Developer Accidentally Burns $10M Solana amidst Meme Mania; Qatari Bitcoin Investment Unlikely; Bitcoin ETF Inflows Dip by 80%
Summary:
Amidst the memecoin craze, a developer accidentally burned $10 million worth of Solana but still launched the memecoin Slerf, which reached a $500 million market cap within hours. Meanwhile, despite ongoing rumors, Qatar's Investment Authority likely has no plan to invest in Bitcoin, according to a local finance executive. Additionally, uncertainties in the market have impacted Bitcoin ETFs, leading to an 80% reduction in net inflows. The declining nature of inflows is attributed to market volatility, regulatory uncertainties, and anticipation of the Federal Open Market Committee meeting's decisions on future interest rates.
In a surprising turn of events, a developer found himself a part of the meme mania, after unintentionally destroying Solana worth over $10 million. However, the mistake wasn't a total loss for him. Meanwhile, Bitcoin (BTC) investment doesn't seem to be the immediate goal of the Qatari sovereign wealth fund, an executive in finance based in Qatar revealed to Cointelegraph. Market instability has negatively influenced Bitcoin exchange-traded funds, leading to an 80% reduction in net installed inflows.
Slerf, one memecoin, has piqued the interest of the cryptocurrency domain. The genesis of the incident is related to the project's creator, who erroneously destroyed more than $10 million of Solana prior to the project's debut. Despite this setback, a market cap of $500 million was achieved by the memecoin only a few hours after its introduction. While preparing for the memecoin launch, the developer accidentally incinerated SOL tokens worth $10.4 million in an attempt to empty his wallet.
Resemblances are being drawn between the current memecoin mania and the 2017 Ethereum initial coin offering (ICO) bubble. During that period, several cryptocurrency projects secured millions, but many failed to deliver on their promises.
Contrary to persistent speculation, the Qatar Investment Authority (QIA) might not have Bitcoin investment in their plans, says a high-ranking financial executive. According to information obtained by Cointelegraph, Shadi Qishta, Kown Capital CFO, expressed doubts over QIA's future Bitcoin investments, given their diversified investment approach and risks that need to be mitigated across different asset classes, sectors, and regions.
Qishta further explains that despite the worldwide fame of digital currencies, their adoption in Qatar remains limited among the general population. Following the successful initiation of spot Bitcoin ETFs in America, there has been a surge in rumors regarding Qatari interest in Bitcoin.
On March 14, US-based spot Bitcoin (BTC) exchange-traded funds (ETFs) experienced their lowest net installment day of a mere $132 million. This was the smallest amount in the last eight trading days and a massive drop from 80% from the day before. The sequential drop was the second one in as many days. On March 12, an unprecedented $1.05 billion inflow was witnessed in a single day.
The overall capital going into ETFs stood at $390 million as of March 14. The Grayscale Bitcoin Trust ETF (GBTC) recorded another $257 million in outflows, reducing the net inflows to $132 million. On the same date, the VanEck Bitcoin Trust ETF and Fidelity’s Wise Origin Bitcoin Fund registered inflows of $13.8 million and $13.7 million, respectively. Despite GBTC witnessing a noteworthy outflow, net flows remained positive.
Speculators in the market believe factors like market fluctuation, regulatory uncertainties, and global economic issues are making investors more cautious. They point to the Federal Open Market Committee meeting happening next week as an added factor influencing the current downward trend. The meeting could give investors insights into the Federal Reserve's future plans regarding interest rate revision.
Please note that this article doesn't feature any advisories or suggestions for investing. Any decisions concerning investments or trading should be made after conducting thorough research due to the associated risks. Geraint Price, Sam Bourgi, and Felix Ng contributed additional data for this report.
Published At
3/18/2024 4:03:52 PM
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