The total market capitalization for cryptocurrencies was US $ 2 trillion for the first time earlier this week, as acceptance of institutional cryptocurrencies continues to increase
Here is a summary of all the top crypto news of the week:
Total market capitalization for cryptocurrencies rises to $ 2 trillion
The cryptocurrency market has been in an extended rally since last year. Last year, several cryptocurrencies, including Bitcoin and Ethereum, reached new highs. The rising prices for cryptocurrencies and the entry of institutional investors have contributed to the further rise of the crypto market. Earlier this week, the market capitalization for cryptocurrencies reached the $ 2 trillion mark for the first time. This happened after extended rallies of Ethereum (ETH), XRP, Binance Coin (BNB) and several others. Bitcoin still accounts for more than 50% of the total market capitalization for cryptocurrencies, while Ethereum and other companies are gaining momentum.
Bloomberg presents positive Bitcoin-Outlook
The financial media company Bloomberg gave a very optimistic outlook on the leading cryptocurrency. According to the Bloomberg report, the leading cryptocurrency could rise to $ 400,000 before the end of the year. This outlook exceeds that of JPMorgan Chase, which expects the Bitcoin price to be above $ 100,000 by the end of 2021. Bloomberg also reported that Bitcoin will quickly replace gold as the preferred store of value. The financial media services provider showed that most indicators point to an accelerated pace at which BTC replaces gold as a store of value in investor portfolios. Bloomberg said that the fact that the fundamentals and technical fundamentals of Bitcoin are improving while gold is deteriorating is a sign that Bitcoin is gaining ground.
State Street could soon start trading cryptos
The introduction of institutional cryptocurrencies will continue with State Street, the second oldest bank in the US, indicating that the bank could soon begin trading cryptocurrencies. The bank’s Currenex Trading Technology division is working with Pure Digital in London to develop an institution-oriented trading platform for digital currencies. A senior State Street official announced that the bank was considering using the platform to trade Bitcoin and a variety of other cryptocurrencies. So far, leading banks such as Goldman Sachs, BNY Mellon and Morgan Stanley have entered the cryptocurrency space this year. Further crypto-related services are expected to be offered in the coming months.
Coinbase reports first-quarter revenue of $ 1.8 billion
Also this week there was news of the expected public Coinbase listing. Following the fundraising and the new valuation, Coinbase is expected to be one of the most valuable cryptocurrency companies on the stock market. The company did not disappoint with its recent quarterly profits and achieved sales of almost $ 2 billion. The $ 1.8 billion generated in the first quarter of the year surpasses the total revenue of 2020 ($1.3 billion). Coinbase’s high profits could be attributed to the ongoing cryptocurrency market rally, with Bitcoin hitting a new all-time high above the $ 61,000 mark a few weeks ago. The crypto exchange is expected to be listed directly on the NASDAQ exchange and not via an IPO, with a valuation of over $ 66 billion.
FTX signs partnership agreement with Miami Heat
The FTX crypto exchange officially signed a partnership with the Miami Heat earlier this week. The deal provides for FTX to acquire the naming rights to the Miami Heat stadium for the next 19 years. The cryptocurrency exchange platform had been negotiating with Miami-Dade County in recent months. For the deal, FTX will shell out US $ 135 million over a period of 19 years. The deal also includes prominent arena signage, guest areas, connection to HEAT series for digital content, promotions, competitions, community engagements, etc.FTX is a crypto exchange of Sam Bankman-Fried and is slowly developing into one of the world’s leading exchanges.
The crypto space brings forth four new billionaires
Forbes published its current list of new billionaires, with the cryptocurrency space producing four last year. Despite the pandemic affecting the global economy, 493 new billionaires were added to the Forbes list this year. Sam Bankman-Fried was a leader after taking $ 8.7 billion in crypto space last year. He owns the quantitative trading company Alameda, which manages Bitcoin, other major cryptos and other derivatives worth $ 32 billion. Bankman-Fried is also the founder of the FTX cryptocurrency exchange. The Winklevoss twins are the next crypto-billionaires on the Forbes list. Cameron and Tyler Winklevoss (with assets of $ 3 billion each) invested most of their settlement with Facebook in Bitcoin in the early days. They also founded the Gemini crypto exchange, which currently processes over 200 million US dollars a day. Silicon Valley scion Tim Draper is the fourth in the league after earning $ 1.5 billion. He bought US $ 18.7 million worth of Bitcoins that were seized by US marshals on the infamous Silk Road Black Market in 2014. The coins are now worth around 1.5 billion US dollars.
Arthur Hayes finally gives up
Bitmex CEO Arthur Hayes surrendered to US authorities earlier this week. This comes months after he was charged with violating the Bank Secrecy Act. Hayes negotiated with the US government and agreed to surrender on April 6. His legal representatives proposed a friendly payment of $ 10 million. Hayes and the other two co-founders of Bitmex were named defendants last year in twin lawsuits filed by the U.S. Department of Justice and the Commodity Futures Trading Commission. According to the lawsuits, BitMEX knowingly granted private investors in the United States access to illegal options and leveraged trading. In addition, Bitmex did not carry out proper know-your-customer checks, which violated the Bank Secrecy Act.
Peter Thiel. China could use Bitcoin to undermine America
PayPal co-founder and venture capitalist Peter Thiel claimed that China could use Bitcoin to undermine the US. Thiel added that although he is a Bitcoin maximalist, he recommends stricter regulations for cryptocurrencies in the US. The venture capitalist stated that China could support Bitcoin and thus create a threat to the US dollar. Therefore, the government must regulate digital currencies more strictly.