Good Evening Brew Crew, thought we would switch it up and give you something to read while you sip on your pumpkin spice martinis before the night ahead. Grab some value and have an epic weekend. 🤝

Let’s dive in ⬇️

On the menu today:

• 🤣 SBF DENIES KNOWLEDGE OF FRAUD WITHIN FTX

• 😱 BITCOIN DECOUPLING FROM S&P 500??

• 👀 J.P.MORGAN'S JPM COIN IS DOING NUMBERS

Today’s Charts:

🤣 SBF DENIES KNOWLEDGE OF FRAUD WITHIN FTX

Sam Bankman-Fried, the former CEO of FTX, provided his testimony during his trial, which revolved around denying knowledge of fraudulent activities at FTX.

SBF suggested that Gary Wang, the former Chief Technology Officer at FTX, was partially responsible for creating the "allow negative" feature for Alameda Research.

This feature allowed the crypto hedge fund Alameda to trade more funds than it had available.

SBF stated that he was not entirely sure about the nature of Alameda's funds and thought they might be held in a bank account or sent to FTX in stablecoins.

SBF's claims during his testimony partly or directly contradicted the testimonies provided by Gary Wang and Caroline Ellison.

Wang had previously testified that SBF had ordered the implementation of the "allow negative" feature in 2019.

Ellison stated that she wanted to step down as CEO of Alameda but was asked to stay by SBF to prevent rumors about the firm's financial health.

Sorry if you spit out your martini reading this - at this point, SBF should go Tyrion Lannister mode - TRIAL BY COMBAT ⚔️

😱 BITCOIN DECOUPLING FROM S&P 500??

In October, Bitcoin gained relative strength against traditional finance assets as it outpaced the S&P 500.

Historically, Bitcoin has been closely correlated with U.S. tech stocks, with its performance often mirroring the movements in the stock market.

This strong correlation has led to Bitcoin being viewed as a risk-on asset, meaning it tends to rise and fall with the stock market.

In 2023, there has been a noticeable weakening of the correlation between Bitcoin and U.S. tech stocks.

Some believe that this weakening correlation indicates a departure from the traditional relationship, leading to Bitcoin being seen as a safe haven asset.

Where’s the proof? ⬇️

1. Correlation data with the Invesco QQQ ETF, which tracks 100 Nasdaq-listed companies (including Apple, Microsoft, and Amazon) suggests that Bitcoin is decoupling from tech stocks

2. The correlation score between Bitcoin → Invesco QQQ ETF reached -0.82, the lowest level in four years (more negative correlation)

Historically, the correlation between Bitcoin and tech stocks has been strongly positive, with data points often above 0.

The recent weakening of the correlation is significant, indicating a shift in the traditional relationship - is this a sign of the turning point for BTC??

👀 J.P.MORGAN’S JPM COIN IS DOING NUMBERS

JPM Coin, a digital asset created by JPMorgan, currently facilitates daily transactions exceeding $1 billion, marking a significant increase from its previous transaction volume.

JPM Coin, launched in 2020, operates as a stablecoin with a 1:1 collateralization ratio to the U.S. dollar.

Its primary purpose is to serve as a temporary solution for real-time gross settlement between JPMorgan's institutional clients.

Takis Georgakopoulos, JPMorgan's global head of payments, shared this new information during an interview with Bloomberg TV on October 26th.

Georgakopoulos identified three major shortcomings in the current payment systems that JPM Coin aims to address:

1. speed of payments, especially for cross-border transactions

2. separation of money and information, leading to difficulties in tracking and reconciling transactions

3. fungibility of money

JPMorgan utilizes JPM Coin to move $1 billion daily on behalf of various large companies.

Looks like there is value in the blockchain after all… 🙃🙃

Special Blend: Morning Meme Roast

As the CryptoBrew Daily comes to a close, we invite you to join us on Twitter for more crypto chat. Think of it as a chill gathering of like-minded folks, minus Chad talking about his 1-rep deadlift max and your tipsy uncle who always shares TMI stories. Let’s keep the crypto conversation going!

***DISCLAIMER: Please note that the information provided in this newsletter is for educational purposes only and is not intended to be construed as financial advice or a solicitation to buy or sell any assets. We urge you to exercise caution and conduct your own research before making any financial decisions.