Young Platform Blog - Page 15 of 48

June 29, 2024August 27, 2025

Communication to Young Platform Users regarding MiCA Regulation

We are approaching a pivotal stage in the world of cryptocurrencies: the entry into force of European Regulation No. 2023/1114 of 31 May 2023 concerning Crypto-Asset Markets (MiCA). In particular, the first block of the relevant European legislation will come into force on 30 June, which will significantly impact stablecoins and the broader digital asset market across the European Economic Area (EEA). Specifically, under the MiCA Regulation, authorised stablecoins must meet stricter reserve requirements, governance, and transparency requirements. Furthermore, on 25 June 2024, the Italian government approved the Legislative Decree to align the national regulatory framework with the MiCA Regulation, aiming to ensure coordination with existing sector provisions in Italy (particularly with the TUB and TUF).

What changes for Users?

With the entry into force of the MiCA Regulation, Young Platform is working to ensure that all cryptocurrencies offered on our platform comply with the MiCA Regulation, implementing a series of measures to protect Users and create an even safer and regulated environment.

Stablecoin: The MiCA Regulation introduces new rules for Stablecoins, which must meet specific requirements to be offered to the public. For reasons better explained below, Young Platform is already working to comply with this new regulation. Still, no changes are planned to the offering of Stablecoins on our platform. We will continue monitoring regulatory developments and guidance from competent authorities and promptly inform Users of any updates.

Greater transparency (Articles 27, 29, and 40 MiCA): We will provide more detailed information on the cryptocurrencies offered, including associated risks and specific characteristics of each token. In particular, we will focus on Asset Reference Tokens (ART) and Electronic Money Tokens (EMT), for which MiCA establishes specific requirements (Articles 16 and 48 MiCA):
- a) ART Tokens: According to Article 3(6) of MiCA, these are “a type of crypto-asset that is not an electronic money token and aims to maintain a stable value by referencing another value or right or a combination of the two, including one or more official currencies.” The MiCA Regulation requires platforms like Young Platform to obtain written consent from the issuer of the ART token before offering it to the public (Article 16 MiCA) and to comply with specific transparency and communication obligations (Articles 27, 29, and 40 MiCA).
- b) EMT Tokens: According to Article 3(7) of MiCA, these are “a type of crypto-asset that aims to maintain a stable value by reference to the value of an official currency.” The MiCA Regulation establishes stricter requirements for EMT token issuers, which must be authorised as credit institutions or electronic money institutions (Article 48 MiCA) and must also publish a White Paper containing detailed project information (Article 51 MiCA). Platforms offering EMT tokens must also comply with specific rules on communication and marketing (Article 53 MiCA).

Clear communications (Articles 29 and 53 MiCA): Our communications will be even more transparent and informative, in line with MiCA requirements on marketing and advertising. We will provide all the necessary information to make informed decisions. In particular, regarding EMT tokens, our marketing communications will comply with MiCA’s specific provisions for this type of token.

Dedicated support: Our Customer Support Team is available to answer any questions or concerns you may have regarding MiCA and its implications.

What changes for Spot Trading services, purchasing Stablecoins with Fiat Currency, and Smart Trades?

Although the MiCA Regulation has introduced specific requirements, particularly for Asset-Referenced Tokens (ART) and Electronic Money Tokens (EMT), it does not provide a definitive and exhaustive list of which cryptocurrencies fall into these two categories.

This means that issuers themselves have not openly declared with certainty whether their Tokens should be considered EMT or not. Consequently, Young Platform is in the position of having to independently interpret the regulation and is awaiting definitive clarification from the relevant authorities.

To date, Young is doing its best to contact all Token issuers that may fall into the aforementioned categories, asking them whether they are working to comply with the new obligations for ART and EMT issuers. Due to the absence, as mentioned, of a precise classification of these types of Tokens and considering the various possible interpretations of the regulation, Young Platform has not made any changes to its Spot Trading service for Users or, for the same reasons, to the service of purchasing Stablecoins with Fiat Currency or the Smart Trades service. It should be noted that in the first week of July, we will send Users a new update regarding the classification of EMTs and ARTs, to provide the latest data on issuers who have decided to regularise their Tokens and to specify how these issuers intend to operate. Furthermore, the same communication will further clarify how Young Platform intends to manage Tokens not authorised under the MiCA Regulation.

Certainly, the Company will continue to monitor regulatory developments and guidance from competent authorities constantly, and we will promptly inform Users of any updates and/or changes to the service.

Finally, we invite you to consult the official MiCA summary prepared by public authorities, available at this link.

If you have any questions or doubts, please do not hesitate to contact our customer service. We are here to help you navigate this new regulatory landscape and make the most of the opportunities offered by the MiCA Regulation.

June 21, 2024June 19, 2025

The 9 most expensive ultra rare pokémon cards in the world

Ultra rare pokémon cards: ranking and prices

What are the 9 most ultra-rare Pokémon cards? Discover the ranking and their staggering prices.

The world of ultra-rare Pokémon cards has captivated collectors and enthusiasts for decades, creating a thriving secondary market. Pokémon, an abbreviation of “pocket monsters,” is derived from the eponymous Japanese video game created by Satoshi Tajiri and Ken Sugimori. The game took the world by storm upon its release in 1996, and the Pokémon trading card game (TCG), launched the same year, quickly gained global popularity.

Today, Pokémon cards are used for gameplay and as coveted collectables. Each card features a specific Pokémon with unique abilities and health points, allowing players to engage in strategic battles. With over 9,000 cards released, some ultra-rare Pokémon cards have fetched exorbitant prices, placing them on par with classic collectables like coins and stamps.

Read on for the ranking of the nine most ultra-rare Pokémon cards in the world – you might just have a hidden gem tucked away somewhere in your home.

What makes Pokémon cards ultra rare and valuable?

Several factors contribute to the rarity of these Pokémon cards. Primarily, it’s their history. Due to their limited production, cards released during special events, exclusive tournaments, or anniversaries tend to be more valuable.

Condition is also crucial. Cards in mint condition, graded “gem mint”, or highly rated by grading services like PSA or Beckett, can command much higher prices than those showing wear and tear.

Like stamps, printing errors can turn an ordinary card into a valuable collectable. These “defects,” such as missing shadows, typos, or altered colours, can be subtle, making them particularly intriguing to avid collectors who know these ultra-rare Pokémon cards by heart.

Lastly, the value of the cards also depends on the Pokémon depicted. Iconic Pokémon like Charizard or Pikachu tend to have higher-valued cards simply because they are more sought after and beloved by fans.

In recent years, non-fungible tokens (NFTs) have mirrored the scarcity and rarity of traditional collectables. From stamps and coins to trading cards, clothing, musical instruments, and finally, unique digital assets, the world of collecting continues to evolve. Are NFTs poised to become the new frontier in this domain?

Discover the world of digital assets

The ranking of the 9 most ultra-rare Pokémon cards in the world

9. Kangaskhan family event trophy

This card, released in 1998, celebrates family teamwork in TCG battles. Its symbolic importance and rarity give it a value of $150,000.

8. Umbreon gold star holo

This rare card, featuring a holographic Umbreon, was distributed in 2005 to Japanese Players Club members who had accumulated over 70,000 points. Due to its exclusivity and striking design, it is valued at around $180,000.

7. Ishihara GX promo card (autographed)

This unique card was issued in 2017 to commemorate the 60th birthday of Tsunekazu Ishihara, founder of the Pokémon franchise. Exclusively given to company staff and autographed by Ishihara, it has reached an astonishing value of $247,230, making it one of the most coveted cards by collectors.

6. Snap Pikachu

This rare card from 1999 was the prize in a contest associated with the Pokémon Snap game. Only one copy exists, and it is valued at approximately $270,000.

5. Trophy Pikachu N. 3 trainer bronze

This trophy card, given to the top three winners of the first Pokémon tournament in Japan in 1997, holds significant historical value. Auctioned for an impressive $300,000, it represents one of the first official competition prizes.

4. Trophy Pikachu N. 2 trainer silver

Released in 1998, this trophy card celebrates one of Japan’s early competitive Pokémon card events. Its value reflects its rarity and historical significance.

3. Blastoise Wizards of the Coast presentation galaxy star holo

Created in 1998 as a preview for Wizards of the Coast’s TCG line, this card is extremely rare, with only two known copies. Its scarcity and special status confer a value of $360,000.

2. Charizard Base Set Shadowless 1st edition

This rare Pokémon card from 1999 became famous due to a printing error, lacking the typical shadowing of its more common counterparts. This makes it one of the most desired cards among collectors, with a value reaching $420,000.

1. Pikachu-Holo Illustrator

Distributed to fewer than 20 illustrators as a prize in an art competition 1998, this card is the most valuable and rarest in the world. Due to its extreme rarity and historical significance, it is considered the holy grail of Pokémon cards, with the value of one, perhaps the last in mint condition, estimated at $6 million.

Now that you know which are the 9 most ultra-rare Pokémon cards in the world, it’s time to turn your house, garage, and attic upside down to see if you might have owned one!

June 18, 2024September 9, 2025

Profit and Loss: how to monitor your crypto portfolio performance on Young Platform

Managing performance with the new P&L calculation method

Young Platform has updated its P&L (Profit & Loss) feature to offer a clearer and more detailed view of your crypto portfolio’s performance. As of June 2025, the system employs a new calculation method, which features interactive charts, detailed statistics, and revised data handling.

This is not a brand-new feature, but rather an optimisation of how existing data is analysed. It allows users to easily track:

Overall portfolio performance
Gains or losses on each individual cryptocurrency
Current value across the various wallets (Main, Savings, Staking, Smart Trade)
Realised and unrealised performance over time

To view your updated data, simply go to the “Profit and Loss” section within the app or web platform.

P&L method and tax reporting

The new calculation method is now also used to generate the tax report available on the platform. This integration ensures that the data shown in the P&L section is fully aligned with what is needed for income tax reporting.

Main user benefits include:

Consistency between operational analysis and tax data
Realised gains calculated in accordance with current regulations
Easy-to-export tax report, readable by your accountant

This synergy between performance tracking and regulatory compliance streamlines crypto asset management from both financial and legal perspectives.

How the P&L calculation works

Young Platform distinguishes between realised and unrealised gains and losses.

Realised Profit (or Loss)

This refers to the actual gain or loss made from completed operations: sales, withdrawals, or conversions into euros or stablecoins.

Learn more about stablecoins and taxation: Crypto-assets: from MiCAR to the Italian tax system

Calculation:
Sale/withdrawal/conversion price – average purchase price
Fees are included and counted as a loss.

Note:
Conversions between cryptocurrencies (e.g., BTC > ETH) do not count as realised gains, but transfer their value as unrealised capital gains.
Conversions to stablecoins (e.g., BTC > USDC), however, do count as realised gains, just like conversions into euros.

Example:

Purchase: 0.5 BTC at €15,000 (€30,000/BTC)
Sale: 0.5 BTC at €17,500 (€35,000/BTC)
Realised profit: €2,500

Unrealised Profit (or Loss)

This is an estimate of the value change of cryptocurrencies still held in your portfolio.

Calculation:
Current value – average purchase price

Note:
Applies only to crypto assets that have not yet been sold, withdrawn, or converted into euros/stablecoins.
Conversions between cryptocurrencies retain the gain as an unrealised capital gain.

Example:

Purchase: 0.5 BTC at €15,000
Current value: €17,500
Unrealised profit: €2,500

Average purchase price: definition and usage

The average purchase price represents the unit cost of a cryptocurrency over time.

Key features:

Updated only when buying
Unaffected by sales, withdrawals, or conversions
Used to calculate both realised and unrealised profits
When transferring assets between internal wallets (e.g. from Savings to Staking), the average purchase price follows the asset

How to read the data in the Analytics section

The Analytics section has been enhanced to provide a clear and detailed overview of your portfolio’s structure and performance. It includes:

Total performance

Total performance shows the overall gains and losses in your portfolio, expressed both as a percentage and in euros. It takes into account all value fluctuations, including realised and unrealised gains and losses.
Figures are updated every hour and shown net of any fees.

This metric provides an immediate and accurate snapshot of your portfolio’s growth or decline, making it a crucial reference for evaluating overall performance.

Breakdown by functionality

This section displays how your capital is distributed across the various investment strategies available on Young Platform: Main Wallet, Savings, Staking, and Smart Trade.
For each, it shows the total unrealised gain, allowing you to quickly identify which strategy is delivering the best results.

Volume analysis

This tool lets you monitor your activity in detail: deposits, withdrawals, and orders (buy, sell, or swap). You can select a specific time frame and filter by transaction type, generating a detailed chart of your operations.
This enables complete control over your activities and supports more strategic decision-making.

Crypto distribution

Displayed via a pie chart, this section shows the percentage breakdown of your crypto holdings by asset.
Each segment represents a specific cryptocurrency, helping you visually assess the weight of each asset and decide whether to rebalance your portfolio.

Transactions

Here, you’ll find a detailed list of all your transactions, including type and volume.
This view is also useful if you’re considering upgrading your verification level or joining a Club plan that offers reduced fees based on your trading volume.

Balance distribution

This chart shows how your capital is allocated across different investment strategies on the platform.
Each segment represents a strategy and highlights its proportion of your total balance.
It’s a valuable tool for evaluating diversification, exposure, and the impact of each strategy on your overall returns.

Asset type allocation

This provides a clear overview of how your portfolio is split between euros, cryptocurrencies, and stablecoins.
It helps you assess your exposure to volatility and balance between stable and high-risk assets, supporting more informed planning and risk management.

zkSync (ZK): you can purchase it on Young Platform Pro starting today!

You can now purchase zkSync on Young Platform Pro! Everything you need to know
zkSync is now available on Young Platform Pro and is ready to buy, hold, and sell.

We resume our listings with ZK, one of Ethereum’s most promising Layer 2 solutions and one of the most advanced projects in scalability.

zkSync: everything you need to know

zkSync is an Ethereum Layer 2 solution that enables users to execute transactions more quickly and cheaply. The Matter Labs team founded it in 2020, aiming to enhance scalability through Zero-Knowledge Rollup technology.

zk-rollups group transactions are executed on the network in batches and sent to the main blockchain in a compressed format. This maintains Ethereum’s security and decentralisation while reducing transaction costs. This technology was developed to solve major issues with the Ethereum network, which can often become slow and expensive when congested.

In just a few months since the launch of the leading network, zkSync Era, it has attracted many users and a significant amount of Total Value Locked (TVL). ZK, zkSync’s cryptocurrency, is the network’s governance token, allowing holders to participate in essential decisions for the protocol’s future.

zkSync was launched via an airdrop in June 2024, distributing 3.7 billion tokens to users who had used the protocol in the preceding months. From its launch, the zkSync network has hosted some of the most promising and popular decentralised applications (dapps) like Uniswap and Curve Finance, along with native DeFi platforms like Sync Swap and Holdstation.

As previously mentioned, this Ethereum Layer 2 is one of the most promising in the crypto world. Over the past years, it has raised nearly $500 million through various funding rounds. Venture capital firms investing in the project include Andreessen Horowitz (a16z), DragonFly Capital, ConsenSys, and Alchemy, some of the most prominent funds in the sector.

How to Use zkSync on Young Platform?

Here are all the features available for zkSync (ZK) on Young Platform Pro:

Purchase and sale with USDT.
Network deposit and withdrawal.

What are you waiting for? Access the Young Platform app or web version to purchase the cryptocurrency of this Ethereum Layer 2.

Attention! All CEX withdrawals for Zk Sync (ZK) are disabled until 12 p.m. UTC tomorrow, June 18, 2024.

June 6, 2024June 6, 2024

ECB Rates: Impact of the Cut on Markets and the Economy

The ECB Cuts Rates for the First Time Since 2019

The European Central Bank (ECB) announced a rate cut on Thursday, 6 June, lowering the deposit rate from 4% to 3.75%, the benchmark rate from 4.50% to 4.25%, and the marginal lending rate from 4.75% to 4.50%. This hasn’t happened since 2019.

This decision was made despite inflation forecasts being revised upwards, indicating a slow and irregular path for rate reductions.

Future Interest Rate Decisions

Christine Lagarde, President of the ECB, emphasized that future rate decisions will be made “meeting by meeting” and warned of a bumpy path ahead. She added: “Today’s rate cut reflects the confidence we have in the growth path, but to continue this process, we must wait for analyses to confirm that we are in economic recovery.”

Despite the rate cut, the ECB provided no precise guidance on future moves, stressing that inflationary pressures remain high. Updated forecasts show average inflation of 2.5% for 2024, 2.2% for 2025, and 1.9% for 2026.

Impact on the Labour Market and Economy

The ECB revised its growth forecasts for 2024 upwards, now estimated at 0.9% compared to the 0.6% predicted in March. However, prospects for 2025 were slightly reduced to 1.4%, while those for 2026 remain unchanged at 1.6%. This scenario indicates moderate economic growth in the coming years, with inflation likely to stay above the 2% target until 2025.

Lagarde indicated that wage growth, although still high, is expected to slow down during the year, helping to reduce inflationary pressures. However, rate cuts are likely to slow, with inflation remaining above the ECB’s target for most of 2025. This implies that the ECB will closely monitor various economic indicators to determine future monetary policy.

Consequences of the ECB Rate Cut

The ECB’s rate cut will have several consequences:

Reduction in credit costs: Households and businesses will benefit from lower interest rates on loans, thus promoting access to credit and stimulating consumption and investment.
Impact on savers: Lower interest rates may penalise savers, reducing returns on bank deposits and government bonds.
Stimulus to economic growth: Lower borrowing costs should encourage spending and investment, supporting economic growth. However, the effectiveness of this measure will also depend on global economic conditions and domestic demand.
Inflation and wages: The rate cut could influence inflation and wage dynamics. Although Lagarde has signalled that wage growth will slow, inflation may remain high in the short term, further complicating the ECB’s future decisions.

Market Reactions

Financial markets had anticipated the rate cut, pricing in a 25 basis point downward move. Following the rate cut announcement, eurozone government bond yields rose significantly. In particular, the 10-year German bond yield increased by nearly 8 basis points to 2.573%, while the 2-year bond yield rose by just under 6 basis points to 3.033%. Yields on Italian and Spanish 10-year government bonds also rose by 9 and 7 basis points, respectively, to 3.893% and 3.299%.

International Comparison

Despite starting to raise rates later than other central banks, the ECB is now leading with the June cut. The US Federal Reserve, for instance, is still grappling with higher inflation. Other countries like Canada, Sweden, and Switzerland have already started to reduce interest rates in the current cycle.

The ECB has clarified that future moves will depend on economic data and that there is no predetermined path for further rate cuts. With inflation still above target and moderate economic growth, the future of European monetary policy remains uncertain, requiring constant attention and careful assessment of all variables at play.

June 4, 2024June 4, 2024

FED: Interest Rate Predictions for the June 2024 Meeting

What is the FED’s stance on cutting interest rates? Here are analysts’ predictions.

The Federal Reserve (FED) is the central bank of the United States and plays a crucial role in the global financial system. Economists, analysts, and investors worldwide closely monitor every decision it makes, especially regarding interest rates.

But what can we expect from the upcoming FED meeting scheduled for 11-12 June 2024? Analysts predict that the FED will keep interest rates unchanged, but some signals could anticipate future cuts by the end of the year.

What is the FED, and why is it important?

The Federal Reserve, or FED, is the institution that serves as the central bank of the United States. Its role is to stabilise the economy through the management of money and interest rates. Its main functions are controlling inflation, regulating the banking system, and promoting economic stability. The interest rates set by the FED influence the cost of money, i.e., how much it costs to borrow or how much you earn by saving.

The current interest rate situation

FED interest rates have been steady between 5.25% and 5.5% since July 2023. After a year of stability, the FED decided not to increase rates further despite mixed signals on inflation. According to FED Governor Christopher Waller, some inflation reports in the early months of 2024 temporarily cooled expectations of a rate cut. Still, recent consumer price index (CPI) data suggest that inflation is not accelerating.

Analysts’ predictions for the FED June meeting

According to the CME’s FedWatch Tool, the probability of a rate cut at the June meeting is just 0.1%. The forecasting site Kalshi also indicates a 99% probability that rates will remain unchanged. However, analysts predict the FED might signal potential rate cuts later in 2024. During the meeting, the “Summary of Economic Projections” will be updated, where monetary policymakers will outline their forecasts for the end of the year.

Impacts on everyday life

The FED’s decisions on interest rates have a direct impact on people’s daily lives. Higher interest rates mean more expensive loans for homes, cars, and businesses and higher returns for savers. Conversely, lower rates make loans cheaper but reduce earnings on savings. For example, 30-year mortgage rates reached an annual high of 7.79% in 2023, then fell to 7.03% by the end of May 2024.

When might a rate cut occur?

According to bond markets, the first rate cut could happen in September 2024, with a 50% probability. A second cut might follow in December. However, these predictions are subject to rapid changes in response to economic data. For example, there is still a 15% probability that there will be no cuts in 2024.

The June FED meeting is highly anticipated, but it is unlikely to bring immediate changes in interest rates. All eyes are on the updated economic projections and the statements from FED Chairman Jerome Powell. The possibility of rate cuts during 2024 will depend on the strength of the labour market and progress in controlling inflation.

The FED’s decisions will continue to have a significant impact on the global economy and the daily lives of millions of people. Monitoring these decisions helps us better understand economic dynamics and make more informed financial decisions.

May 31, 2024May 31, 2024

The Richest Countries in the World: The 2024 Ranking

The Richest Countries in the World: Updated Ranking

Which are the richest countries in the world? Discover the ranking.

To compile the ranking of the world’s richest countries, the GDP (Gross Domestic Product) per capita is one of the most effective and widely used parameters to measure a country’s wealth. This indicator represents the total value of goods and services produced in a country in a year, divided by the number of inhabitants. A high GDP per capita indicates greater economic productivity and a higher standard of living for the citizens of that country.

In the global economy, wealth is distributed unevenly, with some countries boasting an extremely high GDP per capita. The economies of these states are often characterised by advanced industrial sectors, strong technological innovation, and a high level of education.

But let’s get back to the central theme of this article: which are the richest countries in the world? Here is the updated ranking for 2024.

The Richest Countries in the World Ranking

Here is the ranking of countries with the highest GDP per capita in 2024, based on data from the International Monetary Fund (IMF). Some advanced economies have long been active in the cryptocurrency and blockchain technology sector. Luxembourg and Singapore, for example, are known for being innovative financial hubs that are actively exploring this world. Knowing Bitcoin and other major cryptos could be an opportunity to emerge in an increasingly digitalised global economic context.

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1. Luxembourg ($140,000)

With a GDP per capita of about $140,000, Luxembourg ranks first among the richest countries in the world. A robust financial sector and a significant and constant influx of foreign capital characterise its economy.

2. Ireland ($110,000)

Ireland is in second place, with a GDP per capita of around $110,000. Its success is largely due to the presence of the headquarters of European tech and pharmaceutical multinationals. This country has attracted many successful companies in recent years thanks to a favourable tax situation.

3. Switzerland ($106,000)

Switzerland is known for its high quality of life and the efficiency of services provided by both public entities and private companies. Additionally, the country excels in the finance and industrial sectors.

4. Norway ($96,000)

In fourth place among the richest countries in the world is Norway, primarily due to the natural resources present in the territory, particularly oil and gas. Norwegian companies are also highly developed and leading worldwide in several fields, thanks partly to the significant work done by Norwegian researchers.

5. Qatar ($90,000)

Qatar owes its wealth to its enormous oil and natural gas reserves, accounting for about 13% of the world’s reserves.

6. Singapore ($87,000)

Singapore is a global financial and commercial hub with a strong economy based on financial services, advanced technologies, and international trade. Many underestimate the impact of the city-state’s shipping industry, favoured by its geographical position at the centre of important East-West routes.

7. United States ($84,000)

The United States is seventh among the richest countries in the world, with a GDP per capita of $84,201. The US is still one of the most powerful economies in the world, driven by its enormous domestic market fueled by the largest tech, financial, and industrial companies.

Singapore and the United States are also effectively integrated into the cryptocurrency sector. To delve into this innovative finance branch, download the Young Platform app!

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8. Iceland ($80,000)

The strength of the Icelandic economy derives primarily from tourism, fishing, and renewable energy production. This state is among the best places to live, ranking high in almost all quality-of-life indices.

9. United Arab Emirates ($76,000)

The United Arab Emirates is one of the most dynamic economies in the Middle East. Its wealth comes primarily from oil but also from the significant development of tourism and the financial sector in recent years.

The ranking of the richest countries in the world provides an interesting snapshot of how global wealth is distributed. These countries boast a high GDP per capita and often offer a high quality of life, with access to advanced services, modern infrastructure, and economic opportunities.

If you want to learn more about the global economy and the factors that influence a country’s wealth, follow us for insights.

May 24, 2024July 23, 2024

Spot ETF on Ethereum: trading has begun

Trading has just started for spot ETFs on Ethereum. Discover everything about these new financial instruments in the crypto world.

Spot ETFs on Ethereum approved exactly two months ago on May 23, are finally available on the market. After more than two months of discussions between the Securities and Exchange Commission (SEC) and American investment funds, these long-awaited financial instruments are tradeable from 12:30 PM UTC.

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What are the main predictions for capital inflows in the coming months and the price of Ethereum? Find out in the article!

The launch of Ethereum ETFs

The approval of spot ETFs on Ethereum, which seemed quite unlikely at the beginning of the year, came on Thursday, May 23, 2024, while the SEC gave the green light for trading today, Tuesday, July 23. The investment funds issuing them are BlackRock, Fidelity, VanEck, ARK Invest, 21 Shares, Grayscale, Hashdex, and Invesco. These players, already issuers of spot ETFs on Bitcoin, can now offer their clients these brand-new financial instruments as well.

Those following the issue would have noticed the differences compared to the launch of b instruments on BTC, which were immediately available after approval. The main reason behind these differences concerns the event’s credibility. Few expected the approval of Ethereum ETFs, while Bitcoin’s approval seemed almost certain before it was officially confirmed by the SEC.

Capital inflows and price impact

After the launch of Ethereum ETFs, we can confirm that 2024 marks a new era for the cryptocurrency sector, characterised by a radical change in perception compared to past years. Additionally, the time interval between the launch of Bitcoin ETFs and ETH ETFs allows us to analyse likely future developments and make data-supported predictions.

Bitcoin ETFs have attracted about $17 billion to the market since January 10, 2024, with Bitcoin’s price increasing by over 50% since the approval day. What will happen to Ethereum?

Of course, it is difficult to imagine this level of adoption for these financial instruments on Ethereum, but it is worth noting that the crypto’s market capitalisation is about one-third of Bitcoin’s. Therefore, the ETFs may significantly impact the price even if the inflows are lower.

In this regard, Crypto.com expressed its views in a report published a few days ago. The Exchange believes that if the performances of these two ETFs are similar, Ether could reach the $6,000 level within 60 days of trading.

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And the capital inflows? Various predictions have been made on this aspect. For example, Standard Chartered, one of the leading banks in the United Kingdom, predicts that Ethereum ETFs will record inflows between 52% and 155% compared to Bitcoin ETFs. Conversely, analysts from Bloomberg and JP Morgan are a bit more pessimistic, expecting inflows of 20%- 25% and 7%- 21%, respectively, compared to BTC ETFs.

Finally, suppose these reflect the difference in market capitalisation between the two cryptos. In that case, we will see inflows at a ratio of 1 to 3, meaning about $6 billion could flow into Ethereum over the next seven months.

Bitwise donates part of profits to Ethereum developers

We conclude this article with an interesting fact about Ethereum ETFs. Bitwise, one of the eight investment funds issuing a spot ETF on Ethereum, will donate 10% of the profits from trading these financial instruments to Ethereum developers.

According to the recent announcement, the donations will be divided between two organisations: Protocol Guild and PBS Foundation. Protocol Guild supports over 170 developers dedicated to Ethereum’s “research and development” segment. PBS Foundation is a non-profit organisation that funds Ethereum’s open-source development and related research.Today, it will be long remembered by enthusiasts in this sector. The first months of 2024 have kicked off a new chapter in the history of this innovative technology, also thanks to the arrival of Ethereum ETFs. Compared to last year, the status quo has completely changed: Ethereum is not a security, and for the first time, a crypto other than Bitcoin will be tested in the traditional investor market.

May 23, 2024May 30, 2024

US FOMC: no rate cut in April. How did the market react?

The FED and its president, Jerome Powell, have decided that interest rates will remain unchanged. When will we see the first cut?

The situation on interest rates has changed dramatically compared to last month. Chairman Jerome Powell announced the Federal Reserve’s (FED) decision of 1 May 2024, which ruled out a rate hike in the coming months.

This statement denotes a change of course on the part of the US central bank, as its president had announced his intention to make at least three rate cuts during 2024 in past meetings.

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The Fed’s decision

The FOMC (Federal Open Market Committee) meeting on 1 May ended like the four previous ones, i.e. with nothing. The Federal Reserve decided not to change interest rates, which remain fixed in the range of 5.25% to 5.5%. What weighed on the decision, which was taken by a unanimous vote of all meeting participants, was mainly inflation. According to the latest Consumer Price Index (CPI) data, published on 10 April 2024, inflation in the US stands at 3.5%, still well above the 2% target.

In short, the current scenario is very different from the one assumed at the beginning of 2024. At that time, experts predicted six or seven downward adjustments in interest rates, in the grip of the wave of optimism that had swept through the investment sector. In March, then, after revising expectations, Powell announced his intention to make at least three cuts during 2024 starting in June.

The labour market also falters

In April, the US labour market was also less buoyant than in previous months. According to the report released in early May, the unemployment rate rose and new jobs were fewer than analysts had expected.

The ‘Nonfarm Payrolls‘ figure, i.e. payrolls excluding the agricultural sector, returned +175,000 instead of the +240,000 expected, while the unemployment rate rose from 3.8% to 3.9%. These figures are particularly harmful compared to those of March (around 300,000 new jobs and the unemployment rate at 3.8%), reflecting the market’s optimism.

The reaction of the markets

Although, in theory, the postponement of the interest rate cut should not be exactly positive news for the markets, the major US indices reacted well to the FOMC decision.

On the same day, the S&P 500, the index tracking the performance of the five hundred most capitalised American companies, lost about 1.5%, only to recover in the following days. It is currently in the 5,185 area, thanks to a bullish movement that started the day after the meeting of about +3.5%. The NASDAQ and the Dow Jones also performed well over the past week. They rose by 4.7% and 3% respectively.

In recent months, the performance of the US stock market seems increasingly decoupled from the country’s monetary policy. The leading indices are close to all-time highs and do not suffer from the periodic postponement of interest rate cuts.

What will the Federal Reserve decide in the coming months? The central bank’s main objectives remain the same as in March: to control inflation and promote employment, although the situation has worsened compared to two months ago. Will inflation go back down, and will this allow the US central bank to proceed with the first, long-awaited interest rate cut? Or will the FOMC and Jerome Powell change their minds again, and the cost of money remains unchanged throughout 2024?

If we were to see the first scenario, interest in the crypto sector could also grow as government bond yields decrease. You can prepare for this possible scenario by buying Bitcoin on our app!

May 22, 2024May 22, 2024

The Halving of Bitcoin 2024 has just happened. Why set up a recurring purchase now

Bitcoin's halving has happened: what to do?

Bitcoin’s halving was successful. What to do? Historical data predicts rises in the months following the event, so why set up a recurring buy now?

What should we do now that Bitcoin’s halving has happened? After the rewards for miners have halved, many wonder what will happen to cryptocurrency’s price.

Historically, this event has established a market cycle that seems to repeat itself at similar intervals. Where do we stand now? Could the recent cryptocurrency retracement be an opportunity to buy Bitcoin at a lower price?

Halving Bitcoin, what to do: analysis of the BTC price in 2024

For the price of Bitcoin, 2024 has been an interesting year. At the beginning of the year, BTC was in the $40,000 price range, while today, it orbits around $56,000 after the crypto recorded a new all-time high at $73,000 in March. Just comparing historical data might be the right way to get an idea of its future price targets.

In the days following the 2020 halving, which occurred on 11 May of that year, Bitcoin’s price was in the $8,000 zone. In January 2021, it broke to its current all-time high at $20,000, while less than 12 months after the event, it recorded a new one at $64,000.

The main difference from that market cycle concerns the new all-time high. Bitcoin recorded a new all-time high about a month before the important event.

If you have been with us in the crypto market for a few years, you may remember that BTC rose in a similar move during the bear market of 2018-2019. At that time, the rise was 100%, but then it quickly subsided. Due to the market shake-up over the last few weeks, we are again below the ATH, but given Bitcoin’s performance during 2024, we might reach it again soon!

Check the price of Bitcoin now!

How long until the next upturn?

Looking at Bitcoin’s past bear market performance, we can see that after the bottom, the crypto took some time to recover. Indeed, it has been “water under the bridge” since November 2022, the month in which Bitcoin hit the low point at $15,000. Should it move as it has in the past, that area of the chart will never be reached again.

Still referring to past movements, buying Bitcoin regularly over the next few months could bring great satisfaction. Indeed, one could put the crypto aside at bargain prices, waiting for the explosion that usually occurs a few months after halving.

Of course, one cannot look at the past to predict the future, but knowing historical data is indispensable for making decisions.

What to do? Focus on recurring purchase

What could stimulate the price rise? In the past, Bitcoin’s halving has jump-started crypto. In fact, the halving of rewards has always been the starting point of a new bullish cycle.

Contrary to what one might think, these price movements and the consequent reaching of new all-time highs never occur suddenly. Above all, the initial phases are usually very slow and gradual and become more explosive after new highs are reached.

It must also be said that the experts’ forecasts for BTC at the end of 2024 are decidedly optimistic: according to Standard Chartered analyst Geoff Kendrick, the price of Bitcoin, after halving, will easily touch $100,000. For TechDev, the outlook is at $160,000.

Setting up a recurring purchase in pre-halving Bitcoin only takes a few minutes. Go to the Piggy Bank section of the Young Platform app, choose the amount and frequency you want and start saving your cryptos by taking advantage of the bear market!

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*The information in this article is for educational purposes and is not an incentive to invest. It is based on historical and objective Bitcoin market data, and the charts do not represent future predictions. The performance of any cryptocurrency portfolio is always subject to market conditions and volatility.