of Castle Island Ventures: Strategic Bitcoin reserves may undermine global market confidence in the US dollar.
According to Bloomberg TV, Nic Carter, co-founder of Castle Island Ventures, stated that he does not believe there will be strategic Bitcoin reserves, as this could undermine global market confidence in the US dollar, leading to adverse effects. He believes such measures would not benefit anyone.
11. Hong Kong media: Prices of Bitcoin mining machines in Huaqiangbei have surged, with buyers mostly from Russia, the US, and Canada.
According to Hong Kong Wen Wei Po, influenced by the surge in Bitcoin prices, the prices of Bitcoin mining machines in Huaqiangbei, Shenzhen have soared. Antminer S21 335T is priced at $5,600 each (approximately 40,700 RMB), up 30% from last year. Some high-performance models, such as the S21 XP liquid-cooled miner, are sold out on the official website, and the mining machine market is experiencing a supply shortage. Buyers mainly come from regions such as Russia, the US, and Canada, with some customers purchasing hundreds to thousands of machines at once. The low electricity prices in these regions, such as 0.37 RMB per kWh in Canada and as low as 0.2 RMB in Russia, provide a larger profit margin for miners. Industry insiders expect that the Bitcoin bull market is still in its early stages, and the prices of mining machines may rise further next year, with market shortages becoming more severe.
Article reposted from: Jin Shi Data
