Crypto Chronicle with NewsCrypto
Welcome back NewsCrypto readers!
In today’s release of Crypto Chronicles, we're dissecting the latest from the FOMC press conference. Rates are on pause, but Powell's words at the conference were anything but stagnant. The crypto market reacted positively with Bitcoin rallying up to the $36k.
Let's dive into the details!
Here's what we got on the menu today:
1. Rates Paused but What Did Powell Say at the Conference?
2. Which Web3 Sectors are Gaining Traction?
3. Funny Meme
Rates Paused but What Did Powell Say at the Conference?
Powell focused on housing - 8% mortgage rate effects could be quite significant meaning some disinflation could be coming to the housing market.
He said the rates currently are restrictive but they are trying to get confidence they are sufficiently restrictive - he is doing a bit of flip-flopping with his words probably just to not give confidence to investors which would throw out of the window all the work they have done.
He touched on the topic of oil prices. They didn’t react but it’s not unusual, there is a history of oil prices staying pretty much the same with the Israeli conflict in the Middle East and thankfully this time is not different.
Powell marked a historically significant no rollover in the labor market (just yet) with inflation going down. Previously inflation falling and recession were pretty much always used in the same sentence so it’s really good to see this trend being broken.
Powell also said the economy doesn’t have to grow below 2% but they want the economy to be below its potential growth. Let’s say potential growth for the next year is 3% and the trend is 2% - so the economy would have to grow between 2-3% to “satisfy” Powell. This is a dovish (bullish) redefinition from the previous press conferences → NO RECESSION in short!
Powell also addressed supply chains. Current disinflation is most likely coming from the supply chain normalizing but Powell is worried this alone won’t push us to the 2% inflation target but it could. The labor market could soften alongside the balancing of the supply chains.
The crypto market loved what was said and BTC just touched the $36k mark and don’t even start talking about altcoins, some are still pumping while Bitcoin retraced from $36k to almost $35k.
Do you want $100 and can write 5 digits then this is for you!
Successfully predict the price of Bitcoin at the weekly close and the prize will be yours!
Click on the link and post your prediction in the comments:
https://x.com/PlatformMercury/status/1719019518385684962?s=20
Which Web3 Sectors are Hot Right Now?
Blockchain Security
Blockaid, a blockchain security firm, has raised a whopping $33 million from a seed and Series A round. The investors' list reads like a who's who of the venture capital world, including Ribbit Capital, Variant, Cyberstarts, Sequoia Capital, and Greylock Partners.
They scan transactions originating from wallets and those interacting with dapps and smart contracts. Think of it as a digital bouncer, keeping the shady characters out of the blockchain party. In just three months, they've scanned 450 million user transactions and thwarted 1.2 million malicious ones.
Web3 Gaming
Moving on to the gaming sector, Neon Machine has raised $20 million in a Series A round led by Polychain Capital. Their flagship game, “Shrapnel,” is a crypto-enabled first-person shooter that's trying to give Call of Duty a run for its money.
The fundraiser will fuel the development of the game, with a planned launch in 2024. As we’ve seen in the past it takes only one big hit for the whole sector to catch on fire so pay attention to this one.
Accessible Blockchain
Next, we have smlXL (pronounced “small XL”), which emerged from stealth this week. Backed by a16z, they've raised $13.4 million from Greylock and other angel investors. Founded by Dor Levi, formerly of Lyft, smlXL is all about making blockchain more accessible.
Their products, evm.storage and evm.codes, are like the Swiss Army knives for blockchain enthusiasts.
Other Notable Fundraises
It's not just Blockaid, Neon Machine, and smlXL that are making waves. Rymedi raised $9 million for streamlining medical records transfer with blockchain. Aera Protocol locked down $8 million for its autonomous treasury manager for DAOs. Nocturne, aiming to provide private on-chain accounts on Ethereum, secured $6 million. And the list goes on!
Funny meme
