Who manipulates the cryptocurrency market and how
Today we will talk about bitcoin futures, crypto derivatives, margin trading, and everything It is not directly related to bitcoin, but without which we can not imagine the cryptocurrency market.
How did this come about and is there a real threat to bitcoin? We will understand everything in this article.
Actual trading volumes
Vitalik Buterin wanted to buy Hell as much as possible. Then he was beautifully replaced by the head of Binance Changpeng Zhao , who said that if it were not for exchanges, then where would the industry take money. And here he, of course, is right. But, what is being traded on cryptocurrency exchanges?
In our last final video, we talked about the new metric on the portal CoinMarketKap , according to which, the liquidity on the cryptocurrency market is only 0.2%:
Cryptocurrency Exchange Liquidity
And now let's take a look at the numbers a little more. We take the announced trading volume on CoinMarketCap and look at BitMEX - it is $ 3.525 billion:
And if you scroll down, then Binance has a little more than $ 1.192 billion:
And as it were Compared to what cryptocurrency exchanges claim, these numbers are still ridiculous. But let's recall the real trading volumes, which are only $ 444 million.
An interesting video was released on the Chico Crypto channel, in which its author tried to uncover the secrets of the Bakkt Bitcoin repository and traced their connection with Donald himself Trump
But all these are details, and if Bakkt is launched by the same company that owns the New York Stock Exchange, then obviously they are acting under the auspices of the US authorities and they have some kind of plan. And we are more than confident that Windows, Starbucks and Fidelity Investments are not just their partners, but the missing pieces of this puzzle.
Another news: Bakkt is already testing its application for ] micropayments in cryptocurrencies . First it will be Bitcoin, for which they promise to sell coffee at Starbucks, Windows will probably help with the development, well, and Fidelity is another large warehouse for bitcoins that companies and institutional investors decide to buy. That is, they will probably also be given access to this application, which should be expected in mid-2020.
And if we return to the investigation of Chico Crypto, then the Bakkt bitcoin depository is that black hole, from which it is completely unclear how to pick up the cryptocurrency, that is, it works only in one direction. And then we will be offered a universal platform, if you want to trade, if you want to go, and if you want coffee at Starbucks, buy it. Why would you own private keys , give them to us and live for your pleasure.
Here such a situation looms. What is the result? Whether we like the crypto derivatives market or not, we won’t be asked if it is needed or not. This is a tool for making money, for those who are willing to take risks. And until the authorities decide that it is time to put the crypto-exchanges in place, billions of dollars that are not directly related to bitcoin will rotate there. And this moment may come after the same Bakkt matures to that level of development in order to become the main cryptocurrency market. At least they have the financial, technical and political resources for this.
How bad is this? Let's just say that you and I will not be asked again, nor will they be able, on the other hand, to force us to abandon private keys and own bitcoins independently. Just don’t get fooled by their ads and manage your money yourself.
But there is also a relatively positive point. While China has unsuccessfully trying to stop cryptocurrency trading , the US decided to act on the principle: if you can’t win, then you need to lead. That is, they see an opportunity to benefit from this and are not going to introduce a total ban. Well, you and I need to be prepared to defend our rights so that their benefits do not interfere with our right to financial freedom.