Author: Bloomberg
Cryptocurrency prices are holding steady even as the Ukraine crisis shows no signs of easing, with Western nations imposing new sanctions on Russia after President Vladimir Putin refused to stop attacks on its neighbour. Bitcoin was trading at around $38,900 at 4 p.m. in Hong Kong, roughly where it started the weekend. It briefly edged above $40,000 on Saturday. Ether was down 3.4% at $2,732. The relative calm in crypto markets follows a global equities rally on Friday that saw the S&P 500 jump 2.2%. With Bitcoin’s correlation with stocks near a record high, the trading points to a steady open for Asian…
Crypto technology could play a unique role in how Russia’s intensifying invasion of Ukraine gets recorded into history. Videos of Russian troops occupying Chernobyl and explosions rocking Kyiv make up some of the millions of digital records documenting the conflict being held on Arweave, a decentralized data storage network. It’s the decentralization that’s key to why Arweave says its archive will prove so vital. Because there are lots of copies of the data stored in lots of places, it essentially can’t be hacked or erased — even if one copy goes down, there are plenty of back-ups. Plus, the data can’t be…
The Ukrainian government is soliciting any leads on information related to the cryptocurrency wallets of Russian and Belorussian politicians as the country continues to rely on crowdfunding efforts for its defense against Russia and its allies. Vice Prime Minister Mykhailo Fedorov tweeted Saturday that the Ukrainian crypto community will reward those who provide information. The government has already used Twitter to solicit crypto donations and posted in online hacker forums that it is looking for help in protecting against cyberattacks. The rewards for politicians’ crypto wallet information will be funded by private donations rather than the government, according to Artem Afian, a Ukrainian lawyer managing the…
Crypto investors are taking a page from the playbook of their more traditional counterparts and turning to defensive plays during the surge in geopolitical turmoil and global market volatility. Instead of doubling down on Bitcoin after its almost 45% fall from record highs or loading up on more Dogecoin, crypto fund managers are buying the normally strand native tokens of some of the leading digital-asset exchanges. That’s a far cry from the days not too long ago when “to the moon” served as the rallying call for the embryonic asset class. “For some reason, people still think Bitcoin is a defensive asset,…
Financial penalties imposed against Russia for its invasion of Ukraine are prompting speculation about how digital currencies can help evade them. Cryptocurrency exchanges are still trying to figure out how to deal with western sanctions against Russia after its invasion of Ukraine. U.S. measures announced Thursday aim to limit Russia’s ability to do business in dollars and some other international currencies. They include penalties on the nation’s major banks, as well as restrictions on elite citizens and their family members. That’s led to speculation that crypto — which is touted as an alternative to traditional financial systems — would serve as a…
Coinbase Global Inc.’s Katherine Wu is leaving to join Archetype, an early-stage crypto venture capital firm. Wu was most recently a senior manager at Coinbase, focusing on ventures and ecosystem development. She co-hosted Coinbase’s podcast “Around the Block” on crypto trends. “I will continue to invest & support the best founders in the crypto ecosystem, but also excited to spend time exploring some side projects,” Wu said while announcing her departure on Twitter. She confirmed separately to Bloomberg News that she was joining Archetype as a venture partner. Wu previously worked at Notation Capital, a venture capital firm, and Messari, a crypto…
The European Union should move quickly to approve cryptocurrency regulation that prevents Russia from evading sanctions after invading Ukraine, according to European Central Bank President Christine Lagarde. “There are always criminal ways to try to circumvent a prohibition, which is why its so critically important that MiCA is pushed through as quickly as possible so we have a regulatory framework,” Lagarde said in a press briefing when asked if Russia could use cryptocurrencies to bypass penalties. The European parliament is working on the legislation known as Markets in Crypto Assets (MiCA), and if approved lawmakers still need to agree on…
The hottest spot in crypto right now is coins with prices that don’t move. Stablecoins, cryptocurrencies which peg their value to assets such as the U.S. dollar, have ballooned in size over the past few months as Bitcoin and other coins whipsaw. The total market capitalization of stablecoins currently stands around $180 billion, up from roughly $38 billion a year ago, Coin Metrics data compiled by The Block show. By comparison, the total crypto universe is largely stagnant over the past year. The surge in market value shows that crypto traders are effectively moving their holdings to cash, according to James Malcolm of…
China expanded its criminal law to encompass fundraising with digital tokens, giving authorities additional firepower to stamp out a sector they declared illegal last year by using heavy sentences. The country’s supreme court on Thursday released its latest interpretation of the criminal law on illegal fundraising. The amendment for the first time lists cryptocurrency sales among illegal ways to raise money from the public. Individuals found to have raised money illegally from the public can be sentenced to more than 10 years in prison, according to the amendment. It didn’t specify whether crypto will be treated differently than other means of…
State Street Corp. is working with U.S. regulators to ensure it’s in position to roll out custodial services for cryptocurrencies once approved, in the latest sign of traditional finance converging with digital assets. The centuries-old, Boston-headquartered bank started a digital division last June, and has “mega plans” to offer digital wallet safekeeping services to clients, according to Nadine Chakar, leader of the group. The challenge is regulatory, Chakar said, pointing to State Street’s status as a Global Systemically Important Financial Institution (G-SIFI). “The minute we get the nod, we’ll be ready,” Chakar said in an interview with Bloomberg journalists on Thursday. “We’re…