Cryptocurrency
Ripple, third most valuable cryptocurrency, gets approval from the U.S for money transfers
Ripple (XRP), the third most widely used crypto-asset behind bitcoin and Ethereum, has gotten the attention of the world’s biggest economy for money remittance
Ripple (XRP), the third most widely used crypto-asset behind bitcoin and Ethereum, has gotten the attention of the world’s biggest economy for money remittance.
Ripple (XRP) is currently trading at $0.2025 with a market capitalization of about $8.9 billion and a daily trading volume of $1.96 billion, according to data obtained from Coinmarketcap.
America’s Consumer Financial Protection Bureau has given Ripple approval for its use in cross-border money transfers.
According to a report recently published by America’s Consumer Financial, Protection Bureau has been researching new developments in the remittance market, including trends related to digital currencies.
U.S Consumer Financial Protection Bureau, which plays a major role in protecting America’s consumers in the financial sector, wrote on the “continued growth and expanding partnerships” of companies such as Ripple.
The report also noted the use of Ripple for settlement of cross-border money transfers:
“The Bureau has continued to monitor…the continued growth and expanding partnerships of virtual currency companies, such as Ripple, which offer both a payment messaging platform to support cross-border money transfers as well as a virtual currency, XRP, which can be used to effect a settlement of those transfers.”
[Read Also: Ethereum, second most valuable cryptocurrency, surges over 88% since March]
What you need to know
Ripple (XRP)plays both roles as a payment platform and a currency.
The Ripple platform is an open-source platform that is created to allow quick and cheap transactions.
Unlike its crypto rival, Bitcoin, which was never intended to be a simple payment system, Ripple has gained the attention of major global banks, like Standard Chartered, and Barclays for international transactions worldwide.
Interestingly, the U.S Consumer Financial Protection Bureau seems to love Ripple for bringing simplicity and openness to the financial industry:
“To the degree banks and credit unions increase their reliance on closed network payment systems for sending remittance transfers and other cross-border money transfers, the Bureau notes that this could result in greater standardization and ease by which sending institutions can know exact covered third-party fees and exchange rates.
“The Bureau also believes that expanded adoption of SWIFT’s GPI product or Ripple’s suite of products could similarly allow banks and credit unions to know the exact final amount that recipients of remittance transfers will receive before they are sent.”
Cryptocurrency
Bitcoin robbers are cashing in as they transfer $7 million worth of BTCs
The biggest loot of the four transactions was 308.43BTC (3,491,285 USD).
BTC robbers seem to be having a field day in recent times. Barely four years after some BTC robbers stole 119,756 Bitcoins from crypto exchange Bitfinex in 2016, the robbers have moved $7 million worth of BTCs to unknown wallets. This happened just some hours ago.
According to a series of tweets, yesterday, by the advanced crypto tracker Whale Alert, wallets linked to Bitfinex’s 2016 security breach have moved 620 Bitcoins (BTC) — worth roughly $7 million at the time of writing — in over 4 transactions.
The biggest loot of the four transactions was 308.43 BTC (3,491,285 USD) of stolen funds transferred from Bitfinex hack in 2016 to an unknown wallet.
⚠ 308.43 #BTC (3,491,285 USD) of stolen funds transferred from Bitfinex Hack 2016 to unknown wallet
— Whale Alert (@whale_alert) August 3, 2020
Recall about a week ago, Narametrics broke the news on how BTC thieves in less than 48 hours stole 3503 BTC worth $38.5 million. This is more than the 119 756 BTC stolen in 2016.
Back story: In 2016, a top official at Bitfinex, in a statement credited to Reuters, disclosed that 119,756 Bitcoins were stolen from users’ accounts. To date, the BTC robbers responsible for these heists have only been able to move only 1-2% of the funds from the exchange.
The world’s flagship currency is trading above the strong resistance level above $11,200 with a market capitalization of about $208 billion.
How easy is tracking BTCs? It should be noted that Bitcoin is not really anonymous because all BTC transactions are kept permanently and publicly on the blockchain or ledger system, so it’s very easy for anyone to see the transactions and balances of any BTC address.
What this means: Blockchain security and security agencies have flagged the BTC wallets containing the stolen BTCs, making it very difficult to move the 119,756 BTC without being noticed.
Cryptocurrency
90% of Ethereum wallets are now in profit
The second most valuable crypto asset records a trading volume of about $13.88 billion.
Most Ethereum holders now have a good reason to smile to the banks. This is because over 90% of the circulating Ethereum supply is now in a state of profit. In other words, the current price is higher compared to the price point at the time the coins last moved.
Last time we saw this level was in February 2018 when the $ETH price was at $925.
READ MORE: Jim Ovia: From a clerk to founder of Nigeria’s most profitable bank
Over 90% of the circulating #ETH supply is now in a state of profit, i.e. the current price is higher compared to the price at the time the coins last moved.
Last time this we saw this level was in Feb 2018 when the $ETH price was at $925.
Chart: https://t.co/BsX5avJV2X pic.twitter.com/qxZQWcyf6c
— glassnode (@glassnode) August 3, 2020
Ethereum was trading around $391, as at the time of filing this report. It is the second most valuable crypto asset in the world with a market capitalization of $143.88 billion as well as a trading volume of about $13.88 billion.
READ MORE: Ripple has released 1 billion XRP; here’s what this means
Why Ethereum is surging
In an earlier article by Nairametrics, the co-founder of Spartan Black, Kelvin Koh, was quoted as he explained what was responsible for the surge in the ETH market. He said:
“The strong move in Ethereum has to do with the upcoming ETH 2.0 launch which is a major catalyst. Every phase of ETH 2.0 over the next 2-3 years brings ETH closer to its final state and will be catalysts for Ethereum.”
READ MORE: Fastest growing cryptocurrency, Compound (COMP) up over 143% in 24 hours
What to look for
Breaking the $400 resistance level represents a dramatic shift for Ethereum, which stood at around the $112 price level in March following the market carnage that occurred as a result of the ravaging COVID-19 virus.
It should, therefore, be noted that Ethereum 2.0 is imminent. This will see the crypto asset switching from the current proof-of-work model to proof-of-stake. It will also optimize sharding techniques which will help hasten up transactions on the blockchain.
Recent trends and macros surrounding the world’s most valuable crypto asset have shown that investors need to start selling some of their bitcoins for profit.
The facts: BTC rose above the $12,000 price level, roughly about 23 hours ago. But there were warning signs indicating that daily active addresses on the network were not keeping up with the surging price, and that a correction would be swift. A bearish divergence also formed.
Yesterday, the price continued to climb towards $12,000 in spite of DAA dropping from 1.06 million on Friday to 959, 000 on Saturday (-9.5% drop). As a result of this bearish divergence, Bitcoin fell back to $11,000 price levels in a hurry (-8.3% price drop).
READ MORE: Earning BTCs without Having To Pay Money
Warning signs: While crypto exchanges are still sorting out liquidations in the BTC market, one should probably ask what the BTC whales are doing. That sell-off was perpetuated and possibly triggered by an over-leveraged market.
“In the last 24 hours, BitMEX lost the most open interest in Bitcoin futures – about $105M. Followed by OKEx, Huobi, and Binance (all losing more than $50M),” Larry Cermax said.
READ ALSO: CBN Governor guarantees investors over forex repatriation
In the last 24 hours, BitMEX lost the most open interest in Bitcoin futures – about $105M. Followed by OKEx, Huobi, and Binance (all losing more than $50M). pic.twitter.com/HzJeiKxRJg
— Larry Cermak (@lawmaster) August 2, 2020
However, Rafael Schultze-Kraft, Chief Technical Officer at Glassnode, with a detailed diagram, explained why despite the recent plunge, the world’s flagship cryptocurrency still had the bullish momentum in play.
READ ALSO: There are now 18,000 Bitcoin millionaires
“Investors are not moving $BTC at a loss. Adjusted SOPR (hourly chart) is still above 1 despite the sharp price drop, showing no sign of a short-term trend reversal (yet). Closely watching this level,” Schultze-Kraft said.
Investors are not moving $BTC at a loss.
Adjusted SOPR (hourly chart) is still above 1 despite the sharp price drop, showing no sign of a short-term trend reversal (yet).
Closely watching this this level.#Bitcoin pic.twitter.com/W1fwB61DWZ
— Rafael Schultze-Kraft (@n3ocortex) August 2, 2020
Why is BTC volatile? The price of Bitcoin is so volatile because of its high use for financial gain and speculating advantages used by global investors and crypto traders. As such, individuals and hedge funds sell and buy Bitcoins as they would do for any other financial asset (stocks, bonds) with regulatory limitations.
READ ALSO: Mysterious Bitcoin whale moves 15,022 BTCs worth $162 million
What you should do: Nairametrics advises cautious buying in this fast-growing financial asset, as high market volatility could expose you to significant losses. It’s highly recommended you seek advice from a certified financial advisor when buying these crypto assets.
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