The Chinese real estate market is causing concern around the world due to it is ginormous, very consumerist, and very influential. The real estate sector represents 29% of China’s GDP, consumes 40% of the world’s raw materials, and affects the Chinese economy in general. But there is a problem: the Chinese economy is slowing. In fact, unlike the rest of the world, it is going through a deflationary situation. That means prices go down, but not in a good way. That’s something to keep under the microscope.
The price of oil affects practically everything. If the price of oil rises, it is very difficult to fight inflation. Saudi Arabia and Russia surprised markets by extending their voluntary oil production cuts until the end of 2023, instead of October, as expected. Prices jumped in response with a barrel of Brent crude trading at $90 for the first time since November last year. Some analysts think that Russia will try to maintain higher oil prices, and thus higher fuel prices, for geopolitical reasons.
Digital asset markets are going crazy again, with ETH performance and many tokens suffering huge drops. Derivatives markets indicate that liquidity continues to move up the risk curve.
Event-driven volatility has apparently returned to digital asset markets in recent weeks, with signs of capital outflows before it occurred. Everything seems to indicate that people are getting their money (gradually).
Derivatives markets show a continuous outflow of liquidity. This suggests that capital continues to move up the risk curve towards relative safety. The pessimism that dominates the market can erode our closest support. If we get too close to it, it may not resist the downward pressure. Therefore, we must be attentive to conditions that could cause a break of support. In other words, the bounce is not guaranteed.
Binance Confirms Its Plan to Stop Offering Support for BUSD
Binance has confirmed that he will stop supporting BUSD, the stablecoin he created with Paxos, in 2024. Binance users will have to find another way to store their digital dollars. Better said, exchange them for another stablecoin. One of the options offered by Binance is FDUSD, a stablecoin launched by a Hong Kong company that debuted on Binance recently.
Binance is doing this because Paxos received a warning from the SEC and an order from the state of New York to stop issuing BUSD, considering it an unregistered security. HENCE, Binance does not want to get into trouble and prefers to cut corners.
Robinhood Bought Back Sam Bankman-Fried’s Stake from the US Government for $606 Million
Robinhood has bought the shares held by former FTX boss Sam Bankman-Fried for $606 million. The US government took away Bankman-Fried’s shares when he put him in jail for cryptocurrency fraud. Robinhood took advantage of the opportunity and bought the shares from the government, with the permission of a judge. This way he got rid of a problem and regained control of his company. And what happened to Bankman-Fried? Well, he is still in jail, awaiting his trial, and without his Robinhood shares. In addition, he has other creditors who demand money from him.
Argentina broke a world record with Worldcoin, the project that gives you cryptocurrencies for scanning your iris. In a single day, 9,500 people identified themselves with the World App application and the Orbe devices in the country. That means that every nine seconds, someone joins the Worldcoin network. The application was so popular that it became number one on the App Retailer in Argentina.
El Salvador Will Implement Bitcoin Teaching in Schools
Starting in 2024, all public schools will teach Bitcoin to their students, thanks to the collaboration between the Ministry of Education and the NGO My First Bitcoin. Thus, Salvadorans will be able to understand how this revolutionary technology that promises to change the world works.
China Court Declares Virtual Assets as Property Protected By Law
Chinese courts have recognized that virtual assets are legal property and protected by law. But if you want to buy, sell, or trade Bitcoin or any other cryptocurrency, you might put yourself in danger of being sent to jail.
By Leonardo Pérez
