Crypto Guides, Knowledge & Insights

72 of the top 100 coins have fallen 90% or more: Here are the holdouts

The vast majority of cryptocurrencies have dipped more than 90% from their all-time highs, but a core group has managed to stay ahead of the pack.　　According to price data from CoinGecko compiled by CoinGoLive, the current bear market has seen a whopping 72 out of top-100 tokens fall more than 90% from their all-time highs.　　The larger cap coins are faring better than most. Among the top ten cryptocurrencies by market cap, nine have dipped less than 90% during the current market downturn. Bitcoin (BTC), the largest crypto, is down 70.3% from its November high of $69,000. Second place is Ether (ETH) which is down 78% from its high of $4,878.　　Others in the top ten include Binance Coin (BNB), Cardano (ADA), Solana (SOL), and Polkadot (DOT) which are down between 68% and 88%, (excluding the three stablecoins USDT, USDC and BUSD). Ripple (XRP) is the exception, tracking a fall of 90.56% from its ATH.　　The average fall from ATH for these top 10 coins is 79%, while among the top 20 coins the average fall from the all-time-high is 81.1%.　　Exchange tokens appear to be doing better than many other sectors with a 68.3% average fall from their ATHs.　　The best performer there is

2022-06-17Deep Dive

Maker cuts off Aave's DAI supply as fallout from Celsius continues

The MakerDAO decided to cut off Aave from its direct deposit module as a safeguard in light of the possibility that Celsius folds and crashes the price of stETH.　　MakerDAO has voted to cut off lending platform Aave‘s ability to generate DAI for its lending pool without collateral as the risks of Celsius’s liquidity crisis loom large over the entire crypto ecosystem.　　The decentralized autonomous organization (DAO) made the decision as a means of mitigating the Maker protocols exposure to the beleaguered staking and lending platform in case Celsius goes belly up and implodes the stETH peg as well.　　stETH is a token representing an amount of ETH that is staked on the Lido staking platform. Its peg to ETH has been wavering for several weeks and its currently trading about 6% below the price of ETH. Celsius invested a significant amount of user funds into stETH, which is reportedly one of the reasons it paused withdrawals.　　A June 14 governance proposal from DAO member prose11 suggested that the Maker protocol should temporarily disable the DAI Direct Deposit Module (D3M) for Aave because Celsius borrowed 100 million in DAI collateralized by stETH, which would be at risk of liquidation if Celsius fails.　　“The reason we

2022-06-17Deep Dive

Bitcoin Consumes Million Times More Energy Than Credit Cards: IMF Report

According to a new report published by the International Monetary Fund, Bitcoin, the worlds largest cryptocurrency, consumes a million times more energy than credit cards. Its calculations are based on academic and private-sector publications.　　Image by blogs.imf.org　　The report, which was panned by Xavier Lavayssièr, Germán Villegas Bauer, and Itai Agur, shows also that central bank digital currencies (CBDCs) and some private cryptocurrencies are actually more efficient than traditional payment systems.　　As of today, credit and debit cards account for the vast majority of all cashless transactions. For more blockchain news, please download WikiBit - the Global Blockchain Regulatory Inquiry APP.　　The paper makes a case for ditching the proof-of-work consensus system and using permissioned systems in order to major a giant green leap.　　Ethereum, the second-largest blockchain, is expected to transition to proof-of-stake later this year, which will reduce its energy consumption by a whopping 99.95%.　　The IMF researchers conclude that power usage should be also one of the considerations in debates about the future of money.

2022-06-17Deep Dive

Celsius Investigated by Regulators in Four Different States

Crypto lender Celsius is faced with an investigation from regulators from four different states for freezing customer accounts over solvency concerns.　　Multiple State Regulators Investigating Celsius　　Regulators have launched an investigation into Celsius over its decision to halt customer fund withdrawals.　　According to Reuters, state securities regulators from Alabama, Kentucky, and New Jersey are joining the Texas State Security Board in its probe into crypto lending company Celsius recent activity. Texas Director of Enforcement Joseph Rotunda said that regulators “began investigating the freezing of accounts first thing on Monday morning” and that he considered the probe a “priority.”　　Furthermore, Alabama Securities Commission Director Joseph Borg told Reuters that the Securities and Exchange Commission was also in communication with Celsius and that the company had been responsive to regulators questions so far.　　Celsius Facing Solvency Issues　　Celsius is a crypto lending platform that offers its customers up to 18% returns on crypto assets such as Bitcoin and Ethereum. It does so by taking advantage of the enhanced yields commonly found in decentralized finance (DeFi) protocols while acting as a centralized custodian for its clients.　　The company announced on Monday that it would pause customer withdrawals, swaps, and transfers in order to protect its solvency and put itself “in

2022-06-17Deep Dive

Huobi closes Thai crypto unit, regulator revokes license

Hong Kong-listed Huobi Technology Holdings Ltd will shut its cryptocurrency trading platform‘s Thailand unit on July 1 after the country’s Securities and Exchange Commission (SEC) revoked its license.　　 Fast facts　　Huobi Thailand said the firm will no longer have any connections or legal bindings with Huobi Group following the closure.　　The SEC confiscated the crypto exchange‘s Thai license in May, apparently due to failure to organize personnel and systems in line with the country’s regulations.　　The exchange had already stopped operating since September due to regulatory pressure.　　In a case of whiplash for the countrys crypto industry, the SEC banned Bitcoin and other crypto payments while the ministry of finance eased crypto tax requirements in March.　　Thailand banned baht-pegged stablecoins in 2021.　　For more blockchain news, please download WikiBit- the Global Blockchain Regulatory Inquiry APP.

2022-06-17Deep Dive

“No Place For Cryptocurrencies In Russian Financial Systems”- Central Bank Of Russia

According to a Russian News Website, Elvira Nabiullina, the head of the Central bank of Russia has reiterated that Russia stands firm on its policy of intolerance to trading Cryptocurrencies domestically. She however added it could be used in foreign trades and activities.　　Cryptocurrencies Have No Place In Russian Financial Systems　　The crypto regulation discussion has been on for a while in Russia. Just this year, the Central bank had made a bill to ban cryptocurrencies, on the same day the Ministry of Finance started discussions on a different bill that will regulate the operation of digital assets in the country.　　Nabiullina in a recent statement has however made it clear that crypto trading and other related trading have no place in Russia‘s financial system, although they can be used for foreign payments, on the condition that they do not infiltrate the country’s domestic financial system.　　The head of the Central bank gave reasons for the decision. She explained that due to high volatility in cryptocurrencies, and risk, they should not even be traded in organized systems and marketplaces at all.　　According to her, digital assets must abide with all the requirements established to protect investors. Nabiullina also stated that assets that are allowed in

2022-06-17Deep Dive

Circle Is Launching a Euro-Backed Stablecoin

The U.S.-based stablecoin provider Circle is launching a fully-reserved stablecoin pegged to the euro.　　Circle Announces Euro Coin　　Another euro-backed stablecoin is set to hit the market.　　Circle, the issuer behind the second-largest dollar-pegged stablecoin and fourth-largest cryptocurrency on the market, USDC, announced today that it would launch a fully-collateralized pegged to the Euro. Per the press release, the new token dubbed Euro Coin (EUROC) will begin trading as an ERC-20 token on the Ethereum network on Jun. 30, with native support for additional blockchains expected by the end of the year.　　“There is clear market demand for a digital currency denominated in euros, the world‘s second most traded currency after the U.S. dollar,” said the co-founder and CEO of Circle Jeremy Allaire, adding that the firm’s new euro-backed stablecoin would help “unlock a new era of fast, inexpensive, secure, and interoperable value exchange worldwide.”　　EUROC will use the same tried and tested issuance and redemptions model as USDC, Circle‘s $54-billion dollar-pegged stablecoin. It will also be fully backed by “euro-denominated reserves” held in “leading financial institutions within the U.S. regulatory perimeter,” the announcement said. The stablecoin provider didn’t clarify whether EUROC would be solely backed by Euroeuros—euros held in banks outside the Eurozone—or include

2022-06-17Deep Dive

Elon Musk Facing $258 Billion Lawsuit for Promoting Dogecoin

It is already well established that any positive activity around Elon Musk and Tesla often boosts Dogecoins price almost instantly. In a latest development, a U.S. citizen is charging Musk with alleged involvement in Dogecoin related fraud in a Musk Dogecoin lawsuit.　　According to a Bloomberg report, Musk, along with SpaceX and Tesla were sued for $258 billion over Doge-related claims. The case filing suggests allegations that they are part of a racketeering scheme to back Dogecoin.　　‘Dogecoin Is Deceptive’　　The report mentions Keith Johnson as an American citizen who is behind the lawsuit. Johnson was allegedly “defrauded out of money by defendants‘ Dogecoin Crypto Pyramid Scheme.” He claimed that they constitute an illegal racketeering enterprise to inflate Dogecoin’s price.　　In his complaint filed on Thursday in federal court in Manhattan, he said,　　“Defendants falsely and deceptively claim that Dogecoin is a legitimate investment when it has no value at all.” For more forex news, please download WikiFX - the Global Dealer Regulatory Inquiry APP.　　Demand To Block Musk From Promoting Dogecoin　　In the complaint, Johnson sought to represent all those who lost money trading in Dogecoin since April 2019. Demanding $86 billion in damages and triple damages of $172 billion, he also demands action against Musk.　　He

2022-06-17Deep Dive

Hackers Are Cloning Web3 Wallets Like Metamask and Coinbase Wallet to Steal Crypto

Confiant, an advertising security agency, has found a cluster of malicious activity involving distributed wallet apps, allowing hackers to steal private seeds and acquire the funds of users via backdoored imposter wallets. The apps are distributed via cloning of legitimate sites, giving the appearance that the user is downloading an original app.　　Malicious Cluster Targets Web3-Enabled Wallets Like Metamask　　Hackers are becoming more and more creative when engineering attacks to take advantage of cryptocurrency users. Confiant, a company that is dedicated to examining the quality of ads and the security threats these might pose to internet users, has warned about a new kind of attack affecting users of popular Web3 wallets like Metamask and Coinbase Wallet.　　The cluster, that was identified as “Seaflower,” was qualified by Confiant as one of the most sophisticated attacks of its kind. The report states that common users cannot detect these apps, as they are virtually identical to the original apps, but have a different codebase that allows hackers to steal the seed phrases of the wallets, giving them access to the funds.　　Distribution and Recommendations　　The report found out that these apps are distributed mostly outside regular app stores, through links found by users in search engines such as

2022-06-16Deep Dive

Almost Every Crypto Asset Is Down Over 90% From Peak

Key Takeaways　　Data from crypto price aggregator CoinGoLive shows that 98.5% of all cryptocurrencies are down more than 90% from their all-time highs.　　Around 95.5% of cryptocurrencies have fallen by more than 99.99% from their peaks, with the vast majority effectively plummeting to zero.　　The total crypto market cap is trading 70% from its peak, with Bitcoins market dominance at around 42.9%.　　The seven-month-long cryptocurrency bear market has exposed a painful reality: the vast majority of cryptocurrencies eventually lose practically all of their value.　　Crypto Crash Exposes Painful Reality　　With few exceptions, virtually all crypto assets have now lost more than 90% of their value against their all-time highs.　　According to data from the crypto price aggregator CoinGoLive, 13,240 or 98.5% of the 13,436 cryptocurrencies in existence are currently down 90% from their all-time highs. Of the 196 coins that have retraced less than 90% from their highs, 19 are stablecoins, meaning the exact percentage is slightly higher.　　Judging by the size of the pullback from their record prices, the best-performing significantly capitalized coins are BNB, Bitcoin, FTX, TRON, and Ethereum, with respective drawdowns of 68.9%, 69.1%, 72.4%, 75.1%, and 77.14%. Interestingly, Bitcoin‘s market dominance, which has historically fallen during bull markets and risen significantly during bear markets,

2022-06-16Deep Dive

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