In a recent statement, the International Monetary Fund (IMF) has recommended that the US Federal Reserve continue raising interest rates for an extended period to effectively address the issue of inflation. Additionally, the IMF has urged the Biden Administration to adopt stricter fiscal policies in order to reduce the federal debt burden. IMF Managing Director Kristalina Georgieva emphasized the need for the US Congress to establish an alternative approach to regulating debt, thereby eliminating the risk of debt ceiling brinkmanship, by incorporating it into the annual appropriations process.

US Fed Remains Committed to Rate Hikes, Targeting Over 6% Rate; Market Anticipates June Increase

US Federal Reserve officials have expressed their intention to maintain a steady course of rate hikes, dismissing the possibility of a pause or shift in policy. Their focus lies on raising the federal funds rate beyond its current range of 5% to 5.25%, with a target exceeding 6%. The rationale behind this stance is bolstered by recent economic indicators, including the annual PCE core inflation, the Fed's preferred measure, which surpassed expectations at 4.7% in April. Additionally, the tight job market further supports the case for continued rate increases.

Market sentiment aligns with expectations of a 25 bps rate hike in June, as indicated by the CME FedWatch Tool. The probability of such a rate hike has surged to 64%, up from 17% just a week ago.

On the fiscal front, a bipartisan agreement between President Biden and Representative McCarthy has been reached to raise the debt ceiling for a two-year period. The final details are being fine-tuned before the debt default deadline. As a result, the US Treasury Department's cash balance has declined significantly from $316 billion earlier in May to $38.84 billion.

Correction Expected in Stock and Crypto Markets as US Treasury Issues Treasury Bills, Bitcoin Vulnerable to US Dollar Liquidity Crunch

In the upcoming weeks, the stock and crypto markets are anticipated to enter a correction phase following the US Treasury Department's plans to issue $600-$700 billion in Treasury bills. This shift in focus towards Treasury bills is likely to divert attention away from equities and cryptocurrencies. As a result, Bitcoin may experience a temporary decline before rebounding after a few weeks, primarily due to a US dollar liquidity crunch.

The US dollar index (DXY) witnessed a surge above 104.25 on Friday following the release of the PCE inflation data. Investors are advised to closely monitor the US dollar and treasury yields, as Bitcoin tends to move inversely to these factors.

#coingabbar #bitcoin #BTC #feedfeverchallenge #cryto2023

Assalamu allaikum and greetings fellow crypto enthusiasts and Islamic Coin Maxis! Today, we're diving into the dynamics of ISLM's supply, distribution, and the power of staking on HAQQ Network.

What is Staking?

Staking involves locking your ISLM coins by bonding them to validators. These validators maintain the HAQQ Network, and by bonding your coins, you delegate voting power to validators. This also turns you into a delegator, granting you the ability to earn rewards and participate in network governance through the Tendermint BFT consensus mechanism.

The Mainnet Launch and Minting

Upon HAQQ Mainnet launch, new coin minting is temporarily halted. This is part of a strategy called Proof of Authority consensus, where the Core Team controls a limited set of validators. This approach ensures proper testing of Century Coinomics and familiarizes the HAQQ community with staking and validator operation.

The HAQQ public Testnet, however, will be launched with Proof of Stake and minting enabled. After evaluation and stability confirmation, minting will be activated on the Mainnet. This expansion also involves transitioning from the Core Team's restricted validator set to an open set.

$ISLM Distribution and Supply

As minting resumes, every block generates new ISLM coins along with collected gas fees. These are distributed among validators, delegators, and the Evergreen DAO:

- 10% goes to Evergreen DAO
- 1% to 5% benefits a block proposer and its delegators
- The remainder is proportionally divided among bonded validators and their delegators.

Delegator rewards are based on the amount of their delegation relative to the total, including the validator's self-delegation.

ISLM Supply and Era

The supply of ISLM is capped at 100 billion coins. Each Era, which spans 2 years, sees a 5% reduction in emission rate. Emission stops 100 years from the first block of the first Era. The initial Era mints 4.33% of coins, followed by 4.12%, and the 9th Era sees 2.87% minted. Over 50% of the total supply is minted by the 9th Era's end, including the initial 20 billion supply. The 50th Era concludes with 100% (100 billion ISLM) minted.

Initial Supply Breakdown

The initial 20 billion supply breakdown:
- 2 billion for the Evergreen Foundation
- 5.5 billion for Partners (boards, initial supporters, promoters, market makers)
- 4 billion for Initial Private Sale to qualified investors
- 5.5 billion for Business reserve and ecosystem development fund
- 3 billion for Founders Reward

Coins dedicated to the Evergreen DAO remain
locked until deployment on Mainnet #BTC #USTC #cryto2023 #crytocurrency