Changpeng Zhao: Contributing to the acquisition of Twitter, ETH may become a reserve asset

Headlines

▌Ethereum may become a reserve asset

Bankless co-founder Ryan Sean Adams posted on social media that it is possible for Ethereum to be a reserve asset.

▌Changpeng Zhao: Happy to contribute to the acquisition of Twitter

Changpeng Zhao posted on the X platform that he was happy to contribute to the acquisition of Twitter, and forwarded the news that Binance invested $500 million in Musk's acquisition of Twitter.

Market

As of press time, according to Coingecko data:

BTC's latest transaction price is $101,528, with a daily increase or decrease of -0.8%;

ETH's latest transaction price is $3,874.98, with a daily increase or decrease of -1.5%;

BNB's latest transaction price is $714.49, with a daily increase or decrease of -2.4%；

SOL's latest transaction price is 220.33 US dollars, and its intraday increase or decrease is -2.8%；

DOGE's latest transaction price is 0.3973 yuan, and its intraday increase or decrease is -3.7%；

XPR's latest transaction price is 2.40 US dollars, and its intraday increase or decrease is -0.9%。

Policy

▌South Korean National Assembly Passes Yoon Seok-yeol Impeachment

According to market news, the South Korean National Assembly held a second vote on the impeachment of President Yoon Seok-yeol and obtained enough votes to pass the impeachment. According to the procedure, after the impeachment case is passed by the National Assembly, it will be submitted to the Constitutional Court for trial, and the trial process can take up to 180 days.

▌South African regulators have granted 248 cryptocurrency licenses and rejected 9 applications

Golden Finance reported that according to News.bitcoin, the South African financial regulator, the Financial Sector Conduct Authority (FSCA), has issued a total of 248 crypto asset service provider (CASP) licenses from 420 applications received. According to local reports, 56 more applications are under review, while nine applications have been rejected and 106 entities have withdrawn their applications after the FSCA expressed concerns about their business models.

▌PBC Research Director Wang Xin: Will cut the reserve requirement ratio and interest rates in a timely manner and increase monetary and credit supply

At the 2024-2025 China Economic Annual Conference held at the China Center for International Economic Exchanges today, Wang Xin, director of the Research Bureau of the People's Bank of China, said that it is necessary to moderately increase monetary policy support, timely cut the reserve requirement ratio and interest rates, and increase monetary and credit supply. Overall, the moderately loose monetary policy next year will be moderately based on this year's supportive stance. Moderately increase the support of quantitative and structural monetary policies, timely cut the reserve requirement ratio and interest rates, increase monetary and credit supply, and increase support for key strategies, key areas and weak links. The financing conditions of the real economy will be more relaxed, more effectively meet the needs of development, and help achieve an optimal combination of stable growth, stable employment and reasonable price recovery. Wang Xin revealed that the monetary policy should be strengthened in the next stage to fully meet the effective financing needs and promote the full flow of funds to the real economy.

Blockchain Applications

▌Uniswap v3 is being deployed on Sonic and will be launched soon

On December 14, Oku, a professional front-end trading platform based on Uniswap V3, announced that it would deploy Uniswap V3 on Sonic (formerly Fantom Opera). The proposal stated that all Uni V3 contracts have been deployed on Sonic and DAO does not need to take further action.

Cryptocurrency

▌Bitwise CEO: AI agents need encryption systems and use stablecoins and Bitcoin for transactions

Bitwise CEO Hunter Horsley posted on the X platform that a completely new system is needed for AI agents. This system is cryptocurrency. They will use stablecoins and Bitcoin for transactions, they will borrow and lend through DeFi, they will use smart contracts, no courts are needed, and they will have tokenized ownership and management rights. It may be too early to talk about this topic now, but cryptocurrency is not just a digital version of gold and stock-type investments. It will create a completely new and independent financial system and property system for people and entities in the digital world.

▌Trump encryption project WLFI purchased more than 500,000 ENA

3 hours ago, Trump encryption project WLFI spent 500,013 USDC to purchase the first 509,955 ENA at an average price of $0.981. Overall, since November 31, World Liberty Financial has spent $44.41 million on 5 crypto assets, including: • 8,105 ETH (cost: $30 million, average purchase price: $3,701), now worth +$1.29 million • 102.9 cbBTC (cost: $10 million, average purchase price: $97,181), now worth +$410,000 • 78,387 LINK (cost: $2 million, average purchase price: $25.51), now worth +$290,000 • 5,886 AAVE (cost: $1.91 million, average purchase price: $324.4), now worth +$252,000 • 509,955 ENA (cost: $500,000, average purchase price: $0.981), now worth +$81,300

▌This week’s NFT trading volume reached $224.41 million, up 16.27% month-on-month

According to News.bitcoin, between December 7 and December 14, NFT trading volume increased by 16.27% month-on-month, reaching $224.41 million on 22 different blockchains. Ethereum led with a trading volume of over $119 million, up 22% from the previous week. Bitcoin’s NFT ranked second, totaling $51.64 million, up 14.31% month-on-month, while Solana followed closely with a trading volume of $21.44 million, up 32% month-on-month. In addition, BNB Chain saw a month-on-month increase of 368%, while Blast soared 262%. The most popular collection was the Ethereum-based Pudgy Penguins, with a month-on-month increase of 52%.

Important Economic Dynamics

▌The Fed may hint at a pause in rate cuts in early 2025

Golden Finance reported that analyst Megan Leonhardt said that despite the failure to make progress in curbing inflation in November, federal funds futures show that there is almost a 100% chance that Fed policymakers will cut the benchmark interest rate by another 25 basis points. The rationale for the rate cut may depend on the Fed officials' desire to keep the benchmark interest rate in line with current economic conditions, as inflation has fallen sharply from its peak in 2022 and the previously tight labor market is normalizing. But don't be surprised if next week's rate cut is accompanied by Powell's forward guidance, suggesting that the Fed will seek to pause rate cuts at the beginning of the year. Not only does the Fed have to keep inflation in the final stages, but many fiscal policy outcomes in the coming year may change the direction of inflation. In addition, there are indeed some weak spots in the labor market that deserve careful observation. All of this poses directional challenges to the Fed in the coming months, and policymakers may avoid taking action at an alarming speed.

▌The Reserve Bank and Interest Rates Will Be Reduced in a Timely Manner, and Monetary Credit Will Be Increased

At the 2024-2025 China Economic Annual Conference held by the China Center for International Economic Exchanges today, Wang Xin, director of the Research Department of the People's Bank of China, said that it is necessary to moderately increase monetary policy support, reduce the Reserve Bank and Interest Rates in a timely manner, and increase monetary credit. Overall, the moderately loose monetary policy next year will be moderately strengthened on the basis of this year's supportive stance. Moderately increase the support for quantitative and structural monetary policies, reduce the Reserve Bank and Interest Rates in a timely manner, increase monetary credit, and increase support for key strategies, key areas and weak links. The financing conditions of the real economy will be more relaxed, more effectively meet the needs of development, and help achieve the optimal combination of stable growth, stable employment and reasonable price recovery. Wang Xin revealed that in the next stage, the monetary policy should be strengthened in terms of total volume, fully meet the effective financing needs, and promote the full flow of funds to the real economy.

Golden Encyclopedia

▌What is Rollup?

Rollup is a way of processing transactions on the Layer 2 protocol that frees up valuable space on the base layer. Rollup folds transactions one by one on the second layer, sometimes dozens of times, and then rolls them together before sending the data back to Layer 1. There are two main types of Rollup, optimistic and zero-knowledge (ZK) proofs. Optimistic Rollup is a fairly clear term. This means that Rollup runs with an "optimistic" approach, assuming that the transaction is valid unless the verifier proves it wrong. Only when there is a dispute will they check the validity of the transaction. ZK Rollup proves the transaction without revealing any transaction data. Hence, it’s called “zero knowledge”. ZK Rollup provides instant finality because cryptographic proofs guarantee that the data is valid. In many ways, Rollup is to your standard blockchain transaction as Calzone is to your average pizza slice. By rolling, you can fit more stuff in.

Disclaimer: As a blockchain information platform, Golden Finance publishes articles for informational reference only and is not intended as actual investment advice. Please establish the correct investment philosophy and be sure to raise your risk awareness.