Trump’s Hormuz Strait Toll Warning Triggers 3% Bitcoin Slump
As U.S.-Iran tensions flare up again, Bitcoin (BTC) has fallen alongside New York stock markets.
As of 10:00 a.m. (Korean time) on Tuesday, the South Korean Bitcoin price on Bithumb dropped 2.97% from the same time yesterday to 92.56 million KRW (approximately 62,108 USD).
Internationally, CoinMarketCap data shows Bitcoin price fell 2.45% to 62,420 USD during the same period.
Former President Donald Trump announced plans to reinstate a blockade on vessels traveling to and from Iranian ports in the Strait of Hormuz.
He also proposed charging a 20% toll on cargo aboard ships in exchange for U.S. military protection of civilian vessels passing through the strait. This news sparked a sharp decline in New York markets, with the Nasdaq Composite Index closing down 1.55%.
Hawkish comments from Federal Reserve officials also appear to have dampened investor sentiment.
On Monday, Fed Governor Christopher Waller suggested in a public speech that short-term interest rate hikes might be necessary if core inflation continues to rise.
Bolivia Explores Tether as Solution to Dollar Shortage
Bolivia is considering adopting Tether (USDT) to address its ongoing dollar shortage crisis.
The plan would treat USDT as a third currency alongside the Bolivian boliviano and the U.S. dollar.
On Monday, Economy Minister José Gabriel Espinoza revealed plans to integrate USDT for payments, savings, and trade.
He added that they are reviewing anti-money laundering (AML) regulations to support this initiative. Bolivia is currently on the Financial Action Task Force’s (FATF) gray list.
Hyundai Motor’s U.S. Subsidiary Completes Tether-Based Fund Transfer to Mexican Branch
Hyundai Motor’s U.S. and Mexican subsidiaries have successfully completed a cross-border remittance trial using Tether (USDT).
On Monday, Tether reported that Hyundai’s U.S. unit converted funds to USDT, transferred them to Hyundai Mexico, which then converted the funds back to U.S. dollars.
The transaction was settled on the Avalanche blockchain. The entire process, from remittance to verification, took about seven minutes, significantly faster than the typical 3-4 hours required for traditional international bank transfers.
Coinbase Ventures Leads in Crypto Investments for First Half of Year
Coinbase Ventures, the venture capital arm of the largest U.S. cryptocurrency exchange, has emerged as the most active investor in the crypto sector for the first half of this year, closing 30 investment deals.
According to data released on Monday by crypto analytics firm CryptoRank, Coinbase Ventures topped the list of crypto VC investments, followed by Animoca Brands with 19 deals. Silicon Valley heavyweight Andreessen Horowitz (a16z) secured the third spot.
Overall investment activity has slowed considerably due to the crypto market downturn. In June, crypto companies raised a total of 1.4 billion USD, a 63% decrease from April’s 3.8 billion USD.