The IRS wants Circle, a Boston-based financial technology company enabling trade in various types of cryptocurrencies, to produce account-registration information, account activity records and other materials for customers who had at least $20,000 in transactions any year from 2016 to 2020.

Cryptocurrency has gained prominence and value over the year, but the IRS says tax reporting hasnt kept up.

The IRS issued Circle with a summons, which is part of an ongoing investigation by the Internal Revenue Service to make sure all sorts of cryptocurrency users across the board are reporting and paying up their tax obligations, the government explained in court papers.

The IRS treats cryptocurrency as property and, when its sold at a profit, the tax collection agency will assess a capital-gains tax. If, that is, the IRS knows the transaction occurred.

The IRS treats cryptocurrency as property and, when its sold at a profit, it will assess a capital-gains tax. If, that is, the IRS knows the transaction occurred.

The IRS and the Justice Department note they are not alleging any wrongdoing on Circles part but based on dealings with some people who have Circle accounts, the feds want more information to see who else might be owing tax money.

For example, one unidentified taxpayer amended 2014-2017 returns to show $1.6 million in previously unreported virtual currency sales, the government said. Poloniex was one of the exchanges the taxpayer used.

(Circle sold the Poloniex exchange in late 2019 and customers in America can no longer trade on the exchange, court papers noted.)

Massachusetts Federal District Richard Stearns signed off on the summons Thursday, saying it was narrow enough and supported by a reasonable basis to think some account holders might not be following tax laws.

Were reviewing, and of course expect to work collaboratively with the IRS in responding to the court order, a Circle spokesman told MarketWatch.

The summons sends the clear message to U.S. taxpayers that the IRS is working to ensure that they are fully compliant in their use of virtual currency, IRS Commissioner Chuck Rettig said in a statement. We will enforce the law where we find systemic noncompliance or fraud.

The IRS has filed other court summons seeking information from other exchanges in previous years, said Dale Werts, a partner at Lathrop GPM in Kansas City, Mo., where he advises companies on blockchain and cryptocurrency matters.

But its also coming during tax season, at a time when rising cryptocurrency prices are at the front of mind for many investors. This is their way of reminding you, Hey, you better fill out your tax return properly,' he said.

For Werts, its not that the tax laws on cryptocurrency are new. Since 2014, the IRS has stated its view that capital gains taxation rules apply. Its just a new crowd that has to learn the laws that have been on the books for years, Werts said. Lots of folks, I discovered, believe that cryptocurrency is new and existing laws dont apply. This is just not true.

The summons is another sign of cryptocurrencys growing mainstream appeal, according to David Sacco, practitioner in resident at the University of New Havens Pompea College of Business. The IRS has its eyes on the money in the emerging market and more eyes may ultimately mean more regulation and investor protections, said Sacco, who teaches finance courses.

The IRS revised its tax paperwork this year to give prominent play to one question about cryptocurrency. Near the top of the 1040s first page, it asks, At any time during 2020, did you receive, sell, send, exchange, or otherwise acquire any financial interest in any virtual currency?

When Sacco looked over the revamped 1040, the question struck him as a little creepy but on the other hand, it makes it like any other asset class now.

Two accountants specializing in cryptocurrency and taxes were split when previously talking to MarketWatch on whether to answering yes for merely buying currencies like bitcoin or ether. Answering yes doesnt necessarily mean more taxes, they note.

Either way, a lots happened for cryptocurrency in 2020, and 2021 so far looks to be no different. Bitcoin BTCUSD, +0.62% tripled in value during 2020. Ethereum ETHUSD, +0.94% hit a record value above $2,000 on Friday, and was trading above that on Monday, as Bitcoin traded near $58,000 on Monday.

Between 2013 and 2015, a mere 800 to 900 taxpayers filed returns reporting cryptocurrency, the IRS said. That number increased from 2016 to 2018, but the numbers still fall far short of what would be expected given the number of users, transactions, and value that the exchanges publicize occur on an annual basis, court filings said.

Over the years, the IRS has stepped up enforcement. In the summer of 2019, it sent more than 10,000 letters to people it believed potentially failed to report virtual currency income. The taxpayer who amended returns to report $1.6 million in previously unreported sales was one of the letter recipients, the court filing said.

Read the rest here:
The IRS wants to know all about your Bitcoin holdings --- and this court summons is a reminder - MarketWatch

This weeks price movements for bitcoin, gold, the S&P 500, and this weeks wildcard stock Canopy Growth Corporation, with bonus Airbnb.

Bitcoin (BTC) has mostly been trading sideways, but compared to last week, it has overall been bearish. Last weeks bull run saw BTCs price jump from around $51,500 on March 26 to nearly $60,000 on March 31. However, on April 1, it began channeling between $58,000 and just below $60,000.

On April 3, the price fell to $57,000, which it struggled to overcome the next day before falling back to that level on April 5. Later that day, though, the price bounced back up above $59,000. Persistent selling pressure then took it back down to $56,000 by April 7. Bitcoin is currently trading just below $58,000.

Source: TradingView

Despite this short-term volatility, bitcoin is still in an overall uptrend, according to Fairlead Strategies analyst Katie Stockton.

In our reports, weve highlighted a short- and intermediate-term neutral view for both bitcoin and ethereum (ETH), within the context of their long-term trends, she said. So, if we were a long-term holder wed certainly sit with these coins.

Gold had a rollercoaster ride last week, which ended on an upswing. That trend continued this week.

On April 1, gold continued trading up before rising to $1,730 by the end of the day. It reached nearly $1,735, where it stalled going into the weekend. Gold channeled mostly between $1,730 and $1,720 when markets reopened on April 5.

Meanwhile, April 6 began with buying pressure that largely continued into the afternoon, rising to $1,745. Gold floated down to $1,735 by the end of April 7. But buying pressure early in the day pushed golds price up to $1,755, where it is currently trading.

Source: TradingView

This is the highest gold has been trading for over a month, as the dollar and U.S. yields dropped and the Federal Reserves reaffirmation of its dovish policy stance also lifted its appeal.

Bob Haberkorn, senior market strategist, RJO Futures, said:

Story continues

The dollar and U.S. yields are coming off, and thats the key catalyst right now. A pretty unimpressive jobs number is also helping push gold higher.

Haberkorn further added:

And the fact that were above $1,750, which is a key technical level, shows that gold has some legs to continue higher.

The S&P 500 (SPX) reached a new all-time high last week, rising above the $4,000 threshold for the first time. This pushed on to $4,020 on April 1. On April 5, the price had gapped up even further, pushing past $4,080 by the end of the day.

It seemed to have met resistance at this point, trading at this level for the next two days. However, on April 8, it began trading up again, reaching $4,095, where it is currently trading.

Source: TradingView

One reason the S&P 500 eked out another record closing high was minutes from the Federal Reserves March meeting. The minutes mentioned policymakers commitment to accommodative monetary policy to support a full economic recovery while showing concerns about the job markets recovery.

Mike Loewengart, managing director of investment strategy at E-Trade Financial, wrote:

With the tick up in jobless claims this week, were back up to the elevated levels we saw to kick off the year.

This weeks wildcard stock is Canopy Growth Corporation. Over the past few months, the stock of the Canadian cannabis company had traded largely like a cryptocurrency.

After seeing increased momentum towards the end of last year, it exploded in the new year, reaching an all-time high by mid-February. However, like the crypto markets, it tumbled down towards the end of the month.

Although unassociated with cryptocurrencies, the marijuana industry is also a relative newcomer to financial markets.

Source: TradingView

Although the stock has struggled in the past month, some good news is on the horizon. The company announced this week that it would be acquiring Toronto-based Supreme Cannabis Co. Inc. in a stock and cash deal valued at about $345.6 million. As marijuana becomes increasingly legalized across States in America, this consolidation could CGC meet that exploding demand.

This weeks bonus stock in Airbnb (ABNB). ABNB had its IPO on Dec. 10, 2020. Despite occurring in the midst of a global pandemic, the house-sharing platform popular with tourists has fared well coming into the new year.

The stock saw healthy buying pressure in the first month of the year. This continued to its peak, once again in mid-February, of $219.88. As a new stock, it has seen a lot of volatility, but its overall bullish trend now appears to be trading sideways, as another spike in mid-March failed to clear the previous all-time high. It is currently trading around $182.

Source: TradingView

Continue reading here:
Gold, Stocks, and Bitcoin: Weekly Overview April 8 - Yahoo Finance

The Ballooning Valuations In Private Equity Deals

Private equity is getting increasingly expensive. As a result, the pricing of an average deal today, by the EV/EBITDA metric, is expected to be at a premium relative to the last decade.

The EV/EBIDTA ratio breaks down into two parts:

Overall, EV/EBITDA shows the relationship between a companys total value and its earnings, and is often seen as the price-to-earnings ratios sophisticated sibling, used to view companies the way acquirers would.

However, the EV component is not necessarily intuitive, so lets expand a little on it:

To acquire a company completely, one must pay out all stakeholders in order to reach the final cost of the acquisition. This includes the stock (equity holders) and the debt holders, subsequently, adding back the market value debt to market cap does just this.

Subtracting cash can also be seen as arriving at net debt. That is, the remaining debt after using the cash and equivalents on a companys balance sheet to pay it down. In other words, if cash exceeds debt, enterprise value shrinks, and the cost of acquiring the company becomes cheaper. Whereas if debt exceeds cash, the acquirer would have to pay off more debt holders, thus making the acquisition more expensive.

First, the public markets are often used as a starting point to derive valuations for deals. Generally, companies with similar business models and operations should be assigned similar valuation multiples. For instance, Lowes and Home Depot, or alternatively, Pepsi and Coca-Cola. Therefore, a company under consideration in private equity often has peers trading publicly.

Furthermore, the average multiple assigned to businesses in the stock market fluctuates through peaks and troughs. Today, theyre trading at a premium to historic averages, a result of a rallying prices and elevated investor risk appetite. Naturally, these public valuations spills over into the private equity space.

Second, asset markets move based on relativity and opportunity cost. A low interest rate environment pairing with the trillions in money printing is placing debt securities at unattractive levels. Hence, low rates of return on debt is resulting in money moving elsewhere.

For private equity though, debt is considered fuel. And in this industry firms use high levels of leverage to acquire companies. For this reason, low rates and cheap debt are a private equity managers dream.

But whats true for one private equity firm can be true for all. Because access to cheap debt means more money chasing deals, and this heightened level of competition is reflecting in the higher multiples and expensive deals today.

The rest is here:
Why the Market is Thinking About Bitcoin Differently - Visual Capitalist

Celebrity investor Kevin O'Leary says he will only buy bitcoin mined sustainably in countries that use clean energy and not "blood coin" mined in China.

"I see over the next year or two, two kinds of coin," he told CNBC's "Capital Connection" on Monday. "Blood coin from China, (and) clean coin mined sustainably in countries that use hydroelectricity, not coal."

Bitcoin mining is extremely energy intensive, and around 65% of the world's bitcoin was mined in China as of April 2020, according to Statista.

"I'm going on the side of clean coin," said O'Leary.

O'Leary did not elaborate on where he acquires "clean" bitcoin, but some countries use hydroelectric power more widely than others, and there are entities that claim to mine cryptocurrencies in a sustainable way.

The chairman of O'Shares ETFs once called bitcoin "garbage," but changed his mind more recently and said he would allocate 3% of his personal portfolio to the cryptocurrency, according to a CoinDesk report.

O'Leary said he was "inundated" by institutions asking if he was buying "blood coin from China" after he said he wanted to invest in bitcoin.

I'm not buying coin unless I know where it was mined, when it was mined, the provenance of it. Not in China. No blood coin for me.

Kevin O'Leary

Chairman of OShares ETFs

Increasingly, large institutions impose restrictions on assets they will hold in order to comply with environmental and corporate governance rules. Concerns include human rights and carbon emissions. O'Leary said whether products are made in China is also a consideration.

"All these issues have now come to the fore on bitcoin," he said. "Institutions will not buy coin mined in China, coin mined using coal to burn for electricity, coin mined in countries with sanctions on them."

Institutions are saying that they don't want to endorse China because of issues with human rights, he added.

O'Leary said personally, he's working to ensure every coin he owns is compliant.

"I'm not buying coin unless I know where it was mined, when it was mined, the provenance of it," he said. "Not in China. No blood coin for me."

View original post here:
Kevin OLeary says he will only buy bitcoin mined with clean energy, and none mined in China - CNBC

LOS ANGELES--(BUSINESS WIRE)--BIGtoken Inc., the first privacy focused, opt-in data marketplace where people own and monetize their data, will host a webinar on Thursday, April 15, 2021 to discuss the future of bitcoin.

With the price of bitcoin up 90% year-to-date, driven in large part by institutional investors, are we closer to the beginning or the end of this cycle? Bitcoin has potential to hit a $400K price peak this year, how much longer until it becomes a risk-off choice for investors? And as it matures, will bitcoin continue to have the dramatic plunges in price that have plagued it in the past? What else is happening across the crypto landscape, from NFT to CBDCs, that will impact the global interest in bitcoin?

Join BIGtoken CEO Lou Kerner, Bloomberg Intelligence Senior Commodity Strategist Mike McGlone, and Swan Bitcoin CEO Cory Klippsten on April 15 for a discussion on the future of bitcoin.

Who: Lou Kerner, Mike McGlone, Cory Klippsten

When: April 15, 2021 1:00 p.m. ET / 10:00 a.m. PT

Where: Sign up for the webinar via Zoom HERE!

Mike McGlone

Mike McGlone is a senior commodity strategist for Bloomberg Intelligence, a unique research platform that provides context on industries, companies, and government policy. Mr. McGlone specializes in the broad investable commodity and crypto markets, authoring the monthly Bloomberg Commodity Outlook and Bloomberg Crypto Outlook.

Mr. McGlone joined Bloomberg in 2016 with over 25 years of futures and commodity trading and investing experience, beginning at the Chicago Board of Trade. Prior to joining Bloomberg, he was a head of U.S. research at ETF Securities. Prior to ETF Securities, Mr. McGlone headed the commodity business at S&P Indices. His previous roles included head of futures research at ABN Amro and VP research, analyst, trader, sales at Aubrey G. Lanston / IBJ Futures.

Mr. McGlone has an MBA from DePaul University in Chicago and bachelors of science and arts degrees from Illinois State University. He is a CFA Charter holder and has earned a Financial Risk Manager (FRM) designation.

Cory Klippsten

Cory Klippsten is the founder and CEO of Swan Bitcoin. He also serves as an advisor to Riot Blockchain (NASDAQ: RIOT), Unchained Capital, and Bitcoin Venture Fund (TVP), and is a partner in Bitcoiner Ventures. As an advisor he has supported more than $250M of fundraising since 2016, and as an angel has funded 20+ early stage startups.

Before startups, Klippsten worked for Google, McKinsey, Microsoft and Morgan Stanley, and earned an MBA in Finance and Entrepreneurship from the University of Chicago. He grew up in San Francisco and Seattle, split 15 years between NYC and Chicago, and now lives in LA with his wife and daughters.

About BIGtoken

BIGtoken believes that data privacy is a human right. BIGtoken is the first privacy focused, opt-in data marketplace where people own and monetize their data. Through a transparent platform and consumer reward system, BIG offers users choice, transparency, and compensation for their anonymized data. Participating consumers earn rewards and advertisers and media companies get access to insights from compliant first-party data for marketing and media activation. For more information on BIGtoken, visit bigtoken.com.

Cautionary Statement Regarding Forward-Looking Information:

This news release contains "forward-looking statements'' made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements relate to future, not past, events and may often be identified by words such as "expect," "anticipate," "intend," "plan," "believe," "seek" or "will." Forward-looking statements by their nature address matters that are, to different degrees, uncertain. Specific risks and uncertainties that could cause our actual results to differ materially from those expressed in our forward-looking statements include risks inherent in our business, and our need for future capital. Actual results may differ materially from the results anticipated in these forward-looking statements. Additional information on potential factors that could affect our results and other risks and uncertainties are detailed from time to time in BIGtokens periodic reports filed with the Securities and Exchange Commission (SEC). We do not assume any obligation to update any forward-looking statements.

See the rest here:
BIGtoken to Host Webinar on Thursday, April 15, 2021 to Discuss Bitcoin 2021 and Beyond - Business Wire

Bloomberg

(Bloomberg) -- In an era of prosperity for investment banks, Credit Suisse Group AG is careening from one crisis to another and then another -- this time, with a $4.7 billion writedown tied to billionaire investor Bill Hwangs trading blowout.The staggering hit -- the largest yet linked to market-shaking losses run up by Hwangs Archegos Capital Management -- prompted sweeping management changes at the Swiss bank Tuesday and cast fresh doubt on its checkered record of managing risks. It caps a catalog of costly errors at Credit Suisse -- most recently the collapse of Greensill Capital -- in what was supposed to be the start of steadier era under Chief Executive Officer Thomas Gottstein.At a moment when investment banks are feasting on market activity and dealmaking, Credit Suisse is under mounting pressure to persuade shareholders and clients it can put its house in order and remain a vital, independent force in global banking. After the firm announced plans to cut its dividend and suspend share buybacks, analysts at JPMorgan Chase & Co. cut their recommendation for the stock, which already was breaking with peers in tumbling this year.The ongoing negative newsflow could have an impact on the remainder of Credit Suisses businesses, analysts Kian Abouhossein and Amit Ranjan wrote in a note, lowering their rating to neutral from overweight. Besides the impact from various management changes and regulatory oversight, they wrote, the bank might have to pursue a strategy of capital preservation that could restrain growth.David Herro at Harris Associates, a top shareholder of Credit Suisse, said the banks losses should serve as a wakeup call to expedite cultural change as Chairman Urs Rohner prepares to hand over to Lloyds Banking Group Plc CEO Antonio Horta-Osorio at the end of the month. Rohner has offered to forgo his compensation for 2020 of 1.5 million francs.Another long-standing backer of the bank, Qatars former prime minister Sheikh Hamad bin Jassim Al Thani, stands to suffer a personal hit as well after vehicles linked to him invested about $200 million in funds Credit Suisse ran with Greensill, according to people familiar with the matter. As former head of the Qatar Investment Authority, Sheik Hamad had made Qatar one of the Swiss banks largest shareholders.Acknowledging the need for deep change, Credit Suisse on Tuesday replaced its investment bank head and chief risk officer, along with a handful of other executives. Gottstein, who took over in February last year after a spying scandal toppled his predecessor, told the Neue Zuercher Zeitung that the bank has no sacred cows with regard to strategy.Serious lessons will be learned, he pledged in a statement. The Archegos loss is unacceptable.While the Swiss bank wasnt the only firm that helped Hwangs family office lever up large positions in a relatively small slate of stocks, rivals including Goldman Sachs Group Inc. and Deutsche Bank AG managed to unwind their exposures quickly with minimal damage.Credit Suisse has now offloaded the bulk of its Archegos exposure, helped by a $2.3 billion sale this week. But the impact of that latest disposal and any remaining positions could affect second-quarter results, according to a person with knowledge of the matter.The dual hits from Archegos and Greensill have put the bank on track for its second straight quarterly loss, at a time when investment banks around the world are still focused on the windfall unleashed by the market turmoil of the coronavirus pandemic. The five largest U.S. firms boosted trading revenue by more than a third last year to the highest in at least a decade.JPMorgans Wall Street unit generated its most fourth-quarter revenue and profit ever. Deutsche Bank is among firms that have said their investment banks are off to a strong start this year. And Jefferies Financial Group Inc. already reported an 81% jump in revenue from capital markets in the fiscal first quarter that ended Feb. 28.In an update on its underlying businesses Tuesday, Credit Suisse noted that issues such as Archegos were negating the very strong performance that had otherwise been achieved by our investment banking businesses as well as higher profits in wealth and asset management units.The firm is still set to give an update on the effect of last months collapse of Greensill Capital, which helped manage $10 billion of investment funds the Swiss bank offered to asset management clients. Credit Suisse is leaning toward letting clients take the hit of expected losses in those funds, a person familiar with the discussions said.Among the executives to leave over the missteps are investment bank head Brian Chin and risk chief Lara Warner. Gottstein previously removed Eric Varvel from his role running asset management after Greensills downfall. In a memo to staff Monday, Credit Suisse also announced at least five other departures, including equities trading chief Paul Galietto.Christian Meissner, the former Bank of America Corp. executive who joined Credit Suisse in October, will take over from Chin next month. Joachim Oechslin will become risk chief in the interim, a role he held until 2019 when Warner took over. Thomas Grotzer was named interim head of compliance.The bank cut its dividend proposal for 2020 to 10 centimes a share, from about 29 centimes, and suspended its share buyback until its common equity Tier 1 ratio, a key measure of capital strength, returns to the targeted level. Credit Suisse said it expects a CET1 ratio of at least 12% in the first quarter. It had aimed for at least 12.5% in the first half of this year. Top executives bonuses for last year have been scrapped.Credit Suisse Payout Pause Wont Halt Archegos Fallout: ReactThe Zurich-based bank was one of several global investment banks to facilitate the leveraged bets of Archegos, and had tried to reach some sort of standstill to figure out how to unwind positions without sparking panic, people familiar with the matter have said. The strategy failed as rivals rushed to cut their losses.Almost two weeks in, it is still not clear how the bank managed to take a 4.4 billion-franc charge for one client in the prime brokerage business, which we estimate generates less than 1 billion francs per annum in revenues, JPMorgans analysts wrote.Among big banks that dealt with Archegos, only Nomura Holdings Inc. has signaled the potential to also take a multibillion-dollar hit, saying it could lose as much as $2 billion.Credit Suisses latest trades came more than a week after several rivals dumped their shares. The bank hit the market with block trades tied to ViacomCBS Inc., Vipshop Holdings Ltd. and Farfetch Ltd., a person with knowledge of the matter said. The stocks traded substantially below where they were last month before Hwangs family office imploded.In addition to the Archegos writedown, Credit Suisse may need to set aside 2 billion francs over the coming years for litigation tied to Greensill, according to the JPMorgan analysts.Startup lender Greensill Capital had borrowed from the bank and helped manage a group of debt funds that were marketed as among its safest products. Now the funds are frozen and being wound down after Lex Greensills firm collapsed amid doubts about its lending practices.Credit Suisse said it will provide an update on the funds in the next few days.(Adds shareholder comment in fifth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.2021 Bloomberg L.P.

Excerpt from:
Ripple Granted Access to SEC Documents on Bitcoin, Ether in Ongoing XRP Fight - Yahoo Finance

Experts representing numerous aspects of the cryptocurrency Bitcoin are scheduled to participate in the Bitcoin Conference April 16-17, hosted by the Mays Innovation Research Center, a center of excellence within Mays Business School at Texas A&M University.

The conference, which will be held via Zoom but with an in-person option on April 17, will address topics such as Bitcoins economic foundations, underlying technology, business and finance, and the law/policy/regulatory landscape.

Bitcoin is one of the most radical innovations of our time, so it is appropriate that the Center convene a healthy debate on Bitcoin from all angles, said Center Director Korok Ray.

Bitcoin, created in 2009 by an unknown person, is the first cryptocurrency. The digital currency is bought and sold anonymously, usually through exchanges such as Coinbase, without the need for banks or other intermediaries. The supply is limited to 21 million coins.

Bitcoin is now reaching widespread adoption and attention from institutional investors and corporations in addition to retail investors, Ray said. This attention is at least partly in response to the current low interest rate policies of the Federal Reserve.

There is considerable debate among investment professionals regarding the fundamental value of Bitcoin. Some market participants expect Bitcoins value to continue to rise, reflecting an increase in competition for a limited number of coins. Others are more conservative in their predictions, pointing to significant regulatory risk and to the fact that, contrary to other financial assets, acquiring Bitcoin does not confer their holder a claim on a commodity, on a precious metal, or on the cashflow of any other asset.

Ray said conference participants will better understand what Bitcoin is and how it works, as well as its possibilities, limitations, and future prospects.

The conference idea came from conversations between Mays Business School faculty, including Ray, and Grant Weston, Texas A&M Bitcoin Club president.

I founded the Texas A&M Bitcoin Club with my roommate Matt Lohstroh to create a community around Bitcoin, said Weston, a senior busines honors major. Students need to know about the opportunities that are out there. The Bitcoin space is still so small. Every new participant makes a difference.

Featured speakers will include Ray Dalio of Bridgewater Associates; Tim Draper of Draper Fisher Jurvetson; Michael Saylor of MicroStrategy; Bill Miller of Miller Value Partners; Pete Briger of Fortress Investment Group; Glenn Hutchins of Silver Lake Partners; Rob Kaplan of the Federal Reserve Bank of Dallas; Dawn Stump of the Commodities Futures Trading Commission; Nobel Laureate Eric Maskin of Harvard; and more.

For the full schedule and to register, go to the Bitcoin Conference registration page.

See the rest here:
Texas A&M Mays Innovation Research Center To Host Bitcoin Conference April 16-17 - Texas A&M University Today

Anthony Scaramucci, known Bitcoin proponent heading global investment firm SkyBridge Capital, believes that the future of the digital asset in investment portfolios is inevitable.

What Happened: In a recent interview with CNBC, Scaramucci called it "the apex predator in the space. I tell my clients whether you like it or not, the world is moving into digitization.

SkyBridge Capitals Bitcoin Fund LP holds over $600 million worth of Bitcoin at present, and two weeks ago, the firm applied for the SEC approval of a Bitcoin ETF.

However, by Scaramuccis own admission, SkyBridges focus on Bitcoin may have more to do with its clients preferences rather than his own.

I predicted Ethereum has good fundamentals and will grow, but Im in an institutionalist sort of business. I think like an institutionalist, and Ive got to get my clients thinking about cryptocurrency and digital assets. So, as a first step, Im focused on Bitcoin and we only have now a Bitcoin fund, he said.

Why It Matters: In recent months, Ethereum has risen in popularity, and price, after its use cases extended beyond DeFi (decentralized finance) into the realm of NFTs (non-fungible tokens).

The second-largest cryptocurrency by market cap has garnered support from high-profile investors, including Mark Cuban, who recently revealed his bullish stance on Ethereum, calling it a hotbed of continuous innovation.

Scaramucci appeared to share this belief too, as he went on to state, "The technology around Ethereum is going to make it a sticky cryptocurrency and a store of value and something people will transact with.

What Else: While he wouldnt recommend a 20% portfolio allocation towards cryptocurrency just yet, Scaramucci thinks that an allocation between one and three percent would be ideal for investors.

When you think about our children... they're going to be very comfortable transacting in Ethereum or Bitcoin, and Ive got to get my clients ready for that, he said.If they have a 1, 2, or 3% position they're going to look at us as fiduciaries and think they were very well served.

Story continues

See more from Benzinga

2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

More here:
Scaramucci: Bitcoin Is The Apex Predator, But Ethereum Will Be The Actual Store Of Value - Yahoo Finance

Rarely does a news cycle go by without some mention of bitcoin's growing popularity, from fans and skeptics alike.

Its prices on trading exchanges tumbled around Thanksgiving last year only to roar back and set an all-time high of $19,857 on November 30: a 177% year-to-date increase that put the S&P 500's 14% rise to shame, as Insider previously reported.

Then, last month, the cryptocurrency hit an all-time high, with prices surging to $60,000. One quirk of the increase meant that two pizzas bought by crypto legend Laszlo Hanyecz would have effectively been worth $613 million.

Bitcoin's volatility is well-publicized and has led many investors, including Warren Buffet, to criticize it and other cryptocurrencies as "risky" and "worthless." Such warnings have not dissuaded more companies from accepting the currency as an official payment option, however.

In February, Elon Musk announced that Tesla would accept bitcoin as a form of payment for all models of its cars in the US. In addition, Twitter's CEO and founder, Jack Dorsey, teamed up with Jay-Z for abitcoin endowment. The pair will invest 500 bitcoins to develop the currency in India and Africa.

Although Tesla stole the headlines, there are also hundreds of other notable companies that accept the cryptocurrency as a valid form of payment, across various industries.

Burger King Venezuela accepts cryptocurrencies as payment. AP

Restaurant Brands International is one of the world's largest fast-food holding companies. It is the parent company of Burger King, Tim Hortons, and Popeyes.

Last year, Burger King Venezuela announced it will begin accepting bitcoin and other cryptocurrencies. It collaborated with Cryptobuyer, a platform that generates conversion of cryptocurrencies to normal currency, Yahoo Finance reported.

Yum Brands, which operates KFC, Pizza Hut, Taco Bell, and The Habit Burger Grill, is also accepting cryptocurrencies.

The corporation permitted bitcoin as a valid payment method at Pizza Hut Venezuela last year. Yum Brands also partnered with CryptoBuyer to initiate the launch of crypto payment methods, according to Nasdaq.

For a short period of time, KFC Canada accepted the cryptocurrency as payment for products such as the Bitcoin Bucket, via a partnership with BitPay, per Yahoo Finance.

PayPal announced in October 2020 that users can buy, sell, and hold selective cryptocurrencies through their Cash or Cash Plus accounts starting in 2021. AP

After provisionally pausing from accepting the cryptocurrency as a valid payment method due to its volatility, Xbox is accepting bitcoin payments for Xbox store credits.

Meanwhile, PayPal announced in October 2020 that users can buy, sell, and hold selective cryptocurrencies through their Cash or Cash Plus accounts, starting in 2021, Yahoo Finance reports.

Users will also have the ability to learn and track crypto within their PayPal app.

Although Amazon does not directly permit bitcoin as a valid payment method, you can buy Amazon vouchers and gift cards through Bitrefill. This is a crypto-only company that authorizes users to top up subscription-based services, and then spend them on Amazon.

Coca-Cola Amatil announced their partnership with an online assets platform, Centrapay, to permit bitcoin as an official payment method last year. AP

Coca-Cola Amatil is one of the world's biggest bottlers and distributors of non-alcoholic and ready-to-drink beverages in the Asia Pacific region.

Last year, the company announced in a press release their partnership with an online assets platform, Centrapay. This enabled it to accept bitcoin as an official payment method. There are about 2,000 vending machines in Australia and New Zealand that now accept cryptocurrency, according to a CoinDesk report.

Elsewhere, Starbucks began testing bitcoin payments last year through the app, Bakkt, Nasdaq reported.

This week, the digital asset marketplace app launched their digital-wallet application, in which users can convert bitcoin into USD to reload their Starbucks Card.

Continue reading here:
More companies are accepting bitcoin, including PayPal and Xbox - Business Insider

Allianzs chief economic advisor Mohamed El-Erian says that bitcoin is not too big to fail and that governments may intervene. While he believes that cryptocurrency will grow in popularity, the economist says it takes away a lot from governments, adding that this asset can only establish itself if governments allow it to.

Mohamed El-Erian said in an interview with CNN Tuesday that bitcoin is not too big to fail and its failure could disrupt the global monetary system due to the liquidity paradigm.

El-Erian, an Egyptian-American businessman, is the president of Queens College, Cambridge University. He is also the chief economic adviser at Allianz, the corporate parent of PIMCO, one of the largest investment managers, where he was CEO and co-chief investment officer.

He explained that there are three types of crypto investors. The first type consists of those who use bitcoin to mitigate risk, viewing the cryptocurrency as the least bad asset. The economist explained that as the Fed has kept interest rates low, the price of government bonds has become artificially high, making them less attractive for investors looking to mitigate risk and diversify their portfolios. Usually, investors will turn to gold but since the metal is also experiencing difficulties, investors are turning to bitcoin despite its volatility, he noted.

The second type comprises speculators and the third type of investors are those who truly believe that there will be a debasement of currencies. The economist added that investors are assuming that crypto assets will grow in popularity in the private sector and governments will not interfere. While El-Erian also believes that demand for cryptocurrencies will rise, he is unsure about the government not intervening. The Allianz chief economic advisor cautioned:

I tend to tell people: be really careful. This is an asset that wants to establish itself, but it can only establish itself if governments allow it to. And it takes away a lot from governments.

As for whether bitcoin is too big to fail, he said: From a narrow perspective, its not too big to fail. From a broader perspective, that would be another challenge for the liquidity paradigm.

He elaborated that there is plenty of liquidity sloshing around the system, but excessive and irresponsible risk-taking is still being encouraged in certain areas. El-Erian noted that last week, the implosion of Archegos Capital caused several stocks to tumble and led to billions of dollars in losses for investment banks. Moreover, the financial market chaos in January surrounding Gamestop and other heavily shorted meme stocks drove up their prices and squeezed short sellers.

Do you think bitcoin is too big to fail? Let us know in the comments section below.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

More:
Economist Says Bitcoin Isn't Too Big to Fail Warns BTC Can Only Establish Itself if Governments Allow It Regulation - Bitcoin News