Google is one of the best companies in the world. They make a lot of money, but they also spend a lot of money on R&D (Research & Development). And they make progress! Google is out with a new chip. A Quantum chip.
Google’s recent breakthrough with its Quantum chip has introduced new possibilities for the future of computing, particularly in fields like AI, cryptography, and even the financial markets. This chip harnesses quantum mechanics to perform calculations far beyond the capacity of traditional computers.
While it offers immense potential in solving complex problems, its impact on industries such as Nvidia and Bitcoin could be profound.
For Nvidia, a leader in the GPU market, the rise of quantum computing presents both challenges and opportunities. GPUs, which power the heavy computations for AI, gaming, and blockchain mining, could face competition from quantum processors capable of executing certain tasks exponentially faster.
However, Nvidia is already exploring quantum computing technologies, and there may be ways to integrate quantum capabilities into their existing ecosystem, potentially enhancing their product offerings in the future.
On the other hand, they may face significant risks with the advent of quantum computers. These machines have the potential to break the cryptographic algorithms currently used to secure Bitcoin transactions, such as the Elliptic Curve Digital Signature Algorithm (ECDSA).
While Bitcoin’s blockchain is highly secure today, a sufficiently powerful quantum computer could theoretically crack these cryptographic methods, threatening the network’s integrity. This how a debate within the cryptocurrency community about the potential need for post-quantum cryptography solutions to protect digital currencies from such vulnerabilities over
quantum computing promises to revolutionize industries, it also brings a sense of urgency for companies like Nvidia to innovate and for blockchain technology to evolve, ensuring its security in a new era of computational power.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shinybull.com. The author has made every effort to ensure the accuracy of the information provided; however, neither Shinybull.com nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities, or other financial instruments. Shinybull.com and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
Investors are watching the FED on Wednesday, and they are all but certain the FED will cut interest rates. But how much? 25 points or 50 points? That`s the real big debate among investors right now. But regardless, what will happen to the stock and crypto market if the FED cuts the rates?
There is more than 60% probability that the FED will cut the rates by 50 basis points. When the FED cuts interest rates, it typically impacts the stock market in several key ways.
Lower interest rates reduce borrowing costs for companies, which can lead to higher profitability due to cheaper access to capital. This generally encourages investment in stocks, driving prices higher. Sectors like technology and consumer discretionary tend to benefit the most from lower rates as they are more reliant on borrowing for growth.
Reduced rates also make loans and mortgages cheaper for consumers and businesses, encouraging spending and investment. This increased spending can lead to economic growth, which is positive for corporate earnings and stock prices.
In addition, growth stocks, especially in tech and innovation, often outperform because their future earnings are more heavily impacted by interest rates. Lower rates increase the present value of their future earnings, making them more attractive to investors.
At the same time, bond yields typically fall, making bonds less attractive compared to stocks. Investors may shift their portfolios from bonds to equities in search of better returns, which can push stock prices higher.
On top of all that, the risk appetite increase. Lower rates often reduce the returns on safer investments like savings accounts or Treasury bonds. As a result, investors may take on more risk by moving into stocks, which offer the potential for higher returns.
But keep in mind, that market reactions can vary!
What happens in the market is also psychology, and you will never know where the rabbit is jumping. A lot of investors are full of recession fears. If the FED cuts rates in response to a slowing economy or recession concerns, the stock market might react negatively if investors see the rate cut as a sign of underlying economic trouble.
On top of that, you have a lot of inflation concerns. If rate cuts are perceived to spur excessive inflation, it could lead to volatility in markets, especially if inflation erodes corporate profit margins.
In summary, while rate cuts generally boost the stock market, the context and economic conditions surrounding the decision play a crucial role in determining the actual market response. Not only that. It can also have a notable impact on the crypto market, similar to how it affects traditional financial markets.
The risk appetite in the crypto market will increase. Lower interest rates typically reduce returns on low-risk assets like bonds and savings accounts. This often leads investors to seek higher returns in riskier assets, including cryptocurrencies. As a result, crypto prices, particularly for Bitcoin and Ethereum, could rise as investors move capital into digital assets.
A rate cut can also weaken the U.S. dollar, as lower rates make the currency less attractive to foreign investors. Cryptocurrencies, particularly Bitcoin, are often seen as a hedge against currency devaluation. A weaker dollar could boost demand for Bitcoin and other digital currencies as an alternative store of value.
Improved liquidity comes on top of all this. Lower borrowing costs mean individuals and businesses can access cheaper captal. Increased liquidity in financial markets often benefits speculative assets like crypto, as more people can invest and trade.
Cryptocurrencies are often viewed similarly to growth stocks-assets with high potential but also high risk. Lower rates typically benefit growth sectors since the future value of earnings becomes more appealing. This may lead to surge in the crypto market.
Not only that. A FED rate cut can encourage institutions to diversify their portfolios, including moving into digital assets. As traditional investment returns diminish, institutions might allocate more to Bitcoin, Ethereum or other cryptocurrencies.
But, like the stock market, there are potential risks in the crypto market as well.
If the rate cut fuels inflation, it may lead to instability in traditional markets, which could spill over into the crypto space. Inflation could either positively affect crypto as a hedge or introduce volatility if the overall economic outlook worsens.
While rate cuts generally boost risk assets, they could signal economic weakness, which may also introduce market uncertainty. Cryptocurrencies can be highly sensitive to shifts in sentiment, reacting both positively and negatively to macroeconomic trends.
Overall, a FED rate cut is likely to boost the crypto market, especially if it leads to increased liquidity and risk-taking behavior among investors. The fear index is still below 20 (17,61) as of writing on Tuesday. Where will it end later in this week?
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shinybull.com. The author has made every effort to ensure the accuracy of the information provided; however, neither Shinybull.com nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities, or other financial instruments. Shinybull.com and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
Historians do not fully agree on the starting and end of the «cold war», but the period is generally considered to span from the announcement of the Truman Doctrine on 12 March 1947 to the dissolution of the Soviet Union on 26 December 1991.
At the end of the cold war, corporations rushed into Russia and opened their businesses, and one of them was McDonald`s. They opened their first restaurant in Pushkin Square in Moscow on January 31, 1990. The same day they opened, thousands were lined up to try the new tasty burgers. And that ladies and gentlemen were synonymous with Capitalism, and its arrival symbolized Soviet Union`s impending demise. On May 16, 2022, McDonald`s announced that it was leaving Russia.
Now, McDonald`s is selling all of its 850 restaurants in Russia after Vladimir Putin invaded Ukraine. After 80 years of socialism, people in Russia rushed to McDonald`s and the American culture. The new Western way of eating. But now people in Russia rush to the new Russian burgers at the new Russian fast-food chain called Vkusno & Tochka, which means «tasty and that`s it».
Founded by businessman Alexander Govor, who acquired all the restaurants for an undisclosed sum. But he said he paid «far lower than market price.» Govor has been a McDonald`s franchisee since 2015 when he agreed to open 20 restaurants through his business GiD LLC.
Govor also made a lot of money in mining and oil refining in Siberia. He made his wealth in the coal business as co-owner of the coal mining company Yuzhkuzbassugol, in his hometown of Novokuznetsk. He bought the mine together with Evraz during liberalization in the 1990s under President Boris Yeltsin.
Evraz bought out Govor from the company, and one of the owners is Russian billionaire Roman Abramovich (Chelsea FC).
When McDonald`s opened their first restaurant in Russia, it had this slogan: «If you can`t go to America, come to McDonald`s in Moscow.» That slogan is over and out, and in comes Vkusno & Tochka`s new slogan; «The name changes – love stays».
Most of the things in the restaurants are similar to McDonald`s. The same quality, and taste. The same equipment and the same double cheeseburgers. The difference is that most of the money goes to Russia. Not America anymore.
Many people in Russia wanted to take part in the opening of the new fast-food chain, and the rebranding marked a new era in Russia on Sunday last week. The last big mac has finally left Russia.
Govor will pay about 60,000 Russian McDonald`s employees for the next two years, according to the agreement with McDonald`s. In the same agreement, he also agreed to pay suppliers and landlords.
Govor`s company will invest 7 billion rubles ($125 million) into the new business in 2022.
By the way: McDonald`s has the right to buy back its restaurants within 15 years, but «they made it clear to me that they would not buy back», Govor said. Really?
The S&P 500 plummeted -by 3,88% on Monday, but shares of Mcdonald’s outperformed the market, jumped +0,39% and closed «only» $32 below its 52-week high at $271,15.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shinybull.com. The author has made every effort to ensure the accuracy of the information provided; however, neither Shinybull.com nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities, or other financial instruments. Shinybull.com and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
As a former professional deejay, I spend a lot of time on music. But I`m also interested in other people`s tastes in music. I`m an uncle to four teenagers and I find it strange to hear that all of them are often listening to old music. Very often from the ’80s.
I very often say; «who`s playing that song?». What? Do you like that song? Yes, teenagers like a lot of old music. Sometimes more than new and so-called popular songs which are newly released. I very often think for myself that new popular songs aren`t good enough, but it seems like young people share my opinion.
Don`t get me wrong. I like new music, but I must admit that it isn`t many good ones. So, very often I`m listening to old music, and most of it is from the ’70s and ’80s. I very often ask myself why there was so much good music from that era? This is also a time when I used to work as a professional DJ.
The ’80s was a time for the free world and free trade. Republicans like Thatcher and Reagan had a lot to say at that time. I find it very interesting and think that it can be a hidden connection here.
It was a time with so much energy. People were smiling and dancing, and they had so much fun. The «king of pop» was the biggest of all the biggest, and he is still my favorite. Later on, Witney Houston came on the top lists as well. Two superstars with so many skills.
But, all of it came to an end. Michael Jackson got into a hell of a lot of trouble, and so did Witney Houston. Jackson spent more time in the court than in the studio. People didn`t have much fun the same way anymore, and we saw a shift in the market. Out with Jackson and Houston and in with Eminem.
And so is it today. It isn`t many skills like Jackson and Houston, but more like «keep-it-in-the-closet» rap songs like Eminem. I`m not a big fan of it, but it seems to me that you don`t need many skills to reach the top today.
According to MBW, catalog music claimed 73,1% of the US music consumption market in the second half of 2021. This is in line with my observations. People are listening to old music. Not new releases.
Across the whole of 2021, catalog music actually claimed 69,8% of Total Album Consumption in the U.S.
The best-selling artist in 2021 was Adele (traditional album sales, not including streaming). But, unfortunately, the biggest success story in the U.S had nothing to do with a new release: it was catalog music.
Catalog records accounted for a stunning 82,1% of total recorded music consumption in the U.S in the second half of 2021.
Current records made up just 17,9% of U.S music consumption in the last months of 2021. That`s less than a fifth of the market.
Not only that; total consumption (sales plus streams) of current music actually fell, in real terms, by 37,4% in the second half of 2021 compared to the same period of 2020. This is exactly in line with my observations.
So, in the year 2021, the total on-demand streaming volume in the U.S increased 9,9% YoY to 1,13 trillion. And total album consumption saw a YoY increase of 11,3%.
So, people are listening to more music, and the market is growing, but the shrinking presence of new music in the U.S record industry may leave some frontline record labels scratching their heads.
At the same time; catalog music acquisition specialists are smiling from ear to ear. Especially Hipgnoses Song Management has, using cash from its Blackstone-backed private fund, acquired the song catalog of superstar artist and songwriter Justin Timberlake.
Hipgnosis says it has acquired «100% of all of Timberlake`s copyright, ownership and financial interests of the Writer and Publisher`s share of Public Performance income, and the catalog of musical compositions written by Justin Timberlake.
Justin Timberlake’s sales are currently in excess of over 150 million, including 88 million as a solo artist and 70 million with NSYNC. Timberlake sold everything to Hipgnosis and its $1 billion-backed Blackstone fund. Wow. What a deal.
In March, Hipgnosis Song Management announced the acquisition of a career-spanning catalog created by legendary Canadian artist and composer Leonard Cohen. But Timberlake and Cohen is not alone.
Bob Dylan has also sold his music catalog for $400 million, and it is a trend among top artists. Bruce Springsteen did it. Neil Young, Stevie Nicks, David Bowie, Dire Straits, John Lennon, Fleetwood Mac, and Shakira did the same.
40,000 new songs are being uploaded to Spotify every single day, but who cares? People are listening to old music and that market is skyrocketing.
Let me end this story by saying this: Good music is good business. That`s it.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shinybull.com. The author has made every effort to ensure the accuracy of the information provided; however, neither Shinybull.com nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities, or other financial instruments. Shinybull.com and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
European Union doesn`t like big companies like Apple. Google, Facebook, and Amazon to name a few. They believe that companies should be small and compete with each other. The more competition, the better.
Now, Apple faces a possible hefty fine and may have to open its mobile payment system to competitors after EU`s antitrust regulators charged the iPhone maker with restricting rivals’ access to its technology used for mobile wallets.
EU`s Executive Vice-President Margrethe Vestager, in charge of competition policy, said on Monday: «Mobile payments play a rapidly growing role in our digital economy. It is important for the integration of European Payments markets that consumers benefit from a competitive and innovative payments landscape.»
«We have indications that Apple restricted third-party access to key technology necessary to develop rival mobile wallet solutions on Apple`s devices. In our Statement of Objections, we preliminarily found that Apple may have restricted competition, to benefit from its own solution Apple Pay. If confirmed, such conduct would be illegal under our competition rules.»
The investigation will now follow into suspected violations of EU antitrust rules. The European Commission and Margrethe Vestager think Apple is violating the block`s antitrust rules with its limits on rival providers of mobile wallets.
They believe that Apple «abused its dominant position» in giving a boost to its own contactless payments system.
I can only speak for myself, and I have an iPhone, but I use my Fitbit to pay with my Visa card. It`s easy, fast, and contactless. So, Apple didn`t have an advantage in my world. But the main reason is that Apple only accepts a Mastercard.
This is not the first time the EU is attacking U.S tech giants. A year ago, they attacked Apple`s handling of rival music apps. They also want major changes to the App Store and iMessage, as well as services from Google and Amazon.
Last year, Amazon was hit by the biggest ever European Union privacy fine after its lead privacy watchdog hit it with a $888 million penalty for violating the bloc`s tough data protection rules. Amazon said the decision is «without merit.»
In November last year, Google lost its appeal against a €2,4 billion EU fine over its shopping service. The Commission argued that Google had unfairly used its dominant search engine to redirect traffic to Google shopping.
Brussels claims Google began to systematically favor its shopping service in the results of its popular search engine, whose market dominance exceeds 90% in most EU countries. Google Shopping now routinely appears at the very top of search results.
Six years ago, I wrote an article about The European Commission, that said Irland had enabled Apple to pay «substantially less tax than other businesses over many years.» But the EU`s general court decided that the commission failed to prove that the Irish government had given the U.S tech giant a tax advantage.
In 2020, Apple won a landmark court case against the European Commission over the dispute concerning $14,9 billion in Irish taxes. And these are some of the few attacks on U.S tech giants.
Over twenty years ago, I can remember that Microsoft was attacked by rumors. Don`t use Windows, because it`s a virus in it. That will kill your computer, they said. Bill Gates was also attacked multiple times. Again and again. Today, we see the Marxist Media Mob use words like Oligarchs about the rich.
Sometimes, the EU should attack the rules. Not the companies.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shinybull.com. The author has made every effort to ensure the accuracy of the information provided; however, neither Shinybull.com nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities, or other financial instruments. Shinybull.com and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
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