Coin360 Daily Dispatch | Crypto Market Updates & Highlights | September 26, 2023

Crypto Market Update

Table of Contents

Banking and Regulatory Updates

• Taiwan Tightens Crypto Regulations
• Chase UK Puts a Stop to Crypto Payments
• US Sanctions Ethereum Wallet Over Fentanyl

Crypto Exchanges and Platforms

• Kraken Secures Licenses in Ireland and Spain
• Huobi Hacked: The Aftermath and Safety Measures
• Gemini Invests in India's Crypto Future

Wallets and Payment Systems

• Microsoft's Crypto Move for Xbox Leaked
• MoneyGram's Digital Wallet Goes Crypto
• Circle's EURC Stablecoin Expands to Stellar

Market Trends and Studies

• Ethereum's Revenue Journey: Past and Future
• Crypto Salaries: A Pantera Capital Study
• Bitcoin Trading Volumes Hit 5-Year Low

Innovations and Community

• Celestia's Genesis Drop Aims for Community Growth
• Immunefi's Vault Systems Boosts DeFi Security
• Stader Labs Introduces rsETH for Restaking

Country-Specific Developments

• Binance Japan and Mitsubishi Team Up for Stablecoins

Tokens and NFTs

• Runes Protocol: A Solution to Network Congestion
• Optimism's OP Token Faces Market Impact
• Pudgy Penguins Goes Physical with Walmart
• VeeFriends and Mattel Unveil Skilled Skeleton

Taiwan Tightens Crypto Regulations

Taiwan's Financial Supervisory Commission (FSC) has released new regulations for the cryptocurrency sector. The rules require businesses to separate customer funds, implement robust cybersecurity measures, and combat money laundering. Additionally, new token issuers must submit a white paper before their tokens can be listed on exchanges. 

The FSC has prohibited the use of stablecoins and trading derivatives, stating that these pose risks to retail investors. Overseas companies must comply with the FSC's money laundering regulations to offer services to Chinese consumers. 

Chase UK Puts a Stop to Crypto Payments

JPMorgan's Chase UK bank will ban crypto payments from October 16, blocking British customers from transferring money to crypto firms or trading crypto with Chase debit cards. This move follows the trend of UK banks limiting or banning crypto transactions, despite crypto trading being a regulated financial activity in the UK. The decision may frustrate UK crypto traders who experienced similar issues during the 2021 bull market.

US Sanctions Ethereum Wallet Over Fentanyl

The US Treasury has sanctioned an Ethereum wallet tied to Mexican national Mario Alberto Jimenez Castro for alleged involvement in illicit fentanyl sales. The wallet currently holds approximately 0.018 Ether (ETH) worth $1,588. The Treasury also targeted other individuals connected to the Sinaloa Cartel involved in money laundering and drug trafficking.  

Kraken Secures Licenses in Ireland and Spain

Cryptocurrency exchange Kraken has received an electronic money institution (EMI) license from Ireland's central bank and a virtual assets service provider (VASP) registration from the Bank of Spain. 

The EMI license allows Kraken to expand its EUR fiat services with European bank partners, while the VASP registration in Spain permits the exchange to offer exchange and custodial wallet services to Spanish residents. Kraken's move follows Coinbase's receipt of VASP registration from the Bank of Spain on Monday.

Huobi Hacked: The Aftermath and Safety Measures

Huobi, a major player in the crypto coin prices game, has been hacked for 5,000 ETH (approximately $8 million). Concerns over the exchange's solvency have resurfaced, with speculation about its ability to cover the losses. Huobi has offered a bounty to the hackers and plans to involve law enforcement if the funds are not returned within seven days. 

HTX global adviser, Justin Sun, announces the creation of a Secure Asset Fund for Users (SAFU) following a $7.9 million hack. The fund will serve as a safety net to reimburse investors in the event of asset losses.

Gemini Invests in India's Crypto Future

US crypto exchange Gemini plans to invest $24 million in its technology and crypto hub in India. The investment will be used to grow the team, enhance core platform fundamentals, and support the overall growth of the crypto ecosystem in India and globally. Gemini aims to bring crypto and Web3 to the masses in India.  

Microsoft's Crypto Move for Xbox Leaked

Recently leaked documents reveal that Microsoft plans to integrate cryptocurrency wallets into Xbox. The leak occurred due to the Federal Trade Commission's legal action against Microsoft. While the company has not officially confirmed the integration, the crypto community is excited about the potential opportunities it presents.  

MoneyGram's Digital Wallet Goes Crypto

MoneyGram is launching a non-custodial digital wallet in Q1 2024 that will allow customers to convert fiat to crypto and vice versa. The wallet will leverage stablecoin technology and is part of MoneyGram's efforts to create equitable access to the global financial system. MoneyGram previously had a partnership with Ripple, but this ended in early 2021.

Circle's EURC Stablecoin Expands to Stellar

Circle Internet Financial has expanded its euro-pegged stablecoin, EURC, to the Stellar blockchain in addition to Ethereum and Avalanche. Digital payments firm Ripio will be the first to offer EURC payments, deposits, and withdrawals using Stellar. Stablecoins are a popular asset class, particularly in developing countries, and EURC has the potential to improve European remittance corridors and cross-border payments. 

Ethereum's Revenue Journey: Past and Future

Since its 2015 debut, Ethereum market cap has soared, contributing to over $10 billion in revenue, outpacing the growth of major tech companies. The revenue comes from fees collected on transactions and other activities on the blockchain network, but has fallen significantly in the past year due to the crypto market downturn. However, if adoption continues, Ethereum's revenue could reach $51 billion by 2030.

Crypto Salaries: A Pantera Capital Study

According to a study by Pantera Capital, 97% of people in the crypto industry are paid their base salary in fiat currencies, while only 3% are paid in cryptocurrencies. Of those who receive crypto payments, the majority choose dollar-linked stablecoins, with 13% opting for bitcoin. 

The median salary for engineers in the crypto industry is $120,000 globally, rising to $193,000 in North America. The study also found that 88% of roles in the industry are remote, and 20% of respondents reported receiving token incentives. However, the study notes that the values of these incentives are subject to significant fluctuations in crypto markets.

Bitcoin Trading Volumes Hit 5-Year Low

Cryptocurrency charts reveal that Bitcoin spot exchange trading volumes have hit 5-year lows, while BTC price remains stagnant. The decline in trading volume is attributed to macroeconomic uncertainty and investors opting to hold on to BTC as a long-term investment. Short-term BTC holders are experiencing unrealized losses, and new investors face strong resistance levels.

The bitcoin crypto price has remained under pressure at $26,200 as higher rates are expected to persist in financial markets. The sharp increase in rates is negatively impacting equity markets, with the Nasdaq and S&P 500 both experiencing declines. JPMorgan CEO Jamie Dimon warned that a further rise to 7% could cause stress in the system and potentially lead to a recession in the US economy.

Celestia's Genesis Drop Aims for Community Growth

Celestia is conducting a token airdrop, called the Genesis Drop, in order to incentivize users to join and contribute to its blockchain community. The campaign involves dropping 60 million tokens, which represents six percent of Celestia's overall supply. 

Participants who acquire the tokens will have the opportunity to purchase blobspace and secure the network from the beginning. Celestia aims to build a modular data availability network that competes with established platforms like Ethereum.

Immunefi's Vault Systems Boosts DeFi Security

Bug bounty platform Immunefi has launched a smart contract system called Vault Systems to improve cooperation between developers and security researchers in the DeFi ecosystem. The system allows developers to deposit funds for hackers or researchers who report vulnerabilities in their code. 

Funds are only released upon verification of a vulnerability report. The goal is to build trust between the two parties and incentivize hackers to share vulnerabilities in a secure environment.

Stader Labs Introduces rsETH for Restaking

Stader Labs plans to launch rsETH, the first liquid restaked token on the Ethereum mainnet. Restaking allows users to borrow the economic security of staked assets, and rsETH will allow users to restake different liquid staked tokens on multiple networks. 

Stader hopes to simplify onboarding to the restaking ecosystem and provide users with exposure to staking and DeFi. The rsETH contracts have been released on the Ethereum testnet, with a potential launch on the mainnet in the coming weeks.

Binance Japan and Mitsubishi Team Up for Stablecoins

Binance Japan and Mitsubishi UFJ Trust Bank are collaborating to develop stablecoins in Japan. The partnership aims to create stablecoins pegged to major fiat currencies and drive mass adoption of Web3 technology in the country. The stablecoins will be built on Mitsubishi's Progmat Coin infrastructure platform.  

Runes Protocol: A Solution to Network Congestion

The creator of the Bitcoin Ordinals protocol has launched a new protocol called "Runes" dedicated to fungible tokens. The new protocol aims to address the issues of network congestion and increased transfer fees that have been observed with the Ordinals protocol. 

Runes token balances will be held by Unspent Transaction Outputs (UTXOs) and will allow for more lightweight and malleable token transfers. The Runes protocol has quickly gained popularity among developers and traders, although a token standard has yet to be drafted.

Optimism's OP Token Faces Market Impact

Optimism's OP token has dropped 10% ahead of a $30 million token unlock on Sept 30. This will release 24.16 million tokens, impacting the market. The price rebounded slightly after a brief rally. The token was also sold to private sellers and allocated for airdrops.  

Top Altcoin Gainers and Losers

Gainers:

Maker MKR (+7.88%)

Frax Share FXS (+4.57%)

Optimism OP (+1.86%)

Losers:

Immutable X IMX (-4.13%)

FTX Token FTT (-4.05%)

Kaspa KAS (-3.96%)

NFT Market Map

Pudgy Penguins Goes Physical with Walmart

Pudgy Penguins, a popular NFT collection, is expanding into the physical world by launching its Pudgy Toys collection in 2,000 Walmart stores in the US. Each toy will come with a unique birth certificate allowing users to claim unique traits for their digital character inside Pudgy World, an online virtual world. This move aims to bridge the gap between the physical and digital realms and expand the collection's popularity beyond the crypto industry.

VeeFriends and Mattel Unveil Skilled Skeleton

Serial entrepreneur Gary Vaynerchuk's VeeFriends has partnered with Mattel to create a physical collectible featuring a character from the Masters of the Universe franchise. The Skilled Skeleton figure will be available in a two-pack with the Skeletor figure, sold on Mattel Creations' website starting October 6, 2023. The collaboration aims to expand the audience for Mattel's action figures and leverage VeeFriends' fanbase.  

This article has been refined and enhanced by ChatGPT.