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Three Reasons Trump May Launch Bitcoin Reserve on Jan 20, According to Stanford PhD Holder

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President-elect Donald Trump may announce the creation of a Bitcoin Strategic Reserve (BSR) on January 20, according to Fred Krueger, a PhD holder from Stanford University.

As Trump prepares to assume office for his second term as President of the United States, speculation regarding the potential establishment of a Bitcoin Strategic Reserve (BSR) has gained significant momentum.

Industry insiders and analysts are closely monitoring developments. For example, prominent crypto investor Fred Krueger predicts that an announcement about the BSR will occur on January 20, the day of Trump’s inauguration.

Fred Krueger’s Confident Predictions

Fred Krueger outlined why he believes the announcement of a Bitcoin reserve is imminent. He anticipates a significant number of executive orders on the first day of Trump’s presidency, suggesting that a BSR directive will likely be among them. 

According to Krueger, failing to include such an order could upset influential donors and create political challenges early in Trump’s term. He notes that with numerous executive orders expected, delaying this decision may not be a viable option for the incoming administration.

Krueger further highlights that a strategic Bitcoin reserve aligns with Trump’s broader priorities. He emphasizes that the volume and scale of the anticipated announcements create an environment conducive to unveiling such a policy.

Prediction for Bitcoin reserve
Fred Krueger’s bold Prediction for Bitcoin reserve

Market Speculation for Bitcoin Reserve

Meanwhile, on prediction platform Polymarket, traders are actively debating the likelihood of Trump initiating a Bitcoin reserve policy within his first 100 days in office.

Current data suggests a 42% probability of this outcome, reflecting moderate confidence among market participants. This marks an 18% decline from previous levels, indicating a shift in sentiment.

Prediction for Bitcoin reserve in first 100 days
Market speculation for Bitcoin reserve in the first 100 days

Trading activity on the platform has been robust, with a total volume exceeding $2 million. This significant engagement underscores the high interest surrounding Trump’s potential crypto policies.

Broader Crypto Policy Developments

In addition to the potential Bitcoin reserve, Trump’s administration is planning to prioritize crypto as a strategic national sector. According to sources cited by Bloomberg, an executive order set to be issued after the inauguration will include the formation of a crypto advisory council. This council is expected to advocate for the industry and help shape regulatory frameworks.

The executive order may also formalize the U.S. government’s nearly $20 billion worth of Bitcoin holdings into a national reserve. Furthermore, the administration aims to create an “America-first” strategic reserve that prioritizes U.S.-developed cryptocurrencies like Solana, XRP, and USDC over foreign counterparts.

Odds of Strategic Bitcoin Reserve Launching in US This Year Soars 65%

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The probability of the United States creating a Strategic Bitcoin Reserve this year has soared tremendously in recent weeks. 

Anthony Pompliano, the founder and CEO of Professional Capital Management, brought this development to the public today. 

The renowned American investor noted that the odds of a Strategic Bitcoin Reserve (SBR) going live in the United States this year soared to around 65% on Kalshi, an online prediction platform. 

He emphasized that this surge marks a 50% increment over the past few weeks. This reflects growing optimism among investors that the U.S. government will adopt Bitcoin as a reserve asset under Trump. 

Debates About Strategic Bitcoin Reserve 

Discussions about the creation of SBR stem from a pledge Trump made to crypto enthusiasts last year. As previously reported, the President-elect made this promise at the 2024 edition of the Bitcoin Conference in Nashville. 

In the same week, Senator Cynthia Lummis (R-WY) created a BITCOIN Act 2024 bill, giving investors a hint of what the reserve could look like. Under the proposal, Senator Lummis suggested that the U.S. accumulate 1 million BTC over five years. 

Specifically, she proposed that the government hold these 1 million BTC for at least 20 years.

In parallel, the Bitcoin reserve debate went live on Kalshi, with investors betting on whether the initiative will launch this year. 

About 65% of Kalshi bettors are confident that the U.S. will create a strategic Bitcoin reserve before January 1, 2026. This confidence stems from the positive developments relating to this proposal. 

Trump Could Sign an Executive Order to Create Strategic Bitcoin Reserve 

According to reports, Trump might likely initiate the creation of an SBR using an executive order. Last year, the Bitcoin Policy Institute drafted an executive order regarding the SBR in anticipation of Trump’s inauguration, scheduled for January 20. 

The draft recommended that the U.S. create a Bitcoin reserve under its Treasury Exchange Stabilization Fund (ESF). This would enhance the United States’ economic security, promote domestic industry growth, and attract innovation. 

Interestingly, crypto stakeholders are lobbying the President-elect to sign an executive order mandating the creation of an SBR within the first 100 days of his administration. 

The New York Post recently confirmed that Trump will sign several executive orders, one of which focuses on establishing a national Bitcoin stockpile after his inauguration. 

Expectedly, investors are excited about this development, with many predicting that the SBR proposal will lead to a substantial rise in Bitcoin’s price. With Bitcoin currently up by 3.59% over the past day, the asset is trading at $102,693 per coin. 

Messari Founder Says Ripple is a Threat to the Trump Crypto Agenda in Fresh Attack

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Messari founder Ryan Selkis again slams Ripple as a threat to the Donald Trump administration’s crypto agenda.

Messari founder Ryan Selkis has long been clear regarding his reservations about Ripple and XRP. But in recent months, the crypto blowhard’s disdain for the pair appears to have taken a rather venomous turn. The heightened antagonism comes as he has taken issue with Ripple’s efforts to establish ties with the incoming Donald Trump administration.

In the latest instance highlighting this, he has again slammed Ripple as a threat to the Trump admin’s crypto goals, warning that the potential damage looms larger amid XRP’s recent market strides.

For context, Ripple’s core payments business is tied to the cryptocurrency XRP. The firm also boasts ownership of a large chunk of the asset and is the primary contributor to the network behind it.

Selkis Takes Aim at Ripple and XRP Again

“Ripple’s crash and scandals will take down the entire crypto agenda in DC,” Messari founder Ryan Selkis railed in an X post on Thursday, January 16, citing XRP’s growth in his latest anti-Ripple rant.

In the post, he asserted that XRP was now bigger than Salesforce in market cap and was approaching the market cap of Bank of America, a top 30 U.S. company with twice the value of Uber, bigger than Shopify, PayPal, and MicroStrategy combined, and five times the size of Coinbase.

However, despite its recent surge, XRP has a market capitalization of only about $187 billion, while Salesforce, for example, has a market cap of about $306 billion.

But for other Ripple and XRP detractors, this likely does nothing to detract from the main point raised by Selkis: Ripple’s rise is a threat to crypto. 

The main gripe in this regard stems from the belief that the project is centralized due to Ripple’s large XRP holdings and, as such, does not offer a fair representation of crypto ideals to the masses. In their view, it should not be allowed to become a poster boy for what crypto is. Of course, XRP proponents beg to differ.

Meanwhile, Selkis did not end his tirade with his claims that Ripple will bring certain doom for crypto, in a separate post meant to be an explainer for his antagonism against the firm, he asserted that the company’s executives were bad people, likely referring to chairman Chris Larsen and CEO Brad Garlinghouse.

“My issue with them [Ripple executives] is that they aren’t content with just being billionaires, they lust for power,” he contended.

Selkis’ recent rant seems to follow reports that Ripple CEO Brad Garlinghouse had urged Trump in a meeting to expand his proposed national Bitcoin reserve to include other cryptocurrencies.

Some outlets have since reported that the president-elect is receptive to the idea. The potential boon for XRP sent it soaring to within inches of its all-time high, though the Trump team has yet to confirm the development.

Sell Off? Royal Government of Bhutan Shifts 633 BTC Worth $64 Million

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The government of Bhutan’s recent on-chain activity raises concerns about renewed Bitcoin sell-offs as the asset reclaims six figures.

Bitcoin seems set to retest its all-time high of $108,230, with an over 2% price uptick on Friday. Amidst the renewed bullishness, a new development has raised skepticism about another round of Bitcoin liquidation.

Data from Arkham shows that the Royal Government of Bhutan shifted some of its Bitcoin stash after its last activity over a month ago. Today, the wallet tied to the pro-crypto nation moved 633 BTC to new wallet addresses, sparking renewed curiosity among market observers.

Is Bhutan Selling?

Arkham’s data shows that Bhutan shifted the $64 million worth of Bitcoin over two transactions on Friday. The first transfer saw the wallet move 255.26 BTC to two new addresses, with one bearing the initial “38mbNK” by 09:50 (UTC) today.

Meanwhile, OnchainLens suggested that the unmarked wallet addresses have affiliations with the leading crypto exchange, Binance. The market intelligence platform based its assertion on past transactions to and from the wallet.

Almost an hour later, Bhutan transferred another 377 BTC ($38.57 million) to two separate addresses. The government shifted 196 BTC to the address “bc1qav” and the remaining 181 BTC to the other address.

However, despite the latest outflows, Bhutan still holds 11,055 BTC, valued at $1.13 billion. The country has harnessed its rich hydropower resources to mine Bitcoin, placing it among the top holders of the pioneering cryptocurrency.

Bhutan also recently adopted Bitcoin, Ethereum, and Binance Coin (BNB) as strategic reserve assets, setting the pace for national-level digital asset acquisition.

Bitcoin Unperturbed By FUD

Meanwhile, the community row following the Bhutan possible sell-off could not impede Bitcoin’s super-bullish momentum. The crypto asset forayed into six figures today, trading at $102,684 at the time of writing.

The bullish upsurge comes on the heels of growing speculations that Donald Trump will establish a strategic Bitcoin reserve. Reports today suggest that the incoming president views digital assets as a national priority and could issue an executive order on this upon his January 20 inauguration.

Dogecoin Finally Breaks $0.41 as Whales Reaccumulate 200 Million DOGE

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Dogecoin is making a strong move to lead the meme coin bull market frenzy, driven by significant ongoing whale accumulation impacting its price performance.

Market watcher Ali Martinez recently cited data from intelligence platform Santiment, confirming that whales accumulated 200 million DOGE tokens within a 48-hour window.

These investors hold Dogecoin portfolios ranging from 100 million tokens to 1 billion. Before consolidating their holdings, they collectively had about 22.83 billion DOGE in total. However, as of yesterday, this figure has increased to 23.03 billion.

Specifically, their latest major purchases occurred between Wednesday and Thursday. At the time, the price of DOGE fluctuated between $0.3300 and $0.3874, showcasing the impact of these large accumulations. As of press time, Dogecoin is trading at a much higher price.

For context, Dogecoin has finally broken through the $0.40 price level, surpassing this key psychological resistance for the first time in 2025. At the time of reporting, DOGE has posted an 11% gain over the last 24 hours, trading at $0.415.

This ongoing rally has completely erased the losses Dogecoin picked up over the past few weeks, posting an impressive 23% weekly gain—the largest among the most prominent meme coins.

Dogecoin Whale Patterns Amid DOGE Rallies

While the latest acquisition by Dogecoin whales contributes to the price surge, it’s important to note that these investors often liquidate their holdings during heightened DOGE bull runs.

As shown in a chart from Santiment, these whales had a portfolio of around 23.7 billion Dogecoin tokens as of January 7. This figure followed a dramatic one-day increase, during which they added over 600 million tokens.

At that time, Dogecoin was trading at $0.3978, attempting to break the $0.40 level. However, these whales began massively selling their accumulated DOGE tokens, which led to a decline in the price. They continued selling until the price reached its current level, at which point they added another 200 million tokens.

The selling pressure was evident as the price of Dogecoin dropped to $0.3151 on January 9. However, a more powerful price recovery is now taking place, fueled by improved sentiment in the broader crypto market and whales re-entering with more funds.

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Dogecoin chart showing whale accumulation and price action | Santiment

How High Will Dogecoin Go This Month?

Market analyst Ali Martinez predicts that Dogecoin could surge by up to 700% as early as next week, based on historical price patterns. He noted that Dogecoin had retraced 46% from its December high, similar to a 56% correction in January 2021 before it saw a massive uptrend.

Martinez suggests Dogecoin could follow this cyclical trend and potentially reach a price range between $4 and $23.

Senator Cynthia Lummis Petitions US Marshals Service Over Possible 70,000 Bitcoin Sale

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Pro-crypto Republican Senator Cynthia Lummis has swung into action to prevent a possible 70,000 BTC sale after a court notice sanctioned the asset dump.

In a letter to the United States Marshals Service, Lummis asked for insight into the agency’s stance on the proposed sale of almost 70,000 Bitcoin. She made the inquiry a week after a US federal court approved liquidating the Bitcoin seized in the Silk Road clampdown.

According to the letter, Lummis asked the US Marshals to answer specific questions, including why it intends to sell the bitcoins, when it will liquidate them, and its consideration of the incoming administration’s policies.

Bitcoin Sales Hurt Taxpayers: Lummis

Lummis, who proposed the bill to create a strategic Bitcoin reserve, noted that the US Marshals’ growing Bitcoin sales are concerning. She insisted that the agency’s handling of the BTC in its possession inflicts unavoidable losses on the American taxpayer.

Furthermore, the letter states that the federal prosecutor liquidated 195,092 BTC between 2014 and 2023 for $366.5 million. At the current market valuation, these assets would be worth $18.9 billion, a staggering 98% loss for the country.

Of the utmost priority is the recent ploy to sell another 69,370 BTC. Lummis argued that it is not a show of good sportsmanship to consider dumping the asset, considering President-elect Donald Trump’s publicly known plans to create a US Bitcoin reserve, building from its existing stash.

Trump Confirms US Bitcoin Stockpile Plans

Meanwhile, the letter came on the heels of growing confidence that Trump will create a national Bitcoin reserve. The Crypto Basic reported that the incoming pro-crypto president is receptive to the reserve plans and could pass an executive order in its regard upon resumption.

However, the report stated that Trump could take an America-first approach, allegedly favoring homegrown assets like Solana and XRP. Nonetheless, the US president’s friendly policies would benefit the global crypto industry.

Moreover, the Bitcoin Policy Institute has already drafted a bill that would require Trump and the Treasury Secretary’s approval to pull through. The proposal would require using the Treasury’s Exchange Stabilization Fund (ESF) to stockpile Bitcoin.

Lummis Warns the FDIC of Evidence-Tampering

Meanwhile, Senator Lummis also warned the Federal Deposit Insurance Corporation (FDIC) of tampering with evidence. In a parallel letter, the Republican advised the agency against jeopardizing evidence of Operation Chokepoint 2.0.

Lummis stated she got inside information that the agency is trying to jettison proof of its role in discouraging US banks from relating to crypto industries. The senator insisted that such a ploy was illegal and would attract severe consequences.

For context, recent reports indicted the FDIC for participating in Operation Chokepoint 2.0, a de-banking effort aimed at isolating digital asset firms from banking institutions.

Trump to Issue Order Designating Crypto as National Priority

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President-elect Donald Trump is preparing to issue an executive order that will prioritize cryptocurrency as a national policy priority.

Set to be unveiled after his inauguration on January 20, the order will establish crypto as a strategic sector for the U.S. government. This move is expected to open doors for industry insiders to play a more significant role in shaping policy. 

According to a Bloomberg report citing sources familiar with the plans, the order will also include the creation of a crypto advisory council to advocate for the sector’s interests within the administration.

Breaking Away from Biden’s Crypto Scrutiny

This executive order represents a transition from the Biden administration’s approach to cryptocurrency. Over the past few years, the sector has faced significant regulatory challenges.

However, the scrutiny gained momentum following high-profile cases such as the collapse of the FTX exchange. The Securities and Exchange Commission has filed more than 100 enforcement actions against crypto companies. Meanwhile, banking regulators have made it increasingly difficult for crypto firms to operate within traditional financial systems. 

However, the Trump administration’s executive order could change the landscape by pausing ongoing litigation involving major players like Binance and Ripple Labs. Per the Bloomberg report, this shift aims to create a more favorable environment for crypto companies to thrive in the U.S. market.

US Crypto Holdings and Future Plans

Notably, the executive order will also include plans for a national Bitcoin reserve. The U.S. government currently holds nearly $20 billion worth of Bitcoin, seized during various investigations. The sources say the government is considering formalizing these holdings into a national reserve. 

This would reflect a growing acceptance of digital assets within the government’s financial framework.

Meanwhile, Trump’s administration is also willing to create an America-first strategic reserve prioritizing cryptocurrencies developed within the United States over those originating offshore. This initiative could benefit U.S.-based digital assets such as Solana, XRP, and USDC.

The reforms and considerations expected under the incoming administration have garnered significant international attention. In particular, it is prompting companies to explore opportunities to enter the U.S. market. TON Foundation, which is closely linked to Telegram Messenger, is one such example.

Global Crypto Firms Shift Sight to U.S. 

A January 14 report noted that the TON Foundation is redirecting its focus towards the United States. It cited the anticipation of a more favorable regulatory landscape under the incoming Trump administration.

Similarly, Tether Holdings is exploring potential expansion into the U.S. market. Tether’s lobbying efforts have already increased, and the company’s connection to figures like Howard Lutnick is expected to influence its strategy moving forward. Lutnick is the CEO of Cantor Fitzgerald LP, a firm that manages Tether’s U.S. Treasury holdings.

Senator Lummis Threatens FDIC with DOJ Investigation Amid Destruction of Implicating Crypto Documents

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Senator Cynthia Lummis has formally expressed concerns about allegations regarding the destruction of materials relating to FDIC’s crypto-related activities, particularly Operation Chokepoint 2.0. 

The senator expressed this concern on Thursday in a letter sent to Marty Gruenberg, the chair of the Federal Deposit Insurance Corporation (FDIC).

According to the letter, Senator Lummis claimed she learned from whistleblowers that the FDIC is destroying documents relating to its crypto activities and closely monitoring staff access to these materials. 

This restriction is part of efforts to prevent them from disclosing details of the materials to the Senate. Citing whistleblowers, Senator Lummis accused the FDIC of threatening some staff with legal actions to silence them. 

Operation Chokepoint 2.0 

The senator characterized the FDIC’s alleged destruction of materials regarding its crypto-related activities, particularly those related to Operation Chokepoint 2.0, as illegal. 

Lummis’ allegation centers around Operation Chokepoint 2.0. For context, this relates to a purported effort by authorities to restrict crypto businesses from accessing traditional banking services. 

Many industry stakeholders have previously blamed this effort for the collapse of Silvergate Bank. In a post on X, Lummis claimed the FDIC is attempting to hide Operation Chokepoint 2.0’s existence by destroying documents related to such actions. 

Lummis Issues Directive to FDIC 

Consequently, Lummis demanded an immediate halt to the destruction and retaliatory actions against selected FDIC staff. 

Furthermore, she directed the FDIC to preserve all materials relating to the agency’s crypto activities since January 1, 2022. They include the agency’s communication, documents, metadata, and digital information linked to its crypto activities. 

She also specified certain areas of materials that must be preserved, including the FDIC’s supervision of banks like Silvergate and Signature, as well as the agency’s crypto-related communications with federal and state banking agencies, among others.

The senator emphasized that these materials might be relevant to the Senate Banking Committee in the near future.

Lummis Warns FDIC Execs of DOJ Investigation

According to Lummis, the Senate’s oversight power overrides any confidentiality claim by the FDIC or any other federal banking agencies regarding these crypto-related materials. 

In parallel, she disclosed plans to initiate a criminal investigation with the Department of Justice (DoJ) of anyone attempting to intentionally destroy the FDIC crypto-related activities’ materials or obstruct the Senate’s oversight function.  

Shiba Inu Bulls Gain Ground as SHIB Eyes $0.000025 Amid $3M in Excess Demand

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Shiba Inu has seen significant interest over the past 24 hours, with bulls having the upper hand.

After roughly one month of market uncertainty, crypto assets appear to be finding their footing again as anticipation builds for President-elect Donald Trump‘s inauguration. 

Among the assets seeing significant interest among traders in this recovery is the doggy-themed crypto Shiba Inu (SHIB). Recent data suggests that the token has been seeing considerable interest, with bulls seemingly having the upper hand as it approaches a key level.

Shiba Inu (SHIB) Bulls Show Dominance

Shiba Inu (SHIB) has seen significant interest over the past 24 hours, with bulls having the upper hand, per IntoTheBlock’s Bulls and Bears volume indicator. 

The Bulls and Bears volume indicator tracks the volume traded by addresses that bought or sold over 1% of the trading volume on the day, with bulls being the buyers and bears being the sellers.

SHIB Bulls and Bears volume chart
SHIB Bulls and Bears volume chart. Source: IntoTheBlock

According to the data, these market participants traded a staggering 13.04 trillion SHIB combined on Thursday, January 16, worth $313 million at the time of writing. Bulls, however, edged out bears with 140.24 billion SHIB worth $3.4 million.

Interestingly, this trend appears to have been building up since January 10, aligning with the token’s 14% rally over the past seven days from the $0.000021 price level to around $0.000024 at the time of writing.

The move contrasts with the last time the token experienced this level of interest between December 11 and December 16, when it dropped 7% from about $0.000029 to lows near $0.000027 amid uncertain market conditions.

Amid the recent rally and interest, SHIB now appears to be getting set to challenge a key resistance at $0.000025. On Thursday, market analyst “CryptoRoy” asserted a break above this level would allow the token to retake recent highs of $0.000033.

XRPL Amendment to Allow Creation of XRP/RLUSD AMM Pool Gains Validator Approval

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An XRPL ammendment that will pave the way for the creation of an XRP/RLUSD AMM pool has achieved validator approval.

The XRP Ledger (XRPL) community has approved a significant amendment to allow the creation of automated market maker (AMM) pools for RLUSD. This change comes as the XRPL ecosystem seeks to boost XRP liquidity and support wider adoption of Ripple’s stablecoin.  

AMM Clawback Amendment Hits Validator Approval 

The AMMClawback amendment, which recently gained over 85% approval from XRPL validators, will specifically allow tokens with a clawback feature, like RLUSD, to be used in AMM pools. This comes ten months after XLS-30D passed last March, allowing the creation of AMM pools on the XRPL. 

Currently, tokens with the clawback feature are excluded from AMMs. The clawback function, whose amendment passed in February 2024, is essential for regulatory compliance, particularly for banks, as it enables issuers to reclaim tokens under specific circumstances, such as criminal activities.  

The amendment introduces two key modifications. First, it permits clawback-enabled tokens to interact with AMMs. Second, it updates the rules for token deposits in AMMs, ensuring frozen tokens cannot be deposited. 

Additionally, a new transaction type, AMMClawback, will allow issuers to reclaim tokens deposited in AMM pools. These changes set the stage for creating AMM pools featuring RLUSD, Ripple’s stablecoin, and other tokens like XRP.

The amendment gained traction when it secured 29 votes in favor and six against, achieving an approval rate of over 82%, as confirmed by prominent dUNL validator Vet. With 80% approval required for two consecutive weeks, the proposal was already on track to pass. 

Interestingly, latest data suggests it has crossed 85% approval with 30 validators supporting it and only five opposing. If this rate holds for the next two weeks, the amendment will officially take effect on Jan. 30, 2025. According to Vet, anyone can create AMM pools with RLUSD once the amendment becomes active. 

XRPL AMM Clawback Amendment XRP Scan
XRPL AMM Clawback Amendment | XRP Scan

RLUSD Could Boost XRP Liquidity  

RLUSD, which launched in December 2024, has gained traction across various exchanges, though it has yet to list on major platforms like Binance and Coinbase. 

Ripple’s CTO, David Schwartz, and others have noted that RLUSD could significantly boost XRP liquidity if fully adopted. However, the stablecoin’s integration into AMM pools serves as a major step toward achieving this goal.  

Panos Mekras, co-founder of Anodos Finance, highlighted the excitement surrounding the forthcoming XRP/RLUSD AMM pools. Mekras urged community members to prepare to provide liquidity and utilize the swap features once the amendment is live. Anodos Finance will facilitate these activities through its platform.