It’s Impossible to “Kill” or Overregulate Crypto without Inflicting Pain across All Markets.

Bitcoin is associated with many digital and fintech firms that compose a substantial part of the market capitalization of Nasdaq. The current market correction, which we believe, is near its reverse point, unequivocally leads to a significant risk of a steep correction in Nasdaq, which is unlikely to occur. But it is profoundly Nasdaq’s bearishness that leads to periods of broad market corrections. So there is little risk that certain groups of big investors would be able to undermine the stability of the crypto sector as a whole without disrupting the entire high-yield investing environment, which is, again, a very unlikely scenario.

According to Finance.Yahoo! There are at least some 15 major Nasdaq-listed companies having various degrees of involvement in Bitcoin (BTC) and other cryptocurrencies. They clarified their selection saying that “This list tracks publicly traded, non-cryptocurrency companies that have some level of exposure to crypto, either through investments, partnerships, or side ventures”. Yahoo Finance also promised to update this list as new companies enter the crypto space. Strangely enough, one of the biggest and most apparent Bitcoin beneficiaries, Tesla Inc. (TSLA) was omitted from that list. Let’s see what they offer:

Now let’s turn to the situation with Tesla. Tesla recently reported that its Bitcoin holdings remained unchanged at $1.26 billion in Q4 2021. In Q3 2021, Tesla also did not add nor reduce its Bitcoin holdings but was required to report a $51 million impairment to reflect the mark-to-market change in the cryptocurrency. Relative to the total company’s sales and market capitalization, that amount may look negligible, but given the presence of open EV declaration and high level of personal involvement in the crypto industry of Tesla’s CEO, Elon Musk, we don’t see a reason why Tesla should be forgotten in this respect.

Another important member that is clearly involved in the crypto industry, but was not included in the original list is Coinbase (COIN). Coinbase Global, a top cryptocurrency trading exchange, made its IPO debut in April 2021. The company is a popular platform to purchase major cryptocurrencies such as Bitcoin, Ethereum (ETH), and Cardano (ADA), and it allows users to trade more than 50 altcoins.

To date, this crypto trading platform’s success has been contingent upon the increase in crypto prices – which, in turn, has led to millions of new users creating accounts. Coinbase earns a small transaction fee every time someone places an order to buy or sell a cryptocurrency, but the world’s largest official crypto exchange aspires to be more than just a crypto broker. Recently, it co-issued a debit card that allows consumers to spend from the balance in their digital wallet. What’s more, it launched a cloud platform for companies using and storing digital currencies.

Coinbase offers two game-changing innovations. The first is bringing the practice of asset loans – which is now an apparent epicenter of stable crypto earnings and were previously only available to affluent investors. Users can collateralize their Bitcoin or other cryptocurrencies on the platform or receive a crypto loan to cover their living needs. This way, investors don’t have to sell their assets when emergencies arise, allowing their principal to continue compounding while they deal with matters at hand.

The above chart illustrates the main thesis of this article: crypto integration into global markets reached the point where all markets become heavily interconnected. Therefore, no matter what some sources or institutions say, it’s impossible to affect one without inflicting a substantial impact on all other ones.