Headline
▌MicroStrategy's stock price has risen 477% this year, second only to AppLovin among U.S. tech companies with a market cap over $5 billion
According to FactSet data, from the beginning of 2024 to last Friday's close on December 20, MicroStrategy's stock price has risen by 477%, second only to AppLovin among U.S. tech companies with a market cap exceeding $5 billion. Previously, the company's stock price rose by 346% in 2023.
On Monday, MicroStrategy stated in a filing that over the past week, the company acquired 5,262 Bitcoin at a price of approximately $561 million, with each Bitcoin priced at $106,662. This brings the company's total holdings to 444,262 Bitcoin.
▌Aave is considering integrating Chainlink SVR services
According to a proposal in the Aave governance forum, Aave is considering integrating a new Chainlink oracle – Smart Value Recovery (SVR), aimed at redistributing profits from front-running trades to DeFi users.
Chainlink's Smart Value Recovery (SVR) is an oracle service designed to extract profits from Maximum Extractable Value (MEV) for the benefit of DeFi protocols, with Aave estimating that SVR can capture approximately 40% of MEV profits, which can be redistributed to Aave DAO to benefit users.
Market
As of the time of publication, according to Coingecko data:
BTC's most recent transaction price is $94,380.70, with an intraday fluctuation of -0.6%;
ETH's most recent transaction price is $3,399.99, with an intraday fluctuation of +3.9%;
BNB's most recent transaction price is $689.08, with an intraday fluctuation of +6.3%;
SOL's most recent transaction price is $188.93, with an intraday fluctuation of +5.3%;
DOGE's most recent transaction price is ¥0.3224, with an intraday fluctuation of +3.6%;
XPR's most recent transaction price is $2.25, with an intraday fluctuation of +2.5%.
Policy
▌Crypto-friendly Congressman Bernie Moreno has been appointed as a member of the Senate Banking Committee
Pro-cryptocurrency Senator-elect Bernie Moreno (R-Ohio) has been appointed as a member of the Senate Banking Committee. The Senate Banking Committee may become key to launching cryptocurrency-related legislation in 2025, as it has jurisdiction over two key agencies: the U.S. Securities and Exchange Commission and the Commodity Futures Trading Commission. Other pro-cryptocurrency legislators, including Senator Cynthia Lummis (R-Wyo), have been assigned to remain on the committee.
The Senate is expected to confirm these appointments in the next Congress. According to the statement, Moreno has also been appointed as a member of the Senate Commerce Committee, Senate Budget Committee, and Senate Homeland Security and Governmental Affairs Committee.
▌The IRS claims that crypto staking should be taxed in a lawsuit
The U.S. IRS stated in a lawsuit that staking cryptocurrencies should immediately create a tax obligation upon completion.
The IRS has dismissed the lawsuit filed by cryptocurrency investor Joshua Jarrett in the U.S. District Court for the Middle District of Tennessee. The lawsuit involves the tax treatment of staking, a process that generates new tokens by using existing tokens and computing power to validate currency transactions. In a response on December 20, the IRS denied that staking creates new property and stated that the taxpayer (Jarrett) should pay taxes on the value of the tokens when he receives the staking rewards.
▌Grayscale submitted Form 8-K for Grayscale Horizen Trust (ZEN) to the SEC
According to market news, Grayscale has submitted an 8-K form for Grayscale Horizen Trust (ZEN) to the U.S. Securities and Exchange Commission (SEC).
Blockchain Applications
▌MoonPay is in talks to acquire cryptocurrency payment platform Helio for $150 million
According to Fox Business News reporter Eleanor Terrett, cryptocurrency payment service provider MoonPay is in talks to acquire Helio for approximately $150 million, which would be MoonPay's largest acquisition to date.
Helio is an alternative to Coinbase Commerce, providing a self-service cryptocurrency payment platform that enables content creators and e-commerce merchants to receive payments in cryptocurrencies. It currently offers 'white-label solutions', including trading infrastructure for Solana Pay and DEX Screener.
▌Crypto.com launches sports prediction market in the U.S.
Crypto.com announced the launch of a sports event prediction market in the U.S., allowing American customers to use various cryptocurrencies to bet on sporting events, starting with the Super Bowl. If the prediction is correct, payment will be received within one business day after settlement.
Company spokesman Matt David stated that the product will leverage Crypto.com's popularity among sports fans in the U.S. to serve an increasing number of cryptocurrency traders looking to bet on real-world event outcomes.
Cryptocurrency
▌Robinhood CEO: The company has internally discussed the issue of establishing Bitcoin reserves
Robinhood CEO Vladimir Tenev stated on Anthony Pompliano's podcast that the company has internally discussed holding Bitcoin, but there are no plans to maintain BTC reserves. He said: 'We don't rule out this possibility. So far, we haven't done it, and we're not in the investment management business.'
The CEO continued to state that, although Robinhood has not followed the lead of companies like MicroStrategy and Tesla in incorporating Bitcoin into its balance sheet, the company's stock price 'has been highly correlated with Bitcoin even without us incorporating Bitcoin into our inventory.' Robinhood stock (ticker: HOOD) has risen by 202% this year, while Bitcoin's return this year is 110%.
▌Analysis: Previous bull markets have seen at least three 20% declines, and this pullback has not yet reached that level
The Block CEO Larry Cermak pointed out in The Scoop podcast that previous cryptocurrency bull markets have seen at least three 20% declines, stating: 'Even the recent decline has not reached 20%. In historical bull markets, this situation usually occurs once or twice, sometimes even three times. It can clear excessive leverage positions in the market and build momentum for the next rally.'
Larry Cermak added: 'Clearing excessive leverage is beneficial. Of course, bull markets often end this way.'
▌Santiment: When retail investors panic sell, whales and sharks buy on dips and trigger market rebounds
Cryptocurrency market research firm Santiment posted on the X platform that the cryptocurrency market further pulled back this week, causing panic among retail investors. Especially for Bitcoin and Ethereum, there has been significant panic selling from new traders who just entered the market in the past 2-3 months. These new traders have not previously experienced a moderate-sized pullback and are panicking in an unfamiliar foreign market environment. Historically, when retail investors panic and start selling, whales and sharks tend to seize the opportunity to buy more coins with less resistance, leading to a price rebound. This rebound may not happen immediately, but market conditions are moving in the right direction.
▌Virtuals Protocol's ecosystem tokens have broadly increased, with GAME seeing a 24-hour increase of 69.5%
Jinse Finance reports that the market shows a broad increase in Virtuals Protocol's ecosystem tokens, including:
AIXBT is currently quoted at $0.3324, with a 24-hour increase of 21.5%;
GAME is currently quoted at $0.2601, with a 24-hour increase of 69.5%;
LUNA is currently quoted at $0.1128, with a 24-hour increase of 32.3%;
Market fluctuations are significant, please ensure risk control.
▌Today's fear and greed index has risen to 73, remaining at the greed level
Today's fear and greed index has risen to 73, remaining at the greed level. Note: The panic index threshold is 0-100, including indicators: volatility (25%) + market trading volume (25%) + social media popularity (15%) + market surveys (15%) + Bitcoin's proportion in the overall market (10%) + Google hot word analysis (10%).
Important Economic Dynamics
▌The U.S. 10-year Treasury yield rose to 4.597%
The U.S. 10-year Treasury yield rose to 4.597%, the highest level since May 30.
▌The Federal Reserve will seek opinions on adjustments related to bank stress tests
The Federal Reserve stated on Monday that Wall Street banks will have the opportunity to comment on a series of adjustments to the Federal Reserve's annual bank stress tests. The Federal Reserve indicated that it would seek public input on the models used to determine losses and income that banks assume in stress situations; reform proposals also include averaging the results of two years of tests to reduce year-to-year variations in capital requirements caused by stress tests. The Federal Reserve stated in a press release: 'These proposed adjustments will not have a material impact on overall capital requirements.' The Federal Reserve analyzed the current stress tests and decided to adjust them to enhance resilience. Regulators plan to initiate a public comment process on potential adjustments to stress tests in early 2025.
Jinse Encyclopedia
▌What is Ripple Labs' RLUSD stablecoin?
RLUSD is a stablecoin developed by Ripple Labs, the organization behind the XRP cryptocurrency. RLUSD, or Ripple Labs USD, aims to provide a stable digital currency for transactions and trading. As a stablecoin pegged to the US dollar, 1 RLUSD is equivalent to 1 USD. Each RLUSD maintains a 1:1 peg. These collateral assets are either USD deposits or cash equivalents.
Disclaimer: Jinse Finance, as a blockchain information platform, provides articles for informational reference only and does not constitute actual investment advice. Please establish a correct investment philosophy and be sure to enhance risk awareness.
