White Star Capital Digital Asset Fund - newsletter #69
Tesla’s Bitcoin Investment Hits Nearly $2 Billion
Tesla’s Bitcoin Investment hits nearly $2 Billion
Elon Musk sold no cryptocurrency in the latter half of last year and cementing its position as the U.S. corporation with the second-largest bitcoin stash. With about 43,200 bitcoins, Tesla owns more of the world’s largest cryptocurrency than eight of the top ten corporate holders.
In detail, Tesla disclosed the market value of its bitcoin holdings skyrocketed to $1.99 billion as of December 31 after its $1.5 billion investment in the first quarter, representing roughly 10% of its liquid assets (including cash and marketable securities).
Tesla, therefore, has a high exposure to volatility, which is in line with the personality of its founder Elon Musk: a certain risk-taking for a significant return on investment.
However, we don’t know whether—or when—Tesla will once again invest in bitcoin, or accept it as a form of payment. In fact, the firm recently said it “may increase or decrease our holdings of digital assets at any time” based on market and environmental conditions, but it gave no further details about its cryptocurrency future.
🔦 White Star & Portfolio Spotlight
RareCircles Raises $7.5M Seed Round, led by Tiger Global
Our portfolio company RareCircles, the all-in-one platform for building powerful NFT memberships, announced last week that it has raised $7.5M in a Seed round of funding.
ParaSwap V5 is now integrated on Ledger live
It’s now possible to have the best Prices from ParaSwap & Best Security from the top-notch Ledger Tech.
Exclusible fully booked 25 Luxury Private Islands priced between 25-65 ETH
Exclusible received strong demand from superstar athletes, large corporations, and celebrities in the fashion field for these Luxury Private Islands.
🏦 Enterprises & Institutions
KPMG in Canada adds Bitcoin and Ethereum to its corporate treasury
Cryptoasset allocation is a first-of-its-kind investment for KPMG in Canada and reflects the firm's commitment to emerging technologies and asset classes.
Japan's Biggest Bank to Issue Yen-Pegged Stablecoin for Settlement
The trust banking arm of Mitsubishi UFJ plans to use blockchain technology for securities trading with the stablecoin acting as a payment instrument.
Valkyrie To Roll Out Green Bitcoin Mining ETF on Nasdaq
Valkyrie Investments is set to launch an ETF focused on bitcoin mining operators with an emphasis on sustainability.
⚖️ Government & Regulation
Kazakhstan floats 500% tax increase on Bitcoin miners
Kazakh authorities have floated tighter regulatory conditions for bitcoin miners in recent days — a state of affairs that could spur some operations to leave the country for friendlier shores.
The IMF has asked Salvador to end the use of bitcoin (BTC)
On January 25th, the directors of the International Monetary Fund (IMF) questioned Salvador's authorities about their goals in relation to the future of cryptocurrencies in the country.
Nike sues StockX for trademark infringement in latest NFT mint
The US-based sportswear giant Nike is suing StockX, an online resale marketplace selling shoes, streetwear, and other goods, for trademark infringement, trademark dilution, and other charges.
💰 Funding & Exits
Blockchain project Aleo raises $200M from SoftBank, Tiger, and others
Aleo, a blockchain project focused on privacy through zero-knowledge-proof technology, has raised $200 million in a Series B funding round.
Alchemy joins Web3 decacorns club following $200M funding
The Web3 development platform's valuation saw a massive jump of $6.7 billion in just three months since October 2021.
FTX US Attains $8B Valuation in $400M Fundraise Including SoftBank, Temasek
The cryptocurrency exchange intends to use the funds to launch new business lines and explore strategic investments and acquisitions.
Sequoia makes a big bet on Web3, leading $450 million investment in Polygon blockchain
Sequoia Capital India led a $450 million investment in Polygon, a blockchain network that serves as a support layer to Ethereum.
Softbank backed startup to offer retail crypto trading
DriveWealth aims to be a crypto liquidity provider to compete with Coinbase while giving its partners’ retail clients the ability to trade crypto on their platforms.
Bored Ape start-up in investment talks with Andreessen Horowitz
The startup is seeking a valuation of as much as $5 billion in the proposed funding round.
🚀 Project Launches & Updates
A crypto project is using up whole Ethereum blocks and turning them into NFTs
A crypto project, known as VanityBlocks, has started turning whole Ethereum transaction blocks into non-fungible tokens (NFTs) — preventing anyone else from having space in that block.
Litecoin’s MWEB Upgrade has finally been released
Sometimes people or companies like some of their own information to be private, and this is where the Mimblewimble Extension Block (MWEB) upgrade comes in. The upgrade is optional and will improve the user’s fungibility and privacy in the network.
🔥 Other Bits We're Excited About
Bitcoin rebound hits $45.5K as focus switches to future support retests
It’s been “up only” in recent days for Bitcoin price action, but when a retracement hits, hopes are pinned on $40.000 holding.
January crypto VC roundup: A record-breaking month with nearly $5 billion in investments
January saw the highest investment in the crypto sector to date and several new funds were also launched, including from FTX and Pantera Capital.