Bitcoin prices remained near $7,500 in Monday trading, tallying the 12th straight day the cryptocurrency hasn't topped $8,000. Most of the other top digital assets by market value traded into the red, too.
Here's what you can't miss in cryptocurrencies for Monday, June 4.
If Bitcoin's a Bubble, Get Ready for Panic
Economist Hyman Minsky theorized that any asset bubble has five stages: displacement, boom, euphoria, profit-taking and panic. According to Joost van der Burgt of the San Francisco Federal Reserve Bank, bitcoin is indeed a bubble and it's rounding the corner on panic. Van der Burgt wrote that bitcoin is presently in the early parts of the profit-taking phase in its bubble crescendo. This is happening as "well-informed investors cash out before the bubble really bursts," he wrote. "The subsequent 'Panic' phase, should it come to that, commences when reality sets in and bitcoin's price would substantially crash." While van der Burgt's argument looks to bitcoin as a bubble, he added the following caveat: "Then again, maybe bitcoin is different than anything we have seen before, and maybe a decade from now its market capitalization will be sky-high as it attains the status of a new global currency."
Australia's 'Digital Currency Town'
The beach town of Agnes Water in Australia is now calling itself the first "digital currency town," CCN reported. Agnes Water has taken on the moniker in a bid to attract international and digitally-inclined millennials to the area, where tourism is the primary industry. While there are only about 2,000 permanent residents in Agnes Waters, more than 30 local business have now started accepting cryptocurrencies as payment. The initiative followed a similar strategy in the Brisbane International Airport, about five hours' drive from Agnes Water. The airport began accepting cryptocurrencies at a number of storefronts earlier this year.
'Questionable' Token Sale Rakes in $18 Million
Although China banned initial coin offerings (ICOs) in 2017, a healthcare company in the country has reportedly raised about $18 million using a custom cryptocurrency, Investor China reported. The company, Zhaoyun Group, appears to have launched a token sale on April 8 but has no information about an ICO on its official website. Investor China called the sale "questionable," noting that Zhaoyun Group could have violated China's ban on ICOs. It also likened the sale to a Ponzi scheme, as the $18 million fundraising operated on a tiered distribution system that offered members a share of the return on their investments in return for attracting new buyers to the sale.
Indonesian Regulator OKs Crypto Futures
Indonesia's Futures Exchange Supervisory Board reportedly has determined that cryptocurrencies should be considered commodities and can now be traded on the country's futures exchange, the Jakarta Post reported. The ruling came after a four-month study period examining the nature of digital assets in Indonesia. The regulatory body is said to have signed a decree to formalize the ruling, suggesting that Indonesia could very soon have its own bitcoin futures market.