The collapse of Terra, the third-largest stablecoin and one of the biggest blockchains, has erased over $41bn in value in the largest single-asset financial event in history. While this may not destroy the cryptocurrency market, it brings a new political edge to it. Experts analyse how this event might impact businesses and investments in the UK.

Central Banks and Regulatory Scrutiny to be Impacted by Terra Crash

Central Banks and the cryptocurrency market are likely to be impacted by Terra’s crash. Regulatory scrutiny and political involvement is likely to increase, which may have implications for businesses and investors alike.

UK Businesses and Investors Face Potential Threat from Terra Crash

According to experts, the UK should expect to see a shift in market dynamics with investors becoming increasingly wary of stablecoins following this event. This could pose a potential threat to the current investment landscape. It remains to be seen how businesses and investors will react to the Terra crash, but one thing is clear: the cryptocurrency market has entered a new era and it cannot be ignored.

Read More Here https://www.newstatesman.com/comment/2022/05/what-the-terra-crash-means-for-the-future-of-crypto

The post Terra Stablecoin Crash Brings Political Edge to Cryptocurrency Market appeared first on Bitcoin Times.

Bitcoin’s value has dropped by 7.6% over the last 24 hours, hitting its lowest point since December 2020. Ethereum has suffered a similar fate sinking almost 30% over the last week. The cause of this market turmoil is believed to be concerns among investors over so-called ‘extreme market conditions’ sparked by soaring inflation rates In the US.

Rising inflation rates

Experts believe that the sudden drop in Bitcoin’s value could be a result of increased mining costs, as energy costs are becoming more expensive. Bitcoin is known to consume up to 0.55% of all global electricity and the increased cost of energy, coupled with inflationary pressures, could see the value of all cryptocurrencies continue to fall.

Crypto market turmoil

Despite assurances from some commentators that the market will begin to recover, crypto lender Celsius was forced to pause withdrawals, admitting that such a measure was necessary ‘to stabilize liquidity and operations’. The total wipeout in the market has seen almost $80 billion wiped off the value of the global cryptocurrency market in the past 24 hours.

Read More Here https://www.standard.co.uk/business/bitcoin-drop-lowest-december-2020-b1005692.html

The post Bitcoin drops as inflation rates soar appeared first on Bitcoin Times.

The move by Barclays is being seen as a sign that cryptocurrencies are becoming more mainstream and that more financial institutions are beginning to recognize their potential. These types of investments have been on the rise in recent years, particularly as the crypto market has matured and stabilized to some extent. With more regulatory clarity around the space, it appears that traditional finance is starting to view cryptocurrencies as a serious asset class, worthy of investment and inclusion.

As for the impact on the UK, this news is likely to be viewed positively by those in the crypto industry, as it demonstrates continued support and investment from mainstream institutions. Additionally, it might also lead to a more favorable regulatory environment for cryptocurrencies within the UK, as financial institutions are likely to advocate for a more permissive and supportive regulatory framework. Investors interested in diversifying their portfolios may do well to consider investments in the cryptocurrency space, particularly with the backing of established institutions like Barclays.

Read More Here https://news.sky.com/story/barclays-snaps-up-stake-in-2bn-cryptocurrency-firm-copper-12658295

The post Barclays invests in $2bn crypto company Copper appeared first on Bitcoin Times.

The post Changes To Self Assessment Forms For Cryptoassets appeared first on Bitcoin Times.