Everything at a glance: The most important Bitcoin news of the week
Elon Musk fuels speculation around possible BTC investment; Dogecoin price explodes; FDP calls for changes to MiCA and eWpG; Nawalny receives generous Bitcoin donation and cryptocurrencies are topic at WEF.
Another exciting week in the crypto space is drawing to a close. A compact overview of the most important events around Bitcoin and Co.
Elon Musk’s Twitter action fuels speculation about Bitcoin investment.
Elon Musk is fuelling speculation about a possible investment in Bitcoin. On Twitter, the Tesla founder changed by Bitcoin Storm his profile description to #bitcoin and added a small bitcoin emoji to the bio. This is now causing massive guesswork within the crypto community as to whether the richest man in the world could now get into the cryptocurrency. In addition, Musk has followed up with a Twitter post that reveals a certain crypto-fatalism. Translated, the post says: „looking back, it was inevitable“. Specifically, it is suspected that Musk could soon invest in Bitcoin and Co. with his car company Tesla. These speculations alone drove the Bitcoin price up by a double-digit percentage. Whether Musk will actually invest remains to be seen. Next week, MicroStrategy CEO Michael Saylor is inviting people to a large Bitcoin conference. There they want to inspire new investors for the cryptocurrency. A good opportunity for Musk to end the guesswork.
After GameStop, Dogecoin price also explodes
The explosive rise in GameStop’s share price provided plenty to talk about this week. Now, presumably, the same Reddit community has hit Dogecoin. There is no other explanation for the 875 per cent rise in the share price. While the price was still around 0.008 US dollars on 28 January at 05:04, it shot up to almost 0.078 US dollars within 24 hours. One suspects that r/wallstreetbets (WSB) is behind this. The Reddit group currently has almost six million members. More than one million users joined in the last 24 hours. The Twitter user WBS Chairman is considered to be the possible leader of the group, who is also said to be responsible for the DOGE Pump. The Dogecoin rally started as a result of a tweet by WSB Chairman. In parallel, there is a new #Dogecoin Challenge on the social media platform TikTok, which actively calls for the purchase of the coin until it has broken through the 1-dollar mark.
FDP demands changes to MiCA and eWpG
The FDP parliamentary group in the Bundestag is calling for an innovation-friendly legal framework for crypto assets. This emerges from a preliminary version of a motion that BTC-ECHO has received. In it, the party criticises some points of the EU’s „Market in Crypto-Assets“ regulation (MiCA), which was passed in September 2020, and calls on the German government to act. For example, the classification of many blockchain companies as financial service providers, which basically have nothing to do with payment services, is a problem. In addition, the regulation would also result in considerable additional bureaucracy for start-ups. The „Law on the Introduction of Electronic Securities“ was also the subject of criticism. According to the party, it falls short of existing regulations in other EU states and even represents a step backwards for the blockchain economy in Germany.
Nawalny receives generous Bitcoin donation
Bitcoin donations to Kremlin critic Alexey Navalny are increasing after his imprisonment. In the week after his arrest, his wallet recorded an influx of donations of around 3.7 BTC (just under 115,000 US dollars). Compared to the first two weeks of the year, the transactions on his digital wallet tripled again and already exceed all Bitcoin donations from the past year. In total, he was able to generate 657 BTC over the last five years. Donations presumably also came from Russian millionaires in exile. In general, Bitcoin is an important support for the opposition work of Nawalny and other people critical of the government. Time and again, the Kremlin has blocked the bank accounts of opposition politicians. Nawalny also had to go through this after the Russian government seized his flat and froze his account in September last year. Most recently, he has mostly been able to rely on the financial reserves from his Bitcoin fundraising.
Cryptocurrencies a topic at Davos summit
At the 51st World Economic Forum in Davos, topics related to cryptocurrencies and blockchain were discussed for the first time. A total of more than 2,500 representatives of the WEF Foundation took part in the Davos Agenda. Among others, the Governor of the Bank of England, Andrew Bailey, took part in discussions regarding cryptocurrencies. The CEO of Western Union, Hikmet Ersek, and other prominent figures from the financial sector were also present. The discussions took place on Monday and Thursday. The focus was on CBDCs and the use of blockchain technology for VR, AR and IoT projects.