Invictus Capital: Weekly Wrap 08.10
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Market News
Despite energy shortages starting to impact the European, UK and Chinese economies, as well as clear signs from Chinese government that foreign bond holders would likely bear the largest brunt from the Evergrande solvency crisis, stock markets still had a fantastic week. This was largely on the back of strong global PMI readings and substantial progress on moving the US government shutdown further out (now to December). Bond yields continued to drift upwards, with higher yields attracting foreign investment flows and helping keep the dollar flat despite falling safe-haven demand. Around the time of writing, disappointing US employment numbers were released, indicating the pace of the employment recovery was slowing. This puts pressure on the Fed not to taper too early, with short-term yields dipping on the news and gold surging.
Bitcoin also performed well alongside traditional markets this week as it broke above $55,000 this week on strong fundamentals including endorsement from famed investor and philanthropist George Soros, with the announcement that the Soros’s family office holds crypto. At the time of writing Bitcoin was up over 26% over the past 7 days. Notably, it appears that it is institutional interest that is once again driving price action, with significant increases in open interest on CME Bitcoin Futures, where volumes are dominated by institutions. Many now expect trading volumes to remain at elevated levels, in keeping with fourth quarter trends, where the crypto market tends to attract a greater level of retail attention.
In a potential boon for DeFi, French multinational investment bank, Societe Generale, submitted a proposal to MakerDAO as part of a pilot project. The proposal is for the acceptance of home loan-backed security tokens as collateral on the Maker platform, enabling the company to refinance the loans via a DAI loan — the protocol’s algorithmic stablecoin. The bank has already created security tokens on the Ethereum blockchain representing these securities.
In a sign that retail was not completely uninvolved in the week’s bullish moves, Shiba Inu is back in the news. This followed a single Elon Musk tweet about his dog, Floki, which happens to be the same breed that inspired the SHIBA token and the most popular meme-coin DOGE. In crypto, one tweet has the potential to move the market, and this is exactly what happened this week as Elon’s tweet sent the market into a frenzy; SHIBA trading volumes soared. The SHIB token was up almost 350% at its peak, reaching a market cap of $13.7 billion and pushing the token up all the way to 12 on the market cap rankings. Unlike its biggest rival, DOGE, the anonymous team behind SHIBA recently launched its own decentralized exchange (DEX), giving the token some utility to back up its extraordinarily high valuation.
Indicators (01 October— 08 October)
- Invictus Margin Lending (IML): $1.28, +6.57% (weekly compound annualized rate)
- Crypto10 Hedged (C10): $7.57, +11.75%
- Crypto20 (C20): $4.76, +13.92%
- Invictus Bitcoin Alpha (IBA): $2.74, +19.12%
- Invictus Hyperion Fund (IHF): $0.492 (Updated Q2–21)
- Invictus Capital Token (ICAP): $10.54, -2.16%
- BTC: $53,793.33, +22.85%
- ETH: $3,587.81, +19.47%
- GOLD: $1,754.99, +0.10%
- S&P500: 4,399.76, +2.14%
Uniswap Liquidity Mining Program Extended
The liquidity mining incentives for the ICAP-ETH and C20-ETH Uniswap V2 liquidity pools will be extended for both the remainder of October as well as November.
Current approximate APYs:
ICAP-ETH ~23%
C20-ETH ~21%
Read more here.
The Invictus Podcast: Episode 6
Today’s hosts Gadi Chait and Jason Peckham welcome our guest, Matthew Graham the CEO of Sino Global Capital!
Watch the video here.
Invictus Yield Vault
Invictus Capital is thrilled to announce the public launch of the Invictus Yield Vault. The Yield Vault allows qualifying lenders the opportunity to lend a minimum amount of $25,000 BTC, ETH and/or Stablecoins for highly competitive interest rates to Invictus Alpha, Invictus Capital’s trading division.
The Vault is now seamlessly integrated into the investor portal on the Invictus Capital website! Prospective crypto lenders now have a single web location to effortlessly view Yield Vault information, crypto lending interest rates, FAQ information, and contact our Yield Vault Team.
To view our rates and contact our Vault team, please visit our landing page.
Borrow Against Your Crypto With Peace of Mind
Crypto users can now borrow against their crypto secure in the knowledge that their investment will not get liquidated.
Invictus Alpha (the trading company of Invictus Capital) has engineered a new product that is offering users the opportunity to borrow USD-based stablecoins (or BTC and ETH) against BTC and ETH with no risk of liquidation.
Check out the articles here and here. To inquire, please complete this form.
Other News & Links
- Invictus in the Press/News
1. Join discussions on “The Post-COVID #digitalcurrency War” with Matthew Finlayson, Co-Founder & Head of Product at Invictus at the @AIM_Summit in-person Dubai conference next week 11–12 October
2. The Yield Vault minimum was recently lowered to $25,000! - A Global Energy Crisis is Coming. There’s No Quick Fix
- SolStreet News
1. September Roundup - Shiba Inu Now 12th-Biggest Crypto After 367% Rise in Just a Week
- Quantfury News
1. Become a Quantfury Daily Gazette contributor and author articles on financial markets & lifestyle news for your fellow Quantfurians! If chosen to be published, get $250 in crypto added to your Quantfury account balance. Learn more here. - Société Générale Proposes Historic $20M DAI Loan in Exchange for Bond Tokens
- Syntropy News
1. Syntropy in September: Amber Chain, Smart Contracts, Staking Dashboard and more - September’s Jobs Creation Comes Up Short With Gain of Just 194,000
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