September 30, 2023
Welcome to Morning Blockchain, where we’re riding the wave of knowledge and insights from the week to bring you daring articles that’ll help you crush it in the world of blockchain and cryptocurrency. From exploring the concept of depegging in stablecoins to the disruptive potential of tokenizing real-world assets, we’ll dive into the latest trends and developments, including partnerships expanding the reach of Ethereum Layer 2 networks and regulatory battles shaping the industry. Get ready to kick back with a can of knowledge and elevate your blockchain game.
What is a depegging in the context of stablecoins? The article discusses the concept of depegging in the context of stablecoins, which is when the value of a stablecoin deviates significantly from its intended pegged value, and explains the reasons behind depegging events, such as market conditions, liquidity issues, regulatory changes, and technical problems, highlighting its relevance to blockchain and cryptocurrency by emphasizing the importance of stablecoins as a stable store of value and medium of exchange in the crypto space. Circle Rolls Out Open-Source Protocol to Help Build Tokenized Credit Markets Blockchain-based tokenization of real-world assets is gaining momentum, with the potential to disrupt traditional finance by creating a more transparent and efficient system, as stated in a Bank of America report; Bernstein predicts that tokenized assets could reach a market value of $5 trillion within the next five years. Crypto exchange WOO X partners with OpenTrade to offer tokenized Treasury Bills in Asia Crypto exchange WOO X has partnered with OpenTrade to offer tokenized U.S. treasury bill products in Asia, allowing users to earn yield and borrow loans against liquid assets, thereby strengthening WOO’s position in the region as it expands and meets the increasing demand for tokenized T-Bills. Arbitrum Foundation partnership seeks to boost Arbitrum’s presence in Japan The Arbitrum Foundation has partnered with Fracton Ventures to launch Arbitrum Japan, aiming to boost the presence of the Ethereum Layer 2 network in the country through ecosystem development, community education programs, and business collaborations, which is relevant to blockchain and cryptocurrency as it expands the reach and adoption of blockchain technology in Japan. Paradigm says SEC is trying to change the law with case against Binance Crypto venture capital firm Paradigm has accused the SEC of attempting to change the law outside of the rulemaking process in its ongoing case against Binance, arguing that the agency’s stance would significantly affect securities law and the broader cryptocurrency industry; Circle, the company behind stablecoin USDC, has also expressed concerns in its own amicus brief regarding the SEC’s claim that Binance’s stablecoin, BUSD, was offered and sold as an unregistered security. Ethereum dominates developer activity in US; BNB Chain in Europe, Asia According to a report from Chainstack, Ethereum is the most popular protocol for web3 developers in the US, while BNB Chain leads in Europe and Asia, indicating the dominance of these platforms in their respective regions; this article is relevant to blockchain and cryptocurrency as it highlights the preferences and trends of developers in different regions, providing insights into the adoption and usage of blockchain protocols. First Mover Americas: Circle Argues Stablecoins Aren’t Securities in Response to SEC’s Binance Lawsuit Coinbase has received regulatory approval in Bermuda to list perpetual futures, a type of cash-settled derivatives contract, to users outside of the United States, which aligns with their plan to roll out a perpetual futures platform and highlights their expansion in the cryptocurrency market. Bitwise intends to begin trading ether futures ETFs on Monday Bitwise is set to launch two new ether futures ETF products, offering investors an opportunity to trade regulated Chicago Mercantile Exchange ether futures contracts without direct exposure to the underlying asset, signaling the increasing interest in cryptocurrency and blockchain technology. Bitcoin accounting rules ‘hugely positive’ for adoption: Sazmining COO New fair value accounting rules will make it easier for corporations to adopt bitcoin, as they can now report their crypto holdings at fair market value, removing a previous barrier to adoption, and potentially leading to more corporations diversifying their treasury holdings into bitcoin. Fireblocks acquires BlockFold to expand tokenization capabilities Fireblocks, a digital asset technology firm, has acquired BlockFold, a smart contract development and consulting firm specializing in tokenization projects for financial institutions, to expand its capabilities in tokenization and better serve tier-1 financial institutions in bringing tokenization projects into production and new assets onto the blockchain, as the demand for tokenization rises and is projected to grow into a $16 trillion market by 2030. OpenTrade Unveils Tokenized U.S. Treasuries Offering as Tokenization Race Gains Steam Big banks are exploring ways to leverage blockchain technology by tokenizing real-world assets, such as government bonds, private equity, and credit, which is becoming a hot trend in the cryptocurrency world.