From March 10 to 14, the virtual asset market continued its bearish trend amid concerns about a U.S.-led economic recession and tariff conflicts. It is analyzed that U.S. President Donald Trump's remark on March 6 (local time) that 'the tariff decision is unrelated to the stock market and that he is not interested in market fluctuations' further dampened investor sentiment. By dismissing expectations that he would adjust tariff policies in consideration of the asset market situation, he revealed a determination to continue pushing for a hard-line stance, including the imposition of additional tariffs.
Amid this trend, selling pressure on global risky assets is also spreading. The Nasdaq index has fallen over 10% from its February peak, entering a technical correction phase, while the virtual asset market is also shaking along with it. Bitcoin has dropped more than 9% in one week, falling to $81,819 (based on the closing price on the 14th), and Ethereum has seen a decline of over 15% during the same period, recording around $1,862.
Choi Seung-ho, a researcher at the Research Institute, noted, 'There is a high possibility that the benchmark interest rate will be frozen at the Federal Open Market Committee (FOMC) meeting scheduled for March 20, but with recent slowdowns in employment and easing inflation dynamics, the likelihood of a rate cut in June has already significantly increased.' He further projected, 'If the tariff card of the Trump administration actually pressures corporate profits and consumer sentiment more, the economic indicators could deteriorate faster than expected.'
He stated, 'Although President Trump has said he will not consider the asset market, if the United States blindly prolongs the tariff war, it will inevitably be at a disadvantage; thus, if the economic slowdown becomes visible, Trump's hard-line stance is likely to shake, and consequently, the Federal Reserve will also likely increase the pace of rate cuts.' He added, 'Therefore, even if it feels somewhat tedious for the time being, it is necessary to keep an eye on the market with patience.'
◇ U.S. Senate approves stablecoin regulation bill
The U.S. Senate Banking Committee passed a new bill to regulate stablecoin issuers, known as the 'GENIUS Act,' with a vote of 18 to 6, increasing the likelihood of implementing stablecoin regulation at the federal level. During the bill's deliberation, there was fierce confrontation between the Democrats and Republicans, with Senator Elizabeth Warren labeling the bill as a 'threat to national security' and strongly opposing it. She particularly pointed out that World Liberty Financial, a virtual asset venture linked to former President Trump, intends to issue its own stablecoin in collaboration with Binance, the world's largest cryptocurrency exchange, criticizing this as 'a significant mistake.' In contrast, Republican lawmakers argued that 'clear regulation is necessary now, as discussions have been ongoing for several months.'
If the bill is ultimately passed, stablecoin issuers are likely to face new requirements including capital requirements, reserve transparency, and regulatory approval procedures. As stablecoins support critical areas such as payments, transactions, and loans in the virtual asset market, the industry landscape could change significantly. However, since the full Senate vote and House passage procedures remain, it is expected to take more time, and there is also speculation that both sides may attempt further compromises on specific clauses. The question of whether President Trump will give the final signature remains a variable, as industry players and investors keep an eye on both the expected benefits of increased market transparency from the regulation and concerns over stifling innovation.
If the bill is actually implemented, the speed of integrating stablecoins into the regulatory framework is expected to accelerate, and related corporations will face the new challenge of compliance costs and ensuring stability. While there are expectations for investor protection and enhanced market confidence through regulation, concerns remain that excessive regulation could stifle innovation potential. However, stablecoins already play a crucial role in global financial markets and decentralized finance (DeFi), and views advocating for at least some regulation to ensure investor protection and market integrity are gaining traction. Ultimately, how the purpose and level of regulation are set may influence the direction of the entire market, and the final form of the bill is projected to be a significant turning point for the future of the stablecoin industry at the federal level.
◇ Is Ethereum lost between 'Bitcoin vs. Solana'?
Recently, Casey Rodamore, the creator of Bitcoin Ordinals and Runes, sharply criticized Ethereum, stating, 'Bitcoin has an advantage in security and value storage, and Solana has competitive speed and scalability, but Ethereum has lost its identity between the two.' Following his remarks, the community reignited the debate on 'decentralization vs. practicality,' and Ethereum supporters countered, 'It can sufficiently differentiate itself through institutional collaboration and real-world asset tokenization (RWA).' While Ethereum is trying to simultaneously achieve security and performance with layer 2 scaling solutions, there are criticisms that it lacks visible results, with some arguing that it is 'the biased claims of a Bitcoin maximalist.'
Experts believe that Rodamore's critique, though somewhat binary, accurately identifies the identity crisis that Ethereum is experiencing. Ethereum has captured the smart contract ecosystem and built a vast pool of developers and users, but it is assessed that it is struggling to maintain its previous unique status in the face of the rapid growth of emerging chains like Solana and protocol-level expansions in Bitcoin. Indeed, it is a fact that Ethereum's market share has diminished compared to earlier times, and concerns have been voiced that 'creative destruction' could occur if competing chains absorb innovative technology and ecosystems more quickly.
Nevertheless, there is also a viewpoint that Ethereum remains a massive platform with the richest ecosystem and development resources, making it unlikely to collapse easily. Simply replacing the network effects and decentralization built on speed or scalability is not easy. However, to solidify its market leadership in the future, there are many opinions stressing the need for Ethereum to secure new growth drivers, such as layer 2 solutions and improvements in usability, as well as connections to institutions and real-world assets. From an investor's perspective, it is necessary to monitor whether Ethereum's technological and industrial development speed can outpace competing chains and to adopt a strategy that combines appropriate diversification and risk management.
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providing essential operational solutions and trust-based community building services based on on-chain data for companies and foundations adopting Web3. It operates the crypto data intelligence platform, Jangle, and the Jangle research team is creating content to illustrate trends in the virtual asset investment industry based on global virtual asset information and data.