As concerns over the energy consumption of digital assets rises, and regulators paying increased attention to the sector, May proved to be a tumultuous month for market prices. Despite seeing widespread pullbacks across the digital asset sector, there were various examples of forward progress over this time – including capital raises, unique implementations of DeFi, and more.
With increased scrutiny being placed on the energy demands of BTC mining by countries like Iran, others have focused their efforts on holding digital asset exchanges accountable for their actions. This demand for accountability was on display this month as Canadian Regulators targeted Poloniex for failing to register with the OSC.
Although May 2021 finished as one of the worst overall months since Bitcoin launched, this did not stop service providers from raising massive amounts of capital over this time. Whether offering custodial services, tokenization capabilities, or acting as a trading platform, it is clear that investors continue to believe in a bright future for digital assets.
An Energy Crisis?
Bitcoin Energy Consumption Compared to Gold in Report by Galaxy Digital
Bitcoin energy consumption is the talk of the town. While many have lambasted the practice of BTC mining, Galaxy Digital decided to take a closer look at the industry, and how it compares to those of gold and traditional banking. Read More
“Subjective views on the Bitcoin network’s importance vary, but Bitcoin’s properties do not. Anyone can use Bitcoin. Anyone can hold bitcoins for themselves. And Bitcoin transactions can provide probabilistically final settlement in an hour, 24 hours a day, 365 days per year.
These features can offer financial freedom to people around the world without the luxury of stable and accessible financial infrastructure. The network can benefit the energy sector by creating perfect use cases for intermittent and excess energy. And the network will only scale further if network adoption warrants it.” – Galaxy Digital
The ‘Bitcoin Mining Council' Formed in Bid to Promote Energy Transparency
In an effort to curb negative sentiment surrounding the energy consumption of BTC mining, various high-profile individuals decided to form a new council tasked with changing this narrative. The council itself is headlined by Elon Musk, Michael Saylor, Peter Wall, and various leading mining operations. Read More
“…miners have agreed to form the Bitcoin Mining Council to promote energy usage transparency & accelerate sustainability initiatives worldwide.” – Michael Saylor
How Can Exchanges Capitalize on Dogecoin Mania to Propel Altcoins to New Heights?
Despite its origins, Dogecoin has done the unimaginable and become a leading digital asset. With this new-found popularity, many investors have begun to search for the next alt-coin which may mimic its growth. This however has raised issues/questions regarding asset liquidity, and how exchanges intend on supporting healthy markets. Don Guo, CEO of Broctagon FinTech Group take a closer looks at the situation. Read More
Robbie Heeger, President & CEO of Endaoment
Philanthropy is alive and well. Endaoment has recognized this, and is hard at work facilitating those that wish to donate digital assets to deserving charities. Read More
Alex Zhao, CEO of Standard Hashrate
With a unique approach, Standard Hashrate Group looks to emulate the success of the Grayscale Bitcoin Trust. It hopes to achieve this through the tokenization of BTC mining. Read More
Around the Web
Tokenization in Europe – Plutoneo
Various niches within the digital asset sector have experienced massive growth – NFTs, DeFi, cryptocurrencies, etc. There is however a growing consensus that digital securities will soon see similar action, as adoption is expected to spike in the coming years. In a joint market analysis by Plutoneo and Tangany, the pair elaborate on why and where this will occur. Read More