18 December

“A new CNBC survey has revealed that a majority of millennial millionaires have invested a significant chunk of their portfolio in crypto and plan to continue their crypto investments in 2022. The survey polled investors with assets of $1 million or more.

53% of total survey respondents said they hold 50% or more of their portfolio in crypto. Nearly one-third of the respondents have invested at least three-quarters of their wealth in crypto assets. 48% of millennial millionaires plan to add to their crypto investments while 38% plan to hold and only 6% plan to reduce their crypto exposure in the coming year.

The new generation’s rising interest in the nascent crypto market could prove to be an issue for wealth managers. Traditional managers would have to rethink their approach towards these upcoming investors.”

The Wall Street bank sees blockchain as one of the most disruptive technologies since the advent of the internet. Goldman analysts feel that cryptocurrency is just the beginning for blockchain.

It is the only technology that can “uniquely identify any virtual object independent of a central authority,” and this ability to identify and track ownership will be crucial to the functioning of the metaverse, analysts led by Rod Hall wrote in a note published on Dec. 14.

Web 3 is the third generation of internet services which have been made possible by decentralized networks. For Web 3, blockchain allows for the “partial elimination of centralized control,” the note says. In the future, users will be able to log in without the need for a third party, such as Meta, Google or Apple.”

MicroStrategy owned 122,478 bitcoin as of Dec. 10, worth roughly $5.8 billion. To generate income from its bitcoin, MicroStrategy could lend some portion of it to a “trustworthy counterparty,” CEO Michael Saylor said.

The company could also put its bitcoin into some form of partnership with a big tech company or bank. MicroStrategy might also look to put a mortgage against its bitcoin, generating long-term debt under “favorable circumstances.” Finally, MicroStrategy could develop “some kind of interesting application” for its bitcoin.

Saylor noted in his presentation that no formal steps had been taken on any of these potential initiatives.”

“Bitcoin traded lower on Friday along with equities as demand from buyers faded.

BTC is roughly flat over the past week, compared with a 1% drop in ether (ETH), a 5% rise in Solana’s SOL token, and a 38% rise in Avalanche’s AVAX token over the same period. The wide dispersion in crypto returns this week suggests that investor appetite for risk remains strong.

The bitcoin options market is leaning more neutral/bearish over the short term. Meanwhile, option expiries slightly further out between January and February 2022 are less skewed, indicating a more neutral price outlook into next year.”

See Also: Bitcoin Slides Toward $46K, Dropping Alongside US Stock Market

Rug pulls accounted for 37% of the over $7.7 billion in total illicit revenue from crypto scams this year. In 2020, rug pulls accounted for just 1% of the under $5 billion in total illicit revenue.

Turkish crypto exchange Thodex accounted for a majority of the lost funds on the list after its founders went missing with over $2 billion in client funds in April 2021. This was followed by dogecoin-inspired AnubisDAO at $58 million, and Binance Smart Chain-based exchange Uranium Finance at $50 million.”

See Also: Justin Sun Is Retiring From Tron

“Former U.S. Securities and Exchange Commission (SEC) Chair Jay Clayton is being criticized for a pro-blockchain op-ed he wrote for the Wall Street Journal. His op-ed attracted some rather disparaging responses from commentators in the crypto community, given how his pro-crypto position differs from that which punctuated his reign as head of the SEC.

In his piece, which was published Thursday, Clayton argued the U.S. government needs to do more to harness the advantages of tokenization of assets via blockchain technology. For investors to pursue opportunities afforded by blockchain technology with confidence, they need assurance that they are protected by time-tested regulatory principles, he said.

One proposal he highlighted is to explore tokenizing the U.S. Treasury bond market to provide real-time trading, clearing and settlement of government bonds.”

17 December

“At Coinbase, we want to help pull all the pieces of identity together—essentially creating an identity on-ramp into the Metaverse. That’s the idea behind our work with ENS, which makes it possible to create a unique username NFT that resolves to a wallet. Eventually, this will allow users to carry a unique ID across different worlds in the Metaverse.

We’re also working on technology that will allow you to purchase your avatar, define and maintain your public profile, and establish trust. And we’re working on features like Sign in with [ETH/Coinbase], which could allow users to sign into every app in the Metaverse.

If Coinbase does become a popular option for people to access the metaverse and manage their identity, it could come to occupy a similar role as Facebook did for an earlier era, where people used their Facebook account as a key to accessing a wide variety of other websites.

For Coinbase, the situation is different, of course, because the metaverse is being built as a decentralized platform over which no single company or authority has control. Meanwhile, its CEO Armstrong has long been a proponent of decentralization as a way to give people more freedom over their lives.

Nonetheless, if Coinbase does emerge as the go-to service by which many people access the metaverse and store their identities, his company may have to be especially careful to ensure it doesn’t exert power over those who inhabit the metaverse—or else risk bringing Web2-style gatekeeping to Web3.”

See Also: Melania Trump Pitches NFT Plans; ‘Cobalt Blue Eyes’ Captivate Crypto Twitter

The new guidance will allow them to support the buying and selling of cryptocurrencies. The NCUA is a U.S. regulator that oversees credit unions, acting as a counterpart to the Office of the Comptroller of the Currency (OCC), which regulates national banks.

Credit unions have been watching endless outflows of cash to crypto exchanges, and many people would rather use their primary financial institution for their first foray into crypto investing.

Financial services has always been ‘adapt or die’ and I don’t want credit unions to go the way of Blockbuster Video because we, the regulators, prevented innovation.”

See Also: HSBC and IBM create successful multi-ledger CBDC demo

Projects built using “Consensys Rollups” can reach a throughput of up to 10,000 transactions per second (TPS) on a private chain. Use cases could include central bank digital currencies (CBDC), decentralized exchanges (DEX), micropayments and private transfer and taxes.

ConsenSys Rollups is an innovative modular software solution for permissioned blockchain applications focused on providing scalability and privacy capabilities.

Mastercard and ConsenSys announced an initial partnership in April as part of a $65 million fundraising round for ConsenSys that included large bank investors such as JPMorgan and UBS.”

“In addition to developer grants, Aztec said it will use the funds to push for legal clarity on private crypto transactions. The company wants to provide thought leadership on how to create a compliant regulated payments network.

In January, the company is set to launch Aztec Connect, a way for users to privately access Ethereum’s decentralized finance (DeFi) ecosystem. At launch, Aztec Connect will add functionality for a select group of blue chip DeFi partners. The company will then launch the Connect software development kit (SDK) to allow any Ethereum project to integrate Aztec’s privacy and cost savings.

Everything on the blockchain is public. Aztec is effectively end-to-end encryption for those public messages. Aztec’s rollup solves privacy while enabling access to Ethereum DeFi.”

See Also: Reddit Confidentially Submits Draft Registration Statement for Proposed IPO

The drop came after major U.S. stock indexes fell amid plans by Europe’s top central banks to battle high inflation. The S&P 500, Dow Jones Industrial Average and tech-heavy Nasdaq Composite declined, the Nasdaq by over 2%.

Bitcoin and [Big Tech] are getting punished today as investors reallocate some of their more profitable risky bets. The crypto space is seeing a lot of repositioning and that is leading to some unwanted selling pressure, but the medium- and -long-term outlooks remain firmly in place.”

See Also: Bitcoin Holds Steady as BOE Hikes Interest Rate, ECB to Reduce Crisis-Era Stimulus
See Also: Here’s why Bitcoin traders expect choppy markets for the remainder of 2021

“On Thursday, BitDAO, one of the world’s largest decentralized autonomous organizations with over $2.5 billion assets under management and its partner Mirana Ventures, announced the creation of EduDAO with eight of the world’s top universities including the University of California Berkeley, MIT, Harvard and Oxford University.

EduDAO is financed by the BitDAO treasury and will allocate $11 million each year to funding project grants, research and standalone product development. The funds will go to academic research for next-generation blockchain and Web 3.0 technologies.

Placing the power of targeted funding and information distribution in the hands of a decentralized collective of students, faculty members, and alumni is a revolutionary step forward for institutions such as Harvard.”

See Also: Derivatives Trade Association ISDA to Develop Common Standards for Crypto Assets

16 December

“Bitcoin jumped above $49,000 on Wednesday, after U.S. Federal Reserve officials approved the acceleration of the central bank’s plan to withdraw coronavirus pandemic stimulus efforts. Crypto and traditional markets turned higher as the central bank’s decision diminished investor uncertainty.

The Fed bankers signaled they are ready to raise the short-term interest rate at least three times next year to battle the current high inflation. Prices for bitcoin and other crypto fell sharply in recent weeks because investors were worried about the Fed’s anticipated hawkish policy adjustment. The price rise after Wednesday’s news showed “a relief rally.”

Bitcoin (BTC) held support around $46,000 and is attempting to reverse a short-term downtrend. Still, upside appears to be limited toward the $52,000 resistance level. Momentum is also stabilizing after several weeks of low trading volume.”

See Also: Fed Speeds Up Stimulus Withdrawal, and Bitcoin Jumps
See Also: Fed chair Jerome Powell says he isn’t concerned about crypto disrupting financial stability in the US

In a letter to the U.S. Securities and Exchange Commission (SEC) on Tuesday, Coinbase urged the agency to approve NYSE Arca’s application to convert the Grayscale Bitcoin Trust into an exchange-traded fund (ETF).

There is no rational basis for disallowing a spot-based ETP while allowing a futures-based ETP – both are reliant on bitcoin’s underlying price.”

See Also: Valkyrie Launches ETF to Track Bitcoin Balance Sheet Stocks

“A governance proposal floated by the Aave community centered around the platform’s code licensing ended on Tuesday, with 55% voting for the ecosystem to apply for a “business license.” A business license would mean any project or developer that uses Aave’s code for their project would have to take permission from a legal entity that would be set up to control such decisions.

This vote is essentially a signal on whether or not the Aave community wants to protect its intellectual property from unauthorized use, or simply allow anyone to use the code in any way they prefer.

Having a business license (similar to Uniswap v3) initially will help to prevent a fork for the time being, and we suggest a [two- to three-years] delay for it to transition to an MIT license. This will give Aave more time to build their ecosystem further.”

The Guild will join the Web 3.0 network as a core developer in a four-year partnership to facilitate the expansion and development of The Graph’s existing 31,000 subgraphs.

Incepted in July 2018 and launched on mainnet in December 2020, The Graph is Web 3.0 indexing and querying infrastructure that enables development programmers to construct application programming interfaces, widely known as API’s and internally as subgraphs, to deploy Web3 services.

The platform has awarded $248 million to their core developer network over the last twelve months, the most recent of which was last week’s $60 million grant to infrastructure service, Semiotic AI, to accelerate research and development initiatives in cryptography and artificial intelligence.”

See Also: Crypto Lender Ledn Raises $70M in Series B Round, Readies Bitcoin-Backed Mortgage Product
See Also: Balancer Launches ‘Boosted Pools’ on Aave to Improve DeFi Yields
See Also: Kevin Durant and Rich Kleiman’s Thirty-Five Ventures to create NFT drops with Coinbase

Exidio is launching a decentralized virtual private network (dVPN) app that encrypts a user’s data on the go and allows them to earn passive income by offering node hosting and excess bandwidth. The apps are available on the Apple App Store and Google Play.

We’re bringing a lot of the same benefits of centralized VPN, but in an open-source, peer-to-peer network where people are offering bandwidth and earning income for offering that resource to the network. Anyone that’s connected to the VPN network is actually getting a provably encrypted connection because there’s no middleman.

The apps are built on the Sentinel network, a peer-to-peer bandwidth marketplace that went live earlier this year on the Cosmos blockchain ecosystem.”

See Also: Crowdsourced Threat Detector PolySwarm Goes Live on Mainnet

The token will be backed by physical gold, ‘ready for anytime, on-demand delivery.’

Stablecoins and other digital assets backed by physical redeemable gold are not new, however, with New York-based exchange Paxos introducing one in September 2019. According to CoinGecko, PAX gold (PAXG) has a daily trading volume of just under $11.7 million.”

15 December

A bipartisan group of senators say they’ll offer legislation if needed to clarify the contentious provision. The lawmakers also ask Yellen to begin the rulemaking process – by which the Treasury Department will explain how it plans to enact the law and solicit feedback – “in an expeditious manner.”

The lawmakers wrote that they believed the Joint Committee on Taxation and the presidential administration shared the same definition of “broker” as the bill’s authors. This would mean the provision applies to entities that actually “enable the transfer of digital assets” and not “ancillary” parties.

We urge the Department of the Treasury to provide information or informal guidance as soon as possible – no later than the end of the current calendar year – regarding the definition of ‘broker’ as discussed during the legislative process. We are also prepared to offer legislation to further clarify that intent.”

See Also: ‘DeFi is the most dangerous part of the crypto world,’ says Senator Elizabeth Warren

“Sells likened the firm’s various partnerships, wallet integrations and infrastructure to something like AWS in the traditional web space – hence the large amount of interest in joining the funding round.

Instead of trying to build a retail crypto exchange that was out competing for customers, we wanted to empower incumbents to be able to offer access to bitcoin in a variety of ways. Starting next year, America is going to see bitcoin showing up everywhere in all kinds of applications. And that’s the NYDIG business model.

This involves a mission to embed Bitcoin wallets into anyone’s application, which could be a bank offering crypto trading or hospitality brand Landry’s giving customers bitcoin rewards.”

See Also: Brazil Stock Exchange B3 Plans to Enter Crypto Market in 2022: Report

“Sector indices developed based on GICS have become the backbone for investors’ allocation, risk and performance-evaluation models. Nearly half of the equity indices are sector- or industry-based. DACS is a three-tier system that contains six sectors, 21 industry groups and 36 industries.

While DACS is unique to digital assets, it will serve many of the same functions as classification systems used for traditional asset classes. Among other things, DACS provides the market with a transparent and standardized method to determine sector and industry exposure, facilitates portfolio attribution analysis and will help pinpoint investment opportunities.

DACS can help investors identify investment opportunities by industry across digital assets. It can also be instrumental in evaluating the impact of sector trends on a portfolio, analyzing sector contributions to performance and measuring the degree of exposure to specific sectors versus benchmarks and peers. Lastly, it can help portfolio managers build well-defined sector-focused and sector-rotation strategies, and further attribute returns and risk by industry group and industry to best manage the sector strategies.”

See Also: DACS 500 List

“Blockchain oracle services firm Chainlink has added U.S. meteorology forecasting provider AccuWeather to further bolster its suite of real-world data feeds.

One of the important use cases is parametric insurance, and crop insurance is definitely a big one. Being able to cut out that middleman in some countries that are perhaps underserved in terms of insurance. The other place we’re looking is futures markets.

AccuWeather has a set fee for access to its weather data APIs, which will be paid in LINK, Chainlink’s native token, and which developers can connect with via the Ethereum blockchain network or the Polygon layer 2 network.”

“Researchers from Lockheed Martin, Ericsson, Lenovo, Huawei, Bosch, IoTeX and the China Academy of Information and Communications Technology are developing the global standards for blockchain-based decentralized identities in an effort that commenced two years ago.

After two years of research, the six major global businesses have provided the proof-of-concept for blockchain-based decentralized identification (DID) for IoT devices, which Dr. Fan started in 2019 with the World Wide Web Consortium (W3C).

IoT, decentralized identifiers, verifiable credentials, blockchain are technologies accelerating fast and bonding together. It’s a huge privilege to contribute to the IEEE P2958 standards development.

According to the press release, blockchain interoperability is crucial for the success of the Internet of Things (IoT), people and enterprises. Dr. Fan leads the working group that intends to ensure that the $12.6 trillion potential value of the IoT in 2030, as predicted by McKinsey, can be unlocked by defining a global DID standard through which people and machines can interoperate.”

“MGA Entertainment is launching a non-fungible token (NFT) collection that accompanies in-store purchases of its L.O.L. Surprise! brand trading cards. The company is releasing 10 million packs of cards in 20,000 retail outlets worldwide, including Walmart, Target and Walgreens in the U.S.

Each pack of cards has its own QR code that comes with ‘digital trading cards, tokens, NFTs or a digital version of their physical collectible‘ that can be instantly redeemed. MGA is tapping Polygon’s layer 2 blockchain to host the NFT collection.

Polygon is delighted to be supporting the fastest-growing global toy doll brand, L.O.L. Surprise!, as they move these beloved toys on-chain.”

See Also: Gaming, Esports Stars Join Ethereum Game Ember Sword After $203M Metaverse Land Sale

14 December

“Bitcoin fell by more than 7% on Monday, the biggest daily percentage drop since Dec. 4, as stocks in the U.S. also declined ahead of a Federal Reserve monetary policy decision later this week. The Fed is expected to release its decision on Wednesday on whether it will move faster to wind down its bond purchases and signal it will start raising interest rates next year.

While a low interest rate environment has sent both stock and crypto markets skyrocketing this year, a rate hike and ending easy-money policies more quickly could, however, turn the market in a bearish direction.

Immediate support is seen at the 200-day moving average (around $46,700), which is also the bottom of a weeklong price range. Bitcoin is at risk of breaking below support, which could damage the intermediate-term trend.”

See Also: Bitcoin TA (Video)

“The network of some 400 savings banks across Germany will vote on whether to proceed with the project early next year. If approved, the banks would be able to offer trading of digital currencies such as bitcoin and ether to their customers direct from their checking accounts.

The savings banks have about 50 million customers and manage about $1 trillion in assets. Even modest take-up could see sizable inflows of funds into the crypto market.”

See Also: BBVA Switzerland Adds Support For Ethereum
See Also: Payments Firm Nuvei Launches Crypto-Friendly Debit Cards With Visa

The two banking giants agreed to use a shared settlement ledger to process U.S. dollar, Canadian dollar, British pound and euro transactions, with plans to expand the process to other currencies in the future. The announcement comes as other major Wall Street banks, such as Goldman Sachs, are reportedly looking to integrate blockchain technology into their regular processes.

The banks’ blockchain-based settlement system uses HSBC proprietary technology built on Baton Systems “blockchain inspired” CORE distributed ledger technology.”

“Myanmar’s shadow government, the National Unity Government (NUG), made up of ousted leader Aung San Suu Kyi’s supporters has recognized stablecoin tether (USDT) as its official currency. NUG will now accept the dollar proxy, USDT, for ‘domestic use to make it easy and speed up the current trade, services and payment systems.’

Although NUG holds no official power, it declared war against Myanmar’s junta, a government led by military leaders, in September. The junta came to power earlier this year after a military coup. In May 2020, Myanmar’s central bank declared all digital currencies illegal. Hence, NUG’s adoption of tether appears to be an act of defiance.”

“Ninety percent of all bitcoins have been mined as of Monday morning. The feat means 18.89 million bitcoins – of a maximum of 21 million – are now on the open market.

Reaching the milestone took nearly 12 years since the first bitcoins were mined on Jan. 9, 2009. However, the remaining supply is not expected to be mined until February 2140. Miners currently receive 6.25 bitcoin for each block they mine, which would drop to 3.125 bitcoin after the next halving in 2024.

Meanwhile, crypto analytics firm Chainalysis estimates 3.7 million bitcoin have been “lost” based on analyzing address activity, from reasons ranging from losing one’s private keys to even death. A further 1 million bitcoin is still held by Bitcoin creator Satoshi Nakamoto.”

In a Monday joint statement, Peirce and SEC Commissioner Elad Roisman said Gensler’s uncertain stance on digital assets may create problems for firms looking to operate in the space.

Rather than taking on the difficult task of formulating rules to allow investors and regulated entities to interact with digital assets, including digital asset securities, the Agenda — through its silence on crypto — signals that the market can expect continued questions around the application of our securities laws to this area of increasing investor interest. Such silence emboldens fraudsters and hinders conscientious participants who want to comply with the law.”

“SK Square, the investment spinoff of SK Telecom, wants all its portfolio companies to have a metaverse presence. SK Telecom is owned by SK Group, one of South Korea’s largest companies.

Director Huh Seok-joon said in the future, customers will interact with companies through the metaverse rather than mobile phones, and crypto tokens will become native currencies for their platforms.”

“The acquisition appears to be a perfect fit. One of RTFKT’s flagship products is a hybrid NFT/physical shoe collectible inspired by the legendary CryptoPunks NFT collection. Nike, meanwhile, was exploring blockchain technology as early as 2019, going so far as to patent tokenized shoes.

This acquisition is another step that accelerates Nike’s digital transformation and allows us to serve athletes and creators at the intersection of sport, creativity, gaming and culture.

Metaverse fashion is also a rapidly expanding sector. A rival NFT streetwear project, Cryptokickers, signed a first-ever digital shoe deal with former National Basketball Association star Wilson Chandler in April.”

See Also: How ‘Intelligent’ NFTs Raise Some Red Flags (Recommended Read)

“Musk said he finds cryptocurrency interesting and can talk endlessly about the concept of money as ‘an information system for resource allocation.’ But he said he doubts that crypto will replace fiat currency.”

11 December

“The CPI report showed that the index for all items rose 6.8% in the 12 months through November, the highest level since May 1982, when it was 6.9%.

Bitcoin climbed past $50,000 after the 8:30 a.m. ET (13:40 UTC) report, but quickly ceded those gains to trade in the red as analysts leapt to the logical conclusion – that the high inflation rate might provide ample motivation for the Federal Reserve to decide to accelerate its withdrawal of monetary stimulus at its meeting next week – the last scheduled gathering of 2021 for the U.S. central bank’s monetary policy committee.

With bitcoin down for four straight weeks, crypto market analysts are starting to discount the likelihood of a powerful end-of-year rally similar to the 2020 moonshot.

We may not see heavy risk taking by institutional investors in the last weeks of December for tactical reasons. As a result, cryptocurrencies may be range-bound for the remainder of December in our view.”

See Also: Why Is Bitcoin Dropping if It’s an ‘Inflation Hedge’?

The IMF called for a “comprehensive, consistent and coordinated” approach in order to harness the benefits of crypto’s underlying technology while mitigating some of its risks. According to the IMF, regulating crypto at a global level should have three core elements:

Crypto-asset service providers that deliver critical functions should be licensed or authorized. These would include storage, transfer, settlement and custody of reserves and assets, among others, similar to existing rules for financial service providers.

Requirements should be tailored to the main use cases of crypto assets and stablecoins. For example, services and products for investments should have requirements similar to those of securities brokers and dealers, overseen by the securities regulator. Services and products for payments should have requirements similar to those of bank deposits.

Authorities should provide clear requirements on regulated financial institutions concerning their exposure to and engagement with crypto.”

See Also: India’s Modi Calls for Global Crypto Standard

“Veteran open source Bitcoin developer John Newbery announced on Friday he will take a step back from his work, continuing a series of departures surrounding Bitcoin Core, an implementation of Bitcoin’s software that keeps the global currency running. Newbery tweeted that he’s taking a break “for some time.”

On Thursday, Bitcoin Core maintainer Samuel Dobson announced he was stepping down to focus on the end of his Ph.D. program. Dobson’s departure followed the October exit of Bitcoin Core code maintainer Jonas Schnelli, who cited the stress of increasing legal risks for developers.

According to Bitcointalk.org, the maintainers with commit access to Bitcoin’s code currently numbers just three people: Wladimir J. van der Laan, Marco Falke and Michael Ford. There are also two people with commit access who are not maintainers–Pieter Wuille and Hennadii Stepanov. And while there are many Core developers and contributors working on Bitcoin’s code, only maintainers and those with commit access are able to merge new code with the existing Bitcoin Core code.”

“Florida Governor Ron DeSantis has officially proposed the state government to allow businesses to pay state fees with cryptocurrencies.

DeSantis additionally proposed allocating another $500,000 to explore the potential of blockchain technology to maintain motor vehicle records, authenticate Medicaid transactions and detect potential fraud.

Florida encourages cryptocurrency as a means of commerce and furthering Florida’s attractiveness to businesses and economic growth.”

See Also: Decentralized Travel Site Dtravel Says It Has 250K Homes Available to Book Using Crypto

“On a quiet Thursday morning in DeFi Land, an FM radio tower was erected amid a landscape of barns and cornfields. DeFi Land teaches gamers the concepts of decentralized finance through farming simulation.

The upgrade allows users to stream any of the millions of songs in the Audius library while playing the game, and comes just in time for DeFi Land’s public launch, which is expected to be announced in the coming weeks.”

See Also: ConsenSys-Backed Virtue Gaming Launches ‘Play-to-Earn Poker’
See Also: White Castle Goes Crypto, Scoops Ethereum Name and Seahams NFT

10 December

Using the DAI stablecoin, customers can opt in to earn DeFi yield. Customers’ DAI holdings will be deposited with Compound Finance, which Coinbase describes as an “industry leading” DeFi protocol.

We are making DeFi more accessible, enabling eligible customers in more than 70 countries to access the attractive yields of DeFi lending on their DAI with no fees, lockups, or set-up hassle. DeFi has tremendous potential to help increase economic freedom, and we’re excited to be able to provide a trusted and accessible way to participate.

There is, however, one glaring omission: Coinbase’s DeFi yield is not yet available to customers in the United States. In September, Coinbase CEO Brian Armstrong took to Twitter to vent amid an SEC threat to sue the exchange if it launched its yield-earning product called Lend.”

See Also: Coinbase to Integrate Ledger’s Hardware Wallets

“Ledger, which is best known for its hardware wallets, is introducing a crypto debit card called the Crypto Life card. Rogers added that Ledger’s card and its capabilities are also a step toward replacing traditional bank accounts.

Cardholders will be allowed to open a line of credit to get cash to spend on the card, using cryptocurrency as collateral, with rates starting at 0%. Rates will vary by region. Card users will be able to pay cryptocurrency to more than 50 million retailers and online stores.

The card will be available to customers in the U.K., France and Germany in the first quarter of 2022, and for U.S. customers in the second quarter. Crypto Life will initially support BTC, ETH, USDT, EURT, USDC, XRP, BXX, BCH and LTC, the company said. A wait list is now open to obtain a card.”

Starting today, a limited number of people in the US will be able to send and receive money using Novi on WhatsApp. This follows a U.S.-Guatemala remittance pilot with USDP and the Novi wallet that launched in October.

When you add money to your Novi account, we convert it to USDP (Pax Dollar), a stable digital currency issued by Paxos Trust Company, a regulated financial institution.”

Most cryptocurrencies traded lower on Thursday after Fitch Ratings labeled China’s Evergrande Group as an official defaulter. Equities also drifted lower as traders appeared to be concerned about the risk of a global slump resulting from China’s credit woes.

As of recent weeks, bitcoin has surfaced more like a risk asset. However, crypto assets did not see the same rebound that U.S. equities had earlier this week.”

See Also: Evergrande Has Finally Defaulted: Here’s What Happens Next (Recommended Read)
See Also: WisdomTree amends Bitcoin ETF application, naming US Bank as custodian

“Ethereum layer 2 Polygon is continuing to expand its list of scaling technologies. On Thursday, Polygon announced a $400 million acquisition of Mir, a project focusing on zero-knowledge proofs. Mir’s system generates recursive zero-knowledge proofs. This will purportedly make Mir one of the fastest and most efficient layer-2 options.

Layer 2s are among the fastest growing blockchain networks per the closely-watched total value locked (TVL) metric. Arbitrum, which uses optimistic rollup scaling technology, recently cracked the top 10 in TVL at $2.23 billion.

In August, Polygon cut a $250 million check to merge with Hermez Network, another Zero-Knowledge scaling solution. The buys aim to make Polygon a multipurpose scaling solution for Ethereum.”

See Also: Solana Validators, Engineers Grapple With Blockchain Slowdown on Public Call

“Celebrities are coming to the metaverse, and they’re bringing their merchandise with them.

Avatar company Genies has inked a deal with UMG that could bring celebrity merch from Rihanna, Migos and more into virtual worlds. The label’s full roster can port their own avatars into “the evolving digital universe” – whether that be in activations in crypto-powered Decentraland metaverse or just on Twitter.

The end goal is for Genies to create its own fully-fledged marketplace where fans can buy and sell non-fungible token (NFT) merchandise that can be worn in various metaverses. The marketplace, which is expected to be launched in the coming months, will be built on Dapper Labs’ Flow blockchain.

UMG’s roster of talent represents some of the world’s most entrepreneurial pioneers, and by equipping these iconic artists with their own Genie avatars, we’re excited to help them realize even more potential in Web 3.

While Genies currently own “99.9%” of celebrity virtual avatar market share, it expects other competitors to enter the market as the metaverse gains a more mainstream audience.”

See Also: Microsoft Leads $27M Funding Round for Palm NFT Studio
See Also: New DAO Buys Ross Ulbricht’s Ethereum NFTs to Help Free Him
See Also: OpenSea walks back on IPO plan following community backlash

9 December

“The tone of Congress towards crypto was markedly changed from past years. Crypto executives received encouragement from both Democrats and Republicans. The five-hour hearing took place before the U.S. House Committee on Financial Services where six CEOs testified about the growing importance of crypto and the industry’s desire for regulation.

While such hearings in the past have focused almost entirely about the criminal use of Bitcoin, Wednesday’s session saw members inquire about everything from the security advantages of blockchain technology to the potential for crypto to provide greater financial inclusion.

“Web3 can empower anyone,” said Rep. Anthony Gonzalez (R-Oh), using a relatively new term that describes an emerging stack of applications that don’t rely on a centralized authority to function.

Gonzalez and others repeatedly invoked the prospect of the U.S. losing out on crypto-related innovation as a result of cumbersome regulation, and asked if the industry would benefit from a more cohesive policy from the U.S. government.

Crypto CEOs urged Congress to clarify the overlapping jurisdictions between agencies like the SEC and CFTC, and to allow companies like Circle—which has issued more than $30 billion in stablecoins—to come into existing banking system.

It is not immediately clear what the upshot of Wednesday’s hearing will be, though several members of the Committee declared they would being working on bills to streamline crypto regulation and support the industry.”

See Also: US is ‘unquestionably’ behind the curve on crypto ETFs, says Brian Brooks
See Also: CFTC Commissioner Says US Regulators Should Issue Clear Guidance Before Punishing Crypto Firms: Report
See Also: Risks in the present system are being solved by decentralization

After picking Arbitrum to scale its Community Points program, the popular online discussion community appears ready to expand the initiative to a potentially much larger audience. Today, the site launched a new website for its Community Points beta program and opened up a waitlist form, which lets users and moderators alike request the feature for their community, or “subreddit.”

Users can earn Community Points in eligible subreddits by posting and engaging in discussion. The crypto points have value within each respective community and can be used to purchase features or engage in community governance, but they can also potentially be swapped for other cryptocurrencies or tokens at exchanges, or used for other external purposes.

Community Points are the first step towards a different future for online communities. These tokens live on the blockchain, which means they are truly owned by the community. Over time, your community will benefit from even greater control and independence—on and off of Reddit.”

See Also: Kickstarter to Start Blockchain-Based Crowdfunding Project on Celo
See Also: Scaling Ethereum Without Trade-Offs: Inside EIP 4488

“The move comes mere weeks after co-founder Su Zhu “abandoned” Ethereum over its prohibitively high fees for new users.

Zhu said in a Telegram chat with CoinDesk that the hedge fund is bullish on ETH because the macro environment has become calmer and that ‘both U.S. and Chinese stock markets are healthy.

It now appears like a healthy flush out of leverage after weeks of excess and dispersion.”

See Also: Bitcoin Holds Steady as Crypto CEOs Testify, Ether Climbs
See Also: Dogecoin and Ether rank in top 10 news searches on Google in 2021

Visa’s crypto advisory team will work alongside the company’s consulting and analytics group to advise banks on their crypto strategy and execution, as well as to help banks build crypto teams.

Sheffield says there’s been an inflection point over the last nine months in which banks have started to recognize their consumers want access to crypto. Meanwhile, they also want to figure out how they can better serve crypto businesses such as exchanges and wallets.

Every bank should have a crypto strategy.”

See Also: BIS Experiment Finds CBDCs to Be Effective in Cross-Border Settlements

“Messari announced Wednesday the launch of “Messari Governor” – a platform for engaging in the governance of many of crypto’s top DAOs.

DAOs manage an overwhelming percentage of DeFi’s $280 billion in total value locked (TVL), as well as a growing percentage of crypto’s nearly $3 trillion aggregate market capitalization. Despite their growing prominence, however, keeping up with the internal workings of DAOs is a notably tricky business.

A website like CoinMarketCap lets you see the table stakes for a token. We wanted to build a place where you can easily see the table stakes for governance.

Members of the Messari research team add new proposals to the platform as they’re posted, rank them based on importance and type of proposal, and also gauge how warmly a community has received the proposal. The platform also contains links to both voting portals and the governance forums for the relevant DAOs.”

See Also: Sushi CTO Joseph Delong Resigns After Reports of Project Infighting

“The reform plan is said to be the biggest shake-up of the Australian payments system since the 1990s.

The government is in favor of six out of nine reforms proposed by the Senate Committee, including a licensing regime for crypto exchanges, laws to govern decentralized autonomous organizations, and a common access regime for new payments platforms.

If we embrace these developments, Australia has an enormous opportunity to capitalize on the convergence between finance and technology.

For businesses, these reforms will address the ambiguity that can exist about the regulatory and tax treatment of crypto assets and new payment methods. In doing so, it will drive even more consumer interest, facilitate even more new entrants and enable even more innovation to take place.”

8 December

“Gaming giant Ubisoft is building non-fungible tokens (NFTs) into its latest “Tom Clancy” title, the company announced Tuesday. NFT integrations like Ubisoft’s could be a catalyst for adoption among other incumbent gaming giants.

Crypto investors and observers heralding the move as a bellwether of things to come: The integration marks the first time a mainstream video game is adding NFTs to its in-game economy. The ability to own and sell digital goods outside the walled garden of a given title has long been a holy grail for crypto-minded gamers.

The integration itself will be done through Ubisoft Quartz, a platform that allows players to earn “Digits,” which are in-game collectibles expressed as NFTs. Ubisoft Quartz will launch on Dec. 9 in the U.S., Canada, Spain, France, Germany, Italy, Belgium, Australia and Brazil. The company is releasing three collections of Digits for free to reward the platform’s early adopters. Digits include ‘in-game vehicles, weapons, and pieces of equipment.’

Ubisoft Quartz is the first building block in our ambitious vision for developing a true metaverse.

The NFTs will live on the Tezos blockchain, which – seemingly in a bid to stave off the worst of the online commentariat – Ubisoft touted as using ‘exceedingly less energy to operate than proof-of-work blockchains such as Bitcoin or Ethereum.’ XTZ, the native asset of the Tezos blockchain, was up sharply on the announcement, surging 31% in afternoon trading.”

“In just a matter of months, the National Football League has gone from being one of the least crypto-curious sports leagues to paving the way for mainstream adoption.

The latest deal will grant licensing for players’ name, image and likeness rights to DraftKings for use on its NFT Marketplace beginning at the start of the NFL’s 2022-23 season. DraftKings says it will use the licensing rights for a fantasy-style game where users can go head-to-head against each other using the non-fungible tokens they purchase for specific players.

The format is similar to that of the European NFT platform Sorare, which announced plans to enter American sports markets earlier this year.”

The deal gives clients of Fidelity Digital Assets access to Nexo’s crypto prime brokerage.

We saw the once-in-a-lifetime opportunity to introduce services that simply do not exist to this day, and this is precisely what we plan on doing through our collaboration.

London-based Nexo has processed over $50 billion in transactions for more than 2.5 million users worldwide. Meanwhile, Fidelity has been expanding its digital assets team as institutional demand for crypto assets continues to grow.”

Enso Finance, a platform for building, sharing and trading index fund–style cryptocurrency portfolios, announced in a blog post plans for a vampire attack on six leading DeFi index platforms. In Enso’s case, the platform is taking aim at Index Coop, TokenSets, dHedge, PowerPool, PieDAO and Indexed Finance, which account for nearly $500 million in total value locked (TVL) among them.

The platform enables users to build indexes out of a wide range of assets, yield-vaulted and revenue-bearing assets, and with other indexes as well, allowing them to create an “ETF of ETFs.” Index creators can also set performance fees as well as timelocks for how frequently index managers are allowed to swap assets into and out of the index. These indexes can also be controlled by a multi-sig, meaning that the product can operate as a treasury management solution as well.

Anyone can create a strategy, and that’s the key differentiator here.

Enso founder Connor Howe declined to specify the type of APY users can expect upon migrating, but it will presumably need to be generous – many of the platforms Enso is looking to leech liquidity from already incentivize users with upwards of 30% APY in governance token emissions.”

See Also: DeFi Liquidity Protocol KyberDMM Launches Suite of New Features, Rebrands to KyberSwap

LDK has been designed to allow developers to seamlessly plug their applications into the network on mobile devices and point-of-sale terminals.

LDK supports native APIs using Rust, C, Swift, Java and Kotlin coding languages. This lets developers customize their wallet app for their users in the language of their choice while also removing the necessity for separate Bitcoin and Lightning Network (LN) wallets.

In addition to the LDK, Spiral is working on the Bitcoin Development Kit, which allows cross-platform mobile wallet interactions.”

Bitcoin spent most of Tuesday trading above $51,000 as the stock market rose sharply amid growing optimism that the new omicron coronavirus variant would be less damaging to the economy than previously thought.

Blockchain data suggested that the market crash over the weekend resulted from a “weak hand purge,” according to blockchain analytics firm Santiment.

Bitcoin (BTC) is attempting to reverse its weekend sell-off, although the cryptocurrency’s price could face short-term resistance around $53,000-$55,000. Price momentum is still negative on the weekly chart, which means more time is needed for bitcoin to decisively break above its short-term downtrend.

See Also: This Bitcoin price metric just hit ‘oversold’ for only the 7th time in 8 years

“The Biden administration has introduced a five-pillar strategy to counter corruption as a part of the core United States national security interest. The strategy involves establishing a new task force to address potential illicit activities on crypto exchanges and other services that can serve as avenues for money laundering.

The Federal government plans to implement new tools for investigating and prosecuting money laundering offenses. The National Cryptocurrency Enforcement Team would be particularly responsible for overseeing ‘crimes committed by virtual currency exchanges, mixing and tumbling services, and money laundering infrastructure actors.’

DOJ will utilize a newly established task force, the National Cryptocurrency Enforcement Team, to focus specifically on complex investigations and prosecutions of criminal misuses of cryptocurrency.”

See Also: India’s Crypto Bill Proposes ‘Arrest Without Warrant’: Report
See Also: CIA Confirms the Rumors: It Really Is Working on Cryptocurrency Projects

“The stablecoin report published last month by the President’s Working Group on Financial Markets (PWG) made ripples across the crypto industry with its recommendation that Congress enact legislation to regulate stablecoin issuers like banks, but that appears to be a nonstarter among the crypto-literate on Capitol Hill.

I’ll put it bluntly this way: Regulating stablecoin issuers like banks, which is what the report suggests – it’ll kill American competitiveness.

Rep. Jim Himes (D-Conn.), echoed Emmer’s reluctance to rush to enact the legislation recommended by the PWG.

One shouldn’t assume that we’ll necessarily follow the recommendations. I am also skeptical of the notion that all stablecoin issuers should be forced to be banks.”

Schmidt will help guide Chainlink as it scales its operations and seeks to “build a world powered by truth.”

Eric’s experience and insights around building global software platforms for next-generation innovation will be invaluable as we help developers and institutions usher in a new age of economic fairness and transparency.

Schmidt served as Google’s CEO from 2001 to 2011, during which time the company grew significantly, went public, launched services such as Gmail, Google Maps and Chrome, and acquired YouTube and Android.”

See Also: Google Sues to Shutter Cryptojacking Botnet That Infected 1M+ Computers

7 December

“While bitcoin tanked last week, pulling the broader crypto market lower, there was one bright spot. The ether-bitcoin (ETH/BTC) ratio rose 13%, reaching a 3 1/2-year high and registering its best weekly performance since May.

The move was unique. Historically the pair has rallied during market-wide bull runs characterized by buying frenzy in ETH and other alternative cryptocurrencies. Several factors appear to have helped ETH/BTC chalk out gains in a risk-off environment:

1. Bitcoin exposure to macro risks – Increased institutional participation in bitcoin has perhaps made the biggest cryptocurrency more sensitive to adverse macro developments.

2. EIP-1559 and ETH 2.0 – According to analysts, ether’s newfound deflationary asset credentials and impending transition to the proof-of-stake mechanism, dubbed ETH 2.0, may have helped the cryptocurrency stay relatively resilient.

One of bitcoin’s main value propositions over ETH has been its monetary policy. However, after the London upgrade (and specifically EIP-1559), many perceive ETH as having a sounder monetary policy.

EIP-1559 has tied the amount of ether burned to actual network usage. The market is [also] excited about the Ethereum mainnet’s “merge” with the beacon chain proof-of-stake system scheduled for next year. Ether issuance is expected to drop 90% following the merge as it will no longer be distributed to miners.

3. Bitcoin’s declining role as a funding currency – Stablecoins have to a large extent taken over bitcoin’s role of being a base currency for other cryptocurrencies. In other words, stablecoins like tether with values pegged 1:1 to the U.S. dollar are now used to fund alternative cryptocurrency (altcoin) purchases. That’s a change compared with pre-2020, when bitcoin served as a gateway to altcoins. So, the unwinding of long altcoin trades now puts a bid under stablecoins. Previously, it would bring demand for bitcoin, helping the cryptocurrency outperform other coins.

While it may be too early to call ether the crypto market’s new haven, the token powering Ethereum’s blockchain may continue to outperform bitcoin as the focus remains on macroeconomic factors. Technical charts indicate that the path of least resistance for the ETH/BTC ratio is higher.

From a fundamental standpoint, Ethereum has DeFi, NFTs and metaverse going strong for itself. From a behavioral standpoint, NEW money has started to flow into ether from bitcoin.”

“FTSE Russell, the company behind the benchmark index of the U.K. stock market, is planning the development of a crypto index containing 43 digital assets. The index will “sit alongside” the FTSE 100 and Russell 2000.

The news represents a welcomed endorsement for cryptocurrencies from the U.K.’s mainstream financial world.

This was clearly becoming a market that people wanted data around.”

See Also: Coinbase launches open-source cryptography library Kryptology

Similar to the micro bitcoin futures launched in May, micro ether futures are 1/10 of one ETH. The exchange is looking to offer investors an efficient means of hedging their ether exposure.

The launch of micro ether futures underscores the significant growth and liquidity we have seen in our cryptocurrency futures and options.”

See Also: 1inch Now Available in LedgerLive

Decentralized finance (DeFi) has a centralization problem and policy makers should use it to regulate the sector, the Bank for International Settlements (BIS) said in its latest quarterly review. DeFi has an “inescapable need” for centralized governance, the report says.

DeFi’s inherent governance structures are the natural entry points for public policy. This element of centralization can serve as the basis for recognizing DeFi platforms as legal entities similar to corporations.

According to the report, the tendency for blockchain consensus mechanisms to concentrate power also makes it easy for a small number of stakeholders to make big decisions.”

See Also: OCC Highlights Digital Assets in Risk Report for Banks
See Also: Major Indian bank breaks ‘banking ban’ with WazirX crypto exchange deal

The country is reportedly moving to introduce legislation in 2022 to limit the issuance of stablecoins to banks and wire transfer companies. The FSA’s move mirrors similar proposals in the United States, to treat stablecoin issuers like banks.

According to the report, the legislation will also include steps to prevent money laundering via stablecoins by giving the agency additional oversight over intermediaries such as wallet providers, and also adding additional know-your-customer (KYC) measures.

In January, a consortium of over 70 major Japanese corporations, including Mitsubishi, are expected to begin trialing a central bank digital currency (CBDC), the digital yen, that they say will work like bank deposits.”

Over the past week, the demand for digital land outpaced all other items, art and collections. According to DappRadar, $106 million worth of metaverse land was sold among more than 6,000 traders in the week ending on Thursday.

Undoubtedly, Metaverse land is the next big hit in the NFT space. Outputting record sales numbers and constantly increasing NFT prices, virtual worlds are the new top commodity in the crypto space.”

See Also: A16z Leads $36M Bet on Web 3 Startup From Facebook Crypto Vets

Checking in on Bitcoin’s Lightning Network

A federal jury found that Craig Wright, the Australian who claims to have invented Bitcoin, didn’t have a business partnership with deceased Florida computer forensics expert Dave Kleiman, but he does owe $100 million in compensatory damages for conversion to a company Kleiman founded in Florida, W&K Info Defense Research.

We are immensely gratified that our client, W&K Information Defense Research LLC, has won $100,000,000 reflecting that Craig Wright wrongfully took bitcoin-related assets from W&K.

Wright told CoinDesk last week that Ira Kleiman would have trouble collecting any verdict awarded to W&K, as his ex-wife and an entity tied to him own two-thirds of the company – a matter that is being litigated in court in Palm Beach County.

BSV, the offshoot of bitcoin Craig Wright is involved in, rallied as much as 13% Monday following the resolution of the Kleiman case.”