The leader of The Forward Party – Andrew Yang – said his political organization will have a pro-cryptocurrency approach.
Andrew Yang – an American entrepreneur, politician, and founder of the newly launched Forward Party – said he wants his organization to represent the US crypto community.
In Attempt to Solve America’s Financial Problems
“Not right. Not left. Forward.” That is the slogan of the new political party in the United Stated – The Forward Party. According to its pro-crypto founder – Andrew Yang – the digital asset industry is also headed in that direction.
Yang – best known for being a candidate in the 2020 Democratic Party presidential primaries and the 2021 New York City Democratic mayoral primary – stated in a recent podcast that his party should be deeply connected with the American crypto enthusiasts.
“I want to make the Forward Party the Crypto Party, truly. Because I see the alignment as very, very deep. I want to make the case to legislators the cryptocurrency community is a force for progress, a force for innovation, a massive provider of jobs.”
The entrepreneur pointed out that bitcoin and the altcoins will be the main focus for his political organization. During the podcast, he mentioned some of America’s major financial issues, such as the “broken” banking system and irrational money supply after March last year or, in other words – the beginning of the COVID-19 pandemic. Yang raised hopes that digital assets could be highly beneficial in this problematic situation:
“My hope is that we can try to get some sanity into Washington around the fact that cryptocurrencies should be here to stay and if we are thoughtful about it we could do an enormous amount of good to solve some of our biggest problems that we are struggling with.”
Contrary to Elon Musk, who recently said the US government should do “nothing” in terms of crypto regulations, Yang believes that investors can not operate on the market without any rules at all:
“I don’t think it’s realistic to expect that you can do your own thing entirely. There will have to be some regulation, but you want to do it the right way, the intelligent way.”
Other Politicians in Favour of Crypto?
Apart from Andrew Yang, who has proved his support towards the asset class numerous times, there are other names in the political life who are keen on bitcoin and the altcoins.
Maxime Bernier – Leader of the fast-growing “People’s Party” of Canada – is one of those examples. Just a week before a federal election in the country, he was asked whether he was in favor of cryptocurrencies, to which he replied positively.
“I hate how central banks are destroying our money and economy. I’m more of an old-fashioned gold & silver fan, but cryptos are another new and innovative way to counter this that should be encouraged.”
Arguably the most famous politician who believes in bitcoin’s merits, at least in the crypto community, is El Salvador’s President – Nayib Bukele. The leader played a significant role in BTC becoming legal tender inside the Latin American country’s borders. The initiative has already generated millions in profits for the nation, as Bukele revealed he would use part of the gains to build a massive pet hospital.
Fidelity to Launch Spot Bitcoin ETF This Week
Fidelity is aiming to launch its first spot Bitcoin ETF
Fidelity, an American multinational financial services corporation, is set to launch its first spot Bitcoin ETF in Canada this week, according to Bloomberg senior ETF analysts.
Fidelity is a multinational financial services corporation that was established in 1946, and it remains one of the largest asset management companies in the world with $4.9 trillion AUM with a total AVN of $8.3 trillion.
SEMI-SHOCK: Fidelity launching a spot bitcoin ETF in Canada this week. Didn't know about this. Will easily be the biggest asset manager to date with a bitcoin ETF. pic.twitter.com/H2XJRBY3O6— Eric Balchunas (@EricBalchunas) November 30, 2021
According to Bloomberg analysts, the fund with FBTC CN is currently pending listing on the Canadian exchange and will be trading under the name Fidelity Advantage Bitcoin. Balchunas also notes that the new fund might possibly become the biggest asset management company that includes Bitcoin products.
Spot ETF as main advantage
While futures-backed Bitcoin ETFs are not something new for the market, the physically-backed exchange-traded fund would actually be a more convenient solution for Canadian investors who are willing to receive exposure to the cryptocurrency market and Bitcoin specifically.
Compared to futures-backed funds, physical settlement Bitcoin products allow investors to receive direct exposure to the cryptocurrency market without facing high roll costs. Since Bitcoin-tracking funds utilize short-term one-month futures, they have to renew their contracts every month, which puts investors in an unfavorable position.
Due to funds operating with large volumes, the futures market faces significant buying power that puts futures contracts prices higher than the actual underlying asset. Such a market condition is called contango bleed when investors have to overpay for opening new positions on the market, which puts them at around a 20% annual loss.
Former PayPal CEO’s Cryptocurrency Exchange Goes Live for Institutional Clients
“Bullish” exchange backed by PayPal co-founder is set to launch for institutional investors.
The cryptocurrency exchange backed by Peter Thiel and Richard Li began operating for a batch of institutional investors on Tuesday. The start for institutional investors is only the first step before the full launch for private investors and traders.
The Bullish Exchange will offer Bitcoin, Ether and EOS tokens for trading against USD coins. With further development and expansion in the future, the exchange will broaden its digital assets offering for both institutional and retail investors.
Among the exchange’s first clients are firms like Virtu Financial (non-U.S. affiliate) and Hong Kong-based crypto finance firm Amber Group. The first company is an electronic market-making firm that is based in New York.
The new exchange, which is also backed by hedge fund managers Alan Howard and Louis Bacon, was established earlier in 2021. The exchange has numerous distinctive features that come from the world of decentralized finance, including automated market making, lending tools and portfolio management mechanisms that will help traders to properly handle their funds.
The chairman of Bullish exchange presented his product like a tool designed for investors who are looking for secure and efficient exposure to the digital assets market on a platform that will ensure funds safety from both the technical and legal sides.
The exchange will initially use its own assets to add more liquidity to pools that would be used by automated lending and market-making mechanisms. The backend of Bullish exchange is powered by EOSIO—open-source blockchain software developed by Block.one.
Plans for the future
Bullish exchange is planning to further broaden its offering by going public on the New York Stock Exchange by merging with SPAC company Far Peak Acquisition Crop. The transaction between the two companies will set the exchange’s value at approximately $9 billion.
‘New Blow’ as Large Crypto Exchanges Are Told to Pay British Tech Tax
Crypto exchanges operating in the United Kingdom â€“ including the likes of Coinbase â€“ will be forced to pay a recently created tech tax â€“ with the British tax body, HM Revenue and Customs (HMRC), declaring that cryptoassets â€œare not financial instruments.â€
The British Treasury last year announced the launch of a new 2% sales charge on online vendors, search engines and social media providers with global revenue of over USD 666.4m and domestic sales above the USD 33.3m mark.
Per the Telegraph, the tax office has informed crypto exchanges that they are subject to the levy, which was created in a bid to make sure the likes of Google and Amazon â€“ who have been criticized for finding tax workarounds in the UK â€“ contribute more to the Treasuryâ€™s coffers.
The same media outlet noted that although Coinbaseâ€™s UK operations had reported sales worth just under USD 24m, â€œthe company recently reported that global revenues had quadrupled, meaning it is likely to pass the UK threshold in 2021.â€
However, the tax may be short-lived, at least in its current form: earlier this year, the G20 agreed to create a streamlined tax essentially aimed at global tax giants. The measure will force some of the world’s biggest companies to cough up some USD 150bn in extra tax revenue each year.
Last month, the BBC reported that G20 chiefs had agreed to create a global minimum tax rate of 15% for large companies, and would enforce the measure starting in 2023.
In the meantime, however, the British â€œtech taxâ€ is still in place â€“ and Coinbase is likely to have to pay it.
HMRCâ€™s ruling that cryptoassets â€œare not financial instrumentsâ€ is key. Financial providers are exempt from the tax, but the tax bodyâ€™s insistence that tokens â€œdo not qualify as commodities or moneyâ€ means that crypto trading platforms cannot slip through the net.
The same media outlet quoted the crypto pressure group CryptoUK as claiming that it was â€œunfairâ€ to classify crypto â€œdifferently to other financial assetsâ€ â€“ particularly as the UK tax bodyâ€™s American counterparts largely consider coins to be commodities.
CryptoUK director Ian Taylor was quoted as calling the move â€œa new blowâ€ to crypto exchanges, who were already reeling from â€œarduousâ€ licensing measures announced by the regulatory Financial Conduct Authority â€“ ultimately leading to higher fees for exchange customers.