Bitcoin Miners Hit Jackpot as Hash Rate Peaks Again

Data from on-chain analytics provider Glassnode has reported that Bitcoin’s average hash rate hit a new all-time high this week, crossing a daily average of 178 exahashes per second for the first time in history.

Bitinfocharts confirms the record high, reporting the current hash rate at 176 EH/s. It topped 150 EH/s twice in February and has remained at these high levels for the past two months, steadily increasing.

Hashrate is often considered as computing ‘horsepower’ for the Bitcoin network and a strong sign of its security. The higher the hashrate, the harder it is to attack the network.

The bullish on-chain metrics were observed by data scientist Rafael Schultze-Kraft [@n3ocortex], who added that mining difficulty has also hit a new all-time high.

1/ A thread on #Bitcoin miner metrics.

First, some fundamentals.

Bitcoin’s average hash rate hit a new ATH yesterday – crossing a daily average of 178 exahash / sec for the first time in history.

Miners keep spinning up machines – hash rate is up only.https://t.co/SEdtQGNsT7pic.twitter.com/vIjVGyH8QC

— Rafael Schultze-Kraft (@n3ocortex) April 6, 2021

Mining Never More Profitable

The analyst noted that Bitcoin miners have been making more than $50 million per day for the past month. He put this into perspective by pointing out that a year ago, this number was around $12 million – so current earnings are a fourfold increase despite the block subsidy being cut in half in May 2020’s halving.

Miners are also now holding on to the new coins they’re minting as the net position has flipped back to green, according to Glassnode. In the run-up to the $40K price level, miners were aggressively selling off to cover their costs, but they’ve now switched back into accumulation mode.

“In fact, the Bitcoin unspent supply (BTC that has never left the original mining addresses), has started to increase again after a quick and sharp drop of around 15k BTC at the beginning of the year. More hodling than spending.”

He added that direct BTC transfers from miner to exchange wallets have been going back down significantly, and even USD-dominated miner to exchange volume has decreased despite a stable price. However, miner activity represents a tiny fraction of BTC trading volumes as a whole.

The analyst concluded that these metrics are very bullish, and miners have little incentive to cash out now or capitulate as many predicted after the halving.

Bitcoin Price Update

At the time of press, Bitcoin was trading down 1% on the day at $56,700, according to Coingecko. It is down at the same time last week by 3.4% but remains within the month-long range bound channel it has formed.

Bitcoin has not dropped below $50K for over a month, which is also a bullish sign that support is holding strong.

PayPal CEO Says Bitcoin Could Be a Chinese Financial Weapon Against the U.S.

PayPal CEO Peter Thiel loves Bitcoin but hates it when China mines or uses it.

In a virtual event organized by the Richard Nixon Foundation, Peter Thiel explained that Bitcoin could be used by China as a weapon in the non-conventional war against the United States, taking advantage of its characteristics to counteract the hegemonic power of the dollar.

“Even though I’m sort of a pro-crypto, pro-Bitcoin maximalist person, I do wonder whether at this point Bitcoin should also be thought in part of as a Chinese financial weapon against the U.S.”

The World vs. The United States

Peter Thiel explained that Bitcoin threatens the very idea of fiat money but is especially dangerous to the U.S. dollar and called on U.S. strategists to take Bitcoin-related developments more seriously when studying the international geopolitical landscape.

However, Bitcoin hodlers are not the only ones who might take offense at being called a weapon of the Chinese communist party. According to the CEO of PayPal, the existence of the Euro itseld¿f is also a weapon of China in its conspiracy to destroy the power of the United States to control some critical aspects of the world economy:

“From China’s point of view, they don’t like the U.S. having this reserve currency, because it gives us a lot of leverage over things like the oil supply chain and things like that. They don’t want the Renminbi to become a reserve currency because then you have to open your capital account and do all sorts of things they really don’t want to do. I think the Euro you could think it is in part a Chinese weapon against the dollar”.

Regarding DECP, the digital currency that China is developing, Peter Thiel believes it cannot be compared to a cryptocurrency and called it a “totalitarian measuring device.”

The Global Tech Race According to The CEO of Paypal

Thiel’s words do not seem very harmonious with the patriotism he so proudly showed when attacking China. Several countries are developing their own digital currencies. Even the United States is beginning to advance the idea of creating a digital dollar with very similar characteristics to those of the Chinese money.

The CEO of PayPal is not concerned about China’s potential to innovate and create but rather about its power to copy things. In response to Michael Pompeo, he explained that China had not made many advances concerning blockchain technology. Still, if China reaches a position of parity with the United States from a technological point of view, the West would lose its advantage as a world geopolitical dominator.

Thiel regretted that Silicon Valley did not see China as an adversary. He pointed to Apple as a company that is a real structural problem for having “real synergies with China.” Google and Facebook were also mentioned by Thiel, who noted that they were friendly to the dreaded Chinese adversary.

Paypal has played a key role in the recent bullish trend of Bitcoin and the increase in cryptocurrency adoption.

Bitcoin price before and after Paypal supported it. Image: Tradingview

As reported by Cryptopotato, PayPal recently enabled service to purchase, store and process cryptocurrency payments for US customers, with prospects to release their support to other countries later in the year.

Hopefully, this massive boost to Bitcoin adoption will not be seen by regulators as a support for China’s crypto plans in the years ahead.

Spain Seeks Public Comments on Potential Cryptocurrency Regulations

Cryptocurrency regulations across different countries continue to be a hot topic, and Spain is the latest to join in. The nation’s watchdog has asked industry participants, investors, and consumers for their opinion, and they have until April 16th to respond.

Spain’s Regulator Looks for Crypto Legislation

According to a report from La Informacion, The National Securities Market Commission (CNMV), Spain’s watchdog overseeing the securities markets, has initiated the first steps of nationwide crypto regulations.

The process has started by sending emails to representatives of the cryptocurrency industry, investors, and customers. They have less than two weeks to prepare statements with their comments on the proposals and send them back to the agency.

The coverage outlined that the potential regulations could affect almost all areas of the cryptocurrency industry. However, the legislation could exempt some professional activities, assets that are exclusively used as means of payment, and non-fungible tokens (NFTs).

Interestingly, the US also hinted at new rules regarding NFTs recently, but they seemed significantly more strict. The Internal Revenue Service (IRS) may implement taxes on NFT purchases made with profits of digital assets, as CryptoPotatoreported recently.

Apart from the aforementioned potential regulations on crypto assets, Spain has also explored developing a central bank digital currency. The country’s central bank said in late 2020 that releasing a CBDC is among the priorities in the next three years.

Regulations in Other Countries

The exponential growth of the entire crypto space in the past year or so has caught the attention of global regulators. Consequently, numerous countries have started looking into inserting legislative frameworks.

Spain’s northern neighbor, France, called for a new and robust approach towards crypto regulations in February this year. The chairman of the nation’s financial regulatory body (AMF) believes that the current legal structures are insufficient when it comes down to new asset classes such as digital currencies.

Continuing north on the map and Britain’s Finance Minister, John Glen, urged the country to firstly focus on regulating stablecoins rather than the entire market, while the FCA has repeatedly issued warnings.

In some countries, such as South Korea, the implemented regulations have caused troubles for some of the firms operating within their borders. The East Asian nation introduced new AML legislation last month, and several cryptocurrency exchanges announced closing doors for their respective South Korean branches in response.

Coinbase Reports Record-Breaking Q1 With $1.8 Billion in Revenue Ahead of IPO

A week prior to its direct listing on NASDAQ, Coinbase has posted preliminary Q1 data indicating a massive increase in its userbase and revenue. The trading volume has increased by nearly 300%, the revenue is about $1.8 billion, and more than 11% of all crypto assets are stored on the platform.

Coinbase’s Record-Breaking Q1

The largest US-based cryptocurrency exchange published its Q1 results yesterday, showing a substantial growth in every area compared to previous quarters.

Starting with the monthly transacting users (MTUs) – the increase is roughly 117% since the last three months of 2020. At the time, the number of the company’s user base was about 2.8 million, and it has expanded to 6.1 million in Q1 2021.

Naturally, this has also impacted the revenue, which has reached $1.8 billion. For comparison, this means a near 10x surge from the Q1 last year when it was around $190 million.

According to the preliminary estimations for this year’s first quarter, the net profit should be between $730 million and $800 million.

The company attributed a large part of its quarterly increase to the ongoing bull cycle in the cryptocurrency market. As bitcoin and numerous altcoins have exploded multi-fold in value since October 2020, it has garnered the attention of retail investors.

11.3% of Crypto Assets Held on Coinbase

Perhaps what’s even more notable for the entire cryptocurrency industry is the billions of dollars worth of digital assets held on the exchange. The report highlighted that as of March 31st, there were $223 billion stored on Coinbase.

With the entire market capitalization worth just shy of $2 billion at the time, this means that 11.3% of all cryptocurrency assets had a home on the US-based trading venue.

The firm’s estimations showed that roughly half – $122 billion – were “assets on the platform from institutions.” Coinbase is among the most preferred venues for accredited and institutional investors to receive exposure to bitcoin and other crypto assets. Consequently, the company projects a significant advancement on that front by the end of the year.

“We expect meaningful growth in 2021 driven by transaction and custody revenue given the increased institutional interest in the crypto asset class.” – reads the statement.

Coinbase’s record-breaking quarterly results come just a week before the company concludes its direct listing. As CryptoPotatoreported before, the giant exchange plans to go public on NASDAQ on April 14th.

Ron Paul Warns of Government Crackdown on Bitcoin — ‘The Government Is the Threat’ – Regulation Bitcoin News – Bitcoin News

Beyond operating the world’s leading cryptocurrency exchange, Binance spans an entire ecosystem. Their vision is to increase the freedom of money globally. They believe that by spreading this freedom, they can significantly improve lives around the world

Argo, DMG unveil plans for clean energy-backed bitcoin mining pool

A pair of publicly traded bitcoin mining corporations introduced plans final week to create what they name the first-ever mining pool powered solely by clear vitality sources.

The partnership between the UK-based cryptocurrency mining agency Argo Blockchain and Canada-based DMG Blockchain Options will outcome within the launch Terra Pool.

Terra Pool’s hash price will initially come from Argo’s and DMG’s mining sources. Argo stated in an announcement that the 2 corporations’ mining energy is “principally generated by hydroelectric sources.”

“Terra Pool represents the primary ever alternative for the creation of ‘inexperienced bitcoin’. The initiative goals to expedite the shift from standard energy to scrub vitality and scale back the impression of Bitcoin mining on the setting. The mining pool will present a platform for cryptocurrency miners to provide Bitcoin and different cryptocurrencies in a sustainable approach,” the agency stated in an announcement.

“Addressing local weather change is a precedence for Argo and partnering with DMG to create the primary ‘inexperienced’ Bitcoin mining pool is a crucial step in direction of defending our planet now and for generations to return,” Argo Blockchain CEO Peter Wall was quoted as saying.

The information comes greater than a month after Argo bought 320 acres of land in West Texas to open a 200-megawatt mining facility and practically three months after the agency sought to extend its mining capability by 75%.

You can now buy a Tesla with Bitcoin

The flagship Crypto, popularly known as Bitcoin has already printed positive factors of greater than 800% within the final one 12 months. Information from Google tendencies reveals that Nigerians have proven extra curiosity in Bitcoin than another nation on earth.

Although the current crackdown by Nigeria’s apex financial institution on Crypto was met with outrage from many younger Nigerians, knowledge retrieved from Usefultulips reveals that previously 30 days Nigerians led Africa with about $36 million price of Bitcoin transactions, processed on two main P2P exchanges, together with Paxful and Native Bitcoins, posting an uptick of seven% regardless of the ban.

READ: XRP posts a big bang, as legal tussle with SEC lingers

Crypto buying and selling

Shopping for and promoting stay the preferred methodology via which Nigerians earn a dwelling from the crypto market; and just lately throughout this bull market, some subtle traders have made cash stepping into IDO/IEO.

Current knowledge means that the share of Ethereum Addresses in Revenue stands at a whopping 95% regardless of being at its one month low, hinting at how worthwhile the crypto has been for a major variety of merchants.

READ: Nigeria among worst countries to start a career, and they all don’t accept crypto

📉 #Ethereum$ETH P.c Addresses in Revenue (7d MA) simply reached a 1-month low of 95.087%

View metric:https://t.co/BUbkntqvVbpic.twitter.com/plV5W8FmzM

— glassnode alerts (@glassnodealerts) March 27, 2021

Providing tutor providers

A number of new tasks coming into the house put out preliminary choices on exchanges or decentralized platforms and this gave folks alternatives to get in early on a few of these tasks.

The just lately concluded Preliminary Trade Providing at FTX trade, a number one crypto trade, revealed oxygen protocol started buying and selling with a worth of $0.15 and soared as excessive as $4 inside a interval of 10 days, thereby, printing over 3500% in returns.

Over the previous months, the worth of crypto has elevated tremendously main tons of individuals to hurry into the market with no correct understanding of what the market is about. These units of latest merchants looking for crypto schooling are straightforward targets for individuals who supply academic contents within the crypto house and that represents a method for these expert crypto aficionados to make cash.

READ: Crypto market surges by $86 billion, as Bitcoin reclaims $55,000 mark

Educators are additionally benefiting from the surge in open pursuits in Crypto belongings as a result of they promote out numerous contents to the brand new viewers within the markets. There are additionally good returns in showcasing such expertise by way of offering help to a few of these crypto tasks.

The crypto trade is rising and the “cryptoverse” has witnessed a current rise in new tasks which means that there are actually extra alternatives within the trade.

Cryptocurrency and blockchain lovers now have the chance to earn crypto with out having to dangers their capital in buying and selling. Different expertise presently in excessive demand within the “cryptoverse” are advertising, Crypto coding, influencers and Crypto content material writing.

Backside line: It’s advisable so that you can stick to the talents that you simply’re snug with and if buying and selling isn’t one in all them, you will want to be additional cautious whereas the present bullish run remains to be in play.