Weekly Newsletter – 9 Dec 2022

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Weekly Summary

  • Goldman Sachs on Hunt for Bargain Crypto Firms After FTX fiasco
  • Hedge Fund Sues Grayscale for Details on Battered Bitcoin Trust
  • Genesis Creditor Groups’ loans amount to $1.8B and Counting
  • Amber Group Cuts Staff, Pauses Fundraising in FTX Fallout
  • Chinese-Yuan-Backed Stablecoin CNHT Launched on Tron by Tether

Industry Stories

Goldman Sachs Plans to Buy Crypto Companies after FTX Crisis: Mathew McDermott, Head of Digital Assets at Goldman Sachs, revealed that big banks are seeing opportunities in crypto space as the FTX collapse hit valuations and highlighted a need for more regulation within the industry. Goldman plans to spend “tens of millions” of dollars to buy or invest in crypto companies, as McDermott told Reuters, and they are doing due diligence on a number of different crypto firms.

Fir Tree fund sues Grayscale in effort to force changes to Bitcoin Trust: Fir Tree is suing crypto investment firm Grayscale to obtain details about its flagship Grayscale Bitcoin Trust (GBTC) in order to investigate potential mismanagement and conflicts of interest, reported by Bloomberg. The New York-based hedge fund is seeking to pressure Grayscale to resume redemptions and cut fees.

GBTC is selling at close to a record 43% discount to the price of the underlying bitcoin in the trust and is down almost 75% this year in the wake of bitcoin’s sharp decline and the collapse of several high-profile crypto firms such as FTX.

Genesis Creditor Groups’ loans amount to $1.8B and Counting: In addition to FT’s previously reported group of Gemini customers owed $900 million, there are two other groups of Genesis creditors being represented by lawyers, as Coindesk reported on Sunday. The U.S. crypto broker faces a financial crisis after FTX implosion, and is seeking options to avoiding bankruptcy filing.

The fear of Genesis going bankrupt is one of the reasons why retail investors are selling Grayscale Bitcoin Trust GBTC shares and buying Bitcoins, said crypto analyst.

Amber Group Denies Allegations Of Insolvency: Lookonchain, an on-chain analyst, claimed on Tuesday that Amber Group, a crypto asset management platform, appears to be on the brink of bankruptcy. Amber Group was also reported on Monday to have continued staff cut worldwide and put a funding round on hold, amid turmoil in the digital-asset sector. The company denied the allegations and said in a tweet that it has adjusted business strategies, products and internal teams to weather market environment.

Tether launches Chinese yuan (CNHT) on the Tron network: Tether, the world’s largest stablecoin provider, announced on Tuesday that it will add CNHT stablecoin on the Tron network. CNHT was founded in 2019 and is linked to the offshore Chinese yuan. According to Tether, Tron will become the second blockchain on which it is possible to acquire, trade, and hold CNHT, which was initially only available as an ERC-20 token on the Ethereum network.

Service Highlight

Despite the crypto winter, investors’ interest in digital assets has increased, says a new research conducted by Financial Times Longitude & Matrixport on December 7th.

The largest study of its kind this year surveyed 1,500 investors with a total net worth of USD $6.33 billion across 5 global wealth hubs, on their attitudes and investment strategies towards investing in digital assets.

Here are our key findings:

1) Half of the investors expect that most assets in the future will be digital.

2) A majority of investors (72%) are moderately or highly interested, however, only 54% have invested in the past year.

3) A majority of HNWIs and family offices have a high interest in digital assets and four out of five are already investing in digital assets.

The downs in the market have not put a dampener on the alpha opportunities available in the digital asset class and investors are hungry. Find out the factors motivating investors to invest, their considerations when investing in the asset class and how their investment strategies are evolving.

Read about investment insights in the digital asset class, and explore the study: https://lnkd.in/g6uczJmf.

Matrixport News

Jihan Wu, Matrixport’s Co-founder and chairman, shared his perspectives on how recent developments will shape the industry at Business & Philanthropy Forum 2022. “FTX’s collapse has underscored the importance of segregating custody, clearing, and transaction settlement. As zero-knowledge proof technology matures, the degree of trust bestowed on centralised exchanges will be reduced and CeFi will thus become more decentralised and permissionless. Regulators can ensure that no company is permitted to manage all operational aspects, while also regulating those that perform qualifications and technical certifications of exchanges. “

Matrixport’s Toby Norfolk-Thompson presented the award for Institutional Contribution of the Year at the recent CryptoAM Summit and Awards 2022. The event brought together some of the brightest minds in our industry and highlights the continued impact blockchain technologies, crypto, NFT and the #metaverse are making in shaping tomorrow’s world.

Matrixport now supports Flux ($FLUX), GMX ($GMX), Serum ($SRM) and DFI.Money ($YFII). Users can now deposit, withdraw, and send the tokens using the app.


Grow and manage your digital wealth with the Matrixport app: 

Stay connected in our community: https://t.me/matrixport