Top Blockchain News for Sep 12, 2023

September 12, 2023

Welcome to Morning Blockchain, where we dive into the unexpected twists and surprises in the ever-evolving world of blockchain and cryptocurrency. From Ripple’s acquisition and security incident to PayPal’s expansion of crypto services, and the ongoing regulatory debates, join us as we explore the latest developments and their impact on the industry. It’s time to sip on that can of knowledge and get ready to conquer the week ahead.

Top Stories

Ripple made Fortress customers hit by security incident whole as part of acquisition Ripple, a crypto payments business, acquired blockchain startup Fortress Trust and covered losses suffered by Fortress Trust’s customers after a security incident involving a compromised third-party vendor; this is relevant to blockchain and cryptocurrency as it demonstrates the potential risks and vulnerabilities in the industry and the importance of addressing security concerns to protect users’ funds. DeFi Education Fund files petition over ‘patent troll’ lawsuits The DeFi Education Fund is fighting against patent infringement lawsuits in order to protect the cryptocurrency industry’s use of open-source software, as a technology company called True Return Systems LLC sued Compound Protocol and MakerDAO over alleged patent infringement. The DeFi Education Fund argues that the patent should not have been issued as it wasn’t a new invention, citing a similar Nasdaq patent filed prior to True Return’s patent, and emphasizes the importance of open-source software development in the crypto community. Defiant Gensler Returns to Crypto Grievances Ahead of Senate Testimony The court ruled in favor of Ripple, stating that their sales of XRP did not violate securities law, which could set a precedent for other crypto companies facing similar lawsuits; however, another judge recently dismissed the Ripple judgment in a separate case, showing that the outcome is not yet set in stone. PayPal rolls out crypto-for-USD conversion service PayPal is expanding its crypto-related services by launching an “off ramp” service that allows users to convert their digital currency into dollars directly from their wallets, making it easier for them to shop, send, save, or transfer funds; this development is relevant to blockchain and cryptocurrency as it demonstrates the continued integration and adoption of digital assets by a major payments firm. Gensler pushes for crypto compliance ahead of Tuesday hearing SEC Chair Gary Gensler is set to testify before the Senate Banking Committee and argue that many cryptocurrencies should be regulated as securities, citing noncompliance with securities laws and the need for investor protection, amid recent court decisions impacting the agency’s regulatory efforts in the crypto space; this article is relevant to blockchain and cryptocurrency as it highlights the ongoing debate and regulatory challenges surrounding the classification and oversight of cryptocurrencies. Coinbase Cloud integrates Kiln platform for native ETH staking below 32 ETH Coinbase Cloud, the cloud division of crypto exchange Coinbase, has integrated an on-chain staking protocol called Kiln to provide native ETH staking below the standard minimum requirement of 32 ETH, allowing users to stake smaller amounts and maintain control of their funds directly from wallets; Coinbase Wallet will be the first to implement this solution, making ETH staking more accessible to its users and potentially extending it to other wallets and services. Sushi announces expansion to Aptos blockchain Sushi, a decentralized finance project, is expanding to the Aptos blockchain, making it the first time Sushi integrates with a non-Ethereum Virtual Machine (EVM) blockchain, showcasing its goal of cross-chain and multi-chain prominence. Animoca Brands Raises $20M for Metaverse Project Mocaverse Animoca Brands, a major investor in NFTs and blockchain gaming, is creating Moca ID, an NFT collection that enables users to create on-chain identities for the Mocaverse ecosystem, showcasing the growing intersection between blockchain, NFTs, and gaming. What is the difference between Bitcoin and Ethereum? Bitcoin and Ethereum, the two leading cryptocurrencies, differ in their purpose and functionality; Bitcoin is primarily a store of value and medium of exchange, while Ethereum is a platform for smart contracts and decentralized applications (dapps), with its native cryptocurrency, ether, powering these operations. From a technical standpoint, Bitcoin focuses on monetary transactions, while Ethereum allows for transactions with executable code, enabling the creation of smart contracts. They also differ in their consensus mechanisms and are both working on layer solutions to address scalability issues. Squid unveils direct swaps across Cosmos and EVM blockchains Squid, a cross-chain swap protocol, has expanded its services to enable liquidity routing and token swaps between the Ethereum blockchain, various Ethereum Virtual Machine blockchains, and the Cosmos ecosystem, using Axelar Network’s technology and the Cosmos Inter-Blockchain Communication (IBC) protocol, making it easier to transfer assets between these ecosystems and promoting interoperability in the blockchain space. Mountain Protocol launches yield-bearing stablecoin, announces fundraise Mountain Protocol is launching USDM, the first nationally-regulated, yield-bearing stablecoin that provides non-U.S. users access to U.S. Treasury yields, and the token is fully backed by short-term U.S. Treasuries and offers daily rewards in the form of rebasing, making it relevant to blockchain and cryptocurrency as it combines the benefits of stablecoins and DeFi protocols while adhering to regulatory standards. BIS calls for blockchain-based sustainable finance solutions The Bank for International Settlements (BIS) has launched an initiative in partnership with the Central Bank of the UAE and the Emirates Institute of Finance, calling for sustainable finance solutions that utilize blockchain, artificial intelligence, and the Internet of Things (IoT) to address data verification gaps in sustainable finance, highlighting the potential of these technologies to strengthen reporting, enhance transparency, and ensure informed assessments of impact, risk, or compliance in the financial services industry. The G20’s Crypto Hand-Wringing Is Not Significant The article highlights the importance of discussions and the global consensus that banning cryptocurrencies is pointless, allowing the G20 to make its own regulations and potentially legitimize crypto assets, which is relevant to blockchain and cryptocurrency as it shows a positive direction for the industry. What is blockchain technology? A beginner’s guide to distributed ledgers Blockchain technology is a distributed ledger system that enables cryptocurrencies and digital payments, and this beginner’s guide explores the basics of blockchain technology and its potential applications, including private key cryptography, a distributed network with a shared ledger, and the use of incentives to service the network’s transactions, record-keeping, and security, making it relevant to the world of blockchain and cryptocurrency. Trading Firms Deposit Millions in BTC, ETH and ARB to Exchanges as Crypto Sell-Off Intensifies This article highlights how smaller traders in the crypto market keep an eye on the actions of big institutional traders, who are seen as market influencers, especially when it comes to on-chain movements such as sending tokens to exchanges, as it could indicate intentions to sell or simply be part of liquidity provision strategies. So, it’s relevant to blockchain and cryptocurrency as it shows how market participants analyze on-chain data to gain insights and make informed decisions. Luno halting some UK client trades ahead of new FCA rules: CoinDesk The Luno cryptocurrency exchange will temporarily halt the ability of some UK customers to trade on its platform due to new regulations by the Financial Conduct Authority (FCA) that require crypto promotions to contain clear risk warnings; this move highlights the impact of regulatory changes on crypto firms and their customers.