This Week in Crypto (Through November 30)
DYDY Launches on Cosmos Layer 1, Solana Leads Layer 1s, TradFi Takes Center Stage, RWA Platform Journey to Multichain Future, Privacy-first Content drives Web 3 Adoption, Friend.tech Signups Falter
Blockchain Infrastructure
News about: Layer 1s & Layer 2s, Interoperability Consensus Mechanisms, Data Storage & IPFS
DYDX Chain Launches Trading Rewards on Cosmos Layer 1
CoinGape | Kelvin
“Since its beta mainnet debut on November 14, the dYdX Chain has facilitated active trading across over 33 markets, offering up to 20x leverage. Although staking rewards were available during this beta phase, trading rewards remained pending. However, validators and stakers have accumulated 100% of the protocol’s trading fees. With the governance vote’s conclusion, trading rewards are now fully operational. Additionally, stakers will continue receiving rewards in both USDC and DYDX.”
Solana Leads Layer-1 Token Gains as Bitcoin Crosses $38K
CoinDesk | By Shaurya Malwa
“Bitcoin broke above the $38,000 level in Asian morning hours on Wednesday as hopes around a spot exchange-traded fund (ETF) approval were revived earlier this week, and traditional market watchers expected rate cuts.
Solana’s SOL tokens led gains among layer-1, or base, blockchains, jumping some 8% in the past 24 hours to reverse losses from the past week.”
Digital Assets & Financial Innovations
News About: NFTs, DeFi, Real World Assets (RWA), DAOs, Token Standards
The Handover Begins: TradFi Takes Center Stage in Crypto’s Next Phase
CoinDesk | By Mark Arasaratnam, Ilan Solot
“Not only are institutions here, but they’re starting to eat the crypto-natives’ lunches. This is a catalyst for further development and innovation in the digital assets space, say Mark Arasaratnam and Ilan Solot at Marex.
The great handover of crypto infrastructure from crypto natives to traditional finance is happening, but it is not driven by ideology, a newfound desire to “bank the unbanked,” or to promote an alternative financial system. Instead, it’s a function of both push and pull forces.”
Real-world asset-focused network hits key milestone in journey to multichain future
CoinTelegraph | Chris Jones
“Creditcoin, a pioneering platform for real-world asset innovations that enables unbanked consumers to build a credit history on Web3, has announced the launch of the latest upgrade of its mainnet. This new release upgrades the RWA-focused blockchain consensus to nominated proof-of-stake (NPoS) and aims to improve on-chain liquidity for both borrowers and fintech lenders, emphasizing the principles of auditability, transparency and trust.”
Web3
News About: Web3 & DWeb, Decentralized Identity
Privacy-first, copyright-friendly content is key to driving Web3 adoption
CoinTelegraph | Anatol Hooper
“While Web3 holds the promise of mitigating the drawbacks of Web2, its adoption remains sluggish among content creators and end users alike.
The reluctance of users to adopt Web3 is due to a confluence of factors, the most important of which is the perceived complexity of the Web3 ecosystem. Navigating the intricate maze of Web3 operations, which involves managing multiple wallets, chains, bridges, and pools, is a daunting challenge for users, hindering their engagement and leading to poor user retention. This low user engagement is further exacerbated by the lack of immediate, tangible benefits for content creators and Web3 projects.”
Web3 Watch: Friend.tech sign-ups falter
Blockworks | Jack Kubinec
“Friend.tech is either dead in the water or just getting started, depending on who you ask.
Usage statistics for the SocialFi app show a plateau in dollar inflows and a drastic slowdown in new users. However, those already on the platform continue to project optimism while awaiting a monetization route for airdropped Friend.tech “points.”
After consecutive days of record outflows in late October, Friend.tech’s cumulative dollar inflows plateaued at around $35 million — meaning capital appears to be staying put amid a broader market rally.”
Enterprise & Adoption
News About: Corporate Adoption & Public Markets
Standard Chartered China Offering Exchange Services for Digital Yuan
CoinDesk | Jamie Crawley
“Multinational bank Standard Chartered (STAN) has started offering exchange services for the digital yuan, China's central bank digital currency (CBDC).
The bank's China division is working with City Bank Clearing Services to give customers access to the digital yuan's interconnection platform, offering recharge and redemption, according to an announcement on Monday.
Standard Chartered said it has also joined the CBDC's business pilot, becoming one of the first foreign firms to do so.”
South Korea to invite 100K citizens to test CBDC in 2024
CoinTelegraph | David Attlee
“The Bank of Korea (BOK) — South Korea’s central bank — has said it will invite 100,000 Korean citizens to purchase goods with deposit tokens as part of its central bank digital currency (CBDC) pilot. The testing will start “around September to October” of 2024 and last for three months.
According to a Korea Times report from Nov. 23, participants will be restricted to using the CBDC only for payment, without an option to store, exchange or send it to other users. The goal of the pilot stage is to evaluate the feasibility and effectiveness of issuing and distributing the currency.”
Gaming/Metaverse
News About: Gaming & Metaverse
Virtual stores are taking center stage in brands’ holiday metaverse strategies
Modern Retail | By Maria Monteros
“As retailers begin to roll out their metaverse strategies for the holidays, virtual stores appear to be the format of choice for many.
For the last three years, brands have been incorporating various metaverse experiences into their holiday marketing campaigns. Some brands have previously opted to develop virtual try-on experiences, create interactive challenges or give users the chance to co-create virtual products. This holiday season, however, more brands have been investing in ways to bring the fun of in-store shopping into the digital world by way of metaverse stores. “
Axie Infinity unveils NFT monetization solution, official merchandise
Crypto.news | By Ogwu Osaemezu Emmanuel
“Axie Infinity (AXS), the widely-played blockchain game and metaverse project, has unveiled a novel initiative, allowing its non-fungible token (NFT) owners the commercial rights to produce and sell authorized merchandise.
This announcement coincides with Sky Mavis, the game’s developer, launching a dedicated merch store for the Axie Infinity intellectual property.
According to Sky Mavis, owners of specific Axie NFTs will now have the opportunity to create and sell their products, marking a significant step into user-generated content (UGC) and commercialization.”
Regulation & Compliance
News About: Regulation, Tax Implications, AML/KYC
SEC’s Enforcement Division Targets PayPal’s New Stablecoin
Forbes | Joshua Garcia
“PayPal is the latest company to catch the U. S. Securities and Exchange Commission’s attention for its stablecoin. On November 1, PayPalPYPL -0.8% revealed in a 10-Q filing it “received a subpoena from the U.S. SEC Division of Enforcement relating to PayPal USD.” PayPal stated it will comply with the request. This is not the first time the SEC has targeted a key stablecoin player.”
Judge signs off on $1.65B settlement between Voyager Digital and FTC
CoinTelegraph | Turner Wright
“A federal judge has approved an order requiring crypto lending firm Voyager Digital and its affiliates to pay $1.65 billion in monetary relief to the United States Federal Trade Commission (FTC).
In a Nov. 28 filing in U.S. District Court for the Southern District of New York, Judge Gregory Woods ordered Voyager to pay $1.65 billion following a settlement between the lending firm and the FTC announced in October. As part of the agreement, Voyager will be “permanently restrained and enjoined” from marketing or providing products or services related to digital assets.”