Crypto Market Weekly Recap - April Week4

Hello guys.

A great weekend is coming to an end, so let's welcome a good Monday together. Every Sunday, it's almost like forgetting what happened in the previous days of the week, Crypto is full of information all the time, but most of it is trash.

One of TokenInsight's Guest Researchers, Dan, shared an observation today. He said that the Crypto market's rising market share of algorithmic stablecoins was a very dangerous sign, as the entire market has been leveraged to buy coins. He also shared a study on this topic, Bitcoin Faces a New Threat: Algorithmic Stablecoins, Barron. For those who are interested, check it out.

Personally, I agree with it. My colleague Aidan also posted an article the other day on UST and Anchor, a "credible" Ponzi game, and NEAR is already doing the same thing. Justin Sun said this week that Tron is also preparing a $10 billion reserve to issue an algorithmic stablecoin. By this logic, let's assume an extreme scenario, ETH can use as reserve to issue algo stablecoins. So what about UNI, COMP, DYDX and other altcoins? If everybody is doing it, we can easily double the entire market without developing anything, right?

As I mentioned before in my other articles, Coinbase is always trying to do one thing these days: making its financial report look healthier and less dependent on transaction fee. That's why that have Coinbase Cloud, and the Coinbase NFT marketplace, which went live last week (Beta version).

The Coinbase NFT marketplace has seen dismal trading volume since its launch, with 24-hour trading volume of only 8.48 ETH. And I'm not sure if the NFT marketplace is to blame, but the company's stock price has hit all-time low.

Mentioning NFT, I'd like to share a thought I had with Kydo (Twitter: @0xkydo) when I talked to him today. His thought mostly. Token itself can be used as an asset and also as proof of an asset, two properties in one. In contrast, most assets in the traditional world have these two properties separately, which can be understood as a separation of ownership and use right. As one type of Token: Fungible Token, we have seen the unusual applications and differences from Money. Another type, Non-Fungible Token, also has this nature. Then it should also have new scenarios, new applications, new values.

Kydo mentions adding the concept of "experience" to NFT, for example, in a charity scenario. In the traditional world, if you donate money to an organization, you get a certificate of that donation. But few people would share that certificate. But if the charity thing is partly experiential, it's a different story. Let's think about the Ice Bucket Challenge. One way of sharing the donation to the public is to just share a certificate, and another way is to share the video of the Ice Bucket Challenge. The impact on the public and the engagement of the donor itself are completely different for the above two.

In the same way, NFT can also add a similar element of "experience", so that NFT is no longer a proof of something. But a record of "experience", a "souvenir ". Then, as the user and NFT interaction, may no longer just the act of buying and selling, more scenarios, the value may be reflected.

Market Dynamics

Some of the major events in Crypto in the past few days.

• The Ethereum Foundation announced its first quarter 2022 operations report. on March 31, 2022, the Ethereum Foundation treasury had about $1.6 billion in funds. A portion of the funds have been used for research and development, and the Ethereum shadow fork took place this Saturday, and development continues at a high rate.

• Frax Finance provides over $250,000 for $veCRV voters who support the Fantom 4Pool. The reward will be paid in $FXS and was officially launched on the 21st. For those of you who are interested, you can check it out.

• BNB Chain on $OP happens Rug Pull. BNB Chain's aircoin project run frequently, we must be careful, the money will not just fall into your pockets.

• The next phase of the Ethereum Layer 2 network Optimism will be launched soon. Token is coming, Token is coming, already has a coin page on Coinbase.

• Nasdaq is considering offering Bitcoin and cryptocurrency-related services. Being considered is about as likely as it gets. After all, more and more traditional institutions have started to enter this year.

• ConsenSys is opposed to the SEC's proposed trading law, which would somewhat stabilize the industry, as the SEC's regulatory powers are still too big and the bill's targeting could easily lead to market panic. If don't object now, it will be a problem to be targeted later.

• Solana DeFi agreement Delta One closed $9.1 million in funding led by Alameda Research and Ship Capital. Solana Ventures and Solana co-founder Raj Gokal also participated. With the official support, there is some potential.

• NFT project Moonbirds floor price rose to 30 $ETH. From April 16-18, Moonbirds traded 25% of the entire NFT trading market. It price has nearly doubled in the last week, with a decent pending order rate and a high participation of giant whales.

• Coinbase launched the Beta NFT marketplace. 20th of volume was abysmal, only 8.48 $ETH, and one BAYC Is 15 times that.

• Aura FAT raises $115M in NASDAQ IPO. Aura FAT is currently focused on crypto industry assets and is interested in emerging technology companies dealing with Web3, cryptocurrencies.

• Aave V3 on Avalanche has been turned on for liquidity staking. Assets can now be migrated from Aave V2, but note that only $USDC and $USDT are listed in Aave V3.

• MakerDAO will start to integrate Ethereum scaling solution StarkNet in four phases on April 28. The official explanation is to reduce the transaction cost of $DAI, which is one of the reasons; In fact, it is also to expand the market share of $DAI. After all, there are two big brothers, $USDT and $USDC, which are always in front of it, so more people will be willing to pay attention to the lower transaction cost.

• Binance will not provide crypto asset services for Russian citizens over 10,000 euros. The sanctions are really coming, and this wave is quite tough. Russian who want to do transactions will have to change their account and go abroad to do KYC.

This week's daily news roundup is here, in English and Chinese.

• Crypto Daily Digest - April 18th
• Crypto Daily Digest - April 19th
• Crypto Daily Digest - April 20th
• Crypto Daily Digest - April 21st
• Crypto Daily Digest - April 22nd