Shortly
- Circle and eToro have entered "quiet periods." IPO Soon?
- Bitcoin miners sell BTC faster and at larger rates.
- Semler turns to Coinbase for help settling its DOJ fine, and much more in this week's Public Keys.
Public Keys Weekly Roundup is an overview of all the latest news and updates from Decrypt The key crypto companies are tracked by this tracker. This week: Bitcoin miners buying during quiet periods on Circle and eToro, Reading tea leaves a lot Semler Scientific is offering shares to raise money to purchase Bitcoin in order to obtain a loan from the DOJ.
It’s oh so quiet
This week, there was excitement when USDC stablecoin issuing Circle announced that it would be launching a new USDC coin. Decrypt Due to the fact that the S-1 was filed at the beginning of the month, the company must observe a period of silence.
The initial message sounded as though the company intended to continue with their plans of going public, even while rumors circulated that new tech IPOs were being sidelined. Most often, the reason cited is Donald Trump’s trade war with China and uncertainty about tariffs.
What if? Decrypt When contacted by eToro (a trading platform that has submitted paperwork for an IPO), the company’s response was similar: “We still have a period of quiet and therefore can’t comment on a possible IPO”, a spokesperson stated.
If unnamed source(s) are speaking, they will not be able to identify the speaker. Bloomberg You can also find out more about The Wall Street Journal The quiet period is not going away just because tech companies have second thoughts. This can only be done by filing an official withdrawal with the SEC.
Bitcoin mining, Bitcoin sale
This week has been a bad one for Bitcoin miner, with companies selling off their BTC.
In a report published on Tuesday, the data firm CryptoQuant stated that last week miners increased their sales as the value of bitcoin dropped to below $80.000.
The firm said that on April 7, miners sold a total of 15,000 BTC—the third-largest daily outflow this year. That's at least $1.12 billion worth, based on the day's low price of less than $75,000.
It’s normal for a Bitcoin-mining company to sell a portion of their BTC. When the mining firms’ sales rate shows an abrupt increase, this is a warning sign.
Bitcoin hovered at around $66,000 when miners liquidated 200 million dollars in reserves. The latest round is a minor change.
Semler’s DOJ Semler settlement plan
Bitcoin treasury firm and medical tech startup Semler Scientific (traded on Nasdaq with ticker SMLR) disclosed in a SEC filing it has secured a Loan from Coinbase Credit. It hopes to use the loan for a settlement it will reach with the Department of Justice.
The company stated that “if Semler Sci can reach a settlement agreement with DOJ,” it intends to use the proceeds of the Coinbase Master Loan Agreement (alongside its existing cash) to settle the DOJ settlement proposal.
QuantaFlo is the company’s flagship product. The marketing has come under scrutiny for alleged potential fraud violations.
A master loan with Coinbase Credit is not uncommon. But it gets a little murky when you consider that Semler just announced it’s making a $500 million securities offering to raise cash to buy more Bitcoin—some of which it will use as collateral to secure its Coinbase loan.
Hut 8 Bitcoin Miners has a Coinbase Line of Credit for “general corporate purpose” and Cipher Mining had a line of $10 million credit last year. CleanSpark has increased its Coinbase line of credit to $200,000,000 and abandoned its HODL (hold on to your Bitcoins) strategy. It will now use a part of its monthly Bitcoin output to pay for operational expenses and repay the credit.
Coinbase Credit appears in a number of Bitcoin and Ethereum exchange-traded funds (ETFs). But, wait—put down your pitchforks. It’s You can also check out our other blog posts. Because the BTC or ETH that backs those ETF shares are being lent.
Coinbase serves as a liquidity provider for funds such as iShares Bitcoin Trust. It helps pay sponsorship fees and covers transaction costs while avoiding the need to immediately liquidate crypto assets.
Coinbase: A Brief Overview
A state securities regulator has once again filed a lawsuit against the crypto exchange that trades under the COIN ticker on Nasdaq.
Oregon regulators have filed their complaint on Friday accusing the exchange of breaking state law in promoting and driving the sale of cryptocurrency as unregistered security. The state’s attorney general stated that the crypto exchange earned “millions” of dollars from fees while Oregonians suffered huge losses.
Paul Grewal is the Chief Legal Officer at Coinbase. He was less than pleased with the SEC dismissing the case brought against Coinbase in February.
“The U.S. showed it was ready to turn the page on that dark, misguided chapter of unlawfully targeting the industry," Grewal wrote. "But Oregon's Attorney General refuses to face that reality and is trying to fight the same war all over again."
Other Keys
- Fake token, real pain. It’s not true that there is an official Base Token. The Ethereum L2 coinbase spawned by Coinbase does not exist. We’re sorry to those who were misled into thinking that there was a token.
- Wall St. Slimming Down Kraken was forced to reorganize their staff as they prepare for going public. Just a few short months ago, the company had to cut 15% of their staff. There’s good news though. It now offers stock and ETF trading.
- Never give up. Strategy only warned investors 11 days before that they would likely not report Q1 profits due to the $6 billion in unrealized losses on Bitcoin that the company had purchased since January. It hasn’t deterred the Bitcoin treasury from buying more BTC. MSTR’s Bitcoin Treasury is almost equal to the fictional net worth. Twilight character Carlisle Cullen. Then what? Smaug, the fire-breathing Smaug from Tolkien and Disney’s Scrooge MacDuck.
