Fed Issues Stablecoin Guidance, Rollbit Soars
Market Update
- BTC has retraced 0.8% after briefly trading above $30k. The rally followed comments from Galaxy Digital CEO Mike Novogratz on an earnings call where he hinted at a potential approval of a spot ETF within six months, citing sources at BlackRock and Invesco. ETH is also lower 0.3% reaching $1.85k. Crypto Casino and Exchange Rollbit’s RLB gained 50%, entering and outperforming the top 100 after recent updates to its tokenomics (more below). U.S equities are slightly lower ahead of tomorrow’s highly anticipated CPI release, with the S&P down 0.3% and the Nasdaq 0.66% lower. Investors will be closely monitoring the index to gain potential insights into the future actions of the Federal Reserve regarding interest rates. According to a survey conducted by Dow Jones, economists anticipate that the inflation measure increased by 3.3% in July.
- Rollbit's RLB Token has surged, driven by the crypto casino's decision to use platform earnings for daily purchases and burns of RLB. Rollbit, which functions as both a casino and exchange, allows users to trade tokens with 1000x leverage, engage in sports betting and arcade games, and participate in a tokenized jackpot system. Co-founder "Lucky" announced via a tweet that a portion of fees, 30% from crypto futures, 20% from sports betting, and 10% from casino games, will be allocated to procure RLB tokens from the open market for burning. According to the data from Rollbit, revenue has surpassed $2 million across these services in the past 24 hours, signifying a substantial amount to support daily RLB token purchases. This strategic move could establish ongoing buying pressure on RLB, contingent on the continued growth of the platform's usage. Rollbit has achieved remarkable growth within the crypto sector, owing to its solid market alignment and well-received offerings for gamblers and traders, even in the face of a bear market. Co-founder "Lucky" attributes Rollbit's enduring success to the diverse range of products, which generate consistent revenue regardless of market conditions. Earlier this year, we covered Rollbit and the rise of On-Chain Gambling as part of our Crypto Concepts series.
- The Federal Reserve's latest stablecoin notice addresses concerns about bank runs and reversible transactions, coinciding with an enhanced oversight initiative for crypto activities within its jurisdiction. The Fed's guidance focuses on supervising dollar-pegged stablecoins held by chartered banks, aiming to monitor transaction validation aspects like settlement timing, irreversibility, and central authority of records. Measures such as address blacklisting and reversible transactions, common among major stablecoin issuers like Tether and Circle, are emphasized. The Fed hints at implementing know-your-client (KYC) procedures and risk-mitigation strategies for nationally-chartered banks, including liquidity adequacy to prevent potential bank runs. Additionally, the central bank plans to strengthen its supervisory program for banks engaged in crypto, utilizing real-time data, market monitoring, and collaboration with external experts. The industry's response has been cautiously optimistic as stakeholders speculate about potential regulatory clarity and direction shifts. Notably, the SEC's stringent approach has been contrasted with the Fed's evolving stance. However, the timeline for regulatory clarity remains to be determined.
Daily Technical Strategy
Mark L. Newton, CMT
Head of Technical Strategy
Orchid has shown some evidence of having bottomed following Wednesday's 18% gains at a time when many cryptocurrencies are lower. Wednesday's (8/9) move has helped price regain prior lows from last December 2022, which is a constructive development that likely helps this make further progress up to $.10 in the near-term. Larger rallies will require a breakout above OXT $.10 initially and then recouping $.119 which would argue for a larger rally up to $.20. This area is quite significant given its importance in representing former lows on four separate occasions since November 2020 and should be meaningful upside resistance in the months ahead. Overall, given this week's rally on above-average volume, dips should signify buying opportunities unless $0.05 is violated, which is a larger area of key support.
Daily Important Metrics
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All metrics as of August 9, 2023 2:10 PM
All Funding rates are in bps
Crypto Prices
| Symbol | Market Cap | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
 BTC | $574B | $29,486 | ↓ -0.98% | ↑ 78% | |
 ETH | $222B | $1,849 | ↓ -0.19% | ↑ 54% | ↓ -24% |
 ADA | $10B | $0.2977 | ↓ -0.95% | ↑ 21% | ↓ -57% |
 SOL | $9.9B | $24.42 | ↑ 1.07% | ↑ 147% | ↑ 69% |
 MATIC | $6.4B | $0.6840 | ↓ -0.66% | ↓ -10% | ↓ -88% |
 DOT | $6.2B | $5.02 | ↓ -0.94% | ↑ 15% | ↓ -63% |
 LINK | $4.1B | $7.71 | ↑ 4.72% | ↑ 39% | ↓ -39% |
 NEAR | $1.3B | $1.34 | ↓ -1.53% | ↑ 5.51% | ↓ -72% |
 DOGE | $0.0000 | $0.0001 | ↑ 0.00% | ↓ -100% | ↓ -178% |
Exchange Traded Products (ETPs)
| Symbol | Premium to Nav | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
| GBTC | ↓ -25% | $19.79 | ↓ -1.49% | ↑ 139% | ↑ 61% |
| BITW | ↓ -49% | $12.71 | ↓ -0.94% | ↑ 137% | ↑ 59% |
| ETHE | ↓ -35% | $11.50 | ↓ -1.12% | ↑ 142% | ↑ 64% |
| BTCC | ↓ -1.77% | $5.40 | ↓ -1.46% | ↑ 78% | ↑ 0.23% |
News
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MARKET DATA
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REGULATION
Decrypt.co The Fed’s Stablecoin Note Takes Aim at Bank Runs, Reversible Transactions The central bank is also ramping up its program to supervise all crypto activities among the network of banks it oversees. |
FUNDRAISING AND M&A
Decrypt.co Cube3.AI Secures $8.2M to Launch AI-Powered Blockchain Security App CUBE3’s Protect software enables smart contract deployers to deal with cyber attacks and vulnerabilities without pausing their protocols. |
HACKS, EXPLOITS, AND SCAMS
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