Fri, Jan 8, 2021 6:12 PM

Crypto Weekly News — January, 8

Weekly winter CoinJoy

What important crypto events happened last week?

Cryptocurrencies

Cryptocurrencies

📌 Over $41,000: Bitcoin Continues To Forge New Highs

The first cryptocurrency continues to update its all-time highs, hitting the $41,000 mark earlier this day. During Thursday's trading, the price of Bitcoin consistently updated several historical highs, rising from $36,000 to $40,365 in a day. Bitcoin first soared in price in the second half of December — on December 16 it exceeded the historical maximum of $20,042, held since 2017, and since then continues to break records.

📌 Ripple’s XRP Swells 40% Despite Delisting Woes; Dead Cat Bounce?

Even though the delisting of XRP on exchanges is gaining momentum (Coinbase, Binance, and others have already announced the suspension of support), the price continues to grow. Obviously, the general agiotage in the crypto market still plays a big role. Besides, Ripple's deal with the central bank of Saudi Arabia to innovate its payment infrastructure using blockchain technologies could spur investor interest. This step shows that Ripple is expanding beyond the United States, where the company has encountered legal problems. Nevertheless, some analysts consider such indicators only a rebound before the inevitable collapse.

📌 Bittrex Is Removing Monero, Zcash, And DASH This Month

The American cryptocurrency exchange Bittrex announced the delisting of three popular altcoins focused on privacy — Monero (XMR), Zcash (ZEC), and Dash (DASH). According to a post on Bittrex's official Twitter account, they will stop supporting these coins on January 15. The reason for the removal is to follow the rules of deanonymization and anti-money laundering politics, which are put forward by the governments of many countries around the world. 

Projects And Updates

Projects

📌 Ripple Сontinues To Position XRP As ‘Bridge Asset’ For CBDCs

Ripple representatives claimed that XRP could become a bridge for stablecoin transactions, providing vital support to CBDC in terms of payments and transaction fees, and stressed the importance of 2021 for this process. Ripple said that with its "on-demand liquidity" service, XRP could become an intermediary currency for real-time transactions.

📌 CME Becomes Biggest Bitcoin Futures Exchange As Institutional Interest Rises

The CME took first place among the Bitcoin futures trading platforms, accounting for more than 19% of the market volume. This trend indicates the growing interest of institutional investors in the digital currency.

Regulations

Regulation

📌 UK’s Ban On Crypto Derivatives Goes Into Effect Today

The ban on the sale of cryptocurrency derivatives and exchange-traded notes (ETNs) for retail investors came into force in the UK on Wednesday, January 6. The FCA believes that these products are not suitable for retail consumers due to the potential significant harm to the country's economy associated with an increasing number of situations of market abuse, the possibility of getting income through financial fraud schemes, and the high volatility of cryptocurrencies. Critics of the new law believe that it will force consumers to leave the regulated sector and turn to the unregulated exchanges or offshore.

📌 Finland’s Customs Authority Is Looking To Sell Bitcoin Seized In 2016, Now Worth More Than $75 Million

The management of the Customs of Finland is selling 1981 BTC. According to local media, most of it was confiscated back in 2016 from a Finnish drug dealer. At the time the total value of these BTC was $860,000, now it costs over $75 million. All money obtained in this sale will be sent to the Ministry of Finance of Finland.

📌 US Federal Regulator Says Banks Can Conduct Payments Using Stablecoins

National banks of the United States and federal savings associations can use public blockchains and fiat-backed stablecoins for settlements on behalf of customers. Such permit was issued on January 5 by the Office of the Comptroller of the Currency (OCC). Now banks can convert stablecoins to fiat and even issue their own tokens. The OCC believes that the use of blockchain within the federal banking system will increase the efficiency and stability of real-time payments.

📌 Crypto Mining: Iran Shuts Down Over 1600 Mining Farms

The Iranian authorities, in cooperation with the local energy company Tavanir, have closed 1,620 illegal mining farms that consumed more than 250 MW of electricity. Iran legalized the crypto mining industry in July 2019. However, not all participants were satisfied with the proposed tariffs and continued to use subsidized electricity. 

Those who engage in mining without a license will be fined for the amount of loss caused to the national energy system. According to Iranian experts, if the shadow mining would not be minimized and the load on the electricity grid will continue to increase, which will create risks for the supply of entire regions of the country.

📌 Major Players In The Crypto Industry Oppose New FinCEN Regulations

Major cryptocurrency exchanges Kraken and Coinbase are among the companies that criticize the rules proposed by FinCEN, aimed at tightening control over crypto transactions. Representatives of the department are convinced that stricter KYC/AML procedures will prevent illegal activity using digital assets, including money laundering, drug trafficking, and terrorist financing. However, representatives of major crypto companies believe that this tactic will have the opposite effect and probable escape of the cryptocurrency activities from the sphere of well-regulated US markets to unregulated ones.

Mass Adoption

Mass adoption

📌 South Korean Gaming Conglomerate To Purchase Bithumb For $460M

South Korean gaming company Nexon has signed an agreement with the management of the crypto exchange Bithumb to buy the platform for $460 million. Earlier this month, Nexon began the process of buying a 65% stake in the Bithumb exchange. In case of success, NXC, the investment company behind Nexon, will become the owner of the third cryptocurrency exchange, as previously NXC has acquired Bitstamp and Korbit.

📌 Swedish Bankers Express Concern Over Central Bank’s E-Krona Plans

Since Sweden is the country that uses less cash than others in the world, Riksbank is considering introducing digital payments using e-krona. However, local bankers are concerned that this approach will radically change the banking system. Among the potential problems is the chance that people who prefer to use money without intermediaries such as banks will transfer their money from deposit accounts to e-krona. If the demand for CBDC will be significant, banks may be left without funds and become unprofitable, which will jeopardize financial stability.

📌 Ukraine Government Picks Stellar Development Foundation To Help Build National Digital Currency

The Ministry of Digital Transformation of Ukraine and the Stellar Development Foundation (SPF) signed a Memorandum of Understanding. The Memorandum was signed back on December 28, 2020, but it was announced on January 4. The purpose of the cooperation is to make a strategy for the development of the virtual asset market in Ukraine and the national digital currency. Stellar Development Foundation will officially start its work in Ukraine in August 2021.

Hacking

Hacking

📌 Origin Brings Back Interest-Earning OUSD Stablecoin Following $7M Hack

Origin is relaunching its stablecoin, following a November hack that saw OUSD holders lose $7 million in funds. On December 11, the company published a compensation plan for users who lost their funds because of the attack. The first 1000 OUSD lost for each user will be fully compensated in OUSD. The remaining funds will be returned with a deferred payment in Origin's governance tokens (OGN).

People

Peolple

📌 Good Samaritan Donates $280,000 In Bitcoin To WikiLeaks Defence Fund

According to Twitter user Whale Alert, last week users donated a significant amount of Bitcoin (BTC) to Julian Assange's legal defense. So on January 4, someone sent 8.48 BTC — about $ 280,000 at that time — to a wallet that accepts donations to support the WikiLeaks founder. The transaction was made after a British court ruled that Assange will not be extradited to the United States.

📌 Conversation With Norbert Goffa – Сo-Founder Of ILCOIN – About The Cryptocurrency Market, Trends And Vision

In a recent interview for Cryptopolitan, the co-founder of ILCOIN shares his thoughts on the rapid growth of Bitcoin, the future of Ethereum and DeFi, and talks about the project's plans.

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