“The “short-term holder SOPR,” or STH-SOPR that filters for coins younger than 155 days, dropped well below the key threshold of 1, meaning that newer market entrants appear to have “panic-sold” and realized “significant” losses on their invesments.
At the same time, the number of accumulation addresses of bitcoin continues to rise, as the count of non-zero balance addresses dropped by about 2.8% – indicating that long-term holders are buying on the latest price dip.
Weak hands capitulate, and stronger hands recommence their accumulation of cheaper coins.”
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“Successful tech entrepreneurs, or even just lucky investors, seem particularly vulnerable to what’s known as “The Peter Principle.” The concept has over time taken on the broader meaning that successful people will expand into new arenas until they hit the limits of their ability and fail, sometimes spectacularly. Silicon Valley leaders, in particular, seem frequently eager to reach beyond what they know and prove that their unique insights apply more broadly. Like Musk, they’re frequently wrong.
Musk, of course, can be forgiven for dabbling, maybe even more than most tech leaders. He is a legitimate business genius, and personally I believe that his creation of Tesla and SpaceX will have benefits to humanity so big that we won’t fully grasp them for generations.
But this time, he may have tried to technologically revolutionize the wrong hornet’s nest. His doge-scaling tweet seems to have been the breaking point for crypto long-timers already exhausted by his confusing, contradictory glibness. It might be a healthy turning point in crypto’s attitude toward a man who knows less than he thinks he does.
His embrace of arrogance extends to recently taking the title of “Technoking of Tesla.” That’s of course a bit of a joke, but there’s always truth in a joke – and crypto has no appetite for kings. By contrast, bitcoin was crucial to Tesla’s most recent earnings win. ‘Elon needs bitcoin more than bitcoin needs Elon‘ isn’t just a mantra, it’s simple reality.
Compare Elon’s behavior with two other figures who could rightly declare themselves king of something or other: Vitalik Buterin and Jack Dorsey. Nearly simultaneously with Elon’s peacocking, Vitalik Buterin, co-founder and figurehead of Ethereum, simply destroyed billions of dollars’ worth of altcoins he had been “gifted” unwillingly in an apparent marketing stunt. He also warned token founders not to pull the same shenanigans again, saying ‘I don’t want to be a locus of power of that kind.’
Vitalik’s gesture, unlike Elon’s declarations, was met with widespread praise. Not only was it a seeming rebuke of the same spammy token-generation that doge itself was intended to spoof, Vitalik’s disavowal of his own influence is fully in line with the leaderless, community-driven ethos at the core of crypto. It’s an example Musk could stand to learn from.“
“Ethereum co-founder Vitalik Buterin has burned 90% of his Shiba Inu coin (SHIB) holdings, an amount worth $6.7 billion. Buterin had been given half of SHIB’s total supply in recent weeks in what appeared to be a marketing stunt.
Last week, Buterin gave 50 trillion SHIB tokens (worth around $1.2 billion at the time) to an India COVID-19 relief fund set up by Polygon founder Sandeep Nailwal.
I’ve decided to burn 90% of the remaining shiba tokens in my wallet. The remaining 10% will be sent to a (not yet decided) charity with similar values to cryptorelief (preventing large-scale loss of life) but with a more long-term orientation.
Buterin also said in his note that he would prefer makers of cryptocurrencies give them to charities and not to him. ‘I don’t want to be a locus of power of that kind.'”
“Bank of America has joined the Paxos Settlement Service, a platform using blockchain technology to achieve same-day settlement of stock trades. The U.S. bank joins Swiss financial giant Credit Suisse and Japanese bank Nomura Holdings on Paxos Trust’s network.
Paxos used its Ethereum-based system to achieve same-day settlement in partnership with Credit Suisse and Nomura trading arm Instinet in March.
We can determine the settlement cycle down to T+0. We then can free up the collateral we’d have to post on an overnight basis.”
“Polygon, a leading platform for Ethereum scaling and infrastructure development, has attracted 75,000 new users over the past seven days, highlighting growing demand for layer-two decentralized applications.
The influx of new users brought in nearly $1 billion in volume. In the last four weeks, the number of Polygon DApps tracked by DappRadar has grown to 93 from 61.“
“Compiled by Galaxy’s mining arm, the study estimates Bitcoin’s annual electricity consumption to stand at 113.89 terawatts per hour, including energy for miner demand, miner power consumption, pool power consumption and node power consumption. This amount is at least two times lower than the total energy consumed by the banking system as well as the gold industry on an annual basis.
Given Galaxy’s estimations of power usage by banking data centers, bank branches, ATMs and card networks’ data centers, the total annual energy consumption of the banking system is estimated to be 263.72 TWh globally. [Further], the retail and commercial banking system requires multiple settlement layers, while Bitcoin offers final settlement.
In order to calculate the energy consumption of the gold industry, Galaxy Digital Mining implemented estimates for the industry’s total greenhouse gases emissions provided in the World’s Gold Council’s report titled “Gold and climate change: Current and future impacts.” As estimated in the study, the gold industry utilizes roughly 240.61 TWh per year.”
“90% of Bitcoin’s hash rate briefly signaled for the protocol upgrade with the figure now standing at about 73%.
There have been multiple occasions of at least 10 successive blocks with Taproot signals during the current difficulty epoch. However, with 190 non-signaling blocks so far, Taproot activation being locked in during this current difficulty window appears unlikely. The protocol upgrade can only move forward if 90% out of the 2,016 mined blocks in a difficulty epoch include an activation signal.”
“The crypto startup has soared in transaction volume and monthly active users since its November 2020 seed extension. Now supporting 54 DeFi protocols, it plans to launch an on-platform app store for developers and is working on a Zapper mobile app.
Zapper said it boasts 150,000 monthly active users and recently crossed the $3 billion in total transacted volume watermark. Its web app plugs into users’ wallets for easy balance viewing; it also lets users swap, stake and yield farm across multiple chains.
Our goal is really to reduce the friction and just have this one portal where you can track all your assets.”
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“There is a frenzied, if inaccessible, debate taking place among think tanks, policy experts and media outlets signaling that the U.S. Federal Reserve should launch a centrally issued digital twin of the U.S. dollar.
In trying to “out-China China” on these important issues, we miss that the future of money and payments should be about enhancing domestic financial optionality. The vibrant crypto asset industry that calls the U.S. home has been advocating for a more open global payment system for years.
A true internet of value would advance important first principles, such as privacy, trust, democratization of assets and prosperity, rather than clinging to dated and largely ineffective financial rules, such as the Bank Secrecy Act.
The fastest way to disrupt the very financial system that has made the U.S. the economic and political envy of the world would be to succumb to the pressures of launching a centralized digital currency. CBDCs would disrupt the two-tiered banking system, while providing uncertain outcomes for consumers and markets.
Dollar digital currencies that are backed 1:1 with assets preserved in the two-tier U.S. banking system (like USDC), import all the safety, soundness and values of the U.S. dollar, turbocharging it with the power of the internet.”
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