As bitcoin, ethereum and other cryptocurrencies get increasing attention from investors, Wall Street and its traditional banks continue to adjust to the shift. Catch up on this week's top stories highlighting the intersection of these old guard and new school areas of finance with this recap compiled by The Fly: 1. CFTC RELEASES REPORT: The U.S. Commodity Futures Trading Commission released a report on Tuesday, titled "A CFTC Primer on Virtual Currencies," in which it said digital currencies like bitcoin fall under the oversight of the commission when they are used "in a derivatives contract, or if there is fraud or manipulation involving a virtual currency traded in interstate commerce." The report, which also outlined prohibited activities and risks associated with digital currencies, said, "beyond instances of fraud or manipulation, the CFTC does not oversee 'spot' or cash market exchanges and transactions involving virtual currencies that do not utilize margin, leverage, or financing." 2. RUSSIA PLANS CRYPTO LAUNCH: Russia is planning to launch its own official cryptocurrency, called the CryptoRuble, although it is unlikely to have the decentralized nature of other digital currencies, TechCrunch reported on Sunday. The CryptoRuble, which cannot be mined, appears to be blockchain-based but will be issued and tracked by the government like ordinary currency. CryptoRubles will be able to be freely exchanged, however they will require proof of origin upon exchange, such as a documented retail transaction or service rendered and undocumented CryptoRubles will face a 13% tax. 3. SPAIN BEGINS BLOCKCHAIN: Top technology officers at some of Spain's largest companies have formed a consortium to develop a national blockchain-based ledger, called Alastria, with assistance from the government and universities, TechCrunch reported on Tuesday. The consortium's board includes Banco Santander (SAN) head of blockchain research and development Julio Faura, vice presidents in charge of innovation at BME and Banco Sabadelli Maria Parga and Montserrat Guardia, Repsol's (REPYY) director of innovation Nuria Avalos, BBVA (BBVA) CTO of digital innovation Carlos Kuchovsky and Gas Natural Fenosa director of technology and communications Jose Maria Boixeda. According to an Alastria statement, the network "will provide a shared platform on which the various participants, and in particular large companies, will be able to create digital representations of the assets with which they work in their usual economic activity, also known as 'tokens'. With these 'tokens' it is possible to develop new products and innovative cutting services, in addition to being able to develop current processes faster, safer and more efficiently." 4. SHILLER SAYS BITCOIN A FAD: On Monday, Nobel Prize-winning economist Robert Shiller said bitcoin is a fad and compared it to bimetallism on CNBC's Closing Bell. "I'll take bitcoin, too, because I know I can sell it and get out of it. There seems to be some strange enthusiasm for it," he said. "People get excited about things like new monetary standards. Remember bimetallism? It went into a fad, everyone was talking about it for a while. And then it faded." He added, ""I think gold is a bubble, but it's always been a bubble. It has some industrial uses, but it basically it's like a fad that's lasted thousands of years." 5. OTHER BITCOIN PLAYS: Cryptocurrency revenues have been pointed to as reasons to be bullish on Advanced Micro Devices (AMD) and Nvidia (NVDA) in select research. PRICE ACTION: As of time of writing, Bitcoin rose about 4.4% this week, or $250, to trade near $5,950 in U.S. dollars according to CoinDesk. Meanwhile, AMD shares were down 2% to $13.95 this week and Nvidia rose 1.7% on a weekly basis to $197.96. Bitcoin Investment Trust (GBTC) rose 3% this week to $703. WANT BITCOIN NEWS ALERTS?: To receive alerts on stories relating to bitcoin and other cryptocurrencies, Fly subscribers can enter "Bitcoin" into the "Add symbols" box of their portfolios.
