2024-07-24 15:01

The post-transaction entity will also have more than 1,000 BTC ($67 million) on its balance sheet Fold offers a cashback debit card which provides bitcoin rewards instead of traditional rewards one would expect from other products. The company is aiming to go public through a merger with SPAC Emerald Acquisition. Bitcoin rewards app Fold is planning a public listing on Nasdaq through a merger with special-purpose acquisition company (SPAC) Emerald Acquisition Corp. (EMLD). New York-based Fold offers a cashback debit card which provides bitcoin rewards instead of traditional rewards one would expect from other related products. Fold's cards have processed over $2 billion in volume and distributed more than $45 million worth of rewards, according to an announcement on Wednesday. The transaction, which has been unanimously approved by the boards of both firms, will have a pre-money equity valuation of $365 million. The post-transaction entity will also have more than 1,000 BTC ($67 million) on its balance sheet. Fold has not yet disclosed the expected closing of the merger nor the ticker it will trader under on Nasdaq. SPACs were a popular way for crypto firms to attain public listings during the last bull cycle. However, the onset of the crypto winter in 2022 saw several muted SPACs cancelled. It is unclear as yet whether this bull cycle will see more of such deals come to fruition. Bitcoin financial services firm Swan cancelled its SPAC plans on Monday, amid a reorganization which also saw it discontinued its managed mining unit and cut staff across several units. Read More: Crypto-Friendly Bank Revolut Plans to Sell $500M of Employee Shares at $45B Valuation: WSJ https://www.coindesk.com/business/2024/07/24/bitcoin-rewards-app-fold-eyes-nasdaq-listing-via-365m-spac-deal/

2024-07-24 10:27

The company also plans to extend the service to other markets by the end of the year. Ferrari wants "to support dealers in better addressing the evolving needs of its clients." Despite crypto's popularity as an investment tool, it remains relatively rare for major companies to accept it as a means of payment. Ferrari (RACE) will extend its provision for cryptocurrency payments to Europe by the end of July, Reuters reported on Wednesday. The Maranello, Italy-based luxury sports car manufacturer began accepting crypto in the U.S. last October, in partnership with BitPay. Bitcoin {{BTC}}, ether {{ETH}} and USD coin {{USDC}} were the tokens accepted. Ferrari is now extending the program to Europe "to support dealers in better addressing the evolving needs of its clients," Reuters said, citing a company statement. The company plans to extend the service to other markets by the end of 2024. Despite crypto's popularity as an investment, it remains relatively rare for major companies to accept it as a means of payment, possibly due to lack of demand from customers. Crypto holders might not wish to spend their coins on everyday purchases out of concerns they'll be worse off if the crypto's value increases. This may not be an issue with luxury items like cars, which also hold long-term value. Neither Ferrari nor BitPay responded to CoinDesk's request for comment. Read More: Bitcoin Payments App Strike Enters UK as Global Expansion Rolls Out https://www.coindesk.com/business/2024/07/24/ferrari-to-extend-cryptocurrency-payments-to-europe-reuters/

2024-07-24 09:22

Bitwise’s BITB led with $70 million in net outflows, followed by Ark’s ARKB at $52 million and Grayscale’s GBTC at $27 million. Bitcoin ETFs experienced a net outflow of $77 million, snapping a 12-day streak of inflows. Traders say price action will remain subdued until U.S. presidential candidates comment on cryptocurrency regulation. Bitcoin (BTC) exchange-traded funds (ETFs) broke a 12-day inflow streak on Tuesday as investors withdrew a net $78 million from the U.S.-listed products, data from SoSoValue shows. Bitwise’s BITB led with $70 million in net outflows, followed by Ark’s ARKB at $52 million and Grayscale’s GBTC at $27 million. BlackRock’s IBIT was the only product with a net inflow, $72 million, lifting its net assets under management above $22 billion for the first time. The activity came as ether (ETH) ETFs went live, racking up $107 million in net inflows as trading volume topped $1 billion. The bitcoin ETF outflows came after strong inflow days on Monday and Friday, when they took on more than $420 million each day. Despite the outflows, BTC prices remained steady above $66,000, losing just over 0.5% in the past 24 hours. The broad-based CoinDesk 20 (CD20), a liquid index of the largest tokens, minus stablecoins, lost 0.6%. Traders said they expect the current lull in price action to continue until fresh commentary from U.S. presidential candidates, which may shed light on the future of cryptocurrency regulation in the country. "The market is still awaiting a few key catalysts to take effect,” Alice Liu, research lead at CoinMarketCap, said in an email. “The market is in 'wait and see' mode ahead of Trump's speech at the Nashville Conference on July 25th, where it is anticipated that he may announce BTC to be used in the national reserves.” “If this does happen, it will trigger a parabolic rise in Bitcoin's price,” Liu said. Singapore-based QCP Capital said in a Telegram broadcast on Wednesday that “prices may remain subdued until momentum builds up leading to the elections” as sentiment was dented with the “potential selling pressure from the US Government and Mt Gox.” https://www.coindesk.com/markets/2024/07/24/bitcoin-etfs-break-inflow-streak-as-traders-look-to-trumps-nashville-appearance-for-volatility/

2024-07-24 08:54

The broker raised its price target for the shares to $15 from $12 and reiterated its buy rating. Canaccord raised its Iris Energy share-price target to $15 from $12. The bitcoin miner has ample power supplies and high-performance computing options, the report said. Iris can monetize the infrastructure it is building for bitcoin mining, cloud computing and AI colocation, the broker said. Iris Energy (IREN) is positioned to become the most efficient and one of the biggest publicly listed bitcoin {{BTC}} miners, with options in high-performance computing (HPC) as it starts its pilot in Childress, Texas in the second half of the year, broker Canaccord said in a research report on Tuesday. As the Sydney-based company scales its business, there are very few bitcoin miners with the same amount of power at their disposal, the report said. “The company is building 510 megawatts (MW) of data centers in 2024, secured 2,160 MW of power capacity, and has a 1 gigawatt (GW) plus development pipeline,” analysts led by Joseph Vafi wrote. The broker raised its share-price target for the company to $15 from $12 while maintaining its buy rating. Iris Energy was trading 1.6% higher at $11.06 in early Wednesday trading on Nasdaq. Mining stocks have rerated in recent months following Core Scientific’s (CORZ) artificial intelligence (AI) deal with cloud computing firm CoreWeave. This suggests that the market thinks AI and HPC opportunities could offer alternative and more accretive use cases for bitcoin mining sites, Wall Street giant JPMorgan (JPM) said in a report last week. Earlier this month, Iris Energy shares slumped 14% after a short seller said the Childress site was not suitable for hosting artificial intelligence or high-performance computing. They are still priced well below the pre-slump level of almost $14. Given that Iris Energy is primarily an infrastructure company, “we think management will be opportunistic in expanding the use case for its data centers beyond bitcoin mining and is well-prepared from a power, cooling, and network perspective,” Canaccord wrote. Bitcoin mining is a proven value proposition for Iris Energy and also helps to pay for infrastructure build outs, the note said. There are several ways the company can monetize the infrastructure it is building, “including bitcoin mining, AI cloud, and AI colocation,” the report added. https://www.coindesk.com/markets/2024/07/24/iris-energy-is-positioned-to-become-one-of-the-biggest-listed-bitcoin-miners-canaccord/

2024-07-24 07:13

"Doctor copper" is losing ground against safe haven gold, signaling economic weakness and risk aversion on the horizon. The Copper-to-gold ratio has tanked to lowest since November 2020, offering bearish cues to risk assets, including cryptocurrencies. The sliding ratio also means lower interest rates ahead. Suppose you have been following the crypto market for some time. In that case, you might have heard market participants say that the debut of bitcoin (BTC) spot ETFs in the U.S. has unlocked mainstream demand worth billions of dollars, setting the cryptocurrency on a long-term bullish trajectory. However, traders should recognize that the expected billions are still dependent on economic developments. Hence, traders need to pay close attention to critical macro indicators like the copper-to-gold ratio. The ratio is falling fast, a negative sign for risk assets, including cryptocurrencies. The ratio, representing the division of the market price per pound of copper by the per ounce price of gold, has dropped over 8% this month, reaching the lowest since November 2020, according to data tracked by TradingView and MacroMicro. Demand for copper, a metal deeply embedded in the manufacturing sector, is closely tied to industrial activity. Hence, the metal is widely called "Doctor Copper," a proxy for economic health and investor risk appetite. Meanwhile, gold is considered a haven. As such, their relative valuation reflects investors' appetite for risk and growth-sensitive assets like technology stocks and bitcoin relative to havens like gold and Treasury notes. Traditional market giants like DoubleLine Funds are known to track the ratio for cues about demand for risk assets. "The ratio of copper to gold rises as the global economy expands, and the stocks rise, too. When economic uncertainties increase, demand for gold for hedging rises, and copper-to-gold declines," the data tracking website MacroMicro said in the chart explainer. In a nutshell, bitcoin could see downside volatility if the falling copper-to-gold ratio is a guide. Lower interest rates ahead Historically, the sliding copper-to-gold ratio has portended a renewed downward trajectory in interest rates, more specifically, the 10-year Treasury yield, or the so-called risk-free rate, according to Double Line Capital. According to Morningstar, the U.S. Federal Reserve's benchmark interest is expected to fall from the present 5.35% to 5.5% range to 4.75%- 5.00% at the end of 2024, 3.00%- 3.25% at the end of 2025, and 1.75%- 2.00% by the end of 2026. So, bitcoin and risk assets could find their footing once the initial shock from potential economic weakness signaled by the copper-told-ratio is priced in. Low interest rates eventually trigger search for yields and renewed inflow of money into risk assets, as observed following the coronavirus-induced crash of March 2020. https://www.coindesk.com/markets/2024/07/24/bitcoin-bulls-beware-as-doctor-copper-slides-against-gold/

2024-07-24 04:35

There has definitely been a vibe shift in the 2024 race, but it's unclear how crypto fits into that. Vice President Kamala Harris is now the presumptive Democratic Party nominee for President of the United States, after President Joe Biden abruptly announced he was withdrawing from the race. With her ascent to the top of the party ticket comes questions about how a potential Harris Administration might differ from the Biden Administration's approach to crypto. Vibe shift The narrative Vice President Kamala Harris becoming the presumptive Democratic nominee for president after President Joe Biden announced he would no longer seek the seat led to a definite vibe shift. ActBlue, a Democrat-focused fundraising service, reported $160 million in inflows since Biden announced he would be stepping down according to an open-source tracker, while Harris's campaign said it received $81 million by Monday afternoon. Why it matters For the crypto industry, the real question is whether and how much Harris diverges from Biden, and how she might contrast with former President and Republican nominee Donald Trump. Harris has been the presumptive nominee for less than a day, and it's only been about two days since she took over the campaign, so it's really hard to say just yet. What is clear is that there is a possibility for a reset of sorts – entrepreneur Mark Cuban told Politico the Harris campaign has expressed interest in crypto (among other issues), while David Bailey of Bitcoin Magazine said the campaign is considering speaking at BTC Nashville later this week. Breaking it down While it is difficult to assess how presidential nominee Kamala Harris might approach crypto, the mere fact that she's now the new standard bearer for her party suggests the crypto industry can take a new approach toward the 2024 election. "You play the hand that you're dealt, and now we have a new set of cards," said Sheila Warren, the CEO of the Crypto Council for Innovation, an industry interest group. It's unlikely that Harris will pivot the Democratic campaign to being immediately and overtly appealing to crypto, but multiple people tell me that her taking over the campaign will be a reset. A Congressional staffer told CoinDesk that the new campaign provides "an opportunity to reset," pointing out that industry groups have already written open letters to the campaign and Democratic Party about crypto. And, in their view, the new campaign may be more receptive to these issues. Something both the staffer and Warren pointed out is Harris being from California implies she may already be more comfortable with technology and related issues. "She is certainly not unfamiliar with the importance of technology, it's critical in her state," Warren said. "She's a person who has markedly always been open to thoughtful arguments." Harris' pick for vice president will also be telling. Many of the names currently in the mix – including Pennsylvania Governor Josh Shapiro, North Carolina Governor Roy Cooper, Arizona Senator Mark Kelly or Transportation Secretary Pete Buttigieg – are "pretty pro business for the most part," Warren said. Harris choosing anyone in that mold would be a meaningful move. This isn't a one-sided conversation. Industry groups and individuals have already drafted open letters to the Democratic Party and Harris' campaign specifically, asking for less "hostility" toward the crypto industry. "We urge you to sit down with leaders in the digital asset and blockchain industry to discuss policies that support and nurture this technology.
Open dialogue with industry experts will provide valuable insights and help craft policies that encourage growth while ensuring consumer protection and financial stability," one such letter from the Digital Chamber read. Stories you may have missed WazirX Hacked for $230M, Largely in SHIB, as Elliptic Says North Korea Behind Attack: Indian crypto exchange WazirX and Liminal Custody, a multisig wallet provider, lost $230 million to a hack that analytics firm Elliptic tied to North Korea. WazirX filed a police complaint, and I'm guessing international law enforcement entities are watching. India Keeps Controversial Crypto Tax Rules Unchanged, Finance Minister's Budget Speech: India is not changing its approach to taxes on crypto, at least not with its upcoming budget. Blockchain Friendly Roberta Metsola Reelected as EU Parliament President: The European Parliament has reelected Roberta Metsola as president. This week Monday The House of Representatives voted to advance a bill that would direct the U.S. Treasury Department to take a look at crypto's role in terrorism and money laundering. Saturday 18:00 UTC (2:00 p.m. EDT) Former President Donald Trump – who last week officially became the Republican Party nominee for president – will speak at BTC Nashville. Elsewhere: (Fortune) Debt Box, a company that was previously facing a lawsuit from the U.S. Securities and Exchange Commission (SEC) that was dismissed after the SEC attorneys assigned to the case acknowledged misleading the judge overseeing the case, is now in a weird place. Fortune's Leo Schwartz reports that one of the project's leaders, Jacob Anderson, reported that his brother Jason had been kidnapped in Dubai and signed away $400 million and control of the company while being tortured. Jason Anderson, however, was still producing YouTube videos and had been visited by Dubai police, the article said. (BBC) Some 150 people have been killed amid anti-government protests in Bangladesh, as students pushed back against quotas for government jobs. (CNBC) A software security firm called CrowdStrike pushed what turned out to be a problematic update to Windows machines worldwide, disrupting hospitals, airports, news organizations and airlines, among other types of businesses. Some airlines, like Delta, have especially struggled to get back up and running, having canceled more than 5,000 flights since Friday. If you’ve got thoughts or questions on what I should discuss next week or any other feedback you’d like to share, feel free to email me at [email protected] or find me on Twitter @nikhileshde. You can also join the group conversation on Telegram. See ya’ll next week! CORRECTION (July 24, 2024, 16:09 UTC): Corrects spelling errors. https://www.coindesk.com/opinion/2024/07/24/what-does-kamala-harris-presumptive-nomination-mean-for-crypto-this-election/