Despite all the doom and gloom in the cryptocurrency market these days, our industry continues to make its way into mainstream technology. This week, I had the pleasure of attending the Collision Conference in Toronto, which was sold out and cryptocurrencies featured prominently. During the event, I was able to moderate three panels, two of them focused on cryptocurrencies. The fact that the largest technology conference in North America allows me to talk about cryptocurrencies after a six-month bloodbath shows that there is more to the industry than just price. And I’m not saying price isn’t important, but context is everything.
This week’s Crypto Biz brings you a taste of the Collision 2022 Conference and also draws your attention to the latest finance and business news from the blockchain world.
Institutions are exploring the space – KPMG Canada Cryptocurrency Team
During Collision, I sat down with the crypto team at KPMG Canada to talk about the firm’s recent foray into digital assets. If you remember, I was very excited in February when KPMG Canada announced that it had added Bitcoin (BTC) and Ether (ETH) to its corporate treasury. The firm’s decision to adopt digital assets was not on a whim, but instead was directed by an internal governance council that did its due diligence before recommending crypto treasuries. The Canadian arm of the Big Four accounting firm remains bullish despite recent market turmoil.
Voyager enters into $500M loan deal with Alameda amid 3AC exposure
Last week I reported that cryptocurrency-focused hedge fund Three Arrows Capital (3AC) was edging closer to insolvency after a series of leveraged bets turned sour. We knew that there would be a risk of contagion, but we did not know to what extent. Well, this week, trading platform Voyager Digital took out a loan from Alamada Research to cover losses related to its exposure to 3AC. Specifically, Voyager borrowed 15,000 BTC from Alamada, which is roughly equivalent to the 15,250 BTC owed by 3AC. Voyager has requested that 3AC pay its outstanding debts by Monday, or else it will take legal action.
Crypto Broker FalconX Raises $150M at $8B Valuation
Cryptocurrencies have given us a lot of nasty headlines in the last six months. But, during that time, billions of dollars in venture capital were pouring into the industry. This week, crypto broker FalconX announced that it had raised $150 million at a valuation of $8 billion in a Series D round that was led by Singapore’s sovereign wealth fund GIC. The company’s valuation has basically doubled since August, when its Series C funding round concluded. As is always the case, when everyone seems to be panicking, smart-money investors hoard.
Meta is ready to start testing NFTs on Instagram Stories with Spark AR
Zuckerberg’s company Meta, which is the parent company of Facebook and Instagram, announced that it will begin testing non-fungible tokens (NFTs) in Instagram Stories using Spark AR Studio. “We are expanding our test so that more creators around the world can display their NFTs on Instagram,” said the CEO. “Creators and collectors will be able to share their digital collectibles via Facebook and Instagram after we begin rolling out the feature on Facebook with select US creators at a later date.” Social media is about to undergo a major transformation. We’ll see if Zuckerberg’s company maintains its dominance during the transition to Web3 and the Metaverse.
Before We Go Is Bitcoin Prepared for a Recession?
I was unable to attend this week’s Market Report, but my colleagues Benton Yuan, Marcel Pechman and Yashu Gola were able to continue without me. As well as giving them the latest insights on trading, they discussed the prospects for Bitcoin in the event of a global recession. You can watch the full replay below.
Crypto Biz is your weekly pulse of the businesses behind blockchain and cryptocurrencies, delivered straight to your inbox every Thursday.
Investments in crypto assets are not regulated. They may not be suitable for retail investors and the full amount invested may be lost. The services or products offered are not aimed at or accessible to investors in Spain.