🔴Russia Mobilizes DeFi | This Week in Crypto – Feb 6, 2023

Twitter proceeds with payment platform initiatives, MetaMask unveils new privacy features and Cathie Wood stands by her ten-year bitcoin price target even in the midst of a bear market. These stories and more this week in crypto.

January: Bitcoin’s Best Month Since 2021

Bitcoin closed out January with a 40% spike, its best month since October 2021. The total value of cryptocurrency assets added more than $200 Billion in January alone. Ethereum also saw its price surge, but so did the network’s gas fees, with the average fee rising to over $5 per transaction.

Musk’s Crypto Integration into Twitter Advances

Elon Musk appears to be proceeding with plans to integrate a payment system into Twitter. Sources quoted by the Financial Times say Twitter is also seeking regulatory registrations and financial licenses in several states. According to the sources the payment system will initially handle fiat currencies, with plans to add cryptocurrencies later on.

MetaMask Wallet Unveils New Privacy Features

Leading self-custodial crypto wallet MetaMask, unveiled several privacy features. Under the advanced privacy settings, users can now toggle features that send requests to third-party services to help with phishing detection and identifying incoming transactions. The update came as a response to ongoing criticism regarding its privacy policies and increased phishing attacks targeting MetaMask users.

Russia’s Largest Bank Plans a DeFi Platform

Russia’s largest bank, Sberbank is set to launch a decentralized finance platform on the Ethereum network with the aim to displace traditional banking services. The platform, which is already in its closed beta phase, is not the first crypto-related venture for Sberbank, which already has a license to issue and exchange digital assets and launched Russia’s first blockchain ETF.

UK Government Tightens Crypto Regulation

The British government is proposing measures to robustly regulate the crypto industry. Newly proposed measures include provisions to ensure that customers’ assets are returned if a business becomes insolvent, as well as efforts to prevent pump and dump schemes. The government says the published proposals will give consumers more confidence while allowing the crypto sector to thrive.

U.S. Senate to Examine Crypto Dangers

The U.S. Senate Banking Committee will hold a hearing in February to examine financial system protections from dangers posed by digital assets, with a focus on the 2022 crypto industry dramas. The hearing, titled “Crypto Crash: Why Financial System Safeguards are Needed for Digital Assets,” highlights the urgency of crypto issues and the need for actions.

 Tesla Loses $140 Million on Bitcoin in 2022

According to an SEC filing, Tesla lost $140M from its Bitcoin investments in 2022, reporting a $204 million impairment charge against a $64 million gain from converting Bitcoin to fiat currency. An impairment charge reflects changes in the market value of an asset, in this case Bitcoin, from the time it was acquired. Despite the loss, Tesla still holds over $200 million in Bitcoin, even after selling 75% of its holdings in July.

Cathie Wood Reaffirms 2030 Price Prediction

Ark Invest CEO Cathie Wood stood by her thesis that Bitcoin will hit $500,000 by 2030. In an interview on CNBC, she said this is just a bearish case and added that their base price target is even higher. Wood said her flagship Ark Innovation ETF, or ARKK, now offers investors better exposure to companies focused on long-term innovation than traditional market benchmarks, saying ARKK is the New Nasdaq.

That’s what’s happened this week in crypto, see you next week.