Week saw bitcoin (btc) rise by 2.7%, ethereum (eth) by 6.7%, chainlink (link) by 11%, uniswap (uni) by 12%, polygon (matic) by 8.4%, and dogecoin (doge) by a staggering 21.5%. federal reserve chair jerome powell provided relief to risk assets by signaling the end of a cycle of rate hikes, while brazil’s congress passed a bill permitting the usage of crypto for payments of goods and services in the country. the european central bank also published a paper challenging bitcoin’s price stabilization at around $20k prior to ftx’s collapse. senator cynthia lummis, known as the “bitcoin senator”, commented on the recent ftx collapse and highlighted the need for the digital commodities consumer protection act (dccpa).
Events of this week occurred over the course of the week, with bitcoin and ethereum trading at around $17,000 and $1,285 respectively, while the brazilian bill was passed in brazil, the ecb paper was published in europe, and the dccpa was highlighted by senator lummis in the united states. additionally, news of civil unrest in china and the bankruptcy of crypto lender blockfi caused risk assets like tech stocks and crypto to fall, while twitter’s new ceo, elon musk, tweeted a slide mentioning “payments”, leading some to speculate that doge could be the official digital currency of twitter.
Events of this week happened due to bitcoin’s price stabilization at around $20k prior to ftx’s collapse, which may have been an artificial attempt to maintain its relevance. senator lummis suggested that congress needs to “learn more” about crypto and touted her co-sponsored bill, the responsible financial innovation act, as a “framework” for understanding how the ftx disaster could have been prevented. the digital commodities consumer protection act (dccpa) is backed by senate agriculture committee chairwoman sen. debbie stabenow (d-mich.) and sen. john boozman (r-ark.), and is supported by ftx, but needs to be rewritten in a way that is more effective and neutral as to business models, but still very focused on consumer protection.