Headlines
▌Tesla Transfers All of Its Bitcoin Reserves to Multiple New Addresses
According to on-chain data tracked by Arkham Research, Tesla has transferred 11,509 Bitcoins (worth about $770 million) to new addresses, which appears to be the company's entire Bitcoin reserve.
These transfers were made within the past hour, and prior to these token transfers, Tesla conducted six test transactions, which is the first time Tesla has interacted with its Bitcoin wallet since the company sold most of its assets in 2022.
The company invested $1.5 billion in Bitcoin in February 2021, and it is currently unclear what the purpose of the transfer is, with some in the community speculating that the company may be preparing to sell. Tesla will report its third-quarter financial results after the market close on October 23.
▌SEC Sues UBI Blockchain, Alleging Regulatory Violations
The U.S. Securities and Exchange Commission (SEC) has filed a lawsuit against UBI Blockchain, alleging regulatory violations.
The SEC stated that UBI failed to file periodic reports with the SEC as required, and the company has not submitted any periodic or other reports since the commission dismissed its previous lawsuit against UBI on June 2, 2023.
Market
As of the time of writing, according to Coingecko data:
BTC's latest trading price is $67,007.65, with a daily change of +1.5%;
ETH's latest trading price is $2,604.86, with a daily change of -0.9%;
BNB's latest trading price is $594.52, with a daily change of +0.9%;
SOL's latest trading price is $154.79, with a daily change of -1.7%;
DOGE's latest trading price is $0.1175, with a daily change of +0.7%;
XRP's latest trading price is $0.5415, with a daily change of -1.2%.
Policies
▌New York Regulator Advises Crypto Firms to Proactively Engage with Regulators
Adrienne Harris, the head of the New York Department of Financial Services, stated at the Ripple Swell event that cryptocurrency companies should take a candid and proactive approach when dealing with regulators. She emphasized that regulators dislike surprises, and companies should communicate openly to keep regulators informed of their actions, rather than letting regulators learn about issues from the news, in order to avoid a reactive position.
▌Grayscale Applies to Convert Its Digital Large Cap Fund Containing BTC, ETH, and SOL into an ETF
Grayscale Investments filed an application with the SEC on Tuesday to convert its mixed crypto fund, which includes Bitcoin, Ethereum, Solana, XRP, and Avalanche, into an ETF.
According to the company's website, Grayscale's product is called the "Grayscale Digital Large Cap Fund" and is currently traded over-the-counter, managing $524 million in assets. The fund is primarily composed of Bitcoin (nearly 75%) and Ethereum (around 19%), with the remaining portion consisting of Solana, XRP, and AVAX.
Blockchain Applications
▌Praxis, the "Internet Nation" Project, Raises $525 Million to Build a Crypto-Friendly City
Praxis, which calls itself the world's first "Internet nation," announced on Tuesday that it has raised $525 million in funding to build a technology-focused city that supports the development of cryptocurrencies, artificial intelligence, energy, and biotechnology.
According to the announcement, the funding round was participated in by investors such as Arch Lending, GEM Digital, and Manifold Trading, with new angel investors including Dan Romero (CEO of Farcaster), Tom Schmidt (General Partner at Dragonfly), and Rob Hadick (General Partner at Dragonfly).
Cryptocurrencies
▌JPMorgan Chase Optimistic About the Prospects of Digital Assets by 2025
JPMorgan Chase analysts expressed optimism about the outlook for digital assets by 2025 in their latest report, citing the rise of "depreciation trades." As geopolitical tensions escalate and the U.S. election approaches, investors may turn to gold and Bitcoin to hedge against economic instability. The report also mentioned that the approval of spot Bitcoin ETFs, the near-completion of crypto market bankruptcies, and the potential return of FTX bankruptcy cash will drive the growth of the digital asset market.
▌BlackRock and Fidelity's Spot Bitcoin ETFs Traded $2.388 Billion Today
According to a post on the X platform by Bitcoin Magazine, the total trading volume of BlackRock and Fidelity's spot Bitcoin ETFs reached $2.388 billion today.
▌Crypto Derivatives Exchange Bitnomial Raises $25 Million
Crypto derivatives exchange Bitnomial announced that it has raised $25 million in a funding round led by Ripple Labs, and has launched its perpetual futures trading platform Botanical, which is currently in a closed beta testing phase. The platform will offer investors trading options for perpetual futures, traditional futures, and options. Bitnomial CEO Luke Hoersten stated that the platform aims to provide a regulated and innovative trading experience, utilizing Ripple's RLUSD stablecoin for perpetual futures settlement.
▌Coinbase to Terminate "Paycheck Direct Deposit" Service on November 25
Coinbase announced on Tuesday that it will be terminating its "Paycheck Direct Deposit" service starting November 25, which previously allowed users to have a portion or all of their paychecks paid in cryptocurrency.
A Coinbase spokesperson stated that the company will "bring a better retail direct deposit experience in the future." "We've announced the new Coinbase Wallet direct deposit feature, which will be rolled out to eligible customers in the coming months, further helping users to fully integrate their financial lives on-chain," they said.
Key Economic Developments
▌Fed's Daly: 3% May Be a Good Guess for the Neutral Rate
Federal Reserve's Daly believes the Fed still has a few more rate cuts to go before monetary policy returns to neutral. Daly said when discussing the federal funds rate, "The truth is, we have a long way to go to get to where we might end up." She added that the nominal neutral rate may have risen somewhat from pre-pandemic levels, but the exact level is difficult to pin down. She suggested that 3% may be a good guess.
▌90.6% Probability of a 25BP Rate Cut by the Fed in November
According to the CME FedWatch tool, there is a 90.6% probability of a 25 basis point rate cut by the Fed in November, and a 9.4% probability of keeping the current rate unchanged. The probability of a cumulative 25 basis point rate cut by December is 13.3%, and the probability of a cumulative 50 basis point rate cut is 86.2%.
▌Trump: Tariffs Will Promote U.S. Economic Growth
In a media interview on Tuesday local time, former U.S. President and Republican presidential candidate Trump stated that if he were to return to the White House, his core policies would focus on economic growth and bringing businesses back to the U.S. Trump strongly defended high tariffs, believing them to be a way to stimulate economic growth. In his opening remarks, Trump claimed he would impose tariffs on imported goods and provide tax cuts for domestic businesses. "To me, the most beautiful word in the dictionary is tariff."
▌Firm: S&P 500 Index May Plunge 26% Next Year
Barry Bannister of Stifel, Nicolaus & Co. expects the S&P 500 index to rise another 10% before changing course and falling to early 2024 levels next year. The strategist said in a Tuesday report that while the market is optimistic about the U.S. economy and the Fed's rate cuts, the benchmark index, which has rallied nearly 40% since last October, has already risen too much. His analysis of a century of market manias suggests the S&P 500 could climb to around 6,400 and then fall back to around 4,700 by 2025, a 26% decline from the expected peak to this year's start.
Jinse Encyclopedia
▌What is Original Danks Sharding
Sharding is a method of dividing the ledger into smaller parts (called shards). But proto-danksharding is one of the most opaque terms in the cryptocurrency vocabulary. This term does not have any particular guiding meaning. Is proto an abbreviation for prototype? Is this the same dank folder in your favorite meme folder? Both of these assumptions may be quite reasonable, but they are both incorrect. Protolambda and Dankrad Feist first proposed this idea, and they named this idea after themselves, proto-danksharding is a type of transaction that accepts the aforementioned blobs. The solution using blobs aims to overcome Ethereum's long-standing high gas fees and low transaction throughput.
Disclaimer: Jinse Finance, as a blockchain information platform, the articles published are for information reference only and do not constitute actual investment advice. Everyone should establish the correct investment concept and must improve their risk awareness.
