Crypto & Blockchain Daily Brief Friday, May 9, 2025

Arizona and Texas are both considering legislation that would allow state residents to pay their taxes using Bitcoin. In Arizona, a bill has been introduced that would enable taxpayers to use Bitcoin or other cryptocurrencies to fulfill their state tax obligations. This move follows a similar bill that was introduced in Texas, where lawmakers are also exploring the option of accepting Bitcoin for tax payments. The bills in Arizona and Texas aim to make it easier for residents to pay their taxes by giving them the option to use Bitcoin, which is becoming increasingly popular as a form of digital currency. By allowing tax payments in Bitcoin, the states hope to attract more tech-savvy residents and businesses. In addition to making it more convenient for taxpayers, the bills also aim to benefit the states themselves. By accepting Bitcoin for tax payments, Arizona and Texas could potentially increase their Bitcoin reserves, which could prove to be a wise financial move given the cryptocurrency's growing value. While the bills are still in the early stages of consideration, they have already sparked interest and debate among lawmakers and residents. If passed, Arizona and Texas would join a small but growing number of states that accept Bitcoin for tax payments, including Ohio and Georgia. Overall, the bills represent a significant step towards mainstream adoption of Bitcoin and other cryptocurrencies as a legitimate form of payment. As the popularity and value of Bitcoin continue to rise, it is likely that more states and governments will explore similar initiatives in the future.

Coinbase, a major cryptocurrency exchange platform, has acquired Deribit, a leading derivatives exchange, for nearly $3 billion. This acquisition marks Coinbase's entry into the fast-growing cryptocurrency derivatives market. Deribit is known for offering a wide range of options and futures contracts, and it has established a strong presence in the cryptocurrency derivatives space. By acquiring Deribit, Coinbase aims to expand its offerings to include cryptocurrency derivatives and enhance its position in the market. The acquisition of Deribit by Coinbase is a strategic move that allows the exchange to tap into the growing demand for cryptocurrency derivatives trading. Derivatives have become increasingly popular among traders and investors looking to hedge their positions or speculate on the price movements of cryptocurrencies. By acquiring Deribit, Coinbase can now offer its customers access to a wider range of trading products, including options and futures contracts. The acquisition of Deribit by Coinbase is also expected to benefit both companies in terms of growth and market expansion. Coinbase, being a well-established cryptocurrency exchange platform, can leverage its resources and expertise to help Deribit further grow its business and reach a larger customer base. On the other hand, Deribit's strong presence in the derivatives market can help Coinbase diversify its offerings and attract more traders to its platform. Overall, the acquisition of Deribit by Coinbase represents a significant development in the cryptocurrency industry. It highlights the increasing interest in cryptocurrency derivatives and the efforts of major players like Coinbase to expand their presence in this market. By acquiring Deribit, Coinbase is positioning itself to capitalize on the growing demand for cryptocurrency derivatives trading and strengthen its position as a leading cryptocurrency exchange platform.

Arizona has become the first state in the United States to pass a law allowing its residents to pay their taxes with cryptocurrencies. The law mandates the state government to accept cryptocurrencies like Bitcoin, Ethereum, and other major digital currencies as a form of payment for income tax. The payments would be converted to US dollars within 24 hours of receipt. This move by Arizona is seen as a step towards embracing the growing popularity of cryptocurrencies and blockchain technology. The law aims to provide more options for taxpayers to pay their taxes and to attract new businesses to the state. Additionally, it is expected to streamline the payment process and reduce transaction fees for taxpayers. The law also establishes a "study group" to explore the feasibility of using cryptocurrencies to pay state income taxes, and to identify any potential risks or benefits associated with this form of payment. The study group will report its findings to the Arizona State Legislature by the end of 2021. Overall, Arizona's decision to allow tax payments in cryptocurrencies is considered a progressive move that could set a precedent for other states to follow. It reflects a growing acceptance of digital currencies as a legitimate form of payment and signals a shift towards a more blockchain-friendly regulatory environment in the United States.

The article discusses Bitcoin's current price surge, indicating that the cryptocurrency is on track to reach $100,000 for the first time in months. Bitcoin has experienced a significant increase in value over the past week, with its price climbing above $62,000. The rise in price is attributed to several factors, including positive news from PayPal allowing users to withdraw cryptocurrency to third-party wallets, which has boosted confidence in Bitcoin. Additionally, the recent approval of a Bitcoin exchange-traded fund (ETF) in Brazil has contributed to the positive sentiment surrounding the cryptocurrency. Market analysts are optimistic about Bitcoin's potential to continue its upward trajectory, with some predicting that it could reach $100,000 in the near future. However, they also caution that there may be short-term price corrections along the way due to market volatility. Despite these potential fluctuations, the overall outlook for Bitcoin remains positive. The article highlights the growing interest in Bitcoin as an investment asset, with more institutional investors and companies embracing the cryptocurrency. This increased adoption is seen as a key driver of Bitcoin's price surge and indicates a shift towards mainstream acceptance of digital assets. Overall, the article suggests that Bitcoin's current price momentum could propel it to new heights, with the $100,000 price target seen as a realistic possibility in the coming months.

Standard Chartered, a multinational banking and financial services company, predicts that Bitcoin is on the brink of reaching a new all-time high. According to the bank's research, Bitcoin's price is likely to surge past its previous peak of $64,895, which was recorded in April 2021. The report suggests that various factors, such as increasing institutional adoption, regulatory clarity, and growing interest from retail investors, are contributing to Bitcoin's upward momentum. Standard Chartered highlights the significant inflows of institutional capital into the cryptocurrency market, indicating a shift in perception among traditional financial institutions towards digital assets like Bitcoin. The bank also notes the recent regulatory developments in the crypto space, such as El Salvador's decision to adopt Bitcoin as legal tender and the increasing acceptance of cryptocurrencies by mainstream financial institutions. Moreover, the report emphasizes the growing interest in Bitcoin among retail investors, driven by factors like inflation concerns, economic uncertainty, and the desire for portfolio diversification. These factors, combined with the limited supply of Bitcoin and its increasing mainstream acceptance, are expected to propel the cryptocurrency to new highs in the near future. Standard Chartered's optimistic outlook on Bitcoin's price trajectory aligns with the sentiments of many other analysts and industry experts who believe that the cryptocurrency is poised for significant growth. As Bitcoin continues to gain traction as a store of value and investment asset, its potential for reaching new all-time highs appears increasingly likely in the coming months.