Controversy at Compound Finance after DeFi proposal approval
Compound Finance’s native token (COIN:COMPUSD), a notable decentralized finance (DeFi) protocol, is declining following a possible governance attack. The DAO’s decision was manipulated by a group called Golden Boys, using whale Humpy to allocate $24 million in COMP to their controlled project. The final proposal, Proposal 289, was approved, but the community is now seeking to limit the Golden Boys’ power with Proposal 290. Compound faces criticism after approving the proposal, which allocates 5% of its treasury, around 499,000 COMP tokens valued at approximately $24 million, to the lesser-known goldCOMP Vault yield protocol. The decision led to an 8.6% drop in COMP value and a more than 2% decrease in total value locked, now at $3.15 billion, as significant assets were withdrawn from the protocol. The proposal, debated for months, passed by a narrow margin and faced criticism from the community and experts who argue it compromises decentralized governance and collective interest, highlighting concerns over the Golden Boys’ disproportionate influence on the protocol.
Historic drop in Ethereum gas fees
Ethereum (COIN:ETHUSD) is experiencing a historic drop in gas fees, with average mainnet fees now at 4 Gwei ($0.21) and transactions processed for just 3 Gwei ($0.14). Layer 2 solutions also show fees below $0.01. The reduction, attributed to increased Layer 2 usage and the Dencun hard fork, is making the network inflationary as less ETH is burned. The recent approval of Ethereum ETFs adds complexity to the ecosystem. Ethereum’s price is up 1.1% in the last 24 hours, trading at $3.307.
Vice president of Ava Labs resigns for new venture
Patrick O’Grady, vice president of engineering at Ava Labs, announced his departure to launch a new venture. Recently, O’Grady contributed to the development of the Vryx scalability solution, which could elevate Avalanche’s (COIN:AVAXUSD) blockchain capacity to 100,000 transactions per second. Despite leaving Ava Labs, he will continue as a technical advisor, focusing on high-performance frameworks for onchain applications to promote a more efficient and reliable internet.
DOP announces integration with Polygon to improve data control
The Data Ownership Protocol (COIN:DOPUSD) will integrate with Polygon PoS to enhance interoperability and efficiency. The move will allow users to better manage their personal information with lower transaction costs and greater selective transparency. The collaboration with Polygon (COIN:MATICUSD) will provide a more cost-effective and scalable blockchain infrastructure, facilitating DOP adoption across a wide range of decentralized applications.
Solana exceeds expectations with strong market interest
Solana (COIN:SOLUSD), currently priced at $186.33, up 0.7% in the last 24 hours, saw its price reach an intraday high of $193.89 today, highlighting an optimistic outlook for the token. This renewed interest follows significant developments and ambitious analyst predictions, supported by robust on-chain analysis, indicating high expectations for SOL’s price may be realistic. On-chain analysis shows increasing activity with daily active addresses reaching nearly 2.07 million, approaching the peak of 3.14 million seen during the 2021 bull market. This rise in active addresses suggests significant user engagement and robust network participation, factors that can positively influence SOL’s value.
Ronin leads in active users among blockchains
The Ronin Network (COIN:RONNNUST) has distinguished itself among other blockchains with its focus on gaming, reaching two million daily active users (DAU) on July 29, 2024, according to Token Terminal. This number surpassed the DAUs of other prominent blockchains, with Tron (COIN:TRXUSD) recording 1.8 million and Solana (COIN:SOLUSD) 1.2 million users. Ronin’s growth was driven by significant ecosystem developments, such as increased NFT market volume and new game additions, along with the listing of its token on Binance. The network also plans to implement Ronin zkEVM to enhance decentralization and scalability.
Bitcoin’s volatility pattern after surpassing major milestones
Recently, Bitcoin (COIN:BTCUSD) repeated a known pattern of sudden highs followed by intense sell-offs. The price reached $70,000 for the first time since June, but fell back to $67,332 at the time of writing. The increase followed a positive reaction to the Bitcoin Conference 2024 event. This price behavior, observed multiple times in 2024, suggests a cyclical movement where new highs are quickly reversed, but with a trend of progressively higher highs and lows, indicating a potential long-term uptrend.
Proposals by Trump at the Bitcoin Conference 2024
During his speech at the Bitcoin Conference 2024 in Nashville, former President Donald Trump reiterated his support for bitcoin, promising that if reelected, he will prevent the US government from selling any bitcoins it holds, although he did not confirm the creation of an official cryptocurrency reserve. Other proposals regarding a Bitcoin reserve were more audacious, such as Robert F. Kennedy Jr.’s for a 4-million-bitcoin reserve and Cynthia Lummis’s to accumulate 1 million bitcoins to reduce national debt. Trump criticized the current regulatory management under the Biden administration and promised significant changes, including firing Gary Gensler from the SEC and ending Operation Choke Point 2.0. He also proposed creating a bitcoin advisory board, composed of industry-supporting experts, and pardoning Ross Ulbricht, founder of Silk Road.
Presence of Heather Morgan at the Bitcoin Conference 2024 sparks controversy
Heather Morgan, known as “Razzlekhan,” involved in the 2016 Bitfinex hack, was arrested and pled guilty. Despite facing possible imprisonment and fines, Morgan sparked controversy by attending the Bitcoin Conference 2024. Some, like Jameson Lopp, find her presence suspicious, believing she might be seeking a reduced sentence or gathering information. Others argue that including everyone reflects Bitcoin’s open principles.
Elon Musk deepfake scam deceives users with fake Bitcoin Conference 2024 broadcasts
Despite the end of the Bitcoin 2024 event, a series of fake live broadcasts on YouTube using deepfakes of Elon Musk have deceived users. These broadcasts promised to double the value sent in cryptocurrencies, resulting in over $28,000 being stolen in bitcoin, ether, and dogecoin. The scam, mimicking an official event broadcast, remains active and continues to deceive unsuspecting victims.
21Shares adopts Chainlink proof of reserve for Ethereum ETF transparency
21Shares has incorporated Chainlink’s proof of reserve (PoR) (COIN:LINKUSD) in its Core Ethereum ETF (AMEX:CETH) to increase transparency. The integration offers real-time reserve data and verifiable history, sourced directly from Coinbase. This move follows the launch of the first spot Ether ETFs in the US, marking an advance in cryptocurrency adoption and integration between traditional and decentralized finance. 21Shares already uses the same technology for its Bitcoin ETF, ARK 21Shares Bitcoin ETF (AMEX:ARKB).
Crypto product inflows hit record with Ethereum ETF launches
Last week, digital asset investment products received $245 million in net inflows, with ETP trading volume reaching $14.8 billion. Total assets in cryptocurrency ETPs reached $99.1 billion, and annual inflows hit $20.5 billion. Bitcoin received $519 million, driven by US political proposals, while Ethereum ETFs saw $2.2 billion in inflows, reflecting a significant rise in interest.
Neiro memecoin developer profits $2.85 million in rug pull on Solana
The creator of the Solana-based Neiro memecoin made a $2.85 million profit after an apparent rug pull. Initially investing only 3 SOL (around $550), the developer sold 68 million Neiro tokens for 15,511 SOL, yielding a 5,169x return on investment. He transferred 10 million Neiro to an inactive wallet and still holds 19.5 million Neiro, with an unrealized profit of $1.8 million.
Slovenia launches first digital sovereign bond in the European Union
Slovenia innovated by issuing the EU’s first digital sovereign bond, valued at €30 million (approximately $32.5 million). This bond, maturing on November 25 with a 3.65% coupon, was settled using the wholesale central bank digital currency (CBDC) through the Banque de France’s tokenized system. This CBDC type is for use among financial institutions, not consumers. The transaction is part of a series of ECB settlement tests, marking a significant step toward increasing financial market transparency and efficiency through distributed ledger technology. BNP Paribas (EU:BNP) led the operation using the Neobonds platform for bond tokenization.
University of Wyoming to launch bitcoin research institute
The University of Wyoming is set to inaugurate the UW Bitcoin Research Institute in August, aiming to enhance bitcoin research through high-quality peer-reviewed studies. Bitcoin activist and associate professor Bradley Rettler will be the director and criticizes the current quality of bitcoin research, highlighting the need for accurate and reliable information to educate the public and correctly influence journalism and policies.
NFT sales volume hits new low
NFTs are poised to record the lowest monthly sales volume since November 2023. On July 29, CryptoSlam reported $393 million in monthly sales. With daily volume below $14 million, July could be 2024’s worst month. In June, monthly sales were only $450 million. Transactions increased 73% in July, but volume remains low. While Q1 2024 saw $4.1 billion in sales, Q2 fell to just $2.24 billion. Web3 experts like SuperRare co-founder Jonathan Perkins believe NFTs still hold significant potential and are essential for the future of digital assets.