With the first half of June concluded, there have been 37 venture capital deals and fundraising events in the crypto sector. Collectively, these investments totaled 7.87 million, with Avail, a modular blockchain project, leading the pack with million. 37 Crypto Startups and Projects Gather 7 Million Crypto investments are ongoing, and in the last […]
Bitcoin News
Texas Electric Utility Courts Unnamed Crypto Miners With Five-Year Deals
In a recent report, the community-driven, nonprofit electric provider in Texas, Denton Municipal Electric (DME), is attracting interest from several crypto mining companies seeking to establish operations. These companies are eyeing a five-year agreement for powering their mining activities. Texas’ Denton Municipal Electric in Talks With Unnamed Crypto Miners On Feb. 16, the Denton Record […]
Bitcoin News
Galaxy Digital Seeking to Score Deals From Defunct Cryptocurrency Companies
Galaxy Digital, a digital assets and blockchain financial services company, is seeking to score deals with defunct cryptocurrency companies to acquire their assets. According to reports, the company is eyeing FTX’s venture capital portfolio, which has a sizable stake in artificial intelligence (AI) disruptor Anthropic, among others.
Galaxy Digital Aiming to Complete Bankruptcy Sales for Disgraced Crypto Businesses
Galaxy Digital, a cryptocurrency and blockchain financial services company, is targeting the asset sales of crypto businesses to grow its capital. According to a recent FT report, the firm led by American billionaire Mike Novogratz would be eyeing other crypto-bankrupt companies to facilitate the sale of their assets.
The company, which was selected to sell FTX’s tokens, saw its assets under management (AUM) climb from .7bn to more than bn after this. The now-defunct exchange selected Galaxy due to his “extensive experience in areas relevant to digital asset management and trading.”
Galaxy’s next target would be FTX’s venture capital portfolio, which has a sizable stake in Anthropic, a disrupting artificial intelligence (AI) company that has raised capital from Google and Amazon and has a valuation of over bn.
Steve Kurz, global head of asset management at Galaxy, explained that Galaxy Digital qualifies for these tasks due to its experience and performance. He stated:
We have a crypto venture team that has been investing off our balance sheet for five years. The record that we have on that side of our asset management business means we’d be a good candidate for something like that.
Galaxy Digital, which is also seeking approval to offer a bitcoin spot ETF, is bullish on the future of bitcoin. Kurz declared:
The world doesn’t understand the impact that these vehicles and a bitcoin ETF will have to bitcoin and crypto over time.
Novogratz believes that a spot bitcoin ETF will be approved this year.
What do you think about Galaxy Digital’s appetite for crypto from defunct businesses? Tell us in the comments section below.
FTX Estate Sues Layerzero Labs for $85M Over Alleged Fraudulent Deals and Asset Withdrawals Amidst Collapse
The bankrupt estate of cryptocurrency exchange FTX is suing blockchain company Layerzero Labs in an attempt to claw back a million deal and over million in withdrawals made in the days before FTX filed for bankruptcy. The lawsuit alleges that Layerzero exploited FTX’s financial distress to negotiate a fire-sale transaction just prior to the bankruptcy filing. Layerzero’s co-founder and CEO Bryan Pellegrino, however, says the lawsuit “is filled with unsubstantiated claims.”
Layerzero Accused of Exploiting FTX’s Distress: Lawsuit Highlights Purported Fraudulent Activities
The complaint filed by FTX accuses Layerzero of fraudulent transfers, unjust enrichment, and violations of the automatic bankruptcy stay. It seeks to recover equity that FTX subsidiary Alameda Ventures transferred to Layerzero as well as alleged cryptocurrency withdrawals from FTX by Layerzero employees.
FTX claims that in November 2022, as the exchange faced a severe liquidity crisis, Layerzero demanded immediate repayment of a million loan to Alameda Ventures. Layerzero then negotiated a deal whereby Alameda Ventures transferred its nearly 0 million equity stake in Layerzero in exchange for forgiveness of the loan.
The lawsuit claims this was a fraudulent transfer made by FTX insiders like Caroline Ellison to hide assets from creditors. It also alleges that Layerzero employees including former chief operating officer, Ari Litan, reportedly withdrew over million worth of assets from FTX exchange accounts in violation of bankruptcy preference laws.
According to FTX, these withdrawals from Layerzero occurred on November 7 and 8, 2022, just one or two days before FTX halted customer withdrawals. The lawsuit asserts that Layerzero exploited its inside knowledge of FTX’s financial troubles for its own benefit.
In addition to recouping the alleged fraudulent transfers and improper withdrawals, FTX is seeking to disallow claims filed by Layerzero against the FTX bankruptcy estate. FTX claims that Layerzero violated the automatic stay by attempting to take control of crypto tokens post-bankruptcy. Following the lawsuit filing, the CEO of Layerzero, Bryan Pellegrino, denied the claims on the social media platform X.
“Regarding the FTX suit, the entire suit is filled with unsubstantiated claims. We have been in communication with the FTX liquidators for almost a year now and have time and time again attempted to proactively address the issue of ownership of the shares with them and have been ignored for the entire time,” Pellegrino wrote.
“To see them wait all this time to file a suit filled with unsubstantiated claims leads me to believe the purpose is not to settle the issue but simply prolong the process in hopes of receiving more legal fees,” he added.
What do you think about FTX suing Layerzero? Share your thoughts and opinions about this subject in the comments section below.
China-Africa Economic and Trade Expo Aims to Defy Western ‘Debt Trap’ Accusations, Generating $19 Billion in Trade Deals
According to a report from the third annual China-Africa Economic and Trade Expo, Africa and China are continuing to strengthen their long-term trade ties. China wants to be one of Africa’s largest trading partners, and reports revealed on Friday that this year’s expo is expected to generate billion in deals.
Annual Trade Event Between Africa and China Highlights ‘Western Smears’ and Multi-Billion-Dollar Trade Deals
After 2010, trade between Africa and China increased a great deal and in 2011, trade between Africa and China increased by 33% from the previous year to 6 billion. The following year, trade increased further by over 22% year-over-year. China and Africa have significantly increased their trade in 2023 through a variety of initiatives and investments. Reports further indicate that China aims to surpass the European Union as Africa’s largest trading partner by 2030.
Trade between China and Africa grew by 9% year-on-year to reach .4 billion in the first four months of 2023, according to statistics. This week, leading members from African governments and the continent’s private sector have convened for the third annual China-Africa Economic and Trade Expo held in Changsha, Hunan Province, China. The annual event is a platform for China and African countries to promote economic and trade cooperation. This year’s Expo is themed “Common Development for a Shared Future.”
Regional reports indicate that this year’s expo is expected to generate billion in deals. According to Chinese media, many African officials and business representatives have rejected Western accusations of a “debt trap” in China-Africa cooperation, and have expressed their desire for closer ties with China. Anna A Wapalila, CEO of Herbanna General Supply Co in Tanzania, was quoted in the Chinese media report as saying, “China is the biggest market. If you can get any products to China, it means that you [don’t need to] look for any other countries in the world.”
James Kimonyo, the Rwandan Ambassador to China, also spoke about the United States claiming China is setting Africa up to fall into a debt trap. “In any economic structure, you look at the pillars and the projects that are going to support your growth,” Kimonyo said. “Once you have identified them, then you look for the resources to implement them. And then in the process of looking for the resources, then you engage the partners. China happens to be a partner that is very open in terms of what we discuss in terms of the financing of projects.” Kimonyo added:
I think that narrative is wrong. China is not putting Africa in a debt trap.
The People’s Daily explained that there was a lot of talk about the “Western smear” and statements against the alleged Western countries’ attempt to “decouple” Africa from China. China is now the fourth largest investor in Africa, and its investments in African countries have exceeded billion in the last ten years. “There is no point in complaining when you get money from China as long as the money is invested in the projects that are going to make a difference in the lives of all people,” Kimonyo added.
What are your thoughts on China’s efforts to strengthen trade ties with Africa and the alleged Western accusations of a ‘debt trap’? Share your thoughts and opinions about this subject in the comments section below.
India-Russia Oil Deals Chip Away at Dollar Dominance in International Trade
On Wednesday, Reuters reported that Western sanctions on Russia and oil trading between Moscow and India have started to erode the dollar’s decades-old dominance of international oil trade. The oil deals between India and Russia have been settled in other currencies, putting the U.S. dollar’s dominance in the oil trade under pressure.
Sources Say Non-U.S. Currencies Used in India-Russia Oil Deals Total ‘Several Hundred Million Dollars’
During the last few months, Bitcoin.com News has reported on several instances in which analysts and economists suggest that Brazil, Russia, India, China, and South Africa, collectively known as BRICS nations, are attempting to undermine the U.S. dollar. On March 8, Reuters columnists Nidhi Verma and Noah Browning reported on how India’s oil deals with Russia have put a “dent” in the U.S. dollar’s dominance in the international oil trade.
Oil traders and banking sources told the reporters that Indian customers are paying for Russian oil entirely in non-U.S.-denominated fiat currencies, including the United Arab Emirates (UAE) dirham. The sources said that over the last three months, the deals have accounted for “several hundred million dollars” in transactions between the two countries. Three sources with direct knowledge of the matter chose to disclose the information anonymously due to the “sensitivity of the issue.”
The report is not the first time accounts and sources have noted that India is reportedly getting oil from Russia at a significant discount. The estimated -per-barrel price cap was reported on various occasions last year. It has also been alleged that a great deal of oil is simply finding its way back to European petrol stations after India allegedly sells the crude for a premium.
A former chief economist at the U.S. State Department, Daniel Ahn, told Reuters on Wednesday that the dollar’s “strength is unmatched.” Ahn called the moves by the Russian Federation “transitory gains” that won’t have much effect. “Russia’s short-term efforts to try and sell things in return for currencies other than the dollar are not the real threat to Western sanctions,” Ahn said in a statement.
What impact do you think India and Russia’s oil deals settling in non-US currencies will have on the global oil trade and the U.S. dollar’s dominance in it? Share your thoughts about this subject in the comments section below.
Spain a Hotbed for Cryptocurrency Real Estate Deals, According to Study
A recent study indicates that Spain is one of the hottest countries regarding real estate offerings that can be paid with cryptocurrency. The report, prepared by Forex Suggest, found that Spain is the country with the most properties available for crypto, followed by Thailand, Portugal, and the UAE.
Spain Ranks First Among Countries With Properties on Sale for Crypto
A recent study made by Forex Suggest, which examined which countries had the most properties on sale for cryptocurrency, found that Spain was the hottest destination for real estate crypto investors. The study, which aggregated properties available in specialized crypto real estate portals, found that 289 properties were available to purchase with crypto in Spain alone.
The report explains that the properties offered are mostly located in the cities of Alicante and Marbella, and more urban properties are in the city of Barcelona.
This number puts the country at the forefront of all other nations by a significant number. Second to Spain is Thailand, with 227 properties available, and a popular cryptocurrency haven, Portugal, ranks third with 130 properties available.
Also, the report found that the country with the most expensive prices of properties available to buy with crypto was Canada, averaging almost 250 bitcoin per property, while properties in the Philippines have an average price of a little more than 15 bitcoin, being the cheapest around the world. El Salvador, a country that has adopted bitcoin as legal tender, falls in the middle, with average prices of close to 40 bitcoin per property.
Real Estate and Crypto
The document assesses the benefits and problems that transferring a property for crypto might bring to both owners and buyers. Among the most important benefits is avoiding the associated costs of transferring and paying with fiat currency, especially if the properties involved are located overseas.
Among the problems described by the report are the low availability of mortgage lenders willing to accept cryptocurrency as a deposit, and the current stringent regulatory framework in countries like the U.K., which might bring additional paperwork to the process.
The acceptance of crypto for real estate payments has been steadily growing, with several platforms opening the doors to list prices in crypto since last year. In Aug. 2021, one of the first reported real estate sales paid in crypto happened in Venezuela, when an apartment was sold using Tether’s USDT. In the same way, sales in Chile and Colombia were reported to be settled using bitcoin last year.
What do you think about the usage of crypto to purchase real estate properties? Tell us in the comments section below.
Crypto Market Crash Pauses Commercial Deals With Sports Firms
The current downtrend of the crypto market has negatively affected financial institutions, particularly those dealing with digital currencies.
Currently, some firms are beginning to feel the heat from a different angle. This involves sponsorship deals between these digital currency companies and sports teams. This is particular to the crypto firms that have already spent hundreds of millions on the matter.
The Crypto Winter Takes Hold
As of 2021, the news reported that many digital currency firms invested billions of dollars in sponsoring sports. These companies had believed that the same would occur in 2022, only to wake up to the dawning of the downturn in the crypto market.
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As the crypto winter takes hold, there have been records of losses for certain digital currency firms. This led them to make some hard decisions, such as trimming costs and staff headcounts. Moreover, companies that ventured into heavy sports deals are seeking ways to sustain their operations. As such, there is a need to cut down costs.
According to the reports, the digital currency exchange, FTX, drew back on the issue of offering a jersey patch for the Los Angeles Angel of MLB. This occurred some weeks back, seeing the tanking of the digital currency market. However, from the news, FTX had shelled out 5 million in March 2020 to rename the Miami Heat’s home.
Sources cited another example of a nixed deal resulting from the crypto market crash. This involved the patch deal between a crypto firm and the NBA’s Washington Wizards. Many crypto companies consider the Washington Wizards patch desirable.
This is because the regulators and politicians who supervise their games are more often in attendance. However, there was no response from the parties (Washington Wizards and FTX).
Past Sponsorships
Going further, Joe Favorito, a professor in charge of sports at the University of Columbia, made a statement about the situation. From his speech, there will be no announcement on sports partnerships or sponsorships until the bulls take over the market.
Furthermore, it was disclosed that vast amounts of money were poured into sponsorships deals during the last bullish market trend.
Some examples of crypto firms cited were Crypto.com, FTX, and Tezos. For example, sources noted that Crypto.com offered about 0 million to name the Los Angeles Lakers’ home for nearly 20 years. Furthermore, in March 2021, FTX offered 5 million, as stated earlier. This was intended to replace the name of the Miami Heat’s home arena with FTX Arena.
Cryptocurrency market falls by 3% on daily chart | Source: Crypto Total Market Cap on TradingView.com
Moving on to Tezos, the company offered 27 million dollars annually to maintain the Manchester United uniforms logo. However, the current market trend does not change the firm deals between NFT companies and real-world products. This means that there are certain benefits still available to the related parties.
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An example is Budweiser, a Golden beer manufacturer in partnership with Zed Run, a renowned horse racing platform. Another source example is Tom Brady’s Autograph NFT marketplace in partnership with ESPN. Again, the idea was to develop significant content for the sports television network.
Featured image from Pexels, chart from TradingView.com
NewsBTC
Fears of Bearish Correction Loom as Bitcoin OTC Deals Plunge
Bitcoin faces the prospects of undergoing a massive downside correction as on-chain data shows a plunge in its over-the-counter deals.
According to data fetched by CryptoQuant, the total amount of Bitcoin tokens flowing out of Coinbase Pro’s addresses to their newly-created custodial cold wallets has decreased ever since BTC/USD crossed above ,000.
Coinbase Pro Bitcoin Outflow chart. Source: CryptoQuant
As CryptoQuant’s CEO Ki-Young Ju noted earlier, these wallets hold Bitcoin for major crypto-enabled firms like Genesis Trading (which buys Bitcoin for Grayscale Investments, one of the largest crypto accumulators) and Ruffer Investment (which bought around 0 million worth of BTC last year).
That allows the data analytics portal to equate large BTC transfers from Coinbase Pro to new wallets as OTC transactions.
Retail Involvement High
The statements appeared as Bitcoin logged another all-time high on Thursday, hitting ,321 ahead of New Year’s eve. Its latest rally came on the backs of a devaluing US dollar and prospects of new institutional investments into the cryptocurrency space, especially after Skybridge Capital’s big reveal that it holds Bitcoin worth 2 million.
The news also coincided with a recovery in stablecoin inflows into all cryptocurrency exchanges from their December 13 low. A CryptoQuant metric earlier this week showed that the total number of stablecoin counts increased from 20,000 (BTC price: ,270) to 30,590 (,000).
Bitcoin rally pauses after hitting ,000. Source: BTCUSD on TradingView.com
That showed that the rally to ,000 was majorly retail-driven, which further increased Bitcoin’s potential to correct lower in the coming sessions. Small and medium-capital traders tend to sell the cryptocurrency at its local top while investors with a long-term outlook use those dips to purchase it.
With OTC deals going down, it might be possible that institutions are waiting for the next Bitcoin correction to accumulate more of its units.
“We haven’t had significant Coinbase outflows since k, tokens transferred is decreasing, and the fund flow ratio for all exchanges is increasing,” explained Mr. Ju. “Still possible that institutional investors would join anytime soon, but we might face a correction if it continues like this.”
The 2021 Bitcoin Forecast
Many analysts agree that Bitcoin’s rally has become overheated enough to undergo a price correction. Nevertheless, that has not changed their perspective about a bullish 2021 ahead as long as the Federal Reserve stays on its indefinite monetary stimulus plans to aid the US economy through the coronavirus pandemic.
David Grider, the lead digital strategist at Fundstrat, said in a note that he expects the Bitcoin price to touch ,000 within the next 12 months. He further noted that the cryptocurrency might face many bumps on its way upward, led by potential regulatory actions or mere profit-taking.
“We wouldn’t view these events as long-term negatives for Bitcoin, but if such events unfold, they may negatively impact broader market sentiment and prices,” Grider explained.
Bitcoin And Crypto Black Friday 2020 Deals And Discounts
Today is the day after Thanksgiving in the United States, also known as Black Friday – a day when retailers everywhere offer the year’s best deals and discounts. The day is no different in the world of crypto, and those interested in Bitcoin and other altcoins can take advantage of the savings and stock up on some key items on the cheap.
We’re outlining some of the best discounts and deals crypto-related companies are offering this year when money is the tightest and savings are needed the most.
Bitcoin And Crypto Black Friday Deals 2020
Black Thursday earlier in 2020 is a day many don’t want to remember. Today is very different however and could save you some money rather than causing you to lose it.
On Black Friday, retailers and companies roll out the best deals of the year aimed at getting an early jump on holiday-related revenue-driving.
For those interested in trying their hand at technical analysis, TradingView.com is offering up to 60% off their Pro packages. Discounts are available off other available membership tiers as well.
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Cold storage hardware companies Ledger and Trezor always go toe-to-toe with their deals and this year is no different. Ledger is reducing their popular Ledger Nano X and S products by 40% for the day with the code BLACKFRIDAY20, while Trezor is offering 20% off with the code BLACKFRIDAY2020.
Anyone interested in doing their shopping outside of the world of crypto can earn BTC back on purchases at retailers like Best Buy, Macy’s, eBay, and so many more through the Chrome browser extension Lolli. While they’re not offering deals directly, they do partner with most online retailers that are offering such discounts. Getting some Bitcoin back for yourself makes gift-giving that much better.
Amazon.com of course is having a field day of deals, but for crypto investors to consider, there’s a discount on Saifedean Ammous’ book on the cryptocurrency, The Bitcoin Standard: The Decentralized Alternative to Central Banking.
Related Reading | Time To Pay Attention: Where The Bitcoin Bull Market Correction Might End
Although it’s a morbid thought, the discount on Crypto Assets: The Innovative Investor’s Guide to Bitcoin and Beyond might make planning for what happens to your BTC after you pass away a bit easier to swallow.
No cryptocurrency Black Friday article would be complete without pointing out that even Bitcoin and altcoins like XRP and Ethereum are on sale right now compared to the prices people were paying for them just earlier this week.
You could make charts like this using the discount at TradingView.com | Source: BTCUSD on TradingView.com
Bitcoin itself is priced at around ,000 less than the other day, while there’s a flash sale going on across the rest of the asset class.
Have we missed any important deals our readers should know about? Let us know in the comments section below.
Featured image from Deposit Photos, Charts from TradingView.com