• Grayscale Investments CEO Michael Sonnenshein discussed the importance of a spot Bitcoin ETF during an interview.
• The firm had filed a lawsuit against the U.S Securities and Exchange Commission in June 2022 after their application to convert GBTC to a spot Bitcoin ETF was denied.
• Sonnenshein expects a decision in the lawsuit by fall 2023, with oral arguments starting on 7 March.
Michael Sonnenshein, the CEO of Grayscale Investments, appeared in an interview on „What Bitcoin Did“ and discussed various matters related to his company, especially its lawsuit against the U.S. Securities and Exchange Commission (SEC). He explained that from day one, when Grayscale started with the Grayscale Bitcoin Trust (GBTC), the objective was to convert the fund into a spot Bitcoin exchange traded fund (ETF). This would help avoid GBTC’s current 45% discount to its net asset value due to an arbitrage mechanism built into ETFs which keeps share prices in line with underlying assets.
Lawsuit Against SEC
The securities regulator rejected Grayscale’s application to convert GBTC to a spot Bitcoin ETF in mid 2022, leading them to file a lawsuit as a last-ditch attempt in the interest of their investors. The grounds for litigation is based on how different and arbitrary manner two similar issues were treated by SEC; thus violating US administrative procedures act. As such, if they lose their appeal they may go for re-appeal in US Supreme court according to Sonnenshein who expects a decision by fall 2023 with oral arguments starting on 7 March.
Relationship With Genesis
Sonnenshein clarified that his firm did not have any operational reliance on Genesis which was undergoing chapter 11 bankruptcy proceedings at press time; falling under parent firm DCG as well.
Importance Of Spot BTC ETF
The importance of having an ETF was highlighted by Sonnenshein due it avoiding discounts like GBTC faces currently due to arbitrage mechanisms built into ETFs keeping share prices inline with underlying assets ensuring price stability for investors alike reducing frustrations caused by current state of affairs .
To conclude, Michael Sonnenshein has expressed his confidence that Grayscale will make progress in their efforts towards obtaining approval for converting GBTC into BTC ETF despite SEC denying it earlier this year; expecting decisions regarding same by Fall 2023 meanwhile clarifying relationship between Grayscale & Genesis as well as importance of Spot BTC EFT while highlighting reasons behind filing case against SEC itself
• Terra LUNA Classic (LUNC) rose to $0.0001698 at press time, representing a 9% drop in the past week and a 6.5% decline in the last 30 days.
• The price of LUNC was affected by the collapse of the Terra ecosystem in May 2022, as well as the crypto exchange FTX’s failure in November of last year.
• The coin validates transactions on its 2.0 blockchain through proof-of-stake (PoS), with 130 validators currently active on the network.
Overview of Terra LUNA Classic
Terra Luna Classic (LUNC) is a cryptocurrency that rose to $0.0001698 at press time, with a 9% drop in its price over the past week and 6.5% decline over the past 30 days. It is part of the Terra stablecoin system, which was launched in 2021 and has since seen some turbulence due to market volatility and other factors affecting cryptocurrencies globally. LUNC is used to validate transactions on its 2.0 blockchain through proof-of-stake (PoS), with 130 validators currently active on the network making it an eco-friendly token option compared to other PoS platforms such as Ethereum (ETH).
Impact of Market Turbulence
The market capitalization for LUNC has dropped from $1.5 billion before May 2022 when it was part of one of the top 10 cryptos by market value, down to $1.04 billion today due to several factors including but not limited to: The collapse of both Terra Ecosystems‘ 1st version and later Revival Plan 2 – a fork that allowed for two versions of Luna Tokens to exist; as well as November’s 2020 crash involving crypto exchange FTX’s failure which also impacted LUNCs price negatively .
What is Stablecoin?
Stablecoins are cryptocurrencies that are intended to be relatively stable against volatile fluctuations because they are pegged either directly or indirectly against fiat currency or another support cryptocurrency such as Tether USDT or USD Coin USDC, this means that prices will not fluctuate much regardless if their underlying asset increases or decreases significantly in value – which means they are “stable” against major market movements thus allowing investors more stability when investing into them versus non-stable cryptocurrencies like Bitcoin BTC or Ethereum ETH where prices can drastically change within minutes or hours depending on how volatile markets become at any given moment .
Future Of LUNC
The future performance and growth potential for LUNC depends heavily upon whether it can recover from its recent losses after experiencing turbulence throughout 2021 and 2022 – if successful this could lead to increased demand for tokens leading higher prices than we’ve seen before potentially enabling it once again reclaiming its former $1 billion dollar market cap status .
In conclusion, Terra Luna Classic (LUNC) is a cryptocurrency that has experienced significant turbulence over recent years, however it still holds potential for growth if market conditions improve enough for investors trust back into crypto projects like this one – only time will tell what happens next but until then all eyes remain firmly fixed on this coin’s future prospects!
• Ethereum price has dropped due to Kraken’s agreement with the SEC.
• Despite this, Ethereum is still a promising investment due to its large daily trading volume and market cap.
• Institutions are showing increased interest in ETH staking as whale activity reached new highs.
Ethereum Price Drops Due to Kraken Agreement
The price of Ethereum (ETH) was at $1,552, down 5% from yesterday and 6% from one week ago. The fall coincided with a market-wide selloff brought on by Kraken’s agreement to stop providing any staking services to US-based clients and its payment of a $30 million settlement to the SEC.
Ethereum Still a Promising Investment
Despite this setback for the market, Ethereum is still a promising investment due to the altcoin’s daily trading volume of $7,433,845,302 and market cap of $185,903,721,394. There are several grounds to believe that ETH will once again increase in value, including Visa’s recent announcement that it is testing stablecoin payments on the Ethereum network. Parithosh Jayanthi, a developer for the Ethereum Foundation, declared that the „Zhejiang“ public testnet will debut on 1 February. In order for validators to prepare for the anticipated modifications for the Shanghai hard fork, the implementation will permit staked Ether withdrawal in a test environment.
Institutional Interest Growing
According to Diogo Mónica, co-founder and president of Anchorage Digital – a cryptocurrency bank with a market cap of over $3 billion –the Merge’s success transformed Ethereum from „a smart contract platform lagging behind“ into „something that was doing things properly.“ This is accurate: After the Merge institutional interest in ETH staking rose according to Matt Hougan CIO at Bitwise Asset Management As ETH dominance has increased compared to other cryptocurrencies over past few years Ether’s bullish setup vs Bitcoin is apparent.
Whale Activity Reaches New Highs
Both Bitcoin and Ethereum have consolidated over week as broader crypto market continues enjoy bullish spell The price of Ethereum has lately undergone significant correction yet whales have been purchasing every decline The fifth largest accumulation day in year was recorded last week as ETH whale activity reached new level As FTX problem developed over month November Ether whales have been building up According Santiment report “Ethereum’s large key addresses have been growing number since #FTX debacle early November Pictured key moments where shark & whale addresses accumulated & dumped Number 100 100k $ETH addresses 20 month high” almost reached lows during
Price Prediction for 2023-2024
It almost reaches lows during March 2020 when Coronavirus pandemic hit global markets With upcoming ETF proposals increasing demand & institutional investors ready invest long term many believe that we can expect further growth Thus there are chances that ETH might reach around 5000$ mark by end 2023 or 2024 However only time can tell what will happen
• Cardano has released its Vasil mainnet upgrade to improve the blockchain’s efficiency and block delay speeds.
• Djed, the network’s stablecoin, is driving up demand for ADA, leading to price advances over the past few weeks.
• The total number of Cardano’s daily active users has increased by 15.6%, reaching a high of 75,800 in May.
The Vasil update was designed to boost the efficiency and block delay speeds of the Cardano ecosystem. According to Input Output Global (the parent company), over 75% of staking pool operators are running on required node versions. Additionally, Plutus decentralized application (dApp) development will be supported by developers.
Djed is an algorithmic stablecoin that is overcollateralized and pegged to the US Dollar. It uses a rigorous verification process, making it one of the first stablecoins in the market that can be quantitatively verified without needing a bank audit of its collateral reserves. Investors and traders who stake ADA will receive extra benefits when they get Djed, potentially increasing demand for ADA which has been reflected in recent price advancements.
Cardano has seen significant wallet growth this year despite challenging prices throughout 2020. Over 22,000 new staking addresses have been added each month for 13 months straight, with over 30,000 wallets being added in just one week due to FTX’s collapse. Smart contracts on Cardano have also grown significantly; they now total over 4,000 after seeing more than 300% growth recently – increasing its daily active user base according to CryptoCompare data.
The 1-week gauge technical outlook may not be looking great but traders may feel more optimistic about long-term prospects once they consider how much progress the network has made in terms of wallet growth and smart contract numbers over 12 months or so – with an average monthly increase of 20,000 new staking addresses during this period..
Cardano appears set for further success as it continues to develop new features such as Djed and make improvements like Vasil – all while growing active wallets at an impressive rate across 2020 and 2021 so far!