Bitcoin Conference Miami 2021
First off, I was not there in person. I was only able to observe the conference digitally. However, I do think I managed to see more content than many visitors who attended physically.
Let’s start off by looking at the range of content quality.
@SBF_Alameda dropping some alpha exchange knowledge:
Talking about how good is leverage, fiat ramps, CEX vs DEX and how @FTX_Official will be the first Exchange in the world
— ◼️➖◻️➖🔳➖◎ (@themazuma) June 5, 2021
Feels like you could fill an entire season of “Silicon Valley” with stuff just from the Bitcoin Miami conference. pic.twitter.com/ugmBsawJ6A
— Sheel Mohnot (@pitdesi) June 6, 2021
On social media platforms, it was very easy to find the crap content. So, it is pretty hard to determine which side has the upper hand. My personal opinion is that future conferences need to be better structured to address the different topics. If cryptocurrencies want to play a bigger role (and for that there needs to be mass adoption), the space needs to grow up. None of these projects will simply take over the world. And in case the topic is to just „have some fun“ then please mention it in advance…
— Larry Cermak (@lawmaster) June 4, 2021
My personal favourite topics would be:
– Building the ecosystem
– Regulatory hurdles (building bridges – links to the first topic)
– Trading venues
– Fast forward (20 years)
During all the dancing and drinking some pretty interesting news came out, which I think was overlooked, or, at least, did not find a great deal of engagement.
– El Salvador plans to make bitcoin a legal tender
As a headline, this is big news. But when you discuss it with people who have some legal knowledge, and you think about how they are trying to implement it, then the headline shrinks dramatically. First, it is about the network effect. If El Salvador (a relativey small country) decides (the bill has to first be passed by the Senate) to use bitcoin as a legal tender, it only has only a local effect (not a network effect). You can find more details here:
ok here’s what we really need. we need to round up some actual experts telling us potential impact of El Salvador BTC as legal tender on United States (and other jurisdictions) wrt taxation, other and presumably according to the UCC (other). who are the best people for this?
— Matthew Graham (@mattysino) June 6, 2021
But maybe it will start a movement, and other countries will follow suit. And this could put some pressure on the „old legal structure“ (I am referring to the U.C.C. in the above tweet), and bitcoin might be ready to be recognised as a legal tender.
In terms of the technical implementation (which, in my view is where the leaders of El Salvador are going horribly wrong), it is the following:
Tried installing strike, the app that will be used in El Salvador to pay with bitcoin. Looks like it’s not permissionless and custodial which means they can block your account and funds any time.https://t.co/9wRD5w8DVo pic.twitter.com/wy6N1nIgp0
— Patrick Aljord (@patcito) June 6, 2021
El Salvador citizens are basically handing over their hard earned money to a government-run company. They are in control of your wallets. This is a very sensitive topic and has to be thought through very well (in the same way that all CBDC design questions need to be thought through).
– Gcash: a wide spread payment app in the Philippines
They are considering integrating bitcoin into their payment rails. This headline has far more weight for me. It is a smaller step, but has a huge network effect. Let’s see what happens when they switch from „considering“ to „we will“ implement it.
A big piece of news went relatively went unnoticed.
Gcash, the biggest mobile wallet in the Philippines, is reportedly considering integrating Bitcoin.
This is huge for adoption. Why? the vast majority of users in the Philippines use Gcash for daily payments.
— Joseph Young (@iamjosephyoung) June 6, 2021
– China further tightens regulations for miners
I mentioned it in a previous market commentary; news on further regulatory tightening will trickle in over the next few weeks/months. After the latest statement (check out the article in the twitter feed:
Today in China:
China political weeklies ‚China News Weekly‘ published an article stating that china policy has the effect of shaking the crypto mkt pricehttps://t.co/qcVtA31FxK
— Sally W 嘎知 (@sallywang666) June 6, 2021
), miners are trying even more fiercely to relocate their farms outside of China. But again, I do not see this as a negative development for bitcoin. In the long run, it will help in overcoming certain regulatory hurdles, and it will help make the ecosystem more sustainable.
As always, we at the trading desk are happy to take your orders and also to take on your questions and discuss market topics.Weiterlesen