Golden Morning Post | In the first half of the year, encryption hedge funds stopped nearly 100% inferior to Bitcoin

Headline

▌Data: Nearly 100 crypto hedge funds have closed since the beginning of the year, and crypto funds performed worse than Bitcoin in the first half of the year

Jinse Finance reported that according to Bloomberg, citing data from Swiss investment consultant 21e6 Capital AG, there have been more than 700 cryptocurrency funds worldwide this year, but since the beginning of 2023, 97 funds (accounting for 13%) have closed crypto funds. Moreover, the average return for these crypto funds in the first half of the year was 15.2%, lagging behind Bitcoin's 83.3% gain. Many funds are holding more cash than usual due to last year's turmoil in the industry, the report said. Funds with a market-neutral strategy were the worst performers, with an average return of just 6.8 percent over the January-June period, said Maximilian Bruckner, head of marketing and sales at 21e6. Funds that made directional bets returned an average of 21.9 percent. But the performance still lags behind Bitcoin. While many funds have had to slow down operations due to regulatory uncertainty over popular banking partners and fund governing bodies, discretionary crypto funds do not face this problem, while quant funds are more susceptible to volatile markets suppression.

▌**U.S. President Joe Biden posted on the encrypted community****“Resico Eye”**logo pattern coffee cup

Golden Finance reported that U.S. President Biden said on social media that a cup of Joe's coffee has never tasted so good, and attached a video of himself drinking coffee from a cup. Jinse Finance found that the image of Biden's face printed on the coffee mug has the "Resico Eye" logo dedicated to the crypto community, which is a favorite element for Bitcoin enthusiasts when designing their personal photos. It is reported that the "laser eye" phenomenon is part of a campaign on social media to push the price of bitcoin to reach $100,000 by the end of 2021, but this goal has not been achieved.

▌BloombergETF Analyst: So far ****11****ETF**** applications for Ethereum Futures**** have been received

Jinse Finance reported that Bloomberg ETF analyst James Seyffart tweeted that 11 Ethereum futures ETF applications have been received, and Proshares has applied for the fourth Ethereum futures ETF. This ETF is an equal weighted bitcoin and ethereum ETF, like Bitwise filed an hour ago.

Quotes

As of press time, according to coinmarketcap data:

The latest transaction price of BTC is 29060.5 US dollars, with an intraday change of -0.58%;

The latest transaction price of ETH is 1827.21 US dollars, with an intraday change of -0.58%;

The latest transaction price of BNB is 241.5 US dollars, with an intraday increase and decrease of +0.17%;

The latest transaction price of XRP is US$0.6366, with an intraday increase and decrease of -4.55%;

The latest transaction price of DOGE is US$0.073418, with an intraday change of -0.52%;

The latest transaction price of ADA is US$0.2936, with an intraday increase and decrease of +0.32%;

MATIC's recent transaction price was US$0.664, with an intraday change of -0.73%.

policy

▌Oman Financial Regulator Seeks to Roll Out Virtual Asset Regulations

Jinse Finance reports that the Sultanate of Oman is about to introduce its own virtual asset regulations, and its financial market regulator is seeking public comments on its proposed regulatory framework for managing digital assets such as cryptocurrencies. In a consultation paper published on July 27, the Oman Capital Markets Authority said it is currently drafting a comprehensive regime in the field of virtual assets, which includes various business requirements and market abuse prevention. The consultation document consists of 26 questions for which industry stakeholders can submit comments. It includes proposals on regulatory and licensing requirements for virtual asset service providers (VASPs), corporate governance, risk management, and the issuance of virtual assets. It revealed that the proposed framework includes utility tokens, security tokens, fiat-backed and asset-backed stablecoins, and other digital currencies that fall under the Financial Action Task Force’s definition of virtual assets. However, the issuance of privacy coins may be banned pending public feedback.

Blockchain Application

▌****Russian central bank announces digital ruble sign and commission rate

Jinse Finance reported that the central bank’s digital currency project being developed by the Russian central bank has now received an official logo. The Bank of Russia also announced commission rates, which will not be charged until 2025. In addition to the logo, the Bank of Russia also displayed commission fees for different types of operations on its CBDC. All services will be free until the end of 2024, but starting in 2025, B2B transactions will be charged 15 rubles ($0.16) per transaction, while individuals will pay 0.3% of the transaction amount when transferring money to business accounts, while paying civil servants A service charge of 0.2% will be paid.

▌****Austria plans to include cash payments in the constitution to oppose the implementation of a digital euro

Golden Finance reported that the Austrian government plans to write the right to use cash into the constitution to address the hot topic of the opposition party on digital currency. The Vienna government has set up a task force to determine how payments in physical currency should be made a constitutional right. This will ensure stores continue to accept cash and guarantee access to ATMs for all residents. Some 54% of people in Austria still use their cards to pay for groceries, compared with 37% who use cards, according to a survey published in June by OGM Research. The far-right Freedom Party has campaigned extensively against cash restrictions as part of its push against the European Central Bank's move to create a digital euro. Although tourism is a major part of the economy, many Austrian restaurants and cafés, mostly outside the capital, still do not accept digital payments.

Cryptocurrency

▌****Report: Bitcoin price exceeds 9.8 million before halving to avoid losses

Jinse Finance reported that according to a report published by MadeEasy-Finance, although RIOT expects to triple its mining capacity by 2024, the company and Bitcoin miners in general may face serious resistance from halving. Of course, if the BTC block reward is reduced by 50%, the main source of income for miners will be cut in half. Publicly listed Bitcoin mining companies may avoid losses if the BTC price remains at least $98,000 before halving next year. Miners like RIOT can also issue new shares to fund their operations. This dilutes the existing stock, which means that even if the company's fundamental fundamentals hold up, the stock price may not keep up. Although public mining stocks will outperform Bitcoin in 2023, an increase in the amount of Bitcoin sent to exchanges could signal a decline in momentum. Therefore, a significant increase in the price of Bitcoin is necessary to ensure that miners remain profitable at today's hash rate levels.

**▌****Report: 16 largest listed mining companies account for **16% of BTC total mining

Jinse Finance reported that broker Bernstein stated in a research report on Thursday that Bitcoin (BTC) miners are increasing their production capacity significantly, and the 16 largest listed mining companies account for 16% of the total BTC mining. Bernstein stated that their current combined mining capacity is 72 exahashes per second (EH/s), noting that the company plans to increase this by 182% in the next 2-3 years. Analysts said, "Large miners with low production costs and low debt are likely to be the biggest beneficiaries of increased capacity, and they have a greater ability to withstand any Bitcoin price fluctuations and the upcoming Bitcoin halving belt in the first quarter of 2024." Costs are going up."

▌NFTMarketZora launches protocol rewards, creators and developers can get casting fee rewards

On August 4th, the NFT market Zora launched protocol rewards. Creators and developers can obtain on-chain rewards on Zora. The protocol rewards are provided by casting fees, which are now automatically allocated to creators and developers. Starting today, developers who publish free minted projects and develop on Zora will receive a portion of the fee for each minted project. The minting fee is still 0.000777 ETH each time, and the part that guarantees Zora will be greatly reduced. The rest will go to creators and developers for new experiences and tools.

▌Data:7monthCMEencryption option trading volume increased24%, the first increase in four months

Jinse Finance reported that the trading volume of cryptocurrency options on the Chicago Mercantile Exchange (CME) recorded double-digit growth in July. Deal activity rose 24 percent to $940 million, the first increase in four months, according to data tracked by CCData. Bitcoin options volume rose 16.6% to $734 million, while Ethereum options volume rose 60% to $207 million. Additionally, futures volume on the CME fell 17.6% to $39.1 billion, while total derivatives volume (futures and options) fell 17.0% to $40.1 billion, according to CCData. According to a report by CCData, the increase in CME Bitcoin options trading volume indicates that institutions may use options to hedge positions due to uncertainty in the market.

▌**Latvia’s investment in crypto assets dropped by **50% last year

Jinse Finance reported that, according to data from Latvijas Banka, investment in crypto assets in Latvia fell by 50% last year. According to the findings of payment card usage, 4% of the population purchased crypto assets in February 2023, compared to 8% overall in 2022, the bank said. Latvia has a population of 1.84 million. The central bank attributes the decline in interest in crypto to negative sentiment among major market players related to fraud and insolvency, “unwise” investments that have been made, cryptocurrencies’ links to money laundering, and “linkages of cryptoasset companies to regulated institutions.” increasingly close” and other factors. Latvians moved 51.8 million euros ($57 million) to crypto wallets in 2022, a pace that slowed to 10.7 million ($11.8 million) in the first quarter of 2023, the report said. Most of these accounts are located in companies in European countries such as Lithuania, Estonia, Malta and Ireland.

Important economic developments

▌US7month non-agricultural employment increased18.710,000below market expectations

Jinse Finance reported that the number of non-agricultural employment in the United States increased by 187,000 in July, the smallest increase since December 2020. It is estimated that the increase was 200,000, and the previous value was an increase of 209,000.

Golden Encyclopedia

▌****Lack of Turing completeness

Although the Bitcoin script language can support many kinds of calculations, it cannot support all calculations. The main thing missing is the loop statement. The purpose of not supporting loop statements is to avoid infinite loops when transactions are confirmed. In theory, this is a surmountable hurdle for script programmers, since any loop can be simulated by repeating the if statement multiple times, but doing so would result in inefficient use of script space, e.g. implementing a An alternative elliptic curve signature algorithm would probably require 256 repeated multiplications, each individually encoded.