Kimchi Spreads, ‘Rat Poison,’ Shape Shifts: What You Need to Know in Crypto Today

Good afternoon, readers: Bitcoin hit a fresh all-time high above $35,000 while former Bakkt CEO Kelly Loeffler lost her U.S. Senate seat. Meanwhile, a major Ripple investor filed suit against the fintech and Shapeshift is converting to a decentralized exchange.

Top shelf

Rat poison?
Echoing Warren Buffett’s infamous line that bitcoin is “rat poison squared,” heavyweight investor Bill Miller said that could be true, but “the rat could be cash.” In his Q4 newsletter Miller went on to say inflation is likely in the U.S. due to unprecedented fiscal and monetary stimulus, and that bitcoin could provide a way for companies to avoid devaluing their balance sheets.

State action
A ban on crypto derivatives trading went into effect today in the U.K. The nation’s financial regulator, the Financial Conduct Authority (FCA), said these products are ill-suited for retail consumers due to their outsized risks when introducing the legislation in October, while industry voices think the measure is overwrought and favors institutional investors.

Shifting shape
ShapeShift is going decentralized in a bid to get rid of its know-your-customer (KYC) rules. The Colorado-based non-custodial exchange is now routing orders through decentralized finance (DeFi) applications and phasing out its centralized exchange.

Quick bites

  • NEW ORIGIN? Origin is relaunching its yield-generating stablecoin following a November attack that drained OUSD holders of $7 million. (CoinDesk)
  • YIELD FRONTIER: David Hoffman makes the case that Ethereum is the last bastion for yield. (CoinDesk – op-ed)
  • PRICE APPRECIATION: Ethereum enters top 100 of world’s largest assets, joining bitcoin, gold and silver, as well as companies like Saudi Aramco. (Decrypt)
  • RENT SEEKER? Who said you can’t spend crypto? Redditor sells free Moon tokens to pay rent. (Cointelegraph)
  • PAGE SIX: Who gets Custody of Kim Kardashian’s bitcoin in the divorce? (Decrypt)

Market intel

Korean spreads
The “kimchi premium,” the spread between South…

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