Significant growth with 800 million SUSHI tokens coming out of nothing in less than a week, with suspicion of exit-scam: SushiSwap (SUSHI) will have marked the year 2020 with significant and worrying growth, the suspicious actions of its leader, and actions that would ultimately have mainly benefited Uniswap (UNI). SushiSwap is releasing its development roadmap for 2021 with a multitude of ambitious projects to be carried out over 12 months on the menu.
January 9, 2021, SushiSwap publish on Medium an ambitious roadmap for its development in 2021.
The key elements of these include the most complex and advanced features of DeFi: a cross-chain DEX built thanks to Rune and Moonbeam, an integration on the blockchain Polkadot (DOWRY) and fully decentralized governance for the end of 2021.
The article also provides an update on the progress of previous projects such as the launch of a v2 called Mirin and the launch in mid-January 2021 of a loan product called BentoBox.
The roadmap also suggests that a rebranding of Sushiwap would be possible. Given the diversity of the products under development, Sushiwap is preparing to deploy in many sectors and the name ofAutomated Market Maker (AMM) no longer seems appropriate.
Observers are watching the integration proposal with interest with Archer DAO. Archer collaborates with minors ofEthereum (ETH) to produce blocks more efficiently and, this integration will reduce the Miner extractable value (MEV).
Other integrations include support for algorithmic stablecoins like FRAX, DSD or BAO.
Regarding scalability, SushiSwap indicates that the protocol will synchronize with the ecosystem Yearn and the zero knowledge rollups will be the preferred solution.
In the hours following the publication of the post, the token Sushi was up 10% and was trading around $ 4.64.
DeFi begins the year 2021 with relative discretion. Cryptophiles have for the moment their eyes riveted on a Bitcoin (BTC) and an Ether which see their price explode, and on the legal woes of Ripple (XRP). DeFi is in a way entering a maturation phase: filling in security vulnerabilities, developing new features for major players, etc. Raoul Pal predicts a DeFi that will occupy an important place in the crypto ecosystem in 2021. The summer 2020 bubble created chills and ended up bursting after a sunny summer for DeFi: will the good weather actually return in 2021?
Litecoin, welcome in the Silver Age
Bitcoin Volume and Accumulation at a High Despite Pullback
Bitcoin and other digital currencies tanked on Monday, wiping out about $170 billion from the whole crypto-currency market. The largest cryptocurrency, Bitcoin, fell by over 11 percent from a day earlier to $35,828.06. The sell-off in cryptocurrencies comes after a huge rally and perhaps suggests some profit-taking by buyers.
According to Yahoo, on-chain data mining company Glassnode noted that in a single day, more than 1.3 million Bitcoin addresses were involved at last week’s peak.
“This continued spike indicates that bitcoin has an impressive level of new adoption and activity, and suggests that the number of network market participants may be higher than ever before,” Glassnode said.
The latest Bitcoin-related patterns are definitely mixed. A crazy streak of late has seen the blockchain and a pull-back is not alarming to everyone in the business. Despite the collapse, it can be remembered that Bitcoin manages to transact with tremendous gains year-over-year and month-over-month.
In the past year, Bitcoin has more than quadrupled, evoking memories of the 2017 mania that first rendered a household name for cryptocurrencies before values plummeted almost as rapidly. On Jan. 8, with retail traders and Wall Street buyers clamoring for a slice of the action, stocks nearly hit $42,000.
The rally this period varies from previous boom-bust periods because the currency has stabilized with the entrance of foreign investors and is gradually viewed as a credible buffer against dollar weakness and inflation risk, true believers in Bitcoin say.
Others are concerned that the boom is untied by merit and fueled by large swathes of fiscal and monetary stimulus, with Bitcoin unable to ever function as a credible substitute currency.
With many people trying to get wealthy on Cryptocurrencies, the currency is catching regulators’ interest. The U.K.’s financial watchdog released a stern alert on Monday for buyers hoping to gain from crypto: be prepared to risk anything.
Demand from institutional buyers, many of whom consider bitcoin as a buffer for inflation. As only 21 million bitcoins can ever be created under the initial programming of the network, cryptocurrency is seen as an inflation buffer; there is also a contrast with central banks such as the Federal Reserve which, based on a committee vote, will try to print additional capital.
Via futures contracts on the Chicago-based CME platform, such as Tudor Investment and Guggenheim Partners, major fund managers have recorded bitcoin trades or wagered on prices.
And old-line Wall Street businesses like Morgan Stanley have weighed in with bullish pronouncements. Analysts at JPMorgan Chase, the biggest U.S. firm, recently forecast a price of $146,000 over the long term.
In the foreign exchange markets, the collapse of the US dollar. In 2020 and again in 2021, the U.S. Dollar Index, a currency worth measurement against other world currencies such as the euro and Japanese yen, dropped by 6.8 per cent. For bitcoin, as the price of the blockchain is mostly denominated in U.S. dollars, that is important.
Author: Vincent Dean
Cryptocurrency basics: what it is, how it works, and how to invest
Your pocketbook may soon be going virtual.
That is, if the trend in cryptocurrency continues. This non-physical, digital form of money — issued not by governments but by private systems — keeps multiplying. Since 2009, when bitcoin — the first and best-known — debuted, thousands of cryptocurrencies have become available. Cryptocurrencies have been championed and developed by several corporations and financial institutions, including Air Asia, Mitsubishi UFJ Financial Group, and Facebook.
And the currencies have also attracted the attention of the financial world. The rapid ups and downs in the prices of bitcoin and the 12 other major types that can be traded are the stuff of daily headlines.
S&P Dow Jones Indices, which runs the S&P 500 Index, is going to start publishing the price moves of several cryptocurrencies in 2021, helping investors track the performance of different coins. This sort of index gives a major boost of transparency and legitimacy to “crypto” as an asset class.
For all its fame, though, “crypto” can still be confusing. Here’s a guide to the basics behind the electronic currency — how it works, and what to know before investing in it.
Cryptocurrency is often referred to as “decentralized money,” meaning that it is stored, created, and processed outside of a central bank, or government.
Unlike traditional “hard” or paper money, cryptocurrency has no physical form. It’s really a set of data, secured by cryptography (the science of encoding and decoding information) — that’s why it’s called “cryptocurrency.”
When data is encoded, the information is converted from one form to another, less discernible form, and is then decoded — or reverted — back to its original form by the end-user. This complex process eliminates the possibilities of double spending and counterfeiting, thus reinforcing the security of using cryptocurrency to pay for things.
In a way, cryptocurrency works like a secure, cloud-based filing system, much like Dropbox or Google Drive.
By decentralizing, cryptocurrency avoids interactions with third-party servers and government agencies, which often engage in mass data collection and allow potential control of an individual’s access to funds. This lack of affiliation with a government or banking system allows transactions to be processed anonymously, which some users consider a notable benefit.
On the flipside, cryptocurrencies lack one of the main advantages of a physical or “hard” money system, since there is no government entity responsible for maintaining the central supply, or even a record of the money or its transactions.
Cryptocurrencies maintain their own record-keeping through the use of blockchain, an online ledger and transaction log.
Blockchains create digital records — of transactions, certificates, or contracts —that can only be added to, rather than changed or deleted. This independent transaction log, crypto-converts insist, is far more secure than paper records or institutional digital accounts, which could be hacked.
Essentially, the platform archives both the buyer’s and seller’s information and records it as a “hash,” or string of letters and numbers generated by a complex mathematical function. Each hash is directly linked to the hash before it, so unauthorized changes to the ledger will become apparent immediately after a hash is altered.
Once a certain number of hashes is reached, the group is converted into a “block” and linked to the other blocks on the server — hence the name “blockchain.” The blockchain is updated every ten minutes and stored on a multitude of servers worldwide.
Cryptocurrencies operate in a closed system, meaning that there is a fixed amount of them and new units can only be created following a strict set of guidelines. Some currencies, such as bitcoin, have a software-enforced cap on how many units can be created. This limited supply makes each unit more valuable—especially as the currency gains popularity among day traders.
Several varieties of cryptocurrencies exist. The most popular and widely traded include:
In its early days, crypto seemed a tad shady, associated with criminals and money launderers. A black market operation, the Silk Road, used bitcoin as its currency of choice until the FBI shut it down in 2013.
Since then, cryptocurrency has slowly gained prominence in the public eye — and respectability. Today, it can be used for a variety of transactions, including investing in startups, negotiating import-export contracts, and even paying utility bills.
In 2020, Paypal announced that it would allow users to hold multiple types of cryptocurrencies on their accounts, and is even looking to allow crypto to be used as a payment option on their many partner websites like eBay.
But while its uses are growing, cryptocurrencies mainly seem to flourish as an investment asset, trading in specialized currency markets.
Cryptocurrency can form part of a well-balanced portfolio. Unlike traditional stocks, bonds, and mutual funds, crypto offers the security of anonymity and the potential for rapid future growth. In addition, because it operates outside of a traditional government setting, the assets are typically not subject to a freeze or seizure by authorities.
Common investing apps like Robinhood, Coinbase, and Kraken all offer the ability to purchase crypto with ease. There are also entire online trading platforms and exchanges (like Gemini, BlockFi, eToro, and Bitcoin IRA) dedicated exclusively to crypto products.
Additionally, publicly traded Bitcoin trusts and funds allow individuals to invest in professionally managed portfolios that trade the currencies — offering the diversification and economical prices that regular mutual funds and ETFs do.
Cryptocurrency poses three major risks:
Innovations are already being established to manage the market fluctuation of the system and control its valuation. For example, the crypto coin Tether quite literally “tethers” itself to local currencies, thus sidestepping the characteristic volatility of other unsecured tokens.
Cryptocurrency is an emerging asset that is sure to continue evolving in the coming years. Whether the future will be one where all tokens are backed by local currency or whether they’ll remain intangible, crypto can certainly form a portion of a prudent investor’s portfolio.
Its decentralized nature has protected cryptocurrency from the influence of third-party servers and government agencies, which has created an anonymous processing system that appeals to many users. Its blockchain technology maintains a complex and highly-secure transaction log.
However, the system is not risk-free by any means. The current lack of government and international regulations may hinder the product’s desirability for some. For others, the volatility of different coin prices may seem just too dangerous — especially for an asset that has no intrinsic, fundamental value.
Much like the asset’s price, public perception of cryptocurrency has fluctuated dramatically over time. But it’s safe to say that this new type of currency is not yet spent.
Author: News Bureau
Crypto Prices Show Signs of Recovery, Market Analyst Says ‘Bitcoin Remains in a Healthy Place’
Bitcoin and a number of other cryptocurrencies have regained some of the percentage losses they suffered this past Monday, as various crypto assets are up today between 5-25% in value. On Monday, the crypto economy dipped under the $800 billion handle after the entire market cap fell from its trillion-dollar valuation. Today, the overall market valuation of all 7,500+ digital assets in existence is hovering just above the $900 billion mark.
Digital currency markets saw some deep losses this past Monday, as the trading sessions on January 10 and into Monday saw crypto assets lose anywhere between 25% to 40% in value. For instance, the price of bitcoin (BTC) slid from a value of $41,056 per unit to $30,261 per BTC shedding over 25% in fiat value.
Today, however, the crypto asset’s value has improved a great deal jumping over 6% during the last 24 hours. BTC has done considerably well over the long run as the crypto asset is still up 3.1% over the week, 82% for the month, 206% for the 90-day span, and 332% against the USD for the year. At the time of publication, BTC is trading hands for prices between $34,600 to a touch over $35,000 on Tuesday afternoon.
The second-largest market valuation is held by ethereum (ETH), which is up 12% on Tuesday and trading for $1,115 per unit. XRP is up over 8% today and each token is swapping for $0.29. Cardano (ADA) is up 16% at the time of publication and trading for $0.29 per token on Tuesday.
Litecoin (LTC) is trading hands for $139 per LTC and is up 10% during the course of the day. Bitcoin cash (BCH) has gained 8.5% as each BCH is swapping for $470 on Tuesday afternoon (EST). Overall cryptocurrency trading volume worldwide today is up 14% and there’s $93 billion in global swaps.
Etoro’s market analyst, Simon Peters, detailed on Monday that “despite yesterday’s short-term market correction, bitcoin remains in a healthy place.”
Peters further explained that many skeptics will call bitcoin a “bubble” but BTC’s long-term outlook remains very strong. “Many detractors were quick to believe the bitcoin bubble had popped, as the price seemed destined to fall below $30,000 but this failed to materialise,” Peters explained in a note to investors.
“As a result, enthusiasts declared victory, arguing that $30,000 is a new bottom for the crypto asset. In my view, it is too early to say. Although we remain in a price range we haven’t seen before, some of the rises and falls we’re seeing in this current crypto bull market were also present in the 2017 bull market,” the Etoro analyst added.
Furthermore, in the recent “Coin Metrics’ State of the Network: Issue 85,” the research company mentioned BTC’s reaction to the January 6, 2021, Capitol breach events in the U.S.
“Bitcoin’s quick reaction to events on January 6th shows its continued maturation as an asset that responds to global events,” Nate Maddrey and the Coin Metrics Team wrote. “It also potentially adds evidence to the narrative that bitcoin is sometimes viewed as a hedge against global unrest. But the run-up to $40K also occurred on the tailwind of a strong run to start the year so it can be difficult to untangle the exact impact of January 6th’s events.”
Meanwhile, the notorious gold bug and economist, Peter Schiff, scoffed at bitcoin’s big losses this past Sunday. “Bitcoin traded near $42K on Friday and near $30K on Monday,” Schiff tweeted. “An asset that drops 28% over a weekend is not a safe-haven, a store of value, or a viable hedge against inflation. If you want to gamble on bitcoin, buy Bitcoin. But if you want to hedge against inflation buy gold,” Schiff added. Following that statement Schiff also said:
As long as people don’t realize or don’t care that bitcoin has no actual value, and continue to buy it anyway, its price can continue to rise. But eventually, those who don’t care will start caring, and those who don’t understand will figure it out. By then it’s too late to sell.
Of course, a number of crypto assets said that Schiff was just talking about bitcoin to gain some attention, and they believe this is why the gold bug often discusses the cryptocurrency so regularly. “It sounds like bitcoin is helping you grow your following more than gold at this point,” one individual responded to Schiff’s tweet about bitcoin. “It seems like that’s where the real value to you is. Ironic. Appreciate the warnings, if you’re right, and forgive you if you’re wrong. Best of luck,” the person added.
Schiff replied back and said that he’s been trying to get people to jump off the bitcoin bandwagon. “It’s hard to tell, but my guess is that I would have even more followers if I got onboard the bitcoin train, rather than trying to convince others to jump off,” Schiff said.
Meanwhile, today’s top token gainers include coins like stakenet, district0x, genaro network, dmarket, and nano which are up between 40% to 91% today. Tuesday’s biggest losers are tokens such as golem, bitnautic, everex, acute angle cloud, and coinmeet. Those five tokens have seen percentage losses between 5% to 19.99% on Tuesday afternoon.
Check out all the latest cryptocurrency price action in real-time at markets.Bitcoin.com.
What do you think about the cryptocurrency percentage gains on Tuesday? Let us know what you think about this subject in the comments section below.
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What Publicly Traded Companies Have Bitcoin On Their Balance Sheet — And Why
PARIS, FRANCE – JANUARY 08: In this photo illustration, a visual representation of the digital … [+] Cryptocurrency, Bitcoin is on display in front of the Bitcoin course’s graph on January 08, 2021 in Paris, France. The value of Bitcoin (BTC) has exceeded the threshold of 41,000 dollars for the first time in history. The cryptocurrency continues its historic soar and just took $ 10,000 in five days on the optimism of the markets over the certification of Joe Biden’s election in the United States, and continues its spectacular surge in recent weeks. (Photo illustration by Chesnot/Getty Images)
One of the reasons for for the surge in bitcoin’s price is institutional support.
While in 2017, you could have made the argument that most of the boom in prices was driven by retail factors while institutions looked aside, the argument can be made that this particular boom was driven by institutional support, whether that’s large-scale funds or public companies that have held bitcoin.
Many of those public companies are holding lots of bitcoin and are aligned on being bullish on bitcoin.
Here are the different reasons for why some public companies are holding large amounts of bitcoin on their balance sheet, and a guess at who might be next.
Michael J. Saylor is an interesting convert to bitcoin — in 2013, he had tweeted about how bitcoin reminded him of an online casino and that its days “were numbered”. Now, however, he has become a strong advocate for bitcoin. Shares of his company have now increased significantly in value as a result.
Square has been a company that has supported bitcoin in various ways. Cash App, for example, offers the ability to buy bitcoin, and Square Crypto is an independent team that is contributing to bitcoin from an open-source perspective.
It has made investments in bitcoin for its own internal treasury: it bought about 4,700 BTC with $50 million recently, citing the fact that “cryptocurrency is an instrument of economic empowerment and provides a way for the world to participate in a global monetary system, which aligns with the company’s purpose”. Square is also listed on the Nasdaq index.
Square founder Jack Dorsey has been notably bullish on social media when it comes to bitcoin, putting bitcoin in his Twitter bio — this bullish sentiment is something that MicroStrategy and Michael J. Saylor share as well.
Galaxy Digital Holdings
Galaxy Digital Holdings is a publically traded company looking to create institutional infrastructure for cryptocurrency, from investment banking to asset management. It currently holds about 16,400 BTC in its treasury, which is about $569mn in USD value as of the date of publication.
Hut 8 Mining
Hut 8 Mining is a Canadian bitcoin mining company that is publicly listed on the TSX index based in Canada. Unlike the other companies mentioned above, its main line of business is actually bitcoin network-related. It’s natural that it would then hold a significant amount of bitcoin in its treasury with about 2,851 BTC on the balance sheet on Q2 2020.
Voyager Digital is a platform that offers APIs and mobile apps to allow for the trading of cryptocurrencies. It’s listed on the CSE, the Canadian Stock Exchange, and has more than 2,500 BTC on its balance sheet as per its November 2020 filing — presumably partly due to its bullish attitude on cryptocurrencies, but also based on its line of business.
Some common themes come out of the top bitcoin treasury holders in publicly traded companies — that can help explain the trend and perhaps triangulate who might be next.
Most of the publicly traded companies that hold bitcoin on their balance sheet are in the US or Canada — in fact 16 out of 18, or about 89% on the list. Other than two companies in Germany and Australia, every company listed on the aggregator is based in North America.
This is an important theoretical consideration for the network itself and the degree of decentralization that can be achieved — the geographic location of miners and mining pools rather than being concentrated in China, can steadily go towards different places like North America if stable access to capital markets for mining companies can outweigh other factors such as the cost to electricity.
It also tells us that any public companies that embrace having bitcoin on their balance sheet will likely come from North America.
In the case of the two largest holders, why they’re embracing bitcoin has to do with the senior leadership, specifically the founders and/or CEOs. Once they are convinced through different use cases (for example, Jack Dorsey tweeting about #EndSARS), their companies also tend to look at bitcoin.
Different company types seem inclined to hold bitcoin. There are of course, mining pools and those looking to help with retail or institutional trading who naturally have some bitcoin on their balance sheet, as a result of their industry focus.
However, there are also companies that nominally have very little to do with bitcoin who are choosing to adopt it, some of which are driven by their founder to do so.
A variety of companies are trading on public markets and keeping bitcoin on their balance sheet. Their institutional support of bitcoin is either industrial or ideological. As bitcoin matures, it’s possible that there might be more public companies who take a similar path — and provide some resilience in a very volatile market.
Author: Roger Huang