Crypto Pirates

After partnering with Ownix, Barcelona became the latest soccer team to join the non-fungible token craze.

Barcelona Football Club – colloquially referred to as Barça – has decided to release a non-fungible token collection commemorating epic moments throughout the club's nearly 122-year history.

The initiative was made possible by the team's global partnership with Ownix – a non-financial transaction (NFT) marketplace built on the Ethereum blockchain.

Blaugranes' NFTs

The Spanish national team, a symbol of Catalonia and its culture, is one of Europe's most successful soccer clubs. In contrast to many others, FC Barcelona is owned and managed by its supporters, dubbed the Blaugranes. As a result, Barça's motto "Més que un club" ("More than a club") appears to be quite apt.

According to an official press release, the soccer team will offer another way for fans to become a part of the family: the opportunity to acquire non-fungible tokens through various auctions held throughout the season.

The digital collection will recreate iconic moments throughout the team's history, including the team's record 75 domestic trophies and five UEFA Champions League titles.

Joan Laporta, FC Barcelona's President, stated that the club has one of the largest global fan bases, with over 400 million followers on social media. As such, he concluded that the creation of these non-fungible tokens represents a "unique opportunity to continue growing and consolidating the Barça brand."

Given the Blaugranas' devotion to their club, owning NFTs will allow them to own a piece of its legacy.

When the subject of FC Barcelona comes up, only one name comes to mind – Lionel (Leo) Messi. Even though the Argentine is no longer a member of the Spanish club, he spent the previous 18 years there, becoming a fan favourite and winning every trophy imaginable.

Messi joined Paris Saint-multimillion-dollar Germain's squad in August after a financial dispute with Barça's president. Notably, upon his arrival in Paris, his signing bonus included not only fiat currency but also a portion of the team's cryptocurrency fan token $PSG.

'La Bombonera' hosts NFTs.

Boca Juniors, Argentina's most successful team, recently investigated the possibility of issuing non-fungible tokens to its supporters. SociosCom, a leading global blockchain provider for the sports and entertainment industries, has committed to distributing the collectibles. Boca Juniors could earn approximately $10 million from the move, according to estimates.

In response, Decentraland – a company that gained popularity as a result of the popular Play-to-Earn business model – pledged to create a virtual replica of the club's stadium, dubbed "La Bombonera." There will be opportunities for fans and players to interact.

Support us!

BetaShares' new crypto company exchange-traded fund (ETF) smashed Australian Securities Exchange (ASX) records within the first 15 minutes of trading.

The Capital Appreciation Portfolio Diversification (CRYP) fund provides investors with exposure to 50 pure-play cryptocurrency companies listed on stock exchanges worldwide, including exchanges, mining companies, and equipment manufacturers.

Galaxy Digital (12.0 percent), Marathon Digital (11.3 percent), Coinbase Global (10.7 percent), Silvergate Capital (10.2 percent), and Microstrategy are among the top companies on CRYP (9.4 percent).

Investors blew past the previous ETF record of A$8 million within minutes and soared to nearly A$42.5 million by the end of opening day, indicating massive pent-up demand for crypto exposure on the ASX.

According to Ryan McCall, CEO of Australian crypto investment platform Zerocap, CRYP's success is unsurprising given Australia's appetite for crypto over the last 12 months.

"We've also seen record-breaking growth in our business this year; demand from high-net-worth individuals, family offices, and advisors has accelerated significantly, and that trend appears set to continue with institutional adoption."

"A spot Bitcoin ETF is imminent in Australia, followed by Ethereum and possibly other cryptocurrencies," he added.

The Australian Securities and Investments Commission (ASIC) has just given a provisional green light to the launch of Bitcoin and Ethereum exchange-traded funds (ETFs), subject to compliance with a lengthy list of guidelines.

CRYP's success parallels that of ProShares' Bitcoin Strategy ETF, which was the first Bitcoin futures-based exchange-traded fund in the United States. On its opening day in October, the October launch generated approximately $1 billion in volume, with 24.313 million BITO shares changing hands.

However, regulators in the United States appear hesitant to approve a spot Bitcoin ETF (which invests in actual Bitcoin rather than futures contracts), putting Australia ahead of the game.

According to McCall, Bitcoin futures ETFs "are a subpar product compared to spot Bitcoin, with a price that is unrelated to the underlying asset." Hopefully, the regulators here recognise this and direct us to spot".

The Commonwealth Bank of Australia announced earlier this week that it will support trading of ten crypto assets on its app, which currently has 6.5 million active users.

Support us!

Portugal 

In Portugal, cryptocurrency investors are not taxed. Additionally, there is no capital gains tax or VAT on cryptocurrency transactions. Additionally, you can obtain a golden visa if you invest more than €250k in businesses or purchase a house in rural areas for more than €280k; there are also startup and technology visa routes. 

Portugal is a tax haven for cryptocurrency investors and earns the top spot on the list...

Support us!

Crypto nomads thrive in the biome of decentralised finance, an alternative financial ecosystem that circumvents established institutions' constraints.

A nomad is a person who is homeless and frequently moves from one location to another. Due to the fact that they have no set location, they are open to exploring territories within their reach, which enables them to earn money. These nomadic herds are in stark contrast to the average person, whose primary goal is to establish a permanent home and expand their occupation and family - a concept despised by millennials.

The millennial generation despises living at a snail's pace and settling in one area; they seek adventure and exposure through travel. As a result of their desire for a fast-paced lifestyle, their perspective on assets/investment has shifted as well. To them, digital assets appear to be far more profitable than physical assets like land and houses. Doesn't that seem like migratory behaviour, but in a contemporary setting!

"The cryptocurrency market has a strong resemblance to the early Internet days in the mid-1990s. So much to develop and so early in the game, and so much potential to disrupt technical and traditional sectors and improve people's lives," says Surojit Chatterjee, chief product officer of Coinbase, a bitcoin exchange site.

Who isn't enthused about the prospect of tapping into a worldwide pool of capital?

Shortly after blockchain technology and cryptocurrencies (Ethereum and Bitcoin) were introduced to the market, trading and crypto exchanges commenced.

Contrary to established stock markets and commodity exchanges, these exchanges were unregulated. While there were fewer entry-exit obstacles, they were extremely dynamic. With increasing trading volumes, it became clear that cryptocurrency will break down worldwide restrictions. It would not be inaccurate to assert that the ease with which cryptocurrencies provide access to global markets has led in the emergence of 'crypto nomads.'

A crypto nomad is a person who prefers money that has no borders. They fall into two distinct types. The first group consists of individuals who are knowledgeable about cryptocurrency trading but are unable to trade in their own country owing to regulatory pressures or restrictions. These individuals establish offices in crypto-friendly countries (other than their own) and conduct business from there.

Sam Bankman-Fried, the youngest cryptocurrency billionaire at the age of 29, is a graduate of the Massachusetts Institute of Technology (MIT). He founded FTX, a cryptocurrency trading platform, in Hong Kong. He left the United States because regulators barred FTX from trading futures to the general public due to their high risk.

Bankman-Fried desired to continue trading derivatives, and as a result, he relocated his headquarters from California to Hong Kong. Changpeng Zhao, Binance's Chinese-Canadian founder who is now based in Singapore, is also included in this group.

The second group of persons are those that utilise crypto as a means of exchange in order to travel and live abroad. Rather of creating bank accounts in each country, cryptocurrency trading provides a comparable level of liquidity that may be utilised for worldwide travel and living. They may need to make investments in SIM cards in each country to facilitate trading.

According to Abhishek Bhattacharya, co-founder of blockchain firm Whrrl, "Crypto Nomads is a self-sustaining model in which anyone may earn or own bitcoin and utilise it for their own purposes." The business strategy is straightforward: earn cryptocurrency and pay with cryptocurrency."

Rather than routing funds through a bank and suffering transaction fees, it is more convenient to hold crypto. Bhattacharya believes that when more e-commerce websites begin to accept cryptocurrency, the opportunity to use it as a medium of trade will expand.

We are witnessing a world that is markedly different post-COVID-19. Remote working has becoming the new norm. As a result of this growth, millennials and Generation Z are willing to accept remote-work assignments and are open to global investment opportunities.

While COVID-19 imposed travel restrictions, if abolished, the number of crypto nomads is expected to expand. According to Bhattacharya, changing employment landscapes will help them grow.

While bitcoin has not been granted legal tender status, their acceptance as a digital asset in certain nations, such as Estonia, makes them a popular medium of exchange.

Crypto nomads thrive in the biome of decentralised finance, an alternative finance ecosystem that bypasses traditional financial institutions' constraints. Given how well this fits with millennials' fast-paced mindsets, this could be the future of international commerce.

Support us!

After trading in a confined range since late last week, Cardano price has broken over the $2.0000 resistance zone. According to CoinMarketCap, its 24-hour trading volume climbed by 77.45 percent. It is now ranked fifth in the cryptocurrency market.

Cardano Price Movements

The altcoin's movement throughout Wednesday's session indicated that it may be approaching a breakthrough point. It had earlier reached a one-week high of 2.1462 before reversing course.

The next several sessions will be devoted to determining the stability of the 2.0 resistance-turned-support level. Above that level, the breakout will be valid, and the bulls will have a chance to score the following goal at 2.22.

However, sufficient positive momentum will be required to propel Cardano price to and above Wednesday's high of 2.1462. If the price falls below this support zone, bears will retest the horizontal channel's lower border at 1.9124.

Cardano reaches a significant milestone!

On November 2, the Cardano Community account announced that it has crossed two million ADA wallets.

Despite this, the fifth-largest blockchain by market capitalisation is growing. Atala Prism, a project by developer Input Output HK, was just selected to the Project Management Institute's list of the year's most significant projects.

Atala Prism was born out of IOHK's engagement with Ethiopia's Minister of Education to develop a blockchain-based pupil database. According to an IOHK official, the platform was also considering building a digital ID system for students and teachers in the country.

Cardano's 80x gain from $0.036 to $3.1 in 2020 piqued the interest of many traders. On the other side, its price performance in 2021 was less outstanding. Additionally, the market cap hovered at $62 billion.

While early investors may still benefit from a potential threefold increase, those who have just begun investing in ADA may want to examine Cardano's alternatives, such as Solana.

Support us!

Shiba Inu, named after the same breed of dog that inspired the market's earlier odd meme-coin favourite Dogecoin, is the unlikely hero of the cryptocurrency world these days.

The token's overall market value skyrocketed to more than $51 billion last week, surpassing Dogecoin and placing it among the top ten cryptocurrencies in existence—despite the fact that its origins as a meme provide it with little fundamental economic reason to flourish.

As the hysteria subsided in recent days, reducing the coin's market value by 31% to around $35 billion, the crypto world's focus has shifted to a handful large "whale" wallets that control the majority of Shiba tokens in circulation. And there's some unsettling news for minnows who purchased Shiba Inu and are sitting on lifetime paper gains: one of the whales has started shifting the coins between wallets, sparking concerns the holder is likely to sell.

The dog-coin drama is the latest example of how, despite an abundance of transparency in a market where every transaction is publicly recorded on a blockchain, the anonymity of the players involved — including, in this case, even the coin's creators — results in a house of mirrors effect, where no one knows who is doing what.

"Legitimate crypto is completely transparent about transactions, code, and other aspects—but is frequently opaque about tying transactions to specific individuals," said Aaron Brown, a crypto investor and Bloomberg Opinion contributor. "This is the polar opposite of the financial system, which is impenetrable to all but personal identification."

Shiba Inu is very concentrated in terms of ownership. While it is held by 872,382 wallets in total, the top ten holders possess about 72% of the coin, according to tracker CoinMarketCap.com. The largest wallet controls a massive 41% of the market, which was theoretically worth about $21 billion at its peak. No. 2 currently owns slightly more than 7%, or around $2.5 billion at current pricing.

The token, denoted by the ticker SHIB, has been rapidly evaporating from the wallet of the No. 2 holder.

"It appears as though there were four transactions yesterday, each delivering $695 million of SHIB to a separate account—a total of $2.78 billion," said Tom Robinson, co-founder of Elliptic, a blockchain forensics firm. "Whoever it is purchased the SHIB approximately a year ago on Uniswap for a pittance."

Shiba Inu is not the first coin to raise concerns about a large concentration of ownership. Initially, Bitcoin and Ethereum were heavily influenced by whales whose trades had the ability to significantly influence market prices. Their ownership concentration has subsequently decreased as more institutions and ordinary investors have entered the cryptocurrency space. Nonetheless, according to BitInfoCharts, approximately 2,000 addresses still possess more than 40% of all Bitcoin.

Numerous regions of the cryptocurrency industry remain highly concentrated in terms of coin ownership. Many of the more than 13,500 cryptocurrencies are dominated by a few wallets. A small fraction of users controls everything in decentralised finance apps, which issue their own coins to enable people to trade, lend, and borrow from one another. Between 20 and 50 cryptocurrency trading businesses "are driving the majority of crypto volume," according to Antonio Juliano, founder of DeFi exchange dYdX.

"I don't believe it's that dissimilar to how things function in traditional finance," he said. "The majority of volume is driven by large Wall Street funds."

Nonetheless, a lack of regulation and official market oversight exposes meme currencies like Shiba Inu to suspicion, even as their price spike has brought them to a wider, mainstream audience. While it is currently trading on Coinbase's exchange, others such as Kraken and Robinhood have resisted — despite intense client lobbying.

"Legitimate crypto has a strong economic justification; its worth is not highly dependent on who owns how much of it," Brown adds. "However, for crypto that lacks fundamental economics and is solely decided by speculation, concentrated ownership signals a rigged game."

Support us!

If you're intimidated by bitcoin, payment applications want to assist you. Venmo, PayPal, and Cash App have all introduced cryptocurrency purchasing to their popular payment services, bringing Bitcoin, Ether, and other digital currencies to investors who may be intimidated by jargon-filled exchanges and a plethora of digital wallets. However, such convenience comes at a cost that can eat into profits.

Payment apps are popular because they make it easy for users to shop online or split checks with pals using their phones. Additionally, the apps are intended to be enjoyable, with some integrating emoticons and digital stickers on transaction notes. Venmo is so widely used that even Vice President Joe Biden is said to use it to send gifts to his grandchildren.

Additionally, the apps familiarise users with the process of purchasing bitcoin, which might be intimidating for some potential investors due to exchanges' requirement of separate accounts and frequently difficult registration and transaction processes. Additionally, the payment apps eliminate the need to comprehend digital wallets, a branch of cryptocurrency that has the potential to develop into its own research topic.

However, the convenience of purchasing cryptocurrencies via payment apps comes with a cost. Venmo, PayPal, and Cash App bind you to a transaction charge that may be lower if you shopped around at many exchanges. And, unlike exchanges, PayPal and Venmo keep your cryptocurrency until you choose to sell it through the same app.

Despite its limitations, the presence of bitcoin on payment apps may help the general public gain confidence in financial assets shrouded in complex mathematics and widely linked with unlawful internet activity. (A new Bitcoin-linked exchange-traded fund that began trading this month, analysts think, will also assist broaden acceptance of digital currency.)

"It's an excellent training wheels experience," said David Siemer, CEO of Wave Financial, a cryptocurrency-focused asset management firm.

Venmo and its parent company PayPal, which Elon Musk co-founded, accept Bitcoin, Ether, and other cryptocurrencies. Cash App, which is owned by Square, now only supports Bitcoin, the world's largest and most extensively used cryptocurrency. (Square is led by Jack Dorsey, another bitcoin advocate and Twitter's CEO.)

PayPal and Square, both publicly traded firms, declined to comment on this article since they were due to release their quarterly earnings reports, which are legally prohibited from speaking with the media.

Over the previous decade, cryptocurrency has grown in popularity. Ten years ago, when Bitcoin – the initial cryptocurrency – was trading about $15, digital currencies were commonly regarded as the currency for online drug purchases. Bitcoin is currently trading about $63,000. Aaron Rodgers, quarterback of the Green Bay Packers, said on Monday that he will accept a percentage of his pay in Bitcoin via the Cash App. AT&T and the Dallas Mavericks accept Bitcoin as payment, and you can also use it to purchase Amazon, Delta, and DoorDash gift cards. Facebook is attempting to establish a cryptocurrency called Diem in collaboration with a group of partners. El Salvador has welcomed Bitcoin as a national currency, but with some hesitancy.

Bitcoin and other cryptocurrencies are now readily available through trading websites and stock trading applications such as Robinhood. ATMs accepting cryptocurrencies have proliferated throughout the world, albeit they typically charge exorbitant fees. Through a cooperation with Coinme, Coinstar machines, which allow users to convert leftover change into gift cards at merchants such as Walmart, may now also distribute Bitcoin. Coinbase and BitPay, for example, offer cryptocurrency-backed debit cards.

Despite their increasing appeal, researchers argue that bitcoin services in payment applications are best viewed as introductory investing platforms where beginners can purchase cryptocurrency and become accustomed to its volatility. Serious investors, on the other hand, are likely to find them limiting in comparison to specialist cryptocurrency exchanges, which also allow for the loaning of funds to produce returns.

For a price, cryptocurrency owners can lend their holdings to the exchange or other users via exchanges like BlockFi or Celsius, or peer-to-peer lending systems like LendaBit and BtcPop. The activity is not without risk; crypto lending poses unresolved regulatory issues, and the Securities and Exchange Commission is probing a select few exchanges. Additionally, you may compare exchange rates and utilise them to exchange one type of cryptocurrency for another.

Nonetheless, Square has witnessed an increase in customer interest when it added Bitcoin buying and selling capabilities to the Cash App in 2018. The business, which is best known for assisting merchants with card payment processing, generated $97 million in 2020 from Cash App fees on Bitcoin sales. It has already generated approximately $130 million in revenue during the first half of 2021. PayPal does not disclose the percentage of revenue generated by transaction fees on bitcoin sales made through its own app or through its subsidiary, Venmo.

By purchasing Bitcoin or any cryptocurrency using PayPal, you are allowing the corporation to hold your cryptocurrency. The same is true for Venmo. Cash App provides other services, such as sending and receiving Bitcoin and storing it in users' personal wallets, although it charges a fee if customers wish to withdraw their coins instantly. Withdrawal will be attractive to users who wish to begin buying and selling cryptocurrency on other exchanges, which is not possible through the payment app.

Entrepreneur and business consultant Athan Slotkin believes the characteristics are beneficial if they draw new investors to cryptocurrency. However, he said that the majority of users will not learn much about cryptocurrency if they stick to a single app. The best method to learn is to join forums and online communities on Twitter and Discord, and to experiment with some minor exchange transactions.

"You sort of have to fall down the rabbit hole on your own," Slotkin explained.

Simplifying the process of purchasing and selling bitcoin has the potential to increase interest in Bitcoin, Ether, and other cryptocurrencies, analysts say. If the features attract a sizeable number of new cryptocurrency purchasers, the additional demand may boost the value of the cryptocurrency. However, with scant statistics on the number of transactions occurring on these apps, it is unclear whether this is the case.

Payment apps will need to incorporate wallets and exchanges to truly engage users in cryptocurrencies, analysts say. A simplified method for purchasing, trading, saving, and lending cryptocurrencies might attract more users and deter them from seeking flexibility elsewhere, according to Corey Barrett, an analyst at M Science.

"It would pique the interest of a segment of the cryptocurrency investor base that was previously uninterested until they gained that functionality," Barrett explained.

Support us!

One of the several benefits of bitcoin is its minimal transaction costs and quick processing. Whereas shops may pay fees ranging from 1.3 percent to 3.5 percent when accepting credit card payments, a similar transaction using cryptocurrency may cost just a few cents.

Why? Blockchain technology excels at decentralisation - eliminating the intermediary in transactions. Rather than passing via four or more middlemen, such as payment processors, assessors, and banks, the payment can be made directly between the buyer and seller.

How cryptocurrency payments have the potential to disrupt the payments sector

With each passing day, cryptocurrency becomes more mainstream. While there is still much further to go, an increasing number of businesses are now accepting bitcoin payments — even if many do so via a third-party processor.

Customers of AT&T, PayPal, and Overstock.com can pay with cryptocurrency. At Starbucks, you may even pay with Bitcoin (BTC) for your pumpkin spice latte. Both Amazon and Walmart have posted opportunities for digital currency workers this year, fuelling suspicion that the retail behemoths may soon join the crypto bandwagon.

Given that merchants will pay a total of $51 billion in credit card interchange fees in 2020, any chance to lower transaction costs is certain to attract retailers' attention.

And retailers aren't the only players vying for a piece of the billion-dollar transaction fee market. Numerous firms — from crypto exchanges to established payment companies and new crypto-focused payment processors – are prepared to enable cryptocurrency transactions.

Charges of between 0.5 percent and 1 percent per transaction are rather common, and some processors charge no merchant fees at all. Additionally, the majority of them provide rapid conversion of cryptocurrency payments to fiat conventional currencies.

However, for cryptocurrency payments to take off, the sector must persuade customers to participate.

The general public is becoming more aware of cryptocurrencies and its potential. According to The Ascent's research, over 50 million Americans intend to purchase cryptocurrency in the coming year — this is in addition to the 20 million or more who have already done so.

Consumers who pay with cryptocurrencies can take advantage of quick transactions and lower transaction fees, particularly for international transactions. Additionally, several cryptocurrency platforms provide prepaid crypto debit cards that earn incentives on transactions, while both Mastercard and Visa have made significant progress with their crypto debit or credit card offers.

Because the sector is still in its infancy, it will also require new measures of consumer protection. For instance, not all cryptocurrency debit cards offer the same level of fraud protection as bank-issued cards.

Cryptocurrency payment providers will need to develop a new strategy for dealing with chargebacks. These have been costly for retailers, who can avoid them with crypto payments, but they are critical for consumers since they let them to recover funds from a debit or credit card issuer in the event of fraud or a dispute.

Along with establishing consumer protections, the business is likely to be impacted by growing worldwide regulation of stablecoins and the emergence of govcoins, or Central Bank Digital Currencies (CBDCs).

Will we all eventually be able to pay in crypto?

While cryptocurrency payments are exciting, this is a very new business with plenty of space for growth, both in terms of technology and public awareness.

One reason cryptocurrency has not yet completely transformed the payment processing sector is that prices remain erratic. In a single week, the price of Bitcoin might easily fluctuate by 20%. This can cause chaos with the cash flow of merchants who rely on crypto currency to meet real-world obligations.

Another reason many Americans regard cryptocurrencies as an investment is that they believe it is a form of currency. They are hoping that money will rise in value and are thus hesitant to spend it on daily expenses. It's like to attempting to pay for your weekly groceries with a portion of an Amazon supply.

Bitcoin remained the most widely used cryptocurrency in September, accounting for 60% of transactions, according to crypto payment processor BitPay. With slightly more than 10% apiece, Ethereum (ETH) and Bitcoin Cash (BCH) are in second and third place. Additionally, Litecoin (LTC) has developed its own Visa debit card, which allows users to preserve their LTC holdings.

It will be fascinating to watch the evolution of the cryptocurrency payment business. Currently, many US merchants who accept cryptocurrency do so through third parties — but they may accept crypto payments directly from consumers in the future.

Support us!

As cryptocurrencies continue to gain traction in mainstream finance, Hong Kong's financial regulators are considering amending their 2018 crypto laws to let ordinary investors to invest in cryptocurrency exchange-traded funds (ETF).

Julia Leung Fung-yee, the country's Deputy Chief Executive of the Security and Futures Commission (SFC), made the announcement during a seminar during the 2021 Hong Kong FinTech Week, according to local news outlet the South China Morning Post (SCMP).

Previously, Hong Kong's cryptocurrency investment regulation permitted only professional investors with a nett worth of at least HK$8 million ($1.027 million).

However, cryptocurrency investments have continued to gain traction with the debut of a variety of crypto-related products, like Bitcoin ETFs, on international exchanges.

Due to the rapid expansion of crypto-related products, the Hong Kong SFC is evaluating whether its 2018 crypto guidelines should be retained or modified.

Following the review, the SFC and the Hong Kong Monetary Authority (HKMA) will collaborate to issue a joint circular.

Growing Interest in Cryptocurrency Exchange-Traded Funds

At the time of press, no crypto ETFs had been approved for trading in Hong Kong.

However, multiple applications for the product's debut in various outside markets, including the United States, have been received.

Only last month, the US joined Canada and Brazil in approving the world's first Bitcoin fund, an investment that monitors the price of the world's largest cryptocurrency and is traded on a regulated stock market, providing investors with indirect exposure to the asset class.

Investors Gain Exposure to Bitcoin via Online Platforms

Although Hong Kong prohibits the trading of Bitcoin funds within the territory, both retail and institutional investors continue to experiment with the investment vehicle via internet brokers.

According to the SFC's survey, around 54% of Hong Kong traders had purchased funds via various online platforms, and online sales accounted for approximately one-fifth of total fund sales in the Chinese administrative region, the report noted.

"Some regulated firms desire to provide cryptocurrency trading services to clients, either as an introduction agent or via an omnibus account formed on a virtual asset platform," Leung continued.

Support us!

The cryptocurrency market is well-known for its turbulence. We recently saw a significant drop in prices as a result of news about Evergrande's debt crisis, followed by news about China's bitcoin ban. So, as a cryptocurrency project, what should you do to strengthen your brand when the market is down? Should you keep releasing press releases or wait for the market to recover?

You must pursue several strategies to maintain strong brand positioning during inevitable market downturns and to be best prepared for the eventual uptick. They all rely on keeping your team and community informed, engaged, and focused on the end goal. In times of crisis, your community members serve as a safe haven and buoy, keeping you safe from the market's tidal waves. You can assist them by removing the FUD and reminding them to remain focused and not panic. Here are a few more things you can do to boost your project's strength.

It is now time to work on new products

While talk of the next great crypto depression is circulating, it's probably not the best time to give the press your long-awaited news. Rather, devote your and your team's time and energy to product development during this time. Now is the time to iron out any kinks in your wallet, jumpstart your plans for a smart contract solution, or add new security features to your platform. A down market is an excellent time to roll up your sleeves and focus on intensive in-house production work rather than external, overt communication.

Working hard during the market downturn means you'll have even more exciting news to share when the market recovers and it's time to ramp up external communications. So meticulously document your product development and prepare your announcements for after the crisis has passed. Then you will have maximum impact and well-deserved media attention, as crypto media will be looking for positive stories to tell after a prolonged period of pessimism and tanking valuations.

Inward-looking communication

In a down market, you should reduce your media outreach, but there is another audience to whom you should speak more frequently: your team. As your company grows and new products are developed, you must step up your internal communications. This entails more internal company memos and speeches, transparency, regular check-ins with team members, and morale boosters. Your employees are receiving the same news and market analysis as everyone else in the industry, so it's natural for them to be disappointed with the current low.

It is your responsibility to lift the spirits of the team members and the community, as well as to remind them why they are a part of your project in the first place. Remind them of the vision, give them the strength and encouragement they need to keep going, and reassure them that any FUD will not detract from their mission. Make certain that the project's goals are clearly communicated, and that each step contributes to achieving them. Create a clear roadmap that shows how your project will not only survive but thrive in the future. A programmatic document like this one can assist you in better planning your activities. It also brings the team together by presenting a unified vision of the various groups' and departments' efforts collaborating. This sense of belonging is essential at any time, but it is especially important during a market downturn.

Inform the community about genuine WAGMI messaging

Product development and internal morale are important, but there is one activity that cannot be priced during a market downturn: gathering your community and assuring them that "we are going to make it". Right now, investors, developers, and believers all need your support. They're probably rattled by market reports, high on fear, and contemplating abandoning ship. You must speak directly to them and keep them focused and strong.

First and foremost, make yourself available to speak with members of your community directly. Genuine conversations on cryptocurrency podcasts or scheduled AMA sessions, as well as the immediacy of hearing your voice or seeing you in a livestream, can mean the world to them.

Social media appearances should be part of your regular communications strategy in any case, but they are especially important when it comes to maintaining the strength of your community.

With thought leadership and commentary, you can help the community

Sharing your knowledge and advice, especially during a bear market, is an excellent way to demonstrate to your tribe and the crypto community at large that you are here to help the ecosystem. A down market is a genuine opportunity to speak candidly and openly about current issues and chart a course forwards. By sharing your expert opinions, you have the opportunity not only to bring your community together, but also to share your knowledge and experience with others in the industry who need encouragement and guidance.

Even in normal circumstances, readers value a well-researched and insightful thought leadership piece that broadens their horizons and provides them with a new perspective on the crypto space. When the market falls, their appetite for content that teaches them how to handle the situation grows. It's also a great way to broaden your audience and raise brand awareness while also assisting journalists who may need a comment or two from an industry veteran like yourself. People will remember how your in-depth analyses and insightful observations helped them get through the difficult times, and they will keep an eye on your project once the sun shines again.

Survive the downturn and chart a course for expansion

Because of the steps outlined previously, your crypto project will be able to maintain its top-of-mind brand positioning despite market fluctuations. By investing internally and giving back to your community, as well as sharing your knowledge and expertise with the entire crypto space, you strengthen your own brand and assist people in suppressing FUD. You help the entire crypto community by taking these actions, and people will remember you for it.

A bear market causes widespread distress, but it also provides a unique opportunity for crypto projects – and crypto leaders – to distinguish themselves. After all, cryptocurrency is all about community, trust, and boldly pursuing the horizon. These fundamental truths are unaffected by fluctuating market conditions. If you stay committed to a blockchain future, no price drop will derail you, and you will emerge stronger and wiser on the other side.

Support us!