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Hottest Crypto News of the Week: New British PM, Mining Bans, and Twitter Changing the Owner
Author: Mia
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In this series of articles, ChangeHero highlights and analyzes the most recent news affecting the crypto market as a whole and how it might influence our readers as well. The end of October 2022 appears to be tense and busy with announcements. So let’s dive right into it and see if there are any reasons to be optimistic or negative.

In Today’s Digest:

UK’s New Pro-Crypto PM

portrait of Rishi Sunak, UK flag, various cryptocurrencies
Source: AML Intelligence

The United Kingdom welcomes a new prime minister Rishi Sunak who replaced Liz Truss following her dramatic resignation. Sunak served as a finance minister for former PM Boris Johnson, and back then became known as a proponent for Central Bank Digital Currency (CBDC). Lately, he’s also been pretty vocal about turning the country into a crypto hub. Interestingly enough, his first days in the office overlapped with the UK’s House of Commons voting on recognizing crypto as a legitimate form of value.

Searching for Economic Stability with Crypto

From words to action: the UK Parliament is on its way to recognizing cryptocurrencies as a form of payment on the government level as the corresponding bill passes the first chamber of the parliament this Thursday, October 27.

What are the prospects?

The move may encourage retailers around the country to adopt stablecoin payments and even cause changes impactful for the global economy. The weight Rishi Sunak has on the G7 countries and his being a member of the World Economic Forum (WEF) means other countries may start following the same policy. So it will be not a surprise if more progressive frameworks are implemented in the next few years by other nations.

Why is it so important for crypto to be regulated?

Mass adoption depends on existing laws to win people’s trust, so they can come in and feel safe interacting with crypto. Beyond that, defining the legal status of cryptocurrencies may help blockchain technology advance even faster.

What are the concerns?

Questions surrounding the news include the fear of making “Digital Settlement Assets” a form of centralized payment presented as CBDC, devoid of privacy, leading to government surveillance and eventually having full control over residents’ spending. From here on, crypto in the UK either thrives or flops if approached improperly.

Crypto Mining and Energy Crisis

illustration with a GPU and miniature miner figurines
Source: Exabeam

The energy crisis caused by an unsettling political context strikes harder than ever, urging European countries to discuss cryptocurrency mining bans. This is already the case with Moldova which also restricted the import of mining equipment to its territory in addition to shutting down mining activities on a government level. According to Fortune, that causes abolishing-the-mining-sector-in-all-European-Union-countries concerns.

As might be expected, the crypto-mining domain severely depends on energy supplies. Hyperinflated gas prices in Europe now seem to be threatening Proof-of-Work blockchains. Will more blockchains become motivated to turn to energy-efficient paths? What will happen to Bitcoin?

The current situation with energy supply shortages could put some pressure on the Bitcoin price. Andrew Wiener, MEXC vice president shared with CoinTelegraph that Bitcoin mining should not be endangered by a decreasing number of miners until there’s an extreme global energy crisis. Hopefully, there will be none.

Elon Musk Officially Owns Twitter

illustration featuring CZ and Elon Musk
Credits: @binance Twitter

The world wakes up to a surprise today as Elon Musk officially seals a $44-billion deal and acquires Twitter. Let’s take some time and let that sink in (pun intended).

Shortly a few minutes after getting the “Chief Twit” title, Musk shed the first blood as he fires the CEO Parag Agrawal, and the head of law Vijaya Gadde (the one who was in charge of banning accounts).

This one must be the most-liked tweet ever:

Transforming Twitter

“I did it to try to help humanity, whom I love”, he said in a recent tweet, meaning eradicating Twitter’s cheap censorship games.

Doge Dramedy

Rumors and news surrounding Elon Musk and Twitter developing a digital wallet to allow crypto payments keep fueling the Dogecoin price. During the past week, DOGE price surged up to 36% and now sits at 8 cents per coin, while Bitcoin holds slightly above $20k for the last two weeks.

Dogecoin 7-day price chart
Dogecoin, 7-day Chart / Source: CoinMarketCap

Need we say that the Dogecoin community is super hyped?

Final Thoughts

At the end of the day, we have a troubled cryptocurrency mining situation on the one hand and heightened demand for digital assets on the other. The global economic crisis makes more countries take a serious approach toward adopting cryptocurrencies, which may potentially compensate for mining losses. So we can only watch how it eventually plays out. At least, Twitter seems to be in good hands!

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