Trader View 12 November, 2019
Alibaba printed print $38.4bn GMV during Single’s Day posting a new record, eclipsing what Amazon pulled in the entire previous quarter… go figure
Silvergate Bank (SI US) — arguably the largest fiat rails for crypto- had a successful debut +6.2% from $12/share subscription price and has continued to grind higher on the NYSE despite BTC slipping under 8K alongside a lackluster performance from the broader market… insto money looking for exposure?
Canaan (CAN US) appears to be the next to debut in the US with their NASDAQ listing slated for 20th Nov. The ASIC manufacturer is looking to raise $400mn — ahead of rival Bitmain as the soap opera in the latter brews with the usurped co-founder Micro Zhan finally speaking out, vowing to reverse Wu Jihan’s coup.
Ripple ($XRP) -1.1% actually top ticked as their annual event kicked off and has been unable to recoup any of the losses. They indeed have been consistently onboarding household names to their payment rail but suspect it’ll take more than one quarter of scaling back on XRP sales ($66.2mn 3Q19 vs. $251.51mn) before investors gain confidence that Mr Garlinghouse will not be using it as a free revolver to drawdown as he pleases… The coin didn't react to unsubstantiated rumors of a tie-up/acquisition of SWIFT. Expect $0.32 to remain as resistance for now.
Doesn’t matter if you’re the biggest, strongest kid on the block if you shut out all the kids in the neighborhood at some point, the world will simply leave you out on what they do cause well, you hate them all.
Amidst the backdrop of the Senate Banking Committee publicly admitting that economic sanctions are an “effective weapon” against “rogue nations” (their view) expressing desire to retain this tool, we have seen some interesting developments.
Binance will be assisting the Ukranian Ministry of Digital Transformation in setting up an official legal framework of virtual assets and currencies; Russian developers are helping the Central Bank of Tunisia create a platform and a CBDC through Universa Blockchain; Banque de France looking to hire an analyst with “crypto-economics” experience and an engineer to study “blockchain applications”; Royal Bank of Canada allegedly building a cryptocurrency trading platform and; following Hong Kong’s Monetary Authority revelation of collaborating with the Institute of Digital Currency of the PBOC and the Bank of Thailand, China has also stepped on the gas to clear the red-tape conspicuously omitting cryptocurrency mining from the list of industries they want eliminated followed by a front-page story titled “first successful application of blockchain technology” on the government’s mouthpiece Xinhua (many suspect is a peek into the CBDC under development for the past 5yrs). Her blockchain based cross-border financing platform now covers 19 provinces, and counting.
Meanwhile the Queen of England doesn’t want to see crypto recognized as currencies, she prefers to see the Sterling with her profile prevail. And how in the world was Bittrex allowed to “freeze” the balances of Iranian users and not let them withdraw for two years?! One mans terrorist is another mans freedom fighter.
Two American pension funds have topped up their crypto investments as they commit an additional $55mn to Morgan Creek Digital’s second venture capital fund doubling their crypto exposure to 1% AUM. The reason? Exceptional returns. Investments deployed in the space will not be a linear trajectory. It’ll be an exponential curve as the rest of the crowd realizes they are missing out on an uncorrelated new asset class, the best performing in fact, over the past ten years. Bakkt’s record session last Friday and launch of their custody service perhaps is one of many signs of the herd coming.
- Etherem ($ETH) -1% Istanbul hardfork ETA block height 9.069,000 eta 4th Dec.
- Tezos ($XTZ) -1.8% retains gains post 50%+ as Coinbase supports staking for c.5% yield
- 8chan comes back from the dead as kun utilizing Loki, a Monero ($SMR) +0.4% fork as Cloudfare refuses to host.
- Alibaba the latest to offer Bitcoin rewards for shopping not heir platform through Lolli.
- Tencent pledges to establish a blockchain-based banking platform
May the trend be your friend… Happy trading!