Connect with us

Blockchain

Billion-Dollar Investment Giant Bringing Bitcoin to the Masses, Launching Crypto Ad Campaign on CNBC, MSNBC and FOX

Published

on

ADVERTISEMENT


Billion-dollar investment giant Grayscale is launching a national crypto advertising campaign to bring Bitcoin and other digital assets to the masses.

The digital asset management firm paid for ads that will kick off next week on CNBC, MSNBC, FOX, and FOX Business, according to Barry Silbert, the founder and CEO of Digital Currency Group – Grayscale’s parent company.

The new ads won’t be Grayscale’s first advertisements. Last year, the investment giant launched a “#DropGold” ad campaign designed to convince consumers to abandon the precious metal and invest in BTC.

The new ad campaign comes after Grayscale raised more than $900 million in new investment inflows in the second quarter of 2020 alone. That’s up from $500 million in Q1 2020.

Michael Sonnenshein, Grayscale’s managing director, recently spoke with Laura Shin on the Unconfirmed podcast about the factors behind the asset manager’s recent success.

“I think that the macro environment is causing a lot of investors to focus on crypto in a way that they perhaps hadn’t before. I think one of the most topical things that investors are talking to us about is unlimited quantitative easing, and as they look at how much the Fed and other governmental bodies are printing, they’re really starting to drill into the verifiable scarcity of assets like Bitcoin.

And when you think about that very important attribute that Bitcoin has, and then you combine it with Bitcoin’s uncorrelated nature – and it’s not just Bitcoin, it’s other digital currencies as well – investors are really starting to appreciate that there is a new and uncorrelated return stream that they can maybe get from having exposure to digital currencies, and now is really the time we’re seeing a lot of investors dig in on the space.”

ADVERTISEMENT


Grayscale has 10 different digital asset investment products in total, and Sonnenshein notes they’ve seen a “marked uptake” in interest in their products across the board. In the second quarter, they noticed particular interest in the Grayscale Ethereum Trust.

“I believe now of our returning institutional investors, we now see over 80% of them having now invested in more than one Grayscale product, meaning they now each have exposure to more than one digital currency.” 

The managing director also notes that Grayscale Bitcoin Cash and Litecoin Trusts have satisfied the regulatory obligations to become publicly traded.

“Both of those products were recently assigned ticker symbols and are now just awaiting their DTC eligibility before they’ll begin trading, and I’m also happy to share that Grayscale’s not going to stop at the 10 products we have today. We’re working on and always maintaining a list of other products that we’d like to bring to market.”

Sonnenshein says Grayscale expanded its investor base by 24% or 25% in Q2.

Check Latest News Headlines

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Source: https://dailyhodl.com/2020/08/10/billion-dollar-investment-giant-bringing-bitcoin-to-the-masses-launching-crypto-ad-campaign-on-cnbc-msnbc-and-fox/

Blockchain

Profit taking Bitcoin miners won’t stop the next bull run: On-chain analyst

Published

on

Historical data shows that some miners began to sell Bitcoin (BTC) at the end of July, leading to increased selling pressure in the cryptocurrency market.

Eventually, the dominant cryptocurrency fell steeply from mid-August, recording a 13% fall and since then BTC has struggled to retake the $12K mark.

Bitcoin selling by miners from 2017-2020. Source: CryptoQuant

Bitcoin selling by miners from 2017-2020. Source: CryptoQuant

According to CryptoQuant CEO Ki Young Ju, continued selling by miners might not be enough to prevent a bull run. On-chain data analysis firms closely observe the movements of miners and whales because they hold significant amounts of BTC.

Willy Woo, an on-chain analyst, explained that miners represent one of the two external sources of selling pressure for Bitcoin. He previously said:

“There’s only two unmatched sell pressures on the market. (1) Miners who dilute the supply and sell onto the market, this is the hidden tax via monetary inflation. And (2) the exchanges who tax the traders and sell onto the market.”

When miners start selling their Bitcoin holdings, typically to cover expenses, it could trigger a correction in the cryptocurrency market.

For instance, From Aug. 17 to Sept. 5, the price of Bitcoin dropped from $12,486 to $9,813. During that time, several whales sold Bitcoin right at $12,000 and the same behaviour was observed amongst miners.

The selling pressure coming from miners and whales noticeably has been attributed to the current crypto market slump but in the longer term, Ki explained it is not enough to stop a prolonged bull run.

If miners abruptly sell a significant amount of BTC, it could cause a severe correction as a small price movement could trigger liquidations from heavily-leveraged traders. Hence, even a relatively small sell-off by miners could theoretically cause massive price swings.

Ki says the intensity of the sell-off from miners was not strong enough to halt future bull runs. He said:

“Miner Update: Some miners began selling at the end of July, but I think in the long-run, miners didn’t sell BTC large enough to stop the next bull-run.”

According to ByteTree, the net inventory of Bitcoin miners declined by 125 BTC per week in the last 12 weeks. The data indicates that miners sold approximately $1.362 million BTC per week week atop the BTC that they mined and sold.

Amount of BTC mined and sold in the last 12 weeks. Source: ByteTree​​​​​​​

Amount of BTC mined and sold in the last 12 weeks. Source: ByteTree

As Ki emphasized, the data shows that miners sold substantial amounts of BTC, but not in amounts that were irregular to normal behaviour.

Post-halving bull cycle remains a possibility

Bitcoin is still hovering above the critical $10,000 technical support level despite multiple attempts by bears to drop the price below the key level.

The resilience of Bitcoin amidst a heightened level of selling pressure suggests a cautiously bullish trend in the long term.

The Bitcoin short-term holder NUPL. Source: Glassnode

The Bitcoin short-term holder NUPL. Source: Glassnode

Several on-chain metrics also indicate that now is a healthy accumulation phase for Bitcoin. Rafael Schultze-Kraft, the CTO at Glassnode, said:

“Short-Term Holder Net Unrealized Profit/Loss (STH-NUPL) with a #bullish signal here imo. That bounce of the 0-line was important, is very characteristic for previous bull markets, and historically a good buying opportunity.”

Source: https://cointelegraph.com/news/profit-taking-bitcoin-miners-wont-stop-the-next-bull-run-on-chain-analyst

Continue Reading

Blockchain

Crypto exchange bitFlyer Europe links up with PayPal, enabling account deposits with euros

Crypto exchange bitFlyer Europe has announced integration with PayPal, allowing users to deposit funds using their PayPal accounts to buy cryptocurrencies.

The post Crypto exchange bitFlyer Europe links up with PayPal, enabling account deposits with euros appeared first on The Block.

Published

on




Crypto exchange bitFlyer Europe links up with PayPal, enabling account deposits with euros – The Block















Continue Reading

Blockchain

Even after parabolic rally, top crypto VC thinks Ethereum DeFi isn’t overvalued

Published

on

It’s clear excess and euphoria is starting to seep into Ethereum’s DeFi space. Uniswap nearly reached a $1 billion circulating market capitalization just two days after its launch, a food coin called Pickle surged 1,000 percent in a day, and Yearn.finance (YFI) has gained over 1,000,000 percent since its July launch, to name just a few trends.

To put this into more broad and absolute terms, there is now $10 billion locked in mainstream DeFi contracts according to DeFi Pulse. At the start of the year, this single metric was extremely close to $500 million.

Even after all this, there may be reasons to believe that decentralized finance is not yet overvalued on a longer-term time frame.

Is Ethereum’s DeFi space really overvalued yet? A top investor is not too sure it is

After DeFi coins doubled and tripled within the span of a few weeks in June, Mechanism Capital founder Andrew Kang came out with a Twitter thread outlining his thoughts on DeFi’s trend of growth.

As this outlet covered at the time, he was not then convinced that this crypto market segment had reached a top, going as far as to say that it was in the early stages of a parabolic growth cycle.

Kang was proven correct in the two months that followed, as coins in the space continued to double and triple and rally higher on even bigger multiples.

He is now back again, having been proved correct, and he’s saying that there is still space for DeFi to grow.

On Sep. 19, he wrote:

“TVL in DeFi is up ~20x since 2019 and DeFi market cap is up a similar amount. I don’t think price has seriously outpaced fundamentals yet. Seems low EV to cashout for a short trade and potentially miss out on parabolic growth.”

Kang added that realistically, it may only take $50 million worth of new capital to drive this space up by 10% or even more.

With much capital entering the DeFi space as institutional investors get excited, growth may continue in the medium to long term.

Certain factors could drive this market lower

While DeFi may not be overvalued, there may be some trends that can trigger a further short-term correction after the already 10-30 percent drop that has transpired in this segment of the crypto market.

As reported by CryptoSlate, crypto analyst “Theta Seek” commented that there are three crucial reasons why DeFi’s growth may be reaching a plateau for the time being. These include but are not limited to:

  • Risk of funds caused by poor user experiences and tools
  • A slowdown in the value of capital and interest entering the space
  • Regulatory pressure as regulators eye the vast amounts of capital sloshing around in DeFi, along with the hacks.

It may just be that investors are sitting on the sidelines and are not advancing into this space due to the aforementioned risks and issues such as poor user experiences and potential regulatory pressure.

Like what you see? Subscribe for daily updates.

Source: https://cryptoslate.com/even-after-parabolic-rally-top-crypto-vc-thinks-ethereum-defi-isnt-overvalued/

Continue Reading

Trending