Tag: Bitcoin News

In partnership with Tether, Lugano has unveiled a commemorative statue honoring Satoshi Nakamoto, the pseudonymous creator of Bitcoin. The figure in the city’s picturesque Parco Ciani was uncovered during the annual Plan ₿ Forum, an event that attracts the Bitcoin community from around the world.

Satoshi Statue Unveiled in Lugano

At the unveiling, the city’s mayor, Michele Foletti, reaffirmed Lugano’s commitment to becoming a global hub for crypto and blockchain. He said:

“This statue is a tribute to the revolutionary vision of Satoshi Nakamoto and the transformative power of Bitcoin. Lugano is proud to honor the legacy of a figure who has changed the financial landscape forever.”

Footage posted by WatcherGuru, a media outlet, reveals the statue’s unveiling at the event. The figure depicts a glowy man sitting cross-legged, clad in a hood, intensely focused on a laptop while backing the waters of Lake Lugano.

The statue, designed by Valentina Picozzi, plays with perception, erasing from the eyes as the observer’s gaze shifts. This mirrors Nakamoto’s voluntary retreat from the public eye after inventing Bitcoin.

Reflecting Nakamoto’s pseudonymity, the statue symbolizes the shared identity of the Bitcoin community rather than a single individual. The inscription on the figure, “We are all Satoshi,” serves as a reminder that Bitcoin’s ownership and legacy belong to all.

Crypto Community Reacts

The recent unveiling of the Satoshi statue in Lugano, Switzerland, has garnered enthusiasm from the crypto community. An X user reacting to the update said, “It’s more than just a statue, it’s a symbol. Putting up a statue of Satoshi Nakamoto is a nod to the entire idea of decentralization, freedom, and financial innovation.”

“Lugano honoring Satoshi Nakamoto with a statue? This is more than just a tribute—it’s a bold statement embracing the future of decentralized finance. While some governments are still resisting, Switzerland’s already immortalizing the person (or people) who changed the game. Crypto isn’t just a trend—it’s becoming history!” another X user stated.

Lugano Keeps Supporting Crypto

Lugano has been actively promoting Bitcoin and blockchain technology through its Plan ₿ initiative, which aims to make the city a hub for blockchain technology. The city has partnered with Stablecoin firm Tether to create a 100M+ Swiss Franc investment pool for crypto startups and to promote the relocation of existing businesses. 

The city’s ongoing Plan ₿ Forum event brought together technologists and entrepreneurs to discuss Bitcoin adoption and financial freedom. The event already featured prominent crypto figures as speakers, including Nick Szabo and Adam Back, co-founder of Blockstream — a blockchain technology company.

Meanwhile, the Lugano-based statue is not the first one in honor of the pseudonymous blockchain developer. Budapest, Hungary, is home to the world’s first Satoshi statue, unveiled by local crypto enthusiasts.

A new filing by the National Center for Public Policy Research (NCPPR) over the Bitcoin investment strategy has raised dust between Microsoft’s leadership board and its shareholders, requiring both parties to vote for or against the proposal in December 2024.

NCPPR, a self-acclaimed conservative think tank in the U.S., recommended that Microsoft consider investing at least 1% of its total assets in Bitcoin.

More than that, the NCPPR claims that Bitcoin is an “excellent, if not the best, hedge against inflation,” thereby urging shareholders to support the most popular digital currency.

Microsoft Love-Hate For Bitcoin

The tech giant has taken an adamant position against the proposal, stressing that such an assessment was unnecessary. This highlighted that since the company already has “strong and appropriate processes to manage and diversify” its investment, adding Bitcoin to its corporate balance sheet is not “necessary.”

Although the tech company has yet to add Bitcoin to its asset holding, Microsoft has integrated Bitcoin and blockchain technology into its ecosystem in other ways. For example, Microsoft is one of the first tech firms to accept Bitcoin payments for its digital product.

The recent proposal comes when institutional investors are massively taking an interest in cryptocurrency. Asset manager BlackRock, for instance, recently added 12,272 BTC worth $742 million to its BTC holding, bringing its total holding to a total of 369,822 BTC, approximately $23.2 billion.

In addition to BlackRock, which holds 5.7% as a stakeholder with Microsoft, other institutional investors like Fidelity and Microsoft’s former CEO, Steve Ballmer, will vote on the proposal in December.

Who Will Win?

Results from the vote to a large extent, will determine how other institutional investors and possibly tech firms will come closer or farther from cryptocurrency.

It is currently uncertain whether Microsoft shareholders will vote to add Bitcoin to 1% of the company’s total corporate assets or side with the Microsoft leadership board to exclude the digital asset.

In a Monday press release, Northern Data, a German-based technology and high-performance computing (HPC) solutions provider, revealed its intention to offload its mining rigs from its Bitcoin mining unit, Peak Mining, shifting entirely to artificial intelligence (AI).

The firm’s potential sale of Peak Mining will transform it into a dedicated AI solutions company, boasting Europe’s largest generative AI cloud platform and cutting-edge data centers.

Northern Data Divests Bitcoin Mining

Northern Data intends to redirect funds from its Bitcoin mining unit sale toward AI growth initiatives, including software development, managed services expansion, Data Center upgrades, and AI-focused GPU procurement.

Northern Data’s Q3 2024 results showed strong AI solutions growth for the third quarter in a row. The company will now accelerate AI innovation, customer support, and sustainable infrastructure development.

Concerning the company’s new move, Aroosh Thillainathan, founder and CEO of Northern Data Group, stated:

“Mining is a foundational part of Northern Data’s heritage and growth story. We remain supporters of blockchain technology and continue to believe in its potential. This commitment means identifying the right steward for this valuable business is of absolute importance, as we solidify our focus on powering AI innovation through best-in-class infrastructure and carbon-neutral energy systems.”

Northern Data’s Group COO, Rosanne Kincaid-Smith, also emphasized the company’s commitment to its goal of spearheading the AI revolution, providing seamless access to intelligent and sustainable solutions, and delivering exceptional services and tools to customers.

Bitcoin Mining Firms Branch Out into New Markets

Northern Data is not alone in its strategic shift, as several Bitcoin mining firms are now exploring new revenue streams. 

Last month, Bitcoin mining firm Cathedra announced plans to discontinue mining operations and focus on acquiring bitcoin (BTC) through market purchases.

The company’s shift from bitcoin mining is driven by strategic and operational considerations. Specifically, the company is trying to recover from the 2024 Bitcoin halving event, which reduced mining block rewards. In addition, Cathedra stated that its core objective – acquiring Bitcoin for investors – was not being met, prompting this adjustment.

Recently, Bitcoin’s network hashrate surged to 769.8 EH/s, indicating enhanced security but also signaling increased costs in mining operations that may drive smaller firms to consolidate or explore alternative revenue streams. This new development will potentially prompt other firms to join Northern Data and Cathedra in exploring alternative business strategies.

In a significant milestone, data on BitInfoCharts revealed that Bitcoin’s network hashrate has surged to an unprecedented 769.8 exahashes per second (EH/s), surpassing its previous peak and establishing a new benchmark.

Bitcoin Hashrate Surge Boosts Network Security

Bitcoin hashrate measures the total computational power of all miners on the network used to secure the Bitcoin network, validate transactions, and mine new bitcoins. The metric is calculated in exahashes per second (EH/s), with higher rates indicating greater network security.

Bitcoin’s latest hashrate record of 769.8 EH/s, a 13% growth since April’s halving event, indicates the network’s increased security. A higher hashrate makes it more difficult for attackers to breach the network, ensuring the integrity of the blockchain. 

In addition, a higher hashrate increases Bitcoin’s network resilience against 51% attacks, making it more challenging for malicious actors to launch such assaults, thus, reinforcing its decentralized architecture.

Hashrate Hike Spells Doom for Crypto’s Little Guys

As Bitcoin’s hashrate records new highs, the network’s security improves, but miners face increasing competition and dwindling profits. This development could trigger a shakeout of inefficient and smaller mining firms, leading to consolidation and migration to low-cost energy centers.

Following the Bitcoin halving in April, which slashed block rewards to 3.125 BTC, mining costs surged, making it increasingly challenging for miners.

In August, bitcoin miners’ revenue plummeted by 10.5% to $827.56 million, a significant drop from July’s $927.35 million. 

Bitcoin mining totals also fell in August, with 13,843 BTC mined, down 5.9% from July’s 14,725 BTC, despite strong showings from mining firms Foundry USA and Antpool. The former dominated with 1,240 blocks, capturing 30% of the market, while the latter followed closely with 1,074 blocks, accounting for 25.04%.

Last month, Bitcoin Miner Cathedra, announced its plans to temporarily halt its Bitcoin mining operations, diversify into data center development and operation, and redirect its realized profits to enhance its Bitcoin portfolio through targeted acquisitions and investments.

According to the firm, its decision to pause mining operations is a strategic response to the 2024 Bitcoin halving’s reward reduction, which diminished bitcoin acquisitions for investors, prompting exploration of alternative methods to boost shareholder bitcoin per share.

Following in the footsteps of U.S. bitcoin mining firm Marathon Digital, Cathedra plans to expand its holdings through regular buys.

San Francisco-based crypto exchange Kraken announced the launch of its Wrapped Bitcoin token, kBTC. The exchange said the ERC-20 token is backed 1:1 by Bitcoin and is currently available on both OP Mainnet (formerly Optimism) and the Ethereum network.

Why Launch kBTC?

Kraken noted that its latest innovation, kBTC, represents a significant leap forward in the global adoption of crypto. By wrapping Bitcoin in an ERC-20 token, Kraken wants to unlock new possibilities for the world’s most valuable digital asset, leveraging its inherent strengths of security, scarcity, and store-of-value capabilities.

The official announcement further stated that kBTC extends Bitcoin’s utility into the decentralized finance (DeFi) ecosystem and beyond, enabling seamless interactions with DApps on OP Mainnet and Ethereum networks. The exchange believes the wrapped token will bridge the gap between Bitcoin and DeFi. 

Kraken Assures kBTC Users

Kraken assured users that the kBTC can be trusted since it is backed 1:1 by an equivalent amount of BTC held securely in Kraken’s custody. This ensures that each token’s value is directly tied to the value of Bitcoin, providing a reliable and stable store of value.

The exchange also assured its users that they can inspect kBTC reserve on-chain at any time. To further boost security confidence, it claimed that the token is backed by Bitcoin held at Kraken Financial, a Wyoming-chartered Special Purpose Depository Institution (SPDI).

Kraken also stated that the kBTC ERC-20 smart contract has undergone evaluation by Trail of Bits, an external security auditing firm. It claimed the audit examined the codebase and client architecture, identifying and addressing potential security vulnerabilities. 

The San Fransisco exchange also boasted 13+ years of industry custody experience and full-reserve practices. At launch, various DeFi platforms already support kBTC including deBridge, Definitive, Gauntlet, ParaSwap, and Yearn Finance. Kraken hopes to expand the token usage by deploying in other networks.

Wrapped BTC on the Rise

The wrapped bitcoin market is becoming increasingly crowded, with established players vying for dominance. Kraken’s launch of kBTC follows Coinbase’s introduction of cbBTC, its own wrapped bitcoin on Ethereum and Base.

The two exchanges now compete with Bitgo, the founders of  Wrapped Bitcoin (WBTC), the largest tokenized BTC product with a market cap of $10 billion. As the wrapped bitcoin market continues to grow, crypto users are keen to see how these players will innovate to expand crypto adoption.

The Italian government plans to significantly increase the capital gain tax on Bitcoin (BTC) from 26% to 42% to help the country to boost its public services funding.  

The increase in taxation is part of a broader plan in Italy’s 2025 budget proposal, currently awaiting parliamentary approval.  

The country’s Deputy Minister of Economy, Maurizio Leo, revealed the proposed changes at a press briefing on October 16. Leo noted that the withholding tax on Bitcoin capital gains should rise to 42% according to the budget bill. 

Italy Plans to Eliminate the Minimum Revenue for DST

Leo further noted that the bill would eliminate the minimum revenue threshold for Italy’s web tax, also known as the Digital Services Tax (DST), implemented as part of the nation’s budget in 2019.

According to the Deputy Minister, the DST currently applies to businesses that earned a minimum of €750 million ($817 million) in the previous calendar year and at least €5.5 million ($5.9 million) in revenue from providing digital services in Italy.

“On capital gains from Bitcoin, the withholding tax increases from 26% to 42%. On web tax revenues, we are working to eliminate the ceiling of 750 million euros and 5 million in Italy. Therefore, we are eliminating the thresholds,” Leo said.

While the tax mainly targets large-scale investors, its overall effect on Italy’s growing crypto market has yet to be determined. If approved, the proposal may position the European nation among those with the highest capital gains tax rates on digital assets, possibly preventing and discouraging some investors.

Countries Increasing Crypto Tax Rates

Meanwhile, countries like Luxembourg, Denmark, Finland, Netherlands, Germany, and Ireland demand the highest tax rates on crypto. 

On the other hand, there are numerous crypto friendly countries that have more relaxed policies for individuals who decide to move there, such as El Salvador, Malaysia, Georgia, Puerto Rico, and Belarus.

A political action committee backing Donald Trump’s presidential campaign has raised approximately $7.5 million in crypto donations, according to a Federal Election Commission (FEC) filing.

The contribution occurred briefly from July to September 2024, covering major crypto such as Bitcoin (BTC), Ethereum (ETH), XRP, and the United States  dollar-pegged stablecoins Tether and USDC. 

With the 2024 election only three weeks away and the race nearly tied based on polling averages, Trump relies on significant financial support from the crypto community. The influx of donations has elevated the former president as a key cryptocurrency supporter in the upcoming election, a shift from his earlier position while in office. 

In May, Trump made history as the first major presidential candidate to receive donations in crypto assets.  

50% of Corporate Funds Come From the Crypto Community

According to a recent Public Citizen report, almost 50% of all corporate funds flowing into the election have originated from the crypto sector. 

Among the contributors, notable companies like Coinbase, Ripple, and the venture capital firm Andreessen Horowitz were recognized for their donations, highlighting the significant backing from the crypto sector for the Republican candidate.   

David Bailey, CEO of media group BTC Inc., donated more than $498,000 in bitcoin.

The report noted that at least 18 donors contributed over $5.5 million in BTC, and another 7 donated about $1.5 million in ETH.   

Harris Accepts Crypto Donations

Similarly, Kamala Harris, Trump’s rival, has welcomed crypto donations as well. Ripple Chairman Chris Larsen made a major contribution, donating $1 million worth of XRP to Harris’ campaign.  

The vice president also unveiled a new crypto plan and major financial opportunities for black men.  

Harris noted that 20% of black Americans have owned crypto assets, and she promised regulatory protections to help safeguard their participation in the evolving financial landscape.

Trump Launched WLFI Token

The recent development came after the Republican candidate launched World Liberty Financial’s WLFI token public sale. The initiative sold over 220 million WLFI tokens in the first twenty minutes.

Meanwhile, with 20 days left before the upcoming election, Trump is leading Harris by 14 percentage points, according to American financial exchange and prediction market Kalshi Inc.

On Tuesday, Canada-based Bitcoin mining and crypto infrastructure firm Blockstream raised $210 million from the just-concluded convertible notes offering of Blockstream’s Second Mining Note (BMN2).

According to Bloomberg, the miner plans to use funds from BMN2 to finance the official release of the company’s layer-2 technologies, expand its bitcoin mining operations, and increase its bitcoin stash by purchasing more BTC from the open market.

BMN2 Yields $210 Million

As revealed in Blockstream’s release, it designed BMN2 to mirror its first issue of convertible notes, BMN1, which successfully yielded about 32% return over BTC.

The offering of BMN2 began on October 5, with U.S.-based venture capital firm Fulgur Ventures leading the ten-day funding round. During this period, the notes were made available to only eligible non-U.S. investors and priced at $21.23 per Terahash per second (TH/s).

Non-professional investors interested in BMN2 must have a minimum investment of $115,000, while institutional investors can accrue the notes with at least $10,000.

Blockstream Plans BTC Shopping and Layer-2 Tech Rollout

The miner wants to speed up the development and launch of its layer-2 solutions, including the Liquid Network, which can roll out many tokenized assets, and Core Lightning, built to process faster Bitcoin transactions.

Layer-2 refers to a technology or solution that functions on top of an existing blockchain protocol, enhancing its efficiency and scalability.

Led by Dr. Adam Back, a veteran Bitcoin developer, Blockstream does not want to rely only on hodling its mined tokens. It intends to shop for more BTC amid the recovering crypto market.

“This latest fundraise represents a defining moment for Blockstream as we embark on a critical new phase of growth to further bridge the gap between Bitcoin and the wider world of finance,” Back said.

BTC Miners Boost Holdings with Market Buys

Blockstream’s fundraising is similar to a recent move from the famous U.S.-based Bitcoin mining firm Marathon Digital, which issued about $250 million about $250 million in convertible notes and used proceeds from the offering to purchase 4,144 BTC.

Since adopting a complete Bitcoin hodl strategy, Marathon owns more than 25,000 BTC.

Similarly, Bitcoin miner Cathedra suspended its mining activities. It switched its business model to data center development and planned to invest realized profits in BTC acquisition to continue increasing shareholders’ bitcoin per share.

According to a recent data on Google Trends, global searches for “Bitcoin” reached a 12-month low, scoring just 33 out of 100 on Google’s interest scale by the end of the week of October 12, 2024.

Google Trends is an online tool that tracks Google search data to reveal popular search terms, topics, and trends. It offers a glimpse into public interest and behavior over time and across regions.

The popularity score ranges from 0 to 100, indicating the term’s relative popularity. 100 represents peak popularity, 50 signifies half-peak popularity, and 0 indicates insufficient data.

The Google search score for Bitcoin stands at 33 out of 100, reflecting limited search queries and interest in the cryptocurrency, contrasting with its recent price growth.

Bitcoin’s price has increased significantly over the last 12 months, rising from $26,850 to $64,919, according to data on CoinMarketCap, with the highest interest recorded in March. At press time, Bitcoin was selling at $65,600.

Low Bitcoin Search Volume – A Bearish Signal?

The decline in Bitcoin-related Google searches may signal several trends. It could mean fewer people are searching for Bitcoin, suggesting waning interest or enthusiasm. It could also mean Bitcoin has become mainstream, reducing the need for searches.

Low search volume could also reflect a stable or stagnant Bitcoin price, reducing the need for information. However, low search rates don’t automatically signify a bearish market, it could precede significant price jumps. 

For instance, following the launch of U.S. spot Bitcoin ETFs in late January to early February, search interest plummeted below 20, yet Bitcoin’s price skyrocketed from $41,000 to nearly $71,500.

El Salvador Tops Global Rankings for Bitcoin Google Searches

In the list of regions with the top Bitcoin Google searches, El Salvador tops the list followed by Nigeria and Switzerland. 

El Salvador has been bullish for a while now after the Central American country took a groundbreaking step in 2021 to adopt Bitcoin as its legal tender under President Nayib Bukele’s administration. 

El Salvador has also launched several Bitcoin-focused initiatives, including Bitcoin bonds, geothermal mining operations that have yielded approximately 474 BTC, and a novel citizenship program linked to Bitcoin investments. In August, the National Bitcoin Office (ONBTC) of El Salvador revealed its plans to train and provide Bitcoin certification program to 80,000 public servants.