BIS Says Retail Investors Lost Money On Bitcoin, Largest Hedge Fund Founder Sees CBDC As Inflation Cure
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Here are some of the most important developments from the crypto world in the last few days
Whales and professional traders are the only investors who have made money from bitcoin, and retail investors likely lost their money if they bought bitcoin after 2015, the Bank for International Settlements (BIS) said in a report.
The BIS report examines how retail investors flooded the space as coin and token prices began to fall. Most of the buying happened when Bitcoin was above $30,000, Decrypt said, citing the BIS report.
Bitcoin is currently trading around $25,000, down 64 percent from its all-time high of $69,000.
According to the BIS, larger holders typically benefited at the expense of small investors when Terra and FTX collapsed.
Digital currency can solve inflation, says world’s largest hedge fund founder
Bridgewater Associates founder Ray Dalio said that digital currencies have the potential to solve inflation.
“Money as we know it is at risk because we print too much, and it’s not just affecting the United States,” Decrypt quoted him as saying.
Dalio, who is also the world’s largest hedge fund founder, said that the closest he had to his vision on the market was an inflation-linked index bond in the form of a digital currency. “I think what… would be best would be an inflation-linked coin,” he said.
Dalio ruled out Bitcoin as a solution as it has proven to be too volatile. He said biotech and many other industries are “more interesting than Bitcoin.”
Aramco Partners with DroppGroup for Web 3.0 Tech
Saudi Aramco, the state-owned oil and gas energy giant of the Kingdom of Saudi Arabia, has signed a Memorandum of Understanding (MoU) with droppGroup to explore the possibility of co-developing a range of Web 3.0 technologies, CoinDesk reported.
Saudi Aramco is valued at nearly $2 trillion.
The blockchain-based Web 3.0, the third generation of the Internet, aims to help Aramco employees. The applications running on the blockchain offer potential for onboarding, training ecosystems, and a tokenized network and rewards program.
Web 3.0 technology provider droppGroup has a tech stack that includes artificial intelligence (AI), machine learning (ML), virtual reality (VR), tokenized networks, and metaverse.