Business Financing and Unlocking Africa’s Corporate Credit Card Opportunities | Tekedia Mini-MBA

By

-

March 26, 2024

Credit is a very important component of the market system. Today, at Tekedia Mini-MBA LIVE, we will discuss innovations in the credit world. Yes, with data, young people are building companies, using data to evaluate credit worthiness, and offering credits.

As Tekedia Mini-MBA moves into the execution phase of our three core themes of innovation, growth and operational execution, we will be bringing innovators who are pioneering business categories in Africa and beyond.

Evea offers credits to corporate clients. They give you a corporate credit card and you can spend. As they do that, they offer spend management, etc, solutions to help that firm optimize its financial management.

Open your credit worldview and see how smart credit can unlock opportunities in your trade, business or venture. Credit works for both buyer and seller, and we want to master the mechanics of credit business to advance the mission of firms.

Tue, March 26 | 7pm-8.00pm WAT | Business Financing and Unlocking Africa’s Corporate Credit Card Opportunities – Abeeb Ogunsola, Evea | Zoom link

Credit is a very important component of the market system. Today, at Tekedia Mini-MBA LIVE, we will discuss innovations in the credit world. Yes, with data, young people are building companies, using data to evaluate credit worthiness, and offering credits.

As Tekedia Mini-MBA… pic.twitter.com/Zsp35vNKPh

— Ndubuisi Ekekwe (@ndekekwe) March 26, 2024

Bitcoin Halving 2024: Predictions And Analysis

By

Ojukwu Emmanuel

-

March 26, 2024

0

As the Bitcoin Halving period draws closer, several analyses have been put forward by different crypto platforms, enthusiasts, and investors, ahead of the event.

Bitcoin halvings are a pivotal event in the Bitcoin ecosystem that significantly impacts its supply, demand, and price. The event involves reducing the mining rewards given for adding new blocks to the blockchain.

What is Bitcoin Halving?

Bitcoin halving is a programmed event in the Bitcoin network that involves the reduction if reward given to miners for processing transactions and adding new blocks to the blockchain.

Occurring approximately every four years, this event reduces the rate at which new bitcoins are generated. The primary purpose of halving is to control Bitcoin’s supply, ensuring it remains finite with a maximum cap of 21 million coins.

Halving affects Bitcoin by potentially increasing its value over time due to the reduced supply of new coins entering the market, aligning with the principles of supply and demand. This event is essential to Bitcoin’s deflationary nature, making it an intriguing asset that mimics the scarcity properties of precious metals like gold.

However, after every 210,000 blocks or roughly four years, there is a halving wherein miner rewards get slashed by half. This process makes Bitcoin supply diminish over time, making it a digitally scarce asset with each passing event of the halving. Notably, three Bitcoin halvings have occurred since Bitcoin’s inception in 2009, with the last halving occurring in 2020.

A look at the previous halving events

The first halving occurred on November 28, 2012, when the block reward was reduced from 50 to 25 Bitcoins. This event was followed by a notable increase in Bitcoin’s price, a pattern that has been observed with subsequent halvings. The 2012 halving saw Bitcoin’s price soar from about $12 to over $200 within a year.
The second halving took place on July 9, 2016, reducing the reward to 12.5 Bitcoins, and was again followed by a significant price surge in the following year. After the 2016 halving, Bitcoin reached a high of about $19,700 in December 2017.
The most recent, the third halving, occurred on May 11, 2020, further reducing the reward to 6.25 Bitcoins. Following the May 2020 halving, Bitcoin’s price eventually hit nearly $69,000 in November 2021. Each halving event has led to speculative anticipation, increased media attention, and considerable price volatility leading up to and following the event.

According to estimates, the next halving event is expected to occur in April 2024. This will be the fourth halving in Bitcoin history. During this event, mining rewards will decrease from the current 6.25 Bitcoin per block to 3.125 BTC per block added to the blockchain.

While history may not repeat itself, with previous halving outcomes, it certainly rhymes. Previous halving events have led to increase in price, which is usually caused by the upcoming supply shock. Also, it is worth noting that the current cycle sees new demand sources, particularly from institutional investors through newly launched spot Bitcoin ETFs.

Thomas Fahrer, Co-founder of ApolloSats, a network that allows bitcoins to review products they love, find those they can trust and earn, has urged crypto investors to keep stacking more Bitcoin ahead of the halving event.

He wrote,

“Bitcoin is in the exact opposite position of when it was 67K in 2021. FTX was short the market, flooding it with paper BTC. Interest rates were set to rise. We were years from a halving. The ETFs were just a dream. This is the complete reverse. A perfect setup. Keep stacking.”

As we approach the April 2024 halving event, investors are urged to prepare for increased volatility, possible consolidation within the mining industry, and potentially consequential shifts in the broader cryptocurrency market.

Here is an overview of previous scenarios of the Halvings event

Increased volatility: As evidenced by past data, bitcoin has experienced significant price moves during halving years. While, historically, those moves have been higher, the opposite could occur.

Consolidation within the bitcoin mining industry: Lower block rewards may impact less efficient miners’ profitability, possibly causing some to cease operations.

Potential for higher prices in other cryptocurrencies: While the halving is specific to bitcoin other cryptocurrencies have made notable moves during halving years as well. Ether, which has historically maintained a strong correlation to bitcoin prices, rose from $129.63 to $737.80 during the 2020 halving, a 469% increase.

While price increases have followed past halvings, investors are advised to approach this year’s halving event cautiously, as numerous factors can influence the outcome.

Experts predict a varied impact of the 2024 halving on Bitcoin’s price, with some analysts suggesting it could drive the price to $160,000 influenced by factors like the spot exchange- traded fund (ETF) hype. However, risks remain, and the exact outcome is uncertain.

London Stock Exchange Marks Groundbreaking Moment: Embraces Crypto Investments With Bitcoin And Ethereum Listings

By

Ojukwu Emmanuel

-

March 26, 2024

0

In a groundbreaking move, the London Stock Exchange (LSE) has embraced the world of cryptocurrency investments by announcing listings for Bitcoin and Ethereum crypto exchange-traded notes (ETNs) for professional investors.

This historic decision marks a significant shift in the United Kingdom’s financial landscape, as it opens its doors to digital assets which will commence in the second quarter of 2024.

The London Stock Exchange (LSE) which unveiled this plan on Monday, announced the acceptance of applications for Bitcoin and Ethereum ETNs, as confirmed by the FCA’s stance of non-objection. While the exact launch date has not been disclosed, the LSE has assured stakeholders that the information on the commencement will be communicated in due time.

This development introduces a focused market segment in the UK for investors looking to diversify into digital assets. By utilizing ETNs, investors trade in products that resemble bonds with added cryptocurrency. However, it is important to note that crypto ETNs admitted to trading on the London Stock Exchange will be exclusively available under trading segments designed as “Professional investors only”, excluding retail traders from participation.

The LSE has further outlined stringent requirements for crypto ETNs seeking admission. These include being physically backed, non-leveraged, possessing a reliable and publicly available market price or value measure for the underlying crypto assets, and having Bitcoin or Ethereum as the said underlying assets.

Additionally, the underlying crypto assets must be held by custodians subject to Anti-Money Laundering (AML) regulations in various jurisdictions, including the United Kingdom, European Union, Jersey, Switzerland, or the United States.

This move follows a recent update from the Financial Conduct Authority (FCA), the UK’s financial industry watchdog, concerning crypto ETNs for professional investors. The FCA’s revised position sets the stage for Recognised Investment Exchanges (RIEs) to create a UK-listed market segment specifically for crypto asset-backed Exchange Traded Notes (CETNs).

While supporting the creation of a UK-listed market segment for crypto asset-backed ETNs for professional investors, the FCA maintains its skepticism regarding retail consumers’ involvement in these instruments. The ban on selling crypto ETNs and derivatives to retail consumers, implemented in January 2020, remains in effect.

Despite a previously tepid environment for cryptocurrency investments, with the UK parliament’s Treasury committee in 2023 urging the government to regulate cryptocurrency trading as a form of gambling rather than a financial service, the move by LSE signifies a significant shift.

Also, recall that the UK’s current prime minister Rishi Sunak, who was then the chancellor of the Exchequer over a year ago, made moves to make Britain a global hub for crypto asset technology and investment.

Announcing this, he said;

“It’s my ambition to make the UK a global hub for cryptoasset technology, and the measures we’ve outlined today will help to ensure firms can invest, innovate and scale up in this country. We want to see the businesses of tomorrow and the jobs they create here in the UK, and by regulating effectively, we can give them the confidence they need to think and invest long-term. This is part of our plan to ensure the UK financial services industry is always at the forefront of technology and innovation”.

By recognizing the potential of cryptocurrency and regulating it now, the move signifies a recognition of the growing importance and legitimacy of cryptocurrencies in the global economy. By offering listings for Bitcoin and Ethereum, the London Stock Exchange is not only catering to the increasing demand for crypto investment options but also signaling its readiness to adapt to the evolving needs of investors in the digital age.

This bold step will no doubt attract a new wave of institutional investors who have been eagerly awaiting mainstream avenues to access cryptocurrencies within the traditional financial system. Also, it paves the way for further integration of digital assets into established financial markets, potentially unlocking new avenues for capital flows and investment opportunities.

The Strength of America’s Stock Markets is Remarkable

By

Paul Ugbede Godwin

-

March 26, 2024

0

The strength of America’s Stock markets is remarkable, but some analysts are beginning to brace for a crash. This sentiment is not unfounded, considering the historical market cycles and the current economic indicators that suggest a potential downturn. It’s essential for investors to remain vigilant and consider diversifying their portfolios to mitigate risks.

In this detailed analysis, we will explore the factors that have contributed to the current strength of the stock markets, including fiscal policies, corporate earnings, and investor sentiment. We will also delve into the reasons why some analysts are predicting a downturn, such as rising interest rates, geopolitical tensions, and historical market cycles.

The resilience of the stock market in the face of various economic challenges has been a testament to the robustness of American financial institutions and the confidence of investors. However, with high valuations and market volatility, some market experts are starting to express concerns about a potential correction.

For instance, the MSCI World Index, which represents large and mid-cap equity performance across 23 developed market countries, has not matched the S&P 500’s growth over the same period. This comparison underscores the unique position of the U.S. stock market as a leader in financial performance and resilience. The American market’s robust regulatory framework, innovative business environment, and diverse range of investment opportunities contribute to its standout performance on the global stage.

Emerging markets, as represented by the MSCI Emerging Markets Index, have experienced significant growth but have faced higher volatility and different risk factors, which have affected their overall performance relative to developed markets like the U.S. The American market’s resilience is further highlighted when considering the rapid economic changes and challenges faced by emerging markets, emphasizing the stability and maturity of the U.S. financial system.

Understanding these dynamics is crucial for investors who need to make informed decisions about their portfolios. While the possibility of a market crash can be alarming, it is important to approach such predictions with a balanced perspective, considering both the risks and opportunities that exist in the market today.

The strength of America’s Stock markets is remarkable, as evidenced by the S&P 500’s impressive growth. Over the past decade, the index has seen a cumulative return of over 200%, showcasing the market’s resilience and the robust nature of the U.S. economy.

Volatility in emerging markets, when contrasted with the strength of America’s Stock markets, can be attributed to a variety of factors. Emerging markets often face higher political risk, economic instability, and less mature financial regulations, which contribute to their volatility.

Additionally, fluctuations in commodity prices and currency exchange rates can significantly impact these markets due to their reliance on exports. In comparison, the S&P 500’s over 200% cumulative return in the past decade reflects the relative stability and well-established regulatory environment of the U.S. market, which helps mitigate such volatility.

This statistic underlines the confidence investors place in the financial system and highlights the market’s ability to thrive amidst global economic challenges. The continued upward trajectory of the stock markets is a testament to the innovative spirit of American businesses and the sound regulatory framework that promotes transparency and fairness in trading.

Robert Kiyosaki Announces Intention to Acquire More Bitcoin Ahead of The Halving Period

By

Ojukwu Emmanuel

-

March 26, 2024

0

Robert Kiyosaki the author of “Rich Dad Poor Dad,” also renowned for his financial insights, has publicly disclosed his plan to acquire an additional 10 Bitcoin ahead of the upcoming halving period which falls on April 2024.

This decision underscores his continued bullish outlook on Bitcoin and his belief in its long-term potential as a store of value.

In a post on his X handle, the serial investor expressed his optimism in the price of Bitcoin surging to $100k by September, thereby urging his followers to consider buying the crypto asset.

He wrote,

“I am buying 10 more Bitcoin before April. Why? The “Having.” If you can’t afford a whole Bitcoin you may want to consider buying 1/10 of a coin, via the new ETFs or Satoshi’s. If the Bitcoin process works as designed you may own a whole Bitcoin by the end of this year. I expect Bitcoin to be $100k by September 2024.

“If you are not into Bitcoin I suggest buying silver coins, preferably US silver eagles. My friend Andy Schectman states the once abundant supply of silver is nearly gone. He has a standing order for $1 million in “junk” silver (pre-64 US silver coins) and can it find pre-1964 silver coins to fill the order.

“Q: Why is this happening?

A: Because the “smart money” knows the US is the biggest debtor nation in the world; China’s property market is “toast;” Japan has been in a Depression since 1990; Germany is sliding into a depression, mom and pop consumers are living on credit cards; banks are in trouble; and the world is on the brink of war.

“Michael Saylor a Bitcoin maxi asks Q: “What do you call people who insist on saving fiat currency…“fake” money?

A: Poor. Michael Saylor, Andy Schectman, and me do not want you to be poor. Please start acquiring gold, silver, and Bitcoin, if you already have not started.

“Of the three, silver is the most affordable for the most people. Bitcoin is about $70,000 a coin. Gold is about $2,500 per coin. Silver is about $35.00 a coin. Please don’t be a poor person saving fake money. Almost everyone in the world can afford at least one silver coin or one Bitcoin Satoshi. Be smart, take action, and take care.”

Robert Kiyosaki known to be a big fan of Bitcoin has on several occasions advocated for the acquisition of the cryptocurrency for investment purposes.

In January this year, Kiyosaki disclosed why he owns Bitcoin, emphasizing his investment strategy, favoring Bitcoin over traditional assets like stocks, bonds, and fiat currencies. According to him, this preference is driven by Bitcoin’s decentralized nature and resistance to inflation. He further commended Bitcoin’s role as a more secure asset.

With the halving period drawing near, the cryptocurrency industry has displayed a significant increase in price volatility. The crypto market is set to pave the path toward a new all-time high (ATH) in the coming time

Also, Bitcoin has experienced a notable surge in hash rate, registering a 15% increase in 2024. This upswing in hash rate suggests that miners are ramping up their operations to optimize earnings before the halving event.

Historical analysis shows a consistent pattern of miner capitulation post-halving, with significant drops in hash rate: 39% in December 2012, 11% in August 2016, and 26% in May 2020.

Considering these precedents, a similar downturn, approximately 25% based on the average of past events, is a reasonable expectation following the next halving.

Business Financing and Unlocking Africa’s Corporate Credit Card Opportunities | Tekedia Mini-MBA

Like this: