Crypto Flipsider News – Bitcoin Falls to 8 Week Low, Polkadot the Biggest Loser; Kraken Gets Abu Dhabi License; The Central African Republic Adopts Bitcoin as Legal Tender; Elon Musk in Talks to Buy Twitter; Grayscale Prepared to Sue the SEC

Read in the Digest:

Bitcoin hits 8 week low in bearish market, while Polkadot emerges as the biggest loser.

Kraken obtains license in Abu Dhabi to operate a crypto exchange.

The Central African Republic to adopt Bitcoin as a legal tender.

Elon Musk and Twitter execs in advanced talks over Twiter purchase.

Grayscale could take legal action if the SEC rejects Bitcoin spot ETF.

Bitcoin Hits 8 Week Low in Bearish Market, while Polkadot Emerges as the Biggest Loser

Bitcoin (BTC) continued its six-day losing streak as macro uncertainties weigh heavy over traditional risk assets. Bitcoin’s losses coincide with the global equity markets plunging into a sea of red.

Over the last 24 hours, Bitcoin has lost 2.5% and is now trading at $38,787 as of this writing. Over the last six days, the cumulative losses have seen Bitcoin fall from $42,893 to a six-week low of $38,338.

The five day price chart for Bitcoin (BTC). Source: Tradingview

The entire crypto market seemingly shares Bitcoin’s bearish sentiment, retracting to under $1.8 trillion. Polkadot remains the biggest loser among the top cryptocurrencies, having lost over 7% of its value in the last 24 hours alone.

The five day price chart for Polkadot (DOT). Source: Tradingview

DOT is now trading at $17.6 as of this writing, despite trading above $30 in early January. Polkadot (DOT), which used to be a top 10 crypto, ranked by market capitalization, is now ranked 14th.

Flipsider:

While Bitcoin has been experiencing a downtrend, its hashrate (the processing power that confirms transactions and secures the Bitcoin network) has been climbing consistently.

The Bitcoin hashrate on April 23rd hit an all-time high (ATH) of 271.19 EH/s, and could rise to as much as 320 EH/s before the end of 2022.

The Bitcoin hashrate chart over the last 1 year. Source: CoinWarz

Kraken Obtains License in Abu Dhabi to Operate a Crypto Exchange

Global crypto exchange giant Kraken has received a license from the Abu Dhabi Global Market (ADGM) to operate in the financial-free zone. The news comes shortly after Binance obtained in-principle approval from the ADGM to operate as a broker-dealer in Abu Dhabi.

In light of the news, Kraken can now operate a regulated crypto exchange platform in Abu Dhabi and becomes the first global digital asset exchange group in the United Arab Emirates to receive a full financial license from the ADGM.

With its latest license, Kraken MENA (Middle East and North Africa) will provide access to virtual assets through regulated funding, trading, and custodial services in Dirhams, the local currency of the UAE.

According to Dhaher bin Dhaher Al Mheiri, Chief Executive Officer of the Abu Dhabi Global Market’s Registration Authority, the exchange is expected to begin operations during the second or third quarter.

Flipsider:

After blocking the United Payments Interface (UPI) for exchanges and new tax rules, India’s crypto trade has plummeted by as much as 70%.

Why You Should Care

The UAE is taking a “progressive” approach toward crypto regulation, which has helped crypto service providers move into the region.

The Central African Republic to Adopt Bitcoin as a Legal Tender

Bitcoin has continued to attain global recognition and acceptance regardless of its high volatility and price correction so far in 2022, as the Central African Republic became the first African country, and second in the world, to accept Bitcoin as a legal tender.

Following the path of El Salvador, the National Assembly of the Central African Republic has reportedly agreed to adopt a bill which would make Bitcoin (BTC) the country’s linchpin in its plan for economic recovery.

With Bitcoin becoming a legal tender, it has officially been accepted as the African country’s means of payment, as established through specific legislation. The move is expected to help salvage the CAR’s worsening economic conditions.

The bill to legalize Bitcoin BTC as an official currency in the Central African Republic was passed by the minister of Digital Economy, Post Services, and Telecommunications, Gourna Zacko, and the minister of Finance and Budget, Calixte Nganongo.

Flipsider:

The IMF warned El Salvador to repeal Bitcoin as legal tender, stating that it “can bring significant risks” to the Salvadoran economy.

Why You Should Care

By making Bitcoin its legal tender, the Central African Republic is working towards a new, avant-garde path of digital development and economic recovery.

Elon Musk and Twitter Execs in Advanced Talks Over Twitter Purchase

Shortly after a huge offer that saw Elon Musk take a 9.2% stake in Twitter, the Tesla chief submitted a further a bid to acquire the microblogging platform in its entirety for a whopping $43 billion.

Despite shareholders reaching out to Twitter execs to consider rejecting Elon Musk’s bid for the social media company, Sunday reports now suggest that they are in advanced talks with the mogul over the purchase of Twitter.

According to reports, Musk held a private meeting with Twitter shareholders on Friday to extol the virtues of his proposal, while repeating that the board has a “yes-or-no” decision to make.

Flipsider:

Some shareholders have claimed that Elon Musk’s $54.20 per share bid is lower than Twitter’s value, placing a final valuation at closer to $64.20 per share.

Why You Should Care

Musk listed some changes that could come to Twitter should his bid be accepted, including a paid subscription model for ‘Twitter Blue’ services, and the option to pay in DOGE.

Grayscale Could Take Legal Action if the SEC Rejects Bitcoin Spot ETF

Grayscale, the world’s largest digital currency asset manager, has been waiting for its filing to convert its flagship Bitcoin trust into a spot Bitcoin ETF for more than a year. However, the Securities and Exchange Commission (SEC) has so far failed to consent.

Following the SEC’s recent approval of the Teucrium Bitcoin ETF, lawyers representing Grayscale are considering taking legal action. According to the legal team, a spot ETF is no different from Teucrium’s Bitcoin ETF.

According to Attorney Timothy Spangler, a partner at Dechert, the “opposition to including broader amounts of crypto in retail financial products is more philosophical than has to do with specifics.”

Grayscale lawyers have confirmed that a lawsuit against the SEC would be on the table if the regulator rejects its ETF application. The SEC’s final ruling on Grayscale’s application is scheduled for June 2022.