CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 82.67% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money

Crypto news: US government holds crypto mining hearing

By Daniela Ešnerová


Updated

Capitol Building, Washington DC
US government is due to hold an oversight hearing on ‘Cleaning Up Cryptocurrency: The Energy Impacts of Blockchains’ – Photo: Shutterstock

Bitcoin (BTC) was flat in London morning trading, with the overall cryptocurrency market adding 0.66% over the last day (as at 11:30 UTC).

Meanwhile, keen crypto market watchers are looking towards Capitol Hill in Washington, as the US government’s House Committee on Energy and Commerce’s Subcommittee on Oversight and Investigation is due to hold a hearing today on the energy impact of blockchain and cryptocurrency mining. 

Last year saw what came to be known as the great mining migration. In May, China – which until that point had been the world’s cryptocurrency mining capital – banned the practice. Many crypto miners moved to North America, and by mid-October, the United States claimed the top spot for miners, with 35.4% of Bitcoin’s hash rate taking place in the States, according to the Cambridge Centre for Alternative Finance.

DOGE/USD

0.37 Price
-3.200% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 0.0012872

SOL/USD

213.42 Price
-1.060% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 2.2652

XRP/USD

0.81 Price
-3.050% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 0.01168

BTC/USD

88,780.95 Price
+0.650% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 106.00

The price of bitcoin and the entire cryptocurrency market is vulnerable to mining bans. China’s announcement sent BTC plummeting at the time. More recently, at the beginning of 2022, an electricity outage in Kazakhstan coincided with a dip in the crypto market. Yesterday, the vice-chair of the European Securities and Markets Authority, Erik Thedéen, called for a blanket ban on energy-intensive, proof-of-work cryptocurrency mining in an interview with the Financial Times. His call has so far not sparked a notable market reaction, but Europe has never been a top destination for crypto miners. 

What is your sentiment on BTC/USD?

88780.95
Bullish
or
Bearish
Vote to see Traders sentiment!

Other crypto news

  • Self-proclaimed bitcoin inventor, Australian computer scientist Craig Wright, pushed back against a new trial against him requested by the estate of his late friend and collaborator, Dave Kleinman. Wright argues that attorneys for the estate, whose executor is Kleinman’s brother, Ira Kleinman, failed to object to alleged violations of a pretrial order barring the parties from discussing the relationship between Kleinman and his brother.
  • The US market regulator, the US Securities and Exchange Commission, has given out a total of some $2.35bn in fines against digital asset market participants since 2014, citing data provided by Cornerstone Research.

Top coins by market capitalisation

As of 11:30 UTC:

Winners and losers

  • FTX token (FTT), a native token of cryptocurrency exchange FTX, grew 9.76% over the last day and 14.48% over the last week.
  • Polygon (MATIC) and shiba inu (SHIB) lost 12.53% and 12.46% respectively over the last seven days.

Read more: Will the crypto market decline continue in 2022?

Markets in this article

BNB/USD
Binance Coin / USD
628.09 USD
-14.32 -2.250%
BNB/USD
Binance Coin / USD
628.09 USD
-14.32 -2.250%
BNB/USD
Binance Coin / USD
628.09 USD
-14.32 -2.250%
BTC/USD
Bitcoin / USD
88780.95 USD
577.55 +0.650%
ETH/USD
Ethereum / USD
3097.31 USD
-25.93 -0.830%

Related topics

Rate this article

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 660,000+ 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