“We really are back,” exclaimed Bitcoin investor Aubrey Strobel.
Last week was a celebratory “I said so” moment for Strobel and his colleagues, as Bitcoin topped $70,000 for the first time, marking a remarkable recovery from the crash just a year ago.
And New York City is poised to become the center of the industry, according to more than two dozen crypto evangelists interviewed by the Post.
Patrons at Pubky, Greenwich Village’s bar by and for Bitcoin enthusiasts, were enjoying themselves on a recent Tuesday night.
“Bitcoin is basically the digital version of gold,” Samir Tabar, CEO of BitDigital, which owns a publicly traded Bitcoin miner, told the Post. “Bitcoin has taken over, and will continue to take over, what gold once represented: a scarce commodity used to hedge against inflation. For baby boomers, it’s a sign that their kids were right. I think that’s a tough thing to accept.”
All of the new money flowing into Bitcoin is also thanks to the Securities and Exchange Commission’s approval of ETFs in January. The ETF is a mutual fund-like investment vehicle that trades on traditional exchanges like stocks and gold, offering customers an $11 investment amount. Large corporates like Fidelity and BlackRock have exposure to Bitcoin.
Bitcoin’s all-time high last week was an exponential rise from January 2020, when it could be purchased for just $7,000, and after the digital coin rose to $68,000 in November 2021. That’s an exponential increase compared to last year, when it dropped to less than $17,000.
Investors like Meredith, a 68-year-old retiree from Brooklyn, say there’s value in volatile markets. She first bought it around 2019, when the price of Bitcoin was $10,000.
“My colleagues invest traditionally, and I wish more people my age would include it in their portfolios,” said Meredith, who asked that her last name not be used. Told. “FOMO is real!”
As Wall Street giants pour billions of dollars into Bitcoin, it’s giving the cryptocurrency a much-needed adult makeover and pushing New York City to the forefront.
“Bitcoin is entering the world of traditional finance, and New York City is the financial capital,” said Anthony Pompliano, an early cryptocurrency investor who has held on to Bitcoin through volatility. he said. “The capital of Bitcoin is now New York City.”
And the velocity of money flowing into the fund is not only continuing, it’s accelerating. analysis From Alex Thorne, Head of Corporate Research at Galaxy.
But even before the ETF was approved earlier this year, venture capitalists, founders and groupies were setting up shop in the city.
Mr. Pompliano, who has a devoted following on social media, left New York City for Miami in 2020 but returned last year as Manhattan remains a financial hub.
“New York City and Miami have different strengths. Miami can save you 10% in taxes, but we felt New York could help as well. [grow] Our profits will increase tenfold,” he added.
Mayor Francis Suarez said,US Crypto Capital Or the world’s digital currency MiamiCoin has fallen 99% since 2021. And FTX Arena, home of the Miami Heat, has been renamed Caseya Center, after the famous cryptocurrency exchange and a local software company. went bankrupt and its founder, Sam Bankman Freed, was convicted of defrauding investors.
Strobel said he has held on to the digital coin through highs and lows and has seen believers and advocates flock to New York City.
“New York has embraced what San Francisco used to offer: venture capitalists and crypto startups looking to incubate here. So many companies are being born here,” says Pubky Studio. said Strobel, who is also the host of the podcast “The Aubservation.” “We have electricity and energy.”
Stefano Giovannini
Pubkey is at the center of New York’s cryptocurrency renaissance. The bar’s name refers to the “public key”, which is a special code needed to access Bitcoin. And yes, you can pay for your drinks with Bitcoin.
On any given night, billionaire and Galaxy Digital founder Mike Novogratz might be speaking on a panel, a crypto fund might be renting the space for an event, or there might be a bar above the bar. Someone might be recording a podcast in the studio downstairs.
Capital markets lawyer, early employee at Bitcoin incubator Fidelity Labs, founder of a digital asset hedge fund, architect of New York University’s Stern College crypto syllabus before joining Bar in 2022 with Greg Minassian and Andrew Newman Thomas Pacchia, who opened it, said we’re looking. Revitalization of virtual currency in New York.
“Our first group of customers were crying in their beers when we opened. Some had invested in FTX and lost money,” he told the Post. “Business is picking up right now and we’re seeing a lot of people coming back to the city. ETFs have helped.”
He also sees a much more diverse crowd than just the 20-something crypto bros who were pushing digital coins a few years ago.
Representatives from the Human Rights Foundation are participating in multiple events as they embrace the technology as a way to circumvent corrupt governments and give people more economic power. Pakia is also seeing artists, retirees and teachers starting to stop by who want to learn more about Bitcoin.
He added that Larry seems to be showing longevity and maturity this time around.
“Last time there was a mania around NFTs and meme coins…people were hurt,” Strobel said. “I didn’t like that people associated Bitcoin with it.”
NFTs (non-fungible tokens) are unique files that reside on a blockchain and are used to indicate ownership of digital art. For a while, they seemed like a cheap money grab at times, with everyone from Madonna to Logan Paul doing their own promotions.
After digital artist Beeple sold an NFT in March 2021, NFTs skyrocketed from oblivion (only 100 sold in 2017) to obsession, with over 1.5 million sold in a single month in 2021 of NFTs were sold. 40 billion dollars It’s at the top.
But since then, about 95% of people who have purchased NFTs (an estimated 23 million people) have“Investment” becomes worthlessaccording to a report by cryptocurrency research firm dapp Gambl.
2 million people lost money investing in virtual currency, According to research firm Stormgain. According to research by Comparitech, approximately $27 billion has been lost to NFT and crypto fraud alone, with some buyers suffering losses. lost their life savings.
But EFT shows that “this is a renaissance in Bitcoin, and we’re restoring confidence in the space,” Strobel said.
Pacchia said he has recently sold several more “whales.” A $100 signature cocktail made with Ichiro Malt Whiskey, Grain Whiskey, Barolo Chinato, and Chartreuse VEP Verte, named in honor of the market-moving large Bitcoin holder. The drink must be purchased with Bitcoin and comes with a T-shirt and pin.
However, a point of contention among crypto enthusiasts is New York’s BitLicense, which requires companies to obtain a BitLicense to buy and sell digital currencies within the state.Obtaining a license – can be expensive $100,000 According to CoinDesk, costs are prohibitive for many startups.
While New York faces challenges when it comes to regulation, other cities have their own issues as well.
According to several chatty Pubkey patrons, cities like Austin and Nashville, both located in states with no income taxes, are a magnet for Bitcoin enthusiasts, but like New York, it takes a lot of money to build out an entire ecosystem. It is said that there is no scale..
Interestingly, Pacchia says only 5% of customers at his bar choose to pay with Bitcoin.
“Of course, most Bitcoiners don’t want to spend anything,” he pointed out. “They just want to save money.”
Introducing New York’s Cryptocurrency Champions
name: Brandon Dixon, 24 years old
Profession: finance
neighborhood: Hoboken, New Jersey
When did you purchase virtual currency? “I bought Bitcoin and Ethereum in 2022. I fell down the rabbit hole when I was at Penn State University. I was introduced to it in class and read the Bitcoin whitepaper with interest. This Once I realized the potential of the technology, I was confused that it wasn’t talked about more.”
How much was it?? Approximately $20,000
Is New York a cryptocurrency capital? “It is possible, but we need to further strengthen virtual currency forward regulations.”
name: Rain Wu, 31 years old
Profession: Predx.ai CEO (founded AI/Web3/encryption company)
neighborhood: Journal Square, New Jersey
When did you purchase virtual currency? “Bitcoin in 2020. I was interested in decentralization and wanted to learn more.”
How much was it?? “It’s about $9,000.”
Is New York the center of cryptocurrency? New York City is a great place for cryptocurrencies. It takes technology and marketing to make it a hub. San Francisco had all the technology, not enough marketing. New York has both. ”
name: Mark, mid 50s
neighborhood: riverdale, bronx
Profession: media
When did you purchase virtual currency? “I bought Bitcoin in 2012. I lurked on forums, went on Twitter, and fell down rabbit holes. Early Bitcoiners are like early Christians, very passionate.
How much was it? between $10 and $20
Is New York a cryptocurrency capital? “I hope there is no true center of cryptocurrencies because the core of cryptocurrencies is contradictory.”
name: Meredith, 68 years old
neighborhood: brooklyn
When did you purchase your virtual currency? “I bought Bitcoin in 2019. I read ‘Digital Gold’ and believe Bitcoin has great potential as a future and store of value. I was excited from the beginning. I did.”
How much was it? Approximately $10,000
Is New York the center of cryptocurrency? “New York is the focus. People are very engaged.”
