Crypto news
Abra announces plans for US bank supporting digital assets
Cryptocurrency trading platform Abra said it was “in the process of” establishing a United States-based state-chartered bank allowing clients to deposit digital assets. In a Monday announcement, Abra said the bank, named Abra Bank, would be regulated to operate within the U.S. and give customers the ability to use digital assets in seemingly the same way as fiat at traditional banks. The company also planned to launch Abra International, a digital asset-focused business based outside the U.S. “The best way to become the default Web3 wallet and crypto bank for everyone is by embracing a global regulatory framework that provides for transparency, oversight, security, and agency,” said Abra. We have some BIG news. Today we’re announcing the formation of Abra Bank and the launch of Abra Boost,...
Blockchain Association unveils BA PAC to support pro-crypto from both US parties
United States-based trade group Blockchain Association announced Monday that it had formed a political action committee, to be called BA PAC, thus joining an industry trend to attempt to exert greater influence on candidates as they approach the midterm elections in November. The Blockchain Association, founded in 2019, has 90 members, according to its website, which include many of the leading names in the industry. Binance is a notable exception, as it withdrew from the association in April to lobby Congress on its own. The association’s stated aim is “to educate policymakers, courts, law enforcement, and the public about crypto networks[,] ledgers and the need for regulatory clarity.” Association director Kristin Smith said in a tweet: “BA PAC is a bat signal for lawmakers: crypto is he...
64% of staked ETH controlled by five entities — Nansen
A report from blockchain analytics platform Nansen highlights 5 entities that hold 64% of staked Ether (ETH) ahead of Ethereum’s highly anticipated Merge with the Beacon Chain. Ethereum’s shift from proof-of-work to proof-of-stake is set to take place in the coming days after final updates and shadow forks have bee completed in early September. The key component of The Merge sees miners no longer used as validators, replaced by stakers that commit ETH to maintain the network. Nansen’s report highlights that just over 11% of the total circulating ETH is staked, with 65% liquid and 35% illiquid. There are a total of 426,000 validators and some 80,000 depositors, while the report also highlights a small group of entities that command a significant portion of staked ETH. Three major crypt...
Elon Musk, Cathie Wood sound ‘deflation’ alarm — Is Bitcoin at risk of falling below $14K?
Bitcoin (BTC) has rebounded by 20% to almost $22,500 since Sept. 7. But bull trap risks abound in the long run as Elon Musk and Cathie Wood sound an alarm over a potential deflation crisis. Cathie Wood: “Deflation in the pipeline” The Tesla CEO tweeted over the weekend that a major Federal Reserve interest rate hike could increase the possibility of deflation. In other words, Musk suggests that the demand for goods and services will fall in the United States against rising unemployment. A major Fed rate hike risks deflation — Elon Musk (@elonmusk) September 9, 2022 Typically, rate hikes have been bad for Bitcoin this year. In context, the period of the Fed raising its benchmark rates from near zero in March 2022 to 2.25%–2.50% in August 2022 has coincided wi...
Accused ‘shadow banker’ Reggie Fowler seeks a 6-month sentencing delay
Reggie Fowler, a former NFL team owner and alleged “shadow banker” who might face up to 30 years of imprisonment, asked the court of the Southern District of New York for a six-month adjournment. Technically, it was Fowler’s lawyer Ed Sapone who requested an “unusually long adjournment,” justifying it with his “serious medical condition” as well as with the necessity to obtain information relevant to the case from financial institutions, entities and individuals located in Europe. According to independent journalist Amy Castor, who reported this development, Sapone made his request on Saturday — three days before the scheduled sentencing. As the prosecutors didn’t protest the adjournment, it will grant Fowler at least six months of freedom. He now resides in Arizona on ba...
How adoption of a decentralized internet can improve digital ownership
Known as Web2, the current iteration of the internet emphasizes creating and distributing user-generated content. Websites like YouTube, social media apps like Instagram and Twitter, news sites, personal blogs and more make up a large part of the internet. Web2 is a step up from Web1, which was mainly a read-only web version filled with simple static websites. Web3 aims to bring decentralization and token-based economies to the internet. Web2 versus Web3 The development of several different web protocols at the beginning of the twenty-first century made it possible for programs and content to be linked via read-and-write interactions. Web2, in its present form, enables users to consume material created by other users and create their own content. Readers are probably best acquainted Web2. ...
Crypto insurance a ‘sleeping giant’ with only 1% of investments covered
While on-chain insurance has been around since 2017, only a measly 1% of all crypto investments are actually covered by insurance, meaning the industry remains a “sleeping giant,” according to a crypto insurance executive. Speaking to Cointelegraph, Dan Thomson, the CMO of decentralized cover protocol InsurAce said there is a massive disparity between the total value locked (TVL) in crypto and decentralized finance (DeFi) protocols and the percentage of that TVL with insurance coverage: “DeFi insurance is a sleeping giant. With less than 1% of all crypto covered and less than 3% of DeFi, there’s a huge market opportunity still to be realized.” Though plenty of investment has poured into smart contract security audits, on-chain insurance serves as a viable solution for digital asset protect...
Aussies already lost $242M to investment and crypto scams in 2022
Australians have continued getting duped by investment and crypto-related scams, losing 242.5 million Australian dollars to scammers so far in 2022, according to Scamwatch’s latest data. From January to July of this year, the majority of all funds lost to scams of all types were investment scams, which range from romance baiting scams to classic Ponzi schemes and cryptocurrency scams. The figure is already 36% higher than the figures across all of 2021, which revealed that Australians lost 178.2 million AUD to investment scams in the year. Source: Scamwatch It’s a threat that has prompted consumer advocates to push for banks to shoulder more responsibility for reimbursing scams to “drive greater investment in stopping fraud.” According to a Sept. 8 report from the Austral...
Exchanges criticized for ‘nothingburger PR’ posts on upcoming LUNC tax burn
As the upcoming Terra Classic (LUNC) burning mechanism gained more hype, some crypto exchanges thought it would be a good idea to express their support. However, the crypto community quickly responded, calling out the exchanges for what some believe to be public relations stunts. On Sept. 1, Terra community member Edward Kim submitted a proposal to implement a 1.2% tax burn for every on-chain LUNC transaction in an effort to revive the crypto. The transaction tax will be sent to a dead address, removing part of the circulating supply permanently. Following the proposal, the LUNC token soared by 250%, as the hype surrounding the project showed signs of life. Because of this, crypto exchanges KuCoin, Gate.io and MEXC Global decided to express their support for the token-burning efforts...
Fireblocks records $100M+ revenue in subscriptions amid bear market
Fireblocks, a New York-based blockchain security service provider, made over $100 million in Annual Recurring Revenue (ARR) this year, confirming the rising interest in the crypto ecosystem that contradicts negative investor sentiments. ARR relates to the recurring revenue earned by a company based on subscriptions. As a software-as-a-service provider, Fireblocks witnessed overwhelming interest in decentralized finance, blockchain and Web3 technologies. The reason behind increased revenue amid an ongoing bear market can be attributed to an overall change in mindset, as companies and investors seem more inclined toward exploring crypto use cases rather than chasing market volatility for a quick buck. Sharing insights into its growing customer base, Fireblocks co-founder and CEO Michael Shau...
Music NFTs will take gaming to new levels
The GameFi industry has surged since 2020, with some estimating a market capitalization of $55.4 billion as of February 2022. While others have much lower estimates closer to $3 billion, one thing is for sure: The industry grew rapidly from zero and is poised for continued growth. What matters, however, is not the day-to-day or even month-to-month market cap, but rather the continued rise of users who feel like they’re extracting value. Games are created so that people have fun. But the rise of “gamification” refers to the application of gaming principles into otherwise boring, but usually value-enhancing, activities. For example, many educational activities can be boring until they are gamified. Technology can be applied to more complicated classes in mathematics and science, but it can a...
Crypto traders eye ATOM, APE, CHZ and QNT as Bitcoin flashes bottom signs
The United States equities markets rallied sharply last week, ending a three-week losing streak. The S&P 500 rose 3.65% last week while the Nasdaq Composite soared 4.14%. Continuing its close correlation with the U.S. equities markets, Bitcoin (BTC) also made a strong comeback and is trying to end the week with gains of more than 7%. The sharp rally in the stock markets and cryptocurrency markets are showing signs of a bottoming formation but it may be too early to predict the start of a new bull move. The equities markets may remain on the edge before the release of the U.S. inflation data on Sept. 13 and the Federal Reserve meeting on Sept. 20-21. Crypto market data daily view. Source: Coin360 Along with taking cues from the equities markets, the cryptocurrency space has its own impo...
