There appeared to be consensus around growing labor market risks even as sticky inflation remains an issue.
Federal Reserve Governor Michael Barr, who was the central bank's regulatory chief during the Biden administration, flagged potential stablecoin pitfalls.
A new law regulating stablecoins is a meaningful improvement, but has some gaps that need to be filled, said Fed Governor Barr.
CEO Brad Garlinghouse, whose company is seeking a federal bank license and Federal Reserve "master account," called banker pushback "hypocritical."
K33's Head of Research expects patience to be rewarded, with past deleveraging events often marking market bottoms.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
The flows were driven by a delayed response to the U.S. interest rate cut, CoinShares Head of Research James Butterfill said.
Markets brace for the Fed’s Oct. 29 FOMC decision amid shutdown and U.S. jobs market and inflation uncertainty, with crypto and stocks vulnerable to sharp downside moves.
According to Former BitMEX CEO and Maelstrom Fund manager Arthur Hayes, Bitcoin could hit $3.4 million By 2028. That figure sits on a chain of big assumptions about credit growth, debt buying and policy shifts. Hayes pins his math to an estimated $15.3 trillion in combined Federal Reserve and commercial bank credit growth through 2028, with the Fed buying 50% of new Treasury debt and bank credit rising by $7.57 trillion. Related Reading: These Analysts Predicted The Bitcoin Price Crash And Their Forecasts Say It’s Not Over How The Fed Could Shift Hayes argues that control of the Fed matters more than usual. He says US President Donald Trump’s team, led by Treasury Secretary Scott Bessent, plans to reshape Federal Reserve policy through board picks and regulatory pressure. The plan would need four seats on the Board of Governors to swing votes on short-term rates by using Interest on Reserve Balances rules. Hayes points to Governors Bowman and Waller and the newly confirmed Stephen Miran as potential allies, which he says brings the Trump camp to three supporters. He also predicts pressure on Governor Lisa Cook, including a DOJ review of mortgage fraud claims that, Hayes says, could push her out by early 2026. Reports say the administration aims to replace some regional Fed presidents around the February 2026 elections. As promised “Four, Seven” discusses the Trump takeover of the Fed and is the corresponding essay to my KBW speech this morning.https://t.co/NV2XQei69d pic.twitter.com/9NKC8uq7An — Arthur Hayes (@CryptoHayes) September 23, 2025 Stablecoin Flows And Eurodollar Fallout According To Hayes, the broader funding shift would come from Eurodollars and foreign deposits. He estimates $10-13 trillion could be steered away from offshore dollar deposits by threats to withdraw US support during crises. That money, plus other overseas holdings, forms what Hayes calls a $34 trillion pool of non-dollar deposits that stablecoin firms could target. He expects compliant stablecoin issuers such as Tether—who park reserves in US bank deposits and Treasury bills—to absorb much of that flow. Hayes goes further, suggesting social media wallets could pull in $21 trillion in Global South retail deposits and that apps like WhatsApp might become a route for people to hold dollar-pegged stablecoins instead of local bank accounts. Related Reading: Central Banks May Stockpile Bitcoin In 5 Years, Deutsche Bank Predicts Stablecoins And Treasury Demand Hayes outlines a mechanics of demand. If depositors shift into stablecoins that hold Treasuries and bank deposits, demand for short-term US paper could become less price-sensitive. He says adding roughly $16.74 trillion in European bank deposits helps build a total addressable market of about $34 trillion for stablecoin conversion. In that scenario, the Treasury could offer yields below Fed Funds and still find buyers—weakening central banks’ hands abroad and giving Washington new influence over short-term rates. Featured image from Unsplash, chart from TradingView
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.
Although investors initially reacted cautiously to the "hawkish cut," inflows resumed later in the week, CoinShares' James Butterfill said.
President Trump’s relentless attacks on the Fed risk triggering reflexive stubbornness among policymakers.
Crypto markets have been somewhat muted as the U.S. Treasury drained liquidity from the system. But as it approaches completing its Treasury General Account (TGA) refill, something the former BitMEX CEO, Arthur Hayes, called a “liquidity drain,” the “up only” trajectory can get back on track. The TGA is basically the government’s checking account at […]
The post With the Treasury General Account refill almost done, ‘up only can resume’: Arthur Hayes appeared first on CryptoSlate.
Crypto pundit and legal expert Bill Morgan has humorously predicted that the XRP price will drop below $3. He ironically alluded to a series of bullish developments as what would contribute to the price crash. XRP Price To Crash Below $3 Amid Bullish Developments In an X post, Morgan predicted that the XRP price would drop $3 as he joked about how the altcoin keeps dropping despite bullish developments. This came as he highlighted Ripple’s partnership with DBS and Franklin Templeton to provide a trading and lending solution, powered by tokenized money market funds on the XRP Ledger and in stablecoins such as RLUSD. Related Reading: 8-Year Accumulation Phase Could Catapult XRP Price To $6 Prior to his prediction, the legal expert had also highlighted how the XRP price was down despite “all the good news,” which included the launch of the REX-Osprey XRP ETF. The ETF became the first U.S. fund to offer investors spot exposure to XRP. Morgan also alluded to the CME Group’s announcement of plans to launch options on XRP futures on October 13. Meanwhile, the Federal Reserve lowered interest rates for the first time this year, a development that was expected to be bullish for the XRP price. However, despite these developments, the crypto pundit noted that the XRP price was still down. He stated that it felt like “Déjà vu,” pointing to the period between 2018 and October 2024. Meanwhile, in another X post, the crypto pundit joked that he was afraid to post more good news over fear that the XRP price may keep declining. This came in reference to Coinbase’s announcement that in just one month, the Solana and XRP Perpetual-Style Futures have scaled exponentially. The crypto exchange announced that these futures have generated over $1.9 billion in notional volume, with more than 1.6 million contracts having been traded. “No Mystery” In Why XRP Is Down Bill Morgan eventually admitted that there is no mystery in why the XRP price is actually, noting that it was because of the Bitcoin price rather than all the “good news” he had earlier alluded to. He further remarked that this overwhelming reality and the most significant factor in the XRP price movement, which is heavily correlated with the BTC price dynamics. The legal expert added that this is consistent with Ripple’s expert evidence in the SEC vs. Ripple lawsuit. Related Reading: Analyst Sounds Major XRP Warning: Last Chance To Get In As Accumulation Balloons Crypto analyst CasiTrades also noted that the XRP price is taking a hit alongside Bitcoin and that because the altcoin failed to make a new local high, the door is open for a deeper correction. She stated that the altcoin could drop to between $2.92 and $2.94 as this aligns with both the .618 retracement and the measured C-wave extension. At the time of writing, the XRP price is trading at around $3, down in the last 24 hours, according to data from CoinMarketCap. Featured image from Adobe Stock, chart from Tradingview.com
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.
Bank processors and exchanges are among the fintech firms best positioned to benefit from rate cuts, according to Mizuho.
Ethereum ETFs also saw redemptions, losing $1.89 million, while cryptocurrency prices edged higher.
"XXXXXXXXX," the U.S. Federal Reserve said Wednesday.
The U.S. central bank lowered its benchmark rate range by 25 basis points to 4%-4.25%, citing softening labor markets and economic uncertainty.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Two prominent crypto analysts point to bitcoin’s lag versus gold and the S&P 500 as well as the "Uptober" trend as reasons to be bullish on BTC.
For the first time in 2025, the United States Federal Reserve is preparing to cut interest rates while the S&P 500 is trading at all-time highs, and according to The Kobeissi Letter, the time has come for an important shift in markets that could usher in the next crypto market bull run. As it stands, record stock valuations, resilient GDP growth, sticky inflation, and cracks are forming in the labor market, leaving the stage open for volatility in traditional markets that could spill over into the next explosive altcoin season. Fed Rate Cuts At Record Valuations Expectations are also high that the Fed will keep lowering rates at the next interest rate decision on Wednesday, September 17, 2025 and through the end of this year. According to a lengthy thread that was posted on the social media platform X, this could have long-term bullish effects on the crypto industry. Related Reading: Altcoin Market Completes Highest Monthly Close Ever: What This Means For Alt Season The Federal Reserve usually cuts rates in the face of economic weakness and depressed equity markets, but this time is different. As noted by The Kobeissi Letter, valuation metrics tracked by Bloomberg show US stocks are more expensive than ever, having surpassed even the 1929 pre-Depression peak and the dot-com bubble. Furthermore, the S&P 500’s price-to-book ratio hit 5.3x in late August, its record level. Despite these extremes, policymakers are expected to cut by at least 25 basis points this week based on weakness in the labor market. History shows that when rate cuts occurred with stocks within 2% of all-time highs, as shown in 2019 and 2024, the S&P 500 delivered strong gains over the following year. This unusual mix could once again amplify capital flows into high-growth assets, including cryptocurrencies, in the last quarter of 2025. A Perfect Time For Altcoins Cutting rates into hot inflation adds liquidity fuel just as investors chase risk assets. That backdrop has always caused powerful surges for Gold, Bitcoin, and other major cryptocurrencies, as the return of these assets thrives when fiat returns come under question. Related Reading: Altcoin Season Index Sets New 2025 High, What This Means For The Crypto Market As The Kobeissi Letter framed it, the time has come. The Fed’s decision to cut rates with stocks at record highs, amid a 3% GDP growth and hot inflation 110 bps above the Fed’s long-term target, could be the driver of the next altcoin season. Gold and Bitcoin have already been priced in this new era of liquidity, as both are now up by 450% and 105%, respectively, since 2023. The setup is even better for altcoins like Ethereum, XRP, Chainlink, and most especially cryptocurrencies involved in the growing AI niche. There could be more immediate-term volatility, but long-term asset owners will benefit the most from the rate cut. However, if the Federal Reserve opts for a slower pace of cuts than markets are currently pricing in, the disappointment could ripple through both equities and cryptocurrencies and cause short-term declines this week. Featured image from Getty Images, chart from Tradingview.com
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Pantera Capital founder Dan Morehead revealed that the firm's $1.1 billion in Solana is the largest crypto position on its books.
The US Senate voted on Monday to confirm cryptocurrency-friendly Stephen Miran to serve on the Federal Reserve Board of Governors.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Weaker-than-expected U.S. data helped sentiment recover amid the increased likelihood of rate cuts, Head of Research James Butterfill noted.
Longer-term Treasury yields may rise despite the anticipated Fed rate cuts, potentially offsetting the expected bullish effects on BTC and other risk assets.