- Major players from the mainstream financial sector are investing heavily in crypto. MicroStrategy’s recent purchase of $150 million worth of Bitcoin is an example of this trend
- The Ethereum network is embracing zero-knowledge proof Ethereum virtual machines to bring decentralization and faster, cheaper transactions to its users
- The entry of Wall Street’s major players and banks into the crypto space is viewed by many as an attempt to control the industry, while the advent of central bank digital currencies raises concerns about mass surveillance and privacy
The world of cryptocurrency has been ignited by a flurry of exciting events, with traditional financial bigwigs diving headfirst into the crypto pool. This shift has been noticed by cryptocurrency commentator Lark Davis, highlighting some fascinating happenings in the space.
Bitcoin has made a splash with MicroStrategy, a crypto intelligence powerhouse purchasing another $150 million worth, dramatically increasing its total holdings to $138,955. To sweeten the deal, they’ve managed to clear off debt from Silvergate Capital, loans worth $161 million, and invested $339.4 million from their sales program into Bitcoin. As a result, MicroStrategy added 34,619 Bitcoins to their stash.
Meanwhile, Polygon’s scaling network and ZK SYNC have debuted the first zero-knowledge proof Ethereum virtual machines, blazing a trail towards a faster, cheaper, and more decentralized experience on the Ethereum mainnet. Polygon’s co-founder says that the launch marks the dawn of a new era for the Ethereum network scaling, describing ZK proofs as the “holy grail.”
A popular crypto wallet, MetaMask, is looking to join the ranks. It has unleashed a new “sign-in with Ethereum” feature that allows users to authenticate themselves with their wallets using Web3 technology. In addition to being more secure, the feature lets users audit website names, session details, and security measures. Developed in collaboration with Spruce, this move only cements Metamask’s position as one of the top crypto wallets.
Larger Institutions Join the Race
However, some worry that the entry of Wall Street’s elite players, such as BlackRock, JP Morgan, Goldman Sachs, Nasdaq, and Fidelity, into the crypto market could be a sign of a more extensive power grab. Skeptics cite the closure of all crypto banks and the forceful transfer of crypto companies to JPMorgan as evidence of major financial players seeking to control the industry.
This move comes at a time when the Nasdaq stock exchange has unveiled its crypto custody services, set to debut by the end of June, starting with the storage of Bitcoin and Ethereum. Some worry that this could be a ploy to bring crypto under the banks’ thumb or consolidate power under major financial players.
Meanwhile, the central bank digital currencies’ rollout is a contentious dystopian concept in some quarters, as current legal battles in America could lead to significant losses or gains for various players. Regardless, it’s clear that the crypto space has the attention of the big financial leagues; time will tell where all of this is headed.
