European Central Bank President Mario Draghi: 'Bitcoin ...

Mario Draghi, President of the ECB: "However, recent developments, such as the listing of Bitcoin futures contracts by US exchanges, could lead European banks too to hold positions in Bitcoin, and therefore we will certainly look at that."

Mario Draghi, President of the ECB: submitted by rattenlinie to CryptoCurrency [link] [comments]

Elaborating on Datadash's 50k BTC Prediction: Why We Endorse the Call

As originally published via CoinLive
I am the Co-Founder at CoinLive. Prior to founding Coinlive.io, my area of expertise was inter-market analysis. I came across Datadash 50k BTC prediction this week, and I must take my hats off to what I believe is an excellent interpretation of the inter-connectivity of various markets.
At your own convenience, you can find a sample of Intermarket analysis I've written in the past before immersing myself into cryptos full-time.
Gold inter-market: 'Out of sync' with VIX, takes lead from USD/JPY
USD/JPY inter-market: Watch divergence US-Japan yield spread
EUUSD intermarket: US yields collapse amid supply environment
Inter-market analysis: Risk back in vogue, but for how long?
USD/JPY intermarket: Bulls need higher adj in 10-y US-JP spread
The purpose of this article is to dive deeper into the factors Datadash presents in his video and how they can help us draw certain conclusions about the potential flows of capital into crypto markets and the need that will exist for a BTC ETF.
Before I do so, as a brief explainer, let's touch on what exactly Intermarket analysis refers to:
Intermarket analysis is the global interconnectivity between equities, bonds, currencies, commodities, and any other asset class; Global markets are an ever-evolving discounting and constant valuation mechanism and by studying their interconnectivity, we are much better positioned to explain and elaborate on why certain moves occur, future directions and gain insights on potential misalignments that the market may not have picked up on yet or might be ignoring/manipulating.
While such interconnectivity has proven to be quite limiting when it comes to the value one can extract from analyzing traditional financial assets and the crypto market, Datadash has eloquently been able to build a hypothesis, which as an Intermarket analyst, I consider very valid, and that matches up my own views. Nicolas Merten constructs a scenario which leads him to believe that a Bitcoin ETF is coming. Let's explore this hypothesis.
I will attempt to summarize and provide further clarity on why the current events in traditional asset classes, as described by Datadash, will inevitably result in a Bitcoin ETF. Make no mistake, Datadash's call for Bitcoin at 50k by the end of 2018 will be well justified once a BTC ETF is approved. While the timing is the most challenging part t get right, the end result won't vary.
If one wishes to learn more about my personal views on why a BTC ETF is such a big deal, I encourage you to read my article from late March this year.
Don't Be Misled by Low Liquidity/Volume - Fundamentals Never Stronger
The first point Nicholas Merten makes is that despite depressed volume levels, the fundamentals are very sound. That, I must say, is a point I couldn't agree more. In fact, I recently wrote an article titled The Paradox: Bitcoin Keeps Selling as Intrinsic Value Set to Explode where I state "the latest developments in Bitcoin's technology makes it paradoxically an ever increasingly interesting investment proposition the cheaper it gets."
However, no article better defines where we stand in terms of fundamentals than the one I wrote back on May 15th titled Find Out Why Institutions Will Flood the Bitcoin Market, where I look at the ever-growing list of evidence that shows why a new type of investors, the institutional ones, looks set to enter the market in mass.
Nicholas believes that based on the supply of Bitcoin, the market capitalization can reach about $800b. He makes a case that with the fundamentals in bitcoin much stronger, it wouldn't be that hard to envision the market cap more than double from its most recent all-time high of more than $300b.
Interest Rates Set to Rise Further
First of all, one of the most immediate implications of higher rates is the increased difficulty to bear the costs by borrowers, which leads Nicholas to believe that banks the likes of Deutsche Bank will face a tough environment going forward. The CEO of the giant German lender has actually warned that second-quarter results would reflect a “revenue environment [that] remains challenging."
Nicholas refers to the historical chart of Eurodollar LIBOR rates as illustrated below to strengthen the case that interest rates are set to follow an upward trajectory in the years to come as Central Banks continue to normalize monetary policies after a decade since the global financial crisis. I'd say, that is a correct assumption, although one must take into account the Italian crisis to be aware that a delay in higher European rates is a real possibility now.
![](https://coinlive.io/ckeditor_assets/pictures/947/content_2018-05-30_1100.png)
Let's look at the following combinations: Fed Fund Rate Contract (green), German 2-year bond yields (black) and Italy's 10-year bond yield (blue) to help us clarify what's the outlook for interest rates both in Europe and the United States in the foreseeable future. The chart suggests that while the Federal Reserve remains on track to keep increasing interest rates at a gradual pace, there has been a sudden change in the outlook for European rates in the short-end of the curve.
While the European Central Bank is no longer endorsing proactive policies as part of its long-standing QE narrative, President Mario Draghi is still not ready to communicate an exit strategy to its unconventional stimulus program due to protectionism threats in the euro-area, with Italy the latest nightmare episode.
Until such major step is taken in the form of a formal QE conclusion, interest rates in the European Union will remain depressed; the latest drastic spike in Italy's benchmark bond yield to default levels is pre-emptive of lower rates for longer, an environment that on one hand may benefit the likes of Deutsche Bank on lower borrowing costs, but on the other hand, sets in motion a bigger headache as risk aversion is set to dominate financial markets, which leads to worse financial consequences such as loss of confidence and hence in equity valuations.
![](https://coinlive.io/ckeditor_assets/pictures/948/content_2018-05-30_1113.png)
Deutsche Bank - End of the Road?
Nicholas argues that as part of the re-restructuring process in Deutsche Bank, they will be facing a much more challenging environment as lending becomes more difficult on higher interest rates. At CoinLive, we still believe this to be a logical scenario to expect, even if a delay happens as the ECB tries to deal with the Italian political crisis which once again raises the question of whether or not Italy should be part of the EU. Reference to an article by Zerohedge is given, where it states:
"One day after the WSJ reported that the biggest German bank is set to "decimate" its workforce, firing 10,000 workers or one in ten, this morning Deutsche Bank confirmed plans to cut thousands of jobs as part of new CEO Christian Sewing's restructuring and cost-cutting effort. The German bank said its headcount would fall “well below” 90,000, from just over 97,000. But the biggest gut punch to employee morale is that the bank would reduce headcount in its equities sales and trading business by about 25%."
There is an undeniably ongoing phenomenon of a migration in job positions from traditional financial markets into blockchain, which as we have reported in the past, it appears to be a logical and rational step to be taken, especially in light of the new revenue streams the blockchain sector has to offer. Proof of that is the fact that Binance, a crypto exchange with around 200 employees and less than 1 year of operations has overcome Deutsche Bank, in total profits. What this communicates is that the opportunities to grow an institution’s revenue stream are formidable once they decide to integrate cryptocurrencies into their business models.
One can find an illustration of Deutsche Bank's free-fall in prices below:
![](https://coinlive.io/ckeditor_assets/pictures/946/content_2018-05-30_1052.png)
Nicholas takes notes of a chart in which one can clearly notice a worrying trend for Italian debt. "Just about every other major investor type has become a net seller (to the ECB) or a non-buyer of BTPs over the last couple of years. Said differently, for well over a year, the only marginal buyer of Italian bonds has been the ECB!", the team of Economists at Citi explained. One can find the article via ZeroHedge here.
![](https://coinlive.io/ckeditor_assets/pictures/953/content_2018-05-30_1451.png)
Equities & Housing to Suffer the Consequences
Nicholas notes that trillions of dollars need to exit these artificially-inflated equity markets. He even mentions a legendary investor such as George Soros, who has recently warned that the world could be on the brink of another devastating financial crisis, on lingering debt concerns in Europe and a strengthening US dollar, as a destabilizing factor for both the US's emerging- and developed-market rivals.
Ray Dalio, another legend in the investing world and Founder of Bridgewater Associates, the world’s largest hedge fund, "has ramped up its short positions in European equities in recent weeks, bringing their total value to an estimated $22 billion", MarketWatch reports.
Nicholas extracts a chart by John Del Vecchio at lmtr.com where it illustrates the ratio between stocks and commodities at the lowest in over 50 years.
As the author states:
"I like to look for extremes in the markets. Extremes often pinpoint areas where returns can be higher and risk lower than in other time periods. Take the relationship between commodities and stocks. The chart below shows that commodities haven not been cheaper than stocks in a generation. We often hear this time it is different” to justify what’s going on in the world. But, one thing that never changes is human nature. People push markets to extremes. Then they revert. "
![](https://coinlive.io/ckeditor_assets/pictures/954/content_2018-05-30_1459.png)
Bitcoin ETF the Holy Grail for a Cyclical Multi-Year Bull Run
It is precisely from this last chart above that leads Nicholas to believe we are on the verge of a resurgence in commodity prices. Not only that but amid the need of all this capital to exit stocks and to a certain extent risky bonds (Italian), a new commodity-based digital currency ETF based on Bitcoin will emerge in 2018.
The author of Datadash highlights the consideration to launching a Bitcoin ETF by the SEC. At CoinLive, our reporting of the subject can be found below:
"Back in April, it was reported that the US Securities and Exchange Commission (SEC) has put back on the table two Bitcoin ETF proposals, according to public documents. The agency is under formal proceedings to approve a rule change that would allow NYSE Arca to list two exchange-traded funds (ETFs) proposed by fund provider ProShares. The introduction of an ETF would make Bitcoin available to a much wider share of market participants, with the ability to directly buy the asset at the click of a button, essentially simplifying the current complexity that involves having to deal with all the cumbersome steps currently in place."
Nicholas refers to the support the Bitcoin ETF has been receiving by the Cboe president Chris Concannon, which is a major positive development. CoinLive reported on the story back in late March, noting that "a Bitcoin ETF will without a doubt open the floodgates to an enormous tsunami of fresh capital entering the space, which based on the latest hints by Concannon, the willingness to keep pushing for it remains unabated as the evolution of digital assets keeps its course."
It has been for quite some time CoinLive's conviction, now supported by no other than Nicholas Merten from Datadash, that over the next 6 months, markets will start factoring in the event of the year, that is, the approval of a Bitcoin ETF that will serve as a alternative vehicle to accommodate the massive flows of capital leaving some of the traditional asset classes. As Nicholas suggests, the SEC will have little choice but to provide alternative investments.
Bitcoin as a Hedge to Lower Portfolios' Volatility
Last but not least, crypto assets such as Bitcoin and the likes have an almost non-existent correlation to other traditional assets such as stocks, bonds, and commodities, which makes for a very attractive and broadly-applicable diversification strategy for the professional money as it reduces one’s portfolio volatility. The moment a Bitcoin ETF is confirmed, expect the non-correlation element of Bitcoin as a major driving force to attract further capital.
Anyone Can Be Wrong Datadash, But You Won't be Wrong Alone
Having analyzed the hypothesis by Nicholas Merten, at CoinLive we believe that the conclusion reached, that is, the creation of a Bitcoin ETF that will provide shelter to a tsunami of capital motivated by the diversification and store of value appeal of Bitcoin, is the next logical step. As per the timing of it, we also anticipate, as Nicholas notes, that it will most likely be subject to the price action in traditional assets. Should equities and credit markets hold steady, it may result in a potential delay, whereas disruption in the capital market may see the need for a BTC ETF accelerate. Either scenario, we will conclude with a quote we wrote back in March.
"It appears as though an ETF on Bitcoin is moving from a state of "If" to "When."
Datadash is certainly not alone on his 50k call. BitMEX CEO Arthur Hayes appears to think along the same line.
On behalf of the CoinLive Team, we want to thank Nicholas Merten at Datadash for such enlightening insights.
submitted by Ivo333 to BitcoinMarkets [link] [comments]

[ECON] The Great Redemption

[M] Apologies for reposting this, but on my end the post kept disappearing for some reason, and I doubt anyone else could see it.
—————
[Central Bank of Chile](https://www.bcentral.cl/web/central-bank-of-chile/home), Augustinas 1180, Santiago de Chile

The Road to Redemption

January 9th, 2022
Following the collapse of Lehman Brothers on September 15th, 2008, the international financial fabric was torn apart into an existential crisis. Threatened by the "Great Recession", the global ruling class was forced into taking decisive action. Most Governments opted to bail out the banks, driven by their mantra of "too big to fail". Elsewhere, financial authorities and Central Banks opted to do the unthinkable by letting the market collapse.
In the wake of the global recession, a plethora of financial reforms were carried out. Some economists revisited the concept of doing away with fractional reserve banking altogether, with Iceland nearly leading the way. Most conventional politicians, meanwhile, opted to enact some of the most complex regulatory legislation in financial history, adding over eleven thousand pages to the bureaucratic burdern in the process.In the meantime, the regular "bloke on the street" had finally had enough and clamoured for change.
Today, nearly fifteen years later, "recession" has once again become the name of the game. With the European economy entering a state of contraction and German commercial banks facing imminent collapse, the global economic system is on the edge of being subjected to the worst economic crisis in recorded history. And while the Bundestag has already **recommitted itself to a bailout, others have yet to respond to the impending financial meltdown.
Although Chile and the rest of Latin America are somewhat isolated and thus shielded from the "European dumpster fire", the Government is keenly aware that the situation could quickly take a turn for the worse. As such, the Ministry of Finance and the Central Bank of Chile have decided to embark on what they call "The Great Redemption". And although financial reform is contrary to the Allende Administration's strictly interim nature of governance, the President believes that the State has an inherently entrenched obligation to protect its citizens from suffering at the hands of the financial system. "The old continent has finally met its end", an increasingly aged and fragile Allende told the New York Times. "And in this new world order, Chile leads the way."

Hard-coded Monetarism

Following the global financial and subsequent European sovereign debt crisis, the European Central Bank embarked on a "Quantitative Easing" program of monumental proportions. While "Super Mario's" money printing machine allowed for Keynesian contra-cyclical spending, the long-term consequences of the ECB's continued buyback program have seemingly far outstripped the benefits. Negative interest rates have become standard practice across the Eurozone, and Christine Lagarde's continuation of her predecessor's policies has effectively led to the loss of the continent's ability to undertake monetary policy. Meanwhile, "inflation's ugly twin" is threatening to put a halt to consumer spending, potentially throwing more oil on the continental-sized dumpster fire.

Towards a Cashless Society

Following the introduction of Bitcon in the wake of the global financial crisis, digital cryptocurrencies have promised to dramatically reshape our moodern conception of money. After having watched privately-sanctioned digital coinage wax and wane for several years, Central Bankers across the globe have increasingly started calling for a public alternative. The dangers of private digital fiat money became abundantly clear when social media behemoth Facebook announced it would issue its own global cryptocurrency), with the Bank for International Settlements publicly denouncing the notion of digital currency being monopolised by private actors. The French and German Governments quickly followed suit, striking a major blow to the Libra.

Privatisation with a Human Face

Founded in 1953 by President Carloz Ibañez del Campo, the Bank of Chilean State is the country's third largest bank. BancoEstado has been ranked Latin America's safest bank since 2012, and the 48th safest bank in the world and 6th in the Southern Hemisphere since 2015. BancoEstado - whicich is rated AA3 by Moody's - is furthermore the only bank to service all of the country's communes, while being the sole financial service provider in theseventy-seven of the most remote Chilean localities.

Premium Insurance

Other Measures

The Chilean Government hopes - above all - that its willingness to undertake radical reforms will serve to inspire Euuropean Governments and Central Banks into being ambitious in their response to the continet's economic issues. At the same time, the Chilean financial sector is expected to become one of the world's most innovative, competitive and dynamic payments markets, continuing the country's reputation as Latin America's "Shining Star".Only time will tell whether or not these reforms will actually bear their fruits.

Footnotes

  • 1 - Based on a quote by Milton Friedman.
  • 2 - Customer support, mobile and internet banking, etc
  • 3 - I based this figure on the 2018 Annual Report, where on page 46 it states that the bank's total consolidated assets total more than $40 billion dollars. The figures I gave in terms of revenue are based on the subsequent economic growth, the willingness of Chileans to gain ownership of the bank for nationalist reasons, and on thee fact that both Peter_j_ and ForestChapel valued the bank at $50 billion in previous seasons. Please feel free to provide me with imput as I'm not very well vested in corporate valuations.
  • 5 - This is based on the so-called Bibby Plan, which is briefly described on the deposit insurance wikipedia page, as well as on basic econoics.
  • 6 - Regulations regarding the creation of a new bank will be adressed in a separate post.
[M] Much of the stuff in this post is based on recommendations by the Sustainable Finance Lab, a high profile Dutch financial think tank. As such, some of the stuff in this post might be a bit out of place considering the vastly different nature of the Dutch financial sector. Most of it should still be universally applicable, though.
submitted by TheForgottenVanGogh to GlobalPowers [link] [comments]

Eurozone Rate Cuts Will Add Rocket Fuel to Bitcoin Says Pompliano

Eurozone Rate Cuts Will Add Rocket Fuel to Bitcoin Says Pompliano

Eurozone Rate Cuts Will Add Rocket Fuel to Bitcoin Says Pompliano

Anthony Pompliano, co-founder and partner at Morgan Creek Digital Assets, believes that expected monetary easing by the European Central Bank (ECB) will be "rocket fuel" for bitcoin.
https://preview.redd.it/g74tou5vlpc31.jpg?width=1000&format=pjpg&auto=webp&s=269b8eaa03b88485de11aed9d0ef7bf3667a2e4d
The financial press has reported widely on recent dovish comments by ECB president Mario Draghi in the face of a slowing eurozone economy and weak inflationary signals.
Although the central bank left its main policy settings on hold at this week's meeting of the Governing Council,Draghi's speech and press conference later was seen as dovish.
submitted by NYECOIN to u/NYECOIN [link] [comments]

End of day summary - 01/24

The Dow rose 41.31, or 0.16%, to 26,252.12, the Nasdaq lost 45.23, or 0.61%, to 7,415.06, and the S&P 500 declined 1.59, or 0.06%, to 2,837.54.
Wall Street went on a roller coaster ride on Wednesday as investors tried to extend the new year rally, but struggled to justify further gains.
Stocks got off to a good start with the Dow, the S&P 500, and the Nasdaq up between 0.4% and 0.7% shortly after the opening bell. However, the bears took control about an hour into the session and pushed the major averages into negative territory; at their worst marks the day, the Dow, the S&P 500, and the Nasdaq held respective losses of 0.4%, 0.5%, and 1.1%.
The Nasdaq was the first index to move into negative ground as profit-taking pushed the index down as much as 0.7%. The Dow weakened and ultimately crossed into negative ground as well, but by the afternoon the blue chip index moved back into the green and drifted in a sideways fashion from there. In the end, the Dow finished higher by 0.2%, closing at a new all-time high, while the S&P 500 and the tech-heavy Nasdaq lost 0.1% and 0.6%, respectively. Today's loss breaks a three-session winning streak for the S&P 500, but the index still remains solidly higher for the week (+1.0% WTD) and for the year (+6.1% YTD).
Heavily-weighted sectors like financials (+0.7%), health care (+0.3%), and consumer discretionary (+0.4%) did relatively well on Wednesday, but the underperformance of the top-weighted technology space (-0.9%) kept the S&P 500 in check. TXN was the weakest tech component in the S&P 500, tumbling 8.5%, after its latest earnings report came in as expected, but didn't impress investors enough to justify the chipmaker's 25.0% gain over the last seven weeks. AAPL was also weak, losing 1.6%, after Bernstein analyst Toni Sacconaghi said iPhone sales for the current quarter may be disappointing.
Among the noteworthy gainers was AMSC, which jumped 12% after Chinese wind turbine maker Sinovel was found guilty in the U.S. of orchestrating the theft of software code from AMSC. Also higher after reporting quarterly results were GWW and NAVI, which gained 18.5% and 8%, respectively.
Among the notable losers was UAL, which plunged 11.4% after announcing a plan to boost capacity growth 4-6% in 2018 and likely in 2019 and 2020 as well. The concern is, if demand starts to slow, the airline might have to slash its prices to fill the extra seats, which in turn could fuel a price war within the industry. Also lower was PBYI, which dropped 29% after the EMA's Committee for Medicinal Products for Human Use communicated a negative trend vote on the marketing authorization application for neratinib. GE dropped 2.7% after reporting below-consensus earnings and revenues for the fourth quarter.
Elsewhere, the major stock indices in Europe ended on a lower note, closing at their worst marks of the day; Germany's DAX and the UK's FTSE dropped 1.1% apiece, while France's CAC declined 0.7%. The European Central Bank will meet on Thursday, but it's expected to leave rates unchanged. Investors will be interested in ECB President Mario Draghi's press conference, however, as he could attempt to talk down the strengthening euro.
In the Asia-Pacific region, equity indices had a mixed outing with Japan's Nikkei (-0.8%) showing relative weakness. China's Shanghai Composite was the top performer, adding 0.4%.

Currency

The U.S. Dollar Index is down 1.0% at 89.22, tracking its third consecutive decline. The Index has given up 1.6% this week, and it now sits at its lowest level since mid-December 2014.

Treasury

U.S. Treasuries ended the midweek session on a lower note, though the bulk of today's selling took place at the open. The selling accelerated after Treasury Secretary Steven Mnuchin spoke in Davos, talking up the benefits of a weaker dollar. Secretary Mnuchin also said the U.S. government is committed to achieving GDP growth of at least 3.0%.

Commodity

Gold prices rose on Wednesday, hitting their highest since August, 2016, as investors sought insurance against possible inflation after U.S. Treasury Secretary Steven Mnuchin welcomed a weaker dollar. Silver was up 3 percent at $17.57 an ounce, the highest since mid-September.

Crypto

UBS (UBS) chairman Axel Weber said the bank will not trade in bitcoin (BTC) or offer it to retail clients as increased regulation may result in a "massive" drop in value, Bloomberg reports, citing an interview with Weber at the World Economic Forum. "This is something where the price is really unclear," he said. "We fear that in the future if these investments implode and the market corrects, then investors will be looking at 'who sold us this?'"

YTD

AH news

  • F misses (39 cents vs 42 cents)
Summary scrapped from the interweb. Took 0.97 seconds.
submitted by hibernating_brain to thewallstreet [link] [comments]

Cryptocurrencies mostly negative as ECB President Draghi says EU has no plans of issuing a unified digital currency


Sources:
https://cointelegraph.com/news/altcoins-keep-dropping-while-bitcoin-breaks-another-record-of-market-dominance-in-2018 https://cointelegraph.com/news/major-content-delivery-network-introduces-decentralized-content-gateway https://cointelegraph.com/news/breaking-founder-of-crypto-exchange-okex-allegedly-detained-on-crypto-fraud-charges-in-china https://cointelegraph.com/news/breaking-founder-of-crypto-exchange-okex-allegedly-detained-on-crypto-fraud-charges-in-china https://www.coindesk.com/crypto-gaza-west-bank-bitcoin-palestine/ https://www.coindesk.com/1-billion-blockchain-fund-founders-plan-japanese-yen-stablecoin/ https://www.ccn.com/china-central-bank-warns-of-cryptocurrency-ico-risks/ https://bitcoinist.com/mario-draghi-europe-has-no-plans-to-issue-central-bank-digital-currency/ https://www.ccn.com/cryptojacking-attackers-hijack-indian-government-websites-to-mine-cryptocurrency/ https://cointelegraph.com/news/ripple-could-launch-xrapid-solution-in-the-next-month-or-so-says-exec https://www.coindesk.com/digital-assets-dont-change-reporting-needs-secs-top-accountant-says/ https://bitcoinist.com/nasdaq-etn-provider-to-introduce-a-range-of-cryptocurrencies/ https://www.ccn.com/dubai-police-warns-against-crypto-scams-predicts-replacement-of-cash-with-electronic-money/ https://www.coindesk.com/crypto-gaza-west-bank-bitcoin-palestine/ https://www.coindesk.com/ethereum-dapp-bancor-is-expanding-to-eos-for-fast-free-transactions/ https://www.coindesk.com/digital-assets-dont-change-reporting-needs-secs-top-accountant-says/ https://cointelegraph.com/news/elon-musk-asks-dogecoin-creator-to-help-fight-crypto-scam-bots-on-twitter https://cointelegraph.com/news/ripple-could-launch-xrapid-solution-in-the-next-month-or-so-says-exec https://cointelegraph.com/news/major-content-delivery-network-introduces-decentralized-content-gateway https://cointelegraph.com/news/breaking-founder-of-crypto-exchange-okex-allegedly-detained-on-crypto-fraud-charges-in-china
submitted by QuantalyticsResearch to CryptoCurrency [link] [comments]

Futures Falls On Chip Carnage As World Await Brexit Verdict

Stocks in Europe faded early gains and S&P futures fell after a mixed session in Asia as chip stocks were taken to the woodshed on poor guidance from Nvidia and Applied Materials sparked fears that the chip bull run is over, while investors wondered whether China and America can de-escalate their trade war after mixed signals by US officials just days before the G-20 summit.

The euro failed to rebound while the sterling halted its biggest drop in 2 years after some of the most dramatic 24 hours yet in the Brexit process and another turbulent week for world markets. With reports of a UK leadership coup still rife and fear that the country could crash out of the EU without an agreement, cable struggled to rise above $1.28.

Meanwhile traders around the world were waiting for an outcome from the ongoing Brexit saga: “If and when a vote on the withdrawal agreement occurs is uncertain. Whether the withdrawal bill is passed by both houses of Parliament is uncertain,” Joseph Capurso, a senior currency strategist at CBA, said in a note. “Whether the Prime Minister resigns or is challenged for the leadership is uncertain. And, whether there is a second referendum and/or an election is uncertain.”
Fears over political turmoil in the UK and Italy dragged Europe's Stoxx 600 back into the red, set for its first weekly drop in three, trimming Friday’s gain as AstraZeneca's drop weighed on the gauge after a cancer-drug setback while telecom names were outperforming. Utilities started the session lower in the wake of yesterday’s ECJ decision which deemed the UK’s scheme for ensuring power supplies during the winter months as a violation of state aid rules. Other individual movers include Vivendi (+4.2%) sit at the top of the Stoxx 600 after posting impressive Q3 sales metrics and announcing a potential sale of part of their Universal Music Group division. Elsewhere, AstraZeneca (-2.3%) and Shire (-1.3%) have been seen lower throughout the session after both posting disappointing drug updates.
Not helping sentiment, ECB head Mario Draghi said the bank still plans to dial back its stimulus at the end of the year, but acknowledged the economy had hit a soft patch and inflation may rise more slowly than expected. “If firms start to become more uncertain about the growth and inflation outlook, the squeeze on margins could prove more persistent,” Draghi told a conference.
Earlier in the day, Asian shares ended the session in the red (MSCI Asia -0.2% to 151.52), led lower by declines in Japan, even as China and Hong Kong rose after initial reports the United States might pause further China tariffs were denied by Commerce Secretary Wilbur Ross who damped hopes of any imminent trade deal with China. The Nikkei fell 0.6% pressured by a drop in the USDJPY after China Mofcom began an investigation into alleged dumping of machine tools by Japanese firms. The Hang Seng (+0.3%) and Shanghai Comp. (+0.4%) swung between gains and losses after continued liquidity inaction by the PBoC which skipped Reverse Repos for a 16th consecutive occasion.
S&P futures were hit on fresh slowdown concerns, this time out of the semiconductochip space, after Nvidia gave a dire sales forecast, projecting a 20% drop in revenue while a disappointing outlook from Applied Materials indicated the chip industry is holding off on expansion plans in the face of a murky outlook for electronics demand. The chipmaking sector saw another bout of selling in Asia, wiping at least $11.2 billion in market value amid signals that demand for servers, personal computers and mobile is falling.

Also falling after hours were shares of AMD and Intel, dragging Nasdaq futures lower.
"It started with Apple, then Nvidia ... Since performances of these companies set the tone for the global tech and chip industries, related Japanese stocks will likely be sluggish for a while,” said Takatoshi Itoshima, a strategist at Pictet Asset Management.
The Bloomberg Dollar Spot Index was little changed after Fed Chairman Powell flagged his concern over potential headwinds for the U.S. economy, while the pound staged a modest rebound on reports that some pro-Brexit ministers decided to stay in their governmental posts. The pound gained as U.K. Prime Minister Theresa May defied demands to quit and amid reports her environment secretary wouldn’t resign, following the resignation of several ministers Thursday. The yen rallied as trade stress simmered, with investors trying to gauge whether China and the U.S. can de-escalate their dispute.
Also under water was the cryptocurrency Bitcoin, which hit a one-year trough overnight. It had tumbled 10 percent early in the week when support at $6,000 gave way. It was last changing hands at $5,500 on the Bitstamp platform.
Treasuries were steady while 10-year yields on German bonds were set for their biggest weekly fall in three weeks, in a sign that the Brexit uncertainty and worries about Italy’s finances, continued to support demand. Italian bonds edged higher even as European Commission Vice President Valdis Dombrovskis said in an interview with Il Sole 24 Ore that the country’s government was openly defying EU budget rules. Emerging-market currencies consolidated recent gains while oil prices extended their rebound.
Oil prices rose, helped by a decline in U.S. fuel stockpiles and the possibility of a cut in OPEC output. Brent (+1.3%) and WTI (+1.1%) are both in the green and continuing their rebound seen yesterday with WTI hovering around USD 57.00bbl. Energy newsflow remains light, post-yesterday's DoE report, however, Iraq’s North Oil Co. have announced that they have resumed Kiruk oil exports heading towards the Turkish port of Ceyhan. Looking ahead, the main highlight on the calendar will be the Baker Hughes rig count. Elsewhere, natural gas futures are relatively steady after their 19% decline yesterday which came in the wake of a 20% increase the day before.
In geopolitical news, US Republican and Democrat Senators filed a bipartisan bill seeking to suspend arms sales to Saudi Arabia in response to war in Yemen and killing of journalist. North Korean Leader Kim inspected test of new high-tech tactical weapons, according to Yonhap citing North Korean state media
Today's data include October industrial production and capacity utilization. Viacom is among companies reporting earnings
Market Snapshot
Top Overnight News
Asia-Pac stocks traded indecisively as the region lacked fresh catalysts and as uncertainty regarding Brexit and US-China trade played on investor’s minds. ASX 200 (-0.1%) and Nikkei 225 (-0.6%) were choppy with outperformance of tech and mining names in Australia overshadowed by a lacklustre broader market, while the Japanese benchmark was subdued by mild flows into the JPY and after China Mofcom began an investigation into alleged dumping of machine tools by Japanese firms. Elsewhere, Hang Seng (+0.3%) and Shanghai Comp. (+0.4%) swung between gains and losses after continued liquidity inaction by the PBoC which skipped OMOs for a 16th consecutive occasion, while participants were also tentative amid ongoing trade uncertainty after conflicting reports regarding the next round of China tariffs being placed on hold which USTR Lighthizer later denied. Finally, 10yr JGBs were mildly higher with prices underpinned amid an indecisive tone seen in stocks and with the BoJ also present in the market for JPY 680bln of JGBs in the belly to super-long end.
Top Asian News - China’s Kindergarten Crackdown Is the Latest Disaster for Stocks - Modi Is Said to Enlist Tata for Jet Airways Rescue Ahead of Vote - Philippines Shuts 3 Miners, Suspends 9 Others After Review - Indian Central Bank Board to Discuss Surplus Funds Transfer
European equities trade relatively flat (Eurostoxx 50 +0.2%) in the wake of mixed trade headlines overnight for the US and China. Performance across European indices is relatively equal whilst focus once again falls on the FTSE 100 (U/C) which remains at the whim of Brexit-inspired fluctuations in the GBP. Once again, potential upside for the index is being capped by losses in domestically focused banking names (RBS -3.0%, Lloyds -2.1%) as Brexit uncertainty continues to dampen investor sentiment. In terms of sector specifics, most sectors are trading higher with mild outperformance seen in telecom names. Utilities started the session lower in the wake of yesterday’s ECJ decision which deemed the UK’s scheme for ensuring power supplies during the winter months as a violation of state aid rules. Other individual movers include Vivendi (+4.2%) sit at the top of the Stoxx 600 after posting impressive Q3 sales metrics and announcing a potential sale of part of their Universal Music Group division. Elsewhere, AstraZeneca (-2.3%) and Shire (-1.3%) have been seen lower throughout the session after both posting disappointing drug updates.
Top European News
Currencies:
In commodities, gold (+0.2%) is trading relatively flat after hitting new weekly highs of USD 1218.39/oz earlier in the session; following uneventful overnight trade. Elsewhere, Shanghai Zinc prices have risen due to London Metal Exchange stockpiles falling to decade-low levels. Brent (+1.3%) and WTI (+1.1%) are both in the green and continuing their rebound seen yesterday with WTI hovering around USD 57.00bbl. Energy newsflow remains light, post-yesterday's DoE report, however, Iraq’s North Oil Co. have announced that they have resumed Kiruk oil exports heading towards the Turkish port of Ceyhan. Looking ahead, the main highlight on the calendar will be the Baker Hughes rig count. Elsewhere, natural gas futures are relatively steady after their 19% decline yesterday which came in the wake of a 20% increase the day before.
US Event Calendar
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What will happen if Singapore regulates bitcoin

What will happen if Singapore decides to regulate Bitcoin?
At a conference, Ravi Menon, the managing director of the Monetary Authority of Singapore (MAS), Singapore’s central bank, stated that the country has no intention to regulate bitcoin and the cryptocurrency market in the short-term.
In short, Ravi Menon shares the same sentiment as European Central Bank (ECB) President Mario Draghi, who as CCN reported, explained that the ECB has no plan for regulatory frameworks for the cryptocurrency market as of yet. Draghi emphasized that the ECB believes the bitcoin market needs to mature for the institution to consider regulating it.
Menon stated
“We’ve taken the approach that the currency itself does not pose the risk that warrants regulation. It is a known fact that cryptocurrencies are quite often abused for illicit financing purposes, so we do want to have AML/CFT controls in place. So those requirements apply to the activity around cryptocurrency, rather than the cryptocurrency itself.”
What Happens if Singapore Starts Regulating Bitcoin?
Although Menon clarified that there will be no strict regulations for the Singapore cryptocurrency market yet, he reaffirmed that the MAS will continue to be “open minded” with cryptocurrencies. More importantly, Menon noted that if the MAS and the Singaporean government sees the need of regulating the bitcoin market, it will provide regulatory frameworks for businesses and investors.
As Menon explained:
“Our approach is to look at the activity around the cryptocurrency and then make an assessment of what regulation would be suitable.”
If Singapore decides regulate its cryptocurrency and bitcoin exchange markets, there exists a highly probability that along with Japan, Hong Kong, and South Korea, Singapore will evolve into one of the major bitcoin market. Consequently, Asia is likely emerge as the cryptocurrency powerhouse region, considering that Japan is accountable for over 46 percent of bitcoin trades.
If the MAS decides to regulate its bitcoin market, the Japanese government’s roadmap towards establishing a national program for cryptocurrency exchanges will very likely be implemented. Cryptocurrency exchanges will then receive licenses to operate as regulated financial service providers and will be treated fairly as legitimate financial companies within the country.
In the future, if the Singaporean government regulates its bitcoin market, there exists a high probability that traders from regions like China and Russia will migrate to the Singaporean market to trade and use bitcoin. Additionally, leading bitcoin companies such as India’s second largest bitcoin exchange Zebpay are already based in Singapore, due to the country’s friendly regulations for startups.
Reference:
https://www.ccn.com/happen-singapore-regulates-bitcoin/
submitted by Aircrypt to Bitcoin [link] [comments]

Why the European Central Bank is Paving the Way for Bitcoin

The European Central Bank is finally launching its major quantitative easing (QE) in order to fight the euro zone’s slide towards deflation. But with the evident failure of this monetary policy so far and the emergence of negative interest rates, is the ECB creating the perfect storm for virtual currencies as a viable alternative?
From March this year until September 2016 the ECB will buy €60 billion (US$68 billion) of assets a month, a total of €1.1 trillion over the given period. Moreover, the President of the ECB, Mario Draghi, left room to extend the program if necessary. The ECB has been historically slow to take action and that begs the question whether this is “too little, too late.”
What is Quantitative Easing?
Quantitative easing (QE) is monetary policy used by a central bank to stimulate an economy when standard monetary policy has become ineffective. This is done by the a central bank buying assets from commercial banks and other financial institutions in order to increase asset prices and lower yields.
This policy is expansionary because at the same time it increases the monetary base. i.e. the amount of money in the system. The purpose of this is to try and stimulate an ailing economy and can be done in a variety of ways.
The ECB has only one mandate, which is a target based inflation number, as opposed to the Federal Reserve, which has 2 mandates the consist of a target based inflation number and a target based unemployment number.
Currently, a whole slew of countries in Europe (Germany, Finland, Switzerland, Denmark, Netherlands, Sweden and Austria) have negative interest rates. This means borrowers are paying lenders to hold their bonds. This suggests that people perceive these bonds as extremely safe and are willing to pay to hold them due to the risk averse nature of European investors.
QE has been launched to move investors out on the risk spectrum and into riskier asset classes, which in theory will help stimulate the EU and create a wealth effect and trickle down to all citizens. Unfortunately, this is usually not the case.
The EU has failed in their inflation target number, and as mentioned above are fighting off massive deflation. The chart below shows this:
http://i.imgur.com/9JEBGss.jpg
Implications of European QE
The USD has strengthened against all other major currencies. This is because as the US economy is perceived to be the strongest economy in the world right now, it has stopped asset purchases (QE).
It is also believed by the majority of pundits that the Fed will begin an interest rate hike cycle. Below is a 10 year chart of the USD vs. the Euro. As you can see, the USD has surged to new highs and broken through major resistance levels, while the mirror opposite has happened for the Euro. It has fallen through major support as a result of the announcement of QE and fears of a Grexit.
http://i.imgur.com/p6lSUtv.png
Elliott Wave has put together a great chart of the USD. It appears that this is just the beginning of a larger move that will have really bad implications for commodities and and apply additional deflationary pressure.
Short term the USD might be ripe for a pullback, but the chart below shows that a major new uptrend is underway and has only just started. With 16 Central Banks worldwide actively involved in monetary easing policies, and the Fed looking to tighten at some point relatively soon, this move will very likely continue for the USD.
http://i.imgur.com/xJT8PtI.png
This has also had major implications in the commodities space as the USD and commodities have an inverse relationship. This is mainly due to commodities being priced in USD. Again, this is very deflationary. The chart below shows the USD vs CRB. CRB is an index that includes all major commodities.
http://i.imgur.com/0X0am10.png
This has also had a big impact on bitcoin like all other commodities priced in USD, as it is down dramatically year over year.
http://i.imgur.com/Vmv47Dd.png
Deflation Is Still Winning
Despite all the monetary policy being used, deflation is still winning. This is a problem because all traditional measures that are being implemented are not working.
While Central Bankers believe they have the answers, it appears they couldn’t be more wrong. Does the chart below represent a successful policy for a recovery? Quite the opposite. What will be even worse are the unintended consequences wrought on the citizens of the world.
http://i.imgur.com/Vmv47Dd.png
All of these measures are failing despite historic fiscal and monetary easing. Notice that Eurozone prices are already in negative territory, and the trajectory of the others suggests that the rest of world is not far behind. At this point it seems unlikely the ECB will be able to fix a broken monetary union from the throes of deflation and perhaps outright depression that may be on the horizon.
As Central Banks continue to cause currency wars with global fiat devaluation alongside Negative Interest Rate Policies and QE, the existing monetary regime is proving inferior due to irresponsible policies that are simply not working. This opens the door for a new system based on virtual currency, as suggested by Greece’s new Finance Minister, Yanis Varoufakis, to take the torch and build a more transparent ecosystem while providing the necessary liquidity to maintain a healthy economy.
Written by George Samman, Adviser to BTC.sx - a Bitcoin trading platform offering up to 10:1 margin trading on Bitfinex, itBit and Bitstamp
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European Central Bank President Draghi: "It's Not Within Our Powers to Prohibit or Regulate" Bitcoin

This is the best tl;dr I could make, original reduced by 43%. (I'm a bot)
Mario Draghi, President of the European Central Bank, has stated that it's not within ECB's powers to regulate or prohibit digital currencies like bitcoin at the Committee on Economic and Monetary Affairs of the European Parliament.
Asked what are the material risks of bitcoin for the economy, he said there were three considerations, one was the size, two the extent of its use, third being their impact on the economy.
"Certainly it's not within our powers to prohibit or something similar or to regulate" bitcoin, he said, but we have not discussed any position institutional on the matter, he concluded.
It's not clear, at this stage, whether that was his full extent of bitcoin comments, but bitcoin's price jumped $200 around the same time as Draghi's comments on bitcoin.
A Board Member of Germany's Central bank stated that bitcoin is a "Plaything" and central bank issued digital currencies were "Unrealistic" at this stage.
Draghi's comments on bitcoin today were off-script, with his prepared speech not mentioning digital currencies.
Summary Source | FAQ | Feedback | Top keywords: bitcoin#1 Monetary#2 currencies#3 digital#4 Bank#5
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Mario Draghi has dashed Estonia’s dream for a state-issued cryptocurrency. "No member state can introduce its own currency

This is the best tl;dr I could make, original reduced by 36%. (I'm a bot)
Bitcoin, the original stateless cryptocurrency, has often been tolerated and sometimes embraced by governments, central banks, and other key institutions around the world.
The president of the European Central Bank yesterday rejected the idea that Estonia, which is part of the euro zone, could issue and manage its own state-backed cryptocurrency.
The idea is still theoretical, but ECB president Mario Draghi shot it down anyway when asked about it at a press conference: "No member state can introduce its own currency; the currency of the euro zone is the euro."
An Estonian cryptocurrency has been mooted as part on the country's e-Residency program that provides a digital identity to foreign entrepreneurs.
The cryptocurrency would be available through its its e-residency program via an initial coin offering, which takes some of the principles of bitcoin and blends them with crowdfunding.
Meanwhile the euro has been on a tear lately, rallying against fellow old-school fiat currencies of just about every major trading partner amid the region's economic recovery.
Summary Source | FAQ | Feedback | Top keywords: currency#1 euro#2 cryptocurrency#3 e-Residency#4 Bitcoin#5
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The president of the European Central Bank dashes Estonia's plan for an "estcoin" cryptocurrency

This is the best tl;dr I could make, original reduced by 36%. (I'm a bot)
Bitcoin, the original stateless cryptocurrency, has often been tolerated and sometimes embraced by governments, central banks, and other key institutions around the world.
The president of the European Central Bank yesterday rejected the idea that Estonia, which is part of the euro zone, could issue and manage its own state-backed cryptocurrency.
The idea is still theoretical, but ECB president Mario Draghi shot it down anyway when asked about it at a press conference: "No member state can introduce its own currency; the currency of the euro zone is the euro."
An Estonian cryptocurrency has been mooted as part on the country's e-Residency program that provides a digital identity to foreign entrepreneurs.
The cryptocurrency would be available through its its e-residency program via an initial coin offering, which takes some of the principles of bitcoin and blends them with crowdfunding.
Meanwhile the euro has been on a tear lately, rallying against fellow old-school fiat currencies of just about every major trading partner amid the region's economic recovery.
Summary Source | FAQ | Feedback | Top keywords: currency#1 euro#2 cryptocurrency#3 e-Residency#4 Bitcoin#5
Post found in /europe.
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10-02 23:37 - 'Dutch newspaper "The Telegraph": Economist and Nobel price winner Stiglitz: 'This Euro is not working.' [Translated from Dutch]' (self.Bitcoin) by /u/mr_moore removed from /r/Bitcoin within 643-648min

'''
[link]1
Translated from Dutch using Google translate:
"The euro is not working."
3 hours ago Dorinde Meuzelaar
AMSTERDAM - The euro is a failed experiment. The currency has harmed economic growth, increased antagonisms between countries and meant the death knell for solidarity in the eurozone.
So says the American top economist and Nobel laureate Joseph Stiglitz in an interview with this newspaper. This week the Dutch translation of his book "The euro, the single currency threatens the future of Europe.", In which he paints a bleak future for the coin in his current form.
Moreover, the time to push to keep the eurozone together, Stiglitz fears begin. "These processes are time consuming, but it is questionable whether there is. Just look at negotiating a Brexit. Politicians want to control the orderly conduct of this, but the question is whether those being awarded. "
You emphasize the importance of amicable exit from the EU Britons. But can it?
There are many people who do not look down, for example, Jean-Claude Juncker. Not only play emotions, but also all kinds of interests. There are people who see this example as a perfect opportunity to lure some of the London financial sector to another city. They benefit from a messy divorce.
How important is the development of the Brexit for the future of the eurozone?
This emphasizes the political opposition between and within countries. The inability of Europe to cooperate with the British for the best possible outcome, is also linked to the inability to reform the euro. On the other hand, if a Brexit is handled well, reinforces that the ability and willingness to tackle together problems of the euro. Which are much more complex than a Brexit.
Eurozone countries will follow the example of the British?
They will not soon leave the EU. The difference with the UK was that the British have always been skeptical about the Union. I am in favor of European cooperation, but the question is to what extent countries have to submit to all kinds of rules which they had no voice itself.
Now, countries may be forced to adapt to all kinds of labor market rules, regardless of how their people are voting on this. This gives your economic independence hands. Most people have that in 1992, when they signed the Maastricht Treaty did not materialize. That realization comes only now.
So the reality is that more and more people are against the euro. Many of them, and therein lies the danger threatening from anti-euro move to anti-EU. This is further fueled by extreme right-wing parties. Marine Le Pen look at the failure of the euro and says, "We need the EU."
Is the rise of populist parties than a consequence of the euro?
There are more factors. In the US we populism in the form of Donald Trump, there is no euro was to customize. But the similarities are there. In the US and Europe are medium and low incomes for decades under pressure. On both sides there was globalization and deregulation of financial markets. Politicians promised would bring them prosperity policy, but which in practice meant the opposite.
You write that you understand the anger about this, but that dissatisfaction is not the solution. What should we do?
One of the things that people have better protected in Europe, you better social safety net. Thereby clap in Europe were less hard than the US But in the aftermath of the debt crisis which was just broken. They would only surrender to benefits or pensions, while it was often their only protection. That's the world upside down for what promised to do the euro.
Hopefully people realize that this model does not work, and that there must be a better economic system rigged. We need to reform the euro as our living standards remain guaranteed, instead of vice versa. But necessary reforms. Such as the joint issuance of debt and common beacon rules. Point the eurozone at full employment and growth, instead of controlling the debt and deficit. This push countries apart.
How do you see the role of the European Central Bank it?
First, the ECB must have a much broader mandate. Now the focus is on curbing inflation. That was in the 70's a problem, but not anymore. It is much better if the ECB is committed to growth and full employment.
The ECB will have even more power than it already has now.
Therefore, monitoring should be better, and needs to be made more accountable. That happens now hardly because stipulates that the central bank is independent. But that independence exists in practice. Central banks have been caught by the financial sector. This is also where many drivers come from, as ECB President Mario Draghi who worked for Goldman Sachs. But it is their job to represent a large part of society.
What the ECB should have asked is whether the money has ended up in the sections of the society where it was most needed, for example for SMEs. They'd have to wonder whether the financial sector or in the service of society.
The money directly to the society, helicopter money so?
I am not advocating directly for helicopter money, so the direct distribution of money by the European Central Bank to households. But you can think of a collaboration with the European Investment Bank, which is now an example of a good European Institute. Then had to be set up banks for example, focused on lending to small businesses. That's a much more direct approach.
But according Draghi has already improved lending in the eurozone.
And he is right. But lending after the crisis was therefore virtually silent. This improvement where the ECB has provided is really a good thing. But you may wonder how proactive they were there.
Now seems little enthusiasm for such reforms.
It seems most probable scenario in which the euro zone continues to muddle along this path. The problem is that most politicians do not think about what would be good for the eurozone as a whole, but what do their own voters. And things that are necessary for a well-functioning euro as joint unemployment insurance see the Nordic countries as a grant from the southern euro countries.
Isn't that so?
Well if you look at a horizon of five years. But think about the longer term. Twenty years ago Germany was the sick man of Europe. If there had been when a similar scheme, precisely Germany had benefited.
You write that it is unfair to have all Greeks to pay for the mistakes of a small group. But you can also say that it is unfair to allow other countries running for the errors of the Greeks.
That's right. But any collective action represents a measure of the mutual sharing of risks and responsibilities. The US never had a currency union can function as New York had said, "We are not responsible for that gets worse in the South than with us. Is it unfair? I'd like to step back and ask whether you want to be a monetary union. If the answer is yes, this type of configuration is necessary. But the question is whether you are prepared to that end.
'''
Dutch newspaper "The Telegraph": Economist and Nobel price winner Stiglitz: 'This Euro is not working.' [Translated from Dutch]
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Eurocoin vs Bitcoin in 2015: Causes for recent BTC price increase lies in ECB

Firstly, I'd like to make a quick comparison of the Eurocoin and Bitcoin. As a European, I find this comparison very relevant. Afterwards, I will quickly present my believes for the recent upwards swing in bitcoin price with respect to current global currency trends.
Eurocoin vs Bitcoin in 2015:
What is currently happening in the currency market? ECB president Mario Draghi decided it was a good idea to pump 1.100.000.000 € in the every EU state to avoid deflation and boost economic growth recovery. In fact, the inflation and the huge Euro depreciation is a day-light robbery. With stagnating wages and increasing costs, your average John will be taxed even more while financial markets reap the profit and high government officials keep irrationally spending (read: stealing). We've seen a huge spike in price of gold, stock prices and other currencies even before the Mario's announcement. 1 week before, Swiss National Bank (SNB) decided after 4 years it will no longer keep Franc bottom at 1,2€/Franc. Do you think this is all coincidence?
Conclusion: Big market makers know the news beforehand. SNB knew what was coming, as well as big players on stock and gold market. Bitcoin rose few days ago as well. Well informed money just came in.
*Average price per Euro when producing 8 coins with nominal value of (1c, 2c, 5c, 10c, 20c, 50c, 1€ and 2€)
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Negative Rates for the People Arrive as German Bank Gives In - German cooperative sets -0.4% rate on funds over EU100,000

This is an automatic summary, original reduced by 66%.
From September, for savings in excess of 100,000 euros, the community's Raiffeisen bank will take back 0.4 percent.
"With our business clients there's been a negative rate for quite some time, so why should it be any different for private individuals with big balances?," Josef Paul, a board member of the bank, said by phone on Thursday.
Raiffeisen Gmund am Tegernsee may be a tiny bank that's only introducing penalties to well-off customers - it says fewer than 140 will be affected - but in principle the ECB's negative deposit rate was meant to encourage spending and investment in the euro area's sluggish economy, not to tax thrifty Bavarians.
Introducing the sub-zero policy in June 2014 with a cut to the deposit rate to minus 0.1 percent, ECB President Mario Draghi said the move was "For the banks, not for the people." Should banks decide to transmit the reduction to savers then that's their decision.
The risk for ECB policy makers now is that negative rates begin filtering through to the real economy while growth and investment is still sluggish, bringing the downsides of the policy without the upsides.
The Bundesbank estimated last year that the low-rate environment would cut the pretax profit of German banks by 25 percent by 2019.Retail Taboo.
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Mario Draghi: Cryptocurency Impact is NEWS: President ECB positive about crypto Bitcoin - Mario Draghi (President of European Central Bank): EZB-PRÄSIDENT: Wer wird Mario Draghis Nachfolger? Mario Draghi answers Italo on bitcoins

Den Anfang machte EZB-Präsident Mario Draghi. In einem Interview mit jungen Studenten, die unter dem Hashtag #AskDraghi Fragen an die EZB richten konnten, nahm Draghi auch zum Bitcoin Stellung ... Mario Draghi, the president of the European Central Bank (ECB), said during a dialogue with students that cryptocurrencies are not real currencies. He has also stated that cryptos are “very, very risky assets” but they do not really have to be something for central banks to be worried about. Mario Draghi, Präsident der Europäischen Zentralbank (EZB), der bedeutendsten Finanzinstitution der Eurozone, gab nun in seiner einleitenden Rede vor dem Ausschuss für Wirtschaft und Währung des Europaparlaments (ECON) preis, dass er keine Grundlage für eine konkrete Handhabung von Bitcoin und anderen Kryptowährungen sehe, da es „eigentlich nicht in unserer Macht sei“, diese zu ... In a series of videos released on February 13, 2018, European Central Bank (ECB) president Mario Draghi answered questions submitted for the ECB’s third Youth Dialogue. Cryptocurrencies and blockchain were among the forum’s main topics. Cryptocurrencies. Italo Mottini from Milan, Italy, asked whether Draghi would dabble in bitcoin. The ECB’s leader was understandably cautious. “Well ... Mario Draghi said that Bitcoin isn’t “really a currency” in the way that the euro is a real currency. Source: Shutterstock. This last bit raises an essential question for the EU, however, which is whether or not we can expect regulations similar to those recently proposed in Russia. Russians may face a situation soon where they have to be qualified investors, complete with a background ...

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Mario Draghi: Cryptocurency Impact is "Limited"

Mario Draghi, President of the ECB, at the ECON committee of the European Parliament, Brussels, 25 September 2017 "It would centantly not be in our powers to... Zum ersten Mal könnte Deutschland den EZB-Chef stellen. Hat Jens Weidmann die besten Chancen auf die Nachfolge, wenn Mario Draghi im Oktober nach acht Jahren... ECB President Draghi Goes Out With a Bang, Huge Stimulus Package - Duration: 15:30. Bloomberg Markets and Finance 7,277 views ECB president Mario Draghi spoke slightly positive words about cryptocurrencies. They are not going to ban it and not yet regulating it. They are going to talk about it and if necessary there will ... This video is unavailable. Watch Queue Queue. Watch Queue Queue

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