Coin360 Daily Dispatch | Crypto Market Updates & Highlights | March 25, 2024

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Crypto Market Update

Table of Contents

Market and Trading Updates

• Bitcoin ETFs Draw Billion-Dollar Volume
• Crypto Investments Witness Record Outflows
• Goldman Sachs Witnesses Asia-Pacific Crypto Revival

Platform and Technology Innovations

• Vitalik Buterin Contemplates Social Media Shift
• Base Network Thrives on Memecoin Popularity
• TrueFi Launches Trinity Protocol for RWAs
• ParaSwap Recovers from Smart Contract Vulnerability

Regulatory and Compliance Highlights

• Binance Navigates Regulatory Hurdles Globally
• CommEx Announces Shutdown Amid Regulatory Concerns
• ANZ and Chainlink Pioneer Blockchain Settlements
• Curio Exploit Highlights DeFi Security Needs

Ecosystem and Community Developments

• Do Kwon Granted Bail Amid Global Legal Battles
• Arbitrum Proposes Memecoin Fund to Spur Growth
• Binance Labs Backs StakeStone for Restaking Innovation
• Whale Frenzy Boosts ONDO's Market Position
• Polygon Resumes After zkEVM Mainnet Beta Fix
• DED Memecoin Adjusts Airdrop Strategy Amid Backlash
• Al Ghozali's New Memecoin Venture Captivates Fans
• Solana's NFT Standard Revolutionizes Minting Costs
• Kevin Hart's NFT Sale Underscores Market Volatility

Bitcoin ETFs Draw Billion-Dollar Volume

Bitcoin's surge above $70,000, buoyed by anticipation of the halving event 25 days away, reflects a bullish market sentiment. Notably, Bitcoin ETFs recorded a $10 billion trading volume, highlighting institutional interest. Amidst this, Bitcoin whales transferred $2.3 billion worth of BTC, indicating a strong holding pattern. Analyst predictions vary, with some forecasting a rise to $100,000, spurred by ETF accumulations and the halving effect. Robert Kiyosaki plans to buy 10 more BTC, predicting a peak at $100,000 by September, while others foresee a potential rally into six figures, with expectations of a post-halving price surge.

Crypto Investments Witness Record Outflows

Between March 16 and 22, digital asset investment products saw a record outflow of $942 million, concluding a seven-week influx streak totaling $12.3 billion. Grayscale's Bitcoin Trust had substantial outflows, driving a significant decrease in total assets under management. Bitcoin ETFs experienced consecutive days of outflows, contrasting with Bernstein's optimistic price target of $90,000 for Bitcoin.  

Goldman Sachs Witnesses Asia-Pacific Crypto Revival

Goldman Sachs' Asia Pacific clients are returning to crypto, driven by the approval of ten new Bitcoin ETFs. The firm's hedge fund clients, managing a record $2.8 trillion in assets, are particularly active in crypto derivatives trading, with a focus on Bitcoin. Goldman aims to expand its client base to include asset management funds and specialized crypto asset firms.  

Vitalik Buterin Contemplates Social Media Shift

Vitalik Buterin, Ethereum co-founder, faced community calls to return to X from Farcaster. His move was influenced by increasing bot accounts and a security breach on X. Farcaster, a novel Ethereum-based social platform, aims to redefine social media. With the introduction of "frames", Farcaster observed a significant 400% surge in daily active users per Dune Analytics.   

Base Network Thrives on Memecoin Popularity

Coinbase's Base network saw its total value locked (TVL) double to $2.13 billion in less than a month, driven by memecoins. The network reached $1 billion in TVL 226 days post-launch and $2 billion just 25 days later. USD Coin and Ether are the largest tokens by natively minted and bridged value, respectively. Memecoins like Degen and Base God are significant on Base, potentially diverting attention from Solana. Trading bots linked to memecoin trading caused Base gas fees to surge back to pre-Dencun upgrade levels, negating the intended reduction of gas fees by the upgrade. This highlights the influence of large wallets and bots on network fees and memecoin prices.

TrueFi Launches Trinity Protocol for RWAs

TrueFi has introduced the Trinity protocol to enhance capital efficiency in on-chain real-world assets (RWA) trading. The protocol utilizes the dollar-based TRI token, backed by assets like tfBILL and other crypto-native assets. It aims to increase users' ability to acquire leverage and hedge risks, with an expected net yield of 15–20%. The initial TRI mint cap is set at $40 million, with a planned rollout on Coinbase's layer-2 Base network.  

ParaSwap Recovers from Smart Contract Vulnerability

ParaSwap addressed a critical vulnerability in its Augustus v6 smart contract, returning assets to affected users with the help of white hat hackers. While most users received their funds, 213 addresses remain vulnerable. The platform is collaborating with security firms to trace the stolen funds and has set a deadline for the hacker's response. Hacks in the crypto industry remain a prevalent concern.   

Binance Navigates Regulatory Hurdles Globally

Binance faces multiple challenges across different jurisdictions. In Nigeria, executive Nadeem Anjarwalla escaped custody amid tax evasion charges, with Nigeria alleging $26 billion flowed through Binance Nigeria. The Philippines Securities and Exchange Commission blocked Binance for operating without a license, citing public fund security concerns. Meanwhile, Binance announced it would end support for Tron-based USDC tokens by April 5, following regulatory scrutiny of Tron and its founder by the US, impacting the Tron Web 3.0 ecosystem.

CommEx Announces Shutdown Amid Regulatory Concerns

CommEx, succeeding Binance in Russia, announced its closure, ceasing operations by May 10, 2024. The exchange stopped deposits and urged asset withdrawals. CommEX will halt new registrations, trades, and services sequentially. Users face asset management fees if balances persist past the shutdown. Regulatory concerns and an alleged Binance tie heightened interest in CommEx's brief, contentious existence.

ANZ and Chainlink Pioneer Blockchain Settlements

ANZ and Chainlink collaborated to connect Avalanche and Ethereum blockchain networks, showcasing on-chain asset settlement using the cross-chain interoperability protocol (CCIP). The initiative demonstrated seamless tokenized asset purchase and settlement across different chains in various currencies, presenting potential modernization of traditional settlement processes, aiming for blockchain-enabled asset settlement in the financial services industry.  

Curio Exploit Highlights DeFi Security Needs

The Curio ecosystem faced a $16 million exploit, resulting in 1 billion unauthorized CGT token mints due to a permission access logic flaw. Security vulnerabilities in DeFi platforms were underscored, emphasizing the need for multi-chain infrastructure for enhanced security. Proactive communication and a recovery plan are crucial for rebuilding community trust.  

Do Kwon Granted Bail Amid Global Legal Battles

Do Kwon, the Terraform Labs co-founder, is released on bail in Montenegro amid extradition requests from the U.S. and South Korea. Charges related to the $40 billion Terra ecosystem collapse in 2022 are pending. In New York, a civil fraud trial against Kwon and Terraform Labs commences, with allegations of investor deception and criminal charges in both the U.S. and South Korea.  

Arbitrum Proposes Memecoin Fund to Spur Growth

The Arbitrum DAO is considering a $3.3 million fund to support memecoins within its ecosystem, aiming to boost liquidity, user engagement, and DeFi activity. The proposal seeks immediate implementation with a six-month test period, emphasizing transparent criteria for memecoin selection and collaboration with DeFi protocols. 

Meanwhile, Arbitrum whales transferred $18.5 million in ARB tokens to Binance following a $2.32 billion vesting token unlock, sparking mixed reactions within the community. Despite concerns, the ARB token's price remains volatile, with further unlocks anticipated, raising questions about future price trends.

Binance Labs Backs StakeStone for Restaking Innovation

Binance Labs invested in StakeStone, an omnichain liquidity distribution network, reaffirming its focus on advanced restaking protocols. StakeStone aims to integrate diverse yield sources and offers restaking for Ethereum, with potential plans for Bitcoin. Binance Labs' strategic shift and StakeStone's long-term vision signal significant advancements in the restaking sector.

Whale Frenzy Boosts ONDO's Market Position

Whales are accumulating ONDO amidst a frenzy in RWA token buying. ONDO surges into the top 100 cryptocurrencies by market cap, reaching an all-time high of $0.9702. The RWA market sees significant growth, with ONDO Finance leading the charge, attracting attention from large investors with its launch of Ondo Global Markets and ties to traditional securities.  

Polygon Resumes After zkEVM Mainnet Beta Fix

The Polygon zkEVM Mainnet Beta experienced downtime due to a blockchain sequencer issue, but operations resumed on March 25th after an emergency fix. The Emergency Council lifted the status and imposed a 10-day timelock for future system changes. This incident did not impact other Polygon chains, and the network recorded 658k distinct addresses.  

DED Memecoin Adjusts Airdrop Strategy Amid Backlash

The new Polkadot-based memecoin, DED, faced community backlash as its initial airdrop allocation was drastically reduced from 100% to 5%, aiming for long-term project sustainability. Despite attracting over 20,000 airdrop hunters, concerns arose over the reduced allocation. The memecoin trended swiftly following its launch, amidst a broader surge in memecoin popularity.  

Al Ghozali's New Memecoin Venture Captivates Fans

Sultan Gustaf Al Ghozali, the Indonesian college student who previously made $1 million from selling NFT selfies, has resurfaced with a new project. His memecoin presale on Base blockchain has already raised $1.8 million, surpassing its initial cap. This comes amid revived interest in memecoins, particularly within the Solana network, and a doubling of Base's TVL to $2.13 billion.