Connect with us

Crypto

Biden Shoots Down Measure Limiting SEC Crypto Authority

Published

on

Biden Shoots Down Measure Limiting SEC Crypto Authority

President Joe Biden has vetoed a resolution limiting the Securities and Exchange Commission’s (SEC) authority over the cryptocurrency sector.

Biden announced the veto Friday (May 31) evening, saying that the legislation would have constrained regulators’ ability to put up guidelines for the crypto industry.

“Appropriate guardrails that protect consumers and investors are necessary to harness the potential benefits and opportunities of crypto-asset innovation,” Biden said.

“My administration is eager to work with the Congress to ensure a comprehensive and balanced regulatory framework for digital assets, building on existing authorities, which will promote the responsible development of digital assets and payment innovation and help reinforce United States leadership in the global financial system.”

The measure would have ended the SEC’s special rules for custodians of crypto assets, a move supported by both the digital asset sector and the banking industry. Congress passed the legislation last month, but the White House had said the president planned to veto it.

Advertisement

The veto follows last month’s passage of the Financial Innovation and Technology for the 21st Century (FIT21) Act by the U.S. House, which establishes a federal framework designed to ensure regulatory certainty for digital assets and provide key protections for consumers.

“The bill, which was first voted to the House floor in 2023, passed the House by a vote of 279 to 136, with 208 Republicans and 71 Democrats voting to approve it,” PYMNTS wrote recently. “Its bipartisan passage shows how far the embattled crypto sector has come, from a regulatory perspective, in America.”

But the adoption didn’t come without controversy. On the morning of the vote, SEC Chair Gary Gensler said the cryptocurrency bill would undermine his agency’s work

The legislation, Gensler stressed, “would create new regulatory gaps and undermine decades of precedent regarding the oversight of investment contracts, putting investors and capital markets at immeasurable risk.”

And the Biden administration has also opposed the legislation, saying that it “lacks sufficient protections for consumers and investors who engage in certain digital asset transactions,” at least in its current form.

Advertisement

“Still, the bill passed, providing a glimmer of hope to an industry that has long bemoaned the lack of regulatory clarity around its operations in the U.S,” PYMNTS wrote.


Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Crypto

Is MicroStrategy Incorporated (MSTR) the Best Cryptocurrency Stock to Buy Now?

Published

on

Is MicroStrategy Incorporated (MSTR) the Best Cryptocurrency Stock to Buy Now?

We recently published a list of 13 Best Cryptocurrency Stocks to Buy Now. In this article, we are going to take a look at where MicroStrategy Incorporated (NASDAQ:MSTR) stands against other best cryptocurrency stocks to buy now.

Cryptocurrency stocks are on the move in the aftermath of US President Donald Trump announcing plans for a “Crypto Strategic Reserve.” The possibility of a cryptocurrency reserve is a significant step toward Trump’s goal of making the United States the global center of cryptocurrency.

The United States already possesses several strategic stockpiles, such as medical and military assets. In times of need, the government draws from these unique reserves. To keep the Federal Reserve afloat, the government would probably be actively purchasing and disposing of cryptocurrencies as part of the strategic reserve push.

“This move signals a shift toward active participation in the crypto economy by the U.S. government,” said Federico Brokate, head of U.S. business at 21Shares, a digital assets investment management firm. “It has the potential to accelerate institutional adoption, provide greater regulatory clarity, and strengthen the U.S.’s leadership in digital asset innovation.”

Additionally, some Bitcoin holders think that a cryptocurrency reserve may act as an inflation hedge. They contend that at times of global economic crisis, the value of Bitcoin may surpass that of the dollar, citing the currency’s declining worth over time. However, cryptocurrencies have shown to be highly volatile during recent geopolitical events, like Russia’s invasion of Ukraine. Additionally, some experts believe that the US government purchasing Bitcoin could endanger the dollar’s standing internationally.

READ ALSO: 12 Best NYSE Penny Stocks to Buy According to Analysts and 10 Best Semiconductor Penny Stocks To Invest In Right Now.

Advertisement

Critics contend that cryptocurrency is a speculative investment and has historically been volatile, while proponents claim that the proceeds may be used to pay down the country’s massive debt. Approximately 200,000 Bitcoin tokens are thought to be held in the United States due to illegal seizures. The total value of that exceeds $17 billion. With a reserve, these holdings might be expanded to include three lesser-known cryptocurrencies, XRP, Solana, and Cardano, in addition to Ethereum.

Amid the “crypto strategic reserve” push, cryptocurrency stocks’ popularity is growing as investors explore ways of diversifying their investment portfolio beyond traditional asset classes. The stocks stand out partly because they offer crypto exposure without requiring one to own the underlying volatile crypto asset. Additionally, the stocks provide both growth potential and innovation. Many experts regard them as being safer than direct cryptocurrency investments.

Continue Reading

Crypto

1 Unstoppable Cryptocurrency to Buy Before It Soars 1,660%, According to Cathie Wood's ARK Invest | The Motley Fool

Published

on

1 Unstoppable Cryptocurrency to Buy Before It Soars 1,660%, According to Cathie Wood's ARK Invest | The Motley Fool

Cathie Wood is one of the most vocal bulls on Wall Street when it comes to the potential of the technology sector. She founded ARK Investment Management, which operates several exchange-traded funds (ETFs) focused on investing exclusively in innovative technologies like cryptocurrency, artificial intelligence (AI), robotics, and more.

In fact, ARK was one of the first firms to win approval from the Securities and Exchange Commission to launch a Bitcoin (BTC 0.22%) ETF last year. Wood and her team are extremely bullish on the world’s largest cryptocurrency, predicting it could soar 1,660% to $1.48 million per coin by the year 2030.

The crypto currently trades at around $84,000, which is 21% below its record high. If ARK’s prediction is right, the recent dip could be a great buying opportunity.

Image source: Getty Images.

Bitcoin has crushed every other asset class over the last decade

Bitcoin has a market capitalization of $1.6 trillion, which accounts for more than half of the total value of every cryptocurrency in circulation across the industry. If it were a company, it would be the seventh largest in the entire world.

Advertisement

It’s a speculative asset because it doesn’t generate any revenue or earnings, nor does it have a legitimate use case in the real world. Therefore, its value is very hard to pin down.

Nevertheless, it has a series of unique qualities that have led investors to believe it’s a good store of value, like a digital version of gold.

It’s completely decentralized, which means it can’t be controlled by any person, company, or government. It also has a capped supply of 21 million coins, which won’t be fully mined until around the year 2140, so it offers the perception of scarcity. Lastly, as I touched on earlier, it can be purchased through dozens of ETFs from different issuers, allowing financial advisors and institutional investors to own it in a safe, regulated manner.

Those attributes have paved the way for Bitcoin to march to new record highs recently, despite most other cryptocurrencies failing to break above their best-ever levels from 2021 (or in some cases, even earlier).

In fact, had you bought Bitcoin 10 years ago and held on, you would be sitting on a 29,100% return — enough to have turned an investment of $10,000 into $2.9 million! It has obliterated every other asset class over the last decade, from stocks to real estate to gold:

Advertisement

Bitcoin Price Chart

Bitcoin price data by YCharts.

ARK points to eight catalysts that could drive further upside

In a report issued in 2023, ARK highlighted eight potential factors that could drive Bitcoin higher over the long term, but not all of them make sense, in my opinion. For example, it thinks Bitcoin could become the currency of choice in emerging markets, but even after El Salvador became the first country to adopt it as legal tender in 2021, it appears most consumers still aren’t willing to use it (partly because of its volatility).

Moreover, ARK believes individuals with a high net worth will increasingly own Bitcoin because it’s harder for governments to seize than cash and other traditional assets. However, we know the U.S. government alone has successfully confiscated over 200,000 bitcoins, which are worth $17 billion at the current price. So, this particular theory doesn’t really hold water.

With that said, three of ARK’s eight catalysts are somewhat plausible:

  • Nation-state treasury: Governments all over the world hold trillions of dollars worth of physical gold, and ARK thinks they will eventually hold some of their reserves in Bitcoin. President Donald Trump recently signed an executive order to establish a Bitcoin reserve for the U.S., and while it technically still needs the support of Congress, the wheels are clearly turning on this idea.
  • Digital gold: ARK predicts between 20% and 50% of the money investors normally park in gold could be allocated to Bitcoin instead, because it’s digital and more portable than the precious metal.
  • Institutional investment: Wood’s firm believes institutions will eventually allocate a portion of their assets to Bitcoin over time, thanks to its consistent returns. ETFs could accelerate this trend, because they eliminate the risks associated with storing cryptocurrency in digital wallets, which are susceptible to hacks.

Setting my opinions aside for a moment, ARK believes Bitcoin could soar as high as $1.48 million per coin by 2030 based on the eight catalysts it outlined. That would give investors a potential return of 1,660% from where it currently trades.

Wood even went a step further at the Bitcoin Investor Day in March 2024. She said it could surpass ARK’s bullish forecast and reach $3.8 million instead, based on the idea that ETFs could lay the groundwork for institutional investors to allocate 5% of their assets to the cryptocurrency. If she’s right, that implies a potential upside of 4,420%.

Advertisement

Is Ark’s $1.48 million Bitcoin target realistic?

If Bitcoin rose to a price of $1.48 million, it would have a fully diluted market capitalization of $31 trillion. In other words, it would be almost 10 times more valuable than Apple, which is currently the world’s most valuable company with a $3.2 trillion market cap. It would also be worth more than the output of the entire U.S. economy, which was around $29.7 trillion last year.

Does that sound realistic for an asset that produces no revenue, no earnings, and has struggled to generate traction as a currency? For me, the answer is no.

Despite Wood’s enthusiasm for the potential of ETFs, they have attracted less than $100 billion in inflows so far, which is a mere fraction of Bitcoin’s current market cap. Granted, these securities have been available for only one year, but I don’t see a catalyst on the horizon that would cause inflows to accelerate from here — they seem to be slowing down instead.

A more realistic price target might be $942,800 per coin. At that level, Bitcoin’s market cap would be $19.8 trillion, which matches the total value of all above-ground gold reserves right now.

I’m not suggesting this will happen, because I believe gold has more intrinsic value than a digital token thanks to its physical state and because it has been accepted as a store of value globally for thousands of years.

Advertisement

However, if Bitcoin does become universally accepted as the digital alternative to gold, that price target still presents investors with an incredible potential return of 1,020% from here.

Continue Reading

Crypto

Bitcoin Price Breaking Out Of This Pattern — Can BTC Reclaim $90,000?

Published

on

Bitcoin Price Breaking Out Of This Pattern — Can BTC Reclaim ,000?

The Bitcoin price has shown good signs of recovery over the past few days, briefly returning above the $85,000 level to kickstart the weekend. While BTC’s price has often floundered towards the end of the week in 2025, the premier cryptocurrency would be hoping to have a different journey over the next few days.

Is $90,000 The Next Stop For Bitcoin Price? 

Fortunately, the future seems bright for the world’s largest cryptocurrency after crypto analyst Ali Martinez took to the X platform to share an exciting bullish prognosis for the Bitcoin price. According to the trader, the price of BTC could be on its way to the psychological $90,000 level.

The rationale behind this positive prediction is the appearance of an ascending triangle pattern on the 1-hour timeframe of the Bitcoin chart. The ascending triangle is a pattern in technical price analysis featuring an inverse right-angled triangle with a horizontal upper boundary (connecting a series of lower highs) and a diagonal rising lower trendline (connecting the swing lows).

An ascending triangle formation is usually considered a bullish chart pattern, indicating the continuation of the original upward trend. However, an ascending triangle formation can also serve as a trend reversal pattern and a bearish signal — when the asset’s price breaks down the lower trendline and in the opposite direction of the initial uptrend.

Advertisement

As observed in the highlighted chart, the Bitcoin price seems to be breaking out of the triangle pattern through the horizontal upper trendline around $84,000.

In his post, Martinez noted that a convincing and sustained close above this level the premier cryptocurrency could make a play for the psychological $90,000 level. The price target for an ascending triangle pattern is determined by adding the vertical distance between the horizontal and rising trendlines to the breakout point. 

A Bitcoin price leap to $90,000 would represent an almost 7% move from the current price point. As of this writing, the flagship cryptocurrency is valued at around $84,400, reflecting an almost 5% price surge in the past 24 hours.

Advertisement

Can Rising Whale Activity Push BTC Price Up?

If the Bitcoin price is going to reclaim the $90,000 level, it’s going to need all the buying pressure it can get from investors. Interestingly, the largest class of BTC investors (whales) seem to already be in the party, continuously loading their bags over the past few days.

Bitcoin price

In a separate post on X, Martinez disclosed that whales that own between 1,000 and 10,000 coins have added to their holdings in recent days. Data from Santiment shows this class of whales has acquired 20,000 BTC in the last 24 hours.

This high buying activity from Bitcoin whales could offer BTC’s price the necessary bullish impetus to move to $90,000.

Advertisement
Continue Reading

Trending