Connect with us

Blockchain

The Ethereum Volatility Index

  What is the Ethereum Volatility Index? The Ethereum Volatility Index is a tool measuring the volatility of the ETH/USD …

Read moreThe Ethereum Volatility Index

The post The Ethereum Volatility Index appeared first on CoinDiligent.

Published

on

What is the Ethereum Volatility Index?

The Ethereum Volatility Index is a tool measuring the volatility of the ETH/USD price, over different periods of time.

Why is it important to track volatility?

Volatility is a calculation of how much the price of an asset has moved during a specific timeframe.

Hence, high volatility comes hand-in-hand with sharp price moves (both up or down). On the other hand, low volatility is a signal of a consolidating or slowly trending market.

Investors and traders use volatility to gauge the risk of a potential asset. The general rule of thumb is that extremely volatile assets are risky, while less volatile assets are less so.

In traditional markets, the most popular volatility index is the VIX, which measures expected volatility of the S&P500.

How is Ethereum’s volatility calculated?

Our ETH volatility index calculates volatility based on the standard deviation of the daily ETH/USD daily open price, for the past 30 days.

This is widely seen as one of the most robust methods for calculating an asset’s volatility, when only using past historical data.

That said, a substantially more accurate approach would be using the “Implied Volatility”, which is a byproduct of options trading. However, for the IV reading to be significant, crypto options exchanges still have to become more liquid.

What is the data source of this volatility index?

Our volatility data is sourced from CoinMetrics, an institutional cryptocurrency markets data provider.

Do you track any other cryptocurrencies?

Yes, we also have an Bitcoin volatility index.

pascal thellmann

Pascal Thellmann is an algorithmic trader mostly focused on market making. You can get in touch with Pascal on LinkedIn or Twitter.

Source: https://coindiligent.com/ethereum-volatility-index

Blockchain

$4.5 Billion Allocated to Expand the Hedera Hashgraph Ecosystem

Published

on

The Hedera Governing Council recently announced that it had allocated 10.7 billion HBAR, Hedera Hashgraph’s native token, to fund the development and expansion of the ecosystem.

The official announcement revealed that the amount worth approximately $4.5 billion at the current market price ($0.42) represents 20% of the token’s total supply.

Interestingly, the value of the 10.7 billion HBAR has more than doubled since the Governing Council approved the allocation at a July 14 meeting. The tokens were worth about $2 billion on that date.

DeFi, NFTs, CBDCs and iGaming on Hedera

The Hedera council said it had already designated half of the funds to its recently established independent HBAR Foundation. The autonomous organization would be responsible for the distribution of the remainder.

As per the announcement, the remaining half of the fund currently held in Hedera treasury accounts will be deployed to partnerships and other initiatives that will strengthen the ecosystem.


ADVERTISEMENT

The foundation will oversee the administration and development of the Hedera ecosystem by providing grants to developers, startups, and other organizations with the goal of expanding the network across products like DeFi, NFTs, CBDCs, and iGaming.

Hedera’s Governing Council also picked Shayne Higdon to lead the foundation. Higdon is a serial blockchain executive with significant experience in venture capital and private equity and has led 40+ M&A and corporate venture transactions in related fields.

Commenting on the development, Shayne Higdon noted that Hedera is the most widely used public ledger globally and the newly established HBAR Foundation will help foster adoption.

“Our mission is to fund a future where entrepreneurs form digitally-native economies and ecosystems, controlling their own assets, identities, data, marketplaces, and more. We are excited to engage with and support organizations and teams that share this vision,” he added.

Promoting a Decentralized Economy

Hedera’s Governing Council is a group of diverse organizations that currently consists of 23 members worldwide, including LG, Google, IBM, and Boeing. The council is responsible for governing the network, its funds, and operating nodes.

“In our mission to make the Hedera network the de facto standard for the decentralized economy, it is now time to empower additional organizations to speed up network adoption.

We are pleased that the Hedera Governing Council has made such a significant commitment to accelerate the decentralized growth and usage of the network,” said Mance Harmon, CEO of Hedera Hashgraph.”

SPECIAL OFFER (Sponsored)

Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to get 50% free bonus on any deposit up to 1 BTC.

You Might Also Like:


PlatoAi. Web3 Reimagined. Data Intelligence Amplified.

Click here to access.

Source: https://cryptopotato.com/4-5-billion-allocated-to-expand-the-hedera-hashgraph-ecosystem/

Continue Reading

Blockchain

U.S. Treasury Targets Stablecoins in Latest Regulatory Risk Assessment

Published

on

As regulatory pressure mounts in the U.S., policymakers are putting stablecoins at the top of their agendas.

Citing “people familiar with the matter,” Bloomberg has reported that officials are crafting a policy framework set to be released in the coming weeks. Their primary concern is ensuring that investors can reliably move money in and out of tokens, it added.

The anonymous insiders are worried that a “fire-sale run on crypto assets could threaten financial stability and that certain stablecoins could scale up dangerously fast.”

Strengthening Regulatory Efforts

The Financial Stability Oversight Council is also preparing a formal review into whether stablecoins pose an economic threat.

The officials are focusing on how stablecoin transactions are processed and settled and whether market conditions have an impact, it added. Tomicah Tillemann, global head of policy at a crypto fund run by venture capital giant Andreessen Horowitz, commented:


ADVERTISEMENT

“It is significant and very consequential that we are witnessing early steps to create a regulatory framework around digital assets. That’s a big deal.”

The report, when released, will go to the President’s Working Group on Financial Markets. The body includes key agency heads such as Treasury Secretary Janet Yellen, Federal Reserve Chair Jerome Powell, and Securities and Exchange Commissioner Chair Gary Gensler.

In late July, Yellen called for urgency in regulating stablecoins after stating that they are not adequately supervised. Gary Gensler echoed the sentiment in early August, stating that regulators must act to protect investors from fraud.

Also, in late July, Acting Comptroller of the Currency, Michael Hsu, said regulators are looking into Tether’s commercial papers to see whether each USDT token was really backed by the equivalent of one U.S. dollar.

Tether has repeatedly issued assurances that its reserves are fully backed but has yet to produce a full independent audit.

Stablecoin Ecosystem Update

Tether remains the market leader with a current supply of 69.4 billion, according to the Tether Transparency report. This is close to the all-time high for USDT, which tapped 70 billion earlier this week.

Of that total, 36 billion or 51.8% is based on the Tron network, with 33.8 billion or 48.7% running on Ethereum. USDT supply has grown by 232% since the beginning of the year.

Rival stablecoin, USDC, from Circle currently has 29.3 billion in circulation after gaining 651% in terms of supply growth so far in 2021.

SPECIAL OFFER (Sponsored)

Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to get 50% free bonus on any deposit up to 1 BTC.

You Might Also Like:


PlatoAi. Web3 Reimagined. Data Intelligence Amplified.

Click here to access.

Source: https://cryptopotato.com/u-s-treasury-targets-stablecoins-in-latest-regulatory-risk-assessment/

Continue Reading

Blockchain

Bitcoin dominance is an irrelevant metric unless…

Published

on

The volatile cryptocurrency market has given way to multiple metrics for the market observers to analyze and predict what’s coming next. One such metric has been Bitcoin dominance, but as per Su Zhu, it should not be relevant to you unless you are a billionaire.

How so?

The CEO of Three Arrows Capital opined this after noticing the trend of the newcomers avoiding Bitcoin and Ethereum and opting for risky crypto tokens. When the largest digital asset was stuck in a wider correction period, altcoins like Dogecoin [DOGE] grabbed much attention. This was possible due to the hype created by Tesla CEO or, self-proclaimed “doge-father,” Elon Musk and the Doge community.

However, understanding the newcomers’ enthusiasm Zhu opined that if he were to bet on projects now, he would choose Solana and Avalanche.

Despite the popularity of altcoins, the exec remained bullish on Bitcoin and Ethereum as he expected, the former to flip gold’s market cap, and the latter to eventually hit a value above $25,000. Bold predictions, but nothing we haven’t heard before.

However, newcomers were more bothered about the dominance metric but as data suggested, Bitcoin dominance has recently been falling. The dominance was hit earlier but recovered to form a peak at 49.25% on 30th July. But given the correction phase that followed, the dominance of BTC fell and was last noted to be at 40% on 10th September.

It is interesting to note that despite plenty of adoption related news such as that of El Salvador, coming in over the past few weeks, it looks like the dominance has remained unaffected by it.

Source: CoinMarketCap

Twitter user and crypto enthusiast, @HsakaTrades also noted that Bitcoin dominance was not a relevant metric for anyone who has a “sub mid 9fig portfolio]. Agreeing with Hasaka, Zhu added,

“To clarify, if you’re holding for 5+ yrs, you shouldn’t be thinking about btc dominance in the first place. And obv btc and eth have a strong place in that portfolio.

If you’re allocating actively atm, and think debating btc v eth v alts is a good framework, you’re ngmi.”

While this advice could stand true for experiences, long-term trader interested in making money, but not the ones looking out to invest in tech. This was especially highlighted in the comments wherein the crypto users were upset about the CEO’s Solana [SOL] recommendation that recently witnessed an outage.

Nevertheless, the trading advice and strategies differd from trader to trader and Zhu’s opinion to not focus on the BTC dominance, prebably stemmed from a hodlers perspective. While interesting projects were now erupting in the crypto space, it looks like Bitcoin’s dominance, not only in terms of price, but as a crypto project could be challenge.

Where to Invest?

Subscribe to our newsletter

PlatoAi. Web3 Reimagined. Data Intelligence Amplified.

Click here to access.

Source: https://ambcrypto.com/bitcoin-dominance-irrelevant-for-anyone-not-10figs

Continue Reading
Uncategorized4 days ago

Wicked Craniums are now Nifty Gateway!

Blockchain3 days ago

Massive NFT and Token Giveaway from Polker as Staking is Announced!

Uncategorized4 days ago

Acorns Hires Former Amazon Executive as President, Hints at Crypto Options

Uncategorized4 days ago

Swissquote Confirms European Expansion Plan, Focusing on Crypto

Blockchain4 days ago

Biggest Crypto Adoption Rumours: Apple, Amazon, and Walmart

Uncategorized4 days ago

Investor: Coinbase’s $2 billion junk bond deal shows crypto ‘supercycle’ is in place

Blockchain4 days ago

Gate.io Introduces OpenPunks, A Community-Based NFT Collection

Blockchain4 days ago

The Signal and the Noise

Uncategorized4 days ago

Head of Australian Crypto Exchange Says Regulations Are Beneficial

News4 days ago

Evaluating Credit Card Debt Relief Options

Uncategorized5 days ago

How to fix the Party Member Preloading error in Apex Legends

Uncategorized4 days ago

Nickelodeon All-Star Brawl will include DLC fighters post-launch

Uncategorized4 days ago

Bingbon Launches its Carbon Free and Afforestation Project

News3 days ago

Gods Unchained and Guild of Guardians Layer 2 Solution Immutable Raises $60 Million

Blockchain4 days ago

Public.com Inks Deal with NFL Star to Advise on Financial Literacy Programs

Blockchain1 day ago

Over 40 days after Ethereum’s EIP-1559, here’s where it stands

Blockchain4 days ago

What’s Behind Elrond (EGLD) Daily Surges?

Blockchain4 days ago

Ethereum’s Infura Launches Tool To Prevent Over-payment Of Fees

Uncategorized4 days ago

This needs to happen before Peter Schiff will buy Bitcoin (BTC)

Blockchain4 days ago

xtingles To Drop Its First ASMR NFT “Free Like A Butterfly” On September 16

Trending