Welcome to This Week in Crypto, where we bring you the latest updates in the world of digital currency. This week, Bitcoin ETFs continue to gain momentum, nearing a major milestone as they approach holding 5% of Bitcoin’s total supply, driven largely by retail investors. In Buenos Aires, blockchain technology is making strides with a new digital ID system for millions, granting residents secure control over their personal data through a decentralized platform. Meanwhile, in the U.S., Pennsylvania’s House passed a landmark “Bitcoin rights” bill, aiming to protect crypto payments, self-custody, and tax exemptions for digital assets. Stay tuned as we dive deeper into each of these developments.
Bitcoin ETFs Hold ~1M BTC, Driven by Retail Investors
Retail investors, or everyday individual investors, make up nearly 80% of the demand for spot Bitcoin ETFs, according to a recent report. These ETFs, which track Bitcoin’s price, have gathered $63.3 billion in assets under management (AUM)—the total market value of all assets within the funds—since their launch in January 2024. Institutional interest, while smaller, is growing, with hedge funds and advisors considering Bitcoin ETFs as part of their portfolios.
U.S. Bitcoin ETFs now hold around 976,893 Bitcoin, representing 5% of Bitcoin’s $1.34 trillion market cap and 5% of Bitcoin’s total supply, close to reaching one million Bitcoin soon. To hit this milestone, ETFs would need about $1.55 billion in additional net inflows at current prices. It’s once again important to note that these funds allow investors to gain exposure to Bitcoin’s price without owning it directly – meaning they do not have full control over the underlying asset itself. If you’d like to own your own Bitcoin, you can purchase it from a RockItCoin ATM and use the RockItCoin mobile app as a self-custodial wallet to store your crypto.
How Blockchain Is Shaping Digital IDs for 3.6M in Buenos Aires
Buenos Aires has launched a new digital ID system using blockchain technology, allowing 3.6 million residents to manage their personal information on their phones more securely. These digital IDs are available through the city’s miBA app, which helps residents access government services. The new system, powered by QuarkID, keeps people’s data private and secure by using advanced encryption, meaning that personal information is protected and under the user’s control, not stored in a central location.
This digital ID rollout is part of a larger plan to use blockchain technology in government services. The city already began storing important documents like birth and marriage certificates digitally, with plans to add things like proof of income and school records. Buenos Aires’ goal is to give residents control over their personal information while offering them a secure way to access essential services. The city is also preparing the next generation for this technology by teaching high school students the basics of blockchain programming.
Pennsylvania House Passes Pro-Bitcoin Bill Protecting Crypto Rights
The Pennsylvania House of Representatives recently passed HB-2481, also known as the “Bitcoin rights” bill, by a vote of 176 to 26. This bill, designed to support crypto adoption, outlines key protections for Pennsylvanians, including the right to self-custody digital assets, the ability to make crypto payments, and the right to operate a crypto node. The legislation also seeks to exempt digital assets from additional state taxes, removing barriers that may have discouraged crypto use. However, before becoming law, it must pass the Pennsylvania Senate and be signed by Governor Josh Shapiro.
The bill was crafted by the Satoshi Action Fund, a Bitcoin advocacy group. Co-founder Dennis Porter noted that Bitcoin’s appeal lies in its promotion of economic freedom, digital privacy, and a potential alternative to central bank digital currencies (CBDCs), which concern many voters. Advocacy groups like Satoshi Action Fund continue to push for clear crypto regulations in the U.S., warning that the nation risks falling behind other regions, such as the European Union, which have already enacted comprehensive digital asset laws.
