EddieJayonCrypto

 14 Jul 22

tl;dr

• A historic full percentage rate hike by the Fed could be in the cards• Celsius has paid everyone except depositors• JPMorgan says mining costs are down 50% and can lead to an extended selloff by miners• You can now get served via NFTs in the UK• Traditional centralized finance is feeling smug as c...

• A historic full percentage rate hike by the Fed could be in the cards
• Celsius has paid everyone except depositors
• JPMorgan says mining costs are down 50% and can lead to an extended selloff by miners
• You can now get served via NFTs in the UK
• Traditional centralized finance is feeling smug as crypto falters, but inevitability says not for long

Let's jump right in. JPMorgan and Morgan Stanley both missed on top and bottom lines. That sent the futures market off a cliff. Here is what is on my mind today.

1. With JPMorgan and Morgan Stanley both missing on BOTH lines, coupled with a still hot economy as of June numbers, the Fed really could raise rates by a full percentage. That would be a historic increase, but seemingly justified. I think that would have an immediate affect across all markets.

2. Celsius pays down even more debt. At this point, I think they are at zero unless you count depositors. As you may have suspected, depositors are going to be screwed, royally. With their new law team, they have filed for bankruptcy. Everyone is getting made whole EXCEPT for depositors and that is the salt in the wound. Centralized finance fails spectacularly…again.

3. A report by JPMorgan says Bitcoin production costs have halved to $13K. A lot of miners were selling off Bitcoin during the second quarter. JPM believes this could continue through the third quarter since there is a good deal of profit to be made even with BTC being down 70% off its highs. Clearly, this would continue the downward pressure on BTC and would have reverberating effects on altcoins.

4. You can now serve legal documents over blockchain technology via non-fungible tokens in the UK. This is a major step. To be clear, the procedure by which a party to a lawsuit gives an appropriate notice of initial legal action to another party can now be done over a blockchain. The ruling stems from a case brought by an online gambling company against crypto exchanges, including Binance. This follows a move by the Bank of England where they deployed a blockchain network to handle regulatory reporting last year.

5. I just read a great article in Crypto Daily titled "The Insidious Monetary System That Blames Its Ills on Crypto". I suggest reading that article. Given the current down trend of cryptocurrencies in general, you can see why so many central banks are feeling smug in their statements debasing cryptos. That said, I think they forget about the history of how fiat, like the US dollar, has lost mind-boggling value for decades. I think they also forget about Lehman Brothers and how that sent a shockwave through the traditional financial system or the numerous ponzi schemes that have also rocked traditional centralized finance. When all is said and done, the argument is simple. Traditional centralized finance can see the long range effects that come with decentralization

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