Home Blog Page 1524

Dormant Wallets Move $1.98B to OKX, Triggering Speculation of Another Buyback and Burn Program

Mark Brennan
-
0
Dormant Wallets Move $1.98B to OKX, Triggering Speculation of Another Buyback and Burn Program

Dormant wallets numbering up to 1,968 with sizable OKB balances have woken up, signaling another likely OKX buyback and burn event.

OKX as an exchange adopts the buyback and burn system as a model to boost the value of its native token OKB. Data from crypto analytics platform Spot On Chain shows that the 1,968 wallets sent 33.23 million OKB worth $1.98 billion as the first action conducted after a 4-year dormancy run.

The reasons behind the transfers remain uncertain as of press time due to limited information. However, precedents spotted by Spot On Chain show a potential burn exercise is possible.

Impending OKB Buyback and Burn

Per Spot On Chain, OKX bought back and burnt 11.48 million OKB worth $748 million on March 16. The intriguing trend is that 9.68 million of this burnt OKB, valued at $631 million, came from 539 wallets. Just like the 1,968 wallets, these 539 addresses had been dormant for 4 years.

If history repeats itself, OKX may divert a sizable chunk of the $1.98 billion OKB to the burn address.

The transaction log of the recently awakened OKB tokens also shows an interesting pattern. The first 10 wallets on transferred between 17,801 OKB and 17,790 OKB, while 1,948 addresses moved a cumulative 32,768,969 OKB. Meanwhile, the rest of the addresses moved between 15,815 OKB and 15,893 OKB.

Per the Spot On Chain data, all of the wallets have seen their value soar based on their deposit price. Overall, the worth of the tokens in the wallets has increased by at least $1 million over the past 4 years.

Burning, a Major Deflationary Model

Burning tokens to reduce their supply is a major deflationary model many digital currency projects have adopted today. Among the projects that rely on burning to boost value is Terra Classic (LUNC). The project breached the 100 billion burnt token milestone recently.

Shiba Inu (SHIB) also relies on burning to usher in its projected rally to the 1-cent mark. To make this effective, the project hopes to incorporate an automatic burn mechanism to Shibarium, its layer-2 scaling solution.

Coinbase CLO Says SEC Has No Justification to Deny Ethereum ETFs Amid Security Status Concerns

Lele Jima
-
0
Coinbase CLO Says SEC Has No Justification to Deny Ethereum ETFs Amid Security Status Concerns

Coinbase CLO hopes the SEC does not fabricate reasons questioning the regulatory status of Ethereum as a non-security in order to deny the multiple ETH spot ETF applications. 

Coinbase’s chief legal officer (CLO) Paul Grewal has become the latest crypto stakeholder to comment on recent reports suggesting that the U.S. SEC is attempting to categorize Ethereum (ETH) as a security. 

Will SEC Approve Ethereum ETF As it Moves to Classify ETH as a Security?

For the uninitiated, the crypto industry received a report from Fortune yesterday stating that the SEC is pursuing a legal campaign that could classify ETH as a security. 

According to Fortune, the SEC ordered several U.S. crypto-related businesses to provide vital documents and financial records about the Ethereum Foundation that could help with its ongoing investigation. 

Although the SEC has yet to confirm or deny the report, crypto enthusiasts see the news as a stumbling block that could affect the potential launch of spot Ethereum ETFs.

It is worth mentioning that several asset managers, including BlackRock and Fidelity Investments, have already filed to launch Ethereum funds in the United States. 

Despite the SEC postponing its decision on some Ethereum ETF applications, several experts still believe the regulator would approve at least one filing by May. 

However, reports that the SEC is moving to categorize ETH as a security could reduce the chances of an Ethereum spot ETF launching by May. 

SEC Has No Good Reason to Deny Spot ETFs 

Reacting, Grewal stated that the SEC lacks justification to deny the multiple spot-based ETH ETF applications. 

The Coinbase CLO added that he hopes the commission does not fabricate any reason to question ETH’s long-established regulatory standing as a non-security.  

Factors Showing ETH Isn’t a Security 

Interestingly, Grewal highlighted some facts that show that Ethereum is not a security. 

According to Grewal, the SEC has consistently opined that ETH is a commodity, a remark that has allowed millions of Americans to hold the coin since its debut in 2015. 

He recounted how senior SEC officials, including former Director Bill Hinman and Gary Gensler, declared Ethereum as a non-security. 

In addition, Grewal also mentioned how SEC’s lawyers compared ETH to Bitcoin in the commission’s lawsuit against Ripple. It bears mentioning that the CFTC and the SEC agree that Bitcoin is a commodity, not a security.   

The CLO of Coinbase said both federal courts and the U.S. CFTC have also classified Ethereum as a commodity, with ETH contracts trading on CFTC-regulated exchanges. 

Ethereum Doesn’t Satisfy Howey Test 

Furthermore, Grewal said Ethereum does not satisfy all prongs of the Howey Test, a longstanding U.S.-based securities test. Specifically, he argued that Ethereum does not involve a contractual obligation related to a business enterprise, adding that the introduction of the Merge upgrade does not automatically make ETH a security. 

The Merge was a significant Ethereum upgrade introduced in 2022 that enabled the coin to transition to a Proof-of-Stake (PoS) algorithm from its original Proof-of-Work (PoW) model. 

Based on these facts, Grewal asserted that Ethereum is not a security and that the SEC has no justification for denying multiple applications for ETH spot-based ETFs. 

Bitcoin Critic Peter Schiff Foretells Doom for MicroStrategy Over Leveraged Buying

Mark Brennan
-
0
Bitcoin Critic Peter Schiff Foretells Doom for MicroStrategy Over Leveraged Buying

Long-time Bitcoin critic Peter Schiff criticizes MicroStrategy founder Michael Saylor over the company’s decision to buy BTC on leverage.

Earlier this week, MicroStrategy announced its latest Bitcoin purchase. The company acquired 9,245 BTC for $623 million, using proceeds from the issuance of convertible notes and its cash reserves. The purchase means that the company now holds more than 1% of Bitcoin’s total supply, a feat widely celebrated by the crypto community.

Nonetheless, long-time Bitcoin critic Peter Schiff was not impressed, seizing the occasion to criticize the MicroStrategy Chairman. Precisely, Schiff described MicroStrategy’s latest purchase as a continuation of “reckless leveraged buying” by its Bitcoin-focused founder.

In the most recent months, MicroStrategy has doubled down on Bitcoin, using a credit facility unique to public companies to raise funds. MicroStrategy typically issues convertible notes, an equity financing method that allows companies to use their stock to raise capital.

Speaking on this strategy, Schiff, a well-known gold bug, has foretold doom for MicroStrategy, warning that the company would incur severe losses when the price of Bitcoin drops.

According to him, when Bitcoin hits $20,000, MicroStrategy will lose $3.25 billion on its investment and will fall further behind at $5.5 billion if Bitcoin drops to $10,000. He added that Bitcoin’s price has already declined from its recent highs despite Saylor’s purchases and that its price will drop further now that MicroStrategy is no longer bidding.

Bitcoin Prints a Reversal

Similar to some of his negative comments about Bitcoin throughout the years, Peter Schiff’s latest comment has preceded a BTC reversal. The cryptocurrency has gained more than 6% since Schiff’s latest tweet and trades at $67,250 at the time of writing.

Meanwhile, this is not the first time Schiff has publicly attacked Michael Saylor on his Bitcoin position with MicroStrategy. Back in December 2022, he claimed that the then-CEO’s madness would drive the company out of business.

The prediction, however, has failed to materialize. Instead, MicroStrategy’s unrealized BTC profit has only grown significantly. The company currently sits on $6.8 billion of potential profits, with the price of BTC now more than 90% higher than its average purchase price of $35,160 per bitcoin.

Solana Founder Stands with Ethereum to Fight SEC Security Classification

Abdulkarim Abdulwahab
-
0
Solana Founder Stands with Ethereum to Fight SEC Security Classification

The Solana community, led by co-founder Anatoly Yakovenko, is backing Ethereum and taking a stand against the U.S. SEC amid push to categorize Ether (ETH) as a security.

Solana Stands Against SEC

Anatoly Yakovenko, Solana’s co-founder, has opposed the Securities and Exchange Commission’s (SEC) underground moves against Ethereum. According to disclosures by The Crypto Basic, the SEC is initiating a campaign to potentially classify ETH as security.

Insiders familiar with the situation have revealed that the SEC has demanded financial records and other documents from U.S. firms that have had a deal with the Ethereum Foundation.

Notably, the regulator has not officially remarked on this development at press time. Yet, the disclosure has sparked various reactions among prominent figures in the crypto community, including Yakovenko of Solana.

Yakovenko voiced opposition to ETH’s potential classification as security, stating:

“If the state is against Ethereum, then I am against the state.”

“This is the energy we need in this space,” remarked X user Yuge on the Solana founder’s remark.

Solana Could be Next after ETH

Furthermore, some Community members pointed out that despite Ethereum being an adversary to Solana, it was right to stand in solidarity with ETH. They see safeguarding the space from detrimental classification as outweighing any internal competition within the industry.

For instance, another commenter stated, “ETH maximalists may be idiots. But they are our idiots,” echoing the rivalry among members of various crypto communities.

Additionally, some believe that Solana could be next in line if the SEC’s move against Ethereum succeeds. 

It is worth mentioning that the SEC has already tagged Solana as security. This classification occurred within the context of a lawsuit against the Binance exchange last June.

However, unlike its approach with XRP in previous years, the SEC has not lodged a formal complaint against other tokens categorized as securities alongside Solana.

US Politician Reacts

Nonetheless, considering the regulator’s history with Ethereum founders, the SEC’s alleged move to classify ETH as a security has surprised many. U.S. Congressman Patrick McHenry highlighted that the move contradicts the assessment of the CFTC and the SEC’s previous actions. 

Meanwhile, some ETH critics like attorney Steven Nerayoff, renowned in the XRP community for his contribution to ETHGate, suggest the SEC’s move is justifiable. According to him:

“The truth behind Ethereum and the SEC’s involvement is dark. It is about time we shine a light on the extensive corruption intertwining Ethereum and our government.”

Circle Plans CCTP Launch on Solana to Allow Users Move Solana-based USDC to Other Chains

Sam Wisdom Raphael
-
0
Circle Plans CCTP Launch on Solana to Allow Users Move Solana-based USDC to Other Chains

Circle plans to launch its CCTP system on the Solana mainnet next week, allowing users to seamlessly move Solana-based USDC to other blockchain networks.

Circle first launched the Cross-Chain Transfer Protocol last year but limited the protocol to certain blockchains. The latest development would see it deployed to the Solana mainnet, with an estimated arrival scheduled for March 26.

The Circle developer community’s X account disclosed the upcoming move in a recent post, revealing that the protocol is already live on the Solana devnet ahead of the imminent mainnet launch. This would allow developers on Solana to test out the system before the launch on the mainnet.

Why is CCTP Important?

Notably, CCTP is a permissionless protocol built by Circle that allows network participants to seamlessly transfer USDC tokens from one blockchain to another. The company developed the system to address the prevailing problem with on-chain interoperability.

Significantly, blockchain interoperability remains one of the major issues plaguing the industry, as network participants on one chain have a difficulty moving assets or value to another chain without hassles. 

Developers have built bridges to solve this problem, but they also have inherent risks. In addition to the stress in using them, over the years, multiple bridges have fallen victim to hacks. These include the Heco bridge exploit of last November and the June 2022 Horizon bridge hack.

Circle’s CCTP allows network participants to move USDC across networks without the risks or inconvenience associated with these bridges. Instead of locking up USDC in smart contracts like bridges do, the protocol destroys the USDC on the source network and mints the equivalent on the receiving network.

By doing so, it eliminates the use of wrapped or unofficial versions of USDC that come from the lock-mint mechanism used by cross-chain bridges. The protocol first launched on Ethereum and Avalanche last April, with Circle confirming plans to extend it to other networks.

Circle Continues to Extend Support

Currently, Circle has extended support to the mainnet of seven blockchain networks, including Arbitrum, Polygon PoS, Base, Noble, and Optimism. The planned support for Solana, which should bring the number of mainnets to eight, has sparked excitement among Solana proponents.

Jeremy Allaire, co-founder and CEO of Circle, touted the imminent development as an upcoming “big launch.” Recall that Circle introduced USDC support on Solana in October 2020. Meanwhile, the XRPL community has continued to anticipate a similar development on the XRP Ledger.

Analyst Says Shiba Inu Double Bounce at $0.000023 Points to New Highs

Mark Brennan
-
0
Analyst Says Shiba Inu Double Bounce at $0.000023 Points to New Highs

An experienced market analyst says a double bounce carried out by Shiba Inu on a critical support level points to high gains for the token.

With the recent crypto market drawdown, the price of Shiba Inu hit new lows of $0.0000238. Amid the collapse, the cryptocurrency retested the $0.0000238 support level twice, providing a strong indication of strength at this level.

Analyst SHIB Knight spotlighted this development, noting that it signifies strong demand for Shiba Inu at those levels. In essence, many market participants consider $0.0000238 a fair value price for Shiba Inu.

Meanwhile, Shiba Inu had earlier attempted to break the resistance around $0.0000328 but met little success. However, with the $0.0000238 now confirmed as main support, Shiba Inu has a greater chance of recovering to new highs, the analyst explained.

He believes the range between $0.0000238 and $0.00003281 is an accumulation channel for Shiba Inu. SHIB Knight predicts a breakout to new highs once this accumulation ends.

Will Shiba Inu Recover to New Highs?

The big question is whether the cryptocurrency can recover to its previous highs. At the peak of the last market cycle, the cryptocurrency traded as high as $0.00008845 and has already managed a peak of $0.000044 this cycle.

Banking on the recent uptrend, some experts forecast that Shiba Inu will bounce back to new highs before the Bitcoin halving. Others see Shiba surpassing its previous all-time high soon, identifying the recent lows of $0.00002249 as a buying opportunity.

Since the latter prediction, Shiba Inu has recovered with a 7% gain. The cryptocurrency trades at $0.0000271 at the time of writing, with its trading volume hovering around $1.77 billion, the 12th highest in the entire crypto market.

Top Analyst Predicts Bitcoin Return To ATH Before Halving

Mark Brennan
-
0
Top Analyst Predicts Bitcoin Return To ATH Before Halving

Bitcoin (BTC) has entered a recovery mode, which Michael van de Poppe believes might serve as a major rebound toward retesting its All-Time High (ATH).

March has been a historic month for Bitcoin in relation to price. Since February, Bitcoin has traded within two major extremes, including the $50,836 low of February 24 and the ATH of $73,750.

Following this massive move, the premier digital currency has proven to be prone to sharp fluctuations even with spot Bitcoin ETF now fully live.

Attaining the ATH marked a temporary cliff and Bitcoin recorded an accompanying correction that pushed its price to $61,164, down 7.36% over the past week. However, the current outlook shows something bullish is brewing.

Is Bitcoin Returning To Bull Run?

Following the drop to the $61,164 low, Bitcoin’s price is now in recovery mode, with a 6.2% jump in 24 hours to $67,359. According to Michael van de Poppe, Bitcoin is initiating the continuation of its rally at the moment.

He noted that the coin is likely to consolidate at its current price point. Citing the accompanying chart, the analyst noted that should Bitcoin fail to break above the $70,300 resistance zone, then it might print a drop to the support range between $59,000 and $60,700, with the lower spectrum about 20% down from the ATH.

However, if the bullish conditions play out as projected, van de Poppe sees the price of Bitcoin retesting the ATH before the next BTC halving event in 30 days.

Spot Bitcoin ETF Influence

It is worth noting that the major fundamental catalyst behind BTC’s rally, the spot ETF embrace, is still a key factor to watch out for. With BlackRock, Fidelity Investments, and Bitwise still recording steady inflows, experts project that Bitcoin’s growth might be relatively stable in the mid to long-term.

Historically, the Bitcoin halving event typically has a good impact on price, and the sentiment, complimented by institutional acquisition, might help validate Michael van de Poppe’s projections.

Cardano User Moves 1,300,000,000 ADA with Just $0.5 Fee

Mark Brennan
-
0
Cardano User Moves 1,300,000,000 ADA with Just $0.5 Fee

The Cardano blockchain settled a transfer of over $840 million worth of assets with a mere $0.5 fee, a lower figure than most blockchains and traditional systems.

The Cardano network recently showcased its ability to settle transactions with low fees by facilitating the transfer of over $840 million in ADA for just five cents, a feat that would have been unimaginable with traditional financial systems.

The transaction occurred on March 20, with the user transferring 1.32 billion ADA. The value brought the balance on the receiving address to 1.73 billion ADA ($1.07 billion), which it still holds at the time of writing.

While on-chain data does not reveal the identity of the entity behind the transaction, the Cardano community speculates that the move likely involved a centralized exchange. This thesis harmonizes with such large transactions involving exchanges with other coins like Shiba Inu. 

For context, the transferred 1.32 billion ADA represents almost 0.36% of Cardano’s total circulating supply of 35.56 billion coins. As a result, any single entity controlling such an asset could potentially move prices.

How Does This Compare Against Other Blockchains and TradFi Solutions?

While Cardano often comes under criticism, the latest whale transaction demonstrates the blockchain’s efficiency, especially in terms of network fees.

The average Bitcoin transaction fee stands at 0.000087 BTC ($5.88) at the time of writing, while the average fee for moving tokens on Ethereum is around 34 gwei (the equivalent of $2.45).

This shows Cardano offers a much cheaper alternative for users in the crypto space. Additionally, the fee is relatively cheaper than traditional solutions like PayPal or Western Union, which charges around 3% as the standard fee for large transfers.

At the same time, the Cardano ecosystem has been building out its DeFi ecosystem as another avenue to attract capital and user interest.

Coinbase Skips XRP in New US-Regulated Futures Products

Sam Wisdom Raphael
-
0
Coinbase Skips XRP in New US-Regulated Futures Products

Coinbase recently launched some U.S.-regulated futures products, but bypassed XRP despite its legal clarity, prompting a reaction from Fox Business journalist Eleanor Terrett.

The company filed to launch the products on March 7 through its Coinbase Derivatives division. Despite introducing these offerings earlier in the month, the cryptocurrency platform neglected to effectively publicize the development, resulting in limited visibility.

Notably, Coinbase filed with the U.S. Commodity Futures Trading Commission (CFTC) to list futures contracts based on three crypto assets, including Dogecoin (DOGE), Litecoin (LTC) and Bitcoin Cash (BCH). 

Subsequently, the agency has now listed contracts for the three assets on its official platform. Following the move, the contracts for Coinbase’s crypto products listed on the CFTC website have increased to seven, including contracts based on Bitcoin (BTC) and Ethereum (ETH).

Coinbase revealed in the filing that it plans to begin trading the products on its exchange platform from April 1. Should the futures trading agency give the green light, the platform would proceed with these plans in the next eleven days.

Absence of XRP Sparks Questions

However, the absence of XRP futures contracts has attracted attention from industry commentators, given XRP’s unique position as the only cryptocurrency to have undergone a legal trial and emerge as a non-security. 

XRP’s position had prompted the belief that platforms such as Coinbase would now confidently list the asset when filing for these futures offerings. Recall that Coinbase immediately relisted XRP after the pivotal ruling last July. The firm also launched XRP perpetual futures trading for its clients outside the U.S.

As a result, the decision to not include XRP futures contracts in its recent filings with the U.S. CFTC has sparked questions. In a post on X, Fox Business journalist Eleanor Terrett noted the absence of the asset. “But no XRP futures,” she remarked. 

Besides Coinbase, other leading American firms have not received the July 13 verdict as favorably as the XRP community expects. For instance, no U.S. asset management giant has filed to launch a spot XRP ETF despite calls from investors in the community.

However, filings for spot Ethereum ETFs have emerged from asset managers like BlackRock and Fidelity. Interestingly, the U.S. SEC is now looking to identify Ethereum as a security, reducing the chances of an approval of a spot Ethereum ETF.

Analyst Issues Timeline for XRP to Hit $0.97, $1.5, and $2.3

Abdulkarim Abdulwahab
-
0
Analyst Issues Timeline for XRP to Hit $0.97, $1.5, and $2.3

Dark Defender, a prominent market watcher in the XRP community, has updated his timeline for when he expects XRP to surpass the $1 mark and potentially exceed it to $2.3.

The analyst shared the update via X, spotlighting the accuracy of his recent price projection for XRP. 

Past Forecasts Hitting The Mark

In particular, Dark Defender highlighted that when XRP was around $0.58 on February 28, he had set a target of $0.6462 by March 1. Interestingly, this prediction materialized as XRP surged to a high of $0.6495 on March 2.

Furthermore, in the forecast, the analyst had suggested that XRP would reach between $0.7707 and $0.9191 by March 10 to 13. Remarkably, this prediction also largely came true as XRP unexpectedly surged by over 20% on March 11, reaching a daily peak of $0.7421.

With the remarkable accuracy of his previous price forecasts, Dark Defender’s confidence in his outlooks for XRP has strengthened. Accordingly, he reiterated his $1 target for XRP in April. 

Timeline for $0.97, $1.5 and $2.3

Moreover, considering the rapid uptick XRP experienced on March 11, the analyst has adjusted his other short-term targets. Specifically, he suggests the possibility of XRP trading between $0.9771 and $1.5 soon. Additionally, the analyst anticipates XRP even reaching $2.3172, a price point not seen in six years, in the short term.

Notably, his forecast is based on the premise that XRP revisited a pivotal support zone and initiated a bullish wave foundation from that point onward.

Dark Defender contends that XRP will sustain this level and advance towards the projected targets, which he anticipates will materialize in April.

Essentially, with XRP hovering around $0.62 at press time, Dark Defender believes a potential 250% surge for XRP to the $2 range is within reach, specifically next month. In his view, XRP is now “standing on the springboard.”

$17 This Month

Meanwhile, Dark Defender is not alone in seeing XRP explode in the coming weeks. Other analysts, like EGRAG, are even more bullish, projecting an aggressive pump to $17 this month.

Significantly, XPR has recovered from the Bitcoin-included dip that sunk its price to $0.5717 in the last few days. The asset has registered a 4% gain in the last 24 hours to trade at $0.62.

1...1,5231,5241,525...2,670Page 1,524 of 2,670