Crypto companies and other businesses with significant holdings of digital currencies will get long-awaited accounting rules to measure the value of the Bitcoin, Ethereum, and other crypto in their coffers, US accounting standard-setters unanimously voted Wednesday. Under new rules expected to be published by year end, companies that hold or invest in cryptocurrency will be required to report their holdings at fair value, a measurement that aims to capture the most up-to-date value of an asset—including rebounds in value after prices dip.
On Friday, we wrote about China rolling out “aggregate” or unified QR codes for payments that support the digital yuan central bank digital currency (CBDC) as well as Alipay, WeChat Pay and UnionPay QuickPass. This would quickly expand the number of outlets that support the CBDC. Now there are also plans for a Chinese wholesale CBDC. In a speech yesterday, Mu Changchun, the head of the central bank’s Digital Currency Research Institute, reiterated the QR code change, saying the digital yuan must be available for all retail scenarios.
Oil prices rose a dollar a barrel on Tuesday to their highest since November, after Saudi Arabia and Russia extended their voluntary supply cuts to the end of the year, worrying investors about potential shortages during peak winter demand. Brent crude futures rose by $1.04, or 1.2%, to settle at $90.04 a barrel, closing above the $90 mark for the first time since November 16, 2022. U.S. West Texas Intermediate crude (WTI) futures gained $1.14, or 1.3%, to settle at $86.69 a barrel, also a 10-month high. Investors had expected Saudi Arabia and Russia to extend voluntary cuts into October, but the three-month extension was unexpected.
Authorities in China and Japan are stepping up efforts to defend their currencies against a surging dollar that threatens to fan inflationary pressures. Japan on Wednesday issued its strongest warning in weeks against rapid declines in the yen, with its top currency official saying the nation is ready to take action amid speculative market moves. Shortly after, China’s central bank offered the most forceful guidance on record with its daily reference rate for the yuan, as the managed currency weakened to a level unseen since 2007.
Former president Donald Trump is facing ninety-one criminal charges as he seeks to win back the White House in 2024. The indictments are the latest battle in a roughly six-year crusade against Trump that first sought to remove him from power through the Twenty-Fifth Amendment, then with espionage charges and impeachments, and that now aims to block him from becoming president again. The mantra we hear from those in politics and media who support these efforts is that nobody is above the law. But there’s an entire class of people above the law. Or who at least act like they’re above the law—the political class. The hypocrisies of their effort to convict Trump and block him from holding office again reveal that the motivations are purely political—not born of some commitment to a higher moral or legal principle.