5104
По рекламе: @Proekt77
Yuga Labs Demands Removal of Ethereum Punks Website and Content
The move entails the removal of all Ethereum Punks images and the deletion of tweets referencing Ethereum Punks, including the introduction of the Ethscriptions Protocol.
Yuga Labs has been a driving force in the non-fungible token (NFT) space. The Ethereum Punks website, which showcased a collection of unique digital art pieces inspired by CryptoPunks, gained considerable attention from the crypto community. However, it appears that Yuga Labs has decided to exert control over the use of their intellectual property.
The request from Yuga Labs has prompted the immediate removal of the Ethereum Punks website, leaving many enthusiasts and collectors surprised and disappointed. The website had served as a platform for artists and developers to showcase their own variations and interpretations of the popular CryptoPunks characters.
Ethereum Punks images hosted will be taken down. This move will undoubtedly impact the community of artists and collectors who had utilized the platform to monetize and display their unique creations.
the creator of Ethereum Punks has agreed to delete all tweets referencing Ethereum Punks, including the initial tweet introducing the Ethscriptions Protocol. This decision marks a clear effort to align with Yuga Labs’ request and respect their intellectual property rights.
The exact reasoning behind Yuga Labs’ request remains undisclosed. However, it is not uncommon for companies to protect their brand and maintain control over the use of their assets, particularly in the fast-evolving and competitive world of NFTs.
As the takedown progresses, the Ethereum Punks community is left pondering the future of their beloved project. Many are hopeful that Yuga Labs will provide further clarification or propose alternative ways to collaborate and showcase derivative works inspired by CryptoPunks.
Crypto exchange, HashKey Pro, applies for license upgrade in Hong Kong
HashKey Pro, a cryptocurrency exchange based in Asia, has applied for a license update from Hong Kong’s Securities and Futures Commission (SFC) per the city-state’s new virtual asset trading licensing system.
According to regional news outlets, HashKey Pro, part of the digital asset financial services firm HashKey Group, does not anticipate any problems with getting its application approved. It hopes to begin providing services for virtual assets to retail crypto investors in the coming weeks.
The crypto exchange only supports a small number of digital assets at the moment, including bitcoin (BTC), ether (ETH), Tether (USDT), and USD Coin (USDC). The license will allow the exchange to provide users with a larger selection of digital assets.
With Hong Kong making strides toward regulatory clarity, HashKey Pro sees an opportunity to establish itself as a prominent player in the crypto industry.
In May, the crypto exchange’s parent company, HashKey Group, made public its intention to raise up to $200 million to help it take advantage of Hong Kong’s resurgence as a potential crypto hub. It signified the firm’s confidence in its growth potential and the evolving landscape of digital assets.
You might also like: Policy proposal for Hong Kong government-issued stablecoin emerges
By securing substantial investment, HashKey hopes to develop its financial services further and expand its operations.
Reports indicate that the funds raised will likely strengthen infrastructure, enhance technological capabilities, and foster partnerships to provide a comprehensive and secure trading experience for the exchange’s users.
Hong Kong’s retail crypto trading licensing system, introduced in June, aims to regulate and bring oversight to the virtual asset trading platforms operating in the region.
Under it, virtual asset platforms must acquire insurance and ensure that “cold wallets,” which store digital assets offline, are protected by at least 50%.
On the other hand, the new law demands that the platforms provide 100% insurance protection for “hot wallets,” which store assets online.
Poly Network suffers attack, Neo assets safe but services paused
On July 2nd, Poly Network experienced an attack across 11 supported chains that has caused it to suspend its services until further notice.
The attacker managed to steal approximately 5,196 ETH – a value in the range of US $10M. The Neo blockchain was not compromised in the event, and Neo has advised that all Neo assets remain secure.
As a precaution, several Neo blockchain projects, including Flamingo Finance, O3 Labs, and GhostMarket have temporarily halted their services.
Poly Network announced the attack via Twitter on July 2nd. The protocol team suspended its services while engaging with relevant parties and assessing the extent of the affected assets. Poly Network further called on the support of cybersecurity professionals and the wider community in resolving the issue.
Poly Network has also initiated communication with centralized exchanges and law enforcement agencies and called on the attacker to cooperate and return the stolen user assets. It also urged project teams to withdraw liquidity from decentralized exchanges and advised users holding the affected assets to withdraw liquidity and unlock their LP tokens.
Upon news of the Poly Network attack, several projects on the Neo blockchain temporarily paused their services as the incident is being investigated and resolved.
Neo officially announced the temporary suspension of its cross-chain bridge service. It reassured users that all assets on Neo were secure and that it would closely monitor the situation and maintain communication with Poly Network.
Flamingo Finance, while investigating the potential implications of the attack, assured its community that the hack did not affect the Neo network or Flamingo itself. The only impact was the temporary pause of cross-chain functionality.
O3 Labs also temporarily suspended Poly Network-based cross-chain services within O3 Swap. It reassured users that their funds were secure and asked them to await the recovery of the cross-chain protocol.
GhostMarket took to Discord to communicate that it had paused all GM token contracts pending more information, promising to provide updates as soon as more details emerged.
As of now, Poly Network has not yet provided further information on how the attack was carried out or when the service may be resumed.
Poly Network was also the victim of an attack in October 2021, however Neo assets were similarly unaffected in the previous event.
Cristiano Ronaldo Announces Highly Anticipated Second NFT Collection, Exclusively on Binance
In a groundbreaking collaboration, renowned football icon Cristiano Ronaldo has unveiled his latest venture in the digital art realm. The current striker of Saudi club Al Nassr has joined forces with global crypto exchange Binance to create an exceptional collection of NFTs. Aptly titled "ForeverCR7: The GOAT," this collection marks the second collaboration between Ronaldo and Binance, following their initial release last November.
Scheduled for launch on July 3, Ronaldo's new collection pays homage to his illustrious career goals thus far. Collectors will have the opportunity to choose from a selection of 20 distinct designs, categorized into four levels of rarity. The super rare NFTs include six unique designs, with a total of 120 exclusive items available. Notably, each of such items comes with its own remarkable benefits, such as a soccer jersey personally signed by Ronaldo himself.
Reflecting on the previous collection's timing, it is evident that it faced challenging circumstances. The CR7 NFT Collection debuted just a week after the collapse of FTX, coinciding with a multi-year low in the crypto market. Consequently, NFTs struggled to generate substantial interest during that period.
Presently, the first collection showcases the following statistics: a floor price of $1.02, a 24-hour trading volume of $1,200, a total volume of $897,500 since its inception and ownership by 72,833 individuals.
As Ronaldo's eagerly awaited second collection prepares to enter the market, speculation arises as to its potential success amid more favorable market conditions.
Digital Asset Manager 3IQ Adds Ethereum Staking to Two of Its Funds
Digital asset manager 3iQ today announced a staking option with its two Ethereum exchange-traded fund (ETF) products.
In a Wednesday announcement, the Canadian firm said The Ether Fund and The 3iQ Ether ETF would start offering staking to clients in August—making them the first ETFs in the world to offer such a service.
Staking, in the world of crypto, is the process of “locking-up” cryptocurrency to keep a blockchain’s network running.
Those who hold proof-of-stake assets—like Ethereum (ETH)—pledge it to the network by sending it to a specific blockchain address and can receive rewards for doing so.
“Through staking, the funds will earn rewards in the form of ETH, which will be reflected in the net asset value of the funds through accretive yield while augmenting the funds exposure to ETH,” the announcement explained.
It added that it would use Coinbase’s institutional staking infrastructure to support ETH staking in the products. Earlier this month, the SEC went after Coinbase—the biggest crypto exchange in the U.S.—for allegedly offering and selling unregistered securities via its staking service.
Canadian regulators have not gone after staking products like the SEC has in the States: In February the U.S. Securities and Exchange Commission also fined American crypto exchange Kraken $30 million for allegedly failing to register the offer and sale of its crypto asset staking-as-a-service program.
An ETF is an investment vehicle that tracks the value of an underlying asset, like gold, foreign currencies, or cryptocurrency. Toronto-based 3iQ offers clients ETFs which give investors exposure to ETH, the second biggest digital asset by market capitalization.
3iQ’s two Ethereum-based ETHs are listed on the Toronto Stock Exchange and are therefore available to Canadian investors—not American ones.
Polkadot $DOT Upgrades Bridge Hub After Successful Referendum
Polkadot, a heterogeneous multi-chain protocol, has recently undergone significant changes. Following a successful referendum, the Bridge Hub, a critical tool for blockchain interoperability within the Polkadot ecosystem, has been upgraded to runtime v9420.
As the primary facilitator for asset, message, and data transfers among different blockchains, the Bridge Hub greatly augments Polkadot's network functionality.
By making transactions and data from one blockchain accessible and usable by others within the Polkadot ecosystem, the Bridge Hub promotes cross-chain capabilities. It fosters compatibility and collaboration across various blockchain projects, significantly augmenting the scope and potential of Polkadot's network.
However, the impact of these changes on user acquisition remains to be seen. The success of upcoming referendums will be key in determining whether this protocol can achieve sustained growth moving forward.
Despite the potential uncertainty, Polkadot's high staking reward ratio might attract users. Blockchain data indicates that $DOT, Polkadot's native token, has outperformed other cryptocurrencies in terms of staking rewards, boasting a reward rate of 14.54% for staking DOT.
Interestingly, interest in DOT staking has waned somewhat, as evidenced by a 0.35% decrease in the number of stakers on the Polkadot network, according to Staking Rewards’ data.
elving deeper into the specifics of the Bridge Hub upgrade, it was a referendum to transition the Bridge Hub from v9382 to v9420. The prior call for this change failed because the Bridge Hub, operating on v9382 and therefore on XCM v3, expected an UnpaidExecution instruction before the Transact instruction, which Polkadot (on v9370 and XCM v2) could not provide.
Now that Polkadot has shifted to XCM v3, the correct XCM program has become possible. The call to execute on the Relay Chain is a Whitelist Call.
The weight parameters for this call, which influenced the Transact parameters, were as follows:
refTime: 229,363,000
proofSize: 3,556
These technical developments reflect Polkadot's commitment to continuous improvement and optimization of its multi-chain interoperability. With these changes, we may see an influx of new users, increased staking, or an improved general market sentiment toward $DOT in the coming weeks.
Binance Announces Zero Maker Fees for TUSD Pairs
Crypto exchange Binance has announced zero maker fees for all TUSD spot and margin trading pairs. During the promotion period, trading pairs BTC/TUSD, TUSD/BUSD and TUSD/USDT will also have zero commission.
All users will be able to use these privileges from June 30, while the standard fees for takers will continue to be charged.
In addition, Binance is extending the zero BUSD maker fee until December 31st, which applies to existing and new BUSD pairs for spot and margin trading, excluding BNB/BUSD, BTC/BUSD, and ETH/BUSD.
The TUSD stablecoin has grown in popularity since Binance bet on it due to problems with the BUSD stablecoin. Notably, TUSD issuer TrueUSD suspended issuance of the stablecoin through Prime Trust on June 10th.
The announcement comes amid a drop in monthly volume and pressure from regulators, which resulted in the U.S. Securities and Exchange Commission filing a lawsuit against Binance over allegations of violating securities laws.
Mike Novogratz: Bitcoin will hit $500,000
Galaxy Digital CEO Mike Novogratz compared the recent fall in cryptocurrencies to the collapse of Lehman Brothers during the financial crisis of 2008-2009.
The industry should be legalized. In this case, it will become transparent, and the supervisory authorities will be able to ensure the safety of investors, the billionaire said at a summit organized by Bloomberg.
Regulators do not yet have enough leverage to control the movement of funds in digital currencies.
Novogratz said:
I don't know what the SEC [US Securities and Exchange Commission] should have done or could have done, but it did little to protect retail investors.
However, the CEO of Galaxy Digital shares the views of those experts who predict the long-term growth of bitcoin.
In his opinion, the BTC rate will eventually reach $500,000. In the context of the fight against inflation, the demand for alternative instruments will increase, one of which was BTC.
Tether deactivated accounts of crypto companies
According to documents released this week by the New York Attorney General regarding the settlement, stablecoin issuer Tether has deactivated the accounts of several high-profile crypto companies by 2021.
The list of deactivated accounts includes cryptocurrency trading platform MoonPay, crypto lending company BlockFi, crypto investment firm CMS Holdings, and crypto hedge fund Galois Capital. BlockFi is currently going through bankruptcy proceedings and Galois Capital has closed.
The list includes companies and individuals who have been fired for various reasons, a source familiar with the matter said. Although the NYAG investigation ended in February 2021, some documents date back to June 2021.
“We do not wish to comment on any individual relationships, but all have undergone strict compliance checks on registration and ongoing monitoring required by Tether’s compliance policies,” Tether said in a statement.
BK Offshore Fund was also on the list of deactivated accounts. He was sued by the U.S. Securities and Exchange Commission in February 2023 on allegations that it was a fraudulent scheme, mixed investor funds, and $3.6 million pyramid-like payouts to investors before collapsing in 2022 .
The list of deactivated accounts includes a total of 29 accounts that have been deactivated. The user codes for each account have been edited and the list does not contain any other information.
NYAG investigation into Tether
The documents were collected by NYAG during a Tether investigation that resulted in a settlement in February 2021 and a fine of $18.5 million. They were published following a freedom of information request made by crypto publication CoinDesk, and the Attorney General's Office made them available to The Block.
The documents provide additional information about Tether's banking structure, its Bitcoin lending operations, and information about its commercial papers at the time.
The documents also show that Tether partially backed its stablecoin with Chinese commercial paper, which the company did not publicly admit at the time - despite strong rumors and articles suggesting that this was the case. The company no longer has commercial papers backing its stablecoin.
Tether initially opposed the release of these NYAG documents, but dropped the objection.
“After vehemently defending this, Tether withdrew from opposition, giving CoinDesk and other media outlets access to these documents to prove their commitment to transparency and openness regarding further unproductive US litigation,” the company said.
Unstoppable Domains will launch a racing game with NFT
Blockchain domain address registration service Unstoppable Domains has partnered with blockchain project MetaRides Racing to launch a non-fungible token (NFT) racing game
In the new game, users will be able to interact between dozens of automotive worlds, access to which is given to NFT owners. The goal of the game is to "break down the barriers between the metaverses by creating digital dealerships and offering collectible cars."
Domain owners on Unstoppable Domains will be able to customize their cars and give them original domains such as .x, .crypto and .nft.
In the first version of the game, users will be able to ride on the roads of the metropolis and its environs, as well as become owners of a Zara supercar. As development progresses, new locations and vehicles will be gradually added to MetaRides Racing. Also, over time, a multiplayer mode will appear - players will be able to invite friends and race together.
To ensure NFT racing car compatibility, MetaRides has partnered with nearly 60 different metaverse platforms including Income Island, Frenzland, Beyond Earth, XSpectar, Lunar One, Cyber Realm, EntertainM, XVerse, BloomVerse and many more.
“Through a partnership with Web3 industry leader Unstoppable Domains, MetaRides is expanding the possibilities of the blockchain gaming space.
Blockchain technology is helping us take gaming to the next level by allowing gamers to fully own and freely transfer, sell or trade their assets across dozens of interoperable virtual worlds,” said Mike Herm, CEO of MetaRides.
MetaRides Racing will soon appear on Steam, the largest platform for video games. In the future, the developers plan to significantly expand the list of platforms on which the game is available, including Epic Games Store mobile devices.
Web3 domain registrar Unstoppable Domains reached the unicorn level last year, climbing to $1 billion in capitalization. Last year, the startup raised a new capital round led by Pantera Capital's hedge fund, Unstoppable Domains.
In total, the project managed to raise $65 million. The pool of investors also included Mayfield, Gaingels, Alchemy Ventures, Redbeard Ventures, Spartan Group, OKG Investments, Polygon, CoinDCX, CoinGecko and others.
Transaction volumes on Robinhood fell 68% in May 2023
Popular trading platform Robinhood (HOOD) experienced a sharp drop in cryptocurrency trading volume in May 2023. This was stated by representatives of the company in an official statement dated June 12. At the same time, they stressed that transactions in shares and options remained at a high level.
The firm's management said that Robinhood has registered $2.1 billion in cryptocurrency trading volumes, a 43% decrease from the previous month. On an annualized basis, this value fell by 68%.
Average Daily Trading Revenue (DART), a metric that tracks daily trades and fees generated, was down 22% in the reporting period and down 53% compared to 2022.
Just last week, Robinhood delisted 3 cryptocurrencies. This was the result of regular checks. Thus, only 15 digital currencies remained available for trading on the site.
Among the affected coins and tokens were Cardano (ADA), Polygon (MATIC) and Solana (SOL). It is these virtual assets that have been identified by the US Securities and Exchange Commission (SEC) as unregistered securities in recent lawsuits against Coinbase (COIN) and Binance.
Dan Gallagher, chief compliance lawyer for Robinhood Markets, revealed that his company was trying to register as a dedicated digital asset broker in 2021. However, at that time, negotiations with financial regulators were unsuccessful.
The cryptocurrency market has been hit hard and lost several tens of billions of capitalization after several leading crypto exchanges were sued on charges of violating US securities laws. Robinhood also received a subpoena from the SEC.
ARK Invest CEO Cathy Wood: Bitcoin Price Will Definitely Hit $1M
ARK Invest CEO Cathy Wood doubled down on her bitcoin outlook, saying the top cryptocurrency will hit seven figures.
In an interview with Bloomberg, the expert confirmed that she remains confident that the $1 million target for BTC will be met.
According to Wood, the current global economic environment boosts her confidence in the flagship crypto asset:
The more uncertainty and volatility in the global economy, the more our confidence in bitcoin grows.
And one of the reasons is that we have just experienced an inflationary panic. We think this was largely driven by the supply chain, and bitcoin was, and still is, a hedge against inflation.
The CEO of ARK Invest is confident that a deflationary macroeconomic environment is looming over the world and Bitcoin will have a purpose other than acting as a buffer against inflation.
We now believe that the greater risk is deflation rather than inflation. And why would bitcoin succeed in this case? Because it is the antidote to counterparty risk in the traditional financial system.
Everything on the Bitcoin blockchain is transparent and perhaps pseudo-anonymous. We can see all transactions, all activity, and therefore we have a much better understanding of how little counterparty risk is in the world of blockchain.
Venture Capital Funding for Crypto Companies Dropped Sharply
According to a Fortune report citing PitchBook data, 8 cryptocurrency-focused venture capital funds alone have raised a total of $500 million.
This represents just 2.3% of the total raised in 2022 and marks a 90% reduction in the amount of funds available for financial support.
Uncertainty about the future of regulation, the consequences of the crisis in the banking sector hinder fundraising. The situation is aggravated by the SEC lawsuit against the Binance exchange.
It is unlikely that against this background the situation will improve in the near future. The US Securities and Exchange Commission's lawsuit against the Binance cryptocurrency exchange and its CEO Changpeng Zhao will bring new uncertainty to the cryptocurrency sector.
The crypto market faces a difficult task of restoring trust. Investors are moving to shares of companies working with artificial intelligence. The total value of the cryptocurrency market has declined to $1.1 trillion from a peak of over $3 trillion in 2021.
Jane Street Group, Jump Trading and other major trading firms have abandoned cryptocurrencies in the US amid increased scrutiny from regulators.
And after the banking crisis, regulators tightened their grip on the crypto market even more. As they say, the SEC lawsuit against Binance added fuel to the fire. The general situation on the market has cooled the interest of investors in cryptocurrency companies.
According to PitchBook, cryptocurrency venture funding in the first quarter of 2023 fell 80% year-over-year, from $12.3 billion to $2.4 billion.
According to statistics, traders lost almost $300 million on exchanges last day, as the rate of leading cryptocurrencies collapsed. Now the market will be watching how the process of confrontation between the SEC and Binance will unfold.
It is unlikely that venture investments in cryptocurrency companies will increase. However, it will not disappear completely, but will not rise to the 2022 high over the next months.
Bitcoin-ATM Installation Rates Resumed Growth
The number of cryptocurrency ATMs around the world has increased to 35,065 units. In early April, there were 5% fewer — 33,389, according to the Coin ATM Radar service.
The United States remains the leader in the number of installed bitcoin-ATMs - 30,014 (84.7%). On the second line of the ranking is Canada with 2740 units or 7.6% of the total. In third place is Australia - 463 (1.3%).
In terms of manufacturers, General Bytes is in the lead with 10,109 crypto ATMs (28.8%). Next come BitAccess (6913, 19.7%) and Genesis Coin (6596, 18.8%).
The leading Bitcoin ATM operator is Bitcoin Depot, which operates 6,362 devices or 18.2% of the market share. The top 3 also includes Coin Cloud (4265, 12.2%) and CoinFlip (4043, 11.5%).
In January 2022, device installations began to slow down. In the second half of last year, only 94 new ATMs appeared against 4169 in January-June.
Recall that in February 2023, the bitcoin-ATM operator Coin Cloud filed for bankruptcy. The company's liabilities to ~10,000 counterparties are estimated in the range of $100 million to $500 million.
In the same month, West Yorkshire Police and the UK Financial Conduct Authority launched raids against illegal bitcoin ATMs in the Leeds area. In March, checks began in London.
Sotheby's to sell second set of NFTs from Three Arrows Capital collection
The second NFT sale from the Three Arrows Capital Grails collection will take place in New York on June 15th. In the announcement of the upcoming auction, Sotheby's announces that 37 unique works of generative artists will be put up for auction. Among them, "Goose" by Dmitry Chernyak and "Fidenza # 216" by Tyler Hobbs are especially noted.
Note that the Goose collectible by Dmitry Chernyak was purchased by Three Arrows Capital co-founders Su Zhu and Kyle Davies in August 2021 for about 1,800 ETH, which at that time was about $6 million.
Earlier, Teneo, the liquidator of Three Arrows Capital, announced its intention to auction the entire NFT collection of the bankrupt cryptocurrency hedge fund. The first NFT Grails trade brought Teneo over $6 million.
Mastercard Believes That Blockchain Potential Have Yet To Be Fully Realized
According to Jorn Lambert, the Chief Digital Officer at Mastercard, "the genuine inherent worth of blockchain remains untapped." Lambert refers to the programmable nature of transactions, the unchangeable nature of transactions, and the capacity to execute delivery versus payment and continuous forms of payments.
Lambert states that "until the capacity to genuinely develop financially-regulated applications on the blockchain emerges, the advantages will never reach the mainstream." Consequently, "regulated financial institutions play a critical role in enabling [tokenized blockchain money transfers] to achieve widespread adoption."
The foundational systems that facilitate global connectivity, interaction, and transactions for individuals, businesses, and organizations are transforming due to innovation. The global economy is shifting from an information-based system to one where the transfer of value takes precedence.
Despite blockchain acquiring a negative connotation after the cryptocurrency sector's disastrous performance in 2022, numerous experts maintain that the technology underlying digital assets and blockchain is headed toward becoming indispensable for storing and transferring money.
We are still hoping to permanently alter the flow of capital by enhancing the system's overall efficiency, programmability, and immutability.
According to Lambert, the global economy presently relies on commercial bank money and banks' balance sheets. He asserts that "commercial bank money," also known as "tokenized deposits," must be securely, reliably, and expansively migrated to the blockchain for blockchain-based money transfers to exert substantial influence.
Layer 1 Blockchain Conflux Network Partners with Carry Protocol to Expand Dominance In the Korean Market
In a groundbreaking development in the blockchain industry, Layer 1 blockchain Conflux Network has announced a strategic partnership with Carry Protocol, a leading player in the blockchain-based advertising sector.
This alliance is set to expand Conflux Network’s dominance in the Korean market, further solidifying its position as a leading blockchain platform in Asia.
Conflux Network is a state-of-the-art public blockchain system that can handle large-scale applications without sacrificing decentralization, security, or speed. It’s a Layer 1 blockchain that utilizes a unique Tree-Graph consensus mechanism to achieve high throughput and optimal security.
With its innovative technology, Conflux Network has been making waves in the blockchain industry, and its recent partnership with Carry Protocol showcases its growing influence.
In the digital age, advertising platforms have become critical tools for businesses to reach their target audiences. However, as we transition from Web2 to Web3, the traditional advertising model is undergoing a significant transformation.
Blockchain-based advertising platforms are emerging as a powerful solution, helping blockchain projects expand globally and facilitating the transition of Web2 users to Web3.
Carry Protocol, a trailblazer in the realm of Web3 advertising, is poised to revolutionize digital advertising by leveraging the robustness of blockchain technology.
With its commitment to fostering enhanced transparency, data privacy, and equitable rewards for users and content creators, Carry Protocol emerges as a dedicated advertising platform in the Web3 era. It is devoted to bolstering various Web3 projects while delivering efficient, smart, and secure services to its users.
In a strategic alliance with Conflux Network, a world of new opportunities is set to unfold for both entities. Conflux Network will have the opportunity to drive Web3 adoption via Carry Protocol’s advertising platform, thereby broadening its user base and extending its reach.
This partnership allows Conflux Network to access Carry Protocol’s expansive network and engage users who are primed for participation in the Web3 ecosystem.
UK Venture Capital Investments Plummet 70%, Web 3 Sector Offers Hope
Andreessen Horowitz’s a16z crypto led a UK blockchain-related artificial intelligence startup’s $43 million round in an otherwise bleak funding year for crypto.
At around $216 million, infrastructure investments accounted for crypto’s largest slice of VC money, followed by decentralized finance and gaming. Coinbase Ventures and Hong Kong’s HashKey Capital were the most active investors in the space.
Infrastructure investments led crypto funding in the past year | Source: RootData
After a16z’s $43 million investment in UK-based Gensyn, Mythical Games’ Series C1 followed closely with $37 million.
The Andreessen Horowitz crypto arm announced in June it would set up a physical presence in the UK. The unit will specifically fund UK-based Web 3 startups.
While Prime Minister Rishi Sunak sought to attract crypto investments in the UK by vowing to make the nation a crypto hub as chancellor, his attention has recently been diverted to the cost-of-living crisis plaguing UK citizens.
Inflation in May was well above 7%, causing the central bank to tighten monetary policy and stoke recession fears.
A Thursday press release revealed that King Charles III of the UK gave royal assent to a new bill recognizing crypto trading as a regulated financial activity. The approval follows the bill’s passage through the upper house of Parliament on June 19.
Economic Secretary Andrew Griffith states that the new law would permit regulatory sandboxes testing blockchain use cases in traditional markets.
“By repealing old EU laws set in Brussels, it will unlock billions in investment – cash that can unlock innovation and grow the economy.”
The bill defines cryptocurrencies as a “cryptographically secured digital representation of value or contractual rights.” Recent legislation passed in South Korea also defined digital assets explicitly.
However, how the new laws will play out remains to be seen. In addition to rising prices, Sunak’s focus has shifted to limiting societal fallout from artificial intelligence.
In a recent interview, his government supervisor Matt Clifford suggested that regulators must urgently curb AI’s existential threat to humanity, which could materialize in about two years.
Web3 Foundation Struggles for Clarity in Web3 Sector Legislation
In its ongoing pursuit of lucid laws within the Web3 domain, the Web3 Foundation recently organized a panel discussion as part of Polkadot Decoded. The session delved into the present state of web3 legislation in the European Union (EU), where the foundation’s flagship initiative resides. The panelists explored the benefits of web3 blockchain technology and its potential to address the challenges faced by Web2.
They unanimously agreed that web3 necessitates well-defined regulations that consider the practical usage of blockchain technology, emphasizing user behavior over technical intricacies. Moreover, the discussion highlighted how countries with more structured legal frameworks, such as the EU, are outpacing those with ambiguous definitions and jurisdictions, thus encountering fewer hurdles.
Educating government agencies about blockchain technology is crucial to the Web3 Foundation’s mission. It believes that regulations should align with the nature and activities of businesses. Encouragingly, some countries are trying to adapt their laws to the realities of technology. During the panel, Daniel Schoenberger, the Chief Legal Officer of the Web3 Foundation, cited the EU’s MiCA law as an exemplary instance of heightened awareness. “The EU’s recognition of utility tokens as a distinct class is a pivotal step in acknowledging the various types of tokens based on their functionalities,” Schoenberger emphasized.
The panel, titled “The Decentralized Web: How Much Regulation Is Necessary?” featured an array of experts, including Joachim Schwerin, European Commission Principal Economist; Paige Collings, Senior Speech and Privacy Activist at the Electronic Frontier Foundation; Alfred Früh, Professor of Private Law at the University of Basel; and Ana Trbovich, Vice Chair of the Energy Web Foundation.
Joachim Schwerin, Principal Economist at the European Commission, remarked that blockchain represents a societal revolution. He further noted that the EU’s declaration of blockchain as its top innovation goal across all policy fields demonstrates an unprecedented recognition of decentralization and grassroots empowerment.
Ana Trbovich, Vice Chair of the Energy Web Foundation, compared with the programming language Python, stating that, like Python, blockchain should not be excessively regulated during specific applications of blockchain warrant attention in behavior regulation.
Paige Collings of the Electronic Frontier Foundation emphasized addressing behaviors rather than technologies regulating Web3 to mitigate privacy threats. She stressed that while decentralization exists, bad actors persist, necessitating the application of the same standards for privacy and freedom of expression that are upheld in the centralized web.
Professor Alfred Früh of the University of Basel discussed the potential of blockchain in protecting intellectual property rights, asserting that Web2 had disrupted the copyright system. He called for collaboration between blockchain entities and established authorities such as patent, trademark, and copyright offices to foster a cohesive ecosystem.
Through such insightful discussions, the Web3 Foundation strives to navigate the complex landscape of regulations to enable the flourishing of Web3 while safeguarding the interests of all stakeholders involved.
BlackRock and Coinbase combine for a blockbuster Bitcoin ETF application
A rocket has been tied to the Bitcoin price in the last week. Bitcoin bulls have ridden this wave to price levels above US$30,000. Since news of financial management behemoth BlackRock’s Bitcoin ETF application became public, the price of BTC has risen by ~20.7%, from around US$25,000 to above US$30,500. Bitcoin has recently touched new highs for 2023, breaking the US$30,000 price level with conviction. This has been a key resistance level all year.
An ETF or exchange-traded fund is an investment vehicle that tracks the performance of a particular asset or group of assets. A Bitcoin ETF will track the price of BTC, the largest crypto asset by market capitalization. The advantage of a Bitcoin ETF is that it will allow investors to buy into the ETF, and therefore gain exposure to Bitcoin price action, without having to buy and custody the asset itself.
Speculation around whether a Bitcoin ETF would be approved has been a key driver of price action since the first applications began in 2013. Since then, asset managers including Van Eck, Ark Invest, Bitwise, and Grayscale have all had their applications rejected. In total, over 30 previous applications for Bitcoin spot ETFs have been denied.
Immediately before the filing of the financial product, the price of Bitcoin was hovering around US$25,000 before receiving a leg-up to push it to higher heights over the weekend. Optimism around the filing of a spot Bitcoin ‘ETF’ by asset management giant BlackRock is not unfounded. There are signs that the BlackRRock ETF is different and has the potential to finally open the door for BTC to become investable to as wide an audience as possible.
According to the U.S. Securities and Exchange Commission (SEC), BlackRock has $8.6 trillion of “assets under management” (AUM), as of December 2022. BlackRock is sometimes known as the ‘company that owns the world’. It is considered to be one of the Big Three index fund managers alongside Vanguard and State Street.
BlackRock’s portfolio is extensive and touches nearly every major industrial sector in the world, it has enormous equity positions in Apple, Microsoft, and Nvidia to name a few. Its advanced trading algorithm called Aladdin, has shaped the world of trading over the past three decades. Vanguard and BlackRock are the top two owners of Time Warner, Comcast, Disney, and News Corp, together they own ~90% of the US media landscape. There is a feeling that what BlackRock wants, BlackRock gets.
The new BlackRock product is technically a trust, however, many experts suggest it will have the same functionality as an investor would expect a Bitcoin Exchange Traded Fund (ETF) to have. Senior ETF analyst at Bloomberg Eric Balchunas described the BlackRock Bitcoin trust as the ‘real deal’.
The BlackRock ETF, for example, is different from products available today such as the Grayscale Bitcoin trust. While the Grayscale Bitcoin product is only available to institutional investors and has to be purchased Over-The-Counter (OTC), the BlackRock product will be available to retail investors and will be listed on major ETF exchanges.
While some observers on Twitter have said that the BlackRock product is a trust and the market excitement is overwrought, Balchunas says the BlackRock product, while technically a trust will be considered an ETF by most investors. He said many structures fall under the ETF definition umbrella. He compares it favorably to SPDR’s Gold Trust, which in most investment circles is considered an ETF and at various points was described as the largest ETF in the world.
In further tweets he backed the BlackRock BTC trust for approval, pointing to BlackRock’s impressive 575 to 1, approval vs decline ratio when making filings with the SEC.
The Supreme Court upheld the right of Coinbase to consider disputes in arbitration
The U.S. Supreme Court sided with Coinbase Global Inc. in a solution that expands the ability of companies to submit customer and employee disputes to arbitration. By 5 votes to 4, the judges ruled that the suits filed in federal court should be shelved while the defendant files an appeal that will send the case to arbitration.
If the district court could continue pre-trial and trial proceedings while the arbitrability appeal is pending, then many of the alleged benefits of arbitration (efficiency, lower costs, less intrusive disclosure of information, etc.) would be irrevocably lost, said Judge Brett Kavanaugh .
The fact is that Coinbase is fighting the claims of Abraham Belsky, who said that the crypto company should compensate him $ 31,000, which he lost after that, as before gave the scammer remote access to his account.
In the second lawsuit, which was transferred to the Bepxovy Court, Coinbase is accused of conducting sweepstakes with Dogecoin in the amount of $ 1.2 million without proper disclosure of information about what the participants it was not necessary to buy or sell cryptocurrency.
Deutsche Bank AG applied for custody of digital assets
Deutsche Bank, Germany's largest lender, is the latest traditional financial institution to dive into the world of cryptocurrencies, filing on June 20 for a license to provide custody services for digital assets, according to a recent Bloomberg report.
David LYNN, head of the company's commercial division, said the move is part of a broader strategy to increase fee and commission income from corporate clients.
The initiative also reflects DWS Group's investment arm's interest in cryptocurrencies and the potential benefits associated with them, Lynn said.
Deutsche Bank announced its plans to develop crypto in February. It was then reported that the asset management group of German banking giant Deutsche Bank AG was in talks to invest in two German crypto companies, Deutsche Digital Assets and Tradias.
Investment plans in crypto companies are in line with the bank's roadmap, according to which Deutsche Bank will place its products on the blockchain with the possibility of creating a euro-based stablecoin.
FT: Hong Kong requires HSBC and Standard Chartered to accept crypto clients
The Hong Kong Monetary Authority (HKMA) is forcing major banks such as HSBC, Standard Chartered and Bank of China to accept crypto exchanges as clients, according to the Financial Times.
According to the sources of the publication, in May, the HKMA sent a request to banks: why cryptocurrency exchanges are not accepted as clients. Although banks do not have a ban on crypto clients, they refuse to work for fear of being held accountable if the platforms are used for money laundering or other illegal activities.
Standard Chartered told reporters that the company is in dialogue with regulators on any issues. At the same time, the company declined to comment on the FT investigation.
From June 1, Hong Kong introduced a new Virtual Asset Service Provider (VASP) licensing regime that will allow local users to trade cryptocurrencies.
The Hong Kong Securities and Futures Commission (SFC) has already developed additional guidance for banks on customer service dealing with crypto assets. By 2024, local regulators plan to work out a regime for licensing issuers of stablecoins.
However, HKMA Chairman Eddie Yue warned crypto companies that they should not expect any favors from regulators, despite the region's ambition to become a hub for digital asset development.
Recently it became known that the actions of the US Securities and Exchange Commission (SEC) against the Binance cryptocurrency exchange may force the latter to move to Hong Kong.
New York Bans CoinEx Exchange, Seizes $1.7M
CoinEx was shut down for failing to register as a broker-dealer and for "falsely presenting itself as a cryptocurrency exchange," the NYAG said in a statement.
Attorney General Letitia James has banned Hong Kong-based crypto exchange CoinEx from New York. According to a June 15 announcement, more than $1.7 million worth of the exchange's funds were seized, allegedly for failing to register as a securities and commodities broker.
The agreement resolves a previous lawsuit against CoinEx in February, when New York State accused it of falsely presenting itself as an exchange and refusing to register with local governments.
“As part of today’s consent order, CoinEx is prohibited from offering, selling, or buying securities and commodities in New York, and is also prohibited from making its platform available in the state,” the announcement reads.
Under the agreement, more than $1.1 million will be returned to 4,691 New York investors and more than $600,000 in penalties will be paid to the state.
In addition, CoinEx must implement geo-blocking to prevent access from New York IP addresses. CoinEx is also prohibited from creating new accounts for US customers.
“Today’s agreement should serve as a warning to crypto companies that there are serious consequences for ignoring New York laws.
My office will continue to pursue crypto companies that blatantly ignore the law, mislead investors, and put New Yorkers at risk,” James said in a statement.
Bitstamp and Interactive Brokers Get FCA Approvals
The approval, received on June 13, makes Bitstamp UK Limited the latest addition to the FCA cryptocurrency registry and comes just a day after broker/dealer trading company Interactive Brokers (UK) received the approval.
Notably, the FCA has not approved any crypto asset firm since Hidden Road registered in December, making these recent approvals the first in six months, joining companies such as TP ICAP, Revolut, Gemini, Kraken and eToro.
Working in the UK requires crypto firms to comply with FCA anti-money laundering requirements. The UK government is promoting London as a center for cryptocurrencies, but the regulatory approval process has been criticized for its slow pace and conservative approach.
The FCA began filing applications for registration under its anti-money laundering regulations in January 2020. However, many struggled to meet the regulator's criteria by the March 31, 2022 deadline, with only 42 crypto firms successfully registered to date, causing frustration in the digital asset community.
However, the regulatory framework may soon become clearer as the UK Financial Services and Markets Bill, currently before Parliament, should lay the legislative groundwork for including stablecoins and cryptoassets in financial services regulation, expanding the FCA's powers.
“This achievement is Bitstamp's recognition of our ongoing and unwavering commitment to operating at the highest level. It also confirms that our platform offers compatible and secure access to cryptocurrencies in the UK in accordance with the strict requirements set by the FCA,” Bitstamp said in a blog post.
Bitstamp and Interactive Brokers join a growing number of firms, including a16z, interested in establishing a presence in the UK and operating in a more favorable regulatory environment for crypto companies compared to the recent SEC enforcement action in the US market.
Binance and Coinbase lawsuits are dangerous for DeFi
It turns out that the regulatory authorities are striving to suppress the main advantages in the form of smart contracts, the absence of intermediaries and wide user opportunities. The most dangerous thing here is that continued opposition can create uncertainty among developers and make it harder to implement new concepts.
The SEC list includes a number of tokens that are assigned the status of securities. This means that they are obliged to comply with the requirements of the law and comply with all procedures that are provided for standard securities. For DeFi, this means significant barriers to innovation.
Also, do not lose sight of the prospect of liquidity problems due to the impact on market availability or trading activity. In general, such actions can reduce the effectiveness of decentralized protocols.
In the event that the coins specified by the SEC are actually recognized as securities, DeFi will be forced to incur higher costs, as well as face administrative difficulties, which will negatively affect the overall performance of the sphere.
The danger is also that not only those coins that were listed in the list, but also any others can be recognized as securities. As a result, uncertainty hangs over DeFi, reducing investor interest and increasing their risks.
It turns out that the position of regulators provides unfair advantages to the traditional finance sector. However, it cannot be said that there are no fraudulent operations or other negative precedents in it.
For example, the crisis that occurred in 2008 exposed the facts of illegal operations, weak management and unreasonable risks. Nevertheless, banks received state support, despite the direct impact on the situation.
Stock exchanges are a completely different story. The accusations are built without a legislative basis (recall, the head of the SEC himself could not answer for sure whether ETH is a security), however, there is no question of any liberal approach.
There are obvious contradictions regarding fairness and accountability. Regulators oppose innovation and fair competition between the crypto industry and the traditional financial industry.
In the longer term, this threatens with a high migration of strong players in the digital currency market to more favorable conditions, as well as obstacles for the accession of institutional investors who will not agree to work in an area that does not have a clear regulatory framework.
In any case, experts see a long-term confrontation, and some are confident that the Republicans' coming to power following the elections will give more freedom to the crypto-sphere.
Aave Proposes Deployment of GHO Stablecoin on Ethereum
Aave Companies, a key contributor to the DeFi platform, is approaching the final phase of implementation of the decentralized stablecoin GHO, which is already running on the Ethereum Goerli testnet.
The final launch of the stablecoin will require two rounds of on-chain voting from the Aave community, including the first “ARFC” pre-proposal and the final Aave improvement proposal.
If these proposals are given the green light by the decentralized autonomous organization Aave, GHO will be launched on the Ethereum mainnet, available to V3 users.
If the proposal is approved by the DAO, all interest earned from the GHO loans will go to the DAO treasury as additional income.
This could potentially encourage DAO members to vote on the proposal, which would increase the financial sustainability of the project.
Tether invests in Salvadoran mining startup
Tether CTO Paolo Ardoino said the company has co-financed Salvadoran startup Max Keiser Volcano Energy. The startup is building mining facilities that are going to use the energy of local thermal springs.
Tether noted that the source of investment was income from the company's operating activities, and not reserve assets.
“Tether's investment in Volcano Energy is limited and within our own excess reserves. The USDT stablecoin insurance reserves are not affected,” the top manager assured.
Volcano Energy does not disclose the exact amount of investments transferred to Tether for the development of the project, but reports that in total the startup raised about $250 million in the first round of funding. Volcano Energy plans to attract international investments for the construction of a mining platform for a total of about $1 billion.
At the end of May, Tether announced plans to provide funding to a licensed company in Uruguay to build renewable energy sources and carbon-neutral bitcoin mining infrastructure.
Santiment analysts recorded a sharp surge in LTC transactions
On June 1, the cost of Litecoin (LTC) increased by 6.5% per day and exceeded $95.98. Santiment analysts linked this to the upcoming halving in the cryptocurrency network, which is just over two months away.
In addition, the volume of LTC transactions reached the highest level since May 13, 2021, and the current activity of large investors is at a maximum since January 26 this year.
Halving is a two-fold reduction in the reward to miners for a mined block in the blockchain embedded in the code. It is expected on the Litecoin network ~August 5, 2023 (according to Neovesting). The reward will decrease from the current 12.5 to 6.25 LTC.
It is an altcoin launched by developer Charlie Lee in October 2011. It is used to carry out small daily transactions with a low commission.
At the end of 2021, he ranked third in popularity among Russians. As of June 2, 18:00 Moscow time, it occupies the 13th place in the rating of cryptocurrencies with a capitalization of $6.8 billion and is traded on Binance at $93.83, having lost 0.53% per day.
In early May, Lee said that LTC against Bitcoin could rise by 700%, to 0.025 BTC, in the next bullish cycle. In his opinion, this will be facilitated by higher network bandwidth and scalability, as well as privacy.
⚪️ Как обезопасить свои крипто-кошельки?
Топ 5 советов от экспертов, которые помогут вам сохранить свою валюту
🔵5 главных тенденций в кибербезопасности
Их обязательно нужно знать тем, кто инвестирует в крипту
🔴Кто роняет биткоин?
И что об этом говорит CryptoQuant?
Кладезь полезной информации вы найдете в телегам-канале HyperGuard – news
Переходи и подписывайся, если хочешь защитить свои криптосбережения
