MicroStrategy reinforces Bitcoin investment, delays on Ether ETFs and other crypto news

Bitcoin’s (BTC) value is booming, fueled by exchange-traded funds (ETFs) and expected market changes related to the next halving. In February, the price of BTC shot up 45%, surpassing $60,000 – the first such leap since late 2021.

MicroStrategy is taking further steps in the Bitcoin market. To increase its Bitcoin holdings, which currently stand at 193,000 BTC, it is issuing convertible notes and short-term loans that can later be turned into company shares.

BlackRock, a major asset manager, has requested a change from the SEC to include Bitcoin exposure in its Strategic Income Opportunities Fund (BSIIX). According to BlackRock, this fund manages $36.5 billion in assets.

Looking at Bitcoin miner reserves for February can give us a fresh take on the current market trends. At the month’s end, these reserves were steady at about 1.82 million BTC, which shows that sales slowed down compared to January. It is an intriguing development, with the halving event drawing closer.

MicroStrategy’s co-founder and executive chairman, Michael Saylor, opined at a recent Bitcoin event that we are currently in the Bitcoin gold rush era. He believes this period began in January 2024 and will run until approximately November 2034.

MicroStrategy pursues $600 million for Bitcoin

MicroStrategy aims to generate $600 million to purchase more Bitcoin. Known as the largest company-based Bitcoin holder, they plan to gather these funds through senior convertible notes due in March 2030. These can be repurchased, redeemed, or converted beforehand.

MicroStrategy will likely use the funds raised to invest further in Bitcoin for its corporate needs. The notes can be converted into cash, MicroStrategy’s class A common stock, or a mix of both.

SEC delays decision on Ether ETFs again

The U.S. SEC has put off deciding on BlackRock and Fidelity’s spot Ether ETFs. It isn’t the first time they have delayed their verdict on these crypto ETF requests. In January, just after green-lighting a series of spot Bitcoin ETFs, the SEC could push back its decision thrice.

This delay was largely expected, as market observers and ETF experts have long suggested that the SEC would only make a move when the initial final deadline in May comes around.

Fantom pursues bankruptcy for stolen funds recovery

Smart contract platform Fantom is seeking a declaration of bankruptcy for the Multichain Foundation from the Singapore High Court, hoping this will enable it to recover the $122 million stolen from Multichain’s Fantom bridge last year.

Fantom states that the High Court of Singapore has already granted it a default judgment ruling regarding Multichain’s breach of contract and fraudulent misrepresentations.

The court is set to determine the compensation that Multichain needs to pay. Additionally, Fantom is pursuing the appointment of a liquidator, similar to filing for Chapter 7 bankruptcy in the U.S. If this request is granted, the liquidator would gain control over the assets of the Multichain Foundation.

Part of their role includes rescinding certain transactions and trying to retrieve other assets. The ultimate goal is to repay the creditors to whom Multichain allegedly owes money.

Seamless Protocol unveils liquidity market innovation

Seamless Protocol is set to introduce an Integrated Liquidity Market (ILM) on Lido for wrapped staked Ethereum (wstETH). This move provides fresh borrowing options for token holders seeking alternatives to traditional restocking.

The ILM will allow people staking on Lido to employ an automatic borrowing strategy.

This creates a ‘compound’ effect with wstETH—the staked ETH returns are reinvested to possibly raise user rewards. It’s important to note that Seamless’s borrowing strategies are tailored for specific loan purposes. It means lenders know precisely where their liquidity is going, and borrowers can’t use it for anything else.