After two complicated, even nightmarish years, the cryptocurrency market has picked up steam in 2024. Throughout the year, long-awaited events have stimulated the ecosystem and given a boost to cryptoasset prices, starting with Bitcoin. At the same time, ongoing lawsuits have come to an end and a cryptocurrency that has remained in the shadows for years is making a strong comeback.
Bitcoin arrives on Wall Street — January 2024
Bitcoin has started the year with a bang. After months of waiting, the cryptocurrency has made a remarkable entrance on Wall Street. Despite the reluctance of its boss, the controversial Gary Gensler, the Securities and Exchange Commission (SEC), the American federal body that regulates and controls financial markets, has finally approved all Exchange Traded Funds (ETFs) based on Bitcoin.
As expected by analysts, this decision was accompanied by an influx of liquidity into the Bitcoin market. Many institutional investors have indeed chosen to go through index funds to gain exposure to the queen of cryptocurrencies. Throughout the year, the ten ETFs validated by the SEC have continually boosted the price of Bitcoin. In less than a year, ETFs have recorded just under $36 billion in net inflows.
A few months later, ETFs based on Ether were launched in the United States. In July, the first index funds linked to the Ethereum blockchain crypto were approved. A plethora of funds, issued by renowned institutions, appeared on the American financial markets. Here again, they have raked in billions of dollars.
The encouraging launch of BTC and ETH ETFs opens the door to the arrival of other index funds based on other cryptocurrencies as early as next year. According to Bloomberg analysts, there is no doubt that ETFs based on other cryptocurrencies will see the light of day. Expert Eric Balchunas predicts “a wave of crypto ETFs next year, though they won’t all come at the same time.”
FTX Founder Jailed — March 2024
Two months later, the crypto world watched with relief as Sam Bankman-Fried was jailed. Incarcerated following the collapse of the FTX platform, the former philanthropist was found guilty of all seven charges he faced. The thirty-year-old, who precipitated the fall of FTX by multiplying embezzlements, was mainly accused of electronic fraud and money laundering.
The former billionaire was sentenced to 25 years in prison. His line of defense, consisting of pleading ignorance, did not convince the courts at all. As expected, Bankman-Fried quickly appealed the court's decision to the Southern District Court of New York. He believes that he was "never presumed innocent", but rather guilty by default "by the media, by the FTX debtors' administration and his lawyers, by federal prosecutors and by the judge who presided over his trial". This is why he is requesting a new trial.
At the same time, some of Sam Bankman-Fried's accomplices were able to benefit from a reduction in sentence. Found guilty by the American justice system, Ryan Salame and Caroline Ellison, two of the former leaders of the FTX empire, will spend less time in prison than expected. The duo was able to take advantage of the courts’ leniency by actively cooperating in the investigation into Bankman-Fried.
The 4th Bitcoin Halving — April 2024
Bitcoin also took advantage of a long-planned event to get its head above water. This is the fourth halving. Occurring in April 2024, this update, planned since Bitcoin’s creation in the blockchain code, came to halve the amount of rewards awarded to miners, who ensure the security of the network using their specialized machines (called Asics).
This update contributed to the increase in the scarcity of the cryptocurrency, which mechanically inflated its demand. Here again, this is one of the factors that pulled the price up. We will come back to this later. The previous updates had also been accompanied by a substantial change in the price of Bitcoin. The next halving is expected in 2028.
Prison for the founder of Binance — May 2024
Last year, Changpeng Zhao, the CEO and founder of Binance, was forced to leave his position. Following a major investigation by the United States Department of Justice, the billionaire was charged with negligence in money laundering.
In May, the founder of Binance was finally sentenced to four months in prison, a rather lenient sentence. Indeed, the prosecutors in charge of the case demanded 36 months of detention. The former crypto strongman was finally released from prison in September. Freed, the billionaire still does not have the right to hold a position of responsibility within Binance. This is why some voices have been raised to ask Donald Trump to pardon Changpeng Zhao so that he can take over the helm of Binance. However, the main person concerned claims to no longer want to lead the platform.
The election of Donald Trump, the first crypto-friendly US president — November 2024
Last year, Donald Trump embarked on a vast charm offensive aimed at cryptocurrency holders. Determined to return to the White House, the Republican has made numerous promises regarding Bitcoin. He pledged to ease regulations on American soil, promote the mining industry, and create a national reserve of bitcoins, much like the United States holds gold.
The strategy paid off, with many of the ecosystem’s leading players rallying behind Donald Trump. Shortly after announcing his victory over Kamala Harris, the billionaire outlined the outlines of his future government. The choices made by Trump suggest that the promises made during the campaign will be kept. Indeed, the 47th President of the United States has chosen openly pro-crypto personalities to form his administration and government agencies. This is the case of Paul Atkins, who will sit at the head of the SEC in place of Gary Gensler.
He even announced the arrival of a crypto tsar in the person of David Sacks, entrepreneur, leading figure in Silicon Valley, and former PayPal employee. The man will have an advisory role and will be responsible for guiding the government's policy "in the field of artificial intelligence and cryptocurrencies, two key sectors for the future competitiveness of the United States", Trump explains. As Donald Trump's inauguration approaches, these appointments suggest that cryptocurrency will have a prominent place in the new president's policy.
France blocks crypto betting site Polymarket — November 2024
Over the year, Polymarket, a site that allows you to make bets and win cryptocurrencies, has become particularly popular. The platform's success accelerated in the wake of the American presidential elections. Polymarket allowed people to bet on the winner of the election. It relies on smart contracts to create a market where participants trade stocks on current topics or trends.
The platform has become so well-known that it has attracted the attention of French authorities. Considering that Polymarket is carrying out betting activities without the agreement of the National Gaming Authority (ANJ), France has decided to request the blocking of the site. To access the betting platform while in France, you now have to use a VPN.
Bitcoin's record — December 2024
Electrified by ETFs, halving, and the election of Donald Trump, Bitcoin has propelled itself beyond $100,000 in a matter of weeks. It only took a few weeks for Bitcoin to go from $67,470 to just over $100,000. Subsequently, the queen of cryptocurrencies even allowed itself the luxury of rising to $108,000. In this bullish context, many analysts and experts are already talking about new records for the year that has just begun.
The strong comeback of Ripple and XRP—December 2024
Faced with pressure from the SEC, Ripple remained in the shadows for three long years. The incessant regulatory assaults of the stock market regulator have paralyzed the price of XRP, Ripple's cryptocurrency. The election of Donald Trump, which was accompanied by the ouster of Gary Gensler, the head of the SEC, should sound the death knell for the regulator's attacks against Ripple. This is why investors are betting heavily on cryptocurrency.
The arrival of Ripple's first stablecoin, RLUSD, has also helped to put the ecosystem back in the spotlight. The price of XRP has therefore started to rise again, crossing the $2.50 threshold. It is now the third most valuable cryptocurrency on the market.
Reimbursement of Mt Gox victims — in 2024
More than ten years after the events, the victims of Mt Gox have finally been reimbursed. Throughout the year, the platform, hacked in 2014, has religiously reimbursed its creditors through a multitude of transfers on the blockchain. Reimbursements are processed through several exchanges, namely Kraken and Bitstamp. Not all victims have yet been reimbursed. The company is giving itself another ten months to complete the process. The new reimbursement deadline is set for October 31, 2025.
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