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Bitcoin News Cryptocurrency News

Institutional Money Continues Surging Into Cryptos

It was less than 2 weeks ago that we reported Voyager Digital’s assets under management had risen from $5 million a year earlier to $200 million. In a further sign of a continued flood of money into crypto assets, Voyager Digital has announced that assets under management (AUM) has crossed $500 million in the past 24 hours.

Voyager Digital Ltd. is a publicly-traded, licensed crypto-asset broker that provides investors with a turnkey solution to trade crypto assets.

During the past year, while Voyager’s AUM grew from $5 million to $200 million, crypto investment firm Grayscale saw assets under management surge tenfold as wider adoption of bitcoin drove billions of new dollars into its trusts.

The firm’s assets lept to $20.2 billion from $2 billion last year, according to a quarterly report published this week. Grayscale’s Bitcoin Trust garnered the bulk of the inflows, surging to $17.5 billion from $1.8 billion in AUM as the popular cryptocurrency’s price soared higher. On average, the Grayscale’s bitcoin trust averaged in inflow of $90 million per week.

Institutional investors’ newfound interest in cryptocurrencies was also a boon for the entire cryptocurrency industry. Many market experts see no end in sight for continued instiutional money flowing into the sector.

The rally accelerated in the fall following MicroStrategy and Square revealing that they purchased bitcoin and opened the door for various other public firms to do exactly the same. PayPal’s announcement that it will permit users to purchase as well as sell cryptocurrencies further lifted prices in late October.

“The significant growth in our assets in such a short time frame shows the power of the Voyager model,” said Steve Ehrlich, Co-founder and CEO of Voyager. “Voyager’s AUM continues to grow exponentially, as well as the growth of daily net deposits and new accounts on the platform.”

About Voyager Digital Ltd.

Voyager Digital Ltd. is a crypto-asset broker that provides retail and institutional investors with a turnkey solution to trade crypto assets. Voyager offers customers best execution and safe custody on a wide choice of popular crypto-assets. Voyager was founded by established Wall Street and Silicon Valley entrepreneurs who teamed to bring a better, more transparent and cost-efficient alternative for trading crypto-assets to the marketplace.

Voyager Crypto App
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Bitcoin News Cryptocurrency News

Binance Launchpool Debuts BTCST

The Bitcoin Standard Hashrate Token (BTCST) is now live on Binance Launchpool, and Binance plans on listing BTCST in the innovation zone at 6:00 am (UTC) on Jan. 13, 2021.

BTCST
BTCST

BTCST sets off to solve the problem of a limited number of exit options by bringing exchange-grade liquidity to the Bitcoin mining industry, and in secondary trading, BTCST will perform as a leveraged Bitcoin token free from liquidation risk. BTCST will create an efficient market for Bitcoin’s mining power in ways similar to how Grayscale Bitcoin Trust creates institutional liquidity for Bitcoin.

Four Key Points About BTCST

1. Bitcoin’s leveraged token

BTCST secures dual profits for its holders when the market is on a bull run, due to BTCST’s attributes as Bitcoin’s leveraged token.

BTCST is collateralized by 0.1 TH/s of real-world Bitcoin mining power, which is historically proven to be positively correlated to the performance of the digital gold, and hence the value of BTCST climbs along with the current skyrocketing Bitcoin market. On top of that, BTCST stakers claim Bitcoin mining rewards on a daily basis. If a user started to mine Bitcoin with a WhatsMiner M32s (a classic hardware model of Bitcoin mining) in October 2020, by the time of publication, the value of Bitcoin mined would have risen by 200%; however, the price of the mining machine itself increased 400% during the same time frame.

Therefore, it is safe to call BTCST a leveraged token of Bitcoin.

2. Grayscale-like operations in the mining industry

2020 is the year of Grayscale, and BTCST may prolong the saga in the Bitcoin mining industry. Institutional liquidity injected by Grayscale sparked the bullish market, and BTCST will help release liquidity to the mining industry and enable the execution of liquidity premium in the secondary market.

By trading BTCST, market participants can freely enter and exit Bitcoin mining exposure in any size, at any time, and with low costs. Even miners without mining power tokenized by BTCST can make use of the token to capture the profits or hedge against the risks of mining machine price fluctuation.

3. Enhanced cloud mining

Cloud mining is an imperfect solution to the lack of liquidity, and its reputation is clouded by frequent scams. The legitimate providers also fall short of full transparency.

BTCST is a cloud mining platform deployed on the Binance Smart Chain, with daily payouts executed by the dApp and all data traceable. Binance Pool, the world’s second-largest Bitcoin mining pool, functions as the auditor for BTCST and guarantees legitimacy and transparency.

4. DeFi of 2021

BTCST is a DeFi project without risks of impermanent loss. When a user un-stakes BTCST, the user is safeguarded by code to retrieve the same amount of BTCST along with the accrued Bitcoin mining rewards.

BTCST has passed the scrutiny of CertiK, one of the world’s leading blockchain security firms, scoring a 98 out of 100 in a security audit.