El Salvador's Bitcoin-Friendly President Nayib Bukele Wins Re-Election

CoinDeskPolicyPublicado em 2024-02-04Última atualização em 2024-02-05

Resumo

Under Bukele, the country in 2021 became the first nation to adopt bitcoin as legal tender.

El Salvador's bitcoin-friendly president Nayib Bukele is on his way to another five-year term, according to exit polls which show him with an overwhelming lead shortly after voting ended on Sunday evening.

The result was widely expected as Bukele, who served since 2019 as president, enjoyed great popularity in the country and led in pre-election polling by a large margin.

Bukele made a splash during his first term cracking down on gang violence with mass incarcerations and betting big on bitcoin (BTC).

In 2021, El Salvador became the first nation to adopt the largest cryptocurrency as legal tender, developed and introduced a crypto wallet Chivo to enhance bitcoin adoption and also started buying the asset as an investment. The move, while widely applauded by bitcoin enthusiasts, drew criticism from international organizations such as the International Monetary Foundation (IMF).

STORY CONTINUES BELOW

Recommended for you:

The country this year plans to issue its long-awaited bitcoin-backed "Volcano bonds" after receiving regulatory approval in December, which would fund a BTC mining industry powered solely by renewable energy.

Edited by Stephen Alpher.

Leituras Relacionadas

The Ethereum Foundation Has Split?! An In-depth Look at Ethlabs' "Bright Future"

"Ethereum Foundation Splits? Understanding Ethlabs and Its 'Bright Future'" Former Ethereum Foundation members Ansgar Dietrichs, Barnabé Monnot, Caspar Schwarz-Schilling, Josh Rudolf, and Julian Ma have announced the launch of Ethlabs, an independent non-profit research and development lab. Announced on June 22nd, the initiative comes amidst discussions about the need for new organizational structures within the Ethereum ecosystem, a point highlighted by Bankless founder David Hoffman. Ethlabs' mission is to establish Ethereum as the foundational settlement layer for the global economy. The organization positions itself as a bridge connecting frontline developers, applications, and user needs with the core protocol. It aims to translate real-world demands into protocol improvements, industry standards, and deployable products. The founding team brings significant expertise: Dietrichs and Monnot are highly cited researchers in areas like Proposer-Builder Separation (PBS) and MEV, while Schwarz-Schilling, Rudolf, and Ma contribute backgrounds in economic modeling, consensus research, and applied cryptography. Initial supporters include BitMine, a major corporate ETH treasury; Sharplink, another treasury firm; and Consensys founder Joe Lubin in a personal capacity. Community backers include figures like Uniswap's Hayden Adams and Base's Jesse Pollak. The timing coincides with internal Ethereum Foundation discussions about "spinout" projects. While Ethlabs and the Foundation share research interests like MEV mitigation, Ethlabs frames its role not as a competitor but as part of a shift from a "single-core coordination model" to a "multi-R&D entity collaboration model." It views Ethereum as a public project belonging to all builders, with Ethlabs as one node in a broader governance network. Ultimately, Ethlabs represents an organizational evolution within the maturing Ethereum ecosystem. The key question is whether multiple research bodies can collaborate effectively to advance Ethereum as a competitive global settlement infrastructure.

Odaily星球日报Há 4m

The Ethereum Foundation Has Split?! An In-depth Look at Ethlabs' "Bright Future"

Odaily星球日报Há 4m

'Bear' Doomsday Prophecy: AI 'Reaching Its Peak', U.S. Stocks to Top Out Fastest in Q3, Down 30-50%

"A Short Seller's Dire Prediction: AI Boom Fading, US Stocks to Peak by Q3 with 30-50% Decline" Prominent macro investors Jeffrey Gundlach and Felix Zulauf warn that the AI-driven market rally is nearing its end, forecasting a major US stock market correction of 30-50%, potentially beginning as early as Q3. Their analysis points to alarming parallels with historical market tops, citing extreme concentration in the top AI-related stocks within the S&P 500. Zulauf's bearish thesis hinges on unsustainable capital expenditure trends among major cloud companies, negative free cash flow emergence, and soaring semiconductor prices. Gundlach highlights dangerous parallels to the 1999 tech bubble peak. A key divergence from conventional wisdom is Gundlach's view that long-term Treasury yields will not fall meaningfully even during a recession, due to America's structurally out-of-control fiscal deficits and soaring interest costs. He warns this could force the government into yield curve control or even a sovereign debt restructuring. Both investors express severe concerns about the opaque private credit market, drawing parallels to the pre-2008 financial crisis environment. They allege widespread rating inflation, misrepresented credit quality, liquidity illusions, and fraudulent asset valuations within this sector. The analysis links the AI boom and private credit crisis through financing costs. They argue that as AI companies' cash flows weaken and they seek funding, a high and sticky long-term interest rate environment will severely stress lower-rated corporate borrowers, exposing cracks in credit markets. Finally, they predict a regime shift where the US dollar weakens and US equities underperform global markets, marking the end of their long dominance. The stage is set for a significant market reversal.

marsbitHá 12m

'Bear' Doomsday Prophecy: AI 'Reaching Its Peak', U.S. Stocks to Top Out Fastest in Q3, Down 30-50%

marsbitHá 12m

Why Does No One Buy DeFi Insurance?

**Title: Why Isn't DeFi Insurance Being Bought?** DeFi insurance, which promised automated, unbiased payouts via smart contracts, has failed to gain traction. The core issue is economic: high premiums severely erode the yields that attract users to DeFi in the first place. For example, insuring a USDC deposit on Aave V3 could cost 1.5–2.5% of the annual yield, leaving a net return barely above a savings account. For riskier platforms like Maple Finance or Ethena, premiums can even turn net yields negative. Consequently, users often forgo insurance, as it nullifies their profit motive. The market also suffers from structural flaws. First, DeFi risks are highly correlated (e.g., an oracle failure can impact multiple protocols simultaneously), unlike the independent risks in traditional insurance. This makes large-scale events potentially catastrophic for insurers. Second, the total capital in DeFi insurance pools (e.g., Nexus Mutual's ~$81.5M) is minuscule compared to the hundreds of billions in total value locked (TVL), creating a massive capacity gap. A single major hack could drain the entire industry's reserves. Furthermore, the governance model where tokenholders vote on claims creates a conflict of interest, incentivizing them to deny payouts to protect their own funds. As a result, the sector is shrinking. While pioneers like Nexus Mutual are pivoting to preventative measures (bug bounties) and seeking external capital via reinsurance, the fundamental problems remain. DeFi insurance represents a public good—its stability benefits the entire ecosystem—but without a mechanism to share costs, a "tragedy of the commons" ensues where no one is willing to pay, leaving the system vulnerable.

marsbitHá 26m

marsbitHá 26m

SPCX Pre-Market Dips Below $150 IPO Price, But Don't Rush to Buy Yet

SpaceX's share price (SPCX) has fallen sharply, briefly dropping below its $150 IPO price in pre-market trading. The decline follows a catastrophic explosion during a Starship static fire test and was exacerbated by the company's announcement of a planned $20 billion bond issuance. This move, coming soon after its IPO raised $85.7 billion, raised concerns about SpaceX's cash burn rate and AI infrastructure spending surpassing expectations. The sell-off is also tied to a broader global pullback in AI-related stocks, with investors questioning the return on massive capital expenditures. Analysts note the initial IPO surge was largely driven by retail investor frenzy, which has now waned as sentiment turns cautious. With only about 5% of shares currently floating, the market is bracing for significant potential selling pressure when employee lock-up periods expire later this year. While some, like Cathie Wood's ARK Invest, remain long-term bullish on SpaceX's core ventures, other research firms argue the current stock price is driven by narrative rather than fundamentals and that future growth is already priced in. The next potential catalyst is the stock's possible inclusion in the Nasdaq 100 index in July.

Odaily星球日报Há 27m

SPCX Pre-Market Dips Below $150 IPO Price, But Don't Rush to Buy Yet

Odaily星球日报Há 27m

BitMart Research Institute Weekly Insights: Fed Hawkish Expectations Heat Up, Crypto Market Continues to Face Pressure, RWA Sector Defies Trend and Breaks Out

**BitMart Research Weekly: Fed Hawkishness Weighs on Crypto, RWA Sector Shows Strength** In traditional markets, US equities were mixed as weakening macro data signaled slowing growth. The Federal Reserve held rates at 3.75%, with half of its officials projecting at least one rate hike this year, adopting a more hawkish stance. The crypto market faced sustained pressure. BTC fell 3.7%, underperforming ETH, which dropped 1.2%. Overall market sentiment remained in "Extreme Fear." US spot Bitcoin ETFs saw net outflows of approximately $226.8 million for the week, indicating a lack of sustained institutional buying. Despite the bearish backdrop, the Real World Assets (RWA) narrative gained traction. XLM surged 12.2%, driven by Stellar's RWA tokenization roadmap. Stablecoin market capitalization stabilized near $315.3B, showing structural shifts towards compliant and institutional cash management tools like USDG and BUIDL. A notable stress point emerged as Strategy's STRC traded below its $100 face value for a fifth consecutive week, pressuring its dividend model and raising questions about its Bitcoin treasury management strategy.

marsbitHá 31m

BitMart Research Institute Weekly Insights: Fed Hawkish Expectations Heat Up, Crypto Market Continues to Face Pressure, RWA Sector Defies Trend and Breaks Out

marsbitHá 31m

Trading

Spot

Futuros