Morgan Stanley has indicated that if Kevin Warsh assumes the role of Federal Reserve Chair, his tendency to reduce public communication could heighten volatility in the U.S. Treasury market. According to PANews, Warsh, who served as a Federal Reserve governor from 2006 to 2011, advocates for investors to independently assess economic conditions and policies rather than relying on the Federal Reserve's perspectives. Morgan Stanley's analysis suggests that Warsh might favor a smaller Federal Reserve balance sheet, potentially leading to an increase in long-term Treasury yields and a steepening of the yield curve compared to short-term yields. Additionally, he may reduce communication with the market, such as cutting back on media interactions before Federal Open Market Committee meetings and possibly eliminating tools like the "dot plot" forecasts, which could increase the likelihood of policy surprises and elevate market uncertainty. However, some investors believe Warsh may focus more on data-driven decision-making and foster consensus within the Federal Reserve. Jeffrey Palma, head of multi-asset solutions at Cohen & Steers, noted that Warsh might be more inclined to respond to changes in data compared to other recent candidates.

Prediction markets are not a new concept; they achieve decentralization, and infrastructure and regulation unlock market potential, while uncertainty is becoming a key asset class in the financial market.

Morgan Stanley says a Federal Reserve led by Kevin Warsh could exacerbate volatility in the U.S. Treasury market due to reduced public policy communication. Since Warsh's nomination, traders have focused primarily on his stance on the size of the Fed's balance sheet or the appropriate level of policy rates. At Morgan Stanley, Hornbach and Tobias, among others, believe the former governor prefers a "smaller balance sheet," which could push up the yield curve relative to long-term Treasury yields. However, the bank believes a shift in communication style under Warsh's leadership could exacerbate investor uncertainty, which is key. This includes reduced interaction between Fed officials and the media, especially before FOMC meetings, and the potential cancellation of the "dot plot" or summary of economic projections. "The greater likelihood of surprises in monetary policy, and the reduced consensus among investors on the future path, should push up real volatility," Hornbach and Tobias said.

null source: https://x.com/CryptoKingKeyur/status/2018560985506947471

null source: https://x.com/BSCNews/status/2018560702466900036

The U.S. dollar index has recorded its most significant two-day rally in nine months, presenting a potential challenge for Bitcoin's recovery efforts. According to NS3.AI, the strengthening of the dollar generally creates headwinds for cryptocurrencies, which tend to move inversely to the dollar. This development could impact Bitcoin's performance as investors navigate the evolving financial landscape.

Aster announced on its X platform the launch of a precious metals trading contract promotion. Users trading metal trading pairs such as XAUUSDT and XAGUSDT can earn double rewards: a $1 million prize pool and S6 credits. The prize pool size is linked to total trading volume; when total trading volume reaches $10 billion, the prize pool will unlock to $1 million. User share is calculated based on their trading fees and open interest (OI). The promotion runs from 00:00 UTC on February 3rd to 23:59 UTC on February 8th, and is only open to Aster perpetual contracts or Binance Wallet (web version) users, excluding market makers.

Binance briefly paused withdrawals due to technical issues before restoring service within about 20 minutes, the exchange said on X. source: https://cryptonews.com/news/binance-withdrawals-resume-temporary-disruption/

CZ addressed several viral FUD stories around Binance, clarifying misinformation about Polymarket bets, Bitcoin sales, the supercycle narrative, and SAFU fund purchases. <p>The post Changpeng Zhao Responds to Recent FUD Around CZ and Binance first appeared on Crypto News And Market Updates | BTCUSA. </p> source: https://btcusa.com/changpeng-zhao-responds-to-recent-fud-around-cz-and-binance/

Jack Kong, CEO of Nano Labs, posted on X about the recent activities of a prominent investor, Laurent Zeimes, who began accumulating HYPE tokens when their price dropped to $22 a week ago. Zeimes' average acquisition cost was $24.36 per token. Currently, the price of HYPE has risen to $38, resulting in an unrealized profit of over $20 million on his 1.478 million tokens. The investor's ability to accurately time the market with substantial funds is noteworthy. However, there are concerns about the potential impact on market liquidity if Zeimes decides to liquidate his significant $56 million position. The ability of the market to absorb such a large sell-off without significant disruption remains uncertain.

According to the announcement from Binance, the platform will delist several margin trading pairs on February 6, 2026, at 06:00 (UTC). The affected pairs include both cross and isolated margin pairs. For cross margin pairs, the delisted pairs are KNC/BTC, COTI/BTC, BAT/BTC, DUSK/BTC, RLC/BTC, GRT/ETH, GLM/BTC, and KAVA/BTC. The isolated margin pairs to be removed are KNC/BTC, COTI/BTC, BAT/BTC, DUSK/BTC, JST/BTC, RLC/BTC, GRT/ETH, GLM/BTC, KAVA/BTC, and CTK/BTC. Effective immediately, users will not be able to transfer any assets of the mentioned pairs into their Isolated Margin accounts via manual transfers or Auto-Transfer Mode. Users with outstanding liabilities in these tokens can only transfer up to the amount of their liabilities, minus any collateral already available. On February 4, 2026, at 06:00 (UTC), Binance Margin will suspend isolated margin borrowing for these pairs. Subsequently, on February 6, 2026, at 06:00 (UTC), Binance Margin will close users’ positions, conduct automatic settlements, and cancel all pending orders for the specified cross and isolated margin pairs. These pairs will then be removed from Binance Margin. Users are advised to close their positions and transfer their assets from Margin Accounts to Spot Accounts before the cessation of Margin trading on February 6, 2026, at 06:00 (UTC). The delisting process may take approximately three hours, during which users will not be able to update their positions. Binance emphasizes that it will not be responsible for any potential losses incurred during this process. Users can continue trading the affected assets on other available trading pairs on Binance Margin.

Elon Musk, SpaceX, XAI, Artificial Intelligence: A SpaceX Investor's Perspective on the XAI Acquisition (Golden Finance) - Never doubt Musk's storytelling ability.

Prediction markets are not new; they have simply become decentralized, with infrastructure and regulation unlocking their potential, and uncertainty is becoming a financial asset class.

Nomura tightened risk controls at its crypto unit, Laser Digital, after trading losses at the business helped drive a 9.7% drop in fiscal third-quarter profit. The move followed a sharp crypto market crash after bitcoin’s October record high, which hit the unit’s trading positions.

The bad news is: we've been in a cryptocurrency winter since January 2025. The good news is: we're likely nearing the end of the winter, not the beginning.

A familiar chill is creeping back into the crypto markets. Trading screens are quieter, order books are thinning, and the stocks of major crypto exchanges are sliding sharply — evoking memories of past Bitcoin winters that followed periods of intense speculation.

On Monday local time, White House officials met with leaders of the crypto industry and major banking groups in an attempt to ease a key regulatory controversy over stablecoin holding yields.

In this vast arena of fame and fortune, candlestick charts are drawn for retail investors, while the real transactions are already written in the ballots.

Warsh's hawkish stance on inflation stemmed primarily from widespread concerns during the QE era after 2008, but the environment has since changed. Judging from his recent statements, expecting Warsh to be hawkish is unfounded.

The U.S. economy is facing a national crisis, but it is not the kind of crisis we've seen before. Unlike the persistent risk of high inflation caused by runaway government spending, the U.S. economy is being devoured by an expansionary deflationary force.