Headlines
▌Coinbase: Trading functionality of Function X (FX) has been disabled
Coinbase has announced that it has disabled the trading functionality of Function X (FX). After the project team re-enabled the smart contract, funds can still be used normally, and withdrawal operations will continue.
▌Trump: The stock market is at historic highs
US President Trump: The stock market is at historic highs.
Market
As of the time of publication, according to CoinGecko data:
BTC price is $117,742, 24-hour change -0.9%;
ETH price is $4,474.88, 24-hour change -3.2%;
BNB price is $834.13, 24-hour change -1.2%;
SOL price is $187.98, 24-hour change -3.3%;
DOGE price is $0.239, 24-hour change +3.0%;
XRP price is $3.09, 24-hour change -0.3%.
TRX price is $0.3537, 24-hour change -1.9%.
Policy
▌New York State plans to introduce a cryptocurrency trading tax, potentially generating an additional $158 million annually
According to Decrypt, New York State Assemblyman Phil Steck proposed a bill to impose a 0.2% sales tax on cryptocurrency transactions statewide, expected to generate an additional $158 million annually, with funds allocated for anti-drug and intervention programs in schools in northern New York. This tax covers digital assets such as NFTs, mining, and staking income, as well as stablecoins. Currently, eight states, including New York and California, treat cryptocurrencies as cash equivalents for tax purposes and have imposed capital gains, gift, and estate taxes on digital assets.
▌The SEC's investigation into Roblox has concluded as of May
US SEC documents show that the investigation into Roblox has concluded as of May.
▌US and Russian presidents meet in Alaska
On the 15th at around 11 AM local time, US President Trump and Russian President Putin met at the Elmendorf-Richardson Joint Military Base's airport in Anchorage, Alaska. Following this, the two will hold their first face-to-face talks since June 2021.
▌The Federal Reserve will cancel plans to specifically regulate banks' cryptocurrency and fintech activities
The Federal Reserve announced on Friday that it will cancel a so-called "novel activities" regulatory plan, which aimed to specifically regulate banks' cryptocurrency and fintech activities, instead incorporating these activities into its regular banking supervision. The Federal Reserve launched this new initiative in 2023 to focus on how banks interact with these emerging technologies. However, the Federal Reserve stated that there is no longer a need to do so, as it has already strengthened its understanding of these risks and how banks manage them.
Blockchain applications
▌Meta Platforms plans to restructure its AI business again
Meta Platforms plans to restructure its AI business again, which is expected to be split into four departments.
Cryptocurrency
▌A major whale is facing an unrealized loss of $535,000 in UNI, continuously adding to positions to lower costs
According to on-chain analyst Ai Yi (@ai 9684xtpa), a major whale converted 1,090 ETH to 415,005 UNI on August 13. After UNI prices fell, the address added 115,005 UNI 10 hours ago to lower the average cost. The address has now invested a total of $6.26 million in UNI, with an average holding cost of $11.82, currently facing an unrealized loss of approximately $535,000.
▌The Ethereum PoS network exit queue has risen to approximately 818,000 ETH, while the entry queue has risen to approximately 362,000 ETH
According to the validator queue tracking website validatorqueue, the current Ethereum PoS network exit queue reports 818,352 ETH exiting, worth approximately $3.72 billion based on current prices, with a withdrawal delay currently reported at 14 days and 5 hours. Meanwhile, the demand for staking from new validators has rebounded, with today's entry queue rising to 362,300 ETH, valued at approximately $1.649 billion, and the current waiting time for the entry queue is 6 days and 7 hours.
▌ARK Invest deposited 1,268 BTC into Coinbase, worth approximately $148.88 million
According to Lookonchain monitoring, in the past 30 minutes, ARK Invest deposited 1,268 BTC into Coinbase, worth approximately $148.88 million.
▌BitMine once again invested $130 million to increase its holding of 28,650 ETH
According to Lookonchain monitoring, BitMine has once again increased its holdings by 28,650 ETH (approximately $130 million) in the past hour, currently holding 1.174 million ETH (approximately $5.26 billion).
Important economic dynamics
▌Federal Reserve's Daly: It would be appropriate to lower interest rates about twice this year
Following economic reports showed last month's retail sales exceeded expectations and wholesale prices unexpectedly surged, 2027 FOMC voter and San Francisco Fed President Daly hinted in an interview that she is still prepared to begin loosening policy as early as next month. Daly stated that the labor market is softening, and the economy is slowing, but not too slowly, compared to inflation still above the Fed's target, "there will be reasons to lower interest rates a few times this year." "We will wait for more data; we may lower rates less, or perhaps more, but ultimately, I think lowering rates twice this year is still a good prediction." "What I don't want to do is to worry too much that inflation may rise again or persist, so that we are waiting for clarity on that while not supporting the labor market." (Jin Shi)
▌10-year US Treasury yield rose more than 4 basis points this week
On Friday (August 15), at the close in New York, the US 10-year Treasury yield rose 3.89 basis points to 4.3238%, with a cumulative increase of 4.08 basis points this week. On August 14, the yield dropped to 4.1979% shortly after the release of US PPI data. The 2-year Treasury yield rose 2.44 basis points to 3.7568%, with a cumulative decline of 0.55 basis points this week, overall showing a V-shaped trend, having also dropped to 3.6513% before the PPI data was released. The 2/10-year Treasury yield spread increased by 1.449 basis points to +56.485 basis points, with a cumulative increase of 4.429 basis points this week.
▌The three major US stock indexes closed mixed
The three major US stock indexes closed mixed, each up for two consecutive weeks. The Nasdaq fell 0.4%, with a cumulative rise of 0.81% this week; the S&P 500 index fell 0.29%, with a cumulative rise of 0.94% this week; the Dow rose 0.08%, with a cumulative rise of 1.74% this week. Both the Dow and the S&P 500 index briefly reached intraday historic highs.
Golden Encyclopedia
▌How did MicroStrategy cause its stock price to soar over 1000 times with BTC?
Corporate treasury is the financial nerve center of companies, tasked with ensuring liquidity, managing risk, and optimizing returns. They have traditionally been conservative, relying on fiat currencies, bonds, and other stable investments. However, MicroStrategy has adopted Bitcoin as its primary reserve asset, breaking this mold. The goal of fund managers is to achieve a delicate balance between risk and return. Their primary objective is to protect the company's assets from market downturns or liquidity crises while ensuring optimal returns on remaining company funds. They should also manage risks during periods of market volatility and stress. This is where MicroStrategy's inclusion of Bitcoin into its treasury challenges traditional norms and adopts a high-risk, high-return strategy. As a result, this bold strategy has not only changed its balance sheet but also transformed its stock performance, solidifying the company's status as a pioneer in cryptocurrency adoption.
MicroStrategy co-founder and Executive Chairman Michael Saylor views Bitcoin as a remedy for fiat inflation. He believes the purchasing power of the dollar is rapidly diminishing, while Bitcoin, due to its limited supply, has excellent value retention capabilities. This strategy transforms MicroStrategy into a hybrid of software company and cryptocurrency investment tool. MicroStrategy utilizes financing strategies such as stock issuance, debt financing, free cash flow, and Bitcoin-backed loans to drive its Bitcoin purchases. Its strategy needs to comply with mainstream financial service regulations while ensuring it can handle volatile assets like Bitcoin. MicroStrategy's bold Bitcoin acquisition strategy, utilizing convertible notes and dollar-cost averaging, has transformed it from a struggling software company into a Bitcoin proxy, driving its stock price up over 1,000 times and redefining its market image.
