Connect with us

Blockchain

Canadian Restaurant Profits After Moving Cash Reserves to Bitcoin

Avatar

Published

on

With the coronavirus causing unprecedented impacts on economies across the world, many have debated whether Bitcoin could serve as a hedge against currency volatility. However, while many continue to explain either side of the argument, one restaurant in Canada decided to put the top cryptocurrency to the test.

“Worthless” Fiat Made the Restaurant Switch Reserves

Yesterday, Tahini’s, a Middle-Eastern restaurant based out of Canada, published a Twitter thread explaining why it moved its entire reserves into Bitcoin. The restaurant, which dubs itself the “best Middle-Eastern restaurant in the world,” operates four corporate locations and three upcoming locations in Ontario. In its tweet, the firm explained that it moved its asset base to Bitcoin at the beginning of the coronavirus pandemic in March after the government began providing economic relief packages to companies.

Like the United States, Canada’s government acted swiftly to help people and companies out during the pandemic. On March 25, the Department of Finance announced an economic relief package that would provide $2,000 a month for up to four months for workers who lost their jobs due to the pandemic.

In June, Prime Minister Justin Trudeau announced that the government would extend relief from 16 weeks to 24 weeks for some eligible groups of people. With governments rushing to provide billions in aid to individuals and companies, Tahini’s owner Omar Hamam explained that he saw that the time was right to move. As he saw it, the relief wouldn’t last forever, and some entities would get left out.

Hamam also pointed out that the excess relief threatened to make fiat currency worthless. He added:

“As time went on I was constantly trying to learn and grow my knowledge about finance. I heard people in the Bitcoin community saying you have to hear about Bitcoin at least 7 times before you get into it. 100% accurate.”

A Testament to Bitcoin’s Hedge Value

The business owner decided to switch to Bitcoin. So far, the move has been profitable. Data from CoinMarketCap shows that Bitcoin rose from $6,720 on March 25 to $11,500 on the day Tahini’s tweet came out. 

Assuming the restaurant made the reserve switch on the day the government announced the relief plan and didn’t make any additions, it would have increased the value pf its asset base by 71 percent.

Tahini’s has confirmed that it plans to continue with Bitcoin hopefully forever. Tahini’s experiment further shows that Bitcoin can serve as a hedge against financial uncertainty. A similar sentiment was raised recently by George Ball, the former chief executive of insurance and financial services giant Prudential Securities. 

Speaking with Reuters, Ball explained that he had seen Bitcoin’s short and long-term value as a hedge asset. Like Hamam, he explained that the relief packages could only go on for so long. 

“If you look now, the government can’t stimulate the markets forever. The liquidity flood will end and sooner or later the government’s got to start paying for some of this stimulus, for some of the deficits.”

The investment expert added that the government could print more money, but it risks a currency debasement. So, cryptocurrencies provide a smart way to protect investors against this.  

Source: https://insidebitcoins.com/news/canadian-restaurant-profits-after-moving-cash-reserves-to-bitcoin

Blockchain

Analysts Eye New Top of $74,000 as Bitcoin Comes Within 3% of ATH

Avatar

Published

on

In a move adding to the already monumental rally, Bitcoin prices touched $19,400 during late trading on Tuesday, November 24. This is just 3% away from its peak of $20K which came in December almost three years ago.

Since then, the asset has retreated sharply in a $700 pullback to the mid-$18K level where it currently trades. With momentum still in its favor, analysts and traders are eyeing the next possible peak.

CNBC Touts $74K Bitcoin

During the 2017/2018 rally, mainstream media outlets were renowned for spreading fear, uncertainty, and doubt (FUD) over something they really failed to truly comprehend. CNBC in particular came to be known as a counter trade signal as whenever the news outlet predicted a pump, BTC would dump and vice versa.

In its latest edition of Trading Nation, the channel interviewed a couple of traders who both had very positive things to say about the king of crypto.

Founder of TradingAnalysis.com, Todd Gordon, used Elliot Wave theory to measure herd mentality and market sentiment. He added that the fifth wave is just starting now which will result in a new all-time high in 2021. When asked about a price prediction he added;

“I can’t believe I’m going to go out on CNBC and say this, but it’s about $74,000. The Elliott wave goes very well with … Fibonacci multiples. If it does want to fall short, it can go to 61% of that target, which is only at $34,000.”

PayPal Driving Adoption

Mark Tepper, president and CEO of Strategic Wealth Partners, also commented on the trading show stating that before PayPal and other large corporations stepped in he treated Bitcoin like any other speculative investment, owning a small enough amount.

“The thing that’s always held me back from being an outright bitcoin bull has really been this lack of widespread adoption. But … adoption’s happening and those users, those PayPal and Square users, they’re buying more bitcoin than what’s actually hitting the market on a daily basis,”

He added that Bitcoin could be the Tesla of 2021, stating that it could possibly reach $100K by the end of next year. That certainly fits in with other models and predictions such as stock-to-flow which also predicts triple figures within the next year or so.

SPECIAL OFFER (Sponsored)
Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.

You Might Also Like:


Source: https://cryptopotato.com/analysts-eye-new-top-of-74000-as-bitcoin-comes-within-3-of-ath/

Continue Reading

Blockchain

Coinbase Pro To Disable Margin Trading From December Citing CFTC Guidence

Avatar

Published

on

  • The Coinbase Chief Legal Officer Paul Grewal published a post earlier informing customers that the popular exchange will seize offering margin trading.
  • Clients will not be able to place margin trading orders starting from 2 p.m. PT on November 25th, 2020. At the same time, the platform will cancel all open limit orders.
  • The San Francisco-based exchange will disable the margin trading feature fully at the end of November, “once all existing margin positions have expired.”
  • According to the statement, the decision aims to comply with guidance introduced by the US Commodity Futures Trading Commission (CFTC) earlier this year.
  • Back in March 2020, the federal commodities regulator published a 35-page document with its views on how it will regard “actual delivery” of cryptocurrency assets. The guidance provides rules on when a customer has legally taken control of a digital asset, including acquisition through a margin or leveraged product. The document reads:
  • · (1) a customer securing: (i) possession and control of the entire quantity of the commodity, whether it was purchased on margin, or using leverage, or any other financing arrangement, and (ii) the ability to use the entire quantity of the commodity freely in commerce (away from any particular execution venue) no later than 28 days from the date of the transaction and at all times thereafter; and

  • · (2) the offeror and counterparty seller (including any of their respective affiliates or other persons acting in concert with the offeror or counterparty seller on a similar basis) do not retain any interest in, legal right, or control over any of the commodity purchased on margin, leverage, or other financing arrangements at the expiration of 28 days from the date of the transaction.

SPECIAL OFFER (Sponsored)
Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.

You Might Also Like:


Source: https://cryptopotato.com/coinbase-pro-to-disable-margin-trading-from-december-citing-cftc-guidence/

Continue Reading

Blockchain

Stellar Lumen up by 120% following protocol 15 upgrade

Avatar

Published

on

Stellar Lumen (XLM) price is up by 120% over the past seven days following the protocol 15 upgrade earlier this week

Stellar Lumen has been one of the best performing digital currencies over the past week. The price of Stellar Lumen is up by nearly 8% over the past 24 hours and 120% in the past week, making it the best performer amongst the leading cryptocurrencies.

XLM was trading at $0.08 per coin last week. However, it has surged since then and reached the $0.2 mark before dropping earlier today to now trade at $0.18 per coin. This massive price rise represents a 120% increase in value in a week. As such, it outperformed every other major cryptocurrency, including XRP that recorded a 115% growth in the past week.

This week’s rally is the first time XLM is reaching the $0.2 mark since September. The XLM price action followed an announcement by the project developers earlier this week. The project developers announced that a new version of the Stellar public network protocol had been approved and implemented by the validators.

The validators implemented the new Protocol 15 upgrade on 23 November, and it introduces two new features. According to the blog post, the two new features, Claimable Balances and Sponsored Reserves, make it easier to build user-friendly apps on Stellar. The team revealed that it had seen the two features in action during the testnet stage and are excited to see how developers on the Stellar network would work with them.

The features also retain the network’s defence against “farm attacks” and other methods that hackers might use to attack the blockchain.

Stellar has been one of the underperforming cryptocurrencies amongst the major coins for over a year now. The XLM price has been subdued despite Bitcoin and other major cryptocurrencies rallying in recent weeks. However, XLM came alive on 21 November when its trading volume started to accumulate. XLM has more than doubled its value since then and leads the top 100 coins by market cap in weekly gains.

XRP and XLM set market trend

XRP and XLM have been the standout cryptocurrencies this week. It is exciting because XLM was initially forked from XRP by Jed McCaleb and launched in July 2014. Stellar Lumen has a similar function as XRP as it seeks to reduce the cost of cross-border payments using blockchain. Both cryptocurrencies have gained more than 100% in value over the past week, outperforming Bitcoin, Ethereum, Litecoin, Bitcoin Cash and every other major cryptocurrency.

Source: https://coinjournal.net/news/stellar-lumen-up-by-120-following-protocol-15-upgrade/

Continue Reading
Blockchain4 days ago

Bitcoin Suisse to Deposit Nearly 100,000 ETH to Ethereum 2.0

Blockchain4 days ago

Bitcoin supply shortage is due to overwhelming PayPal support

Blockchain5 days ago

US Government to Use USDC Stablecoin to Bypass Venezuela’s Maduro

Blockchain5 days ago

Bitcoin Is the Biggest Big Short

Blockchain5 days ago

HEX Dumps Amid 24-hour LiveStream

Blockchain5 days ago

Why this Ethereum DeFi coin has surged 400% in two days

Blockchain4 days ago

Ethereum 2.0 Deposits Near 200,000 ETH

Blockchain5 days ago

How to Invest in DeFi (The Sequel)

Blockchain5 days ago

Companies Like PayPal Are Adopting Crypto Quicker Than Ever

Blockchain5 days ago

Argentina and Brazil Get Their Own Stellar Stablecoins

Blockchain4 days ago

Cardano on schedule to deliver Goguen, reveals Hoskinson

Blockchain4 days ago

The Long Arm of Justice: How Far Can the DoJ Really Go in Prosecuting Foreign Actors?

Blockchain4 days ago

DeFi Protocol Pickle Finance Hacked For $20 Million

Blockchain5 days ago

CorionX to be listed on BitMart Exchange

Blockchain5 days ago

Chainalysis Becomes Newest Crypto Unicorn After $100M C Funding

Blockchain5 days ago

SushiSwap’s SUSHI Continues Ascent, Rallies 10% on $1B in Deposits

Blockchain5 days ago

3 Reasons Why Analysts Think Bitcoin Will Move Higher After Rally to $18,800

Blockchain4 days ago

Uniswap User Loses $20,000 With a Fake Google Play Store App

Blockchain5 days ago

Market Wrap: Bitcoin Hits $18.8K as Total Crypto Locked in DeFi Passes $14B

Blockchain5 days ago

Is current Bitcoin trend a Bull trap – $20K beckons extended BTC/USD rally

Blockchain5 days ago

BlackRock’s Rick Rieder Says Bitcoin Could Replace Gold

Blockchain4 days ago

Bitcoin’s 14% Weekly Increase Eyes the ATH: The Crypto Weekly Market Update

Blockchain5 days ago

Bitcoin’s 14% Weekly Increase Eyes the ATH: The Crypto Weekly Market Update

Blockchain4 days ago

US Regulator Seeks End to Bank Deplatforming of ‘Disfavored’ Industries (Like Crypto)

Blockchain5 days ago

Malaysia Hits Midtou and Actionnode with Regulatory Warnings

Blockchain2 days ago

Crypto.com Launches Visa Cards for Canadians

Blockchain3 days ago

Chainlink Likely to See an Impulse Higher as Bulls Break Key Range

Blockchain5 days ago

Uniswap User Loses $20,000 With a Fake Google Play Store App

Blockchain2 days ago

Polkadot Aims to Become The New Home for The $14 Billion DeFi Industry

Blockchain2 days ago

Crypto Investment Manager DAiM Launches Company-Sponsored Bitcoin 401(k) Retirement Plans

Blockchain5 days ago

Uniswap User Loses $20,000 With a Fake Google Play Store App

Blockchain4 days ago

XRP Surges 30% Higher—and Analysts Think There’s Upside to Come

Blockchain3 days ago

Bitcoin’s 14% Weekly Increase Eyes the ATH: The Crypto Weekly Market Update

Blockchain3 days ago

88MPH DeFi Token Rallied By 375% After Suffering A Bug: Report

Blockchain3 days ago

Luxury Watchmakers Announce Blockchain-Based Projects

Blockchain1 day ago

Bitcoin shoots past $19,000 as new ATH awaits

Blockchain4 days ago

DeFi Project Spotlight: Rocket Pool, Staking Service for Ethereum 2.0

Blockchain3 days ago

Why this parabolic Bitcoin trend will stop at nothing but $22,000

Blockchain3 days ago

Bitcoin Near Crucial Juncture: Why BTC Could Surge Above $18.8K

Trending