Crypto Biz: X payment system, Block moves into Bitcoin mining and more
Social media platform X is set to incorporate a wide range of financial services into its ecosystem. Christopher Stanley, X’s head of payments, compared the future functionality of the platform to the combination of Venmo and Apple Pay in an X post on April 22.
Meanwhile, Jack Dorsey’s financial technology conglomerate, Block, is advancing its cryptocurrency initiatives by developing a Bitcoin (BTC) mining ecosystem. The initiative targets key industry challenges, including the high demand for ASIC mining rigs.
On Wall Street, the New York Stock Exchange (NYSE) is exploring the possibility of transitioning to 24-hour trading, similar to the cryptocurrency markets. This change could increase liquidity for traders but also lead to increased volatility for retail investors.
This week’s Crypto Biz examines recent developments, including X’s upcoming payment system, the NYSE’s potential move to 24/7 trading, Block’s expansion into Bitcoin mining and the overall volume of crypto investments.
X payments details released: App to become your bank account
The head of payments at X, Christopher Stanley, outlined an ambitious plan for the platform’s payment system in a recent announcement. X plans to expand its basic tipping service into a comprehensive financial ecosystem. Initially, the service will resemble Venmo, allowing users to send and receive money within the app. Over time, the capabilities will expand to include features typically associated with bank accounts, such as earning interest on stored funds, according to Stanley. X plans to evolve into a system where users can buy products and make in-store purchases similar to Apple Pay, generating economic activity within its ecosystem.
NYSE gauges interest in 24/7 stock trading like crypto: Report
The NYSE is exploring the possibility of extending its trading hours to 24 hours a day, similar to the cryptocurrency markets. The NYSE’s data analytics team has conducted a survey to gauge the interest of market participants in moving to 24/7 or continuous weekday trading. The survey also seeks feedback on what measures should be implemented to safeguard traders against potential price volatility during overnight trading sessions. Currently, the NYSE, along with other major exchanges like Nasdaq and the Chicago Board Options Exchange, operates from 9:30 am to 4:00 pm Eastern Time, Monday through Friday.
Block announces development of “full Bitcoin mining system”
Block, the payments company previously known as Square, has announced the development of a new Bitcoin mining system. This initiative stems from Block’s completion of a three-nanometer chip specifically designed for BTC mining, following an earlier prototype of a five-nanometer BTC mining chip developed in May 2023. Block aims to offer both a standalone mining chip and a complete mining system to support the decentralization of Bitcoin mining, it said. The company is advocating for a decentralized approach to Bitcoin mining and is inviting inputs from the mining community on issues such as the acquisition of miners, maintenance, transparency and software challenges.
Crypto investment products see outflows for second consecutive week — CoinShares
Investments in digital asset funds have continued to decline, marking the second consecutive week of significant withdrawals. According to CoinShares, a total of $206 million was withdrawn between April 15 and 19. Bitcoin exchange-traded funds saw the largest decrease, with $192 million withdrawn ahead of the halving event. Ether funds also experienced a decline, with a $34 million outflow, continuing a six-week trend of negative flows. Additionally, investment in blockchain equities dropped for the 11th week in a row, totaling a $9 million loss. This trend of outflows is attributed to investor concerns over rising interest rates in the United States, which make traditional, less risky financial instruments more appealing than the more volatile cryptocurrencies. Current economic conditions and inflation data suggest the Federal Reserve’s hopes to ease monetary policies by mid-2024 may be unlikely.
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