LianGuai Morning Post | NFT trading volume in October increased by 32% compared to September. Tether to issue 1 billion USDT.

NFT Trading Volume on LianGuai Morning Post Increases by 32% in October; Tether Announces Plans to Release 1 Billion USDT

Headlines

▌Data: NFT Trading Volume in October Reaches $405 Million, Up 32% from September

According to a report released by crypto data company DappRadar, the year-long decline in NFT trading volume has been broken, increasing from $306 million in September to $405 million in October, a growth of 32%. The company claims that this is an unprecedented level of sales since August. The report states that NFT sales on Solana saw a significant increase in October, with a growth of 15%, rising from $24 million to $27.6 million. NFT trading volume on Ethereum increased by 50%, maintaining its “leading position”. Additionally, despite the increase in transaction value, the total number of NFTs sold in October decreased by 5% from 3.58 million in September to 3.4 million last month, although the decline is slightly less compared to August’s performance.

▌Tether Mints 1 Billion USDT (Authorized but Not Issued)

Data monitored by Whale Alert shows that at around 7:02 am (Beijing time), 1,000,000,000 USDT (1,000,742,500 USD) was minted in the Tether Treasury. Tether CEO LianGuaiolo Ardoino stated that this 1 billion USDT is a replenishment of inventory for the Tron network. This transaction is authorized but not issued, meaning that this increase will be used for the next issuance requests and inventory for chain exchanges.

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Market

As of the time of writing, according to coinmarketcap data:

BTC recently traded at $34,740.19, with a daily change of +0.45%;

ETH recently traded at $1,831.16, with a daily change of +2.25%;

BNB recently traded at $230.09, with a daily change of +0.36%;

XRP recently traded at $0.612, with a daily change of +2.30%;

DOGE recently traded at $0.06839, with a daily change of +1.94%;

ADA recently traded at $0.3277, with a daily change of +2.47%;

SOL recently traded at $39.68, with a daily change of +2.67%.

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Policies

▌US Treasury Secretary Yellen: More Non-Bank Financial Institutions to Be Classified as Strictly Regulated Entities

US Treasury Secretary Yellen stated on Friday that after months of discussion, senior officials voted on a new framework for defining systemically important financial institutions. Being labeled as “too big to fail” brings significant compliance costs and regulatory challenges, and major Wall Street banks have been labeled as such since its introduction over a decade ago. Yellen did not name which institutions would be subject to stricter regulation. However, this new process could result in large non-bank financial companies accepting stricter regulation. Yellen stated that they will “provide robust procedural protections for firms under consideration, including meaningful committee involvement and communication, and opportunities to listen to these firms’ views.” She also mentioned that the highest regulatory authorities will vote on releasing a new “Financial Stability Risk Analysis Framework” to better explain how they evaluate and address potential risks.

▌CFTC Commissioner: LedgerX in a Gray Area Outside of CFTC’s Customer Funds Proposal

The U.S. Commodity Futures Trading Commission (CFTC) proposed rule changes on Friday that outline how companies regulated by the agency (futures commission merchants (FCMs) and derivatives clearing organizations (DCOs)) should invest customer funds. CFTC Commissioner Kristin Johnson stated that although crypto derivatives platform LedgerX (formerly a subsidiary of FTX, acquired by Miami International Holdings in bankruptcy) is a regulated DCO by the agency, being a clearinghouse without FCM membership puts it in a gray area outside of CFTC’s customer funds proposal, hence the rule does not apply to LedgerX. Johnson expressed that the commission should consider regulation to bridge this gap and ensure protection for retail customers who trade through intermediaries and non-intermediary DCOs.

▌Lawyer: NYSE Arca Expected to Submit 19b-4 Filings on GBTC Conversion

Grayscale won a lawsuit against the SEC in August, and last week the United States Circuit Court of Appeals for the District of Columbia issued an official ruling. The company had previously submitted an application to the SEC, requesting registration of GBTC shares under the Securities Act of 1933 using the S-3 form. The SEC needs to sign this form as well as the 19b-4 filings submitted by NYSE Arca on behalf of Grayscale in order to proceed with the conversion. Jay Gould, special counsel at Baker Botts law firm, expects NYSE Arca to resubmit the 19b-4 filings on behalf of Grayscale, as it may be the fastest and most effective way to resolve the matter. If the SEC rejects the request again, Grayscale may find it necessary to “go back to court.”

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Blockchain Applications

▌Hong Kong Financial Services Platform Arta TechFin Developing Regulated, Interoperable Fund Tokens on the Blockchain

According to an official press release, Hong Kong-based financial services firm Arta TechFin (HKEX code: 0279) is developing regulated, interoperable fund tokens on major blockchains. The company will collaborate with Chainlink Labs to provide fiat-based investment return clients to Arta TechFin through Chainlink services, with all products and services requiring approval from relevant regulatory authorities. According to the announcement, the regulated, interoperable fund tokens developed by Arta and supported by two Chainlink services will combine the best DeFi experiences, including atomic settlement, reserve proof, cross-chain interoperability, and automated market-making. The investment product will include investments in risk-free U.S. treasuries and other securities to generate optimal risk-adjusted absolute returns on a daily liquidity basis. Arta’s platform offers API-based trading and settlement, allowing investors to monitor asset allocation and portfolio performance at any time.

▌Xai Testnet Completes Over 30 Million Transactions

Xai, an open gaming transaction platform supported by Offchain Labs, announced that it has completed over 30 million transactions on the Xai testnet, with participation from 275,000 unique wallet addresses.

▌Gauntlet Proposes Changes for Polygon v3 in the Aave Community

Gauntlet initiated a proposal for Polygon v3 within the Aave community. Based on Gauntlet’s supply and borrowing limit methods, we suggest setting supply and borrowing limits for agEUR and jEUR. Currently, agEUR borrowing is disabled and cannot be used as collateral. Nonetheless, all assets should have supply and borrowing limits. The proposal will be snapshotted on November 13, 2023.

▌SafeMoon to continue building despite SEC lawsuit

Decentralized finance (DeFi) protocol SafeMoon responded to the recent lawsuit by the US Securities and Exchange Commission (SEC) and expressed intention to seek solutions. The project posted on X (formerly Twitter) platform, stating: “We are reviewing recent news and taking these concerns very seriously. We will do our best to resolve them as soon as we receive more information. Meanwhile, our team continues to build, focusing on serving users, building our vision, and advancing our mission.” Previously reported by LianGuai, SEC has accused SafeMoon executives of fraud and offering unregistered securities.

▌OpenSea lays off 50% of its workforce, plans to build “OpenSea 2.0”

NFT marketplace company OpenSea confirmed to Decrypt media that it has laid off about half of its employees, with approximately 50% of the entire company being affected. OpenSea co-founder and CEO Devin Finzer wrote on X platform: “We are repositioning the team around ‘OpenSea 2.0,’ which is a significant upgrade to our product, including infrastructure, reliability, speed, quality, and experience. We will change how we operate, shifting towards smaller teams that directly engage with users. During the rebuild, we will continue supporting the existing product and iterate and beta test OpenSea 2.0 – with agility, professionalism, and focus.” Previously reported by LianGuai, OpenSea completed a $300 million Series C funding in January 2022, with a valuation of $13.3 billion.

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Cryptocurrency

▌Trial for cryptocurrency trader Avi Eisenberg’s $110 million fraud case postponed to April next year

The judge overseeing the Mango Markets attack case has announced the postponement of the trial for cryptocurrency trader Avi Eisenberg’s $110 million fraud case to April 2024. The case was originally scheduled for trial on December 4th of this year. Federal prosecutors have charged Eisenberg with market manipulation and wire fraud for deploying “high-profit trading strategies” against the Solana ecosystem exchange Mango Markets in October 2022. Eisenberg has been transferred from a federal prison in New Jersey to the Metropolitan Detention Center in Brooklyn. Eisenberg’s defense attorney stated that additional time is needed to gather evidence and prepare the defense testimony due to “complex and novel legal and factual issues.”

▌Director of Research at IntoTheBlock: Resurgence of meme coins indicates sector rotation has occurred

Lucas Outumuro, Head of Research at IntoTheBlock, stated that recently smaller and riskier tokens have performed well, indicating a capital rotation from Bitcoin and Ethereum after their significant surges. This behavior is typical of investors during a crypto bull market. Outumuro said, “Historically, the trend in the crypto market cycle is that Bitcoin leads the first surge, followed by Ethereum, and then capital gradually allocates to lower market cap and riskier tokens. The trend this week suggests that as BTC and ETH consolidate, DeFi and alternative Layer 1 tokens are experiencing a strong rebound, and this rotation has already begun.”

▌Venus Protocol now supports UNI token

Decentralized currency market Venus Protocol has announced the listing of the UNI token. UNI token holders can use the protocol to earn interest, borrow, or participate in liquidity mining.

▌QCP: Bitcoin’s rise driven mainly by macroeconomic factors, not ETF narrative

In its latest market update report, QCP stated that Bitcoin’s recent surge is primarily driven by macroeconomic factors such as the estimated supply of US government bonds and the expectation that the Federal Reserve will end monetary tightening, rather than the anticipation of a spot Bitcoin ETF approval. The report also added that it remains to be seen whether this marks the beginning of a new global stock and bond rally, and QCP analysts believe that only the appearance of new regulatory pressures can pull the Bitcoin price below $32,000.

▌Ripple supports Germany’s banking giant DZ Bank in its crypto custody business

One of Germany’s largest banks, DZ Bank, plans to launch its digital asset custody platform for institutional clients and has announced plans to utilize Ripple technology in its offerings. Ripple Labs subsidiary Metaco has been appointed as a key partner to support DZ Bank’s foray into the crypto custody business. As part of its new service, DZ Bank can now act as a custodian for institutional clients and settle and hold cryptocurrency securities in accordance with German electronic securities law.

Neeraj Agrawal, Head of Communications at Coin Center, stated on the X platform that the company intends to appeal this decision.

▌A whale accumulates 8,698 ETH from Binance an hour ago

According to Spot On Chain tracking, the whale address 0xb15 accumulated 8,698 ETH ($15.9 million) an hour ago at a price of $1,826 from Binance. It is worth noting that this whale is known for buying low and selling high and has previously made a total profit of $14.5 million from 7 ETH trades (win rate: 85.7%).

▌Nearly one-third of Voyager token supply burned, VGX surged 20% in the short term

Chain data shows that bankrupt cryptocurrency brokerage Voyager Wallet has sent 52 million VGX native tokens ($7.3 million) to a burn address, accounting for approximately 30% of the total supply. VGX has surged 20% in the short term. According to Etherscan data, the wallet tagged as “Voyager 1” made its first transfer in 225 days, starting with a test transaction of 123.45 tokens, followed by a substantial amount of remaining tokens. The purpose of the burn is currently unclear. LianGuai previously reported that Voyager filed for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code on July 6, 2022, after disclosing its intention to liquidate all assets in March of this year.

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Important Economic News

▌Federal Reserve’s Bostick: Fed may consider rate cuts in the future

Fed’s Bostick stated that a recession is not expected in the U.S.; the current interest rate level may be supported for about 8-10 months; credit tightening is evident, and more tightening effects will emerge; next year, inflation is expected to cool down, and the Fed may consider rate cuts in the future.

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LianGuai Encyclopedia

▌Long and Short Positions

Long and short positions represent the opposite strategies used by investors and traders to speculate on the price movements of considered assets. In cryptocurrency trading, long positions are initiated by buying assets with the expectation of price increase, while short positions are initiated by selling assets (usually borrowed) with the expectation of price decrease.

Disclaimer: LianGuai, as a blockchain information platform, publishes articles solely for informational reference and not as actual investment advice. Please establish correct investment principles and enhance risk awareness.

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