Will Bitcoin give you your pension? According to the vice president of Berkshire Hathaway, if it drops to zero, no

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After a three-year hiatus, we return with our weekly live broadcasts on the cryptocurrency market and virtual assets. Crypto Stream will help you find your way in the maze of information and media jets that accompany cryptocurrency market observers and participants seven days a week. As always, the host of our YouTube channel is Darek Dziduch. Don’t have time to participate in the show and watch the video? Take a look at a summary of the topics covered in the live broadcast:

The American banking giant gave the first bitcoin-backed loan

  • American Investment Bank in late April Goldman Sachs announced that the first cash loan secured by bitcoins belongs to the borrower
  • Initially, Goldman Sachs did not say to whom it gave the loan, only on Tuesday Bloomberg announced that the money was gone. Operator of the largest cryptocurrency exchange in the United States – Listed on Nasdaq since last year Coinbase
  • The amount of the loan itself is not known, but it is known that Coinbase had to allocate almost as collateral. 4500 BTC (4487), worth more than $ 170 million
  • Interestingly, credit collateral has 24/7 protection against exchange rate risk, while Coinbase has stated that it will increase the value of bitcoins if the price of bitcoin falls too low (it is not known what levels are involved).
  • The return of one of the largest representatives of the “bankster world” to provide a loan secured by bitcoin, ie an asset that should be an alternative, is in a sense a leap and at the same time a symbolic moment. existing banking sector
  • on the other hand, it shows that Goldman Sachs has high hopes for financial products in any way related to cryptocurrency and has built confidence in bitcoin.
  • At the end of March, Goldman Sachs conducted over-the-counter transactions with Galaxy Digital Holdings, owned by Michael Novogratz (he also worked for Goldman Sachs for more than a decade).
  • This was the first OTC transaction for cash-based bitcoin options organized by Goldman Sachs.
  • In early March last year, Goldman Sachs reactivated the cryptocurrency trading table after a three-year hiatus due to regulatory concerns.
  • The reactivation of the trading table was due to the growing interest of institutional customers in the cryptocurrency market

Bitcoin to retire?

  • When thinking about saving money for retirement, we consider assets with lower investment risk and lower volatility
  • In many pension fund portfolios, the structure of the portfolio even changes over time, ie as you approach retirement, most of the portfolio is invested in less risky assets (stocks, not bonds).
  • usually in various forums and investment groups they are ridiculed when someone recommends bitcoin as a long-term retirement investment, but that may soon change.
  • last Tuesday Fidelity InvestmentsOne of the world’s largest investment companies, announced that it will soon will introduce bitcoin as a tool for the US 401 (k) retirement plan
  • 401 (k) is a long-term retirement savings plan for U.S. employees that is comparable to our Working Capital Plans.
  • It is loyalty 401 (k) largest operatorso that’s great news – the company supports retirement plans for more than 23,000 companies in the United States.
  • The option to invest in Bitcoin will appear later this year (although it is not known exactly when), but employees of companies that have agreed with it will be able to use it.
  • Till now MicroStrategy Company, The company, which has the most bitcoin in its assets among state-owned companies, said it would allow its employees to add BTC 401 (k).
  • By the way, MicroStrategy also assured yesterday that it will protect the BTC if it falls below $ 21,000.
  • For Fidelity 401 (k), bitcoin will be managed through a separate sub-account, and the value of funds in cryptocurrency will not exceed 20% of all deposits (if this happens, you will not be able to receive more BTC.)
  • Interesting, Cryptocurrencies below 401 (k) first appeared about a year ago, in June 2021.
  • small provider of pension plans, For all of us serves about 400 companies, then announced a partnership with Coinbase as part of the addition of cryptocurrency to the 401 (k) plan.
  • The company has made it possible to invest in bitcoin, ETH and litecoin as part of its retirement plan
  • then the news spread completely and almost no one was interested in it
  • most likely due to the fact that ForUsAll is a company not affiliated with the 401 (k) market, and in addition, the maximum amount of cryptocurrency investment was only 5% of the deposit for 401 (k).
  • Last month, the U.S. Department of Labor warned against including cryptocurrencies in its retirement plans and advocated “extreme caution” when investing in risky assets such as bitcoin.

Traditional bitcoin grill at Berkshire Hathaway general meeting

  • at the largest general meeting of shareholders in the world, as every year, viz. General Meeting of Berkshire HathawayThe issue of cryptocurrencies has emerged
  • and just as we grilled the market in May, Warren Buffett and Charlie Munger traditionally fried bitcoin.
  • Asked about bitcoin, Buffett said he had no idea whether the price of BTC would rise in the future, but he was convinced that bitcoin “does not produce anything
  • admitted that he would not even pay $ 25 for all BTC in circulation because “he did not know what to do with them.”
  • Berkshire Vice President Charlie Munger has been the subject of much criticism:
  • “I try to avoid things that are stupid, bad and make me look bad compared to others – and bitcoin does all three bad things at once.”
  • First, BTC is stupid, because it is likely to fall to zero. This is bad because it shakes the Federal Reserve System … and thirdly, it shows us bad compared to the Chinese communist leader who banned bitcoin in China.
  • Munger also joked about Fr. invest your retirement savings in bitcoinadvises not to do so under any circumstances
  • The first negative comments from both investors about BTC came from Berkshire Hathaway AGM in 2018, when Buffett called popular words about bitcoin “rat poison”. At the time, BTC was valued at around $ 9,500

The digital yuan is gaining momentum

  • The Chinese banned cryptocurrencies because they could not manage them, and until then The digital yuan will control the flow of cash to them (CBDC)
  • The introduction of the digital yuan is moving to the next stage – This time, 130,000 Shenzhen residents will receive a total of 15 million digital yuan (about $ 2.3 million).
  • Lottery funds will be distributed among registered users via WeChat Pay
  • e-CNY will be available in more than 5,000 stores in Shenzhen
  • Interestingly, this is not the first such gift from the Central Bank of China, because a similar action took place in October 2020.
  • E-CNY is currently used by more than 260 million users, and tests have been conducted in several Chinese cities.
  • Starting this year, China will accept e-CNY for tax payments

Is the oil market dying or not?

  • Two weeks ago, I noted that the NFT market has surpassed its heyday and its popularity has plummeted over the past year.
  • One piece of evidence was the launch of Twitter founder Jack Dorsey’s first tweet last March for $ 2.9 million.
  • The owner wanted to sell it for $ 48 million, but the highest bid at the auction was a little less than $ 300.
  • He published a similar article in the Wall Street Journal last week.The death of the oil market“And since September last year, the volume (number) of transactions in the NFT market has decreased by more than 90%, and since November, the number of Ethereum portfolios in the NFT market has decreased by more than 88%. impassable
  • Given the information on the chain collected by Dune Analytics For example, the most popular auction site for NFT, OpenSea, shows that the NFT market never dies and is even better than it seems.
  • Thus, for example, at the end of April, the volume of daily transactions in OpenSea exceeded $ 500 million, thus marking the new ATH (before February 2022, it was shown as $ 460 million).
  • In general, the latest volume increases come from special NFT collections, most recently Bored Ape, Moonbirds and Azuki.

Edward Snowden participated in the creation of the private coin Zcash

  • Last week, Zcash’s official YouTube profile released a short video that introduced the people behind the creation of the Zcash cryptocurrency and explained what was meant by so-called. ZEC groundbreaking ceremony
  • One of the six people who attended the Zcash Rebellion was John Dobbertin, who actually had the pseudonym.
  • It turned out that this one was himself Edward Snowden, A former CIA employee is accused of espionage, has lived in Russia since 2013 and has been granted political asylum.
  • Snowden agreed to reveal his identity and participate in the formation of the ZEC
  • The ceremony itself took place in 2016 and was attended by six people, who together created a cryptographic key that allows them to create new coins (although the hard cover like bitcoin is 21 million units).
  • Each of the six participants in the ceremony has only a part of the key, no one has access to the whole key (or at least this is an assumption)
  • The source of criticism of the Zcash project is the fact that up to 20% of the block award is intended for the creators and the Zcash Foundation.
  • the current block reward is 3,125 ZEC (one new operating block every 75 seconds)

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