2021W49 - WTF has happened in bitcoin this week?
Bitcoin hash rate just made new highs
TLDR: Inflation running high, Bitcoin settling more than ever, Hashrate seeing an all time high again.
Hey there niblings, it’s uncle Bam again, with a summary of the most insightful events in the Bitcoin space. Back at it again digesting all the important news for you.
As we said last week, it was indeed time to retrieve the word “Transitory” from the inflation we are currently going through. This week the new numbers on CPI were released in the U.S. with prices climbing 6.8% an inflation not seen since 39 years ago. So basically if your employer is not giving you at least a 7% raise this year, you are in essence losing purchasing power, or in simpler words falling behind.
There is nothing we can do to control inflation, but there is indeed something we can do and people have already been doing to protect themselves from the effects of it. The answer is to seek refugee into stronger and harder assets, and here is where Bitcoin comes in to save the day, as a pristine store of value with censorship resistant properties which has not only been experiencing constant appreciation over the years, but also adoption.
Bitcoin works as a settlement layer, as it grows, appreciates and becomes more interconnected with the “mainstream” life, bitcoin has settled so far more than $12 trillion throughout this year, 2021. In just over 11 months, bitcoin has already settled more than what it did the previous 11 years together.
And it goes on.
And this is how the week started.
. Michael Saylor’s CEO of MicroStrategy announced his company to have bought an extra $82.4 million worth of bitcoin about a week after announcing a $414 million purchase.
. Spiral, has formally presented its Lightning Development Kit (LKD). LKD is a new way to easily integrate instant bitcoin payments into any application. We now know what Jack Dorsey has been up to on these last two years.
“By abstracting the low-level Lightning logic away, LDK removes barriers for new developers joining the ecosystem and allows them to begin straight away developing new applications on top.” - Spiral
. Bitwage, the bitcoin payroll company teamed up with Voltage and ACINQ to process the world’s first Lightning payroll.
. The Bitcoin Water Trust reaches 100 bitcoin of donations. The nonprofit charity will hold its BTC reserves until 2025, when it will begin using it to support operations worldwide.
. Embily, fintech company, to launch a Bitcoin prepaid debit card through Visa in the US in Q1 2022.
. Bancolombia, the biggest bank in Colombia, announced it will soon offer frictionless bitcoin trading for its Colombian customers. This became possible through a partnership with Gemini, which is part of a government-sponspored pilot program, destined to launch on December 14th.
. Fidelity to bring bitcoin backed loans through a partnership with lending firm Nexo.
. Visa, the payments giant, opens bitcon consulting service for banks, hoping its new service can help further mainstream adoption of bitcoin and cryptocurrency.
. The U.S.-based secondary market, FoundryX, currently has access to over 40,000 bitcoin mining machines ready for resale.
. CleanSpark had purchased the necessary immersion-cooling infrastructure to submerse its 20 MW Norcross, Georgia, bitcoin mining operation.
. Bitcoin companies launched Sats Center, a non profit business league dedicated to fostering an innovative environment for Bitcoin. Sats Center aims to educate elected officials and regulators on the power of Bitcoin for economic advancement and financial inclusion.
. Brazil is considering zero tax on Bitcoin mining if it uses renewable energy.
As a summary note..
The last days have been a ride. It seems moral accompanies the price, and people were expecting higher prices before the end of the year. Well there is a group of people who seem to have the moral quite high, the bitcoin miners.
Bitcoin has recovered its hashrate and flashed a new high just after reaching bottom this July, following the great mining escape from China. The world took this opportunity and displayed dedication in protecting the bitcoin network, and belief in its future. As it has been disclosed in the previous issue, miners are not selling they are “hodling”.
I think.. the future might be bright.
Have a great weekend niblings.
Stay humble & stack sats.
How to buy bitcoin? (With Relai through Revolut) Referral: BAM
If you are in Europe, I made a pretty simple guide with 3 steps, which avoids you having to set up an account on an exchange, give them all of your personal information, plus custody of your funds.
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