Month: June 2024

Courtesy of Bitcoin magazine, Trump (left) with Bitcoin Magazine CEO David Bailey (right)

Ever since Donald Trump became more vocal in support of Bitcoin heading into this year’s Presidential campaign, I’ve been sitting with a wide range of emotions and concerns.

Outside of Bitcoin, as a left-leaning voter and vocal critic of Donald Trump, I have deep concerns with such an ego-centric, narcissistic character assuming power in the oval office again, not to mention the damage this could do to issues I deeply care about in the U.S. including a woman’s right to choose, reproductive rights, immigration, global affairs, and beyond.

I came into Bitcoin and began writing, running the Progressive Bitcoiner, and advocating for Bitcoin to those outside of the right leaning/libertarian bubble because I had great concerns about Bitcoin being perceived as “right wing” or politically polarizing. It’s open source code, digital peer-to-peer cash, not belonging to any one ideology or political party. I believe in its importance to radically improve our world, and the lives of millions and billions of people. Already from the left, campaigns like Greenpeace USA, Elizabeth Warren’s anti-crypto army, and beyond assume Bitcoin to be a haven for criminals and terrorists, climate denying fossil fuel tycoons, and only for the wealthy and wall street. Despite advances in data showing Bitcoin is one of the most, if not the most, sustainable industries on the planet, it’s growing list of human rights use-cases and more, appealing to progressives and the left about Bitcoin (yes Bitcoin specifically, not crypto) continues to be an uphill battle. What should we expect after years of Bitcoin’s loudest voices promoting various right leaning ideologies, encouraging books like the Bitcoin Standard, various right wing lifestyle maximalism tropes including carnivore diets, traditional family values, skepticism of science and climate science, and beyond.

Winklevoss brothers with Trump

The Trump campaign, and Bitcoiners openly donating to, engaging with, and stanning for Trump makes my job a lot harder. Metaphorically, we went from going fishing (regarding steady bitcoin adoption) to throwing a grenade in the water, without the slightest pause for how this may affect the bigger picture.

The reality is, post 2016 with the election of Donald Trump, and the doubling down of Hillary and the Democratic party calling his supports a “basket of deplorables,” (yes I’m quite critical of the left too!) our political polarization has skyrocketed, leaving most to feel politically homeless (some studies suggesting between 70 million to 100 million Americans).

The left has been corrupted by purity culture. If your view, means to an end, etc. has not been approved by The Left Regime (or you are not well versed on dozens of leftist philosophers and the latest theories), you’re out! Trump and bitcoiners aside, this is also why it’s so hard to get them to engage on bitcoin, because it’s not what their tribe uses, it’s right wing money (according to them).

The right has been overtaken by Trump and a party of valueless debauchery. Conservatives/republicans used to be values driven with actually policy and ideas, which I could agree or disagree with. Now it’s just complete chaos fueled and led by Trump, who has no political philosophy or value system, just ego.

Bitcoin should be a tool to cut through this noise. A tool that any ideology in this case can find useful and valuable. Instead, I’m deeply concerned the narrative may very well latch on to Trump-ism for the next several years, and beyond. Am I ultimately concerned about Bitcoin, its code, usefulness, use-cases, and beyond? Not for this Trump/political reason, no not necessarily (I do have concerns about regulatory capture via ETF’s, mining centralization, lack of privacy and better tools for bitcoin’s peer-to-peer use, etc…but that’s a chat for another time).

I just simply think it’s a bad move for bitcoiners to put all their eggs in the Trump basket, or any political basket for that matter. There’s severe reputational risk, slow down of adoption in the U.S. for those (especially on the left) that will see this as “Trump’s thing” or “right wing” and further this narrative, and the politicians who will respond by doubling down on narratives they continue to try to push against Bitcoin.

Photo by Rob Curran on Unsplash

For Bitcoin’s social layer, I think it’s in the best interest to continue educating on bitcoin, advocating for grassroots adoption at the individual/community level, holding politicians accountable when they try to overstep (like Elizabeth Warren wanting to institute a backdoor ban on self-custody…no, we’re not going to let that fly, much less how that’s blatantly unconstitutional), and not desperately clinging to politicians’ words on the campaign trail, no matter who they are, that are purely pandering for votes, regardless of what may happen once they are in office (or what they can actually do, versus the legislative and judiciary branches).

As for me, an independent voter, I care deeply about Bitcoin, it’s long-term success, and seeing as many people as possible around the world use and benefit from this revolutionary money and technology. Both for Bitcoin, and for reasons beyond Bitcoin and into my values I stated above, I cannot in good conscience support Donald Trump. You don’t have to vote for Donald Trump to support, learn about or use Bitcoin, or contribute to the Bitcoin ecosystem.

Whether you agree or disagree with me, my hope is that among a growing chorus of Trump supporters from the Bitcoin community, those on the outside looking in may see that not all of us are on the same page, and that Bitcoin is for anyone regardless of your political party or who you plan to vote for come November.

This is a guest post by Trey Walsh. Opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.

Congressman Matt Gaetz (R-FL) has introduced legislation to allow federal income tax payments to be made in Bitcoin. Exclusively reported first by the Daily Wire, this bill aims to amend the Internal Revenue Code of 1986, instructing the Treasury Secretary to develop a plan for accepting Bitcoin.

BREAKING: 🇺🇸 US Congressman Matt Gaetz introduces bill to allow federal income tax to be paid with #Bitcoin pic.twitter.com/mcflCTQejI

— Bitcoin Magazine (@BitcoinMagazine) June 25, 2024

According to Gaetz, his proposal aims to modernize the tax payment process by allowing federal income tax to be paid with BTC.

Gaetz told The Daily Wire: “By enabling taxpayers to use Bitcoin for federal tax payments, we can promote innovation, increase efficiency, and offer more flexibility to American citizens. This is a bold step toward a future where digital currencies play a vital role in our financial system, ensuring that the U.S. remains at the forefront of technological advancement.”

The legislation would require the Treasury Secretary to establish regulations for the acceptance of Bitcoin, including specifying when payments are considered received and mandating the immediate conversion of Bitcoin to its dollar equivalent. Additionally, the bill includes provisions for handling related non-tax matters, contracts, fees, and liability.

“The Secretary shall develop and implement a method to allow for the payment with bitcoin of any tax imposed on an individual under this title,” the bill reads. “The Secretary shall prescribe such regulations as the Secretary deems necessary to receive payment by bitcoin, including regulations that specify when payment by such means will be considered received, require the immediate conversion of any bitcoin amount received to its dollar equivalent at the conclusion of any transaction.”

This announcement comes following a recent explosion in Bitcoin support amongst US politicians. Presidential candidates Donald Trump and Robert F. Kennedy Jr. both accept Bitcoin payments, while it was reported that the Biden campaign is also in talks to accept cryptocurrency donations. Biden Admin officials are expected to make an appearance at a Bitcoin roundtable in Washington D.C. in a few weeks hosted by Congressman Ro Khanna, as a response to Donald Trump embracing Bitcoin, pledging to “ensure that the future of crypto and the future of Bitcoin will be made in America.”

Coinbase CEO Brian Armstrong also recently met with both democrat and republican senators in D.C. “to discuss creating clear rules for the crypto industry.”

A couple weeks ago, US Congressman Thomas Massie stated that he decided to introduce a bill to end the Federal Reserve after reading The Bitcoin Standard book.

Nu Holdings, known as Nubank, Latin America’s largest fintech bank, has partnered with Lightspark to integrate the Bitcoin Lightning Network and UMA (Universal Money Addresses) into its platform. This collaboration aims to enhance Nubank’s services by enabling near real-time, low-cost Bitcoin and fiat transactions, according to a press release sent to Bitcoin Magazine.

I’m thrilled that @nubank has selected @Lightspark to bring the Bitcoin Lightning Network and UMA (Universal Money Addresses) via the @umastandard to its platform and customers. Now working with the Nubank team on the integration. Vamos! https://t.co/yDYJpNXlKR ⚡ pic.twitter.com/HYuuImG08u

— David Marcus (@davidmarcus) June 25, 2024

“We’re excited to play a role in bringing Lightning to Nu’s 100 million customers and adding solutions to make their financial lives simpler and more efficient,” stated David Marcus, CEO and co-founder of Lightspark. “At Lightspark, we’re delighted to enable Nubank to keep evolving its crypto solutions. It’s also been fantastic to work with the talented team at Nu.”

Lightspark’s advanced technology, including SDKs, APIs, and AI tools, aims to facilitate seamless integration and optimization of transactions. This partnership aligns with Nubank’s mission to provide efficient, cost-effective solutions for its customers, while Lightspark aims to support Nubank’s evolving Bitcoin services, according to the announcement.

“The partnership with Lightspark, which has developed an excellent technical solution for the Bitcoin Lightning Network, is another step in Nubank’s mission to provide the best solutions for our clients and reinforce our long-term relationship with all of them,” said Thomaz Fortes, Executive Director at Nubank Cripto. “The future integration of Lightning underscores Nu’s ongoing mission to offer more efficient services with greater speed and lower costs through blockchain technology.” 

Lightspark further emphasized the importance of this partnership in marking another big milestone for the Lightning Network, which could see it potentially boost its overall usage and advancing Nubank’s Bitcoin experience for its over 100 million customers across Brazil, Mexico, and Colombia.

The German government has transferred millions in seized Bitcoin to major Bitcoin and crypto exchanges Kraken and Coinbase, according to blockchain analysis firm Arkham.

The transfers originated from a wallet connected to the German Federal Criminal Police Office (BKA). In 2013, the BKA seized almost 50,000 Bitcoin, from a film piracy website.

On Tuesday, the BKA wallet moved $24 million in Bitcoin across two transactions to Kraken and Coinbase. An additional $30 million in Bitcoin was sent to an unknown wallet not affiliated with an exchange.

Arkham data shows that these transfers follow previous movements of $195 million in Bitcoin to exchanges on June 19 and 20. Over $425 million has been shifted in the past week.

While the German government still holds the majority of the seized Bitcoin, the transfers to exchanges may signal an intent to liquidate some of the assets.

Selling government-held Bitcoin introduces potential downward price pressure. However, the amounts moved so far represent a relatively small portion of daily Bitcoin trading volume. 

Nonetheless, Bitcoin dipped below $60,000 on Tuesday amid this news. The German government’s Bitcoin wallet still holds over 46,000 Bitcoin worth nearly $3 billion. 

For German police, the Bitcoin seized from illegal activities has dramatically increased in value. Selling even a fraction provides an unexpected windfall. However, concerns about potential impacts on the broader Bitcoin market remain.

The Bitcoin Lightning payments app Strike has expanded into the United Kingdom, enabling UK residents to buy, sell, and transfer Bitcoin globally.

JUST IN: #Bitcoin lightning payments app Strike launches to millions across the UK 🇬🇧 pic.twitter.com/lIcW6xF7YG

— Bitcoin Magazine (@BitcoinMagazine) June 25, 2024

Founded by Jack Mallers, Strike aims to make Bitcoin accessible through its mobile app, which leverages the Lightning Network. With the UK launch, Strike is now available in 100 countries worldwide. 

Jack Mallers said they are committed to growing Bitcoin adoption and providing its services globally despite regulatory complexities. “Our work is far from done,” he added.

To use Strike in the UK, users must pass an “appropriateness assessment” quiz about Bitcoin, which is required under local regulations. The app also includes customary risk warnings.

Strike offers several features for UK customers, including buying Bitcoin with instant bank transfers, setting recurring purchases, and self-custody withdrawals.

The app also utilizes Lightning Network to enable instant, unlimited, and free payments globally between Strike users, providing a frictionless transnational transfer experience.

While Strike said some companies have exited the UK market, its expansion reflects a belief in Bitcoin’s potential. The UK presents opportunities as the world’s 6th largest economy.

Strike continues working to make Bitcoin accessible for regular users and businesses worldwide. While region-specific regulations create hurdles, the company aims to comply while delivering key functionality.