Yellow Capital Blog/Weekly Crypto Digest/Weekly Crypto Digest for July 1-7, 2024

Weekly Crypto Digest for July 1-7, 2024

Monday, July 08, 2024

In the latest issue of Weekly Crypto Digest, read more about how BTC fell below $54k, Ethereum surpassed Bitcoin in fees, Germany and Mt.Gox are selling BTC, another SEC lawsuit, and more news.

Bitcoin price fell below $54,000

Bitcoin price fell below $54,000
Bitcoin started the week below $62,000. On July 3, digital gold fell below $61,000, and the next day, Bitcoin fell below $57,000.
On July 5, BTC fell below $54,000, but the very next day, it recovered above $56,000.
At the time of writing, Bitcoin is trading at $57,266.
All cryptocurrencies from the top 10 by capitalization ended the week in the red zone. The biggest losers were BNB (-13.4%), Ethereum (-12%) and Dogecoin (-12%)

Circle received a license to issue stablecoins by MiCA regulations

Circle has received an Electronic Money Institution (EMI) license, a mandatory condition for conducting business in the EU per the MiCA regulation.
According to company representatives, the issuer of the USDC asset became the first to obtain such permission to conduct operations with stablecoins in Europe. The company's subsidiary, Circle Mint France, will issue EURC and USDC in the EU.

The Ethereum network has surpassed Bitcoin in fees collected

The Ethereum blockchain received the largest fee income in the first six months of 2024 - $2.72 billion. This follows from a report by the analytics company Lookonchain on the income of the top 10 blockchains for six months.
According to experts, the Bitcoin network receives the second-largest amount of income from commissions—$1.3 billion. This is more than half the profit of Ethereum. Note that the minimum commission on the Bitcoin network increased after the halving. Then, analysts associated this with the launch of the Runes standard.
TRON closes the top three blockchains with $459.39 million. Next on the list are:
Solana - $241.29 million;
BNB Smart Chain – $176.56 million;
Avalanche - $68.83 million;
ZKsync Era - $59.77 million;
Optimism - $40.4 million;
Polygon - $23.91 million.

Top blockchains by fees collected in one year

Mt. Gox begins paying compensation to affected customers

Test transactions to the recipient platform addresses were recorded as early as July 4, 2024. The next day, 47,229 BTC was withdrawn from wallets associated with the bankrupt exchange—$2.71 billion at the exchange rate at that time. This was one of the reasons for the sharp decline in the value of Bitcoin.

Germany sells off Bitcoin

On July 4, 2024, 3,000 BTC—$173.1 million—was transferred to exchanges from a crypto wallet controlled by the German authorities. This follows from data on the Arkham Intelligence platform.
This is not the first sale of assets from this wallet recently. As you can see in the chart below, the balance began to decline from mid-June 2024:
Before this, 400 BTC were withdrawn from the wallet and 1,332 BTC. At the same time, the German government still controls a significant amount of the first cryptocurrency, estimated at $2.3 billion.
At the same time, the portfolio is still in the unrealized profit zone. Arkham Intelligence says it is approximately $1 billion as of July 2, 2024.
At the same time, Bundestag member Joana Kotar sharply criticized the government's decision to sell a significant part of Bitcoins. In her opinion, the sale of assets is counterproductive.

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SEC files lawsuit against Silvergate Bank

The US Securities and Exchange Commission (SEC) filed a lawsuit against Silvergate Bank and several of its employees. In particular, the regulator accused the institution of violating certain provisions on reporting, internal accounting controls, and maintenance of books and records.
The SEC complaint also names Silvergate Bank CEO Alan Lane and former COO Kathleen Fraher. They were accused of negligent fraud.
It became known that Silvergate's monitoring system could not track more than $1 trillion in transactions made by clients on the bank's Silvergate Exchange Network payment platform.
The SEC said Silvergate's deficiencies allegedly prevented it from identifying nearly $9 billion in suspicious transactions involving the FTX crypto exchange and related entities.
According to the regulator, Silvergate and the bank's former CFO Antonio Martino misrepresented in the report that the company remained well-capitalized as of December 31, 2022. Three months later, Silvergate announced that it was winding down its banking operations.
Martino was accused of misleading investors about the company's losses from expected sales of securities after the crash.
Ultimately, Silvergate Bank neither admitted nor denied the charges and agreed to pay a civil penalty of $50 million. Lane and Fraher will pay fines of $1 million and $250,000, respectively, and will also face certain injunctions. Martino did not agree to the settlement.

Santiment announced historical levels of FUD on crypto forums

Experts from the analytical company Santiment noted that now, on cryptocurrency forums, there are more references to the sale of assets than to the purchase.

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