The US Federal Reserve (FED) announced a joint action plan with the central banks of 5 countries as part of its efforts to improve US dollar liquidity.
FED March 19 In a statement published on its official website on 6 central banks as a joint swap line announced that he was going to the operation.
Bank of Canada (BoC)Bank of England (BoE)Bank of Japan (BoJ)European Central Bank (ECB)Swiss National Bank (SNB) and within the scope of the operation in which the FED participated 7 days expiry frequency from weekly to the log was decided to be removed. your operation as of today start and at least April of the bear to the end stated that it will continue.
Fed swap lines global funding available in the markets print to alleviate important One liquidity tool stated that.
How will it affect Bitcoin and cryptocurrencies?
For liquidity expansion different from the interest rate This move of the FED, which follows a path, is seen by experts. to the cryptocurrency market And to bitcoin a direct It was suggested that there would be no effect.
Experts have used the swap operations of the Fed in the past. 2008 and 2020 in response to the financial crisis that you are using financial conditions of swap operations while specifying expander rather than a tool expander to financial instruments providing access described it as a financial instrument. liquidity provided by swap operations Small And isolated predicted to target a group experts, of the expansion experienced in crypto money markets and Bitcoin. directly cause new capital inflow won’t be expressed.