According to a recent NFT research, India ranks first among 26 countries on the basis of play-to-earn (P2E) gaming adoption. Indian Players Outnumber Hong Kong's and UAE's As per the survey, approximately 34% of respondents in India have experience with play-to-earn games. To be clear, play-to-earn games are blockchain-based games in which players receive incentives with real-world value. Since the outbreak of the pandemic and the rise of the work-from-home culture in India, the popularity of P2E games has soared.…
The US Bureau of Labor Statistics just released the nation’s price statistics for February 2022 – and they don’t look good. The all-items Consumer Price Index (CPI) is running at 7.9% over the last 12 months – the hottest in over 40 years.
More Record-Breaking Inflation
The bureau releases its monthly inflation report at 8:30 am EST approximately 10 days into each following month. The CPI tracks the average prices for a basket of commonly purchased consumer goods including food, energy, shelter, and transportation in the United States.
Food, shelter, and gasoline were reportedly the most significant contributors to this month’s price increases. The latter rose a whopping 6.6 percent and accounted for a third of the all items index increase. Furthermore, with President Biden now sanctioning Russian oil and gas imports, this figure can be expected to rise further by next month.
Meanwhile, the food and food at home index rose by 1.0% and 1.4% respectively – the largest monthly increases since April 2020 when the covid-19 pandemic began.
Overall, the 7.9% 12-month increase is now the largest yearly increase since the period ending January of 1982. This figure has been steadily rising since late 2021, with the figures from October to January clocking in at 6.2%, 6.8%, 7.0%, and 7.5% respectively.
Federal Reserve Chairman Jerome Powell has been wary of rising inflation and is set to raise interest rates by 25 basis points to address it this month. This comes after months of asserting that inflation was ‘transitory’ by both himself and Janet Yellen, which he now admits was ‘the wrong word’.
Impact on Bitcoin
Bitcoin is often viewed as an inflation hedge asset akin to “digital gold” thanks to its fixed supply cap of 21 million coins. Immune to monetary debasement, the most fervent Bitcoiners believe it can and should replace the dollar.
However, that doesn’t appear to be how Bitcoin behaves right now. An analysis from Bank of America last month showed that BItcoin trades more like a risk asset, and has virtually zero correlation to gold.
Nevertheless, Bitcoin does have a proclivity to react to inflation news – though not predictably. Hours ago, Bitcoin briefly shot above $40,000 upon the CPI report’s release, before suddenly reversing below $39,000 moments later. Now, it is trading at $39,300 – about the same price it was before the report was published.
Last month, Bitcoin’s price tanked after January’s inflation numbers came in at 7.5%, which was also higher than the previous month.