Crypto SWOT: Coinbase Global is firing 950 employees, or about 20% of its workforce.

Strengths

Of the cryptocurrencies tracked by CoinMarketCap, the best performer for the week was Gala, rising 127.81%.

A prolonged rally in Bitcoin is giving crypto enthusiasts a smidgen of something to be happy about during a dark period for the industry. The world's largest token has advanced for nine straight days, reports Bloomberg, the longest such streak since 2020.

Nike won a round in its trademark infringement lawsuit against sneaker marketplace StockX LLC, when a Manhattan federal judge declined to force the athletic-wear company to disclose the money it makes from shoes, digital sneakers and NFTs, according to Bloomberg.

Weaknesses

Of the cryptocurrencies tracked by CoinMarketCap, the worst performing for the week was Fei USD, down 2.42%.

Coinbase Global is firing about 950 employees, or about 20% of its workforce, as the worsening crypto slump spurs another round of layoffs at the biggest U.S. digital-asset exchange. Co-founder and CEO Brian Armstrong announced the job reductions in a blog post Tuesday, reports Bloomberg, saying the steps were needed to weather the industry downturn. In June of last year Coinbase announced it would lay off 18% of its workforce, the equivalent of roughly 1,200 employees. It eliminated another 60 positions in November and will now shut down several projects.

Ferrari's Formula One Team has ended its partnership with blockchain technology company Velas Network, as deals between sports companies and firms in the beleaguered cryptocurrency sector continues to crumble. Crypto companies were becoming big spenders in sports sponsorships, aggressively courting retail investors globally through a flood of big-ticket deals, writes Bloomberg.

Opportunities

A new collection called Win Trump Prizes, that allows users to buy rewards related to former U.S. president Donald Trump, has launched on OpenSea. Individuals can claim a one-on-one Zoom meeting with Trump for 200 ETH, a gala dinner ticket for 50 ETH, a meeting with Trump for 21.45 ETH, and more. The collection has a trading volume of 35 ETH with 669 owners, according to an article published by Bloomberg.

Crypto market maker CyberX has raised $15 million in a strategic investment from Foresight Ventures, a crypto venture capital firm with about $400 million in assets under management. CyberX will use the funds to expand its teams in Asia and North America, add more integrations with exchanges and decentralized finance protocols, and build out its trading infrastructure, writes Bloomberg.

Bitcoin has defied bad tidings to register its best week since 2021. The largest digital currency gained roughly 12% so far this week and is on pace for its best weekly performance since October 2021, writes Bloomberg.

Threats

Former FTX engineering chief Nishad Singh met with federal prosecutors in a bid to become the third member of Sam Bankman-Fried's inner circle to seek a cooperation deal in the fraud case over the cryptocurrency exchange's collapse, reports Bloomberg.

Crypto lender Nexo's office in Sofia was raided by Bulgarian police on Thursday as part of an investigation into suspected money laundering and tax crimes. More than 300 police officers, prosecutors and national security agents are taking part in the operation. In total, police searched 15 addresses related to Nexo, writes Bloomberg.

Sam Bankman-Fried offered one of his most detailed descriptions yet of the FTX debacle as he prepares to fight fraud charges, blaming crashing markets and an attack from a rival for the eventual bankruptcy of his exchange. "I didn't steal funds, and I certainly didn't stash billions away," the former crypto magnate wrote in a blog post Thursday, reports Bloomberg.

Frank E. Holmes

Frank Holmes is CEO and chief investment officer of U.S. Global Investors, Inc., a boutique investment advisory firm based in San Antonio that manages domestic and offshore funds specializing in the natural resources and emerging markets sectors. The company’s no-load mutual funds include the Global Resources Fund (ticker PSPFX), the World Precious Minerals Fund (UNWPX) and the Gold Shares Fund (USERX).

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Frank Holmes

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

opinion

Crypto SWOT: Coinbase Global is firing 950 employees, or about 20% of its workforce.

By Frank E. Holmes

Kitco Commentaries
Opinions, Ideas and Markets Talk

Frank E. Holmes

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opinion

Crypto SWOT: Coinbase Global is firing 950 employees, or about 20% of its workforce.

By Frank E. Holmes

Kitco CommentariesOpinions, Ideas and Markets Talk

Frank E. Holmes

Tags:

Kitco Commentaries
Opinions, Ideas and Markets Talk