Planet Daily|Fed Minutes: "Almost all" participants agreed to suspend interest rate hikes in June; Valkyrie reapplies for spot Bitcoin ETF, Coinbase as partner in monitoring sharing agreement (July 6)


Headlines

Fed Minutes: 'Virtually All' Agreed to Pause Rate Hikes in June

The minutes of the Fed meeting showed that Fed officials agreed to keep interest rates unchanged at the June meeting to buy time and assess whether further rate hikes are needed, although most members expected that policy will eventually need to be tightened further. "Some participants" wanted a rate hike in June because of slow progress in curbing inflation, but "virtually all participants" thought it would be appropriate or acceptable to maintain the current fed funds rate of 5% to 5.25%. "Most participants felt that keeping the target range unchanged at this meeting would give them more time to assess progress in the economy," moving toward the goal of restoring inflation to 2 percent from more than double its current level. (Golden Ten)

Industry news

Fed policymakers still grappling with modestly improving inflation data

The minutes of the Federal Reserve meeting showed that policymakers were still grappling with data showing a persistently tight labor market and only a modest improvement in inflation, even as Fed staff still expected a "moderate recession" later this year. Officials are also trying to reconcile headline data showing continued strength in the economy with evidence that could point to weakness. Forecasts released after the June meeting showed that only two of 18 Fed officials saw no need to raise rates. (Golden Ten)

Fed Minutes: No Evidence of Gradual Return of Inflation to 2% Target

Fed Minutes: Proponents of a rate hike point to a very tight labor market, stronger-than-expected economic momentum and no evidence that inflation will gradually return to the 2% target. All participants agreed that maintaining a tighter stance was appropriate. (Golden Ten)

Valkyrie Reapplies for Spot Bitcoin ETF, Coinbase as Partner Overseeing Shared Protocol

After Valkyrie submitted a spot bitcoin ETF application to the US SEC on June 21, it submitted a new 19 b-4 document on Wednesday (July 5), saying that Coinbase will serve as a partner in monitoring the sharing agreement. The protocol is designed to help prevent market manipulation. (CoinDesk)

Total CEX transactions rose 14% to $2.71 trillion in June, first increase since March

Cryptocurrency trading volumes rose for the first time in three months in June, amid optimism as multiple large institutions filed for spot bitcoin ETF applications. According to a report by CCData, the total volume of spot and derivatives transactions on centralized exchanges (CEX) rose 14% to $2.71 trillion. It was the first monthly increase since March.

British FCA: From October 8th, encryption companies will only have four ways to legally promote encrypted assets

The UK's Financial Conduct Authority (FCA) has announced that all crypto asset firms marketing to users in the country must comply with its financial promotions regime by October 2023. In a letter dated July 4, the FCA stated that from October 8, companies operating in the UK will only have four legal avenues for promoting crypto assets in order to comply with the FCA’s regime. These legal avenues include having an authorized party approve or communicate a promotion, creating a promotion by an FCA-registered business, or a promotion that is exempt under the UK Financial Services and Markets Act. According to the FCA, promotions include "websites, mobile apps, social media posts and online advertisements" that are "capable of having a UK impact" and are not limited to UK-based companies. Firms that fail to comply could face criminal charges, Jayson Probin, head of crypto finance outreach at the FCA, said in a July 4 LinkedIn post. (Cointelegraph)

The Israeli Encryption Tax Bill was initially passed in Congress, which is expected to exempt foreigners from capital gains tax on digital assets in Israel

On July 5, the Knesset, or Knesset, passed a bill in preliminary deliberations that would extend certain tax incentives available to Israeli high-tech companies to the country’s cryptocurrency industry. If the bill becomes law, the bill would exempt foreign residents from capital gains tax when they sell digital currencies and reduce the tax rate on employee cryptocurrency options (similar to stock options) from 50% to about 25%. Presented by the Companies Forum on Currency, Blockchain and the Web3 (ICBW 3). The bill, which is backed by Prime Minister Benjamin Netanyahu's coalition government and is in line with his economic policies, aims to attract investors and businesses to Israel, according to Netanyahu's LeBron. Kurdish MP Dan Iluz said. Iluz said in a press statement: “To date, workers in the cryptocurrency industry pay twice as much in taxes on options as workers in traditional high-tech industries. Moreover, foreign investors in the blockchain industry have no Enjoy the same benefits as traditional high-tech investors." He also said: "This legal amendment aims to balance this situation and eliminate tax discrimination." (Coindesk)

Market Changes

Grayscale GBTC soared to $20.34, an increase of over 48.76% in the past January

According to market data, Grayscale GBTC soared to US$20.34, an increase of more than 48.76% in the past January.

Project Highlights

The 1inch team actually sold 11,000 ETH, and the resulting DAI has been converted into the interest-earning token CHAI

DeBank data shows that the beginning of 0x 225 d is marked as 1inch: The address of Investment Fund withdrew two Uniswap V3 LPs about 4 hours ago, received about 11,000 ETH, and then converted ETH to WETH and converted it into WETH in several transactions. DAI, convert all the converted DAI to CHAI, the interest-bearing token previously launched by MakerDAO, and currently hold about 26.78 million pieces of CHAI.

Blur V2 is launched, introducing the new feature of Trait bidding

Blur announced that Blur V2 is officially launched. Important updates include a 50% reduction in transaction gas and the launch of the new "Trait bidding" function.

MakerDAO announced that Spark Protocol will be extended to multi-chains and announced the deployment process

MakerDAO announced on Twitter that its lending protocol Spark Protocol will be extended to multiple chains, and announced the steps and process of deploying Spark Protocol in specific domains (domains, that is, each blockchain network, including side chains and L2 solutions). If you intend to deploy Spark Protocol in a new domain, you need to first create a post on the Maker Forum under the SubDAO TWO category (need to provide background information, technical information, collateral information, liquidity information, etc.); Phoenix Labs will then review the submitted Proposals are evaluated and MakerDAO is advised on new domains and collateral information to be included; Block Analitica will perform collateral evaluation and recommend risk parameters for Spark’s collateral in new domains. Domain and collateral assessments will be posted on the Maker Forum. These evaluations will provide valuable insights for MKR holders when deciding to deploy Spark in new domains.

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The former chairman of the US CFTC proposed the creation of an encryption self-regulatory organization under the supervision of the SEC and CFTC

Timothy Massad, former chairman of the US CFTC, proposed to avoid the whole debate (of "enforcement regulation" and "registration") by creating a self-regulatory organization (SRO) when talking about cryptocurrency regulatory solutions. The organization accepts the supervision of the SEC and CFTC , to develop a common set of investor protection standards for cryptocurrency intermediaries and the digital assets traded on them. Massad added that he’s not worried about other jurisdictions overtaking the U.S., noting that implementing new laws such as the EU’s Market in Cryptoassets (MiCA) regime will be more complicated than one might think. (Fortune)

CZ: The main consideration for listing on Binance is whether the project has a real user base

CZ, the founder of Binance, said in Twitter Space: The most important thing for Binance listing is whether the project has a real user group and a real application scenario. If not, factors such as team and history will be considered. The projects that Binance does not want to go online use Binance users as seed users, which is very risky. In addition, CZ also said that instead of over-thinking how to be listed on Binance, it is better to spend energy on long-term product construction.

CZ: Binance and traditional asset management companies are not in competition and will not be threatened

Binance founder CZ said in Twitter Space: Binance and traditional asset management companies that are applying for spot ETFs are not in a competitive relationship and will not be threatened. And new platforms like EDX Markets are dedicated to providing business for local compliance institutional clients in the United States, which is different from Binance’s business field.

NFT

Nansen: BAYC's on-chain royalties have exceeded $58 million, and Azuki's royalties have exceeded $43 million

According to Nansen data, BAYC’s on-chain royalty income has exceeded 58 million US dollars, Otherdeed for Otherside has exceeded 52 million US dollars, Azuki has exceeded 43 million US dollars, and Pudgy Penguins has exceeded 7.2 million US dollars.