Crypto TREND – Second Edition

In the first edition of CRYPTO TREND, we introduced Crypto Currency (CC) and answered several questions about this new market space. There is a lot of NEW in this market every day. Here's what makes this market space so new and exciting.

The world's largest future exchange to create a contract for the future of Bitcoin

Terry Duffy, president of the Chicago Mercantile Exchange (CME) said, "I think sometime in the second week of December you will see our (Bitcoin means) contract for the stock market. You can't run out of bitcoin today, so there's only one way to go. Buy it or someone else." you sell it. So you create a two-sided market, which I think is always much more efficient. "

CME plans to launch Bitcoin futures by the end of the year pending a regulatory review. If successful, it will give investors a long way to go for "long" or "short" Bitcoin. Some traders of exchange traded funds have also introduced Bitcoin ETFs that track the future of bitcoin.

Those developments have the potential to invest in the crypto-currency space without owning CC or using the services of a CC exchange. Bitcoin futures could make digital assets more useful by allowing users and brokers to hedge their foreign currency risks. This could increase the adoption of cryptocurrency by traders who want to accept bitcoin payments but with their aviation value. Investor organizations are also used to negotiate regulated futures, which are not a concern for money laundering concerns.

The move by CME also suggests that bitcoin has become too big, as it seemed that the exchange had been ruled out by crypto futures in recent times. It is about anyone talking about Bitcoin, brokerage and trading companies, in the rising but unusual markets. If the futures of an exchange were to be withheld, it would be almost impossible to capture any other exchange, like CME's, because scale and liquidity are important in derivatives markets.

"You can't ignore that this is a growing story that won't go away," Duffy said in an interview with CNBC. There are "big companies" who want access to bitcoin and "big orders" from customers, he said. Duffy also believes that bringing institutional traders to the market can make bitcoin less durable.

The people of Japan used crypto-currency to raise capital to revive the city

Nishiawakura is investigating the idea of ​​making the Japanese Village Initial Coin Offering (ICO) for capital revitalization. This is a very innovative approach, and may require state government assistance or private investment. Several ICOs have experienced problems, and many investors are skeptical that a new token will be worthwhile, especially if the ICO has another joke or fraud. Bitcoin certainly wasn't a joke.

Initial Coin Offer – (ICO)

We didn't mention the ICO in the first edition of Crypto Trend, so let's now. Unlike the Initial Public Offering (IPO), where a company wants to sell a real product or service and buy shares in its company, anyone with an ICO can hold a new Blockchain project. a new token in their string. ICOs are unregulated and there have been several embarrassments in total. A legitimate ICO, however, can raise a lot of money to fund a new Blockchain project and network. It is normal for an ICO to generate a high token price from the outset and shortly afterwards sink to reality. Because an ICO is pretty easy, if you know the technology and have a few dollars, there have been many and we have about 800 tokens at stake today. These tokens are all named, they are all crypto currencies, and except for very popular tokens, like Bitcoin, Ethereum and Litecoin, they are alt coins. At the moment, Crypto Trend does not recommend participating in an ICO, as the risks are very high.

As we said in # 1, this market is in the "wild west" right now, and we recommend caution. Some investors and early adopters have made huge profits in this market space; however, there are many or many who have lost. The government is examining regulations because they all want to know about taxation. They all owe a great deal and leave money.

To date, the crypto-currency market has avoided many government and conventional banking issues and gaps, and blockchain technology has a lot to solve.

A great feature of Bitcoin is that the originator chose a finite number of coins that could ever be created – 21 billion – so make sure that this crypto coin can never be inflated. Governments can print as much money (fiat currency) and inflate their currency to death.

Future articles will include specific recommendations. However, you didn't get any wrong. Investing in this sector will most likely be your speculative capital, the money that allows you to lose.

CRYPTO TREND will be your guide when and when you are ready to invest in this market space.

Stay tuned!