October 27, 2024
Weekly: Latest Updates and Insights
Tether CEO Confirms No IPO Plans for Now: Tether’s CEO, Paolo Ardoino, has announced that the company currently has no intentions of pursuing an Initial Public Offering (IPO). He emphasized that Tether is focused on its core business and exploring growth opportunities without the need for public listing. This statement reflects the company’s commitment to maintaining its position in the stablecoin market amid evolving industry dynamics.
SEC Chair Celebrates Bitcoin’s 16th Anniversary Amid Regulatory Focus: In an interview, SEC Chair Gary Gensler wished Bitcoin a “sweet sixteen” as the cryptocurrency approaches the anniversary of its white paper on October 31, 2024. He reaffirmed the SEC’s commitment to regulating digital assets, emphasizing investor protection and a “regulation by enforcement” strategy despite facing potential political challenges. Gensler’s comments come as the SEC prioritizes crypto assets for 2025, reflecting ongoing scrutiny of the industry.
Ripple Co-Founder Chris Larsen Donates 10 Million XRP to Kamala Harris: Chris Larsen, co-founder of Ripple, has made headlines by donating 10 million XRP to Kamala Harris’s presidential campaign. This significant contribution underscores Larsen’s commitment to advocating for cryptocurrency and blockchain-friendly policies. By supporting Harris, he aims to influence the regulatory landscape in favor of digital currencies.
Vitalik Buterin Critiques Michael Saylor’s Bitcoin Ideas: Vitalik Buterin recently labeled Michael Saylor’s proposals on Bitcoin custody as “batshit insane,” arguing that they could lead to detrimental outcomes reminiscent of historical issues in the crypto space. He emphasized his commitment to decentralized finance, suggesting that Saylor’s approach contradicts fundamental cryptocurrency principles. This exchange has ignited debate within the crypto community regarding the merits of centralized versus decentralized management strategies.
BlackRock’s Bitcoin ETF Attracts New Investors: BlackRock’s ETF chief, Samara Cohen, revealed that 75% of Bitcoin buyers in their ETFs are crypto enthusiasts new to traditional finance, highlighting a significant shift in investor demographics. The firm has seen over $2.1 billion in inflows within a week as Bitcoin reached its highest price since July, surpassing $68,300. This trend underscores the growing interest in cryptocurrency among retail investors and the importance of educating them about the benefits of exchange-traded products.
The Rise of Stablecoins: A Challenge to Money Market Accounts: Stablecoins are rapidly gaining traction as a stable and efficient alternative to traditional money market accounts, particularly as major corporations like PayPal and Stripe begin to integrate them into their payment systems. With the potential to offer interest on holdings backed by U.S. Treasury investments, stablecoins could appeal to investors seeking better returns on liquid assets. As the regulatory landscape evolves, these digital currencies may reshape the future of cash management and investment strategies.
Stripe Acquires Stablecoin Platform Bridge for $1.1 Billion: Stripe has acquired the stablecoin platform Bridge for $1.1 billion, marking the largest acquisition in the cryptocurrency sector to date. This strategic move enhances Stripe’s capabilities in accepting stablecoin payments and signals a strong commitment to expanding its crypto services. The deal represents a significant leap from Bridge’s previous valuation of $200 million, reflecting the growing importance of stablecoins in the financial ecosystem.
Binance Expresses Relief Over Tigran Gambaryan’s Release: Binance has expressed deep relief and gratitude following Tigran Gambaryan’s release after nearly eight months of detention in Nigeria, commending his resilience during this challenging period. The company emphasized its commitment to regulatory compliance and transparency in the digital asset space, eager to move forward positively. With Nigeria’s young, tech-savvy population, Binance looks forward to leveraging blockchain technology to address economic and social challenges in the region.
Kraken Launches Ink Blockchain for DeFi in 2025: Kraken has announced the upcoming launch of its own blockchain, Ink, set for early 2025, designed to simplify decentralized finance (DeFi) with a user-friendly interface integrated into the Kraken Wallet app. Unlike many other platforms, Ink will not issue a native token but will focus on expanding its services and offering over a dozen DeFi applications at launch. This strategic move aligns with the growing trend of cryptocurrency exchanges developing their own blockchains to enhance user experience and accessibility in the DeFi space.
Argentina’s Proposed Crypto Regulations Spark Industry Caution: Industry stakeholders in Argentina are expressing concern over a new draft regulation for virtual asset service providers (VASPs), which includes a minimum capital requirement of approximately $173,000 for registration. While the Argentine securities regulator (CNV) aims to enhance user protection and prevent financial crimes, many in the crypto sector fear that such restrictions could stifle innovation and competition. Leaders from prominent exchanges stress the importance of a balanced regulatory approach that fosters growth while ensuring compliance.
Major Cyberattack Compromises U.S. Government Crypto Wallet: The U.S. government has reportedly lost over $20 million in a cyberattack involving a wallet linked to seized funds from the Bitfinex hack. Approximately $20 million in various cryptocurrencies was transferred to an attacker’s wallet, which has begun converting the assets to ETH and laundering the proceeds. Investigations are ongoing as authorities work to trace the stolen funds and assess the breach’s implications.
Fundraising:
Skyfire Secures $9.5 Million in Funding from Coinbase Ventures and a16z: Skyfire has raised a total of $9.5 million in seed funding, boosted by new investments from Coinbase Ventures and a16z’s Crypto Startup Accelerator. The firm is developing infrastructure that allows AI agents to make autonomous payments using unique digital wallets pre-loaded with USDC or traditional banking methods. Co-founder Craig DeWitt likened Skyfire’s role to “Visa for the AI economy,” highlighting its potential to revolutionize transactions at scale and low cost.
Binance Labs Invests in Moonwalk Fitness to Gamify Health and Wellness: Binance Labs has invested in Moonwalk Fitness, a fitness accountability app that gamifies health by allowing users to stake cryptocurrencies like USDC, SOL, or BONK to achieve daily step goals. Users who meet their targets can earn rewards, while those who fall short forfeit part of their stake, which is redistributed among winners. Built on the Solana blockchain, Moonwalk Fitness aims to simplify blockchain technology for non-crypto users and plans to expand its offerings beyond step challenges with the new funding.
Binance Labs Backs ZEROBASE’s $5M Funding for ZK Prover Network: Binance Labs has announced its support for ZEROBASE, which raised $5 million to develop a real-time Zero-Knowledge (ZK) prover network aimed at enhancing privacy and decentralized computing. The project, backed by notable investors including Faction VC and DAO Five, seeks to address inefficiencies in ZK proof generation while ensuring confidentiality. ZEROBASE envisions a future where privacy and transparency coexist, marking a significant advancement in blockchain technology.
Echo Protocol: Revolutionizing Bitcoin Yield and Liquidity: Echo Protocol is the first Bitcoin liquid re-staking and yield infrastructure layer on MoveVM, designed to enhance Bitcoin liquidity and provide innovative staking solutions. Recently backed by notable investors, it allows users to bridge, stake, and earn rewards in a seamless manner, with its first public vault opening on October 28, 2024. This initiative positions Echo Protocol as a significant player in the evolving DeFi landscape, merging traditional finance with decentralized opportunities.
B² Network Secures Funding to Advance Bitcoin Layer 2 Solutions: B² Network has successfully closed a funding round led by prominent investors including The Spartan Group and Animoca Brands, aimed at enhancing its Bitcoin Layer 2 solutions. With over 8.62 million addresses and a total value locked exceeding $300 million, the network continues to lead in the Bitcoin ecosystem. Looking ahead, B² Network is focused on expanding its BTCFi initiatives and infrastructure development to foster sustainable growth in the space.
Hata Digital Secures $4.2 Million in Seed Funding to Expand Digital Asset Exchange: Hata Digital Sdn Bhd, a newly licensed digital asset exchange in Malaysia, has raised US$4.2 million in seed funding led by Castle Island Ventures and supported by notable investors like Bybit and Cadenza Ventures. The funding will be used to enhance product offerings and user acquisition across Asia, positioning Hata to capitalize on the growing demand for crypto services in the region. CEO David Low expressed confidence that this investment will empower users to navigate the digital asset market more effectively.
Karpatkey Secures $7 Million to Expand DAO Treasury Services: Karpatkey has raised $7 million in funding to enhance its on-chain treasury management solutions for decentralized autonomous organizations (DAOs) and to foster relationships with traditional financial institutions. The investment round included notable participants such as AppWorks Ventures, Wintermute Ventures, and prominent angel investors like Joe Lubin and Stani Kulechov. With over $1.8 billion in assets managed and a track record of executing more than 10,000 on-chain transactions, Karpatkey aims to solidify its position as a leader in DAO treasury management.
Azura Launches as a New Player in DeFi After $6.9 Million Funding: Azura, a newly launched decentralized finance platform, has raised $6.9 million in seed funding led by Initialized to enhance the DeFi trading experience. The platform aims to empower users by providing a unified interface for trading various crypto assets without intermediaries, thereby increasing control and reducing risks. Originally known as Thunder, Azura generated approximately $10 million in annualized revenue during its beta phase and facilitated nearly $1 billion in trading volume.
Amity Ventures Invests in Borderless XYZ’s Pre-Seed Round: Amity Ventures has led a $3 million pre-seed funding round for Borderless XYZ, a startup dedicated to streamlining cross-border payments. The investment will help enhance their technology and expand their market reach, addressing the complexities of international transactions. This funding reflects the rising demand for innovative solutions in the global financial landscape.
Fluid Protocol Secures $3.9 Million Seed Funding for USDF Stablecoin: Fluid Protocol has raised $3.9 million in seed funding to launch USDF, the native stablecoin of the Fuel Network. Led by prominent investors like Pantera Capital and Framework Ventures, this funding will support the development of the protocol and its ecosystem. The USDF stablecoin aims to enhance liquidity and utility within the Fuel Network, positioning it as a key player in the decentralized application landscape.
Variational Secures $103 Million in Seed Funding: Variational, a Singapore-based cryptocurrency platform, has raised $103 million in a seed funding round led by Tiger Global, with participation from Accel and Sequoia Capital India. The funds will be used to enhance its trading capabilities and expand operations across Asia, catering to the growing demand for institutional-grade digital asset trading solutions. This significant investment underscores the increasing confidence in the cryptocurrency market among institutional investors.
Bitkraft Ventures Invests $9 Million in Crypto Mobile Gaming Platform Party Icons: Bitkraft Ventures has spearheaded a $9 million seed funding round for Party Icons, a mobile gaming platform that merges cryptocurrency with social gaming experiences. This investment highlights the increasing interest in the convergence of gaming and blockchain technology. The funds will be used to enhance the platform’s development and expand its reach within the gaming community.
Shuttle Labs Launches Genius: A Secure Self-Custodial Crypto Exchange: Shuttle Labs has raised $6 million to launch Genius, a self-custodial digital asset trading exchange designed to enhance security and user control. The platform offers a seamless trading experience across multiple blockchains, allowing users to access over 12 million tradable assets without the complexities of managing gas fees. By combining the benefits of decentralized exchanges with innovative liquidity-matching technology, Genius aims to provide a safe and user-friendly alternative to centralized exchanges like FTX.
Stokr Secures $7.98 Million to Launch Corporate Bitcoin Treasury: Stokr has raised $7.98 million to develop a corporate Bitcoin treasury, enhancing its platform for tokenized securities. This funding will enable companies to better manage and invest in Bitcoin as part of their financial strategies. The move reflects a growing trend among businesses seeking to integrate cryptocurrencies into their operations.
Opti Games Secures $2 Million for Sparkball Development: Opti Games has raised $2 million to fund the development of its innovative game, Sparkball, which merges traditional sports with blockchain technology. The investment, led by notable investors, underscores the rising interest in blockchain gaming and play-to-earn models. The company intends to utilize the funds to enhance game features and expand its marketing reach.
Arttoo Launches RWA Art Project on Sui Blockchain: Arttoo is set to revolutionize fine art ownership by launching a Real World Asset (RWA) project on the Sui blockchain, enabling fractional investment in masterpieces by artists like Henri Matisse and Claude Monet. The partnership with the Sui Foundation enhances user experience through features like zkLogin, facilitating easy participation for both institutional and individual investors. Recently completing an angel investment round led by Formless Capital, Arttoo aims to democratize access to high-value artworks and bridge the gap between the art and Web3 communities.