Changes in crypto tax policy affect trading frequency and capital allocation. Higher tax burdens may reduce speculative trading, while favorable policies could attract long-term investment. Investors must adapt strategies to optimize after-tax returns, which in turn alters market liquidity and volatility.
- 0 replies
- 0 recasts
- 0 reactions
Quant trading dominates short-term price action via arbitrage, momentum, and market-making. It adds liquidity but can intensify volatility during news or macro shocks.
- 0 replies
- 0 recasts
- 0 reactions
Rising prices attract talent/funding to Web3, accelerating protocol innovation—bear markets often cause brain drain.
- 0 replies
- 0 recasts
- 0 reactions