🇫🇷 Young French people are adopting cryptocurrencies massively
Welcome to the Daily Tribune Wednesday, March 20, 2024 ☕️
Hello Cointribe! 🚀
Today is Wednesday, March 20, 2024, and like every day from Tuesday to Saturday, we summarize the news of the past 24 hours that you shouldn't miss!
But first…
✍️ Cartoon of the day:
A quick look at the market…
🌡️ Temperature:
Sunny ☀️
24-hour crypto summary ! ⏱️
🚀 Ethereum Spot ETF about to take off
The approval of Ethereum Spot ETFs by the United States Securities and Exchange Commission (SEC) is becoming increasingly imminent. This potential approval is seen as a milestone for Ethereum and the cryptocurrency market as a whole, promising to usher in a new era of institutional investment in Ethereum. This development could profoundly transform the crypto landscape, particularly by improving liquidity and diversifying the market. It would offer institutional investors direct access to ether without having to rely on Ethereum futures contracts traded on the CME, marking a significant advancement in how professionals can engage with cryptocurrencies.
The SEC's decision is highly anticipated by the crypto community. Indeed, an approval would attract a new wave of crypto investors, while strengthening Ethereum's position as a leader in the industry. This would also promote greater diversification of the Optimism (OP) ecosystem and improved availability of ZK-Rollups applications. The community is eagerly awaiting this, especially since the Dencun upgrade has already received positive feedback.
This approval could catalyze a massive influx of institutional capital into Ethereum, strengthening its position as a pillar of decentralized finance (DeFi). However, the real challenge lies in Ethereum's ability to handle this new wave of adoption without compromising its security or scalability, especially in light of recent upgrades and the transition to Proof of Stake.
🌟 France riding the crypto wave
In 2024, France has experienced a spectacular turning point in the adoption of cryptocurrencies, with one in eight French people now holding crypto assets. This represents a remarkable increase of 28% in one year. This growth is primarily driven by young people under the age of 35, who make up 57% of crypto investors. The gender imbalance in cryptocurrency holdings, with men accounting for 70% and women for 30%, suggests a stronger inclination among young men towards new technologies and risk-taking. Despite an uncertain global context for 2025, enthusiasm for Bitcoin continues to grow, with 64% of French enthusiasts, while interest in stablecoins and NFTs is also beginning to emerge.
The motivation behind the increasing adoption of cryptocurrencies in France is varied, ranging from the search for financial returns to the perception of cryptocurrencies as a safe haven in an unstable economic context. 46% of investors are attracted by the potential financial gains, while 34.4% see crypto assets as an alternative to declining traditional currencies. Despite recent shocks in the crypto ecosystem, such as the bankruptcies of FTX and Genesis, 23% of French people still plan to acquire cryptocurrencies in the near future. With a total estimated investment between 32.5 and 42.5 billion euros in 2024, representing a 60% increase in one year, France confirms its appetite for cryptocurrencies, establishing itself as one of the European leaders in the field, although slightly behind countries like the Netherlands or the United Kingdom.
The significant increase in the adoption of cryptocurrencies in France, especially among young people, reflects a global trend of democratization of digital assets. This rise in prominence is taking place in a European context where France could become a hub for crypto innovation and investment, potentially stimulating more favorable regulatory policies within the EU. Nevertheless, the gender gap in adoption calls for greater inclusion and financial education to ensure balanced participation in this new digital economy.
🎓 Giggle Academy: CZ's new adventure
After stepping down as CEO of Binance, Changpeng Zhao (CZ) is launching Giggle Academy, a free educational platform that aims to democratize access to education for all. The goal of Giggle Academy is not to generate revenue, but to provide basic, playful, and adaptive education that is accessible to users at no cost. By emphasizing a gamified approach to learning, CZ wants to transform the educational experience and make it available to a global audience, particularly in regions where access to education is limited.
Giggle Academy presents itself as a philanthropic project separate from traditional education, seeking to address the gaps in the education system in certain parts of the world. The major challenge for CZ will be to ensure the accessibility of the platform despite internet restrictions in some regions, with plans for partnerships to overcome these obstacles. CZ's transition from Binance to Giggle Academy marks a turning point in his career, demonstrating his desire to have a lasting impact beyond the world of cryptocurrencies.
This project highlights CZ's ambition to positively contribute to society, using his influence and resources to provide better opportunities for underprivileged youth.
📉 Grayscale ETF: Downward pressure on Bitcoin
Grayscale's GBTC ETF continues to exert significant downward pressure on the Bitcoin market, with massive outflows amounting to hundreds of millions of dollars. In particular, this week saw a 4% decrease in the value of Bitcoin, with a 12% deviation from its recent all-time high of $73,000, with the price now fluctuating around $64,000. The huge volume of outflows, reaching $643 million in a single day, marks the largest capital outflow since the ETF's conversion in January. These massive outflows are attributed to Grayscale's high management fees, which are seven times higher than those of its competitors, forcing withdrawals to be converted into dollars before any redemption, exerting downward pressure on Bitcoin.
Despite these challenges, other ETFs are performing remarkably, such as BlackRock's iShares, which offset Grayscale's losses with net inflows of $451 million. Bitcoin holdings by different ETFs as of March 18 reveal a diverse distribution, with Grayscale still holding 368,600 BTC, despite a 40% decrease since January.
The massive outflows from Grayscale's GBTC ETF highlight the liquidity challenges and dynamics within Bitcoin-based investment products. It also reveals the significant influence of large financial institutions on price volatility in the crypto market. In the longer term, the ability of other ETFs to absorb these capital flows could indicate a mature ecosystem capable of regulating and stabilizing the value of cryptocurrencies in the face of significant market movements.
Crypto of the day: The Sandbox (SAND)
The Sandbox is a blockchain-based virtual world that allows users to create, build, buy, and sell digital assets in the form of a game. By utilizing blockchain technology, The Sandbox incorporates decentralized autonomous organizations (DAOs) and non-fungible tokens (NFTs), creating a decentralized platform for a thriving gaming community. Launched in 2011 by Pixowl, The Sandbox aims to integrate blockchain technology into mainstream games through a \"play-to-earn\" model that allows users to be both creators and players.
The native cryptocurrency, SAND, is at the heart of this ecosystem, facilitating transactions on the platform and offering holders the opportunity to participate in project governance through DAO voting, acquire virtual land, and interact with games and applications. SAND distribution has been done through public sales, team allocations, and reserves intended to support ecosystem development.
Recent performance
Current price: Approximately €0.5592 ($0.6068 USD)
Percentage increase/decrease: 4.19% (1-day increase)
Market capitalization: Approximately €1,366,349,892
Rank on CoinMarketCap: #73
Crypto analysis of the day: Ethereum (ETH)
March 20, 2024 marked a turning point for ETH, which after gracefully climbing to $4,100, started a steep descent, eventually stabilizing around $3,050. This 25% correction raises crucial questions about the robustness of Ethereum's support levels and the confidence of its investors, particularly after the Dencun upgrade.
Let's take a closer look at the market pulse: Ethereum is now hovering just above its 50-day moving average, a delicate position that keeps investors on edge. If ETH slips below this critical threshold, it could send a warning signal, calling into question Ethereum's long-term bullish momentum. However, ETH has demonstrated remarkable resilience by bouncing off the 50% Fibonacci level, a fascinating phenomenon that suggests latent buying pressure, ready to defend its value against skeptics.
If the price maintains its bold position above $3,000, the stars align for an ascent towards $3,600, or even a triumphant return to the peak of $4,100. However, if the winds shift and ETH falls below this crucial waterline, be prepared for a potential plunge into murkier waters, around $2,800 or $2,700.