Important news in Crypto that you don’t know about | by Pavle Marinkovic | March 2023

Important news in Crypto that you don’t know about |  by Pavle Marinkovic |  March 2023

A huge buying pressure is coming

Photo by Roman Kraft

If you’ve been watching the news, you saw a major blow to the crypto industry in the US last week.

The crypto market faced a chaotic situation when a central banking partner, Signature Bank, was shut down by the FED. Another big loss as the industry lost two key banking partners (besides Silicon Valley Bank) in less than a week.

But the bad news lets the good news go unnoticed.

Binance, one of the largest crypto exchanges, announced that it will convert the remaining $1 billion from its Industry Recovery Initiative Fund from BUSD to Bitcoin, Ethereum and Binance Coin.

This may correspond to a buyback of shares.

This could mean massive buying pressure on these coins. But not in the way you think. The effect will be more of a sentiment shifter than anything else.

IN short term, this announcement could mean a positive price movement for BTC, ETH and BNB. It’s all rainbows and unicorns.

IN long termit will bring a positive feedback loop into the market.

As we saw in other cases like MicroStrategy, Tesla and other big companies who bought tons of BTC, the price increased significantly.

When others realize that there is going to be less of that coin, they start buying in.

There is a limited supply of bitcoin (21 million) and even if you know it, there are still many who don’t. So what happens when they see prices go up and realize that it’s getting scarcer by the day? FOMO in.

  • Unlike stocks, you cannot create more Bitcoin above the 21 million limit.
  • BNB is also limited, limited to 200 million, and with its burn rate between 0.5% and 2%, the maximum access will be limited to 100 million.
  • Although Eth’s supply is not fixed, post-merger issuance fell by 88% and total supply declines by at least 0.14%, making it deflationary. Here’s how it becomes ultrasound money live.
See also  Internal documents reveal Australia's potential timeline for crypto legislation: Report

The more people realize this, the more they will enter.

As banks continue to collapse, more will turn to alternatives to the traditional financial system.

And this also means self-defense.

We need control over our assets. To avoid the pain of watching our savings disappear before us due to bank mismanagement, people will turn to complete control and ownership of what is rightfully theirs.

With self-storage, we make it less likely to be affected by bank failure.

You can start by looking at Trezor One (cheaper) or Trezor T (advanced wallet) to get an idea. I’ve been using it for a while and it gives me comfort in times like these.

And self-storage also comes with greater privacy and security. As we refuse to hand over our private information or funds to a third party entity, we set our terms and conditions to the game.

Crypto adoption is increasing worldwide as more people and institutions recognize the potential benefits of blockchain technology, especially in the current worldwide circumstances.

The current usage of cryptocurrencies is at 4.2% with 420 million users worldwide.

Where do you think news like this will take us from here?

Note: this is not financial advice. You should always do your research before making any financial decisions. You should also know that this article contains referral links.

Consider register to become a medium member. It’s only $5 a month and you’ll have unlimited access to articles from amazing writers all over the world.

You may also enjoy reading these articles:

You may also like...

Leave a Reply

Your email address will not be published. Required fields are marked *