Greetings Web3 enthusiasts,
This days, the world of Web3 saw some significant changes and developments, and we’re here to bring you the latest update! Individuals and organizations are increasingly embracing decentralized technologies, and we want to keep you in the know.
So, What is going on?
1- SVB and Signature Collapses
In recent weeks, two major banks in the United States have collapsed, sending shockwaves through the financial industry and leaving many investors and entrepreneurs wondering about the impact on their accounts and investments.
The first bank to collapse was Silicon Valley Bank (SVB), which was the 15th largest bank in the US and a trusted bank for startups and tech companies, including major players in the cryptocurrency industry. SVB’s collapse was attributed to heavy investments in the volatile cryptocurrency market, which resulted in significant losses for the bank.
The second bank to collapse was New York’s Signature Bank, which had over $70 billion in assets and was shut down by the New York State Department of Financial Services due to concerns over the bank’s management of risk. The closure of Signature Bank underscores the ongoing challenges facing the banking industry in the wake of the 2008 financial crisis and highlights the need for regulators to remain vigilant in identifying potential risks and taking appropriate action to address them.
These collapses underscore the need for proper risk management and vigilance in the financial industry, and raise questions about the impact of emerging technologies on traditional banking institutions.
2- Banks Fail, Bitcoin Goes Up
NY regulators have shut down Signature Bank due to systemic risk, causing turmoil in traditional finance. However, the cryptocurrency market is thriving. Despite the closure of crypto-friendly Signature Bank, Bitcoin has jumped 10% in value in the last 48 hours. Ethereum and Dogecoin are also seeing gains. Investors seem to be turning to cryptocurrencies as a decentralized, borderless alternative to traditional finance.
3- Wall Street Investor Predicts Another Big Crash
Wall Street investor Robert Kiyosaki is warning of a big crash, and believes the bond market is in trouble. Kiyosaki gained notoriety for predicting the collapse of Lehman Brothers in 2008, and now he’s sounding the alarm again.
He thinks the FED’s monetary policy has created a dangerous bubble that is set to burst, and investors need to be prepared for the possibility of a market crash.
4- Meta Stops NFT Support on Instagram and Facebook
Meta, the parent company of Facebook and Instagram, is discontinuing support for NFTs on its platforms, causing concern for the future of digital art. The decision was made due to instances of copyright infringement and the sale of fake NFTs. The impact on the NFT ecosystem is significant, but the future of NFTs remains uncertain.
5- CPI as expected 5.5%, Inflation 6% as expected
The February 2023 Consumer Price Index (CPI) was recently released, revealing that the CPI had matched expectations at 5.5%, with a 6% inflation rate. This is a crucial development, as inflation has been a major topic of discussion lately due to the rapid increase in prices for goods and services. While the CPI and inflation rates remain high, they have not exceeded expectations, which is positive news. Although a rise in inflation can lead to higher wages, it can also result in reduced purchasing power for consumers. Overall, the Federal Reserve will continue to closely monitor the situation and take action as necessary to address any emerging economic challenges.
Join us on this journey towards a more decentralized and democratized internet, and let’s explore the endless possibilities of Web3 together!