COVID-19 and the rise of oil companies in cryptocurrency mining

With everyone shut in, demand for oil fell. Those companies will be wise to find more profitable ways than just selling their products.

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Coronavirus May Benefit Gold, Oil and CBDCs, Not Bitcoin - CoinDesk

In Canada’s oil heartland of Alberta, energy companies have been mining Bitcoin from electricity generated from natural gas. Such gas can be a byproduct of oil drilling or extracted by itself. Often, due to the lack of storage facilities, pipelines or just the low price of the commodity, there is nothing that can be done with the gas otherwise.

Mining is, of course, the process of running servers to generate new units of cryptocurrency. It is electricity-intensive, and energy companies naturally have an edge and an incentive to pursue it. Oil companies will dominate Bitcoin mining in five years, the podcaster Marty Bent said recently.

With everyone shut in due to COVID-19, demand for oil fell, and at one point the commodity’s price hit a negative. Those companies will be wise to find more profitable ways than just selling their products. What Bent predicts might just be accelerated.

News: Samsung adds Gemini support; Facebook’s Libra profit plan; China’s digital Yuan

The in-built blockchain wallet app of devices by Samsung will add support for the U.S. exchange Gemini. The platform was founded by the Winklevoss brothers of Facebook fame.

Speaking of Facebook, the founder Mark Zuckerberg says Libra could help boost its ad revenue, revealing for the first time how the social media giant intends to profit of its digital currency, which has faced immense regulatory opposition. China says, in a new book for government officials, calls Libra a threat.

Speaking of the Asian country, the People's Bank of China governor now says it doesn’t yet have a schedule for the official launch of its digital Yuan. Previously there had been indications the timeline had been accelerated.

Telegram has thrown in the towel against the U.S. Securities and Exchange Commission and will no longer be fighting the ban on its blockchain token project. The company had been accused of illegally raising money through an initial coin offering (ICO).

Canada: Possible first in insurance for Bitcoin deposits on exchange platform Bitbuy

The Toronto-based cryptocurrency exchange, Bitbuy, now offers full insurance on all Bitcoin deposits in an apparent first for the industry. Some of these platforms, little regulated, have caused headaches when they go under and take users’ coins with them.

Price: Rising amid jitters in traditional markets over rising tensions, U.S.-China

Bitcoin has been rising amid jitters in the traditional markets over rising tensions between the United States and China. The world’s biggest cryptocurrency is at $9,517 as of 10 a.m. Sunday, Eastern Time, having posted an eight-day high of $9,620 during the week. Prices have gained more than 8 per cent for the last seven days.

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