NYDIG | Crypto

NYDIG’s Greg Cipolaro says AI could be a “general-purpose technology,” and its effects on the economy could be a boon for Bitcoin. Bitcoin could benefit if artificial intelligence disrupts labor markets or creates volatility that prompts central banks to ease monetary policy, according to Greg Cipolaro, research lead at crypto services firm NYDIG. Cipolaro said in a research note on Friday that AI may prove to be a “general-purpose technology” such as electricity, and the macroeconomic effects it would have on employment, economic growth and risk appetite will affect Bitcoin (BTC). “If AI-driven growth occurs alongside expanding liquidity and contained real rates, that backdrop can be supportive for Bitcoin,” Cipolaro said. “But if stronger growth lifts real yields, tightens policy, and reduces the need for monetary accommodation, Bitcoin may face headwinds.” Read more

Regulations must evolve for tokenized real-world assets to be better integrated with DeFi, so their immediate benefit won’t be significant, says NYDIG’s Greg Cipolaro. The tokenization of stocks won’t immediately be of immense benefit to the crypto market, but the benefits could increase if such assets are allowed to better integrate on blockchains, says NYDIG. “The benefits to networks these assets reside on, such as Ethereum, are light at first, but increase as their access and interoperability and composability increase,” NYDIG global head of research Greg Cipolaro said in a note on Friday. The initial benefits will be the transaction fees charged for using tokenized assets, and the blockchain hosting them will “enjoy increasing network effects” for storing them, Cipolaro added. Read more

The fire forced the facility to go offline to maintain safety, but none of the company's mining hardware was damaged in the incident. Greenidge Generation Holdings, a Bitcoin (BTC) mining company, disclosed that a fire broke out at its mining facility in Dresden, New York, where it co-hosts operations with mining company NYDIG. The fire broke out on Sunday due to an “electrical switchgear failure,” forcing the company to de-energize the entire facility, according to a Securities and Exchange Commission (SEC) filing. The fire did not damage the mining rigs, and the company said it would resume normal operations within a “few weeks,” without providing specific dates. Read more