The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Trump's reserve announcement raised further questions over asset allocations, how it would be funded and how likely it is to be enacted.
The Bybit hack, a more hawkish Federal Reserve and weakened sentiment contributed to the negative flows, James Butterfill said.
Federal Reserve Vice Chair for Supervision Barr pushed back on claims that the crypto industry is being shut out of the banking sector.
Bitcoin-based funds are “highly sensitive” to interest rate expectations and bore the brunt of last week’s outflows, James Butterfill said.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Momentum for a Fed audit is building, driven by social media support for Ron Paul to spearhead the effort and an endorsement from Elon Musk.
President Trump has reportedly tapped former blockchain executive Jonathan Gould to lead the Office of the Comptroller of the Currency.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
BoE Gov. Andrew Bailey reflected on potential changes in the crypto regulatory environment globally, particularly following Trump's election.
Standard Chartered sees current market conditions as supportive for bitcoin, as long as yields stay contained and the economy remains stable.
Crypto and wider market sentiment remains fragile ahead of the U.S. jobs report, QCP Capital analysts said.
Custodia Bank CEO Caitlin Long says Trump's crypto moves could lead to an upending of the public payment network.
Coinbase said it wants three top federal banking agencies to take certain steps to end alleged debanking in the crypto industry.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Christine Lagarde said Thursday that bitcoin would not be included in the ECB's reserves, citing liquidity, security, and regulatory concerns.
The CNB’s board will decide the next steps based on the analysis, with no changes made until that process is concluded.
"The threshold has been a little higher for banks engaging in crypto activities and that's because they're so new," Powell said.
Bitcoin’s price traded flat on Wednesday afternoon after the Federal Reserve held interest rates steady at 4.25%-4.50%.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Czech National Bank Governor Aleš Michl said he will present a bitcoin investment plan to the bank’s board on Thursday.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
A U.S. House committee says it is investigating alleged debanking in the crypto industry, according to a recently published letter.
The ECB is advocating for a digital euro in response to Trump's executive order promoting U.S.-backed stablecoins.
According to a BIS report, Jamaica, Nigeria, China, Sweden, the Bahamas, and Peru have CBDC programs in various stages of development.
TradFi looks safe on the international payments market for the foreseeable future, despite advances in blockchain solutions.
Economic sanctions have a profound effect on international financial architecture, it turns out.
Bitcoin, the world’s top cryptocurrency, is designed to act as a money or payment option outside anyone’s control. Using the crypto, which is decentralized and peer-to-peer, removes the involvement of third parties, like central banks. This Bitcoin promise has redefined the financial landscape, helped the unbanked, and empowered those who want independence. However, the ecosystem has its share of critics, including central banks. Related Reading: Floki Inu Warning: Analyst Says ‘Prepare For The Crash’ – Details Central banks’ role shrinks as the Bitcoin ecosystem grows and its use cases expand. This prevailing belief is validated by a growing amount of research from financial institutions and central banks that assess Bitcoin’s disruptive nature. The ever-increasing narrative focuses on Bitcoin’s role in promoting inequality and its potential to disrupt central banks’ policies. The Role Of Bitcoin In Distributing Wealth One subject of central banks’ studies highlights Bitcoin’s role in wealth distribution. To help us understand Bitcoin’s role, we look at two papers published by the European Central Bank. The first paper, published after the FTX fiasco in 2022, is titled “Bitcoin’s Last Stand,” which sees the top crypto as a failed monetary project nearing its end. But in 2024, when Bitcoin hit an all-time high, the same researchers filed another study, painting Bitcoin positively. The paper argued that crypto can impact wealth distribution, but only the early holders get richer. Since Bitcoin or crypto use doesn’t produce a product or service, the increased wealth of early adopters comes from the reduced consumption of all other members of society. Does BTC Disrupt Monetary Policies? Other finance-related researches look at Bitcoin’s impact on monetary policies. For example, the Minneapolis Federal Reserve argues that when people can hold and use Bitcoin, it is difficult for the state to run budget deficits regularly. Traditionally, the government can just offer bonds in case there’s a deficit in revenue collection. But governments may only spend what they usually collect if there’s Bitcoin. The study suggests two options: one, to ban Bitcoin’s adoption, and two, to tax this asset. In addition to the Minneapolis paper, an IMF policy paper in 2023 highlighted Bitcoin’s effect on monetary policy. The paper argues that Bitcoin impacts a state’s policy, and emerging markets are most vulnerable. As a solution, the researchers recommend strengthening their monetary policies first before banning Bitcoin. Related Reading: MicroStrategy Stock Hits All-Time High As Bitcoin Blazes Past $67,000 Central Banks, Financial Institutions Now Take Bitcoin Seriously Recent studies and research from central banks indicate that Bitcoin is redefining finance. While these papers don’t mirror the ideas and thinking of policymakers at these institutions, they give us insight into how the industry sees Bitcoin. Some recent policies, including the IMF 2022 Argentina bailout recommendations, include a few anti-cryptocurrency provisions. Bitcoin’s continued popularity is now becoming an obstacle for many central banks in their efforts to create monetary policies. One of the main aims of Bitcoin’s supporters is to offer the public an alternative financing landscape free from the direction, if not, clutches of banks. Featured image from Dall-E, chart from TradingView
According to the paper, central banks collectively hold $2.2 trillion in gold as of Q1 2024 and continue to expand their gold allocations.