Trading Desk Market Update: 5/9

May 9, 2022

Risk markets are continuing to fall sharply, extending the negative sentiment that began to accumulate in the second half of last week amidst fears of rising rates and a potential recession. China’s stringent zero-Covid policy is furthering growth concerns. Bitcoin is down 4.4% alongside a steep selloff in global equities. The 10-year treasury yield breached 3.18%, it’s highest level since late 2018, and the US Dollar Index reached a two decade high as investors accumulated the safe haven currency.

Other notable news includes: India’s central securities depository launched a blockchain-based security and covenant monitoring platform; South Korea’s Presidential Transition Committee proposed a crypto framework designed to foster industry growth; Binance halted crypto derivative trading in Spain at the request of the Spanish regulator; Colorado lawmakers advanced a bill to study the use of security tokens for raising state capital; New York’s Bitcoin mining moratorium was dealt a blow as it will not be considered in the Senate Environmental Conservation committee’s final meeting of the session; the Luna Foundation guard lent $1.5b of BTC and UST to defend the peg of its algorithmic stablecoin after slightly de-pegging over the weekend; Instagram revealed plans to support NFTs on multiple major blockchains; Lido DAO token surged ahead of the Binance listing; Google Cloud formed a web3 team with a blockchain focus; Europe’s largest crypto exchange, Bitstamp, has appointed former CCO and Europe CEO JB Graftieaux to the firm’s top job following the CEO’s departure; SBI Group’s cross-border eCommerce platform enabled XRP payments; data from Similarweb, a web traffic metric provider indicated that Deribit and OKX continue to attract significant Chinese volume despite a ban in the country; Irene Zhao’s influencer platform reportedly raised capital at a $100m valuation; a Cipher Mining / WindHQ joint venture secured a $47m loan to purchase ASICs; Capital Coin CEO accused of $62m investment fraud; the US offered two bounties totaling $15m for info on Russia-based ransomware crime group, Conti; and, Trump’s attempt to lift his permanent Twitter ban was dismissed by a federal judge.  

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