Jeremy Allaire claimed the U.S. dollar is “under threat” and urged lawmakers to pass stablecoin regulation to “build trust” in a digital dollar.
A Second Round of the Lummis-Gillibrand Crypto Bill Elevates CFTC, Defines DeFi
The U.S. Securities and Exchange Commission (SEC) would take a back seat in a crypto oversight bill being re-launched by Sens. Cynthia Lummis (R-Wyo.) and Kirsten Gillibrand (D-N.Y.), which would require that crypto exchanges be overseen by the Commodity Futures Trading Commission (CFTC) and all stablecoin issuers be regulated depository institutions.
Stablecoins Pose ‘Existential Threat’ to Policy Sovereignty, Says India Central Bank Official: Report
“If large stablecoins are linked to some other currency, there is a risk of dollarization,” RBI Deputy Governor Rabi Sankar has said.
Aave DAO to Vote on Gho Stablecoin Deployment on Ethereum
GHO has been in the works for over a year and was issued on a testnet earlier this year.
China Should Consider Yuan-Backed Stablecoins Instead of CBDCs, Circle’s Allaire Says
Circle CEO Jeremy Allaire touted the advantages of stablecoins over central bank digital currencies (CBDC), in an interview with South China Morning Post.
Will $30K be a new springboard for Bitcoin bulls?
Bitcoin margin and futures markets display strength as institutional appetite surges after multiple spot ETF requests.
Fed Chair Powell Says Central Bank Needs ‘Robust’ Role Overseeing U.S. Stablecoins
Federal Reserve Chairman Jerome Powell argued for the need for strong central-bank oversight in stablecoin regulations being crafted by lawmakers in the House Financial Services Committee.
Stablecoins, DeFi Likely to Be SEC’s Next Targets in U.S. Crypto Crackdown: Berenberg
If USD Coin is targeted by regulators, the impact on Coinbase revenue could be significant, the report said
UK Crypto, Stablecoin Laws Approved by Parliament’s Upper House
The Financial Services and Markets Bill stands to recognize crypto as a regulated activity and stablecoins as a means of payment.
Bitcoin, Ether and Stablecoins Total 80% of $1T Crypto Market Cap as Investors Flee Altcoins
The combined market capitalization of BTC, ETH and stablecoins reached the highest since February 2021, digital asset research firm K33 Research noted.
New Stablecoin Bill Drafted by House Republicans as Compromise With Democrats
The Republican chair of the House Financial Services Committee has released a new draft of the leading U.S. legislative proposal for overseeing stablecoins, and it includes some of the positions of Democratic lawmakers.
Stablecoin Regulation Is a Sticking Point Between the G-7 and G-20
Global leaders appear to have reached a consensus on setting up universal rules and standards for most aspects of the crypto sector save for the treatment of stablecoins.
Aave Lending Protocol Moves Closer to Launching GHO Stablecoin on Ethereum Mainnet
Aave Companies proposed two key features for the decentralized stablecoin in a governance post on Tuesday.
Stablecoins are a critical countermeasure to Operation Chokepoint
Stablecoins could help crypto firms to remove themselves from the banking system — and prevent the U.S. government from cutting off their financial lifelines.
Tether Market Cap Climbs to All-Time High of $83.2B, Even as Stablecoin Market Sinks
USDT has reached a $83.2 billion market capitalization, recovering all its losses since the implosion of blockchain project Terra more than a year ago.
Olive-Oil Producer Issues First Euro-Stablecoin-Denominated Bond on Obligate’s DeFi Platform
The debt sale was the first of its kind for the French sustainable agriculture business.
This bearish technical pattern hints at a double-digit drop in Bitcoin price
Inflation concerns and the U.S. debt standoff cast a long shadow over Bitcoin’s dwindling bullish prospects.
Stablecoin Market Shrinks for 14th Straight Month, Posing Potential Headwinds for Crypto Prices
The continued contraction of the stablecoin market capitalization suggests that the crypto markets are still in their bear phase, macro analyst Tom Dunleavy said.
Sharks & Whales Accumulate Stablecoins, Why This Could Be Bullish For Bitcoin
Data shows the sharks and whales of the largest stablecoins have been accumulating, something that may turn out to be bullish for Bitcoin.
Sharks & Whales Have Been Loading Up On Stablecoins Recently
According to data from the on-chain analytics firm Santiment, the sharks and whales have recently improved their share of the total supply of stablecoins like USD Coin (USDC), Dai (DAI), and Binance USD (BUSD).
The relevant indicator here is the “Supply Distribution,” which tells us what percentage of a cryptocurrency’s total circulating supply is being held by which wallet group in the market.
Addresses are divided into these “wallet groups” based on the total number of tokens that they are holding at the moment. In the context of the current discussion, the 100,000 to 10 million coins cohort is of interest.
This group naturally includes the wallets of all the investors who are carrying a balance of at least 100,000 and at most 10 million tokens. As the assets in question here are USD-pegged stablecoins (meaning that their value is fixed at $1), the bounds of this range convert to $100,000 and $10 million, respectively.
As these amounts are massive, only the largest of the investors in the market would be sitting on these addresses. The sharks and whales are two such cohorts that are large enough to cover these wallets.
These groups can be quite influential in the market, as they have the power to move a notable amount of coins at once. Obviously, the whales would be the more important group of the two, as they are the larger cohort.
Now, here is a chart that shows the trend in the Supply Distribution of these sharks and whales for three of the most popular stablecoins in the sector:
As displayed in the above graph, the supplies of these three stablecoins hit a low back in March, but have since then observed an increase. This means that sharks and whales of the respective tokens have been accumulating during this period.
Generally, investors use stables whenever they want to avoid the volatility associated with other assets like Bitcoin. So, sharks and whales picking up these coins can be a sign that they have been exiting the other assets recently.
Eventually, however, such investors who have taken safe haven in stablecoins may exchange these tokens back for the volatile coins, once they feel that prices are right to jump in.
Whenever these holders swap their stables, the prices of the assets that they are shifting into can naturally observe a buying pressure. This implies that the currently piled-up stablecoin supplies of the sharks and whales can be looked at as the potential dry powder that may be deployed into assets like Bitcoin.
In the last couple of weeks, the USDC, DAI, and BUSD supplies of these humongous holders have flatlined, meaning that they may have slowed down their exit from the volatile coins. If the trend now reverses and they start scooping up the other cryptocurrencies with their stables, BTC could possibly feel a bullish effect.
BTC Price
At the time of writing, Bitcoin is trading around $26,700, down 1% in the last week.
Bitcoin Climbs Past $27.4K but Remains in Holding Pattern as Investors Continue U.S. Debt Limit Vigil
Ether and most other major altcoins rise slightly, even as stocks drop amid worries about whether U.S. lawmakers will reach an agreement before June 1.