CBDC Milestone, ETF Spotlight, Legal Updates, NFT Market Report, and More
06.30.2023
Market Overview
Crypto Roundup
CBDC News
Reserve Bank of India is optimistic about its Central Bank Digital Currency (CBDC), expecting to reach a milestone of one million users by June.
ETF Spotlight
BITX, the first-ever leveraged Bitcoin Futures ETF in the U.S., has seen increased trading volumes. After achieving $500K in the initial 15 minutes post-launch, it has since recorded a trading volume of $4.2M.
Legal and Insolvency Updates
Nevada’s financial regulator has petitioned a court to place Prime Trust into receivership.
A Federal court in Washington D.C. has dismissed a motion by Binance seeking to curtail certain wording used by the SEC in its press releases.
NFT Market Report
NFTs have seen some declines as the floor price of Azuki Elementals has dropped to 1.65 ETH from its issue price of 2 ETH. Bored Ape NFTs have also reached an 18-month low.
Regulation Bulletin
The EU has arrived at a political agreement on amending the Capital Requirements Regulation and Directive. This includes introducing new regulations for crypto assets.
Security Alerts
Chibi Finance has disappeared from the Arbitrum network, taking with it $1M in an apparent ‘rug pull’. Q2 has witnessed more than $204M lost to DeFi hacks and scams.
Foundation Updates
Lastly, Sui Foundation has denied allegations of selling staking rewards on Binance.
NFT Market News
Chiru Labs, creators of the Azuki and Beanz NFT collections, is set to launch a new series of NFTs called ‘Elementals’. This collection will be comprised of 20,000 anime-themed digital collectibles designed by Skycrow, Tenn, Timugi, and Njo, adding a fresh element to the Azuki universe (BeInCrypto, 2023). The series will be divided into four unique domains: Fire, Lightning, Earth, and Water, each representing a distinct artistic element. The Dutch Auction sale of these assets will begin at 2 ETH, with the price dropping every five minutes until all Elementals are sold (Decrypt, 2023).
Since its launch in 2022, Azuki has become a significant player in the NFT space. Its collection of 10,000 unique assets, each featuring a distinctive character with a variety of randomized traits, has seen individual pieces sell for up to $1.4 million (BeInCrypto, 2023). In addition to this, Azuki has developed its own metaverse called ‘Hilumia’, where holders can engage in a range of virtual activities (BeInCrypto, 2023). The recent announcement of the Elementals NFTs has led to a 3% increase in trading sales volume for the Azuki collection, and the floor price has risen from $28,110 to $29,611 in just one day (BeInCrypto, 2023).
Sources:
BeInCrypto. (2023, June 26). Azuki to Launch Artistic Brilliance with 20K ‘Elementals’ NFTs.
Decrypt. (2023, June 26). Azuki Expands With New 20K Ethereum NFT Collection, Elementals.
Latest News
WELCOME FRIENDS: Hundreds of institutions and prominent individuals have invested directly in crypto, adopted the value thesis, or started building technology to support digital assets since Wave started tracking this metric in late 2020. Now the rise of the Metaverse, Decentralized Finance (DeFi), Non-Fungible Tokens (NFTs), and Decentralized Autonomous Organizations (DAOs) is driving mainstream adoption of blockchain technologies everywhere we look. We’re continuing to keep track of it every week here:
- Banking giant JPMorgan has expanded its blockchain-based settlement token JPM Coin to euro-denominated payments. Since its inception in 2019, over $300 billion in transactions have been processed using JPM Coin, making it one of the most extensive uses of blockchain technology by a traditional financial institution, albeit still a drop in the bucket compared to the nearly ~$10T JPMorgan processes daily by conventional means. The system allows JPMorgan’s institutional clients to make wholesale payments between accounts around the world using blockchain tech as the rails. German tech firm Siemens conducted the first euro payment on the platform.
- Gibraltar-based crypto friendly private bank Xapo is to expand across India and the rest of South Asia in a sign of considerable expansion for the provision of cryptocurrency services in the region. Xapo is to begin accepting members across South Asia, offering services such as its USD offshore savings account offering 4.1% interest and a bitcoin wallet, offering 1% on BTC deposits.
- Top Japanese banking group Mitsubishi UFJ (MUFG) is reportedly holding discussions with stablecoin issuers to have them issue such tokens on the group’s blockchain platform. MUFG is also engaging entertainment companies and non-financial businesses on stablecoin projects.
- HSBC Hong Kong, the largest bank in the special administrative region of China, now allows customers to trade bitcoin and ether exchange-traded funds (ETFs) listed on Hong Kong’s stock exchange.
- Warner Music Group has formed a new music accelerator program in partnership with Polygon Labs that seeks to bolster decentralized music-related apps and projects built on the Polygon network.
REGULATORY ROUNDUP: We’re living through the era of regulatory recognition of digital assets. The legislation, litigation, and regulation happening today will dictate the entire future of our industry, and we have a historic chance to shape those changes by staying informed and exerting political influence.
- Crypto.com has successfully obtained registration as a virtual asset service provider from the Bank of Spain. With regulators in the European Union set to adopt new standards and requirements aligned with Markets in Crypto Assets (MiCA), Spain appears to be positioning itself as an early adopter and regulator-friendly environment for crypto-related activities.
- The U.S. House Financial Services Committee will vote on legislation aimed at creating a clearer pathway for digital assets to move from a security to a commodity, as well as a comprehensive framework for stablecoins, in July.
- Germany’s largest banking institution, Deutsche Bank, has reportedly applied for a digital asset custody license to the country’s financial regulator, the Federal Financial Supervisory Authority, or BaFin, in a bid to expand its revenue streams. This comes after a similar shift from the bank’s investment arm, DWS Group, and aims to expand on digital asset custody services, including cryptocurrencies. DWS Group had previously indicated an interest in investing in two German crypto firms. Companies negotiating with DWS Group included Deutsche Digital Assets, a crypto exchange-traded products provider, and market maker Tradias. The banking giant’s corporate bank division first revealed plans to offer digital asset-related services in 2020 but hadn’t announced a timeline for introducing the services.
- Ripio has been approved to operate in Spain, a move that follows competitors including Bit2Me and Bitpanda gaining regulatory approval to set up shop within the country.
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