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Bitget CFD Chief Analyst: Waller's hawkish speech raises expectations for "higher interest rates to last longer," making the dollar and U.S. Treasury yields key to the market

Bitget CFD Chief Analyst Lewis Huang stated that the hawkish remarks made by Powell at the Jackson Hole global central bank conference have shifted the market's focus from whether there will be a rate hike in September to the possibility that the Federal Reserve may maintain high interest rates for a longer period before inflation clearly falls back to the 2% target, and even retain the option for further tightening of policies.Lewis Huang pointed out that if subsequent CPI, PCE, and employment data continue to be strong, the U.S. 2-year Treasury yield and the dollar index may remain strong, putting continued pressure on gold from the dual forces of rising real interest rates and a strengthening dollar, which may also amplify the volatility of high-valuation tech stocks like the Nasdaq 100.Conversely, if inflation significantly cools and the labor market weakens, the market may lower its rate hike expectations, leading to a decline in the dollar and U.S. Treasury yields, providing support for gold and growth stocks.He added that besides the Federal Reserve's policy statements, traders should also pay attention to whether the U.S. 10-year Treasury yield is influenced by factors such as fiscal deficits, Treasury supply, and rising term premiums.Before and after the release of major data, it is recommended to moderately control leverage and assess market direction based on the interrelationship between the dollar, U.S. Treasury yields, gold, and stock indices.

first_img Pakistan established a cryptocurrency regulatory framework with only 8% of the budget, revealed the minister at Bitcoin Asia

Bilal Bin Saqib, the Minister of State for Pakistan and Chairman of the Pakistan Virtual Assets Regulatory Authority (PVARA), revealed at the Bitcoin Asia conference that the country completed the establishment of its virtual asset regulatory system in less than six months, using only about 8% of the approved budget, which is approximately $200,000, with about 92% of the budget remaining unused. Saqib stated that the government should not measure success by how much money is spent, but rather by the actual delivery of results. The regulatory framework covers activities such as exchanges, custody, brokerage, asset management, lending, and settlement, and introduces requirements regarding governance, anti-money laundering and counter-terrorism financing, customer asset protection, cybersecurity, and market conduct. Saqib emphasized that Pakistan's regulatory ambitions extend beyond the current digital asset market, with future focus on the tokenization market, programmable payments, stablecoins, machine-to-machine transactions, and the AI agent economy, noting the need to establish corresponding regulatory rules for agent payments and the agent economy. Saqib stated that emerging markets do not need to spend a decade catching up; they can build on the frontier. With a population of over 240 million, Pakistan is a potentially significant market for emerging financial technologies. The rapid transition from legislation to licensing in the country is being used as a demonstration case for the government's response to next-generation financial infrastructure.

first_img Ethereum developers propose upgrading the staking contract to defend against quantum attacks

According to CoinDesk, Ethereum researchers have proposed rebuilding the validator deposit contract to support a new cryptographic system and ultimately stop accepting deposits protected by the existing BLS signatures. This proposal targets the deposit contract, aiming to add a switch that prevents the network from accepting the currently relied-upon signature format.Currently, the contract only accepts BLS keys because their exact size is hardcoded, while the new draft allows for different key sizes, with each deposit tagged by the cryptographic system used, where BLS receives a tag of zero, reserving space for future schemes.If the proposal is approved, it will initially operate with BLS deposits, while other schemes can be registered simultaneously. Future decisions may permanently disable new BLS deposits, at which point validators who have staked using BLS keys will not disappear, but new validators will not be able to join using this method. Ethereum will ultimately need to change separately to inform validators how to check new signatures. This is part of the migration for validators, while another part is already in progress—EIP-8141 framework transaction proposals will allow regular Ethereum accounts to change the cryptographic method for approving transactions without changing their address.The urgency stems from research released in March by Google's Quantum AI research department, which outlined five quantum attack paths against Ethereum, putting over $100 billion in assets at potential risk. The Ethereum Foundation is advancing core protocol changes with a target around 2029. Currently, the amount of ETH staked in Ethereum is approximately 42.4 million, valued at about $10.4 billion.
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