Bank deposit guarantee leads to cryptocurrency revival

The cryptocurrency market rebounded late yesterday. This happened after announcements made by the main American institutions, which theoretically are the basis of a significant part of the banking system.

Bitcoin traded above $22 in the first half of last week but began to post heavy losses after the collapse of Silvergate and then Silicon Valley Bank temporarily knocked the cryptocurrency below $000 on the platform eToro on Friday.

However, over the weekend, bitcoin re-emerged from news that US authorities will fully protect all deposits and soared above $23 for the first time in nearly two weeks. Ethereum experienced similar volatility towards the end of the week, falling below $1 on Friday and rising above $400 in the morning, where it has held up ever since.

$25 billion FDIC collateral pushes prices up

The cryptocurrency market jumped late on Sunday as the US banking crisis took a new direction with the closure of New York's Signature Bank.

This situation was followed by assurances from a joint statement issued by the US Federal Reserve, Treasury and FDIC that all depositors of Silicon Valley Bank (SVB) and Signature will get their money back. The reaction of the cryptocurrency markets was swift and the tokens regained their value around the world.

The main stablecoin USD Coin (USDC) - which lost thanks to the high uncertainty surrounding the stakes it had with SVB - almost regained its previous price after it declared the use of other funds.

Lido extends staking to Polygon

Lido, one of the largest staking protocols by TVL (Total Locked Value) announced the launch of wstETH on Polygon. The development will provide users with access to networks that were previously blocked by the lack of "bridges" and will allow users to bet on projects managed by the Polygon blockchain.

One of the most haunting problems of cryptocurrencies was the lack of interoperability of the blockchains that created walled garden ecosystems. So it's no surprise that technological solutions to help overcome this are very encouraging. Lido owns approximately 80 percent. liquid staking market, making them an extremely strong player in this space.

Ethereum is in an important development stage after launching staking through The Merge last year. There will also be an update to Shanghai in March, which will give users more liquidity options and allow them to withdraw their staking if needed.

Nissan expands Web3 offering

Nissan, the automaker, has filed trademarks for a series of Web3 initiatives, including NFT and so-called Metaverse test driving. Automakers have proven to be among the biggest supporters of Web3 technology, with companies like General Motors, Ford, and others already making their way into the space.

Nissan's announcement covers a fairly wide range of uses, including virtual goods stores and markets for NFTs, virtual clothes and cars, and Meterverse advertising and sales features.

Web3 is still experimental. However, it is encouraging that large companies continue to implement their plans and innovations, despite the difficult market conditions in 2022, in which NFT prices have fallen from previous high levels.