Decentralized social networking app Damus, which enables users to send “tips” associated with receiving digital content creators’ content, has been told it may be removed from the Apple App Store for violating App Store Review Guidelines. Damus creator William Casarin may have to remove the “zap” feature in order to comply with regulations. This move has raised concerns among users about the future of apps with Lightning integration and peer-to-peer transactions on the Apple platform.
Meanwhile, Bitcoin’s supply on cryptocurrency exchanges has hit a three-year low of 6.4%, as investors choose to store their own BTC. Blockchain analytics firm Santiment believes this trend has been accelerated by the US Securities and Exchange Commission’s legal actions against Binance and Coinbase, which may have caused trust issues among some investors. Santiment also noted that the most significant withdrawals of BTC from exchanges came after the collapse of the FTX platform. This trend is likely to continue, giving BTC more protection from selling pressure.
The Federal Open Market Committee (FOMC) meeting of the US Federal Reserve is also expected to result in a pause in interest rate hikes for the first time since March 2022. The CME FedWatch tool currently indicates a 95.3% probability of no change. The Fed’s projection of future interest rate path, known as the “dot plot,” is likely to be a key indicator of market trends, with corrections upwards likely to drive equities down and the dollar index up, impacting cryptocurrencies accordingly. The Bank of Canada shows that the Fed may still increase rates after a pause, and hence today’s decisions may not necessarily bring improved market price trends.
As blockchain and cryptocurrency markets continue to fluctuate based on regulatory and market pressures, it will be increasingly important for developers and investors to stay up-to-date with industry trends and news. The decisions made by regulators, exchanges, and central banks will continue to shape the blockchain and cryptocurrency landscape in the near and long-term.