Cryptocurrency markets react to Fed rate hike of 0.75 percentage points
On Wednesday, September 21, the Federal Reserve raised its benchmark interest rate by 0.75 percent for the third time in a row, leaving the cryptocurrency market in shambles.
Bitcoin (BTC), the world’s largest cryptocurrency, traded lower in reaction to the news, plunging to a new 90-day low of $18,290. However, in the past few hours, Bitcoin has shown upward pressure, which has taken its price once again above $19,200.
To the dismay of investors, Ethereum’s free fall has continued since the merger with the news. Unlike Bitcoin, the price of ETH has been down 4% in the last 24 hours, and 18% in the last week. ETH is now trading at $1,305.
Ethereum (ETH) 24 hour price chart. source: CoinMarketCap
Ripple’s XRP is one of the biggest gainers today, rising more than 10% in the past 24 hours. With Ripple Labs making positive progress in its lawsuit, the price of XRP rose to $0.4485, a new 90-day high.
Kraken CEO Jesse Powell resigns to focus on ‘industry support’ for crypto
Cryptocurrency exchange co-founder Jesse Powell has announce He is stepping down as CEO after more than a decade at the helm of affairs at the company.
Powell cited the drain on operations and how the role became “less fun” as part of his reasons for stepping down. According to Kraken, the exchange’s chief operating officer, Dave Ripley, will succeed him as CEO.
Powell, who remains Kraken’s largest shareholder, will remain chairman of the company’s board of directors. Powell says he will continue to work on developing the company’s products and focus on supporting the crypto industry.
Powell joins the growing list of CEOs who have recently resigned to focus more on the broader crypto industry.
Vasil upgrade ready to go as Cardano meets all essential requirements
After missing two launch dates, Cardano is now just hours away from publishing a very important Vasil upgrade as IOHK Announces The three Critical Mass Indicators needed to move the hard fork have been met.
IOHK announced that 39 exchanges representing more than 87% of ADA’s liquidity have confirmed their readiness for the hard fork. More than 98% of the main blocks of the Cardano network are now generated by the Vassil node (1.35.3).
Finally, the best Cardano Decentralized Apps (Dapps) rated by TVL confirmed its readiness. If deployed successfully, the second phase of Vasil’s hard fork will take place on September 27.
With anticipation building ahead of the launch event, the ADA price is on the rise, rising 1.4% to recover from the Fed news. Also, ADA shares were worth $11.49 billion, surpassing BNB Chain and Avalanche.
IOHK referred to the upgrade as the “most important update” on Cardano to date, and it promises to expand the series’ performance range.
JP Morgan CEO Classifies Cryptocurrencies as “Decentralized Ponzi Schemes”
Testifying on Wednesday during a House Financial Services Committee hearing on Megabanks, JP Morgan CEO Jamie Dimon referred to himself as a major skeptic of crypto tokens, calling it a “decentralized Ponzi scheme.”
According to Dimon, blockchain, decentralized finance (DeFi), ledgers, smart contracts, and “tokens that do something” are valuable, but the useless nature of crypto tokens prevents it from being more active in the crypto space.
When asked about his opinion on the draft US stablecoin bill, Dimon said that properly regulated stablecoins are harmless, and added that they should have similar regulations to those of a money market fund.
Dimon pointed out that JPMorgan is a professional blockchain company, noting that JPMorgan is a dollar deposit. He also acknowledged that DeFi is real and that encryption can help with cross-border payments.
Dimon has always been an outspoken critic of Bitcoin (BTC); In 2017, he considered the token a “scam” before retracting his statement.
Sam-Bankman Fried’s FTX To Raise $1 Billion For More Acquisitions
Sam-Bankman Fried’s crypto exchange FTX, which was in the process of taking over during the crypto winter, is reportedly in talks with potential investors to raise $1 billion in new funding for further acquisitions.
FTX previously participated in two rounds of fundraising in October and July 2021, generating $420.69 million and $1 billion. According to reports, if the fundraising process goes ahead, the company’s valuation will be maintained at approximately $32 billion.
Inside sources say the additional funds will be used to fuel more deal-making in the crypto space. The company is backed by SoftBank’s Vision Fund 2, Temasek in Singapore, and Tiger Global.
It is said that FTX is one From the biggest bidders At the asset auction of bankrupt Voyager Digital. Earlier this month, the venture capital arm of FTX acquired a 30% stake in Anthony Scaramucci’s SkyBridge Capital for an undisclosed amount.
The potential fundraising of $1 billion is in line with the global expansion goal of the cryptocurrency exchange Bankmanfried, FTX.