Trading Desk Market Update: 11/2

November 2, 2021

BTC is currently trading above $63,000 and ETH above $4,400.  Notable gainers in the last 24 hours are LRC, SAND, and AUDIO. The global crypto market cap is ~$2.84T, a 2.3% increase over the last day.  DeFi Total Value Locked is above $250b and BTC dominance is above 44%.

LRC, a ZK rollup-based layer two for trading and payment, is the standout performer today, up ~83% over 24 hours due to speculation it may be partnering with GameStop for a potential NFT marketplace.   Metaverse coins continue to rally, with SAND +26% and ENJ +12%, while DOT is also strong given the likely passing of a parachain auction crowd loan funding proposal as well as the network’s upcoming parachain auctions. Lastly, note Ethereum just recorded its first full week of negative net issuance.  

The highly-anticipated stablecoin report from the US President’s Working Group on Financial Markets was released yesterday. The report analyzes prudential risks posed by payment stablecoins and provides recommendations to address gaps, such as requiring stablecoin issuers to be insured depository institutions.  It asks Congress to promptly enact stablecoin legislation to address risks for users, the payment system, and systemic risk more generally before outlining actions the various regulatory agencies can take in the immediate term while waiting for Congress to act.

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