This Monday, Bitcoin broke resistance levels to position above $ 58,000. The momentum taken on this day is due to the announcement made by the firm Visa Inc.
It is a new institutional entity that joins a wide variety of firms that adopt cryptocurrencies. The adoption of the same conforming investment portfolios or in concept of exchange rate for the transactions, is part of companies such as Tesla, MasterCard, BNY Mellon, PayPal and BlackRock Inc.
Visa Inc will give its users access to use the cryptocurrency USD Coin (USDC) for transactions. I know of a pilot program which they plan to extend towards the end of this year, which is a gap between Visa and the Crypto.com platform.
The distinguishing feature of this implementation is that they will use USD Coin, which has its value linked to the dollar.
Ethereum technology will be used that allowed transactions made through Crypto.com to be settled in traditional currencies. That is, eliminating the conversion of digital currencies into traditional currency.
In this sense, Visa partnered with Anchorage, a bank of digital assets, to carry out these types of transactions. USDC is considered to be the second largest stablecoin in the crypto market.
In this context, Bitcoin (BTC) reached its highest prices again after a volatile week of low prices. The crypto reached $ 58,300 again on Monday morning.
The institutional decision occurs in tune when Silvergate Bank becomes the second lender to grant capital to investors, backed by the cryptocurrency BTC. Although they already did it through the Silvergate Exchange Network, they will now operate in association with the Fidelity company.
It is aimed at investors who do not seek to make the sale of BTC, but to allocate it in hedge funds or miners. They will grant loans to investors who safeguard their crypto with Fidelity, who has already accepted crypto as collateral since last December.
Probably in the short term we will witness how more companies transform part of their assets or diversify their access to cryptocurrencies. By gradually obtaining widespread acceptance in the world and by access and as the crypto with the largest capitalization in the market, these decisions push Bitcoin. Even so, the panorama in relation to other cryptos remains open and even so, if they will reach a similar magnitude to BTC or ETH.