The creator economy will explode in the Metaverse, but not under Big Tech’s regime

U.S. Mining Stocks Drop Almost 50% Despite Hashrate Increasing

The Cambridge Center for Alternative Finance, a financial research institute affiliated with Cambridge University, has found that the Bitcoin hashrate was up by 4% in August from the previous year, from 35% to 39%. But, still, the mining stocks have seen declines in the last month, with Bitcoin prices going down. The concluded figure involves BTC.com, Via BTC, and Pooling data. Cryptocurrency mining involves verifying and broadcasting the transactions on the relative blockchain ledger. It is a computationally-intensive process that opens doors for validators (who validate transactions) to earn rewards. Validators verify the transaction by guessing a unique hash number associated with each transaction. And it requires computing power more than simple PCs. Related Reading | New Data Shows China Still Controls 21% Of The Global Bitcoin Mining Hashrate Similarly, it needs a more powerful computer when verifying transactions on the Bitcoin network. Because the Bitcoin algorithm creates difficulty when too many validators come online simultaneously. Mining Bitcoin through a home computer was feasible a decade ago. However, considering the problems that arose with the growth of BTC mining, U.S. public companies such as Marathon Digital Holdings, Riot Blockchain, and Core Scientific owned server forms have made this type of work more accessible. Mining Stocks Dropped Nearly 50% The most recent bloodbath in the crypto market, which has seen the collapse of TerraUSD and the price dips of many cryptocurrencies, also caused a slump in the price of the shares of these mining companies. Since April 18, mining stocks of Core Scientific and Marathon have nearly lost 47% of their value. Likewise, Riot’s shares are reduced by its one-half, and Canadian-based Hut 8 Mining Corp has similarly diminished by 41% of the value of its shares. A few crypto traders point out that seeing the last month’s decline of 25% in Bitcoin price and the increasing correlation of crypto with the stock market, investors would now be cautious about cryptocurrency investment. The level of correlation between crypto and stocks has lasted between 0.67 to 0.78, with the BTC falling 10% on the day of peak correlation. Here 0 refers to no relationship, and 1 implies being completely correlated. Richard Craib, chief of the San-Francisco-based hedge fund Numerai, stated that digital assets are now “part of the mainstream financial system, and that’s not good for its viability as an alternative asset class. It’s not serving its original purpose as an uncorrelated asset.”  Related Reading | Bitcoin Bearish Signal: Whales Ramp Up Dumping Analysts say that some traditional investors have ended up their crypto trading. The plummet of tech stocks has become the reason behind the exit of many investors. So they are selling their virtual assets to raise funds.  In addition, the raised concerns about the environmental impacts of mining could also play their role in dropping stock prices. As of now, 160 crypto mining bills are waiting for the consideration of the government authorities in over 30 states. Featured image from Pixabay and chart from TradingView.com

Bitget Cryptocurrency Exchange Records 300% Growth in Derivatives Trading

  As of February 2022, the trading volume of Bitget has reached an all-time high. The exchange has seen a 300 percent increase in derivatives trading. Bitget announced that the platform’s derivatives trading volume reached an all-time high of $8.69 billion on February 28, 2022, up over 300 percent from the previous year.  According to…Read More

ETH gas price surges as Yuga Labs cashes in $300M selling Otherside NFTs

While the Otherdeed NFTs could be minted only in APE, it also required ETH for gas fees.