28th June 2023 > > Britcoin.
tl;dr
The CCC gets annoyed (again) about CBDCs, whilst the argument for institutional adoption of cryptos as an asset class gets ever stronger.
Market Snap

Market Wrap
After stating yesterday that BTC held on exchanges is at a 6-year low, Glassnode reports that the flow of BTC from miners to exchanges is at an all-time high, at over 300% of their daily revenue. Clearly these extra BTC are being easily absorbed by the market and then moved into cold storage. This is a very healthy scenario and bodes well for when miners reduce their excessive sales, as they must do at some point.
Curious Cryptos’ Commentary – Britcoin
It is with a heavy heart that I report that the Bank of England is claiming progress in its utterly misguided project to introduce a sterling CBDC.
Tom Mutton, director of fintech at the BoE, was interviewed on Spotify (hey, Mutton is all about tech doncha know) and he gave some chilling insights including this:
“We want to be compatible with distributed-ledger business models in the private sector, but we were not convinced that distributed ledgers offered more efficiency over conventional ledgers.”
Right there, he demonstrates his total lack of understanding and appreciation of blockchain technology.
If it isn’t “distributed” it isn’t blockchain, it is a “conventional” ledger.
But no CBDC can ever utilise distributed ledger technology. The clue is in the name – Central Bank Digital Currency.
It seems the concept of decentralisation just passes by some people.
I do not know Mutton personally but he either knows not of what he speaks, or he is being disingenuous. Neither of those traits have ever been disadvantageous to a career in the financial sector of the civil service - as amply demonstrated by his boss, Andrew Bailey, who combines both in abundant quantities.
…
Mutton also banged on about the privacy aspect, claiming that the government would have limited access to financial information. Well, maybe, perhaps, but for how long would any firewalls stay in place?
The very next day after rules and regulations are laid down for the benefit of our personal privacy, technocrats would be looking for ways to diminish the effectiveness of those controls. That discussion will only ever be a one-way street, with no right of appeal, and we cannot countenance going down it.
…
The US and Switzerland are fighting the good fight against CBDCs. We must hope they prevail.
Curious Cryptos’ Commentary – BTC as an investment
The TradFi charge into cryptos is no surprise to crypto supporters who believe in a better future.
Some traditionalist investors quite rightly point out that the correlation of risk assets is key to a theoretical portfolio allocation. They subsequently fail to admit that bond and equity portfolios have been hugely correlated over the last decade (it’s called quantitative easing) and that, though desirable, diversification of risks is now largely moot because of government interference in capital markets.
But I am not one to prick someone else’s bubble. I let you believe what you like, in the hope you will let me believe what I like.
But if correlation is your thing in terms of a purported reticence by institutional investors to adopt cryptos as an investment vehicle, this commentary by Kaiko Research may lead to a subtle deflation of your said bubble:

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