CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

BTC up on US pro-crypto strategy; Binance CEO turns down Chelsea FC

By Daniela Ešnerová


Updated

Blue jersey with Chelsea FC logo on it
Billionaire Chinese Binance CEO Zhao was reportedly in discussion to take over the Premier League club, but has since declined – Photo: Shutterstock

Bitcoin (BTC) was up by 8% in European morning as traders were relieved to learn that the US government under President Biden is planning to embrace cryptocurrency with its new strategy on digital assets rather than to crack down on its use.  

In a US Treasury press release statement issued today, Janet Yellen, Treasury secretary and Federal Reserve chair, said the strategy will support “responsible innovation” that “could result in substantial benefits for the nation, consumers and businesses”. 

Yellen added: “It will also address risks related to illicit finance, protecting consumers and investors, and preventing threats to the financial system and broader economy.

“Under the executive order, Treasury will partner with interagency colleagues to produce a report on the future of money and payment systems. We’ll also convene the Financial Stability Oversight Council to evaluate the potential financial stability risks of digital assets and assess whether appropriate safeguards are in place.

“And, because the questions raised by digital assets often have important cross-border dimensions, we’ll work with our international partners to promote robust standards and a level playing field.”

Short-betters, surprised by the rally, rushed to liquidate positions worth some $95m, with a whopping 88% of short positions closed, based on data from analytics tool Coinglass, as Coindesk reported.

Zhao rules out Chelsea Blues 

Meanwhile, Changpeng ‘CZ’ Zhao, Chinese-Canadian founder and chief executive of Binance – one of the world’s biggest crypto exchanges – has now abandoned any plans to buy the UK’s Chelsea Football Club (FC).

BTC/USD

67,552.90 Price
-0.370% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 106.00

ETH/USD

3,499.60 Price
-0.050% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00

SOL/USD

181.36 Price
-1.160% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 2.2652

DOGE/USD

0.14 Price
-1.920% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.0012872

Chelsea FC’s current owner, Russian oligarch Roman Abramovich, released a statement on 2 March announcing his intentions of selling off the club after 19 years of ownership, in part in response to increasing threats of sanctions, as he felt this would be “in the best interests of the club”. 

Abramovich has since pledged that net proceeds from sale will go to help Ukrainian victims: “I have instructed my team to set up a charitable foundation where all net proceeds from the sale will be donated. The foundation will be for the benefit of all victims of the war in Ukraine.”

As Zhao is currently worth over $100bn, according to Bloomberg, he would have been one of over a hundred wealthy candidates for taking over the leadership of the club from Abramovich.

However, despite having reportedly discussed a potential takeover with Ambramovich, he ultimately ruled out the deal, with a spokesperson close to him reportedly giving his reason as simply that running a football club is not “one of his priorities”. 

What is your sentiment on ETH/USD?

3499.60
Bullish
or
Bearish
Vote to see Traders sentiment!

Top coins by market capitalisation

As of 13:00 GMT, cryptocurrencies were trading as:

Winners and losers

  • Monero (XMR) and terra (LUNA) added 19.7% and 18.7% over the past 24 hours respectively. 
  • There are no losers among the major cryptocurrencies.

Markets in this article

BNB/USD
Binance Coin / USD
603.18 USD
-3.12 -0.520%
BNB/USD
Binance Coin / USD
603.18 USD
-3.12 -0.520%
BTC/USD
Bitcoin / USD
67552.90 USD
-253.6 -0.370%
ETH/USD
Ethereum / USD
3499.60 USD
-1.83 -0.050%

Rate this article

Related reading

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that Capital.com believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 630,000+ traders worldwide that chose to trade with Capital.com

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading