MicroStrategy increased its holdings of 850 BTC in January and the Federal Reserve terminated FTX-related enforcement

Headlines

▌MicroStrategy increased its holdings of 850 Bitcoins in January, and its holdings increased to 190,000 as of February 5

MicroStrategy (MSTR.O) said that as of February 5, 2024, the company held 190,000 Bitcoins, with a total cost of $5.93 billion, and each Bitcoin was worth is $31,224.  

The company stated that it increased its holdings of 850 Bitcoins at a price of $37.2 million in January this year. It has purchased an additional 31,755 Bitcoins since the end of the third quarter of last year, which is the largest quarterly increase in the past three years and the 13th consecutive quarter of increasing Bitcoin holdings on its balance sheet.

▌Fed terminates enforcement action against FTX-related Farmington State Bank

According to Bloomberg news, the Federal Reserve said on Tuesday that it had terminated its enforcement action against Farmington State Bank, which had ties to bankrupt cryptocurrency company FTX.  

The Fed said its actions, effective since July last year, ensure that banks can protect depositors in the event of bank failure. The central bank said Farmington no longer functions as a bank.

Quotes

As of press time, according to coinmarketcap data:

The recent transaction price of BTC was 43,090.1 US dollars. Intraday increase or decrease-0.36%;

ETH’s recent transaction price was US$2,372.7, with intraday gains and losses+1.25%;

BNB’s recent transaction price was US$302.8, with intraday changes +0.00 %;

The recent transaction price of 0.18%;

DOGE’s recent transaction price was US$0.07849, with intraday gains and losses-0.11%;

ADA’s recent transaction price was US$0.4987, with intraday gains and losses+0.32%;

SOL’s recent transaction price was US$97, rising during the day Decline+1.29% .

Policy

▌U.S. Republican congressmen wrote to the Secretary of the Treasury asking about issues related to the regulation of the crypto spot market

U.S. Republican lawmakers sent a letter to U.S. Treasury Secretary Janet Yellen, seeking regulatory issues related to the crypto spot market and how the Financial Stability Oversight Council (FSOC) she leads at the federal level. Decide on your definition of cryptocurrency.   

"Despite identifying these gaps, regulators have failed to create an environment in the United States that ensures consumer protection and promotes digital asset innovation," the lawmakers said in a statement.  

Lawmakers also asked the FSOC whether it considers Bitcoin and Ethereum not to be securities and whether it would be appropriate to expand the CFTC’s jurisdiction to cover spot markets. They said they hoped to receive a response by February 20.

▌The US SEC adopts new rules to impose stricter supervision on traders in the crypto and DeFi fields

The US SEC voted today Adopted rules requiring market participants with significant liquidity provision roles to comply with federal securities laws and include cryptocurrencies. The 247-page rule will apply to participants who trade crypto assets that meet the definition of securities or government securities, except those with assets below $50 million.  

These rules will also affect DeFi. The rules state: "If a participant's trading activities in crypto-asset securities, including the products, structures and activities involved in the so-called DeFi market, comply with the provisions of the final rule, The definition of 'as part of regular business' (i.e. the participant engages in a regular pattern of buying and selling cryptoasset securities that has the effect of providing liquidity to other market participants, as described in the Qualitative Standard) and does not apply to any Exception or exclusion, the participant will be required to register as a dealer or dealer in government securities".

▌SEC delays decision on Invesco Galaxy Ethereum ETF

Bloomberg Analysis Analyst James Seyffart said that the SEC today postponed its decision on the Invesco Galaxy Ethereum ETF, which is 100% in line with expectations. More delayed decisions will continue to occur in the next few months. The only important date for the Ethereum spot ETF is currently May 23rd.

▌The US Treasury Secretary calls for crypto legislation on “non-security” tokens

U.S. Treasury Secretary Janet Yellen said at a hearing held by the House Financial Services Committee (HFSC) on Tuesday: "Congress should pass legislation to regulate stablecoins and the spot market for non-security crypto assets." .  

Yellen acknowledged that current rules and regulations should also be enforced, and cited various ways in which digital assets could affect the country's financial stability, including "runs" on exchanges or stablecoin providers, and volatility in cryptocurrency markets. Regarding stablecoins, Yellen said that federal regulators should be able to shut down stablecoin issuers that do not meet the national "regulatory bottom line" and that it is "critical" to provide regulatory protection for stablecoin wallet holders.

Blockchain Applications

▌SuperVerse Announces Integration with LayerZero

SuperVerse announced that it is integrating LayerZero to create a unified gaming network within web3. SuperVerse’s token SUPER is now OFT. This integration supports connections to more than 50 chains, in line with SuperVerse’s goal of promoting widespread adoption of web3 games. Target.

▌Neon EVM and deBridge integrated for cross-chain interoperability

Neon EVM (Parallel Ethereum Virtual Machine on Solana) announced an integration with deBridge for cross-chain interoperability, which according to the team is a streamlined solution. Users can bridge tokens directly, enhancing the overall user experience by eliminating unnecessary intermediate steps and restrictions. For Neon EVM developers, it provides a direct gateway to interoperate with the EVM native chain.

▌VanEck Consultant: Blockchains that require validators to coordinate the implementation of specific software to restart are neither Decentralization is not censorship-resistant

VanEck consultant Gabor Gurbacs posted on the X platform that validators need to coordinate and implement specific software to restart/operate blocks (after being offline for several hours) The chain is neither decentralized nor censorship-resistant. Most of the time, this isn't a problem, but when it matters, it's a big deal.  

Golden Finance previously reported that Solana restarted after being offline for nearly 5 hours. Gabor Gurbacs may be alluding to Solana.

Cryptocurrency

▌The U.S. spot Bitcoin ETF has been net bought approximately 3.8 since its launch 10,000 BTC

Data released by HODL15Capital shows that since the launch of the US spot Bitcoin ETF, a net purchase of approximately 38,000 BTC has been made, and spot Bitcoin ETFs including GBTC have been purchased for 7 consecutive days. Achieve net buying.

▌Cleanspark acquires Bitcoin mining farm for $19.8 million, expanding operations into Mississippi

Cleanspark announced that it will acquire three Bitcoin mining farms for $19.8 million, expanding its operational footprint into Mississippi. Cleanspark said these Mississippi data centers will contribute approximately 2.4 EH/s of computing power to the company’s total mining capacity. In addition to Mississippi, the company also acquired a mine under construction in Dalton, Georgia. Cleanspark estimates that its goal is to have a computing power of more than 20EH/s by the first half of 2024.

▌Data: Coinbase holds nearly 40% of BTC liquidity in the US market

Data released by Kaiko research analyst Dessislava Ianeva shows that Coinbase holds nearly 40% of BTC liquidity in the US market, followed by Kraken (33%) and Bitstamp (9%).

▌BlackRock Spot Bitcoin ETF Inflows in 2024 Climbing to the fifth highest among all ETFs in 2024

Just 17 days after its launch, BlackRock’s iShares Bitcoin Trust (IBIT) has become the 2024 largest in terms of inflows, according to Bloomberg Intelligence data The fifth-highest-ranked ETF of the year. The iShares Core S&P 500 ETF (IVV) ranks first with $13 billion in inflows so far this year and $428 billion in assets under management (AUM). In second place is the Vanguard 500 Index Fund ETF (VOO), with $11.1 billion in inflows and nearly $398 billion in assets under management.  

Also among the top 10 in terms of inflows this year is Fidelity’s Wise Origin Bitcoin Fund (FBTC), which ranked eighth with an inflow of US$2.7 billion.

▌As of the end of January Hut 8 holds 9,116 Bitcoins on its balance sheet

Hut 8 has released a January 2024 operating update, the company holds 9,116 Bitcoins on its balance sheet, the company and Ionic Digital signed a multi-year colocation service agreement and plans to add more than 12EH/s capacity and 300 MW of infrastructure to the colocation service business starting in February.

▌Craig Wright denied fabricating evidence that he was Satoshi Nakamoto during the trial

Craig Wright denied fabricating evidence that he was Satoshi Nakamoto during the second day of COPA trial. The British judge examined key evidence provided by Wright, including credit card payments, emails, documents and tweets, which COPA said proved the computer scientist's claim to be Satoshi Nakamoto was a "shameless lie". The judge will allow COPA to examine the new evidence and question Wright about the material if necessary. According to the tentative timetable announced by the court, Wright's trial will continue until at least February 13.

< strong>▌Data: Coinbase’s BTC market depth surges to over $70 million in past months

Kaiko data shows that in the past few months, across all markets , Coinbase’s BTC market depth has surged to over $70 million.  

According to the official explanation, market depth broadly refers to the market’s ability to maintain relatively large market orders without affecting asset prices. Market depth considers the overall level and breadth of open orders and is calculated based on the number of buy and sell orders at different price levels on either side of the mid-price. If the market depth for a given currency pair is "deep," it means that both buyers and sellers have a sufficient number of open orders, which ultimately makes it easier to exchange the asset at a price that reflects its intrinsic value. The weaker the market depth, the easier it is for larger market orders to change prices, which can negatively impact traders.

Important Economic Updates

▌Federal Reserve Mester: Still leaning towards three conducts in 2024 Interest rate cuts

Federal Reserve Mester said it still prefers three interest rate cuts in 2024. But Mester was unwilling to provide a timetable for a rate cut, saying there was no urgency to cut rates and more data was needed before deciding on interest rates.

Golden Encyclopedia

▌Grayscale Bitcoin Trust

GBTC is a digital financial instrument designed to provide support for cryptocurrencies Investment opportunities in the Bitcoin market are provided to interested individuals, eliminating the need for direct access to the underlying asset. Grayscale has played a pioneering role in Bitcoin (BTC) accessibility with the launch of Grayscale Bitcoin Trust (GBTC), marking the creation of this first-of-its-kind Bitcoin fund that investors can access through one familiar investment vehicle BTC.

Disclaimer: As a blockchain information platform, Golden Finance publishes articles for information reference only and not as actual investment advice. Please establish a correct investment philosophy and be sure to increase your risk awareness.