BitDigest April 7 · Issue #875

Sweden’s central bank has completed the first phase of its CBDC and plans to expand the e-krona digital currency initiative by bringing in banks over the next year to test how its proposed digital currency will handle commercial and retail payments in the real world

The Central Bank of Argentina (BCRA) has asked domestic banks to provide detailed information on customers holding and trading digital assets to assist the BCRA determine what level of regulatory oversight will be required in the future.

Credit Suisse has successfully achieved “T+0” same day trade settlement via Paxos Settlement Service and Paxos intends to apply for full clearing agency registration with the SEC in the hope of securing a registration later this year.

📈Coinbase announced Q1 results (revenue of $1.8 billion and $1.1 billion in EBITDA on trading volume of $335 billion and platform assets of $223 billion) and provided year end guidance ahead of next week’s direct Nasdaq listing. 🅱️I recommend interested parties listen to the webcast as it provides detailed guidance for analysts on how to model the company and in so explains how management is looking at the fundamental returns of the business operations. Here is a transcript of the call.

Grayscale Investments has rebalanced its Digital Large Cap Fund (OTCQX: GDLC) and added an allocation to Chainlink (LINK) to join its core holdings of bitcoin (BTC), ether (ETH), bitcoin cash (BCH) and litecoin (LTC).

📈Marlton, a Chicago based investment management firm, issued an open letter to the Board of Grayscale Investments claiming that shares in the Bitcoin Trust (OTCQX: GBTC) have traded at a ‘dramatic discount to net asset value’ and proposed that a Dutch auction tender offer be initiated to provide a “value creating initiative for GBTC stockholders.”

📈Activist short seller Hindenburg Research issued a report on Ebang International Holdings (Nasdaq: EBON) stating “Ebang is yet another cautionary tale for inexperienced retail investors enthused by anything crypto-related’ and suggesting the Chinese crypto miner misused capital proceeds on “a series of opaque deals with insiders and questionable counterparties” rather than to develop business operations. Hinderburg also claims EBON is reporting “fictitious volumes” on its just opened digital currency exchange EBON responded to the report stating the “report contain many errors, unsupported speculations and inaccurate interpretations of events,” adding the Board “will take whatever necessary and appropriate actions may be required to protect the interest of its shareholders.”

📈HIVE Blockchain Technologies (TSX.V:HIVE) announced that as of their recently completed fiscal year ended March 31, 2021the Canadian miner held over 320 bitcoin and 20,030 ether coins.

Encrypted messaging app Signal is testing a feature allowing users to make payments using a privacy focused payments network called MobileCoin.

As expected, former BitMEX CEP Arthur Hayes surrendered to federal prosecutors yesterday and under the terms of his surrender agreed was released on a $10 million bond and will be permitted to travel between his home in Singapore and the US based on an extradition agreement reached by both all parties. Hayes has been charged with failing to provide proper AML compliance systems and intentionally skirting US regulatory programs.

⚖️Ripple Labs won a discovery ruling that will require to the SEC to turn over internal documents about its discussions as to why bitcoin and ether were deemed to not be securities offerings.

Coinbase, Fidelity and Square investor Paradigm have announced a new crypto trade organization called “The Crypto Council for Innovation” that plans to lobby policy makers, take up research projects and serve as the burgeoning industry’s voice in championing the economic benefits of digital currencies and related technologies.

Gemini is partnering with an educational app that allows students to learn about financial literacy, gain exposure to new career opportunities, and develop other skills, while earning money for completing snack-size courses – not surprisingly, in this situation, students will be able to learn about cryptocurrencies.

Sotheby’s auction house announced plans to partner with Gemini’s Nifty Gateway digital art platform as part of its upcoming NFT ‘Fungible Collection’ sale by artist Pak.

Forbes released its annual World’s Billionaires List and included an additional section on the ‘Crypto Tycoons’ included on the list separating them into 3 categories: Early Investors, Infrastructure Builders and Coin Issuers. Cameron and Tyler Winklevoss lead all crypto investors with an estimated combined network of $6 billion.

🐦📺Goldman Sachs CEO David Solomon says his firm continues to “think about digital currency and the digitization of money in a very proactive way” and as “clients have demand to be involved in this space we can continue to find ways to support our clients.“

📝Nature Communications has published a study suggesting that China’s crypto mining operations will hinder its global sustainability efforts.