The National Bank of Bahrain (NBB) has introduced the first Bitcoin-linked Structured Investment in the Gulf Cooperation Council (GCC) region, in collaboration with the digital asset firm ARP Digital.

Announced on Monday, the investment fund provides growth potential through Bitcoin’s upward performance, capped at a certain limit, while ensuring 100% capital protection during downtrends.

The announcement was made at the Fintech Forward 2024 event, stating that the fund will be available exclusively for accredited investors.

“This product highlights our commitment to offering our wealth management clients innovative and secure ways to diversify their portfolios in a changing investment landscape,” said Hisham AlKurdi, NBB Group Chief Executive. It reflects NBB’s ongoing leadership in financial innovation within the region.

By offering exposure to Bitcoin’s long-term growth, the fund also serves as a strong hedge against the volatility associated with cryptocurrencies.

Abdulla Kanoo, co-founder and co-CEO at ARP Digital, mentioned that the product provides BTC exposure “within a highly secure framework.”

“This structured investment provides new opportunities for investors seeking a calculated approach to digital assets.”

Furthermore, the Bitcoin-linked Structured Investment will be available in Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates.

In April, ARP Digital, co-founded by a former Goldman Sachs partner, received an operational license from the NBB. ARP Digital offers services like crypto trading, custody, and portfolio management.

Bahrain has emerged as a crypto hub in the Middle East and North Africa (MENA) region, with its well-regulated ecosystem for both domestic and foreign crypto firms. According to a recent Chainalysis report, MENA accounted for 7.5% of global crypto transaction volume between July 2023 and June 2024.

#BitcoinInvestment #CryptoNews #GCCInnovation #DigitalAssets

The United States Supreme Court has decided not to hear a case involving 69,370 Bitcoin, valued at $4.38 billion, seized from the Silk Road dark web marketplace.

Battle Born Investments, a company claiming ownership of the Bitcoin, sought a review from the Supreme Court. The firm argued that it had acquired the rights to the seized Bitcoin through a bankruptcy estate. However, the Supreme Court’s refusal to take up the case leaves the government’s control over the cryptocurrency largely uncontested. The decision also paves the way for the U.S. government to sell the significant Bitcoin stash.

The legal dispute began when Battle Born Investments asserted that it obtained the Bitcoin through a bankruptcy claim after the closure of Silk Road in 2013. It alleged that Raymond Ngan, a debtor in the bankruptcy proceedings, was the mysterious “Individual X” who had illicitly taken billions of dollars worth of Bitcoin from Silk Road. Despite these claims, the courts have consistently ruled against the company. In 2022, a district court ruled that Battle Born did not have a legitimate claim to the Bitcoin. The following year, an appeals court in San Francisco upheld this decision, concluding that the firm’s claims were not legally valid. These setbacks culminated in the Supreme Court’s recent decision to decline the case, effectively closing the legal pathway for Battle Born.

This decision significantly boosts the likelihood that the government’s civil forfeiture action will prevail, allowing it to move forward with the potential sale of the seized Bitcoin. The U.S. government has already begun to move some of the Silk Road-linked Bitcoin. On July 29, around $2 billion worth of the cryptocurrency was transferred, managed by the U.S. Marshals Service through Coinbase Prime for custody. The sale of such large amounts of Bitcoin by governments has been known to cause market fluctuations. For example, in June and July, the German government sold nearly 50,000 Bitcoin, valued at over $3.15 billion, which contributed to notable market volatility.

It remains uncertain how the U.S. will proceed with the remaining Bitcoin. Notably, Republican presidential candidate Donald Trump has suggested that he would establish a “strategic Bitcoin stockpile” if he wins the upcoming election. Meanwhile, Democratic candidate Kamala Harris has yet to announce her stance on handling seized cryptocurrency. Silk Road, founded by Ross Ulbricht in 2011, was known for facilitating illicit transactions before it was shut down. Ulbricht is currently serving a life sentence without the possibility of parole for charges, including money laundering and drug distribution. Trump has also indicated that he would consider commuting Ulbricht’s sentence if elected president.

Twitter: #SilkRoad #Bitcoin #SupremeCourt #CryptoNews #BitcoinMarket #BattleBornInvestments #DonaldTrump #KamalaHarris

The Russian Energy Ministry is seeking the authority to disconnect cryptocurrency miners from energy grids as Bitcoin miners continue to increase their capacity. Reports indicate that Russian entities mined approximately $3.5 billion worth of Bitcoin last year.

Yevgeny Grabchak, Russia’s Deputy Minister of Energy, stated that power providers should have the ability to disconnect miners from the power supply at any time. Despite this, he reiterated previous statements from the ministry about offering miners surplus power when available, noting they represent a new category of consumers who could benefit from free capacity on grids during low demand periods.

Russian Energy Minister Sergey Tsivilev suggested at a recent meeting with President Vladimir Putin that crypto miners should consider relocating to areas without energy shortages. Grabchak mentioned the possibility for the industry to choose self-limiting power usage or implement automatic IT solutions for disconnection.

Earlier this year, President Putin endorsed the industrial crypto mining sector, leading to the legalization of crypto mining. However, he emphasized the need to prevent power grid disruptions, a concern highlighted by previous issues in Abkhazia and Kazakhstan.

Mining regions like Irkutsk, Buryatia, and Transbaikal, which are traditional hotspots, have faced power-related challenges, prompting a crackdown on illegal mining activities. It’s estimated that a significant portion of Russian crypto miners operate in these areas, consuming substantial power.

Recently, miners seem to be considering moving away from Southern Russia and Siberia. In Perm, developers have completed a 440sqm mining facility on a former fur farm, and Gazprom is building a 500-rig mining farm in Veliky Novgorod. Additionally, Komi’s governor announced plans to construct 15 new crypto mining data centers in collaboration with private-sector miners.

Twitter:
– Financial Times (@FT): Russian defense spending to rise by a quarter in 2025.
– Bloomberg Technology (@technology): The US government and Microsoft have seized 107 websites used by Russian intelligence agents and their proxies in the US.
– The Kyiv Independent (@KyivIndependent): Russian gas giant Gazprom was ranked as the most unprofitable company in Russia last year, ending 2023 with a record net loss of $6.1 billion, Forbes Russia reported.

The Russian Energy Ministry is seeking the authority to disconnect crypto miners from energy grids as Bitcoin miners expand their operations. Reports suggest Russian miners produced approximately $3.5 billion worth of Bitcoin last year.

Yevgeny Grabchak, Russia’s Deputy Minister of Energy, mentioned in a Vedomosti article that power providers should have the ability to “disconnect” miners from the grid “at any time.” Earlier, the ministry suggested that power firms might provide miners with surplus electricity. Grabchak highlighted that miners are a new category of consumers, and there’s often available capacity on grids without peak electricity usage.

Russian Energy Minister Sergey Tsivilev advised that crypto miners should relocate to areas in the country with no energy shortages. Grabchak added that the industry could either self-limit power usage or employ “automatic” IT solutions. President Vladimir Putin has endorsed the industrial crypto mining sector, but he directed the government to prevent miners from disrupting power grids, an issue previously observed in regions like Abkhazia and Kazakhstan.

Irkutsk, Buryatia, and Transbaikal are prominent Bitcoin mining locations, with Irkutsk facing power issues, leading to a regional crackdown on illegal miners. Experts estimate around a third of Russian crypto miners operate near Irkutsk, consuming about 1,000 MW, with home-based miners using about 130 MW.

There is a trend of miners moving from Southern Russia and Siberia. Developers in Perm have completed a 440sqm mining farm, and Gazprom launched a crypto mining subsidiary working on a 500-rig mining farm in Veliky Novgorod. Additionally, Komi’s regional governor announced plans to build 15 new crypto mining “data centers” in collaboration with private miners and contractors.


**Twitter Updates:**

– Russian defense spending is set to increase by 25% in 2025. — Financial Times
– The US government and Microsoft have seized 107 websites used by Russian intelligence and proxies in the US. — Bloomberg Technology
– Russian gas giant Gazprom was ranked as the most unprofitable company in Russia last year with a net loss of $6.1 billion. — The Kyiv Independent

On October 6, Markus Thielen, CEO of 10x Research, expressed optimism for Bitcoin’s performance this October, dismissing concerns about geopolitical tensions as unlikely to hinder its current momentum.

In a report by 10x Research, Thielen maintained a positive outlook for Bitcoin’s price in October, suggesting that recent geopolitical tensions would not disrupt the bullish trend. While acknowledging the potential for increased volatility, he viewed it as an opportunity for traders rather than a significant threat.

Thielen pointed out that concerns about the U.S. economy, especially in the employment sector, are the main factors influencing price trends this month.

Stronger-than-expected U.S. jobs data has alleviated fears of a recession following last month’s modest rate cut. The U.S. added 254,000 jobs in September, far exceeding expectations, and the unemployment rate declined to 4.1%. This robust report led to a shift in market expectations, reducing the likelihood of another substantial rate cut by the Federal Reserve in November. Market predictions now favor a 25bps rate cut, suggesting the possibility of a soft landing for the economy without triggering a recession.

Despite a rocky start in October, Thielen noted this to be typical, with Bitcoin often showing weakness early in the month. However, he emphasized that the remainder of the month could offer significant catalysts to maintain upward momentum. With historical trends showing positive returns for October, the stage is set for potential gains.

The forthcoming US Consumer Price Index (CPI) release on October 10 is expected to provide more insights into the economic narrative. A forecasted CPI of 2.3% suggests a slight decrease in inflation, supported by the Personal Consumption Expenditures index, which showed a similar trend. Institutional investors are signaling renewed optimism as ETFs for Bitcoin and Ethereum see positive inflows. Political developments, including Kamala Harris’s endorsement of digital assets and Donald Trump’s support, further bolster the market’s bullish sentiment as the US election looms as a key catalyst for the fourth quarter.

Twitter:

#Bitcoin’s #Uptober gains momentum despite geopolitical tensions. Strong US jobs data and political support boost market optimism. 📈🚀 #Crypto #BTC #Economy