Last week, PayPal founder and tech investor Peter Thiel said he wonders “if at this point [BTC] should also be thought of in part as a Chinese financial weapon against the U.S.” Thiel’s remarks don’t reflect the reality of China’s current approach to BTC and crypto. 
Coinbase has published Q1 2021 estimated results and an outlook for 2021 as the exchange moves towards an April 14 listing. Coinbase's impressive results rely heavily on trading revenue, but normalized performance, accounting for bear & quiet markets, is unclear.
Despite the technical challenge, XLM’s price didn’t experience any obvious reaction to the news. The episode showcases the seeming propensity of crypto investors to ignore warning signs of technical risk.
Last week we highlighted the decreasing number of wallets holding over 10,000 and 1,000 BTC since November and February and have since fielded questions about whether the metric signals profit-taking. We feel the answer is more nuanced and in part highlights evolving characteristics of the asset, such as new custody solutions.
ION represents the most high-profile use of the BTC network for a non-financial purpose amidst a rally that has centered on the asset’s financial utilities.
The updates expand the definition of Virtual Asset Service Providers (VASPs) to include those offering “non-custodial” platforms, often referred to as decentralized venues. The new rules add another layer to complex regulatory uncertainty faced by the DeFi space.
The guidance formalizes previously-hinted-at views that crypto trading on exchanges is seen as more akin to derivatives and focuses on the nature of settlement vs. the nature of the traded asset.
BTC has been trading in a range between USD 50,000 and 60,000 since making record highs of USD 61,800 on March 13. Particular metrics, such as exchange balances of BTC, have remained in consistent patterns. We highlight some notable data points through this rally and consolidation.
The announcement comes on the back of Fed Chairman Jerome Powell’s Monday remarks that BTC isn’t used as a means of payment and serves as a “substitute for gold rather than the Dollar.”
Fed Chairman Jerome Powell’s remarks on BTC during Monday’s Bank for International Settlements’ Innovation Summit garnered attention for his comparison of the asset to gold. However, Powell has previously made similar remarks, signaling that the Chairman’s views on BTC remain unaltered despite the asset’s growth.