19 June

Reddit is anticipating big demand for its Ethereum-based “Community Points” system only one month after rolling out the product.

Posted in the r/Ethereum subreddit Thursday, Reddit announced a partnership with the Ethereum Foundation to find a Layer 2 (L2) scaling technique for the site’s 430 million users.

Applicants are asked to submit proofs-of-concept by July 31 with reviews concluded by September.”

See Also: Reddit Post

“zkSync is built using Matter Labs’ zkRollup technology: a combination of cutting-edge research in zero-knowledge proofs with on-chain data availability.

zkSync massively reduces [transaction] costs while gradually enabling VISA-scale throughput of up to 2,000 TPS. Fees [are] payable in the token being transferred. Instant confirmations on transactions and finality within minutes.

While zkSync v1.0 scales crypto payments on Ethereum today, it also lays the technological foundation for the next steps on our roadmap: enabling smart-contract functionality, privacy, and cryptographically secured censorship-resistance.”

“In a terse exchange about imposing sanctions and tariffs with China, Trump reportedly told Mnuchin: ‘Don’t be a trade negotiator,’ ordering him instead to: ‘Go after bitcoin [for fraud].’

If you don’t want me on trade, fine, your economic team will execute whatever you want,‘ Mnuchin retorted. The exchange comes from an excerpt from Bolton’s new book.

The conversation is said to have happened in May 2018, around the time investors were cheering bitcoin on after it rose 33% against the dollar. It’s unclear from the excerpt what specifically led Trump to order Mnuchin to crack down on bitcoin.

Trump made his own thoughts on bitcoin abundantly clear last summer. ‘I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air,’ he tweeted.”

Traders may now be able to hedge the risks they face from interest rate payment fluctuations in perpetual contracts. And it could also help those lending and borrowing in the decentralized finance (DeFi) space. Thus, companies that borrow MakerDAO’s dai and need to pay the volatile stability fee as interest can also hedge.

In traditional finance, interest rate derivatives are the largest traded contracts on organized exchanges as well as in the over-the-counter markets globally.

Interest rate swaps will give sophisticated traders an opportunity to more easily access, hedge, and arbitrage floating interest rate markets like Compound – leading to more stable, and less volatile financial products.”

See Also: Crypto.com enters Bitcoin derivatives market to rival OKEx, Huobi

The nation’s Ministry of Justice opposed the draft new regulation Tuesday, a week after the Ministry of Economic Development also criticized it. The bill was introduced by lawmakers in March but is broadly believed to be the brainchild of the country’s central bank.

The justice ministry pointed out it’s not clear what courts would be able to do with confiscated crypto. Normally, marshals would sell seized property at auctions, but if all crypto transactions are illegal in Russia this wouldn’t be possible.”

See Also: Russia Officially Lifts Its Two-Year Telegram Ban
See Also: DoJ Backs Trump’s Challenge to Section 230 and Social Media Platform Neutrality

“PieDAO has launched USD++, a hedged basket of USD-denominated Ethereum (ETH)-based stablecoins.

PieDAO USD++ contains four stablecoins which have been weighted in such a way as to minimize price volatility for holders. Weightings are determined according to which stable tokens have the strongest peg, largest market, and greatest trust from the community.

At present the USD++ basket comprises 47.22% USD Coin (USDC), 28.58% TrueUSD (TUSD), 20.42% Dai (DAI), and Synthetix USD (sUSD).

Stable coins are not created equal, they have trade offs in security models, centralization, and divergence to the $1 peg.”

“It’s not unfair to say the DeFi market has been completely overtaken by Compound this week. The question, of course, is why.

Coinbase Pro announced Thursday it will list COMP next week. The total amount of tether (USDT) on Compound is up almost 8,000% since June 11. Compound is the only DeFi market besides MakerDAO to break $200 million in TVL [total value locked].

Given that COMP represents a potential claim on future interest paid, as more collateral onboards to Compound, this should make COMP more valuable as more lenders/borrowers show up. (In the short term though, most of COMP’s price fluctuations are a function of the tiny float. Think Zcash early days. I wouldn’t read too much into the current price.)”

See Also: FTX Releases COMP Derivatives to Keep Up With DeFi Frenzy

Andreas on DeFi and KYC/AML

See Also: DeFi Explained (Video)

“The trial, which ran between Dec. 2018 and Jan. 2020, was part of the RENeW Nexus Project, which investigated the potential of localized two-sided energy markets and blockchain technology to improve the energy system.

As part of the project, Power Ledger’s blockchain platform — which tracks energy consumption and allows users to sell their surplus solar energy to other residents — will in future be combined with a microgrid that uses a 670 kilowatt hours community battery in order to support inter-household trading.”

See Also: Tokyo Power Company to Use Blockchain for Trading Electricity Surplus

“MyEtherWallet, a well-known Ethereum wallet app, is releasing a feature named “Host Your Own Site” that provides an easy interface for its users to upload a website to the InterPlanetary File System, or IPFS.

The websites are hosted on a decentralized network of peer-to-peer computers, which makes them resilient to most censorship tools available for the traditional web.

[We are] slowly taking the first step towards a fully decentralized future.”

“The newest release of the Bancor decentralized exchange appears to be vulnerable to a very serious bug that can result in a significant loss of user funds.

Hex Capital speculated that the team was “too late in many cases” to save funds.

The Bancor team rescued $409,656 in total and spent 3.94 ETH for gas, while automatic front-runners captured $135,229 and spent 1.92 ETH for gas. Users were charged for $544,885 in total.”