Today, Bitcoin hits a year to date record after a major weekend rally.
A new bill in the US could require the Treasury Department to create electronic cash and sources.
Tell CNBC that UK crypto regulation is imminent.
Welcome to CNBC's Crypto world.
I'm mackenzie, sigalos. Crypto currencies rallied throughout the weekend and continued making gains this morning.
As of noon, eastern prices rose more than five and a half percent.
On average, Bitcoin has turned positive for 2022 after a 5.8%
gain ether. Well, it rose more than 6%,
and Cardano gained more than seven and a half percent to talk about the rally.
Cryptoworld caught up with Chris Klein.
Co founder and CEO of Bitcoin I RA.
Well,
first over the weekend, it's probably no news to anybody at this point,
but it's broke. It's $45,000 ceiling that it was bouncing up against for a long time.
What's driving? It is a lot of things.
You've got geopolitical tensions, you have institutional waves of adoption,
and you've got inflation. That is not transitory.
That's having an impact. We're looking at potential stories about a looming inflation with treasury bonds inverting as of last week,
so should be an interesting run for the next few weeks.
Volatility is nothing new in the digital currency or crypto space,
so we'll see a lot of movements.
There's a lot of economic data coming out this week specifically to equities.
What this may be that folks have been talking about in 2022 is a decoupling of equities and crypto currencies.
They've been running tandem for last few months,
and this may be that beginning of that divergent between the two.
In essence, what it is is as a stable coin that's going to need reserves.
That's the future of stable coins.
Is that if you're going to list a coin out there,
it's gotta have some kind of backing or.
Some kind of reserves to it,
and the obvious choice for Terra is Bitcoin,
so they're trying to fill a $3 billion element of their balance sheet across the next few months.
Buying 2 to 3000 Bitcoin at a time,
they already had somewhere north of 21,000 before this began,
so this is going to remind us all that crypto is scarce,
it's finite. There's only 21 billion Bitcoin that will ever exist in the market,
and if you're buying up $3 billion worth of them right now is an institutional player that's going to drive up price for sure.
We're long term holders of this.
So short term volatility. When in doubt,
you zoom out and if you did that over the last few months where there was a lot of bearish sentiment,
you're going to realize that crypto is continuing its path on an upward trend for years to come.
Aren't the headlines first, Instagram could launch NFTS into the mainstream,
at least according to a report from Deutsche Bank.
The report said that an NFT marketplace from Meta was highly likely to gain traction and could generate $8 billion in revenue for the company.
Deutsche Bank also said the NFT market is still in hyper growth mode.
Meta CEO Mark Zuckerberg announced it South by Southwest that Instagram would adopt NFT's in quote the near term next.
Sudan Central Bank is. Urging citizens not to use cryptocurrencies as the nation's economy craters,
Sudan faced a military coup in October of 2021,
and since then the government is still without a Prime Minister.
Exports have plummeted and nations around the world have suspended aid.
That volatility tanked Sudan's economy and sent a growing number of citizens into the cryptocurrency market now well,
the central bank is warning that crypto could be used for crime,
piracy and market volatility. According to the state run news agency,
finally, some US lawmakers want the US Treasury to make a digital dollar rather than the Fed.
Now a new bill proposed in the House would task Treasury Secretary Janet Yellen,
with developing a tokenized version of the dollar.
This is different from the possible CBDC that the Fed would create.
A tokenized dollar is tide to a device,
not a digital wallet like other digital currencies on a blockchain.
So that means if you lose the device.
You lose your money. Importantly,
this bill would not stop the Fed from making a CBDC.
It's meant to work alongside the Federal Reserve's efforts OK over to the United Kingdom for our main story sources,
tell CNBC that the country's finance minister is ready to announce new regulations for crypto just as the nation's Financial Conduct Authority struggles to make companies register with the government
by March 31st. CNBC's Ryan Brown has that story.
The Treasury Department in the UK is expected to make an announcement in the coming weeks about a new regulatory regime for cryptocurrencies and for some this has kind of
been a long time in the making.
The government actually did a consultation last year into crypto currencies and stable coins,
and I got a lot of feedback from the industry on that.
So a lot of people are kind of,
you know, asking after the Biden executive order on crypto calling for federal.
Government wide regulatory oversight of crypto.
A lot of people are asking about what is the UK doing.
The tone is expected to be kind of broadly positive,
broadly welcoming sources tell me that the Treasury is trying to kind of understand all of the complexities involved in crypto,
particularly with stable coins. What underpins these stable coins?
For instance, what are the reserves that are behind those stable coins is obviously a controversial topic that a lot of.
Regulators, especially, are looking for clarity on.
There's actually a lot of anger in the crypto industry about the FCA,
the financial services watchdog, and how it's handled this register.
So from Thursday, March 31st,
crypto companies operating in the UK and will have to be on this register,
or else they'll have to wind down their businesses and move that offshore,
which is seen as pretty much very negative the EU recently.
I would sit on some proposals.
It's essentially some legislation around bringing crypto into money laundering,
anti money laundering frameworks, what the EU lawmakers were proposing to vote on was a potential ban of proof of work systems.
Now the EU lawmakers voted against that proposal,
which for many was seen as a boon to the crypto industry and a positive thing,
and so lots of people.
In the UK, have been,
you know, looking at what's going on in the EU and looking at what's going on,
what's going on in the US with the executive order and saying,
right? Where's where's the UK Government in all this?
So that's kind of what's what's now happening?
Is is the government is,
you know, taking heed of of those those concerns and is now,
you know, looking to move forward with an actual regime on cryptocurrencies.
I think that all regulators are still playing catch up.
Crypto is a whole, you know,
the US is obviously looking to be seen as it's quite forward thinking and and quite taking a leading role,
but I don't think any regulators really have quite caught up to the challenge of regulating crypto.
There's still a lot of learning going on,
and there's still kind of grappling with the in's and outs of how it works.
Before we go, here's another story.
That crypto world is watching.
Exxon is mining Bitcoin in North Dakota as a means to slash emissions.
The oil company has worked with Denver based Crusoe Energy systems for more than a year now to mine crypto using natural gas and excellent isn't alone.
ConocoPhillips is also working to mine digital currencies in the Bakken region as well.
You can read that full story over at cnbc.com and with that you are all caught up for today.
We will be back again tomorrow with more and we'll see you then.