As we soldier on through yet another month in lockdown, the new reality we find ourselves in begins to yield some unexpected results. We’ll be touching on this as well as the topic of halving (the halvening, sic!) that’s been and gone, but first — let’s look at the numbers.
Total April 2020 revenue: € 360,070
April 2020 Revenue share: € 36,007
April 2020 Revenue share in ETH: 197.4500 ETH
Share per 100 CPAY: € 0.040
Distribution date: May 13th, 2020
In April 2020 there was finally something else apart from the pandemic that was on (almost) everyone’s mind — Bitcoin’s third halving. The reward per block mined on bitcoin’s blockchain decreased from 12.5 BTC to 6.25 BTC on 11 May when BTC was trading just below 9,000 USD. In the month leading to this, we could see a steady growth which culminated on 7 May, just days before halving, with price grazing 10,000 USD.
Of course, an event of this size couldn’t not have been accompanied by a few theories: while some predicted that the whole enterprise will become much less appealing to miners, which will ostensibly lead to a price drop and become the downfall of the Bitcoin, others argued that if we take the historical growth after previous halvings as an example, in four years, we should expect the price to increase almost threefold.
But looking at the immediate aftermath of the halving, we can see that it has, in fact, failed to sway the price in either direction: still trading just below 9,000 USD, according to some experts, it will remain in the range of 8,000 USD — 10,000 USD for quite some time. Be that as it may, we think that it should, paradoxically, make for an interesting watch and will be curious to see how the situation plays out.
In other news, Telegram has just forfeited the dream of TON — a next-generation blockchain platform which was meant to revolutionise the way people store and transfer funds and information. A 1,7 bln USD project was put to an end after a lengthy battle with the US Securities and Exchange Commission (SEC) just a few days after announcing a new launch date in April 2021. In the past, such major events always served as a catalyst for either a rise or drop in price. Here the situation is twofold: while this is definitely bad news for those striving for decentralisation, it means that Bitcoin and Ether just got away with a major player capable of undermining them. It should be interesting to see how this outcome reflects on the quotes.
Contrary to our belief, the B2C revenue was not much affected by the circumstances: the growing price of bitcoin led to higher transaction volumes which compensated for the waning demand caused by the epidemic thus resulting in almost the same result as in March for our B2C sector. This time, it was our B2B team who took the fall.
But as we were expecting a steeper drop, we were left pleasantly surprised with the result. At the current rate and expecting the launch of our card programme any minute now, Cryptopay might just return to the pre-Coronavirus revenue levels in a couple of months as opposed to the end of autumn as we predicted in April. Of course, considering the scale of the pandemic and its consequences, we cannot totally discard sudden complications and so we remain prepared, but we do hope for the best.
In the B2B field, the situation where we’re finding ourselves urges us to explore new horizons. We and our partners are adapting to the new reality and so being a part of a major online event and investigating what a virtual interactive conference format has to offer has been a step towards it. But as the restrictions start to thaw, e.g. Europe’s football leagues return from suspension, so some of our partners are getting ready to get back in the game and make up for the lost time.
And we’ve also got some good news for our UK audience: starting with your second deposit made with Faster Payments from the same bank account, we credit the funds automatically, which means that you can purchase crypto in a matter of minutes and at a much cheaper rate, too! Do try it if you haven’t already and share your feedback with us — we’re always happy to hear from you!
While April like the months before was a trying time, the continued use of cryptocurrency we have witnessed brings us confidence that once the world returns back to normal / evolve to a new normal, cryptocurrencies are only going to get bigger. More on this story as it unravels. See you soon!