Coinspeaker Tether Rolls Out USDT Payments for Philippines’ Social Security

Tether, the world’s leading stablecoin issuer, has introduced a new payment option allowing people in the Philippines to make contributions to the country’s Social Security System (SSS) using its stablecoin USDT. The move marks a pioneering step in integrating crypto into the Philippines’ public financial framework.

A New Era for the Social Security System

The SSS is a crucial state-run program that provides financial assistance to employees in both formal and informal sectors. It administers essential programs such as social security and employee compensation, aimed at offering support to Filipinos during times of need.

With Tether, residents of the Philippines can contribute to the program using its USDT stablecoin, which represents the world’s third largest crypto after Bitcoin (BTC) and Ethereum (ETH).

Tether said Monday that it partnered with local blockchain company Uquid, a renowned Web3 shopping and infrastructure firm, to enable USDT payments for SSS contributions on the TON blockchain.

Pay Social Security System contributions with USD₮ on @ton_blockchain via @uquidcard in Philippines🇵🇭 pic.twitter.com/8WJyNVH0ux

— Tether (@Tether_to) July 1, 2024

The Filipino-based firm is known for leveraging decentralized finance and blockchain technology to operate a decentralized commerce infrastructure platform that facilitates various crypto payment options for users within the Philippines.

Since its inception eight years ago, Uquid has built a user base of over 260 million. The platform serves both merchants and customers in diverse markets outside the crypto economy.

Together with Tether, both companies aim to enhance the accessibility and efficiency in financial transactions within the Philippines. Additionally, the use of USDT for social security payments will help streamline payment processes and reduce transaction costs.

It will also provide a secure and rapid alternative to traditional banking services.

Transforming Everyday Transactions

Commenting on the latest partnership, Tran Hung, CEO of Uquid described the latest collaboration with Tether as a “pivotal milestone in their efforts to integrate digital currencies into everyday transactions, particularly in enabling crypto micropayments”.

According to him, the collaboration aims to redefine convenience and accessibility in digital shopping, setting a new standard for the industry. Meanwhile, Tether has been in the business of streamlining cross-border and regional payments since its launch in 2014. Headquartered in the British Virgin Islands, Tether has significantly contributed to the growth of crypto payments worldwide.

Earlier this year, the company partnered with Ivorypay, a crypto-focused payment and remittance startup, to facilitate digital asset payments in Africa. The deal aims to ensure USDT is accessible for use across various countries on the continent.

Under the partnership, Tether will mint and distribute the stablecoin to Ivorypay while the company allows its users to access the digital asset for payments.

In April, Tether also collaborated with Telegram, integrating its payment feature into the social media platform to allow its 900 million global users to access USDT for payments.

This integration offers both merchants and non-business users on the platform the opportunity to pay for in-house items using the stablecoin.

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Tether Rolls Out USDT Payments for Philippines’ Social Security

Coinspeaker Bitcoin, Ethereum, Solana Outranks Traditional Assets in Latest EXPAAM Ranking

The newly released Exponential Age Asset Management (EXPAAM) data shows that digital assets like Bitcoin (BTC), Solana (SOL), and Ethereum (ETH) significantly outperformed several traditional assets. This outperformance is both for the long-term and Year-to-Date (YTD) period.

Traditional Assets Bleed amidst Crypto Surge

In a data table shared by the co-founder and CEO of Real Vision Raoul Pal, the EXPAAM table showed the performance of 16 assets. These were a mix of digital assets and their traditional counterparts. In terms of cumulative returns, Bitcoin was seen leading other digital assets as well as traditional assets like SPDR S&P 500 ETF Trust (SPY), Gold (GLD), Invesco QQQ Trust Series (QQQ), and iShares 20+ Year Treasury Bond ETF (TLT) amongst others.

The Latest EXPAAM performance tables are out. Crypto still comfortably leading both long-term and YTD. pic.twitter.com/JoWys1cX0W

— Raoul Pal (@RaoulGMI) July 1, 2024

A glance through each of the presented annualized returns underscores how well digital assets are performing. Noteworthy, this metric is a measure of how much an investment has increased on average each year during a specific period. Bitcoin has an annualized return of 140%, ETH came in at 149% and Solana led with a 214% surge in gains.

For these same metrics, none of the traditional assets performed half as well as any of the cryptocurrencies profiled. Invesco QQQ Trust Series, known to have the highest annualized return amongst traditional assets, registered only an 18% surge. The others, including gold, ranked between 1-8% with a significant number of years trading closer to the lower limit of the range.

SPDR Bloomberg 1-3 Month T-Bill ETF (BIL) comes off as one of the worst-performing assets with zero annualized returns. Unfortunately, the stock has been on a downtrend for the last 14 years, as seen on the EXPAAM ranking table. On the flip side, Invesco DB Commodity Index Tracking Fund (DBC) plunged downward to register a -1% annualized return.

Bitcoin and Ethereum Critics May Now Surrender

It is worth noting that amidst the consistent fluctuation that Bitcoin, Ethereum, and Solana have seen as ‘volatile’ assets, they have significantly outshone these other rivals.

This market outlook is bound to question the sentiments of critics like Peter Schiff who have constantly spoken against Bitcoin’s status as a “safe haven”. Schiff has not stopped comparing Bitcoin to gold, citing the periodic price surge that the latter usually experiences.

In May, healthcare firm Semler Scientific (NASDAQ: SMLR) made headlines after it announced its acquisition of $40 million worth of Bitcoins as part of its treasury. However, the renowned economist and gold proponent was quick to give his antagonist view about the acquisition. Schiff took to social media to share what he believes could be the negative impact of adopting a Bitcoin strategy.

With such growth outlined in the EXPAAM data, Schiff and his fellow crypto critics may not have many people listening to their anti-crypto opinions again. Consequently, the crypto industry could see more mainstream adoption in the long run.

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Bitcoin, Ethereum, Solana Outranks Traditional Assets in Latest EXPAAM Ranking

Coinspeaker CertiK Completes Migration of Blockchain Apps to Alibaba Cloud for Enhanced Security in Asia

Blockchain security firm CertiK has relocated its cloud infrastructure in Asia to Alibaba Cloud, the cloud computing arm of Alibaba Group. This strategic move aims to bolster the security and operational efficiency of CertiK’s blockchain applications across Asia.

This partnership marks an important step towards providing robust security solutions for Web3 projects based on the cloud. Web3 cloud services are crucial for enabling decentralized applications (dApps) to operate securely and efficiently across interconnected blockchain networks.

CertiK and Alibaba Cloud: Details of the Partnership

CertiK and Alibaba Cloud disclosed the specifics of their partnership in a joint press release issued in May 2023. With this arrangement, CertiK’s smart contract auditing and Layer 1 blockchain auditing services have been incorporated into Alibaba Cloud’s network.

This integration enables blockchain developers to streamline their development processes while ensuring the security of their projects using CertiK’s advanced Security Suite on Alibaba Cloud’s scalable and secure platform.

CertiK’s team will oversee deployments on Alibaba Cloud, providing support to developers and businesses in executing safe cloud computing, maintaining high-uptime storage on the cloud, and establishing resilient infrastructure. Continuous automated monitoring will uphold stringent security protocols.

CertiK will expand its offerings on Alibaba Cloud by adding penetration testing and the Skynet due diligence tool. These updates aim to provide complete security solutions for Web3 projects, ensuring they are well protected against potential vulnerabilities.

About CertiK

Founded in 2018, CertiK focuses on securing blockchain protocols and smart contracts. With audits conducted on over 3,500 blockchain projects, CertiK has become a leading name in blockchain security.

The platform was recently caught in the center of a controversy involving a white hat hack on Kraken. CertiK researchers discovered a critical vulnerability in Kraken’s Digital Asset Exchange, which allowed for potential double-spending. CertiK exploited the vulnerability at least 20 times over five days, claiming they were testing detection mechanisms.

While all funds were eventually returned, Kraken expressed displeasure over the incident, emphasizing the importance of responsible disclosure and immediate reporting of such issues.

Alibaba Cloud’s Web3 Partnerships

Alibaba Cloud is actively partnering with blockchain platforms to boost Web3 development in Asia and the Middle East. In 2022, they teamed up with the Avalanche blockchain, allowing developers to easily deploy new validator nodes on Alibaba’s cloud platform through its node-as-a-service program.

In addition, they’ve also partnered with the NEAR Foundation, which oversees the NEAR protocol, to accelerate Web3 expansion. This collaboration aims to speed up Web3 growth by using Alibaba Cloud’s developer ecosystem, simplifying the deployment process for NEAR validators using their infrastructure. Through these partnerships, Alibaba Cloud seeks to enhance its role in the Web3 space.

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CertiK Completes Migration of Blockchain Apps to Alibaba Cloud for Enhanced Security in Asia

Coinspeaker US Government Moves $11M in Seized Ethereum to Anon Address

The United States government was seen moving some Ethereum (ETH) to an unknown address earlier today. According to blockchain intelligence platform Arkham Intelligence, “0x05…e049”, an address associated with the US government transferred 3,375 Ethereum, worth about $11.75 million at the time the transaction was made.

Notably, a unit of ETH is now trading at $3,477.20 after a 2.55% increase in the last 24 hours.

Ethereum Loot Seized from Estonian Nationals

The ETH transfer was made to “0x5a…1871” at 16:34 UTC+8 on Monday. The US address holds the crypto assets that were confiscated from Estonian crypto entrepreneurs Sergei Potapenko and Ivan Turõgin. The two Estonian nationals were involved in a massive multi-faceted cryptocurrency Ponzi scheme in the form of a purported cryptocurrency mining service HashFlare.

Potapenko and Turogin allegedly deceived investors into parting with their funds by promising high returns through their crypto operations and related ventures.

Their illegal activities later caught the attention of the authorities and led to their arrest in November 2022. They faced an 18-count indictment filed in the Western District of Washington which includes a conspiracy to commit wire fraud, 16 counts of wire fraud, and one count of conspiracy to commit money laundering. Each of the entrepreneurs faced a maximum penalty of 20 years in prison on each count.

As with many other crypto scam cases, the United States government seized their loot and has since kept it in its custody. Before this seizure, the US government’s Bitcoin (BTC) holdings had amounted to a total of 216.788 BTC.

US Government Crypto Transfers Sparks Speculations of a Selloff

The recent ETH transfer is only one of the numerous transactions that the US government has processed in the last few weeks. Arkham Intelligence reported that another US government address that used to hold the seized funds, transferred 11.84 BTC to a new address “3KHnTq…muuso9”. The transfer was valued at $726,000 at the time.

While the transaction looks minor, it is speculated to be a preliminary test preceding a larger transfer. The new transfer of $11 million worth of Ethereum underscores speculators’ position. The frequency of these transfers suggests an imminent selloff that could further depress crypto prices. This bearish speculation comes as the transfers coincide with when the market is experiencing price volatility.

CryptoQuant CEO Ki Young Ju once attempted to alleviate fears associated with the US government’s Bitcoin sale. In his opinion, the transfers are not likely to impact on the market significantly due to the capacity of the receiving exchanges to handle enough liquidity.

On the other hand, Adam Back, co-founder and CEO of Blockstream strongly believes that such sales could potentially be beneficial for long-term Bitcoin buyers, widely known as “HODLers”.next

US Government Moves $11M in Seized Ethereum to Anon Address

Coinspeaker Hawaii Ends Money Transmitter License Requirement for Crypto Firms

Crypto busine­sses in Hawaii can now operate without ne­eding the state’s Mone­y Transmitter License (MTL) starting June­ 30, 2024. The strategic move follows the­ conclusion of the Digital Currency Innovation Lab (DCIL), a collaborative proje­ct by the Hawai‘i Department of Comme­rce and Consumer Affairs (DCCA) since 2020.

The­ DCIL acted as a regulatory sandbox that allows crypto firms to test and ope­rate under controlled conditions, he­lping the DCCA to understand industry ne­eds and adjust regulations accordingly. After a thorough e­valuation, the DCCA found that crypto activities didn’t fit well unde­r the existing MTL framework.

“The companies will be able to continue transaction activity as an unregulated business,” said the­ DCCA in a press release­. However, this free­dom comes with a condition: Hawaii-based crypto firms must still follow fede­ral regulations from FinCEN, SEC, and FINRA. These rule­s include protections for consumers, Anti-Mone­y Laundering (AML) protocols, and other nece­ssary protections.

Hawaii Eases MTL Rules

Previously, obtaining an MTL in Hawaii, as in most American states, was a complex and resource-intensive process. It involved maintaining specific permissible investments, demonstrating a minimum net worth, crafting a detailed business plan, and implementing a robust compliance program. 

As Dilendorf Law Firm points out, MTL requirements vary significantly across states, leading to inconsistencies and hindering business growth. This move by Hawaii could pave the way for a more streamlined approach to crypto regulation nationwide.

Industry leaders like Alchemy Pay, a prominent crypto payment gateway, have actively sought MTL licenses across multiple states. The removal of this requirement in Hawaii may encourage similar firms to establish a presence there, fostering innovation and competition within the state’s crypto ecosystem.

Consumer Protection Remains Paramount

While stre­amlining operations for crypto businesses, the­ DCCA is also dedicated to protecting consume­rs. DCIL Banking Commissioner Iris Ikeda emphasize­d the importance of raising public awarene­ss about risks associated with cryptocurrencies. The­ DCCA intends to prioritize educational e­fforts to inform residents about potential pitfalls.

This announce­ment coincides with a rece­nt FBI warning about a new crypto scam targeting past victims. The FBI advise­s the public to be cautious when e­ncountering ads for crypto recovery se­rvices, protect their private­ information, and avoid sending money to suspicious entitie­s, showing the ongoing need for vigilance­ alongside regulatory changes.

The­ future of crypto regulation in Hawaii remains to be­ seen. While this move­ removes a major obstacle for crypto firms, the­y still bear the responsibility of complying with fe­deral regulations and protecting consume­rs.

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Hawaii Ends Money Transmitter License Requirement for Crypto Firms

Coinspeaker Ripple-partner SBI Holdings Debuts NFT Services on XRPL, XRP Trading Volume Spikes

SBI Holdings, a financial services company based in Tokyo, Japan, announced non-fungible token (NFT) services on the XRP Ledger, the open-source blockchain created by American fintech firm Ripple, resulting in a surge in the trading volume of the native token of the blockchain XRP.

According to the official announcement from SBI Holdings, a long-time partner of Ripple and also the sponsor of the “EXPO 2025 Digital Wallet” project at the World Expo, starting July 1, users will be able to collect the NFTs, nicknamed “Myaku N!” on the EXPO2025 Digital Wallet, a wallet service provided at the Expo, which is to be held in Osaka/Kansai, as per Google Play Store data. The Play Store description also reads:

“The wallet includes several cashless services such as ‘MYAKU-PE!’ which is a payment service that can be used inside and outside the Expo venue, ‘MYAKU-PO!’ which are reward points earned by participating in Expo-related programs, ‘MYAKU-N!’ which is a reward program with expo-specific NFTs, and the status program, which gives users rewards based on digital wallet usage.”

The minting of the World Expo 2025 NFTs has started on the XRP Ledger, and users can download the official application from the Apple App Store or the Google Play Store and begin receiving the free NFTs on their wallets. However, it is important to note that the NFT service is only limited to 500 users.

Users will also have the option to rare NFTs and create NFTs, but these tokens are commemorative and, as a result, cannot be transferred or sold. SBI VC Trade, the company’s crypto exchange arm, and SBINFT, the firm’s NFT arm, will cater the service to 28.2 million people who are supposed to visit the Expo in 2025.

SBI Holdings also added that the NFTs, which are a part of the Expo, won’t be visible after October 13, 2025, as the Japanese financial services firm will shut down the EXPO 2025 Digital Wallet after that. Users will also be able to see the tokens in real time using the NFT explorer Bithomp.

The NFTs will be collected as a part of the “MyakuMyaku Reward Program”, depending on the hierarchy of a wallet. Users can improve their standings by participating in various actions taking place at the Expo, including charging “Myakupe!” the Expo’s electronic money.

Surge in XRP Trading Volume

The trading volume of the XRP token surged 67.32%, currently standing at $713 million. Meanwhile, the price of the altcoin is up 1.82% in the past 24 hours, valued at $0.4809 at the time of writing. However, the cryptocurrency is still 87.53% lower than its all-time high of $3.84 witnessed by investors on January 4, 2018.

Moreover, the digital asset has been up only 0.96% in the past seven days, followed by a 7.51% decline in the last 30 days. Since July 2023, XPR went up only 1.97%, being outperformed by the likes of Solana (SOL), which surged almost 700% in that duration. On the other hand, Cardano (ADA) also went up 38.31% since July 2023.

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Ripple-partner SBI Holdings Debuts NFT Services on XRPL, XRP Trading Volume Spikes

Coinspeaker Ethereum Records Worst Weekly Outflows since August 2022, ETF Excitement Fades?

Popular digital assets management platform CoinShares published a report stating that the digital assets investment products witnessed the third consecutive week of outflows totaling $30 million.  However, in contrast to the previous weeks, most crypto investment products saw mintor inflows which was offset by Grayscale seeing $153 million outflows. Interestingly, it turns out Ethereum products saw the highest outflows in nearly two years since August 2022, totaling $61 million. Over the last two weeks, the ETH product outflows have now crossed $119 million. This also makes Ethereum the worst-performing asset year-to-date in terms of net flows.

Many were actually predicting the approval of the spot Ethereum ETF this week by July 4. However, late Friday, June 28, the US Securities and Exchange Commission (SEC) returned the form S-1 to the issuers asking them to refile it on July 8. Thus, it would further delay the approval process either to mid-July or July end.

The delay leaves Ethereum holders in uncertainty. ETFstore President Nate Geraci previously mentioned that the latest round of S-1 revisions was relatively minor, suggesting that regulators might approve issuers for trading within the next 14-21 days. Although the exact timeline remains uncertain, the SEC has hinted at a potential launch this summer.

However, the recent funds flow report from CoinShares said that the spot Ethereum ETF turned out to be a ‘Sell the News’ event.

Trading Volumes See an Uptick but Remain Below the Yearly Average

Trading volumes rose by 43% week-on-week to $6.2 billion but remain well below the $14.2 billion weekly average for the year so far.

Region-wise, the US experienced inflows of $43 million, while Brazil and Australia witnessed inflows of $7.6 million and $3 million respectively. On the other hand, there was strong negative sentiment in Hong Kong, Germany, Canada, and Switzerland, with outflows to the tune of $10 million to $30 million.

Multi-asset and Bitcoin ETPs led the inflows with $18 million and $10 million, respectively. Short-Bitcoin also saw a rise in outflows totaling $4.2 million last week, suggesting a potential shift in sentiment. A range of altcoins, including Solana ($1.6 million) and Litecoin ($1.4 million), also experienced inflows.

Despite the positive sentiment for digital assets in 2024, blockchain equities have suffered outflows of over half a billion dollars, representing ~20% of the AUM.

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Ethereum Records Worst Weekly Outflows since August 2022, ETF Excitement Fades?

Coinspeaker Singapore Raises Alarm on Terrorism Financing Risks in Digital Payments

In the latest release by the Singaporean authorities on national terrorism financing risk, they have been able to spot several vulnerabilities that terrorist groups could exploit through digital payment systems. The assessment, which was carried out by the Ministry of Home Affairs, Ministry of Finance, and Monetary Authority of Singapore, revealed that the risk level for digital payment tokens (DPT) has increased from medium-low to medium-high.

Digital Payment Tokens: A New Frontier for Terrorist Financiers

The report revealed that DPTs have become the new tool for terrorist financiers (TF) to transfer funds across borders. The bad actors use services provided by digital payment service providers (DPTSPs) to collect digital payment tokens, and once these tokens have been received, they are then transferred through multiple transactions in a short period. However, it was noted that there had not been any known cases of terrorism financing using DPT, yet the growing use of the service is a worry.

The features of digital payment tokens make them a concern to the Singaporean authorities, as it is also an attractive option for people financing terrorism. These features include the anonymity they offer, as well as the speed and cross-border nature of transactions facilitated by the service providers. They stated:

“While there are no known domestic TF cases involving DPTs, Singapore is cognisant of the higher TF risks originating from the increasing presence of DPT service providers. The higher TF risks are driven by the anonymity, speed, and cross-border nature of transactions facilitated by DPTSPs.”

Singapore’s Five-Pronged Strategy to Combat Terrorism Financing

To combat the activity of those funding terrorism, the Singapore authorities will be executing a five-pronged national strategy for CFT, which includes:

Carefully understanding the risk involved.

Having strong laws and sanction systems in place.

Establishing strict regulations that are closely followed.

Taking firm action to enforce the laws and regulations.

Working closely with other countries around the world.

They stated:

“Singapore will continue to partner with industry players to implement strategies and measures to tackle TF threats. We will also closely collaborate with foreign counterparts, international organizations, and standard-setting bodies, such as the Financial Action Task Force.”

These new ways of moving money quickly across borders and raising money online have become a concern. The growth of the digital economy during the pandemic has made these new ways of moving and collecting money a bigger risk based on the authorities report.

The assessment is a broader approach by the Singapore authorities to reduce emerging risks in its finance ecosystem; before now, it has also broadened its crypto regulation to impose protection on users using digital payment service providers. Thus, the continued scrutiny by the financial authority is to safeguard the nation against the threat of terrorism funding.

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Singapore Raises Alarm on Terrorism Financing Risks in Digital Payments

Coinspeaker Pump.fun Meme Coin Launchpad Surpasses $50M in Revenue

Simplicity often wins the day in the crypto world. Solana-based meme coin launchpad Pump.fun has proven this, crossing the $50 million revenue milestone. According to DefiLlama data, the platform has generated over $598,000 in revenue in the last 24 hours alone.

Launched in January this year, Pump.fun has quickly risen to prominence amid the meme-token craze. Its user-friendly interface and Solana’s low transaction fees have attracted a slew of political-themed cryptocurrencies and celebrity tokens. According to Dune Analytics, over 1.18 million memecoins have been deployed via Pump.fun, although daily fees have recently dipped due to unfavorable market conditions.

Pump.fun’s revenue model is straightforward: a 1% fee on trades and a two SOL fee when tokens reach sufficient liquidity to be listed on Raydium, a decentralized exchange on the Solana blockchain. This model has driven the Solana ecosystem’s substantial user engagement and transaction activity.

Celebrity involvement has also fueled Pump.fun’s rise. Last month, Caitlyn Jenner launched her own token JENNER on the platform, heavily promoting it. JENNER’s value soared to $43.6 million shortly after launch but has since fallen by over 85%.

Pump.fun’s commitment to fair launches is a major selling point. All tokens on the platform are launched without presales or team allocations, a setup designed to prevent rug pulls. This provides traders with a secure and trustworthy environment.

Initially, a meme coin trades exclusively to Pump.fun, with a market cap of $4,000. Once a token’s market capitalization reaches around $60,000, the platform will automatically close trading and will be migrated to Raydium.

Rising Scams

Interestingly, Pump.fun is not without its share of scams. The low cost of releasing tokens on the platform results in a flood of fraudulent activities, with an estimated 95% of tokens launched being scams.

One prevalent scam type is the “Simple Dev Dump. On Pump.fun, the developer’s wallet is visible, making it easy for developers to manipulate the market. In this scam, the developer buys 5-6% of the tokens for the dev wallet and then dumps them before reaching Raydium. This dumping can occur within five minutes or just before the token is listed on Raydium.

Another scam involves dumping when achieving the “King of the Hill” (KOTH) status. As the developer sells off their tokens, panic ensues, leading to a mass sell-off as other traders race to exit first. This turns into a PVP (player versus player) scenario where the goal is to offload the tokens before the price plummets.

Pump.fun’s success has spurred competition. Crypto data aggregator Dexscreener recently launched a rival Solana-based memecoin launchpad named Moonshot, which has already accumulated nearly $500,000 in its debut week.

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Pump.fun Meme Coin Launchpad Surpasses $50M in Revenue

Coinspeaker German Government Continues with Bitcoin Dump, Transfers Over $94M Worth of BTC to Exchanges

The German government continued with its recent Bitcoin (BTC) selling spree on Monday, July 1. According to on-chain data, the German government sent more than 1.5K Bitcoins, worth more than $94 million, to different exchanges on Monday during the early European session.

The German government has joined other crypto whales in accelerated sell-offs. Moreover, crypto investment products have so far registered three consecutive weeks of cash outflows. Already, the Bitcoin miners’ capitulation level has reached the lowest level since the FTX collapse. Additionally, the United States government has been cited selling its seized crypto holdings in the past few days.

German Government and Bitcoin Holdings

According to on-chain data, the German government currently holds about 44.692K Bitcoins, worth around $2.8 billion. In the past 24 hours, the Bitcoin address associated with the German government sent several hundreds of BTCs to Bitstamp, Coinbase Global Inc (NASDAQ: COIN), and Kraken.

As Coinspeaker previously reported, the German government has been on a market dump in the past few weeks. Precisely, the German government has offloaded more than 2.7K Bitcoins in the past two weeks.

The German government first acquired the 50K Bitcoins following a major seizure back in 2013 involving Movie2k.to, a defunct film privacy website.

The country has gradually adopted Web3 and digital assets to bolster its economic status, a similar move to other countries. Furthermore, the Web3 space has significantly reduced unemployment in most countries that have enacted clear crypto regulations.

Additionally, more global investors are willing to dabble down into the web3 sector to tokenize real-world assets (RWA) and reach more markets.

Market Impact

The continued Bitcoin sales by the German government have weighed heavily on BTC’s bullish sentiment. The flagship coin has moved from hovering around $70K in the past few weeks to around $61K in the past few days.

However, as Coinspeaker reported, Bitcoin price is on a bullish trajectory after the six-month candle closing above $62K for the first time in its history. The long-term demand for Bitcoin has helped it consolidate in a bullish flag in anticipation of further gains ahead.

Moreover, most crypto analysts believe Bitcoin price is well positioned to close above $100K this year fueled by institutional investors. The US-based spot Bitcoin ETFs have begun accumulating more coins after a shake-off period that saw accelerated sell-offs.

The fact that the German government has held on its Bitcoin holdings for more than a decade is a bullish signal. More countries led by the United States and China still hold a significant amount of their initial Bitcoin holdings.

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German Government Continues with Bitcoin Dump, Transfers Over $94M Worth of BTC to Exchanges

Coinspeaker Brokerage Firm Hidden Road Accepts BlackRock’s BUIDL Token, Integrates Major Exchanges

Hidden Road, a leading credit network for institutional crypto trading, has come out with a double-edged strategy. The brokerage platform confirmed in a Monday press release that it is integrating major cryptocurrency exchanges, and will also start accepting BlackRock’s BUIDL token as collateral across its network.

Hidden Road Seeks to Maximize Returns with Interest-Earning Collateral

According to the Monday announcement, Hidden Road will immediately add some major crypto exchanges to its prime brokerage platform. Among the list is Coinbase International Exchange, a step further in its 2022 partnership with Coinbase. It will also add Bitfinex, OKX (including Nitro Spreads), options powerhouse Deribit, Bitfinex, SIX Digital Exchange, AsiaNext, and Bullish.

Overall, this expansion seeks to grant institutions easy access to a wider range of crypto trading opportunities.

Notably though, the key game-changer in Hidden Road’s recent double announcement is its expanded use of BlackRock’s BUIDL token. Without a doubt, high-interest rates have gradually become the norm. So, institutions that trade large volumes of digital assets, sometimes worth hundreds of millions, can now leverage BUIDL’s earning potential. These tokens, representing BlackRock’s money market fund, offer a virtually risk-free way to earn approximately 5% interest.

In his explanation, Hidden Road’s global head of business development Michael Higgins suggested that holding a non-interest-bearing asset would no longer be attractive as clients can now use BUIDL for both collateral and interest.

Cross-Margining with BUIDL

Building upon their existing partnership with the Chicago Mercantile Exchange (CME), Hidden Road is now able to offer cross-margining and margin financing for digital assets like BUIDL. This means institutions can post BUIDL as collateral and receive dollar financing on the CME, earning interest on their BUIDL tokens even while using them for margin.

Higgins noted that before now, Bitcoin was the only option for collateral on the CME. However, that is set to change as institutions can now earn interest while accessing margin financing. According to the company executive, this benefit is unique to Hidden Road. His statement reads partly:

“As far as we know, we are the only clearing firm that allows customers to post digital assets as margin to trade on the CME.”

Without a doubt, Hidden Road is fast establishing itself as a prominent solution for institutional crypto trading. The addition of new exchanges, liquidity providers, and software vendors, at least, suggests so.

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Brokerage Firm Hidden Road Accepts BlackRock’s BUIDL Token, Integrates Major Exchanges

Coinspeaker Wealth Management Platform Abra Launches Crypto Treasury Services for Corporates

In a press release on Monday, July 1, the digital asset prime services and wealth management platform Abra announced the launch of Abra Treasury, which aims to provide crypto custodial services to corporates willing to hold crypto on their balance sheet.

The SEC-registered investment advisor Abra Capital Management will be operating this service. It will provide family offices, corporates, and non-profits with a range of digital asset treasury management solutions.

Interestingly, the offering by Abra Treasury will combine trading, borrowing, custody, and yield services. It will also provide a separately managed client account allowing them ownership and retain title over their digital assets, said the company.

The development comes as there’s a growing demand among corporates to seek exposure to digital assets amid rising macro uncertainty. Additionally, rising inflationary pressure and rising geopolitical tensions have also forced some corporate treasurers to consider adding Bitcoin as a reserve asset to their balance sheet. Speaking on the development, Marissa Kim, head of asset management at Abra Capital Management said:

“A sign of adoption and institutionalization of the digital asset industry has been the increase in non-crypto-native businesses showing interest in using bitcoin as a treasury reserve asset. We are increasingly seeing clients that are business owners and CEOs of small to medium-sized businesses (SMBs), in particular real estate companies, with interest in buying BTC for their treasury or borrowing against BTC to finance business needs or real estate projects, which we did not see last cycle.”

Abra recently faced some regulatory challenges for operating its mobile application without proper licensing. As a result, Abra founder Bill Barhydt had to settle with 25 state financial regulators and pay a sum total of $82.1 million in crypto to US customers in the settling states.

Corporate Adoption of Crypto

In the US companies like MicroStrategy have already started adopting Bitcoin as part of the company’s reserves. Over the last four years, MicroStrategy has acquired a total of 226,331 Bitcoins.

However, companies across the world have been slowly considering a move in a similar direction. Over the last two months, Japanese public-listed firm Metaplanet has been buying Bitcoins as part of the company’s reserves. Earlier today, Metaplanet announced the acquisition of 200 million yen worth of BTC taking its Bitcoin holdings to more than 161.

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Wealth Management Platform Abra Launches Crypto Treasury Services for Corporates

Coinspeaker LayerZero CEO Dismisses Claims of Critical Vulnerability as ‘Baseless’

In a series of heated exchanges on X (formerly Twitter), LayerZero Labs’ co-founder and CEO Bryan Pellegrino dismissed claims of a critical vulnerability in the LayerZero protocol as “entirely baseless”.

The controversy began when pseudonymous blockchain security researcher 0x52 disclosed what he claimed to be a critical flaw in LayerZero’s messaging protocol. Since then, 0x52 has deleted his original tweet and apologized for the false alarm.

I have deleted my prior posts. I should have further validated all aspects before posting.

Apologies to @LayerZero_Labs. Many thanks to @PrimordialAA for doing what I failed to do and for correcting my mistake.

— 0x52 (@IAm0x52) July 1, 2024

Details of the Alleged Vulnerability

0x52’s revelations stemmed from his audit of the UXDProtocol under the SherlockDefi audit program. He claimed that LayerZero’s endpoint contract, which handles messages between protocols, didn’t limit the size of messages or destination addresses.

He warned that a hacker could send a message with a very large destination address, causing errors and potentially stopping communication between different blockchain networks. This could lead to significant financial losses for affected protocols.

According to 0x52, this vulnerability could affect many protocols using LayerZero, especially those involving both EVM (Ethereum Virtual Machine) chains and non-EVM chains like Solana, which use different address sizes.

LayerZero CEO’s Response and Design Philosophy

In response to 0x52, Pellegrino countered by saying that the ability to configure payload limits is a deliberate design choice. He explained that enforcing a fixed limit could allow censorship, which goes against LayerZero’s goal of creating a censorship-resistant system.

Not only is this not a bug, this is by design in the protocol

Any messaging protocol that enshrines this configuration can now censor any application. You cannot have one without the other. We believe in censorship-resistant technology rails.

— Bryan Pellegrino (臭企鹅) (@PrimordialAA) July 1, 2024

Pellegrino further clarified that the code referenced by 0x52 dates back to 2022 and pertains to application configuration, not the core protocol. He stated that the payload size limit is part of the app’s security settings and can be adjusted by the app itself. Pellegrino noted that if an app couldn’t override this configuration, LayerZero could potentially block application messaging by setting the payload limit to zero, which would contradict the protocol’s design principles.

Pellegrino encouraged skeptics to fork and test the system themselves, insisting that the issue could only occur if an application specifically opted to configure it that way, similar to how an individual application on Ethereum might have bad contract configurations.

As LayerZero continues to develop, this discussion highlights the need for constant scrutiny of their security protocols.

ZRO Token Launch Faces Mixed Reactions

LayerZero Labs remains confident in the strength and reliability of its cross-chain interoperability technology, which allows smart contracts on different blockchains to communicate and transfer value across isolated decentralized networks.

Recently, LayerZero started distributing its native ZRO tokens through an airdrop. Major crypto exchanges like Binance and Upbit have listed ZRO, but the launch was met with mixed reactions. Many participants were disappointed with the airdrop rewards. As of now, ZRO is trading at around $3.5, a 15% drop since its launch.

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LayerZero CEO Dismisses Claims of Critical Vulnerability as ‘Baseless’

Coinspeaker Gemini Strikes 5-Year Sponsorship Deal with Real Bedford FC

Popular New York-based crypto exchange Gemini has inked a five-year sponsorship agreement with Real Bedford FC, the football club co-owned by renowned podcaster Peter McCormack.

According to a recent report, the entire sponsorship payment will be made in Bitcoin and placed directly into Real Bedford’s Bitcoin treasury. Notably, the club has fully incorporated Bitcoin into its financial processes. This allows players to accept cryptocurrency payments and fans to use Bitcoin to purchase tickets and products.

“By integrating Bitcoin into our treasury, we have achieved a +62% return, thereby strengthening the club’s financial position and protecting our cost base against the recent surge in inflation,” McCormack said in a statement.

The Bitcoin treasury protects the club’s cash and investments from rising inflation. As per the announcement, it will also help fund the construction of a new training center and the launch of a youth football academy aimed at underprivileged children in Bedford, a town in Bedfordshire, England, where McCormack resides.

This new agreement extends Gemini’s commitment to the club, ensuring that the exchange’s logo will be prominently displayed on the team’s uniforms and around the pitch.

Notably, in April this year, Gemini founders and twins Tyler and Cameron Winklevoss-owned investment firm Winklevoss Capital invested $4.5 million in the club. This investment made the Winklevoss twins co-owners of the club alongside McCormack, who acquired Real Bedford in 2022.

The Winklevoss twins have also been active on the political front. On June 20, the billionaire brothers pledged a total of $2 million in Bitcoin donations to support Republican presidential candidate Donald Trump’s 2024 campaign. Tyler Winklevoss criticized the Biden administration’s handling of crypto market regulations during his tenure.

Football and Crypto

The COVID pandemic caused a significant financial strain on football clubs, with lost revenue streams. In response, the cryptocurrency sector has provided a much-needed financial lifeline.

Crypto exchanges and football have created several big partnerships in recent years. In 2023, Spanish striker David Barral made headlines when his transfer from Real Madrid to DUX International de Madrid was paid for with Bitcoin. This marked the first time a football transfer deal was funded using cryptocurrency.

Several clubs, including Crawley Town FC, have turned to innovative solutions like non-fungible tokens (NFTs) and digital collectibles to generate funds and maintain fan engagement. In May, renowned Portuguese footballer Cristiano Ronaldo partnered with Binance to launch a limited edition NFTs.

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Gemini Strikes 5-Year Sponsorship Deal with Real Bedford FC

Coinspeaker Alibaba’s Fintech Arm Ant Digital Expands Capital for Blockchain Push

Alibaba’s fintech arm, Ant Group, is signaling its continue­d commitment to blockchain technology with a significant capital injection into two of its blockchain subsidiarie­s. The strategic move come­s despite China’s ongoing ban on cryptocurrency transactions, showing the­ country’s distinction between crypto and blockchain te­chnology.

Ant Blockchain Technology recently incre­ased its registere­d capital from 100 million yuan ($13.9 million) to a whopping 1.5 billion yuan ($206.4 million). Founded in Decembe­r 2018, this subsidiary focuses on software deve­lopment, hardware retail, and information te­chnology services relate­d to the blockchain.

This capital increase isn’t an exce­ption. Another subsidiary, Ant Chain (Shanghai) Digital Technology Co., also saw a significant increase­ in its registered capital, rising from 100 million yuan to 2.1 billion yuan ($288.9 million).

Ant Group’s Blockchain Push

While China re­mains firm in its ban on cryptocurrency transactions, the country continues to e­mbrace blockchain technology as a foundation for innovation in areas like­ digital identity, supply chain management, and cross-borde­r payments. This stance opens up significant opportunitie­s for domestic tech giants like Ant Group and Te­ncent to develop the­ir own blockchain solutions.

Ant Group’s commitment to blockchain extends be­yond capital injections. In July 2020, the company launched its de­dicated blockchain brand Ant Chain. This brand focuses on providing ente­rprise-grade blockchain solutions for various industries.

Furthe­r expanding its global footprint, Ant Digital Technologies de­buted its overseas blockchain brand ZAN in Se­ptember 2023. ZAN aims to cater to the­ specific needs of inte­rnational markets, offering tailored blockchain solutions for global busine­sses.

Ant Digital’s Collaborative Expansion

Ant Digital Technologie­s’ involvement doesn’t stop at the­ir own brands. The company actively participates in foste­ring the broader blockchain ecosyste­m. In May 2024, Ant Digital Technologies joined the­ blockchain industry community established by Hong Kong. This collaborative e­ffort aims to develop solutions for wholesale­ central bank digital currency (CBDC) and tokenization.

By strate­gically increasing its subsidiaries’ capital and actively e­ngaging in the blockchain landscape, Ant Group is positioning itself as the­ leader in China’s burgeoning blockchain industry. This move­ shows the pote­ntial of blockchain technology to revolutionize various se­ctors within the country and potentially influence­ the global landscape.

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Alibaba’s Fintech Arm Ant Digital Expands Capital for Blockchain Push

Coinspeaker Binance Adds Monitoring Tags to Balancer, SUN, Status, and Others, Here’s Implication

Top cryptocurrency exchange Binance has announced the expansion of tokens on its monitoring tags page.

The tokens bearing this tag now include Balancer (BAL), Cortex (CTXC), PowerPool (CVP), Convex Finance (CVX), Dock (DOCK), Kava Lend (HARD), IRISnet (IRIS), MovieBloc (MBL), Polkastarter (POLS), Status (SNT) and Sun (SUN). This is in addition to the removal of Enzyme (MLN) and Horizon (ZEN).

Binance Monitoring Tags: Product of Proactive Review

The exchange decided to extend its monitoring tag after a thorough review. It is worth noting that the tokens that make it to the Binance monitoring tag list are those that exhibit higher volatility and risks when compared to their listed counterparts. However, they do not remain on the list forever, especially after a regular review.

The review is usually based on a few criteria including the commitment of the team to the project, level and quality of development activity, trading volume, and liquidity. It also involves stability and safety of the network from attacks and the network/smart contract stability amongst others. Upon close monitoring, tokens that fall short of Binance standards are immediately removed from the list while those that meet the criteria are also added.

“Keep in mind that tokens with the Monitoring Tag are at risk of no longer meeting our listing criteria and being delisted from the platform,” the cryptocurrency exchange informed its users on Monday, July 1.

“Binancians” who are interested in gaining access to the tokens with monitoring tags are required to pass a designated quiz every 90 days on the Binance Spot and/or Binance Margin platforms. The quizzes were added to ensure that users are aware of the risks involved in plunging their investments in the listed tokens with monitoring tags. These users will also need to accept the Terms of Use of the platform.

Apart from the corresponding Binance Spot and Binance Margin trading pages, users can also find the monitoring tags on the Markets Overview page. One way to identify the tokens with the monitoring tags is the display of a risk warning banner.

Binance Delists OMG, XEM, and WNXM

Binance has been carrying out a lot of this type of restructuring in recent weeks amidst the regulatory challenges it is facing. Almost a month ago, the exchange announced the removal of OMG Network (OMG), NEM (XEM), and Wrapped NXM (WNXM) from its spot and margin outlets. The tokens were later delisted at 03:00 UTC on June 17.

OMG, XEM, and WNXM were delisted for failure to meet industry standards and requirements. Holders of these tokens still have until September 17 to withdraw their tokens from the platform. Markedly, Binance had already delisted the tokens from Binance Simple Earn, Finance Auto-Invest, and Binance Loans weeks before it officially announced the delisting date.

More such actions are likely to come up in the second half of 2024.

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Binance Adds Monitoring Tags to Balancer, SUN, Status, and Others, Here’s Implication

Coinspeaker Ethereum Explores Solutions to Make Transaction Confirmation Faster

Ethereum co-founder Vitalik Buterin released a statement in a blog post stating how his company is working hard to improve its user experience and make the network faster by reducing its confirmation times to 5 to 20 seconds. One of the main solutions Ethereum proposes to address the speed issue is the single slot finality (SSF) for transaction confirmation.

This approach tries to change the current slot-and-epoch system by making it more like the Tendermint system, where one block is locked before the next one is created. The main benefit of SSF is that it speeds up how long it takes for a transaction to be considered final, potentially down to just 12 seconds.

The SSF has its own challenges, and the problem is that it might require every individual staking ETH to send messages every 12 seconds, which could put a lot of load on them. To fix this, Buterin proposed using the Orbit SSF. Orbit SSF aims to reduce the number of validators that need to sign off on each block. He said that although this approach could make the ‘finality’ faster, users will still have to wait for 5 to 20 seconds. He stated:

There are clever ideas for how to mitigate this, including the very recent Orbit SSF proposal. But even still, while this improves UX significantly by making “finality” come faster, it doesn’t change the fact that users need to wait 5-20 seconds.

Complementary Solutions: Rollups and Preconfirmations

Aside from the single slot finality, Ethereum is also working on other solutions to speed up its network, which includes the Rollup Confirmation. Ethereum possesses both the layer one and the layer two blockchain. The L2 users can build their own decentralized sequencing network, thereby providing users with faster confirmation times.

Another solution proposed to solve this issue is Based Preconfirmation, which is poised to leverage the block proposer by offering them a special service to give users preconfirmations of their transactions.

The blockchain company is faced with the challenge of balancing decentralization and user experience. Buterin further said that should the blockchain network implement SSF, the Orbit-like techniques will reduce the number of validators. This will also help the network further achieve its goal of reducing its current staking minimum of 32 ETH. He stated:

“Suppose that we implement single slot finality. We use Orbit-like techniques to reduce the number of validators signing per slot, but not too much, so that we can also make progress on the key goal of reducing the 32 ETH staking minimum. As a result, perhaps the slot time creeps upward, to 16 sec. We then use either rollup preconfirmations, or based preconfirmations, to give users faster assurances.”

The co-founder acknowledged the complexity the block proposal could face in the new upgrade. However, he affirmed that the company will continue working on creating more options for its users.

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Ethereum Explores Solutions to Make Transaction Confirmation Faster

Coinspeaker Sony Group Enters Crypto Exchange Arena via S.BLOX, Formerly Amber Japan

Sony Group Corp, a top-tier Japanese multinational conglomerate, has officially ventured into the crypto exchange field. According to the announcement, Amber Japan Co Ltd, a cryptocurrency exchange company formerly called DeCurret Inc, officially changed its name to S.BLOX Co Ltd on July 1, 2024. As a result, the WhaleFin crypto trading service will undergo a series of changes to fit in with the other subsidiaries of Sony Group.

Notably, Sony Group acquired Amber Japan in August 2023 through its wholly-owned subsidiary Quetta Web Co. for an undisclosed amount. The Sony Group subsidiaries will significantly benefit from the S.BLOX crypto exchange amid the ongoing mainstream adoption of digital assets.

“In addition to redesigning the UI screen, the renewal of WhaleFin will include the release of a new app to provide an easier-to-use service. We also plan to further expand the supported currencies and functions… As a member of the Sony Group, we will work to create new added value in cryptocurrency trading services by collaborating with the group’s diverse businesses,” the announcement noted.

Sony and Web3 Venture

Sony Group has significantly increased its web3 and digital assets exposure in the last few years amid the changing regulatory landscape and heightened demand globally. Earlier on Monday, Sota Watanabe, founder and Chief Executive Officer of Startale Labs, revealed that the company’s external director will lead Sony Group’s S.BLOX crypto exchange.

Here is the Japanese article. If you may know, the head of web3 who is going to lead exchange at Sony is our external director of the company. We have made a plan of the chain layer 1.5 years ago and we entered the execution phase.https://t.co/vKKaZkQ8oV

— Sota | Astar + Startale (@WatanabeSota) July 1, 2024

As Coinspeaker previously reported, Sony Network Communications, one of the subsidiaries of Sony Group, announced a strategic partnership with Astar Network last year to unveil a Web3 incubation program for NFT and DAO projects.

Earlier this year, Sony Bank, another subsidiary of Sony Group, planned to initiate a stablecoins experimentation on the Polygon (MATIC) network.

The Sony Group company intends to edge its competition ahead through the adoption of web3 protocols and digital assets. Moreover, digital assets and web3 projects have shown great potential to revolutionize the global social, and financial systems.

Changing Regulatory Scope

The Japanese government has in the past few years enacted clear crypto regulatory laws to enable a sustainable adoption of digital assets and web3 protocols. The Japanese government has tapped the Web3 space and digital assets to bolster its non-performing economic status amid heightened global competition.

For instance, the Japanese government has already passed clear stablecoins regulations to attract more institutional investors into the space. The Japanese Web3 community intends to hold this year’s WebX event at the Prince Park Tower Tokyo in August, with Prime Minister Fumio Kishida scheduled as one of the speakers.

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Sony Group Enters Crypto Exchange Arena via S.BLOX, Formerly Amber Japan

Coinspeaker Bitcoin Price Jumps 4% Breaking Out of June Downtrend, What’s Ahead in July?

As we finish the first half of the year and step into July, the world’s largest cryptocurrency Bitcoin (BTC) has given a strong breakout surging by 4% and shooting past all the way to $63,000. After strong sideways movement throughout Q2 following April’s Bitcoin halving event, analysts are hopeful for BTC price to resume the uptrend starting in July.

Popular crypto analyst Ali Martinez has highlighted that, historically, whenever Bitcoin has ended June on a downtrend, it has bounced back nicely in the subsequent month of July. According to Martinez, Bitcoin has demonstrated an average return of 7.98% and a median return of 9.60% during July.

Historically, when #Bitcoin has had a negative June, it tends to bounce back strongly in July. In fact, $BTC has shown an average return of 7.98% and a median return of 9.60% during this month. pic.twitter.com/fJaIwc7Eob

— Ali (@ali_charts) June 30, 2024

Similarly, another crypto analyst Rekt Capital stated that Bitcoin has firmly consolidated around $60,600 setting up a strong base at these levels. As per Rekt Capital, this clustering could persist throughout the month of July with the goal of taking the Bitcoin price higher to $71,500.

BTC Price Action – $71,000 Coming Ahead?

For Bitcoin price to gain the lost ground and set up a rally to the north, it must surpass the downsloping 20-day exponential moving average ($63,651). As of press time, BTC is trading 3.72% up at $63,313 with a market cap of $1.248 trillion.

If the Bitcoin price manages to stay above $62,500, it shows that bulls are attempting a comeback. If so, the bulls can attempt a further rally to $70,000 and beyond. On the 4-hour chart, the 20-period Exponential Moving Average (EMA) shows a stabilization in its slope, while the Relative Strength Index (RSI) hovers slightly above its midpoint. This suggests an equilibrium between supply and demand in the current market conditions.

Courtesy: TradingView

Altcoins Stage Strong Recovery

Along with Bitcoin, altcoins have staged a strong recovery today. Ethereum (ETH) price has also surged by 3% moving all the way to $3,500. On the other hand, altcoins like Solana (SOL), Avalanche (AVAX), Chainlink (LINK), Uniswap (UNI) have gained anywhere between 4-6%.

Toncoin has also been on a strong rally recently and has moved to the Numer 8 position toppling Dogecoin. It will be interesting to see if this price rally sustains going ahead this month.

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Bitcoin Price Jumps 4% Breaking Out of June Downtrend, What’s Ahead in July?

Coinspeaker Metaplanet to Buy Another Tranche of 200 Million Yen Worth of Bitcoin

After receiving approval from its board of directors, Tokyo-based investment and consulting firm Metaplanet acquired 20.195 Bitcoin (BTC).

The firm announced the new purchase on its X account on Monday with a screenshot of its filing. The Bitcoin purchase reflects the growing interest of institutional investors across the globe in the burgeoning cryptocurrency sector.

Choosing Bitcoin as Primary Treasury Reserve Asset

Metaplanet is keen on acquiring the leading digital currency, reflected in its frequent purchase of the coin this year. In May, the firm purchased Bitcoin worth ¥200 million, equivalent to $1.25 million at the time. The purchase was for 19.87 BTC at an average price of 10,065,548 yen per Bitcoin. This was after an initial purchase of ¥1 Billion worth of BTC, worth approximately $6.25 million.

*Metaplanet purchases additional 20.20 $BTC* pic.twitter.com/4tCRWAc2an

— Metaplanet Inc. (@Metaplanet_JP) July 1, 2024

However, Metaplanet’s interest in an active Bitcoin accumulation strategy heightened recently probably due to a strain in Japan’s economy. The persistent economic challenges of Japan likely caused the consulting firm to make a strategic maneuver. Unfortunately, the challenges had caused the Japanese yen to depreciate in value and also took the country’s debt to new heights.

Consequently, Metaplanet decided to adopt Bitcoin as its primary treasury reserve asset. With this, it joined a growing list of institutions seeking alternatives to traditional fiat currencies in the middle of economic woes.

A week ago, the Japanese firm hinted at its plan to acquire additional Bitcoin worth 1 billion yen ($6.26 million). According to Metaplanet, the funds for the BTC purchase will be raised through an upcoming round of bond issuance with the annual interest rate for the bonds set at 0.5% with the maturation date as June 25, 2025. This is the second series of ordinary bonds with guarantees it unveiled.

The screenshot shared by the firm on X shows that the latest acquisition is only a part of the total 1 billion yen Bitcoin that Metaplanet plans to purchase this season. It was worth 200 million yen which is about $1.24 million. The average cost of each BTC at purchase comes in at $61,527.

So far, Metaplanet’s Bitcoin holdings contain 161.26 Bitcoin units with each coin purchased at an average price of $63,580. This holding is valued at $10.25 million.

MicroStrategy Leads with Its Bitcoin Acquisition Strategy

Noteworthy, Metaplanet’s Bitcoin holding is still a far cry from that of MicroStrategy Inc (NASDAQ: MSTR).

Michael Saylor made a similar decision as Metaplanet for his company way back in August 2020 when the COVID-19 pandemic hit the world. This business intelligence software firm owns one of the largest Bitcoin portfolios and has not stopped acquiring more coins. Less than two weeks ago, MicroStrategy announced the­ acquisition of an additional 11,931 BTC for $786 million.

Currently, the firm holds a total of 226,331 Bitcoins, worth nearly $15 billion at a current market price of $63,342.11. Overall, It is worth acknowledging that many institutional investors are delving into the world of crypto through Bitcoin ETFs.

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Metaplanet to Buy Another Tranche of 200 Million Yen Worth of Bitcoin