Week ending December 3rd, 2017
Your weekly roundup of all things crypto brought to you by Coin Street
Neil’s Market Wrap
We’re back after taking a week off stuffing our faces with Thanksgiving turkey. Fortunately not much happened in crypto, it’s been positively quiet out there.
Apart from …. another new all time high with Bitcoin touching $12,000 for the first time…. the CME confirming a date for the launch of their BTC derivative futures product and the Commodity Futures Trading Commission, the main US markets regulator, giving the green light for the very same listing. Oh and the Nasdaq are not going to be far behind.
Yeah you’re right, that’s massive. In fact, it’s arguably the biggest thing to hit the crypto space since Satoshi released his original white paper nine years ago. Just to recap: the Chicago Mercantile Exchange is the biggest derivatives exchange in the world and by listing a Bitcoin product it gives investors a familiar and reputable vehicle to access the Bitcoin space without having to touch the actual coin or go near a less well known or time served portal. Of course, it also provides a means to ‘short’ bitcoin. We could be in for a bumpy ride – even by Bitcoin standards!
It’s always difficult to predict what effect news will have on price action but it’s almost certainly bullish in a longer time frame. Short term, Wall Street may want to teach the crypto space some manners by shorting the price as hard as they can. By the same token the upward trend is strong and the hype across the globe is at fever pitch so there may just be enough buyers to buy into the short and keep this train rolling. Only time will tell but one thing is for sure, December is promising to be every bit as exciting a month in crypto as all the months before it. It’s like a soap opera round here sometimes and you couldn’t make up the story line. Talking of which, it didn’t escape our notice that The Big Bang Theory dedicated a whole episode to Bitcoin and crypto this week.
A word of caution for those readers who are still learning about the space and how to get involved. We have been hearing more regular reports about newcomers getting involved in CFDs and other such risky investments. We don’t offer investment advice here, but we do urge caution as it can be complicated and confusing at first. Coin Street have a free beginners guide which you can access here and which will guide you through the basics. Take your time if you intend to make the leap into a crypto investment and above all make sure you are getting what you pay for. A CFD doesn’t actually buy you any coin, it’s just a complicated and confusing way of betting on Bitcoin and a sure way to lose your money if you don’t know exactly what you are doing. If in doubt just ask. We have an active community of admins and members on Facebook who are always happy to guide the way.
Remember, the easiest and safest way to buy Bitcoin is via Coinbase.
This Week’s Highlights
Bitcoin Not Legal Tender in India, Finance Minister Says
India’s finance minister, Arun Jaitley, has clarified that the government does not recognize bitcoin as legal tender. The minister has previously informed the Indian parliament that the Reserve Bank of India (RBI), the country’s central bank, has not issued any licenses to operate with cryptocurrencies in the country. He further informed the parliament that the country does not have any regulations governing virtual currencies. (Source)
Bitcoin isn’t a currency or even a cryptocurrency, says France’s central bank governor
Bitcoin is a speculative asset and people who invest in it do so at their own risk, the Bank of France Governor Francois Villeroy de Galhau warned on Friday after recent volatile trading.
“We need to be clear: bitcoin is in no way a currency, or even a cryptocurrency,” Villeroy said in remarks made at a conference in Beijing, according to the Bank of France. (Source)
You can pay your rent in Bitcoin in Brooklyn.
Digital rent processor ManageGo is integrating bitcoin, litecoin and ethereum into its payment app, and will soon allow tenants to use these cryptocurrencies to pay rent every month.
Using Coinbase’s application programming interface (API), the app will convert any digital currency sent as payment into U.S. dollars, which will then be sent on to the landlords who use the platform to manage relationships with their tenants.
ManageGo vice president of business strategy Chaim Lowenstein told Technical.ly that the company does not intend to invest or hold the cryptocurrencies, but will instead immediately convert into fiat money. (Source
Tezos Founders Ask Foundation to Help Pay Legal Bills in ICO Suits.
In a confusing twist the founders of blockchain startup Tezos, who are embroiled in a legal wrangle with the chairman of their own foundation that holds all their $232 million (now over $500 million) they raised, have asked that same foundation to release funds so they can pay their legal fees. I’m not completely sure what’s going on over there but one things for sure, it’s a hot mess. (Source)
Joseph Stiglitz believes the cryptocurrency should be outlawed because it “doesn’t serve any socially useful function”
The Nobel Laureate economist apparently believes that all asset classes should serve a socially useful function. Like gold for instance, which makes peoples necks and fingers look pretty. (Source)
Coinbase ordered to give the IRS data on users trading more than $20,000
On Wednesday, a federal judge in San Francisco ruled that Coinbase must supply the IRS with identifying information on users who had more than $20,000 in annual transactions on its platform between 2013 and 2015. After noticing that the number of tax returns claiming gains from virtual currency didn’t line up with the emerging popularity of digital currencies like bitcoin as an investment vehicle, the IRS asked Coinbase to hand over a broad swath of information on its users. Coinbase pushed back, and now the court has landed on a compromise that the company is calling a “partial victory”. (Source)
Germany’s Energy Giant Launches 100s of Ethereum Based Electric Cars Charging Stations
A subsidiary of RWE, one of Germany’s biggest energy and gas provider with 30 million customers and billions of revenue, has launched 100s of electronic vehicles (EV) charging stations all over Germany, connected to Ethereum’s public blockchain. (Source)
Nerd Alert: Tesla mining trunk
What happens when you have an electric car and free power courtesy of Tesla inc. ? You put an Ethereum mining rig in the boot that’s what. (Source)
And finally our favourite crytpo crazy John Mcafee has a new long term bitcoin prediction.
He’s demonstrably unstable but he’s super long on Bitcoin, that’s for sure. (Source)
That’s a Wrap
That’s all for this week. It’s a fast moving space. They say one week in crypto is a year in the real world.
Can we ask one favor please?
See you next week.