“Regulatory actions impact crypto prices meaningfully”
Crypto investors usually discount negative news such as central banks launching their own cryptos or issuing warnings about the asset class, according to a report by BIS. However, regulatory updates about the legal status of cryptocurrencies or potential bans have the highest impact on crypto prices, followed by news pertaining to AML/KYC regulations and actions to integrate crypto into the traditional financial system
“A16z doubles down on MakerDAO”
Leading Silicon Valley VC A16z invested $15 million in the stablecoin project MakerDAO. This is a16z’s follow-up investment, after they co-invested $12 million with Pantera Capital in Dec 2017, and their first investment from a16z’s $300 million crypto-dedicated VC fund that was floated earlier this year. This investment provides MakerDAO with much-needed expertise and assistance from a16z in an extremely crowded stablecoin market.
It also seems like a bit of a distressed situation for MakerDao, and it seems to have sold tokens allocated to its foundation, at an almost ~40% discount from the current market price to A16Z. Thorny corporate governance issues apart ( How can the foundation tokens be touched and how can a discount sale happen to an institution without first letting all existing token holders have an opportunity to buy in), it seems to be a good deal for A16Z, given that it is a bit of distressed situation, and a good outcome for MakerDao, given that good investors with deep pockets are increasingly hard to come by
“Winklevoss twins eyeing cross atlantic expansion”
The Winklevoss twins backed crypto exchange Gemini is apparently planning to expand their exchange operations into the UK despite a lackluster crypto market for most of 2018. Expansion outside of the US remains the company’s long-term goal, and the company is close to filing an application with the UK regulator for an exchange license.
“Strengthening the Bitcoin code review process”
The Bitcoin community averted a major catastrophe when a code exploit that has been hidden in the codebase for over two years was fixed. In the aftermath, the community is now looking at new ways to improve the testing processes to avoid another disaster in the future.