Decreased leverage in Ether and Bitcoin futures on Binance
The value of the US dollar in perpetual Ether (COIN:ETHUSD) futures contracts on Binance has dropped to its lowest level in 13 months, standing at $1.41 billion. This 35% drop in one week mirrors the deleveraging seen in the spot market. By comparison, Bitcoin perpetual futures (COIN:BTCUSD) are down 17% over the same period. The overall degree of leverage used to boost returns also showed a decline, signaling a possible reduction in volatility brought on by sell-offs in the near future.
Bitcoin rising: Trading volumes surpass monthly averages
On Wednesday, Bitcoin (COIN:BTCUSD) saw nearly 5% growth nearing $26,800 amid a recovery in traditional markets and falling interest rates. Bitcoin trading volumes reached $173 million, beating the monthly average by 59%. The increase is related to the recovery of the stock market and the depreciation of the dollar, benefiting cryptocurrencies.
PancakeSwap expands to Linea Network for efficiency and lower fees
The decentralized PancakeSwap v3 was integrated into the Linea Network, built by Ethereum Consensys, after a successful testnet phase. Linea offers faster transactions and reduced costs without compromising security. PancakeSwap on Linea brings advanced functionality for swap and liquidity provision, allowing liquidity providers to achieve greater efficiency. A farm feature is planned to be added, allowing users to earn CAKE tokens.
Shibarium tier 2 release imminent after successful testing
The Tier 2 version of Shibarium is ready for public release after a successful testing phase. The Shiba Inu team confirmed that the platform is active in private mode, running smoothly. Improvements include additional security measures and a monitoring system to manage traffic spikes. Despite initial challenges such as server overload, the team is confident of the successful reopening of the network.
Galaxy Digital may manage crypto assets from bankrupt FTX
Galaxy Digital, Mike Novogratz’s company, may take over the management of the remaining digital assets of cryptocurrency exchange FTX, which has declared bankruptcy. On August 24, the company applied to the US District Court for authorization to sell digital assets recovered from bankruptcy, totaling around $7 billion. The intention is to utilize Galaxy Digital’s expertise to maximize portfolio value, while reducing the risks associated with volatility. At the same time, FTX proposed a restructuring plan, considering a new offshore exchange. In other news, FTX founder Sam Bankman-Fried, who has had his bail revoked and been arrested, has been granted permission by a federal judge to meet with his lawyers unlimitedly at the Metropolitan Detention Center in Brooklyn, preparing for his trial on 3 October. Although the defense requested transfer or meetings in Manhattan, the judge allowed Bankman-Fried access to a computer to review materials. This arrest follows allegations of attempted contact with witnesses and misuse of a VPN.
Bitstamp ends US staking amid regulatory pressure from SEC
Bitstamp has announced the end of its US staking service effective September 25th in response to the strict regulatory environment. The SEC has strongly contested staking, classifying it as an investment contract under the Howey Test. Earlier this year, Kraken had already ceased its staking operations due to SEC concerns. However, reports suggest that the market for decentralized staking derivatives such as Ether.Fi continues to grow.
Binance P2P in Russia uses sanctioned banks under name disguise
Cryptocurrency exchange Binance P2P in Russia continues to process transactions through sanctioned banks such as Rosbank and Tinkoff, despite denying associations with such banks. Binance P2P apparently rebranded these banks as “Yellow and Green cards” after reports pointed to their collaborating with sanctioned financial institutions. Furthermore, other major exchanges such as Huobi and OKX also facilitate similar transactions.
Binance Card suspends services in Latin America and Middle East
Binance Card, a crypto debit card, will be discontinued in Latin America and the Middle East starting September 21st. This card allows users to carry out daily transactions using digital assets. Despite this suspension, Binance launched its Binance Pay service in Brazil, which has already processed more than US$98 billion in payments, with more than 12 million active users. At the same time, the company is facing regulatory challenges in Europe, after the termination of its partnership with payment processor Checkout.com, based in London.
Cypher platform presents recovery strategy after $1 million attack
After suffering a $1 million exploit, crypto trading platform Cypher outlined a two-phase recovery plan. In the first, losses will be “socialized” among all users, with a rescue package based on the platform’s current assets. In the second phase, an IDO will be launched to raise funds, while a “debt token” will be distributed to users, representing the future repayment of lost assets. As the platform seeks to rebuild, smart contracts will remain frozen and audits will be performed to ensure security.
Two men accused of $1 billion money laundering scheme linked to North Korea
Two individuals, Roman Storm from the state of Washington and Russian Roman Semenov, were charged by federal authorities with managing a money laundering scheme involving over $1 billion, some of which was directed to North Korean hackers. Using the Tornado Cash mixer, they are alleged to have assisted criminals, including the North Korean organization Lazarus Group, in concealing illicit funds. While Storm has been arrested, Semenov remains at large. If convicted, both could face up to 20 years in prison.
Bitcoin’s growth in West Africa
Nigeria is leading Bitcoin adoption in West Africa, but other countries such as Senegal and Benin are fast following. In Senegal, Bitique, the first Bitcoin exchange and education center has opened, and the country will also host a Bitcoin Forum in Dakar. Benin will host the Bitcoin Mastermind conference, the first of its kind in the country. These initiatives reflect a growing rejection of French influence in the region and a growing interest in decentralized financial alternatives.
UK considers ban on cold calling in finance
UK regulators propose to ban unsolicited calls in financial services, impacting the crypto sector. This action forms part of the UK Treasury’s Fraud Strategy. The government seeks public feedback on possible impacts of this ban.
Patricia Token sparks distrust in the Nigerian crypto community
Nigerian cryptocurrency exchange, Patricia, has launched its own native token, Patricia Token (PTK). The intention is to transfer operations to the Patricia Plus app and replace customers’ existing Bitcoin (COIN:BTCUSD) with this new token, which claims to have a 1:1 parity with the US dollar. However, following a security breach in May 2023 and the PTK’s lack of visibility on leading aggregators, the local crypto community is alarmed and speculating about a potential exit scam.
Decline in blue-chip NFT prices reveals volatile market
In the last 30 days, renowned “blue-chip” NFTs have seen a drop of more than 25% in their minimum prices, according to Nansen.ai. The minimum price in NFTs indicates the lowest price desired by a seller for an item, reflecting the popularity of a collection. Standout collections such as Bored Ape Yacht Club and DeGods saw drops of 27% and 55% respectively. However, some less popular sets, such as Miladays and Sproto Gremlins, have seen their values increase.
Success of Trump’s NFTs after viral interview with Tucker Carlson
After a viral interview by Donald Trump with Tucker Carlson, the prices and volumes of Trump’s NFTs saw a significant increase. The baseball-inspired digital cards traded at 0.13 ETH, up from the previous price of 0.1 ETH. Launched by Trump in December, these NFTs offer shoppers the chance for exclusive experiences with the former president. Trump, revealed to be a substantial token holder, has benefited financially from this collection, although values have recently declined with the cryptocurrency market in decline.