“The Fed said Wednesday in a statement that it will reduce the pace of asset purchases by $15 billion a month starting this month. Purchases of U.S. Treasurys will drop to $70 billion a month from $80 billion, while purchases of government-backed mortgage securities will decline to $35 billion a month from $40 billion. The Fed will continue to wind down its purchases by $15 billion every month until the program concludes during the middle of next year.
The U.S. central bank left interest rates unchanged at close to 0%, but a growing number of analysts in traditional markets are predicting the Fed might have to start hiking the benchmark rate to tamp down inflation at a time when U.S. consumer prices are rising at a clip not seen on a sustained basis in three decades.
If the Fed stays the course and tilts hawkish on inflation, bitcoin might look incrementally less attractive as a hedge against dollar debasement, and the cryptocurrency’s price could come under downward pressure similar to the predictions for the stock market.
Bitcoin’s price briefly dropped after the statement but by press time was essentially unchanged around $62,300. The Fed’s decision had been fully telegraphed by officials prior to the meeting, and thus may have been anticipated by the market.
On one hand, tightened monetary policy may lead to less rapid growth of bitcoin demand, as many use it to hedge inflation. On the other hand, the effects of the largest QE in history may lead to the largest inflation in history, regardless of the Fed attempting to scale back.”
“The letter questioned why the SEC is comfortable with allowing a derivatives-based bitcoin ETF but not a bitcoin spot ETF. Emmer and Soto wrote that bitcoin spot ETFs are based directly on the asset and offer investors more protection than one based on derivatives.
To be clear, we do not intend to say that one method of exposure is better than the other, but rather that unless there are clear and demonstrable investor protection advantages, investors should have a choice over which product is most suitable for them and their investment objectives.”
“The partnership enables Goldman Sachs to use Daml, a development framework created by Digital Asset to allow financial institutions to build and execute agreements on blockchain. Daml will help Goldman Sachs develop its own ‘end-to-end tokenized asset infrastructure‘ that would support multiple asset classes on private and public blockchains.
As we continue to build out our tokenization capabilities, we need solutions that could rapidly capture the full complexity and diversity of assets at the heart of our business for both digitally native or tokenized traditional assets, and be interoperable across multiple blockchains.”
“Coinbase is now allowing customers to borrow as much as 40% of their bitcoin value up to $1 million with no credit checks. The loans will be issued with an annual percentage rate of 8%. Customers can obtain the cash using their PayPal or bank accounts.
Coinbase said that it won’t lend or otherwise use the collateralized bitcoin but instead continue to hold it.”
“Three of the top 10 largest cryptocurrencies by market cap each set a new all-time high price today as recent market momentum continues apace.
Amid these increases and others of late—including Bitcoin’s own recent all-time high, plus momentum behind metaverse-related coins and tokens—the overall cryptocurrency market is currently at a new peak of $2.91 trillion.”
“There’s no sugar-coating it, EOS, as it stands, is a failure.
The last three years or so have been nothing but dwindling in terms of market cap and in terms of token value. When we look at EOS compared to the rest of other cryptos, especially in satoshi levels, EOS has been a terrible investment. It’s been a terrible financial, time and community investment. The reality is that many people no longer want to be associated with EOS because of its tarnished reputation. EOS, as it stands, is a failure.”