The European Central Bank jumps in the ring with Libra

What actually matters this week, and why.

In my humble opinion…

Project Highlight: Tagomi

Execute large-scale crypto trades, easily

Tagomi made headlines this week after releasing their borrowing and lending platform to the public (which makes shorting tokens easier), so we thought we’d clue you in on what they’re all about. Tagomi helps execute large crypto/digital asset orders, which often have huge disclosure, incentive, and tech issues. This directly speaks to both the institutional-side of crypto and blockchain companies/divisions, as well as larger clients unfamiliar or uncomfortable with the great inefficiencies and risks of a huge crypto trade. ICYMI, large OTC deals in crypto can occasionally be a bit sketchy (although the very anonymous nature is a big selling point for most crypto OGs). They’ve worked with the likes of the Digital Currency Group, the Zhen Fund, and Charlie Songhurst..

Despite the global disapproval of Libra, they’re still planning on launching next year.

Yes, you read that right. Maybe it was the media hype that had us thinking that Libra was going to be seriously backing down in 2019, or the fact that regulators in Switzerland, France, Germany, and the United States weren’t particularly enthusiastic about the company. Yet, Libra fought the FUD, announcing a Q3 or Q4 launch in 2020. Libra’s attended the recent Ethereal Summit in Tel Aviv, and worked on ironing out some of the, uh, lingering questions we all have. Calibra’s COO clarified that Libra is not the same company as Facebook (though FB contributed to 90% of Libra’s code and initiated the project) and said that by using blockchain, they can’t be controlled by a single entity (except the nodes are run by 28 founding members including Visa, Uber, Lyft, and more). They also want to “bank the unbanked,” although we’re more interested in hearing a new rhetoric – while it’s an admirable goal, it’s oh so very 2016/2017.

To give you a more global perspective, France has handled Libra like a hot iron – very hands off – and will block any of Libra’s future development in France. It will also be illegal to use Libra in France (surprise), citing something along the lines of destroying the euro and posing a huge threat to the economy. Libra’s going to have to gird their loins, as country after country has come out with their own digital currencies, some to specifically fight against Libra. The newest competitor? The European Central Bank.

Crypto’s not just for your weird college roommate majoring in poly-sci anymore. We’re seeing entire countries and companies embracing it.

While Libra’s sure as heck not getting a ton of regulatory love, cryptocurrency and blockchain as a whole sure are. The Australian Securities and Investments Commission (ASIC), the official Aussie financial watchdog that has been surprisingly consistent with updating ICO regulations, has recently identified dramatic expansion in the market and are prepping for increased trading. Meanwhile, Cuba’s extreme sanctions have encouraged its citizens to embrace crypto. An estimated 10,000 Cubans use crypto – an impressive number considering Cuba’s only had mobile internet since late 2018.

Square, Inc. is kind of on fire right now. The financial services provider runs two crypto-related companies: Cash App and Square Crypto. Cash App, a mobile payment service that also accommodates bitcoin, is testing a new free stock-trading service (paywall) that would rival Robinhood and develop into a sort of one-stop-shop for mobile trading. Square Crypto recently announced a series of grants to be made to open-source Bitcoin projects – the first of which will be $100k to BTCPay. Don’t confuse BTCPay with BitPay, the latter of which paused donations to the Hong Kong Free Press during protests last week. Not very cool!

Justin Sun, founder of Tron and winner of the infamous lunch with Warren Buffet may have cancelled it after a bizarre apology.

Fundstrat’s Tom Lee expects Bitcoin to follow a potential market high in the near future. We’ll see…

DASH will be added to Coinbase Pro tomorrow. Finally, you can sleep soundly at night.

Coin to Watch

(CRYPTO: XMR) Like many altcoins, Monero had a pretty strong performance last week. We’re feeling strongly about it now that it’s officially alt season.

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