Elon and Doge sued for “too much efficiency”

The BlackRock iShares Bitcoin (BTC) Trust ETF (IBIT) experienced a substantial influx of $970.9 million, making it the second-largest net inflow since its launch in January 2024, based on data from Farside. On Monday, there was a total of $591.2 million in new capital, resulting in significant outflows from rival ETFs such as Fidelity’s FBTC, Bitwise’s BITB, and ARK’s ARKB.

BTC has seen a 7.2% increase in the past seven days, reaching a trading price of $94,900. Since April 22, IBIT has accumulated over $4.5 billion in net inflows, defying market trends.

Industry experts, including Nate Geraci, President of The ETF Store, and Eric Balchunas, Senior Bloomberg ETF Analyst, have taken notice of this surge in investments. Geraci highlighted the nearly $1 billion inflow into iShares Bitcoin ETF, expressing his surprise at the increased demand. Balchunas commented on the positive momentum of ETFs following a setback.

In the derivatives markets, CME Bitcoin Futures’ open interest has been decreasing, currently at 132,750 BTC after four consecutive days of decline, according to CME data. However, there might be a turnaround soon, as the annualized basis yield has risen from 5% to 9% in April, as reported by Velo data. This increase in basis trade profitability could lead to renewed activity and a temporary rebound in open interest.

The significance of these developments lies in the impact on basis trades, where investors capitalize on the price gap between spot bitcoin and bitcoin futures. A high yield encourages more traders to participate in futures trading, thereby increasing open interest. Conversely, a shrinking yield results in reduced engagement in basis trades and signals lower market leverage.

A group of investors, led by billionaire entrepreneur Elon Musk, recently made a staggering $97.4 billion bid to acquire the nonprofit entity that controls OpenAI. However, the offer was swiftly rejected, highlighting the firm’s governance structure, which prevents any single individual or entity from seizing control.

Musk, a co-founder of OpenAI alongside Sam Altman, played a pivotal role in establishing the organization in 2015 as a nonprofit dedicated to the ethical development of artificial intelligence. However, he parted ways with the company in 2019, citing strategic disagreements. Since then, Musk has become one of OpenAI’s most vocal critics, accusing the company of straying from its original nonprofit mission by forming a for-profit subsidiary and partnering closely with Microsoft.

In recent years, OpenAI has shifted towards a hybrid structure, allowing it to secure billions in investment while maintaining a nonprofit oversight board. This transformation has fueled Musk’s concerns, leading him to file multiple legal complaints alleging that OpenAI is prioritizing commercial interests over public benefit. He claims that the company’s close ties with Microsoft could concentrate AI power in corporate hands, contradicting its original ethos of making AI advancements freely accessible to all.

The rejected bid underscores the ongoing tensions between Musk and OpenAI’s leadership. While the company remains committed to its current governance model, the debate over AI’s future—whether it should be controlled by open research initiatives or corporate giants—continues to shape the industry’s landscape. With AI technologies rapidly evolving, the conflict between profit motives and public responsibility is likely to remain a central issue in the years to come.

The recent surge in the price of gold, potentially indicating a blow-off top, seems to have had a positive impact on bitcoin (BTC). This trend is expected to continue, with bitcoin already being one of the best-performing global assets lately.

Following President Trump’s Liberation Day tariffs in early April, gold’s rally reached new heights, peaking above $3,500 per ounce on April 21. During this time, bitcoin was trading at $87,000, which was relatively flat from Liberation Day but down by about 20% from its all-time high in January.

However, gold has since dropped by nearly 10% to slightly above $3,200 per ounce, while bitcoin has surged by about 10% to reach a two-month high of $97,000.

According to Geoff Kendrick from Standard Chartered, bitcoin might be a better hedge than gold against strategic asset reallocation out of the U.S. He pointed out that the inflow into bitcoin funds has surpassed that into gold funds, indicating a shift in investor sentiment.

Kendrick also highlighted that the margin between bitcoin ETF inflows and gold was last seen during the week of the U.S. presidential election. Following that event, the price of bitcoin rose by more than 40% to above $100,000 within two months.