Concerns Over U.S. Government Shutdown Impacts Financial Markets

The U.S. government is on the brink of another potential shutdown that could occur as early as 1st October if lawmakers from both the Republican and Democratic parties don't reach an agreement before then. Predictably, the surrounding a resolution is weighing down on the markets. The S&P 500 has dipped 2.28% over the past week. Moody's credit rating agency has also warned that a government shutdown could affect the U.S. government's AAA credit rating. uncertainty Currently, the only glimmer of hope is that the U.S. Senate passed a vote on Tuesday to begin the debate on a bipartisan bill that, if passed, could fund the U.S. government until November 17th. U.S. Debt on the Rise What’s worrying about this development is that in May this year, the U.S. with a similar debt standoff which led to the suspension of the debt ceiling until 2025. Subsequently, the U.S. national debt has shot up by an average of $1 trillion per month since June. Quite a remarkable movement and I fail to understand why no one is talking about this?!. grappled Ethereum's Merge: One Year Later It's slightly over a year since Ethereum transitioned from a Proof-of-Work (PoW) to a Proof-of-Stake (PoS) blockchain: Over 997,602 ETH have been burned, while the number issued stands at 710,013, resulting in a net supply reduction of approximately 287,589 ETH. Over 27.1 million ETH are currently staked on various protocols; 12.1 million ETH deposits were added after the Shanghai upgrade, which took place in April. Lido Finance holds the largest share of staked ETH at 32%, while Coinbase accounts for 8%. However, despite the strong fundamentals, hasn’t performed well over the past year, similar to the larger crypto market. ETH In fact, ETH has been consistently underperforming since the BTC merge. Noteworthy Mentions: Bear Market Blues: An Overview of the Major NFT Trends in 2023 The NFT market has been on a downtrend since the crypto market peaked. On a more positive note, there have been many interesting developments on the NFT innovation and adoption fronts. In our latest article, we take a deep dive into the major NFT trends of 2023. Here is the full . link Industry Shakers US Congress members call on SEC Chair to approve Spot Bitcoin ETFs Four U.S. Congress members are urging SEC Chairman Gary Gensler to promptly greenlight the introduction of spot Bitcoin ETFs. In a letter dated September 26, U.S. Representatives Mike Flood, Wiley Nickel, Tom Emmer, and Ritchie Torres expressed their concerns, suggesting that the SEC might be showing bias against spot Bitcoin ETFs. They referenced the legal precedence established when Grayscale Investments successfully secured a review for its ETF proposal. Bitcoin gains legal recognition as digital currency in Shanghai The Shanghai No.2 Intermediate People's Court in China has reportedly acknowledged Bitcoin as a distinct and irreplaceable digital asset, recognizing its scarcity and intrinsic value. On September 25, the Chinese court disseminated a report discussing advancements in internet technologies. The report noted that amid the evolution of internet technology, digital currencies like Bitcoin have emerged as distinct and irreplaceable entities. It further highlighted that among the myriad of digital currencies, Bitcoin holds a unique position differing from other digital assets. MicroStrategy Buys Another $147 Million Worth of Bitcoin Microstrategy, the world’s largest corporate BTC holder, has added to its stash. According to a Monday SEC filing, from August 1 to September 24, the company and its subsidiaries bought around 5,445 Bitcoin for nearly $147.3 million, at an average cost of about $27,053 per coin. This acquisition brings MicroStrategy's total Bitcoin holdings to approximately 158,245, purchased at an average price of around $29,582 each. MoneyGram unveils non-custodial wallet MoneyGram has unveiled plans to introduce a non-custodial digital wallet, set to officially launch in the first quarter of 2024. This wallet is poised to transform cross-border payments, facilitating easy swaps between fiat and digital currencies for consumers. This initiative is a result of MoneyGram's alliance with the Stellar Development Foundation, a collaboration that has notably propelled MoneyGram into a prominent position in global blockchain accessibility. Stay Updated - Follow me on Twitter! Enjoyed these insights? There's more where that came from. Follow me on for daily tidbits and updates. Twitter/X Also published here.

Concerns Over U.S. Government Shutdown Impacts Financial Markets

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