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UN Warns Fed to Cool Rate Hikes

Key Takeaways

A UN agency has urged the U.S. Federal Reserve to slow the pace at which it is raising the federal funds rate.
The Fed has been authorizing steep rate hikes throughout 2022 in an effort to combat rampant inflation.
The UN report argues that poor countries will suffer disproportionately as a result of any imminent recession.

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A UN agency is urging the Federal Reserve to slow its increases in the federal funds rate to avoid recession.“We Must Change Course”The Federal Reserve needs to pump the brakes on interest rate hikes, according to a new report from a U.N. agency.The report comes from the United Nations Conference on Trade and Development, which annually publishes its global economic outlook findings. According to the UNCTAD, the speed at which the Federal Reserve is raising interest rates puts the global economy at risk of recession, with poorer countries standing to fare worse than richer ones.Under the leadership of Chair Jerome Powell, the United States central bank has raised interest rates five times this year, most recently in September. On that occasion, the Fed raised the federal funds rate by 75 basis points, bringing the benchmark rate to between 3% and 3.25%. For perspective, the federal funds rates started the year at nearly 0%.
The Fed’s overarching goal behind these rate hikes is to tame inflation. Coming in last month at 8.3%, 2022’s inflation rates have alarmed investors and consumers alike—the average cost of food, for example, has risen 13.5% in the United States since August 2021.However, the UN agency is claiming the Fed’s actions may be too dramatic and may push the global economy into recession. “Any belief that they (central banks) will be able to bring down prices by relying on higher interest rates without generating a recession is, the report suggests, an imprudent gamble,” it said in a statement accompanying the report.“If you want to use only one instrument to bring inflation down…the only possibility is to bring the world to a slowdown that will end up in a recession,” said UNCTAD Secretary-General Rebeca Grynspan in a press conference in Geneva. “The current course of action is hurting vulnerable people everywhere, especially in developing countries. We must change course,” she continued.The Fed, however, has not indicated any plans to reverse course yet. Pain AheadThe aggressive rate hikes are the Fed’s primary tactic to combat inflation brought about by emergency quantitative easing during the COVID-19 pandemic from 2020- 2021. Those measures, which included billions in cash payouts to taxpayers, emergency small business loans, medical equipment purchases, vaccine research, and dozens of other purposes, prompted the Federal Reserve to effectively issue new currency on an unprecedented scale.Passed in haste and under threat of emergency, however, COVID relief legislation packages also included significant “pork barrel” spending, or monies wrangled into a legislation package by senators and members of Congress looking to bring funds back to their home states and key constituents. By some estimates, up to 35% of the $5.2 trillion spent on COVID relief over the last three years were such pork barrel line items. Further exacerbating the problem is the price tag on President Biden’s American Rescue Plan, which accounts for $1.9 trillion and will be paid for, at least in part, by the central bank extending further credit.The time has come, however, to pay the price for all that money-printing. Powell, for his part, has been steadfast in his messaging: rate hikes were inevitably going to happen this year, and for the most part, Powell has kept his word. In a speech at Jackson Hole in August, he promised a rough road ahead for investors, consumers, labor markets, and virtually all other parts of the economy. “These are the unfortunate costs of reducing inflation,” he said on that occasion, “but a failure to restore price stability would mean far greater pain.”Disclosure: At the time of writing, the author of this piece owned BTC, ETH, and several other cryptocurrencies.

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The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
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Jim Cramer Isn’t Worried About Credit Suisse. Does That Mean We Should Be?

The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
See full terms and conditions.

UN Warns Fed to Cool Inflation Hikes

Key Takeaways

A UN agency has urged the U.S. Federal Reserve to slow the pace at which it is raising the federal funds rate.
The Fed has been authorizing steep rate hikes throughout 2022 in an effort to combat rampant inflation.
The UN report argues that poor countries will suffer disproportionately as a result of any imminent recession.

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A UN agency is urging the Federal Reserve to slow its increases in the federal funds rate to avoid recession.“We Must Change Course”The Federal Reserve needs to pump the brakes on interest rate hikes, according to a new report from a U.N. agency.The report comes from the United Nations Conference on Trade and Development, which annually publishes its global economic outlook findings. According to the UNCTAD, the speed at which the Federal Reserve is raising interest rates puts the global economy at risk of recession, with poorer countries standing to fare worse than richer ones.Under the leadership of Chair Jerome Powell, the United States central bank has raised interest rates five times this year, most recently in September. On that occasion, the Fed raised the federal funds rate by 75 basis points, bringing the benchmark rate to between 3% and 3.25%. For perspective, the federal funds rates started the year at nearly 0%.
The Fed’s overarching goal behind these rate hikes is to tame inflation. Coming in last month at 8.3%, 2022’s inflation rates have alarmed investors and consumers alike—the average cost of food, for example, has risen 13.5% in the United States since August 2021.However, the UN agency is claiming the Fed’s actions may be too dramatic and may push the global economy into recession. “Any belief that they (central banks) will be able to bring down prices by relying on higher interest rates without generating a recession is, the report suggests, an imprudent gamble,” it said in a statement accompanying the report.“If you want to use only one instrument to bring inflation down…the only possibility is to bring the world to a slowdown that will end up in a recession,” said UNCTAD Secretary-General Rebeca Grynspan in a press conference in Geneva. “The current course of action is hurting vulnerable people everywhere, especially in developing countries. We must change course,” she continued.The Fed, however, has not indicated any plans to reverse course yet. Pain AheadThe aggressive rate hikes are the Fed’s primary tactic to combat inflation brought about by emergency quantitative easing during the COVID-19 pandemic from 2020- 2021. Those measures, which included billions in cash payouts to taxpayers, emergency small business loans, medical equipment purchases, vaccine research, and dozens of other purposes, prompted the Federal Reserve to effectively issue new currency on an unprecedented scale.Passed in haste and under threat of emergency, however, COVID relief legislation packages also included significant “pork barrel” spending, or monies wrangled into a legislation package by senators and members of Congress looking to bring funds back to their home states and key constituents. By some estimates, up to 35% of the $5.2 trillion spent on COVID relief over the last three years were such pork barrel line items. Further exacerbating the problem is the price tag on President Biden’s American Rescue Plan, which accounts for $1.9 trillion and will be paid for, at least in part, by the central bank extending further credit.The time has come, however, to pay the price for all that money-printing. Powell, for his part, has been steadfast in his messaging: rate hikes were inevitably going to happen this year, and for the most part, Powell has kept his word. In a speech at Jackson Hole in August, he promised a rough road ahead for investors, consumers, labor markets, and virtually all other parts of the economy. “These are the unfortunate costs of reducing inflation,” he said on that occasion, “but a failure to restore price stability would mean far greater pain.”Disclosure: At the time of writing, the author of this piece owned BTC, ETH, and several other cryptocurrencies.

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The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
See full terms and conditions.

U.S. Regulators Are Coming for Crypto. How Will the Future Look?

Key Takeaways

Several recently proposed bills and ongoing enforcement cases could define crypto industry’s future in the U.S.
If the SEC and CFTC win their ongoing crypto lawsuits, they could set a terrible precedent for decentralized finance and the broader industry.
However, if the regulatory agencies lose, crypto could enjoy a renaissance.

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The U.S. government’s approach to crypto regulation will determine whether the industry evolves to flourish or flounders into obscurity. The U.S. Crypto Regulatory LandscapeCrypto regulation is coming to the U.S.—and it’s likely to have a major impact on the future of the industry.The first key distinction to consider when analyzing the current state of play of crypto’s regulatory landscape in the U.S. is the difference between the government’s legislative and enforcement approaches. This is akin to comparing what the government says to what it does in practice, which is important because the difference between the two approaches provides valuable insight into the government’s true intentions concerning the industry and asset class.On the legislative front, there has been a significant increase in crypto-related bill proposals over the last year, including Senators Cynthia Lummis and Kirsten Gillibrand’s Responsible Financial Innovation Act, Representative Josh Gottheimer’s Stablecoin Innovation and Protection Act of 2022, Senator Pat Toomey’s Stablecoin TRUST Act of 2022, and Senators Debbie Stabenow and John Boozman’s Digital Commodities Consumer Protection Act of 2022. If these bills come to pass as proposed, the crypto regulatory and industry landscape will see significant changes, most of which industry stakeholders have valued as positive.Perhaps most notably, the Commodity Futures Trading Commission would take precedence away from the Securities and Exchange Commission in becoming the primary regulator of the asset class by gaining authority over cryptocurrency spot and derivatives markets. Until recently, this was considered a highly welcomed change among industry stakeholders who have become fed up with the SEC’s aggressive “regulation by enforcement ” approach. Another major change that would follow if these bills passed would be the introduction of significantly more stringent rules for issuing and managing stablecoins. This could lead to an implicit prohibition of unbacked, algorithmic, or “endogenously collateralized” stablecoins and 100% reserve requirements for stablecoin issuers. Stablecoin issuers will likely be required to own bank charters, which are very difficult to acquire, or register directly with the Federal Reserve. This would significantly reduce depeg risks within the cryptocurrency market. However, it could also centralize the on-chain economy if the space becomes too reliant on regulated stablecoin providers.  
However, perhaps the most important development on the legislative front is the White House’s recent comprehensive framework for regulating the digital assets space. The framework was published on September 16 after President Biden signed an executive order on “Ensuring Responsible Development of Digital Assets” in March. It comprises the views and recommendations of the SEC, the Treasury Department, and multiple other government agencies on how to regulate crypto assets. The framework provides the clearest overview to date of how the Biden Administration plans to deal with crypto, including plans to ramp up enforcement actions against illegal practices, pushing users away from crypto and toward government-issued and controlled centralized payment solutions like FedNow and CBDCs, amending the Bank Secrecy Act to apply explicitly to digital assets, and leveraging the country’s standing in international organizations to promote greater cross-border cooperation on crypto regulation and enforcement.If the administration begins delivering on its plans, the U.S. crypto industry will start looking increasingly more like fintech than the grassroots movement seeking to create an alternative financial system it set out to be. By enforcing excessively stringent regulatory requirements on the industry, its stakeholders could start leaving the U.S. for more crypto-friendly jurisdictions, leading to an exodus of Web3 talent and eventually America’s subservience on the global crypto scene. Regulation Through EnforcementOn the enforcement front, there are several critical ongoing cases that—depending on their outcome—could reshape the cryptocurrency landscape in the country. The most widely documented of these cases is the SEC v. Ripple, in which the securities agency is suing the blockchain company for allegedly conducting an illegal security offering by publicly selling XRP tokens. Judging by the case’s latest developments, the matter will likely be settled out of court, which would be a major win for both Ripple and the U.S. crypto industry. For the securities agency, losing the case or settling out of court would make it much harder to pursue other crypto companies on the same charges, giving crypto issuers and exchanges much-needed breathing room.The second critical case is SEC v. Wahi, where the securities agency is suing a former Coinbase employee and two co-conspirators on insider trading charges. In a flagrant example of “regulation by enforcement,” the SEC argues that “at least” nine of the cryptocurrencies listed on the exchange were securities. If accepted by the court, this claim could have broad implications in the industry by making it easier for the agency to pursue crypto exchanges for illegally offering unregistered securities.In another ongoing case highlighting the SEC’s “regulation by enforcement” approach, the agency is trying to establish its hold over the industry by making broad claims that could have severe implications for the asset class. Namely, in the SEC v. Ian Balina case, the agency has argued that Ethereum transactions should be considered as “taking place” within the U.S. because more Ethereum nodes are located in the U.S. than in any other country. For that reason, the SEC says, Ethereum should fall under its jurisdiction. If the court accepts this argument, the SEC could then try to establish jurisdiction over all Ethereum transactions involving tokens that it deems securities, regardless of the transaction counterparties’ location.In another disappointing development for the crypto community, the CFTC— following in the SEC’s footsteps—is suing a decentralized autonomous organization and its token holders on charges of operating an illegal derivatives trading venue. The CFTC winning this landmark case would set a terrible precedent for DeFi protocols and token holders by ensuring they can be held liable for various crimes as “unincorporated associations.” This would effectively ravage DeFi, making it impossible for protocols and DAOs to function without risking prosecution.Finally, the Treasury’s move to sanction the decentralized privacy protocol Tornado Cash stands out as one of the top enforcement actions that have already had an outsized effect on the industry. The move represents the first time a government agency has sanctioned a smart contract—immutable code living on the blockchain—and several key blockchain infrastructure providers, like Alchemy and Infura, have already complied with the sanctions.Many crypto legal experts, including the U.S.-based crypto advocacy organization Coin Center, deem the move unconstitutional and a gross jurisdictional overreach and will likely challenge it in court. However, if the Treasury wins any challenging lawsuit, the entire crypto economy could suffer, casting doubt on its ability to uphold its core tenets like decentralization, credible neutrality, and censorship resistance. Looking AheadDepending on whether the recently proposed cryptocurrency regulations come into law, and how the enforcement cases go, the U.S. crypto landscape could look completely different a couple of years from now. The optimistic view is that both the SEC and the CFTC lose all of the lawsuits that could set the industry back while lawmakers pass the more favorable proposed laws that offer clarity when it comes to regulation. If that becomes the case—and the chances are rather significant—the U.S. could become the world’s leading crypto-friendly jurisdiction, propping up the entire global industry with it.On the other hand, the worst-case scenario is that legislators take way too long to pass favorable crypto regulations while the SEC and CFTC slowly regulate the space through enforcement. This would severely hinder the U.S. crypto industry’s remarkable growth and any technological innovation coming out of it. Given the U.S.’s outsized political and economic international influence, such a scenario would also bode negatively for the global crypto industry. One potential outcome of a tough regulatory environment is DeFi’s fragmentation into “RegFi,” composed exclusively of regulatory-compliant protocols, and DarkFi, composed of genuinely decentralized, non-compliant, censorship-resistant protocols.Disclosure: At the time of writing, the author of this feature owned ETH and several other cryptocurrencies.

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The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
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How Much Energy Do NFTs Use? Less Than You May Think

Key Takeaways

NFTs have faced major criticism concerning their impact on the environment.
Much of the criticism is rooted in a misunderstanding about how blockchains function.
The major Layer 1 blockchains that serve as the main hubs for NFTs consume less energy than detractors seem to think.

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Ethereum cut its energy consumption by 99.95% when it completed the Merge, meaning NFTs are more environmentally-friendly than ever. But did the ecological backlash against digital collectibles even make sense in the first place?NFT Hype and BacklashIs crypto art destroying the planet? Not as much as its naysayers would have you believe, it turns out. A new cultural phenomenon gripped the world in 2021. A generation of digital artists found a way to monetize their work on the blockchain through NFTs, leading the most sought-after pieces to sell for eye-watering sums. Beeple made global headlines in March when he sold an NFT for $69 million at Christie’s. Avatar-based NFT collections like Bored Ape Yacht Club also soared in popularity. Bored Apes launched in April and were adopted by celebrities such as Paris Hilton, Jimmy Fallon, and Snoop Dogg; a year later their floor price peaked at around $435,000. Most NFTs to emerge during the 2021 boom were minted on Ethereum when it was using Proof-of-Work, a famously energy-intensive consensus mechanism that also secures Bitcoin. This prompted a backlash from certain mainstream media outlets and crypto outsiders as they began to question the technology’s environmental impact. Critics decried NFTs as carbon-intensive Ponzi schemes on social media, slamming any artists and collectors who endorsed the technology. While concerns over the environmental impact of any new technology are valid, much of the criticism directed toward NFTs is based on misconceptions of how blockchains work. So, how much energy do NFTs actually consume? The hard data suggests that it’s less than many critics seem to think. How Blockchains WorkThe most common misconception surrounding NFTs and their environmental impact concerns the carbon footprint of making a blockchain transaction. Many believe that transactions cost a certain amount of energy, but they don’t. Blockchains are cryptographic accounts or ledgers. These ledgers keep a record of all of the transactions on the network in blocks. New blocks are created at regular intervals to update the ledgers with new transactions. Bitcoin creates a new block roughly every 10 minutes, while Ethereum does every 10 to 20 seconds. Blockchain networks are secured by service providers. Proof-of-Work blockchains like Bitcoin rely on miners, while Proof-of-Stake blockchains like Ethereum rely on validators. Miners and validators are responsible for adding new blocks to the chain at a constant rate. Miners need to power specialized hardware and validators also need equipment to contribute to their respective networks. While both consume energy, mining is much more energy intensive.The amount of energy block producers consume does not depend on the level of activity on the network. Whether there are no transactions or thousands in a given period, blocks get produced at the same rate. In fact, blocks frequently get added to the chain with plenty of space left.
Adding an empty block to the chain requires the same amount of energy as a block filled with NFT mints. In crypto, the entire network consumes energy —not individual transactions. Using the network to mint an NFT has zero impact on the blockchain’s ecological footprint.Demystifying Gas PricesAre there any consequences to taking up block space? Yes, but not in terms of energy consumption. On Ethereum, for example, users pay for block space in gwei; one gwei is worth one-billionth of 1 ETH. These are the “gas prices” crypto natives refer to when speaking of transaction fees.Buying, selling, or sending NFTs uses the same amount of gas as transacting any other kind of cryptocurrency. While NFTs may take the form of digital art, music, or domain names, they live on the network as tokens. Sending an NFT doesn’t take up any more block space than sending any other type of token. With that said, minting an NFT requires significant block space. Some highly-anticipated mints have led to huge spikes in gas prices due to network congestion from NFT fans simultaneously fighting for block space. Otherside, the Metaverse world project from Bored Ape Yacht Club creator Yuga Labs, cost minters more than $150 million in gas fees on its virtual land NFT drop in April. But while complex operations like NFT minting can have higher transaction fees, they do not make blockchains consume more energy. Gas price is the only shifting variable; energy usage doesn’t change even if the price does.Ethereum’s Energy UsageEthereum is the world’s largest smart contract platform. It was the focal point of the NFT boom in 2021, hosting famous collections like Bored Ape Yacht Club, CryptoPunks, and Fidenza. The biggest NFT marketplace, OpenSea, launched with support for Ethereum before expanding to other networks. As Ethereum is effectively the home of NFTs, it’s important to consider its energy consumption to understand how much NFTs impact the environment. During its first seven years, Ethereum used a Proof-of-Work consensus mechanism like Bitcoin, which helped NFTs get a bad reputation early on. According to the Ethereum Foundation, the network’s electricity use peaked at 94 TWh per year when it ran Proof-of-Work, which is slightly more than the energy consumption of Bolivia.While Ethereum’s energy use climbed from 2021 through early 2022, it dropped around 99.95% when the network completed “the Merge” to Proof-of-Stake on September 15. That’s because the network stopped relying on miners to produce blocks. According to the Ethereum Foundation, the network now uses around 0.01 TWh per year.Total annual energy consumption in TWh per year (Source: Ethereum Foundation)After the transition to Proof-of-Stake, Ethereum now uses less energy than many services used by everyday people, such as PayPal, Netflix, and YouTube. As the Ethereum Foundation puts it, “estimates imply that people consumed 45 times more energy watching Gangnam Style in 2019 than Proof-of-Stake Ethereum uses in a year.”Furthermore, Ethereum is fostering an active regenerative finance community that aims to build decentralized finance protocols that positively impact ecological matters. Ethereum has dropped its high energy consumption and is slowly becoming a socially and environmentally-friendly technology.NFTs on Other BlockchainsWhile Ethereum is the main hub for NFTs, it is not the only network that hosts them. Other blockchains such as Solana, Tezos, Polygon, and BNB Chain have all fostered relatively robust NFT communities. None of these networks uses Proof-of-Work. Solana’s September 2022 energy use report states that the blockchain consumes about 4,056,273,936 Joules per hour. That’s the equivalent of 9.87 KWh (or just under 0.01 TWh) per year, slightly less than Ethereum now uses. Tezos is more energy efficient than Ethereum and Solana, using an estimated 0.001 TWh annually, per Tezos estimates. The Proof-of-Stake network has branded itself as a “green” blockchain, inspiring many environmentally-conscious crypto artists to mint their work on the network. Polygon is an Ethereum scaling solution that hosts its own NFTs and is supported on OpenSea. 2021 estimates from the Polygon team put the network’s energy consumption at about 0.00079 TWh yearly, and the blockchain has more recently committed to going carbon negative. In September 2022, Polygon stated that Ethereum’s transition to Proof-of-Stake would cut the scaling solution’s carbon footprint by 99.91%, bringing it to 56.22 tCO2e yearly. That’s around the same level of emissions as 12 gasoline-powered cars. While BNB Chain has not shared data on its energy consumption, it uses Proof-of-Stake like Ethereum. However, it is secured by only 21 validators, which need specialized hardware to process the chain’s enormous throughput. BNB Chain likely uses a similar amount of energy to its Layer 1 competitors, if not more. Final ThoughtsEnergy consumption is a complex and nuanced subject. Even Proof-of-Work blockchains like Bitcoin can be environmentally-friendly; it depends on the energy sources they use. Miners that use solar, thermal, hydro, or nuclear energy, for instance, can be considered more environmentally friendly than those that use fossil fuels. As Bitcoin advocate Nic Carter has tirelessly argued, crypto mining is a much greener industry than critics let on.It’s also worth mentioning that criticisms over energy usage tend to be selective. YouTube consumes more electricity than Bitcoin, but it doesn’t face as much pressure to go green. NFTs have received harsh treatment from major news outlets and skeptics, but the tides may shift if more people start to learn about Proof-of-Stake or engage with the technology. In any case, NFT collectors don’t have to worry about the environmental impact of their on-chain activity. Transactions don’t increase energy consumption; that’s simply not how blockchains work. Most importantly, networks like Ethereum, Solana, and Tezos have very low energy usage. In other words, mint away.Disclaimer: At the time of writing, the author of this piece owned BTC, ETH, and several other cryptocurrencies.

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The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
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Celsius Withdrawals Must Remain Closed: DOJ

The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
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New CFTC Lawsuit May Signal Wider Trend in Regulation

The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
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Bitcoin Had a Rough September. Here Are the Key Metrics to Watch Next

Key Takeaways

Bitcoin’s market value dropped nearly 14% in September.
Market sentiment has turned pessimistic due to the top crypto’s poor price performance.
On-chain data shows no significant signs of accumulation yet.

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Bitcoin is about to close September at a double-digit loss relative to August. As market sentiment continues to deteriorate, the top cryptocurrency needs to hold onto a vital support level to avoid a major correction.Bitcoin in DangerBitcoin is consolidating around the $19,000 support level. Market participants have taken note of the top crypto’s weak price action over recent weeks.The market sentiment toward Bitcoin remains negative. Social data from Santiment shows a weighted sentiment score of -0.69, while talk of Bitcoin on social media sits below 20%, indicating that interest has waned.Bitcoin social mentions (Source: Santiment)Brian Quinlivan, Director of Marketing at Santiment, noted the trend in a September 30 recap report, pointing out that “the world remains in a very fragile place, and traders aren’t trusting much of anything to rise any time soon.” Crypto has suffered alongside other risk-on assets throughout this year amid soaring inflation rates, interest rate hikes, a global energy crisis, and market exhaustion off the back of the 2021 bull market.
The declining interest in Bitcoin can also be seen from an on-chain perspective. According to Glassnode data, the number of addresses holding at least 1,000 BTC has remained steady at around 2,117 addresses over the past three days, following a sharp 26.75% decline. This market behavior suggests that prominent investors have lost interest in accumulating more coins.The number of Bitcoin addresses holding more than 1,000 BTC (Source: Glassnode)A similar trend is playing out with miners. According to CryptoQuant data, Bitcoin miners’ reserves have plateaued at 1.86 million tokens, holding around this level for nearly a month. The inactivity among miners follows a significant selloff in August.Bitcoin Miners’ Reserve. (Source: CryptoQuant)Despite the data showing a bleak outlook for the number one crypto, the number of new daily addresses created on the network hints that the top crypto could post a turnaround. The Bitcoin network is expanding, showing an uptick in retail interest since mid-July. The bullish divergence between network growth and the asset’s price points to a potential improvement in momentum in the future.If network growth hits a higher high at a seven-day average of more than 417,000 addresses, the bullish narrative could be validated.The number of new addresses on the Bitcoin network (Source: Glassnode)Transaction history shows that BTC established a critical support level at $19,000, where 1.21 million addresses purchased over 688,000 BTC. This demand wall must hold to prevent a steep correction. If it fails to hold this level, a selloff could ensue, potentially sending BTC to $16,000 or lower.Bitcoin transaction history per IntoTheBlock’s IOMAP model (Source: IntoTheBlock)IntoTheBlock’s IOMAP model shows that Bitcoin faces multiple areas of resistance ahead. The most considerable one sits at $20,000, where 895,000 addresses hold nearly 470,000 BTC.It’s been a rough year for markets, and crypto hasn’t been spared in the fallout. While Bitcoin is now almost a year into a brutal bear market, several signs suggest that the pain may not be over. Even as new entrants join the top crypto’s network, the global macro picture, declining sentiment and miner interest, and recent price action hint that there’s no clear reason for the Bitcoin narrative to flip bullish anytime soon.Disclosure: At the time of writing, the author of this piece owned BTC and ETH. The information contained in this piece is for educational purposes only and is not investment advice. 

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