Bitcoin News and Finance: What You Need to Know

According to Bitmain, the well known crypto ASIC mining rig manufacturer, the company has shipped its first batch of KS3 Antminer machines. Despite each rig costing $49,800, Bitmain sold out of the first batch and announced another batch of KS3 Antminers would be available soon. As Kaspa’s Hashrate Climbs, Bitmain Ships KS3 Antminer Series Bitmain disclosed on Monday that it had shipped its initial batch of KS3 Antminer machines. These rigs mine the crypto asset kaspa (KAS) , a digital currency that ranks 45th in market capitalization. Current data suggest the KS3 miner is the most profitable mining ASIC available. The website asicminervalue.com reports that the machine can earn an estimated $440 daily by mining KAS. However, Bitmain’s machine quickly sold out, making it the company’s priciest unit ever sold. Priced at $49,800, each rig boasts a processing speed of 8.3 terahash per second (TH/s). However, Bitmain’s post on Monday suggests the miner can clock 9 TH/s. While this ri...

A top Indian official has downplayed the creation of a shared BRICS currency. Emphasizing that “common currency discussions have several prerequisites before you can even talk about a common currency framework,” the official stressed that the BRICS nations have focused on boosting settlements in national currencies. Indian Foreign Secretary on BRICS Currency India’s Foreign Secretary Vinay Mohan Kwatra explained in a media briefing on Monday that the BRICS economic bloc is not focusing on the proposed common currency for member states, Indian news outlet Mint reported. The BRICS nations are Brazil, Russia, India, China, and South Africa. “The substantive part of trade and economic exchanges and discussions that have been a part of BRICS discussions have so far, in a major way, focused on how to increase trade in respective national currencies which … is considerably different from a common currency concept,” the official detailed, elaborating: You would know that common currency ...

South Africa, the host of the BRICS summit this year, has confirmed that more than 40 heads of state will participate in the summit that will take place on Aug. 22-24. South Africa has also claimed that 23 countries have formally applied for BRICS membership. 40+ Heads of State to Participate in BRICS Summit Nelson Kgwete, the South African foreign ministry’s media liaison officer, told Russian news outlet Tass that more than 40 heads of state have confirmed that they will participate in the BRICS summit that will take place on Aug. 22-24 in Johannesburg. South Africa is the host of the BRICS summit this year. He was quoted as saying: Yes, confirmed, the summit will be attended by over 40 heads of state. All leaders of the BRICS nations (Brazil, Russia, India, China, and South Africa) are expected to attend the summit. However, Russian President Vladimir Putin will not attend in person . South Africa’s Minister of International Relations and Cooperation Naledi Pandor recently s...

Bloomberg Intelligence’s senior commodity strategist, Mike McGlone, has explained that bitcoin appears similar to the stock market in 1930. At that time, elevated equity prices led to the stock market losing almost 90%. The crash of 1929, also called the Great Crash, contributed to the Great Depression which lasted approximately 10 years. Bitcoin v Stock Market in 1930s Mike McGlone, a senior commodity strategist for Bloomberg Intelligence (BI), the research arm of Bloomberg, has pointed out the similarity between bitcoin and the stock market in 1930. He tweeted on Monday: One of the best-performing assets in history and a leading indicator — bitcoin — appears similar to the stock market in 1930. “Statistician and entrepreneur Roger Babson began warning about elevated equity prices well before economist Irving Fisher proclaimed a ‘permanently high plateau’ in 1929,” the commodity strategist added, emphasizing: “The Fed tilts our bias toward a stance similar to Babson’s.” Babso...

Despite significant variations in electricity rates and regulations, the Asian region as a whole has the lowest average cost of bitcoin mining for solo miners, new research shows. At the same time, the surge of energy prices due to Covid, heatwaves, and the war in Ukraine render bitcoin mining largely unprofitable throughout Europe. Mining 1 Bitcoin Would Cost $266 in Lebanon, an Italian Miner Would Pay Over $208,000 A solo miner would need an average of 266,000 kilowatt-hours (kWh) of electricity to mint a single bitcoin and the process would take approximately seven years to complete, requiring a monthly electricity consumption of about 143 kWh, researchers have estimated. While admitting that the days are gone when bitcoin ( BTC ) could be mined with minimal power and on a desktop computer, they have analyzed household electricity costs across the globe to present prospects for solo miners operating within a decentralized network. According to the study produced by the crypto ...

Welcome to Latam Insights, a compendium of Latin America’s most relevant crypto and economic news during the last week. In this issue: Javier Milei’s victory in Argentina causes a devaluation maelstrom, and Bitso launches a cross-border institutional payments service. Javier Milei’s Victory in Argentina Sparks Devaluation and Inflation Maelstrom The victory of Javier Milei in the Argentine preliminary elections, qualified as a far-right outsider by mainstream media, has sparked a series of consequences in the country’s economy that has caused citizens to take refuge in cryptocurrency and stablecoins. Milei’s win, which polls did not foresee, has intensified the discussion of a possible dollarization of the country, which has been mentioned as key in his government plans. Milei’s dollarization plan, which would contemplate the total conversion of deposits of public and private institutions to U.S. dollars, would also include the closure of the Central Bank of Argentina. These ide...

In a statement released August 17, 2023, Farmington State Bank, with an investment from Sam Bankman-Fried’s Alameda Research, consented to a cease and desist order from the U.S. Federal Reserve. Alameda invested $11.5 million into the bank’s coffers in January 2022. Government seizure documents from January 2023 indicate Bankman-Fried reportedly had $50 million stashed in the bank. Fed Puts Brakes on Alameda-Funded Farmington: Another Bank Bites the Dust Farmington State Bank (Moonstone Bank) is complying with the U.S. central bank’s cease and desist order signed July 18, 2023. The Federal Reserve Board and Washington State Department of Financial Institutions (WDFI) issued the order against Farmington State Bank of Farmington, Washington, and its holding company, FBH Corporation of Baltimore, Maryland. The regulators determined Farmington violated commitments to regulators by engaging in digital asset activities, such as stablecoin issuance, without necessary approvals. Farmingto...

Economics Nobel laureate Paul Krugman recently stated that Argentina might be better off adopting the euro instead of the U.S. dollar amidst the devaluation of the Argentine peso. Krugman argued that Argentina has almost twice as much trade with the European Union as it does with the U.S., stating that the euro would suit them better. Nobel Laureate Paul Krugman Talks Dollarization in Argentina American Nobel laureate Paul Krugman recently issued his opinion about the possible dollarization process that Argentina might face later this year. Krugman, who won the Nobel Prize in Economic Sciences in 2008 for his analysis of trade patterns and the location of economic activity, argued that the dollar might not be the better substitute for the Argentine peso, given the trade realities of Argentina. Answering a post where Brad Setzer — an economist who worked at the treasury department of the U.S. — compared the circumstances of the U.S., Canada, South America, and North America as “opt...

A market analyst says that the recent decline and volatility in the Chinese yuan, the Russian ruble, and to a lesser extent the Argentine peso, “will only add further challenges to the idea of de-dollarization.” He stressed that countries are “unable to agree on a clear path to de-dollarization apart from increasing trade in their own currencies.” Chinese Yuan, Russian Ruble Face Challenges as U.S. Dollar Alternatives Zain Vawda, a market analyst at Dailyfx, has outlined the challenges faced by the Chinese yuan and the Russian ruble as alternatives to the U.S. dollar. The analyst described: The recent decline and volatility in the Chinese yuan, the Russian ruble, and to a lesser extent the Argentine peso, will only add further challenges to the idea of de-dollarization. He explained that the main problem is trust, noting that “since the move away from the gold standard, the USD is seen as the most stable, trustworthy, and liquid currency globally.” The analyst opined: “Given t...

A Trace Finance analyst has suggested that the BRICS nations could launch a single digital currency issued and regulated by the New Development Bank, also known as the BRICS Bank. He stressed that the U.S. is facing the biggest crisis in history. Many expect a common BRICS currency that would challenge the dominance of the U.S. dollar to be discussed at the economic bloc’s summit next week. Analyst Discusses BRICS Digital Currency Evandro Caciano, head of FX at Trace Finance, discussed the prospect of the BRICS nations launching a digital currency in an interview with CNN Brazil, published Friday. The economic bloc comprises Brazil, Russia, India, China, and South Africa. Nothing that the U.S. dollar is no longer as safe as it once was, he cautioned (translated by Google): We are in the biggest American crisis in history. It is a crisis of fundamentals, with ratings downgraded by credit agencies, putting the dollar in check. Many people expect the topic of a common BRICS currenc...

The U.S. Securities and Exchange Commission (SEC) has filed a motion to certify an interlocutory appeal of two rulings in the Ripple case regarding XRP . According to the securities regulator, “Immediate appeal of these rulings is warranted … because they involve controlling questions of law.” SEC v Ripple Case Update On Friday, the U.S. Securities and Exchange Commission (SEC) filed a motion for the court to certify an interlocutory appeal of two Ripple rulings regarding XRP . The court document states: The SEC respectfully requests that this court certify for interlocutory appeal two holdings in its July 13, 2023 order on summary judgment. The first holding concerns the ruling that Ripple’s “‘programmatic’ offers and sales of XRP over crypto asset trading platforms could not lead investors to reasonably expect profits from the efforts of others,” the SEC detailed. The second holding is “the ruling that Ripple’s ‘other distributions’ of XRP as a ‘form of payment for services...

Canaan, a leading high-performance computing firm and mining rig producer, recently disclosed hurdles set to dent its bitcoin mining activities and revenue from Q3 2023 onward. These setbacks primarily stem from diminished operational hours of their mining devices. This revelation comes hot on the heels of Canaan’s teaser about their “groundbreaking” mining innovation slated for a September debut. Canaan Forced to Trim Mining Power by 2 EH/s In Kazakhstan, regulatory changes forced Canaan’s hand, making them curtail 2 exahash per second (EH/s) of their mining prowess since July. That’s a significant chunk, amounting to half of their mining power across Central Asia and North America. To paint a clearer picture, Canaan’s overall hashrate stood at 4 EH/s as Q1 2023 wrapped up. While grappling with licensing in Kazakhstan , another issue unfolds across the Atlantic. Stateside, Canaan finds itself entangled in a contractual disagreement with a hosting ally accused of violating a joint...

Morocco has reportedly denied the claim made by South Africa, the host of the BRICS summit this year, that it has formally applied to join the economic bloc. According to South African officials, over 40 countries are interested in joining the BRICS group, including 23 nations that have formally applied. Morocco Maintains Good Relations With 4 BRICS Countries, Will Not Attend Summit South Africa, the host of the BRICS summit this year, claimed last week that 23 countries have formally applied to join the economic bloc. According to South Africa’s Minister of International Relations and Cooperation, Naledi Pandor, they are Algeria, Argentina, Bangladesh, Bahrain, Belarus, Bolivia, Venezuela, Vietnam, Cuba, Honduras, Egypt, Indonesia, Iran, Kazakhstan, Kuwait, Morocco, Nigeria, State of Palestine, Saudi Arabia, Senegal, Thailand, United Arab Emirates, and Ethiopia. However, at least one country on the list has reportedly denied applying for BRICS membership. Morocco’s state news age...

The U.S. chairperson of the Official Monetary and Financial Institutions Forum (OMFIF) has characterized the Argentinian presidential hopeful’s plan to fully dollarize the economy as “a far too risky gamble.” Mark Sobel said full dollarization without an exit policy “could well lead to a far more serious economic contraction and collapse.” Javier Milei’s Unconventional Policy Proposals Argentinian presidential hopeful Javier Milei’s plan to dollarize the economy of the South American country is “a far too risky gamble,” Mark Sobel, the U.S. chairperson of the Official Monetary and Financial Institutions Forum (OMFIF), has said. According to Sobel, only “hard work” and austerity measures can extricate Argentina from its current problems. During his campaigns, Milei has repeatedly touted full dollarization as the panacea to Argentina’s economic troubles. He also claimed to have mobilized funds needed to remove local currency from circulation and abolish the central bank. In an op-e...

As more countries join the BRICS economic bloc, there will be a significant increase in settlements using national currencies, leading to an acceleration in the de-dollarization process, a Chinese expert says. “For most developing countries, development is a top priority. That is why the BRICS cooperation mechanism is attractive to these countries,” he added. BRICS and De-Dollarization Sun Qi, executive director of the Center for Russian and Central Asian Studies at the Shanghai Academy of Social Sciences, told Russian news outlet Tass Friday that more countries joining the BRICS economic bloc will increase the use of national currencies in settlements significantly, which will help accelerate de-dollarization. The BRICS nations comprise Brazil, Russia, India, China, and South Africa. He was quoted as saying: As more and more countries join the ranks of BRICS + partners, the transition to settlements in local currency or third-party currencies in mutual trade will increase signifi...

Lord Jim O’Neill, the British economist credited with coining the acronym BRIC, calls the creation of a common BRICS currency “ridiculous,” emphasizing that the BRICS nations have “never achieved anything since they first started meeting.” He added: “It’s a good job for the West that China and India never agree on anything, because if they did the dominance of the dollar would be a lot more vulnerable.” Lord Jim O’Neill Slams Common BRICS Currency Idea British economist Lord Jim O’Neill shared his view on the proposed single BRICS currency in an interview with the Financial Times this week. The BRICS leaders are set to meet at the economic bloc’s 15th summit on Aug. 22-24 in Johannesburg. South Africa is the host of the BRICS summit this year. However, there are mixed reports on whether the creation of a common BRICS currency will be discussed at the summit. O’Neill, a former Goldman Sachs economist, coined the acronym BRIC over 20 years ago to describe the economic potential of B...

FTX founder Sam Bankman-Fried (SBF) is asking to be released from jail five days a week to work on his defense for the fraud trial against him set to begin in October. On Friday, Bankman-Fried’s lawyers complained to a judge in Manhattan that the currently proposed preparation time and regime for his case is “inadequate.” SBF Seeks Daily Meetings With Lawyers at Courthouse and Laptop With Internet Disgraced crypto mogul Sam Bankman-Fried is asking to be allowed to leave the Metropolitan Detention Center (MDC) in Brooklyn, New York, five days a week in order to meet with the members of his defense team at the federal courthouse in Manhattan. The request comes just days after the 31-year-old founder and former chief executive of the failed cryptocurrency exchange FTX was jailed in the MDC based on allegations of witness tampering ahead of his trial scheduled to begin Oct. 2, Bloomberg and Reuters reported. Prior to that, the former billionaire, who was arrested in the Bahamas and ...

According to the United Kingdom’s Financial Conduct Authority, crypto asset firms operating in the country will be required to comply with the Financial Action Task Force’s travel rule starting on Sept. 1, 2023. Crypto asset businesses will be required to take “all reasonable steps” to ensure compliance with the travel rule. When the rule becomes effective, compliance with the rule is still expected even when a crypto asset business uses a third-party supplier. Delays in Implementing Travel Rule The United Kingdom’s financial services industry regulator, the Financial Conduct Authority (FCA), has said crypto firms based in the country will soon be required to adhere to the so-called travel rule. According to the regulator, crypto firms are expected to start complying with this rule from Sept 1, 2023. In a statement released on Aug. 17, the FCA suggested that its decision to enforce the requirement aligns with the Financial Action Task Force (FATF)’s call for the swift implementati...

Quantum Blockchain Technologies (QBT), a research firm hailing from the U.K., purports to have spearheaded a revolutionary leap in bitcoin mining tech. They’ve unveiled certain methods that reportedly enhance the chances of pinpointing a winning hash. One such strategy, dubbed “Method B,” asserts it elevates the likelihood by a remarkable 260% compared to traditional mining searches, simultaneously slashing energy use by 4.3%. QBT’s Innovation Claims to Find Hashes Faster The crypto sphere is abuzz over a freshly uncovered research firm, Quantum Blockchain Technologies (QBT). For over two years, they’ve been diving deep into BTC mining and the intricacies of the SHA256 algorithm. QBT boasts a breakthrough: using machine learning to predict blockchain movements, allowing for advanced block computations. Their claimed cutting-edge research taps into quantum computing, cryptographic enhancements, deep learning, AI, and the design of FPGA and ASIC, among other innovative methods. I...

The cybercrime fighting unit within the Philippines National Police has asked residents to be wary of rewards promised by play-to-earn (P2E) games because they can be used to steal crypto assets worth millions of dollars. The unit said players can reduce the chances of losing money to scammers by doing their own research before committing funds. Role Played by Custom-Made Gaming Apps The Philippines’ cybercrime fighting unit, the National Police Anti-Cybercrime Group (PNP ACG), has told residents to be wary of rewards offered by play-to-earn (P2E) games as such games are increasingly being used to steal crypto assets worth millions of dollars. In a warning published in the unit’s latest cyber security bulletin , the cybercrime unit said the theft of unsuspecting victims’ crypto assets is perpetrated via custom-created gaming apps. According to the unit, these gaming apps lure victims with promises of “huge financial rewards directly proportional to investments to potential targets....

Spacex reportedly wrote down the value of its bitcoin holdings by $373 million over the past two years and sold an undisclosed amount of the cryptocurrency. According to reports, Tesla, another company run by billionaire Elon Musk, has taken a similar approach with its bitcoin holdings. Spacex Writes Down $373M in Bitcoin Value On Thursday, the Wall Street Journal reported that Elon Musk’s Spacex has written down its bitcoin investments, citing documents it has seen. The news outlet wrote: Spacex wrote down the value of bitcoin it owns by a total of $373 million last year and in 2021 and has sold the cryptocurrency. Tesla has taken a similar approach with its bitcoin holdings. Musk has posted about cryptocurrencies frequently over the years. This led to numerous headlines claiming that Spacex had liquidated its entire bitcoin holdings, sending the price of bitcoin tumbling. However, many people took to social media to point out that writing down investments is a standard accou...

Dubai will offer subsidized licenses for Web3 and artificial intelligence (AI) companies that want to enter the country. The Dubai International Financial Centre (DIFC) and its campus will subsidize 90% of the costs of these licenses to attract companies in this sector as part of its push to become a worldwide tech hub. Dubai to Offer Subsidies for Web3 and AI Companies The Dubai International Financial Centre (DIFC) announced the issuance of special commercial licenses for Web3 and artificial intelligence (AI) companies wanting to set up operations in the emirate. 90% of the cost of each license will be subsidized to help companies in their initial stages. The licenses offered will allow the companies to access physical offices and co-working spaces in the Innovation One building, according to a press release issued by the DIFC. The UAE Ministry of Economy details that the DIFC has more than 25,000 professionals working at more than 2,000 active registered companies, as one of t...

The buzz surrounding Bitcoin’s leap into the NFT world via Ordinals might be fleeting. A Dappradar study reveals that trading actions and sales figures for Bitcoin Ordinals have plummeted by a staggering 97% since their May 2023 zenith. This downturn mirrors a wider slowdown in the NFT sector. However, the slump in Bitcoin Ordinals is far more pronounced than in established networks such as Ethereum. Bitcoin NFTs Face Crossroads: Ordinal Sales Decline Highlights Market Volatility and the Quest for Tangible Utility After soaring to record levels this spring, the nascent market for Bitcoin-centric NFTs has hit a snag. By June and July, Bitcoin Ordinals reported a sharp drop in both sales and transactions, diving 97% and 98% from their May pinnacle. Dappradar’s analysis indicates that Ordinals trading dwindled from $452 million in May to a mere $3 million in early August. There’s also been a sharp downturn in active participants in the Bitcoin NFT arena. The number of unique active B...