Crypto Bubble

📜 ECB Working Paper: Stablecoins' Safe-Haven Status Under Scrutiny 🔍 The European Central Bank (ECB) has cast doubt on the safe-haven status of stablecoins in a newly published working paper. Titled "Stablecoins, Money Market Funds, and Monetary Policy," the study delves into how these digital assets and funds react to various market shocks. 💥 When it comes to crypto market shocks, stablecoins barely flinch, while money market funds see a modest dip of up to 4% in their market cap, according to the paper's findings. 🏦 However, the impact of monetary policy changes, particularly in the US, is far more pronounced. Money market funds benefit from these shifts, attracting substantial inflows as traditional bank deposits dwindle. In contrast, stablecoins suffer a more severe blow from such policy shocks than from crypto-specific events. 💸 The paper highlights that these policy-driven events can cause a decline of up to 10% in stablecoin market capitalization. Notably, popular stablecoins like Tether's USDT and Circle's USDC have seen outflows during these episodes. 📉 Consequently, the authors question the notion of stablecoins as a reliable haven during times of turmoil, suggesting that investors tend to gravitate towards more conventional assets when monetary policies tighten. 🔗 Moreover, the report challenges claims of uncorrelation between stablecoins and traditional markets, emphasizing that dollar-based monetary policies serve as a crucial link between these realms.

Giko Cat, inSure DeFi and Sudeng coins exhibit double-digit gains as Solana struggles Giko Cat, Sudeng and inSure DeFi emerged as the top gainers in the last 24 hours with a double-digit surge. CoinGecko data shows that while top coins like Ethereum (ETH) and Solana (SOL) are recovering with a 1-3% surge after the recent dump, some meme coins pulled off double-digit gains. Cat-themed meme coin Giko Cat Giko Cat is up by 52% in the last 24 hours. It is the largest gainer as per CoinGecko’s top gainers list during this period. The coin has a market cap of $63 million. GIKO’s surge can be attributed to the popularity of cat-inspired meme coins, which is led by Popcat (POPCAT). GIKO is up by over 280% in the last seven days and up 2,100% in the last 30 days. This notable surge happened amidst the highly volatile market conditions.

Crypto VC funding: Ithaca leads week with $20m, Delta bags $11m Ithaca and Delta are the top two firms with the highest fundraising for the week, data shows. Held against last week’s modest fundraising, crypto VC funding has seen an uptick in the number and volume of funds raised this week. This resembles the overall trend in early 2024, where VC crypto funding has been surging and sustained throughout the year. Data from Crypto Koryo shows that the total investment and the number of investments have surged in comparison to the last quarter of 2023. Crypto.news compiled the data from Oct. 6 to Oct. 12 from Crypto Fundraising. Here’s this week’s top crypto VC funding data.

OSCE hosts workshop aimed at crypto regulation in Eastern Europe 👀 The OSCE’s recent workshop brought together regulators from Ukraine, Moldova, and Armenia to address the urgent need for crypto regulations in the face of rising financial risks. Eastern Europe is doubling down on regulatory measures for crypto exchanges as the Organization for Security and Co-operation in Europe hosts a workshop aimed at enhancing compliance and mitigating financial risks in the digital asset space. In an Oct. 11 press release, the OSCE revealed that from Oct. 9 to Oct. 11, it convened a workshop in Vienna aimed at bolstering the regulatory framework for Virtual Asset Service Providers across Ukraine, Moldova, and Armenia. The event, organized by the Office of the Co-ordinator of OSCE Economic and Environmental Activities, focused on enhancing participants’ ability to “mitigate money laundering and terrorism financing risks within the evolving digital asset ecosystem,” according to the press release. Led by OSCE financial regulation experts, the workshop featured a mix of discussions and interactive sessions designed to engage participants in practical compliance challenges.

Neiro bucks bearish market trend, surges 100% in five-day rally Neiro, a rising memecoin, has defied the broader bearish crypto market trends, climbing over 100% in five days and marking a 5000% surge from its September low. Despite the ongoing market downturn, which has left major cryptocurrencies like Bitcoin and Ethereum in the red, Neiro has emerged as a standout performer. The meme coin rallied another 10% in the last 24 hours, trading at $0.001834 at the time of writing, far exceeding its lowest price level of September. This price action has drawn significant attention, particularly given the current market conditions where bearish sentiment is dominating. Further, the meme coin’s open interest has also hit record highs. Data from CoinGlass indicates it has surged to $196 million, a significant jump from its monthly low of $45 million. An uptick in futures market activity typically means traders are ramping up leveraged positions on the token, likely betting on more gains or gearing up for some serious volatility ahead.

PROS token spikes 145% after Animoca Brands announcement The price of Prosper token has skyrocketed more than 145% in the past 24 hours after blockchain and game software company Animoca Brands announced it will purchase more of the platform’s native token. On Oct. 9, Animoca Brands revealed its plan to acquire more PROS tokens, with these purchased on the open market. Animoca Brands is a top investor in the web3 market, with its portfolio including crypto and blockchain projects such as Yuga Labs, Axie Infinity, Magic Eden, Polygon, OpenSea, and Dapper Labs, among others. The market reaction saw PROS prices soar more than 145%, reaching highs of $0.69, with daily volume increasing over 1,090% to more than $26.3 million. While PROS has surged significantly in the past 24 hours, its gains over the past week are around 70%. Notably, the token is still trading well below its all-time high of $9.61, reached in February 2021.

Alchemy Pay adds Samsung Pay to its crypto card services Alchemy Pay has introduced Samsung Pay integration for its Virtual Card service, allowing users to make fast and secure payments using cryptocurrency. Users of Alchemy Pay can now connect their virtual crypto cards to Samsung Pay for seamless transactions online and in-store, according to an Alchemy Pay press release. This update adds to the existing Google Pay option, giving Alchemy Pay cardholders more flexibility in crypto spending. Samsung Pay is widely used globally, making it easier for users to complete transactions at millions of locations. For those unfamiliar with crypto payments, services like Alchemy Pay’s Virtual Card allow users to spend their digital assets in the same way they would with traditional money. By linking their card to Samsung Pay, users can use cryptocurrency to shop online, in-store, and even in apps.

Infinex selects Wormhole as primary interoperability solution ⚡️ Decentralized finance platform Infinex will leverage Wormhole’s interoperability solution to bolster its multichain app. According to the latest announcement from Infinex, the integration of Wormhole brings in-app token transfers to Infinex users. With Wormhole Connect, the DeFi platform will be able to remove the barriers and challenges that come with multiple chains and tokens. Wormhole Queries, on the other hand, allows developers to benefit from on-demand retrieval of on-chain data across chains.

Trump extends lead on Polymarket after pivotal speech with Elon Musk 😎 Republican presidential candidate Donald Trump extended his lead on Polymarket over Democrat presidential runner Kamala Harris after a strong speech with Elon Musk, the billionaire Tesla CEO. According to data provided by Polymarket, Trump is leading with a 50.8% chance of winning the forthcoming U.S. elections. Harris currently stands at 48.4% odds of becoming the next U.S. president. The total amount of bets on the November presidential election winner on the market prediction platform has reached $1.35 billion. Trump leads the chart with a $318 million volume, followed by Harris’ $258 million. Trump, once again, hinted at releasing Ross Ulbricht, Silk Road founder, from prison in his speech on Oct. 5 in Butler, Pennsylvania. However, neither Trump nor Musk made any direct claims about the crypto industry.

🚀 Waterfall Network’s Explosive Growth! @waterfall_network launched with 2048 validators, and within the first month, we’ve seen a 338% surge in deployed validators–– thanks to the dedication of our developers, founding team, community, and ecosystem builders. As of September 17th, we have 7603 validators. Check the statistics here: https://waterfall.network/individuals#statistics_block 🌱 To make node management seamless, we’ve partnered with top infrastructure providers like @Infstones, @Piconbello, and Stardust. Learn more about our partnerships here: https://waterfall.network/staking-infrastructure-providers. @waterfall_network has also successfully completed a security audit with @Hackenai – Blockchain Security Auditor! 🔐 A special thanks to the Google Cloud Web3 Startup Program for supporting our validator testing. We’re proud to be the first L1 decentralized and scalable ledger to pass testing with a record 1,573,892 validators, with servers spanning 5 continents, including islands like Japan and Taiwan. 🌍 *For context: Validators on Ethereum, Gnosis, Elrond, Cardano, and others are smaller in comparison. And this is just the beginning! Dr. Sergii Grybniak, Head of Research, has been representing Waterfall Network at key events like Coinfest Asia 2024, Korean Blockchain Week, and the Web3 Technical Application Conference in Hangzhou, showcasing our exciting vision for the future. 🌍🔥 Don’t miss out– join the Waterfall revolution today: https://www.gate.io/uk/trade/WATER_USDT 🌊✨

🚀 Dive into the future of gaming with the Vave Telegram Bot! 📢 🎯 Get Started Now: Jump into the action, complete engaging tasks, and unlock fantastic rewards. Don't miss out—join our community and start your adventure with the Vave Telegram Bot here: @Vaveofficial_bot 📲 💲 Bot Participation: Show your skills and climb the ranks! The top 1 to 5 participants will earn 50 USDT each, while those in the 6th to 10th spots will receive 25 USDT each. 🏆 Win Big: Engage in our bi-weekly contests for your chance to score incredible rewards. The top 5 referrers will each pocket 25 USDT, directly credited to their Vave account! 🔥 Stay connected and get the latest updates by following us on Telegram: @vave_official

FCA charges man for operating crypto ATMs that handled $3.4m The FCA has charged a London man for illegally operating multiple crypto ATMs without registration, processing millions in transactions. The U.K.’s Financial Conduct Authority has charged a London man, Olumide Osunkoya, with unlawfully operating crypto ATMs without the necessary registration, marking the regulator’s first criminal prosecution involving unregistered crypto activity. In a Sept. 10 press release, the financial watchdog accused Osunkoya of running multiple crypto ATMs across various locations that processed £2.6 million ($3.4 million) in transactions between December 2021 and September 2023. The FCA says the case falls under the Money Laundering, Terrorist Financing, and Transfer of Funds Regulations 2017, making Osunkoya the first person to be charged for running a network of unregistered crypto ATMs in the U.K.

North Korea ‘aggressively targeting’ crypto firms, warns FBI The FBI has issued a warning that North Korean hackers are aggressively targeting employees in the crypto and decentralized finance sectors to steal company funds. These cybercriminals use sophisticated social engineering strategies to deceive even technically proficient individuals. According to an FBI release, North Korean hackers conduct extensive research on their targets, particularly those connected to crypto exchange-traded funds and other related financial products. The cybercriminals often create fake, “complex and elaborate” scenarios tailored to a victim’s background and interests, such as fictitious job offers or investment opportunities. The FBI notes that these tactics are designed to gain trust and access to company networks. These malicious cyber actors have been researching various targets linked to crypto ETFs. Their research involved pre-operational preparations, indicating that they may be planning to carry out cyber attacks against companies associated with ETFs or other cryptocurrency-related financial products. Last week, Microsoft announced that North Korean hackers had exploited a zero-day vulnerability in Chromium’s V8 JavaScript engine to target crypto entities. These hackers siphoned off digital assets from compromised systems by creating fake trading platforms and using the AppleJeus trojan.

Pudgy Penguins floor price rises as key metrics improve Pudgy Penguins, the viral Ethereum Non-Fungible Token collection, has defied the gloom in the industry in August. Data by CryptoSlam and Dune Analytics shows that its key metrics performed well even as the sector came under intense pressure. Total sales jumped by 29% in August to over $8.6 million as the number of transactions jumped by 73% to 348. Additionally, the number of buyers and sellers rose by 73% and 39% to 176 and 205, respectively. The average number of days held also rose slightly by 5% to 85.5. While Pudgy Penguins sales rose in August, they remain sharply lower than their all-time high of $99.2 million in August 2021. They were also lower than the March high of $26.5 million

Vitalik Buterin moves $2m in ETH to multisig wallet Vitalik Buterin transferred 800 ETH (worth $2.01 million) to a multisig wallet on Aug. 30. Shortly after, the multisig wallet swapped 190 ETH for 477,000 USDC.

JUST IN: Judge Orders Ripple to Pay $125M in Penalties, Ending Four-Year Battle with SEC Judge Torres has ordered Ripple to pay $125 million in civil penalties and cease any further violations of securities laws, concluding a nearly four-year legal battle with the SEC. The SEC had originally sought a $2 billion penalty.

Bybit to Cease Operations and Withdraw Products from France ! Bybit will cease operations in France starting August 2. French users will be unable to trade or open new positions, with all existing positions set for liquidation by August 13. Post-liquidation, only withdrawals will be permitted. This move follows France's stricter licensing requirements in anticipation of the EU's Markets in Crypto-Assets (MiCA) regulation, effective December.

The Bahamas Takes a New Crypto Law Step 1.5 Years After FTX Collapse The Bahamas has passed the Digital Assets and Registered Exchanges Act, 2024 (DARE 2024), enhancing regulations for digital assets and cryptocurrency markets. This law builds on the 2020 DARE Act, introducing stricter investor protections, disclosure requirements, and a stablecoin framework while prohibiting algorithmic stablecoins. It aims to address challenges and restore confidence in the Bahamas' financial sector following the FTX collapse in 2022.

US Government Transfers $2 Billion in Silk Road Bitcoin The U.S. government moved over $2 billion worth of seized Bitcoin from the Silk Road marketplace to an unknown wallet, according to Arkham Intelligence. This comes after former President Donald Trump proposed creating a national "strategic Bitcoin stockpile" and stopping the sale of seized Bitcoin if re-elected. The government's plans for the transferred Bitcoin are still unknown.

Cantor Fitzgerald Launches $2B Bitcoin Financing Business Billionaire Howard Lutnick, CEO of Cantor Fitzgerald, announced the launch of a $2 billion Bitcoin lending program at Bitcoin 2024. Lutnick expressed strong support for the cryptocurrency community, linking his personal losses during 9/11 to his commitment to Bitcoin. The program will offer leverage to Bitcoin owners, signaling a bullish move for financial institutions and the market.