Daily Crypto News 5 October
Marathon Digital Holdings, a crypto mining business located in the United States, has acquired a $100 million revolving line of credit with Silvergate Bank, which will be paid out in USD and Bitcoin. The credit will be used to buy Bitcoin (BTC) mining equipment and fund the company's mining activities. After the first one-year agreement, Marathon Digital expects Silvergate to extend the revolving line of credit yearly. In addition, Marathon Digital claimed that during the third quarter of 2021, it generated more than 1,252 BTC, about $59.5 million at the time of publishing, with 340.6 BTC minted in September alone, a 91% increase over Q2. The surge in Bitcoin output followed Bitmain's acquisition of 26,960 ASIC mining equipment, with another 8,459 miners on the way. According to its latest operations, they generate around 2.7 EH/s of hashrate.
Despite increased governmental scrutiny on cryptocurrencies throughout the world, Edward Snowden has praised Bitcoin's (BTC) antifragility. Snowden, according to reports, was unaffected by Bitcoin's 50% slump, saying it was the first time he "felt like buying Bitcoin." Bitcoin fell below $3,800 during the March 2020 Black Thursday meltdown, but has since risen to a new all-time high of over $64,800. Indeed, 2021 has been a year of broad Bitcoin and cryptocurrency crackdowns, particularly in China, where authorities have upped the ante on anti-crypto measures. Several Bitcoin miners have left China and relocated their equipment to other countries. The temporary halt of crypto mining activities in China resulted in a significant drop in the Bitcoin hash rate.
The United States Securities and Exchange Commission (SEC) has postponed a decision on four bitcoin exchange-traded fund applications (ETFs). The SEC said on Wednesday that it will increase the time it takes to consider these petitions for the first time from 45 to 60 days. Global X, WisdomTree, Kryptoin, and Valkyrie are among the companies that have applied. These are just a few of the more than a dozen bitcoin-linked ETF applications that the SEC has received from financial firms.
Valkyrie is the only one of the four ETFs that had their review periods extended this week that is tied to the bitcoin futures market rather than the performance of bitcoin itself. Bitcoin futures ETFs, according to SEC Chairman Gary Gensler, may have a greater chance of getting regulatory clearance than those that invest in spot bitcoin.
The US Federal Reserve will undertake an examination of the risks and prospects of developing a central bank digital currency (CBDC) as soon as this week, according to the Wall Street Journal. According to the Wall Street Journal, the Federal Reserve will release a paper asking public feedback on the matter. Given the different perspectives of Fed officials on the benefits and risks of a CBDC, a decision is unlikely to be reached quickly. A research digging deeper into these concerns was set to be released in September. Jerome Powell, the chairman of the Federal Reserve, declared clearly on Sept. 22 that one was “coming soon.” However, he stated that the decision to establish a CBDC would be taken only if “clear and concrete advantages surpass any costs and risks.” During a Senate Banking Committee hearing last week, Powell described the construction of a digital dollar as "important work," adding that it would require legislation from Congress to move forward.
On Twitter news, one of the hosts of “Batting Around Podcast”, Lauren, mockingly claimed that her current collection of nonfungible tokens, or NFTs, was valuable at more over $8 trillion in an Oct. 2 tweet, despite the fact that she claimed she had right-clicked on the photos and saved them to her disk. The statement overlooks the provable scarcity that underpins tokenizing pictures and artwork, yet Lauren claims to have a "real job" and dismisses community criticism.
“i have stolen over 4 terabytes of NFTs via the little known hacker technique known as "right click -> save as". my collection has a net estimated value of over 8 trillion dollars”
As a result, at least two crypto users have taken screenshots of Lauren’s post and answers, minted NFTs from them, and put them up for auction on the OpenSea marketplace. Bidding for one of these NFTs, from user CaptainFantastic under the moniker "have fun remaining poor" is presently at 1.5 ETH ($5,100) at the time of publishing.