As part of our mission **_to build the future of money_**_,_ we have built an institutional-grade exchange that operates on the principles of security, regulation, and compliance while providing our customers with speed and reliability. This has made Gemini a cornerstone of cryptocurrency markets and we believe it is important that our market data helps power and enhance cryptocurrency indices and financial products that are integral to moving our industry forward.

To that end, we are excited to announce that we will be joining the **CME CF Bitcoin Reference Rate (BRR), CME CF Bitcoin Real Time Index (BRTI),** and six other cryptocurrency indices provided by CF Benchmarks.  As a constituent of the BRR, Gemini’s market data will be used to help price the CME Group’s Bitcoin Futures contract ([contract specifications](https://www.cmegroup.com/trading/equity-index/us-index/bitcoin_contract_specifications.html) | [fact sheet](https://www.cmegroup.com/trading/bitcoin-futures.html)).

Implementation is scheduled for Friday, **August 30th**, **2019 4:30pm BST**.

As part of joining the BRR, we had to meet the CME Group’s eligibility criteria for quality of data submitted, market surveillance practices, security, and regulation. We appreciate these standards and look forward to continuing to build trust in crypto; **trust is our product**.

Please visit our website to learn more about accessing our [APIs and consuming Gemini market data](https://docs.gemini.com/rest-api/), and our [institutional offering](https://gemini.com/institutions/) as well as cross-connects to our matching engine.

Onward and Upward,

Team Gemini

Gemini will join the CME CF Bitcoin Reference Rate (BRR) and CME CF Bitcoin Real Time Index (BRTI)

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Weekly Market Update

031524

BTC Takes a Hit, Spot BTC ETFs Launch in Asia, and Geopolitical Tensions Heat Up 

The Olympics. The World Cup. The US presidential election.

A Bitcoin halving event. 

Each draws the world’s attention every four years. Each generates intense debate. 

For now, a BTC halving event might bring in a slightly smaller contingent than a US presidential election or the Olympics. However, it’s still a momentous occasion. The debate over how the latest halving, which is expected Friday, will impact the price of BTC has raged on for months. 

Some analysts have speculated the halving could send the price of BTC skyrocketing. Others have argued the halving was priced in during BTC’s surge in price over the past year-plus. With the halving looming, let’s review what it entails and take a closer look at the debate.

## What is a Bitcoin Halving Event?

A halving is when BTC’s underlying blockchain cuts in half the availability of new rewards. It occurs when miners add 210,000 blocks to the network–usually every four years–and is meant to limit the amount of BTC supply in the market, keeping inflation down but cutting into profit margins for miners. 

As part of the latest halving, the block reward–the monetary incentive miners receive for validating transactions on the blockchain– will drop to 3.125 BTC, down from 6.25 BTC during the previous halving event in 2020 and from 12.5 BTC in 2016. 

Satoshi Nakamoto, the pseudonym for the person or group who founded Bitcoin in 2009, capped the total BTC that will be produced at 21 million. And miners haven’t reached that threshold yet. Analysts estimate that there was roughly 19.68 million BTC circulating in the market as of April. As a result, halving events will continue to occur every four years until 2140.

## The Bull Case for the Halving 

Some BTC bulls predict the price of BTC will hit $150K by the end of 2024 following the latest halving event. After all, BTC has surged each time the rate of new supply has diminished.  

Consider that in 2012, the price of BTC jumped 90x from the day of the halving to the top of the cycle. In 2016, it jumped 30x from the day of the halving to the top. And in 2020, it jumped from 8x from the day of the halving to its peak.

BTC bulls insist that limiting the supply of BTC has helped it retain its value over time and arguably made it more resistant to inflationary pressures faced by fiat currencies. Now, increasing participation from retail and institutional actors is driving up the price because of simple supply-and-demand economics. As with precious metals such as gold or silver, limiting new supply makes BTC more valuable. 

“Everything went up so fast already this year, there’s just a lot of activity, a lot of adoption, new regulation, ETFs, the halving, miners needing to get out,” [Gemini COO Marshall Beard told CNBC](https://www.cnbc.com/2024/04/08/ripple-ceo-crypto-market-to-double-in-size-to-5-trillion-in-2024.html).

“You’re going to see violent moves up and down until that new all-time high, which I think will be $150,000,” Beard added. “It probably happens this year. I think it moves so fast ... and I think that momentum, the supply shock, it moves crazy quickly.”

Claire Ching, Head of Institutional at Gemini, said the hype about the upcoming halving is likely outpacing the impact but acknowledged she’s still bullish overall. 

“I'm increasingly in the camp that it's more narrative this time around,” she said. “Daily supply will be halved, but as a percentage of average daily volume, it's an insignificant amount. The price of BTC will remain skewed on the demand side of the equation, with ETFs and the institutionalization of bitcoin being a big driver of that.”

## The Bear Case for the Halving 

On the flip side, there are no guarantees a halving will push BTC’s price up and to the right. Over the past year, the price of BTC has surged more than 100%, in part because of anticipated interest rate cuts from the Federal Reserve and a massive inflow of capital into spot BTC ETFs.

Predicting BTC price swings is inherently difficult, but some analysts maintain BTC will face significant pressures post-halving because it will make mining less profitable. 

Markus Thielen, head of research at 10x Research, said in a note that the halving could [lead to a $5B selloff from miners post-halving](https://www.thestreet.com/crypto/markets/bitcoin-halving-could-drive-5-billion-liquidations-research-firm-warns). And he's since sold out of his tech and crypto positions, a[rguing both are at a crucial tipping point](https://cointelegraph.com/news/stocks-crypto-edge-significant-correction-10x-research) because of delayed interest rate cuts, inflation, and high bond yields.

“The overhang from this selling could last four to six months, explaining why Bitcoin might go sideways for the next few months — as it has done following past halvings,” Thielen said.

Thielen took his argument a step further, saying BTC liquidations could amount to roughly $100M bitcoin per day when miners sell their recent acquisitions post-halving, leading to a supply-and-demand imbalance.

Said Thielen: “Other miners will likely follow a similar strategy to liquidate part of their inventory gradually.”

In anticipation of the halving, [some mining companies have built reserve funds](https://www.wired.com/story/bitcoin-miners-halving/) to combat the drop in profitability. But others that have struggled to break even in the current environment will likely face additional strain in the coming months.

The price of BTC had dipped more than 2% this week as of Friday at 2 pm ET, hovering above $64K. 

*This material is for informational purposes only and is not (i) an offer, or solicitation of an offer, to invest in, or to buy or sell, any interests or shares, or to participate in any investment or trading strategy, (ii) intended to provide accounting, legal, or tax advice, or investment recommendations, or (iii) an official statement of Gemini. Gemini, its affiliates and its employees do not make any representation or warranty, expressed or implied, as to accuracy or completeness of the information or any other information transmitted or made available. Buying, selling, and trading cryptocurrency involves risks, including the risk of losing all of the invested amount. Recipients should consult their advisors before making any investment decision. Any use, review, retransmission, distribution, or reproduction of these materials, in whole or in part, is strictly prohibited in any form without the express written approval of Gemini.

BTC Halving Gif

Unpacking the Arguments Over Upcoming Bitcoin Halving Event


Today, Real Bedford Football Club (RBFC) owner Peter McCormack announced that Winklevoss Capital, the investment firm owned by Gemini founders Cameron and Tyler Winklevoss, has made a $4.5M bitcoin investment into the football club. The investment is the largest ever made into a football club in the United Kingdom outside of the professional leagues. Following this investment, Cameron and Tyler will assume the role of co-owners of RBFC alongside Peter McCormack.

Peter McCormack is a Bedford resident who is well known for his podcast “What Bitcoin Did.” Since purchasing RBFC in 2021, he has made significant progress towards his goal of leading the team into the Premier League. Real Bedford won a promotion from the 10th tier to the 9th tier in their debut season and are currently at the top of the table this season, looking to achieve a back-to-back promotion from the 9th tier to the 8th tier. 

Cameron, Tyler, and Peter all share a deep conviction in bitcoin and its ability to help supercharge RBFC’s quest to make it into the Premier League. Tyler and Cameron also understand first-hand the transformative power of sport. To that end, this investment will continue to support RBFC’s community-building approach to football now and in the future. And it follows a long-term [partnership between Gemini and RBFC](https://www.gemini.com/blog/community-bitcoin-real-bedford-fc-sponsorship) after initially announcing Gemini’s sponsorship of the football club in January 2022, and will be deployed strategically through the following initiatives: 

- The establishment of a bitcoin treasury to secure the club’s long-term ambitions
- The development of a new training center
- The launch of a football academy to nurture local talent
- Continued support for girls’ and youth football
- An increase in funding for the club's hardship fund, which will ensure that no child in Bedford misses out on the opportunity to play football due to economic reasons

RBFC reflects the community nature of bitcoin by developing local Bedford talent and fostering a welcoming and supportive environment, creating opportunities for aspiring footballers, and promoting the sport's growth within the Bedford region. This year RBFC introduced the Real Bedford Ladies, who are also likely to achieve promotion to the next tier and sit at the top of their league. 

We are proud to continue to support RBFC as they bring together multiple pillars of crypto, combining community, accessibility, and innovation. 

Onward and Upward!

Team Gemini

INDUSTRY

Gemini will join the CME CF Bitcoin Reference Rate (BRR) and CME CF Bitcoin Real Time Index (BRTI)

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BTC Takes a Hit, Spot BTC ETFs Launch in Asia, and Geopolitical Tensions Heat Up

Unpacking the Arguments Over Upcoming Bitcoin Halving Event

Cameron and Tyler Winklevoss Invest $4.5M of Bitcoin Into Real Bedford, Becoming Co-Owners With Peter McCormack

BTC Takes a Hit, Spot BTC ETFs Launch in Asia, and Geopolitical Tensions Heat Up

Unpacking the Arguments Over Upcoming Bitcoin Halving Event

Cameron and Tyler Winklevoss Invest $4.5M of Bitcoin Into Real Bedford, Becoming Co-Owners With Peter McCormack

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