In today’s edition of Bitmama’s weekly crypto news roundup, we cover interesting developments in the cryptocurrency industry. Top picks – Bitcoin climbs past $40,000 for first time in 2 weeks, Ferrari going full steam with NFT adoption, Venezuelan government approves new tax for cryptocurrency and foreign currency transactions.
Let’s get started.
Bitcoin jumps 10%, climbs past $40,000 for first time in 2 weeks
Bitcoin gained the most in more than three months as investors show signs of renewed risk appetite following a volatile week across financial markets.
The largest cryptocurrency by market value jumped from USD 32,000 to USD 40,426 (increased by 9.4%), the most since Oct. 15. It hasn’t been above $40,000 in more than two weeks. Ether climbed as much as 11%. Even SOL, the native currency of the Solana blockchain that has tumbled in the wake of the Wormhole project hack, surged about 10%.
The top cryptocurrencies began to rally in overnight trading after strong earnings from Amazon.com Inc. bolstered confidence in technology stocks, which digital tokens have largely tracked over the past months.
Ferrari going full steam with NFT adoption
Luxury car maker, Ferrari, has reiterated that it is giving Non-Fungible Tokens (NFTs), the metaverse, and blockchain technology serious consideration. During the company’s Q4 2021 earning call, Benedetto Vigna, the CEO of Ferrari, assured investors that the carmaker is keen on adopting the new technology.
Ferrari recently signed a deal with Swiss blockchain company Velas Network that will see the start-up issue exclusive digital collectibles and sponsor Ferrari’s racing team.
He added that the company had set up a whole department dedicated to digital technology in its retail unit. Velas will issue exclusive digital collectibles for Ferrari’s Maranello racing team. Velas will also be the official sponsors of the team.
Venezuelan government approves new tax for cryptocurrency and foreign currency transactions
The Venezuelan government has approved a new tax that will affect transactions and payments made with cryptocurrencies and foreign currency. The tax, which is called the “large financial transaction” tax, seeks to incentivize the use of the national currency that has lost its relevance in a multi-currency environment like the one present in Venezuela in the last years.
The tax establishes that any transactions or payments made in foreign currencies or cryptocurrencies, without a limit quantity, will have to pay up to 20% over each movement, depending on the nature of it and the companies or persons making them.
The percentage to be paid will be established by the national government after the official publication of the law. But in its first application, it will collect 2.5% on these payments.
Also read: How to buy Ethereum in Nigeria: A step-by-step guide