BitDigest May 19 · Issue #905

• Bitcoin falls below $40,000 and ether break $2,900 on anti-crypto statements across the globe
• A joint statement was filed by three leading Chinese financial industry associations saying banks should not be offering crypto services
• India discussing crypto regulations instead of initially reported ban

Pennies in your couch

I have created numerous crypto wallets to try different applications but I have made an effort to consolidate these over time. In transferring the funds between wallets, I have inevitably generated what is referred to as “dust.” Quoting Cryptopedia, dust “typically has negligible monetary value, ranging from minuscule fractions of a penny to a few dollars. In the crypto world, dust is a byproduct of numerous trades and transactions and is found on most blockchains.”

I was recently forced to close some of these old wallets. One exchange closed their doors to New Yorkers and another wallet announced plans to close their operations. Frankly, I did not even recall having any money on these applications, and if I had anything it was certainly not a lot of money. To my surprise what I left several years ago had real value today.

The Cryptopedia definition continues to explain “dust is not something most crypto holders should be concerned about, but it’s a good idea to know what those small amounts in your wallet are and how they accumulate.”

Just like money that mysteriously accumulates in your couch, the amount of crypto dust in your accounts may be greater than you recall, and with the appreciation of digital currencies, this dust could suddenly gain a real value over time. Don’t forget to look under the pillows.

a16z NFT Conference…the videos

Two weeks ago, I attended Andreessen Horowitz’s NFT Virtual Summit, an afternoon of discussion on the latest trends in NFTs from a16z partners and executives at top NFT companies including Dapper Labs, Rally, and Open Sea. Videos from the sessions have just been released and I would recommend these to anyone interested in gaining a better understanding of this growing crypto development.

The Headlines

Chinese Finance Associations Issue Statement Banning Crypto Services

www.reuters.com

Three Chinese industry bodies – the National Internet Finance Association of China, the China Banking Association, and the Payment and Clearing Association of China – issued a joint statement saying banks and online payment channels should not offer crypto services to their clients adding that virtual currencies “are not supported by real value" nor protected by Chinese law.

Indian Exploring Panel to Study Crypto Regulations

www.economictimes.indiatimes.com

The Government of India continues to soften its position on crypto and is reportedly looking to form a new committee to regulate the use of digital currencies and explore ways implement blockchain technology for technological efficiencies.

OCC Reviewing Crypto Custody Guidance

www.financialservices.house.gov

The Acting Comptroller of the Currency, Michael Hsu, told members of the House Financial Service Committee that he has asked his staff to prioritize a review the OCC’s guidance providing banking licenses to crypto-custody providers to make sure these actions were taken ”in full coordination with all stakeholders.”

South Korean Ministries Reluctant to Take Control of Crypto Regulations

www.news.bitcoin.com

Local media reports claim that South Korea’s efforts to regulate digital currencies are encountering political difficulties because none of the ten different government institutions and ministries involved in the crypto-regulation discussion want to take full responsibility for forming and overseeing the new virtual currencies legislation.

Regulations for Crypto Mining industry are 'Overdue'

www.u.today

European Union Parliament Member Sven Giegold is calling for the creation of regulations that would impose a cap on the amount of electricity consumed by bitcoin mining operations.

1-800-Stop-Mining

www.cointelegraph.com

In an effort to curb illegal mining, the Chinese province of Inner Mongolia has established a dedicated hotline to allow the public to inform authorities about any suspected crypto mining activities.

New Bill May Require All Candidates and Families to Declare Crypto Activities

www.cointelegraph.com

In an apparent effort to identify all sources of political funding, Russia has approved a draft bill that will require all political candidates and their families to disclose their crypto activities for the past three years.

Coinbase Prices Notes at 0.5% Coupon

www.investor.coinbase.com

📈Coinbase (NASDAQ: COIN) priced the $1.25 billion offering of unsecured senior notes due 2026 at 0.5%.

MSTR Continues to Buy the Dip

www.microstrategy.com

📈MicroStrategy (NASDAW: MSTR) announced the purchase of another $10 million in bitcoin at an average price of ≈$43,663 per BTC.

Valour Launches ADA and DOT ETPs

www.markets.businessinsider.com

📈Valour Structured Products announced the launch of new exchange traded products for Cardano (ADA) and Polkadot (DOT) on the Nordic Growth Market (NGM) stock exchange.

Content is King

www.axios.com

📈Coinbase (NASDAQ: COIN) is reportedly launching its own media operation with a team of up to 30 employees to help drive the narrativize and draw more people to its exchange.

NVDA Adding 'Lite Hash Rate' Designation to New GPUs

www.blogs.nvidia.com

📈Gamers are still having difficulty sourcing new graphics cards so Nvidia (NASDAQ: NVDA) announced plans to reduce the hashrate of the next batch of GeForce RTX processors making these less effective for GPU mining.

WeWork to Continue Accepting Crypto Like Any Other Currency

www.bloomberg.com

📺Marcelo Claure, the Executive Chairman of WeWork and COO of Softbank, says the flexible work place company plans to continue accepting digital currencies like any other currency because customers have asked to pay with it, adding that Coinbase based many of its employees at WeWork operations, and originally made the request to pay some of its monthly bills in crypto.

Saxo Offering Crypto Trading

www.bloomberg.com

Singapore based online trading and investment specialist Saxo Capital Markets has launched a crypto trading operation providing clients with the ability to trade bitcoin (BTC), Litecoin (LTC) and ethereum (ETH) against USD, EUR and JPY.

Pomp Starting 'Bitcoin Pizza'

www.eatbitcoinpizza.com

Crypto advocate Anthony Pompliano has announced his latest venture, in celebration of this week’s 11th anniversary of Bitcoin Pizza Day, Pomp is launching a 10-city pilot for a new national pizza brand with proceeds supporting the Human Rights Foundation’s Bitcoin Development Fund. Only 10,000 pies will be available, but surprisingly you cannot pay in crypto.

Market Data

'Long Bitcoin' is Today's Most Crowded Trade

www.bloomberg.com

A Bank of America survey of money managers finds that that “Long Bitcoin” is the most crowded trade in the world right now with managers rushing into a crypto allocations in lieu of tech names over the past month.

Thoughts on the Ecosystem

Market Value of Gold and Bitcoin as an 'Investment' at Similar Levels

www.cnbc.com

A new report from Alliance Bernstein suggest that cryptocurrencies $2 trillion marketcap puts it on equal foot with the amount of gold held for private investment purposes, but gold’s use as jewelry changes the equation bringing the shiny metal’s market value closer to $8 trillion.

Gold is Physical, Bitcoin is Not

www.cnbc.com

Legendary investor Mark Modius is still avoiding digital currencies considering crypto a “very risky area” suggesting the often given comparison between gold and bitcoin is false suggesting “it’s a completely different situation and I don’t know understand why people say that bitcoin can be like gold, it’s completely different. Gold is gold and it’s something physical, whereas bitcoin is not.”

Daily Cartoon