Bitcoin dumped $5k today, while the headlines were filled with Bitcoin Cash talk, bullish Bitcoin predictions, political campaign mining donations, and statements regarding crypto’s future potential. Catch up on today’s news.
Why The BCH Hash Wars Hurt The Entire Crypto Market
The past week has been filled with Bitcoin Cash fork drama. BCH split into two chains – Bitcoin ABC and Bitcoin SV, resulting in a war between team Roger Ver, and team Craig Wright.
Throughout the war, significant time, energy, and electricity have been used in efforts to take control.
This war and drama are not good for outsiders looking into the crypto space. The entire market has likely lost legitimacy at a pivotal time for adoption.
Draper’s Bullish Prediction: $250k Bitcoin By 2022
The notable Time Draper apparently still sees Bitcoin with a hefty price tag of $250k in a few years time.
2022 or 2023 should be enough time for Bitcoin to achieve said price. Draper has made such recent statements at Dublin’s Web Summit, as reported by Crypto Insider.
Crypto Insider shows Draper describing factors leading to such a price for BTC, under the categories of “typical Libertarian arguments”, and “economic arguments”.
Below $5K: Bitcoin Drops $500 To Set New 2018 Low
Today saw Bitcoin making new yearly price lows as it dumped below $5k. At press time, BTC is valued at $4862 and appears to be in the middle of a free fall.
“That’s the lowest figure since Oct. 12, 2017, and as of press time, the price has recovered somewhat to $5,048 – still signifying a decline of more than 9 percent”, reported CoinDesk.
The total crypto market cap has lost over $15 billion, with some crypto assets seeing losses of over 20%.
US Election Commission Says Crypto Mining For Political Campaigns Is ‘Permissible’
The FEC (U.S. Federal Election Commission) recently made moves to approve candidate financial support via crypto mining.
“In a memorandum dated Nov. 13, attorneys with the FEC responded to a proposal submitted in September by OsiaNetwork LLC, which at the time asked if individuals would be able to provide their computers’ processing power to mine cryptocurrencies”, reported CoinDesk.
The capital accrued during said mining would then be given as funding for political groups. On paper, donations would come from OsiaNetwork, and the associated miners.
Cryptocurrency Is ‘A Big Deal’ But Needs Institutional Investments, Says KPMG Report
KPMG, a top auditor in the Netherlands, published a positive report last week about crypto and its potential.
The report details the necessity of institutional investors in the crypto space. Although gaining such involvement will be challenging.
Regarding institutional involvement and cryptocurrency’s potential, the KPMG report states – “[i]nstitutionalization is the at-scale participation in the crypto market of banks, broker dealers, exchanges, payment providers, fintechs, and other entities in the global financial services ecosystem. We believe this is a necessary next step for crypto to create trust and scale”.