Key Notes
- American Bitcoin is reportedly considering some strategic acquisitions in Japan and Hong Kong.
- Those familiar with the matter say it is exploring "accretive opportunities" in other markets to bring BTC to these areas.
- Hong Kong and Japan have introduced policies that encourage such acquisitions.
American Bitcoin, a Bitcoin BTC $117 092 24h volatility: 0.8% Market cap: $2.33 T Vol. 24h: $51.00 B mining company backed by Eric Trump and Donald Trump Jr., is reportedly exploring strategic acquisitions in Asia, focusing on Japan and Hong Kong.
According to some sources, the firm is targeting only listed companies in a bid to expand and establish its operations in these regions. This comes amid a trend of Decentralized Finance (DeFi) integration with Traditional Finance (TradFi).
Japan and Hong Kong Create Crypto Haven
According to the Financial Times , American Bitcoin plans to make acquisitions in Japan and potentially Hong Kong. Some sources familiar with the matter described the situation as the company exploring “accretive opportunities” in other regions to bring Bitcoin to these markets. For now, no commitment has been made regarding the matter.
While no official announcement or information has been revealed about the acquisition, it is worth noting that the regions under consideration are known for their regulated markets.
Hong Kong’s Securities and Futures Commission (SFC) recently released its strict custody expectations for all licensed virtual asset trading platforms (VATPs).
This rule was outlined for the protection of crypto users and their assets, especially with the spike in “multiple cybersecurity incidents” at overseas centralized platforms.
To address these challenges, the SFC came up with this new rule that highlights the need for robust cold-wallet infrastructure, operations, and oversight of third-party wallet providers.
Also, the Hong Kong Legislative Council passed the “ Stablecoins Bill ” in its third reading. It is designed to allow major institutions to apply for stablecoin issuance licenses from the Hong Kong Monetary Authority (HKMA) by the end of the year.
Consequently, more than forty companies are already planning on applying for stablecoin issuance licenses from the regulator.
Similarly, the Financial Services Agency (FSA) of Japan introduced new crypto reforms in June. This includes a flat 20% tax rate on crypto gains, which will replace the existing 55% taxes.
This transition has the capacity to anchor stronger investor protections, including the regulatory framework required to facilitate the listing of Bitcoin ETFs on Japanese exchanges.
Bitcoin Price Hit New ATH Past $124,000
The momentum surrounding cryptocurrencies, especially Bitcoin, in the past few days has been positive. Most of these digital assets have registered massive gains and are now pushing towards a new high.
On August 14, Bitcoin pushed into uncharted territory, hitting $124,457 after softer-than-expected US inflation data boosted market sentiment.
The Consumer Price Index (CPI) increased 2.7% year-over-year and 0.2% month-over-month, slightly exceeding market analysts’ expectations. Bitcoin’s price went up in response to the record.
Glassnode showed that 99% of Bitcoin’s supply was in profit at the time. Even during July’s pullback, the figure only dropped to 95%, suggesting that most holders have maintained strong conviction.
As it stands, market observers and analysts are looking forward to Bitcoin crossing the $126,000 level.
This has been described as a pivotal price point that could open the door to further gains if breached convincingly. At the time of this writing, Bitcoin was trading at $118,784.91, following a 0.51% dip within the last 24 hours.
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