Crypto Guides, Knowledge & Insights

Double Bottom On The Dollar Could Be The End Of Bitcoin Rally

Bitcoin, Ethereum, and just about every other asset on the planet trades against the dollar on its most liquid trading pair, and the greenback is the base currency that all exchanges rates are based on. The power and influence of the almighty dollar cannot be understated, and the crypto market could soon feel the surprising sting of the global reserve currency.　　A double bottom could be forming on the dollar, with a hidden bullish signal that could bring a hurting to the currently overheated stock and crypto market. Here‘s a closer at the double bottom formation that could put a stop to Bitcoin’s bull market.　　Double-Bottom Forms On The Dollar Currency Index　　The slow death of the dollar has let equities and crypto assets like Bitcoin fly like never before, during a time when the economy was on pause and unemployment was climbing. Stimulus money kept things afloat, while those who didnt need the money for essentials bought shares of GameSpot and hundreds of thousands of DOGE.　　The soaring market caps of assets everywhere was a glaring sign that inflation was getting out of hand, and the US government has been taking steps to reel things in. And it has already taken a toll

2021-05-13Deep Dive

DeFi darling Yearn.Finance surges to $4 billion TVL, launches WOOFY coin

The total dollar value of assets locked (TVL) on decentralized finance (DeFi) platform Yearn.Finance has exceeded $4 billion, according to an announcement published today.　　Yearn.Finance comprises several protocols on the Ethereum blockchain that help users automatically optimize their yields earned on crypto via lending and trading services.　　In its turn, TVL represents the total current value of all assets that are being locked up—or staked—on a DeFi platform. Notably, this metric can grow in two ways: actively via new assets being added to a project or passively as the market price of these assets increases.　　According to crypto analytics platform DeFi Pulse, Yearn.Finance is currently ranked 10th among the largest DeFi platforms with a TVL of $4.37 billion. Meanwhile, there is $88.7 worth of assets across the whole sector.　　Notably, it took only 32 days for Yearns TVL to increase from $2 billion to $4 billion. By comparison, it took 226 days for the platform to grow its TVL from $1 billion to $2 billion in the past.　　At press time, the top five largest DeFi projects are MakerDAO ($15.8 billion locked), Aave ($12.28 billion), Compound ($11.89 billion), Uniswap ($8.25 billion), and Curve Finance ($8.19 billion).　　“Woofing into WOOFY”　　According to the announcement, Yearn also decided to

2021-05-13Deep Dive

Bitwise Launches First Crypto-Adjacent ETF In The U.S.

Bitwise, an asset management firm specializing in crypto indexed funds, has launched its Bitwise Crypto Industry Innovators ETF for the (NYSE:BITQ), the first crypto-adjacent ETF (exchange traded fund) for the U.S. market, with listings targeted at companies operating within or related to the crypto and blockchain industry.　　The firm currently has $1.5 billion in assets under management across its diverse portfolio. With the launch of its crypto ETF, Bitwise enables exposure for investors to public companies that are engaged in the crypto and blockchain industry, without directly holding crypto assets such as Bitcoin or Ethereum.　　BITQs Bitwise Crypto Industry Innovators 30 Index is designed for analysis and capture of “pure-play” companies and organizations in the crypto and blockchain industry, which is to say, any company indexed as participants in the crypto sector should be actively engaged in the sector, with at least $100 million of liquid crypto assets on its balance sheet. The index is set for rebalancing at every financial quarter.　　This new index is aimed at capturing the crypto equity market, based on the potential it opens because of its sector-specific aspects. The index maintains a “fast-entry” policy that accepts entry from new IPOs and direct listings a day after their

2021-05-13Deep Dive

All About Dtrade: A Next-Gen Social Trading Platform

The popularity of cryptocurrency and blockchain technology has begun to transcend into other industries and will soon change things forever. The recent uptick in interest can be seen on social platforms like TikTok, and traders streaming their scalping sessions online via Twitch and other platforms has caught fire.　　The problem with this setup is that theres no all-in-one solution that connects these platforms and the crypto world together in a logical way. Twitch is focused on gaming, and TikTok lacks anything in-depth for features. Neither of them integrates with trading or crypto in any way, which leaves the platforms firmly in the past.　　The future, instead, is a socially driven trading platform called Dtrade, powered by the revolutionary Decoin. Heres what to expect from the blossoming brand and why the technology will soon disrupt both steaming and trading platforms at the same time.　　How Decoin And Dtrade Will Disrupt Top Social Media Platforms 　　The new innovative pro-social trading platform, as it is referred to, is from the mindset to the crypto new school, which is accessibility first. The problem with earlier generation crypto technologies is that no one knows how or wants to use them. Decoin and Dtrade make crypto easy for all

2021-05-13Deep Dive

Is Cross-Chain Technology The Best Way Forward For Blockchain and DeFi?

The rapid rise of decentralized finance has changed the economic world forever.　　Popular decentralized exchanges like Uniswap and Sushiswap, and lending platforms like Compound, facilitated a Total Volume Locked growth from $675 million to $16.2 billion across 2020 for the DeFi world.　　DeFis popularity has also made blockchain interoperability through cross-chain interaction a stronger reality than ever before.　　Many hope the decentralized financial ecosystem will be the industry thats able to properly distribute value and functions while maintaining blockchain interaction.　　The World Of Blockchain Needs New Innovation To Keep Growing　　Currently, the vast majority of blockchain networks only operate within isolated ecosystems that make it all but impossible for crypto users to leverage the full benefits of distributed ledger technology.　　A few tout atomic swaps as a way to convert their cryptocurrencies utilizing somewhat of a cross-chain value exchange. However, atomic swaps only work if both blockchain networks have the same hashing algorithm (which many dont).　　Others point towards Wrapped Bitcoin (WBTC), which allows interoperability between Bitcoin and Ethereum. Still, the WBTC contract relies on outside custodians. Its also limited to just Bitcoin-Ethereum interaction.　　Overall, many believe the rise of cross-blockchain compatibility will lay foundations for the mass adoption and use of blockchain technology in ways past technologies

2021-05-13Deep Dive

DeFi lending platform Aave reveals 'permissioned pool' for institutions

Designed for institutional investors, the lending pool will feature KYC and AML restrictions.　　The banks are out of the bag: In a Tweet on Wednesday, Stani Kulechov, co-founder of decentralized finance money market protocol Aave, revealed that the Aave protocol has built a “private pool” for institutions to “practice” before getting involved with the DeFi ecosystem.　　Earlier on Wednesday, a Twitter user posted an angry tweet directed at Aaves official Twitter account, noting that his address had been “blacklisted” due to Anti-Money Laundering requirements:　　Kulechov himself responded to the tweet, saying first that there had been a mistake and that “The text is actually incorrect and relates to another pool were testing out,” before later revealing the clientele the pool was designed for:　　In an interview with Cointelegraph, Aaves head of institutional business development, Ajit Tripathi, confirmed that the protocol had designed a permissioned pool — the “private pool” description in Kulechovs Tweet was a misnomer in that the pool will be on public chains, but have permissioned access — specifically for institutions. He characterized the purpose of the pool as educational.　　“Its a great solution to promote collaborative learning across cefi and defi,” Tripathi said.　　He noted that the permissioned test pool is designed to

2021-05-13Deep Dive

We Will be 'Flooded' by Bitcoin ETFs: Gibraltar Finance Minister

In brief　　The world will be “flooded” with Bitcoin ETFs, should the U.S. SEC approve one, according to Gibraltars Finance Minister.　　Albert Isola raised concerns about the lack of supervisory measures for administering the funds.　　Albert Isola, Gibraltars Minister for Digital and Financial Services, thinks we will be “flooded” by Bitcoin ETFs if the U.S. Securities and Exchange Commission (SEC) approves the first exchange-traded fund for digital assets—and he expects it to happen this year.　　“I think and I hope it does happen this year,” Isola said, speaking to the Decrypt Daily podcast. But he raised concerns about the lack of supervisory measures for the aftermath of an ETF approval.　　“The process is clear in terms of licensing, but what about supervision afterwards？” he said. “Whos going to be responsible？ What are the criteria？ What [is] the US looking for in terms of how these vehicles are managed [and] marketed in the whole environment around them？”　　A U.S. approval will have a big impact on policy in the rest of the world, he noted.　　As of last month, the SEC had received no less than eight Bitcoin ETF applications, from high-profile actors such as VanEck, which already runs many ETFs across other sectors.　　The SEC has pushed its

2021-05-13Deep Dive

Bitcoin Can Be a ‘Highly Speculative’ Instrument According to the SEC

The United States Securities and Exchange Commission (SEC) alerted mutual fund investors about the risks in the Bitcoin futures market. The US agency even described the cryptocurrency as a “highly speculative” asset.　　Dont Ignore the Risks　　The price of the primary cryptocurrency skyrocketed during 2020 and continued its rally in the first months of 2021 reaching an ATH of around $65,000 in mid-April.　　Consequently, many individuals and mutual fund investors took the opportunity to jump on the Bitcoin bandwagon and allocate their capital to it. However, the US SEC warned market participants to be especially careful when doing so.　　The US watchdog advised that even though the digital asset has become very popular and tempting for investors, it still hides its risks as it is volatile and traded in a poorly regulated market. SEC went further calling Bitcoin a “highly speculative” instrument.　　The agency reminded of its primary mission to protect investors and enable fair and efficient markets. It also alarmed that every individual willing to trade with the cryptocurrency ought to investigate thoroughly the matter and keep in mind its risky nature:　　“Protecting investors and assessing the regulatory compliance of these funds is a top priority for staff.”　　Additionally, the SEC plans to explore whether the

2021-05-13Deep Dive

Launch of Bitcoin ETFs in the U.S. could see further delays, here’s why

Several industry leaders say recent comments by US Securities and Exchange Commission (SEC) chairman Gary Gensler have delayed the possible launch of a Bitcoin exchange-traded fund (ETF) in the country, financial industry outlet Bloomberg reported Tuesday.　　Not coming soon　　ETFs are regulated financial instruments that track the value of an underlying asset and provide asset exposure to investors. Such products have been long-sought in the US: Over nine companies waiting on the sidelines with their ETF products in the hopes of acceptance.　　But Gensler‘s comments last week came as a shock to some, who otherwise expected the so-termed ’crypto-friendly‘ chairman to take swift action in the regard. The chairman said cryptocurrencies “could benefit from greater investor protection” and that all crypto exchanges be brought under the SEC’s regulatory outlook.　　“The SEC has made their priorities clear, and vetting crypto ETFs is not one of them,” said Ben Johnson, Morningstar Inc.s global director of ETF research.　　He added, “Given that the SEC has bigger fish to fry, and taking Gensler‘s recent remarks regarding crypto ETFs into account, I think the odds we’ll see a Bitcoin ETF approved in 2021 are very low.”　　Why no Bitcoin ETF？　　The reasons given by US regulators for the rejection are the same

2021-05-12Deep Dive

Billionaire Druckenmiller says ledger-based system could replace USD worldwide

Billionaire hedge fund manager Stanley Druckenmiller has forecast the possibility of a crypto-derived ledger system overtaking the U.S. dollar as a global reserve currency.　　The hedge fund boss noted that if there were to be a U.S. dollar replacement it “would be some kind of ledger system invented by some kids from MIT or Stanford or some other engineering school that hasnt even happened yet, that can replace the dollar worldwide.”　　He made the comments in an interview with CNBCs Squawk Box. Druckenmiller noted that crypto is often promoted as a hedge against inflation, which has become more relevant of late:　　“Well, you probably dont remember this joke, but five or six years ago, I said that that crypto was a solution in search of a problem. And thats why I didnt play crypto the first wave because we already have the dollar. What do we need to look for？”　　But he went on to add that ongoing financial stimulus was an issue: “Well, the problem has been clearly identified. Its Jerome Powell and the rest of the world, central bankers. Theres a lack of trust. So sort of groping for an answer for a central case.”　　Druckenmiller reportedly invested in Bitcoin earlier this year

2021-05-12Deep Dive

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