The cryptocurrency market faced a significant downturn following the announcement of President Donald Trump’s U.S. Bitcoin reserve plan
The initiative aimed to position the United States as a global digital asset leader fell short of market expectations, triggering a wave of selloffs.
Bitcoin, the flagship cryptocurrency, experienced a 3% drop, trading at $87,586.86 before dipping further to $84,688.13. Other major cryptocurrencies, including Ethereum, XRP, and Solana, also saw declines, with Cardano’s ADA token suffering a sharp 13% drop.
The market’s reaction underscores the gap between investor hopes and the plan’s immediate implications.
The executive order established a strategic bitcoin reserve funded exclusively by assets seized in criminal and civil proceedings. While this approach ensures no taxpayer burden, it disappointed investors who anticipated direct government purchases to bolster Bitcoin’s value.
White House Crypto and AI Czar David Sacks emphasised the reserve’s role as a ‘digital Fort Knox’, but the lack of immediate buy pressure dampened market sentiment.
The broader economic context also played a role. Weakness in equities and ongoing tariff concerns added to the uncertainty, compounding the market’s reaction.
Analysts noted that while the reserve plan is a step toward legitimising cryptocurrencies, its short-term impact on prices was underwhelming.
Despite the initial disappointment, the strategic reserve could have long-term benefits. By centralising and securing digital assets, the U.S. government aims to strengthen its position in the global financial system.
However, for now, the market remains volatile, reflecting the challenges of balancing innovation with investor expectations.
As the crypto landscape evolves, the success of such initiatives will depend on their ability to deliver tangible value to both the market and the broader economy.
Will the U.S. government create a strategic crypto reserve by directly buying the digital asset and holding it as a national reserve?
At this moment in time, only Trump has that ‘key’.
Bybit, one of the world’s largest cryptocurrency exchanges, has fallen victim to the biggest crypto heist in history
Hackers managed to steal a staggering $1.5 billion in digital assets, primarily in Ethereum, from Bybit’s cold wallet, an offline storage system designed for ‘security’.
This breach has sent shockwaves through the cryptocurrency community, raising concerns about the security of digital assets.
The attack, which occurred on 21st February 2025, was reportedly traced back to the notorious North Korean hacking group, Lazarus. Known for their sophisticated cyber-attacks, the Lazarus Group exploited vulnerabilities in Bybit’s security infrastructure to gain access to the cold wallet.
Once inside, they swiftly transferred the stolen funds across multiple wallets and liquidated them through various platforms.
Bybit’s CEO, Ben Zhou, reassured users that all other cold wallets remained secure and that withdrawals were operating normally. However, the breach triggered a rush of withdrawals as users feared potential insolvency.
To mitigate the impact, Bybit secured a bridge loan from undisclosed partners to cover any unrecoverable losses and maintain operations.
Blockchain analysis firms, including Elliptic and Arkham Intelligence, have been working tirelessly to trace the stolen assets.
They have labelled the thief’s addresses in their software to prevent the funds from being cashed out through other exchanges. Despite these efforts, the stolen funds are being systematically moved through anonymous exchanges, making it challenging to recover the assets.
This incident highlights the ongoing risks associated with cryptocurrency exchanges and the need for robust security measures. As the industry grapples with the aftermath of this unprecedented heist, experts warn that large-scale thefts remain a fundamental risk in the digital asset space.
Bybit’s response and the collaborative efforts of the crypto community will be crucial in restoring trust and preventing future breaches.
Bitcoin’s origin is one of the most captivating mysteries of the digital age. The cryptocurrency was created in 2008 by an unknown individual or group under the pseudonym Satoshi Nakamoto.
Despite numerous investigations, the true identity of Nakamoto remains shrouded in secrecy.
Story
The story of Bitcoin begins with the release of a whitepaper titled “Bitcoin: A Peer-to-Peer Electronic Cash System.” This document outlined a new kind of decentralised digital currency, one that relied on cryptographic principles to ensure security and prevent double-spending.
Nakamoto’s revolutionary vision was to create a financial system free from the control of traditional banks and government interference.
Genesis block
In January 2009, Nakamoto mined the first block of the Bitcoin blockchain, known as the ‘genesis block,’ marking the birth of the cryptocurrency. Over the next couple of years, Nakamoto continued to work on the project, communicating with other developers via email and online forums.
The mystery surrounding the origin of Bitcoin
However, by 2011, Nakamoto had largely stepped away from active involvement in the project, leaving behind a legacy that would forever change the financial landscape.
Speculation
Speculation about Nakamoto’s true identity has been rampant. Some believe Nakamoto is a single, exceptionally talented individual, while others theorise that it could be a group of developers working under a collective pseudonym.
Over the years, various names have been proposed as possible candidates, including renowned cryptographers, developers, and even eccentric entrepreneurs. Yet, none of these theories have been definitively proven, and Nakamoto’s identity remains a closely guarded secret.
Intrigue
The intrigue surrounding Nakamoto is not just a matter of curiosity but also of financial significance. As the creator of Bitcoin, Nakamoto is estimated to own around one million Bitcoins. At current market values, this makes Nakamoto one of the wealthiest individuals in the world.
Bitcoin chart from inception as of 7th November 2024 touching $75,000
Bitcoin chart from inception as of 7th November 2024 touching $75,000
However, these Bitcoins have never been moved or spent, adding to the enigma of Nakamoto’s motives and intentions.
Myth?
The myth of Satoshi Nakamoto has taken on a life of its own, becoming a symbol of the power and potential of decentralized technology. The anonymity of Nakamoto also serves as a reminder of the core principles behind Bitcoin: privacy, decentralisation, and freedom from traditional financial systems.
In a world increasingly dominated by surveillance and control, the mystery of Nakamoto provides a compelling counter-narrative, one that continues to inspire and intrigue both technologists and libertarians alike.
In the end, the true identity of Satoshi Nakamoto may never be revealed, and perhaps that is as it should be. The enduring mystery adds to the allure of Bitcoin, ensuring that its origins will forever be a topic of fascination and debate.
Bitcoin, which could benefit from relaxed regulation, soared to an all-time high and topped $76,000.
Bitcoin rallied Wednesday 6th November 2024, hitting all-time highs as former President Donald Trump defeated Vice President Kamala Harris to win the election an become the 47th U.S. president.
The price of Bitcoin touched a fresh record of $76,493.86.
Bitcoin one-month chart as of 6th November 2024 – New high!
Bitcoin hits new all-time high of $76,493.86 6th November 2024
Trump’s support for crypto
The ‘noises’ around the Trump trade for crypto are reportedly of deregulation, potential tax cuts for an asset that is both held long term but also day traded, less dependency on government financial institutions and the Fed and maybe seen as an alternative as a decentralised currency. Trump has previously indicated support of risk assets and the growth of crypto.
Ether surged 11%, while Solana, rocketed 13%. Payment system token XRP jumped more than 5%. Meanwhile, Meme coins soared, with Dogecoin up more than 15%.
Shares of Coinbase surged around 31%%, posting its best day on record since its first day of trading. MicroStrategy, which has a high correlation play on the price of Bitcoin, advanced 13%.
Bitwise Asset Management, a prominent player in the cryptocurrency investment space, has recently made headlines with its filing for a spot XRP exchange-traded fund (ETF) with the U.S. Securities and Exchange Commission (SEC).
This move marks a significant milestone as it is the first attempt to create an ETF specifically for XRP, the native token of the XRP Ledger.
The proposed Bitwise XRP ETF aims to provide investors with direct exposure to XRP through traditional brokerage accounts. This will make it easier for both institutional and retail investors to gain access to this digital asset. Bitwise’s decision to pursue an XRP ETF underscores the growing recognition of XRP’s potential and its established presence in the cryptocurrency market.
Bitwise is no stranger to the ETF landscape, having successfully launched Bitcoin and Ethereum ETFs in the past. The company’s experience and reputation in managing crypto assets lend credibility to this new venture. However, the approval process for the XRP ETF is expected to be rigorous, given the SEC’s cautious approach to cryptocurrency-related financial products.
The filing comes at a time when the cryptocurrency market is experiencing increased interest from mainstream investors. XRP, known for its fast transaction speeds and low fees, has been a popular choice for cross-border payments and remittances. If approved, the Bitwise XRP ETF could attract a new wave of investors looking to diversify their portfolios with digital assets.
While the SEC’s decision is still pending, the filing itself is a testament to the evolving landscape of cryptocurrency investments. There is a growing acceptance of digital assets in traditional financial markets. Investors and crypto enthusiasts alike will be watching closely as this development unfolds.
Cryptocurrencies fell on Tuesday evening 1st October 2024, with Bitcoin retreating to the $60,000 level following an unstable beginning to what is typically one of its best performing months.
Shares associated with digital currencies also fell in after-hours trading. Crypto exchange Coinbase saw a decline of about 1%, and MicroStrategy experienced a 2% drop, following a decrease of 7.4% and 3.5% at the close.
Escalating conflicts in the Middle East have curbed investors’ appetite for risk as the new trading month and quarter got underway. On Tuesday 1st October 2024, Iran executed a ballistic missile strike on Israel in response to the recent assassination of Hezbollah leader Hassan Nasrallah and an Iranian commander in Lebanon.
The growing turmoil in the Middle East has driven oil prices higher and bolstered the U.S. dollar, casting a shadow over Bitcoin and other speculative assets.
The retail investment platform Robinhood has announced the introduction of cryptocurrency transfers in and out of its app for European customers
As part of its international expansion efforts, the company aims to enhance its product offerings in the region.
According to a blog post-dated Tuesday 1st October 2024, Robinhood will enable customers within the European Union to deposit and withdraw over 20 different digital currencies via its platform, including Bitcoin, Ethereum, Solana, and USD Coin.
This development grants Robinhood’s European clientele the option of “self-custody” of assets, allowing them to personally hold their cryptocurrencies in a privately-owned wallet, rather than relying on a third-party service to manage their funds.
Bitcoin is often likened to a type of digital gold, but Ether is seen more as a native cryptocurrency on the Ethereum blockchain.
It is generally seen as a trade or bet on the growth and of the development of the blockchain and of crypto more widely.
Many of the funds set to launch this week have temporarily waived fees in an attempt to attract buyers.
The Securities and Exchange Commission (SEC) has historically been wary of cryptocurrencies. However, the regulator was defeated in a legal battle last year concerning Bitcoin ETFs, which aided their launch in January 2024.
Given that both Bitcoin and Ether have regulated futures markets, the introduction of ether ETFs was viewed as the industry’s subsequent rational progression.
Bitcoin ETFs have attracted about $17 billion in net inflows since their launch in January 2024.
What is An Ethereum ETF?
An Ethereum ETF, or Ether ETF, is an exchange-traded fund that tracks the price of ether (ETH), the cryptocurrency with the second-highest market capitalization following Bitcoin. Unlike purchasing Ethereum on a cryptocurrency exchange, an Ethereum ETF is bought and sold on traditional stock exchanges.
How an Ethereum ETF works
An Ethereum ETF contains futures contracts linked to Ethereum’s price movements. These contracts enable investors to speculate on Ethereum’s future price without the need to own the cryptocurrency directly.
Investing in an Ethereum ETF offers exposure to Ethereum’s price volatility while eliminating the need to handle wallets or navigate the intricacies of cryptocurrency exchanges. Such ETFs offer traditional investors a practical avenue to engage with the cryptocurrency market, leveraging the conventional environment of stock exchanges.
Ethereum one year price chart as at: 16:10 BST 23rd July 2024 from CoinMarketCAP
Ethereum one year price chart as at: 16:10 BST 23rd July 2024 from CoinMarketCAP
On Thursday 23rd May 2024, the SEC sanctioned a rule amendment that clears the path for ETFs investing in ether, one of the largest cryptocurrencies globally.
This move occurs less than half a year after the Securities and Exchange Commission greenlit Bitcoin ETFs. These funds have been a significant triumph for the industry, with net inflows reportedly exceeding $12 billion.
May was widely anticipated as a likely verdict time for the ether funds, aligning with the SEC’s deadline to determine the fate of the VanEck Ethereum ETF.
Numerous firms that back Bitcoin ETFs – such as Bitwise, BlackRock and Galaxy Digital – have been reported to have initiated the process to launch their own ether ETF.
Ether’s value saw a modest increase following a 20% climb earlier in the week in anticipation of the SEC’s ruling. However, some investors might be holding back, considering the SEC’s approval of the rule change doesn’t ensure the launch of all proposed funds.
Bitcoin rose in volatile trading on Thursday 11th January 2024 after the Securities and Exchange Commission gave the green light for the first-ever spot Bitcoin ETFs to trade in the U.S.
Approval
The Bitcoin ETF approval is a massive achievement for the crypto industry as a whole, which first attempted to launch a Bitcoin ETF some 10 years ago.
Grayscale’s big legal win against the SEC in August 2023 over the regulator’s refusal to let it convert its popular Bitcoin Trust (GBTC) into an ETF breathed fresh optimism into the idea.
Volatile
Following the SEC’s decision, Bitcoin’s value fell then gained some traction, as expected by traders. However, the volume of inflows into the new funds remains to be seen, Bitcoin ETFs are still widely expected to increase demand for the cryptocurrency and drive Bitcoin higher.
It would be unwise to make too much of these Bitcoin price moves in the short-term, but the approval is likely going to lead to some longer-term price increases. Now that the bitcoin ETF speculation has come to fruition it looks like traders may rotate to alternative cryptocurrencies such as Ether to prepare for future market developments.
Altcoin ETFs
The SEC is due to give decisions on spot ETH ETF applications beginning in May 2024. BlackRock, Invesco and Ark Invest are among the firms in line for approval, as well as Grayscale.
The opportunity to be in at the beginning will not want to be missed by these companies.
Bitcoin 7-day chart 6th January – 12th January 2024
Bitcoin 7-day chart from 6th January – 12th January 2024
Bitcoin fell 7% Monday 11th December 2023 after touching $45,000 demonstrating its aptitude for volatility. A $5000 fall in 24 hours.
The move comes after a 12% tear for Bitcoin in December 2023 as expectations grew that the U.S. could soon approve its first spot bitcoin ETF.
Bitcoin has been on a steady climb in recent weeks, following a long period of market apathy that witnessed the price trade in a narrow range for months.
Bitcoin price as of Tuesday 12th December 2023
Bitcoin is a volatile investment – be VERY careful.
The sudden pullback triggered a spike in liquidations. Bitcoin: $146 million in long liquidations on Monday, and Ether: $100 million.
Other Altcoins such as: ADA, XRP fell in unison.
Bitcoin’s volatility will likely see it climb back to the $45,000 level quite quickly.
NOTE: Bitcoin can damage your wealth. Do your research!
Crypto, short for cryptocurrency, is a digital or virtual currency that uses cryptography for security and operates independently of a central bank. Cryptocurrencies are decentralised currencies, meaning they’re neither issued nor governed by a central bank.
Some cryptocurrencies are issued by their developers, while others are generated by their respective network algorithms. They exist and operate on a public ledger called a blockchain, which records all crypto transactions. Blockchain encryption is designed to make all transactions safe and secure from tampering, counterfeit, and other forms of fraudulent transactions.
‘Do you know what crypto is? Nope, absolutely no idea, do I need to?’
Digital Wallet
Cryptocurrencies can be stored in a ‘digital wallet’ on a smartphone or computer, and owners can send them to people to buy things. Although we can’t see or touch cryptocurrencies, they do hold value. Cryptocurrencies are now being used to purchase many different products and services, and some people are even buying cars and houses with their digital assets. They’re not widely used at the moment, but many believe the use of cryptocurrencies could one day become a common way to trade.
Is there a future for a digital currency?
However, the future of cryptocurrency is uncertain and opinions are divided. Some predict that institutional money entering the market and the possibility of crypto being floated on the Nasdaq could add credibility to blockchain and its uses as an alternative to conventional currencies. Others predict that regulators around the world might come together on a global framework for crypto regulation, but this looks unlikely right now. It is impossible to predict the future of the crypto market with absolute certainty.
Despite a strong start to 2023, some analysts remain cautious on growth and predict pressure for digital assets. Cryptography and blockchains will continue to be integral parts of the modern economic toolkit.
In conclusion, while there is no consensus on whether crypto is the future of currency, it is clear that it has the potential to play a significant role in the future of finance.
Stop crypto?
There is evidence to suggest that the US, EU, UK and other nations are trying to regulate the crypto market. Some people in the crypto world believe that recent attempts to ring fence the crypto industry and cut off its connectivity to the banking system are reminiscent of a little-known Obama-era program called ‘Operation Choke Point’. This refers to a 2013 US government initiative that sought to cut off undesirable industries from banking services.
Meltdown
The sector was already under pressure, after prices of virtual currencies collapsed last year. Further damage came from the meltdown of several high-profile firms, including FTX, run by the so-called ‘Crypto King’ Sam Bankman-Fried, whom prosecutors have accused of conducting ‘one of the biggest financial frauds’ in US history. Jolted by the turmoil, US regulators stepped up their policing of the sector, which authorities say has been on notice since at least 2017 and that their activity runs afoul of US financial rules intended to protect US investors.
Crackdown?
The campaign has yielded a steady drumbeat of charges against crypto firms and executives, alleging violations ranging from failing to register properly with authorities and provide adequate disclosure of their activity to, in some cases, more damaging claims such as mishandling of consumer funds and fraud. The crackdown culminated this month in legal actions against two of the biggest platforms: Coinbase and Binance.
However, during a hearing on cryptocurrency and blockchain technology regulation, Senate Banking Committee Chairman Mike Crapo shared his belief that the United States would not be able to succeed in banning Bitcoin.
In conclusion, while there is evidence that the US is trying to regulate the crypto market, it is not clear if they are trying to stop it completely and there is also evidence that suggests that the US would not be able to succeed in banning Bitcoin.
What was operation choke point?
‘Operation Choke Point’ was allegedly an initiative of the United States Department of Justice that began in 2013 under the Obama administration. The program investigated banks in the United States and the business they did with firearm dealers, payday lenders, and other companies believed to be at a high risk for fraud and money laundering. It was an attempt by President Obama’s Department of Justice, the Federal Deposit Insurance Commission, the Consumer Financial Protection Bureau, and other government agencies to cut off banking and financial services for small businesses and industries that they deemed to be illegal enterprises or otherwise undesirable.
