Digital Asset Report 76
- Three Arrow Capital hedge fund is highlighting the intrication of over leveraged CeFi and DeFi.
- Lenders are pulling out their liquidities of the crypto markets, hedge funds & market makers have difficulties to operate. Liquidations seems not be finished yet.
- Celsius with 1.7 million users unable to withdraw their $11.5 billion worth of crypto.
- Goldman Sachs looking for $2 billion to bailout Celsius
- BlockFi seeking $250 million a fight for bailout between Morgan Creek Capital and FTX.
- Short sellers attacking stablecoin USDT, Tether fight back by promising to reveal full reserve audit in 1 month.
- Proshares Short Bitcoin ETF does not meet the expected success, markets might not believe price will decline in the near-term.
Business
Crypto hedge fund at center of crisis faces risk of default as deadline to repay $670 million nears
Three Arrows Capital, or 3AC, is facing a liquidity crisis after the collapse of terraUSD, margin calls on its loans and a massive slump in the crypto market.
Goldman Sachs Leading Investor Group to Buy Celsius Assets: Sources
The Wall Street firm is seeking $2 billion in commitments from investors to buy distressed assets at steep discounts if the crypto lender goes bankrupt.
FTX Plans to Acquire Stake in Battered Crypto Lender BlockFi: Report - Decrypt
FTX has entered negotiations to acquire a stake in the beleaguered crypto lending firm BlockFi following a $250M bailout, according to WSJ.
BlockFi Has a New Bidder in Morgan Creek, Report Says - Blockworks
FTX’s $250 million credit line could practically wipe out BlockFi investors, shareholders and management, Morgan Creek’s Mark Yusko said
50% of Latin American Consumers Have Experience Transacting Crypto: Mastercard
The survey was conducted between March and April of this year among more than 35,000 people around the world.
NFTs In A Nutshell: A Weekly Review | Bitcoinist.com
Q2 closes up with NFT.NYC, another week packed of Yuga Labs and BAYC headlines (and discourse), and eBay continuing it’s active push into the space - this
Markets
Crypto Charts 71
Bitcoin Last week we said : Look to buy on a pull back to the 19200 level placing stops below the weekend low at 17599. If we are correct then we should see BTC trade to new highs in the coming months.’ We saw a pullback to 17599 which could have
Crypto Hedge Funds, Traders Short Tether After UST’s Implosion: Report
The positions are worth at least “hundreds of millions” of dollars in notional value, one trader said.
Tether Prepares Full Audit to Improve USDT Reserves Transparency
Tether, the world’s largest stablecoin with $68 billion in assets, will undertake a full audit to improve transparency.
Bitcoin Funds See Largest Outflows on Record ‘By a Wide Margin’ – CoinShares
Crypto-backed investment funds saw outflows of USD 423m last week, marking the largest weekly outflows on record “by a wide margin,” data from the crypto research and investment firm CoinShares shows.
Market Wrap: From GBTC Discount to Short Bitcoin ETF, Traders See Reasons for Optimism
It’s hard to imagine that data showing traders piling into a trade designed to profit from further bitcoin price declines might be bullish, but that’s how some analysts are interpreting the signal.
Regulations
Swiss Regulator Urges Financial Watchdogs to Protect Crypto Investors – Regulation Bitcoin News
Crypto trading is increasingly similar to the U.S. stock market of the late 1920s, the head of the Swiss financial watchdog has remarked.
Why the Crypto Crash Will Accelerate Regulatory Action
Recent events that have sent digital assets deeper into a bear market may also instill lawmakers with a new urgency to address issues that have been gnawing at the industry.
Opinions
Swiss National Bank exec: Regulators may favor centralized stablecoins after Terra crisis
Thomas Moser said both CBDCs and stablecoins could co-exist adding that CBDC’s function would be very basic and private stablecoin issuers can add services on top of them to meet retail customers’ needs.
Changpeng Zhao: tech chief in the eye of the cryptocurrency storm
The founder of Binance, the world’s largest digital currency exchange, is on a mission to talk to governments and regulators even as investors retreat
Podcasts / Readings
Swiss National Bank-CIF Conference 2022: Keynote Lecture by Zooko Wilcox from Electric Company, founder of ZCash
World's first central bank to open a Zcash wallet
Schweizerische Nationalbank (SNB) - Forschungs-TV