SEC closes investigation on Paxos without enforcement action
The U.S. Securities and Exchange Commission (SEC) has concluded its investigation into Paxos Trust Company without taking any enforcement action. The investigation, which focused on the stablecoin Binance USD (COIN:BUSDUSD), was closed after a federal judge ruled that BUSD sales did not violate securities laws. Paxos, which maintains that its stablecoins are not securities, anticipates a new wave of stablecoin adoption following this favorable outcome.
Donald Trump confirmed as speaker at Bitcoin 2024 conference in Nashville
Former U.S. President Donald Trump has been announced as a speaker at the upcoming Bitcoin 2024 Conference in Nashville, Tennessee. This will be the first time a former president addresses the Bitcoin (COIN:BTCUSD) community at a public event, marking a significant moment for the industry. His speech, scheduled for July 27, will be broadcast live worldwide. Despite previous criticisms of cryptocurrencies, Trump has recently adopted a supportive stance towards the sector, promising to promote the industry in the U.S.
Anticipation of Ether ETFs boosts supply lock-up and promises price surge
About 40% of the total supply of Ethereum is currently locked up, with high expectations for the approval of spot ETH ETFs. According to data from Dune Analytics, over 33 million ETH, approximately 28% of the total, are staked in the network, contributing to its security and operation in exchange for rewards. Additionally, 12% are locked in smart contracts and bridges, demonstrating growing adherence.
Tom Dunleavy, managing partner at MV Global, predicts that new Ether ETFs could attract between $5 billion and $10 billion in investments in the months following their launch, pushing the price of Ether (COIN:ETHUSD) to new all-time highs by year-end, especially given that Ether is less available on exchanges, amplifying the impact of new demand. With eight Ether ETFs awaiting approval in the U.S., they are expected to join a dozen existing Bitcoin ETFs.
Bitcoin ETFs record continuous inflow increase for four consecutive days
On July 10, Bitcoin exchange-traded funds (ETFs) recorded $147.4 million in new inflows, marking the fourth consecutive day of gains. This movement was broadly supported, with most ETF issuers reporting increases, except for the Grayscale ETF (AMEX:GBTC), which saw outflows of $8.2 million. The Fidelity ETF (AMEX:FBTC) led with $57.8 million, followed by Franklin Templeton (AMEX:EZBC) and BlackRock ETF (NASDAQ:IBIT), which showed inflows of $31.7 million and $22.2 million, respectively, raising the total Bitcoin ETF investments to $15.4 billion.
US House fails to override Biden’s veto on cryptocurrency regulation
The U.S. House of Representatives failed to gather the necessary votes to override President Joe Biden’s veto of a resolution that blocked a new SEC rule. This rule requires banks to register cryptocurrencies as liabilities. The override attempt received 228 votes, insufficient to reach the two-thirds majority needed. Consequently, banks’ ability to act as custodians of crypto assets remains limited unless new laws are passed.
Bitcoin volatile influenced by US inflation data and Mt. Gox concerns
The price of Bitcoin (COIN:BTCUSD) hit an intraday high of $59,533.06 on July 11, driven by favorable U.S. economic data showing a slowdown in inflation beyond expectations. After the release of the June Consumer Price Index (CPI), which indicated lower-than-expected inflation, Bitcoin’s price briefly surged. Despite the quick peak, the increase was short-lived, with the price swiftly returning to previous levels at $57,730. This volatility was also influenced by market caution in anticipation of the distribution of coins from the defunct Mt. Gox. Analysts like Jamie Coutts suggest that despite short-term pain caused by impending Mt. Gox and German government sales, such movements could strengthen the Bitcoin network by distributing coins more broadly.
MiCA regulation causes drop in European stablecoins
According to a CCData report, the market capitalization of European stablecoins fell by 2.51% in June, reaching a seven-month low of $307 million, influenced by the new MiCA regulation. The regulation, targeting licensed operators in EU member states, has been criticized for imposing strict limits, particularly affecting the Euro Tether stablecoin (COIN:EURTUSD), which saw its market cap drop 26% after being delisted from major exchanges. Despite this, interest in stablecoins compliant with local laws has grown.
MicroStrategy announces 10-for-1 stock split
MicroStrategy (NASDAQ:MSTR), a software company holding a large amount of bitcoin, announced a 10-for-1 stock split. This split will take effect on August 1, with the distribution of the shares scheduled for August 7. Shareholders of both Class A and Class B stocks will receive nine additional shares for each one they hold. This move aims to make the shares more accessible to investors and employees. The decision comes after a year in which the company’s stock value more than tripled, reaching an all-time high driven by the increase in bitcoin’s value.
Ionic Digital appoints new CFO and prepares for IPO
Ionic Digital, a bitcoin mining company, announced the hiring of John Penver as its Chief Financial Officer. Penver, who has extensive experience in technology and data center infrastructure, will lead the company’s upcoming initial public offering. Ionic, which recently acquired all mining assets from the bankrupt Celsius, plans to go public soon, despite the increasing challenges in the bitcoin mining sector.
Impact of Bitcoin halving in 2024 on mining profitability
Following the 2024 halving, the Bitcoin (COIN:BTCUSD) block reward has been reduced to 3.125 BTC, slowing the issuance of new bitcoins and affecting mining profitability. A report by Cointelegraph Research details the current state of the mining ecosystem, including economic challenges and technical advancements. For example, technological innovations like the Antminer S21 Pro offer a hashrate of 234 TH/s and an energy efficiency of 15.0 J/TH, surpassing the previous S19j Pro model, which operated at 100 TH/s and 29.5 J/TH. GoMining’s gamified mining introduces NFTs representing Bitcoin hashrate, facilitating retail investors’ access to this activity, diversifying participation in the sector.
Goldman Sachs plans to launch three tokenization projects by year-end
Goldman Sachs (NYSE:GS) plans to launch three tokenization projects by year-end to differentiate its offerings and capture the growing demand for digital assets among institutional clients. These projects will focus on creating markets for tokenized assets, increasing transaction speed, and diversifying collateral options. The bank anticipates increased liquidity and interest, predicting the expansion of the tokenized real-world assets market, aiming for both regulatory compliance and financial innovation.
Pyth Network launches Express Relay to address MEV in DeFi
The Pyth Network has introduced the Express Relay on its mainnet, a decentralized solution to combat Miner Extractable Value (MEV) in decentralized finance (DeFi) transactions. The product allows DeFi protocols to connect directly to a network of market makers through controlled auctions, eliminating the need for miners and improving market efficiency. This approach aims to reduce transaction costs and prevent unfair practices, promoting a more fair and decentralized environment on the blockchain.
Compound Finance warns users after domain hijacking and phishing attack
The DeFi platform Compound Finance (COIN:COMPUSD) issued an urgent alert about a phishing attack resulting in the hijacking of its official domain. The website was replaced by a fraudulent version threatening users’ security. Michael Lewellen, a security consultant, confirmed that while the website is compromised, the protocol and smart contract funds remain secure. Users are advised not to access or interact with the site until the issue is resolved.
BNB Chain is the main target of rug pulls, reveals Immunefi report
The BNB Chain (COIN:BNBUSD) is highlighted as the blockchain most susceptible to rug pulls, according to a report by Immunefi. Over the past seven years, the network has suffered losses of about $1.64 billion. Of this total, $1.27 billion was attributed to hacks, with $368 million attributed to 228 cases of rug pulls, the largest being DeFiAI, which took $40 million. The report points to the use of forked code and the pursuit of quick profits as factors attracting fraud to the BNB Chain, though recent security improvements have reduced losses.
Terraform Labs plans to sell assets to fulfill $4.5 billion SEC agreement
The bankrupt crypto company Terraform Labs announced its intention to sell four of its businesses as part of a $4.5 billion settlement with the U.S. Securities and Exchange Commission (SEC). This sale includes its portfolio tracking platform Pulsar Finance, encrypted wallet Station, DAO management platform Enterprise, and smart contract automation protocol Warp. The sale aims to maximize value for creditors and other stakeholders while winding down operations per SEC terms.
Coinbase launches app to centralize crypto wallet management
Coinbase (NASDAQ:COIN) is introducing a new app designed to simplify crypto wallet management, allowing users to control all their activities and wallets in one place. This app will facilitate buying, trading, sending, staking, and minting coins directly from connected wallets and enable user interactions. Available for desktops and mobile devices, the launch reflects Coinbase’s effort to transform into a “super app,” expanding access to the crypto universe for tech novices.
Bitget reports significant growth and asset investments in Q2 2024
In the second quarter of 2024, crypto exchange Bitget experienced substantial increases in traffic and capital. The site saw a 50% growth in traffic, reaching 10 million monthly visitors, and added 2.9 million new users. Additionally, spot market trading volume grew by 10%. Bitget also reported increases in reserves of Bitcoin (COIN:BTCUSD), Tether (COIN:USDTUSD), and Ether (COIN:ETHUSD), totaling a capital increase of about $700 million. The company continues to expand its activities, including new partnerships and a $20 million ecosystem fund.