The Federal Reserve just dropped a major news bomb. The tool that is only used during crises—the Standing Repo Facility (SRF)—has announced a complete change in its nature: it will be kept permanently, and the $500 billion cap has been directly removed. This is not a minor adjustment; it rewrites the entire rules of the financial game. Wall Street’s liquidity faucet is officially turned on from today, no longer closed.

Simply put: the Fed has made its stance clear. Banks need cash? Come anytime to swap, with no limit on ammunition supply. This effectively equips the traditional financial system with the strongest shield, specifically to suppress market panic. More deeply, the Fed is proactively building a dam against potential economic fluctuations in 2025, with full confidence.

What does this mean for us? The gates of traditional finance are fully open. The abundant liquidity—almost overflowing—will flow where? Of course, to higher-yield opportunities. The cryptocurrency market is exactly that low-lying area. One of the biggest psychological barriers for institutional entry—liquidity panic—has now been cleared. The foundation of the bull market is being laid layer by layer within this invisible financial infrastructure.

But don’t get carried away. The SRF is a safety net to prevent a “liquidity crunch,” not a direct money-printing tool. Volatility still exists; price swings could even become more intense. However, on a macro level, the most terrifying tail risks have been hedged by the Fed, and funds are now willing to take risks. The script of history is being rewritten, and we are right at the center stage. Can you guess which sector this wave of liquidity will trigger first?