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NOTCOIN vs. UXLINK: A Comparative Study on Mass Adoption Strategies in Web3
Project Overview NOTCOIN NOTCOIN is recognized as the first breakout project within the Telegram ecosystem. Since the beginning of this year, NOTCOIN has rapidly gained traction due to its inherent meme appeal and easy Tap-to-Earn gameplay, attracting 5 million users within a week of launch, with peak daily active users exceeding 6 million. After its […]
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Wells Notice Wallop: Robinhood Bleeds 164 Million Dogecoin In Mass Exodus
The Shiba Inu’s reign as king of memecoins may be facing a ruff patch. Dogecoin (DOGE) prices dipped this week after news broke of the US Securities and Exchange Commission (SEC) issuing a Wells Notice to Robinhood, a popular crypto exchange.
The notice, a precursor to potential enforcement action, alleges Robinhood violated multiple securities laws. This sent shockwaves through the crypto community, with many investors, particularly those holding large amounts of DOGE (often nicknamed “whales”), pulling their funds out of Robinhood.
The most significant outflow involved a whopping 164 million DOGE, worth roughly million at the time, being transferred out of the exchange. This mass withdrawal by a whale investor likely contributed to the market jitters surrounding DOGE.
Another 164M $DOGE, worth M, have been transferred out of Robinhood.
These transactions occurred after the platform received a Wells notice from the SEC. #DOGE #Robinhood #CryptoNews
Source: MartyParty pic.twitter.com/oKxW1S8pTD
ā Bitcoinsensus (@Bitcoinsensus) May 8, 2024
DOGE Price Wobbles: Short-Term Blues Or Long-Term Woof?
The price of DOGE tumbled 5.8% in the 24 hours following the Robinhood news. However, analysts caution against a knee-jerk reaction. While the legal troubles undoubtedly cast a shadow on Robinhood, the DOGE outflow, including the 164 million transfer, might not be the sole culprit behind the price dip.
Transferring cryptocurrency from an exchange to a personal wallet is often seen as a bullish move, indicating an intention to hold for the long term.
Dogecoin And Bitcoin: A Tale Of Two Blockchains
Another factor influencing DOGE’s price is its tight correlation with Bitcoin (BTC). Both currencies operate on the Proof of Work (PoW) consensus mechanism, which some see as outdated compared to newer, energy-efficient models.
The recent pullback in the broader crypto market, especially in Bitcoin, likely played a role in dragging DOGE down as well.
Rocky Road To .20? DOGE Faces Support Hurdle
DOGE enthusiasts were eyeing a price target of .20, but the recent drop presents a roadblock. The memecoin dipped below the crucial .15 support level, raising concerns about a further decline.
Analysts point to a potential support zone between .143 and .146, but a fall below that could trigger a more significant price correction.
Bullish Signs Amidst The Dip
Despite the short-term pessimism, there are glimmers of hope for DOGE. The buy orders for DOGE currently outweigh sell orders by a significant margin, suggesting continued investor interest.
Related Reading: Forget The Price Dip: Ethereum Network Activity Hints At Imminent Takeoff
Additionally, the memecoin’s Relative Strength Index (RSI) sits at a neutral 47, indicating there’s room for new buyers to enter the market. Furthermore, DOGE managed to maintain a weekly price increase despite the daily drop, hinting at underlying resilience.
Doge Day Delayed, But Not Doomed
The coming weeks will be crucial for Dogecoin. The outcome of Robinhood’s legal battle with the SEC and DOGE’s ability to regain lost ground will determine its short-term trajectory. However, long-term forecasts for the memecoin remain cautiously optimistic.
Featured image from Yahoo Finance, chart from TradingView
Messari CEO Criticizes US Presidentās Crypto Stance, Foresees āMass Wealth Confiscationā if Biden Gets Reelected
Recently, Messari’s founder and CEO, Ryan Selkis, has expressed strong opinions about the potential impact of a Joe Biden reelection on the cryptocurrency industry in the United States. On Thursday, Selkis voiced his concerns on the social media platform X, stating that a āsecond Biden term will lead to mass wealth confiscation and crypto seizures.ā […]
Bitcoin News
Russian Central Bank Chief: Mass Adoption of Digital Ruble Expected in 5 to 7 Years
Elvira Nabiullina, head of the Russian central bank, has stated that the mass launch of the digital ruble will take five to seven years. This appears to contradict recent suggestions by the chairman of the State Duma Committee on the Financial Market that the launch will begin next year. No Decision Before 2025 Elvira Nabiullina, […]
Bitcoin News
Bitcoin ETFs Enable the āMass Marketingā of a Worthless Asset to Main Street Americans, Says Better Markets
An independent nonprofit organization said the U.S. Securities and Exchange Commission’s approval of spot bitcoin exchange-traded funds has enabled the “mass marketing of a known worthless, volatile, and fraud-filled financial product to Main Street Americans.” The organization claimed that bitcoin proponents will likely portray the approval as some kind of government endorsement of cryptocurrencies.
Large Portion Bitcoin Trading Allegedly Tied to Wash Trades
Better Markets, an American nonprofit organization committed to promoting public interest in financial markets and the economy, has expressed dismay at the U.S. Securities and Exchange Commission (SEC)’s approval of the spot bitcoin exchange-traded fund (ETF). The organization charged that instead of protecting crypto investors, the SEC has now enabled the “mass marketing of a known worthless, volatile, and fraud-filled financial product to Main Street Americans.”
In its Jan. 11, 2024, press statement, Better Markets insisted that the law does not support the U.S. regulator’s approval of ETF applications. It also attacked claims that a U.S. court ruling in favor of the crypto asset manager Grayscale had forced the SEC’s hand. As previously reported by Bitcoin.com News in August 2023, the U.S. court ruled that the SEC’s rejection of Grayscale’s spot Bitcoin ETF was “arbitrary and capricious.”
However, in its fiery statement, Better Markets assailed suggestions that the SEC’s defeat meant it had to approve the ETFs.
“The court in Grayscale merely said that the SEC failed to sufficiently explain its prior rejection. The SEC could — and should have — rejected the ETF applications and better detailed why it did so, importantly including a showing that ‘as much as 77.5% of the total trading volume on unregulated exchanges was due to wash trading’ and as much as 95% of Bitcoin trading ‘could be due to wash trading,’” the nonprofit organization said.
The nonprofit organization also claimed that BTC proponents will likely portray the approval as some kind of government endorsement of cryptocurrencies. Turning its focus on BTC and cryptocurrencies in general, the organization said the top crypto asset remains a “worthless financial product” that is only favored by speculators, gamblers, and criminals.
According to a statement by Better Markets, no regulatory body has been able to effectively police the crypto industry. The statement also slammed Rostin Behnam, the chairman of the Commodities Futures Trading Commission (CFTC), who it said had turned out to be “little more than a biased crypto cheerleader.”
What is your reaction to Better Markets’ take on the SEC’s approval of ETFs? Let us know what you think in the comments section below.
Mass Approvals: SEC Green-Lights 11 Spot Bitcoin ETFs
The U.S. Securities and Exchange Commission (SEC) has approved 11 spot bitcoin exchange-traded funds (ETFs) for listing and trading on U.S. stock exchanges. In a historic move after years of anticipation and regulatory hurdles, the approved spot bitcoin ETFs are expected to start trading Thursday on NYSE Arca, Nasdaq, and Cboe BZX Exchange.
Spot Bitcoin ETFs Approved to Launch
The U.S. Securities and Exchange Commission (SEC) announced Wednesday that it has approved 11 spot bitcoin exchange-traded fund (ETF) applications to be listed and traded on NYSE Arca, the Nasdaq Stock Market, and Cboe BZX Exchange.
The approved spot bitcoin ETFs are ARK 21shares Bitcoin ETF (ARKB), Fidelity Wise Origin Bitcoin Fund (FBTC), Franklin Bitcoin ETF (EZBC), Invesco Galaxy Bitcoin ETF (BTCO), Vaneck Bitcoin Trust (HODL), Wisdomtree Bitcoin Fund (BTCW), Bitwise Bitcoin Trust (BITB), Ishares Bitcoin Trust (IBIT), Valkyrie Bitcoin Fund (BRRR), Hashdex Bitcoin ETF (DEFI), and Grayscale Bitcoin Trust (GBTC).
The 11 spot bitcoin ETF applicants filed their final registration statements (S-1) with the SEC this week. The filings revealed a fierce fee war among issuers. In its latest filing, which was posted on the SECās website on Wednesday morning, Blackrock, the world’s largest asset manager, slashed its fee to 0.25% (0.12% for the first billion), joining Ark Invest and 21shares in a fee-cutting frenzy. Their ETF fee sits at 0.21% with a 0% waiver for the first six months or billion. Bitwise takes the crown with a 0.20% fee and identical waiver, while Grayscale remains the priciest option at 1.5%.
Approved spot bitcoin ETFs universally adhere to the cash creation model, as it aligns with the SEC’s preference. Ark Invest CEO Cathie Wood believes spot bitcoin ETFs will boost the price of bitcoin “significantly.” Vaneck’s digital assets director stated that people tend to underestimate the long-term impact of spot bitcoin ETFs. Crypto exchange Coinbase, which will serve as the custodian for most U.S. spot bitcoin ETFs, recently said it has been extensively prepared for spot bitcoin ETF approvals.
What do you think about the SEC’s decision regarding spot bitcoin ETFs? Let us know in the comments section below.
Analysts Fear European Digital Identity Wallet Implementation Might Lead to Mass Surveillance
A group of analysts and companies have raised their voices against the risks that the upcoming European Digital Identity Wallet implementation might bring to Europeans’ privacy. Article 45 of a leaked Eidas document (Electronic Identification, Authentication, and Trust Services) indicates that web browsers distributed in Europe will have to accept certificates and cryptographic keys selected by the European Union (EU), opening the doors to online surveillance.
European Digital Identity Wallet Project Could Introduce Means for Online Surveillance
The technical implementation of the European Digital Identity Wallet has analysts and experts worried, with some warning against the veiled introduction of a system to exert online surveillance over European citizens.
Since the announcement of the final agreement on the project, more than 500 scientists and researchers from 39 countries and foundations like Mozilla have called on the European Union (EU) to rework a leaked Eidas (Electronic Identification, Authentication, and Trust Services) document to address these concerns.
The problem lies in Article 45 of the document, which establishes that web browsers distributed in Europe have to accept digital certificates and cryptographic keys from the EU and its member countries.
According to the experts, this would mean that “any EU member state or third party country, acting alone, is capable of intercepting the web traffic of any EU citizen, and there is no effective recourse.” An open letter from these scientists declared:
The current proposal radically expands the ability of governments to surveil both their own citizens and residents across the EU by providing them with the technical means to intercept encrypted web traffic, as well as undermining the existing oversight mechanisms relied on by European citizens.
What Comes Next
While the final Eidas document has not been released to the public yet, the Mozilla Foundation has revealed that, according to its information, there have not been changes proposed to article 45 specifically, with the whole project up for voting on November 28. Mozilla also called for the document’s release before the voting session, explaining that “civil society and the public are still unable to read the proposed regulation, let alone scrutinize its impacts.”
The European Commission has disregarded the concern, stating that it was part of a misunderstanding of the project as it is presented. It reported that “there is no risk of government spying, nor breaching the confidentiality of internet connections” with the current iteration of Eidas in a Q&A session.
What do you think about the European Digital Identity Wallet project? Tell us in the comments section below.
Chainlink Creator Expects Mass Crypto Adoption To Send Market Cap To $10 Trillion
In a recent interview, Chainlink’s co-founder, Sergey Nazarov, said the collapse of the banking industry will drive crypto mass adoption.
Chainlinkās Co-Founder Predicts Crypto And Blockchain Prospects Over The Next Decade
Sergey Nazarov believes that the collapse of the banking industry will favor crypto adoption and growth in the next decade.
Nazarov believes the crypto industry and its technological innovations might maintain the same slow growth pace. However, the industry player cited two possible crypto and blockchain adoption scenarios in the next ten years.
First, the Chainlink co-founder proposed a fast-case scenario where the collapse of the traditional finance system puts individuals in pain. This pain will force individuals to “acknowledge the relevance” of cryptographic financial systems.Ā
Further, Nazarov noted that the continued collapse of banks like Silicon Valley Bank could fast-track crypto adoption.Ā
Secondly, based on the first theory, the collapse of traditional finance systems will lead to political tension and international problems. Nazarov believes investors will favor crypto for financial operations if the pain of suffering losses becomes unbearable.Ā
Therefore, Nazarov insists that even in the slow case, the crypto market is likely on its way to a trillion market cap.Ā
Chainlinkās Adoption By ANZ Banking Group Supports Nazarovās Growth Theory
According to a new industry report, ANZ Bank has adopted Chainlinkās CCIP for cross-chain tokenized asset settlement. CCIP solution helps to transfer data and tokenized assets across blockchains in a decentralized and secure way, according to the crypto founder.Ā
Notably, ANZ Bank is one of the world’s largest banks, with over trillion in total assets managed. Sergey Nazarov noted that Chainlinkās adoption by ANZ shows how large companies are now adopting Chainlinkās CCIP.Ā
Also, the co-founder stated that building on a global internet needs secure connectivity between private bank chains and public chains.Ā
The CCIP is an upgrade on the Chainlink Network that functions as a global Internet of Contracts. This upgrade aims to create the worldās largest liquidity layer across various regions and markets.Ā
Remarkably, Nazarov stated that CCIP can create a higher level of cross-chain security. It achieves this extra security with multiple layers of decentralization and advanced risk management techniques.Ā
Moreover, most cryptocurrencies offer users fast and secure cross-border transactions cheaply. However, some critics still insist that cryptocurrencies are unreliable based on their volatility and crisis in the sector.Ā
With innovations like the CCIP of Chainlink, more banks may integrate crypto and blockchain-based solutions. This drives crypto to mainstream adoption, increasing the market cap to trillion, as Nazarov predicts.
Meanwhile, the collapse of banks such as Silicon Valley Bank (SVB) in 2023 has strained the global finance economy. If another banking crisis occurs, cryptocurrencies might become the preferred option for most investors based on their rising utility.
Stablecoin Economy Shrinks by $7.3 Billion in 2023, USDC and BUSD Record Mass RedemptionsĀ
From the beginning of this year, the crypto economy has surged by 41.77%, reaching a current market capitalization of .17 trillion. However, amidst this growth, the stablecoin economy experienced a substantial loss of .3 billion within a span of 140 days.
Stablecoins Experience a Significant Shift
As per the latest data, the stablecoin economy has witnessed a .3 billion decline in value in 2023. Archived records indicate that on January 6, the stablecoin economy stood at a valuation of 8.12 billion, but as of today, it has dwindled to 0.79 billion. Notably, numerous stablecoin projects experienced substantial redemptions in the past four months, with USDC alone shedding over billion. Similarly, BUSD suffered redemptions exceeding billion since the first week of January, while DAI faced redemptions amounting to 1 million.
While USDC and BUSD experienced redemptions exceeding .3 billion in 2023, a few other stablecoin projects managed to counterbalance these losses with growth. Take TUSD, for instance, which started the year with a market capitalization of approximately 6.57 million. Today, this stablecoin boasts a market valuation of .04 billion, indicating a growth rate of 140.97%.
Similarly, tether (USDT) witnessed a substantial increase in its market cap. Back in the first week of January, USDT stood at .29 billion, but it has since surged by over 25%, reaching .95 billion. Back on January 6, 2023, the stablecoin economy recorded .11 billion in 24-hour trade volume. However, fast forward to May 21, 2023, and the volume of the dollar-pegged token market has dipped considerably, settling at a comparatively modest .77 billion.
Although the current volume may appear smaller, the .77 billion worth of stablecoin trades still represents a significant portion, accounting for 57.9% of the total 24-hour trading volume within the entire crypto economy. On the other hand, when the dollar-pegged token volume reached .11 billion, it accounted for 81.36% of the day’s global trade volume (on Jan. 6, 2023) across the 12,775 listed crypto assets on coingecko.com at that time.
What do you think about the stablecoin economy in 2023 and the mass redemptions over the past four months? Share your thoughts about this subject in the comments section below.