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Circle Keeps Getting Investors Despite the Bitcoin Bear Market

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Bitcoin

The cryptocurrency company called Circle, which is startup backed by Goldman Sachs reveals a significant increase in institutional investors, despite the Bitcoin bear market. The prices of cryptos went down significantly in the last six months, but the number of investors keeps rising, claims the company.

30% more investors in May alone

Ever since the beginning of the year, the value of cryptocurrencies kept dropping after hitting a new record in late December. Despite this situation, a lot of companies with a focus on cryptos have seen a significant increase in institutional investors, and in the case of Circle, that increase goes up to 30%.

The company has seen the biggest increase in investors back in May 2018, when it decided to upgrade and mature its product through platform’s automation. The goal here was to create a possibility of accepting larger block orders so that they could match the increase in demand and achieve high-frequency trading.

What the company did not expect is that their modernization will attract so many new investors, even though the crypto prices dropped more than ever before. According to Circle’s CEO, Jeremy Allaire, the reason for maturing their product is that the institutional investors are turning away from telephone brokers. Instead, they seek to operate through an electronic interface.

This is why the firm saw the need to improve and allow high-frequency trading and bigger block orders. The result is that the company will become much more automated and digitized after it witnessed a 30% spike in investors’ interest this May. Interestingly enough, May was actually among the worst periods for cryptos.

The new investors brought more work for the company, and they are now witnessing a transaction volume that is 15 times bigger than that of last year’s. After getting feedback from their clients, which included both venture capital firms, as well as family offices, Circle has decided that the changes are in order. Otherwise, the company simply could not be capable of handling the customers’ needs, which went from $100,000 to $1 million in high-frequency equity trades.

So far, Circle’s offices in Hong Kong, London, and the US were quoting the prices manually via various instant messaging platforms such as Skype. After doing so, the trades would have been authorized. Now, the process will be automated, which will increase the speed as well as the number of trades that were conducted in a certain time period.

Circle to work with federal authorities

Circle’s plans to provide its customers with more services have been around for a while, and the company even attempted to get a US federal banking license to do so. They also wanted to help out their investors with sale and purchase of coins that are usually seen as securities. To do so, they have to be seen as a trading venue and brokerage by SEC.

If they are successful in doing this, they will be the first one to do so, and it will be quite an achievement. So far, Circle operated at a state-level, but it now wishes to try and reach the level where it will work directly with federal authorities. This will effectively reduce the number of regulators that Circle will have to report to due to the superiority of the federal law.

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

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Bitcoin

Bitcoin Surges After Tesla Bought $1.5 Billion Worth of BTC

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Cryptocurrency

The sudden rise of Bitcoin has been connected to the decision taken by the Tesla electric car company to buy $1.5 billion worth of Bitcoin.

The company explained in a filing with the Securities and Exchange Commission (SEC) that it bought Bitcoin to diversify its cash returns and more flexibility.

Musk’s Tweets also impacted Dogecoin’s price

Tesla also added that it will start accepting Bitcoin payments for all its products, although this will be based on a limited basis and applicable laws. If the company concludes and starts accepting cryptocurrency, it will make it the first major car manufacturer to accept Bitcoin payments. The company’s founder and Chief Executive Officer Elon Musk has developed an interest in Bitcoin and cryptocurrencies.

He has been tweeting severally about the viability of the Dogecoin (DOGE), which doesn’t have an important market value attached to it.

Few hours after endorsing Dogecoin, the cryptocurrency rose by an impressive 50%. But regulatory authorities are still concerned about the risks in cryptocurrency investments, with several regulatory bodies warning traders and investors they could lose all their money from crypto investments.

But for Tesla, the company decides to diversify its funds and increased its cash returns. However, Tesla also warned investors about the volatility of Bitcoin’s price in its SEC filing. According to the SEC…

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Altcoins

XNO Token of Xeno NFT Hub listed on Bithumb Korea Exchange

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Hong Kong, Hong Kong, 25th January, 2021, // ChainWire //

Xeno Holdings Limited (xno.live ), a blockchain solutions company based in Hong Kong, has announced the listing of its ecosystem utility token XNO on the ‘Bithumb Korea’ cryptocurrency exchange on January 21st 2021.

Xeno NFT Hub (market.xno.live ), developed by Xeno Holdings, enables easy minting of digital items into NFTs while also providing a marketplace where anyone can securely trade NFTs.

The Xeno NFT Hub project team includes former members of the technology project Yosemite X based in San Francisco and professionals such as Gabby Dizon who is a games industry expert and NFT space influencer based in Southeast Asia.

NFT(Non-Fungible Token) technology has recently gained huge focus in the blockchain arena and beyond, making waves in the online gaming sector, the art world, and the digital copyrights industry in recent years. The strongest feature of NFTs is that “NFTs are unique digital assets that cannot be replaced or forged”. Unlike fungible tokens such as Bitcoin or Ether, NFTs are not interchangeable for other tokens of the same type but instead each NFT has a unique value and specific information that cannot be replaced. This fact makes NFTs the perfect solution to record and prove ownership of digital and real-world items like works of art, game items, limited-edition collectibles, and more.

NFTs are already being actively traded in markets globally. For…

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Wisebitcoin Launches Professional-Grade Crypto Exchange

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Infrastructure is developing rapidly in the cryptocurrency industry, but the recent launch of the Wisebitcoin cryptocurrency exchange is nonetheless significant in terms of the immediate value it provides to cryptocurrency users. That’s because the exchange has had a beta version available since 2018 while continuing further developments in stealth mode, and already serves over 1.2 million end users with $6+ billion in 24 hour trading volume at the time of its official launch.

In addition to the large user base and deep liquidity, Wisebitcoin also stands out by offering up to 100x leverage to margin traders, with the ability to open a long or short position in their futures market. In the current bullish environment, leverage is a key way that experienced traders increase their exposure and try to profit from volatility.

For example, if a user opened a long position on ETH on January 2nd at a price of $750, they could have greatly multiplied their profits with even a small amount of leverage such as 5x as ETH reached over $1,100 within 48 hours. A simple unleveraged position would have netted $350 in profit, but a 5x position would have netted $1,750 and a 100x leveraged position would have netted an incredible $35,000 in profits from an initial investment of just $750. 

Beyond leverage, Wisebitcoin additionally offers a simple and…

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