TronWeekly

Crypto World News

You are here: Home / All Posts

All Posts

Terraform Labs Gambles on Jury Trial in Landmark Crypto Case

by

Terraform Labs, the embattled company behind the failed Terra (UST) stablecoin and LUNA cryptocurrency, has requested a jury trial to decide the regulatory status of its tokens. This comes in response to a lawsuit filed by the Securities and Exchange Commission (SEC) in February, alleging Terraform Labs and its co-founder Do Kwon of orchestrating a multi-billion dollar securities fraud.

The SEC claims that Terraform Labs offered and sold UST, LUNA, Wrapped LUNA (wLUNA), and Mirror Protocol tokens (MIR) as unregistered securities, violating securities laws. Terraform Labs, on the other hand, argues that these tokens are not securities and that the case should be decided by a jury.

Terraform Cites Jury Precedent

The company’s lawyer, David Kornblau, cited the 2021 case Audet vs. Fraiser, where a jury determined that four cryptoassets were not securities, as precedent for their request. However, the SEC argues that the Audet case is the only instance where a jury was involved in such a decision and that the facts clearly show Terraform Labs sold securities.

This legal battle revolves around the broader issue of whether and how cryptocurrencies should be classified and regulated. The Howey test, a legal framework used to determine whether an investment contract exists, is often used in such cases. If a cryptocurrency is deemed a security, it falls under the SEC’s jurisdiction and its issuers need to comply with stringent regulations.

Previously, Terraform Labs requested a summary judgment in their favor, hoping to avoid a full trial. However, if the judge chooses not to grant their request, they are now pushing for a jury trial.

Meanwhile, Do Kwon, who was arrested in Montenegro in March for using a fake passport, faces potential extradition to the United States to face the SEC’s charges. The Montenegrin court approved his extradition in late November, adding another layer of complexity to this ongoing saga.

The outcome of this case could have significant implications for the entire cryptocurrency industry, as it will set precedents for how regulators approach the classification and regulation of digital assets.

Ethereum Poised For $2,340 Surge Amidst Resilient Uptrend

by

According to insights from Cryptonary, Ethereum (ETH) seems to be gearing up for a substantial surge, with a target set at an impressive $2,340. The technical analysis reveals a noteworthy pattern, as ETH consistently encounters resistance along the underside of the primary uptrend line. 

However, the optimism persists, especially if the digital asset manages to break through the $2,120 mark, signaling a potential climb to the coveted $2,340 level. The mechanics of Ethereum are reported to be in a robust state, portraying a healthy foundation for further growth.

Delving deeper into the analysis, the 12-hour chart of ETH presents a comprehensive view. The resistance at the uptrend line is a notable challenge, but the optimistic target of $2,340 is well within reach. On the downside, $2,120 is expected to act as a strong support level, having previously served as a resistance point.

The Relative Strength Index (RSI) indicates that ETH is currently overbought across major timeframes. While this might raise cautionary flags, analysts suggest that the RSI is not alarming at its current levels, although it merits monitoring if the uptrend persists.

Ethereum Open Interest & Funding Rate Dynamics

Examining market mechanics, ETH’s Open Interest stands at an impressive $8.28 billion, lingering close to its yearly high of $8.47 billion. The OI-Weighted Funding Rate, slightly higher than usual at 0.015%, suggests a prevailing bias towards Long positions rather than Short. Despite this, analysts emphasize that this isn’t yet a cause for concern unless funding becomes significantly positive.

Cryptonary’s take on the situation provides additional perspective. Despite Ethereum’s recent underperformance relative to Bitcoin (BTC), analysts express a favorable outlook for ETH. The suggestion is that Ethereum may still have considerable room for upward momentum. Furthermore, the mechanics of ETH are deemed healthier, with Open Interest not reaching overheated levels and Funding maintaining stability in the mid-0.01% range.

image 18 2

As part of their strategy, Cryptonary indicates that if ETH were to retest the $2,100 level, they would consider becoming Dollar-Cost Averaging (DCA) buyers of ETH. Additionally, they express an intention to augment their Spot bags for the long term, highlighting a belief in Ethereum’s potential for sustained growth in the unpredictable world of digital assets.

Related Reading | XRP Wealth Blueprint: Returns Analysis for 1K, 5K, or 10K Tokens in Diverse Price Landscapes

Dogecoin to the Moon: DOGE-1 Mission Soars

by

The space sector has witnessed a surge in interest surrounding the “meme coin” Dogecoin (DOGE), thanks to the upcoming launch of DOGE-1, a Dogecoin-themed satellite set to orbit the moon. This mission, scheduled for January 12th aboard a SpaceX Falcon 9 rocket, has triggered a significant jump in the value of two tokens associated with the project: GEC and XI.

GEC, the token issued by Geometric Energy Corporation (GEC), the company behind DOGE-1, has seen a staggering four-fold increase in value over the past week. Meanwhile, XI, touted as the “space advertising token” for displaying ads on the satellite, has witnessed a 36% rise. Together, these tokens boast a market capitalization exceeding $30 million and a community of over 6,000 individual holders.

History of Dogecoin Mission

The DOGE-1 mission, first announced in May 2021, is a testament to the influence of Dogecoin and the broader meme coin phenomenon. The satellite’s payload was entirely funded through DOGE, fueled by the vocal support of SpaceX founder Elon Musk, a prominent advocate for the cryptocurrency.

With the recent regulatory approvals granted to SpaceX, DOGE-1 is finally poised for its historic launch from the Kennedy Space Center in Florida. GEC founder Samuel Reid expressed his excitement, stating, “This is a monumental moment for everyone involved in the DOGE-1 mission.”

DOGE-1 is not the only Dogecoin-related space mission on the horizon. Another mission is also planned for the coming months, further solidifying the meme coin’s presence in the burgeoning space industry.

This confluence of factors – the upcoming launch, the backing of influential figures like Elon Musk, and the broader interest in meme coins – has created a perfect storm for the GEC and XI tokens, propelling them to new heights. As the excitement surrounding DOGE-1’s lunar journey continues to build, it is likely that these tokens will experience further growth in the lead-up to the launch and beyond.

Shiba Inu’s Blazing Burn: First Hard Fork Ignites Multiple Token Model

by

Shibarium, the layer-2 network at the heart of the Shiba Inu ecosystem, has undergone its first hard fork. This upgrade brings significant changes, including an enhanced burning mechanism and support for a multiple-token burn model.

DaVinci, a key figure in the Shiba Inu development team, shared resources and details for a smooth transition after the fork via Discord. They encouraged relevant parties to align their Bor genesis with updated configurations from other instances. The development team also shared an updated genesis file and the necessary post-update command to ensure a seamless process.

The primary focus of the fork was a significant enhancement to Shibarium’s burning mechanism. This move aims to include a burn mechanism for BONE, the governance token of the Doggy DAO. This has been met with mixed reactions within the community, with some welcoming the development and others questioning the necessity of burning BONE.

NOWNodes, a leading provider of blockchain infrastructure solutions, sheds more light on the fork in a separate disclosure. They touted Shibarium as a solution that offers a more streamlined environment for DeFi and NFTs. Notable changes include the migration of layer-1 of Shibarium’s Puppynet, the testnet, from the Goerli Network to the Sepolia Network.

Shiba Inu’s Promise of Enhanced Burns

Shibarium has promised to enhance SHIB burns, helping to reduce the Shiba Inu supply. The network recently made its first burn. With the latest upgrade, the burn mechanism initially managed manually, is set to transition to an automated system, enhancing efficiency and transparency.

The Shibarium network will witness continuous upgrades, focusing on both manual and automated burning processes and ensuring adaptability. Version upgrades will target enhanced transaction speeds and improved user experiences.

The NOWNodes team believes that the Shibarium fork could facilitate mass adoption. They point to the network’s increased scalability, allowing developers to deploy more transactions within a condensed timeframe. This, coupled with instant real-time on-chain data sources, further fuels the platform’s appeal.

The Shibarium hard fork marks a significant milestone for the Shiba Inu ecosystem. With enhanced burning mechanisms, support for multiple token burn models, and ongoing upgrades, Shibarium is poised to play a key role in the future of Shiba Inu. The success of this upgrade will depend on continued community support and developer adoption.

Grayscale CEO Defends Crypto Against JPMorgan Chief’s Call For Ban

by

Grayscale Investments CEO Michael Sonnenshein has responded to JPMorgan (NYSE: JPM) CEO Jamie Dimon’s recent remarks against Bitcoin (BTC) and other cryptocurrencies, saying that the digital asset class is here to stay and that traditional financial institutions need to adapt to the changing landscape.

Dimon, who has been a vocal critic of Bitcoin and crypto for a long time, reiterated his stance during a Senate appearance, where he suggested that the US government should outlaw these digital assets. He claimed that the only true use case for crypto is for criminals, drug traffickers, money launderers, and tax evaders.

“I’ve always been deeply opposed to crypto, bitcoin, etc. […] The only true use case for it is criminals, drug traffickers, money laundering, tax avoidance. […] If I was the government, I’d close it down,” Dimon said.

Sonnenshein Says Crypto Is A Technology Investment

Sonnenshein, on the other hand, expressed a different view during an interview with Yahoo Finance on November 7, arguing that Bitcoin is considered a technology investment or a risk asset and that investor interest in this asset class is only growing. He emphasized that financial institutions must incorporate new technologies, such as crypto, into their offerings.

“I think every executive, particularly in the financial services space, is going to have their own opinions on new technologies and whether that’s crypto or bitcoin specifically. But if you take a big step back, there is no question that this asset class is here to stay, that investor interest in this asset class is only growing,” Sonnenshein said.

Bitcoin Surges Past $40,000 Amid ETF Hopes

Meanwhile, Bitcoin has been on a bullish run, breaking above the $40,000 mark for the first time since April 2022. The rally has been partly driven by speculation surrounding the approval of a spot Bitcoin exchange-traded fund (ETF) by the US Securities and Exchange Commission (SEC).

Grayscale Investments is among the entities that have applied for a Bitcoin ETF and are awaiting feedback from the SEC. Sonnenshein has expressed optimism that the product will gain regulatory approval, citing the increased understanding of cryptocurrencies among regulators as a positive sign.

As of December 7, 2023, Bitcoin was trading at $$43,800, down by 0.20% in the last 24 hours. The flagship cryptocurrency briefly touched the $44,000 level, a new high since April 2022.

Related Reading | Solana Thrives Despite Challenges: Co-founder Addresses FTX Collapse

Cardano (ADA) Poised For 70% Rally By Late December, Analysts Optimistic

by

Cardano (ADA) is currently experiencing a notable upswing amidst the ongoing crypto resurgence driven by Bitcoin. Bullish momentum is aiming to revisit this year’s high, which is around 45 cents.

This surge is not a stroke of luck; rather, it is the outcome of dedicated development initiatives and the maturation of the Cardano network into a thriving ecosystem for emerging web3 projects.

Cardano’s Staked Assets Soar: 22.98 Billion ADA, 695 Million Locked In DeFi Projects

The total staked ADA has surged impressively to 22.98 billion, with 695 million securely locked in decentralized finance (DeFi) projects. This surge in staked and locked assets has led to a reduction in the circulating supply, potentially fueling a bullish trend in the market.

In a recent analysis, Ali, a renowned crypto expert, compared Cardano’s ongoing consolidation phase to its trajectory from 2018 to 2020, excluding the Black Thursday event. 

Despite ADA’s struggles to surpass the 38-cent mark, Ali projects a potential year-end high of 75 cents, contingent on breaking the crucial 45-cent barrier in early December. With ADA currently hovering around this pivotal level, the analyst stands by the ambitious 75-cent target.

Cardano’s price has recently broken out of a macro descending triangle, signaling a bullish trend. The confirmation of a daily golden cross between the 50 and 200 Moving Averages further underscores the potential for an upward trajectory. Moreover, a notable spike in daily traded volume, reaching approximately $788 million, reinforces the optimistic outlook for Cardano’s price.

Bitcoin Booms, Fees Skyrocket: Ordinals Spark Debate

by

Bitcoin’s recent surge has brought excitement to investors, pushing the cryptocurrency above $44,000 for the first time in 20 months. However, this surge has come with a side effect: increased network congestion. This has ignited a heated debate over the Ordinals project and BRC-20 tokens, both of which utilize the BTC blockchain in ways some argue go against its core principles.

Ordinals are essentially NFTs (non-fungible tokens) inscribed on individual satoshis, the smallest denomination of a BTC. Launched in January 2023, they have gained significant traction, with over 46 million inscriptions recorded so far. This popularity has driven a surge in demand for immediate block space, leading to higher BTC transaction fees.

Is Bitcoin an NFT Playground?

Critics, such as BTC Core developer Luke Dashjr, view Ordinals as “spam” and argue that they exploit a vulnerability in the Bitcoin Core software. They believe these inscriptions clog the network and increase fees, hindering the usability of Bitcoin for its primary purpose: sending and receiving funds.

On the other hand, proponents like Luxor Technology CEO Nick Hansen see Ordinals as a positive development. They argue that Ordinals promote block space utilization, which is crucial for miners who rely on transaction fees for their income. They also believe that Ordinals are an innovative way to utilize the BTC blockchain and expand its functionalities beyond simple monetary transactions.

Adding further fuel to the fire is BRC-20, a protocol that allows users to mint and transfer any type of token on the BTC blockchain. This has led to the creation of numerous meme coins and other tokens, further increasing network congestion and fueling concerns about the “misuse” of the Bitcoin network.

Amidst the heated debate, BTC developers are actively considering solutions. One proposed solution is to implement “spam filtering” mechanisms to block Ordinals transactions. Additionally, Bitcoin Knots, an alternative Bitcoin Core implementation, has been proposed as a potential solution to push Ordinals off the network.

The future of Ordinals and BRC-20 remains uncertain. Whether they will continue to thrive on the Bitcoin blockchain or be relegated to a separate network is a question that will likely be answered in the coming months. However, the debate surrounding these projects has exposed fundamental questions about the evolution of Bitcoin and the role it plays in the digital asset landscape.

Justin Sun-Backed Poloniex Lands On FCA’s Warning List

by

In the wake of enduring four cyber attacks within the past two months, Poloniex, backed by Justin Sun, has found itself newly added to the Financial Conduct Authority’s [FCA] warning list of unauthorized companies in the United Kingdom. The Seychelles-based exchange is one of three entities connected to entrepreneur Justin Sun that have fallen victim to these security breaches.

The FCA, on December 6, published its warning blog post to include Poloniex, emphasizing that firms and individuals lacking the necessary authorization or approval cannot promote financial services within the UK. So far, the FCA has evaluated 291 applications from cryptocurrency companies seeking registration, with only 38 receiving approval. In October, it disclosed that 140 crypto firms, including HTX and KuCoin, were on its warning list. Since then, only one entity, PayPal UK, has obtained authorization from the regulator.

Justin Sun
Justin Sun-Backed Poloniex Lands On FCA's Warning List 3

Cryptocurrency companies are preparing for increased regulatory scrutiny as the UK’s financial services regulator, the FCA, implements a series of new rules to combat illicit marketing tactics in the industry. The measures, unveiled in June, involve the prohibition of refer-a-friend bonuses and the introduction of a “cooling-off” period requiring first-time investors to wait a full day before completing their transactions. This move has been characterized by analysts as an effort to provide consumers with “extra protection in the crypto Wild West.”

Justin Sun’s Exchange Hack Saga

Poloniex itself fell victim to a significant $100 million hack on November 10. The platform reported that it had largely completed its restoration efforts by the end of November and was gearing up to resume withdrawals and deposits. On December 5, the exchange reinstated deposit and withdrawal services for specific cryptocurrencies via the Tron network, outlining plans for a gradual implementation of these services for additional cryptocurrencies.

Notably, Justin Sun, the founder of Tron and owner of Poloniex, also possesses HTX, a crypto exchange formerly known as Huobi. In the past two months, platforms associated with Sun have suffered four cyberattacks. HTX experienced a loss of $8 million in a September attack and faced an additional $30 million loss due to a hot wallet breach in late November. Simultaneously, HTX’s HECO Chain Bridge, a tool facilitating the movement of digital assets between HTX and other networks like Ethereum, was compromised by hackers, resulting in the transfer of at least $86.6 million to suspicious addresses.

Bitcoin Ordinals First-Ever Auction Debuts

by

Sotheby’s Digital Art Department is making waves in the art world with its groundbreaking announcement of the first-ever auction featuring Bitcoin Ordinals art. This unique collection, a creation of the enigmatic artist known as Shroomtoshi under the moniker BitcoinShrooms, is set to captivate enthusiasts and collectors alike. The featured piece, a composition showcasing two distinct mushrooms and a pixelated avocado seed, is poised to fetch a notable sum of $20,000 to $30,000. Adding a contemporary twist, the auction will accept bids in cryptocurrency, aligning seamlessly with the theme of the digital art on display.

Scheduled for this December between 6 and 13, the online sale by Sotheby’s in New York marks the debut of select works from the highly anticipated Bitcoin Ordinals project. The rest of the collection, shrouded in secrecy, has not yet been unveiled, heightening the anticipation surrounding this exclusive event.

Bitcoin
Bitcoin Ordinals First-Ever Auction Debuts 5

Shroomtoshi, the mastermind behind BitcoinShrooms, operates with an air of mystery akin to Satoshi Nakamoto. Shroomtoshi aims to advocate for values such as freedom and self-sovereignty, aspiring to educate and inspire appreciation for the cultural and technological revolution brought about by BTC.

Meanwhile, the Bitcoin community was recently rocked by a surprising turn of events. BTC Core developer Luke Dashjr raised concerns about the ‘Inscriptions’ within the Ordinals project. Dashjr pointed out that these inscriptions exploit a vulnerability in Bitcoin Core, leading to network congestion through blockchain spam.

If not addressed before the release of version v27 next year, Ordinals and BRC-20 may face elimination. Users and miners, reliant on Ordinals and BRC-20, criticized developers for this decision, triggering an immediate 15% drop in the price of ORDI within an hour.

Bitcoin Ordinals Fate Hungs In Balance

Dashjr acknowledged the recent fix for this bug in BTC Knots v25.1, attributing the delay to disruptions in his workflow. However, with Bitcoin Core still vulnerable in the upcoming v26 release, the community anticipates a solution before the v27 release, especially considering the over 250,000 pending transactions contributing to current network congestion.

The decision to potentially terminate Ordinals and BRC-20 drew criticism from the crypto community, particularly regarding concerns about miners losing income. The introduction of Bitcoin Ordinals and BRC-20 initially resulted in increased profits for miners, making the proposed elimination a contentious topic within the cryptocurrency ecosystem. As developments unfold, the crypto community awaits further clarity on the fate of Ordinals and BRC-20.

Bitcoin Bonanza: SHIBA Inu Poised for Massive Profits

by

On Thursday, Bitcoin achieved a yearly peak in 2023 by reaching $44,000. Starting the year at a modest $16,500, BTC has consistently increased in value against all expectations. This remarkable ascent is generating optimistic outlooks as substantial funds flow into the leading cryptocurrency from diverse sources, including institutional investors. The upward trajectory of Bitcoin is also positively impacting prominent altcoins and other tokens in the cryptocurrency market, including Shiba Inu (SHIB) and others.

Shiba Inu Adjusts to Bitcoin Surge with Decimal Cut

BItcoin
Bitcoin Bonanza: SHIBA Inu Poised for Massive Profits 7

Bitcoin, the dominant cryptocurrency, is currently propelling Shiba Inu (SHIB) towards shedding a decimal point in its indices. Before BTC’s significant price surge, Shiba Inu was trading at levels around $0.000007, but it is now approaching the $0.00000971 threshold. Further upward movement may propel SHIB to reach the $0.00001 level, eliminating its fifth decimal ‘zero’ with the assistance of Bitcoin. Investors who have realized gains from BTC are diversifying their portfolios by investing in prominent altcoins like Ripple’s XRP, Cardano (ADA), VeChain (VET), Shiba Inu, and its competitor Dogecoin.

The broader cryptocurrency market is currently infused with renewed enthusiasm, leading investors to harvest substantial profits. This isn’t the first instance of BTC influencing other altcoins to move in sync with its consistent price escalation. BTC, as the market leader, signals its rise, causing a ripple effect that triggers rallies in tokens like Shiba Inu, XRP, ADA, and others.

Moreover, the upcoming BTC halving scheduled for April 20, 2024, is anticipated to contribute to BTC’s rise in the next four months. As of the latest update, Bitcoin is trading at $44,000, experiencing a nearly 1% increase in the 24-hour day trade. Concurrently, Shiba Inu is trading at $0.00000971.