Crypto Weekly (Sept. 18th, 2019)
Weekly recap...
- OKEx Korea delisting all privacy tokens shows regulators tightening grip around crypto
- Hedera mainnet launch on 9/16; project valued at ~$5.3B (total supply)
- Watch for Bitcoin Misery Index to fall closer to 50 for better risk/reward profile
Center Story
1. Regulators are slowly wrapping their tentacles around pockets of crypto
OKEx Korea delisting all privacy coins on October 10th due to violation of Financial Action Task Force's "Travel Rule"
OKEx Korea (not its global unit) is delisting privacy cryptocurrencies from its exchange. This action does nothing to directly impact the operations or development of the project itself, but does show their vulnerability to legislative scrutiny.
Privacy focused cryptocurrencies and those which could be serious competitors to fiat currencies will likely see a lot more red tape coming their way. Libra, for example, received a cold welcome on the Hill in D.C., and European lawmakers have not been kinde (German and France openly oppose its existence).
What else to know (source: The Block)..."In June, the FATF, the global money-laundering watchdog, issued its final crypto guidelines, retaining “travel rule,” which requires exchanges to collect and transfer customer information durin...Reports you may have missed
LESSONS FROM OPEC We have witnessed a significant market panic partially related to formerly locked BTC hitting the order books. The major sources of supply include:Mt. Gox – 141,686 BTCUS Government – 8,100 BTCGerman Government – 50,000 BTC At current prices, this would equate to over $12 billion in supply. This threat, combined with an inhospitable macro backdrop (rising DXY, higher rate expectations, hawkish Fed), has brought BTC down to...
LDO Risk/Reward Looks Good Here, Immediate-term Macro Picture Still Uncertain (Core Strategy Rebalance)
FLOWS AND SENTIMENT STILL SUBDUED Last week, we received a better-than-expected CPI print, but the DXY continued to move higher due to global weakness and a hawkish Fed. We discussed the risks appearing in the metrics we use to gauge sentiment and flows. The overall lack of follow-through in the crypto market was evident. Volumes, net ETP flows, the Coinbase discount, stablecoin market cap trend, and search interest for key...
We wrote on Thursday about how the reaction to recent macro data has been quite underwhelming. Crypto broadly rallied in response to a cool CPI number, but indicators such as a muted Coinbase premium and low exchange volumes suggest animal spirits are still lacking. Muted volumes relative to market prices, and low social interest as proxied by Google search trends further evidence a lack of risk appetite in the market....
OVERALL, IT WAS A GOOD CPI/FOMC DAY As any market observer knows by now, CPI came in remarkably cool yesterday. May CPI data was soft across the board, with headline inflation at 0.0% M/M vs. 0.1% expected and core inflation at 0.2% M/M vs. 0.3% expected. The unexpected data fueled a violent rally across all risk assets as rates fell, and the futures market started to price in additional cuts,...
Articles Read 1/1
🎁 Unlock 1 extra article by joining our Community!
You’ve reached your limit of 1 free monthly articles. Please enter your email to unlock 1 more articles.
Already have an account? Sign In 234957-5e5231-f459f1-6ffcea-43091c
Already have an account? Sign In 234957-5e5231-f459f1-6ffcea-43091c