Fed Rate Cuts Shrink, Yields Climb as Inflation Struggles Persist

Treasury yields climbed higher this week following mixed jobless claims data and the Federal Reserve’s cautious outlook on inflation and rate cuts....

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Former FTX Executive Ryan Salame’s Prison Sentence Reduced by One Year

Ryan Salame’s Sentence Reduced The United States Bureau of Prisons recently updated the release date for Ryan Salame, the former co-CEO of FTX Digital Markets, reducing his prison sentence by one year. Salame was scheduled to be released in April 2032 but is now scheduled to leave custody in March 2031. The authorities have not given any official reasons for this adjustment, though. Background on Salame’s Conviction In September 2023, Salame pleaded guilty to one count of conspiracy to operate an unlicensed money-transmitting business and one count of campaign finance fraud, among others, over his role in the now-infamous collapse of cryptocurrency exchange FTX. He was sentenced to 7.5 years in federal prison and three years of supervised release after his guilty plea in May 2023. The collapse of FTX had widespread ramifications, and Salame – although contested – was very much at the center of extensive legal scrutiny. Prior to the recent sentence reduction, his release date was set for April 2032. Legal Battles and Sentencing Debates Salame’s legal team had earlier sought a much lighter sentence, asking for no more than 18 months. His lawyers underlined the considerable forfeiture of assets as adequate punishment and underlined that Salame was not heavily involved in the core fraudulent activities of FTX. They insisted he had no knowledge of the criminal schemes engineered by the company’s leadership. Notwithstanding these, Judge Lewis A. Kaplan finally sentenced Salame to 90 months, citing the immense financial losses from FTX’s collapse and the seriousness of the case. Federal prosecutors had asked for a sentence ranging from 5 to 7 years earlier, but Kaplan outdid their recommendations. Disagreements over Plea Deal In August 2023, Salame moved to withdraw his guilty plea, claiming federal prosecutors reneged on a major part of their agreement. He said that in exchange for his guilty plea, prosecutors gave the impression that they would stop investigating his partner, Michelle Bond, for campaign finance violations. But reportedly, investigations into Bond did resume, and that fact fueled Salame’s motion to invalidate the plea agreement. Final Sentencing Developments All of Salame’s efforts to delay the sentence or void the plea, however, never materialized, and in October 2023, he turned himself in to the medium-security FCI Cumberland. While confirmation of a reduction in sentence has come, correction officials remain mum about why it has been revised.

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Bitcoin ETFs Face Outflows for Fourth Consecutive Day

Bitcoin (BTC) spot exchange-traded funds (ETFs) suffered outflows of $338 million on December 26, marking the fourth straight day of withdrawals. Over the past four days, BTC spot ETFs experienced over $1.5 billion in net outflows, including a record single-day sell-off of $672 million on Dec. 19 — the largest since their launch earlier this year — according to SoSoValue data . The outflows represent a sharp reversal after a month-long period of optimism, marked by 15 consecutive days of inflows. To continue reading this as well as other DeFi and Web3 news, visit us at thedefiant.io

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Frax Finance opens community voting until Jan. 1 to adopt BlackRock’s BUIDL for new stablecoin

The voting period to onboard BlackRock’s USD Institutional Digital Liquidity Fund as a reserve asset for Frax Finance’s new stablecoin, Frax USD, opens on Dec. 27 until Jan. 1, 2025. Decentralized finance protocol Frax (FRAX) Finance is getting ready to…

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Frax Finance opens community voting until Jan. 1 to adopt BlackRock’s BUIDL for new stablecoin

The voting period to onboard BlackRock’s USD Institutional Digital Liquidity Fund as a reserve asset for Frax Finance’s new stablecoin, Frax USD, opens on Dec. 27 until Jan. 1, 2025. Decentralized finance protocol Frax ( FRAX ) Finance is getting ready to launch its new stablecoin , frxUSD. But first, the protocol needs to determine whether to adopt Blackrock’s USD Institutional Digital Liquidity Fund or BUIDL as its reserve asset. To make this decision, Frax Finance shared a proposal that introduces the features, benefits and background necessary to understand BUIDL and how it will function as a an on-chain, backing asset for Frax USD. The protocol has invited the Frax community to vote on whether the partnership will proceed. “The vote to onboard Blackrock $BUIDL as the first backing asset for the new Frax USD (frxUSD) stablecoin is live!” wrote Frax Finance on its official X post . On Dec. 23, Frax Finance announced that BlackRock, the leading asset management firm, proposed to become the custodian backing Frax USD in a separate X post . https://twitter.com/fraxfinance/status/1872356878308851948 You might also like: BlackRock eyes BUIDL token as collateral in crypto derivatives market: report According to the shared proposal, BUIDL is a tokenized product that invests all of its total assets into government-issued assets, namely cash, U.S. Treasury bills, repurchased agreements, notes, and other obligations. It is promoted as a “blockchain-based investment solution that can be used alongside other investments as a reserve backing of stable assets.” Some of the benefits of holding BUIDL as a reserve backing assets listed in the proposal include generating yield opportunities, strengthening liquidity, providing multiple transfer options, as well as minimizing external risk with the aid of major financial firms such as Securitize, BlackRock, and Bank of New York Mellon. “By working with Securitize and BlackRock to use BUIDL as a backing asset for Frax USD, Frax USD will gain exposure to one of the most liquid assets in the world, while still reaping the benefits of yield-bearing, on-chain efficiencies of DeFi,” wrote Nader Ghazvini, Head of Governance at Frax Finance. In July 2024, BlackRock tokenized treasury fund BUIDL gained more than $500 million in assets under management after its launch in April this year. BUIDL’s price is pegged to the U.S. dollar, investors receive daily accrued dividends paid directly on a monthly basis through its partnership with Securitize. You might also like: https://crypto.news/injective-launches-tokenized-index-tracking-blackrocks-buidl-fund/

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Matrixport shares the greatest risk to Bitcoin’s bull market in 2025

Multiple risks to Bitcoin’s 2025 bull market have emerged, according to a new report from Matrixport. The report outlines threats ranging from BlackRock’s concerns about Bitcoin’s 21 million supply cap to Google’s advances in quantum computing. The warnings come as Bitcoin faces pressure on multiple fronts. Leading analysts, including Peter Brandt and Tone Vays, have identified technical patterns suggesting a potential drop to the $70,000-$73,000 range. These technical warnings align with Matrixport ‘s broader analysis of macro risks, including changing Federal Reserve policy expectations and potential impacts from Trump’s upcoming presidency. BlackRock questions BTC supply and accompanying threats BlackRock had posed a question about the guarantee of Bitcoin’s 21 million supply cap. As one of the largest asset managers now involved in Bitcoin through ETFs, BlackRock’s statement carries weight in market discussions. Google’s announcement of its “Willow” quantum chip, featuring 105 qubits, has brought quantum computing threats back into focus. While current quantum technology cannot break Bitcoin’s cryptographic defenses, the pace of advancement raises questions about long-term security. The report notes that quantum computing remains in its early stages, lacking the scale needed to pose an immediate threat to Bitcoin’s security model. The Federal Reserve’s updated inflation outlook adds another layer of uncertainty. According to Matrixport, the Fed members have raised their inflation expectations, citing concerns about Trump’s potential tariff policies rather than traditional economic factors like supply bottlenecks or growth rates. Matrixport’s inflation model indicates these concerns may be overstated, potentially allowing the Fed to maintain an accommodative policy through 2025. During Trump’s first term, similar tariffs had little impact on inflation. This suggests that the Fed’s current projections might not match economic realities. Technical analysis points to deeper correction Three prominent analysts have identified $95,000 as a critical price level for Bitcoin. Tone Vays warns that trading below this threshold opens the path for a correction to $73,000. This analysis aligns with Peter Brandt’s identification of a “broadening triangle” pattern, which projects a potential drop to $70,000. On-chain data supports these technical warnings. Price analysis shows limited wallet support between current levels and $70,085, creating what traders call “open air” below $93,806. On the other hand, @fundstrat maintains that #Bitcoin $BTC will likely reach $250,000 in 2025, but first, according to @MarkNewtonCMT , a downswing to $60,000 is on the horizon. pic.twitter.com/44rG8EVUV4 — Ali (@ali_charts) December 26, 2024 This gap in strong support levels means Bitcoin could move quickly through this range if selling pressure increases. The concentration of predictions around the $70,000-$73,000 range from different analytical approaches adds weight to this target zone. Historical price patterns from previous bull markets help explain why these support levels matter. Past corrections during bull markets have often found support at previous resistance levels, making the $70,000 area particularly important as it marked Bitcoin’s previous all-time high before the recent breakout. This price zone also coincides with institutional entry points from late 2024, suggesting potential buying interest at these levels. Political and monetary policy risks According to Matrixport, the Fed’s monetary policy outlook faces new pressures as Trump’s presidency approaches. The FOMC may adopt a more hawkish stance in response to potential fiscal policies under Trump. This could create uncertainty for Bitcoin and the broader crypto market. This shift marks a change from December 2021, when the move away from near-zero interest rates began a new policy cycle. The regulatory situation has often influenced Bitcoin bull markets at key turning points. Past examples show how regulatory actions can end bull cycles. China’s PBoC banned banks from crypto dealings in January 2017, the SEC took action against unregistered fundraising in December 2017, and China restricted crypto mining in May 2021. While many regulatory concerns have eased with the SEC’s approval of Bitcoin spot ETFs, new policy challenges could come up. Looking ahead to 2025, the interaction between Trump’s fiscal policies and Fed responses may determine Bitcoin’s price direction. Matrixport’s inflation model, which predicted the 2023 bull market when others forecasted recession, suggests inflation should not pose major problems next year. However, the combination of new fiscal policies, changing Fed responses, and evolving regulatory frameworks creates a complex environment for Bitcoin’s price development through 2025. Land a High-Paying Web3 Job in 90 Days: The Ultimate Roadmap

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Bitcoin Faces Selling Pressure as Price Struggles to Maintain Support

Bitcoin struggles to maintain critical support levels as it faces selling pressure. Predictions indicate potential declines for Bitcoin if key support fails. Continue Reading: Bitcoin Faces Selling Pressure as Price Struggles to Maintain Support The post Bitcoin Faces Selling Pressure as Price Struggles to Maintain Support appeared first on COINTURK NEWS .

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XRP Price Faces Potential Decline as Whale Selling and Bearish Patterns Emerge Ahead of 2025

XRP is poised for potential declines as whale activity and bearish chart patterns raise concerns over its future price trajectory. Recent trading analysis indicates that XRP, following a impressive surge,

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Bitget announces first BGB token burn, reducing supply by 40%

Bitget has unveiled a big update for its BGB token, with plans for ongoing quarterly repurchases and burns. Cryptocurrency exchange Bitget has announced updates to its Bitget Token (BGB) whitepaper, introducing new changes to its tokenomics. According to a Friday…

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Bitget announces first BGB token burn, reducing supply by 40%

Bitget has unveiled a big update for its BGB token, with plans for ongoing quarterly repurchases and burns. Cryptocurrency exchange Bitget has announced updates to its Bitget Token ( BGB ) whitepaper, introducing new changes to its tokenomics. According to a Friday announcement , Bitget will burn 800 million BGB tokens held by the core team, representing 40% of the total token supply. This burn will reduce the overall BGB supply to 1.2 billion tokens, with 100% of the remaining tokens in circulation. Bitget plans to release on-chain records of the burn, the press release reads. Amid the news, BGB’s price soared 23% to $8.36, bringing the token’s market capitalization to $11.7 billion. You might also like: Bitget secures Bitcoin service provider license in El Salvador In addition to the initial burn, Bitget has committed to burning BGB every quarter by destroying 20% of its profits, which come from trading fees across Bitget’s services. The repurchased tokens will be sent to a burn address, the exchange said, promising to share the details of the burn after each quarterly event. The update comes a day after Bitget announced it will merge its Bitget Wallet Token with BGB to create one ecosystem token for both the Bitget exchange and Bitget Wallet. Starting in 2025, the combined token will expand into off-chain payfi scenarios, allowing payments in places like restaurants, travel, fuel, and shopping, offering users a one-stop web3 and consumption service. Read more: Bitget Token soars as key indicators send a major warning

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