AVA Labs Plans to Invest Millions in Merging DeFi and Traditional Finance

Kevin Sekniqi, COO at AVA Labs shared on Google Hangouts in a conversation with CoinDesk, that AVA Labs is currently focused on creating a grants program. The program will be supported by one of the branches of AVA Labs, AVA X. AVA X should provide at least 250,000$ for projects built and created with AVA technology. Selected projects built on the AVA ecosystem will receive millions in grants as stated by AVA Labs COO, in the form of grants that will be sourced from half of AVA’s allocation of mainnet tokens. AVA is designed as a blockchain-based platform that can allegedly perform over a thousand transactions in a second. The platform is designed as a basis of a new age financial infrastructure with a highly scalable protocol.

The project was founded by Professor Emin Gun Sirer from Cornell University, while Professor Sirer previously worked on creating a scaling solution for the Bitcoin network. The project has been on a private test net for over a year now, while the full launch of the network should officially arrive in July 2020 according to AVA roadmap in case the devs don’t decide to push the official launch back. As the COO Sekniqi claims, since launching the project on a public test net, AVA already commenced a dialogue with 5 different devs working on projects that could be eligible for receiving a grant.

Global Financial Crisis May Not Be a Bad Case Scenario for Bitcoin (BTC)

As the world is slowly embracing the potential case of global deflation and financial crisis that might hit the global economy, it appears that Bitcoin, the top cryptocurrency with a multi-billion market cap, may not be affected at all. Three factors could determine to which extent Bitcoin could be affected by a global crisis, referring to positive “side-effects”. The first factor of determination would place BTC in a flattering position. That would be the case if individual investors, as well as institutional, would decide to treat Bitcoin as a safe haven similar to the function of keeping gold reserves. The second factor of determination is already an active matter, referring to the fact that the Bitcoin network is created to regulate the supply of BTC units, that way preventing deflation and devaluation not BTC as a currency.

Bitcoin has only 21 million units of BTC in the total supply, while the pace of supply extension is reduced by half every four years. The next halving is expected in May 2020, when BTC expansion of supply should be reduced by 50% once again. In case people would decide to use BTC as a medium for sending and receiving payments amid a potential global deflation, deflation wouldn’t pose a problem to the value of BTC in the market.

Tone Vays: What Would Happen if Jeff Bezos Would Buy All Bitcoin (BTC)?

Tone Vays, YouTuber and cryptocurrency trader, presented an interesting hypothetical case on what would happen in case the well-known CEO of Amazon, Jeff Bezos, would decide to buy all Bitcoin units that are currently in circulation. As Vays notes, in case Bezos would attempt to buy all Bitcoin units in circulation for 140 billion dollars of his net worth, the price of BTC would be driven up drastically. The increase in the price of BTC per one unit would then reach the price level that would be unaffordable even for a multibillionaire such as Jeff Bezos. The present speculative value of the entire capital held in Bitcoin is approximately set at 137 billion dollars.

As Vays claims, in the last 11 years, around 18,3 million BTC went into circulation. Per YouTuber’s further claims, some of the early adopters of Bitcoin even lost or misplaced some of their BTC holdings, while analysts are losing account of BTC units that are placed and located on various platforms and in different wallets. In case Bezos would start buying BTC, due to the liquidity of the top crypto, the price would jump immediately and many investors would join to invest and buy more Bitcoin, as a consequence pushing the value of BTC up.

COVID-19 Domain Suspected to Deal with Money Laundering After Attempt of Selling for BTC

The US Justice Department closed and seized a COVID-19 related domain “coronaprevention.org”. The domain is said to be previously advertised to criminals, while the owner of the domain is suspected to be a money launderer. The domain has been seized by the United States Attorney’s Office after the owner of the website domain with fraudulent activities tried to sell the domain in exchange for Bitcoin (BTC). Only a day after President Donald Trump declared a national emergency as an urgent response to the COVID-19 pandemics, the domain owner listed the domain for sale on a forum specifically visited by hackers.

A Homeland Security Investigations agent (HSI) got in touch with the domain owner, working undercover and pretending to be selling fake COVID-19 tests which struck the domain owner as “genius”. The domain owner attempted to sell the domain as “premium” asking the HSI agent to send 500$ in BTC to take over the ownership of the domain. In the meantime, there are more dark web vendors trying to capitalize on the global crisis that the COVID-19 pandemics stands for, offering fake tests, antidotes, vaccines, and other fraudulent items.

Technical Indicators Hint Bitcoin is Likely to Hit the Target of 8,000$

With the last round of gains Bitcoin, the top crypto in the market managed to reach the target of 7,600$ from the starting position of 6,800$. With two significant factors that arrive as technical indicators, the price of 8,000$ might as well become possible for BTC with the next rally. The two clear indicators into the potential rally to 8k US dollars for BTC are seen in the 200-day simple moving average and the recent forming of an ascending triangle that could push the value of BTC to 7,900$, then take it to 8,000$ in short-term gains.

The 200-day simple moving average is usually considered to be a bullish indicator. Still, in a probable case of consolidation below the current level of the 200-day simple moving average, the indicators would signal that the asset is entering a bear market. Since the event on “Black Thursday” when Bitcoin dropped to a low value of 3,600$, the asset fell under bearish trends. In case there is a rejection in achieving the target of 8,000$, Bitcoin would confirm active bear trends.

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Author: Tokens.net Team