Our weekly Institutional Insights explores the latest market developments — market performance, industry news, exchange-traded fund (ETF) flows, trending topics, upcoming events and token unlocks — to help you supercharge your crypto trading.

 explores the latest market developments — market performance, industry news, exchange-traded fund (ETF) flows, trending topics, upcoming events and token unlocks — to help you supercharge your crypto trading.

Macro Overview — U.S. CPI Rises More Than Expected

The September U.S. consumer price index (CPI) report, released last Thursday, revealed that both the headline and core CPI exceeded forecasts by 0.1 percentage points, with the headline index rising by 0.2% and the core index increasing by 0.3%. Food prices significantly contributed to the stronger headline figure, despite declines in gasoline and broader energy costs, while rising service costs drove the core figure. Notable increases were observed in car insurance, medical care, clothing and airfares, with record jumps in specific categories such as college textbooks, sports tickets and jewelry. 

Year-over-year, the headline index increased by 2.4% in September, slightly down from 2.5% in August, while the core figure accelerated for the first time in 18 months, rising to 3.3% from 3.2%. Additionally, weekly jobless claims indicated a significant increase to 258,000, surpassing the median forecast of 230,000, likely influenced by recent hurricanes. This surge marked the highest level in over a year, prompting market reactions: stock futures fell, Treasuries rose, and the dollar remained stable. 

Meanwhile, as of 9:16AM in New York, two-year Treasury yields were down about 5 basis points at 3.97%, and interest-rate futures reflected growing confidence in a 25 basis-point Fed rate cut next month, influenced by the weak jobless claims data, while S&P 500 contracts dropped by 0.3%.

Weekly Crypto Highlight — HBO Claims Peter Todd Is Bitcoin Founder Satoshi Nakamoto

, filmmaker Cullen Hobak claims that Canadian Bitcoin developer Peter Todd is the elusive Satoshi Nakamoto. However, the evidence is inconclusive, drawing criticism from the Bitcoin community.

Todd, who contributed significantly to Bitcoin post-2012, including the replace-by-fee (RBF) protocol, is questionable as a potential creator due to inconsistencies in the evidence.

Reasons Peter Todd Is Likely Not the Inventor of Bitcoin

Many in the Bitcoin community, including experts and analysts, have expressed skepticism about the documentary's claims. Peter Todd himself responded with amusement, suggesting viewers will find the allegations humorous.

Total Bitcoin Spot ETF Flows.Source: CoinGlass, as of Oct 11, 2024

Bitcoin remained above $60K over the past week, buoyed by stronger-than-expected CPI data that triggered significant outflows on Thursday. While "Uptober" hasn't yet materialized this year, there's still time for a potential turnaround. In the meantime, Bitcoin's prospects on Polymarket are gaining traction, which could provide a boost to the leading cryptocurrency. Additionally, HBO's documentary claiming to reveal Satoshi's identity had no effect on Bitcoin's price movement.

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Weekly Institutional Insights — HBO Claims Peter Todd Is Bitcoin Founder Satoshi Nakamoto

In this article, we'll go through how you can use bbSOL on Raydium.

 within the Raydium ecosystem can significantly enhance the way you manage and grow your digital assets. This guide details how to effectively use bbSOL, a 

) that operates on the Solana blockchain, renowned for its rapid transaction capabilities and innovative yield-generation features. 

It’s unique among AMMs for its initial design as a hybrid model that can efficiently manage liquidity not just within its own pools, but across a broader ecosystem. 

Although originally intended to share liquidity with external 

, Raydium's pools now operate under a "Swap Only" model, focusing entirely on internal liquidity to optimize trading conditions within the platform.

Raydium stands out in the DeFi landscape for several reasons: 

: Connect your wallet by clicking on the 

button at the top right corner of the page.

: Input a token mint/pool address/ticker in the search bar or browse the pool list, then click on 

 Set your ideal price range which will decide the deposit ratio.

 Enter the amount you want to deposit in one of the highlighted fields. The other values will automatically adjust to match the deposit ratio you set.

. Then you can check your positions and harvest your yield!

bbSOL offers a versatile approach to earning staking rewards on Solana while maintaining liquidity. By using bbSOL, you can optimally manage your assets and enhance your potential returns. This guide provides the foundational steps to effectively utilize bbSOL on Raydium, ensuring you’re well-equipped to navigate this dynamic segment of the DeFi ecosystem.

Beginner

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How to Use bbSOL on Raydium

In this article, we'll go through how you can use bbSOL on Orca.

 (DeFi) can be as exciting as it is complex, especially with 

 reshaping our approach to cryptocurrency investments. In this tutorial, we’ll walk you through using bbSOL on Orca, ensuring you harness the full potential of this unique offering on one of 

 stands out in the Solana ecosystem as a 

 celebrated for its user-centric design and efficient trading mechanisms. It was crafted by DeFi veterans to enhance trading and liquidity provision experiences, catering to both novice and seasoned users. 

With a commitment to transparency and security, Orca has cultivated a reputation for reliability and innovation. Its distinctive feature, the Concentrated Liquidity Automated Market Maker (CLMM), not only enhances capital efficiency but also minimizes 

 for its users. This makes Orca an attractive platform for anyone looking to engage with the latest DeFi tools. 

CLMMs allow liquidity providers to allocate their capital to specific price ranges, significantly boosting the potential yields from transaction fees by focusing on areas with high trading volumes. This model offers several advantages over traditional constant product market makers (CPMMs), including:

Orca also emphasizes community and playfulness, fostering a belief that interacting with DeFi can be both fun and rewarding. This ethos motivates continuous innovation and improvement of Orca’s offerings, keeping it at the forefront of the DeFi space. Orca's approach democratizes financial tools by enabling permissionless pool creation, which allows anyone to start pools and implement strategies that align with their own financial goals. Advanced features supported by Orca's CLMM, such as mimicking 

 and optimizing for anticipated market movements, provide users with sophisticated tools typically found in traditional finance settings, thus enhancing user engagement and satisfaction.

Don’t have bbSOL? You can choose to get bbSOL here or find out how to do so here.

: Enter the amount you want to deposit in one of the highlighted fields. The other values will automatically adjust to match the deposit ratio for a full-range position

:Adjust your liquidity slippage by clicking on the 

: Check your positions and harvest your yield!

Navigate to your portfolio by clicking on the 

Click on the corresponding ellipsis button (...) of the position you would like to harvest yield from.

If you have multiple positions and you would like to harvest yield from all of them, simply click on the 

Review the details in your wallet including payable network fees and click 

Congratulations, you’ve successfully harvested your yield!

For Advanced LPs: How to Use bbSOL on Orca

Look for the pool you would like to add liquidity to either by scrolling down the list of pools or by searching in the search bar.

Click on the pool you would like to add liquidity too and the 

You can now amend your range according to how you’d like by dragging the sliders, selecting a preset 

 range, free-typing the prices in the lower and upper fields, and using the 

 buttons in the lower and upper fields. 

Input the amount you wish to deposit and the other values will automatically adjust to match the required deposit ratio for your chosen range.

toggle to automatically trade between the paired tokens to match your desired deposit. Alternatively, you can click on 

to deposit that quantity of tokens from your Wallet.

Adjust your liquidity slippage by clicking on the 

Utilizing bbSOL on Orca can open up new avenues for earning via staking while maintaining access to your assets for trading or other DeFi activities. This guide aims to help you navigate the integration of bbSOL into your cryptocurrency strategy, maximizing the potential of your investments while acknowledging the risks of inherently volatile cryptocurrency markets.

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How to Use bbSOL on Orca

FX investments encompass various instruments, such as spot transactions, forward contracts, currency options and ETFs.

Foreign exchange (FX) investments involve trading currencies in the foreign exchange (forex) market, the largest and most liquid financial market globally, with a daily trading volume exceeding $7.5 trillion. Investors engage in FX trading for various reasons, including speculation, hedging against currency risk and portfolio diversification. Understanding the mechanics of FX investments and the factors that determine exchange rates is crucial for effective trading strategies.

Spot transactions involve the immediate exchange of currencies at the current market rate. This is the most straightforward form of FX trading, with trades typically settled within two business days. Spot prices fluctuate continually based on supply and demand dynamics in the market.

A forward contract is an agreement to exchange a specific amount of currency at a predetermined rate on a set future date. This type of instrument allows investors to hedge against unfavorable currency movements. For example, a company expecting to receive payments in a foreign currency can lock in an exchange rate to protect its profit margins.

Currency options provide investors with the right, but not the obligation, to buy or sell a currency at a predetermined price before or on a specific date. Options can be used for hedging or speculative purposes, allowing flexibility in trading strategies. For instance, an exporter might use a currency option to protect against a decline in the value of the currency they’ll receive.

Currency-focused ETFs allow investors to gain exposure to FX markets without directly trading currencies. These types of funds track the performance of a specific currency (or a basket of currencies), making them an accessible option for those looking to diversify their portfolios.

Futures contracts are standardized agreements that obligate the buyer to purchase (and the seller to sell) a specific amount of currency at a set price on a future date. Although these types of contracts are similar to forward contracts, they’re regulated and traded on exchanges, providing more transparency and liquidity.

In a currency swap, two parties exchange principal and interest payments in different currencies. This can be an effective way for companies to manage currency exposure and facilitate cross-border financing.

For crypto enthusiasts, there’s great news: you can now trade gold directly on Bybit! 

 provides access not only to cryptocurrencies and forex, but also to contracts for difference (CFDs). Following are the exceptional benefits offered by MT5 on Bybit:

FX rates are influenced by a complex interplay of factors, broadly categorized into economic indicators, market sentiment, geopolitical events and central bank policies.

Interest rates are a critical factor in determining currency’s perceived value, highlighting the importance of understanding how central banks set monetary policy. Inflation significantly influences these decisions, as moderate inflation is linked to economic growth, while excessive inflation can lead to rate adjustments that impact currency strength. Interest rate hikes generally slow economic growth, but they also strengthen the currency, whereas interest rate cuts encourage borrowing and spending. 

Traders focus more on expected future interest rates than on current rates, anticipating shifts in monetary policy that could signal currency movements. Interest rate differentials are also crucial, as an increasing differential typically favors the higher-yielding currency, while a narrowing one supports the lower-yielding currency. Additionally, the distinction between nominal and real interest rates is important, with markets prioritizing real rates that account for inflation. 

Finally, sudden changes in economic reports can drastically alter interest rate expectations and currency values, making it essential for traders to remain informed about financial news.

Inflation affects purchasing power and currency value. Low inflation rates typically correlate with a stronger currency, as they indicate stable economic conditions. Conversely, high inflation can erode a currency’s value. For instance, if the U.S. experiences rising inflation while the Eurozone remains stable, the U.S. dollar may weaken against the euro.

Interest rates and inflation are closely linked, impacting currency values in the forex market. When inflation rises, central banks typically increase interest rates to control price levels and stabilize the economy. Higher interest rates make borrowing more expensive, which can reduce consumer spending and investment, ultimately slowing economic growth. However, such an environment attracts foreign investors seeking higher returns, leading to increased demand for the domestic currency. For instance, in India, a rise in interest rates can boost the value of the Indian rupee as foreign investors convert their currencies to invest locally.

Consider the inflation spike in India, which has resulted in a significant depreciation of the Indian rupee against major currencies. Traders who anticipated this trend and adjusted their portfolios accordingly achieved substantial profits. The following table illustrates how interest rate adjustments correlate with currency value changes during inflationary periods.

The relationship between inflation and currency values is generally inverse. Higher inflation levels can diminish a currency's competitiveness in global markets, leading to a decline in demand for that currency. For example, if India's inflation rate is 5% while Russia's is 2%, India's real exchange rate would be 3% higher than Russia's, even if nominal rates remain unchanged.

Key economic indicators provide insights into a country's economic health, and also influence FX rates.

The fundamental economic principle of supply and demand plays a crucial role in how trade balances influence currency exchange rates. When a country experiences a trade surplus, this indicates that demand for its goods and services is exceeding that in other countries. The resulting heightened demand for the nation's currency increases its value relative to other currencies. On the other hand, a trade deficit suggests lower demand for the country's currency, which can lead to a decline in its value.

Political Stability and Economic Performance

Countries with political stability and sound economic policies attract foreign investment. Political uncertainty — such as fraught elections or governmental instability — can lead to currency depreciation as investors seek safer assets. For example, political turmoil in a country can lead to capital flight, weakening its currency.

Traders’ perceptions play a significant role in FX markets. Sentiment can be influenced by news events, economic reports and geopolitical developments. Positive sentiment can drive demand for a currency, while negative news can lead to sell-offs.

Geopolitical events, economic crises and natural disasters can create volatility in FX markets. For instance, tensions in the Middle East or economic downturns can lead investors to seek safe-haven currencies, such as the U.S. dollar or Swiss franc, impacting exchange rates.

Understanding FX Investments and Determinants of FX Rates

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Unlocking FX Investments: Determinants of Currency Rates, and Trading With Bybit MT5

Crypto Insights

This curated Bybit report examines the current state of liquid staking on Solana, particularly exchange-launched liquid-staked SOL, including Bybit’s bbSOL

Solana Liquid Staking Report

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This curated Bybit report examines the current state of liquid staking on Solana, particularly exchange-launched liquid-staked SOL, including Bybit’s bbSOL. Key takeaways include

 (PoS) arena, is witnessing a transformative shift toward liquid staking. This innovative approach 

 by allowing users to earn rewards while maintaining liquidity. On Solana, users stake their SOL tokens by delegating them to validators. This process secures the network and yields an average return of 6–7%. However, liquid staking elevates this experience by enabling SOL to be pooled across multiple validators, which not only increases decentralization but also provides participants with liquid staking tokens (LSTs). These tokens serve as on-chain receipts for staked assets, which can then be utilized across various 

 (DeFi) protocols, allowing users to trade or to earn additional yields.

Despite Solana's impressive staking ratio of 68%, liquid staking adoption remains relatively low, with only 6.5% of SOL staked through this method. This presents a significant growth opportunity, especially when compared to Ethereum, where nearly one-third of staked assets are through liquid staking. As the DeFi landscape expands, Solana's liquid staking market is projected to grow significantly, potentially reaching a size of $6-10 billion in the near future.

Bybit is poised to make a significant impact on Solana's liquid staking landscape with its launch of Bybit Staked SOL (bbSOL). 

As the first exchange to introduce its own Solana LST, Bybit aims to bridge the gap between casual retail investors and the broader DeFi ecosystem. bbSOL will provide users with a seamless liquid staking experience, allowing them to easily swap SOL for bbSOL and earn staking rewards of up to 7% APY.

The rapid rise of memecoins on Solana has not only attracted retail investors but also sparked broader interest in the blockchain's DeFi capabilities. With over $57 billion worth of SOL staked, Solana is outpacing Ethereum in native staking participation. Yet, the liquid staking segment remains largely untapped. Bybit's upcoming liquid staking solutions could play a pivotal role in bridging this gap, offering user-friendly platforms that help onboard retail investors into the burgeoning liquid staking market.

Market estimates suggest that if Solana's liquid staking ratio increases to match Ethereum's, the market size could reach as high as $18 billion. This growth is underpinned by a favorable environment for DeFi applications, driven by increased transaction volumes and user engagement. The introduction of products like Bybit’s bbSOL is expected to facilitate this transition, providing users with easy access to liquid staking benefits and enhancing their participation in Solana’s DeFi ecosystem.

Several key players are shaping the liquid staking landscape on Solana, each one offering unique features and benefits.

: Currently dominating the market with nearly $1.8 billion in SOL staked, Jito's MEV-focused stake pool enhances staking rewards by distributing SOL across a network of validators. Its jitoSOL token offers an attractive APY of 8.4%.

: As Solana's first liquid staking provider, Marinade has over $580 million in market cap. It optimizes staking rewards by automatically delegating staked SOL to the best validators, and offers an APY of 7.4%.

: Known for its focus on decentralization, BlazeStake has a large validator set and offers a Custom Liquid Staking protocol. Its bSOL token provides an APY of 7.36%, along with potential airdrops from other Solana ecosystem tokens.

: Innovating with its multi–LST pool concept, Sanctum allows seamless swaps between different LSTs, increasing liquidity options within the ecosystem.

The above players are pivotal in driving the adoption and development of liquid staking on Solana, each one contributing to a diverse and evolving marketplace.

Solana Liquid Staking: Driving Solana to the Next Phase of Mass Adoption

Grab Up to 5,000 USDT in Rewards

Grab Up to 5,000 USDT in Rewards