21 January

Link your Ethereum wallet to your Twitter account, and you’ll be presented with a list of NFTs you own. Choose an NFT, and your profile picture – typically enclosed within a circle – will get a nifty new hexagonal border. If a pesky right-clicker tries to use your NFT as their profile picture without first buying the token, they will still be able to use the image, but they will be stuck with the classic circle frame.

Twitter’s NFT verification process is both a bid to keep crypto enthusiasts on the platform and an explicit rejection of former CEO Jack Dorsey’s “Bitcoin-only” philosophy. Verification is available only for Ethereum-based NFTs, at the moment, though a representative for the company clarified that this is only the “first iteration” of a feature that may go on to support other blockchains.

For now, NFT verification is available only for users with Twitter Blue, the company’s $2.99-a-month subscription service. For NFT fans, it may be a price worth paying.”

See Also: Meta reportedly plans to integrate NFTs on Facebook and Instagram profiles

“The U.S. central bank believes the current financial system might be bolstered by the creation of a central bank digital currency (CBDC), but only one that works within the current network of private banks, rather than a CBDC that the Federal Reserve issues directly to consumers.

Officials haven’t yet committed to issuing, or even developing a digital dollar, and the document underscored how far away such decisions remain. Still, it shed considerable light into what would make a hypothetical CBDC successful for the U.S.

The Federal Reserve’s initial analysis suggests that a potential U.S. CBDC, if one were created, would best serve the needs of the United States by being privacy-protected, intermediated, widely transferable and identity-verified.

The intermediaries could be commercial banks or other nonbank payment entities. In other words, the Fed does not want consumers setting up personal accounts at central bank locations to access these CBDCs, but rather, would prefer that existing banks and similar financial firms maintain their role.

Moreover, the Fed wants “clear support” from both the executive branch of the federal government and Congress before it will issue a CBDC, “ideally in the form of a specific authorizing law.” Public comments are open for the next 120 days.

Senator Pat Toomey said he was “encouraged” by the report’s noting it needs Congressional support before the Fed would issue a CBDC, as well as the Fed’s note that it would not directly offer retail accounts. The lawmaker did raise concerns about the privacy aspect of the Fed’s CBDC proposal however.

While the report mentions the importance of CBDC privacy, I’m concerned the Fed does not clearly explain how it would protect consumer transaction data. There’s also a question in my mind whether the Fed’s report implies that a CBDC would not allow for direct peer-to-peer transactions. This characteristic is fundamental.”

“Five industry experts appearing before the United States House Energy and Commerce Oversight Subcommittee had different views on how lawmakers should address the energy consumption of cryptocurrencies.

Former Comptroller of the Currency Brian Brooks argued that the energy consumption of Bitcoin (BTC) mining was “economically productive,” given other assets including gold required roughly the same amount of energy for mining, with “a host of other environmental concerns.” In addition, Brooks said that the traditional global banking system consumed roughly 2.5 times the amount of power to produce the same amount of value BTC does at its current market capitalization.

Cornell Tech professor Ari Juels, who has often been a critic of crypto mining as it currently stands, was supportive of the crypto space as a whole but argued in favor of “energy-efficient alternatives” rather than the proof-of-work (PoW) common for mining. He added that the Ethereum blockchain’s transition to proof-of-stake (PoS) would likely consume “far less electricity.”

Steve Wright hinted that mining firms should consider “mechanisms to assure cryptocurrency production is encouraged toward efficient outcomes as early as possible.”

If policymakers take a cautious approach and foster a pro-innovation environment, the rewards for consumers, investors and all Americans are likely to be great.”

See Also: Live Blog: Congressional Hearing Puts Crypto Energy Use in the Crosshairs

BTC Bull Setup Spoiled

“Andreessen Horowitz (a16z), a venture capital firm that has invested extensively in the crypto industry, is looking to raise $4.5 billion for new funds.

The new crypto fund would be the industry’s largest, overtaking the $2.5 billion raised by Paradigm in November.”

See Also: Agoric Raises $50M in CoinList Token Sale to Bring JavaScript Developers Into Crypto
See Also: Shakepay Raises $35M to Help Canadians Buy, Sell and Earn Bitcoin

“I’ve asked staff to look at every way to get these platforms inside the investor protection remit. If the trading platforms don’t come into the regulated space, it’d be another year of the public being vulnerable. What we want to do is provide some of the basic protections against fraud and manipulation.

His comments come amid yet another crypto-related hack. Earlier today, crypto exchange Crypto.com confirmed the exchange lost almost $34 million to hackers.”

See Also: SEC Rejects First Trust SkyBridge’s Spot Bitcoin ETF Proposal
See Also: FINRA Considering Changes to Crypto Regulations to Better Protect Investors: Report

“Italian luxury fashion house Prada and sportswear giant Adidas, which recently ventured into the metaverse, have joined forces to launch a new non-fungible token (NFT) project built on the Polygon network. The project will allow fans to contribute their own designs.

From Jan. 24, fans will be able to register with a digital wallet to create and mint NFTs by submitting a photograph. The project will then choose 3,000 contributors who will also own IP rights to their individual NFTs and be able to take part in the drop later that week.

Prada sees the emergent metaverse as a new space for the brand to re-define luxury for the next generation and cultivate shared experiences that honor the brands’ spirit of experimentation and creativity.

Luxury fashion brands are already making millions of dollars from auctioning off NFTs. In September, Italian haute couture label Dolce & Gabbana launched its NFT collection, Collezione Genesi, which fetched approximately $5.65 million in a sale.”

See Also: Jefferies Sees the NFT Market Reaching More Than $80B in Value by 2025
See Also: Bud Light Owns a Nouns Ethereum NFT—And May Use It in Super Bowl Ad

“The report says cryptocurrencies are volatile and widely used in illegal activities such as fraud. The bank, therefore, said Russia needs new laws and regulations to effectively ban crypto-related activities.

Miners said the stance was not a surprise. The report is a reiteration of the bank’s existing position, and final policy is likely to include input from other stakeholders. The probability of a complete ban of the entire cryptocurrency industry is “negligible.”

The crypto market also seemed unperturbed. Bitcoin was trading about $43,000 at publication time, up more than 3%.”

See Also: El Salvador explores low-interest loans backed by Bitcoin

“Larimer, who quit Block.one – EOS’ now-estranged mother company – last January, is ratcheting up technical contributions to the software he spearheaded in 2017. In return, EOS Network Foundation (ENF) – now the ecosystem’s de facto shot caller – will bankroll Larimer’s development work with token grants in its native EOS.

Larimer’s “Mandel” upgrade is a hard fork that would give ENF effective control of the EOS codebase – and thus the network’s power seat – if validators adopt it in the second quarter.

Team leads say fully severing ties with Block.one is the first step. The company that conducted EOS’s $4 billion token sale in 2017 had long since shifted its focus and funding – and even its vested EOS tokens – to the crypto exchange Bullish, which is preparing to go public through a special purpose acquisition company (SPAC).

B1 essentially transferred their assets to a new company, which feels like the ultimate rug.”

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