Coin360 Daily Dispatch | Crypto Market Updates & Highlights | August 9, 2023
Crypto Market Update
Written by Van
Table of Contents
Technology and Innovation
- Microsoft Partners with Aptos Labs for Web3 Technologies
- Fantom Foundation Explores Integration with Ethereum
- Coinbase's Layer 2 Network, Base, Opens to All Users
Banking and Regulatory Updates
- Bernstein Forecasts 2,140% Growth in Stablecoins by 2028
- Federal Reserve Introduces Regulations for Stablecoin Transactions
- ABCON Calls for Ban on Binance in Nigeria
- Novogratz Predicts U.S. Bitcoin ETF Approval Before February
Crypto Exchanges and Platforms
- SpiritSwap Faces Shutdown Following Multichain Hack
- Maple Finance Opens Cash Management Pool to US Investors
- Rollbit Plans Daily Buy and Burn of RLB Tokens
- MuesliSwap to Refund Users Over Slippage Misunderstanding
- Saddle Finance Plans Shutdown and Treasury Distribution
Market Trends and Investments
- Bitcoin Breaks $30,000 Amid U.S. Bank Downgrades
- Pseudonymous Trader Bets Big on Terra's LUNA Cryptocurrency
- Whales Invest $100 Million in Chainlink's LINK Tokens
Security and Risks
- PeckShield Reports Attack on Aave Protocol's Earning Farm
- Leonardo da Vinci's "Salvator Mundi" to Become NFT
Microsoft Partners with Aptos Labs for Web3 Technologies
Microsoft and Aptos Labs are partnering to integrate Microsoft's Azure OpenAI Service, aiming to accelerate the adoption of web3 technologies. The partnership will focus on developing the Aptos Assistant, a tool that simplifies the transition from the conventional internet to the decentralized web by answering user queries and assisting developers.
The collaboration also aims to explore solutions in digital asset tokenization, advanced payment systems, and central bank digital currencies. APT surged by 17% at one point before stepping back, now seeing an over 9% gain.
Fantom Foundation Explores Integration with Ethereum
However, co-founder Andre Cronje sees this integration as a bridge rather than a Layer 2 network, arguing that the security of optimistic rollups is invalidated once other bridges are connected.
Coinbase's Layer 2 Network, Base, Opens to All Users
Coinbase's Layer 2 network, Base, has opened up to all users and is promoting its launch with the "Onchain Summer" campaign. More than 100 dApps and brands, including Coca-Cola, are already live on the network. Base aims to attract developers and users to its DeFi ecosystem.
Ethereum's Layer 2 sector has reached a record total value locked of over $10.6bn as competition to scale the network intensifies. Base is built using Optimism's OP Stack and plans to join Optimism's Superchain ecosystem.
Bernstein Forecasts 2,140% Growth in Stablecoins by 2028
Bernstein predicts that stablecoins will grow by 2,140% in the next five years, with the market expected to hit $2.8 trillion by 2028. Integration with consumer platforms and regulatory support give stablecoins an advantage. Big firms entering the market and the launch of PayPal's PYUSD stablecoin contribute to the surge. Stablecoins are projected to rival bank deposits and savings instruments.
Federal Reserve Introduces Regulations for Stablecoin Transactions
The Federal Reserve has introduced new regulations requiring state-chartered banks to obtain written permission before issuing or transacting with stablecoins. This comes after a contentious stablecoin bill passed in the House, granting state regulators the power to approve stablecoin issuers.
The bill faces further challenges in the broader House and potentially in the Democrat-controlled Senate. The Fed also announced a "novel activities supervision program" to oversee banks' use of cryptocurrencies and new technologies.
ABCON Calls for Ban on Binance in Nigeria
The Association of Bureaux De Change Operators of Nigeria (ABCON) has called for a ban on the operations of cryptocurrency giant Binance, citing its growing influence as a potential destabilizing factor for the Nigerian currency, the naira.
ABCON argues that Binance's dominance in the market has a significant impact on both the formal and informal foreign exchange markets in Nigeria.
This is not the first time Binance has faced opposition in Nigeria, as it had to delist multiple fiat-crypto pairs in 2021 following the country's ban on crypto bank payments.
Novogratz Predicts U.S. Bitcoin ETF Approval Before February
Galaxy Digital CEO Mike Novogratz believes that the first spot Bitcoin exchange-traded fund (ETF) in the United States could be approved before February, according to sources at BlackRock and Invesco. Novogratz expects a "big, big deal" and says that once approved, ETF issuers will fight for market share. Analysts also suggest that the wave of spot Bitcoin ETFs could come even sooner if the SEC loses its case against Grayscale.
SpiritSwap Faces Shutdown Following Multichain Hack
SpiritSwap, a decentralised exchange on Fantom, may shut down if a new team cannot be found to keep the platform running. The news caused the price of its native token, SPIRIT, to plummet by over 39%.
Maple Finance Opens Cash Management Pool to US Investors
Debt capital marketplace Maple Finance plans to open its Cash Management pool to accredited US investors via a Regulation D exemption. The pool offers on-chain exposure to US Treasury yields.
The Maple Cash Management pool saw strong growth in July, with over $21.5m in total value locked and a yield of 4.7% after fees. Maple's CEO hopes the offering will eventually be available to all investors.
Rollbit Plans Daily Buy and Burn of RLB Tokens
Crypto casino and exchange Rollbit has announced plans to buy and burn RLB tokens daily using platform revenue, causing a 63% surge in RLB token price. The platform offers token trading, sports betting, arcade games, and a tokenized jackpot.
Over $2.5 billion worth of crypto futures were traded in the past 24 hours, with 30% of futures fees, 20% of sports betting fees, and 10% of casino game fees used to purchase and burn RLB tokens.
MuesliSwap to Refund Users Over Slippage Misunderstanding
MuesliSwap, a Cardano-based decentralized exchange (DEX), has announced that it will refund users who unintentionally lost money due to a misunderstanding about how slippage on the platform works. The refund process may take up to four weeks, and funds will be automatically distributed by analyzing a user's on-chain trading history.
MuesliSwap is among the most-used platforms on the Cardano network and has traded over $500 million worth of tokens in the past year.
Saddle Finance Plans Shutdown and Treasury Distribution
Ethereum-based crypto trading protocol Saddle Finance is planning to shut down and distribute its treasury to investors. The founder proposed liquidating the treasury into ARB tokens and airdropping the proceeds to token holders.
The decision follows the recent hack of decentralized exchange Curve, which heightened concerns about security in the DeFi ecosystem. Saddle Finance has previously faced allegations of cloning Curve's codebase.
Bitcoin Breaks $30,000 Amid U.S. Bank Downgrades
Bitcoin moved above $30,000 late on Tuesday, reaching a high of $30,200 in August, as several U.S. banks, including State Street, Northern Trust, and Bank of New York Mellon, were downgraded by rating agency Moody's. Traders are closely monitoring the $29,700 level for potential further upside. Increased buying activity from Bitcoin whales has been observed, with ongoing activity in derivatives markets.
Pseudonymous Trader Bets Big on Terra's LUNA Cryptocurrency
The pseudonymous trader GCR likely bought the tokens at an average price of between $0.40 and $0.45, and transferred them from the MEXC exchange to Kraken via Arbitrum Nova. MOON tokens are distributed as rewards for comments or posts in the r/CryptoCurrency subreddit.
The news has been hailed as a bullish catalyst for the token, which surged over 50% after being listed on Kraken.
Whales Invest $100 Million in Chainlink's LINK Tokens
Whales have invested $100 million in Chainlink's LINK tokens in one week, indicating confidence in its potential. Chainlink's recent GitHub development surge has propelled it into the top five most frequently developed projects.
Chainlink's role as an Oracle solution provider has driven its popularity, and its recently launched Cross-Chain Interoperability Protocol has gained early adoption. The protocol aims to bridge the gap between traditional finance and digital assets.
PeckShield Reports Attack on Aave Protocol's Earning Farm
Blockchain security firm PeckShield discovered vulnerabilities in Aave protocol's Earning Farm, resulting in the theft of at least $287,000 worth of Ether. The attack involved a reentrancy attack, similar to tricking an ATM into giving money multiple times. This is not the first incident for Earning Farm, as it previously experienced flash loan attacks in October 2022.
Top Altcoin Gainers and Losers
Rollbit Coin RLB (+48.07%)
FLEX FLEX (+10.05%)
Aptos APT (+9.63%)
XDC Network XDC (-10.07%)
Mantle MNT (-8.46%)
Optimism OP (-4.38%)
NFT Market Map
Leonardo da Vinci's "Salvator Mundi" to Become NFT
The iconic masterpiece "Salvator Mundi" by Leonardo da Vinci will be transformed into a non-fungible token (NFT) in a collaboration between digital asset firm ElmonX and Bridgeman Images. The NFT collection will include two categories and will be available for purchase using credit cards or Ether (ETH).
ElmonX previously turned other classic artworks into NFTs, such as the Mona Lisa. The project aims to blend traditional art with cutting-edge technology and redefine the boundaries of art appreciation.
This article has been refined and enhanced by ChatGPT.