Connect with us

Ethereum

Rothschild Investment Corp has increased its Bitcoin exposure by 300% since April

Published

on

Billion-dollar investment firm Rothschild Investment Corp quadrupled its exposure to Bitcoin (BTC) since April, new records show.

In a filing with the United States Securities and Exchange Commission (SEC) on Saturday, Rothschild confirmed that it now owns 141,405 shares of the Grayscale Bitcoin Trust (GBTC). 

Rothschild GBTC shares near 150,000

A quiet but nonetheless substantial player among institutions, Rothchild Investment Corp has also invested in Grayscale’s Ether (ETH) equivalent, the Grayscale Ethereum Trust.

Its exposure to Bitcoin has increased considerably this year, the filing shows — in April, its GBTC shares totaled 38,346.

In BTC terms, with each GBTC share equal to 0.000939767 BTC, Rothschild thus has an equivalent Bitcoin exposure of 132.8 BTC ($3.94 million).

The data implies that declining prices have not fazed executives, while Bitcoin has been maintaining a drawdown for three months after hitting its all-time highs of $64,500 in mid May.

As Grayscale CEO Michael Sonnenshein noted this week, institutional players are likely taking little notice of short-term price moves, instead concentrating on a much lower-time-preference strategy when it comes to cryptocurrency.

“Investors in this asset class are really not focused on… short-term movements in price,” he told CNBC.

“These are really investors looking at their allocations in the medium to long term, and so any volatility or dampening of volatility is not something anyone is fazed by.”

On Monday, Ark Invest purchased a reported 310,000 GBTC shares of its own, bringing its combined holdings to 8.81 million or 0.5% of its portfolio. At its peak, GBTC represented 0.9% of the ARK portfolio in late March.

ARK Invest GBTC holdings vs. GBTC price chart. Source: Ark Invest

Good timing for Grayscale FUD?

As Cointelegraph reported, Grayscale is at the center of discussions this week, as it unlocked over 16,000 BTC worth of GBTC shares on Sunday.

Related: Institutional demand for Bitcoin evaporates as BTC struggles below $31K

Concerns, while arguably unfounded, long abounded that the event would create downward Bitcoin price pressure, with the sharpening of the drawdown on Monday and Tuesday fuelling the fire.

Grayscale GBTC flows. Source: Bybt.com

Regardless, since GBTC investors cannot redeem shares for BTC and then sell for fiat currency, Bitcoin markets are in fact left out of the equation when it comes to unlockings.

Grayscale itself only sells a tiny amount of the Trust’s BTC holdings for fund management purposes.

close

Don’t miss these tips!

We don’t spam! Read our privacy policy for more info.

Ethereum

‘Ethereum Improvement Proposal 3675’ for the Eth2 merge launches on GitHub

Published

on

By

A formal Ethereum Improvement Proposal (EIP) has been created for the network’s forthcoming chain merge, bringing Ethereum one step closer to realizing its highly anticipated proof-of-stake (PoS) transition.

On Thursday, ConsenSys researcher Mikhail Kalinin created a pull-request for EIP-3675 on GitHub, formalizing the chain merge as an improvement proposal for the first time. The EIP has also been slated for discussion during Friday’s Ethereum Core Devs Meeting by developer Tim Beiko.

Hard to overstate how valuable’s @mkalinin2‘s work on The Merge has been, and it’s finally being formalized in an EIP https://t.co/pNRerXFxVf

— Tim Beiko | timbeiko.eth (@TimBeiko) July 22, 2021

The proposal would merge the Ethereum and Eth2 chains, transitioning the network’s consensus mechanism away from proof-of-work and empowering stakers to validate transactions.

The EIP notes that no “safety nor liveness failures were detected” since the launch of Eth2’s Beacon Chain in December 2020, adding:

“The long period of running without failures demonstrates the sustainability of the beacon chain system and witnesses its readiness to start driving and become a security provider for the Ethereum Mainnet.”

Despite the EIP, many leading figures in the Ethereum community, including lead developer Vitalik Buterin, believe it is very unlikely the chain merge will occur in 2021.

The EIP comes amid bidding for the EIP-1559 Supporter NFT series, which was launched via Mirror on Wednesday. The nonfungible tokens demonstrate support for the introduction of a burn mechanism to Ethereum’s fees as part of the network’s coming London upgrades. All proceeds will be shared among 1559’s contributors, and the tokens were designed by artist Kitteh.

Since the launch of the Beacon Chain in December, Eth2 has emerged as the second-largest PoS network by staked capitalization in United States dollar terms, with $12.7 billion worth of Ether (ETH) locked in staking despite less than 6% of its circulating supply having been deposited.

According to Staking Rewards, Cardano has the largest staked capitalization with $24.2 billion and 62% of supply locked. Solana ranks third with $10.2 billion from 74%, followed by Polkadot with $9 billion from 63%.

close

Don’t miss these tips!

We don’t spam! Read our privacy policy for more info.

Continue Reading

Ethereum

Ethereum Price Could Go Up Over 860% To Break $10,000, Crypto Analyst

Published

on

By

Ethereum value has taken some hits in the past few months as the Coin

A coin is a unit of digital value. When describing cryptocurrencies, they are built using the bitcoin technology and have no other value unlike tokens which have the potential of software being built with them.

» Read more

” href=”https://www.newsbtc.com/dictionary/coin/” data-wpel-link=”internal”>coin has since significant losses in the price after the digital asset had hit its all-time high back in May. The price of ethereum had gone as high a $4,300, but the price has since crashed over 50% since then and now sits at less than $2,000 at the time of this writing.

Notwithstanding, crypto analyst and trader Kaleo predicts that the price of ETH is set to grow immensely in the next 12 months. The crypto analyst looks through movements of ethereum from back in 2017 and predicts that based on this, the digital asset is poised to experience a parabolic rally in its price.

Related Reading | As Ethereum Price Suffers, Investors Wonder If ETH Can Become Deflationary

The long-term price prediction from Kaleo puts the digital asset price at over $10k, following a major altcoins season. The analyst’s prediction puts the price of ethereum at well over an 860% increase in the second half of the year 2021.

Ethereum And Bitcoin Price Predictions For 2021

Taking to his Twitter, which remains his primary method of communication, Kaleo gave a couple of predictions regarding the prices of the top two digital assets in the space.

According to the crypto trader, the price of bitcoin was going to see another run-up that would put the digital asset in a six-figure discovery range. Joining the ranks of crypto analysts who have put the price of the number 1 crypto Coin

A coin is a unit of digital value. When describing cryptocurrencies, they are built using the bitcoin technology and have no other value unlike tokens which have the potential of software being built with them.

» Read more

” href=”https://www.newsbtc.com/dictionary/coin/” data-wpel-link=”internal”>coin at $100,000 before the year runs out.

ETH price down over 50% since all-time high | Source: ETHUSD on TradingView.com

In line with this, Kaleo put the price of ethereum at a whopping $10,000, not minding the current bearish sentiments that continue to rock the markets as digital assets have continuously lost value amid sell-offs from investors.

The tweet further went on to predict more adoption from institutions and governments. While simultaneously calling out that there will be continuous FUDs from institutions and governments surrounding cryptocurrencies.

My predictions for the second half of 2021:

$BTC enters 6 figure price discovery
$ETH breaks above $10K
– We see one more major alt season
– More institutional / government adoption
– More institutional / government FUD
– Cryptunez gets a girlfriend
– Bears remain bearish

— K A L E O (@CryptoKaleo) June 17, 2021

Long-Term Predictions For 2022 To 2023

Kaleo, who uses the handle @CryptoKaleo on Twitter, posted a follow-up tweet containing even more longer-term predictions for the top crypto coins. The tweet included price predictions for both bitcoin and ethereum, and predictions for major regulations to follow. But unlike the first predictions for the second half of 2021, these predictions were much more bearish, explaining that prices would crash in this time period.

Related Reading | Ethereum Whales Go On Buying Spree, Top 10 Addresses Now Own 20% Of All ETH

My predictions for 2022/2023:

$BTC back down to ~$50K
$ETH back down below $1K
– Alts die again
– Bears who were bearish the whole way up from here to the top call for infinite clout
– Major regulation comes against crypto. People call Bitcoin dead again (it isn’t)

— K A L E O (@CryptoKaleo) June 17, 2021

Kaleo sees the price of ethereum falling over 90% after it hits its predicted $10,000 in the second half of 2021. Calling the price crash to be under $1,000 when this happens. Altcoins were also predicted to crash at this point, putting the general market at this point in a Bear

Bear market is defined as a decreasing set of prices for various types of assets. A bearish investor wants to profit from the movement of dropping prices. You can think of a bear, swinging his big paw downward on the investment, crushing prices.

» Read more

” href=”https://www.newsbtc.com/dictionary/bear/” data-wpel-link=”internal”>bear stretch.

Featured image from Forbes, chart from TradingView.com

close

Don’t miss these tips!

We don’t spam! Read our privacy policy for more info.

Continue Reading

Ethereum

South Korea to take action against unregistered crypto exchanges

Published

on

By

The South Korean government announced today that crypto exchanges will face punishment if they have not voluntarily registered with the country’s authorities by September 24.

This new set of regulations will reportedly affect both exchanges based in South Korea and foreign exchanges that operate in Korean markets. According to the release, that includes any exchange where the Korean language is supported, marketing is geared toward Koreans, or payments can be made using the Korean won.

Under the Specific Financial Information Act, the punishment for exchanges that continue to operate without registration is up to five years in prison or a fine of up 50 million Won — roughly $43,500 USD. Sources suggest that there are plans to block websites belonging to unregistered exchanges in the future as well.

Related: Bank of Korea selects Kakao’s blockchain arm for digital won tests

Korean users should check on September 25 to see if the exchange they are using is registered to avoid any related penalties. As of that date, sales made through such exchanges would be illegal within the country.

This announcement is the latest in a string of regulations concerning cryptocurrency around the globe. Earlier this week, the European Union announced plans to crack down on the sending and receiving of cryptocurrency in the hope of limiting money laundering. The SEC Chairman said cryptocurrency falls under the rules and regulations of security based swaps in the US and noted that more regulation could be coming. A meeting from the President Working Group on Financial Markets and other US agencies also took place this week concerning the use and risks of stablecoins. Regulatory recommendations are expected to be delivered in the coming months.

close

Don’t miss these tips!

We don’t spam! Read our privacy policy for more info.

Continue Reading

Trending