El Salvador is not going to repeal the law on bitcoin, and Binance burns $640 million tokens

The crypto market is still relatively calm, the bitcoin rate is at $62,200. The launch of bitcoin-ETF futures on the New York Stock Exchange tonight can warm up the mood and activate investors, which will positively affect the price of the leading cryptocurrency.

Profit-taking in the crypto market, which caused yesterday’s Bitcoin correction, turned out to be much smaller in scale compared to the April sales of digital assets.

As WhaleMap analysts note, the whales’ refusal to massively dump BTC creates the conditions for maintaining the upward momentum of the coin’s movement in the long term.

In today’s review, we will also pay special attention to the largest-scale liquidation of Binance Coin (BNB) tokens, El Salvador’s refusal to annul the law on the legalization of bitcoin and the launch of a special regime for cryptocurrency exchanges in Kazakhstan.

Sleeping beauties

The market situation remains generally stable. No sharp movements are observed yet. Bitcoin (BTC) and Ether (ETH) are trading at $62,200 and $3,800 respectively.

The Binance Coin (BNB) token showed the best performance. This coin has risen in price by almost 24% in a week to $490.5. Over the past day, its capitalization has grown by another 5%, reaching $81.832 billion. The coin was able to bypass Cardano (ADA), the price of which is now at $2.13.

Altcoins XRP, Solana (SOL) and Dogecoin (DOGE) rose in price to $1.09, $157.2 and $0.247 respectively. The capitalization of the crypto market is now just over $2.489 trillion.

Santiment analysts recorded a weakening of the activity of traders in social networks. If in the coming days we do not see another hype, then the price of bitcoin will continue to move up. Experts remind that the value of an asset often falls when it is given too much time on social networks, and, conversely, the coin grows with low user activity and a small number of mentions of it.

Binance is once again liquidating a batch of BNB tokens

On the eve of the largest crypto exchange Binance again reported on the destruction of the next batch of its tokens – BNB. This liquidation was the most expensive for the trading floor. She burned about $640 million worth of digital currency (1.4 million BNB).

The exchange performs such operations on a quarterly basis, thereby reducing the altcoin’s market supply. This policy stimulates higher demand from traders for Binance Coin, which has a positive effect on its value. The last destruction of tokens was the 17th in a row.

According to the results of the third quarter, the price of BNB cryptocurrency increased by about 58%, from $305 to $480. So far, Binance has burned up to 16.6% of the total BNB supply, according to Block Research. In the second quarter of 2021, Binance liquidated $393.67 million worth of tokens.

Tin Woodman

In early September of this year, El Salvador legalized bitcoin. The IMF and the World Bank have threatened the authorities of this Latin American country with the termination of financial assistance if it does not repeal the law.

However, the head of the Central Bank of El Salvador, Douglas Rodriguez, rejected all calls from international organizations. He also expressed confidence that the recognition of bitcoin as a legal tender does not threaten the country with a refusal to receive the next loan tranche. El Salvador is expecting a $1.3 billion loan from the International Monetary Fund to continue reforms, Bloomberg reports.

Rodriguez emphasized that the central bank does not see any risks associated with the legalization of BTC. The recognition of bitcoin, on the contrary, improves the investment attractiveness of the state and contributes to a more accelerated development of its economy.

The head of the Central Bank held talks with representatives of the IMF and assured them that there were no risks of destabilizing the situation in the financial sector. The official himself told reporters about this.

Kazakhstan opens doors to crypto exchanges

The first cryptocurrency exchanges will start legally operating in test mode in Kazakhstan. Trading platforms must register with regulatory authorities and obtain the necessary license, the Ministry of Digital Development of the republic said this week.

Four companies have already achieved such permission, but they have not yet been named in the department. In accordance with the tax legislation, each user of the exchange undertakes to pay an individual income tax in the event of a transaction on the exchange. Note that Kazakhstan is included in the list of those countries in the post-Soviet space that are trying to bring the cryptocurrency business out of the shadows.

From January next year, the law on the taxation of miners will come into force in the republic. The authorities calculated that with the help of this collection they will be able to replenish the treasury with funds in the amount of 7 billion tenge.

Sources: Bloomberg, The Block, CoinMarketCap, Santiment, CoinTelegraph, Steppe