BITCOIN: EU, RUSSIA, BANKS & INSTITUTIONS

It's here! Bitcoin in your retirement account!

In this issue we feature the big moves by:

  • Russia & Kazakhstan

  • European Union progress

  • Banks & Institutions

  • Rising Inflation

MASS ADOPTION

U.S. Lawmakers have introduced a bill to allow Bitcoin and crypto allocations in 401(K) retirement savings accounts.

• Sen. Pat Toomey, Sen. Tim Scott, and Rep. Peter Meijer introduced the bill in the House of Representatives and followed up with comments criticizing the current constraints on 401(k) investments.

This follows an earlier move by Fidelity to allow investors to make a 20% Bitcoin allocation to their retirement savings accounts.

Telegram's "Wallet App" now let's users buy/sell Bitcoin p2p - Blockworks

• Telegram has ~700 monthly active users.

MCDONALD'S: Bitcoin payments now accepted in Lugano, Switzerland.

• In Lugano, Switzerland, the Plan B Foundation has signed up several companies to accept bitcoin payments. Plan B and GoCrypto collaborated to create the citywide infrastructure that supports bitcoin payments.

RUSSIA & KAZAKHSTAN

Russia to supply electricity to Bitcoin miners in Kazakhstan!

• Russian energy exporter, Inter RAO, to sell energy directly to Bitcoin miners on commercial terms. Kazakhstan's own grid operator, KEGOC, had previously placed restrictions on imports of power unless a risk of shortages was determined.

KAZAKHSTAN PRESIDENT: We're ready to legalize Bitcoin and crypto transactions if there is demand.

• The President said he wants Kazakhstan to lead the world in digital technology, cryptocurrency, and mining.

RUSSIA: Bitcoin mining to be allowed in regions with hydro and nuclear energy abundance – Lawmakers

• The Ministry of Finance and the Central Bank of Russia reached an agreement on legislation that will govern cryptocurrency mining.

Russia to allow international trade in Bitcoin & crypto for every industry!

• Central Bank of Russia approved a draft bill that would create a legal framework for the acceptance of digital assets as payment.

Russia is looking for a non-restrictive policy for the use of bitcoin and other cryptocurrencies in cross-border trade, said the Russian Ministry of Finance. Bullish!

RUSSIA: Central Bank will require Bitcoin and crypto to be recorded as assets by banks in their accounts.

• Central Bank of Russia's updated banking charter will come into effect in 2023.

BLOOMBERG: Bitcoin miners have become more efficient and reduced overall emissions. 🍀🍃🍀

• The Cambridge Center for Alternative Finance research reported that Bitcoin mining greenhouse emissions for 2021 were 14.1% higher than in 2022.

The fall in emissions was attributed to the decline in Bitcoin mining revenue which incentivised the use of more energy-efficient mining ASICs.

Argentina's state-owned oil & gas company is mining Bitcoin at one of the biggest oil fields in the country!

• A 1-megawatt pilot project for the production of power from leftover gas was initiated three months ago by YPF Luz, the company's division for renewable energy. By the end of this year YPF hopes to upgrade to an 8MG operation.

EUROPE

Investors are selling their Pounds and Euros to buy Bitcoin in record numbers - Messari

• GBP to BTC volume spiked 1100% when the pound crashed. Nobody knows what the future will hold for the British Pound, or the Euro, but the best time to panic is early.

TURKEY: Inflation hits 83.5% in September! 😳

• The lira has lost more than 50% of its value vs the dollar in 12 months. Yet despite high Inflation, the government is cutting interest rates. In August the interest rate went from 14% to 13%, with President Edogan wanting single digit rates by the end of 2022.

Netherlands Inflation hits 17.1% - a new record!

• The major driver remains rising food and energy prices.

BANKS & INSTITUTIONS

MicroStrategy is building a Bitcoin Lightning-based SaaS platform for new eCommerce use-cases.

• A position for a Bitcoin Lightning Software Engineer was posted on the website smartrecruitersCom by the Business intelligence company Microstrategy. Since implementing its bitcoin strategy in 2020, MicroStrategy has amassed 130,000 coins, making it one of the largest holders of Bitcoin.

NYDIG just raised $720 million from institutions to buy Bitcoin!

• The NYDIG Bitcoin Fund received contributions from 59 different investors. The Fund, which was first known as the "Institutional Digital Asset Fund," was introduced in 2018 and raised $190 million in June 2020.

Banks want to increase Bitcoin holdings cap to 5% of capital from 1% under new Basel Committee rules.

• The Basel Committee's proposals come after an earlier survey from June 2021, which drew a barrage of criticism for restricting the use of cryptocurrencies. The second proposal included the additional 1% cap and also a more liberal approach. But the Coalition of eight traditional finance lobby groups wants further review.

World's 19 biggest banks hold $9B in Bitcoin and crypto

• Basel Committee report states that the vast majority of exposures are to Bitcoin, Ethereum, or derivatives of the two. The majority of the data comes from the services that banks do for other people, like market making, clearing, and custody.

Only a small number of banks are actively engaged in directly holding or lending cryptocurrency. The international standard-setter is thinking about new regulations for how much capital lenders must retain against innovative assets.

BARCLAYS: We remain positive about Bitcoin long-term.

• Bitcoin miner Core Scientific (CORZ) is regarded by Barclays as a "best-in-class, leveraged play on the crypto industry." The bear market has been rough on Bitcoin and Bitcoin miners but Barclays still see a bright future ahead.

Thank you for reading!

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Cheers,

Archie