State of Current Affairs for Digital Assets: Q1 2021
Bitcoin has reached several all-time highs in 2021, primarily driven by economic uncertainty in regard to the pandemic and concerns of inflation triggered by large amounts of economic stimulus. Initially, the push was driven by a large amount of institutional investment and greater accessibility of Bitcoin, such as with PayPal offering crypto trading to a massive and previously largely untapped user base. As time has passed and the bull run has continued, though, its tenor has changed. For example, Grayscale, one of the largest forces behind the institutional investment force has tapered off their purchase of coins, but this has been compensated for by a huge surge in retail investment. Over the past twelve months, Bitcoin holdings have increased on Binance by 38%, much of it occurring in 2021. Binance is also outpacing Coinbase signups by a factor of 5, as the sensational price highs have spurred a vast amount of activity and interest in Bitcoin.