CoinCheckup

Blog

  • Gate.io Launches Initial NFT Offerings (INO) On Its NFT Magic Box Marketplace

    Gate.io Launches Initial NFT Offerings (INO) On Its NFT Magic Box Marketplace

    Singapore, Singapore, 12th November, 2021, Chainwire

    The NFT market worldwide has grown tremendously throughout 2021, with global NFT sales exceeding $10.7 billion during Q3 2021 according to data released on Reuters. As everyone from startups and exchanges to tech giants such as Microsoft and Meta shift focus to the metaverse, and indirectly NFTs, Gate.io has launched a new Initial NFT Offering (INO) platform on its dedicated NFT Magic Box marketplace.

    “The launch of our new dedicated INO platform on the existing NFT Magic Box marketplace, we at Gate.io aim to empower artists and creators while helping them showcase their artwork to audiences across the world. Inversely, Gate.io users will get early access to new NFT collections by investing in up and coming talent,” said Marie Tatibouet, Chief Marketing Officer at Gate.io

    In the months since Gate.io launched NFT Magic Box, the platform has grown significantly. OpenPunks launched in October as one of the world’s first community-driven NFT collections, and become a cornerstone of the platform. Recently, Gate.io supports multi-chain on NFT Magic Box allowing users to showcase and trade NFTs based on several Ethereum and Tron protocols. NFT series such as Bored Ape Yacht Club (BAYC) have received official certification, allowing users to trade their Apes on NFT Magic Box.

    Initially, projects listed on the INO platform will be strictly vetted, with only projects audited by the Gate.io team being allowed to participate on the platform. The Gate.io community will be able to vote and support high-quality projects with longterm potential, while getting early access these NFT collections. 

    As Gate.io continues to support original creations in the NFT space, NFT Magic Box features official certification tags for creators to show their ‘Official Portfolio’ and ensure users access the correct collection. Creators can gain access to official certification by submitting an application directly on the platform. Official certification gives creators access to more traffic and more funds, while getting access to the high liquidity provided from the larger Gate.io ecosystem.

    About Gate.io

    Gate.io allows blockchain enthusiasts to trade and store assets in over 1,000 of the leading cryptocurrencies for over 8 million users from over 190 countries. The exchange offers spot, margin, futures and contract trading in addition to DeFi products through Hipo DeFi, custodial services through Wallet.io, investments through Gate Labs and it’s dedicated GateChain platform. The company also offers a wholly integrated suite of products such as its Startup IEO platform, NFT Magic Box marketplace, crypto loans and more.

    For more information on Gate.io, please visit https://www.gate.io/

    Contacts

    Head of PR & Comms

    • Diksha Sharma
    • Gate.io
    • diksha@mail.gate.io
  • Ethereum Experiences its First Day of Deflationary Supply Thanks to EIP-1599 Burning Mechanics

    Ethereum Experiences its First Day of Deflationary Supply Thanks to EIP-1599 Burning Mechanics

    Key takeaways:

    • The impact of Ethereum burning is becoming ever more apparent; ETH circulating supply decreased by over 300 ETH on October 27
    • The deflationary pressure was introduced along with the launch of EIP-1599, which went live as a part of the London hard fork in early August.
    • The price of ETH has increased by roughly 70% since the London upgrade was rolled out

    Ethereum’s circulating supply decreases for the first time ever

    For the first time since being launched in 2015, the total amount of Ethereum tokens in circulation has decreased by 307.96 ETH on October 27. The monetary deflationary pressure was introduced to the Ethereum network with the launch of the London hard fork in early August, which included a set of five Ethereum improvement proposals (EIPs). 

    ETH supply growth still shows upward momentum, albeit less prevalent than before the inclusion of EIP-1599. Image source: Etherescan

    The EIP-1599 was at the center of the new protocol upgrade. It improved the estimation system of transaction costs for the users and, most notably, changed the way transaction fees are handled – fees that were previously paid to miners are now removed from circulation and burned.

    About a month before the hard fork launched, ConsenSys CEO Joseph Lubin predicted a massive increase in demand and value of ETH. When Lubin made these claims, the price of Ethereum had fallen to a then-four month low below $1,800. Now, roughly ten weeks after the London upgrade went live, the effects of Ethereum burning couldn’t have been more apparent.

    The price of ETH has increased by 175% since July’s low point.

    It didn’t take long for Lubin’s predictions to become a reality. Exponential demand for Ether tokens on top of decreasing supply has pushed the price of ETH to its all-time high earlier in November. At its peak on November 10, ETH was exchanging hands at $4,867 per token, far beyond July’s lows. With a circulating supply of over 118 million tokens, Ethereum’s current market cap stands at $548 billion, accounting for almost a fifth of the total market value of all digital assets in circulation.

    On top of the extraordinary bullish market sentiment that is permeating the crypto market as of late, Ethereum benefited from several positive news coming its way over the past few weeks. For instance, CME Group, the world’s largest financial derivatives exchange, announced it will expand its crypto product portfolio with the launch of Micro Ether futures (MET). Additionally, investment banking giant Goldman Sachs recently predicted the price of ETH will surge to $8,000 by the end of the year on the tailwind of institutional investors looking for a lucrative inflation hedge candidate.

    The launch of Ethereum 2.0, the biggest network upgrade to date, is slated for early 2022. The ‘2.0’ update will replace the outdated and highly energy-consuming proof-of-work (PoW) with the efficient proof-of-stake (PoS) consensus mechanism and likely solidify the Ethereum platform as the de facto leader for decentralized applications and non-fungible tokens (NFTs) for years to come.

    Buy/Sell ETH
  • Kart Racing League Announces Public Sale of Governance Token

    Kart Racing League Announces Public Sale of Governance Token

    Gainesville, USA / FL, 12th November, 2021, Chainwire

    Blue Monster Games, the gaming studio behind the non-fungible token (NFT) driven Kart Racing League, has announced the public sale of their highly anticipated $KRL governance token will start on Friday, November 12th at 2:00 PM UTC.

    Kart Racing League will be amongst the first 3D NFT-based games to market this year, combining the play-to-earn and evolution features of Axie Infinity, with the addictive game-play of titles such as Rocket League.

    $KRL , the governance token behind Kart Racing League, will be available to purchase at CopperLaunch’s auction which will run from November 12th to November 15th.

    Co-Founder and CEO of Blue Monster Games, Joseph Rubin, says, “We are thrilled to announce our public sale will start on Friday, November 12th. Bringing a project of this size to market is breaking a lot of ground in the NFT-gaming space and it’s going to turn a lot of heads. Giving our community the chance to directly buy into the project, and to shape their own universe, is the future of gaming.”

    Blue Monster Games is focusing its efforts on the emerging play-to-earn NFT game industry, a segment that is expected to see tremendous growth.

    Rubin says, “The growth of play-to-earn and NFT-driven games like Kart Racing League is something that won’t be ignored for long. Mega-game studios are still trying to get their heads around this space, whereas $KRL governance token holders have a ticket to be first in line. I’m not only excited for us as a company, but I’m also excited to see our community directly benefit as a result.”

    Kart Racing League will launch on November 19th, 2021. The $KRL governance token will go on sale on Nov ember 12th and can be purchased directly on our CopperLaunch page .  

    For more information, and frequently asked questions, individuals can visit the Kart Racing League Medium.

    About Blue Monster Games

    Blue Monster Games Inc. is a Florida-based corporation dedicated to the development of video games utilizing NFT technology. These gaming projects are based on a play-to-earn model, meaning that players have the opportunity to earn money in-game.

    Blue Monster is the maker of Kart Racing League, which features 3D NFT characters that can be used to play a Sonic-inspired kart racing game, earning rewards for every race they win. The team is also working on several different projects that will be announced over the coming months.

    Website – https://www.bluemonstergames.com/

    Twitter – @bluemonsternft

    About Kart Racing League

    Kart Racing League is a Sonic-inspired universe where anyone can earn tokens through skilled gameplay and contributions to the ecosystem. Players can race one another in an online multiplayer format, collect, trade, and evolve, their playable NFT characters.

    Combining the best elements of electrifying arcade and fast-paced competitive style kart racing, Kart Racing League lets players face off online in intense multiplayer racing, across brilliant tracks, collecting power-ups and speed boosts along the way.

    The key difference between KRL and a traditional kart racing game is that Blockchain economic design is used to reward our players for their contributions to the ecosystem. This new model of gaming has been dubbed “play to earn.”

    Website – www.kartracingleague.com

    Twitter – @KartRacingNFT

    Discord – https://discord.gg/jukKKamX

    Instagram – @KartRacingNFT

    Facebook – /KartRacingNFT

    Telegram – https://t.me/kartracingleague

    Medium – @KartRacingNFT 

    Contacts

    Chief Operating Officer

    • Ashley Preininger
    • Blue Monster Games
    • ashley@bluemonstergames.com
  • Market Experiences Fast-Paced Correction, Bitcoin Loses $5K and Retests $63,000 Support

    Market Experiences Fast-Paced Correction, Bitcoin Loses $5K and Retests $63,000 Support

    Key takeaways:

    • The market correction has pushed the price of Bitcoin to the $63,000 level in a matter of hours
    • BTC dominance continues to drop, pointing to the strong market performance of alternative digital currencies
    • Three altcoins have managed to gain more than 100% in the last 7 days

    Shortly after peaking at $68,770 on Wednesday, which pulled the cryptocurrency market cap past $3 trillion for the first time, the price of Bitcoin dropped to the $63,000 level in a somewhat dramatic fashion. As is usually the case when short-term volatility shows its teeth, a cascade of liquidations saw more than $500 million worth of ‘longs’ erased from the order books.

    Bitcoin bounces back after losing 8% in just three hours

    After an explosive surge to a new all-time high on November 10, the world’s largest cryptocurrency experienced a somewhat expected correction. Bitcoin lost more than $5,000 over the span of three hours and dropped to a daily low of $63,345 before recovering back to $64,745 at the time of this writing.

    A sharp drop in the price of BTC occurred immediately after a new ATH was hit.

    The market drop was accompanied by a series of BTC long and short position liquidations, which removed $155 million from exchanges. The drop in the value of BTC pushed the total market cap below $2.85 trillion. 

    The total cryptocurrency market cap decreased by 4.4% in the last 24 hours.

    Despite Bitcoin receiving the biggest share of attention, for obvious reasons, the latest leg of the current crypto market rally has been more beneficial to altcoins than to BTC – the BTC market dominance dropped to 42.1%, the lowest value since early October.

    Altcoins are gaining ground, BTC dominance falls to a five-week low

    The decrease in BTC dominance points to the stellar market performance of alternative digital assets. The data from the cryptocurrency top 100 projects by market capitalization supports this claim – all blockchain projects in the top 100 sport a market capitalization larger than $1 billion with multiple projects showing high double-digit gains over the last week of trading.

    BTC dominance dropped from a monthly high of 46.5% on October 19 to 42.1% today.

    Over the course of the last seven days, Loopring (LRC) has recorded a massive 203% increase in price and risen through the ranks to become the 46th largest crypto on a $4.4 billion valuation. Kadena (KDA) and Livepeer (LPT) have also gained more than 100%. Given their impressive gains, it is unsurprising that all three altcoins have renewed their respective ATHs in the last 48 hours.

    Litecoin (LTC), Avalanche (AVAX), and Shiba Inu (SHIB) are the biggest gainers among altcoins belonging to the crypto top 20.

  • Subsocial Launches Crowdloan Auction for Kusama Parachain Slot Bid ​

    Subsocial Launches Crowdloan Auction for Kusama Parachain Slot Bid ​

    Kyiv, Ukraine, 11th November, 2021,

    Subsocial, the social network for the Polkadot ecosystem, is thrilled to announce it will be bidding for one of the coveted parachain slots on Kusama. As such, Subsocial also invites KSM holders to participate in its crowdloan campaign in return for generous rewards in the projects’ native SUB tokens, which have extensive and growing utility in the Subsocial platform. 

    Since launching the first parachain auctions in June, Kusama has successfully onboarded eleven projects and is developing a thriving, interoperable eI cosystem of applications. As a social network at the heart of the Polkadot and Kusama (Dotsama) community, Subsocial has a unique opportunity to become the first social media platform that directly integrates with the burgeoning Web 3.0 economy. Subsocial is committed to providing as much value as possible by developing features and integrations that showcase the rich functionality and capabilities of the Dotsama ecosystem. 

    In line with its vision to launch a social platform that interconnects with Web 3.0, Subsocial has determined that now is the time to make a bid for a parachain slot. The move will also increase liquidity for the SUB token by allowing it to be listed on DEXs such as Karura. 

    As part of its bid for a parachain slot, Subsocial is also launching a crowdloan campaign that aims to be simple and transparent in the way it’s structured and communicated. 

    Subsocial will allocate 16.5% of the initial total supply of SUB tokens or 16.5 million to the crowdloan. Of those, 15 million will be distributed as guaranteed rewards. The remaining 1.5 million will be allocated to referral bonuses and distributed according to the terms of the referral program. 

    Contributions to the crowdloan will be capped at 100,000 KSM. If the cap is reached, then rewards will be 150 SUB per KSM. However, the rewards are not fixed to a particular ratio, and if Subsocial wins a slot with a bid of less than 100,000 KSM, contributors will receive rewards higher than 150 SUB per KSM. For instance, if Subsocial can secure a parachain slot with 50,000 KSM, contributors will receive 300 SUB per KSM. 

    Crowdloan participants may also earn referral bonuses. Each participant will receive a unique referral code, allowing them to generate rewards of 15 SUB per KSM contributed by their referrals, which are split 50:50 between the referrer and the referee. Any unused referral funds from the 1.5 million SUB allocation will be returned to the Treasury and used for the next crowdloan. 

    SUB rewards will be subject to a vesting schedule. Upon receipt, 20% of the rewards will be available immediately, while the remaining 80% will vest over the 48 weeks of the parachain slot lease.

    The low initial unlock is designed to stimulate the use of the SUB token for its various intended utilities in the Subsocial platform. Users can get started by creating their own social network and playing with monetization features. 

    Subsocial will post further updates about the progress of the crowdloan campaign and answer any questions from the community on its social channels, Twitter, Telegram, or Discord. 

    About Subsocial

    Subsocial is an open platform for decentralized social networks and marketplaces. Via Subsocial’s web user interface, anyone can launch their own decentralized censorship-resistant social network or community with built-in monetization methods. 

    Subsocial is built with the Polkadot and IPFS tech stacks. As a social platform at the heart of the Polkadot and Kusama ecosystems, Subsocial is uniquely positioned to tap into the tools and technologies that make up Web3.0 – the Internet of Value.  

    Contacts
    • Dan Edelstein
    • pr@marketacross.com
    • +972-545-464-238
  • The 1inch Foundation announces Black Friday Week

    The 1inch Foundation announces Black Friday Week

    During the Black Friday Week, participants will collect 500,000 1INCH tokens.

    There’s no way the 1inch Foundation could stay away from Black Friday and fail to have a nice surprise for the 1inch Network community on that occasion.

    Here you go! From November 22 to 26, the 1inch Foundation announces the Black Friday Week, during which users will receive refunds on gas fees. 

    These are the rules: 

    • 500,000 1INCH tokens will be distributed among users making at least one swap via 1inch between November 22 and 26. 
    • Refunds will come in the form of 5,000 vouchers with a value of 100 1INCH each in a Merkle drop on Ethereum.
    • Voucher recipients will be determined randomly.
    • The tokens will be distributed at the end of the month, alongside the gas refunds. 
    • Users entitled to gas refunds thanks to 1INCH staking will not participate, as their gas fees will be refunded anyway. For more on 1inch’s gas refund program, which is still in progress, see this post.

    This Black Friday Week will make your transactions even cheaper thanks to gas fee refunds. 

    Hurry up to trade via 1inch and receive transaction fee refunds!

    Buy/Sell 1INCH
  • ADA Finance Announces Haskell Academy Program with BitDegree

    ADA Finance Announces Haskell Academy Program with BitDegree

    Press Release: Cross-Dual-Chain DeFi Ecosystem ADA Finance has announced an MOU with BitDegree to structure a Haskell Academy program, and is nominated for the ‘Best DeFi Project of the Year’ award at the AIBC Summit.  

    11th November 2021, Mahe, Victoria, Seychelles — The ADA Finance platform has just announced the Haskell Academy program, with BitDegree, to educate Haskell developers and motivate building on the Cardano blockchain. The ADAFi ecosystem is powered by both the Cardano blockchain, utilizing the rapidly emerging Haskell programming language, and Avalanche blockchain, utilizing solidity. ADA Finance has also been nominated for the ‘Best DeFi Project of the Year’ at the 2021 AIBC Summit in Malta, running from November 15-18, 2021.

    The Haskell Academy Program

    ADA Finance is structuring a pioneering Haskell Academy program, with blockchain education provider BitDegree, to offer formal in-depth training for up to 20 Haskell academists and create awareness for Cardano Blockchain development. With the Haskell Academy program, ADA Finance follows in the footsteps of IOHK and Emurgo, whose respective programs help pave the way for developers to pioneer the Cardano blockchain. 

    Haskell is an advanced, unique, functional programming language that offers unparalleled advantages for blockchain development, superior levels of safety, and memory in conjunction with DeFi. The only caveat is that it is one of the hardest coding languages to learn and sourcing individuals that have completed the Plutus Pioneer Program to become a Cardano smart contract developer is very challenging. 

    The Haskell Academy program will bridge the gap with free coaching and intuition to develop on the Cardano blockchain. This will help us to build a strong ecosystem and provide a sustainable, innovative base of talent for future smart contract development and eventually the Cardano ecosystem.

    Haskell Academy graduates will be officially certified by BitDegree and get offered a paid internship at ADA Finance, or partners of the Haskell Academy program, giving them a unique, and potentially life-changing opportunity to join one of the world’s most innovative ecosystems from the ground floor. 

    Cross-Dual-Chain Ecosystem

    ADA Finance is a Cross-Dual-Chain ecosystem that gets developed using both the Cardano blockchain and Avalanche blockchain. The bridge that communicates between these two blockchains uses the Avalanche blockchain as an extra layer of security to protect the ADAFi ecosystem and mitigate the risk of early-stage congestion to the Cardano blockchain.

    This Cross-Dual-Chain synergy mitigates any potential industry or interoperability issues, protects the project, the ADAFi ecosystem, and the investors. The ADAFi ecosystem’s strong focus on security creates a foundation for the project to go from strength to strength and offers complete peace of mind for anyone participating in the upcoming IDO.

    Best DeFi Project of the Year AIBC Nomination 

    ADA Finance is one of the leading Nominees for the prestigious “Best DeFi project of the year” at AIBC Summit 2021, Europe’s premier event for blockchain, AI, and emerging tech. Alongside ADA Finance are several other projects nominated, including the community-focused DeFi token Safemoon, and PoW + DPoS hybrid consensus ABEYFoundation. 

    In the past, the award has gone to outstanding projects such as the widely-used Ethereum-based protocol MakerDAO, and AI-powered DeFi portfolio project SingularityDAO. The event will take place in Malta from November 15-19, 2021. 

    A Growing DeFi Ecosystem

    ADAFi is one of the most innovative DeFi ecosystems within the industry today. It gives users the freedom to choose on which blockchain they run the ADAFi Ecosystem, on Cardano or Avalanche. ADA Finance also motivates platform growth and incentivizes user activity by offering a 3-level Referral Program and Address Milestones. The ecosystem will bring traditional DeFi tools and introduce innovative DeFi features to optimize passive earning opportunities for the users.

    What is Next for ADAFi?

    ADA Finance is revealing its business development successes of the past 5 weeks, during its Go-To-Market sprint, (which started November 8th) and setting up for their highly anticipated IDO in mid-Dec. 

    With smart contracts approaching the launch on Cardano’s main net, ADA Finance continues to contribute substantially to the Cardano ecosystem growth and upcoming demand for Haskell developers, offering a rare opportunity to those who want to be a part of a rapidly evolving ecosystem. 

    ADA Finance Socials
    Twitter | Telegram | Whitepaper | Facebook | LinkedIn | Docs

    Media Contact Details
    Contact Name: ADA Finance
    Contact Email: marketing@adafinance.io 

    ADA Finance is the source of this content. This Press Release is for informational purposes only. The information does not constitute investment advice or an offer to invest.

  • CODI Finance Announces IDO of Native Token “$CODI.”

    CODI Finance Announces IDO of Native Token “$CODI.”

    Premier DeFi ecosystem, CODI Finance, is releasing the IDO  of $CODI, its native and governance token.

    On November 7th, 2021, CODI Finance, a new ecosystem powered by Solana Blockchain, released the IDO of its native token, $CODI. CODI aspires to be the “ultimate DeFi ecosystem” by leveraging Solana’s high-speed, low-latency, and transaction costs. In addition, CODI also wishes to improve the DeFi industry’s DEX and lending sector by developing a platform with an appealing and user-friendly interface, as well as a diverse set of features.

    With its unique IDO launchpad protocol and decentralized lending and borrowing protocol, CODI Finance is a breath of fresh air in DeFi, particularly in the Solana ecosystem. Only Solana can deliver the CODI’s IDO launchpad’s delicate balance of interoperability, scalability, speed, efficiency, and governance. In a decentralized and interoperable environment powered by Solana, retail investors would fund innovative DeFi projects via the CODI’s IDO launchpad. In addition, the CODI ecosystem would ensure token distribution, automate token claims, and offer participants a decentralized KYC model.

    CODI also intends to launch a decentralized lending and borrowing protocol, through which users will be able to obtain loans in a decentralized and transparent manner. The lending and borrowing sector accounts for more than 60% of the total market cap of the DeFi industry and is a better model than the traditional loan system.

    Information About CODI’s IDO

    The IDO for CODI tokens began on November 7th and will last for a week before the IEO begins on November 15th. The CODI ecosystem’s native token, $CODI, would provide liquidity and act as a governance token, with the CODI ecosystem implementing an active user governance model in the form of a DAO.

    The IDO’s total supply is limited to 33 million $CODI, or 10% of the total supply of 330 million $CODI. This IDO also allows you to get in early and low cost, with 5000 CODI token listed for 1 SOL and unlocked.

    CODI is a promising project, as evidenced by the success of its early-October private sale.

    CODI’s IDO would take place on CODI’s IDO platform https://mint.codi.finance/ giving users insight into the CODI ecosystem’s innovativeness.

    CODI is giving retail investors who missed out on the private sale another chance.

    For more information on this project, please visit Codi.finance, or you can join the community by following their social media channels:

    Twitter: https://twitter.com/Codi_Finance

    Discord: https://discord.gg/gyUadGhScv

    Telegram: https://t.me/codi_finance_community

  • Grayscale Has More Assets Under Management Than the World’s Largest Gold ETF

    Grayscale Has More Assets Under Management Than the World’s Largest Gold ETF

    Key takeaways:

    • Grayscale surpasses the world’s largest spot gold ETF in terms of assets under management
    • Investors are becoming increasingly more comfortable with choosing digital assets over gold for inflation hedging purposes
    • Despite the rising inflation rates, the price of gold is down over the last year

    Grayscale, a leading digital currency investing firm, has announced it hit more than $60 billion in assets under management (AUM), which means that the cryptocurrency investment giant has surpassed now the world’s biggest and most liquid gold ETF, SPDR Gold Shares (GLD).

    Grayscale controls $60.8 billion worth of digital assets

    According to a recent update, Grayscale controls more than $60 billion worth of digital assets across its 15 cryptocurrency funds. Grayscale Bitcoin Trust (GBTC) accounts for the biggest share with 646,000 BTC worth $42.1 billion at current market rates, followed by Ethereum and Litecoin Trusts.

    Grayscale’s total AUM on November 10 hit $60.8 billion. Image source: Grayscale

    The total value of Grayscale-controlled assets is now roughly $4 billion larger than that of SPDR Gold Shares exchange-traded fund (ETF), whose AUM is currently $57.1 billion. 

    The impressive bull run that saw the cryptocurrency market cap surpass $3 trillion for the first time ever, and increasing interest from retail and corporate investors alike, are the main reasons for the ‘flippening’ of the world’s largest crypto and gold funds. 

    Grayscale’s product offering currently includes 15 cryptocurrency trusts, based on some of the more popular digital assets, including BTC, ETH, LINK, LTC, and XLM, just to name a few. The asset management firm recently announced that it is considering expanding its financial products suite with Terra and Avalanche.

    Investors are choosing crypto, not gold, as an inflation hedge

    Over the past year, it has become apparent that belief in digital assets as lucrative inflation hedge candidates has been gaining traction in traditional financial circles and is no more an opinion held just by blockchain enthusiasts. 

    For instance, Goldman Sachs’ Global Markets managing director Bernhard Rzymelka recently shared his market outlook on Ethereum and revealed that he believes that the price of the second largest crypto will surge to $8,000 on the tailwind of investors looking for a viable hedge against inflation. Likewise, a group of JPMorgan strategists recently identified inflation concerns as the main reason for the latest BTC rally.

    Back in August, we’ve covered a report by Ecoinometrics researchers that concluded that it might be a good idea to sell gold to buy Bitcoin. Judging by the current market activity, they couldn’t have been more correct.

    On August 10, the price of GLD closed at $161 per share, while Bitcoin was exchanging hands at an average price of $45,500. Fast forward to today – the price of BTC has increased by over 40% in the last 3 months, while shares of the world’s largest gold ETF increased by a modest 7%.

    How did a $1 investment in BTC and gold fare over the years? Image source: woobull

    You might say that the big short-term BTC price increase is, in actuality, a testament to gold as a less-volatile investment that is going to win the race in the long term, especially if inflation rates increase. The data doesn’t seem to support this claim. Gold has been underperforming despite the growing inflation and is currently down by 1.48% in the past 12 month period (data collected on Nov 11). 

    Over the last five years, the value of gold has improved by roughly 50%, which is a very healthy gain, at least on paper. However, when you account for the massive increase in money supply, which has grown by 20% since 2019 in the US alone, the 50% figure doesn’t seem as impressive anymore. Particularly for a safe haven asset that should perform at its best in times of exponential monetary expansion and diminishing value of fiat.

    For reference, Bitcoin has gained 8,900% in the last five years.

    Buy/Sell BTC