Bitcoin News

After the notable appearance of a mega whale on December 4, another block reward from the Satoshi era was moved on December 7, at a block height of 820,156. This transaction marks the 21st block reward from 2010 to be spent in the initial week of December.

Sleeping Bitcoin Stash Stirs After a Decade

On Thursday, December 7, 2023, a dormant stash of 50 bitcoin (BTC) stirred into action for the first time in over ten years. This movement of the so-called ‘sleeping bitcoins’ was detected by the blockchain parsing platform btcparser.com. Echoing the activity seen on December 4, where a series of 20 blocks were utilized, the original address divided the funds between two separate Pay-to-Script-Hash (P2SH) addresses.

The originating address, known as “18JkK,” was established on July 24, 2010. From this, it transferred 1 BTC to the address labeled “32Xas” and a further 48.99 BTC to “3DD4X.” Nevertheless, the transaction was conspicuous in terms of privacy, garnering a low privacy score of 5 out of 100 from Blockchair’s privacy analysis tool. This was attributed to identifiable issues like matched inputs and outputs.

While the transfer of 50 BTC may seem modest compared to the 1,000 BTC moved by the spender of 20 block rewards on December 4, its current value of $2.18 million is striking, especially when contrasted with its July 2010 worth of just $15. Moreover, instances of moving bitcoins from 2010 have become notably scarce in 2023, with more frequent sightings of 2012-era bitcoins.

The specific block reward, number 69,986, spent on that Thursday marked its first movement in over a decade. Importantly, it wasn’t part of the collection of block rewards linked to Bitcoin’s creator, Satoshi Nakamoto. Notably, Satoshi was active during that July but departed the community permanently in December 2010.

What do you think about the 2010 block reward awakenings in December? Share your thoughts and opinions about this subject in the comments section below.

Sotheby’s, the world’s oldest fine art auction house, recently declared its intention to conduct an auction featuring Bitcoin-based Ordinal inscriptions, marking a first in the auction house’s history. This online event is set to commence in December at Sotheby’s New York, where an exclusive selection of “Bitcoinshrooms” from the Shroomtoshi’s Ordinals collection will be on display.

Sotheby’s Unveils Bitcoinshrooms Ordinals Auction

Michael Bouhanna, the lead for digital and contemporary art at Sotheby’s, revealed the auction house’s strategy to offer non-fungible token (NFT) assets that are created on the Bitcoin blockchain. These NFTs originate from the “Bitcoinshrooms” Ordinals collection, which showcases an 8-bit artistic style. This unique collection is the brainchild of the digital artist Shroomtoshi.

Set to conclude in New York on December 13, 2023, at noon (EST), the Sotheby’s Bitcoinshrooms auction is currently underway. As of now, all lots have attracted bids, with some even surpassing their anticipated prices. Additionally, bidders can purchase the Bitcoinshrooms NFTs using cryptocurrency, should they choose to do so.

“I am so excited to present Bitcoinshrooms, the first Ordinal sale at Sothebysverse, and we couldn’t start with a better project,” Bouhanna said on the social media platform X. “This is the first time works from the very anticipated collection will be available to the public.”

The trio of lots features 8-bit style Ordinals, including one depicting a mushroom emblazoned with an “S” symbolizing “Self-Sovereignty,” and another mushroom adorned with a crown, representing the “Sovereign Individual.” The final lot presents an 8-bit rendition of a BIP39 seed, which also echoes the theme of sovereignty. Sotheby’s estimates place the value of each Ordinal from the Bitcoinshrooms collection between $20,000 and $30,000.

Recently, Ordinal inscriptions have sparked significant interest, and for some, they are a topic of debate. As of this writing, over 46.5 million Ordinal inscriptions have been permanently embedded into the Bitcoin blockchain. Since their introduction in December 2022, bitcoin miners have garnered a total of 3,388 BTC from this Ordinals inscription phenomenon. Shroomtoshi considers this collection as a vivid pictorial summary of Bitcoin’s 13-year evolution.

“The Bitcoinshrooms collection is a pixelated recap of the first 13 years of Bitcoin, a homage to the 8-bit style of art that expresses a slight nostalgia for the 90s, a way to soil 10s of thousands of SSDs spread across the world with my art (->next level cyber-vandalism), a tool to raise awareness about Bitcoin and what I personally view as its core principles, an ironic way to vent at what I see as its annoying pop elements and aberrations,” the artist said in a statement.

What do you think about Sotheby’s latest auction that features Bitcoin-based Ordinals? Share your thoughts and opinions about this subject in the comments section below.

Luke Dashjr, bitcoin developer and Mummolin’s CTO, has reiterated his negative opinion about Ordinal inscriptions, stating these leverage and exploit a vulnerability in the Bitcoin Core full node software implementation. Dashjr also hinted at correcting this “exploit” in an upcoming version of the Bitcoin node software.

Luke Dashjr Divides BTC Community, States Inscriptions Could Be ‘Fixed’

Luke Dashjr, a Bitcoin Core software developer and CTO of Mummolin, the company that operates the Ocean bitcoin mining pool, has criticized Ordinal inscriptions, a series of elements — images and others — that can be directly embedded onto the BTC blockchain.

Dashjr, who has been very vocal about his negative opinion of these inscriptions, referred to them as “spam” and as “exploits,” revealing that he had already fixed this “bug” in Bitcoin Knots, a node software maintained by himself.

Dashjr explained:

This bug was recently fixed in Bitcoin Knots v25.1. It took longer than usual due to my workflow being severely disrupted at the end of last year (v24 was skipped entirely).

Ocean, the recently launched bitcoin mining pool that acknowledged having filtered inscriptions since day one, also implemented this Knots fix, making inscriptions unable to be included in blocks mined by the pool.

Furthermore, Dashjr hinted at the possibility of introducing a similar fix in an upcoming version of Bitcoin Core, the default full-node software of the Bitcoin network. “Bitcoin Core is still vulnerable in the upcoming v26 release. I can only hope it will finally get fixed before v27 next year,” he declared.

Several members of the Bitcoin community rejected this possible change. Jameson Lopp, co-founder and CTO of Casa, stressed that mining had a significant economic element now and that his proposal was unlikely to stand. “Miners are mostly large enterprises now. They have a duty to maximize profit for shareholders. They will mine any valid transaction that pays the highest fee rates,” he concluded.

Udi Wertheimer, a co-founder of Taproot Wizards, one of the largest inscriptions projects, stated that while Dashjr had made “sporadic contributions” to Bitcoin projects, he was not Bitcoin’s owner.

What do you think about Luke Dashjr and his take on inscriptions? Tell us in the comments section below.

Alvaro Fernandez, the Chief Operations Officer (COO) at Lumoz, has stated that while zero-knowledge rollups have demonstrated exceptional security and scalability, the technology is still not user-friendly. To address this issue, networks should opt for ZK Rollups-as-a-Service (ZK-RaaS) because this simplifies the creation process for a single ZK-Rollup. This makes them “more accessible for developers and projects to use,” Fernandez added.

Zero-Knowledge Versus Optimistic Rollups

In his written answers sent to Bitcoin.com News via Telegram, Fernandez argued that by offering what he called “a seamless experience” ZK-RaaS can also quicken the “implementation of secure and scalable networks.” While ZK-RaaS are believed to be more secure, Optimistic Rollups-as-a-Service, on the other hand, are favored for their simplicity and cost-effectiveness.

Regarding industry sectors most suited for ZK-RaaS, the Lumoz COO identified decentralized finance (defi), gaming platforms, and non-fungible token (NFT) marketplaces. In decentralized finance, ZK-RaaS mitigates challenges relating to traditional platforms’ “high fees and sluggish transaction speeds.” By using ZK-RaaS, gaming platforms and NFT marketplaces can reduce transaction costs and increase transaction speed, while ensuring the security and privacy of their users’ data.

Below are Alvaro Fernandez‘s answers to all the questions sent to him.

Bitcoin.com News (BCN): Zero-knowledge (ZK) rollups have proven to be especially effective in creating secure and scalable networks yet the technology is seemingly not user-friendly. Can you tell our readers what these zero-knowledge rollups or ZK-RaaS are all about and why they are considered to be critical for scalability?

Alvaro Fernandez (AF): Absolutely, while ZK-Rollups have demonstrated exceptional security and scalability, their user-friendliness has been a challenge. ZK-RaaS addresses this concern by providing a user-friendly platform that abstracts the complexities of ZK Rollup technology.

ZK-RaaS simplifies the creation process of a single ZK-Rollup, making it more accessible for developers and projects to use. As what Lumoz provide, It’s a total no-code process, even ordinary people can use the ZK-RaaS launch base to generate their own ZK Rollup in minutes with bridges and explorers. One of the biggest challenges for most of the ZK projects is the prover cost, usually it’s the main cost of running a ZKRollup and its project needs to spend much effort and time maintaining the machines. Lumoz proposed this decentralized prover network that takes care of all the computing power stuff, which is free to projects.

This approach is critical for scalability because it lowers the entry barrier, encouraging a broader adoption of ZK Rollup technology. By offering a seamless experience, ZK-RaaS accelerates the implementation of secure and scalable networks.

BCN: There are two types of Rollups-as-a-Service — Optimistic Rollups and ZK-Rollups that are widely adopted by blockchain projects. What’s the difference between them and what are the pros and cons of each?

AF: Optimistic Rollups and ZK-Rollups are key Rollups-as-a-Service in blockchain. Optimistic Rollups assume transaction validity unless disputed, offering flexibility and cost-effectiveness. However, the arbitration process may introduce delays. ZK-Rollups use Zero-Knowledge Proofs for private transaction verification, excelling in privacy and security with faster finality. Yet, they may have higher setup costs due to computational needs. The choice hinges on project priorities: Optimistic Rollups for simplicity and cost-effectiveness, ZK-Rollups for heightened privacy and security.

BCN: Your company Lumoz uses a hybrid Proof-of-Work/Proof-of-Stake network to facilitate ZK-proof mining and enable developers to generate a customized zero-knowledge EVM chain. Could you tell us how this hybrid model works and why it’s needed in the first place?

AF: While proof of stake is primarily associated with the DA aspect, various DA providers like Celestia, Avail, Radius, and Espresso populate the market. Projects are encouraged to freely choose any for seamless integration including Lumoz DA.

However, proof of work stands out as a core strength and a distinctive advantage of Lumoz. As mentioned earlier, the generation of zkps in all zk-rollups necessitates computing power. Thanks to our decentralized prover network, miners can contribute their computing power, participate in zkp generation, and earn rewards through the POW process. Leveraging Lumoz’s extensive experience in mining, we’ve crafted this prover network to reduce barriers for projects seeking to adopt zk technology, while also facilitating miners to make valuable contributions and receive rewards.

BCN: With more and more people entering the Web3 space, why do you think decentralized applications (dapps) deployed on legacy Layer-1 chains and Layer-2 solutions need to consider using ZK-RaaS?

AF: Ethereum L1 is too congested, which is why Vitalik proposed the need for L2 to reduce transaction fees and increase TPS, improving the overall user experience. The differences between ZK and OP have been mentioned earlier, with ZK being more secure. Lumoz’s zk-raas addresses the issues of ZK computation power and deployment, enabling everyone to easily create customized zk-rollups.

The advantages of having one’s zk-rollup are evident — all on-chain resources serve the project, avoiding contention. This results in high TPS, low transaction fees, and an excellent user experience.

BCN: How does cross-rollup interoperability work with ZK-RaaS? Can you talk about Lumoz’s Native Cross Rollup Communication (NCRC) protocol that claims to provide a trustless solution for rollup interoperability?

AF: Cross-rollup interoperability is crucial in the ZK-RaaS framework, and Lumoz’s NCRC protocol ensures a seamless and trustless solution. This allows direct communication between ZK-Rollup chains, fostering a decentralized and secure environment without intermediaries. NCRC 2.0 enhances this by enabling cross-contract calls between second-layer networks, facilitating atomic cross-rollup contract calls.

Lumoz prioritizes user experience by integrating the first-layer network seamlessly, ensuring asset concentration without compromising decentralization. The NCRC protocol, especially in its latest version, exemplifies Lumoz’s commitment to achieving trustless cross-rollup interoperability, addressing challenges, and enhancing the blockchain ecosystem’s connectivity.

BCN: What industry segments are the most likely to benefit from ZK-RaaS? And how useful could it be for the Web2 companies that want to build their custom appchains?

AF: ZK-RaaS showcases its broad applicability across diverse industry segments, extending its benefits beyond the blockchain realm. In the financial and decentralized finance sectors, ZK-RaaS has the potential to transform transactions by ensuring security and scalability, mitigating challenges related to high fees and sluggish transaction speeds on traditional platforms.

Gaming platforms and NFT marketplaces can leverage ZK-RaaS for scalable and cost-effective transactions involving in-game assets and unique digital assets represented as NFTs. Additionally, in identity management, ZK-RaaS can play a crucial role in authenticating users without exposing sensitive information, making it valuable for industries requiring robust identity solutions.

As Web2 companies venture into building custom Appchains, ZK-RaaS emerges as a multifaceted solution, offering scalability, privacy preservation, customization, cost-effectiveness, and interoperability. This comprehensive set of features positions ZK-RaaS as a versatile choice for enhancing capabilities and meeting diverse needs in the evolving digital landscape.

What are your thoughts on this interview? Let us know what you think in the comments section below.

Citizens of the Swiss city of Lugano can now settle their tax bills and other community fees with bitcoin and the stablecoin tether. By adding crypto to payment options, Lugano joins three other Swiss cities and cantons which already accept crypto payments.

Accelerating the Use of Bitcoin

The Swiss city of Lugano announced on Dec. 5 that it has added cryptocurrencies to its list of acceptable payment options. This means that city residents can now settle tax bills and all other community fees with Bitcoin (BTC) or the stablecoin USDT.

Previously, Lugano residents could only use this payment option for transactions made on the city’s online platform. However, according to a statement from Bitcoin Suisse, previous restrictions have been removed. Residents can now use crypto to settle regardless of the nature of the service rendered or the amount invoiced.

Commenting on the city of Lugano’s decision to accept crypto payments, Armin Schimd, the chief product officer at the crypto-native pioneer and trusted gateway Bitcoin Suisse said:

We are delighted to support the city of Lugano in accelerating the use of Bitcoin technology as the foundation to transform the city’s financial infrastructure. It is great to see that more and more Swiss municipalities are offering payments in cryptocurrencies as an option available to both citizens and companies, complementing traditional payment methods such as post office counters or e-banking platforms.

According to a statement, Lugano has become one of the first cities to accept cryptocurrencies as a payment option, making payments more flexible and modern for everyone. Other Swiss cities that have similarly embraced crypto payments include Zug, the Canton of Zug, and the municipality of Zermatt.

By taking this step, Lugano aims to integrate blockchain and BTC into various aspects of daily life in the city. Bitcoin Suisse is the Swiss city’s technical infrastructure provider.

What are your thoughts on this story? Let us know what you think in the comments section below.

Rewarding hackers who agree to return a portion of the stolen funds not only “creates a moral hazard” but potentially “leads to more security breaches,” a Web3 expert has argued. The recent attacks on Kronos and Kyberswap, as well as the subsequent attempts to engage the hackers, are said to demonstrate why victims of attacks should not rely on appeasing the exploiters.

Effectiveness and Importance of Code Audit

According to the latest Immunefi crypto losses report, cybercriminals successfully siphoned over $1.7 billion from decentralized and centralized digital asset exchange platforms in the first eleven months of 2023. The thefts have been carried out via hacking, phishing attacks, and outright fraud.

Such attacks have increased in their frequency and boldness over the past few months, leading many, including proponents of decentralized platforms, to question the effectiveness of code audits or how users’ funds are secured. Still, others like Davinder Singh, the CTO at the crypto platform Rocketx, concur with those who argue against rewarding hackers. According to Singh, rewarding hackers who agree to return a portion of the stolen funds “inherently creates a moral hazard.”

Although they are intended to help decentralized finance (defi) platforms improve their security and protect users from malicious attacks, Singh told Bitcoin.com News that offering such rewards “inadvertently incentivizes malicious actors and potentially leads to more security breaches.”

The recent attacks on Kronos and Kyberswap, as well as the subsequent attempts to engage the hackers, potentially demonstrate why exchange platforms should not rely solely on appeasing them. For instance, the malicious actor behind the Kyberswap exploit recently made several seemingly outrageous requests, including demanding full control over Kyber.

As reported by Bitcoin.com News, the hacker is seeking a more favorable arrangement than the Kyberswap team’s offer. This example could lend to the argument that defi platforms should be more focused on finding ways to prevent the attacks.

Tracking Hackers

However, Fraser Edwards, the CEO of the privacy-preserving payment network, Cheqd, told Bitcoin.com News that besides helping platforms recover some of the funds, the offer to reward hackers also helps exchange platforms identify perpetrators of the attacks.

“The offer and any response creates the chance of getting more information on the hacker which could give them away. E.g. do they communicate via specific channels or using usernames which could lead to a real identity? A good example here is how Ross Ulbricht of Silk Road was identified through his username/handle being linked across multiple forums, eventually to his real identity,” Edwards explained.

Meanwhile, Nikolay Angelov, Blockchain Head at crypto lender Nexo, insists that while bug bounties are useful in helping decentralized exchange platforms recover stolen funds, they also help cleanse the hackers’ money. Additionally, in some of the known high-profile cases in which hackers have agreed to return the stolen funds, the sum ultimately recovered has been less than 90%.

Declining User Confidence

When hackers can easily get away with stealing millions of dollars, this inevitably erodes confidence in digital asset platforms. To restore trust, Angelov said platforms must utilize “real-time software code inspections to prevent vulnerabilities.”

While the so-called white hat hackers may be motivated by the challenge or reward, state-backed hackers, on the other hand, have no desire to return the funds. Therefore, bug bounties may not be an effective way of attempting to recover funds. According to Angelov, operators who are at the receiving end of attacks orchestrated by state-backed actors such as the North Korean-affiliated Lazarus Group should “actively seek cooperation with government agencies to prevent stolen funds from entering their platforms.”

Singh, who shares similar sentiments, urged defi players to collaborate by sharing threat intelligence and adopting advanced defence strategies. He added:

“This collective effort is essential to safeguarding the decentralized financial ecosystem against sophisticated state-sponsored threats.”

What are your thoughts on this story? Let us know what you think in the comments section below.

A bill has been introduced in the U.S. state of New Jersey to classify all cryptocurrencies issued and sold directly to institutional investors as securities. In contrast, the U.S. Securities and Exchange Commission (SEC) has previously stated that bitcoin is not a security, but SEC Chairman Gary Gensler views all other crypto tokens as securities.

New Jersey Bill 5747

New Jersey Assembly Bill 5747, sponsored by Representative Herbert Conway, was introduced on Nov. 30 in the New Jersey State Assembly to classify all cryptocurrencies issued and sold to institutional investors as securities. According to the text of the bill:

This bill classifies all virtual currencies issued and sold to institutional investors as securities.

Under the proposed rules, virtual currencies issued and sold directly to institutional investors will be subject to the state’s “Uniform Securities Law” and any regulations promulgated by the Bureau of Securities in the Division of Consumer Affairs to effectuate the purposes of the bill.

The bill has been referred to the Assembly Financial Institutions and Insurance Committee, which will review the bill and conduct hearings for public input. If the committee approves the bill, it will then be sent to the full Assembly for a vote.

The regulatory status of cryptocurrencies remains uncertain at the federal level, with no clear guidance on which tokens are considered securities. While SEC Chairman Gary Gensler has repeatedly stated that most crypto tokens, excluding bitcoin (BTC), fall under the definition of securities, he has refrained from explicitly commenting on ether (ETH). However, a recent court ruling in the SEC v. Ripple case determined that XRP, as a standalone asset, is not a security. Ripple’s chief legal officer, Stuart Alderoty, explained: “As a matter of law — XRP is not a security … The only thing the court found constitutes an investment contract is past direct XRP sales to institutional clients.”

The SEC has identified a number of crypto tokens as securities in lawsuits against various crypto firms, including Kraken, Coinbase, Binance, and Bittrex. These tokens include ADA, AXS, ALGO, ATOM, BNB, BUSD, CHZ, COTI, DASH, FIL, FLOW, ICP, MANA, MATIC, NEAR, NEXO, OMG, SAND, SOL, TKN, and VGX.

What do you think about this New Jersey bill seeking to classify all crypto tokens, including bitcoin, as securities? Let us know in the comments section below.

Blackrock, the world’s largest asset manager, has warned in its latest spot bitcoin exchange-traded fund (ETF) filing update of the potential for bitcoin to be classified as a security by the U.S. Securities and Exchange Commission (SEC), state regulators, or court rulings. “If a digital asset is determined or asserted to be a security, it is likely to become difficult or impossible for the digital asset to be traded, cleared or custodied in the United States through the same channels used by non‑security digital assets,” Blackrock cautioned.

Bitcoin’s Potential Security Status

Blackrock, the world’s largest asset manager, addressed the possibility of bitcoin being classified as a security in its latest amended application for a spot bitcoin exchange-traded fund (ETF), filed with the U.S. Securities and Exchange Commission (SEC) on Monday. The new filing update details:

Any enforcement action by the SEC or a state securities regulator asserting that bitcoin is a security, or a court decision, to that effect would be expected to have an immediate material adverse impact on the trading value of bitcoin, as well as the [spot bitcoin ETF] shares.

“If a digital asset is determined or asserted to be a security, it is likely to become difficult or impossible for the digital asset to be traded, cleared or custodied in the United States through the same channels used by non‑security digital assets, which in addition to materially and adversely affecting the trading value of the digital asset is likely to significantly impact its liquidity and market participants’ ability to convert the digital asset into U.S. dollars,” the filing adds.

Blackrock brought up the example of the SEC suing Ripple and its executives over the sales of XRP. “In the years prior to the SEC’s action, XRP’s market capitalization at times reached over $100 billion. However, in the weeks following the SEC’s complaint, XRP’s market capitalization fell to less than $10 billion,” the asset management firm noted.

Commenting on Blackrock’s warning about the possibility of bitcoin being considered a security, commercial litigator Joe Carlasare wrote on X on Tuesday:

Interesting update to Blackrock / Ishares S-1 filing regarding the concern that the SEC could take an approach that bitcoin is a potential security. Seems silly, but apparently the SEC wants that language in there.

He clarified that this wording is only in Blackrock’s most recent amendment. “Prior versions didn’t have it,” he pointed out, emphasizing that “it has been adopted by Blackrock as a potential disclosed risk for ETF investors.”

Responding to Carlasare’s assertion that the SEC wants this warning in the filing, former SEC internet enforcement chief John Reed Stark opined on X: “Joe might be right here. Why would the SEC go to all the trouble of requiring a proviso like this if the SEC planned to decline the application?”

However, voicing his usual skepticism, Stark stressed: “While I still believe the 90% likelihood of an SEC bitcoin spot ETF approval seems somewhat random, Joe is a great lawyer who may be spot-on in his thoughtful and meticulous analysis. On the other hand, it remains difficult to predict the SEC actions behind closed doors.” Nonetheless, the former SEC official cautioned:

It seems to me that supporting a bitcoin spot ETF for Chair Gensler would not only evidence capitulation but is also inconsistent with his behavior and practice on so many other fronts.

“It just comes down to human nature: Does Chair Gensler really want his legacy to be the approval of a bitcoin spot ETF, which would represent such an obvious personal loss to the mob and such an obvious threat to investors?” Stark concluded. Gensler has said several times that he views all crypto tokens, except bitcoin, as securities.

What are your thoughts on Blackrock warning about the potential classification of bitcoin as a security? Let us know in the comments section below.

PRESS RELEASE. The TEAMZ WEB3 / AI SUMMIT represents an evolution from the TEAMZ WEB3 SUMMIT 2023, previously recognized as one the most significant and influential events in Japan’s Web3 landscape. For 2024, we’re expanding our focus to encompass both the burgeoning realms of Web3 and AI, two domains that have seen explosive growth recently.

With our rallying cry, “WEB3 / AI: The Future”, we aim to facilitate vibrant discussions on the trajectory of the Web3 sector post-2024 and the emerging societal and economic paradigms being shaped by AI. Thought leaders, pioneers, and experts in Web 3 and AI, hailing from both Japan and overseas, will offer a kaleidoscope of insights on technological applications, market dynamics, and innovative solutions. Additionally, interactive sessions are planned to deepen the discourse among attendees from diverse industries and nations.

This summit anticipates a gathering of over 100 VCs and investors, more than 100 exhibitors, and 120+ esteemed experts and scholars from the Web3 and AI sectors. We also expect a global audience of over 5,000 attendees.

Our objective remains clear: to champion the introduction and evolution of both Web3 and AI. Through highlighting the groundbreaking solutions offered by pioneers in these sectors we aspire to foster their wider acceptance and tangible impact in the real world.

【Web3 / AI：New Key to Japan’s Breakthrough】

The Japanese government has designated Web3 as a crucial element of its growth strategy and is actively cultivating the Web3 business environment through a range of measures, such as regulatory flexibility. In addition to this, the Japanese government has publicly stated that it will develop an aggressive approach to the use of AI and aims to be a world leader in the field.

Web3 and AI have a high affinity for each other, and their integration has unlimited potential. The application of blockchain technology to AI training data and the use of AI data analytics in decentralized finance (DeFi) lending protocols, are just a few of the possibilities.

By building an ecosystem that integrates Web3 and AI, Japan has the potential to pioneer related projects on the world stage.

Japan’s advancement in Web3 and AI necessitates the expansion of its business sectors. In alignment with this major companies are aggressively investing in Web3 and AI projects. Furthermore, a myriad of industries, including telecommunications, finance and manufacturing, are integrating these technologies into their operations. Concurrently, there is a surge in Web3 and AI projects initiated by startups. This has led to the creation of innovative business models related to daily life, such as NFT concert tickets featuring exclusive videos and AI-driven apps that allow users to virtually try on clothes.

Let’s usher in a renaissance in Japanese society by fusing Web3 and AI in the transformative year of 2024!

【About Event Detail】

Event Name：TEAMZ WEB3 / AI SUMMIT 2024

Dates：2024/4/13,14

Venue：TORANOMON HILLS FORUM

Host：TEAMZ, Inc

Audience：5000+

Speaker：120+

Summit Sponsor：100+

VC & Investor：100+

Media Partner：50+

Community Partner：50+

Summit Home Page：https://web3.teamz.co.jp/

【What to expect at the event】

MAIN STAGE

Eminent leaders making strides in the Web3 and AI sectors will grace the stage, offering profound insights into current advancements, industry projections, specific applications and pioneering business concepts.

PANEL DISCUSSION

A confluence of experts and industry frontrunners in the Web3 and AI realms will converge to deliberate on technological prospects, sectoral challenges, business avenues, and varied viewpoints, all aimed at sparking novel ideas and groundbreaking innovations.

VIP CONFERENCE

An exclusive segment spotlighting all speakers and panelists from the Summit Here, VIP attendees will be accorded the unique privilege of obtaining firsthand guidance and input from the crème de la crème of the industry.

EXHIBITION

The Summit’s exhibition area will be a hub of innovation, featuring over 100 standout Web3 and Ai initiatives. These projects will present their groundbreaking solutions and engage in productive interactions with investors and attendees.

RED CARPET GALA

Marking the Summit’s grand conclusion, this event promises a splendid change to network with guest orators, specialists, and global investors. Revel in delectable beverages and gourmet cruising. Adorn your best attire and revel in a splendid evening set against the mesmerizing Tokyo night vista.

TOKYO WEB3 / AI WEEK

Spanning five days from April 11th to 17th, TOKYO WEB3 / AI Week is set to captivate attendees with close to 100 eclectic side events, all centered on the Web3 and AI sectors. Participants can anticipate a whirlwind of thrilling experiences and fresh perspectives.

【Past Speakers】

Tim Draper (Founder / Draper Associates)

Masaaki Taira (Former Vice Minister of the Cabinet Office)

Yuzo Kano (President / bitFlyer Blockchain, Inc.)

Ciara Sun (Founder / C2 VENTURES)

Hironao Kunimitsu (Representative Director / Financier, Inc.)

Kensuke Amo (Managing Executive Officer / Coincheck K.K.)

Yoshiaki Ueno (Executive Officer / Group CDO and General Manager / Corporate Planning Department / Mitsubishi UFJ Financial Group, Inc.)

※Please refer to the summit website for other past speakers.

【Past Sponsors】

LINE, Microsoft Japan, IBM, Fujitsu, animoca BRANDS, NTV WANDS, Zaif, STEP’N, Accenture, Deloitte Tohmatsu, DMM Bitcoin, Quoine, Litecoin, HUBLOT, LOOT a DOG, etc.

※Please refer to the summit website for past sponsors.

【About Summit Sponsor and Partner】

As we gear up for this event, we’re on the lookout for individuals and companies to collaborate with in the following capacities:

・Summit Sponsor

・Community Partner

・Media Partner

If you, or any company or organizations you’re familiar with, are interested in these roles, we would love to hear from you. Participating in this event offers a golden opportunity to engage with industry trailblazers, stay abreast of the latest updates, and broaden your business horizons.

For further details or to get in touch with our team, please visit our official website as mentioned in the company profile. Alternatively, you can reach out to us directly at the email address provided below.

[email protected]

This is a press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.

DMG Blockchain Solutions, a bitcoin miner and cryptocurrency technology company, announced that the firm has purchased 4,550 T21 Antminer bitcoin miners from Bitmain Technologies. DMG detailed that it paid $12.1 million for the next-generation application-specific integrated circuit (ASIC) miners which equates to $14 per terahash a second (TH/s).

DMG to Expand Fleet With Latest Purchase From Bitmain

DMG has revealed it has purchased 4,550 T21 Antminers from Bitmain and it expects to get 1.06 exahash per second (EH/s) from the new units. The firm detailed that the miners cost $12.1 million and were financed through both cash and liquidated bitcoin (BTC). The mining firm is expecting the units to arrive sometime in March 2024.

The T21 Antminer produces 190 TH/s but can be overclocked to 233 TH/s, DMG detailed in its announcement. The company aims to ship the miners to the firm’s Christina Lake data center facility. “DMG is planning to utilize its previously purchased mining containers, which are in the process of being installed at its Christina Lake facility in advance of taking delivery of the T21 miners,” the company said in a statement.

DMG added:

This new fleet, in combination with expected rationalization of its existing fleet, will help DMG improve its overall fleet efficiency anticipated to be below 25 J/TH post-halvening, which is expected in April 2024.

The news follows several mining operations acquiring ASIC bitcoin mining machines. Iris Energy just recently acquired 7,000 T21 Antminers from Bitmain and Riot Platforms secured 66,560 ASICs or 18 EH/s from Microbt. DMG mined 64.7 BTC in November and by the end of the month, the firm held a total of 429 BTC worth $18,801,182 using prevailing exchange rates.

What do you think about DMG’s latest purchase? Let us know what you think in the comments section below.

As bitcoin’s value soared to heights last witnessed on April 6, 2022, a multitude of crypto assets have also reaped benefits from the surge of the premier cryptocurrency. Yet, despite a significant number of these digital currencies experiencing substantial increases, surpassing even bitcoin in percentage gains, they have yet to approach the peak values achieved during that period.

From Then to Now: Bitcoin at 20-Month High, Rivals Lag Behind Former Highs

On December 5, 2023, bitcoin’s value surged to $44,490 per coin, marking its highest level in 20 months. Additionally, the overall cryptocurrency market is now valued at $1.67 trillion, with a global trade volume of about $158 billion recorded over the previous day. Reflecting back to April 6, 2022, archived data indicates that bitcoin was trading at $43,926 per coin, following a drop of over 7% against the U.S. dollar within a week.

Furthermore, the cryptocurrency market at that time boasted a significantly higher valuation, standing at $2.11 trillion. This figure surpasses the current market value by approximately $440 billion, highlighting a notable reduction in the overall crypto market economy. Twenty months ago, ethereum (ETH) was trading at $3,229 per unit. Today, with a current value of $2,296 per unit, ETH is trading $933 lower than its previous mark.

Back then, BNB was valued at $427 per unit, whereas its current trading price stands at $231. Solana (SOL) has experienced significant activity, priced at $118 at that time, and now trading at $62. Another noteworthy point from that period is that Terra’s LUNA was trading at $107 per coin, whereas its current value has plummeted to $0.00022749 per coin. At that time, it ranked as the seventh largest crypto asset, but today, it has fallen to the 55th position.

At that time, tether (USDT) had an $82.51 billion market capitalization and it’s higher today at $90 billion. Circle’s usd coin (USDC) had an overall market valuation of around $50.9 billion but it’s now lower at $24.33 billion. Just like LUNA, the once-stable coin terra usd (UST) was a top contender back then with a $16.74 billion market cap that’s now down to $478 million. BUSD also has seen its supply erased over the last 20 months, dropping from $17.7 billion to the current $1.59 billion.

Bitcoin’s recent surge to a 20-month high underscores its dominant position in the crypto market. Yet, despite this uptick, many other cryptocurrencies remain far from their past peak values, indicating a diverse and evolving digital currency landscape.

What do you think about the way crypto markets have performed this year? Let us know what you think in the comments section below.

#Crypto Markets Surge Wednesday, #ADA, #DOGE Up Over 10%, #BTC at $44K; Bitcoin Talk Forum to Censor #Mixer Discussions — Daily #Price Update pic.twitter.com/X9gvCvmO67

— Bitcoin.com News (@BTCTN) December 6, 2023

ADA and DOGE are top gainers on Wednesday, Dec. 6, surging over 10% in the last 24 hours as BTC holds above the $44K level. Top crypto assets by market capitalization are in the green. In case you missed it, the historically significant Bitcointalk forum will begin to censor certain crypto mixer-related posts starting next year.

What are your thoughts on today’s prices and news? Be sure to let us know in the comments section below.

As bitcoin’s price hovers between $43,950 and $44,150, a nuanced examination of its oscillators and moving averages reveals a complex picture of its market movements. Despite a bullish run in its 24-hour trading range, oscillators signal caution.

Bitcoin

Bitcoin’s (BTC) market cap stands at $856 billion, with a substantial 24-hour trade volume of $38.39 billion. This reflects a vibrant trading environment, showcasing BTC’s significant influence in the crypto market. However, despite these strong market indicators, a deeper look into bitcoin’s technical data suggests a more intricate scenario unfolding in its trading landscape.

The oscillator analysis presents a cautionary tale. The relative strength index (RSI) at 79, Stochastic at 93, and the commodity channel index (CCI) at 229, all signal bearish sentiment. These high values typically indicate overbought conditions, suggesting that bitcoin may currently be experiencing a break from the recent peak. Investors might view this as a signal for potential price correction or consolidation in the near term.

In contrast, the moving averages paint a more bullish picture. Both exponential moving averages (EMAs) and simple moving averages (SMAs), ranging from 10-day to 200-day periods, are uniformly indicating positive sentiment in the market. These averages, with values steadily increasing from 10-day EMA at $40,638 to 200-day SMA at $29,919, demonstrate a strong and sustained uptrend. This suggests a robust underlying momentum in bitcoin’s price movement.

The daily chart analysis corroborates this optimism. It exhibits a pronounced uptrend, with bitcoin’s price moving from a low of approximately $34,132 to a high near $44,490. However, the declining volume towards the most recent dates could hint at a decrease in momentum or a potential phase of consolidation after the rapid increase.

A critical observation from the 4-hour chart is the volume pattern. Volume spikes on green candles are a positive indicator of bullish sentiment. However, the appearance of a high-volume red candle recently might imply strong selling pressure or profit-taking. This could be an early signal of a shift in market sentiment, warranting close attention from investors and traders alike.

Bull Verdict:

The comprehensive analysis of bitcoin’s oscillators and moving averages, along with insights from its 4-hour and daily charts, leads to a predominantly bullish outlook. The consistent bullish signals from both EMAs and SMAs across various periods, coupled with the steady uptrend observed in the daily chart, underscore a robust momentum in bitcoin’s price trajectory.

Bear Verdict:

Despite the bullish signals from moving averages, the bearish verdict cannot be overlooked. The overbought conditions indicated by oscillators such as RSI, Stochastic, and CCI point towards a possible correction or consolidation in bitcoin’s price.

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What do you think about bitcoin’s market action on Wednesday morning? Share your thoughts and opinions about this subject in the comments section below.

A Kenyan parliamentary committee has reportedly approved a bill that proposes to widen the definition of securities to include cryptocurrencies. The bill proposes a tax on crypto exchanges and digital wallets as well as a capital gains tax on users who realize a capital gain from the sale of their crypto assets.

Bill Just Two Readings Away From Presidential Assent

A Kenyan parliamentary committee recently voted to approve the publication of a bill that proposes to include cryptocurrencies in the definition of securities, according to a report. The bill, sponsored by Abraham Kirwa, a member of parliament (MP) for Mosop, is now set to go to the Kenyan National Assembly for a second reading. Legislators are expected to debate and make further amendments at the third reading stage.

Once the bill, known as the Capital Markets (Amendment) Bill, 2023, is approved, it will be sent to the Kenyan president for his assent. Kimani Kuria, whose committee approved the bill, said regulating the crypto space is especially crucial in a country that boasts millions of users.

“This is a very critical law that will guard our country against proceeds of crime and terrorism financing. Cryptocurrencies are already being traded by millions of Kenyans yet we have no law to govern it. We approve this Bill for publication,” Kuria, an MP for Molo, reportedly said.

Capital Gains Tax on Crypto

As explained in the report, the Kenyan Capital Markets (Amendment) Bill, 2023 seeks to introduce taxes on crypto exchanges and digital wallets. The bill also proposes a capital gains tax on users who realize a capital gain from the sale of their crypto assets.

The sponsor of the bill, Abraham Kirwa, a member of parliament (MP) for Mosop, insisted that this bill will help ensure that Kenyans are shielded from risks commonly associated with cryptocurrencies. Kirwa also accused the Central Bank of Kenya of dragging its feet and not doing enough to ensure crypto users are protected.

The Central Bank of Kenya (CBK) has seemingly adopted a lukewarm approach towards cryptocurrencies even as their popularity grows. Also, the former governor of the CBK Patrick Njoroge repeatedly spoke out against crypto and bitcoin during his tenure. However, despite this, many Kenyans have embraced crypto assets, and the country is now widely seen as one of Africa’s biggest crypto markets.

Meanwhile, among some of the bill’s key proposals is the requirement that would compel any person possessing cryptocurrencies to furnish Kenya’s Capital Markets Authority with details such as the amount of proceeds from the transaction, any costs related to the transaction, and the amount of any gain or loss on the transaction.

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What are your thoughts on this story? Let us know what you think in the comments section below.

Europac’s chief economist and known gold proponent Peter Schiff compared the gold and bitcoin rallies, explaining that the latest gold price pullback allowed bitcoin prices to pump. Nonetheless, Schiff believes that bitcoin will collapse spectacularly while gold prices will continue to rally.

Peter Schiff Predicts Bitcoin’s Swan Song

Peter Schiff, chief economist at Europac, has given his take on the recent gold and bitcoin market movements. According to Schiff, the pullback that gold prices are experiencing after reaching all-time high levels last week opened a window for bitcoin prices to increase in tandem.

Stating he was admittedly bashing bitcoin, Schiff declared:

This could be Bitcoin’s swan song. The speculative frenzy around spot Bitcoin ETFs will end soon. Bitcoin’s collapse will be more spectacular than its rally.

He also criticized CNBC reports on the market movements calling bitcoin “digital gold” as other cryptocurrencies rallied as part of a marketwide pump. “Are all those tokens digital versions of gold too? In reality, none are digital gold, just modern-day digital versions of fools’ gold,” he concluded.

Schiff contrasted bitcoin market movements with those of gold, saying the gold rally was real. In a subsequent post on X, Schiff stressed that the pullback of gold to $2000-level prices derived from natural profit-taking and speculative shorts entering the market.

He explained:

The rally likely caused some speculative longs to exit and shorts to enter. But I’m sure the shorts will cover on this pullback and the real buyers who drove the price above $2K will push gold to new highs.

According to his thesis, gold prices are rising due to the upcoming crash of the dollar and the U.S. economy. These elements drive world powers to ramp up gold purchases as the “most viable alternative” to the U.S. currency.

What do you think about Peter Schiff’s opinion on the latest bitcoin price rally? Tell us in the comments section below.

Brian Armstrong, CEO of U.S.-based crypto exchange Coinbase, stated that Bitcoin could play a role in extending Western civilization. For Armstrong, Bitcoin represents an alternative to fiat currencies like the U.S. dollar, which people can use as an alternative to inflation.

Coinbase CEO Brian Armstrong: Crypto Might Be ‘an Antidote to Inflation.’

Brian Armstrong, CEO of Coinbase, has recently reflected on the role that bitcoin might have in the future of Western civilization. In a post on X, Armstrong explained that “One idea I’ve been contemplating is that Bitcoin may be the key to extending western civilization” and that fiat currencies will keep inflating until they lose their advantages as currencies. He believes the U.S. dollar is already on this road but that there are no other alternatives as other fiat currencies face the same problems.

He stated:

The Yuan and Euro have their own issues and aren’t viable alternatives currently, so the assumption is the U.S. can continue to inflate.

Armstrong states crypto might be an alternative to these currencies, even when most people are still not considering it. He thinks people may move fiat into crypto as an “antidote to inflation.”

Nonetheless, unlike others, Armstrong does not believe that Bitcoin will kill the U.S. dollar. Instead, he envisions that crypto will become a “natural check and balance” for the American currency as one of the defenses of the American people and Western civilization’s interests in the long term.

Armstrong stressed:

It’s better to move from dollars to crypto than to another country or region’s fiat. I also think both fiat and crypto will co-exist for a long time. They are more complements than substitutes.

Citizens of some embattled countries in Latam, such as Venezuela and Argentina, are already using cryptocurrencies to battle inflation and devaluation due to the woes their economies face derived from their fiat currencies’ weaknesses. These unique use cases were highlighted in Chainalysis’ 2023 Geography of Cryptocurrency Report, stressing the significance of dollar-pegged stablecoins in this context.

What do you think about Coinbase CEO Brian Armstrong’s takes on the future role of bitcoin and crypto? Tell us in the comments section below.

A senior director with Moody’s Analytics has highlighted the biggest driver behind the recent bitcoin price surge. “The race is heating up” to launch spot bitcoin exchange-traded funds (ETFs), he explained, emphasizing that large asset managers are “getting ready to acquire the underlying asset to offer the ETF to retail and institutional investors.”

Biggest Driver Behind Bitcoin Price Surge

Yiannis Giokas, a senior director with Moody’s Analytics, has provided insights into the factors behind the recent surge in bitcoin’s price, highlighting the anticipated approval of spot bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC). Moody’s Analytics is a subsidiary of Moody’s Corp. that focuses on non-rating activities.

“The biggest driver behind the surge in bitcoin price is likely the number of applications for spot BTC ETF which are expected to be approved by the SEC January,” the director said in an email to Bitcoin News. He added:

The race is heating up to launch these vehicles with large asset managers getting ready to acquire the underlying asset to offer the ETF to retail and institutional investors.

Bloomberg has predicted a 90% chance of the SEC approving spot bitcoin ETFs by Jan. 10. The securities regulator has been meeting with exchanges and spot bitcoin ETF issuers, including Blackrock, Ark Invest, and Grayscale Investments, to discuss their applications.

Skybridge Capital founder Anthony Scaramucci anticipates massive capital inflow from Wall Street into BTC when spot bitcoin ETFs launch. Former NYSE President Tom Farley similarly expects money to flood into the crypto industry with the approval of spot bitcoin ETFs. Ric Edelman said last week that financial advisors are waiting for the SEC to approve spot bitcoin ETFs so that they can offer these investments to their clients. JPMorgan, on the other hand, has warned that spot bitcoin ETFs could put “severe downward pressure on bitcoin prices.”

What do you think about the statements by the Moody’s Analytics director regarding spot bitcoin ETFs? Let us know in the comments section below.

The U.S. Securities and Exchange Commission’s former head of internet enforcement believes that there are two reasons why crypto prices are up. The first concerns regulatory oversight of the cryptocurrency industry, while the second revolves around the concept of the greater fool theory. The former SEC official also dismissed the reported 90% likelihood of the SEC approving a bitcoin spot ETF as “absolutely absurd.”

Stark Explains Why Crypto Prices Are Up

Former U.S. Securities and Exchange Commission (SEC) official John Reed Stark shared his view on why the price of bitcoin has rallied in a lengthy post on social media platform X Monday. Stark is currently president of cybersecurity firm John Reed Stark Consulting. He founded and served as chief of the SEC Office of Internet Enforcement for 11 years. He was also an SEC enforcement attorney for 15 years.

The former SEC internet enforcement chief detailed:

Crypto prices go up for two reasons: First, because there is no regulatory oversight to prevent market manipulation and second, because people are able to sell hyped, FOMO’d and overpriced crypto to a ‘greater fool,’ whether or not the crypto is overvalued.

He then cautioned that when “there are no greater fools left,” it will all come “crashing down.”

Continuing his criticism of crypto, he claimed: “For crypto: There’s no inherent value. There’s no cash flow. There’s no yield. There’s no employees. There’s no management. There’s no balance sheet. There’s no product. There’s no service. There’s no history of operations. There’s no analytical valuations. There’s no earnings reports. There’s no proven track record of adoption or reliance. There’s no data of any kind except for analytics relating to crypto speculation, which are inherently suspect (e.g. the reported 90% likelihood of the SEC’s approval of a bitcoin spot ETF, which is absolutely absurd).”

Stark’s long-standing skepticism toward bitcoin and cryptocurrency has been unwavering. He recently hailed the settlement between crypto exchange Binance and U.S. authorities, including the Department of Justice (DOJ), as a “huge victory” for the SEC. In August, he predicted exponential shifts in crypto regulations following the upcoming U.S. presidential election. He also holds a dim view of central bank digital currency (CBDC), labeling it “the most ludicrous financial concept in existence.” Earlier this year, he cautioned that the current regulatory crackdown on crypto is just the beginning.

In contrast to Stark’s skepticism, a growing number of investors, including prominent figures and institutions, are embracing cryptocurrency, particularly bitcoin. Software intelligence firm Microstrategy (Nasdaq: MSTR) recently disclosed that its BTC holdings have ballooned to 174,530 bitcoins, generating a staggering $1.6 billion in profit. Investing legend Paul Tudor Jones has been a vocal proponent of bitcoin, predicting in October that its price will significantly surpass current levels. Renowned billionaire hedge fund manager Stan Druckenmiller acknowledged that he should own bitcoin, despite not currently holding any. Standard Chartered Bank has updated its bitcoin outlook, stating that the price of BTC could reach $100,000 sooner than initially anticipated. Blackrock CEO Larry Fink echoed the growing interest in cryptocurrency, stating in October that he sees global demand and pent-up interest in crypto. The world’s largest asset manager is among the companies that have filed applications with the SEC to launch spot bitcoin ETFs.

What do you think about the explanations by former SEC internet enforcement chief John Reed Stark regarding why crypto prices have surged? Let us know in the comments section below.

Blackrock, the world’s largest asset manager, and Bitwise have filed an amendment to their spot bitcoin exchange-traded fund (ETF) applications with the U.S. Securities and Exchange Commission (SEC). The SEC has held meetings with exchanges and spot bitcoin ETF issuers regarding their applications. “Both the SEC and these issuers are working hard to iron things out,” said a Bloomberg analyst.

Spot Bitcoin ETF Issuers Update Their Filings

Two companies, Blackrock and Bitwise, filed an amendment to their spot bitcoin exchange-traded fund (ETF) applications with the U.S. Securities and Exchange Commission (SEC) on Monday.

Commenting on the filings, Bloomberg analyst James Seyffart wrote on social media platform X:

They’re just pouring in. We have another spot bitcoin ETF S-1 (prospectus) amendment tonight. This one is from Blackrock. SEC is obviously giving multiple issuers the same or very similar instructions.

In another X post, he wrote: “Second S-1 (prospectus) amendment from Bitwise Invest for their spot bitcoin ETF. Conversations still happening with SEC and potential issuers.”

The prospect of spot bitcoin ETFs receiving SEC approval has generated significant excitement within the crypto community. Bitcoin enthusiast Anthony Pompliano speculated: “The bitcoin ETF issuers are updating their applications so fast that you have to think they are all preparing for an approval at the same time that will kick off one of the most insane marketing blitzes in financial markets history as these large firms compete for billions in AUM.”

Seyffart opined:

The wheel is still turning. Both the SEC and these issuers are working hard to iron things out. These filings are likely the result of many conversations and a lot of man hours on/between both sides.

The Bloomberg analyst explained on Friday that the window for a spot bitcoin ETF approval is officially Jan 5 to Jan 10. “Really this means that any potential approval orders are going to come on either Monday Jan 8, Tuesday Jan 9, or Wednesday Jan 10. Mark your calendars people,” he wrote on X. Bloomberg is predicting a 90% chance of a spot bitcoin ETF approval by Jan. 10.

Do you think the SEC will approve spot bitcoin ETFs in January? Let us know in the comments section below.

Itau Unibanco, the largest private bank in Brazil, has launched cryptocurrency trading services for its customers. Through Ion, its financial services platform, Itau will first offer access to two cryptocurrencies, ether and bitcoin, opening this feature gradually to all users.

Itau Unibanco Opens Crypto Trading Services in Brazil

Itau Unibanco, one of the largest banking institutions in Brazil, has announced it will open the possibility for customers to trade cryptocurrencies using its services. The bank, which has over $400 billion in assets, opened trading services for the two crypto assets with the largest market cap — bitcoin and ether — for some customers using Ion, Itau’s financial trading platform.

The bank will release this feature gradually to all customers, so not all will be able to take advantage of the service in its first stages. Itau’s move comes before the Central Bank of Brazil has provided clarity for regulating these assets after the approval of Brazil’s cryptocurrency law in 2022.

Guto Antunes, head of Itau Digital Assets, explained the reasons for the gradual release of these services to Itau’s customers. He told Valor Economico:

This gradualness depends on regulatory clarity. We didn’t go into detail about the selection processes for the first customers who will have access to the new product because it is a strategic issue.

Antunes also clarified that choosing bitcoin and ether as the first crypto assets in the platform derived from a study that determined that most customers were inclined to invest in these.

The bank will custody the crypto assets, and at first, customers will not be able to deposit external crypto assets into the platform or withdraw acquired tokens to external wallets.

Antunes explained:

The most important thing is that just like when you leave your money in the bank account, you will have the guarantee of Itau’s balance sheet as security for the amounts invested.

More tokens could be added to the platform later, as Antunes believes this generation grew up using “banking in a tokenized way.” The bank had hinted at opening crypto trading in 2022 and already has tokenization and custody offerings as part of its portfolio services.

What do you think about Itau’s crypto trading offerings? Tell us in the comments section below.