In “This was the NEWS” we take a look at the most important news of last week. What has happened in the crypto space over the last 7 days? News items that you may have missed and you really need to read. You will find it here!
- Grayscale Investments is Buying Up 21% of BTC’s New Mined Monthly Supply
Grayscale Investments has been buying a lot of Bitcoin. Every month there is about 54,000 Bitcoin being mined, Grayscale bought 11,236 in April 2019 (about 21%). Grayscale is one of the most important companies when it comes to institutional investment into the crypto space because it allows for direct investment in the asset without having the risk of owning it.
Read more about Grayscale’s Bitcoin investments here: https://www.altcoinbuzz.io/crypto-news/finance-and-funding/grayscale-investments-is-buying-up-21-of-btcs-new-mined-monthly-supply/
- Inflation and Fear: BTC Price in Argentina Hit All-Time High
Argentina has seen a crazy amount of inflation of their currency over the past few years. Currently, the Bitcoin price (in terms of the Argentine Peso) is at an all-time high. Over the past 12 months, the Argentine Peso has lost 50% of its value versus the U.S. dollar. Citizens of Argentina would have been much better off leaving their money in Bitcoin over the past year than in their own currency. When the western world questions why Bitcoin is needed, this is one of the prime examples.
Read more about Bitcoin versus the Argentine Peso here: https://www.altcoinbuzz.io/crypto-news/finance-and-funding/inflation-and-fear-btc-price-in-argentina-hit-all-time-high/
- Kik is Crowdfunding $5 Million to Help The Fight Against the SEC
One of the largest messenger apps in the world, Kik, has started a fund to combat the SEC. On their website, they have a “defend crypto” campaign which is designed to help regulators make changes to the Howey Test to help with crypto regulations.
Read more about Kik’s “defend crypto” campaign here: https://www.altcoinbuzz.io/crypto-news/regulations/kik-is-crowdfunding-5-million-to-help-the-fight-against-the-sec/
“This was the NEWS” summary!
The price of Bitcoin (at the time of writing) has lost about $1,000 over the past week but is still up over 2x since the December lows. There is such little volume in the entire space that a few thousand Bitcoin can move the price one way or another. In the long term, this will need to get addressed by having more transactions on exchanges instead of OTC exchanges. It is important to take a macro view of the volatile asset and look to the future for the problems it is solving.
The largest problem is the devaluation of local fiat currencies like the example of Argentina. Bitcoin solves this problem by allowing investors worldwide to hedge their life savings into an asset that isn’t directly manipulated by governments and large financial institutions. Citizens of Argentina would have been much better off (over the past year) if they had bought the highest Bitcoin price in 2017 instead of keeping that same value in their local currency (Argentine Peso). Think about that, it’s crazy.
The most important thing to remember is that regardless of what governments do or say, 12.5 Bitcoin will be mined into existence every 10 minutes and they can’t stop it.