Supply Financial News

Hong Kong has been a relative latecomer to crypto trading, approving its first three cryptocurrency futures ETFs in late 2022.

The U.S. budget deficit widened to $1.7 trillion in fiscal year 2023 and is on track to reach $2.6 trillion by 2034, according to the Congressional Budget Office. U.S. government debt held by the public, meanwhile, is on pace to reach a record 106% of gross domestic product (GDP) in 2028, up from 97% in fiscal year 2023. It has soared to $27 trillion from $17 trillion in early 2020 and $5 trillion in 2007.

On-chain data suggests that less Bitcoin (BTC) is sitting on crypto exchanges than ever within the past six years. According to CryptoQuant’s Bitcoin Exchange Reserve dashboard, balances on such platforms dwindled to just 1,945,051 BTC as of April 2, 2024.

Bitcoin has rallied more than 10% in two sessions, helped by Monday's disclosure from crypto investor and software firm MicroStrategy that it had recently purchased about 3,000 bitcoins for an outlay of $155 million.

Bitcoin is down about 1.8% for the week as of 2:15 p.m. in New York on Friday. If the trend continues, it will be the first negative week for Bitcoin since its current rally began in late January. Retail investors enthusiastic about the recent approval of spot Bitcoin exchange-traded funds and the next halving event — which will cut the supply of newly minted Bitcoin in half — have driven up the price of the asset by 25% in recent weeks.

The rising M2 money supply could propel crypto into another bull rally and help it outperform the traditional markets, according to Raoul Pal, co-founder and CEO of financial media platform Real Vision. Pal’s X post highlighted the correlation between the rising fiat market supply and the start of the crypto bull run.

The impact of the Bitcoin halving on crypto prices is often overestimated and the next halving, set for April 2024, may play out differently than previous ones, according to a leading analyst.

Sui’s native SUI token has struggled to regain ground after plunging more than 9% amid allegations from South Korean regulators, which have accused the Sui Foundation of manipulating the supply of the token for its own gain. 

Airdrops have emerged as a powerful tool for token distribution, user acquisition and community building as the blockchain industry has grown. They provide a unique opportunity for projects to distinguish themselves, incentivize desired behaviors and foster long-term relationships with their user base. But the question remains: Do airdrops work?

tether is winning the race for the title of the crypto world's «least risky» asset. As a regional U.S. banking crisis widens and a regulatory crackdown on crypto firms deepens, investments within the cryptosphere are moving into tokens and coins perceived as relatively safe. Tether is already the top performer among stablecoins — digital tokens pegged to some fiat asset like the dollar — and has seen its market value soar since March. Its value is anchored by a 1-to-1 peg against a cache of dollars and a supply cap at around 85 billion tokens. Demand for the coin has been so strong that its peg has held above 1 since mid-April, hitting 1.002 last week.

Bitdeer have announced plans to raise $500 million to set up crypto mining operations that use the Himalayan kingdom's plentiful hydropower. Huge amounts of electricity are needed to power the vast computer farms that mine for cryptocurrency, leading to heavy criticism of their impact on the climate and a search for greener mining options. Soaring energy costs have also squeezed crypto firms, leading to the birth of several initiatives to find cheaper and more sustainable ways to power their operations in a notoriously risky and volatile industry. The initiative announced on Wednesday by the Bhutan government's investment arm Druk and Nasdaq-listed crypto-mining firm Bitdeer includes the construction of data centres and investment in renewable energy such as hydropower and hydrogen.

asset called UpToken. Friday's settlement resolves claims that Coinme's Up Global unit and Neil Bergquist, who led both entities, misled investors in a late 2017 initial coin offering for UpToken, which was issued on the Ethereum blockchain. The SEC said investors were led to believe Up Global would limit the supply of UpToken, while Coinme would create constant demand for UpToken to fund a bitcoin automated teller machine rewards program, helping boost UpToken's price. According to the regulator, the claims were misleading because Up Global had quietly conducted transactions that reduced Coinme's need for UpToken.

High electricity costs, a plunge in digital assets prices and persistent network competition in the fourth quarter slashed mining profit margins and made it difficult for miners to stay afloat. Core Scientific Inc., the largest public Bitcoin mining company by computing power, went bankrupt and multiple major miners warned of liquidity crunches. While struggling miners have garnered some relief from Bitcoin’s 40% rebound this year, they are still under financial pressure. The rise in Bitcoin has made it easier for miners to raise capital from the equity market after debt-financing opportunities dried up and interest payments outpaced cash flows in the quarter. Miners such as Marathon Digital Holdings Inc. and Riot Platforms Inc. have been among the best performing US stocks this year, gaining more than 75% each after tumbling in value in 2022. “Public market investors are not typically those that look at hash price and mining machines,” said Ethan Vera, chief operations officer at crypto-mining services firm Luxor Technologies, referencing industry terms used to calculate miners’ revenue. “Their investing is based on the price of Bitcoin.”

German car manufacturer BMW plans to integrate blockchain technology into its daily operations and create a blockchain loyalty program for its customers in Thailand. The popular carmaker has onboarded blockchain infrastructure firm Coinweb as its decentralized architecture provider and BNB Chain for settling transactions.

Popular entrepreneur and NFT proponent Gary Vaynerchuck — also known as Gary Vee — has argued that oversupply, greed and subpar projects are the main reasons the NFT market fell so hard over the past year.

The recent Terra revival plan announced by Do Kwon, the co-founder and CEO of Terraform Labs, received mixed reactions as many questioned the effectiveness of a hard fork in reviving the fallen prices of LUNA and UST tokens. Instead, the part of the community recommended burning LUNA tokens as the most plausible way to achieve a comeback.

Terra (LUNA) has plunged significantly after witnessing a FUD attack on its native stablecoin TerraUSD (UST).

It took Ethereum's native token Ether (ETH) only two months to recover from a brutal selloff at the beginning of 2022.

Bitcoin markets have been consolidating since the beginning of the year, but on-chain metrics are painting a more positive picture as more of the asset is becoming illiquid.

In a Twitter post published Wednesday, blockchain research firm CryptoRank revealed that over 1 million Ether (ETH) worth $4.24 billion had been burned since the introduction of the EIP-1559 protocol in August as part of the London hard fork. The EIP-1559 protocol reformed the Ethereum fee market, modifying the limit for gas fees and introducing a burn feature that takes a portion of transaction fees on the blockchain out of circulation, to be canceled permanently.

Bitcoin's (BTC) biggest investors have been lately upping their reserves in sync with the ongoing price recovery, one Glassnode metric suggests.