Trading Desk Market Update: 8/19

August 19, 2022

BTC is currently trading around $21,500 and ETH around $1,700. Notable gainers in the last 24 hours are GNO and FXS. The global crypto market cap is $1.08T, down 8.1% over the last day. DeFi Total Value Locked is ~$81b and BTC dominance is around 41%.

Markets are selling off meaningfully this morning with the U.S. dollar being one of the few assets holding up. Equities, crypto, and bonds are all down with crypto being the standout loser. Fed officials reiterated a hawkish path moving forward and cautioned that policy would be unlikely to reverse course soon. $2.1 trillion of equity option notional is expiring today which could further exacerbate market moves. Crypto performance has diverged to the downside, falling ~8.1% in the last day as nearly $550m of long crypto positions were liquidated.

Notable news includes: Nigeria increased the features of its eNaira CBDC, targeting unbanked individuals; U.S. lawmakers appealed directly to four top mining firms for info into their energy consumption; Ontario crypto exchanges imposed a 30k CAD annual limit on altcoin purchases; CME Group announced plans to launch options on ETH futures ahead of The Merge; Gemini announced staking support for multiple assets; Robinhood landed a ~60% discount on its acquisition of crypto exchange Ziglu; Australian exchange Swyftx cut staff by ~20%; crypto lender Hodlnaut announced a police inquiry and an ~80% staff cut; the ETHW token has already fallen ~62% on Poloniex; crypto custodian Copper announced plans to connect to Solana for DeFi access; Mercado Libre launched its own Ethereum cash back token; Tether announced plans to issue monthly attestation reports with its new accounting firm BDO Italia; Safe, the recently rebranded spinoff protocol from Gnosis, announced plans for an airdrop; SBI Holdings cut its Bitcoin mining operations in Russia citing sanctions; Rarible proposed a zero fee BAYC-ecosystem NFT marketplace for ApeCoin users; $55m of BAYC and CryptoPunk NFTs risk liquidation on BendDAO; Blockchain VC funding was down ~43% in July; GitPOAP raised $4m to bring Github contributions on-chain; and, Ukraine spent ~$54m in crypto on drones and other military expenses. 

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