Latest news with #Decrypt
Yahoo
a day ago
- Business
- Yahoo
Ripple breaks silence on shocking controversy
Ripple breaks silence on shocking controversy originally appeared on TheStreet. Time and again, Ripple has faced questions over allegedly controlling the XRP Ledger, and the crypto payments company's chief technology officer, David Schwartz, has tried clearing the air. In an interview with Decrypt on Aug. 6, Schwartz addressed the controversy again. Though he admitted there is a lingering misconception that Ripple controls the XRP Ledger, he said the Ledger's code isn't secretly controlled by Ripple even if the financial institution is a major contributor to the ecosystem. Though the XRP Ledger is "obviously very important" to Ripple, it has no interest in running the network, he added. However, it is crucial to understand why the questions around Ripple's centralized control over the XRP Ledger arise. Schwartz is behind both the payments firm and the ledger. Notably, the XRP Ledger founders have gifted 80 billion XRP to Ripple, out of which the firm has locked 55 billion XRP into a series of escrows using the same ledger. As of October 2024, 38 billion XRP remained in escrow. Besides, XRP Ledger has a very low number of validators running the network as compared to other blockchain networks like Bitcoin and Ethereum. However, Schwartz said that Ripple never censored any transaction. It isn't the first time that such concerns around Ripple's control over XRP have been raised. Earlier in May, Schwartz wrote a detailed comment on X in which he drew the distinction between Ripple and XRP. However, Ripple co-founder Chris Larsen recently moving XRP worth millions of dollars sparked fresh scrutiny. There is, of course, the legal battle around the financial status of XRP that has been going on since 2020. Ripple breaks silence on shocking controversy first appeared on TheStreet on Aug 7, 2025 This story was originally reported by TheStreet on Aug 7, 2025, where it first appeared. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
a day ago
- Business
- Yahoo
Trump's Tariffs Land as Crypto Faces Fresh Trade Shock, Mining Concerns
U.S. President Donald Trump's latest tariff salvo is spurring concerns over how global trade tensions could rattle crypto markets, as the measures took effect on more than 90 countries past midnight Thursday. Minutes before the tariffs were set to go live, Trump took to Truth Social to tout the policy, claiming the duties would redirect 'billions of dollars' into the U.S. economy from countries that he said have 'taken advantage of the United States for many years, laughing all the way.' The sweeping duties, framed as "reciprocal" tariffs, are aimed at countries the U.S. accuses of maintaining unfair trade advantages. While the crypto sector isn't directly targeted, analysts say the move could ripple through markets by influencing monetary policy, investor behavior, and infrastructure costs. Min Jung, senior analyst at quantitative trading firm Presto, said most investors no longer expect a significant disruption from tariff headlines alone. "It seems the market has become more immune to tariff-related headlines compared to when the first round of tariffs was introduced," Jung told Decrypt. "Unless there is a significant new escalation, most expect the crypto market to remain resilient." Investors are closely watching the "broader impact of the tariffs," with particular attention to how these "might influence key economic data" the Federal Reserve tracks as they assess rate cuts. While global markets initially leaned risk-off and pushed Bitcoin and Ethereum to sink over the past week, the implementation of the tariffs has reduced some of that uncertainty. "This has become the new normal, and we expect volatility to gradually decrease as markets adjust," Jay Jo, senior analyst at Tiger Research, told Decrypt. Over time, "tariff tensions will disrupt trade flows and economic stability," Jo said, adding that prolonged trade friction could push more people toward using crypto as 'alternative payment methods and stores of value.' Mining matters The new measures have already caused "short-term volatility" but could "boost interest in Bitcoin as a non-sovereign asset," Vincent Liu, chief investment officer at Kronos Research, told Decrypt. Still, the tariffs may place "continued strain on blockchain ecosystems," with the broader impact hinging on how traditional markets and the U.S. dollar respond in the days ahead, Liu said. The mining sector faced similar stress earlier this year when Trump first threatened sweeping tariff hikes. U.S.-based firms hurried to import ASIC machines before potential price hikes, chartering cargo flights and paying premiums to meet deadlines. Coinbase Shares Hit 7-Month Low as Bitcoin Miners Tumble Amid Trump Trade War Some of those pressures are already being felt in crypto's physical infrastructure. "At this stage, no monumental shift in the overall crypto market is expected as a direct result of the tariff-related developments," Jung said. "That said, in the Bitcoin mining ecosystem, rising hardware costs and logistical hurdles could accelerate shifts in mining locations, supply chains, and capital expenditure strategies." Liu echoed this concern, warning that if tariff tensions persist, it could deepen the strain on miners, slowing development and concentrating power among 'players with stronger supply chains.'
Yahoo
3 days ago
- Business
- Yahoo
Bitcoin Recovery at Risk Amid Macro Headwinds
Bitcoin's slow strut over the weekend has partially undone last week's losses, but analysts remain cautious. While the top crypto is up 1.5% from Saturday's low of $112,692, its recovery may be short-lived due to mounting headwinds, and a sharp reversal is possible, according to experts Decrypt spoke to on Monday. The first major headwind is an overexposed US equity market. Nomura data shows that Commodity Trading Advisor (CTA) positions are at 110% long equity exposure—a level not seen in four years. This has driven "market momentum," as Han Qin, CEO of tokenized investment platform Jarsy, told Decrypt, but he adds that this also makes the market "more vulnerable to sharp reversals." A broad equity pullback triggered by CTA deleveraging could cause risk assets, including Bitcoin, to face short-term pressure. This pressure from traditional markets is coupled with sustained selling from within the crypto space itself. Sean Dawson, head of research at on-chain options platform Derive, toldDecrypt that options traders are bracing for a pullback, targeting $100,000 to $80,000 puts. These traders are expecting a price reversal of somewhere between 10% and 30% over the next month. The outlook is made even more sensitive by recent macroeconomic data. The downward revisions of the Nonfarm Payrolls for May and June by 258,000 have put the market on edge. A Period of "Chopsolidation" Amidst these bearish signals, not everyone anticipates a dramatic crash. Maarten Regterschot, a CryptoQuant analyst, told Decrypt that he doesn't expect Bitcoin to break below $112,000. Instead, he anticipates a period of "chopsolidation" following the recent short-term holder selling spree, suggesting a period of sideways trading is more likely than a full-blown price collapse. While some analysts are hinting at a more aggressive Fed pivot, that potential catalyst is still months away. "Fed pivot is coming," said Fundstrat Capital CIO Tom Lee in a tweet, acknowledging the severity of the downward revisions to jobs data. This sentiment is echoed by Jamie Cox, managing partner at Harris Financial Group, who told Fortune that there "might be a 50-basis-point" rate cut. The CME's FedWatch Tool shows an 81.7% chance of a 25 basis point rate cut in September, Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
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Why Ethereum Retail Investors Remain 'Sidelined'—Even as Institutions Buy Billions
Ethereum's strong performance in the second quarter is a testament to rising institutional demand, according to analysts. But futures data shows a divergence as retail investors appear to be on the sidelines. The primary drivers of this divide are a lack of capital, unequal access to information, and a difference in mindset between the two cohorts, according to experts who spoke to Decrypt on Tuesday. At the time of writing, Ethereum is overcoming macro headwinds, undoing last week's losses with a 7.75% jump from Sunday's low, according to CoinGecko. ETH is currently changing hands for $3,661.11 after having gained 3% in the past day. The total net assets held within U.S. spot Ethereum exchange traded funds, or ETFs, reached a record high of $21.52 billion on July 31. Experts have said it's a clear sign of institutional appetite. "Institutional clients turn to regulated digital asset platforms to hedge macro risk," Emma Shi, Head of HashKey OTC, told Decrypt. The top two cryptos serve as 'alternative stores of value and potential hedges" and are increasingly being considered in this context. This trend is a result of the activity of corporate treasuries like Bitminer (BMNR), which emerged as the world's largest holder of Ethereum, currently possessing a staggering 833,000 ETH, worth $3 billion. Tom Lee's BitMine Builds $3 Billion Ethereum Stash, Now Third Largest Public Crypto Treasury "We have separated ourselves among crypto treasury peers by both the velocity of raising crypto NAV per share and by the high liquidity of our stock," BitMine's Chairman Tom Lee said in a statement yesterday. Lookonchain data provides an even more granular view of recent Ethereum buying, showing 14 fresh wallets have amassed 856,554 ETH since July 9. Three of these wallets scooped 63,837 ETH, worth $236 million, through over-the-counter (OTC) desks at FalconX and Galaxy Digital. Retail and Institutional Divergence Contrasting this robust institutional demand is data from crypto intelligence platform Kiyotaka that indicates a more hesitant approach from retail investors. The long/short ratio held by ETH futures traders has been on a downtrend since April. It suggests a pattern of underallocation and a general "sidelined" posture, the crypto analytics platform noted on X. Large investors 'benefit from scale' and have access to 'sophisticated DeFi strategies,' which are often 'out of reach or inefficient for smaller holders,' Naman, Co-Founder & CEO of NodeOps, told Decrypt, highlighting the aforementioned divergence. Echoing Naman's sentiment, Shi at HashKey outlined that the difference in 'mindset' is what sets retail and institutions apart. While retail participants have a 'defensive' mindset and focus on 'recovering capital before considering new investments,' large players treat dips as a 'discount' and view them as buying opportunities. Unlike retail traders who are generally characterized by their short-term holding windows, sophisticated holders think long-term, Shi said. Digital asset treasuries accumulating Ethereum highlights the importance of "robust risk management frameworks" and a focus on "long-term conviction in Ethereum's ecosystem," she added. Retail traders are also hampered by lack of low interest rates, fewer arbitrage opportunities, and the kind of tradeable information common in asset manager circles, Shi said.
Yahoo
3 days ago
- Business
- Yahoo
Why Ethereum Retail Investors Remain 'Sidelined'—Even as Institutions Buy Billions
Ethereum's strong performance in the second quarter is a testament to rising institutional demand, according to analysts. But futures data shows a divergence as retail investors appear to be on the sidelines. The primary drivers of this divide are a lack of capital, unequal access to information, and a difference in mindset between the two cohorts, according to experts who spoke to Decrypt on Tuesday. At the time of writing, Ethereum is overcoming macro headwinds, undoing last week's losses with a 7.75% jump from Sunday's low, according to CoinGecko. ETH is currently changing hands for $3,661.11 after having gained 3% in the past day. The total net assets held within U.S. spot Ethereum exchange traded funds, or ETFs, reached a record high of $21.52 billion on July 31. Experts have said it's a clear sign of institutional appetite. "Institutional clients turn to regulated digital asset platforms to hedge macro risk," Emma Shi, Head of HashKey OTC, told Decrypt. The top two cryptos serve as 'alternative stores of value and potential hedges" and are increasingly being considered in this context. This trend is a result of the activity of corporate treasuries like Bitminer (BMNR), which emerged as the world's largest holder of Ethereum, currently possessing a staggering 833,000 ETH, worth $3 billion. Tom Lee's BitMine Builds $3 Billion Ethereum Stash, Now Third Largest Public Crypto Treasury "We have separated ourselves among crypto treasury peers by both the velocity of raising crypto NAV per share and by the high liquidity of our stock," BitMine's Chairman Tom Lee said in a statement yesterday. Lookonchain data provides an even more granular view of recent Ethereum buying, showing 14 fresh wallets have amassed 856,554 ETH since July 9. Three of these wallets scooped 63,837 ETH, worth $236 million, through over-the-counter (OTC) desks at FalconX and Galaxy Digital. Retail and Institutional Divergence Contrasting this robust institutional demand is data from crypto intelligence platform Kiyotaka that indicates a more hesitant approach from retail investors. The long/short ratio held by ETH futures traders has been on a downtrend since April. It suggests a pattern of underallocation and a general "sidelined" posture, the crypto analytics platform noted on X. Large investors 'benefit from scale' and have access to 'sophisticated DeFi strategies,' which are often 'out of reach or inefficient for smaller holders,' Naman, Co-Founder & CEO of NodeOps, told Decrypt, highlighting the aforementioned divergence. Echoing Naman's sentiment, Shi at HashKey outlined that the difference in 'mindset' is what sets retail and institutions apart. While retail participants have a 'defensive' mindset and focus on 'recovering capital before considering new investments,' large players treat dips as a 'discount' and view them as buying opportunities. Unlike retail traders who are generally characterized by their short-term holding windows, sophisticated holders think long-term, Shi said. Digital asset treasuries accumulating Ethereum highlights the importance of "robust risk management frameworks" and a focus on "long-term conviction in Ethereum's ecosystem," she added. Retail traders are also hampered by lack of low interest rates, fewer arbitrage opportunities, and the kind of tradeable information common in asset manager circles, Shi said. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
