El Salvador signs a $1.4B loan deal with the IMF, making Bitcoin payments voluntary and reducing government involvement in crypto. In other news, Coinbase can delist wBTC, Exodus shares debut strongly, and Fraction AI secures $6M funding. Grayscale’s Bittensor Trust is open for accredited investors, while World Liberty makes a significant USDC purchase.
In a significant shift regarding its approach toward cryptocurrencies, El Salvador has reached a loan deal with the International Monetary Fund (IMF) worth $1.4 billion. As part of this agreement, the government will make Bitcoin payments voluntary. This change implies a withdrawal from the earlier stance where Bitcoin was considered legal tender, prioritising economic stability and flexibility. Moreover, El Salvador plans to scale down its involvement in Bitcoin-related projects, possibly aiming to mitigate risks associated with crypto volatility.
El Salvador previously made headlines when it adopted Bitcoin as a legal form of payment; however, concerns about the economic impact have arisen. With the IMF’s financial infusion now turning the page, there’s a broader focus on enhancing fiscal discipline and rebuilding trust in the country’s economy. The country intends to reshape its cryptocurrency policies, which could pivot the focus back towards more traditional economic measures.
Shifting gears to the wider crypto landscape, notable events unfolded. A California court recently ruled in favour of Coinbase, allowing it to delist Wrapped Bitcoin (wBTC) and dismissing BiT Global’s request for a temporary injunction. This ruling could influence how users interact with wrapped tokens moving forward, as regulatory pressures continue to shape the market.
In other news, Exodus, a popular crypto wallet provider, enjoyed a fantastic debut, surging over 37% on its first day of trading, with its shares peaking at $64.50. This uptick highlights the demand for user-friendly crypto solutions and indicates a robust interest from investors in the crypto wallet segment.
Additionally, Fraction AI, a company at the intersection of crypto and artificial intelligence, recently completed a $6 million pre-seed financing round. The funding was led by prominent investment firms Spartan Group and Symbolic Capital, suggesting a strong vote of confidence in the potential of AI-infused crypto projects.
In market developments, Metaplanet has begun trading its shares on the U.S. OTCQX market under the ticker symbol $MTPLF. This step aims to enhance liquidity and visibility, opening up new avenues for potential investors.
Meanwhile, Grayscale has announced that its Bittensor Trust is now open to accredited investors, which could broaden access to crypto investments for a select group of financial players.
Last but not least, World Liberty used a substantial amount of 250,000 USDC to acquire 231,726 ENA just a few hours ago, underscoring the ongoing trading activity in the crypto world despite prevailing market uncertainties. These recent activities illustrate the rapidly evolving dynamics of the cryptocurrency sector, which continues to attract attention from varied investors and regulatory bodies alike.
