Hello and welcome to this week's edition of Overbit Round-Up. Our first story is related to Bitcoin continuing to rebound from its lows for the year on Wednesday.
The cryptocurrency fell below the crucial $30,000 mark on Tuesday, briefly wiping out all of its 2021 gains. It later recovered to finish the day on a high note. According to Coin Metrics statistics, Bitcoin increased by 18 percent on Wednesday, soaring back beyond the $34,000 barrier in early morning trading. It recently traded for $33,641.27, up 3% on the day.
Bitcoin had a solid start for the year, rising to an all-time high of almost $65,000 ahead of the spectacular debut of crypto exchange Coinbase and as institutional investors appeared to be warming to it. However, the world's largest digital coin has been on a roller-coaster since nearly halving in value amid a deluge of negative news. The reason for the price increases was not revealed, although cryptocurrencies are notorious for their volatility.
Authorities in China have been cracking down on Bitcoin mining, the energy-intensive process of confirming transactions and creating new Bitcoins. Beijing's assault on cryptocurrency mining was extended over the weekend to the hydropower-rich Sichuan region.
The People's Bank of China then announced on Monday that it had advised financial institutions, including Alipay and significant banks, to refrain from providing services related to cryptocurrency activity, leading us to our next story of the week.
Our second story of the week is Chinese Payment Giant Alipay Launching NFT Sales. On its own blockchain project, AntChain, Alipay launched two limited-edition NFTs. The NFTs did not use cryptocurrencies and were sold with fiat money. Concerns have been raised about the value and long-term provenance of NFTs issued on private blockchains.
Alipay, China's largest digital payment provider, offered non-fungible tokens (NFTs) on AntChain, its own permissioned blockchain service network. According to sources, Alipay, a subsidiary of China's e-commerce behemoth Alibaba, has released 8000 limited-edition NFTs based on two pieces of artwork to celebrate the ancient artwork of the Dunhuang Caves.
The artwork included flying "apsaras" or spirits, as well as sacred animals from the Caves of the Thousand Buddhas, also known as Mogao Cave, near the Chinese city of Dunhuang. Each NFT is limited to 8,000 copies and was created on AntChain, a private blockchain founded by Alipay's parent firm, Ant Group.
Ant Group is one of the world's largest financial corporations, with a market capitalization of $200 billion. In addition, when it comes to blockchain research, the organization is a market leader.
It is unknown whether decentralized or centralized blockchains will become more popular over time; However, history indicates that decentralized chains such as BTC and ETH will be more popular, but this one will be worth keeping an eye on.
Thank you for reading Overbit Round-Up, as always. Take care and trade safely until the next time.