FameEX Morning Crypto News Recap | May 16, 2024

El Salvador Harnesses Volcanic Geothermal Energy to Mine 474 Bitcoin

Since 2021, El Salvador has successfully mined 474 Bitcoin, worth $29 million, using geothermal energy sourced from the Tecapa volcano. The operation employs 300 processors and draws 1.5 megawatts (MW) from the 102 MW produced by a state-owned power plant, showcasing the country's pioneering use of renewable energy in cryptocurrency mining.

Oklahoma's New Crypto Legislation Protects Miners and Implements Blockchain Framework

On May 13, Oklahoma Governor Kevin Stitt signed a law creating a blockchain legal structure and protecting cryptocurrency miners. The law bars state restrictions on using digital assets for legitimate transactions or self-custody and guarantees that digital assets used for payments won't incur additional taxes or fees compared to conventional payment methods.

CPI Data Released Early by U.S. Bureau of Labor Statistics

The U.S. Bureau of Labor Statistics disclosed that CPI data scheduled for Wednesday release was inadvertently published 30 minutes early due to files being uploaded prematurely to their website. A comprehensive investigation is underway to determine and rectify the cause of this early release.

Fed Governor Michelle Bowman Advocates for Joint State and Federal Regulation of Stablecoins

On May 16, Federal Reserve Board Governor Michelle Bowman advocated for a collaborative approach between state and federal governments to regulate stablecoins. Speaking at the DC Blockchain Summit, Bowman stressed the importance of unity in regulation as lawmakers craft pertinent legislation, highlighting the necessary roles at both state and federal levels in managing stablecoin oversight.

The Federal Reserve's rate cut has led to a significant sell-off of the dollar, setting the stage for gold prices to potentially surge to record highs

Institutional analyst Adam Button observed that the latest US CPI report could lead to another Federal Reserve rate cut, sparking a significant sell-off of the dollar and boosting gold demand. This resulted in gold prices jumping over $30, hitting an intraday peak of $2,390, the highest since the end of April.

Market Rebound Potentially Sparked by Slowing U.S. Retail Sales

Analyst Joseph Richter indicated that the market's swift rebound is likely driven more by a significant slowdown in U.S. retail sales than by CPI figures that met expectations. He highlighted that retail sales data have preceded commodity CPI as a leading indicator for several months, greatly influencing market directions.

Disclaimer: The information provided in this section is for informational purposes only, doesn't represent any investment advice or FameEX's official view.​