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- Bitcoin, Ethereum, Cosmos and more Week 13 2024
Bitcoin, Ethereum, Cosmos and more Week 13 2024
All things crypto, web3 and blockchain across all the Coin Clubs
TLDR: BTC-pegged Token eBTC Launches, Bitwise and Fidelity Joins the Ether ETF Bandwagon, BlackRock Enters Ethereum DeFi, Optimism Allocates Grants within the Optimism Collective, Elys Network and Stride Protocol Team Up, Lorenzo Protocol Goes Live on Cosmos, SBF 25-year Prison Sentence & Binance Executives Sues Nigerian Government After Detainment.
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Market & Airdrop Update
Before we dive in, make sure to check out our recent Market and Airdrop update:
Bitcoin Highlights of the Week
"Hybrid" Layer-2 blockchain ‘Built on Bitcoin’, secured $10 million in a seed funding round led by Castle Island Ventures. The project aims to introduce the first Bitcoin layer-2 network compatible with the Ethereum Virtual Machine (EVM).
BadgerDAO has introduced its own BTC-pegged token called eBTC, backed by stETH. Developed in collaboration with Ether staking protocol Lido, this initiative allows users to access fee-free, reward-bearing Bitcoin loans.
VSFG, in collaboration with its partner Value Partners, has submitted an application for a spot Bitcoin exchange-traded fund (ETF) to Hong Kong’s Securities and Futures Commission (SFC). A recent report from Bloomberg Intelligence indicated that the SFC may permit in-kind creations and redemptions for spot Bitcoin ETFs in the second quarter of this year.
Stacks, a Bitcoin Layer 2 solution facilitating smart contracts and decentralized applications (dApps), is set to introduce its long-awaited Nakamoto Upgrade on the mainnet next month. This upgrade is anticipated to potentially initiate a new phase of development for Bitcoin Layer 2 solutions.
The Near Foundation has introduced a new tool allowing users to sign transactions on various supported blockchains. With this feature enabled, DeFi protocols can access assets from different chains without the need for a cross-chain bridge. Currently, the supported chains include Bitcoin and Ethereum, with plans to incorporate others such as Solana in the future.
Ethereum Highlights of the Week
This week saw further developments in ETH ETFs, including new filings by Bitwise and Fidelity, the latter being a $4.5 trillion asset manager. Notably, both ETF filings incorporated staking, aligning with the trend of ETFs integrating this feature.
Ethena, the platform responsible for the synthetic dollar stablecoin USDe, has announced its intention to introduce its governance token, ENA. ENA will be introduced through an airdrop, with 750 million tokens, representing 5% of the total supply, set to be distributed to users on April 2nd.
BlackRock, the global asset management titan, has plunged into the cryptocurrency space with its latest fund, BUIDL, deployed on the Ethereum blockchain. However, this venture primarily caters to accredited investors, requiring a minimum investment of $100,000. While it's noteworthy to witness major financial institutions integrating into the crypto realm, BUIDL's focus is rather conservative. It centers on U.S. Treasury bills and repo agreements, offering investors an opportunity to earn yields in a technologically advanced manner.
Munchables incurred a loss of $63 million in ETH when it was discovered that one of its developers had connections to alleged hackers from North Korea. Blast's team managed to prevent a chain rollback after the hackers returned the funds.
Optimism, the Ethereum layer-2 scaling solution, has allocated $3.3 billion worth of its Optimism (OP) tokens to be distributed to individuals or projects considered significant contributors to the blockchain ecosystem. Announced by Optimism Collective, the blockchain's governance and community arm, this initiative involves the distribution of some of the 850 million OP tokens across four distinct rounds scheduled to commence in May and extend throughout 2024.
Cosmos Highlights of the Week
For the first time, dYdX holders now have the ability to liquid stake (qdYdX) and claim $USDC rewards independently from the LST.
Elys Network and Stride Protocol team up, bringing stATOM pools and stELYS to the Cosmos community.
The Lorenzo Protocol, offering liquid staking for Bitcoin as a Layer 2 service, is the latest addition to the AEZ. Lorenzo BTC liquid staking bolsters synergies with the Cosmos Hub through Babylon Chain.
Saga enables developers to effortlessly deploy dedicated chains that are parallelized and interoperable, dynamically scaling to meet the requirements of their Web3 applications.
With launch of the Ionic upgrade, Injective take advantage of a one click bridging experience across chains like Solana, Cosmos and Ethereum. The aim is to create a hub for all of finance to thrice with an interoperable chain in crypto, in which a crucial step is to ensure that any asset stemming from distinct chains can find a home and easily onboard onto Injective.
Other Highlights of the Week
Contrary to the crypto community's anticipation of a dismissal, Coinbase's legal dispute with the SEC will persist, with most claims allowed to proceed, although those against Coinbase Wallet have been dismissed — a notable victory for self-custodial wallets. Despite this outcome, Coinbase perceives it as an opportunity to gain insights into the SEC's regulatory position on crypto. Chief Legal Officer Paul Grewal emphasized their readiness to proceed with the case and underscored the necessity of establishing clear digital asset legislation in the US.
The narrative surrounding Sam Bankman-Fried's ascent and descent concluded this week with a definitive 25-year prison sentence. Despite Bankman-Fried's apologies and appeals, Judge Lewis Kaplan perceived a lack of remorse regarding the misappropriation of $8 billion from FTX customers, underscoring the gravity of SBF’s offenses against the industry and its investors. As the sentencing phase concludes, the lingering question pertains to the location of his incarceration.
In February, Tigran Gambaryan, Binance's head of financial crime compliance, and Binance member Nadeem Anjarwalla were detained in a government housing unit in Nigeria. Due to this event, Tigran and Nadeem have sued the Nigerian federal government for violation of basic human rights. The Nigerian federal government has since filed tax evasion charges against Binance.