Daily Digest 11/1

Insight on the days biggest stories.

It was as anticipated an “uptober” for not only Bitcoin but for the entire cryptocurrency market. We saw the alts pump, ETH almost hit a new All time high, and meme coins rally for multiple thousands of percent increases.
“However, @100trillionUSD his hitrate on the stock-to-flow model is way better than your trading performance, so I wouldn’t really roast him at all. Bitcoin at $61K is just as fine and close enough” said Michael van de Poppe.
It is worth noting that again after a retracement from all time highs it was the long-term holders that continued to have the diamond hands. Difficulty for mining hash rate also continues to increase for the 8th straight week which is the longest streak since 2018.
Another lingering issue that could drive the price of Bitcoin in the near future is the continuous drop in the supply on exchanges which is now at 2.47 million.

SoftBank, CapitalG, and Google have all teamed up for a secondary investment round of the Digital Currency Group which sold $700 million worth of shares which now values the company at $10 billion.
The DCG owns Genesis Trading which is one of the largest digital asset platforms and holds all major licenses allowing them to be completely compliant with all governing entities. Subsidiaries of the DCG include Genesis, Grayscale, Coin Desk, and Luno.
“Proud to welcome SoftBank, CapitalG, Ribbit, GIC, Tribe and Emory to an already fantastic list of DCG shareholders. And even more proud of over 1,000 employees of DCG and our wholly-owned subsidiaries that made this happen,” DCG CEO and founder Barry Silbert said.
Silbert has also not ruled out the possibility of taking the company to the stock market through an initial public offering.

Earlier this year Maker DAO announced they were going to start operating as a fully decentralized organization meaning that token holders will be in charge of making the decisions. They are also the founders of the popular Stablecoin DAI.
Today we learned that DAI is now backed by more ETH than it is USDC. In past months USDC had made up 50% of the stablecoins backing but is now standing at 34.5%.
This is another step in the direction towards the goal of it becoming less reliant on centralized forms of backing like USDC. USDC is mostly backed by US dollars and treasury bills.
One reason for wanting to separate from centralized based currencies is that the creators of USDC, Centre, is able to control every USDC in circulation meaning it can freeze any account holding it. Since ETH is not backed by fiat and has a market that determines its value it would be hard to stop transfers.

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