Binance Research Weekly Market Highlights is a comprehensive report initiated by the Binance Research team to summarize the important market events and team views of the week.

Macro Market

  • Stocks plunged this week despite upbeat economic data. Expectations are that the Federal Reserve will continue to raise borrowing costs to fight inflation. Weak earnings reported this week further exacerbated the poor performance of stocks. Light year-end trading conditions due to the approaching Christmas holiday in the United States also played a factor in the price decline.

  • The Bank of Japan shocked markets with a policy change, raising its 10-year Japanese government bond target for its yield curve control to 0.5% from 0.25%. The decision showed the central bank was willing to tolerate more upward yields and reduce bond purchases.

Cryptocurrency Market

L1/L2

  • OP Labs announced that the Optimism Goerli testnet will migrate to Bedrock on January 12, 2023. The team is working with node operators to ensure a seamless transfer without affecting users. Bedrock is a new decentralized Rollup infrastructure that reuses a lot of Ethereum code, infrastructure, and design principles. It will reduce prices, add ZK proofs, and enable multiple execution clients for Optimism.


DeFi

  • The Uniswap community voted to reduce the number of off-chain snapshot votes to one vote and voted to increase the quorum requirement threshold from $50,000 UNI to $10 million UNI. The new proposal proposes a seven-day "Request for Comments" (RFC) process to replace the original three-day consensus check process.

  • Sushi DAO has voted on a proposal to transfer SushiSwap's transaction fees to the protocol treasury. Sushi DAO may deposit token holders' exchange transaction fees directly into the project's treasury in about a year. The Snapshot voting page shows a 58.95% support rate, with GoldenChain, the digital investment arm of venture capital firm Golden Tree, and wallets associated with crypto trading company Cumberland jointly contributing 10 million sushipowah tokens (Sushi DAO governance tokens) to promote the vote. The total voting power accounts for 91% of the 11 million tokens supporting the plan.
     

  • related news:Uniswap's proposal to change the community governance process has been voted in
     

other

  • Binance has joined the U.S. Chamber of Digital Commerce and will work with the Chamber’s Executive Committee and other industry participants to promote the development of the blockchain industry.

  • ⁠The Brazilian president signed a crypto regulation bill into law. The new law includes digital currencies in the definition of legal payment methods in Brazil and establishes a licensing system for virtual asset service providers.
     

  • related news:

  • Binance joins U.S. Chamber of Digital Commerce to support crypto asset regulatory framework

  • Brazilian President Signs New Cryptocurrency Law, Including Licensing and Fraud Penalties
     

🔎 Binance Research latest research report

  • Navigating Cryptocurrency - Industry Map December 2022 (New!)

  • A Deep Dive into GameFi Token Economics (New!)

  • Web3 Social - The Path to Mass Adoption