Category: AI

Trump’scryptoplanssoundperfectonpaper—butwhat’sthecatch?CouldHarris’understatedapproachholdthekeytoasafer,smartercryptofuture? Asthe2024U.S.presidentialraceentersitsfinalstages,bothDonaldTrumpandKamalaHarrisarerampingupeffortstowooagrowingbutoftenoverlookedgroupofvoters—cryptovoters. Trump,withhisnewlylaunchedWorldLibertyFinancial(WLF)tokenandplansfora“Bitcoin(BTC)andCryptoAdvisoryCouncil,”haspositionedhimselfasavocalsupporterofcryptoanddecentralizedfinance. Ontheotherhand,VicePresidentHarrishasquietlybegunoutliningpoliciesaimedatprotectingcryptoinvestors,particularlyinBlackcommunities,throughherOpportunityAgenda. Let’sdivedeeperintowhatTrumpandHarrisareofferingtothecryptocommunity,howtheirpoliciesstackup,andwhatitmeansforvoterswhoarehopingtoseeclearerregulations—andmaybealittlemoredigitalcoinintheirpockets. TableofContents Trump’scryptocourtship Harris’scautiousapproachtocrypto Whataretheodds? Trump’scryptocourtship DonaldTrumphastransformedhisstanceoncryptoinawaythatspeaksdirectlytoakeygroupofvoters,acalculatedmovetotapintotherisinginfluenceofthecryptocommunityinAmerica. ItallstartedinMaywhenTrump’scampaignbeganacceptingcryptodonations,anotablechangefromhisearlierskepticalviews.Thiswasfollowedbyseveralstrategicmovesaimedatconvincingthecryptocommunitythathe’stheircandidate. ByJune,TrumppubliclythrewhissupportbehindBitcoinminers,expressinghishopethattheremainingBitcoinwouldbemined“righthereinAmerica”–akeymessageforthoseconcernedabouttheexodusofminingoperationstocountrieslikeRussiaandKazakhstan. ButTrumpdidn’tstopthere.HisappearanceattheBitcoinConferenceinNashvilleattheendofJulymarkedacrucialmomentinhiscryptocampaign. Standingbeforeapackedroomofcryptoadvocates,TrumpnotonlypromisedtoestablishanationalBitcoinreserveifelected—anunprecedentedmove—buthealsovowedtofireSECChairmanGaryGensler. Thispromise,metwithastandingovation,struckachordwithcryptovoters,manyofwhomseeGenslerasanobstacletotheindustry’sgrowthduetohisfirmstanceonregulatingdigitalassetslikestocksandbonds. ThecreationofanationalBitcoinreserve,pairedwithhispledgetoformaBitcoinandCryptoAdvisoryCouncil,sethimapartfromhisopponents,especiallyinapoliticalarenawhereothercandidateshaveremainedcautiousoncrypto. Beyondpolicypromises,Trumphasalsomadehighlyvisiblegesturestoshowhissupportforcrypto.DuringacampaignstopatPubkey,aBitcoin-themedbarinNewYork,TrumpbecamethefirstformerU.S.presidenttousecryptocurrencyinatransaction,buyingadozenburgersusingBitcoin. AtthecenterofTrump’scryptoeffortslieshispersonalproject,WLF,aDeFiplatformlaunchedinSeptember2024.Marketedasacryptobankwhereuserscanborrow,lend,andinvest,WLFisclearlydesignedtolurecryptovotersbyofferingthemsomethingtangible. Theplatform’snativetoken,WLFI,wasintroducedwithmuchfanfare,aimingtoraise$300millionatavaluationof$1.5billion.Yet,theprojecthasstruggledtomeetitsambitiousgoals,withonly$12.9millionraisedsofar. Morecontroversialisthetokenallocation—Trumpandhisfamilyarepoisedtoreceive75%ofthenetprotocolrevenue,raisingquestionsabouttransparencyandhowmuchoftheprojectisforthebenefitofitsusersversustheTrumpfamily. WLFclaimstobeapolitical,yetthetimingandTrump’sheavyinvolvementmakeitclearthatthisisasmuchapoliticalplayasitisafinancialone.Theproject’sroadmapincludesboldpromises,butitsslowprogressandtheoutsizedfinancialbenefitsfortheTrumpfamilyhavesparkedskepticism. Still,Trump’ssupportersviewtheprojectaspartofhisbroadernarrativeoffinancialindependenceandAmericaneconomicstrength,tiedneatlytohispoliticalmessaging. Harris’scautiousapproachtocrypto WhileTrumphastakenanaggressiveandhands-onapproachtowooingthecryptocommunity,KamalaHarrishaschosenamoremeasuredpath. Harris,thecurrentVicePresident,hasnotmadecryptoacenterpieceofhercampaign,butrecentmovessuggestsheisawareofthegrowingimportanceofdigitalassetsandtheirimpactonvoters. ThefirstrealsignsofHarris’approachcameduringaroundtableeventattheDemocraticNationalConventioninChicago,whereherseniorcampaignadviser,BrianNelson,shedsomelightonherpotentialpolicies. NelsonmadeitclearthatHarrisintendstosupportpoliciesthatallowemergingtechnologieslikecryptotogrowwhileensuringtheyareadequatelyregulated.Thoughthemessagewasvague,itmarkedthefirstpublicstancefromHarris’camponthematter. ThiscarefuldancebecamemoreapparentwhenHarrisrecentlyintroducedher“OpportunityAgenda”,abroadereconomicplanaimedatimprovingfinancialinclusion. Onekeyaspectofthisagendaistheprotectionofcryptoinvestors,particularlyBlackAmericans,ademographicwhereover20%ownorhaveowneddigitalassets.…

AnalystsfromcryptocurrencyanalysiscompanySantimentdiscussedthemarketfollowingtheBitcoinrallyintheirlatestreport. WithalmosttheentirecryptocurrencycommunityexpectingtheBitcoinpricetoexceed$70,000,tradersaretakingriskswithhighleverageonspeculativecryptocurrencieslikememecoins,accordingtoanalysts.Accordingtoanalysts,thementionratesofthesememecoinsonsocialmediaplatformshaveincreasedtoa5-monthhigh. However,analystsalsotouchedonaninterestingdetail.Accordingtothedata,layer2blockchainaltcoinssuchasArbitrumandOptimismareignoredbythecommunityandtheirmentionrateshavedroppedsignificantly. Santimentsaidthatwhilespeculativecryptocurrencieslikememecoinshaveabitmoreupsidepotential,historicaldatashowsthatitpaystolookwherethecryptocurrencycommunitygenerallydoesn’tfocusmuch. Accordingtoanalysts,communitydiscussionratesfortopmemecoinslikeDogecoinandShibaInuhavebeenontherisesinceMay,whilealtcoinslikeArbitrum(ARB)andOptimism(OP)arebeingignored,whichcouldbeahiddenbullishsign. *Thisisnotinvestmentadvice. en.bitcoinsistemi.com

Ethereum’spricemovementsshowastrongcorrelationwiththeU.S.Treasurybondyields. FederalReserveratecutshavehistoricallydrivensignificantupwardmovementinEthereum. RisingTreasuryyieldsoftensignaladownwardtrendforEthereumasriskappetiteshifts. ItwasestablishedthattheETHpricemovementsarecloselyrelatedtothemovementsintheU.S.Treasuryyields,animportanteconomicfactor.Cryptocurrency’srelationshiptoothermarketshasemergedclearly,especiallyinregardtodecisionsmadebytheFederalReserve.TreasuryyieldshaverecentlyimpactedEthereumasfluctuationsininvestor’sperceptionofbondmarketshavereflectedfluctuationsinthecryptocurrencymarket. There\'sahugecorrelationbetween$ETHandYieldsonTreasurybonds. Theinitialratecutof50bps=11%jumpon$ETH. Theswapinsentiment+upwardstickonYields=downwardsmoveon$ETH. Expectingtosee#AltcoinbullseasonstartfromthenextFEDmeetingratecut.pic.twitter.com/h0DGq05IGX —MichaëlvandePoppe(@CryptoMichNL)October18,2024 When,forthefirsttime,theFederalReservereduceditsinterestrateby50basispointsEthereumsurged11%.Suchhighvolatilityindicatesthatriskierinvestmentssuchascryptocurrenciesmayattractmoreinvestorattentionwhentheinterestratesdecline. Overall,ratecutsreducethereturnsforessentiallyrisk-freesavingsproductssuchasUSTreasuries,andthusmakeinvestmentsinotherformssuchascryptoactive.Thedatafurthersuggestthatdigitalcurrenciesarebecomingmoreresponsivetoindicatorspreviouslyconsideredapplicabletotraditionalassets. ShiftingSentimentandYieldsDriveMarketMovements OntheotherhandasyieldsonTreasurybondsincreaseandinvestors’outlookchangesEthereumhasfollowedsuitwithmirrormovements.Ifyieldsrisealittlefurtherthentheimprovingconditionintheconventionalmoneymarketsreducestheriskdemand. ThishasbeenatypicalscenariowithEthereumespeciallywhenTreasuryyieldsbegantoembarkonthedownwardstrend.Whenyieldsgoup,theymayshifttheirpooltobetteryieldinginvestments,andthushavelowerdemandforsomeexoticinvestmentssuchasEthereum. ExpectationsforAltcoinMarketFollowingFutureRateCuts MarketparticipantsarenowcloselywaitingontheFederalReserveforfurtheractionsbecausemanybelievethatanotherratecutcancontinuethepositiveoutlookofcryptocurrencies.Altcointraders,inparticular,areconvincedthatanothercutinrateswillmeanthebeginningofamajoraltcoins’bullrun.ItisestablishedthatdecisionsmadearoundmonetarypolicyholdadirectinfluenceovertherespectivecryptocurrencymarketandmoreimportantlytheEthereummarket. cryptonewsland.com

OnFridayattheViennaMacroeconomicsWorkshop,FedGovernorChristopherWalleropinedthatDeFicouldcomplementandsubstitutecentralizedfinance.

Aave,thedecentralizedlendingplatform,isamongthelargestDeFiprotocolsbytotalvaluelocked(TVL).Overtheyears,despitethecryptopriceboomandbustcycle,theplatformhasoperatedflawlesslywithoutanytechnicalhitches. AaveUserAddressGrewBy675%InOneWeek Sincethebeginningoftheyear,Aavehasdominatedheadlines,mostlyarounditspriceperformanceandrisingTVL.However,lookingatothermetrics,thelendingplatformisperformingsolidly. AccordingtoSantiment,AaveonOptimismisthefastest-growingprotocolontheirwatchamongplatforms,commandingatleast$500millioninTVL.ThenumberofAaveaddressesonOptimismgrewby675%,roughlytwicethatofKuCointokens(KCS). Atthispace,AaveoutperformedMaker–anotherlendingandborrowingprotocolonEthereum,ChainlinkonOptimism,andRaydium–atopdecentralizedexchange(DEX)onSolana.Ofnote,ChainlinkonOptimismandRaydiumgrewoverthelastweekby100%. ThefactthatAaveonOptimismgrewfasterthanRaydium,thetopDEXonSolana,isamilestone.Bydefault,anymemecoinlaunchingonPumpfunthatachievesatleast69SOLautomaticallylistsonRaydium. AlthoughonlyasmallpercentagegraduateandarelistedonRaydium,tensofthousandsofmemecoinslaunchonthememecoinlaunchpadonSolana. SantimentnowthinksAAVEpricesmaylikelybenefitfromthisgrowth.Pointingtohistoricalperformance,thesentimentanalyticsplatformsaidthereisusuallyastrongcorrelationbetweenrisingutilityandconsistentgrowthwithlong-termgains. AccordingtoDune,thereareover49,800uniquedailyusersofAavev3onEthereum.Overthelasttwodays,therewere70newusers.Whilethereisgrowthinthenumberofcumulativeusers,asexpected,thenumberofnewusersremainssteady. WillPricesRiseToFresh2024Highs? AAVEistradingabove$150,trendingataround2024highs.Althoughthetokenisinanuptrend,priceshavemovedsidewaysoverthepastfourweeks.Technically,acloseabove$180coulddrivedemand,liftingpricestonew2024highsinthecomingdays. PossibledriversincludetherecoveryofDeFiandotherproject-relatedfactors.AsofOctober17,56%ofallcbBTC–theBitcoinstablecoinbyCoinbase–waslockedinAave. TheprotocolalsoplanstolaunchanewMeritProgramforcbBTC.ThosewhoborrowUSDCbyissuingcbBTCascollateralwillreceivemorerewardsiftheymovetheirdebtfromUSDTtoUSDC.Moreover,thosewhoswitchfromwBTCtocbBTCcollateralwillreceiveadditionalcollateral. FeatureimagefromUnSplash,chartfromTradingView newsbtc.com

BitcoinBullSamsonMowhasindicatedthatGermanyislookingtopurchaseBitcoin,makingtheflagshipcryptooftheirreserveassets.ThiscomesjustmonthsafterthecountrysolditsBTCholdingsworth$2.87billion.Ifso,thegovernmentwilljointhelikesofElSalvadorandBhutan,whichalreadyhaveaBitcoinstrategyinplace.

WorldChain,thelatestblockchaindevelopmentfromtheWorldFoundation,recentlywentlive.Thenewdevelopmentpromisesahuman-firstapproachtoblockchain,focusingonprovidingreal-worldapplicationsandfinancialaccesstomillionsofpeopleglobally.Withover15millionusersalreadymigratedorintheprocessoftransitioning,WorldChainsetsouttoprioritizeverifiedhumansoverbots,deliveringaccessibleblockspaceandfinancialsolutionsthroughinnovativetechnology.

AnatolyYakovenko,Solana’sco-founder,recentlypointedtoadeepdivergenceinhowSolanaandEthereumseeresourcesatiationandpricediscovery.

GoatseusMaximus(GOAT),anAI-generatedmeme-cryptocurrency,quicklygainedtractionincryptoduetoitsviralnatureandstrongorganicgrowth.Alongwithahigh-momentumrally,itsbalancedsupplydistributionandwhaleaccumulationsignaltheasset’spotentialforahigherrally.WillGoatseusMaximuspricepredictionsurpass$0.5?

BlackRockissettochallengeUSDTandUSDC’sdominancewithitsnewproposalforcryptoexchangestoadoptitsBUIDLtokenascollateralonthederivativesmarket.Thisformspartoftheworld’sassetmanager’smovetogainagreaterholdofthecryptomarket,seeingasitalreadyholdsasignificantamountofbitcoinsthroughitsSpotBitcoinETF.