Hello and welcome to our new and first weekly news review!
In this section, we collect the main news for the past week, analyze them and give our short comments.
This issue will be devoted to the news that appeared on the network from 9 to 13 January. Hope you enjoy it.
So, let’s start!
Of course – Bitcoin!
Bitcoin started this week at $16.9 thousand. Already on Monday, having broken through the mark of 17 thousand dollars, it sharply rushed to 18. This could not but affect the market – the quotes of various altcoins were green all week.
Altcoin trading dominance (%) at the highest level since January 21st.
At the time of writing (13.01.2023), Bitcoin is holding at around $19.200 thousand. According to coinmarketcap, the total growth of the currency amounted to almost 14%
An impressive start to the year, inspiring a positive attitude.
Well, you can once again see how huge the impact on the entire market is the number 1 cryptocurrency.
What are your predictions for bitcoin this year? Do not forget to leave comments on this article and share your opinion.
Chainspot team
Citizenship for cryptocurrency? Now it’s real!
For the first time, it became possible to obtain citizenship for cryptocurrency.
On the Huobi crypto exchange, you can get a “decentralized identity” for Dominica, an island nation in the Caribbean. In fact, this is a virtual passport, for which you need to pass KYC verification to the maximum level.
The opportunity arose due to the fact that Huobi is developing the national token of Dominica. In the future, the holders of these Dominica Coin tokens are promised regular paper passports from the Government of Dominica.
*Citizenship of Dominica makes it possible to visit more than 130 countries without a visa, as well as open bank accounts in the country and register companies
The governments of most countries are actively moving towards the CBDC (Central Bank Digital Currency). In our opinion, many high-profile statements on this topic are expected this year, as well as a starting transition from theory to practice.
Chainspot team
How knowledgeable are you about the CBDC? Looks like now is the time 🙂
FTX Saga continues
Sam Bankman-Fried (SBF), while under house arrest, started a blog where he outlined his vision of what happened to the exchange:
- He did not steal money;
- FTX and Alameda managed well and were profitable;
- in 2022, Alameda lost 80% of its money due to the collapse of the 3AC and Voyager Digital funds, they are to blame for the collapse;
- a “black” PR company was organized against FTX, to which a competitor, the head of Binance, had a hand. He is to blame for the collapse of the stock exchange;
- Sam was threatened by a law firm, forcing him to file for bankruptcy and resign;
- if Sam had been given time, he would have found capital, and the exchange would not have filed for bankruptcy
This whole situation with the fall of the FTH has raised a new wave of supporters of decentralization. The chainspot team fully supports this trend. It is gratifying that many investment funds understand this and right now refuse to invest in decentralized projects, thereby voicing their opinion.
Chainspot team
What about stablecoins?
Tether, the market cap-leading stablecoin, continues to rise as “sharks” and “whales” pile up in anticipation of the next big move. There are currently 21,459 addresses holding $100,000 or more USDT, just 1% short of a new all-time high record.
In our opinion, the development and growth of stablecoins is the number 2 indicator after bitcoin, embodying the cryptocurrency market. The growth of this sector cannot but please crypto enthusiasts.
Chainspot team
Federal Reserve commenting crypto
Fed: “We do not intend to impede the development of the crypto industry”
The Fed is worried that strict regulation of the crypto industry may push it away from the traditional sector towards greater decentralization, which will lead to destabilization of the financial system. Member of the Federal Reserve Board of Governors (FED) Michelle Bowman spoke at the Florida Bankers Association Executive Conference in Miami, where she spoke about how the Fed is trying to reduce inflation, treats cryptocurrencies and sees their impact on the US economy. According to Bowman, recent events in the crypto industry, such as the default of the FTX crypto exchange, have demonstrated that the industry can pose significant risks to consumers, businesses, and the financial system as a whole. At the same time, she stated that many traditional financial institutions will not stop moving towards cryptocurrencies and blockchain. Therefore, the Fed and banking regulators will continue to study the industry and try to mitigate the risks it poses. At the same time, says Bowman, the Fed does not want to discourage innovation, on the contrary, they should nurture it in order to satisfy consumer interest.
“With stricter regulation, we would push the industry towards the non-banking sector, and this in turn would lead to less transparency and risks to financial stability. Now we are thinking about how to properly approach regulation so as not to cause serious rejection in the industry”
says a Fed spokesman.
Well, that was a summary of the biggest news of the past week. Share your opinion in the comments, as well as join our community in telegram and twitter. You can send us your news collections that did not make it into this issue, and perhaps they will appear and be commented on by our team in the next issue.
Have a great weekend everyone, stay tuned!
