bigX social post: the filter: the five most important stories in crypto [18 nov – 25 nov 2020]

Bitcoin breaks $19k, new record high imminent [24 Nov 2020]

The price of Bitcoin is approaching fresh all time highs not seen since the boom of December 2017. BTC has rallied over $7,000 in a single month, with the price of the world’s largest cryptocurrency near to breaking its record price of $19,783. A breakout above previous highs now could see world investor interest skyrocket further, according to market analysts. 2020’s rampant bull market “debunks” the idea that Bitcoin is a ‘tulip bubble’, says eToro managing director Guy Hirsch, because “tulips never had a second wave of buying like Bitcoin has”. Read more here.

Bitcoin will replace gold, says BlackRock investing lead [20 Nov 2020]

The head of BlackRock’s investing arm says that Bitcoin can replace gold “to a large extent”. Rick Rieder told CNBC’s Squawk Box investing programme: “I think cryptocurrency is here to stay. I think it is durable. I think digital currency and the receptivity of technology and cryptocurrency is real.” These comments were especially widely received as they come from the chief investment officer of global fixed income at the world’s largest money manager. In recent weeks, billionaire investors and hedge fund managers like Paul Tudor Jones and Stanley Druckenmiller have joined large public companies in changing their mind about the qualities of Bitcoin as a hedge and essential portion of asset allocation.  Read more here. 

Coinbase Pro ends wildly popular margin trading citing CFTC crackdown [24 Nov 2020]

Coinbase has announced its Pro service will stop offering popular margin trading. The move comes in response to new guidance from the powerful Commodity Futures Trading Commission, the San Francisco exchange said. Margin trading is a way to bet on the price movement of equities or commodities by using large levels of leverage to enhance a trader’s stake. It is exceedingly common in both the mainstream financial world and in cryptocurrency trading. The last date for margin trades on Coinbase will be 25 November with the service disabled by December 2020. Read more here.

Bitcoin bear Janet Yellen to lead Biden’s US Treasury [23 Nov 2020]

Former Federal Reserve chair Janet Yellen is Joe Biden’s pick to lead the US Treasury Department, the Wall Street Journal reports. Yellen is a noted Bitcoin bear and has been critical of cryptocurrency in the past. But things could change under a Yellen leadership as more US agencies now engage with cryptocurrency and the prospect for the US to launch a digital dollar grow larger every day.  Read more here.

China has first mover advantage on CBDC, says ECB [20 Nov 2020]

A study by the European Central Bank has found that blockchain-backed digital currency would protect countries from threats by rival nations. Countries without CBDCs could lose control over their monetary policy by being forced to react more strongly from economic shocks in nations that do use this new type of financial instrument, researchers found. While the Bahamas has claimed the world’s first launch of a CBDC, the first major nation to implement a central bank digital currency should be The People’s Bank of China, the ECB research showed.  Read more here.