Weekly Crypto News: 22/11/2023 to 28/11/2023
Fidelity’s Spot Bitcoin ETF Listed on DTCC
Fidelity Investments, one of the world's largest investment firms, has listed its Bitcoin ETF (BTC) on the DTCC, the US derivatives exchange. This is the first Bitcoin ETF to be listed on the DTCC, which represents an important milestone for the institutional acceptance of cryptocurrencies.
Fidelity's Bitcoin ETF allows investors to access the Bitcoin market without having to purchase or store the digital asset. The ETF trades under the ticker "FBTC" on the New York Stock Exchange (NYSE).
The listing of Fidelity's Bitcoin ETF is a sign that cryptocurrencies are increasingly being accepted by traditional financial institutions. This trend is likely to continue in the future as more investors seek exposure to the Bitcoin market.
In summary, Fidelity Investments has listed its Bitcoin ETF on the DTCC, which is an important milestone for the institutional acceptance of cryptocurrencies. The ETF allows investors to access the Bitcoin market without having to purchase or store the digital asset.
Bitcoin Miner Backed By Jack Dorsey Confirms It Will Censor Ordinal Inscriptions
Ocean Mining, a new Bitcoin mining pool backed by Twitter founder Jack Dorsey, has confirmed that it will censor ordinal subscriptions. Ordinal inscriptions are a way of using OP_RETURN return fields to store data such as messages, images, or videos.
Ocean Mining says it is censoring ordinal subscriptions to help protect the Bitcoin network from denial of service (DoS) attacks. DoS attacks can be used to overload Bitcoin network nodes, which can cause service disruptions.
Ocean Mining's decision to censor ordinal inscriptions was met with criticism from the Bitcoin community. Some critics argue that censorship is a violation of Bitcoin's principle of decentralization. Others criticize the effectiveness of the measure to protect the Bitcoin network from DoS attacks.
In short, Ocean Mining, a Bitcoin mining pool backed by Jack Dorsey, will censor ordinal subscriptions. The decision was met with criticism from the Bitcoin community.
El Salvador offers 'Freedom Visa' for $1 million crypto investment
The Republic of El Salvador, which in 2021 made Bitcoin legal tender, launched a $1 million freedom visa program. The program, called "Adopting El Salvador Freedom Visa," offers foreign investors the opportunity to obtain Salvadoran citizenship in exchange for a $1 million investment in Bitcoin or USDT.
The program is backed by Tether, a stablecoin backed by the US dollar. Tether says the program "highlights our commitment to supporting cities and communities in their pursuit of financial freedom and innovation."
To qualify for the program, foreign investors must meet the following requirements:
- Invest $1 million in Bitcoin or USDT.
- Have a history of good conduct.
- No criminal record.
Investors who qualify for the program will be entitled to a range of benefits, including:
- Salvadoran citizenship.
- Right to live and work in El Salvador.
- Right to vote in Salvadoran elections.
The program is seen as an effort by the Salvadoran government to attract foreign investment and promote the adoption of Bitcoin.
Tether's new sanctions froze 161 wallets. Only eleven hold USDT
Tether, the company behind the USDT stablecoin, announced on December 10, 2023 that it would freeze funds in 161 Ethereum wallets that were listed on the United States Office of Foreign Asset Controls (OFAC) sanctions list.
Only 11 of these wallets contained USDT, for a total of 3.5 million USDT. The remaining 150 wallets contained other cryptocurrencies such as ETH, BTC, SOL and XRP.
Tether stated that the measure was taken to "proactively prevent any potential misuse of Tether tokens." The company also said that OFAC's sanctions list is "regularly updated," so it is possible that more wallets will be frozen in the future.
The freezing of Tether wallets is an important development as it demonstrates that the company is willing to cooperate with government authorities to combat misuse of its stablecoins.
Long liquidations spike to over $320 million today as bitcoin, ether stumble
On December 14, 2023, the price of Bitcoin (BTC) and Ethereum (ETH) suffered a drop of around 4%. This drop led to a liquidation of more than US$320 million in long positions, that is, positions that bet on rising prices.
Liquidations took place across all major cryptocurrency exchanges such as Binance, Coinbase and Kraken. The traders who lost money from the liquidations were those who had opened long positions with leverage, meaning they had invested more money than they had.
The drop in cryptocurrency prices can be attributed to a number of factors, including:
- The rise in inflation in the United States, which is driving investors to seek safer assets.
- Growing geopolitical uncertainty, with the war in Ukraine and the threat of a possible Chinese invasion of Taiwan.
- Increased competition between cryptocurrencies, with the launch of new projects and the rise of alternative cryptocurrencies.
Falling cryptocurrency prices could be a sign that the market is entering a period of consolidation. However, it is important to remember that the cryptocurrency market is volatile and prices may rise again in the future.
Nubank Cripto adds support for USDC, broadening access to the stablecoin in Brazil
Nubank Cripto, Nubank's cryptocurrency platform, announced on December 7, 2023 that it will add support for the USDC stablecoin. This means that Nubank customers in Brazil will be able to buy, sell and store USDC directly on the Nubank platform.
USDC is a stablecoin backed by the US dollar. This means that each USDC token is backed by one US dollar held in reserve. Stablecoins are considered a more stable form of cryptocurrency as their value is pegged to a traditional fiat currency.
The addition of support for USDC by Nubank is an important step towards expanding the adoption of cryptocurrencies in Brazil. Nubank is one of the largest financial institutions in Brazil, with more than 85 million customers. The addition of support for USDC will make it easier for these customers to access a stablecoin, which can be used for a variety of purposes such as payments, investments, and inflation protection.
Crypto.com Gets Regulatory Approval for Electronic Money Institution in UK With Financial Conduct Authority
Crypto.com receives regulatory approval as an e-money institution in the UK
Crypto.com, one of the world's largest cryptocurrency exchanges, has received regulatory approval from the UK's Financial Conduct Authority (FCA) as an Electronic Money Institution (EMI).
FCA approval allows Crypto.com to offer a range of financial services in the UK, including money transfers, payments and digital currency storage. Crypto.com is also authorized to operate as an Authorized Payment Institution (IP) in the United Kingdom.
The FCA approval is an important milestone for Crypto.com as it demonstrates that the company is committed to complying with UK laws and regulations. The approval also opens up opportunities for Crypto.com to expand its business in the UK and other European countries.
With Coinbase Wallet, sending money is now as easy as sending a text
Coinbase Wallet launches new functionality to make sending money easier
Coinbase Wallet, a cryptocurrency wallet from Coinbase, announced on December 5, 2023, new functionality to make sending money easier. The new functionality allows Coinbase Wallet users to send money to others using just a link.
To use the new functionality, the user must first create a link in Coinbase Wallet. The link is created based on the recipient's cryptocurrency address. Then the user can share the link with the recipient through any messaging platform such as email, WhatsApp or Telegram.
When the recipient clicks the link, they are taken to a page in Coinbase Wallet where they can accept the money. The money is deposited into the recipient's wallet instantly.
The new Coinbase Wallet functionality is an important step in making sending money with cryptocurrencies easier and more accessible. The functionality makes the process of sending money as simple as sending a text, which could help increase the adoption of cryptocurrencies as a payment method.
A Configurable and Programmable Wrapper Mechanism for Recovering ERC-20 Tokens
Circle Research launches recovery mechanism for ERC-20 tokens
Circle Research, a subsidiary of Circle, a blockchain infrastructure company, has launched a new recovery mechanism for ERC-20 tokens. The mechanism, called "recoverable wrapper tokens", allows developers and users of ERC-20 tokens to protect their assets from theft and illicit transactions.
The mechanism works as follows: users can “wrap” their ERC-20 tokens in recovery tokens. Recovery tokens are ERC-20 tokens that are pegged to the original tokens. The original tokens are locked in a smart contract, and the recovery tokens are released to the user.
If the original tokens are stolen or used in an illicit transaction, developers can recover the original tokens using the smart contract. The mechanism allows developers to configure a variety of rules to determine when the original tokens can be recovered.
The ERC-20 token recovery mechanism is an important tool for protecting cryptocurrency assets. The mechanism is flexible and can be adapted to meet the needs of different developers and users.
Swiss city Lugano accepts Bitcoin and Tether for municipal taxes
The Swiss city of Lugano has started accepting Bitcoin and Tether as payment for taxes and other municipal fees.
The city of Lugano, Switzerland announced on December 12, 2023 that it has started accepting Bitcoin (BTC) and Tether (USDT) as payment for taxes and other municipal fees. The measure is part of the city's effort to promote the adoption of cryptocurrencies.
Lugano citizens and businesses can now pay taxes, utility fees and other municipal fees using cryptocurrencies. To do this, they need to convert their cryptocurrencies into Swiss francs (CHF) using a cryptocurrency exchange or payment service.
The city of Lugano is not the first to accept cryptocurrencies as tax payments. The Swiss canton of Zug has also been accepting Bitcoin and Ether (ETH) as tax payments since 2021.
The adoption of cryptocurrencies as a form of payment is growing across the world. Lugano's move could help further boost the adoption of cryptocurrencies in Switzerland and other countries.
Bitcoin perpetual futures open interest hits yearly high on Deribit
Open interest in bitcoin perpetual futures has reached a record high of $740 million on Deribit, a cryptocurrency exchange.
Open interest is a measure of the amount of money that is committed to futures contracts. An increase in open interest could indicate that more investors are betting on the price of a particular cryptocurrency.
In the case of Bitcoin, the increase in open interest can be attributed to a number of factors, including:
T- he growing adoption of cryptocurrencies as a form of investment and payment.
- The increase in Bitcoin price volatility.
- The expectation of approval of Bitcoin ETFs in the United States.
Open interest in Bitcoin perpetual futures is an important measure of market sentiment. An increase in open interest could signal that more investors are optimistic about Bitcoin's future.
Here are some specific points to highlight:
Synthetix Tokenholders Vote To End SNX Inflation
Token holders of Synthetix, a DeFi protocol that allows users to trade synthetic assets, have voted to end SNX inflation. The vote, which took place in October 2023, was approved by an 86% margin.
SNX inflation is a process by which new SNX tokens are created and distributed to SNX token holders. Inflation was introduced to incentivize SNX token holders to participate in the Synthetix protocol.
With the end of inflation, SNX token holders will no longer receive new SNX tokens. However, they will still be able to earn rewards for providing liquidity to the Synthetix protocol.
The end of inflation is an important change for the Synthetix protocol. Inflation helped drive the protocol's growth, but it also led to a dilution of SNX's value. With the end of inflation, the value of SNX may increase as the supply of tokens will be limited.
Auction House Sotheby's Announces First Sale of Bitcoin Ordinals Collection
Auction house Sotheby's announced that it will hold the first sale of a collection of Bitcoin Ordinals on January 18, 2024.
The Bitcoin Ordinals collection is made up of 131 digital works of art representing the first 131 satoshis, the smallest unit of a Bitcoin. The works were created by anonymous artist Shroomtoshi and were recorded on the Bitcoin blockchain using the Taproot update.
Sotheby's estimates the collection will sell for between $1 million and $2 million. The auction will be held online and in person.
The sale of the Bitcoin Ordinals collection is an important milestone for the cryptocurrency industry. This is the first time that a world-renowned auction house has offered a cryptocurrency-based digital art collection. The sale could help increase recognition and acceptance of cryptocurrency-based digital art.
LayerZero To Launch Token In 2024
The LayerZero cross-chain protocol will launch a token in the first half of 2024.
LayerZero is an inter-chain messaging protocol that allows applications and assets to be transferred between different blockchains. The LayerZero token will be used to incentivize protocol participants, including validators, liquidity providers, and users.
The LayerZero token has not yet been named, but it will be a utility token that will allow users to access features and services of the LayerZero protocol. The token will also be used for protocol governance, allowing token holders to vote on changes to the protocol's rules.
The launch of the LayerZero token is an important step in the development of the protocol. The token should help drive LayerZero adoption and attract new participants to the ecosystem.
UK asset manager M&G invests $20M in Bitcoin derivatives exchange
British asset manager M&G has invested $20 million in Global Futures & Options Holdings (GFO-X), the UK's first regulated Bitcoin derivatives exchange.
GFO-X will initially offer Bitcoin index futures and options clearing. The move provides a platform for traditional financial institutions to gain exposure to various cryptocurrency derivatives investment products.
The M&G investment is a sign of growing interest from traditional financial institutions in cryptocurrencies. M&G is one of the UK's largest asset managers, with over £375 billion under management.
Compound DAO vote to pay developer for major bugfix falls 15,000 votes short of quorum
A Compound DAO vote to reward a developer for fixing a critical vulnerability failed by 15,000 quorum votes.
The vote, which took place on December 6, 2023, was proposed to reward the developer, known as "KP", with 100,000 COMP tokens, worth around $1 million at the time. The vulnerability, which was discovered by KP in August 2023, could have been used by a hacker to steal funds from Compound users.
Despite the support of more than two-thirds of DAO delegates, the vote failed by 15,000 quorum votes, which is 400,000 votes. The vote appeared far from passing for much of the voting period, but a last-minute vote by VC Andreessen Horowitz brought 256,000 votes in favor.
The vote's failure raised questions about how the DAO should reward developers who find and fix vulnerabilities. Some DAO members argued that the proposed reward was too high, while others argued that it was insufficient to compensate the developer for the risk he took.
The developer, KP, has not made any public comments on the outcome of the vote.
# Arbitrum DAO rejects early-contributor funding proposal in current form
Arbitrum DAO rejected a proposal to reward 24 early community members with 500,000 ARB each.
The proposal, which was presented on December 2, 2023, was rejected by a margin of 20%. Proponents of the proposal argued that the 24 community members played a key role in the development and launch of Arbitrum, and that a reward would be a way to recognize their work.
Opponents of the proposal argued that it was unfair as it would only reward 24 community members, while there were many others who also contributed to the development of Arbitrum. They also argued that the proposal was unnecessary as the 24 community members had already been rewarded with the opportunity to participate in the development of Arbitrum.
The rejection of the proposal was a setback for proponents, who had hoped it would be approved. The proposal was supported by some of Arbitrum's leading investors, including Alameda Research and Pantera Capital.
The future of the proposal is uncertain. Proponents may try to reintroduce it in the future, but it is likely to face the same opposition.
# Fuse announces $10 million grant programme for Web3 startups
Fuse Network announced a $10 million grant program to support startups and businesses wanting to access Web3 payment systems.
The grant program will cover infrastructure financing and support. Eligible companies include companies looking to build and use Web3 payment technologies.
Grants will be awarded based on a range of criteria, including potential impact, technical feasibility and staffing. Applications will be accepted until March 31, 2024.
The Fuse Network fellowship program is a sign of the growing interest in Web3. Web3 payment technologies offer a number of advantages over traditional payment systems, including greater transparency, security and efficiency.
QANplatform Signs $15M VC Deal for Its Quantum-Resistant Layer 1 Blockchain
QANplatform, a quantum-resistant layer-1 blockchain platform, has signed a $15 million investment agreement with MBK Holding, a Qatari private investment firm.
The investment will be used to support the development of the QANplatform, including the launch of its mainnet, the development of third-party applications and services, and the expansion of the team.
QANplatform is a layer-1 blockchain platform that uses post-quantum technology to ensure your data and transactions are secure against quantum attacks. Post-quantum technology is a set of mathematical algorithms that are designed to be resistant to attacks from quantum computers.
MBK Holding's investment is a sign of growing interest in quantum-resistant blockchains. Quantum computers are becoming increasingly powerful and, as they become more common, they pose a potential threat to the security of traditional blockchains.
Bitcoin Project Babylon Raises $18M to Bolster Development of Staking Protocol
Babylon, a Bitcoin staking project, has raised $18 million in a Series A funding round led by Polychain Capital and Hack VC.
The funding will be used to support the development of the Babylon protocol, which will allow users to stake their Bitcoin on Proof-of-Stake (PoS) networks. The Babylon protocol will also provide liquidity for Bitcoin, allowing users to use it for transactions and loans.
“We believe Bitcoin is the most secure and decentralized foundation on which to build a decentralized financial future,” said Matthew Graham, co-founder of Babylon. “The funding we received will allow us to accelerate the development of the Babylon protocol and help build a more robust Bitcoin staking ecosystem.”
The Babylon project is led by an experienced team with experience in cryptocurrencies, blockchain and finance. The team includes Matthew Graham, co-founder of cryptocurrency derivatives marketplace Deribit, and Alex Leishman, former chief engineer at Coinbase.
Babylon's funding is a sign of growing interest in Bitcoin staking. Staking is a process that allows users to earn rewards for holding their cryptocurrencies in a wallet. Staking is a way to support the security and decentralization of PoS networks.
The Babylon protocol has the potential to make Bitcoin staking more accessible and easier to use. The protocol can also help increase liquidity for Bitcoin, making it more usable for transactions and lending.
Balancer V3: Embracing the Future of DeFi
Balancer V3 is a new version of the Balancer protocol, an automated liquidity aggregator that allows users to create custom liquidity pools.
V3 introduces a number of new features and improvements, including:
- Improved Flexibility: Users can now create liquidity pools with any combination of tokens, including ERC-20, ERC-721, and ERC-1155 tokens.
- Improved efficiency: V3 uses a new liquidity management algorithm that is more efficient and reduces slippage rates.
- Improved programmability: V3 offers a richer API that allows developers to create new applications and services.
Balancer V3 is an important step in the development of DeFi. New features and improvements make Balancer more flexible, efficient, and programmable, making it a more powerful tool for DeFi users.
Worldcoin Foundation $5M Grants Program Focuses on 'Equitable Systems'
The Worldcoin Foundation, the nonprofit behind the Worldcoin project, announced a $5 million grant program to support projects that are building equitable systems.
The scholarship program will have three tracks:
- Research and development: This track will support projects that are exploring new technologies and approaches to building equitable systems.
- Applications: This track will support projects that are using Worldcoin or World ID to create new applications that promote equity.
- Education and awareness: This track will support projects that are educating the public about the benefits of equitable systems.
Grants will be awarded based on a range of criteria, including potential impact, technical feasibility and staffing. Applications will be accepted until March 31, 2024.
The Worldcoin Foundation's scholarship program is a sign of the organization's commitment to building equitable systems. The program has the potential to support a range of projects that are working to make the world a fairer and more inclusive place.