Crypto trend – Second edition

In the first issue of CRYPTO TREND, we introduced Crypto Currency (CC) and answered several questions about this new market area. There is a lot of news in this market every day. Here are some points to take a look at how new and exciting this market space is:

The world’s largest futures exchange to create a futures contract for Bitcoin

Terry Duffy, president of the Chicago Mercantile Exchange (CME), said, “I think the second week of December was once our [bitcoin futures] sign a contract for the list. You can’t shorten bitcoin today, so there’s only one way to go. You either buy it or sell it to someone else. So you create a two-way market, I think it’s always more efficient. “

CME plans to launch its futures by the end of the year, waiting to review Bitcoin regulations. If successful, it will give investors a convenient way to go “long” or “short” in Bitcoin. Some sellers of stock trading funds have also applied for bitcoin ETFs that track bitcoin futures.

These developments could allow people to invest in the cryptocurrency space without directly owning a CC or using exchange services. Bitcoin futures can make digital presence more profitable by allowing users and intermediaries to protect against foreign exchange risks. This could increase the acceptance of cryptocurrency by traders who want to accept Bitcoin payments but are wary of variable value. Institutional investors are also accustomed to regulated futures trading, which does not face money laundering concerns.

CME’s move shows that bitcoin has become a big deal to ignore since it recently ruled out crypto futures. Bitcoin is about everyone who talks to brokers and trading firms who are suffering in expensive but unusually attractive markets. If stock futures had risen, it would have been almost impossible for any exchange like CME to mature, because scale and liquidity are important in derivative markets.

“You can’t ignore the fact that it’s becoming more and more of a story that won’t go away,” Duffy told CNBC. There are “major companies” that want to get Bitcoin, and “there is a huge demand” from customers, he said. Duffy also thinks that bringing institutional traders to market could make bitcoin less volatile.

The Japanese village will use cryptocurrency to raise capital for municipal revival

The Japanese village of Nishiawakura is exploring the idea of ​​holding an Initial Coin Proposal (ICO) to raise capital for the municipality’s revitalization. This is a very new approach and may require national government support or seek private investment. Several ICOs have serious problems, and many investors are skeptical that a new miracle will be worthwhile, especially if the ICO is another joke or scam. Bitcoin was definitely not a joke.

EXTRA BRIBE OFFER – (ICO)

We did not talk about the ICO in the first issue of Crypto Trend, so let’s mention it now. Unlike a First Open Offer (IPO) in which a company owns a real product or service for sale and wants to buy shares from its companies, it can be caught by anyone who wants to start a new Blockchain project with the intention of creating an ICO. a new sign in the chains. ICOs are unregulated and some are completely treacherous. A legitimate ICO can raise a lot of money to fund a new Blockchain project and network. It is typical for an ICO to generate a high token price near the start and then return to reality. If you know the technology and have a few dollars, it’s relatively easy to catch an ICO because there are so many and there are about 800 tokens in our game today. All of these tokens have a name, they are all cryptocurrencies, and they are called sub-coins, except for very well-known tokens such as Bitcoin, Ethereum, and Litecoin. At the moment, Crypto Trend does not recommend participating in the ICO, because the risks are very high.

As we said in issue 1, this market is currently a “wild west” and we recommend that you be careful. Some investors and early practitioners have made huge gains in this market space; However, there are those who have lost a lot or all of them. Governments are reviewing regulations because they want everyone to know about each transaction to be taxed. They all have huge debts and cash is closed.

So far, the cryptocurrency market has escaped many government and traditional banking financial problems and pitfalls, and Blockchain technology has the potential to solve more problems.

A great feature of Bitcoin is that the creators have selected a finite number of coins that can be produced into 21 million, thus ensuring that this cryptocurrency is never inflated. Governments can print as much money (Fiat currency) as they want and inflate their currencies to the point of death.

Future articles will look at specific recommendations, but make no mistake, your early investment in this sector will only be your most speculative capital, for the money you will lose.

CRYPTO TREND will be your guide when you are ready to invest in this market space.

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