Crypto Guides, Knowledge & Insights

Messari Report: USDC Is The Most Dominant Ethereum-Backed Stablecoin

The growth of USDC in 2021 is more tremendous than that of Tether. The Ethereum-based USDC stablecoin is gaining immense traction as the experts deem it as the most dominant asset.　　According to the analytics research, there is now an increase in the demand for USDC due to abrupt popularity in the DeFi ecosystem. Such demand has positioned USD Coin to bag more market shares in the crypto space.　　From what Ryan Watkins, a credible researcher, predicted, the stablecoin share for Tether on Ethereum could dip below 50%. In addition, Watkins revealed that more than half of USDCs total supply is now in smart contracts.　　The equivalent value for this USD Coin supply is about $12.5 billion. According to Messari, CoinMetrics data estimates show that USDCs stablecoin supply is over 40% on Ethereum.　　In his tweet, Watkins said that the next few weeks might not favor USDT‘s stablecoin supply on Ethereum. He envisages a dip below 50% for the first time for USDT’s stablecoin supply share.　　On the other hand, he sees USD Coin becoming the prepotent Ethereum stablecoin because of its high reputation in the DeFi ecosystem.　　More so, Watkins further acknowledges:　　“Although this percentage is not as high as DAI, USDC leads by a wide

2021-07-02Deep Dive

JPMorgan report: Eth2 could kick-start $40B staking industry by 2025

The launch of the energy efficient Ethereum 2.0 network will popularize the proof-of-stake consensus mechanism and make staking yields a more attractive source of income for both institutional and retail investors according to a new JPMorgan report.　　The authors estimate that holders of staked coins on PoS blockchains are currently generating some $9 billion in revenue annually from their staked holdings.　　When Ethereum completes its transition from proof-of-work (PoW) to proof-of-stake (PoS) next year, the analysts expect payouts will more-than-double to $20 billion. They project staking yields across the blockchain industry to double again to $40 billion by 2025.　　The two senior analysts also compared the financial incentives with staked cryptocurrencie to cash, cash equivalents, and fixed income instruments like U.S. Treasury bonds:　　“Yield earned through staking can mitigate the opportunity cost of owning cryptocurrencies versus other investments in other asset classes such as US dollars, US Treasuries, or money market funds in which investments generate some positive nominal yield. In fact, in the current zero rate environment, we see the yields as an incentive to invest.”　　Among the top ten cryptocurrencies by staked capitalization, annual staking rewards range from the 3% range to as high as 13%, according to StakingRewards. Although these are nominal

2021-07-02Deep Dive

Billionaire traders Point72 and Soros pile into Bitcoin. Some call it a ‘top’

Billionaire fund Soros Fund Management, owned by George Soros, and trading fund Point72 separately revealed their moves into the Bitcoin space yesterday, becoming the latest entrants in an expanding list of institutional funds interested in cryptocurrencies.　　Inroads into crypto　　Soros, 90, who famously shorted the British Pound in 1992 and made a billion dollars on the trade alone, was known in his heyday as one of the best currency traders in the world.　　And his fund‘s now looking to make a similar impact on the Bitcoin market. Fund CIO Dawn Fitzpatrick is said to have approved traders to take BTC positions in the past few weeks, coinciding with the gradual fall of the world’s largest cryptocurrency.　　The move came months after Fitzpatrick confirmed her interest in the space. “There‘s a real fear of debasing fiat currencies. Bitcoin, I don’t think it‘s a currency, I think it’s a commodity that‘s easily stored and transferable, with a finite supply,” she said in March, adding the market was reaching an ’inflection point.　　Elsewhere, Point72 is seeking a head of cryptocurrencies. The fund manages billions of dollars across several asset classes but was yet to dip its toes in the burgeoning crypto market. Until now.　　The fund made no comments

2021-07-02Deep Dive

Must-read: Argot in Cryptocurrency Trading!

Tricks played in cryptocurrency trading are springing up like mushrooms. Traders are often deceived by slang that seems to be professional and convincing. As such, argot is introduced herein for your reference.　　1. Google is our information security partner: We use Google authenticator actually.　　2. We have a deep partnership with Facebook to carry out global community operations: We boast a Facebook Fan Page.　　3. We use the worlds top security standards for asymmetric encryption: Our website starts with https.　　4. We embrace an international team: We are acquainted with foreigners.　　5. We use the BVI architecture: You cannot find the information on our actual controller.　　6. We are extending to the Southeast Asian market: The founder just visited Bangkok and Ho Chi Minh City (HCMC).　　7. We have a professional team for market value management: We manipulate the prices of digital assets.　　8. We pay more attention to long-term value: Prices of digital currencies cannot rise in the short run.　　9. We focus more on ecological construction than technology: We lack technological competence.　　10. This is a project based on Ethereum network technology: We are so technologically incompetent that we directly use Ethereum to issue coins.　　11. Our project has held a roadshow in the financial center of Singapore: The

2021-07-01Deep Dive

What is the practicality of El Salvador adopting a national digital currency?

El Salvadors congress voted to accept the cryptocurrency and won a supermajority of 62 out of 84 votes.　　Starting in September, El Salvador will soon have two official currencies: the U.S. dollar (USD) and bitcoin (BTC). In what is likely an unprecedented move for any nation worldwide, both USD and BTC can be used interchangeably within all government transactions — and this will likely make the nation a world leader in an increasingly digital era.　　Why Did El Salvador Move to Cryptocurrency？　　According to a tweet from president Bukele, moving to cryptocurrency would promote “financial inclusion, investment, tourism, innovation, and economic development for our country.”　　And he does have some facts and figures to support his claim. Some 70% of El Salvadorians are unbanked, meaning they dont have even a basic bank account. This means that 70% of citizens will always be one step behind, no matter how hard they try, and will have even more challenges accumulating wealth and saving what they already have.　　El Salvador also relies heavily on money sent back to the country from migrants. For example, a man working in the United States sending a portion of his paycheck to his family in El Salvador, or a woman working in

2021-07-01Deep Dive

Adakah MATIC bersedia untuk $1.50?

Ini telah menghasilkan pembentukan segitiga menurun. Bahagian bawah ditandakan pada $1.011, dan garis atas menurun pada $1.0980. Sekiranya MATIC ditutup pada harga semasa, ia akan menandakan penamat hari semalam dan dianggap sebagai penembusan.　　Tambahan pula, bahagian bawah juga mendapat daripada support pada harga $0.9890. Oleh itu, MATIC berada dalam situasi yang berbahaya. Sekiranya penembusan kenaikan ditolak, sokongan Utama tidak jauh di bawah.　　Atas dasar itu, Polygon berjalan dengan tali yang ketat. Penutupan di atas garis tren akan melihat harga melonjak ke arah purata bergerak 50 hari pada $1.4940.　　Buat masa ini, tindakan harga menunjukkan yang pertama. Walau bagaimanapun, masih banyak permainan yang tersisa untuk dimainkan hari ini, dan sehingga lilin harian dimuktamadkan, pelarian tidak akan disahkan.

2021-07-01Deep Dive

Permintaan Terhadap BTC & ETH Semakin Lemah

Laporan itu menyatakan bahawa salah satu faktor terbesar dalam naratif institusi adalah aliran aset kripto yang sehala kepada dana GBTC Grayscale. Para pelabur cuba untuk memanfaatkan abritaj yang tinggi dikecapi pada tahun 2020 dan awal 2021.　　Bitcoin masih lagi didagangkan sideway pada minggu ini ditambah dengan para pelabur mula melepaskan keuntungan sebelumnya dalam pasaran dengan menjualan pelaburan mereka ketika pasran ‘downtrend’.　　Sejak pertengahan Mei, nilai aset bersih telah berkurangan sebanyak -21.23%. Potongan harga ini terus meningkat berikutan penjualan dalam pasaran. Glassnode juga melihat aliran keluar dari dua institusi dan BTC.　　Secara rumusan, laporan menyatakan bahawa premium GBTC, aliran keluar bersih dari ETF dan Coibanse dapat disimpulkan bahawa permintaan BTC dari institusi semakin lemah sejak seminggu lalu.　　Jumlah aliran keluar Bitcoin bagi semua dana telah merosot menjadi hanya $ 1.3 juta, turun dari $ 89 juta untuk minggu sebelumnya. Namun, terdapat aliran masuk yang sedikit untuk Grayscale. Hal ini menunjukkan sentimen bercampur untuk pasaran Bitcoin dalam kalangan pelabur.

2021-07-01Deep Dive

Mike Novogratz: Ethereum May Become the Biggest Cryptocurrency

Galaxy Digital CEO Mike Novogratz told Bloomberg that Ethereum could potentially flip Bitcoin one day during his June 30 interview.　　I think Ethereum, most likely, become the second-biggest or, maybe, the biggest cryptocurrency one day.　　He mentions that Ethereum has “a very different use case” compared to the flagship cryptocurrency.　　While Bitcoin is “a beautifully designed” store of value, its biggest competitor can serve as the base layer for Web 3.0.　　However, he also points out that Ethereum is facing tough competition from the likes of Solana, Terra, and other ecosystems.　　The crypto tycoon predicts that things that are going to be built on top of Ethereum or other platforms are going to be mind-blowing in the next five years.　　Still early　　When asked about whether or not his clients feel angsty about the ongoing market correction, Novogratz replied that the crypto revolution is still in its early stages.　　Hence, he claims that nobody actually thinks that crypto is going away.　　Novogratz believes that regulation is going to make the industry even stronger.　　That said, he also states that the cryptocurrency community had to do a better job of educating lawmakers following yesterdays congressional hearing.

2021-07-01Deep Dive

5 ways to lessen personal and financial risks from DeFi exploits

The buzzing world of Decentralized Finance (DeFi) has racked up its fair share of brickbats and bouquets ever since rising to popularity in 2020. It broadly refers to non-custodial, peer-to-peer financial services built on smart contract-enabled protocols, usually for services like lending, flash loans, trading, insurance, and many others.　　But with the innovations comes the money, and with the money come scams. Millions of dollars have been lost to DeFi exploits, hacks, “rugpulls,” and flat-out frauds in the past many months, with most of the stash exiting the market to never return.　　Binance Smart Chain, the smart contract-enabled version of the Binance Chain, has emerged as a hotbed for such scams. Names like BurgerSwap, Belt Finance, Impossible Finance, and others, have accounted for millions of dollars worth of damages, with some like ‘SafeDollar’ on Polygon have dropped to $0 after getting exploited by hackers.　　Not all hope is lost, however. There are ways to remain protected and lessen risks from DeFi exploits. Heres Jeff Kirdeikis, CEO of DeFi app TrustSwap, with five tips on how users can get in the know and lessen their risk.　　 1. Dont over-commit.　　When it comes to investing in cryptocurrencies, its important to never invest more than you can

2021-07-01Deep Dive

Did Elon Musk Succeed in Changing Investors Mind On Bitcoin (BTC)?

Elon Musk, the iconic billionaire and CEO of the electric automaker, Tesla Inc has continued to grow his influence in the cryptocurrency ecosystem. A new survey report has duly captured the extent of the popularity of his opinion. The survey, conducted by Investing.com was targeted at assessing the influence of the eccentric business leader over financial markets.　　The Investing.coms Research Survey and Discoveries　　Per the survey, as much as 49% of the 1,100 respondents in the research said that Bitcoin being environmentally unfriendly is an issue for them as an investor. Following the highly publicized criticism of Bitcoin by Elon Musk, 30% of investors said they sold off their coins in the past month with 20 percent attributing their sale to Musks comments.　　The energy concerns have fueled a shift in the focus on Bitcoin and other Proof-of-Work (PoW) networks, to more energy-efficient alternatives.　　“Bitcoin has an energy problem, as its network consumes more power than entire countries, like the Netherlands, or Pakistan,” said Jesse Cohen, senior analyst at Investing.com. “Ripple and Cardano, for example, are two cryptocurrencies which have less environmental impact than BTC and are more efficient in terms of their mining and transaction environmental costs.”　　While the alarm Elon Musk raised and

2021-07-01Deep Dive

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