Hurricane Ida Threatens Stocks And Crypto As Cardano Founder Mocks Krugman

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Last Updated on 30 August 2021 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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The impact of hurricane Ida on New Orleans (and the state of Louisiana) will likely determine both stock and crypto performance as we ride out the month of August. The second of the major summer months saw a return to the $50k level for Bitcoin, the best known cryptocurrency.

With large portions of the cryptosphere now turning their attention to greener ways of mining, it will be interesting to see whether Bitcoin is considered as a safe haven or a tech stock as the market reacts to the hurricane aftermath.

At the time of writing, Bitcoin is trading around $48k.

Furthermore, according to a report in Cointelegraph, a retest of the $50k level also depends on the wording that Fed Chairman Jay Powell will use to discuss the tapering of the bond buys his institutions foresees further in the US.

Advertentie.

Banks Push Back Fed Money Access for crypto companies

A news story in the Wall Street Journal says that crypto companies are trying to get access to the Federal Reserve system to move monies around quickly. Traditional banks are holding back though, claiming that allowing crypto companies similar access as them to money and finance systems of the US state would bring a heightened risk.

It is reasonable to expect that such applicants will pose heightened risks regarding matters of anti-money-laundering, cybersecurity and consumer protection, as well as safety and soundness.

The Independent Community Bankers of America claimed.

I’m sure they aren’t worried about someone taking over their business or anything.

Hoskinson and Krugman

A few days ago, New York Times economical columnist and Nobel prize laureate Paul Krugman commented on a Bloomberg article which claimed that crypto doesn’t have to enable tax cheats. Krugman, a notorious Bitcoin basher, responded by saying:

Yes it does. Tax evasion and illegal transactions are still the only serious uses of cryptocurrency.

In return Cardano founder Charles Hoskinson reminded Krugman of an earlier comment of the former, by stating:

How’s that fax machine working Paul? Heard you traded the internet for it

This refers to Krugman’s now infamous statement of back in 1998, when the internet was born. Back then, the famed economist had said:

By 2005 or so, it will become clear that the Internet’s impact on the economy has been no greater than the fax machine’s.

That turned out differently of course.

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