Xapo Among 30 Cryptocrrency Firms Expanding to Crypto-Friendly Gibraltar

  • Gibraltar has progressive fintech regulations and about 30 cryptocurrency companies are “going through the regulatory process to be licensed.”
  • Crypto cold storage firm Xapo is leading the charge by “expanding operations” in the British territory.

Crypto-centered companies like Xapo, which reportedly manages $10 billion worth of Bitcoin for its clients, are planning to run their operations in the British territory of Gibraltar. Xapo’s chief executive, Wences Casares, recently discussed his company’s plans to “expand operations” in the headland with Albert Isola, Gibraltar’s Commerce Minister.

Isola told Bloomberg:

“We had a good session with Xapo about their plans to expand operations in Gibraltar. About 30 firms are going through the regulatory process to be licensed.”

Albert Isola

Many consider Gibraltar and Malta to have a crypto-friendly environment. Currently, Xapo is authorized to provide financial services in Gibraltar and it’s reportedly going through the process of acquiring other business licenses.

Xapo, a “cold storage” service provider, is known to have set up a geographically dispersed network, which consists of a number of underground vaults spanning five continents. Notably, the firm has a decommissioned military bunker in Switzerland for storing its clients’ cryptocurrencies.

The company also used to provide crypto debit cards to its customers before they were canceled by Visa over regulatory concerns. Casares himself is notably a bitcoin bull, who’s in the past argued one BTC will be worth $1 million.

Gibraltar Is Turning Into a Crypto Hub

The British territory appears to be leading the charge when it comes to creating regulations for cryptocurrencies. In January 2018, it introduced the Digital Ledger Technology Framework, which aims to help cryptocurrency companies establish their business there. Initial coin offering (ICO) regulations are reportedly being developed, and are set to be introduced in October.

Per Gibraltar’s authorities, social trading and brokerage firm eToro is in the final stages of being registered as a crypto business. It will reportedly be operating in compliance with Gibraltar’s new regulatory framework for blockchain-related companies. As reported, eToro is also expanding its crypto services to US investors.

Amazon Stock (AMZN) Stalls as VP Quits Over Whistleblower Firings

Colin Muller

Amazon’s stock (NASDAQ: AMZN) is taking a break after last week hitting a new all-time-high, amid the fallout of a recent row associated with potential neglect of Amazon workers’ health during the COVID-19 pandemic.

The upshot of this fallout is that Amazon’s web services VP, Tim Bray, has quit, in response to the firing of two leaders of an Amazon workers’ organization who were enquiring about protection for workers from the COVID-19 virus.

The other piece of news, coming just before Bray’s departure, was Amazon’s earnings report. One of the few enterprises well placed to thrive in a COVID-19 world, Amazon reported a windfall sales increase of 26%.

The e-commerce giant also stated its intention to heavily invest in worker health with Q2 profits, and to increase capacity for the surge in demand for home-delivered goods including food.

On April 30, Amazon stock price eeked in a new all-time-high of $2,470. But since these events (April 30 - May 1), AMZN has fallen about 6% in total. It seems likely that the negative press has affected the stock price somewhat.

6% fallAMZN chart by TradingView

This fall is completely reasonable, as a simple correction from the highs. At this point, the market has had a couple of days to ingest both the earnings report and Tim Bray’s departure.

$2,200 an important levelAMZN chart by TradingView

We should look for Amazon to hold a price of $2,200, in order to remain stable near its new highs. If it cannot hold up there, we might consider a stronger correction in order. As CryptoGlobe reported, JP Morgan Chase recently raised its price target for Amazon stock to $3,000.

JPMorgan's update projections see it match Goldman Sachs and Susquehanna as the biggest bulls in Wall Street for the e-commerce giant. All three firms see AMZN shares hit $3,000 in the future.

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