BTC Touches $10k, Coronavirus Whistleblower Remembered, Ukraine Waves Regulation on Mining while Trump Wants to Fight Crypto Crimes
In this edition:
- Is BTC on the verge of skyrocketing?
- Ethereum homage to Coronavirus whistleblower
- Ukraine goes laissez-faire on crypto mining
- Trump to investigate crypto crimes
How is February going, fellow Anchorians? Do you have that feeling as if January would neever end and after it passes, it’s suddenly June?! Yeah, time can be a tricky thing, especially for us crypto enthusiasts. Sometimes months can go by in the blink of an eye, and sometimes even a second can seem like an eternity. Traders particularly understand the latter.
One thing is certain, though. Your Crypto Roundup is here every week, keeping you informed of the most important events in our industry. No Oscars, no celebrities – just good old crypto! True, we’d have a much better click-through rate with Brad Pitt… Nonetheless, if we were to mention him, it would only be ‘cause he started hodling! We wish.
Anyhow, before this turns into a dramatic and not-so-funny monologue, let’s continue with what you really came for – the latest crypto news!
*Serious tone: on.*
Is BTC on the Verge of Skyrocketing?
On Sunday, 2/9/2020, Bitcoin’s price exceeded $10.000 for the first time since October 2019. Hip hip hooray! While many agree that five-figure price per one BTC is an important psychological barrier, some crypto apostles went a bit further. Co-founder of Morgan Creek Digital Assets, Anthony Pompliano, shared his thoughts regarding this occurrence on Twitter:
Bitcoin just hit $10,000.— Pomp 🌪 (@APompliano) February 9, 2020
I still think that Bitcoin will hit $100,000 by end of December 2021.
Fixed supply. Increasing demand. Time will tell. #Bitcoin
Yes, a limited supply is BTC’s key differentiating method in comparison to fiat, and its out-turn is yet to be fully seen. Theoretically, the expectation of this immense price jump is completely justified. However, no one can unmistakably guess the timeline and some traders are still skeptical and waiting leastways for $10k to become a support line in order to deliberately share the optimism.
Let’s go back to school for a brief moment. In total, only 21 million Bitcoin can be mined and so far 18 million of them have been ‘drawn out’. Now, let’s not forget that we have an important event ahead of us – BTC halving scheduled for May 2020 (or even earlier) as an additional reduction of supply. Taking all this into consideration, plus the constant increase in demand, it’s only logical to presume that BTC will be the sexiest asset to have in years to come.
For the time being, we can only carefully observe the candlesticks and make the best of ‘em.
Ethereum Homage to Coronavirus Whistleblower
Sadly, Coronavirus has taken many lives so far, including the life of doctor Li Wenliang, a courageous individual who warned his colleagues and public about how dangerous the virus was. Dr. Li passed away on Feb 8th and soon the news united many people in virtual protest against the Chinese government.
Weibo went crazy over this event, yet the state officials were swift to remove any evidence that the reaction of the public was colossal.
While a central body can censor and ban, as the Chinese government did, a decentralized network is something else entirely. In order to break the forced silence, someone created a smart contract on the ethereum blockchain to celebrate the doctor’s actions. The source codes were written in Mandarin, as a memorial of Dr. Li’s life work, along with the recording of his role in unearthing the Coronavirus outbreak. The code also consists of his biography and achievements in the field of medical science and a final message – rest in peace.
Now, the memorial will be here forever, thanks to the blockchain technology and brave, conscientious people. This episode has shown us once more that blockchain can be used for many great things, including paying our respect to people who truly deserve it.
Ukraine Goes Laissez-Faire on Crypto Mining
Ukrainian Ministry of Digital Transformation has recently issued a Manifest of Virtual Assets in which, among other statements, declares that: ‘’Mining does not require regulatory activity from governmental oversight bodies or other third-party regulations, this activity is regulated by the protocol itself and network members.’’ And 12 points go to Ukraine!
Additionally, the manifest states that Ukraine explicitly supports any innovation regarding digital technologies, even if it’s still partially unregulated. It’s important to highlight that this does not mean that the Ukranian government will stay out of crypto regulation in general! Quite contrary, they have expressed a great interest in developing the technological landscape of the country.
The key points this country will focus on are: regulatory procedures that are based on best practice and international standards; effective mechanisms to prevent abuse and misconduct by businesses and law enforcement agencies; educational processes regarding the technology and ‘’formation of the attitude to the industry as a whole as to modern innovation processes’’.
It seems that the state officials from Kyiv have shown a great understanding of cryptocurrencies and, more importantly, a will to share the emerging enthusiasm with the public, rather than simply ban it.
Trump to Investigate Crypto Crimes
Any juicy news includes the Secret Service, right? Even if the subject of discussion is the budget and, well, just finances. President Donald Trump’s budget proposal for 2021 equals $4.8 trillion in total and a significant portion of it will be allocated for cyber and financial crime investigations.
Moreover, President Trump wants to transfer the Secret Service from Homeland Security to Treasury (where it was at the time of its creation) in order to fight financial crimes that are, according to him, the country’s major problem.
I owe you a disclaimer: the federal budget is to be officially settled in the House of Representatives and the recently issued document, ‘’A budget for America’s Future’’, serves more like a declaration of Trump’s new policy.
What pains this administration the most is the fact that large amounts of money are now difficult to track and they see Bitcoin and other cryptocurrencies as the major culprit. Crime and terrorism financing are labeled as the biggest threats.
It is known that President Trump is not the biggest fan of cryptocurrencies and that his bashing statements have already had a negative influence on BTC price. However, this direction goes beyond personal opinion and stretches over the federal regulatory apparatus.
In any case, in order to push this plan through, President Trump first needs to be reelected in 2020. Without a doubt, the anticipating presidential elections will have a vast influence on the status of cryptocurrencies in the United States of America.
Once again, we witness the completely opposite directions when it comes to sovereign countries and cryptocurrencies. Some countries tend to become a crypto haven, while others wish to fight them… and win. The truth is rarely pure and never simple, so we can’t oversimplify governments’ policies. We can agree or disagree since opinions are meant to be shared.
A salute goes to all fallen heroes in the battle with the Coronavirus, and may this remind us all that turning a blind eye to injustice is never a solution.
And last but not least, keep an eye on the price of Bitcoin in the next few months – it may surprise you!
Disclaimer: The information provided in this post is not legal, accounting, or financial advice. I am not a lawyer, accountant, or financial advisor. I am not registered as an investment adviser with any federal or state regulatory agency. The Information should not be construed as investment or trading advice and is not meant to be a solicitation or recommendation to buy, sell, or hold any cryptocurrencies.