Well, he did it. Elon Musk bought Twitter. If you’re a crypto news nerd, chances are you get (some of, too much of?) your news from Twitter. No one knows this better than Musk, Tesla CEO and outspoken crypto advocate. His recent acquisition cost him a casual $44 billion with a cool billion promised as collateral should he back out of the deal. (NY Times)
Musk’s Twitter really keeps true to the zeitgeist of the platform, with his tweets ranging in sentiment from the absolutely ridiculous to the informative and controversial. They have a reputation for not just engaging the community, but also moving the market. After all, where would Dogecoin (which saw a 25% surge after the announcement) be without Musk’s Twitter account? Despite having some contentious insights, Musk makes his share of contributions to the crypto ethos that brings enthusiasts to the platform.
His overall goal seems to be inclusivity through privatization, but it will be interesting to see what moves Musk makes (say that three times fast) to further incorporate crypto on the platform. Twitter integrated crypto tipping in 2021, initially allowing tips in Bitcoin and recently tacking on Ethereum to its offering. Aside from that, users wonder whether the richest man in the U.S. having ownership over this global digital forum will be a benefit or a boon to freedom of speech. We’ll have to wait and see. (CNN)
While Musk made his big buy, Bitcoin found its way into people’s 401ks. Fidelity announced that it will be adding a Bitcoin offering to its 401(k) plans. Their offering is slated to go live in mid-2022 and will be available to 23,000 employers that use the firm to offer retirement accounts. Their Head of Workplace Retirement Options, Dave Gray, lent some insight into the decision:
"There is growing interest from plan sponsors for vehicles that enable them to provide their employees access to digital assets in defined contribution plans,” said Gray, “and in turn from individuals with an appetite to incorporate cryptocurrencies into their long-term investment strategies." (Investopedia)
Michael Saylor, CEO of Microstrategy, wasted no time in taking advantage of this rollout. Saylor is another example of an outspoken Bitcoin advocate on Twitter, with Microstrategy currently holding more Bitcoin than any other existing company. This adoption will, as Saylor said in a recent tweet, make Microstrategy “the first public company to offer their employees the option to invest in bitcoin as part of our 401(k) program.” (Decrypt)
Gray is right when he cites the growing demand for Bitcoin investment options, especially with the current levels of inflation. People are seeking more choices with the value of their incomes shifting, a reality that becomes more apparent with every trip to the gas station or grocery store.
21Shares taps into this desire with its new hybrid Bitcoin and gold ETP (Exchange-traded product) aptly named the BOLD ETP. The ETP comes as a result of a collaboration with the UK company, ByteTree, and is built to, in the words of 21Shares CEO Hany Rashwan, combine “the traditional value of gold with the promising return rates of Bitcoin, which is considered by many as the new gold.” ByteTree CEO Charlie Erith took it a step further by addressing the mounting concerns surrounding both inflation and global churn:
“Gold has historically delivered portfolio protection in inflationary environments while Bitcoin is the digital equivalent of gold,” said Erith. “In a time of rising structural inflation and heightened geopolitical risk, we believe this can act as an important risk and return diversifier in a balanced portfolio.” (Cointelegraph)
Next up: Look out, housing market, crypto is here to shake things up (and it’s about time). A person in Austin, TX, reportedly bought an apartment with an uncollateralized DeFi loan from a new crypto mortgage platform, USDC.homes. By using their credit score, the new homeowner was able to access a $500,000 USD Coin loan doled out over the Polygon network. Also, because the loan is acquired through staking on the DeFi network, the assets staked will accumulate interest that can help the borrower pay off the loan. If there’s anything that could use decentralizing, the housing market definitely tops the list, as people across America struggle with rising rates in a highly competitive market. (Cointelegraph)
The people know what they want, and that’s crypto. This isn’t just because of its tangible benefits like ease of transaction or a borderless market, but because it’s allowing people to get a leg up in an economy that they feel is letting them down. More and more, crypto represents a shift toward prioritizing quality of life. It gives younger generations the hope for an opportunity to retire comfortably and own homes—opportunities they report feeling increasingly boxed out of. Crypto takes these life goals out of the dream category and into reality—where they always should have been—for everyone.
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Top market movers as of April 29, 2022
- ApeCoin (APE) +42.5%
- Ethereum Name Service (ENS) +27.3%
- KNC Legacy (KNC) +17.9%
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