ChainCatcher news, several of Wall Street's largest banks expect the Federal Reserve to end its balance sheet reduction process in April next year, which is consistent with their expectations for the Fed in July.A survey conducted by the New York Fed before last month's Federal Reserve interest rate meeting among so-called primary market dealers showed that "most dealers indicated that they expect the end of balance sheet reduction to depend on the level of reserves, overnight reverse repo conditions, or the assessment of upward pressure on money market rates relative to the administered rates."Some dealers stated that macroeconomic factors pose risks to the outlook for ending the balance sheet reduction. "The current size of the Federal Reserve's balance sheet is approximately $7 trillion."

ChainCatcher news, according to The Information, two years ago, the behind-the-scenes giants of the U.S. financial market launched the Wall Street blockchain project "Project Ion." The project aims to revolutionize the way stock trading settlements are conducted using blockchain technology, including cash settlement and obtaining stock certificates.Well-known companies such as JPMorgan and Robinhood were involved, but ultimately the project failed to gain widespread adoption and quietly ended at the end of last year.

ChainCatcher news, according to Cointelegraph, the founder and CEO of stablecoin USDC issuer Circle, Jeremy Allaire, stated that they are advancing their initial public offering (IPO) plans and intend to move their headquarters to Wall Street in 2025.It is reported that Circle applied for an initial public offering (IPO) in January this year and is currently awaiting approval from the U.S. Securities and Exchange Commission.

ChainCatcher news, many analysts on Wall Street still expect that the Federal Reserve's first step towards interest rate cuts will be more cautious. "I hope they cut by 50 basis points, but I suspect they will cut by 25 basis points," said Mark Zandi, chief economist at Moody's Analytics. "They have already completed the tasks of achieving full employment and returning inflation to target, and a fund rate around 5.5% is too high. Therefore, I think they need to quickly normalize rates and have plenty of room to do so.""Jeffries' U.S. economist Tom Simons said, "While the tightening policy seems effective, it hasn't worked out exactly as they imagined, so easing should be viewed as equally uncertain." "Therefore, if you're uncertain, you shouldn't rush." Former Dallas Fed President Kaplan stated, "I guess they have differing opinions." "From a risk management perspective, some committee members just want to be more cautious." Seema Shah, an analyst at Invesco, said that for the Federal Reserve, it ultimately comes down to deciding which risk is greater—if they cut by 50 basis points, it could reignite inflationary pressures, while cutting only by 25 basis points could lead to an economic recession. Criticized for being too slow to respond to the inflation crisis, the Federal Reserve may take a passive approach to the risk of recession rather than a proactive one. (Jin Shi)

ChainCatcher news, according to Bloomberg, so far, crypto-native companies like Coinbase Global Inc. and BitGo Inc. have been the dominant service providers, while traditional financial firms mostly remain in a holding pattern due to concerns over regulatory uncertainty surrounding digital assets.Although the current custody market is only about $300 million, the business remains attractive, with companies like Fireblocks Inc. estimating an annual growth rate of around 30% for the industry.Leading custody banks such as BNY Mellon, State Street Corp., and Citigroup Inc. have begun to dip their toes into the cryptocurrency custody space or have expressed interest. Despite facing setbacks, these companies are experimenting, with many plans focused on the protection of tokenized assets.For example, JPMorgan Chase & Co. operates a project called Onyx, which allows blockchain payments between bank clients. In December last year, a custody trust and clearing company acquired Securrency to provide products for tokenizing traditional financial assets. In August of this year, State Street chose the vendor Taurus for the tokenization and custody of digital asset services.One major issue hindering the entry of established financial institutions is a U.S. SEC regulation known as SAB 121, which prevents highly regulated financial companies from offering cryptocurrency custody services. President Biden vetoed efforts by Congress to overturn the rule. Several banks have received exemptions.

ChainCatcher news, cryptocurrency investment firm 1confirmation has published its Q2 2024 LP letter on social media, in which founder Nick Tomaino stated that Ethereum's market capitalization will surpass Bitcoin's in the next five years. Currently, Bitcoin's market capitalization ($1.2 trillion) is four times that of Ethereum ($321 billion), and both will continue to grow, but Ethereum will ultimately exceed Bitcoin.Nick Tomaino explained that Bitcoin has a clear narrative (digital gold), and institutions have now accepted this narrative. Ethereum has been the most influential blockchain in the crypto space over the past five years, but people (outside the circle) know very little about Ethereum. Ethereum is the chain on which the world's most talented developers are building a decentralized internet, and ETH is the digital oil that powers it. Ethereum is scarce, generates yield, and has real use cases. Given its market capitalization is now significantly smaller than Bitcoin's, Wall Street can acquire more. It is expected that Wall Street will continue to buy in and vigorously promote Ethereum to the world in the coming years.

ChainCatcher news, according to The Wall Street Journal, Federal Reserve Chairman Powell has issued the strongest signal yet for a rate cut, indicating that the Fed intends to take action to prevent further weakening of the U.S. labor market.

ChainCatcher news, according to market news, Morgan Stanley has allowed its wealth advisors to promote Bitcoin ETFs to major Wall Street firms.

ChainCatcher news, BitOoda's Managing Director and former Wall Street bond trader Vivek Raman stated that the launch of the Ether ETF will address most of the risks associated with Ether, making the second half of 2024 potentially the most bullish period for Ether.Vivek Raman believes that retail investors only want to invest passively, while institutions only want to invest after regulatory clarity. The ETH ETF will simultaneously unleash new capital inflows from both.

ChainCatcher news, according to Bitcoin Magazine, Howard Lutnick, the CEO of Wall Street bond trading giant Cantor Fitzgerald, will speak at the Bitcoin conference in Nashville next week.

ChainCatcher news, according to The Wall Street Journal, the U.S. Securities and Exchange Commission (SEC) has informed asset management companies that a spot Ethereum ETF may launch on July 23. After asset management companies submitted their final round of application documents this week, the SEC is expected to announce the effectiveness of the Ethereum ETF registration statement next Monday. Once the statement is effective, the spot Ethereum ETF can begin trading.

ChainCatcher news, according to Decrypt, Tether and WAX co-founder William Quigley stated that after the U.S. approves spot Bitcoin and Ethereum funds, Wall Street's "greed" will drive the proliferation of such products. Quigley predicts that due to Wall Street's relentless pursuit of profits, ETFs for other mainstream cryptocurrencies like Solana and Cardano will also emerge in large numbers.He also warned that Wall Street's aggressive marketing of crypto products could pose significant risks, especially during market downturns.

ChainCatcher news, the bankrupt cryptocurrency exchange FTX has reached a deal worth $884 million with more than twenty buyers, including investors from Abu Dhabi, to sell two-thirds of its stake in the artificial intelligence startup Anthropic.FTX invested $500 million in Anthropic in 2021, holding about 7.8% of the company. The sale of Anthropic shares could be the most profitable asset divestiture initiated or completed by FTX since it filed for bankruptcy in November 2022, as the company seeks to raise funds to repay creditors.