- The number of bitcoins held by publicly listed firms has steadily grown.
- It shows that the Fed aims to rein in and pump out easy money policies.
After the meltdown, companies possessing bitcoin reported massive losses on their financial sheets. When Bitcoin’s value skyrocketed, the firms progressively increasing their BTC holdings reaped billions in profit. As a result, they have collectively lost billions due to the slump that led bitcoin to lose nearly 50% of its value.
The number of bitcoins held by publicly listed firms has steadily grown. According to data, institutional investors controlled approximately 10% of the entire BTC supply as of August 2021. Considering the restricted supply of BTC, this volume is considerable, mainly while institutional participation in the market is still in its infancy.
Author of ‘Layered Money’
In a recent podcast interview, Nik Bhatia posed a series of thought-provoking questions concerning bitcoin and monetary policy. Researcher in financial markets, Nik Bhatia, has a CFA license and teaches Applied Finance in Fixed Income Securities at the Marshall School of Business, University of Southern California.
What are the 3 most thought-provoking questions in #bitcoin?@timevalueofbtc and I dive in to exactly that today. https://t.co/nPhPolxzrR pic.twitter.com/GPzdimPzEA
— Nathaniel Whittemore (@nlw) January 28, 2022
He spoke on the link between Bitcoin and TradFi. Along with why the Federal Reserve cannot escape the clutches of the interest rate markets. He even cleared the air whether or if Bitcoin’s success depends on privacy and more about bitcoin adoption across the globe.
It clearly shows that the Fed aims to rein in and pump out easy money policies. In the wake of the US central banks’ hawkish outlook, the leading cryptocurrencies suffered a significant decline in their prices. According to market analysts, the Fed will make an effort to contain increasing inflation without further frightening already-fragile markets, even if they cannot guarantee that their plans will be successful.
