Crypto Market Newsreel \ 4-17 JUNE

Buckle Up: Crypto Winter is here

While summer is waiting around the corner, in the crypto world 'winter' has officially arrived. In June, crypto market capitalization dropped below one trillion dollars, just months after analysts predicted it to reach 3 Trillion. The Bear market is here, S&P 500 is falling, and Bitcoin and altcoin prices are decreasing too. After all, the Consensus 2022 conference that was held last week and welcomed around 17,000 people was a nice farewell party for the long Bull market. Let's uncover what else happened in the past two weeks in the cryptoverse.
Market Cap
Last two weeks, the market cap lost 26.5% because of a mixture of reasons, including growing concerns around rising inflation rates, Celsius Network freezing withdrawals, S&P 500 going under 3800 to other 'Bearish' market trends.
$902 Billion
* Crypto market capitalization is the total value of a cryptocurrency. It is calculated by multiplying the cryptocurrency price with the number of coins in circulation.
Week's Top-3 Influential Coins
Top Gainers
CarTaxi Token
NEST Protocol
BTC Treasuries
BTC Treasures are alternative inflation hedges and stores of value that are especially popular in the times of world economic destabilization.
Exchange Traded Funds
828,641 BTC
50,699 BTC
46,351 BTC
Public Companies
268,271 BTC
129,218 BTC
Private Companies
202,068 BTC
140,000 BTC
Grayscale Bitcoin Trust
643,572 BTC
Top 3
Top 3
Top 3
Top 3
Learn more at Buy Bitcoin Worldwide
2,301 BTC
El Salvador
1,981 BTC
42,902 BTC
Tesla, Inc
Galaxy Digital Holdings
16,400 BTC
28,000 BTC
Luna Foundation Guard
The Tezos Foundation
17,500 BTC
CoinShares / XBT Provider
48,466 BTC
Purpose Bitcoin ETF
43,701 BTC

  • BTC drops to $20,200 as S&P 500 confirmed entering Bear Market

Bitcoin slid to lows of $20,181.58 in the early hours of Wednesday morning — just a day after the S&P 500 officially confirmed a bear market.

This Monday the S&P 500 closed trading at 4,796.56, which is down 21.8% from record highs that were set back in January. By comparison, Bitcoin is now almost 70% below its most recent all-time high of $68,789 recorded in November.

  • Crypto lending firm Celsius paused all account withdrawals

On Monday, Celsius Network Ltd., one of the biggest lenders in crypto, stated that it was pausing withdrawals, swaps, and transfers following weeks of speculation over its ability to make good on the outsize returns it offered on certain of its products, including yields as high as 17%.

This decision effectively halted a platform with registered entities from all over the world and billions of dollars worth of cryptocurrency under management. Thus, accelerating a selloff in the broader market that was already in progress on concern over prospects for tightening monetary policy by a Federal Reserve.

  • More layoffs at Coinbase -> Large hiring programs at Kraken, Binance and FTX
Earlier this week a major crypto exchange Coinbase is planning to reduce its workforce by around 18% in order to cut expenses and increase efficiency ahead of a possible recession, laying off 1,100 employees.

In contrast, Kraken is unveiling a global hiring push with hundreds of available jobs across the world - declaring that it's not planning to fire its employees.
We have not adjusted our hiring plan, and we do not intend to make any layoffs. We have over 500 roles to fill during the remainder of the year, and believe bear markets are fantastic at weeding out the applicants chasing hype from the true believers in our mission.
From Kraken's official statement
Meanwhile, Binance and FTX representatives are also optimistic about their companies hiring plans in the coming months, similar to the standpoint adopted by Kraken.

Goldman Sachs (GS) has started trading a type of derivative tied to Ether (ETH), Bloomberg reported on Monday. This derivative pays out based on the price of ether and offers institutional investors indirect exposure to the cryptocurrency.

The move by Goldman Sachs demonstrates an institutional appetite for cryptocurrencies at a time when the market is reeling from the fall of stablecoin terraUSD (UST) and a poor macroeconomic outlook.

  • Jack Dorsey and Jay-Z launch "The Bitcoin Academy" educational program
Legendary New York hip-hop artist and producer, Jay-Z has joined forces with the founder of Cash App, Jack Dorsey, to launch "The Bitcoin Academy," an educational program advocating for the democratic vision that "education is power."

Exclusively available for residents of the Marcy Project public housing complex in New York City, the scheme will commence on June 22 and run until September 7 with options for both in-person and online attendance. The free educational program is designed to enhance access to financial information and promote inclusive opportunities.
Featured on Aximetria
The Chainlink protocol is the most widely adopted oracle network in the cryptocurrency ecosystem which allows blockchains to securely interact with external data feeds for the proper functioning of smart contracts.

Earlier this week, the project revealed a roadmap for the first time and indicated that LINK staking would launch soon.

Earlier in June, Chainlink also launched its price feeds feature on the Solana (SOL) blockchain. This function enables developers within the Solana platform to use the BTC/USD, ETH/USD and USDC/USD price feeds within their applications.

Recently, Chainlink (LINK) launched two of its services, Chainlink Keepers and Chainlink Verifiable Random Function (VRF) and integrated them into the Avalanche Primary Network.
Crypto Regulation Updates
The South Korean government is launching the Digital Assets Committee (literal English translation) to form policy for the crypto industry. The committee will operate separately from existing financial regulators and will be devoted entirely to the crypto market.
Read more
South Korea
Senators unveil a new bill to incorporate crypto into the traditional financial system. The measure would stipulate that the CFTC, not the Securities and Exchange Commission, play the primary role in regulating crypto products.
Read more
The European Union might reach an agreement on key legislation to regulate the crypto sector this month, which would set common rules across its member states, Bloomberg reported, citing people familiar with the matter. Negotiators are expected to meet on June 14 and June 30.
Read more
Analysts Talk
Since the LUNA crash in May, the main topic for discussion in the crypto world has centered around a regulatory framework that needs to be created within the cryptocurrency market.

In the recent meeting this Tuesday, Securities and Exchange Commission Chairman Gary Gensler expressed his concerns about the unregulated nature of cryptocurrency and the need to work with it to bring better investor protection to the space. He also highlighted the urgency of this question by pointing out the recent fall in prices for popular cryptocurrencies.

Analysts have different perspectives on this issue: some of them are focused on the taxation, and financial services that cryptocurrency might bring to the traditional financial system; others are concerned about users' privacy and freedom of speech.
  • Bloomberg Intelligence Commodity Strategist Mike McGlone and Senior Market Structure Analyst Jamie Douglas Coutts

    "The regulatory framework for cryptocurrencies now is murky and the threat of SEC enforcement actions hangs over the industry, leading us to believe there's a 70% chance congressional efforts to fill the gaps will succeed in 2023.

    In our most likely scenario, Congress will provide clarity on what's considered a security and what's not. Such a determination will allow many crypto platforms to operate without fear of running afoul of securities laws. Congress may also give the CFTC more authority over spot markets, which would aid platforms that offer non-security tokens.

    While the eventual legislation will almost certainly increase costs for players in the industry, executives from Coinbase, FTX and other key industry players have said that such regulatory clarity will be better for the industry long term."
  • Meltem Demirors
    Meltem Demirors, chief strategy officer of CoinShares — a publicly listed investment firm managing around $5 billion in assets
    "Having been in this industry professionally for eight years, I'm tired of talking about regulations, particularly in the United States."

    "I think that the Lummis-Gillibrand bill and the Token Taxonomy Act of 2021 have been good attempts at categorizing and classifying digital assets. But, the challenge I have with so many crypto bills and regulations is that all are focused on financial services and taxation.

    …Moreover, the right to consumer and financial privacy are also not being addressed. Most of these bills want more financial surveillance. As an industry, we need to continue to push back on this, particularly in a world where central bank digital currencies (CBDCs) are being explored.

    …I also think that preserving code and speech is important. For example, open-source code is a big part of the crypto community, along with anonymous developers. "
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