2024-02-05 10:34

The Ethereum version of dogwifhat pumped, then dumped, within hours on Saturday, but blockchain data shows a few wallets picked up a large chunk of the supply after it was issued. Many crypto wallets pocketed over $1.3 million over the weekend after picking up an ample supply of the Ethereum version of meme coin dogwifhat (WIF). As such, the Ethereum version of dogwifhat isn’t connected to Solana-based WIF, which launched in late November and reached a market capitalization of over $350 million. Over 12 wallets, termed “insiders” by the on-chain analytics tool Lookonchain, purchased 24 million Ethereum WIF tokens for $3,000 in ether. This purchase was in the same block where the deployer opened trading – implying the trader knew precisely when the tokens would be issued and traded, Lookonchain said. Hype for the tokens caused prices to jump from fractions of a penny to 30 cents before concerns around their ownership caused prices to dump more than 80% since Saturday. The Ethereum WIF was issued by X user @issa, who claimed to have first posted about the original dog wearing a pink hat meme in 2019. “I originally created the meme you all know as “dogwifhat,” @issa said on X. “With so many of you reaching out to me and the $WIF team never acknowledging me as the original creator, I wanted to clarify that I have no affiliation with them and never owned or received any allocation.” Meanwhile, @issa’s direct involvement with Ethereum WIF tokens has created strong demand for the tokens as it garnered some $7.7 million in trading volumes in the past 24 hours from just over 4,500 holders, DEXScreener data shows. Debates around which is the real WIF meme token continue to rage on in crypto circles. https://www.coindesk.com/markets/2024/02/05/apparent-insiders-make-millions-after-grabbing-ethereum-version-of-dogwifhat/

2024-02-05 10:14

In December it was reported that Financial Supervisory Service head Lee Bok-hyun was planning on meeting U.S. SEC Chairman Gary Gensler for the first time to discuss crypto regulation. Lee Bok-hyun, the head of South Korea's Financial Supervisory Service (FSS), said he is planning on maintaining talks with the U.S. Securities and Exchange Commission (SEC), and an area of focus will be spot bitcoin exchange-traded funds (ETFs), Hankyung reported on Monday. "I met with SEC Chairman Gary Gensler (this year) and there are areas where we will focus on issues such as virtual asset issues and bitcoin spot ETF," Lee told reporters. In December it was reported that Lee was planning on meeting with Gensler for the first time to discuss crypto regulation. The January meeting was designed to coordinate schedules and strengthen "cooperation between the two agencies,” the FSS said at the time. The U.S. recently approved spot bitcoin ETFs for the first time after a decade of attempts from the financial sector. Regulators around the world are questioning whether they should do the same. https://www.coindesk.com/policy/2024/02/05/south-korean-regulator-to-discuss-spot-bitcoin-etf-with-us-sec-report/

2024-02-05 10:08

Nearly $1.4 billion of Genesis’ assets were held in Grayscale Bitcoin Trust (GBTC), which has since converted to a spot exchange-traded fund (ETF). Bankrupt crypto lender Genesis filed a motion Friday asking a U.S. judge to approve the sale of over $1.6 billion in bitcoin (BTC), ether (ETH) and ethereum classic (ETC) held in Grayscale’s trust products. If the motion is approved, the market could see yet another significant chunk of selling pressure on bitcoin. In January, bankrupt exchange FTX sold over $1 billion worth of GBTC holdings. That coincided with the price dropping to $39,000 from $49,000. Nearly $1.4 billion of Genesis’ assets were held in Grayscale Bitcoin Trust (GBTC), which has since converted to become a spot exchange-traded fund (ETF). It also holds $165 million in Grayscale Ethereum Trust and $38 million in Grayscale Ethereum Classic Trust, the filing shows. Some of the GBTC shares were transferred to the crypto exchange Gemini by Genesis as collateral as part of the Gemini Earn program, the filing stated. Genesis seeks an additional 31 million GBTC shares that were pledged to Gemini but never transferred, the filing added. Genesis and Grayscale made up key parts of Digital Currency Group’s crypto empire, which was hit by losses and controversies as prominent funds and exchanges went bust in 2022, sparking a domino effect that caused Genesis to declare bankruptcy last year. Genesis’ biggest creditor is Gemini, which estimates that more than 100,000 of its users are affected by the bankruptcy and are owed a total of between $1 billion and $10 billion. The lender further owes over $3.5 billion to its top 50 creditors, which also include trading giant Cumberland, Mirana, MoonAlpha Finance and VanEck’s New Finance Income Fund. https://www.coindesk.com/business/2024/02/05/genesis-seeks-approval-to-sell-16b-in-bitcoin-ether-trust-holdings/

2024-02-05 07:38

The Republican front-runner also said that AI-powered deepfakes were a "tremendous problem." Former president and Republican front-runner Donald Trump called artificial intelligence (AI) "dangerous and scary" in an interview with Fox Business’ Maria Bartiromo, highlighting the power of deepfakes to do anything from create false product endorsements to change the tide of war. “I saw somebody ripping me off the other day where they had me making a speech about their product. I said I’ll never endorse that product. You can’t even tell the difference. It looks like I’m actually endorsing it,” he said. “You can get that into wars and other things.” “Something has to be done about this, and it has to be done fast,” he continued,” saying AI was “maybe the most dangerous thing out there of anything because there is no real solution.” During the interview, Trump continued his attacks on CBDCs, calling them a “very dangerous thing.” Trump also said during the interview that he would not replace Jay Powell as chair of the Federal Reserve, calling him “political.” “It looks to me like he’s trying to lower interest rates for the sake of maybe getting people elected,” Trump said. https://www.coindesk.com/policy/2024/02/05/donald-trump-calls-cbdcs-and-artificial-intelligence-dangerous/

2024-02-05 06:49

Market enthusiasts expect the year of the dragon to bring good fortune for the crypto market, but more traditional analysts advice caution. Bitcoin (BTC) traded flat, hovering over $42,000 early Monday, while the CoinDesk 20 Index {{CD20}} is down 0.75% at 1,643, according to CoinDesk Indices data, as nations in East Asia count down the last working days before the Lunar New Year holiday. Over the next few days, East Asia will celebrate the start of the year of the dragon, which is considered to be one of the luckiest and most prosperous animals in the Chinese Zodiac. Last year, CLSA, a Hong Kong-based brokerage firm, predicted in a January note that 2023 will see market fluctuations, attributing a calmer outlook to the Year of the Rabbit while advising investors to venture beyond their comfort zones cautiously. And indeed, the market “hopped" back from its dismal 2022 performance, with bitcoin having jumped nearly 94% over the last year, with ether (ETH) rising 47%. According to an analysis by CoinDesk Indices, the CoinDesk Market Index outperformed the S&P 500 fivefold, largely thanks to bitcoin’s outperformance. While ether underperformed throughout 2023, according to market data, Daniel Wang, the co-founder and CEO of Taiko, a zero-knowledge roll-up platform, sees potential for ether’s price performance in 2024 in this “auspicious year full of positive energy.” “The Year of the Dragon opens new doors for Ethereum, especially with the anticipated impact of ETFs,” he said in an interview with CoinDesk. “Ethereum is on track to achieve lower gas fees and faster transactions with the long-awaited Dencun upgrade.” Lucy Hu, a Senior Analyst at Metalpha, adds that bitcoin’s halving and taming inflation looks promising for prices. “Despite the crypto market currently experiencing a sell-the-news effect, the year of Dragon is on track to be one of the best performing as the inflation is now under control and the bitcoin halving event takes place later this year, which should boost the market confidence,” she wrote in a note. “We hope the fiery spirit of Dragon can lead the market to a new height that is never seen before.” Over on the traditional finance side, CLSA said in a recent report that they predict that equity markets in the city will roar back to life in the second half of the year. However, some market volatility is expected. “Traversing this market on the dragon’s back is anything but a smooth sailing experience,” CLSA analysts wrote. “Roller coasters are nailed to the earth, but the dragon is not.” CLSA also reminded readers to seek professional advice, not the guidance of the stars, before investing. https://www.coindesk.com/markets/2024/02/05/bitcoin-flat-as-traders-look-forward-to-the-year-of-the-dragon/

2024-02-05 00:43

Under Bukele, the country in 2021 became the first nation to adopt bitcoin as legal tender. El Salvador's bitcoin-friendly president Nayib Bukele is on his way to another five-year term, according to exit polls which show him with an overwhelming lead shortly after voting ended on Sunday evening. The result was widely expected as Bukele, who served since 2019 as president, enjoyed great popularity in the country and led in pre-election polling by a large margin. "According to our numbers, we have won the presidential election with more than 85% of the votes and a minimum of 58 of 60 deputies in the Assembly," tweeted Bukele. Bukele made a splash during his first term cracking down on gang violence with mass incarcerations and betting big on bitcoin (BTC). In 2021, El Salvador became the first nation to adopt the largest cryptocurrency as legal tender, developed and introduced a crypto wallet Chivo to enhance bitcoin adoption and also started buying the asset as an investment. The move, while widely applauded by bitcoin enthusiasts, drew criticism from international organizations such as the International Monetary Foundation (IMF). The country this year plans to issue its long-awaited bitcoin-backed "Volcano bonds" after receiving regulatory approval in December, which would fund a BTC mining industry powered solely by renewable energy. https://www.coindesk.com/policy/2024/02/05/el-salvadors-bitcoin-friendly-president-nayib-bukele-wins-re-election/