Has Satoshi Nakamoto Finally Been Unmasked? Believe It or Not, Bitcoin is Rising

Bitcoin has some "main character energy" today. Satoshi Nakamoto isn't far behind. The pseudonymous creator of bitcoin, the world's best-known cryptocurrency, is once again a hot topic after the New York Times published a story suggesting that British cryptographer Adam Back was Satoshi. Back denies it, leaving the mystery alive for many, but that hasn't stopped the real-time dissection of the story, which examined Back's and Satoshi's writing patterns, among other factors.

Bitcoin, meanwhile, is getting another lift, aided by developments—including a tentative ceasefire between the U.S. and Iran—that have sparked a relief rally in risk assets. The price of bitcoin headed toward $73,000 early Wednesday before paring gains. Altcoins such as eth and sol, as well as crypto-linked stocks including Coinbase (COIN), Circle (CRCL), Strategy (MSTR) and Robinhood (HOOD), also got a boost.

The passage of a key crypto bill called the Clarity Act has been seen as a near-term catalyst that could get bitcoin prices moving higher again. In the meantime, some smaller developments may put a bit of wind in crypto's sales.

So did the list of ways investors can trade bitcoin. Morgan Stanley's comparatively low-cost spot bitcoin fund launched today under the symbol "MSBT," potentially ushering in more advisor-driven capital to the digital asset. Bloomberg ETF analyst said it was "arguably the biggest btc launch" since spot bitcoin ETFs debuted in January 2024, predicting that it could gather assets of $5 billion in its first year.

As a group, the ETFs had roughly $90 billion in assets under management as of Tuesday evening, according to crypto data firm Coinglass.

Washington, meanwhile, may have handed crypto a small assist. The long-awaited crypto bill known as the Clarity Act has stalled over disagreements about how stablecoin rewards should work, with the crypto industry and the banking sector at odds. The White House's Council of Economic Advisers published a 21-page presentation with the takeaway that stablecoin rewards would have minimal impact on banks.

"A yield prohibition would do very little to protect bank lending, while forgoing the consumer benefits of competitive returns on stablecoin holdings," the report said.

This rally in bitcoin could be short-lived, according to some market watchers. "I still view this as a bear market rally," said Sean Farrell, Fundstrat's head of digital strategy, said in a report yesterday. "But the combination of easing geopolitical risk, falling crude, and improving positioning creates a constructive near-term backdrop that I am not rushing to fade."

Finally, there might be a bullish nugget in the possibility that, under an Iran agreement, ships passing through the Strait of Hormuz will pay a toll in crypto. Iran's oil exporters' union told the Financial Times that Iran intended to require $1 per barrel of oil, paid in bitcoin, from ships using the strait during the two-week ceasefire.

This article has been updated since it was first published to add information and context.