Cryptocurrency as a Smoke Alarm for the Financial System
On March 17th, Arthur Hayes, the founder of BitMEX, wrote that the Federal Reserve’s Bank Term Financing Plan (BTFP) had undertaken quantitative easing of $4.4 trillion in another way, even exceeding the $4.189 trillion printed in response to the COVID crisis. Although the BTFP plan is mandated to last only one year, it will almost certainly be extended preventively. The Federal Reserve is expected to either start cutting interest rates at its upcoming March meeting or a severe recession in a few months will force it to turn. Since the outbreak of the banking crisis, the yield on two-year Treasury bills has fallen by more than 100 basis points. The market is crying out for deflation supported by the banking system, and the Federal Reserve will eventually listen to the market. In this banking crisis, cryptocurrency has once again proven to be a stinky, wasteful, smoke alarm for the legal tender driven Western financial system.
Founder of BitMEX: BTFP plans to print $4.4 trillion, and the Federal Reserve is about to reverse the tightening cycle
Analysis based on this information:
Arthur Hayes, the founder of BitMEX, wrote a message on March 17th discussing the Federal Reserve’s Bank Term Financing Plan (BTFP) and its quantitative easing of $4.4 trillion. This exceeds the $4.189 trillion printed in response to the COVID crisis. The BTFP plan is supposed to last for only one year, but it is likely to be extended as a preventive measure. The Federal Reserve is expected to either start cutting interest rates at the upcoming March meeting, or if a severe recession happens in a few months, it will be forced to turn to this measure. The yield on two-year Treasury bills has fallen by more than 100 basis points since the banking crisis began. The market is calling for deflation supported by the banking system, and the Federal Reserve will eventually listen to the market.
Cryptocurrency has once again proven to be a smoke alarm for the legal tender driven Western financial system. Although cryptocurrency has been criticized in the past for being volatile and unstable, it has shown its usefulness during this banking crisis. Cryptocurrency has been alerting the market to the potential risks and providing an alternative system to traditional banking. With deflation being sought by the market, cryptocurrency may be able to provide a more stable alternative to the current system.
The interpretation of this message highlights the possibility of a severe recession due to the banking crisis, and the potential for the Federal Reserve to turn to cutting interest rates. This would support the idea of deflation being called for by the market. Cryptocurrency has been seen as a smoke alarm for the financial system, alerting the market to potential risks and providing an alternative system. The use of cryptocurrency may become more common as a result of this crisis, especially if it is needed to provide a more stable alternative to traditional banking. Overall, this message highlights the importance of being open to alternative systems and new technologies during a crisis.
In summary, the message emphasizes the importance of cryptocurrency as a smoke alarm for the financial system during the banking crisis. The potential for a severe recession and the need for deflation is discussed, as well as the potential for the Federal Reserve to cut interest rates. The title of this message is “Cryptocurrency as a Smoke Alarm for the Financial System,” with three keywords being BitMEX, Federal Reserve, and deflation.
This article and pictures are from the Internet and do not represent qiAiAi's position. If you infringe, please contact us to delete:https://www.qiaiai.com/ai/6395.html
It is strongly recommended that you study, review, analyze and verify the content independently, use the relevant data and content carefully, and bear all risks arising therefrom.
Related recommendations
-
Axis Infinity to Implement Active Strategy for Encrypted Tokens
It is reported that Axis Infinity plans to adopt a \”more active\” strategy for the encrypted tokens earned by players in 2023, which indicates that the P2E mode…
-
General Bytes Crypto ATM Services Attacked
According to reports, according to the official Twitter message of General Bytes, the General Bytes cryptocurrency ATM service was attacked on March 17th and 18th. The attacker used the upload interface in the system to upload and run malicious Java programs, and then the attacker obtained permissions to the database in the server and the hot wallet withdrawal API Key. General Bytes Cryptocurrency ATM service has been attacked, resulting in database and cryptocurrency theft Analysis based on this information:Reports suggest that General Bytes, a cryptocurrency ATM service, experienced a cyber-attack on March 17th and 18th. According to the company’s official Twitter message, the attacker managed to use the upload interface within the system to upload and operate malicious Java programs. After that, the attacker successfully obtained permissions for the server’s database and hot wallet withdrawal API key. This attack is a significant blow to General Bytes and raises questions about the security of cryptocurrencies. Given the growing popularity of cryptocurrencies,…
-
El Salvador has opened its second Bitcoin embassy in Texas, United States
According to reports, El Salvador has opened its second Bitcoin embassy in Texas, USA. In addition to promoting Bitcoin to the public, the specific tasks that the embassy will acco
-
Michael Barr Appointed as Head of Supervision and Regulatory Review in Silicon Valley
It is reported that Michael Barr, the former adviser of Ripple and the current vice chairman of the Federal Reserve’s supervision, has been appointed by the board of supervisors as the head of supervision and regulatory review of the banking case in Silicon Valley. Barr will be responsible for conducting a thorough and comprehensive review of the supervision and supervision methods of failed banks and preparing follow-up work before May. The Federal Reserve appointed the former Ripple consultant as the supervisor of the banking case in Silicon Valley Analysis based on this information:Michael Barr, the former adviser of Ripple and the current vice chairman of the Federal Reserve’s supervision, has been appointed by the board of supervisors as the head of supervision and regulatory review of the banking case in Silicon Valley. Barr’s appointment comes in the wake of several bank failures in the Silicon Valley region that have raised concerns about the supervision and supervision methods of failed banks….
-
Litecoin Core v24 Has Been Launched: Here’s What You Need To Know
On April 11, it was announced on Litecoin official tweet that Litecoin Core v24 has been launched under the leadership of its core developer David Burkett. The new version will add
-
Avaissance: Avalanche Foundation’s New NFT Program to Boost Digital Art Industry
On March 30th, according to the official blog, the Avalanche Foundation launched the NFT program, Avaissance, aimed at supporting emerging digital artists and promoting the growth
-
NFT Sales Fall 5.44% As 19 Blockchains Record Earnings of $193.8m
According to reports, compared to last week, NFT sales fell 5.44% this week, with sales of 19 different blockchains reaching $193.8 million. According to Cryptoslam.io statistics,
-
Coinbase L2 Network Base Commemorates NFT Series Base with Successful Completion of Free Casting
According to the official page, the coinbase L2 network base commemorates the NFT series base, and the free casting of Introduced has ended at 13:00 today, wit…
-
Mask Network Acquires RARA: A Social Curation Agreement for NFTs
On April 4th, Mask Network announced the acquisition of the team behind the social curation agreement RARA. As part of the Web3 social builder Mask ecosystem, the team will continu
-
Large transfer of BTCs to Coinbase sparks market interest
It is reported that 1998 BTCs were transferred from unknown wallets to Coinbase at 08:23 today, with a value of about $41.02 million.
About $41.02 million BTC t