Crypto Recap
Jul 15, 2024
Here’s your weekly update from Metaverse.SG, spotlighting the hottest crypto happenings of the week:
BTC ETF Bitcoin Flow:
Positive outlook on US inflation
Recent data shows that U.S. inflation has decreased more than anticipated, reaching 3.0%. This decline provides a significant boost to economic stability and consumer confidence.
Federal Reserve Chair Jerome Powell, in his address to the U.S. Senate Banking Committee, highlighted the central bank's monetary policy approach. Powell indicated that the Federal Reserve will not wait for inflation to hit the long-term target of 2% before considering a reduction in interest rates. This pragmatic stance aims to balance controlling inflation and supporting economic growth.
Market analysts have noted a rising probability of an interest rate cut in September, now estimated at 89%. This shift suggests that the Federal Reserve is preparing to ease monetary policy sooner than previously expected.
The likelihood of a rate increase in the near term seems low, reflecting confidence in the current downward trend in inflation. Powell's statements underscore the Fed's flexible approach to monetary policy, ensuring that adjustments are responsive to economic conditions rather than fixed targets.
SEC halts investigation into $BUSD and Hiro System
The Securities and Exchange Commission (SEC) has announced the cessation of its investigation into $BUSD and Hiro System. This decision marks a significant development in the regulatory landscape of the cryptocurrency market.
The probe, which had been closely watched by industry stakeholders, was primarily focused on potential regulatory violations and ensuring compliance with financial laws. The SEC's decision to halt the investigation is seen as a positive signal for the broader adoption of blockchain technologies and digital assets.
Market analysts suggest that this move could pave the way for greater innovation and investment in the crypto sector. It reflects a more nuanced approach by the SEC towards emerging technologies, balancing oversight with the need to foster growth and innovation.
As the regulatory scrutiny eases, companies within the cryptocurrency ecosystem, including those like Hiro System, can potentially operate with increased confidence and stability.
This development underscores the evolving relationship between regulatory bodies and the rapidly advancing world of digital finance.
Ethereum ETFs nearly ready to launch
The imminent launch of Ethereum ETFs marks a significant advancement in the cryptocurrency sector, with the SEC making fewer amendments to issuer applications, according to Bitwise COO.
Bitwise, a key player in cryptocurrency investments with its spot Bitcoin ($BTC) and Ethereum ($ETH) ETFs, is at the forefront of this development. The SEC's streamlined approval process reflects increased confidence in these digital asset products.
South Korea proposes delaying cryptocurrency tax implementation until 2028
South Korea has proposed delaying the implementation of its cryptocurrency tax until 2028 to foster the growth of the digital asset market.
This move aims to create a more favorable regulatory environment, encouraging innovation and investment while allowing more time for adaptation to market changes. By postponing the tax, South Korea seeks to balance regulatory oversight with the promotion of blockchain technology.
The FUD around Germany government BTC sales are done
The German government completed the sale of its remaining Bitcoin holdings on July 12. The final transaction involved 3,846 Bitcoin, valued at around $62,604 per Bitcoin, which were sent to "Flow Traders and 139Po," entities likely to institutional deposit/OTC services, according to Arkham Intelligence.
Conclusion:
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