FMG Market Watch: Ants Joining RWA AI and RWA Will Be a Trend

Source: Future Money

The continuous popularity of AI and the rise of RWA concept, these two tracks closely related to DEP will become the mainstream of Web3 in the second half of the year.

encryption market summary

During the two weeks from August 16th to September 1st, BTC tested upwards from the $57,000 mark, reaching a high of $64,668 on August 26th, then quickly fell to around $58,000, and subsequently stabilized around $60,000. One of the reasons for the significant fluctuation is the sale of BTC and tokens by large institutions such as Mt.Gox and the US government, which has exacerbated market fluctuations. Although the likelihood of a rate cut has greatly increased, uncertainty still exists. In addition, the arrest of Telegram founder Pavel Durov has brought political concerns to Web3, causing fluctuations in BTC prices.

2. Several important asset target indices in the financial sector have broken through key support levels, and there will be a trend change in the future. With the premise of the confirmed interest rate cut expectation, an optimistic outlook can be given.

3. Several obvious trends have emerged in the entire Web3 industry:

4. The AI heat continues, and the rise of the RWA concept. These two tracks closely related to DEP will become the mainstream of Web3 in the second half of the year, and will also bring more gameplay and value empowerment to DEP;

5. The attitude of global regulation towards Web3 is still unclear, but the trends towards compliance and centralization will become more and more intense, and matching tracks such as DePIN and RWA will also emerge.

6. Although the exact timing of the interest rate cut is not yet clear, the probability is increasing, which is worth paying close attention to in the second half of the year.

A Market Overview

1.1 FutureMoney Group DePIN Index

FutureMoney Group DePIN Index is a high-quality combination Token index constructed by FutureMoney, selecting the most representative 24 DePIN projects. Compared to the last report, it has pumped 9.8%, with HNT and RENDER showing strong trends, and the DePIN concept has a reversal upward trend.

1.2 Crypto Market Data

From August 16th to September 1st, Stable Coin Market Cap rose by $2.6 billion, rising by 1.6%. The proportion of BTC in the total Market Cap of encryption has slightly increased, reaching 56.24%.

Observing the changes in the Coinglass contract position trend, the overall sentiment is slightly bullish. As of now, the long ratio is 53%, the short ratio is 47%, and the Long-Short Ratio is 1.13. The overall panic sentiment is gradually stabilizing. From August 13th to August 28th, there were 9 days of net inflows and 3 days of net outflows in the past 12 days, showing an overall net inflow trend, with a cumulative inflow of 478 million US dollars.

1.3 Macro data and market reactions to market judgments

Macro:

From a macro perspective, the key assets in the TradFi market (such as gold, oil, government bonds, and the US dollar) continued their positive trend in the first half of August and approached the critical support level. This indicates that the macro economy may be on the verge of major changes, but the comprehensive impact of these changes may take several months to materialize. In addition, the US consumer confidence index rose from 101.9 in July to 103.3 in August, but rapid rise in debt levels has raised concerns in the market.

Against this backdrop, the weekly unemployment claims data and monthly non-farm payrolls data will have an increasing impact on the Web3 industry. In this case, Bitcoin (BTC) could potentially be the main beneficiary. Therefore, market participants should closely follow these economic indicators and adjust investment strategies in a timely manner.

encryption aspect:

Despite the favorable net inflows of BTC (BTC) assets, the US ETH Square ETF has seen five consecutive days of outflows, marking the longest outflow period since the product was launched on July 23. As of August 22, the total outflow of funds from the ETH ETF has exceeded $2.52 billion.

Zones worth layout:

DePIN, Decentralized Finance, and RWA, especially zones that are associated with important physical or financial targets such as gold, US Treasuries, and real estate, should be taken seriously. Similarly, AI zone is a very grand narrative. Although the US stock market has to some extent burst the AI bubble in the recent past, Nvidia’s strong performance and the development prospects of AI are worth being optimistic about the future development prospects over the next five years.

Two, Hot Market News

2.1 NVIDIA’s financial report exceeds expectations, with a second quarter revenue of $30 billion, a rise of 122% year-on-year

On August 28, after the US stock market, Nvidia released its second quarter financial report. The data shows that the company achieved a revenue of $30 billion in the quarter, far higher than the market’s expected $28.86 billion, a rise of 122% year-on-year. In terms of net profit, Nvidia achieved earnings of $16.59 billion, exceeding the market’s expected $14.64 billion, a rise of 168% year-on-year.

From the annual performance, Nvidia’s stock price has remained the leader in the market since the beginning of the year. Whether it is the absolute advantage in the field of artificial intelligence or the continued expansion in the data center and high-performance computing market, Nvidia’s fundamentals remain solid. This not only reflects its unshakable leading position in the industry but also revitalizes the broader stock market and the encryption Token market related to artificial intelligence to a large extent.

2.2 Ant Group launches the first domestic new energy with tangible asset RWA in Hong Kong

Langxin Group has partnered with Ant Group to complete the first domestic RWA project based on new energy physical assets in Hong Kong. Xindian Road, a subsidiary of Langxin Group, serves as the operator and service provider of the new energy digital platform, and some charging piles operated on the platform are used as RWA-anchored assets. This project is issued on the ETH network, and Langxin Group has obtained a financing of 100 million yuan through this project. This marks the birth of the first domestic new energy physical asset RWA, and also signifies the opening of a new capital channel.

At the same time, RWA has a natural advantage in fitting with DePIN, which is committed to connecting with the real world, and the two can complement each other to a large extent, and even transform each other. This provides broad prospects for the future integration and development of both parties’ Depth.

Three, encryption市场热点

Japanese Prime Minister Fumio Kishida stated at the WebX 2024 conference that he will fully support the development of the Web3 industry

At the WebX2024 conference on August 28, Japanese Prime Minister Fumio Kishida delivered an important speech, clearly expressing Japan’s determination to become a leader in the Web3 innovation field. He emphasized Japan’s positive attitude in promoting the development of this field, including an important reform of abolishing taxation on unrealized encryption asset gains, which is expected to greatly boost domestic investment enthusiasm for Web3 enterprises. Through these efforts, Japan is actively positioning itself as a global center for blockchain innovation.

He also sees Web3 as an important part of Japan’s economic strategy, emphasizing the huge potential of Web3 in disrupting and reshaping various industries. This potential aligns closely with the Japanese government’s economic reform objectives.

3.2 MakerDAO upgrades to Sky Protocol, further moving towards centralization and compliance

MakerDAO recently announced its rebranding plan, changing its name to “Sky” and making a series of upgrades to its core products. Among them, the original DecentralizationStable Coin DAI was renamed to USDS, while the governance Token MKR was upgraded and split into SKY. Stable Coin USDS is obtained through a 1:1 exchange with DAI. In addition, users can also exchange ETH, USDC, and USDT on the Sky.money website. Users can obtain SKY Token by depositing USDS on the official website Sky.money.

It is worth mentioning that the series of upgrades of Sky Protocol shows its tendency towards centralization. The legal terms of Sky Protocol also include Compliance content such as regional restrictions, sanction transaction restrictions, and VPN tool restrictions, further indicating its move towards stricter Compliance standards.

Four, Regulatory Environment

Since the latter half of August, global regulatory agencies represented by the US government have increasingly tightened their stance on cryptocurrency. One of the landmark events was the arrest of Pavel Durov, the founder of Telegram, but Pavel has been released on bail at present.

At the same time, the U.S. Securities and Exchange Commission (SEC) also issued a Wells notice to Opensea, the world’s largest Non-fungible Token trading market. This means that Opensea may face litigation for suspected violations of securities laws, reflecting the strict attitude of U.S. regulatory agencies in the Cryptocurrency and Non-fungible Token field.

In addition, in South Korea, the ‘Virtual Asset User Protection Act’ officially took effect on August 20, significantly reducing the number of new coins listed on the country’s major Cryptocurrency exchanges. Industry analysts believe that the implementation of the new law strengthens regulation, directly affecting the listing pace of new coins in the market.

These events collectively indicate that regulatory authorities around the world are increasing their regulatory efforts in the field of cryptocurrency and its related areas. This trend may continue in the future and further impact the development of the market.

The content described in this article does not constitute investment advice. Before making any investment decisions, you should consider your financial situation, investment objectives and experience, risk tolerance, and the ability to understand the nature and risks of the relevant products.