EddieJayonCrypto
10 Aug 22
• Inflation is cooler than expected given today's better than expected CPI numbers• Interactive Brokers partners with Paxos Trust to deepen their crypto services to Registered Investment Advisors• Coinbase reports a $1.1B Q2 loss• Reddit partners with FTX to integrate ETH gas fee payments via fiat u...
• Inflation is cooler than expected given today's better than expected CPI numbers• Interactive Brokers partners with Paxos Trust to deepen their crypto services to Registered Investment Advisors• Coinbase reports a $1.1B Q2 loss• Reddit partners with FTX to integrate ETH gas fee payments via fiat using Community Points• Decentralized exchange, Curve Finance, has $570K stolen from user wallets; CZ says GoDaddy DNS is insecureThere may be a silver lining in the centralized exchange space while Coinbase loses over $1.1B in Q2. Here is what is on my mind today.1. Inflation is cooler than expected given today's CPI numbers. Jobs are still out there, for now. We do expect there to be more layoffs in the near future, but higher paying jobs are still out there. Something else that is good realize is the US Dollar is cooling off as well. Interest rates have also fallen. That makes it easier for companies to repatriate money and put it to work. People are beginning to think a soft landing is nowhere near guaranteed, but the odds are a little bit higher given these numbers. I wonder what people are thinking about the Fed now. 2. Interactive Brokers is getting deeper into crypto by enabling their Registered Investment Advisors (RIAs) in the US to directly manage Bitcoin, Ethereum,, Litecoin and Bitcoin Cash holdings via their partner, Paxos Trust Company. Paxos in a fintech that specializes in blockchain technology. This move demonstrates that traditional financial institutions may be late to the game, but may be more financially prepared to enter into the crypto space versus crypto exchanges entering into theirs. 3. Coinbase reported a $1.1B loss for Q2 and also stated assets held on the exchange is as low as $96M. Those are staggering declines when compared to last year. More importantly, the numbers demonstrate the company's inability to manage evenly through boom and bust times. I have been saying how I was seeing how many crypto companies were looking like dotcom companies just before the dotcom bust. Well, we are witnessing companies repeat the past. 4. In a note of good news, Reddit is partnering with FTX to enable users to purchase ETH with fiat for as fees associated with Community Points transactions. This is actually pretty interesting. FTX is finding innovative ways to gain new users and increase assets on the exchange. While some exchanges are faltering, some are thriving. 5. Decentralized exchange, Curve Finance, has $570K stolen from user wallets. The attackers were able to hijack Curve's DNS and add a malicious contract to the home page. Once a user approved by the unsuspecting victim their wallet was then drained. CZ, CEO of Binance, says, "They use GoDaddy for DNS, which is insecure. No web3 projects should use that. Very susceptible to social engineering."