South Korea’s Financial Services Commission (FSC) is changing its stance regarding nonfungible tokens (NFTs), looking to classify some of them as Virtual assets.
NFTs are primarily unique assets that cannot be replicated, traits that differentiate them from cryptocurrencies would be treated as virtual assets, a June 10 report by South Korea’s FSC noted.
Specifically, the report that NFTs are divisible, can be produced in masses, or can be used as a means of payment, all of which are now classified under South Korea’s newest framework.
Businesses that issue NFTs classified as virtual assets are now obliged to report it to the South Korean watchdog.
According to Jeon Yo-seop, the FSC’s Financial Innovation Planning head, NFT collections minted in huge quantities are most likely to be used as payment.
As an example, the official stated that if one million NFTs were issued in a collection, they could be traded and used as payment, just like cryptocurrencies.
He suggested that there wouldn’t be one single standard to classify NFTs as virtual assets. Rather, the FSC will make the distinction via a case-by-case review approach.
Further, if an NFT possesses characteristics of financial security as detailed in the country’s Capital Markets Act, they may be classified as securities.
With the implementation of the new guidelines, some NFTs may even be eligible to receive interest when deposited in an exchange. This is per a notice from the FSC, issued late last year, that mandates virtual assets deposited on crypto exchanges to be eligible for interest generation.
However, regular NFTs and CBDCs are excluded from this benefit.
The new framework is a part of South Korea’s crypto legislation dubbed the Virtual Asset User Protection Act. Set to come into force a week later, it seeks to criminalize malpractices such as using undisclosed information for crypto investments, manipulating market prices, and engaging in fraudulent transactions.
The bill was passed in 2023 by the nation’s National Assembly. Cryptocurrency-focused entities were subsequently given a one-year grace period to comply with the regulations.
Notcoin (NOT), a TON-based clicker game on Telegram, has seen its price climb by 12% in the past 24 hours to reach .01957.
At the time of writing, NOT has a 24-hour trading volume of 3 million per data from CoinMarketCap. The crypto asset has also witnessed a 12% rise in its total market cap to push it past the billion mark.
NOT 24-hour price chart | Source: CoinMarketCap
Notcoin’s recent surge follows on the heels of an announcement from the Notcoin team, which outlined a major surge in user adoption and new incentives offered to further boost their user engagement.
In a June 9 X thread, the Notcoin team shared their feat of attaining 40 million users across the globe.
The team also noted that users referred to as “Explorers”, have earned over .5 million USD from 20 campaigns. Notcoin introduced the new mission type, “Explore,” in May, allowing players to passively earn crypto token rewards. These “earning missions” differ from previous tasks, as they enable players to earn NOT tokens passively rather than receiving a one-time reward.
While the Explore feature is still in its beta phase, the Notcoin team expects a tenfold rise in campaigns and Notcoins earned per month once automated campaigns are launched.
Further elaborating on their future plans, Notcoin announced several additional features and incentives. These include the introduction of levels for new users and a referral system where users earn a percentage of their referred friends’ earnings.
Gold and Platinum users will also gain exclusive access to top-tier token launches. The highest level, Platinum, provides the most NOT tokens as rewards.
Additionally, the automation of “Explore campaigns” will allow projects to launch their own campaigns. This, in turn, would lead to an overall surge in user engagement and rewards.
Названия игровых заведений обычно запускаются участниками в течение всего бизнеса. Они увидят это со своих компьютеров, капсул и стартовых телефонов. Они также могут принять их во внимание на реальные деньги. Однако им необходимо убедиться, что веб-сайт безопасен и работает безопасно.
Tornado Cash (TORN) price and defi total value locked (TVL) surged while the broader crypto market has been consolidating in bearish condition.
TORN is up by 11.8% in the past 24 hours and is trading at .36 at the time of writing.
The asset’s market cap surpassed the million mark with a daily trading volume of ,000. TORN is currently the 957th-largest cryptocurrency.
TORN price – June 9 | Source: Santiment
Moreover, the asset briefly touched an intraday high of .39 earlier today, at around 08:40 UTC.
Despite the current price rally, TORN is still down by 99.23% from its all-time high of 7.41 on Feb. 13, 2021. Notably, the Tornado Cash token touched an all-time low of .31 on Jan. 10 — five months ago.
The TORN price rally comes while the global crypto market capitalization recorded a 0.5% decline in the past 24 hours and is currently hovering at .67 trillion.
According to data provided by Defi Llama, the TVL in the Tornado Cash defi protocol increased by 7% over the past day, reaching 4.18 million — a level last seen on May 5, 2022. Wrapped Ethereum (WETH) has the largest token allocation in the protocol.
Data shows that the Tornado Cash defi protocol, an Ethereum-based privacy tool, witnessed .63 million in USD inflows today.
Tornado Cash’s downfall started in August 2022, when the U.S. Treasury’s Office of Foreign Assets Control (OFAC) sanctioned the platform over money laundering. Notably, authorities arrested its founder, Alexey Pertsev, in the Netherlands a few days after the announcement of the sanctions.
On May 30, Ethereum co-founder Vitalik Buterin donated 30 ETH to the Juicebox campaign “Free Alexey & Roman,” showing support to the Tornado Cash developers.
Brett (BRETT), a meme coin inspired by a character from the “Boy’s Club” comic, has experienced a notable price surge of 449% within the past 30 days.
Pepe and MAGA are also up over the past 30 days: 52% and 12%, respectively.
Brett meme coin skyrockets
Brett (BRETT) launched in February on the Base network.
The coin has rapidly garnered attention and currently holds a market capitalization of ,877,886,551.
This rapid rise highlights the speculative nature of meme coins and the potential for substantial gains while also emphasizing the inherent risks.
Technical indicators present a mixed outlook for BRETT’s future price movement. While moving averages across all levels indicate potential gains ahead by being in the buying zone, the Moving Average Convergence Divergence (MACD) also aligns with this, projecting a price recovery.
However, the Relative Strength Index (RSI) sits at 75.4, suggesting that BRETT might be overbought and overvalued, possibly triggering a reversal in trend.
Other indicators such as Momentum, Stochastic, and Commodity Channel Index point to a selling zone, indicating the potential for further price declines in the short term.
Despite these conflicting signals, technical analysis anticipates BRETT could surge to as high as .2427 if it manages to rebound from its current correction. The coin’s ability to sustain its bullish momentum and withstand selling pressure will be pivotal in determining its future price trajectory.
Despite a minor price dip, BRETT continues to exhibit a bullish trajectory. On April 17, it reached an all-time peak of .1878, propelled by heightened investor demand, hype and social media influence.
As of the present, BRETT is priced at .1893 following a slight correction and a price incline of over 50% in the last 7 days.
Moreover, its 24-hour trading volume has also surged by to 1,450,023, signaling heightened network activity that may bolster price rebound and pave the way for potential future gains.
MAGA, others, blazing the meme coin trail
In recent months, the meme coin market has been witnessing a surge, with numerous coins attracting considerable traction and garnering investor attention.
The MAGA meme coin, linked to former U.S. President Donald Trump, has experienced a substantial price surge. This surge is attributed to reports revealing that Trump directly holds millions of dollars worth of the token in his wallet.
Based on CoinGecko’s data, the token has achieved a market capitalization of over 3 million. This remarkable increase is linked to the meme coin’s association with Trump, who has voiced support for cryptocurrency and blockchain technology.
At the time of writing, MAGA is exchanging hands for .39.
Pepe sees 52% price increase in 30 days
Pepe (PEPE) — emblematic of the meme coin phenomenon — boasts a market capitalization reaching over .5 billion at its peak.
Last August, concerns surfaced within the Pepe community when a substantial number of the frog-themed tokens were unexpectedly moved from the project’s wallet to exchanges, sparking doubts about its future.
However, the project has continued to hold strong.
At the time of writing, Pepe is exchanging hands for .00001266, representing a 52% price increase in the past 30 days, with a market cap of ,329,611,477. This positions it as the 25th- largest crypto in the world, according to CoinGecko.
Dogwifhat (WIF), a meme token built on the Solana blockchain, is another token that is gaining traction. Since its inception, the token has seen substantial fluctuations, including surges to new all-time highs followed by subsequent declines.
For traders and investors aiming to leverage Dogwifhat’s price movements, several strategic suggestions are worth considering.
Firstly, it’s vital to monitor the resistance levels at .44 and .68 closely, as surpassing these levels might trigger additional gains.
Presently, Dogwifhat (WIF) is trading at .77, with its market capitalization sitting at ,766,102,445.A decline below the .77 threshold could signal a possible shift toward bearish sentiment.
Bitcoin (BTC) briefly retested the ,000 mark last week before retracing some of its gains. Meanwhile, some of the top cryptocurrencies achieved modest gains.
The global cryptocurrency market capitalization rose modestly by million, closing the week at .54 trillion.
Here are our top cryptocurrencies to watch this week, based on their notable performances last week:
ADA, TON and SWFTC prices – June 9 | Source: Santiment
TON hits new ATH
Toncoin (TON) exhibited noteworthy price action last week, starting the week strong after a massive 8.6% increase on June 2. This impressive surge allowed the Telegram-based asset to close above .8 for the first time in three weeks.
TON maintained the bullish trajectory until it clinched a new all-time high of .86 on June 5. This figure surpassed the previous all-time high (ATH) of .67 that was attained in April.
Despite witnessing considerable declines in the days that followed, Toncoin closed last week with an 11% increase. However, it generally recorded a drop in its on-balance volume (OBV) throughout the week.
TON’s OBV dropped from 155.3 million to 127.8 million tokens last week. This divergence suggests that it might not have enough strength to sustain the uptrend into the new week.
Should a correction occur, TON’s immediate resistance rests on the 23.6% Fibonacci retracement (.969).
ADA retests .49
Cardano (ADA) has underperformed over the past few weeks, and last week was no different.
The altcoin’s battles around the .40 territory lingered despite two consecutive intraday gains on June 3 and 4, which culminated in a 3.3% increase.
Riding on BTC’s spike on June 7, ADA recorded a sharp rise to retest the .49 level for the first time in over two weeks. This led to a correction, with Cardano eventually closing the week on a 3% loss.
Notably, ADA has slipped further below the Ichimoku Cloud, confirming its downtrend. Cardano must breach .46 to flip this momentum to bullish.
Moreover, a break above the resistance between Senkou Span A (.4588) and Senkou Span B (.5416) would grant enough strength to the bulls.
SWFTC uncertainty
SwftCoin (SWFTC) was one of the top performers last week despite a turbulent start. SWFTC saw two intraday losses at the beginning of last week, leading to a drop below the .005 psychological support.
However, a recovery push saw the token spike by remarkable margins in the days that followed. Eventually, SWFTC retested the .0079 high on June 8 for the first time in three months. SWFTC closed last week with a 36% spike.
Amid the sustained uptrend, the asset slipped into overbought regions, as its relative strength index (RSI) surged to 79.71 on June 8. Nonetheless, following a sharp 10% correction to .006, SWFTC’s RSI has cooled below 70, leaving more room for growth.
Today’s edition of the weekly recap covers a range of significant events: the crypto market faces sharp declines; Bitcoin and Ethereum ETFs experience notable activity; regulatory actions intensify globally; major expansion efforts highlight the sector’s growth ambitions; and key insights from the Money 20/20 conference.
Market uncertainties
Last week, the markets faced volatility. Binance Coin (BNB) hit a new all-time high above 1 following sustained upswings. The significant price movement was driven by increased trading volume and interest.
Bitcoin reached the ,000 mark following a series of large investments. The continued interest and significant capital inflows from institutional investors partly triggered this milestone.
VanEck set a price target of ,000 for Ethereum by 2030, anticipating the approval of Ethereum ETFs.
The market capitalization of gaming tokens surged past billion, driven by increased mainstream adoption, innovative developments, and strategic partnerships within the gaming industry.
A GameStop-inspired meme coin surged by 300% after the influential trader Roaring Kitty resurfaced on social media platform X.
However, meme coins later saw significant losses, with many dropping over 10% following the crash of GameStop’s stock.
At the same time, the overall crypto market experienced a sharp decline, losing billion in market capitalization after the release of a strong U.S. jobs report. The report indicated robust employment numbers, leading to concerns about potential interest rate hikes.
Strategic ETF moves
Last week, Ark Invest exited the Ether ETF race while 21Shares rebranded its fund to focus on other strategic investment opportunities.
Also, ProShares is seeking approval from the SEC for the listing of a spot Ethereum ETF on the New York Stock Exchange, aiming to provide investors with direct exposure to Ethereum.
Despite recent market fluctuations, Bitcoin ETFs continued to attract inflows, totaling 1 million on June 7. These products saw consecutive days of capital inflows throughout last week, marking 19 straight days of positive net flows.
Trump sustains support
Following his conviction, former President Donald Trump continues to declare support for the crypto industry. Last week, he portrayed himself as a crypto president, looking to garner votes from the crypto industry.
Legal actions, disputes and regulatory concerns
The New York Attorney General filed a lawsuit against crypto firms NovaTechFX and AWS Mining for allegedly perpetrating a billion fraud.
Amid U.S. lawmakers’ outcry, Mohammed Idris, the Nigerian Minister of Information, defended the trial of the detained Binance executive Tigran Gambaryan, asserting that the legal proceedings are justified and necessary.
However, former U.S. federal agents rallied to petition for Gambaryan’s release, emphasizing the need for due process and fair treatment.
Meanwhile, in Asia, Hong Kong’s HKMA issued a warning to the public regarding the unregulated status of KuCoin, advising caution when dealing with the crypto exchange.
Industry collaborations, acquisitions and expansion
The industry also witnessed growth prospects last week. Friend.tech collaborated with Conduit to launch Friendchain, a new blockchain aimed at enhancing social media interactions and transactions.
Bitcoin miner Riot Platforms acquired a 12% stake in Bitfarms, strengthening its position in the cryptocurrency mining sector.
Robinhood also announced its intention to acquire Bitstamp for 0 million, marking a significant step in expanding its crypto business.
Crypto exchange Kraken revealed plans for a pre-IPO raise of 0 million to bolster its financial position ahead of a potential initial public offering.
Ripple’s stablecoin will likely launch this year, according to Ripple President Monica Long
Long said at Money 20/20 that the SEC is not a friendly entryway for companies trying to establish themselves in the U.S., highlighting regulatory challenges.
Further, discussions at Money 20/20 suggested that the tokenization industry needs to address interoperability issues to ensure seamless integration and operation across different blockchain platforms.
Industry leaders argued that traditional financial institutions must merge with blockchain technology to stay relevant and competitive in finance.
Blockchain is a cutting-edge technology in today’s digital world. It secures online ledgers for cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) across industries. Its global market is projected to soar from .88 billion in 2021 to ,314.03 billion by 2030 at an 82.4% compound annual growth rate (CAGR).
Enter application-specific blockchains. These platforms excel in performance, scalability, security, cost-efficiency, and governance compared to general-purpose applications, shaping the future of decentralization. As this industry segment expands, these specialized blockchains hold immense promise.
This page explores the impact of application-specific blockchains. Read on to find out why they are the future of decentralization.
Top reasons why it is the application-specific blockchains
Application-specific blockchains are the type of blockchains designed to operate a single application instead of building an app from an existing blockchain. They are new platforms created from the ground up with distinctive attributes, such as custom virtual machines and consensus processes. In short, they aren’t codes written on a general-purpose blockchain platform.
Evidently, application-specific blockchains are designed for individual decentralized applications (dApps). DApps are software programs running on a blockchain or peer-to-peer network of computers instead of on a single computer.
There are two types of blockchains you can distinguish: layer-1 (L1 coordinating consensus and execution on the same layer) and layer-2 (L2 separating execution from consensus). Avalanche Subnets, Polygon Supernets, and Cosmos Zones are a few examples of how you can utilize these customized blockchains to advance decentralization.
What’s great is that the blockchain industry has a long history of internal support among industry players and key developers. These internal blockchain investments provide talented developers with key opportunities to create application-specific platforms. They can seek blockchain funding in various practical ways, whether through bootstrapping, venture capital, or crowdfunding.
Application-specific blockchains can be instrumental to more decentralized networks. Here’s why they are the future of decentralization:
1. They allow for platform customization and optimization
As web3 technologies become more widespread, application-specific blockchains enable developers to customize blockchain characteristics for specific use cases. This customization is particularly beneficial for business applications. Companies might have specialized chain needs with particular attributes that these platforms can help optimize.
For example, Re.al has launched blockchain platforms for real-world assets (RWAs). They address long-term challenges in decentralized finance by providing a tailored solution for managing assets like properties and commodities. By developing its own blockchain platform, Re.al improves infrastructure, making assets more accessible for trading while maintaining fluidity and compatibility.
2. They enable you to scale applications up and down
Application-specific blockchains allow flexible scalability for platforms, allowing them to adjust capacity in response to demand. For example, EY’s Ethereum-based blockchain solution, the EY OpsChain Contract Manager (OCM), simplifies complex agreements, reduces costs, and improves security.
Application-specific blockchains differ from smart contracts, self-executing codes written on general-purpose blockchains. Smart contracts automate and enforce agreements between parties without changing the blockchains’ attributes. However, a smart contract audit process is critical for reviewing codes to detect and correct security flaws or problems.
According to Grand View Research, the global smart contracts market will grow from 4.3 million in 2022 to ,773.0 million at an 82.2% CAGR. While this market growth could pave the way for future scalability in blockchain technology, the application-specific blockchain can offer more.
3. They guarantee network security and data privacy on the platform
Application-specific blockchains promote network security and data privacy. Thanks to artificial intelligence (AI) and blockchain integration, they are capable of securing networks and safeguarding information. While AI provides sophisticated data processing capabilities, blockchain maintains data integrity and transparency via a secure, decentralized ledger.
In logistics and supply chain management, protecting AI information on a blockchain provides data validity and accuracy across the supply chain. This eliminates tampering while also ensuring compliance and traceability.
The same technology applies to the media and entertainment industries. Decentralized AI networks on blockchain allow producers and consumers to communicate directly for guaranteed privacy and security.
4. They offer low transactional fees without compromising efficiency
Application-specific blockchains provide economic benefits by lowering transaction fees while maintaining efficiency. They also reduce costs by eliminating extraneous features and focusing resources on critical functions.
In web3, validators on platforms like ETC receive a significant percentage of the transaction fees and revenue generated by interactions with defi apps. However, defi apps on native chains can keep 100% of protocol costs, allowing them to extract greater value from their activities.
Further, application-specific blockchains allow applications to match token pricing to the underlying blockchain’s token value. For example, if an app chain asks users to pay transaction fees in the application’s token, its market value will increase. This business model benefits the application and its user base, establishing a symbiotic relationship.
5. They let you gain full governance and control of the application
In contrast to decentralized apps on general-purpose blockchains, application-specific blockchains provide full governance and control over infrastructure. They enable stakeholders to manage their own chain compared to shared blockchains from a broader, separate community.
Single-application blockchains align the interests of both the protocol and the application. They make it easier to adopt beneficial improvements tailored to specific needs, such as solving common problems with Apple screen time.
In industries such as automotive, blockchain securely logs sensor and operational data for AI-driven performance improvements. Blockchain’s openness assures audit records and adherence to safety rules, increasing accountability for AI decisions.
To the bright, decentralized future
Blockchain technology undeniably shapes the future of decentralization, especially through application-specific blockchain platforms that promote decentralized networks. These platforms offer potential benefits, such as:
Customization and optimization
Flexibility and scalability
Privacy and security
Cost-efficiency
Governance and control
Whether you’re a developer, entrepreneur, or consumer, capitalizing on blockchain technology is essential. Utilizing application-specific applications can significantly impact your transactions. The ongoing technological progress and development in this field will further drive innovation, leading to more decentralized networks.
Application-specific blockchains are the future of decentralization—and we’ve only just begun!
Meme coins have experienced a notable decline alongside GameStop’s stock crash on June 7.
Although the drop was smaller than GameStop’s, major meme coins like Pepe, Dogewheat, Floki, and Bonk fell by over 10%.
The unpredictability of the market was evident as GameStop’s stock surged 47% the previous day in anticipation of a live broadcast by Keith Gill, known as ‘Roaring Kitty,’ who had led the GameStop rally.
However, the stock price plummeted by as much as 40% after the 50-minute broadcast, which offered no new information. The unpredictability also impacted meme coins, which had piggybacked on the meme stock rally, leading to their drop.
According to data from CoinMarketCap on June 8, Dogecoin and Shiba Inu had fallen by 7.56% and 6.23%, respectively. Pepe dropped 10.82%, Dogewheat 12.47%, Floki 12.93%, and Bonk 11.35%, all recording declines in the early 10% range.
Prominent analyst Il Capo analyzed the situation as a “shakeout” amid an uptrend, noting a clear support test for Solana, the underlying platform of major meme coins.
Not just meme coins; entire crypto market feels the impact
The crypto market is down by billion in less than a week. This market downturn led to a rotation of capital into stablecoins or less risky bets, further contributing to the decline of meme coins.
The social volume of these altcoins also plummeted by more than 20% in the last 24 hours, reflecting the negative sentiment alongside the price decline.
Gill’s resurgence (he returned to social media after more than three years) reignited excitement and frequent trading halts in GME trading on traditional exchanges.
This subsequently fueled a surge in meme coin activity amid a bullish crypto market.
Gill’s GME portfolio is nearing the billion mark, sparking significant gains in GameStop-themed meme coins over the past 24 hours.
Here are the standouts:
The Solana-based Roaring Kitty (KITTY) coin, which soared nearly 300% to approximately .0344 by Friday.
The Ethereum-based Roaring Kitty (ROAR) coin jumped over 126% in the same period, reaching around .00154.
The Solana-based GME (GME) coin also experienced a significant rally, increasing more than 115% to about .025.
GME’s rally was accompanied by a daily trading volume exceeding 7 million and a market cap of around 2 million.
The Ethereum-based GME coin rose over 83% to trade at approximately .00006286.
The rapid rise of these parody meme coins highlights the intense crypto FOMO (Fear Of Missing Out) sweeping the market. The meme coin industry has already achieved a market cap of nearly .6 billion, with a daily trading volume surpassing billion.
Meanwhile, the lack of action from the US SEC against Gill suggests that the meme coin frenzy could spark a new altseason. Also, Bitcoin’s dominance appears to be reversing, highlighted by significant gains in Ethereum (ETH) and BNB, indicating a potential shift in the market.
In the midst of these developments, renowned digital artist Beeple, known for his record-breaking .3 million NFT sale, has stirred controversy with his latest artwork, “CURIOSITY KILLED THE CAT.”
Some view it as a commentary on the risks associated with the hype and speculation surrounding meme stocks and cryptocurrencies. The timing and intent behind Beeple’s artwork have been questioned, given Roaring Kitty’s influential role in mobilizing retail investors and shaping market dynamics.
There’s heightened concern about the potential impact of the provocative imagery on GameStop’s already volatile stock price. On the other hand, some experts suggest that Roaring Kitty’s recent return could signal an oncoming meme coin supercycle.
