Comes every Saturday, Hodler’s Digest will help you keep track of every single important news that happened this week. Best (and worst) quotes, recordings and highlights of regulation, leading currencies, predictions and much more – a week on Cointelegraph in one link.
Top news this week
Violation: Terra blockchain officially suspended following the collapse of LUNA
This week, news of the Terra ecosystem dominated the headlines after the algorithmic stablecoin TerraUSD (UST) lost its connection to the US dollar – and continued to collapse.
At its lowest point this week, UST fell to around $ 0.13, according to CoinMarketCap. The melting also affected LUNA as a result cohabitation with their sister property. After peaking at $ 120 in early April, LUNA’s value fell this week to virtually zero.
Do Kwon, CEO of Terraform Labs, looking to apply certain measures to correct the sinking ship, according to a report in the Cointelegraph on Thursday. Subsequent reports showed that the Terra blockchain stopped operations shortly after LUNA’s hyperinflation significantly reduced the cost of an online cyber attack.
Leaked report: South Korea will establish a cryptographic framework by 2024
South Korea plans to control cryptocurrencies with a new law set to come into force in 2024, according to a leaked government document. Although validated, the leaked document was not the final plan.
Under the leadership of President Yoon Suk-yeol’s government, the new cryptographic rules apply to several parties, including the NFT.
Meta will be testing digital collectibles on Instagram starting this week
Earlier this week, Meta said it plans to experiment with NFT on Instagram by allowing digital collectibles to be used as profile pictures. The decision came directly from CEO Mark Zuckerberg.
Adding NFT to Instagram serves as a precursor to bringing digital collectibles to Facebook and other Meta parties, Zuckerberg said. Other social media sites, such as Twitter, have already moved towards offering NFT as profile pictures.
Shares of Robinhood rose 30% after Sam Bankman-Fried bought a $ 650M share
Since March this year, FTX CEO Sam Bankman-Fried has been buying shares in the popular trading app Robinhood and completed his purchase last week. Bankman-Fried bought a total of $ 648 million in Robinhood shares, equivalent to a 7.6% stake in the company. The average price of the CEO of FTX per share was $ 11.52.
A police report in the United States recently revealed the purchase. Shares of Robinhood rose more than 30% immediately after the news broke.
The ECB introduces “anonymous” digital euro where the public opposes “slavecoins”
The theme of digital currency (CBDCs) has become increasingly common. A recent working document from the European Central Bank provided the latest update on the monetary authorities’ position on the matter. According to the central bank, the CBDC could, through anonymity, streamline payments but also enable merchants to prevent banks from obtaining information on their payment flows.
At the same time, Europeans have clearly come out against CBDCs. “Slavecoin” is a term used by some online commentators to describe the CBDC. Reactions have been steadily flowing since the digital euro consultation began on April 5, allowing the public to partially weigh the issue with online comments.
Winners and losers
At the end of the week, Bitcoin (BTC) is at $ 29,994Ether (ETH) at $ 2,067 and XRP at $ 0.42. The total market value is at $ 1.28 trillion, according to to CoinMarketCap.
Among the top 100 cryptocurrencies, there were only two altcoin winners of the week: Maker (MKR) at 1.22% and Fei USD (FEI) to 0.27%.
The top three altcoin losers of the week are Terra (LUNA) at -100%, TerraUSD (UST) at -81.61%, and Fantom (FTM) to -50.89%.
For more information on cryptocurrencies, be sure to read the Cointelegraph market analysis.
The most memorable quotes
“When it comes to mass capture, it’s really about comparing what blockchain technology can bring users through existing solutions.”
Ming DuanChief Operating Officer and co-founder of Umee
“In most parts of the free world and in democracies, cryptocurrencies will eventually be regulated and legalized. […] And the way we are pushing the conversation forward is by taking action. “
Brian ArmstrongCEO of Coinbase
“If you want to make an algorithm, stablecoin, for example, it must be 300% supported by trusted assets, trusted cryptocurrencies – not 105%, or 110%, or even less. […] It does not make sense. “
Paolo ArdoinoChief Technology Officer at Bitfinex and Tether
“Everyone who has been here for less than 18 months is probably shocked, but for those of us who have been here since 2016, 2017, this is part of the game. Bitcoin is not disappearing, Ethereum is not disappearing because of LUNA or because of ICT. Everything is as usual. “
Marcel Pechmancryptographer and Cointelegraph participant
“The same rules that apply to investing in the physical world continue to apply to investing in virtual worlds.”
Five US regulators
“If platforms – whether in a decentralized or centralized financial space – offer security-based swaps, they are linked to the securities law and must work within our securities system.
Gary GenslerChairman of the US Securities and Exchange Commission (SEC)
Forecast of the week
Bitcoin ‘economic bottom’ not yet reached ‘warns analyst as BTC price holds $ 30K
Bitcoin is coming off a very volatile week and briefly drops below $ 27,000 at one point, according to BTC Cointelegraph Price Index. Although the asset has since risen above $ 30,000, BTC could not yet be out of the woods in terms of a larger-scale macroeconomic bottom.
When presenting his case, Twitter user Material Indicators stated: “IMO, the macroeconomic bottom has not come in yet.
Another market assessment included one from former BitMEX CEO Arthur Hayes, who said in a blog post on May 12: “The cryptocurrency market must be given time to recover after the blood draw. He went on to make other comments, noting the price level he is looking at for BTC and ETH.
FUD of the week
Galaxy Digital announces loss of $ 112 million in first quarter, citing fluctuations in cryptocurrency
Crypto investment firm Galaxy Digital Holdings recently released its first quarter results for 2022. The company posted a loss of approximately $ 112 million in the quarter, a significant change from a $ 858 million profit in Q1 2021. The company’s performance reflects a significant change in market sentiment. cryptocurrencies over the past 12 months.
“Mortified” cryptocurrency trader gets 42 months for fraud and claims to have been a real gun
A New York court has sentenced Jeremy Spence, known by the pseudonym Coin Signals, to 42 months in prison for operating a Ponzi scheme. The system made false claims about its profits in cryptocurrencies, taking money from investors and then paying out older investors with money from new ones. The court ruling also included other penal provisions.
Violation: Binance stops trading with LUNA and UST due to problems on Terra blockchain
Amid the turmoil surrounding LUNA and UST, Binance decided to halt local trading for the UST / BUSD and LUNA / BUSD trading pairs. UST and LUNA audits were temporarily suspended by Binance earlier this week. Binance Futures has also corrected certain Business properties related to LUNA.
Best features of Cointelegraph
Bitcoin 2022 – Will the real maximums please stand up?
“The attack is cryptocurrency. This is a hell of an attack. “
Can Solana become the dominant PoS chain despite persistent disruption?
The Solana network seems to be struggling with persistent disruption while trying to address the blockchain trilogy industry.
What happened? Terra debacle exposes flaws affecting the cryptocurrency industry
The collapse of Terra questions the real usefulness and long-term viability of stablecoins algorithms.
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