Crypto winter may be extended until the physical winter in Q4 and even the early Q1 next year, implied CoinShares Chief Security Officer Meltem Demirors in the latest interview with CNBC. According to data collected by Demirors, no signs indicate that an upside catalyst is in sight, sparking a speedy recovery from the months-long downward...Read More
The Financial Stability Board (FSB) – an organization created by the G20 countries that supervises the international monetary system – will reportedly propose a regulatory framework focused on digital assets. The draft bill comes as a result of the recent turmoil in the market and will have a global character. “Robust” Rules to Limit the...Read More
The United States Office of Government Ethics (OGE) outlined that cryptocurrencies and stablecoins do not qualify as “publicly traded securities” according to the agency’s regulations. As such, it banned individuals who privately own digital assets from participating in Federal policies that could affect the valuation of such tokens. The OGE’s Recommendation In its latest legal...Read More
Tether still has the largest market share of all the stablecoins, but it is now around 43%, according to CoinGecko. Glassnode reports that the USDT market share is a slightly higher 45% but still shows the same downward trend of its dominance. According to the Tether transparency report, there are 66 million USDT in circulation,...Read More
DeFi protocol Aave proposed to its community to create a USD-pegged stablecoin, GHO. The project would allow users to mint GHO against their supplied collaterals, with all the interest payments being sent to AaveDAO. Backed by Multiple Types of Collaterals Similar to the MakerDAO-issued stablecoin Dai, GHO would be minted based on users supplying a...Read More
The anonymous leader of Shiba Inu, known under the pseudonym Shytoshi Kusama, revealed that the project will introduce a new reward token called TREAT. In addition, the team will focus some of its efforts on its SHI stablecoin to prevent it from suffering the fate of Terra’s UST. Enter TREAT and SHI “Shib Army We...Read More
Circle – the company behind the second-largest stablecoin by market cap, USDC – reiterated its positive financial position amid a rumor calling the company on the brink of collapse. As the reports went viral, CEO Jeremy Allaire laid out detailed documents on the company’s latest status on transparency and trust, audits and attestations, as well...Read More
Circle has tapped a New York state-based community bank as its latest custodial provider for USDC reserves. The move reflects Circle’s strategy to deepen partnerships with Community Banks across the U.S., attempting to make payments more inclusive to underserved communities. Under the new agreement, New York Community Bancorp’s bank subsidiary, New York Community Bank, will...Read More
Her Majesty’s Treasury hosted the regulatory pillar of the US-UK Financial Innovation Partnership with its counterpart, the US Treasury Department, on Jun 29th. Both parties acknowledged the importance of teaming up to support safe innovation and strengthen regulatory outcomes for digital assets across jurisdictions. On Stablecoins According to the joint statement issued, top domestic watchdogs...Read More
On June 30, European Union policymakers hammered out an agreement on what will become the first major regulatory framework for the cryptocurrency industry. The Markets in Crypto-Assets (MiCA) legislation will make things more challenging for crypto exchanges and stablecoin issuers operating in Europe. Under the new regulations, stablecoin issuers such as Tether and Circle will...Read More
In the latest interview with Fox Business, Circle CEO Jeremy Allaire unveiled his thoughts on the turbulent crypto market with stablecoins being targeted by short sellers partly due to the Luna-UST fiasco. He reiterated his confidence in USDC attracting net inflows amid the market crash due to its compliance with regulators. In regards to the...Read More
The recent crypto slump may have left many investors shaken in fear, as bad news like major crypto firms falling prey to liquidity crisis and exchanges drastically cutting headcounts continue occupying headlines. However, the crypto bull Cathie Wood – known for her aggressive bets on “disruptive innovation” – reiterated her confidence in digital assets in...Read More
The notorious hacker collective – Anonymous – said it will join numerous governments that are conducting investigations against Terra’s Co-Founder – Do Kwon. The native token of the cryptocurrency project – LUNA – and its algorithmic stablecoin – UST – crashed to zero last month, resulting in painful investors’ losses. As such, Anonymous vowed to...Read More
When traders and investors exit their crypto asset positions, they usually convert them into stablecoins before taking them off exchanges as fiat. That exodus has been going on for the past six weeks, causing the stablecoin market share to grow. Furthermore, this is despite the reduction in the supply of the world’s largest one, Tether....Read More
Bank of England Deputy Governor Jon Cunliffe became the latest person to juxtapose the dot-com bubble to the current cryptocurrency crash. BOE’s Take on Crypto Crash Cunliffe said he expects crypto technology and finance will continue to survive in the coming months. Amidst the incessant declines, the exec highlighted that crypto and its underlying tech...Read More
The Federal Reserve published the latest “Monetary Policy Report” on Friday, categorizing the stablecoin industry – particularly the algorithmic stablecoins – as a risk of financial instability. Meanwhile, it expressed concern regarding the concentration of fiat-backed stablecoins on Tether’s USDT and Binance’s BUSD. Fed’s Latest Take on Stablecoins Given the rapidly growing digital asset markets,...Read More
Investors are fleeing from Tether (USDT), says on-chain data. The stablecoin giant, as a result, has lost significant market share amid a slew of market corrections. Tether’s Losing Market Share Tether currently sits on a $68 billion market cap, the lowest since October last year, down from the recently established all-time high of $83 billion....Read More
TRON DAO Reserve is prepared to withdraw another 3 billion TRX tokens from a centralized exchange and a decentralized finance (DeFi) lending protocol as part of efforts to prevent a similar occurrence of Terra’s UST collapse. The foundation made the announcement in a tweet on Thursday (June 16, 2022). However, the DAO did not name...Read More
Another algorithmic stablecoin appears to be in danger of losing its peg following the UST-Terra debacle. Investors are also currently in fear of having to face the same fate as Terra’s UST historical fall. USDD is a stablecoin that runs on TRON’s blockchain and has a similar algorithm to UST but is tethered to TRX....Read More
The last thing Justin Sun – founder of TRON – would like to see is the UST-Terra fiasco being repeated again on his stablecoin project USDD. The confident founder, who had vowed the lost peg of the stablecoin would be soon recovered, injected $220 million on Wednesday to purchase TRX on Binance. According to the...Read More
Novatti Group has announced the integration of its stablecoin AUDC into Ripple’s XRP Ledger. The company said it will benefit from faster and low-cost transactions on XRPL. AUDC will also be integrated into Novatti’s existing suite of payment solutions. It will potentially create a low-cost domestic and cross-border payment system, including stablecoin-linked payment cards, the...Read More
The international financial technology company that processes payments – Checkout.com – enabled customers to use the popular stablecoin USDC as a payment method. The offering became available after striking a partnership with the crypto security firm Fireblocks. Saying ‘Yes’ to Payments in USDC Checkout.com revealed that merchants will be allowed to use the new offering...Read More
Betting on India’s impending launch of CBDC, T Rabi Sankar, Deputy Governor of the nation’s central bank, the Reserve Bank of India (RBI), dismissed the idea that stablecoins should be accepted as 1-to-1 fiat-pegged cryptocurrencies. CBDCs Can Kill Crypto “We believe that central bank digital currencies (CBDCs) could actually be able to kill whatever little...Read More
The Parliament of Japan reportedly passed legislation that will put stablecoins under enhanced scrutiny. The initiative aims to give local investors further protection when dealing with such assets. Japan Sees Stablecoins as Digital Money According to a recent Bloomberg report, the Japanese authorities issued new guidelines on stablecoins. The lawmakers granted the assets a legal...Read More
John Williams – President and CEO of the Federal Reserve Bank of New York – believes the institution should closely monitor the transformations of the cryptocurrency industry and, if needed, make necessary updates on its financial policies. He also opined that stablecoins and central bank digital currencies (CBDCs) have a better chance of succeeding in...Read More
Imagine waking up and finding out that you’ve lost over 60% of your supposed savings. Last month, Investors lost more than 99% of their savings in the UST-LUNA collapse, which shook the entire Crypto space. Over $800 million worth of cryptocurrency long positions were liquidated in one day. This is due to the selloff caused...Read More
The catastrophic event sparked renewed effort from the global regulators to address key inefficiencies in the stablecoin market that many consider could potentially jeopardize financial stability. The UK government, for one, is introducing measures in a bid to protect investors against the potential collapse of stablecoins. Changing Existing Legislation In a consultation paper released on...Read More
One of the largest money transfer services in the world – MoneyGram – plans to enable users to send stablecoins and convert them to fiat currency. The company will collaborate with Stellar Blockchain to execute the move. In addition, CEO Alex Holmes shared his optimistic view on the crypto industry, predicting it is “here to...Read More
Vitalik recently shared his thoughts on the future of algorithmic stablecoins in the wake of TerraUSD’s failure. While he believes that skepticism and scrutiny of existing protocols is “highly welcome,” he says that recent attempts at permanently dismissing all automated stablecoins are unwarranted. A Better Model for Automated Stables TerraUSD (UST) – an algorithmic stablecoin...Read More
Crypto exchange Bybit collaborated with blockchain analytics platform Nansen to publish another monthly report on the state of the crypto industry. It focused on the broader market condition, DeFi activities, and NFT markets. The paper regarded Terra’s notorious collapse as fundamentally destructive to the nascent crypto community but beneficial to other Layer-one competitors since they...Read More
