The biggest crypto news and ideas of the day |
Were you forwarded this newsletter? Sign up here. Don't want this newsletter? Unsubscribe |
|
|
XRP for Corporate Treasuries |
Worksport (WKSP), a tiny Nasdaq-listed maker of covers for pickup truck beds, has added its own twist to the newly popular corporate strategy of buying bitcoin that was introduced and made famous by Michael Saylor's MicroStrategy (MSTR). The New York-based company, which has a $20 million market capitalization, is investing up to 10% of its cash reserves into bitcoin (BTC) and also Rippleâs native cryptocurrency, XRP (XRP). At present, that equates to up to $5 million. This shift is intended to protect the companyâs assets against inflation and to enhance transaction efficiency, the company said. Since Donald Trump's election a month ago, at least a dozen other companies have announced they plan to stash extra cash in bitcoin. But Worksport's embrace of XRP, the third-largest cryptocurrency by market cap, is different. âI think that XRP is becoming a much more stabilized currency and asset and [...] while I think that over the next little while, itâll be volatile like most assets are, we think that itâll be stable enough and bring value enough for us to build parts in cash there and enjoy some upside potential,â Steven Rossi, founder and CEO of Worksport, said during an interview. Rossi has personally invested in XRP for a few years, he told CoinDesk, and believes that it is crucial for businesses to own decentralized assets. "When I saw my wallet and I saw that XRP has been doing quite well recently, I was pleasantly surprised, and it reaffirmed that ⊠these [are] early assets that really challenge central banking," he said. |
|
|
Welcome to XION, the first walletless layer-one blockchain purpose-built for consumer adoption â no wallets, no keys, no hassle â just innovation. With XION, developers can build, launch, and scale products that are ready for the masses, thanks to novel Chain Abstraction infrastructure. All it takes to join the crypto revolution? An email. Ready to take the leap? Explore XION today at xion.burnt.com |
|
|
Dogecoin Mining Profitable |
Publicly traded BIT Mining (BTCM) will continue its self-hosted mining operations for dogecoin (DOGE) and litecoin (LTC) after the endeavor reaped three times more profit than its bigger bitcoin (BTC) mining operations, per a release.
BIT Mining said it had mined 84,485.42 LTC (worth $10 million at current prices) and 227,908,250 DOGE (worth a whopping $100 million) since it started its self-mining business. It reported having over 5,500 active mining machines, representing 1.32% of the global network hash rate in LTC, DOGE and the smaller Belcoin (BEL). Such gains on its DOGE operations came as the tokenâs prices have more than tripled since late September on repeated endorsements by technocrat Elon Musk and the proposal of a Department of Government Efficiency (D.O.G.E), a non-governmental department under the upcoming Trump administration.
"The recent rally in Litecoin and Dogecoin, fueled in part by Elon Musk's influence and the changing regulatory landscape in the US after the Trump win, has had a major impact on mining profitability," Dr. Youwei Yang, VP of Mining at BIT Mining, said in a statement. "Many analysts predict this upward trend will continue through 2025, reflecting confidence in DOGE's potential and the broader growth of the cryptocurrency industry."
Mining is the process by which transactions for various cryptocurrencies are verified and added to the blockchain using powerful computers to solve complex mathematical problems, which validate these transactions, in return for token rewards.
Following Bitcoin's latest halving in April 2024, which halved the block reward for miners, many have turned to alternative strategies to maintain profitability. Some firms have repurposed mining infrastructure for AI applications, selling computational power for tasks beyond crypto mining. |
|
|
Bitcoinâs Pumping. Memes Are Minting Millionaires. The bear marketâs snoozing, and the bull run is here.
Consensus Hong Kong is where you level up, make moves and position yourself to win. Top global leaders will be there. Will you?
Prices rise Dec. 13 at 10 a.m. ET/ 11 p.m. HKTâsave $700 and get an extra 15% off with code NODE15. Donât miss out. Register today. |
|
|
Jonathan Levin has taken over the top job at crypto analytics company Chainalysis two months after co-founder and longtime CEO Michael Gronager went on leave.
Chainalysis is a major provider of crypto compliance software to governments and corporations that want to know where their digital money is flowing. Its various tools peel back the perceived anonymity of cryptocurrencies.
Demand for such services is only likely to grow if the incoming U.S. administration's pro-crypto talk sparks a wider adoption boom, said Levin, the company's former chief strategy officer.
"What the company needs right now, given all of the excitement in the market and the strong financial position of Chainalysis, is to be a market leader for our customers and to take bets on broadening the platform," Levin said.
Levin co-founded Chainalysis with Gronager in 2014. He declined to elaborate on the reasons behind his counterpart's departure, saying only that the board and Gronager agreed it was time for a change. Chainalysis' president Sari Granat had been serving as interim CEO.
Gronager's now-vacant board seat is being filled by Paul Auvil, a longtime tech and finance executive who will serve as an independent director and chair of the audit committee.
Private companies often stock their boards with independent directors before filing for an initial public offering, which is a prerequisite for getting listed on the major American stock exchanges. Chainalysis has raised money in numerous funding rounds from venture backers who may not see their payday until they have access to the liquidity that comes with public markets. Levin declined to comment on when, or whether, Chainalysis was planning to go public. "I have been really myopically focused on making sure that Chainalysis is building the best solutions in current market conditions," he said. |
Successful Trading Takes More Than a Bull Market Choosing the right exchange is crucial throughout the business cycle. This has been a very, very good month to trade in crypto. People who regularly read CoinDesk are making money just by checking their phone alerts. And yet, this environment isnât as kind to the exchanges. Continue reading here. |
Circle Cuts 6% of Workforce |
Circle Internet Financial, issuer of the world's second-largest stablecoin, USD Coin (USDC), has made some layoffs as part of a regular review of its operations.
The job cuts amount to "less than 6% of Circle's workforce," according to Bloomberg, which reported the news earlier. Circle confirmed the figure in an email. Circle, which filed for an initial public offering in the U.S. in January, said it had 882 employees in June, so 6% would equate to just over 50 people.
"Circle regularly reviews our investments and expenses [which] includes investing in teams and operational infrastructure that need to grow, while marginally reducing spend and some roles in other areas of the business," Circle said in the email.
With a market cap of $40.4 billion, according to CoinDesk Indices data, USDC is second only to Tether's USDT across the stablecoin market. Stablecoins are crypto tokens pegged to the price of fiat currencies, usually the U.S. dollar.
|
The Takeaway: Bitcoin Above $100K |
There were many crypto firsts in 2024: the first spot bitcoin ETF, the first spot ether ETF, the first time a pension fund invested in the asset class. But they saved the best for last: In the waning days of the year, bitcoin (BTC) hit six digits for the first time. The cryptocurrency surged past the $100,000 mark early Thursday UTC time, mushrooming from zero value into a $2 trillion asset in a little over a decade and a half.
It's a milestone that was difficult to imagine not long ago. Just two years ago, the entire cryptocurrency space was reeling from the cataclysmic implosions of FTX, Celsius and the Terra-Luna ecosystem. In the eyes of the general public, a toxic cloud hung over the whole industry. Bitcoin sank to around $15,000 and, to many mainstream observers, was wheezing in its final breaths.
Now, bitcoin has soared more than 500% from the desperate days of November 2022 when Sam Bankman-Fried's empire collapsed. A big difference between prior boom-bust cycles: Wall Street is firmly participating in this year's rally. The newly approved ETFs have lured institutions. Salesforces at mighty traditional financial giants like BlackRock are hawking crypto-related products. The soon-to-be U.S. president, Donald Trump, supports bitcoin and digital assets; he even has a DeFi project.
Whether itâs long-term believers, newly converted enthusiasts or even heads of state, many are taking victory laps â and longtime skeptics and permabears are coping.
Here's what prominent people are saying about BTC hitting $100,000:
Donald Trump, U.S. president-elect: "CONGRATULATIONS BITCOINERS!!! $100,000!!! YOUâRE WELCOME!!!
Mike Novogratz, CEO of Galaxy: "$100,000 Bitcoin. A milestone that represents more than priceâitâs proof of adoption, belief, and a community that has carried this revolution from 0 to 100. With world leaders leaning in and a generational wealth shift underway, this is just the beginning."
Peter Schiff, prominent gold and stock investor, and bitcoin skeptic:
"It's ironic that bitcoin only hit $100K by buying off politicians and getting in bed with government. Without expected government intervention, this milestone never would have been hit. What couldn't be done in a free market was achieved through the cohesive power of the state."
Brian Armstrong, CEO of Coinbase:
"If you bought $100 of Bitcoin when Coinbase was founded in June 2012, it would now be worth about $1,500,000. If you kept the $100 USD you'd only be able to purchase about $73 worth of goods today. Bitcoin is the best performing asset of the last 12 years, and it's still early days."
Read the rest here. |
|
|
|
