November 4, 2021 / Unchained Daily / Laura Shin
Daily Bits ✍️✍️✍️
The interagency “crypto sprint” has concluded, says the acting US comptroller.
10% of China’s population has opened a digital yuan wallet.
A report from JPMorgan shows that firms could save $100 billion in cross-border costs if they were to use a CBDC.
Binance is considering blacklisting addresses associated with the Squid Game token.
Bitcoin mining revenue for October was the second-highestever.
Crypto lender Celsius acquired GK8, a cybersecurity company, for $115 million.
The Commonwealth Bank of Australia will soon offer retail customers crypto trading capabilities.
Data shows that people from lower-income jobs are quitting due to the performance of their crypto investments.
BitMEX claims it is now carbon neutral.
Lower trading volatility could mean the crypto market is maturing, according to CoinDesk.
The EOS Foundation CEO said that “EOS, as it stands, is a failure” in a speech on Wednesday.
Bitcoin mining firms are experiencing delays in receiving equipment due to a global supply chain crisis.
A single SHIB holder moved $2.9 billion worth of tokens from their wallet yesterday.
What Do You Meme?
The Bull Run Round-up
The total cryptocurrency market is less than a 5% increase from hitting $3 trillion, according to data from Coin Gecko. For context, as an asset class, crypto was less than $1 trillion on January 1, 2021. Bitcoin, Ethereum, Solana, Polkadot, Shiba Inu, and Terra, or 60% of the top 10 tokens by market cap (non-stablecoins), have reached a new all-time high in the last 30 days.
With such an exuberant market, it seems like today would be an excellent time to take a look back and try to digest the stream of events that have led to the latest crypto bull run.
Bitcoin Futures ETF
The bull market got a fresh wind when the ProShares’ Bitcoin Strategy (BITO), the first SEC-approved US bitcoin (futures) ETF, began trading on Tuesday, October 19th. Bloomberg’s Eric Balchunas reported that the ETF held over $1 billion after just two days of trading, becoming the second-fastest ETF to hit such a landmark — outpacing $GLD. Notably, Bitcoin hit its all-time high, $67,276.79, on BITO’s second day of trading,
While not a spot bitcoin ETF, the ProShares’ managed futures ETF was the first such product to be approved by the SEC. Subsequently, Valkyrie and VanEck also launched futures-based ETFs.
Meta Is Good for the Metaverse
Facebook rebranded to Meta last Friday in an effort to rebrand the social media giant as a metaverse company. While much of Meta’s focus appears to be on augmented and virtual reality products, CEO Mark Zuckerberg did hint at NFTs, or virtual goods, playing a hefty role in Meta’s vision.
Since Meta’s decision, metaverse-based tokens have exploded in popularity. The Metaverse Index from Index Coop, a DeFi protocol offering tokenized indices, rose 76% over the past seven days on the backs of tokens like $SAND, $ILV, $MANA, $AXS, and $ENJ.
Solana — An NFT Pump?
Solana’s native token, $SOL, reached a new all-time high yesterday, breaking across $240 for the first time. In the past week, $SOL climbed into the top five of tokens by market capitalization, flipping Cardano’s $ADA. Solana now has a market cap over $70 billion.
While the reason for Solana’s jump in price is harder to pinpoint, Messari’s Mason Nystrom noted that Solana’s NFT ecosystem has seen “formidable growth,” with total secondary sales reaching $500 million in the past three months.
The Ethereum Supply Shift
Ethereum hit a new all-time high yesterday above $4,600.
Why? Well, as covered on Facebook Bulletin, Ethereum changed its supply schedule in August by implementing Ethereum Improvement Proposal 1559 (EIP-1559), which resulted in a mechanism that burned ETH when network demand increases over a certain level.
According to data from The Block, Ethereum has actually begun burning more ETH than it issues. Since October 26th, Ethereum’s net issuance is approximately negative 8,900 ETH, or -$3.96 billion. Essentially, Ethereum is becoming a deflationary asset, making ETH more and more scarce with each day of negative issuance.
- @CroissantEth on NFT use cases:
- Representative Tom Emmer and Representative Darren Soto on why it doesn’t make sense for bitcoin futures ETFs to be traded while bitcoin spot ETFs are not:
- Spartan Group’s Jason Choi on getting rich in crypto:
On The Pod…
Secret Network is a privacy-first, permissionless layer 1 blockchain built for computational privacy. Tor Bair, founder of Secret Foundation, a developer of Secret Network, discusses what makes Secret Network unique, including smart contract privacy, private metadata for NFTs, and how regulators should treat privacy tech in blockchain. Show highlights:
- how Tor fell down the crypto rabbit hole
- what the Secret Network is and how it is bringing privacy to blockchain
- why public blockchains are problematic
- what makes Secret Network different from Monero or Zcash
- how Secret Network works from a technical perspective
- what type of applications Secret Network can support that public blockchains cannot
- why blockchain voting is probably a bad idea (for now)
- what attack vectors exist regarding Secret Network
- how Secret Network nodes work and why there are only 50 of them
- how Secret Network fixes miner extractable value (MEV)
- what DeFi applications are possible on Secret Network
- how NFTs on Secret Network are different from public blockchain NFTs
- how regulators should treat Secret Network
My book, The Cryptopians: Idealism, Greed, Lies, and the Making of the First Big Cryptocurrency Craze, is now available for pre-order now.
The book, which is all about Ethereum and the 2017 ICO mania, comes out Jan. 18. Pre-order it today!
You can purchase it here: http://bit.ly/cryptopians