Trakx Weekly Update: June 5, 2023

Key Crypto Market Figures

CTIs Weekly Performance

Volatility compression continues to be the name of the game in crypto land with the Trakx Top 10 Crypto CTI little changed again on the week (-1%). Also, in a repetition of last week’s trends, the best performing Trakx index was the NFT Metaverse CTI, which increased 1% driven by gains in SAND, MANA and IMX tokens, a move that came just prior to the anticipated release of Apple’s new mixed reality headset which optimists consider could help to bolster user adoption. In contrast, the weakest performance was in the Trakx Lending CTI, which slipped 6% on the week, due to losses on AAVE and KAVA, which more than offset gains in MKR.

In terms of news, last week’s deal on the US debt ceiling, not only removes one immediate macro risk but also means the proposed 30% tax on Bitcoin mining has been blocked. Despite this positive news, it is clear that the earlier crackdown by US authorities and the ongoing regulatory uncertainty is causing them to fall behind other nations in the race to embrace digital assets. Last week the central banks of the UAE and Hong Kong announced they would strengthen financial cooperation including regulation of crypto assets. The announcement comes just a month after the UAE’s Securities and Commodities Authority said it would allow crypto firms to apply for crypto licences. According to a press release, the crypto exchange Gemini said it had already started the approval process in the UAE.

Sources: Trakx, Coingecko, Alphavantage

Market Trends

• Crypto exchange Gemini to soon operate in the UAE: Reuters.
• US Debt Ceiling Deal Blocks 30% Bitcoin Mining Tax: Congressman: Decrypt.
• Apple's AR Headset Will Supercharge Gaming and the Metaverse: Decrypt.
• Tether Market Cap Climbs to All-Time High of $83.2B, Even as Stablecoin Market Sinks: Coindesk.
• FTX lawsuits see crypto firms, influencers dial back endorsement deals: Cointelegraph.

Trakx News

• Ryan Shea published “Crypto’s Pause” as a sum up of what happened in the crypto sphere in May.

Trakx CTIs Performance

Sources: Coingecko and AlphaVantage

*Return of bitcoin is calculated since 01/05/2020, while CTIs performances were calculated since their respective launch date.
**Includes simulated performance.
***The risk signal is determined according to the historical volatility level, the higher the riskier.

Trakx is a global fintech company creating new standards for digital asset investments. Through our trading platform, we offer thematic Crypto Tradable Indices (CTIs) and customised solutions, providing sophisticated investors with a high degree of compliance, custody and liquidity.

TRAKX SAS,  10 rue de Penthièvre, Paris, 75008, FRANCE - French société par actions simplifiée Paris Trade and Companies Register number 850 626 078

Crypto Asset Service Provider (CASP) Registered with the Autorité des Marchés Financiers (AMF) under number E2021-020

Disclaimers: No Investment Advice. Index returns and statistics are for illustration only. Index returns do not reflect any transaction costs or expenses. Past performance does not guarantee future results. The information provided in this newsletter does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the newsletter content as such. Trakx.io does not recommend that any cryptocurrency should be bought, sold, or held by you. Readers shall conduct their own due diligence and consult their financial advisors before making any investment decisions.