Hello, Asia. Here is what is news on the markets:
Welcome to the morning briefing in Asia, a daily summary of the best stories during the hours and an overview of market movements and analyzes. For a detailed overview of the American markets, see the Americas of the Coindesk Crypto Daybook.
Digital assets treasure (Dats) Companies – Companies that put Bitcoin on the balance sheet – were talking about the city during the BTC Asia in Hong Kong.
But the adoption of Bitcoin companies can be a double -edged sword, explains Alessio Quaglini, CEO and co -founder of Crypto Gustoddian Hex Trust. While Treasury Holdings has put crypto on the balance sheets of public companies, it warns that leverage strategies could transform adoption into a source of instability.
“It’s great for adoption. It’s great because you essentially have indirect Bitcoin access to billions of people investing in local scholarships and Nasdaq,” Quaglini in Coindesk told a recent interview with the BTC Asia in Hong Kong.
But he drew a clear line between healthy diversification and financial engineering.
“If this registration company exists for the sole purpose of holding the crypto, well, it is a hedge fund that is listed on the stock market. It is a financial engineering exercise,” he continued.
Quaglini, like many others in the industry, is concerned with excessive leverage levels. A recent Galaxy report illustrates the risk, showing loan volumes at the highest since 2022 alongside a liquidation wave of $ 1 billion, while Korean regulators have already intervened to freeze new loan products as they care about the development of the constraint markets.
“If these companies deploy the lever effect and emit debt to buy Bitcoin with strong triggers, then it’s a big problem,” said Quaglini. In public procurement, the claim clauses are transparent, which means that traders can anticipate forced sale. “You could be in the situation of the prisoner dilemma … You can have this type of spiral effect which brings more volatility to the industry.”
Despite this, Quaglini considers today’s treasure players as a first step.
“The next step is that you have real companies that have a lot of operating cash flows, and they are sitting on huge sums of money, like Apple, Google, etc.”, he said. If these companies are starting to award BTC reserves, the change would be “extremely positive”.
In the end, the real test of the viability of the date is not whether small businesses are transformed into Bitcoin proxys, but if the largest companies in the world are ready to put their cash with chain.
Market movement
BTC: Bitcoin is in green hands over $ 109,000. The largest digital active in the world is stabilized after August has experienced a rare rotation of BTC Spot ETF in ETH funds, which has weighed on the relative BTC demand in recent weeks. The wider macro remains favorable, but the action of prices is still consolidated under the summits in mid-August
ETH: Ether is negotiated at $ 4,298. Market players ensure the manufacture of profits after record levels at the end of last month and come up against the resistance almost 4,000 high. The trend of the eTF flow of August favored ETH, but short-term consolidation dominates after the run-up
Gold: Gold is almost four months old on assembly betting for a drop in September Fed rate and a softer US dollar, which generally support ingots
Nikkei 225: Most of Asia-Pacific Markets have increased for the most part while investors weighed the price uncertainty and the Shanghai cooperation organization, Nikkei 225 in Japan up 0.31% after a US court ruled on most illegal Trump’s world rates.
Elsewhere in crypto:
- Gavin Newsom wants to launch a meme piece just for Troll Trump (Decrypt)
- The FSC chief candidate in South Korea faces a backlash after calling Crypto Valueless (The Block)
- The share of the Trump family of World Liberty Crypto reaches $ 6 billion (decrypt)
