CDS Crypto News Crypto News: Stacks Rebounds, Chinese Telco Acquires Miners And, Latest Crypto Updates
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Crypto News: Stacks Rebounds, Chinese Telco Acquires Miners And, Latest Crypto Updates

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Crypto News: Stacks Rebounds, Chinese Telco Acquires Miners And, Latest Crypto Updates

Crypto News: Stacks’ Comeback, Chinese Telecom’s Mining Venture, Crypto market Highlights

Crypto News- Bitcoin’s layer-2 network, Stacks, has successfully resumed block production after a nine-hour downtime on Friday, June 14. The delay was attributed to unexpected mining behavior combined with a Bitcoin reorganization (reorg), where previously confirmed Bitcoin network blocks were invalidated and replaced. This incident halted block creation at Stacks Block #153,917 at around 4:13 am UTC, with the next block not produced until 1:20 pm UTC.

Following the resumption of block production, Stacks’ native token, STX, dropped over 8% to $1.89 and has since declined further to $1.85, marking a 17.8% decrease over the past week from a peak of $2.45 on June 12, according to CoinGecko.

Crypto Newsletter: Stacks Rebounds, Chinese Telco Acquires Miners, and More

Chinese Telco Expands Crypto Mining Operations

Shenzhen-based telecommunications firm, Coolpad Group, announced a $13.5 million investment in thousands of crypto mining rigs. The purchase involves 2,700 electronic computer servers for crypto mining from a Hong Kong-based company, destined for deployment in North America. This acquisition will boost Coolpad’s computing power from 873,000 terahashes per second (TH/s) to over 1.5 million TH/s, equivalent to approximately 1.5 exahashes per second (EH/s). For context, crypto miner Riot Blockchain reported a hashrate of 14.7 EH/s last month.

This investment follows Coolpad’s recent announcement of plans to buy up to $28 million worth of U.S.-listed spot Bitcoin ETFs and shares of crypto miners, including CleanSpark (CLSK).

Central Banks Ramp Up CBDC Exploration

The Bank for International Settlements (BIS), known as the “bank for central banks,” reported a significant increase in wholesale central bank digital currency (CBDC) experiments and pilots. A survey revealed that 94% of central banks are exploring a CBDC, indicating diverse approaches and design considerations.

The BIS noted a higher likelihood of wholesale CBDC issuance within the next six years compared to retail CBDCs, though many design features remain undecided. Wholesale CBDCs are intended for institutional use in payments and settlements, whereas retail CBDCs are meant for public use.

Crypto Newsletter: Stacks Rebounds, Chinese Telco Acquires Miners, and More

The survey also highlighted that stablecoins are seldom used for payments outside the crypto ecosystem, with two-thirds of respondents working on frameworks to regulate stablecoins and other crypto-assets.

Cautious Adoption of Bitcoin ETFs: Insights from BlackRock

Samara Cohen, BlackRock’s chief investment officer of ETF and index investments, attributed the slow adoption of U.S. spot Bitcoin ETFs to cautious financial advisers. Speaking at Coinbase’s State of Crypto Summit, Cohen noted that 80% of Bitcoin ETF purchases are likely from individual investors using online brokerage accounts.

Cohen acknowledged that registered investment advisers are wary of the ETFs, emphasizing their responsibility to conduct thorough risk analysis and due diligence. This cautious approach stems from Bitcoin’s historical price volatility, which has reached 90% at times.

Coinbase’s financial chief, Alesia Haas, commented that Bitcoin is on a “slow journey of adoption,” reflecting a gradual acceptance in the financial landscape.

Other Noteworthy Developments

  • Over $100 billion has been raised for crypto startups since May 2014, marking a significant milestone for the industry.
  • Presidential hopeful Donald Trump has reiterated his support for the crypto community, pledging to “end Joe Biden’s war on crypto” and ensure that crypto and Bitcoin remain “made in America.”

This weekend’s developments highlight the dynamic and evolving nature of the cryptocurrency and blockchain sectors, with significant advancements and ongoing challenges shaping the landscape.

Frequently Asked Questions (FAQs)

Why did Stacks halt block production?

Stacks halted block production for approximately nine hours on June 14th. This pause occurred due to unexpected mining behavior combined with a Bitcoin reorg. A Bitcoin reorg happens when previously confirmed blocks on the Bitcoin network are invalidated and replaced by new ones.

Why did the value of Stacks’ native token, STX, drop?

Following the resumption of block production, Stacks’ native token, STX, experienced a more than 8% decrease, dropping to $1.89. This decline may be attributed to investor uncertainty following the network’s downtime. Additionally, the STX token has fallen by 17.8% over the past week, decreasing from $2.45 to $1.85.

Why is Coolpad Group purchasing crypto mining rigs?

Coolpad Group is investing $13.5 million to increase its crypto mining capacity by acquiring 2,700 crypto mining rigs. This investment aims to enhance the company’s computing power, enabling it to become more competitive in the field of crypto mining.

For more up-to-date crypto news, you can follow Crypto Data Space.

Crypto Newsletter: Stacks Rebounds, Chinese Telco Acquires Miners, and More

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