Published:
Dec 07, 2024
Author:
Sarah Parsons Wolter
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Bitcoin has officially crossed the $100,000 threshold—a milestone once seen as fantasy is now reality. This breakthrough is fueled by a wave of optimism following the announcement of cryptocurrency advocate Paul Atkins to run the SEC. With plans to make the US the "crypto capital of the planet," institutional and retail enthusiasm alike has surged, catapulting Bitcoin to its highest valuation ever.
The implications are profound. Institutional titans like BlackRock and Fidelity, previously cautious, are now embracing Bitcoin with open arms, signaling a seismic shift in traditional finance. Meanwhile, retail investors continue to lean on Bitcoin as a hedge against fiat instability. Nations like El Salvador, already experimenting with Bitcoin as legal tender, are eyeing these developments with renewed interest, underscoring the cryptocurrency's growing global significance.
Bitcoin has skyrocketed over 130% this year, dwarfing the S&P 500's 28% gain. The total crypto market has surged to $3.8t, outpacing even Apple’s valuation of $3.7t. Companies like MicroStrategy, which held approximately 402,100 Bitcoins, have seen the market value of their holdings surge with Bitcoin’s rise, driving Bitcoin-related gains to roughly 500% this year.
Bitcoin’s journey from its first real transaction in 2010—when 10,000 BTC were exchanged for two Papa John’s pizzas—to today’s staggering value is nothing short of extraordinary. A single Bitcoin now affords you a luxury sports car, a down payment on a penthouse, or even an exorbitantly priced NFT (if that’s your thing). Imagine being the guy in 2010 who thought, ‘10,000 BTC for pizza? Totally worth it.’ Bet he’s rethinking those toppings now.
Portfolio News
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From Pizza to Gold
Bitcoin hit $100,000. What’s next? - It’s challenging to discern what’s on the horizon for crypto after this big round number, given the well-known and glaring problems with trying to figure out how much a bitcoin should be worth. The FT writes that this milestone calls for a different method of analysis - one that’s more arcane, and probably equally reliable as the more standard methods of valuation: cartomancy. Read more
Crypto trading volume surged to $10t for the first time in November - The combined volume doubled last month, according to data compiled by CCData. Crypto markets surged amid optimism for a friendlier regulatory environment for the industry under the newly elected Trump administration, with market bellwether Bitcoin jumping 38% and setting a record high of almost $100,000 (and finally broke through that level on Thursday of this week). Read more
Trump picks Atkins, ex-SEC Commissioner, to succeed Gensler - By selecting the former Republican SEC commissioner, Trump is tapping one of the most influential GOP financial regulation insiders to oversee Wall Street. If confirmed, Atkins is expected to focus on whittling away at regulations and levying lower penalties for violations. He’s also known for his support for the crypto industry. Read more
Industry News
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Trump names David Sacks as White House AI and Crypto Czar - This is a newly created position that underscores the president-elect’s intent to boost two rapidly developing industries. The new post is expected to help spearhead the crypto industry deregulation Trump promised on the campaign trail. The role is expected to provide cryptocurrency advocates a direct line to the White House and serve as a liaison between Trump, Congress and the federal agencies that interface with digital assets, including the SEC and the CFTC. Read more
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Figure hires former Flow, Blockchain.com CFO - Figure Technology Solutions, the home equity lending startup, has hired former Blockchain.com and Flow CFO Macrina Kgil, the company shared with Axios exclusively. This comes as a wave of startups prepare to go public in the next two years, with Figure also on the watchlist after filing confidentially in March. Read more
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Select Financings
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Synthera - London based financial market analysis startup raised $1.8m in pre-Seed funding led by Motive Ventures. Read more
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