“Perceived store-of-value assets like bitcoin and gold are rising as investors reassess the stickiness of inflation in the wake of a hotter-than-expected October reading in the U.S. consumer price index (CPI). The new data could provide a fresh test for Federal Reserve Chair Jerome Powell’s characterization of the inflation threat as “transitory”.
Cost of living in the U.S. rose 6.2% in October from a year earlier, the fastest since 1990. Core inflation, which strips out the volatile food and energy component, rose 4.6%, the highest pace since August 1991. The inflation increase was ‘broad-based, with increases in the indexes for energy, shelter, food, used cars and trucks and new vehicles among the larger contributors.’
Bitcoin’s price reaction to the CPI report is not only a signal that the market is extremely averse to inflationary pressure, it is a sign investors are now firmly using bitcoin as a hedge against rising prices. It is also a sign that institutional investors may be participating in ‘buying the news,’ as this is the sort of movement we’d typically associate with other markets that react heavily to economic news.
Traders now see a 38% chance of a rate hike in June 2022, up from 28% prior to the CPI report. Should markets price in faster and earlier rate hikes, bitcoin’s momentum may slow.”
“Prior to joining Twitter, Rinearson worked at Tendermint on the consensus engine Tendermint Core, and previously worked at the software payments firm Interstellar.
First, we’ll be exploring how we can support the growing interest among creators to use decentralized apps to manage virtual goods and currencies, and to support their work and communities.
Looking farther ahead, we’ll be exploring how ideas from crypto communities can help us push the boundaries of what’s possible with identity, community, ownership and more.”
“The credit card giant said it would focus on “crypto enablement,” which encompasses purchasing, spending, cashing out and rewards involving cryptocurrency; crypto security, including identity services; and network access, which covers interoperability, stablecoins and central bank digital currencies (CBDC).
Mastercard senior executives believe that crypto payment flows, including remittances, traditional finance (TradeFi) and decentralized finance (DeFi), represent net new volume for the company.”
“The biggest fear decentralized finance (DeFi) projects faced was that regulators would fail to see the advantages of such an innovation and follow China’s example by cracking down, Christensen said, but he noted that the report makes it clear that that’s not the case.
The potential value of decentralized technology has been recognized … It’s not just being lumped into the same box without really caring about how that could squash innovation. The report very clearly shows a recognition that there’s a difference between centralized and decentralized stablecoins.
In regards to MakerDAO’s future in the U.S., Christensen also sounded optimistic, saying that the report ‘could result in MakerDAO feeling more comfortable allocating more collateral towards the U.S. economy.'”
“The new research surveyed 197 video game developers in the United States and the United Kingdom. The results showed that 58% of developers are beginning to use blockchain technology, and almost half of the respondents (47%) started incorporating nonfungible tokens (NFT).
The study indicates developers’ confidence in blockchain and NFTs, as two-thirds of studios expect blockchain to become prevalent in the gaming industry within the next two years.
They enable players to own a stake in the games they play by, for example, buying land within a metaverse game as an NFT or a car in a racing game. Historically, games have been pay-to-play, and the value accrued only to companies and platforms. Blockchain and NFTs turn this situation on its head.”