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S&P Global Report Says EU and UK Are in a Recession, Putin Thinks the West Is Greedy

<div>S&P Global Report Says EU and UK Are in a Recession, Putin Thinks the West Is Greedy</div>Today’s blustery global economy has everyone on edge as inflation has wreaked havoc on the wallets of ordinary people and energy prices continue to soar worldwide. According to Credit Suisse, “the worst is yet to come,” as the global investment bank’s analysts believe the European Union (EU) and the U.K. are already dealing with a […]

Bitcoin Technical Analysis: BTC Consolidation Points to Potential Shifts Ahead

Compound Treasury receives B- credit rating from S&P Global Ratings

Though the protocol offers an arguably lucrative yield of 4% per year, it's only available to accredited investors as of now.

On Monday, decentralized finance, or DeFi, protocol Compound Treasury announced that it received a credit rating of B- from S&P Global Ratings. As told by the team at Compound, this represents the first time a major credit agency has issued a rating for an institutionalized DeFi protocol. The S&P Global Ratings' investment suitability scale ranges from AAA (extremely strong) to D (in default). A score of B- indicates the issuer can meet financial commitments, though vulnerabilities to business, financial and economic conditions persist. 

Regarding Compound's rating specifically, S&P Global cites the uncertain regulatory regime for stablecoins such as USD Coin (USDC), stablecoin-to-fiat convertibility risks and the Treasury's "limited capital base" along with a 4.00% per annum return obligation for the decision. However, the rating agency says that the Compound protocol's record of zero losses measured in USDC partially mitigates the risks of the offering.

With regards to the development, Compound Treasury's general manager Reid Cuming commented "S&P's rating helps our institutional clients more easily understand the opportunity and risks of crypto-powered cash management." As part of ongoing discussions with S&P Global, Compound Treasury's ratings could be upgraded in the event of greater regulatory clarity for digital assets or a longer track record of solid performance.

The Compound Treasury and its yield is supported by its underlying DeFi lending Compound protocol. At the time of publication, 301,650 suppliers have injected $6.94 billion worth of digital assets into the protocol, while 9,275 borrowers have taken out $1.83 billion worth of loans. While above the savings rates of major U.S. banks, the yield from Compound Treasury is only accessible to accredited investors or those meeting significant income and net worth thresholds. 

Bitcoin Technical Analysis: BTC Consolidation Points to Potential Shifts Ahead

S&P Global Ratings Study Predicts Crypto and Decentralized Finance Will Continue to Grow in 2022.

<div>S&P Global Ratings Study Predicts Crypto and Decentralized Finance Will Continue to Grow in 2022.</div>S&P Global, an intelligence and data company, suggests that crypto and decentralized finance trends will continue to gather steam in 2022. In its latest report, the company examines the current state of the market and notes that, while there are still serious problems that could hinder adoption, the sector will keep growing by complementing traditional […]

Bitcoin Technical Analysis: BTC Consolidation Points to Potential Shifts Ahead

Decentralized Finance Won’t Substitute Traditional Financial System, According to S&P Global Report

Decentralized finance (DeFi) will continue to complement the traditional finance system rather than supplant it in 2022, says a report by financial information and analytics provider S&P Global. According to the firm’s Global Credit Outlook for 2022, the traditional finance sector will need to innovate and invest to remain relevant in the coming twelve months. […]

The post Decentralized Finance Won’t Substitute Traditional Financial System, According to S&P Global Report appeared first on The Daily Hodl.

Bitcoin Technical Analysis: BTC Consolidation Points to Potential Shifts Ahead

The Big Three Credit Agencies Critique El Salvador’s Bitcoin Adoption — S&P Global Warns of ‘Immediate Negative Implications’

<div>The Big Three Credit Agencies Critique El Salvador’s Bitcoin Adoption — S&P Global Warns of ‘Immediate Negative Implications’</div>All of the ‘Big Three’ credit agencies have said that El Salvador’s adoption of bitcoin could affect the country’s credit rating in a negative manner. After both Moody’s and Fitch Ratings published reports on the matter in El Salvador, S&P Global said that the bitcoin adoption has had “immediate negative implications for its credit rating.” […]

Bitcoin Technical Analysis: BTC Consolidation Points to Potential Shifts Ahead

More Stimulus Coming? President Biden and Senate Democrats Press for Another $3 Trillion

More Stimulus Coming? President Biden and Senate Democrats Press for Another  TrillionOn the heels of the last stimulus package, U.S. President Joe Biden is creating more legislation that may lead to a massive $3 trillion package dedicated to domestic needs and infrastructure. The recent discussions with Biden and Senate Democrats honed in on the political party’s “Build Back Better” campaign. The recent stimulus talks have a […]

Bitcoin Technical Analysis: BTC Consolidation Points to Potential Shifts Ahead