The Lead

Global central banks will continue to acquire and hold gold in their treasuries, but why? If you are not going to back fiat currencies with gold, all you have is a pile of shiny rocks sitting in a vault. I'm pretty positive that, even as a store of value, it would at least be expected to provide an increasing rate of return.

Thinking adjustment. A recent poll consisting primarily of banking executives discovered that most feel that bitcoin and digital assets could replace fiat currencies like the U.S. dollar within the next 5 to 10 years. Hard to believe since most financial professionals were bitcoin skeptics only a few years ago. But hey, guess you can teach old banker types new tricks.

Bitcoin ETF just rushed over to door number two. Yells of "let me in" are getting very loud. So what's behind door number two? Bitcoin futures. Recently the SEC dropped hints they MAY be receptive to ETFs that will trade in bitcoin futures rather than the cryptocurrency itself. Thus the stampede and excitement got all the management firm's juices flowing.

Bye bye Summer. The end is near. The last two weeks of August are famous for being extremely dull in financial markets and so it is again. So, with a dearth of news (and general malaise of interest) in the financial and fintech markets, here are some follow ups and updates from some "hot" pieces that made headlines the past couple of months.

Dear GOLD. It's over. After thousands of years of a beautiful relationship, it's time we (the world's populace) move on. Nothing personal, it's just that your shiny golden luster has lost its glow. Sad but true.

xactly one year ago (last August) the CEO of MicroStrategy, Michael Saylor, announced that rather than holding excess cash reserves in low (or money losing) treasuries, MicroStrategy would hold Bitcoin. Saylor came to the conclusion that Bitcoin is a true store of value and a much better use of idle cash.

Amazon, the fourth largest company in the world, is hiring a digital currency and blockchain expert. And why? Amazon is looking to accept Bitcoin payments most likely by the end of the year. Now this is HUGE news (unless you are short Bitcoin) and the ramifications are enormous.

Here we are well past the halfway mark of 2021 and, once again, debates are popping up on when, or if, there will be a U.S. regulated Bitcoin ETF. Different time, same question. Will the SEC approve a BTC ETF? Will they not approve a BTC ETF? Or better yet, WHY won't they approve that coveted ETF? Yes, why oh why?

Bitcoin is becoming widely accepted for payment for everyday items. Remember back in the good old days (like, 3-4 years ago) when all you ever heard was Bitcoin is "cute" but it will never catch on as a means of payment. Uh, yeah. It sure didn't take long either.

wiss banking giant UBS has warned its clients that regulatory crackdowns could result in making Bitcoin unsuitable for professional investors. Citing China's recent crackdown on mining, and the growing concern over crypto in the UK and US, UBS is advising clients to shy away from these risky assets.