Bitcoin hits $60,000 for first time in six months on ETF regulation report: crypto wrap

Bitcoin hits $60,000 for first time in six months on ETF regulation report: crypto wrap
Bitcoin is the world's most traded cryptocurrency. (Shutterstock)
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Updated 16 October 2021

Bitcoin hits $60,000 for first time in six months on ETF regulation report: crypto wrap

Bitcoin hits $60,000 for first time in six months on ETF regulation report: crypto wrap

RIYADH: Bitcoin hit $60,000 for the first time in six months on Friday, nearing its record high, with traders growing confident that US regulators would approve the launch of the first US exchange-traded fund (ETF) based on its futures contracts, Reuters reported.

Bitcoin, the world’s biggest cryptocurrency, rose 4.5 percent to its highest level since Apr. 17 and was at $59,787.37 at 4:43 p.m. Riyadh time.

It has risen by more than half in value since September 20 and is now close to its all-time high of $64,895.

The U.S. Securities and Exchange Commission (SEC) is set to allow the US. bitcoin futures ETF to begin trading next week, Bloomberg News reported on Thursday.

“It is clear that the recent spike in bitcoin's price is directly related to the rumour that the SEC will move ahead with the US first Bitcoin ETF approval, said Mikkel Morch, executive director and risk management at crypto hedge fund ARK36. "It is becoming increasingly likely that at least one of the major contenders for a BTC futures ETF, such as Valkyrie or Van Eck, could be approved in the coming days and ahead of SEC's hard November deadlines."

The crypto market involves many tokens which may be unregistered securities and leaves prices open to manipulation and millions of investors vulnerable to risks, SEC Chairman Gary Gensler has previously said.

Proposals by ProShares and Invesco are based on futures contracts and were filed under mutual fund rules that Gensler has said provide "significant investor protections", a Bloomberg report revealed, citing people familiar with the matter.

Russian President Vladimir Putin signaled tolerance of cryptocurrencies, but is still not convinced they can replace the US dollar in settling oil trades.

“I believe that it has value,” he told CNBC in an interview at the Russian Energy Week event in Moscow Wednesday, the transcript of which was posted on the Kremlin’s website.

“It is legitimate and can be used in settlements, no doubt about that, but it is too early to use it for trading in oil or other raw materials and energy sources,” he said.

This comes after repeated warnings from the Bank of Russia that the crypto market is extremely volatile, and digital currencies are not allowed to be used for domestic payments.

Putin made it clear that contracts dominated in crypto would be a premature step as they are not stable.

In order to mine crypto, you need a lot of energy, and for that people have to use traditional sources of energy, primarily hydrocarbons, he said.

Russia has sought alternatives to trading in dollars since being slapped with sanctions in 2014 following the annexation of Crimea.

Crypto backers argue decentralized money will eventually replace fiat currencies issued by central banks.


UK hosting Africa investment summit for green transition

UK hosting Africa investment summit for green transition
Updated 20 January 2022

UK hosting Africa investment summit for green transition

UK hosting Africa investment summit for green transition
  • The conference aims to unlock millions of pounds of new investment, especially in clean energy industries in the UK and Africa
  • Britain will launch a digital tool to link African and British businesses to the UK government

LONDON: The UK is hosting an investment conference on Thursday to boost sustainable economic cooperation with African countries and to support the continent’s transition to clean growth.
UK Prime Minister Boris Johnson will open the one-day event, which will be attended by UK and African ministers, business leaders and and heads of international organizations.
The conference, in its second edition, aims to unlock millions of pounds of new investment, especially in clean energy industries in the UK and Africa.
“Two years on from the inaugural UK-Africa Investment Summit, the UK’s ambition to be Africa’s investment partner of choice has never been stronger,” said Secretary of State for International Trade Anne-Marie Trevelyan.
“This year’s conference focuses on the importance of resilient, sustainable investment to support Africa as it pivots toward a more environmentally friendly growth trajectory, and I look forward to working with leaders from the continent as they continue on this path to a greener future,” she added.
During the conference, the UK will launch a new Growth Gateway — a digital tool to link African and British businesses to UK government trade, finance, investment services and opportunities.
UK Export Finance — Britain’s export credit agency — has significantly increased support for markets in Africa in the past year from about £600 million ($817 million) in 2018-19 to more than £2.3 billion in 2020-21, supporting a range of infrastructure projects in countries from Cote d’Ivoire to Uganda, the Department for International Trade said.
Minister for Africa Vicky Ford said that the UK is “deepening its economic ties with African nations” and “there is a lot more that can be done,” adding: “Growth Gateway will make it easier than ever for African and British businesses to access the support they need to boost two-way trade and investment.”
This year’s conference also comes after Britain hosted the UN Climate Change Conference, COP26. The country is looking to build on its commitment to providing £11.6 billion of its International Climate Finance program to help developing countries tackle climate change over the next five years.
Last year’s virtual conference was attended by more than 2,800 delegates from over 40 African countries. Across the UK, 27 trade and investment deals worth £6.5 billion were announced, on top of further commitments worth £8.9 billion.


Turkey Dream Games triples in valuation after raising $255m in funding

Turkey Dream Games triples in valuation after raising $255m in funding
Updated 19 January 2022

Turkey Dream Games triples in valuation after raising $255m in funding

Turkey Dream Games triples in valuation after raising $255m in funding
  • Turkish mobile gaming start-up Dream Games raised an unprecedented $255 million in its latest Series C funding round

RIYADH: Turkish mobile gaming start-up Dream Games raised an unprecedented $255 million in its latest Series C funding round, almost tripling its valuation to $2.75 billion in six months, MAGNiTT reported.

This round of funding was led by Index Ventures, subscribed by returning investors such as Makers Fund, IVP, Kora, Balderton Capital and managed by BlackRock.

The company plans to use the funds for doubling its headcount to 200 people and launch a new game this year.

Founded in 2019, Istanbul-based Dream Games is a mobile gaming company that developed Royal Match — one of the highest grossing mobile games.


UAE, Saudi Arabia, Qatar top competitive economies in the Arab World: AMF

UAE, Saudi Arabia, Qatar top competitive economies in the Arab World: AMF
Updated 19 January 2022

UAE, Saudi Arabia, Qatar top competitive economies in the Arab World: AMF

UAE, Saudi Arabia, Qatar top competitive economies in the Arab World: AMF
  • The United Arab Emirates, Saudi Arabia, and Qatar were ranked the most competitive Arab economies

RIYADH: The United Arab Emirates, Saudi Arabia, and Qatar were ranked the most competitive Arab economies for the period between 2017 until 2020, according to a report launched by the Arab Monetary Fund.

The fifth Arab economies competitiveness report showed that the UAE maintained its top ranking in the general index as it benefited from high scores in the business environment and infrastructure category as well as the organizational and government governance category.

The Kingdom ranked second after having performed well in the overall economic index, the external activities sector and the official reserves index.

Qatar followed in third place, after attaining first place in the real economy sector, the inflation index and GDP per capita index.

Four Arab nations advanced in terms of competitiveness compared to the previous period, including Sudan, Egypt, Morocco, and Mauritania.

Arab states and other non-Arab countries — such as Singapore, Malaysia, Turkey — are included also in the calculation of the index.

The report monitors the economic competitiveness of Arab countries and sheds light on the economic and political measures applied by decision makers for that purpose.


TRSDC closes financing for $3.76bn loan from four Saudi banks

TRSDC closes financing for $3.76bn loan from four Saudi banks
Updated 19 January 2022

TRSDC closes financing for $3.76bn loan from four Saudi banks

TRSDC closes financing for $3.76bn loan from four Saudi banks

RIYADH: Saudi Arabia's The Red Sea Development Co., or TRSDC, announced the financial closure of a SR14.12 billion ($3.76 billion) loan with four Saudi banks.

The financing will be in a form of a term loan facility and a revolving credit facility.

TRSDC, which is developing the world's largest sustainable tourism project, has obtained the loan from Saudi National Bank, Riyad Bank, Banque Saudi Fransi, and Saudi British Bank, according to a statement.

“This year, we have proceeded at pace with the delivery of our flagship project, all the while mindful of our commitment to not only reduce our impact on the environment but actively deliver a 30 percent net conservation benefit by 2040,” explained John Pagano, chief executive officer of The Red Sea Development Company.

GFC Media Group have recently awarded TRSDC’s Green Financing as Project Finance Deal of Year in the Capital Markets Saudi Arabia Awards.


Egypt achieves a $204m initial budget surplus in six months 

Egypt achieves a $204m initial budget surplus in six months 
Updated 19 January 2022

Egypt achieves a $204m initial budget surplus in six months 

Egypt achieves a $204m initial budget surplus in six months 

RIYADH: Egypt’s general budget achieved an initial surplus of 3.2 billion Egyptian pounds ($204 million) during the first six months of the 2021/22 fiscal year, the minister of finance said. 

Mohamed Maait added that revenues grew by 10.3 percent on an annual basis during that period, while tax revenues increased by 15.7 percent, the Middle East News Agency reported. 

He also said that Egypt targets a budget deficit of 6.6 percent in the 2021/22 fiscal year and a primary surplus of 1.5 percent of gross domestic product. 

The minister’s comments came during the cabinet meeting held on Wednesday by the prime minister Mostafa Madbouly, to review the financial performance indicators during the six months period.