Bitcoin News Stories of the Week
Price breakout, JP Morgan, SpaceX, & $1 million Bitcoin!
JP Morgan to Give Retail Clients Access to Bitcoin
JP Morgan, the largest US bank, announced that they have started offering access to Bitcoin to all retail clients, not just the ultra-wealthy. JPM is the first big bank in the country to make such an offer. Their advisors are still not allowed to recommend Bitcoin, but if clients ask, Morgan can put them in investments like the Grayscale crypto trusts or Osprey Funds’ Bitcoin Trust. CEO Jamie Dimon, however, says he still has no interest in Bitcoin, but wants to give clients that option. Link: JP Morgan Offers Bitcoin Exposure
SpaceX Owns Bitcoin!
Tesla and SpaceX founder Elon Musk revealed this week that he personally owns Bitcoin, and so does his privately-held company, SpaceX. Tesla, after selling some Bitcoin in the second quarter, still holds $1.3 billion worth. Though Musk still has some environmental concerns about Bitcoin, he acknowledged, “It looks like Bitcoin is shifting heavily toward renewable energy use.” He said he has no plans to sell any of his Bitcoin any time soon. Link: SpaceX, Musk own Bitcoin
Bitcoin Price Surges, $800 million in Shorts Liquidated in 24 hours!
Spurred by some bullish announcements earlier this week, the Bitcoin price began climbing, and many short seller were forced to cover their positions (buy the Bitcoin), with many incurring steep losses. So, Bitcoin buying forced more Bitcoin buying, and the price surged 12% in just 24 hours. Bitcoin is now back in the $40K range. Bullish stories had included the Musk/SpaceX announcement, and an unsubstantiated rumor that Amazon would soon be accepting Bitcoin as payment. Stay tuned. Link: Shorts Liquidated!
“DCA” to Drive $1,000,000 Bitcoin Price?
In investing, the term “DCA” refers to dollar-cost-averaging, a strategy many long-term investors in Bitcoin adhere to. In a Bitcoin Magazine article this week, guest writer Hass McCook put a different spin on it, labeling Bitcoin miners, buyers, and educators as the “DCA Army.” His take is that Bitcoiners are doing their “Daily Charitable Act” in their promotion of Bitcoin. Starting with the current 100 million Bitcoin users in the world, he lays out the mathematical case for mass adoption and price increases, with the Orange Coin eventually reaching a price of $1,000,000 per. Link: DCA to Drive $1 million Bitcoin?
Bitcoin’s Environmental Impact Improving Rapidly
The environmental impact of Bitcoin mining has been a hotly-debated topic for several years now, but a recent research report from Cambridge University shows that mining’s carbon footprint is declining quite rapidly. Much of this year’s drop is due to the recent ban on Bitcoin mining by China, where coal powered much of the mining activity in the northern regions. Many miners have relocated to other countries and are seeking out renewable sources of electricity. Link: Environmental impact improving rapidly
SEC’s Pierce Says US SEC Too Slow on Bitcoin ETF
SEC Commissioner Hester Peirce is affectionately known as “Crypto Mom” for her comfort with Bitcoin and other cryptocurrencies. She feels, however, that her agency is moving far too slowly in approving Bitcoin ETFs in the US. (See Issue No. 10.) Despite there being a dozen applications on file with the SEC, some for several years, the SEC is dragging its feet. Canada has approved three Bitcoin exchange-traded funds already. Link: SEC's Peirce says organization too slow with Bitcoin ETF
Issue No. 14, July 30, 2021
Rick Mulvey is a CPA, forensic accountant and crypto consultant. He writes about all things Bitcoin, and yells at the Yankees and Giants. He also runs marathons and makes wine, neither professionally.
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