Stable Coins: Amount of Assets Held by WhalesThis graph shows the ranking of stable coins, according to the Amount of Assets Held by Whales (some stable coins don't have this information here).
Since May 02, 2022, BUSD has surpassed USDC in this indicator.
USDT remains relatively stable, and DAI was below $2 billion.
The PEG of these stable coins can be seen in this other analysis:
Value
Coinbase graphical and fundamental analysis (COIN)1. Graphical Analysis
Since listing on the stock exchange, the stock has had a maximum depreciation of 90%, reached on May 12, 2022.
If the downtrend continues, the $40 support will be retested and in the worst case the price will reach $30 given the Fibonacci predictions.
To reverse this bearish bias, the price needs to break through the resistance ranging from the $58 to $68 region.
2. Fundamental Analysis
- Earnings per Share
- Net income
- Free cash flow
These indicators appear to reverse a downtrend.
But given the dire scenario created by the fall of FTX, it may be too early to say that.
- Net worth
There were no big swings.
- Price to Earns Ratio
- Price to Cash Flow Ratio
From July 2022 until now, there has been an inability to generate a profit.
Ditto for the previous comment, apparently it is reversing a downtrend.
Opportunity? I don't know...
I won't know for sure until the indicator crosses the zero line and the company actually makes a profit.
---
Speaking of the crypto market, it is also important to analyze the results of other companies in the cryptocurrency and blockchain sector, which are also publishing their results.
They are companies like Marathon, Riot, Hut, Core, Nile, among others.
By the way, the results that have come out so far don't look good.
BoredCoin | BTC Yaawwwnnnnnn . . .One of the characteristics of a bear market is complacency, lack of interest and downright boredom. The lack of volatility really drives people away especially those looking at other more exciting prospects. There are TONS of interesting projects in the crypto space and Bitty is just not that fun to play with right now unless you use massive leverage on really short moves but that can rekt you quick. For every one else . . yawn.
Rule of thumb in any market is that Bear duration is typically 2X bull duration and according to Glassnode, despite some unique analytic characteristics and looking at realized price and long term HODLER convictions, we're comparatively only about 1/2 way through when looking at previous bear cycles.
Honestly, I don't see how we don't get at least one more drop to 16k-ish if this current doldrum isn't just some kind of stabilized distribution. Dunno for sure but I def wouldn't put all of my eggs into the BTC basket here.
DCA is the way friends.
Good luck and as always, not investment advice.
~Box
Lottery Conspiracy Theory Just some food to thought. Could it be.. what bank or banks hold the money?
This could be the end for FB META, loss of confidencefacebook meta could go belly up
from overspending and a complete
business failure from lack of confidence
from investors and business partners
Meta could recover between 40 and 70.
The forcast right now does not look good for Facebook META
This could be the end of this company after having historical losses in a short amount of time.
I personnally will never put money into this company again.
I made alot "ALOT $$$$$$$.$$ " of return from this company while the bulls were running.
I highly doubt the bulls will be coming back in full swing for META without some serious confidence
for future plans.
I posted on another account in september 2021 that facebook was going to lose 80% of its value in 2022.
I also posted april 28, 2022 on this account that facebook META would crash down below 100.00 in 2022.
I also posted in september 2021 about amazon crashing in 2022
I posted again on april 23 that amazon was crashing april 28th 2022.
i told the truth way before any of this happened and i lost my old accounts for knowing what was about to happen this year.
I knew it was time to sell in 2021 before the crash and i was blocked from every site i posted and had to start over
with new accounts. You know your right when they start blocking freedom of speech and posting the correct information.
I sold all my stocks before the crash.
Sold all my bitcoin ethereum and all crypto holdings at the peak of 2021.
Short FTT
Hi all,
In my opinion, FTT prices will go down quite fast because of the following indicators:
Fundamental news: CZ started to sell FTT and this triggered a fall of FTX and its crypto; Investors/FTX's users are loosing their trust.
Technical Analysis: Both MFI and CMF broke the trendlines.
The proposed TPs and SLs are in chart.
All the best!
Watching EURUSD After a Historic CrashThe EURUSD is down 13 of the last 15 months. That is red after red after red. The bearish sentiment is about as extreme as I can remember, ever, for any currency.
I usually do not trade FX and I should be clear, I do not have a position in the Euro at this moment. But I do want to write about a few things that have caught my attention.
Foremost, I think it is pretty interesting that the EURUSD is not only at parity, but also slightly below parity. This makes capital flows rather easy, if not effortless for Americans to invest in Europe or want to get involved in Europe. It also makes exports more competitive for Europe to other countries. There is a point where these levels just do not make sense from a broad, macro standpoint.
The strength of the Dollar makes investment into Europe that much more attractive. If you have dollars, you can now afford more. I would add that there are 764 million people in Europe, with many of the greatest cities on Earth.
Actually, that is something that I do find interesting. I follow many smart investors/traders on social media. The majority of them are extremely bearish on Europe and the Euro. I have seen it all from them - social disparity! energy crisis! bad leadership! And the list goes on. HOWEVER, when I see that they are on vacation, with the family or taking time for themselves, where do they go? Pictures of Italy, Greece, and more. I find this to be a tad ironic, and also interesting. What I mean is, to be so bearish about a region, but then for that region to also be your number one vacation spot. I myself need to get back to Europe - I really love French organic wines!
One more important thing about a weak Euro: it makes European exports far more competitive. When they produce goods, relative to the Dollar, it now does not cost as much. In addition, that means they can sell their product for less. This means they can compete with more brands and services. It will lower prices, thus, make the product more attractive and easier to consume. Exports can be a great thing for a country! In this case, it's for many countries across Europe.
There are many more interesting developments that I am thinking about - for example home buying the region, but that is for another post, and let me not waste any more of your time.
Let's talk trade levels!
The levels in yellow that I marked are from 2001/2002. That happened after the tech crash. If this is another tech crash, well we have further to go.
In addition, that kind of pattern, and price behavior might be something to WAIT for. Hey, what's the rush.
Lastly, I did highlight the extent of this sell-off. Month after month of selling. Even as a mean reversion trade I would wager there is some potential to return to rather significant moving average. The 200 day moving average is at 1.24, for example! Could it ever return there? If you do your own research, check out where the 50-day and 100-day moving averages are. You may also find that interesting.
Okay that's all for now! Thanks for reading and good luck.
META - Great entry point to the future of virtual realityI will be explaining my reasoning behind being one the few going long here on META and Zuck
We're witnessing the Motorola DynaTAC period where smart phones ultimately originate from.
These Brick phones weighted in at 2.5 pounds or 1.1 Kg a little heavier and bulkier than the iPhone 14 at 0.37 Pounds | 0.17 Kg.
Today I am honestly over smartphones that have been marketed as a productivity device turned into the exact opposite mixed with social media.
Social media is a dying concept and completely anti social as everybody I see entirely on "social media" cannot even interact without a phone and gets the energy sucked out of them like a drug.
There's hundreds of quotes prior to smartphones and virtual reality and I strongly credit the destruction of real development and innovation was due to social media mainly Facebook and Twitter, Zuckerberg realizes this and is making a forward step to finally get virtual reality done, we have the resources and the technology to start this, Microsoft, Apple, Valve, Varjo all see this and have heavily invested into this but by far META has the best chance to come out ahead as their profit model is entirely digital.
Meanwhile everyone is throwing names at Zuckerberg, tv presenters have said he needs to go, global institutions we're basically just forced to fire sale META to meet margin calls.
We're moving into a period of permanent high inflation, you can compare online gaming growth to Inflation the most growth came when people decided to use the virtual world over the real world due to cost of living, we have to stop thinking of this (Living entire lives in the Metaverse) and start thinking (Living a Hybrid lifestyle in the Metaverse) this will increase productivity and allow a real disconnect from digital to reality, smartphone can never provide this feeling due to the nature of how it attaches to humans looking to get little dopamine hits instead of completing tasks and actually being productive.
Could META drop lower? of course nothing is certain in life but ask yourself in the next 5 years Zuckerberg pulls off the metaverse creating the next thing to the smartphone how much do you value the future? I can tell you one thing if people wait for the vision to be completed you have missed your opportunity.
Happy bear market folks
"By 2007, PDAs and cell phones will have merged into single devices. They'll have 802.11 (whatever flavor), Bluetooth, 3G and, possibly, direct satellite capability. They'll be voice-controlled and use a heads-up holographic display. Laptops will become unnecessary for most folks. -- Doug Jackson, director of technology customer services, University of Texas at Dallas" 2002
"The future of mobile/wireless computing over the next 10 years will include the replacement of tethered Internet connections with the freedom of mobility -- high-speed wireless Internet capabilities will soon become a staple for every worker, just as cellular phones are part of our lives today. Soon, affordable "personal broadband" services will allow business people to access their critical enterprise applications at a client site, an airport or in a cab. Personal broadband will also allow any number of applications that are waiting for the wireless Internet, from monitoring the vital signs of heart patients without doctor visits, to instantly uploading a digital picture to a personal Web site the instant the photo is taken. -- Martin Cooper, chairman and CEO, ArrayComm Inc., San Jose, and inventor of the personal cell phone" 2002
"By 2005, mobile access to information will seem as natural as remote control of a TV. In fact, we'll wonder why we spent so much time at a desk. -- Jacob Christfort, chief technology officer for the Mobile Products and Services Division, Oracle Corp."
www.computerworld.com
AMAZON long term support line, with pre covid boost accounted for, 101 ideal buying opportunity, with 85 as a possible swing Low, investment levels, not day trade, 35% - 80% upside 3 year projection when expected layoffs, cost cutting & lease of excessive ware house space have been implemented & benefits materialised.
META Important Milestone!As you know, I am a long term investor. Thus, I usually buy stocks for the long term, and never short any equities due to shorting's unlimited risk. With a P/E ratio of 10, it would be reasonable to think that META is a good bargain considering its status as a social media giant. However:
1. META's Userbase is declining, something never seen before in the history of the company.
2. Competition like Google's Youtube and ByteDance's Tiktok is catching up and overtaking META
3. New Apple (AAPL) IOS changes, which made META's data collection process much harder, has and will adversely affect its ad revenue (which is 98+% of its total revenue)
---------- Specifically, the IOS change requires META to get the user's permission to collect data for Ads. Until now, data shows that only 33% of users allow META to collect their data for more personalized ads. I think you can see how this affects Ad revenue.
Thus, the "metaverse" is the only thing that may/may not save META from its inevitable doom. However, that means that:
1. The metaverse needs to develop in the years ahead, and not just stay at a gaming level
2. META must have enough cash to fund research into the metaverse
3. It must dominate the metaverse industry
Although I personally think that META is a lost cause, I choose not to label this as "#METAshort" because I think all investor have their own opinions. Here are some good points about META:
1. 10 P/E ratio (lower than S&P 500 average
2. META's adaptability
3. Technicals? (Not seen yet)
I choose to write this now because META's Q3 results are tomorrow and are key to how META's stock and the metaverse will develop in the future.
Anyway, thats all for my idea. Please leave a comment and boost this idea so it can go out to other investors! 😊
P.S. Someone give me coins :)
Developing A Dollar Bearish Strategy Using The Scientific MethodShould I Short USD? Yes or No?
If yes, then how? If no, then why?
The question is simple, but the answer may be complicated.
Therefore, we will dive into the macroeconomics of the American economy, with consideration given the most significant factors influencing the value of USD.
> OBSERVATIONS
1) Since March 2020, USD appears to have lost approximately 13% of it's market value.
2) Since March 2020, USD supply increased by $9.1 Trillion (COVID stimulus).
datalab.usaspending.gov
3) Congress was recently asked to approve an additional $1.9 Trillion (COVID stimulus).
context-cdn.washingtonpost.com
> RESEARCH
Part A: Three major external factors contribute to the value of USD...
www.investopedia.com
1) Supply and demand:
Exporting American products and services creates demand for USD, because foreign investors must exchange their currency for USD, in order to complete the transaction.
Note: decreased exports = decreased demand = decreased USD value
Note: decreased stock/bond issuance = decreased demand = decreased USD value
2) Sentiment and market psychology:
Rising unemployment weakens the economy, reduces income, and slows consumption. If the US economy appears weak, foreign investors may sell-off their US securities, in favor of exchanging back to their national currency.
Note: decreased employment = decreased consumption = decreased USD value
Note: negative sentiment = decreased foreign investment = decreased USD value
3) Technicals:
The release of government statistics (payroll data, GDP data, etc.) may help quantify whether the economy is strong or weak. Historical patterns generated by cyclical support/resistance levels and technical indicators also contribute to the movement of USD.
Gross domestic product (GDP) is the total value of all the finished goods and services produced (in this case, within American borders)
www.investopedia.com
Note: decreased employment = decreased GDP = decreased USD value
Part B: Four major internal tools (utilized by the Fed) contribute to the value of USD...
www.federalreserve.gov
1) Discount rate:
The interest rate reserve banks charge commercial banks for short-term loans.
2) Reserve requirements:
The portions of deposits that banks must hold in cash in vaults or on deposit.
3) Open market operations:
The buying and selling of U.S. government securities (T-bills, bonds, and notes).
4) Interest on Reserves:
The interest paid on excess reserves held at reserve banks.
> HYPOTHESIS
Shorting USD will be profitable because the Fed is increasing money supply.
Shorting USD will be profitable because the Fed is maintaining interest rates near zero.
Shorting USD will be profitable because the Fed is maintaining reserve requirements at zero.
Shorting USD will be profitable because the Fed is repurchasing government bonds on the open market.
> EXPERIMENT
Part A: Build a diversified dollar bearish portfolio.
Include dollar bearish securities and commodities (FXC, FXE, UDN, GLD, IAU, DBC, DBP)
Include International stock and emerging markets ETFs (open to all suggestions for this)
Include foreign currencies (GBP, CAD, AUD, CNY, CHF, KRW, JPY, EUR)
Include crypto currencies (BTC, ETH, LTC, and especially the DeFi sector)
> RESULTS
Pending... follow me for a monthly update to see if I get rekt, much love!
DXY and NDXBased on my findings each day the Dollar Index (DXY) went higher the Nasdaq Index (NDX) sold off. My new strategy during this market is to watch the DXY daily trend and trade in the opposite direction of the trend with the NDX. Today the DXY rallied $.83 (.75%) and the NDX is down (-.67%) premarket. When the market opens I will watch to see if the DXY continues its overnight rally or if it becomes exhausted throughout the day. This is on a day when NFLX rallied 10% overnight due to a strong earnings report released after market hours yesterday. Today TSLA is expected to release their earnings report after the market closes as well.
Unit value of BTC walletsAt first this is an analysis just out of curiosity, maybe it doesn't mean anything...
The marketcap of a cryptocurrency is obtained by multiplying the price by its number of units in circulation.
Then:
BTCUSD = U$ 19 K
BTC_SUPPLY = 19,176 M units
BTC MarketCap = BTCUSD x BTC_SUPPLY = $365.3 B
What would happen if the market value were evenly distributed among all wallet addresses?
Calculation:
BTC MarketCap = $365.3 B
Number of BTC's wallet addresses = 1,036 B
Unit value per wallet = BTC MarketCap ÷ Number of BTC's wallet addresses = U$352
Graphically speaking, the value is in an interesting region, at the 0.618 Fibonacci retracement.
XRPUSDT - Opportunity of a LIFETIME‼📢 Don't Miss It !Hi Traders, Investors and Speculators
Ev here. Been trading crypto since 2017 and later got into stocks. I have 3 board exams on financial markets and studied economics from a top tier university for a year. Daytime job - Math Teacher. 👩🏫
As you guys know, I am notoriously bullish on XRP, even during a bearish market! Watch this quick 5min video to get a refreshing take on an undervalued altcoin with so much potential it might just go parabolic in the future. The SEC case is definitely a dark cloud that hands over Ripple but once it it settled I expect some major price action for XRPUSDT.
In this chart I take a look at some fundamental analysis on why I am bullish on XRP. I also look at the immediate support zone and resistance zone as well as Fibonacci retracement.
Interested in my view on the entire cryptocurrency market? Check out this idea on TOTAL :
_______________________
📢Follow us here on TradingView for daily updates and trade ideas on crypto , stocks and commodities 💎Hit like & Follow 👍
We thank you for your support !
CryptoCheck
cellectis alcls : begenning of a new cycle
technicaly , it looks like the last phase of correction has ended, i.e the wave C( impulse with 5 waves)
fundamentaly , cellectis is growing big, has very good product, it's an awesome company
notice :
i'm not a financial adviser
i don't have anything to sell ( signal - education- etc..)
I only post my ideas to force myself to be good and learn from anybody who want to engage in a constructive discussion
please if you see anything wrong in my analysis, let me know
thank you
XRP Our first entry into the billion dollar crypto portfolio is the XRP token.
Below I will present my thesis supporting the bullish case and upload any updates to my position.
NASDAQ: No technical reason to go long!Hi Traders,
This is my view for this week on:
- NAS100
I remind you that this is only a forecast based on what current data are.
Therefore the following signal will be activated only if specific rules are strictly respected.
I really hope you liked this content and I would like to know what do you think about this analysis, so please use the comment section below to give me your point of view.
Pit
DISCLAIMER:
Trading activity is very dangerous. All the contents, suggestions, strategies, videos, images, trade setups and forecast, everything you see on this website and are the result of my personal evaluations and was created for educational purposes only and not as an incentive to invest. Do not consider them as financial advice.
Correlation between FX and Equities! (Chicken or the Egg?)Which came first, the chicken or the egg?
Traders all over the globe are constantly looking for an edge, something that's going to give them an extra indication on market directional movements prior to them unfolding. I know from personal experiences and from chatting people at the firm that many traders lean towards finding correlation between the equities market and the FX market. There are a lot of analysts out there that say the equities market is what moves the FX market, and in return there are a lot of people that say the FX market is what moves the equities market.
So, which one is it?
Reality is will never know. There have been many of times where the FX market and shows clear indication of direction and then about a day later or a few hours later we have the equities follow suit. For example the RBA's recent decision to hike interest rates by .25% instead of 0.5% sent the Aussie dollar down, but when you move over to the AUS200 or look at General Equities in the ASX, you'll see that they had their biggest day in 2.5 years.
Then there are times, and this is more into day trading, where the indices in the equities movements tend to correlate well moving into the FX markets.
So there is evidence to support both sides. Not ideal.
It goes without saying that correlation between equities and FX is slowly starting to fade as volumes kick up since we are in the technologically advanced era. But, what is or was the correlation and how does it work?
The basic theory (aged) is that when equity markets rise, confidence in that specific country grows well, leading to an inflow of funds from foreign investors. Therefore, equities go up, FX value goes up. It's simple supply and demand when you look at it. If the equities are going up and you're a foreign investor and you want to buy into those equities, it creates demand for holding, let's say, the US dollar if I wanted to buy into the S&P 500.
On the flip side, when the equity markets are falling. Then confidence falters, causing investors to convert their invested funds back to their own currencies outside of that country.
This is a general theory and I don't recommend basing any of your trading decisions on this, because if you actually have a look at the charts and the correlation, you'll notice that recently it's not been too hot. While you do get a general directional bias, one tends to move before the other and they tend to be quite random in which one goes first. If you have the ability or the skill to be able to work out when something is correlating and when something isn't, then for sure I think you'll be able to find an edge in the market trading some kind of correlation between equities and FX.
One correlation I have seen to be quiet useful in recent times is the S&P 500 And the Nikkei. Although in the Asian session the Nikkei is open in the S&P 500 isn't. Usually you see the S&P move and the Nikkei follow suit. Keep an eye on that correlation and tell me if you find any patterns.
As a whole, trading correlations can give you an edge in the market. It can provide you with valuable information when it comes to trading, whether you are trading FX or trading Equities. But it's not as simple as it seems. It will take more diving and understanding the markets on a deeper level to know when their correlating and to know when to ignore.
I hope you guys have enjoyed this article. If so, please give us a like leave and a comment. It does help the post a fair bit and I'll see you next week for some more content. Happy Trading!
-Jordon Mellor
The SEC vs. Ripple Labs, Inc.A brief history
In 2004, a few years before the introduction of the white paper and Bitcoin by Satoshi Nakamoto, Ryan Fugger conceived the idea now known as Ripple. Initially, Ripple was not based on blockchain technology. The development of blockchain technology and its implementation within Ripple began in 2012 after Ryan Fugger handed over his project to Chris Larsen, David Schwarz, and the former co-founder of the infamous Mt. Gox, Jed McCaleb.
Subsequently, this group of entrepreneurs founded OpenCoin and that same year began to use RipplePay source code to create their own ledger-based payment network for financial institutions. Later, in 2013, OneCoin was renamed to Ripple Labs Inc. and began raising funds. That same year, Jed McCaleb departed from the company to pursue the Stellar Lumens (XLM) project.
Meanwhile, the Ripple cryptocurrency rose from a mere fraction of a cent to the all-time-high value of 3.55 USD in 2018. Although, after tens of thousands of percent in gains, Ripple lost more than 90% of its value within the following year. After that, in March 2020, XRP found a bottom and started to rise in a new bull market propelled by an unprecedented amount of quantitative easing and stimulus checks being handed out to American citizens by the government.
However, despite other cryptocurrencies reaching new all-time highs, Ripple's performance remained muted in comparison to the previous bull cycle, with many people blaming it on the SEC lawsuit from December 2020. In a new uptrend, Ripple reached 1.98 USD before erasing most of its gains and returning to the range between 0.20 USD and 0.40 USD.
After two years of court proceedings, the case nears its end, which has started the bullish speculation that elevated the price to a recent high of 0.55 USD, and which led us to announce a warning to investors. Just two weeks ago, we called the bounce characteristic of “buy the rumor, sell the fact” behavior. Today, we still hold this notion and remain bearish on XRPUSD. Accordingly, we stick to our price targets of 0.30 USD and 0.28 USD. The rationale behind our reasoning is described below.
The SEC lawsuit against Ripple Labs Inc.
In December 2020, the SEC filed an action against Ripple Labs Inc., alleging that the company raised 1.3 bn. USD through an unregistered digital asset securities offering. Based on the SEC's complaint, Christian Larsen, the company's co-founder, and Bradley Garlinghouse raised capital to finance the company's business by selling cryptocurrency tokens to investors in the U.S. and globally. In addition to that, Ripple distributed billions of XRP tokens in exchange for labor and various services. As if it was not enough, Larsen and Garlinghouse executed personal sales worth approximately 600 mil. USD, potentially breaking federal securities laws by not registering their sales of XRP tokens.
The latest developments within the lawsuit and Hinman's remarks
A few days ago, U.S. District Court Judge Analisa Torres ruled to release the documents from the former Director of the Securities and Exchange Commission's Division of Corporation Finance. These documents relate mainly to the speech of Hinman at the Yahoo Finance All Economic Summit in 2018.
In his 2018 speech, Hinman said that some cryptocurrencies would not be considered securities (and which many investors seem to consider bullish for XRP in the past few days). However, we would like to remind investors that right at the beginning of his speech, Hinman noted that opinions conveyed in the speech are opinions of his own, and not those representing the SEC.
Then, just about a minute later, Hinman proceeded to distinguish between securities and potentially “something other than a security.” He noted that if a cryptocurrency carried a third-party promotion, it would most likely fit the security description.
Subsequently, he described a promotion as raising funds (through selling tokens instead of issuing a stock) by promoters to fund a company's operations with the goal of achieving financial gains for themselves and their investors. Furthermore, he provided the example of the SEC case versus W.J.Howey Co. from 1946. In that example, Hinman outlined how the character of a transaction is a determining factor in whether an asset is a security or not.
He later continued clarifying how a transaction could potentially not represent a securities offering. For that matter, he stated that the network on which a cryptocurrency is based would have to be sufficiently decentralized, and “purchasers would no longer have reasonable expectations that a person or a group will carry out managerial and entrepreneurial efforts”. According to Hinman's following remarks, only under such conditions, a transaction might not represent an investment contract.
After that, Hinman finally proceeded to make remarks about Ethereum “while putting aside a fundraising of that company.” He stated that at “the current” time (in 2018), offers and sales of Ethereum were not securities transactions. Then, he said that over time there might be other sufficiently decentralized systems, like in the case of Bitcoin and Ethereum, while omitting any other cryptocurrencies, including Ripple.
In next Hinman's remarks, he talked about “a plethora of federal regulations that apply beyond the securities laws.” Furthermore, he noted “a few things” that the SEC could look at in order to determine whether an asset is a security.
“A few things the SEC could look at” or ask
1. Is there a person or a group who sponsors the promotion and creation of the sale of the asset?
2. Does a person or a group who sponsors the promotion and creation of the sale of the asset play a significant role in the development and maintenance of that asset and its potential increase in value?
3. Does a person or a group who sponsored the promotion and creation of the sale of the asset retain a stake and/or other interests in the digital asset?
4. Did the promoter raise an amount of funds in excess of what might be needed to establish the running and functional network? If so, did the promoter indicate to investors how these funds might be used to support the value in the 5. secondary market (or increase the value of the enterprise)?
6. Does the promoter continue to expend funds from the proceeds for enhancing the functionality or to just enhance the secondary market value?
7. Do people or entities other than the promoter exercise governance rights and have a meaningful influence on the network?
8. Is the token creation commensurate with meeting the needs of real users rather than feeding speculation?
9. Are independent actors setting the price, or is the promoter supporting the market?
Our assessment
As it is impossible to tell what will be the outcome of the legal battle between the SEC and Ripple, we are allowed only to speculate about the court ruling. However, based on Hinman's introductory remarks in his speech regarding personal opinions and not those of the SEC or its staff, we would argue that the speech is a weak point of evidence for Ripple.
Indeed, we think the same about Ethereum and Bitcoin statements. Hinman said that Ethereum and Bitcoin were not cryptocurrencies at that particular time (during the speech - in 2018). Meanwhile, the lawsuit pertains to the period around 2013 and not to 2018. In addition to that, Hinman did put aside the early stages of Ethereum and its fundraising. Furthermore, he did also mention several requirements for a cryptocurrency to be potentially viewed as something else than “a security.”
These requirements would require no third-party promoter and a sufficiently decentralized network, among many other requirements like no reliance on entrepreneurship of a company's leadership. However, after Ryan Fugger sold his project in 2012, the development of Ripple blockchain technology solely relied on the company's new management.
Furthermore, the management (allegedly) profited from the sales of XRP as Larsen and Garlinghouse executed personal sales worth approximately 600 mil. USD. In our opinion, all these points represent a significant obstacle for Ripple to winning the SEC lawsuit.
DISCLAIMER: This content is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not be a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade. The article serves solely educational purposes and contains merely alleged information and not actual claims about the actions of those described in the article.
BTC Monthly and Weeklys mappedPersonal use, weekly and monthly levels marked with the alignment of your account and the improvements we have made over the last years
DXY long Position Looking to take long positions,upon the level in which the market recently broke out of which confluence with the inner h1 Demand zone
Longterm shortWith the current economic situation on the UK and the Pound being under a heavy distribution, I can only think of it going back below the mid range on the monthly chart
