Daily Crypto NewsEDITION #55, 19 October 2020

A Study in Crypto

Hey #Moni Maker 🙃

It has been an ambiguous week - several top managers of OKEx have been "busted", which makes DEX’s appear in the best possible light, while Bitcoin continues to strengthen its positions. On the other hand, weekly crypto digests are always rich in loud headlines! Come on, hop aboard, let's see what's going on;)

According to OKEx, the exchange representatives, one of the multisig private key bearers, is cooperating with law enforcement agencies that have demanded to close the withdrawal of funds.

A short-term panic took place in the Chinese social media after this statement, and the BTC price fell slightly.

UPD: the users' funds are not affected in any way; the exchange team is working to resolve the situation as soon as possible.

About 200,000 BTC (1.1% of all BTCs) are stored on OKEx wallets

It's approximately $2.3 billion at the current exchange rate.

Before the suspension of cryptocurrencies withdrawal from OKEx, there was a massive outflow of BTC from the exchange.

According to @glassnode, a total of 10,000 BTCs (~113 million dollars) have been withdrawn in the last 48 hours in two large batches, which is the largest withdrawal in the last six months.

So what?

Also, the founder, Star Xu, was arrested. It's not his first time, but the situation is interesting: McAfee, OKEx, and Bitmex CEO were caught by accident or...?

It's not clear why the OKEx withdrawing began before the news about the arrest. We won't go into conspiracy theories, but the deal looks suspicious.

The trustee of the hacked and bankrupt Mt.Gox Cryptocurrency Exchange, Nobuaki Kobayashi, today published a new announcement to postpone the civil rehabilitation plan for two more months.

The lawsuit for handing out BTC to affected users began two years ago after 850,000 BTC were stolen from the exchange in 2014.

So what?

Mt.Gox is one of the sickest places of the crypto body, along with Bitconnect. It's a pity that it takes so long to heal.

According to bitcointreasuries.org, 15 companies own a total of almost 600,000 BTC (2.85% of all bitcoins). This is approximately $6.9 billion at the current exchange rate.

The largest among independent investors is MicroStrategy Inc., which bought BTC to ensure its reserves are protected against dollar inflation. This summer, MicroStrategy has invested $425 million in BTC, and since then, this amount has grown to $442 million.

Next comes Galaxy Digital Holdings, with 16,651 BTC worth about $192 million at a current exchange rate. The third and largest in the list by market capitalization is Square Inc, belonging to Twitter CEO Jack Dorsey. Just last week, it announced that it had invested $50 million or 1% of its assets in Bitcoin.

Separately, there are companies that help clients invest in BTC. Grayscale Investments accounts for a large share of the total investment volume in the GBTC trust, which holds 449,596 BTC for $5.2 billion.

So what?

This amount is certainly impressive! The most important thing is that private investors are well-known and respected people.

Giants and dreamers, as well as just farsighted people, are marching towards mass adoption. Everyone else should take their places already; Bitcoin ain't a bubble, it's a pin.