Chelsea FC owner invests in Dubai-based firm's ICO

Crypto news: Bitcoin touches $11,000, US "long way" from regulating Bitcoin
Chelsea owner Roman Abramovich
By Eddie Taylor
Sun 18 Feb 2018 09:06 AM

The proposed Initial Coin Offering (ICO) from Dubai-based social media platform Telegram has, according to Russian business daily Vedomosti, attracted a slew of prominent Russian investors – including Mikhail Fridman, Alisher Usmanov and Chelsea FC owner Roman Abramovich.

Telegram’s public ICO, which was announced back in December 2017, is scheduled to be launched in March and attract $1.2 billion in investment.

The presale phase ended last week and filings to the US Securities and Exchange Commission on February 13 claim that Pavel Durov’s company had already attracted $850 million from 81 investors.

Confirmed participants in the ICO include Sergey Solonin, CEO of Qiwi, and David Yakobashvili, founder of food company Wimm-Bill-Dann.

Investor sinks $400 million into Bitcoin as it breaches $11,000 again

The slow but steady rise in cryptocurrencies after their troubled start to 2018 continues as Bitcoin breached the $11,000 mark early on Sunday morning – the first time it seen those levels since January 29, the mid-point of if its slide to $6,000. It means that the major cryptocurrencies have regained more than 60 percent of their value since February 6’s bottom.

The growth in Bitcoin was spurred by on mystery investor who, between February 9 and 12 added spent $400 million to his portfolio – taking his Bitcoin balance from 55,000 coins to more than 96,000. As his holding is now worth more than $1bn, that’s the definition of “buying a dip”.

US a “long way” from regulating Bitcoin

Speaking at the Munich Security Conference in Germany, Rob Joyce, special assistant to the president and White House cybersecurity, said that undertaking any sort of regulatory regime requires a lot more study.

Decentralised, unregulated and also vulnerable to fraud, there have been a lot of attempts by governments – notably in South Korea and China – to issue some kind of regulatory framework, while banks in the US and the UK have taken their own measures, such as banning purchases by credit cards.

The US government, though, seems to be biding its time. “We’re still absolutely studying and understanding what the good ideas and bad ideas in that space are,” he later told CNBC. “So, I don't think it's close… There are benefits to the bitcoin concept, but at the same time, if you look at the way bitcoin works after there is a criminal act that takes place, you can't rewind the clock and take back that currency.”

The Bitcoin bulls are back

As the market teeters towards recovery, the bullish predictions are back in vogue. Over the weekend, investor Tom Lee suggested that it will reach $25,000 by the end of the year, and a staggering $125,000 by 2022. While that seems extreme, there is consensus that 2018 is the year when cryptos will see more general acceptance and usage, and that crypto prices will regain all their recent losses by July.

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Last Updated: Sun 18 Feb 2018 08:49 AM GST

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