Coin360 Daily Dispatch | Crypto Market Updates & Highlights | September 11, 2024

Crypto Market Update

Table of Contents

Market Trends and Price Movements

• Bitcoin Price Struggles Amid Fed Rate Cut Hopes
• Ethereum Whales' Actions Spark Mixed Reactions
• Bitcoin and Ethereum ETFs See Rebound in Inflows
• Indodax Hit by $22 Million Hack

Platform and Exchange Updates

• BitGo Adopts LayerZero’s Omnichain Token Standard
• Aave DAO Considers Coinbase’s cbBTC Integration
• Federal Judge Dismisses Atomic Wallet Lawsuit
• Artificial Superintelligence Alliance Proposes CUDOS Merge
• Nubank Suspends Nucoin Trading Amid Price Drop

Global and Regulatory Developments

• India Leads in Global Crypto Adoption
• UK Proposes Bill for Digital Assets Legal Clarity
• tZERO Approved as Special Purpose Broker-Dealer

Cryptocurrency-Specific News

• Trump-Themed Coins Drop After Debate
• Aptos Executes Major Token Unlock Event
• Binance.US Partners with Fireblocks for Security
• BNB Smart Chain Exploit Drains $1.4M
• PancakeSwap Launches BNB Price Prediction Telegram Bot
• Dune Expands Integration of Polkadot’s Parachains
• Osmosis Launches Cross-Chain Token Portal
• DIA Unveils Lumina Oracle Architecture
• Cardano's Charles Hoskinson Addresses ADA Staking Concerns
• Solo Bitcoin Miner Nets $181,000 Reward
• Caroline Ellison Seeks Time-Served Sentence
• Ethervista Faces Challenges After Early Success
• Binance Labs Invests in Blum; Huma Finance Raises $38M
• Digital Chamber Urges Congress to Protect NFTs

Bitcoin Price Struggles Amid Fed Rate Cut Hopes

Bitcoin's price struggles, dipping below $56K then returning to $57.8K despite US inflation dropping to 2.5%, the lowest since February 2021. However, market players still anticipate a rate cut by the Fed on September 17, with 71% probability. Long-term holders remain optimistic, but a recent $850 million BTC sell-off underscores short-term fear. Glassnode founders suggest BTC could hit a bottom, potentially triggering a strong upward move. Analysts predict a potential price dip to $40K before a recovery, with the $56K support level being critical for future price direction.

Ethereum Whales' Actions Spark Mixed Reactions

Ethereum whales control 43% of the ETH supply, showing increased accumulation, while Vitalik Buterin has sold $2.28 million in ETH despite posting bullish comments. Ethereum’s price fluctuated around $2,360, with these whale transactions surging after the Shanghai Upgrade. Buterin's controversial moves have sparked mixed reactions within the Ethereum community.

Bitcoin and Ethereum ETFs See Rebound in Inflows

US spot Bitcoin and Ethereum ETFs experienced a rebound in inflows on September 10, 2024. Fidelity's Bitcoin Fund (FBTC) led the surge, attracting $63 million, while Ethereum ETFs recovered with approximately $11 million in net inflows. However, digital asset products witnessed significant outflows totaling $726 million, with Bitcoin and Ethereum facing notable losses. 

Indodax Hit by $22 Million Hack

Indonesian crypto exchange Indodax was targeted in a suspected $22 million hack, impacting Bitcoin, Ether, TRX, MATIC, and other cryptocurrencies. Indodax disabled its mobile and web applications to probe the breach. Multiple investigation firms confirmed the incident, with suspicions of North Korea's Lazarus Group involvement. This incident, similar to prior attacks in the crypto community, emphasizes the growing threat posed by cybercriminals to digital assets.  

BitGo Adopts LayerZero’s Omnichain Token Standard

BitGo has adopted LayerZero’s Omnichain Fungible Token (OFT) Standard for its Wrapped Bitcoin (WBTC), allowing the token to operate across multiple blockchain networks like Avalanche and BNB Chain. This move extends WBTC to over 80 chains, ensuring a standardized framework for cross-chain communication. The token's market capitalization was $8.8 billion at the time of writing.

Aave DAO Considers Coinbase’s cbBTC Integration

Aave DAO received a proposal to integrate Coinbase’s cbBTC into its V3 platform, aiming to boost liquidity and enhance Bitcoin adoption in DeFi. Concerns about the asset's premature integration, unanswered questions about minting mechanisms, potential regulatory risks, and the risk of heavy reliance on Coinbase have been raised. 

Federal Judge Dismisses Atomic Wallet Lawsuit

A US federal judge dismissed a class-action lawsuit against Atomic Wallet and its affiliates, citing insufficient jurisdictional ties. The suit was filed by users affected by a $100 million hack in August 2023. Atomic Wallet argued its lack of US ties and limited connections to Colorado, where the lawsuit was filed.  

Artificial Superintelligence Alliance Proposes CUDOS Merge

The Artificial Superintelligence Alliance proposed merging with CUDOS, aiming to enhance decentralized AI computing. If approved by community vote, CUDOS' token will be converted to FET at a ratio of 112.427:1, with a 5% merge fee. The proposal aims to advance AI innovation and lead in AGI development.  

Nubank Suspends Nucoin Trading Amid Price Drop

Nubank, a major Latin American bank, has suspended trading for its native cryptocurrency, Nucoin, following a 97% price drop over the past year. The bank is allowing customers to convert their Nucoins to Bitcoin or USDC by December 9. Nubank's cryptocurrency services started in May 2022, and it has over 100 million customers across Brazil, Mexico, and Colombia. Argentina has seen significant crypto adoption due to high inflation and distrust of traditional banks. This rapid shift in the financial landscape underscores the ongoing revolution in financial inclusion driven by fintech firms in Latin America, Asia, and parts of Africa.

India Leads in Global Crypto Adoption

In Chainalysis' 2024 report, India holds the top spot in global crypto adoption, while Indonesia experienced the highest year-over-year growth at nearly 200%. Indonesia jumped four places to third in the top 20 countries, with significant cryptocurrency value received. The analysis excluded P2P trade volumes and focused on DeFi activity, highlighting the regions' standout performance.  

UK Proposes Bill for Digital Assets Legal Clarity

The UK introduced the Property (Digital Assets etc) Bill to legally categorize cryptocurrencies and NFTs as personal property. Led by the Ministry of Justice and Justice Minister Heidi Alexander, the bill enhances legal clarity, offering protection for digital assets like Bitcoin and carbon credits for the first time, ensuring a clear framework to address disputes. 

tZERO Approved as Special Purpose Broker-Dealer

tZERO Digital Asset Securities is now an SEC and FINRA-approved Special Purpose Broker-Dealer (SPBD), allowing it to custody digital asset securities. tZero plans to provide a comprehensive range of services such as custody, clearance, settlement, and secondary trading. It aims to launch in Q1 2025 with the digitization of its Series-A preferred equity security (TZROP).

Trump-Themed Coins Drop After Debate

On September 11, 2024, after the debate between Trump and Harris, Trump-themed meme coins dropped by up to 27.5%, while Harris coins rose by 7.3%. Harris led Trump 51% to 48% in betting markets, but Trump held a slim lead on Polymarket at 50% to 48%. Cryptocurrency community polls showed 72% to 76% support for Trump.

Aptos Executes Major Token Unlock Event

Aptos executed a significant token unlock event on September 11, 2024, releasing 11.31 million APT tokens. Despite this, Aptos' price remained stable at $6.10, showcasing resilience post-unlock. The total market cap stood strong at $2.97 billion, with controlled inflation and substantial growth in network metrics, including a surge in total value locked and significant ecosystem developments in 2024.  

Binance.US Partners with Fireblocks for Security

Binance.US has partnered with Fireblocks to enhance asset security and compliance amid regulatory scrutiny. The alliance aims to strengthen the storage, transaction, and staking services of customer assets, ensuring regulatory expectations are met. Regulatory challenges have affected Binance.US, attracting penalties, license revocations, and negative impacts on market stability.  

BNB Smart Chain Exploit Drains $1.4M

In a recent exploit on BNB Smart Chain, an attacker drained $1.4M from a CUT token liquidity pool through an unverified contract. The attacker utilized ILPFutureYieldContract() to call a separate function from the unknown contract, allowing them to remove BSC-USD. This incident, similar to recent exploits, showcases the vulnerability of Web3 users. 

PancakeSwap Launches BNB Price Prediction Telegram Bot

PancakeSwap introduced a Telegram bot for BNB price predictions, offering users the chance to forecast BNB's price movements in 5-minute intervals. Utilizing AI technology, the bot enhances the prediction market experience for users, encouraging participation with a minimum bet of 0.001 BNB. This initiative aims to broaden DeFi accessibility and engage cryptocurrency enthusiasts. 

Dune Expands Integration of Polkadot’s Parachains

Dune's expanded integration of Polkadot's 50+ parachains, including Moonbeam, Acala, Phala, and Mythos, enables tracking transaction flows, analyzing DeFi, and monitoring NFTs. The collaboration with Colourful Notion streamlined the process, enhancing functionality with the Dune API for real-time on-chain insights. This reinforces Dune as the premier hub for on-chain research.

Osmosis Launches Cross-Chain Token Portal

Osmosis launched Polaris, a cross-chain token portal solving DeFi's challenge of fragmented user experience by enabling seamless trading across blockchains. Polaris creates a unified interface, eliminating the need for multiple wallets and bridges, offering one-click trading. It integrates with existing DEXes and venues, enhancing liquidity accessibility and user experience in the DeFi space.

DIA Unveils Lumina Oracle Architecture

DIA has introduced "Lumina," a groundbreaking oracle architecture aiming to revolutionize trustless networks. Lumina, powered by the Lasernet layer-2 rollup, focuses on transparent, scalable processes. Staking incentivizes data sourcing, while Zero Knowledge components ensure data accuracy. The phased launch includes a testnet, closed mainnet, and open mainnet to drive network participation. 

Cardano's Charles Hoskinson Addresses ADA Staking Concerns

Cardano's co-founder, Charles Hoskinson, has refuted claims that ADA holders are unable to sell their tokens due to locking them in staking pools. The network offers liquid noncustodial staking, debunking the statement that ADA staking is locked. ADA's market performance has been lackluster, struggling over a 24-hour period with a 2% decline and exhibiting a poor year-to-date performance. Despite signs of a potential rally, ADA has been unable to break the $0.4 barrier.  

Solo Bitcoin Miner Nets $181,000 Reward

A solo Bitcoin miner achieved a rare victory by mining block 860749, netting a substantial reward of $181,000 and 3.125 BTC. The landscape is challenging, with major pools dominating over 50% of the hashrate. However, the emergence of new, powerful rigs demonstrates opportunities for individual miners within this competitive environment. 

Caroline Ellison Seeks Time-Served Sentence

Former Alameda Research CEO Caroline Ellison seeks a time-served sentence for her 2022 guilty plea to seven cryptocurrency-related felony counts, emphasizing extraordinary cooperation with the government. Her attorneys recommend time served with three years’ supervised release. Multiple letters of support emphasize her ethical conduct pre-Alameda. The final sentencing is scheduled for September 24, 2024.  

Ethervista Faces Challenges After Early Success

Ethervista, a DEX, gained early success but quickly faced challenges. It dropped from impressive gas fees and new assets to near-zero activity, raising skepticism about its sustainability. After exploited vulnerabilities, it saw reduced trading volume. Despite partnering with Gotbit hedge fund, its rapid rise was seen as unsustainable due to unexpected exploits and cautionary red flags. 

Binance Labs Invests in Blum; Huma Finance Raises $38M

Binance Labs invested in Blum, a decentralized crypto exchange integrated with Telegram, boasting over 60 million users and a tap-to-earn growth model. Meanwhile, Huma Finance raised $38 million to expand tokenized real-world asset offerings on Solana and Stellar, with $10 million as equity and $28 million for yield-bearing assets, including bonds through Switzerland's Arf Capital.