Ethereum just completed its final testnet, Goerli, ahead of the full merge, while investors are registering high interest in ether-based funds. Meanwhile, the new crypto regulations in the EU may prevent another Terra-like event, while bills in the US will help bring more clarity to the sector. Find out the top 5 crypto news of this week.
Digital asset outlook report 2022: private markets
Sygnum Bank’s new Digital Asset Outlook 2022 explores the impact of private markets in crypto and the outlook for venture capital investments in the following quarters. Valuations may decrease, but tier 1 projects will continue to find options in the market, while companies should focus on product-market fit and keeping costs controlled amid the bear market. Crypto unicorns will emerge after these harder times, as companies with key competitive advantages become outliers under these circumstances, while regulation will bring clarity to the sector. Read more
EU securities watchdog to arm itself with crypto data
European Commission’s Peter Kerstens claims the new EU crypto regulations, the MiCA bill, can prevent events like the Terra collapse. Under the new law, crypto providers will have to report more information to the regulator, while stablecoins will be fully collateralised, and customers will be able to redeem funds. The new bill will offer more transparency, clarity, and customer protection in the European Union to prevent future Terra-like events.’ Read more
Investors bullish over Ethereum merge disinflation narrative
Ethereum is coming closer to its full merge in less than six weeks, as its third and final testnet, Goerli, occurred this week. Researchers estimate that the merge will not cause the network to be deflationary, but it will reduce inflation by 90 percent, turning investors optimistic about ETH’s long-term trajectory. According to CoinShares, the past seven days marked the seventh week of positive inflows in ether vehicles from institutional investors, given the anticipation ahead of the merge. Read more
Three bills introduced in the US to make CFTC primary regulator of crypto spot markets
Several crypto bills have been introduced by senators this year, with the common goal to clarify the roles of regulators over cryptocurrencies. There is a debate about establishing the SEC or the CFTC as the primary regulator of crypto, but three proposals – the Lummis Gillibrand bill, the House bill, and the Digital Commodity Exchange Act – are leaning towards the latter. Some of the bills would equate digital assets to commodities and fit clear and straightforward rules, opening a new stage for crypto adoption and consumer protection in the country. Read more
Wells Fargo: Digital assets are an ‘innovation on par with the internet, cars, and electricity’
Wells Fargo released a new report comparing digital assets to the importance of the internet, cars, and electricity, while exploring all the facets of cryptocurrencies. The research suggests that digital assets are the building blocks of the ‘internet of value,’ opening ‘new possibilities and investment opportunities’ for people and companies. Wells Fargo also states the factors slowing down crypto adoption, including the lack of clear regulations and a difficult onboarding experience into crypto products. Read more
About Sygnum
Sygnum is the world’s first digital asset bank, and a digital asset specialist with global reach. With Sygnum Bank AG’s Swiss banking licence, as well as Sygnum Pte Ltd’s capital markets services (CMS) licence in Singapore, Sygnum empowers institutional and private qualified investors, corporates, banks, and other financial institutions to invest in the digital asset economy with complete trust. Sygnum operates an independently controlled, scalable, and future-proof regulated banking platform. Our interdisciplinary team of banking, investment, and Distributed Ledger Technology (DLT) experts is shaping the development of a trusted digital asset ecosystem. The company is founded on Swiss and Singapore heritage and operates globally. To learn more about Sygnum, please visit www.sygnum.com.
Disclaimer
This document is purely for educational purposes and has been issued by Sygnum Group. It is not intended for distribution, publication, or use in any jurisdiction where such distribution, publication, or use would be unlawful, nor is it aimed at any person or entity to whom it would be unlawful to address such a marketing communication. It does not constitute an offer or a recommendation to subscribe, purchase, sell or hold any security or financial instrument. It contains the opinions of Sygnum Group, as at the date of issue. These opinions and the information contained herein do not take into account an individual‘s specific circumstances, objectives, or needs. No representation is made that any investment or strategy is suitable or appropriate to individual circumstances or that any investment or strategy constitutes personalized investment advice to any investor. Therefore, you must verify the above and all other information provided in the document or otherwise review it with your external advisors. Some investment products and services, including custody, may be subject to legal restrictions or may not be available worldwide on an unrestricted basis. The information and analysis contained herein are based on sources considered as reliable. Sygnum Group uses its best efforts to ensure the timeliness, accuracy, and comprehensiveness of the information contained in this document. Nevertheless, all information indicated herein may change without notice.
Sign up for Future Finance
Join our 40,000 strong global community to future proof your investments. Sign up now to be the first to receive our news, product launches, industry reports and educational series.