Staying updated on the ever-changing cryptocurrency market doesn’t have to be as tough as predicting what Trump will say next. I’ve rounded up the latest set of news to help y’all stay in the loop.
First off, here’s a snapshot of how bitcoin and its buddies have fared in the past seven days as of July 20, 3:00 am GMT. All green, fellas!
Spotlight on institutional interest
You can bet on bitcoin and its buddies stepping on the gas when the big boys of finance are involved! All the attention on institutional funds eyeing the space was seen as the main catalyst propping prices higher and giving traders a huge case of FOMO for the week.
Newswires picked up on BlackRock, the world’s largest asset manager with $6.3 trillion in assets as of June 30, forming a working group to study opportunities in cryptocurrency and blockchain technology. This was confirmed by CEO Larry Fink in an interview with Reuters early in the week, admitting that they “are a big student of blockchain.”
Although Fink clarified that he doesn’t see “huge demand for cryptocurrencies” among investors, this still represents a shift from his earlier view that bitcoin is a purely speculative investment that thrives on anonymity.
This also follows earlier reports that Cohen Private Ventures is also exploring the crypto space by investing in Autonomous Partners, which has been acquiring equity in blockchain companies. This fund is run by no less than billionaire Steven Cohen, who was dubbed “Hedge Fund King” a few years back and has a net worth of over $14 billion.
Later in the week, HSBC Global Head of Digital Josh Bottomley cited that the bank is “cautiously looking” at use cases for digital currencies. While he expressed some doubts that cryptocurrencies could serve as genuine investment assets due to their volatility, he admitted:
“There’s a use case when you have a token or currency that’s actually useful for a particular purpose, and it serves that need.”
Positive spin on regulation
With crypto traders back in good spirits, market watchers appear to be welcoming regulatory updates more positively. After all, this could improve the industry’s legitimacy and pave the way for better security in exchanges and transactions.
In Japan, the Financial Services Agency (FSA) announced an overhaul to better deal with the growing fintech sector, which includes cryptocurrencies. The agency created the Strategy Development and Management Bureau to replace the Inspection Bureau in creating policy to address issues in digital currencies and money laundering.
The Policy and Markets Bureau will replace the Planning and Coordination Bureau in drafting a comprehensive legal framework to address growth in the fintech sector.
Meanwhile, a report presented by the Financial Stability Board to G20 finance ministers and central bank governors stated that crypto assets “do not pose a material risk to global financial stability at this time.” However, the FSB still stressed the need for “vigilant monitoring in light of the speed of market developments. “
BitLicense for BitPay
Another major crypto-related firm got the stamp of approval from the Empire State! This is a pretty huge deal since New York has one of the strictest policies involving cryptocurrencies, and only eight companies so far have been able to get the thumbs-up.
BitPay was able to secure the coveted BitLicense from the New York Department of Financial Services (NYDFS), allowing it to provide its payments processing services to customers and companies in the state.