Q3 in Crypto

To my crypto curious people, The momentum in crypto is hard to comprehend. We are on the precipice of a gigantic tailwind finish to the bull run (more on that at the bottom), and it’s going to be exciting. Get ready for some fireworks! Here’s what you need to know for Q3 in crypto: * El Salvador’s law enforcing Bitcoin as a currency officially went live in September. There are already more people in El Salvador with a Bitcoin wallet than have bank accounts. This is huge * The SEC approved multiple Bitcoin Futures ETFs. A spot ETF is expected to be confirmed later this year or early Q1 2022. * ProShares #Bitcoin Futures ETF did +$660 million in trading volume on day 2! * China banned cryptocurrency, effectively removing itself from the top of the food chain for crypto mining. Almost all of the mining companies have left the country. Over 60% of the miners leaving China took residence in Texas and other states around the US. This is phenomenal for the US economy * Uruguay, Panama, and Brazil all proposed bills making Bitcoin legal tender in their country * The Ukraine & Cuba passed a bill making Bitcoin legal tender in their country * Congress passed restrictive reporting laws broadening the term “digital asset broker.” to decentralized organizations. These reporting rules were fought hard by many congressmen and women but ultimately were passed in the infrastructure bill. The effects of these reporting rules remain to be seen but many crypto leaders believe the rules to be short-sided and might stifle innovation in the space * Twitter launches bitcoin tipping for every user on their platform * Facebook is investing $10 billion into the metaverse & changed its name to Meta. Crypto is an integral part of that investment * Citibank announced it’s crypto infrastructure plans yet to come in 2022 * Wyoming has exempted #Bitcoin mining using natural gas flares from taxes—as long as it comes from vented or flared gas sources that are otherwise wasted and contribute to global warming * Iran made bitcoin mining legal * SEC Chairman Gary Gensler says the SEC has no plans to ban bitcoin or cryptocurrencies in the USA * The Korea Teacher's Credit Union, which has more than $45 billion in assets, is now purchasing bitcoin for its balance sheet. * Shark Tank's Kevin O’Leary is backing Bitcoin, Ethereum and Solana and plans to up his portfolio allocation to 7% crypto by the end of this year. * US bank, the 5th largest bank in the US, is launching crypto custody services * The Mayor of Miami @FrancisSuarez will be issuing a proposal to pay employees in #Bitcoin * Tik Tok, which has a billion active global users, announced they are integrating #NFTs on #ethereum via immutableX. * El Salvador has just started mining #bitcoin using the energy from volcanoes. * $402 billion asset manager Neuberger Berman will start offering #Bitcoin and Ethereum exposure * Poly Network was hacked for $611M. The hackers returned the money were given a reward and are now working with the network as security consultants * $16 billion mortgage lender @UWMlending to accept #Bitcoin and crypto payments later this year * The Dutch Football club, PSV Eindhoven, will be the first in Europe to have the entirety of its sponsorship paid in $BTC * Jack Dorsey and the Square team focused on bitcoin announced they are going to build a decentralized bitcoin exchange * SBI Holdings, a $6 billion financial firm, plans to launch Japan's first crypto fund this year * Indian government announced they will introduce law to define #Bitcoin as a commodity later this year * $500 billion German Union Investments adds #Bitcoin exposure. * The British bank, Revolut, is using #Bitcoin to make international payments - because it’s cheaper. * Interactive Brokers just announced they will empower Registered Investment Advisors across the United States to invest in bitcoin and cryptocurrencies. * NFL quarterback Aaron Rodgers has teamed up with Cash App to take a portion of his salary in bitcoin. * 4 American city Mayors announced they will be paid in #Bitcoin - Miami - NYC - Jackson, TN - Tampa Bay A special note here for new market participants. We are in the last leg of a bull run. I expect this leg to last another 3-6 months and then begin a pullback. There are big gains to be made over the next few months but I would be VERY cautious. This is a time for short-term trades with clear exit plans if you are trying to get some quick gains. I’m planning on selling 50% of my BTC for cash and moving it to the sideline when it hits 100k and 50% of my Ethereum when it hits 10k. I plan to move another 30% at 150k and 15k respectively and let the rest sit long term. I’ll look to re-enter around today’s current prices in 12-24 months. Long story short... EXERCISE CAUTION and have an exit plan to take some profits off the table in the net 3-6 months. Now is the time to pay attention. I hope this brought you value. Until next time! - Spencer Here’s what else I’m reading/watching Here’s a chart comparing BTC’s bull run in 2012/13 to this bull run. Things are about to explode according to this chart. This puts BTC around 300k in Q1 of next year. Here is a chart for Ethereum compared to BTC’s last bull run in 2017. This puts ETH at 20k in Q1 of next year. Here’s an amazing macro overview video with Rauol Paul: Check out this podcast about Web3: This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit spencerfreidenrich.substack.com