Lưu trữ cho từ khóa: CryptoCurrency

DeFi

COVAL plunges 41% amid Coinbase delisting

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COVAL plunges 41% amid Coinbase delisting

Circuits of Value (COVAL) has witnessed a deep dive in its value as the Coinbase crypto exchange decided to suspend trading for the asset.

COVAL plunged by 41% in the past 24 hours and is trading at .01 at the time of writing. The asset’s market cap is sitting at .4 million, making it the 892nd-largest crypto. COVAL’s daily trading volume increased by 2,760%, reaching .75 million.

COVAL price and exchange activity – June 19 | Source: Santiment

Following the price fall, COVAL is down by 99.99% from its all-time high of 3.01 in January 2022. 

COVAL is the native token of the Circuits of Value ecosystem which offers an asset management platform and an exchange. The token was launched on the Ethereum blockchain in early 2015.

The COVAL price plunge comes as some users claim that Coinbase has decided to stop supporting the asset with a notification earlier today. This made many users complain about the exchange’s approach in delisting COVAL with a very short time window. 

Coibase did not respond to crypto.news’ immediate request for comment on the matter.

One X user, called Satoshi kakaroto, claims that the team behind COVAL has been involved in the token’s price manipulation. 

On March 3, claimed that three Circuits of Value developers drained a huge amount of the token’s supply, calling it a “Pump & Dump” project.

According to data provided by Santiment, the number of COVAL active exchange deposits surged from zero to 29 over the past 24 hours. 

Moreover, the number of COVAL active exchange withdrawals increased from seven to 59 over the past day. This shows that investors have been trying to swap or withdraw their COVAL holdings due to the Coinbase delisting.

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DeFi

DeFi protocol Morpho becomes first L2 to launch on Base

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Morpho, a decentralized finance (DeFi) lending and borrowing protocol on Ethereum, has become the first layer-2 to launch on Base, an L2 scaling network for Ethereum that Coinbase introduced in 2023.

While Morpho initially launched on the Ethereum blockchain, its going live on Base to tap into a growing DeFi ecosystem.

Morpho is a protocol that offers a peer-to-peer platform for liquidity, with users able to tap into a more robust capital utilization rate.

Morpho is first L2 on Base

Paul Frambot, the CEO of Morpho Labs, commented on the deployment on Base, noting that while he originally opposed the idea of expanding onto a second chain, “things have changed.”

In a post on X on Tuesday, Frambot said that Morpho now has the capacity to become the top lending and borrowing protocol on Base.

“Today, Morpho is launching on Base, the first L2 in its history. For the past two years, I have been opposed to deploying on any other chain because I wanted Morpho to maintain a narrow focus. At the time, we couldn’t envision a new deployment doubling Morpho’s TVL. But things have changed.”

In any case, the protocol’s Base platform could outpace the Ethereum version in the next one year, the Morpho Labs CEO added.

Earn, borrow, build

Morpho’s launch on Base brings several features that the community can look to leverage. It includes MetaMorpho Vaults, a feature that provides for optimized yields via passive lending.  Users earn when they deposit assets into a vault.

Users can also borrow from Morpho Markets, accessing this when they deposit a collateral. For instance, the cbETH/USDC market allows one to borrow the USDC stablecoin with cbETH as collateral.

With Base seeing greater adoption across the market, the potential onboarding of the next wave of users will be crucial to Morpho’s growth.  

Currently, DeFiLlama data indicates Morpho has a total value locked (TVL) of .82 billion.

At the start of the year, the TVL stood at approximately 7 million, which suggests the on-chain P2P layer has recorded a TVL increase of nearly 205% year-to-date.

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Altcoin

Crypto liquidations plunge over 80% as the market consolidates

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Cryptocurrency liquidations declined 80.26% as the broader market consolidates amid low volatility and neutral sentiment.

According to data provided by Coinglass, total crypto liquidations currently sit at .4 million — in the past 24 hours. This shows that the broader cryptocurrency market hasn’t seen big movements.

Crypto liquidations map – June 16 | Source: Coinglass

Here’s what to know:

  • Long positions are worth roughly .8 million
  • Short trading positions, .5 million in liquidations.
  • Ethereum (ETH) leads with million in liquidations — .5 million longs, .5 million shorts.
  • Notcoin’s (NOT) liquidations came in third after a group of small-cap crypto assets, reaching .9 million
  • Bitcoin (BTC), secured the fourth spot reaching .25 million — with .44 million worth of long positions liquidated in 24 hours.
  • Data shows that almost half of the liquidations, million, come from Binance, the largest crypto exchange by trading volume.
  • Seychelles-based exchange OKX has the second spot with million in liquidations
  • OKX accounts for over 30.7% of the global liquidations.
  • Total cryptocurrency open interest increased by 0.2%, reaching .3 billion.

The global crypto market capitalization currently hovers at around .54 trillion, according to CoinGecko. 

BTC and ETH have been consolidating around the ,000 and ,500 marks over the past 24 hours. Both of the leading cryptocurrencies have been witnessing small movements as the broader market weathers neutral sentiment.

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Phân tích

Uniswap spikes nearly 10% amid bullish momentum

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Uniswap (UNI) has seen a notable price increase of over 9.8% in the past 24 hours, breaking above as it defied broader market conditions. 

This surge in UNI’s price has pushed its market cap to .74 billion, placing it at 17th among the largest cryptocurrencies by market cap.

According to data from CoinGecko, the current UNI price represents a 17.1% increase over the last seven days and a 63.6% jump across 30 days. 

Uniswap 24-hour price chart | Source: CoinGecko

While Bitcoin (BTC) only made marginal gains of about 0.7% in the last 24 hours and Ethereum (ETH) gained 4.5%, UNI’s 9.8% uptick represented the highest gains of any coin in that period.

Highest gainers in the last 24 hours | Source: CoinGecko

However, the coin’s 24-hour trading volume of 9.2 million placed it sixteenth among the most traded cryptocurrencies in the last day, just above Dogwifhat (WIF) and below Toncoin (TON), whose price is up 2.6%.

Significant accumulation spurs optimism

The recent price hike for UNI follows significant accumulation by a wallet linked to the Amber Group, which bought around million worth of Ethereum and Uniswap.

According to Lookonchain, the wallet withdrew 987,053 UNI, valued at .6 million, and 2,638 ETH worth an estimated .2 million from Binance within a three-hour window.

Some market analysts have suggested that such substantial acquisitions by major players could signal strong confidence in UNI’s future prospects.

However, they caution that while large buys can trigger short-term price increases, sustaining this momentum may be challenging amidst market volatility.

Recent developments and future prospects

This latest surge marks the second consecutive day of rising UNI prices. The initial uptick began on June 14 following a cryptic message from the decentralized exchange on social media, as can be seen below: 

The message was followed by hints that Uniswap v2 is preparing to support a new layer-2 blockchain after onboarding Optimism, Arbitrum, Polygon, Blast, and Base.

In addition to these market movements, Uniswap Labs is making headlines in the crypto community with its acquisition of Crypto: The Game (CTG), a popular online survival game.

Many feel the game could further boost Uniswap’s profile and attract more investors to the platform.

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Theo Crypto News

DeFi

Privacy expert slams WhatsApp and Telegram, touts decentralized messaging as future

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In an exclusive interview with crypto.news, Kee Jefferys, CTO of Session, discussed the inherent risks to privacy with centralized messaging platforms.

As our world becomes increasingly connected, privacy has transformed from a luxury into a necessity. Every click, every message, every digital interaction is a potential leak, spilling secrets into a sea of data ready to be harvested. 

Messaging apps, which are integral to our daily communication, are facing growing scrutiny over their privacy practices.

Yet, incidents like those involving WhatsApp and Telegram—where breaches and metadata mishaps have eroded trust—spotlight the fragile nature of privacy in traditional platforms. 

Such episodes constantly remind us of the vulnerabilities that users face daily, exposing them to potential profiling and surveillance, undermining trust.

Enter web3, a beacon of hope, promising a paradigm shift towards decentralization. This new technology framework seeks to dismantle the centralized powers that traditionally govern our data, proposing instead a system where privacy is inherent, not optional. 

Jefferys, through his work with Session, champions this vision, employing a network of community-run nodes to safeguard user interactions without the need for a central authority.

He believes that a decentralized approach is crucial for creating a new trust model. One that doesn’t rely on centralized entities but distributes responsibility across a network of independent operators.

With the recent security breaches and metadata collection issues in messaging apps like WhatsApp and Telegram, what are the risks currently plaguing users in the traditional messaging app sector, particularly in terms of privacy?

Traditional messaging apps like WhatsApp and Telegram are inherently centralized, creating honeypots of sensitive metadata, such as phone numbers, IP addresses, and profile images. This data can be linked with other metadata, like message timing and group membership, to create detailed profiles of users, their habits, and relationships. Although these services claim not to engage in such profiling, they possess the data and access to do so, and this data could be leaked or accessed by hackers or compelled by authorities. To enhance privacy, we need systems that minimize data collection and centralization.

Law enforcement agencies access user data from secure messaging apps through metadata and cloud backups. How would web3 address this? Do you expect a potential backlash from regulators as these solutions surface?

Cloud backups are a convenient feature usually facilitated by device manufacturers like iCloud for iOS and Google One/Drive for Android. Messaging app publishers can mitigate risks created by these cloud backup services by opting out of automatic backups and instead using custom-built decentralized storage networks like Arweave or Filecoin, which don’t implement regulatory backdoors for mandated access. Regulators and law enforcement typically focus on device seizures during investigations, which would reveal similar content to what could be obtained from cloud backups, so this shift may not cause significant regulatory issues.

How does the decentralized nature of web3 technologies specifically address the privacy and trust issues that traditional messaging apps struggle with? 

In the most fundamental way, decentralization creates a new trust model that shares the burden and responsibility of trust among thousands of parties instead of a single entity and creates a rules-based system to govern this new trust model. It eliminates centralized honeypots of user metadata and instead distributes user data, making it nearly impossible to gain a global view of the network. This means that instead of compromising a single entity, one would need to compromise thousands of individual operators to access user data.

What do you see as the future of secure messaging in the context of increasing government surveillance and cyber threats? 

Most efforts in the secure messaging space have focused on securing the contents of messages via more advanced end-to-end encryption schemes, often at the expense of user experience. I think in the next 10 years, the space as a whole will focus more on metadata protection as end-to-end encryption becomes a more solved problem and governments move to even wider-scale metadata collection. The name of the game will no longer be content, it will be context.

How can web3 and decentralized technologies overcome the existing flaws and shape a more secure future for messaging apps?

Web3 and decentralized technologies can overcome flaws by breaking the trust assumptions of centralized messengers and proving that usability does not need to be sacrificed for privacy or decentralization.

Session claims to offer a ‘trustless’ messaging environment. Could you explain how Session’s architecture addresses the specific privacy flaws found in traditional messaging apps, ensuring that user data remains private and secure without requiring users to place their trust in a central authority? 

Instead of relying on a centralized server, when a user sends a message on Session, they interact with a network of community-run nodes called the “Service Node network.” This network has over 2,000 nodes, which store and route the encrypted data of Session users. This architecture ensures that user data remains private since there’s no central location to collect user messages. Trust is maintained purely between the network and its users without any central authority or middleman to govern this process.

What mechanisms does Session use to protect user privacy?

There’s 4 main things Session does to protect user privacy; No phone number or personally identifiable information is required to sign up—just generate a Session ID and start messaging. All messages are end-to-end encrypted using an audited encryption protocol and open-source clients. Session uses onion routing to hide users’ IP addresses while using the service. A decentralized network is used for temporary storage, eliminating the need to trust a central service provider.

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Theo Crypto News

DeFi

UNI price climbs 9% as Uniswap explores new layer-2 integration

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UNI, the native token of decentralized exchange (DEX) Uniswap, has surged 9% to become the top gainer in the crypto market today.

At the time of writing, UNI has been trading at .69, which is up 8.5% over the past day. In the same timeframe, the crypto asset experienced a 31% drop in trading volume, suggesting existing holders might be holding onto their UNI tokens in expectation of a further price rise.

UNI 24-hour price chart | Source: CoinMarketCap

Meanwhile, Uniswap’s market cap had risen to .4 billion, bringing the token to the 18th largest crypto asset asset per data from CoinMarketCap.

The latest surge in price comes as the decentralized exchange shared a new enigmatic X post early on June 14 featuring the message: “Locked in. Ready for the Endgame.” The message was paired with an image of a man intently sitting forward in his chair, a meme used by gamers when things are getting serious.

A following attached post from June 1 subsequently suggested that Uniswap v2 is gearing up to add support for a new Layer-2 blockchain.

Although the specific L2 protocol was not disclosed, speculation among the crypto community on X leans towards ZKsync, a renowned trustless Layer 2 solution known for scalable, low-cost Ethereum transactions.

Meanwhile, multiple members of the community also expressed discontent regarding the potential deployment on ZKsync.

Another potential cause for the recent price surge in UNI could be the impressive growth in L2 volume processed through the Uniswap Protocol, as highlighted in a June 13 X post by Uniswap Labs.

It took 22 months to hit the 0 billion mark, 10 months to reach 0 billion, and just 3 months to surpass 0 billion,’ the Uniswap team noted, showing data from analytics platform Dune. The exponential growth outlines the growing utility and adoption of Uniswap’s services in the defi space.

Additionally, an X user with the pseudonym “Kyledoops” pointed out the rising popularity of Uniswap v2 pools on various L2 solutions like Optimism, Arbitrum, and Polygon.

These platforms are being favored for their promise of scalability, reduced transaction fees, and enhanced user experience, further contributing to the demand for Uniswap’s offerings.

While Ethereum continues to lead in defi, the integration of L2 networks with Uniswap is evidently propelling quicker and more economical transactions, positioning these networks as strong contenders in the evolving crypto space.

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Theo Crypto News

DeFi

Bitcoin lags behind stocks and bonds in Q2 2024

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Analysts have flagged that Bitcoin has failed to deliver in the second quarter of 2024, falling behind stocks and bonds in terms of performance.

According to Bloomberg, Bitcoin has underperformed compared to global equities, fixed income, and commodities this quarter. The flagship cryptocurrency has lost approximately 5% since the start of April through mid-June. 

After hitting a high of ,798 in March, attempts to rally back to the position have failed to materialize.

In the previous quarter, Bitcoin had soared 67% in the three months through March. Massively surpassing indexes of traditional assets.

One of the key reasons fuelling the move was the hype around the approval of US Bitcoin exchange-traded funds (ETFs). However, that enthusiasm seems to be fading, according to Noelle Acheson, author of the Crypto Is Macro Now newsletter.

Acheson believes the inflow of fresh funds into Bitcoin ETFs has slowed down. She attributed most of the recent inflows to existing Bitcoin holders, adding that “only new money will move the price.” 

Drawing in over billion to date, Bitcoin ETFs were one of the most coveted investment vehicles on Wall Street.

Strategists at JPMorgan Chase observed that there has been a rotation of funds from digital wallets on exchanges to the new ETF products. Keeping that in mind, they estimated this year’s net flow to crypto, including ETFs and other sources, at billion.

The estimation is a lot lower compared to the billion recorded in 2021 and billion in 2022.

With this, the strategists concluded that they remain “skeptical” about the pace of inflows continuing through the remainder of 2024.

Acheson further estimates that Bitcoin miners may have contributed to the cryptocurrency’s lackluster performance. 

Miners have been selling off their cryptocurrency holdings to stay afloat. With the April halving, there has been a considerable drop in profitability. The current halving slashed the block reward from 6.25 BTC to 3.125 BTC.

In May, crypto mining analytics firm Hashrate Index revealed that miners would face a “hefty upward difficulty adjustment,” in the coming months. Prior to that, research firm Kaiko had warned of impending selling pressure from miners.

“If miners were forced to sell even a fraction of their holdings over the coming month this would have a negative impact on markets,” the firm wrote back then.

Despite the slump in performance, some analysts remain bullish on Bitcoin. 

As reported by crypto.news, analyst CryptoCon has predicted a year-end price target of ,539 for the premiere crypto. Galaxy Digital’s Michael Novogratz speculates a similar range at 0,000.

Meanwhile, Ark Invest’s Cathie Wood has the most optimistic outlook, having pushed her long-term price target for Bitcoin higher to a whopping .8 million. 

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Bitcoin

MicroStrategy to buy more Bitcoin after raising $500m

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MicroStrategy is looking to offer 0 million worth of convertible senior notes, with proceeds used to purchase additional Bitcoin (BTC), the company announced on Thursday. Notes mature in 2032.

On Thursday, MicroStrategy revealed plans to offer qualified institutional buyers the opportunity to purchase unsecured convertible senior notes that will be due in 2032.

Stating that the private offering would be subject to market conditions and other factors, the company said these notes will bear interest payable semi-annually and in arrears every June 15 and December 15.

This will run until maturity on June 15, 2032, unless the notes are repurchased, redeemed or converted as per the offering’s terms.

MicroStrategy, could, subject to conditions, redeem for cash, all or some of the notes.

“Holders of the notes will have the right to require MicroStrategy to repurchase for cash all or any portion of their notes on June 15, 2029,” the US-based firm noted.

MicroStrategy will use proceeds to buy more Bitcoin

According to today’s announcement, notes are convertible into cash, shares of the company’s class A common stock, or a combination of the two.

The reference price in the calculation of the initial conversion will be the composite volume weighted average of MicroStrategy’s stock from 9:30 am through 4:00 pm EDT on the date of the pricing.

If the sale happens, MicroStrategy will use the net proceeds to buy more Bitcoin to add to the 214,400 BTC the company held as of April 30, 2024.

The company will also use these funds for other corporate purposes.

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Bitcoin

Research analyst at Fineqia discusses the impact of spot ETFs on Bitcoin’s market dynamics

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Crypto.news recently sat down with Matteo Greco from Fineqia International to discuss the current state of the Bitcoin ETF market and what we can expect looking ahead.

Bitcoin has emerged as one of the top-performing assets of the past decade. 

It has transcended beyond its status as a lesser-known peer-to-peer payment system, catalyzing the creation of an entirely new asset class that now boasts a market capitalization exceeding trillion.

With the approval of 11 spot Bitcoin ETFs in January 2024, traditional investors now have an easier route to gain exposure to the flagship cryptocurrency.

These investment vehicles are reshaping the crypto sector, having pulled in billions in market capital. Besides legitimizing Bitcoin, these have also drawn substantial interest from institutional players.

Another factor that might impact the Bitcoin ETF sector is the potential approval of spot ethereum ETFs. Analysts expect these to capture 20% of the investment flows currently heading towards spot Bitcoin ETFs, further adding to the intrigue.

With these developments in place, the market remains a dynamic and unpredictable arena. The future of Bitcoin ETFs, while promising, is being shaped by a myriad of factors, including regulatory developments and macroeconomic trends. 

How might these influence the market dynamics of these investment vehicles? How could these impact the price of Bitcoin?

According to Greco, the inflows into Bitcoin ETFs are significant but not the sole factor influencing Bitcoin’s price.

Why does the substantial influx of capital into Bitcoin ETFs not correspond with an equivalent rise in Bitcoin’s market price?

There are several factors that can drive the price up and down, including supply and demand, liquidity, and leverage. It’s not as simple as a single-factor correlation for price action. However, it is incorrect to say that the inflow did not sustain positive price action. When the BTC ETFs were approved on January 10th, the price of BTC was about ,000. Currently, BTC has been ranging between ,000 and ,000 for weeks, indicating a 40% – 50% price increase post-approval. At the time of the approval, BTC’s total market cap was about 0 billion, and now, with BTC at ,000, it is about .3 trillion. This represents a 0 billion increase in total market cap, while BTC ETFs saw around billion in net inflow. This means BTC’s market cap growth has been 25 times the amount of net inflow into the BTC Spot ETFs. This demonstrates that the impact of the approval and trading of these products has been substantial, extending beyond direct inflow into these financial products. It has helped sustain demand for the asset due to positive sentiment and mid-term expectations about Bitcoin and the digital assets space in general.

Could the potential approval of an Ethereum ETF significantly alter the investment landscape for Bitcoin ETFs?

Bitcoin (BTC) and Ethereum (ETH) are fundamentally different assets with distinct intrinsic characteristics. Bitcoin uses a Proof-of-Work consensus mechanism, which relies on miners, while Ethereum, like most digital assets, employs Proof-of-Stake, which does not require computational power to confirm transactions. This mechanism allows ETH and many other digital assets to offer staking rewards to investors, similar to dividends in traditional finance. BTC, however, does not have built-in staking rewards and, as a result, has different characteristics and cannot be classified as a security. Given the differing characteristics and use cases of these two major digital assets, I do not anticipate outflows from BTC ETFs moving into ETH ETFs. Instead, I expect net inflows for ETH ETFs as they represent a distinct asset that new investors, or those who have already invested in BTC ETFs, might also want to gain exposure to.

⁠What impact might the introduction of an Ethereum ETF have on Bitcoin’s status as the premiere cryptocurrency?

BTC was the most prominent cryptocurrency before the ETFs were approved and will remain so after both BTC and ETH ETFs are approved. If BTC ever loses its dominance, it will take considerable time for ETH to surpass BTC in market cap. It will be interesting to observe traditional finance’s appetite for ETH as an asset. For comparison, BTC attracted about billion in net inflows during Q1 and Q2, assuming quite neutral flows for the remaining three weeks of Q2 for a matter of simplicity. ETH’s market cap is about one-third of BTC’s, so proportionally, it should attract around billion in the six months post-launch to match BTC’s level. Higher inflows would indicate more enthusiasm for ETH, and lower inflows would suggest the opposite. While it’s challenging to make direct comparisons due to differing market sentiments at the time of launch, this serves as a useful index for mid-term analysis.

Are traditional asset ETFs, such as those for gold, influencing the market dynamics of Bitcoin?

I would look at it from the opposite perspective. Traditional asset ETFs have been trading for a long time, and the introduction of digital asset ETFs into the market represents increased competition. For instance, the impact of BTC ETFs has been significantly stronger compared to the introduction of the first gold ETF in 2004. This indicates that investors have a definite appetite for digital assets, meaning that a portion of the allocation previously reserved exclusively for traditional financial assets is now being directed towards digital asset ETFs.

Regarding the influence of the BTC Spot ETFs in the market, these products undoubtedly bolster the global recognition of BTC. With some of the most significant traditional finance businesses issuing and/or holding BTC, this leads to increased liquidity, enhanced safety, and reduced spreads and commissions for investors and traders.

With the launch of ETFs has Bitcoin generated sufficient institutional and retail interest to sustain its proposed role as an inflation hedge?

I would not limit BTC to being classified solely as an inflation hedge. While BTC can serve as an inflation hedge over long time frames, it is not a safe hedge in the short term due to its high volatility. BTC has attracted strong institutional and retail interest for a variety of use cases, which highlights its versatility. Being entirely decentralized, without a CEO or board, investors can purchase and trade BTC based on their preferred use case. Some people buy and hold BTC as a long-term investment or inflation hedge. In countries with hyperinflation, people might use BTC as a short-term inflation hedge. Others see it as a speculative investment, while some appreciate its decentralized nature and the idea of a currency not issued by central governments. It’s incorrect to pigeonhole BTC into a single category. Bitcoin is an asset that can be used for various purposes depending on individual circumstances and preferences, and its overall adoption is increasing worldwide.

Would you classify Bitcoin as a traditional investment hedge like gold?

At the current stage, I would classify BTC more as an investment, similar to stocks, due to its high volatility rather than an inflation hedge like gold or bonds during periods of high interest rates. In my view, an inflation hedge should primarily offer high stability and serve as an alternative to fiat money—something stable and liquid that can be easily used to pay for services and quickly converted to cash in an emergency. BTC falls short in this regard because its value can vary dramatically depending on market conditions, which means converting BTC to fiat could result in significant losses if done at an unfavorable time.

What does this mean for Bitcoin?

While BTC can serve as a long-term inflation hedge and a means to increase purchasing power, it cannot be defined as an inflation hedge by default. For instance, during the past bear market, BTC experienced its biggest drawdowns coinciding with peaks in inflation and interest rate hikes. Conversely, BTC began performing well again when central banks stopped raising interest rates as inflation decreased. If BTC were a short-term inflation hedge, it would have behaved oppositely, rising during high inflation and macroeconomic uncertainty and slowing down when inflation decreased and interest rates stabilized. This pattern indicates that BTC is currently traded more as a risk-on asset, similar to stocks, rather than a short-term inflation hedge. As mentioned earlier, BTC’s decentralized nature means investors can define its function in the market. Presently, the majority of investors perceive BTC as a risk-on asset and trade it accordingly.

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