June 30, 2024
Weekly: Latest Updates and Insights
VanEck’s Application for Solana ETF: VanEck has submitted an application to the SEC for the first Solana ETF, arguing that Solana (SOL) should be classified as a commodity rather than an unregistered security, similar to Bitcoin and Ethereum. Despite skepticism regarding the approval of this application in the current regulatory climate, it represents a significant step for Solana’s potential mainstream adoption in the cryptocurrency market.
U.S. Regulators Poised to Approve Spot Ether ETFs by July 4: Sources indicate that the U.S. Securities and Exchange Commission is nearing approval for exchange-traded funds (ETFs) linked to ether, with discussions among asset managers like BlackRock and Grayscale reportedly in their final stages. While the successful launch of spot bitcoin ETFs earlier this year garnered significant interest, analysts predict a more subdued response for the upcoming ether ETFs due to differences in market dynamics and trading volumes between the two cryptocurrencies.
Trump in Talks to Speak at Bitcoin 2024 Conference: Former President Donald Trump is negotiating to deliver a speech at the Bitcoin 2024 conference in Nashville, set for July 25-27, highlighting his support for cryptocurrency in contrast to President Biden’s cautious approach. The event, which follows the Republican National Convention, will also feature notable figures like Robert F. Kennedy Jr. and Vivek Ramaswamy, as Trump aims to broaden his appeal among crypto investors and supporters.
Carole House Returns to White House as Crypto Adviser: Carole House, a former adviser who co-authored President Biden’s 2022 executive order on cryptocurrency, has been rehired to serve on the National Security Council, focusing on cybersecurity and critical infrastructure policy. Her return coincides with increasing political attention on cryptocurrency, as former President Trump positions it as a key issue in his campaign.
Nomura Securities Survey on Japanese Institutional Investors’ Crypto Intentions: A recent survey by Nomura Securities reveals that 54% of institutional investors in Japan plan to invest in cryptocurrencies within the next three years, primarily motivated by diversification and inflation hedging. Despite facing obstacles such as regulations and market volatility, the market holds a positive attitude towards mainstream cryptocurrencies like Bitcoin and Ethereum. If cryptocurrency ETFs are approved in Japan, the market is expected to become even more active.
Bolivia Legalizes Crypto Payments for Banks: Bolivia has officially lifted its ban on cryptocurrencies, allowing banks to conduct transactions with digital assets as announced by the Central Bank of Bolivia on June 26. This regulatory change, which revokes a previous resolution from 2020, aligns with recommendations from the Latin American Financial Action Task Force and aims to educate the public about the risks associated with cryptocurrencies, although they are not recognized as legal tender.
Turkey Imposes Harsh Penalties for Unauthorized Crypto Providers: Turkey has enacted new regulations imposing prison sentences of up to 22 years for individuals operating unauthorized cryptocurrency services, as part of a broader effort to regulate the digital asset sector. The legislation aims to combat fraud and protect investors in a rapidly evolving market, reflecting the government’s commitment to establishing a safer financial environment.
Binance Bans 297 Accounts Following Megadrop Fraud Incident: In response to fraudulent activities during the Lista Megadrop event, Binance has banned 297 main accounts after identifying attempts to exploit the system by consolidating funds from multiple KYC-verified accounts. The exchange reported that over 1 million participants were involved, with 10,200 accounts flagged as fraudulent, emphasizing its commitment to maintaining platform integrity and using recovered funds to benefit genuine users.
Bybit Undergoes Major Management Overhaul Amid Notcoin Issues: Bybit has recently replaced nearly all department heads, including those in trading and customer service, following significant management upheaval linked to delays in Notcoin deposits and subsequent user dissatisfaction. The exchange’s leadership, now including CEO Ben and COO Helen, emphasizes that these changes are part of regular organizational development aimed at enhancing operations and expanding into new regions.
Mt. Gox to Begin Creditor Repayments in BTC and BCH Starting July 2024: Mt. Gox has announced that it will commence repayments to creditors in Bitcoin (BTC) and Bitcoin Cash (BCH) starting in early July 2024, following the completion of necessary technical and regulatory measures. The repayments will involve transactions and verifications with cryptocurrency exchanges, and specific implementation details will be provided soon, as the trustee emphasizes compliance and safety throughout the process.
Fundraising
Vitalik-supported blockchain MegaETH raised $20 million in seed funding.: MegaLabs, the developer of the new MegaETH blockchain, has raised $20 million in a seed funding round led by Dragonfly, with Ethereum co-founder Vitalik Buterin and other notable investors participating. The project aims to achieve 100,000 transactions per second in real-time by utilizing a heterogeneous blockchain architecture and a hyper-optimized Ethereum Virtual Machine (EVM) execution environment, with plans to launch a public testnet in early fall and the mainnet near the end of 2024.
Ora announced completion of a $20 million financing round led by Polychain.: Ora has raised $20 million in funding from investors including Polychain and Hashkey Capital to enhance its technology for tokenizing AI models and developing decentralized AI solutions within the Ethereum ecosystem. The project aims to empower developers with tools for creating trustless applications using its Optimistic Machine Learning technology, which emphasizes privacy and efficiency in on-chain machine learning.
Rollup deployment platform Conduit completed a $37 million Series A financing.: Conduit has successfully raised $37 million in a Series A funding round led by Paradigm and Haun Ventures, marking a significant milestone for the company. The investment will be used to scale Ethereum by simplifying the deployment and operation of customizable rollups, enabling developers to build scalable onchain applications more efficiently.
Berachain’s liquidity protocol Infrared secured investment from Binance Labs.: Infrared Finance, a liquid staking protocol within the Berachain ecosystem, has raised an undisclosed amount from Binance Labs, marking the venture capital firm’s first investment in Berachain. The funding round was structured as a simple agreement for future tokens (SAFT), and Infrared plans to launch its protocol on the Berachain V2 testnet soon, aiming to enhance liquidity for staked tokens.
Web3 entertainment and gaming platform Redacted announced completion of a $10 million strategic financing.: Redacted has successfully raised $10 million to develop its innovative Web3 entertainment and gamification ecosystem, co-led by Spartan Group and supported by notable investors including Animoca Brands and Polygon Ventures. The project aims to create an “entertainment datasphere” that leverages blockchain and AI, allowing users to play, trade, watch, and earn rewards while enhancing their overall experience in the Web3 space.
Crossover Markets completed a $12 million Series A financing round with participation from Wintermute and others.: Crossover Markets, a fast execution-only trading platform for cryptocurrencies, has secured $12 million in a Series A funding round led by Illuminate Financial and DRW Venture Capital. The platform aims to provide a unique ultra-low-latency electronic communication network (ECN) model, allowing for independent market data sessions and liquidity pools, which enhances trading efficiency for both makers and takers.
Chain abstraction intent engine ENSO announced completion of a $4.2 million financing.: At its annual Decipher conference, the Algorand Foundation unveiled LiquidAuth, a decentralized, open-source authentication tool designed to enhance security and privacy for users compared to centralized solutions like WalletConnect. LiquidAuth facilitates peer-to-peer communication between wallets and applications, reducing reliance on third parties and decentralizing the communication layer across Web2 and Web3 platforms.
Net Zero Company Secures $5.5 Million Seed Funding for Blockchain-Based Carbon Removal: Swedish blockchain carbon removal startup Net Zero Company has successfully completed a $5.5 million seed funding round, aimed at advancing its innovative Carbon Removal Token (CRT) initiative. Founded in 2022 and led by CEO Håkan Nordkvist, the company leverages blockchain technology to enhance the accessibility, transparency, and traceability of carbon credits, addressing the urgent need for effective carbon removal solutions in the face of rising emissions and environmental degradation.
PQShield Raises $37 Million to Advance Post-Quantum Cryptography: PQShield, a security startup focused on developing quantum-resistant cryptography solutions, has secured $37 million in funding from investors including Addition, Chevron Technology Ventures, and Legal & General, with plans to expand its team, strengthen partnerships, and cater to a broad spectrum of clients in the face of rising sophisticated cyber threats. The company, led by mathematician Ali El Kaafarani, offers software and hardware solutions designed to withstand future quantum-based attacks and emphasizes the importance of up-to-date cryptography in securing data in AI environments.
SoSoValue Raises $4.15 Million to Transform Crypto Investment Research with AI: Singapore-based crypto financial research startup SoSoValue has completed a $4.15 million seed funding round led by prominent investors including HongShan and GSR Markets, aiming to enhance its AI-driven data services. With over 1.2 million registered users in just five months, the platform seeks to democratize access to cryptocurrency investment insights and tools for both novice and expert investors.
Allora Labs Raises $3 Million for Decentralized AI Network Ahead of Mainnet Launch: Allora Labs, previously known as Upshot, has secured $3 million in a strategic funding round to support the upcoming mainnet launch of its decentralized AI network. The funding, backed by investors such as Archetype and Delphi Ventures, aims to enhance collaboration among machine learning models, addressing the issue of siloed intelligence in AI development.
NovaNet Completes $3 Million Financing Round to Advance Decentralized Proof-of-Stake Network: NovaNet, a decentralized proof-of-stake network, has successfully completed a $3 million financing round led by Finality Capital, with participation from Arrington and other investors. The funding will support the development of NovaNet’s zero-knowledge proof incentive layer, enhancing its capabilities in the blockchain space.
Covalent Network announced completion of a $5 million strategic financing.: Covalent Network has successfully completed a $5 million strategic financing round aimed at enhancing its market growth in the latter half of 2024. The financing was led by RockTree Capital, with additional participation from CMCC Global and other investors
GolfN Secures $1.3 Million in Pre-Seed Funding for Blockchain Golf App: GolfN has successfully raised $1.3 million in a pre-seed funding round, aiming to create a play-to-earn mechanism for physical golf through blockchain technology. The funds will be used to develop a mobile app that serves as a digital caddie and social platform, rewarding users for their engagement and participation in the sport.
Rebar Raises $2.9 Million to Develop Bitcoin MEV Solutions: Rebar, a Bitcoin analytics startup, has secured $2.9 million in seed funding to create the first dedicated Bitcoin-based maximal extractable value (MEV) product. The funding, led by 6th Man Ventures, aims to address the challenges and opportunities of MEV strategies emerging on Bitcoin, enhancing transaction organization and user protection within the ecosystem.
AnchorZero Secures $8 Million Seed Funding for Decentralized Oracle Network: AnchorZero, a developer of decentralized oracle networks, has completed an $8 million seed funding round led by Bain Capital Crypto and Spark Capital. The funding will support the company’s mission to simplify the integration of startup equity into Roth IRAs, democratizing advanced tax strategies for founders and enhancing financial growth opportunities.