Good news for the cryptocurrency marketAug 19, 2019
According to CoinMarketCap, 12 out of 14 cryptocurrencies with a capitalization of more than $1B completed the previous week in the red zone. Nevertheless, there is no panic in the market. Bitcoin is still trading above the psychological mark of $10000, which is a moderately positive signal for the market.
Litecoin (LTC) -13%, TRON (TRX) -12.3% and EOS -10.5% were the outsiders of the previous week.
Silvergate Bank will issue loans secured by cryptocurrencies
By the end of 2019, the Silvergate Bank of California will begin to issue loans secured by digital assets to selected institutional clients. This was reported on the official website of the US Securities and Exchange Commission (SEC), where the parent company Silvergate Capital Corporation applied in advance of the IPO.
The reason for the emergence of this service was the demand for loans for the further purchase of cryptocurrencies. To do this, Silvergate Bank also uses the Silvergate Exchange Network (SEN), which allows corporate customers to conduct transactions in US dollars at any time. So, the loan will be issued in US dollars, while the collateral in digital assets will be stored on the SEN member exchange.
Bakkt may launch on September, 23
Bakkt, the digital subsidiary of the Intercontinental Exchange Corporation (ICE), has announced that it has received all necessary approvals from both the New York regulator and the CFTC. This means that Bakkt is ready to launch on September 23. In other words, institutional investors will have the opportunity to buy and sell cryptocurrencies (Bitcoin) using their usual tool – futures.
At the same time, Bakkt Trust Company LLC received a trust license from the New York Department of Financial Services(NYDFS), which will allow it to store institutional clients’ bitcoins that will be insured for $125 million.
Bakkt intends to solve the problem of low liquidity, operational risks, reliability and fees to enable institutions to interact with bitcoin.
New Zealand and salaries in cryptocurrency
New Zealand was the first country in the world that allow companies to provide salaries in cryptocurrencies. It is difficult to call this event significant, but the experience gained during this step can have a long-term positive effect.
The first of three series about the personality of Satoshi Nakamoto appeared on the internet. Nevertheless, most experts have already criticized it, citing the fact that all the evidence presented is in the public domain.
The entire crypto community is monitoring this source, looking forward to the appearance of the other two series of the proof.
Tom Lee – Bitcoin May Update Historical Highs in 2019
Tom Lee, the co-founder of Fundstrat Global Advisors, states that by the end of this year, the price of bitcoin will significantly increase. He does not rule out updating the historical maximum.
It should also be noted that Tom Lee does not agree with the opinion about the correlation between Bitcoin and the US stock market. Thus, in his view, the first cryptocurrency is necessary for the effective diversification of the investment portfolio.
“I think that someone who holds 1-2% of their capital in bitcoin to hedge multiple risks makes a smart bet,” said Lee during the interview with Fox Business.