Key Takeaways For Bitcoin, how Japan strengthens the yen may matter more than the currency move itself. Hayes’s scenario relies […] The post Arthur Hayes Flips the Yen Risk Thesis for Bitcoin appeared first on Coindoo.
- Arthur Hayes proposes a new thesis where Japan could strengthen the yen by utilizing the Federal Reserve's FIMA Repo Facility, rather than aggressive Bank of Japan tightening.
- This strategy would involve Japan exchanging US Treasury securities for dollars, which they would then sell for yen, potentially injecting dollar liquidity into the market.
- However, the FIMA facility is currently unused, and Hayes's scenario hinges on significant policy changes by the Federal Reserve and substantial, persistent usage by Japan.
Topics: Asset types, Jurisdictions, Market cycles macro sensitivity, Financial instruments, Cross jurisdictional policy, Interest rate sensitivity
Tags: #arthurhayes #bitcoin #yen #fimarepofacility #federalreserve #ustreasuries #liquidity #monetarypolicy #bankofjapan
No comments:
Post a Comment