Welcome to another blog about the crypto highlights of October.
Plenty is happening again…
To recount; unfortunately, it is not all particularly positive. A lot is happening worldwide,
causing the crypto market to struggle. Here we tell some highlights from recent times.
A profound change has occurred in the global economy: the euro, pound, and other
currencies have fallen against the dollar. This may cause problems because it may make
countries that rely heavily on imports from America pay a higher price. This could run so high
in costs that citizens and governments could run into trouble. There could also be a takeover
wave, as it could be fascinating for American companies to buy up European companies
because the euro is lower against the dollar. We don’t know what will happen next year will
show what effect it has on the global market.
Around the world, several central banks have worked together to develop a new way of
international payments that makes it easier to transfer money internationally. The new
central bank of digital currencies was set up by the central banks of Hong Kong, China,
Thailand, The United Emirates and 20 other commercial banks in these countries. Initial tests
were positive, and it managed to transfer $22 million in transactions through the newly
established system. This will have little effect on the crypto market at the moment but may
change in the long run. It is another sign that central banks engage with crypto, and who
knows, this may have a stimulating effect on the overall crypto market.
Many banks today are still sceptical when it comes to crypto. Banks still see risk in
cryptocurrencies assets as a safe-haven. One of the main reasons is that interest rates continue
to rise, which logically creates an adverse effect for crypto and other financial institutions.
This deters investors from investing. Still, there is some good news! First, it is notable that
stablecoins are doing well. Last week, the four most significant stablecoins saw just under
half a billion dollars in inflows. This may positively affect the overall crypto market and cause
everything to pick up a bit. Nevertheless, Bank of America does not predict a long positive
rise due to high-interest rates and geopolitical tensions.
The Metaverse (online world on the internet) is gaining traction. Globally, the Metaverse is
being applied to everyday life in various ways. Interestingly, anti-crypto country China is also
a big part of this. As a result, more and more universities in China are using the Metaverse in
their curriculum and preparing their students for next-generation technology.
Thank you for reading!
