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Due to the sell-off of U.S. Treasuries, Japanese government bond yields have risen sharply. The 5-year Japanese government bond yield increased by 9.5 basis points to 2.195%, the 10-year yield rose by 10.5 basis points to 2.795%, and the 2-year yield increased by 8.5 basis points to 1.86%.Previously, Federal Reserve officials warned that more aggressive rate hikes may be needed to curb inflation.

SoftBank announced its first net loss in nearly two years. Previously, concerns about spending and demand in the artificial intelligence sector impacted the tech investment giant's major holdings. SoftBank recorded a loss of 1.12 trillion yen (approximately 7.1 billion dollars) in the second fiscal quarter, a significant reversal from a profit during the same period last year.The stock prices of chip manufacturers Arm and Intel, as well as South Korean e-commerce giant Coupang, dragged down SoftBank's overall performance. The Vision Fund division, responsible for managing stakes in hundreds of tech startups, recorded a loss of 81.6 billion yen. SoftBank is increasingly seen as a barometer for sentiment towards OpenAI and the broader AI sector.Since hitting an all-time high in June, SoftBank's stock price has plummeted by more than 50%. This is due to market concerns about its debt for large-scale AI investments, as well as worries that a comprehensive victory for the Democratic Party in the U.S. midterm elections could lead to many projects under Masayoshi Son being stalled.

Analyst qinbafrank published an interpretation of the impact if anti-crypto Senator Elizabeth Warren were to become the chair of the Senate Banking Committee. Warren has consistently advocated for embedding anti-money laundering obligations deeply into wallets, miners, and validators, preventing banks from bringing crypto risks into the traditional lending and borrowing system, and opposing the use of tokenization to circumvent securities laws. Warren is likely to push for a stricter legislative agenda, but she will face significant resistance in actual implementation.The comprehensive tightening of crypto regulation bills will still be limited by the 60-vote filibuster threshold, and even if both chambers pass them, Trump can still exercise veto power. Therefore, hardline proposals lacking significant compromise are unlikely to directly become law. However, Warren could escalate Trump's scrutiny of crypto businesses into ongoing investigations and initiate intensive hearings targeting the SEC, CFTC, and crypto companies. While this does not equate to criminal convictions, it would significantly impact market sentiment.At the administrative regulatory level, for the next two years, the chairs of the SEC and CFTC will still be held by Republicans, who can continue to advance crypto policies within their existing statutory authority (such as the September tokenized stock trading exemption and the recent derivatives framework request for comments). Warren's oversight cannot automatically invalidate these policies, but it may slow down the process or narrow the scope of exemptions. At the same time, she can use her committee powers to obstruct Trump's nominations for regulatory agency commissioners. Analysts conclude that although hearings and investigations will bring greater pressure, the crypto regulatory environment in the next two years is unlikely to be stricter than during the period of full Democratic control from 2023 to 2024.

According to Maelstrom's Chief Investment Officer Arthur Hayes, the supply of shares from SpaceX, Anthropic, and OpenAI, along with future unlocks, may depress stock prices, weaken investor confidence in the AI industry, and increase the cost of related debt financing.Hayes believes that if the AI credit market cools down, the growth of bank balance sheets may slow or contract, thereby reducing the dollar liquidity that supports the cryptocurrency market. He stated that unless there is a significant change in the liquidity of fiat currencies, Maelstrom will temporarily wait and observe the impact of the AI IPO wave and any potential future policy bailouts.

Goldman Sachs stated that the results of the U.S. midterm elections represent a "blue tsunami," which may have a significant impact on the regulation of artificial intelligence and data centers.In the report, it wrote: "Given that the Democratic Party won a majority of seats in the House and Senate far exceeding expectations, we anticipate that the Democrats will seek policy concessions in light of the upcoming fiscal deadline, particularly regarding limiting the war with Iran, rolling back certain tariffs, and overturning recently implemented spending cuts."

According to WIRED, the AI-friendly super PAC network Leading the Future, backed by Silicon Valley billionaires, performed mediocrely in this round of midterm elections. The organization previously held about $100 million in funds and took a strong opposition stance on AI regulation.After the elections, it still has just over $20 million left in its account. Dozens of bipartisan congressional candidates supported by the organization have been elected.

Stonk posted that the StonkFun official website has resumed access. Previously, the team took the website offline due to a domain attack and migrated it to new infrastructure.Stonk stated that the on-chain functions have returned to normal, and no user impact has been detected so far. However, since some network synchronization DNS changes may take up to an hour, the team recommends that users wait an hour before connecting their wallets through the official website.

Zhao Changpeng responded to discussions regarding the scale of the theft at Binance and the reaction of BTC prices, stating that this $6.3 billion theft is the largest in terms of dollar value, but not when measured by the quantity of BTC. He cited the Mt. Gox incident, which involved 650,000 BTC, accounting for over 5% of the BTC supply at that time, emphasizing that assessing market impact cannot rely solely on dollar amounts.He believes that attention should also be paid to the number of affected users and the proportion of affected assets relative to user assets. According to him, in both the Mt. Gox and FTX incidents, nearly all users and their assets were impacted. The more critical issue is who ultimately bears the loss, whether the platform can fully cover it, rather than letting users suffer the losses.Zhao Changpeng stated that this incident remains a significant disaster for the industry, Binance, and himself, but they can withstand this shock. He emphasized, "The most important thing is that we protect our users."

The Federal Bureau of Investigation (FBI) responded to the Binance theft incident, stating that it is aware of the incident and is communicating with relevant partners to understand the scope of the activities and assess the potential impact.

According to Jinshi Data, as overseas funds continue to flow into U.S. AI-related stocks, corporate bonds, and power infrastructure, the correlation between the U.S. dollar and the U.S. technology investment boom is becoming increasingly tight.Dominic Bunning, head of foreign exchange strategy at Nomura Securities, stated that if AI trading reverses, it remains uncertain whether the dollar can benefit from safe-haven demand as it did in the past. Analysts point out that if AI investment returns fall short of expectations, it could trigger a sell-off in technology assets, widen corporate credit spreads, and slow down U.S. economic growth, thereby weakening the dollar's yield advantage and inflow support. However, if global demand for dollar financing surges, the dollar may still strengthen due to short-term liquidity needs.

Multiple institutions have analyzed that the investment boom in artificial intelligence is increasing the difficulty for the Federal Reserve to control inflation. PIMCO believes that AI investments are less sensitive to interest rate changes, while the San Francisco Fed stated that the construction of AI infrastructure is driving up demand for technology equipment.Goldman Sachs Asset Management expects the Federal Reserve to raise interest rates once more this year, and Morgan Stanley pointed out that financing costs have become a new obstacle for AI investments. BlackRock and Citigroup Wealth Management emphasize that AI investments are expanding into the real economy, but risks of inflation and high interest rates still exist.

On October 23, the General Office of the State Council issued the "Opinions on Adapting to the Development of Artificial Intelligence Technology to Support the Construction of Employment-Friendly Development Models" (Guo Ban Fa [2026] No. 29). The document proposes to adapt to the development of artificial intelligence technology, enhance the positive effects of job creation, empower traditional positions, and mitigate the impact of job replacement.The opinions point out that the role of artificial intelligence should be leveraged to improve the employment environment, enhance occupational safety levels, and improve work quality and efficiency, with priority given to promoting applications in positions with labor shortages and high-risk environments; it is essential to cautiously manage the scope, intensity, and pace of artificial intelligence applications in labor-intensive industries to minimize the impact on workers. The document also encourages enterprises to explore the establishment of an unemployment buffer period system, to inform affected workers in advance during the large-scale promotion of artificial intelligence applications, and to provide support for job transition and transformation.The opinions also outline deployments in areas such as strengthening job creation effects, constructing employment-friendly upgrade paths, enhancing workers' digital literacy and employment capabilities, promoting artificial intelligence-enabled employment policy services, improving workers' rights protection and social security, and perfecting employment monitoring, early warning, and risk response mechanisms. The document is dated October 16, 2026, and is marked for public release.

Federal Reserve Chairman Waller stated that artificial intelligence will impact the economy on the demand side before affecting the supply side.

Bitcoin News posted on platform X stating that Michael Saylor explained that Strategy intends to have investors accept selling Bitcoin as part of its overall financial strategy. When Strategy initially sold 32 Bitcoins, the market reacted excessively; subsequently, the market absorbed the sale of thousands of Bitcoins without a negative impact on the price.Saylor stated that when it aligns with the interests of shareholders and credit investors, Strategy must be able to buy and sell Bitcoin.

Financial Associated Press reported on October 12, citing market research firm Counterpoint Research, that the ongoing construction of artificial intelligence infrastructure continues to squeeze the supply of storage chips, putting pressure on costs and supply in consumer electronics. Preliminary data shows that global smartphone shipments in the third quarter of 2026 are expected to decline by 20% year-on-year, reaching the lowest level for the same period since 2012. The storage chip crisis has impacted the smartphone market for the second consecutive quarter, with rising chip costs increasing the overall bill of materials, leading manufacturers to raise retail prices. Since 2026, global smartphone retail prices have cumulatively increased by about 20%.Samsung remains the global leader, with its market share rising to 23% in the third quarter, although shipments declined by 3% year-on-year, marking the largest share increase among major manufacturers. Apple's share rose to 22%, marking its first time surpassing 20% in the third quarter, but shipments declined year-on-year. The absence of the base model iPhone 18 this year resulted in a lower channel distribution scale in the first month of new product launches compared to the previous year's iPhone 17 series. The iPhone 18 Pro series performed better than its predecessor in China and India.Xiaomi's shipments in the third quarter declined by over 30% year-on-year, with its market share dropping to 10%. Both OPPO and vivo saw their shipments decline by over 20% year-on-year, with shares falling to 9% and 8%, respectively. Counterpoint senior analyst Shilpi Jain stated that consumers are holding onto their existing devices for longer and are considering more refurbished devices. Counterpoint indicated that global smartphone shipments are unlikely to see a significant recovery before improvements in storage chip costs and supply.

In the past three weeks, investors have withdrawn from U.S. mortgage bond funds at a historically rare pace, with the outflow ranking among the seven most severe since early 2021. As interest rates soared, the mortgage-backed securities index recorded its second worst monthly performance on record in September.Strategist Erica Adelberg stated that the Federal Reserve's tightening of monetary policy may weaken banks' demand for MBS, and MBS supply is expected to decline before the end of the year.

The Ethereum staking withdrawal queue has retreated from last week's peak. After MetaMask began withdrawing validators, the withdrawal queue once climbed to about 851,000 ETH, and is currently down to about 767,000 ETH. Previously, on September 29, the queue was only about 166,000 ETH, growing more than five times in just a few days, reaching about 2% of the total staked ETH of approximately 43.6 million.On September 30, MetaMask disclosed a security incident affecting some of its infrastructure and took the affected validators offline as a precaution. Its update on October 1 stated that the investigation found no signs of impact on wallets or customer funds. In addition to its wallet services, MetaMask also operates validators for the staking service provider Lido. Ethereum security researcher Kaden estimates that this precautionary withdrawal involves about 17,000 validators and approximately 523,000 ETH, although MetaMask has not confirmed this data.Lido expects that as the affected validators withdraw and their balances are extracted, these ETH will gradually be restaked, a process that may take about 45 days. During the downtime, the affected validators will miss out on rewards, and Lido stated that stETH holders do not need to take any action. Meanwhile, the demand for entering the staking queue has cooled, with about 1.5 million ETH waiting to enter, and the estimated waiting time is about 25 days.