Headlines
▌MicroStrategy stock price up 477% year-to-date, second only to AppLovin among US tech companies with a market cap over $50 billion
According to FactSet data, from the beginning of 2024 to last Friday's close on December 20, MicroStrategy's stock price has risen 477%, ranking second among all US tech companies with a market cap over $50 billion, only behind AppLovin. Previously, the company's stock price had risen 346% in 2023.
On Monday, MicroStrategy stated in a filing that it had acquired 5,262 bitcoins for approximately $561 million, at an average price of $106,662 per bitcoin, over the past week. This brings the company's total bitcoin holdings to 444,262 bitcoins.
▌Aave considers integrating Chainlink SVR service
According to a proposal in the Aave governance forum, Aave is considering integrating a new Chainlink oracle - the Smartcontract Value Retrieval (SVR), aimed at redistributing the profits from front-running transactions to DeFi users.
Chainlink's Smartcontract Value Retrieval (SVR) is an oracle service specifically designed to capture profits from Maximum Extractable Value (MEV), which Aave estimates can capture around 40% of the MEV profits, and redistribute them to the Aave DAO to benefit users.
Market
As of the time of writing, according to Coingecko data:
BTC last traded at $94,380.70, with a daily change of -0.6%;
ETH last traded at $3,399.99, with a daily change of +3.9%;
BNB last traded at $689.08, with a daily change of +6.3%;
SOL last traded at $188.93, with a daily change of +5.3%;
DOGE last traded at $0.3224, with a daily change of +3.6%;
XRP last traded at $2.25, with a daily change of +2.5%.
Policy
▌Crypto-friendly Senator Bernie Moreno appointed to Senate Banking Committee
Senator-elect Bernie Moreno (R-Ohio), who has a pro-crypto stance, has been appointed to the Senate Banking Committee. The Senate Banking Committee could be key to launching crypto-related legislation in 2025, as it has jurisdiction over two key agencies: the Securities and Exchange Commission and the Commodity Futures Trading Commission. Other pro-crypto lawmakers, including Senator Cynthia Lummis (R-Wyo), have also been assigned to remain on the committee.
The full Senate is expected to confirm these appointments at the start of the next Congress. According to the statement, Moreno has also been appointed to the Senate Commerce Committee, Senate Budget Committee, and Senate Homeland Security and Governmental Affairs Committee.
▌IRS claims crypto staking should be taxed in a lawsuit
The Internal Revenue Service (IRS) has stated in a lawsuit that staking cryptocurrencies should incur a tax liability immediately upon completion.
The IRS has rejected a lawsuit filed by crypto investor Joshua Jarrett in the U.S. District Court for the Middle District of Tennessee. The lawsuit involved the tax treatment of staking, which is a process of using existing tokens and computing power to verify cryptocurrency transactions to generate new tokens. The IRS, in its December 20 response, denied that staking creates new property, and argued that the taxpayer (Jarrett) should be taxed on the value of the staking rewards tokens when received.
▌Grayscale files 8-K form for Grayscale Horizen Trust (ZEN) with the US SEC
According to market news, Grayscale has filed an 8-K form for the Grayscale Horizen Trust (ZEN) with the U.S. Securities and Exchange Commission.
Blockchain Applications
▌MoonPay in talks to acquire crypto payment platform Helio for $150 million
According to Fox Business News reporter Eleanor Terrett, crypto payment service provider MoonPay is in talks to acquire Helio for around $150 million, which would be MoonPay's largest acquisition to date.
Helio is an alternative to Coinbase Commerce, providing a self-serve crypto payment platform that allows content creators and e-commerce merchants to receive payments in cryptocurrencies. It currently offers "white-label solutions" including the transaction infrastructure for Solana Pay and DEX Screener.
▌Crypto.com launches sports prediction market in the US
Crypto.com has announced the launch of a sports event prediction market in the US, allowing US customers to bet on sports events using various cryptocurrencies, starting with the Super Bowl. If the prediction is correct, payment can be received within one business day after settlement.
Company spokesperson Matt David stated that the product will leverage Crypto.com's brand recognition among US sports fans to serve the growing number of crypto traders who want to bet on real-world event outcomes.
Cryptocurrencies
▌Robinhood CEO: Company has discussed holding Bitcoin reserves internally
Robinhood CEO Vladimir Tenev, in an appearance on the Anthony Pompliano podcast, stated that the company has discussed the idea of holding Bitcoin internally, but does not have plans to maintain a BTC reserve. He said: "We haven't ruled it out. So far, we haven't done it, we're not in the investment management business."
The CEO further stated that while Robinhood has not followed the footsteps of companies like MicroStrategy and Tesla in adding Bitcoin to its balance sheet, the company's stock price "has been highly correlated with Bitcoin even without us putting it on our balance sheet." Robinhood stock (ticker: HOOD) is up 202% this year, while Bitcoin's year-to-date return is 110%.
▌Analysis: Previous bull markets saw at least three 20% pullbacks, current correction has not reached that level
The Block CEO Larry Cermak, in The Scoop podcast, pointed out that previous crypto bull markets have seen at least three 20% pullbacks, saying: "Even the recent pullback hasn't reached 20%. In historical bull markets, this typically happens one or two times, sometimes even three times. It can clear out the over-leveraged positions in the market and set the stage for the next leg up."
Larry Cermak added: "Clearing out the over-leverage is beneficial. Of course, bull markets tend to end in this fashion as well."
▌Santiment: Whales and sharks buy the dip when retail panics and sells, triggering market rebounds
Crypto market research firm Santiment posted on the X platform stating that the crypto market has seen further pullback this week, triggering panic selling from retail investors. Particularly for Bitcoin and Ethereum, they have seen large panic selling from new traders who entered the market in the past 2-3 months and have not experienced medium-sized corrections before. They feel panicked in the unfamiliar foreign market environment. Historically, when retail sells out of panic and emotion, whales and sharks typically seize the opportunity to accumulate more at lower resistance, triggering price rebounds, which may not happen immediately, but the market conditions are moving in the right direction.
▌Virtuals Protocol ecosystem tokens rally, with GAME up 69.5% in 24 hours
The market shows that Virtuals Protocol ecosystem tokens are rallying, with:
AIXBT currently priced at $0.3324, up 21.5% in 24 hours;
GAME currently priced at $0.2601, up 69.5% in 24 hours;
LUNA currently priced at $0.1128, up 32.3% in 24 hours;
The market is highly volatile, please manage risks accordingly.
▌Today's Fear & Greed Index rises to 73, still in the Greed zone
Today's Fear & Greed Index has risen to 73, still in the Greed zone. Note: The Fear Index range is 0-100, comprising indicators like Volatility (25%), Market Momentum (25%), Social Media Sentiment (15%), Market Surveys (15%), Bitcoin Dominance (10%), and Google Trends (10%).
Important Economic Dynamics
▌The yield on the 10-year US Treasury bond rose to 4.597%
The yield on the 10-year US Treasury bond rose to 4.597%, the highest level since May 30.
▌The Federal Reserve will seek public comment on adjustments to bank stress tests
The Federal Reserve said on Monday that Wall Street banks will have the opportunity to comment on a series of adjustments to the Federal Reserve's annual bank stress tests. The Federal Reserve said it will seek public comment on the models used to determine banks' assumed losses and revenues under stress, and the reform proposals also include averaging the test results over two years to reduce the annual volatility in capital requirements caused by the stress tests. The Federal Reserve said in a press release: "These proposed adjustments will not have a material impact on overall capital requirements." The Federal Reserve has analyzed the current stress tests and decided to make adjustments to improve resilience. The regulators plan to launch a public comment process on potential adjustments to the stress tests in early 2025.
Jinse Encyclopedia
▌What is Ripple Labs' RLUSD stablecoin?
RLUSD is a stablecoin developed by Ripple Labs, the organization behind the XRP cryptocurrency. RLUSD, or Ripple Labs USD, is intended to provide a stable digital currency for trading and transactions. As a stablecoin pegged to the US dollar, 1 RLUSD is equivalent to 1 US dollar. Each RLUSD is maintained at a 1:1 peg. These collateral assets are either US dollar deposits or cash equivalents.
Disclaimer: Jinse Finance, as a blockchain information platform, the articles published are for information reference only and do not constitute actual investment advice. Please everyone establish the correct investment concept and must improve risk awareness.
