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March 13,2024

Tether Partners Up With Celo To Expand USDT Stablecoin

Tether has revealed the introduction of its USDT stablecoin on the Celo blockchain, a move aimed at broadening financial inclusion and empowering individuals globally. According to the announcement, the emphasis Celo puts on mobile-first strategies and its compatibility with the Ethereum Virtual Machine (EVM) render it an ideal platform for Tether.

A proposal by Celo core contributors at cLabs proposes the utilization of USDT as a gas currency to streamline transactions and enhance efficiency within the network. This is anticipated to offer numerous advantages, including remarkably low transaction fees of approximately $0.001, thereby enabling microtransactions for users irrespective of their economic standing or geographical location. 

 

A Notable Collaboration

Tether CEO Paolo Ardoino expressed renewed enthusiasm when it came to providing accessible and dependable digital currency solutions globally. He highlighted that integrating USDT onto the Celo platform, designed for real-world usage, indicates a significant stride in their mission. Leveraging the distinctive capabilities of Celo will further enhance the usability and accessibility of Tether for millions of individuals.

This move renders USDT accessible across the entirety of Celo. USDT will therefore join a diverse array of stable assets on Celo, such as eXOF and cREAL, linked to the CFA Franc and the Brazilian Real, respectively. This widens the potential applications for stable assets on the platform, encompassing remittances, savings, lending, and peer-to-peer (P2P) and cross-border payments.

 

Enhancing The User Experience

Celo has features like SocialConnect and FiatConnect which will further enhance the user experience, simplifying transactions with USDT. The option to pay for gas with ERC-20 tokens, including stable assets, will deliver a seamless payment experience. Rene Reinsberg, Celo Co-Founder and Celo Foundation President, talked about welcoming Tether USDT to the Celo ecosystem, which is rapidly emerging as a leader in stablecoins and real-world assets (RWAs).

Rene highlighted how this integration aligns with their mission to create a digital economy conducive to prosperity for all. With Tether USDT soon to be available on Celo, users will have even more options for fast, cost-effective payments and access to robust stablecoin use cases benefiting users worldwide. As a result of the announcement, CELO recently experienced a price surge.

March 12,2024

Cardano Will Be Utilized By Dubai Police For Criminal Investigations

The Dubai Police Department has introduced an innovative pilot initiative utilizing the Cardano (ADA) blockchain to safeguard the security and authenticity of sensitive data related to criminal investigations. This announcement took place during the esteemed World Police Summit in Dubai, highlighting the dedication of the UAE to incorporating advanced technologies into its law enforcement endeavors.

 

Adopting The Cardano Blockchain

Insights into the mechanics and objectives of the project were provided by Alexander E. Brunner, Principal of Brunner Digital and President of Blockchain.swiss, who shared details via a recent post. This initiative will demonstrate how sensitive data by criminal investigations can be securely shared with authorities like Interpol, he added, before further clarifying the practical application of this technology.

Alexander stated that, specifically, bullet scans conducted by a highly advanced scanner are shared among international stakeholders on the Cardano blockchain. The blockchain guarantees that the data remains unaltered and traceable among various stakeholders, he concluded.

Highlighting the wider implications of blockchain integration, Brunner stressed that ensuring secure sharing and management of data in a decentralized network of stakeholders is increasingly important across industries such as energy, defense, and IoT, and that blockchain technology can serve as a facilitator for this.

 

A Groundbreaking Development

Chris O, founder of the ADA Ghost Fund and co-host of Investing Broz on Discord, also commented on this development via X. He emphasized the significance of the project for the Cardano community and the broader blockchain arena.

The United Arab Emirates is employing Cardano for securing its criminal investigations, exclaimed Chris O. He provided details on some key operations, which include the aforementioned bullet scans which are conducted by a highly advanced scanner. The blockchain ensures data integrity and traceability among stakeholders, he added.

The Dubai Police deciding to utilize the Cardano blockchain for sharing criminal investigation data signifies a groundbreaking advancement toward broader blockchain adoption in crucial sectors. By guaranteeing the integrity and security of investigative data, this project not only demonstrates the practical usefulness of blockchain technology but also establishes a precedent for its application in global law enforcement activities.

Details regarding the duration of the pilot phase and the subsequent steps toward operational implementation remain undisclosed at present.

 

March 12,2024

Bitcoin Continues To Dominate Headlines And Challenge The Status Quo

Cryptocurrency enthusiasts, once deemed outliers in the financial realm, now find themselves celebrating a triumph. As the digital currency experiences a meteoric rise, it boldly challenges skeptics with its astonishing rally, leaving them silenced.

At the start of this decade, Bitcoin (BTC) was an anomaly, mocked by prominent investors and economists as a fleeting trend, a bubble destined to pop. Yet, today we witness Bitcoin flourishing, surpassing its digital counterparts and proving its resilience against detractors.

 

A Remarkable Comeback Tale

Reflecting on 2021, Bitcoin was grouped with volatile tech ventures and meme-driven stocks. However, the present narrative is vastly different. While those fleeting trends struggle to maintain value, Bitcoin stands tall at its peak. This is not just another bubble story, as it underscores the enduring strength and potential longevity of Bitcoin and crypto as a whole.

Amidst the fervor surrounding Big Tech in the bull market, the rise of Bitcoin is particularly notable. While Big Tech stocks surge, fueled by visions of an AI-driven future, the flagship cryptocurrency forges its own path, proving its worth as a significant investment and a leader among cryptocurrencies. Since its lowest point in late 2022, Bitcoin has surged by a whopping 300%, overshadowing its rivals and solidifying its position as the premier cryptocurrency.

 

A Realistic Assessment

The once-dreaded volatility associated with Bitcoin has been subdued, revealing a more stable and reliable asset. Critics who once dismissed Bitcoin for its price fluctuations now witness its transformation into a less volatile investment. However, crowning Bitcoin as the new gold standard is premature gold remains favored by central banks for diversification purposes.

Despite the excitement, the role of Bitcoin as digital gold and a medium of exchange remains a work in progress. Adoption rates have declined, with significant crypto activity concentrated in regions grappling with economic instability. The usage of crypto in daily transactions remains limited, with stablecoins gaining popularity for crypto payments. Yet, the appeal of Bitcoin as an investment strengthens, driven by its scarcity and institutional interest. The allure of limited supply, especially with the approaching halving event, boosts its value, attracting more institutional investors and laying the groundwork for an expanding ETF market.

 

March 11,2024

Tornado Cash Devs Will Not Receive Funds By Arbitrum DAO

Arbitrum DAO decided against proceeding with its recent proposition to contribute funds, up to $1.2 million, to support Tornado Cash developers Roman Storm and Alexey Pertsev amid their legal battles, according to a source familiar with the situation. Last week, ImmutableLawyer, a contributor to Arbitrum, suggested allocating between 200,000 and 600,000 ARB tokens, valued at $400,000 to $1.2 million, to aid the legal defense of the developers.

 

Tornado Cash In Hot Water

Storm and Pertsev are currently facing legal charges linked to their creation and advancement of Tornado Cash, a smart contract protocol designed to conceal cryptocurrency transactions on the Ethereum network. The exploitation of the protocol by criminals for money laundering purposes has attracted considerable legal scrutiny.

Despite the withdrawal of the proposal, supporters are exploring alternative means to provide financial support. One such option being considered is directing funds through Coin Center, a nonprofit organization focused on cryptocurrency policy, to back the fundraising efforts of WeWantJusticeDAO, aiming to cover estimated monthly legal expenses of $100,000.

 

Bad To Worse

In August 2022, the US Treasury imposed sanctions on Tornado Cash, a crypto-mixing service, over allegations of laundering funds for malicious cyber actors like the Lazarus Group. These sanctions resulted in the freezing of Tornado Cash assets, restrictions on transactions involving the service, and the prohibition of its code.

The actions of the Treasury have sparked concerns regarding privacy implications and the potential closure of similar services in the future. Some individuals have contested these sanctions through a lawsuit funded by Coinbase against the US Treasury Department. Moreover, on February 14th, GoFundMe terminated a fundraising campaign aimed at gathering legal defense funds for Storm and Pertsev due to a violation of its terms of service.

 

March 11,2024

Lending Stablecoins Via Liquidity Mining Could Lead To Sizable Returns

The decentralized finance (DeFi) sector presents both lucrative prospects and potential pitfalls for astute cryptocurrency investors. For instance, engaging in stablecoin lending within liquidity mining protocols can yield returns of up to 20%.

Key DeFi platforms such as Aave and Compound, operating on Ethereum (ETH), notably incentivize suppliers of stablecoins. Aave offers annual percentage yields (APYs) of 19.18% for USDC and 20.44% for USDT. Compound v3 features a 15.19% APY for USDC based on Ethereum. Furthermore, exploring lending on alternative chains like Polygon (MATIC), Arbitrum (ARB), or Base could potentially yield even higher APYs.

 

High APYs Continue To Dominate

This trend is primarily driven by significant demand for borrowing, with traders willing to pay borrow-APYs reaching as high as 23.45% and 25.13% for USDC and USDT, respectively, on Aave. These borrowed stablecoins are often utilized for cryptocurrency speculation, aiming for returns exceeding their APY costs.

Notably, this dynamic arises due to substantial borrowing demand, with traders willing to pay borrow-APYs as high as 23.45% and 25.13% for USDC and USDT, respectively, on Aave. These traders might utilize the borrowed stablecoins to speculate on cryptocurrencies, aiming for higher returns than their APY costs.

 

A Much Needed Conversation

Erik Voorhees, the founder of ShapeShift, raised questions about why major financial institutions overlook this risk-allocation opportunity. ShapeShift recently settled illegal securities charges with the SEC on March 5th. The company agreed to a cease-and-desist order and a $275,000 fine.

In response, Hayden Adams, founder of Uniswap, elaborated on the paradoxical nature of stablecoin lending yields. He noted that while 30% APY might not suffice for crypto native investors, traditional finance players may find DeFi too risky even at such rates.

Overall, lending platforms present attractive yield opportunities for supplying stablecoins like USDC and USDT, while traders can opt to borrow stablecoins to engage in short-term price speculation in the cryptocurrency market. However, both avenues carry inherent risks, including the potential control exerted by entities behind stablecoins like Tether and Circle.

 

March 11,2024

Funding Deals - 5th To 11th March 2024

Zama secured a significant $73M in Series A funding, fueled by Multicoin Capital's backing. Zama is an open source cryptography company building state-of-the-art FHE solutions for blockchain and AI. It focuses on building apps with FHE (Fully Homomorphic Encryption).

 

 

Nav set sail with a $2M Seed investment, though the investor remains undisclosed. Users can optimize their DeFi investments with NAV's SIPs and step into the world of quantitative decentralized finance investing.

 

 

Firewall fortified its position with $3.7M in Pre-Seed funding, supported by Breyer Capital. Firewall is building the safety rails that enable the everyday person to use the next era of the Internet. The focus is not on marginal improvements rather, to try and bring a paradigm shift in the usability of blockchains.

 

 

Hedgehog Protocol emerged with a notable $1.5M in Pre-Seed funding, with undisclosed backers. Hedgehog mirrors the economic essense of blocks without getting into physical blockspace delivery complexities. This approach allows Esko Koivula and his team to create a gas derivatives market that everyone can easily interact with.

 

 

Sahara AI powered up with a $6M Seed round, courtesy of Polychain Capital. Sahara is a decentralized AI network which focuses on unlocking fair and universal access to global knowledge capital. They provide blockchain infrastructure that's trustless, permissionless, and privacy-preserving.

 

 

Meo, based in Denmark, secured $2.46M in Venture funding, while also securing $1M in Debt Financing from Gilion (Formerly Ark Kapital). Meo is an end-to-end platform helping users with seamless onboarding, risk assessment and continuous due diligence of their clients.

 

Well done to everyone! Exciting times ahead for the entire industry. Once again, be sure to follow CryptoWeekly and check out our website to stay updated on all the latest deals, news, and trends in Web3.

 

March 10,2024

Bitcoin ATH Drama Continues As Inflation Eases Out

The overall cryptocurrency market valuation has surged past $2.7 trillion. Bitcoin (BTC) remained steady for a few days before making a strong move not too long ago, surpassing $70,000 for the first time ever, only to face a sharp rejection shortly after.

Numerous alternative cryptocurrencies, notably Worldcoin and FLOKI, have experienced significant gains over a 24 hour period. Other cryptocurrencies such as The Graph (25%), AGIX (20%), AR (19%), and NEAR (19%) have also seen substantial gains. Meanwhile, BNB, DOT, ICP, TON, and SHIB have recorded minor increases over the last day. ETH briefly surpassed $4,000 yesterday but has since retreated to nearly $3,900.

 

Recent Crypto Activity

Various reports highlighted the recent impressive performance of Bitcoin, including two consecutive all-time highs this week. Initially, Bitcoin surged above $69,000 on Tuesday following substantial gains on Monday. However, the upward momentum was swiftly countered by bearish pressure, resulting in a rapid decline of almost ten thousand dollars and triggering billions in liquidations.

Bitcoin quickly recovered most of its losses and returned to $67,000 in the subsequent days. The second surge occurred yesterday, propelling BTC above $70,000 for the first time. Once again, the flagship cryptocurrency could not sustain its momentum and retraced by a few thousand dollars. At present, BTC is trading around $69,500, with a market cap nearing $1.350 trillion on CoinGecko. Its dominance over other cryptocurrencies stands at 49.2%.

Elsewhere, various meme coins have been dominant during this bull run. While SHIB and DOGE compete for dominance, FLOKI has seen significant gains, climbing over 110% in the past week and 40% in the last 24 hours. Consequently, it has approached the top 50 largest cryptocurrencies by market cap. Worldcoin is another notable performer among the top 100 altcoins. WLD has surged by 42% despite controversies surrounding the project.

 

Other Markets

In the United States, it is likely that inflation eased gradually last month, while retail sales showed signs of improvement. This demonstrates why the Federal Reserve is not in a hurry to reduce interest rates.

The core consumer price index, which excludes food and fuel to provide a clearer view of underlying inflation, is expected to have increased by 0.3% in February compared to the previous month, following a 0.4% rise at the beginning of the year. The Labor Department is scheduled to release its CPI report on Tuesday.

Lastly, despite the dollar experiencing its most significant selloff of the year, Wall Street remains cautious about fully embracing bearish bets on the currency. The Bloomberg Dollar Spot Index has fallen for six consecutive sessions, marking its longest losing streak in five months. This week, the index has declined by 1.1%, putting it on track for its largest weekly drop of the year.

 

March 09,2024

FBI Report Reveals Massive Losses Due To Crypto Scams

The United States experienced a notable surge of 53% in losses linked to cryptocurrency investment scams during 2023, reaching a cumulative sum of $3.94 billion, as indicated by a recent report issued by the Federal Bureau of Investigation (FBI).

According to the FBI Internet Crime Report 2023, the total losses incurred through scams involving cryptocurrencies like Bitcoin, Dogecoin, and Shiba Inu surged to $3.94 billion, representing a 53% rise compared to the 2022 amount of $2.57 billion.

 

Scams Still Prevalent

The report highlighted a 38% increase in overall investment fraud, amounting to $4.57 billion compared to $3.31 billion previously. A significant portion of these fraudulent activities involved cryptocurrency scams, underscoring the prominent role of digital currencies in online criminal activities.

Fraudsters are increasingly utilizing custodial accounts at financial institutions for cryptocurrency exchanges or third-party payment processors, or they are directing targeted individuals to send funds directly to these platforms, where the funds are quickly dispersed, noted the FBI report.

 

A Ways To Go

Investment scams dominated internet crime in 2023, constituting over a third of the total losses of $12.5 billion, as per the report. The surge in cryptocurrency scams during 2023 is noteworthy in light of several significant developments. In January, Germany seized over $2 billion in Bitcoin via piracy proceeds, marking the largest seizure of Bitcoins by law enforcement in the country, in collaboration with the FBI.

Around the same time, the United States government announced its plan to sell off $132.5 million in Bitcoin seized in connection with the Silk Road scam investigation. Furthermore, in September, JP Morgan decided to suspend cryptocurrency-related transactions for its clients based in the United Kingdom, indicating the increasing apprehension of financial institutions regarding crypto-related crimes.

 

March 08,2024

Senator Menendez Gets Indicted As Nayib Bukele Responds With Laughter

President Nayib Bukele responded with humor to a social media post on March 7th, drawing attention to the legal issues of a prominent critic in Capitol Hill. Bukele shared a post on X with a laughing emoji. The post discussed the indictment of Senator Bob Menendez, adding a touch of irony to the situation. Senator Menendez, a vocal opponent of El Salvador deciding to openly adopt Bitcoin, is facing charges of bribery and obstruction of justice in the US.

The indictment emerged amidst bribery allegations. The charges claim that the senator and his spouse conspired to obstruct justice and conceal bribe payments that the senator had previously been accused of making.

 

A Touch Of Irony

Prosecutors accuse Menendez of receiving various gift items, including luxury watches and gold bars, in exchange for helping Uribe and the governments of Egypt and Qatar. The Senator has pleaded not guilty to the charges, and the trial is scheduled for May. In addition, the Senate Foreign Relations Committee revealed that Menendez had supported legislation to mitigate the risks of Bitcoin adoption in El Salvador.

After adopting Bitcoin as legal tender in June 2021, President Bukele has affirmed that it will maintain its Bitcoin portfolio regardless of price fluctuations. When Bitcoin hit a new all-time high this past Tuesday, El Salvador reported a 53% increase in profit via local Bitcoin holdings. Nayib Bukele has also criticized the mainstream media, accusing them of publishing negative articles about his any unrealized losses during the 2022 Bitcoin bear market.

 

Bukele Remains Unfazed

President Bukele continues to advocate for Bitcoin and for everyone to recognize it as a globally acceptable currency. He reacted to the recent decline in the New York Community Bancorp holdings, which saw an 85% decline over five years. The President, known for his pro-Bitcoin stance and efforts to reduce gang violence, first took office in 2019. He is admired locally for making Bitcoin a legal tender in Latin America.

El Salvador also plans to further integrate Bitcoin into the domestic financial market during his next term. To achieve this, the country intends to launch Volcano Bonds, a financial instrument for Bitcoin mining, and establish a tax-free enclave for Bitcoin enthusiasts called Bitcoin City. The Volcano Bond project recently received regulatory approval by the Digital Assets Commission (CNAD).

 

March 08,2024

Pantera Plans To Acquire $250 Million Worth Of SOL Tokens

Pantera Capital, a firm specializing in crypto asset management, reportedly seeks funds to acquire Solana tokens held by the estate of the bankrupt FTX exchange. The Pantera Solana Fund aims to secure investments of up to $250 million in SOL tokens, as detailed in marketing materials provided to potential investors.

 

Buying SOL

Pantera intends to purchase a portion of the FTX SOL holdings at a rate of $59.95, which represents a 57% discount relative to its price of $142 per token at the time of writing. Investors considering this opportunity must commit to a vesting period of up to four years. The FTX estate reportedly holds approximately 41.1 million SOL tokens, valued at around $5.4 billion, equivalent to roughly 10% of the total supply of Solana tokens.

Over the 24 hours preceding 11:47 A.M. UTC, SOL experienced a 2.51% increase in value, trading at $142.51. On a weekly basis, the token saw a rise of over 10.5%, and on a monthly basis, it increased by 49.7%, according to data by CoinMarketCap. Pantera aimed to finalize the fund by the end of February, with a minimum investment requirement of $25 million by each investor, as outlined in the presentation. The fund management fee is set at 0.75%, with a 10% performance fee.

 

Nearing The End

The potential sale would enable FTX liquidators to commence repayments to investors of the defunct crypto exchange. FTX and Alameda reached a tentative settlement with BlockFi to resolve their disputes, involving FTX agreeing to pay up to $874.5 million to BlockFi and dropping its claims against the firm.

This settlement would resolve the claims made by BlockFi against FTX, amounting to approximately a billion dollars, and also involve FTX waiving millions of dollars of avoidance claims and other counterclaims against BlockFi.

FTX is in the final stages of its bankruptcy proceedings, with plans to fully reimburse billions of dollars to its customers. As part of its efforts to recover funds for creditors, the company received approval on Feb. 22 to divest more than $1 billion in shares in the artificial intelligence company Anthropic.

 

March 07,2024

Worldcoin Ordered To Stop Collecting Data By Spanish Agency

The Spanish government has directed the human identity-focused crypto project Worldcoin (WLD) to halt its data collection activities in the country following numerous complaints by customers. According to a recent announcement by the Spanish Data Collection Agency (AEPD), Worldcoin is mandated to cease the gathering of personal data due to complaints indicating that its data collection process violated user rights.

 

OpenAI In Hot Water

The AEPD has declared its intention to block the data already gathered by the eye-scanning digital identification project. As per the aforementioned announcement, the Spanish Data Protection Agency has issued a precautionary measure against Tools for Humanity Corporation, instructing it to halt the collection and processing of personal data conducted in Spain under the Worldcoin project, and to block the already collected data.

Several complaints have been lodged against the company, citing inadequate information provision, collection of data by minors, and the inability to withdraw consent, among other violations. Late last year, Worldcoin, co-founded by Sam Altman, CEO of OpenAI, faced operational suspensions in Brazil, India, and France, resulting in a 20% drop in its price at that time.

 

Elon Gets Involved

Earlier this month, Elon Musk also filed a lawsuit against Sam Altman and OpenAI, alleging a breach of the founding agreement. According to the lawsuit, Altman initially proposed OpenAI to Musk in 2015. Musk agreed and provided funding and assistance in recruiting for the firm. However, OpenAI was subsequently acquired by Microsoft, allegedly breaching the original agreement.

The lawsuit stated that contrary to the founding agreement, defendants have opted to utilize GPT-4 not for the betterment of humanity, but as proprietary technology to maximize profits. Moreover, Elon claims that the entire development of OpenAI is now shrouded in secrecy, with the public having only rumors and fragmentary communications to grasp what might be released next.

 

March 07,2024

Legal Troubles Lead To Binance Halting All Nigerian Currency Services

Earlier this week, Binance declared its decision to halt all services involving the Nigerian naira, citing an ongoing legal conflict between the U.S.-based cryptocurrency company and Nigeria, the most populous nation in Africa.

Binance announced that any remaining balances in user accounts denominated in naira will be automatically converted to Tether, a stablecoin cryptocurrency tied to the value of the U.S. dollar. The company specified that it will cease supporting deposits in naira after 02:00 P.M. UTC on March 5th and will discontinue withdrawals of the currency after 06:00 A.M. UTC on March 8th.

 

Binance Still Controversial

Binance has previously faced controversy due to various reasons. The exchange has encountered regulatory scrutiny in several countries over compliance issues related to operating without proper licenses or regulatory oversight. The platform has also experienced security breaches in the past, leading to the loss of user funds and raising questions about its security measures. Some critics have also accused Binance of lacking transparency in its operations, including its listing processes and trading activities.

Moreover, Binance has been involved in legal disputes with authorities in different countries over allegations ranging including money laundering and regulatory violations. Lastly, there have also been allegations of market manipulation against Binance, including accusations of wash trading and insider trading. These controversies have contributed to Binance facing numerous challenges in maintaining its reputation and regulatory compliance.

 

The Importance Of Nigeria

Nigeria is recognized as one of the largest cryptocurrency markets globally. However, reports indicate that the Nigerian government is seeking nearly $10 billion in damages by Binance. The government alleges that Binance engaged in manipulation of foreign exchange rates through currency speculation and rate fixing. Last week, Nigerian authorities reportedly arrested two senior executives of the firm.

The Nigerian naira has experienced a significant devaluation, with its value dropping by approximately 70% in recent months. This depreciation coincides with a currency crisis and steep inflation in the largest economy within Africa.