First time reading? I’m Jordan, and this is The Bitcoin Minimalist. Every Tuesday & Thursday, we scour 100s of sources to bring you need-to-know Bitcoin insights.

Today we’re covering:

• El Salvadore’s portfolio increases 69%,

• Biden administration proposes mining tax,

•  37% increase in Lightning Network’s USD capacity,

• And everything else you need to know.

—Jordan

STRATEGIC SURGE

MicroStrategy Buys 12,000 More BTC, Now Holds 205,000 BTC

MicroStrategy's Expanding Bitcoin Holdings: MicroStrategy has completed a $800 million note offering to acquire an additional 12,000 BTC. As of now this means Microstrategy holds 205,000 BTC. The most recent purchase was made at an average price of $68,477 per BTC.

Strategic Investment: Led by Michael Saylor, MicroStrategy has invested $6.91 billion in Bitcoin at an average price of $33,706 per coin.

WHAT WE’RE WATCHING

📈 Grayscale files for a "mini" spot Bitcoin ETF, aiming to offer non-taxable exposure to Bitcoin. The new trust, independent of the main GBTC fund, will be listed on the NYSE and distribute shares to GBTC shareholders. This move coincides with Bitcoin hitting a new all-time high.

📈 Bitcoin miner revenue reached a record high of $68.35 million over the weekend as Bitcoin's price surged. The Bitcoin’s value has risen over 230% in the past year, surpassing the 2021 peak with a record price of $72,711 set on Monday. Miners have invested over $1 billion in rigs, anticipating the April halving event.

📈 Bitcoin's market cap surpasses silver, reaching $1.42 trillion. This now makes Bitcoin the eighth most valuable asset globally. Positive momentum from BTC Spot ETFs drives robust price action. Bitcoin's next target is Alphabet, with sights set on gold, requiring a tenfold increase to surpass gold's $14.7 trillion market cap.

📉 BlackRock and Fidelity's spot bitcoin ETFs have captured 69% of the market share. Grayscale's market share fell to below 20%, while BlackRock and Fidelity's ETFs combined for almost 80% of assets under management, excluding Grayscale. Grayscale's higher fees may contribute to the shift in market share.

📈 The London Stock Exchange (LSE) will accept applications for Bitcoin exchange-traded notes (ETNs). This is a part of the LSE’s efforts to expand offerings and provide investors with exposure to BTC. The proposed ETNs will be physically backed and held in cold storage, catering to the growing demand for BTC investments.

🚀 El Salvador's Bitcoin investment yields a $84 million profit, with a 69.09% increase in portfolio value. President Bukele's diverse Bitcoin revenue streams and pro-crypto policies, including expedited citizenship for Bitcoin donations, bolster the nation's economic advancement.

TAXING TIMES

Biden Proposes 30% Tax for Bitcoin Miners

Biden's Crypto Mining Tax Proposal: President Biden's administration proposes a 30% tax on electricity consumption by Bitcoin mining firms. This move aims to address supposed “environmental concerns”. The tax will be introduced over three years, starting at 10% and reaching 30%.

Environmental and Industry Impact: The tax aims to reduce the environmental degradation caused by energy-intensive bitcoin mining. Critics, however, argue it could hinder the growth of the US Bitcoin mining industry, with some suggesting alternative motives behind the proposal.

Political Perspectives: The proposal contrasts with Donald Trump's more open approach to crypto. Trump opposes central bank digital currencies (CBDCs) and has shown adaptability to Bitcoin, indicating differing views on digital currency regulation between political figures.

POLL

TUESDAY’S POLL RESULTS

Will another major public company purchase Bitcoin in 2024?

👍 Yes - 97.7%

👎 No - 2.3%

👍 Yes - “Saylor has demonstrated the Bitcoin standard is the only standard. Models demolished. Up to the right forever.” - Marc

👎 No - “I don’t think a major company will purchase Bitcoin this year but I think that several large pensions will begin allocating to enhance returns” - Chris

IN THE LOOP

⚡ The Lightning Network's USD capacity has surged by 37% to a record high of nearly $325 million, despite a 5% decrease in Bitcoin capacity. Lightspark's CEO, David Marcus, highlights the importance of infrastructure development to support larger transactions.

📉 In China, citizens are forming massive lines to buy gold to preserve wealth amid economic decline. The rush to gold raises the question: How long until they turn to Bitcoin as an alternative?

⚡️ Swiss-based Bitcoin-only app Relai integrates Blockstream Greenlight for Lightning payments. This development will enable 100,000 users to make low-cost Bitcoin transactions with self-custody. The move enhances security and privacy, maintaining control over private keys.

🏭 Canadian Bitcoin miner Bitfarms has acquired an additional 51,908 ASIC miners as Bitcoin's price soars above $72,000. This purchase is expected to increase Bitfarm’s hash rate to 21 EH/s, representing approximately 3% of the Bitcoin network's processing capacity. The expansion comes amid a bullish market for Bitcoin, with Bitfarms aiming to strengthen its mining operations.

VIDEO

Discover Trump's surprising shift on Bitcoin! In a recent CNBC video, Trump appears bullish on Bitcoin’s benefits and usefulness. However, some remain skeptical of his support, citing past challenges with his administration.

CHARTS & DATA

36 - The number of estimated days left until the 2024 Bitcoin halving. The Bitcoin block reward will drop from 6.25 to 3.125 BTC per block.

12% - The % of the total bitcoins now held in known Bitcoin treasuries.

$68,000 - The approximate estimated price of Stock to Flow Version 1. Bitcoin is now at around $72,000, which means it has passed the stock to flow estimated price. This model predicts a price of around $570,000 1-year after the halving.

MORE FROM OUR COMPANY

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Bitcoin Treasuries: Track all companies/ETFs/countries holding Bitcoin on their balance sheets.

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Halving Clock: Track the countdown to the Bitcoin halving with our Bitcoin halving clock.

Bitbo Charts: Useful Bitcoin charts, featuring on-chain metrics and other Bitcoin analysis.

Bitbo Dashboard: View live price action, monitor on-chain data, and track key economic indicators - all for free.

TradingView Indicators: Bitbo offers exclusive Bitcoin TradingView indicators for our most popular charts.