1. Scan your Eyeballs for Crypto?

Key Takeaways:

• Worldcoin, founded by OpenAI CEO Sam Altman, launched its core offering, the World ID, which serves as a "digital passport" to verify real human identities, distinguishing them from AI bots.

• The World ID is obtained through an in-person iris scan using the 'orb', and the project has already amassed 2 million users from its beta period.

• Worldcoin's cryptocurrency token WLD saw a significant price rise on Binance, reaching a peak of $5.29 and reflecting a growing interest in the project.

Summary:

Worldcoin, created by Sam Altman's Tools for Humanity, introduced its World ID, a "digital passport" to differentiate humans from AI bots. Users undergo an in-person iris scan through the orb, with 2 million already onboarded.

The Great (for some): The WLD token price surged on Binance, reaching $5.29, indicating strong market interest. World IDs could address challenges posed by generative AI chatbots and contribute to income inequality solutions like universal basic income (UBI). Altman envisions the future with UBI and believes Worldcoin lays the groundwork for its potential realization.

The Not-so-Good: Worldcoin has come under severe scrutiny across the internet, with people concerned over their lack of transparency in their token distribution model.

Ethereum co-founder, Vitalik Buterin also expressed concerns over Sam Altman's Worldcoin launch, citing potential issues with privacy and centralization. Buterin highlights worries about the World ID system's implications for user data and blockchain governance.

*For some reason, it’s eerily dystopian to us - so be cautious if you’re considering investing in it. (We’d like to keep our retina scans away from AI preferably )

2. From Russia, with CBDCs…

Key Takeaways:

• Putin Signs Digital Ruble Law: President Vladimir Putin signed the digital ruble bill into law, granting the Bank of Russia authority to issue its own digital currency.

• CBDC Implementation: The digital ruble, a central bank digital currency (CBDC) project initiated in 2020, will be used for payments and managed by the central bank.

• Potential Benefits and Concerns: The digital ruble may offer a workaround for Russia's financial restrictions due to sanctions. However, it raises concerns about government control over citizen spending, allowing parents to monitor and limit their children's transactions.

Summary:

The Good: Putin's approval of the digital ruble bill marks a significant step in the implementation of Russia's CBDC project. The digital ruble offers financial flexibility and could provide an alternative payment method alongside other forms, potentially enabling Russia to navigate sanctions more effectively.

The Not-So-Good: The digital ruble's implementation raises concerns around potential government oversight and restrictions on private citizen spending, impacting the financial privacy of its many citizens (including many of the wealthy elite oligarchs).

3. Record high-Interest Rates? Completed it mate.

Key Takeaways:

• The U.S. Federal Reserve raised its benchmark fed funds rate by 25 basis points to a range of 5.25%-5.50% after a one-meeting pause, the highest level in 22 years - signalling a resumption of tightening monetary policy.

• The rate hike was widely anticipated by market participants, who will closely monitor Fed Chair Jerome Powell's post-meeting press conference for further insights into the central bank's future plans.

• The accompanying policy statement highlights potential impacts on economic activity, hiring, and inflation due to tighter credit conditions, with uncertainties remaining on the extent of these effects.

Summary:

The Not-So-Good: The uncertainty surrounding the effects of tighter credit conditions may introduce market volatility and caution among investors. The Fed's projections for future rate hikes may also add to market uncertainty.

This usually means a lower appetite for high-risk assets like crypto, however, the market has remained largely unaffected by the news.

We suspect that although there’s a lack of capital inflow into the market from institutions and retail, things will be changing over the next 6-12 months as we approach the Bitcoin halving, expected to be around March-May of 2024.

Traditionally when the halving occurs, it’s followed by a 12-18 month rally of cryptocurrency and other assets, with the Fed’s money printer going brrrrrr (Quantitative Easing and a reduction of Interest Rates in full force).

For now, patience.

Hot Picks of the Week

Let’s take a look at what’s been the biggest movers in the market this week!

* 3 of these top 10 gainers are in our portfolio - can you guess which ones?

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