06/14/2023 0 Comments

1. Bitcoin Miner Inflows to Exchanges Reach 2021 Levels As Bear Trend Persists

Bitcoin miners are now taking advantage of the recent price increase as they have begun to send massive amounts of BTC to centralized exchanges. While this is not new as miners tend to sell BTC to fund their operations, the sheer volume that is being moved to exchanges is what is alarming.

Bitcoin Miners Send Over $70 Million To Exchanges

According to a recent development, Bitcoin miners are sending enormous quantities of BTC to exchanges, according to on-chain data aggregator Glassnode. These miners transferred an estimated $70.8 million worth of BTC to centralized exchanges in only the previous week alone.

In terms of dollar volume, the amount moved during the past week ranks as the third-largest single influx for Bitcoin miners. The greatest values, which were tallied in 2021 when the price of Bitcoin reached an all-time high of $69,000, are only 30% lower now.

It’s interesting to note that the present price of Bitcoin indicates that miners are transferring more Bitcoins than dollars at the moment. Therefore, in order to obtain, miners transferred twice as much bitcoin (BTC) as they did in 2021.

BTC Price Still Shows Bearish Pressure

The battle between bitcoin bulls and bears has persisted, but the outcome has not met expectations. As a result, there is still strong bearish pressure on BTC prices.

The digital asset is still below its 50-day and 100-day moving averages while trading above the $26,000 support, which may indicate that further drops are yet to come. It is also clear from the fact that bulls are struggling to hold onto the $26,000 support level as $26,500 resistance builds.

However, with BTC far above its 200-day moving average, the long-term picture for the cryptocurrency is still highly favorable. The digital asset might soon enter another bull market because of the impending halving of Bitcoin.

At the time of writing, BTC is changing hands at a price of $26,015, up 1.09% in the last 24 hours.

2. Solo bitcoin miner beats odds to mine BTC despite record high difficulty

The achievement meant that the bitcoin miner beat the long odds against him and earned the 6.25 BTC block reward. It is highly difficult for a solo miner with a relatively modest hash rate to mine a Bitcoin block under the present circumstances, with the hash rate reaching above 390 EH/s as of June 11.

According to observers, the miner known as “151XTfHBfaDqoNWGGeYobNX2YzFFWuB5YD” most likely ran a single S9 miner that produced 17 TH/s.

Bitmain’s out-of-date s9 bitcoin mining equipment, which was introduced in 2016, is only still available on the secondary market. Under ideal circumstances, it distributes 13.5 TH/s, but it also consumes a lot of power.

Since solo.ckpool encrypts it, the genuine identity of the single miner cannot be discovered. Their sole published bitcoin address is while

Platform for inefficient, old bitcoin miners

Solo.ckpool claims it is not a mining pool. Instead, it describes itself as a service provider allowing solo Bitcoin miners to continue their operations as miners “cannot mine directly to a bitcoin core node.”

In this setup, a solo, regular miner avoids the overheads of running a full bitcoin node that would otherwise demand more storage space and more bandwidth to operate efficiently.

The solo.ckpool infrastructure is tailored for “miners with old/inefficient miners that will never earn any rewards through regular mining that wish to leave it mining as a lottery.”

At the same time, it serves as a “last backup for all miners who don’t have a solo setup or wish to avoid the overheads of running one.” The service provider also adds that if the solo miner successfully mines a bitcoin block, they receive 98% of the block rewards and transaction fees tagged with the block.

The current Bitcoin difficulty, measuring how hard it is to mine a bitcoin block, stands at 51T. Meanwhile, the hash rate fell from 424 EH/s to 390 EH/s on June 11. With the hash rate falling, mining difficulty could follow suit.

3. Hong Kong seeks fast regulatory action on stablecoins

According to the local news outlet The Standard, Hong Kong is making strides in creating a clear framework for stablecoins pegged to traditional financial assets.

The Hong Kong Monetary Authority (HKMA) aims to introduce the proposed comprehensive regulatory framework for stablecoins within 18 months.

Stablecoin regulatory progression

With Hong Kong’s progressive approach to stablecoin regulations, the city stands out as a more welcoming environment for cryptocurrencies, potentially attracting market participants from countries like the U.S. with more stringent regulations

According to TechCrunch, stablecoins must always be fully backed by high-quality, high-liquidity assets, and algorithmically stabilized tokens like UST would not be accepted. The full paper is available on the HKMA website.

This rapid approach to regulating stablecoins has the potential to impact the global cryptocurrency landscape, as it offers a robust and transparent legal framework that could serve as a precedent for other jurisdictions.

The move aligns with the city’s overall financial direction, as Hong Kong has seen a dramatic increase in fintech companies over the past five years. The government is also working on expanding its faster payment system to more industries in collaboration with the Bank of Thailand, according to The Standard.

Hong Kong: China’s crypto “test bed”

Hong Kong is emerging as a “test bed” for crypto regulation in the region, as Jason Fang from Sora Ventures has mentioned on numerous CryptoSlate podcasts.

Concurrently, the “Beijing Internet 3.0 Innovation and Development White Paper (2023),” released in May, highlights a commitment to Web3 and Metaverse innovations, with the Chaoyang District investing 100 million yuan annually to support the web3 industry ecosystem.

Paul Chan, the financial secretary for Hong Kong, unveiled a new framework for cryptocurrency regulation earlier this year, with obligations for suppliers of virtual assets that are comparable to those for conventional financial institutions. Since this framework went into effect on June 1, there have been worries that the area won’t have enough skilled workers to meet demand, leaving a 100,000-person shortage.

The Hong Kong Securities and Future Commission (SFC) is aiming to address the labor shortage by relaxing responsible officer (RO) criteria for crypto exchanges due to a lack of skilled ROs in the industry as Hong Kong strives to become a hub for crypto innovation.

Stablecoin framework impact

The creation of a stablecoin regulatory framework is also consistent with Hong Kong’s emphasis on Web3 and green technology, as the administration hopes to hasten the development of the city into a major financial and green technology hub.

Hong Kong’s plans to build a precise, thorough, and risk-based strategy to regulating this nascent asset class make the city’s outlook for stablecoins progressive.

The stablecoin regulatory framework may play a key role in defining the global digital financial environment as Hong Kong continues to establish itself as a centre for fintech.

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Harvey CHEN

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