According to a recent report by the global law firm Norton Rose Fulbright, the US Securities and Exchange Commission (SEC) is set to step up its enforcement approach to the nascent crypto industry in 2024.
The report emphasizes that the SEC will continue its “aggressive pursuit” of cases and enforcement actions related to unregistered offerings, non-fungible tokens (NFTs), and unregistered exchanges, further solidifying its regulatory crackdown in the crypto space.Crypto Industry Faces Regulatory Storm
One of the primary areas of focus for the SEC involves bringing enforcement cases against digital asset platforms. The SEC argues that certain tokens sold on these platforms qualify as “securities,” aiming to subject these markets to regulatory requirements about broker-dealers and exchanges.
The report highlights the SEC’s determination to subject digital assets to existing securities laws, signaling a need for compliance and regulatory preparedness within the industry. The law firm notes:
We expect to see even further ramp-up in enforcement and regulatory actions with respect to US securities laws in the crypto space in 2024.
Norton Rose Fulbright’s analysis points to implementing the Markets in Crypto-Assets Regulation (MiCA) and the revised Transfer of Funds Regulation (TFR) as key milestones. These regulations will introduce new requirements, including applying the “travel rule” for crypto assets and regulating various digital asset service providers.
MiCA’s provisions will be phased in gradually, with asset-referenced tokens and e-money tokens falling under regulatory purview from June 30, 2024.
The remaining provisions, including obligations for crypto asset service providers and the TFR’s travel rule, will take effect from December 30, 2024. However, the implementation timeline will influence transitional provisions and the exercise of options by EU member states.
Furthermore, the report notes that the European Union aims to strengthen its anti-money laundering (AML) and counter-terrorist financing (CTF) framework to encompass a broader range of crypto sector participants.
The upcoming Anti-Money Laundering Regulation (AMLR) will require most crypto asset service providers to conduct due diligence on transactions exceeding €1,000 and report any suspicious activity.
The legislation also addresses risks associated with transactions involving self-hosted wallets and introduces enhanced due diligence measures for cross-border correspondent relationships.Regulatory Shifts In The UK
Bitcoinists have previously reported that in the United Kingdom (UK), the government has confirmed plans to regulate crypto assets comprehensively. However, the specific details of the regulatory regime have yet to be released, with draft secondary legislation expected in 2024.
Norton Rose Fulbright emphasizes that the Financial Conduct Authority (FCA) and the Bank of England (BoE) will play a crucial role in shaping the regulatory framework, with consultation papers on the stablecoin regime expected in the second half of 2024.
Overall, as the digital asset landscape continues to evolve, market participants and regulators face the challenge of striking the right balance between fostering innovation and maintaining regulatory oversight in the United States and the European Union.
The coming year promises significant developments that will shape the industry’s future, with a continued focus on enforcement actions and regulatory changes on both sides of the Atlantic.
Featured image from Shutterstock, chart from TradingView.com
Facing legal action currently, a woman, aged 31, prepares for a courtroom confrontation over allegations of mishandling $4.2 million in cryptocurrency. Law enforcement authorities have unveiled plans to charge her with fraud and “suspected involvement in money laundering activities,” according to a report.Alleged Crypto Misappropriation Unveiled
The investigation was launched following a complaint filed by a company last year, alleging that an employee diverted $4.2 million worth of Tether’s USD-pegged stablecoin (USDT) into cryptocurrency accounts linked to the accused individual.
The police revealed that funds were misappropriated between May and August 2022, during which the accused purportedly transferred the funds to her digital currency wallets and utilized them for various transactions.
According to the report, images provided by authorities showcased items allegedly purchased with the diverted funds, including “white slippers, accessories like a bag and sunglasses, and a black car” suspected to be a Mercedes. The police have confiscated these items, recognizing them as proceeds of criminal activity.
The woman is expected to face charges under the Corruption, Drug Trafficking, and Other Serious Crimes Act (CDSA), with potential penalties including imprisonment terms of up to 10 years and hefty fines, as disclosed in the report.Warning Against Crypto Scams
Meanwhile, in a separate development, the Commodity Futures Trading Commission (CFTC) issued a consumer alert cautioning against the rise of scams leveraging artificial intelligence (AI) to dupe individuals into fraudulent digital currency investment schemes.
The warning emphasized the rise of schemes capitalizing on the appeal of cryptocurrency arbitrage trading, wherein scammers assertively claim to yield exceptionally high profits through AI-driven algorithms.
These fraudulent endeavors frequently pledge huge returns, allegedly facilitated by AI-generated algorithms, boasting returns ranging from tens of thousands of percent to purportedly achieving a perfect 100 percent success rate.
The CFTC noted in a press release:
Fraudsters are exploiting public interest in artificial intelligence (AI) to tout automated trading algorithms, trade signal strategies, and crypto-asset trading schemes that promise unreasonably high or guaranteed returns. Don’t believe the scammers. AI technology can’t predict the future or sudden market changes.
Furthermore, an annual report about digital currency scams recently released by web3 security firm Scam Sniffer has underscored the growing threat of phishing scams in the crypto industry.
The report revealed that phishing scams resulted in the theft of approximately $300 million worth of cryptocurrencies in 2023 alone. In addition, the US Secret Service has recently disclosed a confiscation of approximately $500,000 in digital currency-related to an investment scam originating from Southeast Asia.
Featured image from Unsplash, Chart from TradingView
After taking a major hit in the cryptocurrency market through 2022 and 2023, the non-fungible token (NFT) sector is attempting to make a notable comeback, following the overall digital asset realm uptrend.
Once hailed as the pinnacle of the digital frontier, NFTs suffered a dramatic decline in global sales volume, losing 63% to just $8.7 billion in 2023.
However, as Bitcoin rebounds and the US Securities and Exchange Commission (SEC) approves the launch of exchange-traded funds (ETFs) tied to the digital currency, the non-fungible token industry is eager to rekindle interest in its digital space.NFT Sales Surge And Stumble
According to a Bloomberg report, startups within the NFT space are now reviving narratives that emphasize the practical applications of NFTs in gaming, finance, and art.
These companies claim to have learned valuable lessons from past setbacks, aiming to transform the sector into more “durable” and “accessible” assets. According to Bloomberg, their goal is to present NFTs as more than expensive profile pictures limited to the elite, but challenges persist as the market seeks solid ground.
While sales of non-fungible tokens experienced a surge in November and December last year, nearly tripling to $1.7 billion, they dropped by 33% to $1.2 billion in January, indicating a complex road to recovery.
The report highlights that skepticism surrounding blockchain gaming, uncharted territories in financialized non-fungible tokens, and doubts about the ability of NFT art to regain its previous sky-high sales pose significant challenges for the industry.
Recognizing the volatility in the market, companies like Pudgy Penguins and Yuga Labs are venturing into gaming to drive the sector’s adoption. Pudgy Penguins, for instance, has developed a toy line inspired by their collection, which generated $10 million in sales over seven months.
Each toy comes with a QR code that connects owners to the Pudgy World online game, offering additional revenue streams for the company. Similarly, Yuga Labs focuses on developing the Otherside game, inspired by their Bored Ape Yacht Club (BAYC) collection.Regulatory Scrutiny Looms?
Per the report, some startups are also exploring the integration of NFTs in finance. Collections like Bored Ape Yacht Club and Pudgy Penguins have become potential loan collateral, according to Stephen Young, CEO of NFTfi.
However, the emergence of finance-related NFTs could attract regulatory scrutiny, as seen with the US SEC’s settlement with Impact Theory LLC over an alleged unregistered non-fungible token “security offering.”
Meanwhile, NFTs in the art sector continue to perform well, with Sotheby’s reporting over $30 million in NFT and digital art sales in 2023.
According to Bloomberg, despite the growing optimism around NFTs, concerns remain regarding crypto’s association with “scandal and chaos,” potentially hindering the category’s growth.
Ultimately, the report notes that the challenge lies in changing the perception that anything related to web3 or non-fungible tokens is automatically deemed a scam.
Featured image from Shutterstock, chart from TradingView.com
So far, the nine newly launched US spot Bitcoin exchange-traded funds (ETFs) have achieved a notable milestone, collectively accumulating over 300,000 BTC in assets under management (AUM) – a figure amounting to nearly 1% of BTC supply of 21 million – in just less than two months after their inception.
This feat underscores the growing investor interest in Bitcoin and the increasing adoption of cryptocurrency investment products in traditional financial markets.
Notably, these nine US spot BTC ETFs include BlackRock (IBIT), Fidelity (FBTC), Ark 21Shares (ARKB), Invesco (BTCO), Bitwise (BITB), Valkyrie (BRRR), Franklin Templeton (EZBC), WisdomTree (BTCW), and VanEck (HODL).Spot Bitcoin ETFs Break New Record
According to data from K33 Research, since their debut on January 11, these nine new entrants of spot Bitcoin ETF have rapidly gained traction, attracting a total of 303,002 BTC, equivalent to $17 billion at yesterday’s closing prices.
The newborn nine have amassed 300,000 BTC! pic.twitter.com/TfNWGgsSmg
— Vetle Lunde (@VetleLunde) February 27, 2024
This influx of funds highlights investors’ confidence in Bitcoin as a long-term investment asset. Leading the pack among these nine ETFs is BlackRock’s IBIT spot Bitcoin ETF, boasting over 128,615 BTC worth roughly $7.2 billion in AUM, followed closely by Fidelity’s FBTC with more than 94,455 BTC worth $5.2 billion, as reported by BitMEX Research.
Bloomberg Senior ETF Analyst Eric Balchunas commented on this historic achievement, emphasizing the growing demand for cryptocurrency investment products.
It’s official..the New Nine Bitcoin ETFs have broken all time volume record today with $2.4b, just barely beating Day One but about double their recent daily average. $IBIT went wild accounting for $1.3b of it, breaking its record by about 30%. pic.twitter.com/MiCs1rzttM
— Eric Balchunas (@EricBalchunas) February 26, 2024
While also making comments on the factors behind this feat, Balchunas noted:
Not totally sure reason besides price rally generating interest but it does seem like these things really see heightened action on first day after wknd
Meanwhile, as shown in Coinglass’ data, the assets managed by Grayscale’s converted GBTC fund have notably decreased, plummeting by more than 28% since January 11. The fund’s holdings, which stood at around 619,000 BTC ($35 billion) then, have dwindled to 444,000 BTC ($25 billion).Bitcoin ETF Surge Sparks Market Impact
It is worth noting that the surge in BTC ETFs has also significantly impacted market inflows and outflows. Total net inflows across all US spots of Bitcoin ETFs exceeded $6 billion yesterday, witnessing nearly $520 million in net inflows — the highest in two weeks.
[2/3] Same data in BTC terms…
9,510 BTC net inflow on 26th Feb. pic.twitter.com/UiLK2qrJ7I
— BitMEX Research (@BitMEXResearch) February 27, 2024
Furthermore, BTC spot ETFs have also played a significant role in last week’s inflow of crypto investment products, as revealed by CoinShares data.
As crypto investment products attracted approximately $598 million in investments over the past week alone, a notable dominance came from Bitcoin-based funds, particularly spot ETFs, which drew in $570 million of the total investments.
Featured image from Unsplash, Chart from TradingView
$500K In Crypto Vanished? Australian Resident Allegedly Disappears After Accidental Deposit From Exchange
According to local reports, an Australia-located businessman has allegedly vanished after receiving an accidental deposit from a crypto trading platform at the end of January. The Victorian Supreme Court issued a freezing order on the assets as efforts to contact the man have proven unsuccessful.Typing Error Costs Hundreds Of Thousands To Crypto Exchange
A recent report from ABC News Australia informed of the disappearance of a Mildura resident who allegedly pocketed over half a million dollars involved in a costly typing error.
Per the report, 37-year-old Kow Seng Chai, a Malaysian-born resident of Mildura, deposited AU$99,500 to the crypto trading platform Rhino Trading Pty Ltd, which operates under the OTCPro name.
The deposit, worth around $62,000, was made on January 25 through an account set up by Chai for his Sydney-based business Lotte Enterprise Pty Ltd.
As the exchange credited the balance to Chai’s account, it accidentally added an extra zero, crediting AU$ 995,000 (approximately $621,000) instead of the correct AU$ 99,500.
The court documents, as the report states, show that the Lotte Enterprise account had a balance of around AU$ 1.36 million ($890,000) after the mistake. The balance consisted of AU$ 464.200 that Chai previously deposited and the $895,500 mistakenly received, worth about $586,000.
By the time the crypto exchange picked up on its error on February 4, Chai had already converted the funds to USDT and withdrew about AU$ 956,000, as bank records showed.
OTCPro claimed to have suffered around AU$ 492,000 ($322,000) in losses once it had subtracted the remaining recovered account balance from the mistakenly accredited sum.When The Exchange Needed Him Most, He Vanished
After realizing the mistake, OTCPro tried to contact Chai through the phone number and email address provided when setting up the company’s account. The Mildura resident did respond to the exchange’s email request to return the funds.
However, the exchange received an unexpected response when contacting the phone number linked to Chai’s account. The person who answered the phone call denied being Kow Seng Chai and confirmed that the number did not belong to the fugitive.
Consequentially, the crypto exchange presented a freezing order petition to the Victorian Supreme Court to freeze Chai’s assets issued on February 9. On February 21 the court also issued an injunction preventing the Malaysian-born man, who did not appear in court, from leaving Australia.
The evidence presented to the court revealed some troubled findings about Chai’s companies. The disappeared businessman, who seems also to be the director of a Mildura-based company, had previously provided fraudulent bank statements as evidence of Lotte Enterprises’ business activity.
The Sydney-based company seemingly has a standard trading pattern, according to OTCPro’s director Qi Tang. The company would deposit funds in Australian dollars to the account almost daily; then, it would purchase Tether and withdraw the funds to a private wallet. The account had deposited almost AU$2 million since December 2023.
According to the report, a search made by the crypto exchange revealed that the private wallet only had around AU$149.33 in assets on February 4. As a result, Judge Michael Osborne considered that the findings presented to the court alongside the disappearance of Chai presented a “real risk of assets being disposed of,” which was considered when making the orders.
At writing time, Chai seemingly remains at large as no further details about his or the missing fund’s whereabouts have been revealed.
Ethereum Foundation Successfully Activates Dencun Upgrade Across Testnets, Confirms Imminent Deployment
In a recent announcement, the Ethereum (ETH) Foundation revealed that the highly anticipated Dencun network upgrade had been successfully activated on all testnets.
The upgrade, scheduled to go live on the Ethereum mainnet on March 13, 2024, marks a significant milestone in the protocol’s efforts to enhance scalability and reduce user transaction costs.Ethereum’s Latest Milestone
The Dencun upgrade, following the successful Shapella upgrade of last year, introduces several notable changes aimed at improving the Ethereum network’s efficiency and capacity.
One key feature is the introduction of temporary data blobs through Ethereum Improvement Proposal 4844, affectionately known as “protodanksharding.” This addition is expected to reduce layer-2 transaction fees, making Ethereum more accessible and cost-effective for users.
Blobs minimize storage and processing requirements by caching the necessary data for short-term transaction verification, further enhancing the network’s transactional capabilities.
As announced, these features are paramount in supporting the growing ecosystem of decentralized applications (dApps) and accommodating the number of users on the Ethereum platform.Urgent Update Required
To ensure a smooth transition to the upgraded mainnet, the Ethereum Foundation has issued specifications for the community, particularly for stakeholders and node operators. Users are advised to update their node’s execution and consensus layer clients to the specific versions outlined by the Foundation.
Both the beacon node and validator client should be updated to ensure compatibility with the Dencun upgrade. Failure to participate in the upgrade by using an outdated Ethereum client would result in being stuck on an incompatible chain, unable to send Ether, or operating on the post-Dencun Ethereum network.
The Dencun upgrade initially launched on the Sepolia testnet in January 2024, following its successful deployment on the Goerli testnet. According to the official statement, this upgrade aligns with the network’s broader strategy to address scalability challenges and improve the protocol’s overall performance.
Once fully implemented, the Dencun upgrade is expected to significantly increase ETH’s transaction processing capacity, potentially enabling the network to handle over 100,000 transactions per second.
Related Reading: SEC Vs. Do Kwon: Trial Will Commence In Absence Of Terra Founder
Ultimately, the Foundation unveiled that “Dencun” for this upgrade follows Ethereum’s tradition of using star names for consensus and Devcon city names for execution layer upgrades. “Dencun” is a combination of “Deneb,” a prominent first magnitude star in the constellation Cygnus, and “Cancun,” the location of Devcon 3.
ETH, the second-largest cryptocurrency in the market, is currently trading at $3,242, reflecting a 3% increase in the past 24 hours and an impressive surge of over 42% in the past 30 days.
Featured image from Shutterstock, chart from TradingView.com
Cryptocurrency exchange, Changelly, has predicted a major bullish upsurge for the XRP price. According to the exchange’s report, XRP is poised to rise to new all-time highs above $500 over the next two decades.XRP Price To Surge Above $500
The crypto exchange provided a technical overview of the XRP price, emphasizing a prevalence of bearish indicators over bullish ones, with bearish trends accounting for 69% compared to the 31% bullish sentiment.
Despite this analysis, Changelly foresees a considerable upswing in the XRP price in the coming decades, estimating the cryptocurrency to trade at an average value of $563.32 by 2050. The projected trading range also includes a maximum cost of $634.05 and a minimum of $533.85.
Achieving this price surge would mark a historical milestone for XRP, particularly considering the cryptocurrency’s ongoing challenges in rebounding from bearish trends. “We may very well see XRP go to the moon again in the future,” Changelly stated.XRP To Reach $1 By 2025
In the research report, analysts at Changelly provided a detailed forecast of XRP from 2024 to 2025. The report has predicted a surge in the average value of XRP to $0.603 in February 2024, with a projected maximum and minimum trading level at $0.669 and $0.537, respectively.
By March 2024, the exchange says the XRP price is poised to reach an average price of $0.637, with its expected price range trading between $0.732 and $0.542. Subsequently, Changelly has predicted that the cryptocurrency would experience a slight price correction around April and May, to trade at an average value of $0.549 and $0.556, respectively.
Changelly’s analysts have also revealed that XRP could potentially witness a significant price fluctuation between $0.549 and $0.583 by September, eventually stabilizing at an average price of $0.566. The crypto exchange has projected the price of XRP to slowly rise from an estimated average trading price of $0.638 in October to reach $0.817 in December.
In 2025, the price of XRP is expected to hit the $1 price mark for the first time since 2021, with an average price of $1.12. Changelly predicts that the cryptocurrency will surpass its previous all-time high of $3.84 to trade at an average price of $7.30 by 2030.
At the time of writing, XRP is trading at $0.554, reflecting a 2.81% increase in the last 24 hours and a 1.65% decline over the past seven days, according to CoinMarketCap.
Peter Brandt, a technical analyst, now thinks Bitcoin is on its way to $200,000, citing a recent breakout above $57,000. The sharp swing to spot rates comes behind growing institutional adoption.Bitcoin Breaks Out, Path To $200,000?
The analyst, posting on X, noted that BTC prices are now trading above the 15-month channel resistance. Earlier today, Bitcoin broke above the upper trend line of the ascending channel.
Accordingly, Brandt now thinks this breakout, especially considering what has been happening with the rate of Bitcoin absorption among institutions, would propel the coin higher.
With this background, the analyst revised Bitcoin’s target from $120,000 to $250,000. Brandt added that this uptrend will end by August/September 2025.
Overall, traders are bullish on the coin, expecting higher prices to float. At spot rates, BTC, after breaking out from the 15-month ascending channel, is trading at 2024 highs. Traders expect more gains towards 2021 highs of around $70,000, citing institutional adoption.
Since mid-January, billions have flowed to institutions following the approval of spot Bitcoin exchange-traded funds (ETFs) by the United States Securities and Exchange Commission (SEC). Of note, the amount of coins purchased has, in some instances, exceeded those mined. Accordingly, this actively creates an imbalance, a demand-side event that would support prices even more.Spot BTC ETFs Ushered A New Era Of Price Discovery
It is this development that Matt Hougan, Chief Investment Officer (CIO) of Bitwise Asset Management, notes in a letter to investors that will propel prices even higher. In the note shared by CEO Hunter Horsley, Hougan argued that Bitcoin has now entered a “new era of price discovery,” mostly propped by big money institutions in the United States.
Specifically, the CIO attributes this surge in demand to spot Bitcoin ETFs. It is a derivative product that has allowed a broad range of investors to access the coin easily. Hougan compares the recent sequence of events to “100 very wealthy people bidding on a house”. This is a drastic shift compared to the previous limited group of investors, mostly retailers before the United States SEC green-lit the product.
For what’s going on, Hougan expects more gains. In the CIO’s preview, if family offices and institutions allocated even 1% of their assets under management, the amount would translate to over $1 trillion. This figure almost equals the current Bitcoin market cap and would profoundly affect prices.
RippleX has announced that Chief Technology Officer (CTO), David Schwartz, will present Ripple’s blockchain strategy for 2024 at ETH Denver, with a focus on advancements in interoperability, the incorporation of Ethereum Virtual Machine (EVM) capabilities, and a strategic vision for Ripple’s blockchain initiatives. The presentation, scheduled for February 27 at 12:30 PM (GMT-7), is part of the broader XRPL Zone at ETH Denver, which aims to serve as a convergence point for developers, investors, and blockchain enthusiasts interested in the XRP Ledger (XRPL) projects.Major Ripple Announcement For The XRPL Today?
A statement released by RippleX on X (formerly Twitter) emphasized the significance of the upcoming fireside chat: “Dive into the future of the XRPL with David Schwartz! Catch the fireside chat tomorrow…where we’ll hear about advancing interoperability, embracing EVM, and unveiling Ripple’s 2024 blockchain vision.” The announcement points towards a comprehensive discussion on the future trajectory of the XRP Ledger and its role within the broader blockchain ecosystem.
Another dynamic lineup at this year's XRPL Zone at ETH Denver. Don't miss my fireside chat, moderated by @kwok_phil with @easya_app. We'll be discussing interoperability, EVM programmability, and Ripple's blockchain vision for 2024. See you there!
Registration is still open:… https://t.co/TIPjqsPFjc
— David "JoelKatz" Schwartz (@JoelKatz) February 26, 2024
Particularly noteworthy is the scheduled “XRPL Announcement” between 1:15 – 1:35 PM (GMT-7), which is generating significant interest within the XRP community. The details of the announcement have yet to be disclosed, but its placement on the agenda indicates its importance to Ripple’s future plans and its potential impact on the blockchain sector.
The XRPL Zone at ETHDenver is presented as a critical platform for demonstrating the synergy between the XRP Ledger and EVM, aiming to redefine the framework of decentralized finance (DeFi). The official website of the event highlights this collaboration: “The XRP Ledger Zone offers a unique opportunity to network, learn, and discover…taking advantage of the EVM coming to the XRPL.”
David Schwartz’s involvement as Ripple’s CTO and a co-creator of the XRP Ledger adds significant weight to the discussion. The official event website provides an overview of his session: “…focusing on key areas such as multichain interoperability and its integration with EVM programmability.” His insights are highly anticipated for their potential to outline new directions for the XRP Ledger’s development and integration into the wider blockchain ecosystem.
The agenda for the XRP Ledger Zone features a variety of sessions aimed at enhancing understanding of the forthcoming EVM integration, exploring real-world DeFi applications, and conducting workshops to explore the XRPL’s capabilities with smart contracts. Speakers, including industry leaders like Ferran Prat of Peersyst, Connie Lam of Certik, and Martin Axnick of Evmos, are expected to provide valuable perspectives on the integration of blockchain technology into financial systems.
As the blockchain community gathers at ETH Denver, the attention is squarely on Ripple’s segment and the anticipated “XRPL Announcement,” which may signify a pivotal moment for Ripple’s technological development and its positioning within the blockchain space.
At press time, XRP traded at $0.56091.
Ripple’s Chief Technology Officer (CTO), David Schwartz, has given his opinion on whether or not the AMM (Automated Market Maker) functionality will affect THE XRP price. This comes following concerns by some members of the XRP community that the feature could cause XRP’s to drop significantly.AMM Feature Unlikely To Affect XRP Price
Schwartz mentioned in an X (formerly Twitter) post that he doesn’t think the AMM feature on the XRP Ledger will have so much impact on the XRP price. He went on to recognize how new strategies, such as “arbitraging against the DEX”, can affect a token’s price. However, he opined that this volatility harvesting strategy will not decrease XRP’s price volatility any time soon.
He further explained that his assertion is because DEX trading activity on the Ripple Ledger represents only “a drop in the XRP trading ocean.” Schwartz’s argument is valid, considering that the DeFi landscape in the XRP ecosystem is just picking up and is still far behind Ethereum and Solana’s.
Therefore, as Schwartz suggested, DEX trading volume on the XRP Ledger must significantly increase before it can play a crucial role in the XRP price discovery. The novel AMM feature, introduced as far back as September 2023, was expected to go live when the Rippled version 1.12 was released last year, but that didn’t happen.
Back then, Schwartz clarified that the AMM amendment would go live after validators voted on whether or not to enable it on the network. He added that the update would take about two weeks to be implemented if the proposal is passed. However, the 80% threshold of ‘Yes’ votes from validators needed to pass the proposal was only met this year.Update On The AMM Launch
The AMM feature is yet to launch on the XRPL Ledger. Schwartz had revealed they wouldn’t include the upgrade in the Rippled version 2.1, noting that validators won’t have enough time to implement the feature and ran the risk of amendment blocking. As such, he stated that an additional week or two would be needed before the AMM amendment takes place.
However, an update has yet to be provided since then. XRPL validator Vet recently revealed in an X post that just over 31% of node operators are now running on the latest rippled version. This means it could take a while before these validators focus on implementing the AMM functionality.
At the time of writing, the XRP price is trading at around $0.5544, up almost 3% in the last 24 hours, according to data from CoinMarketCap.
Data shows around $280 million in cryptocurrency futures shorts have found liquidation in the past day as Bitcoin has touched $57,000.Bitcoin Has Rallied Towards The $57,000 Level In The Past Day
After the initial rally to the $52,000 level earlier in the month, Bitcoin slumped into an extended spell of sideways movement, refusing to show any strong momentum in either direction.
Things have very quickly changed for the cryptocurrency in the past day, however, as its price has finally shown a sharp rally. The chart below shows what the coin’s trajectory has looked like recently.
As is visible in the graph, Bitcoin’s tight consolidation has just decompressed in spectacular fashion, as the asset has soared almost 11% within the past 24 hours.
In this latest burst of upward momentum, BTC has managed to break the $57,000 level, a feat that the coin last only achieved in November 2021.
As is usually the case, Bitcoin has pulled up with itself the rest of the sector, with coins across the board enjoying green returns. Given the sharp price action in the market, it’s not surprising that the futures side of the sector has seen chaos of its own.Crypto Futures Market Has Just Registered $364 Million In Liquidations
According to data from CoinGlass, the latest volatility in the market has resulted in a large amount of liquidations on the derivative side.
Below is a table that shows the relevant numbers for the past 24 hours:
From the table, it’s apparent that the cryptocurrency futures market as a whole has gone through almost $364 million in liquidations during the past 24 hours. Out of these, $280 million came from short contracts alone.
This means that the shorts made up for about 80% of the total liquidations. This disparity between the longs and shorts isn’t anything unexpected, though, as the liquidations today were majorly triggered by prices across the assets shooting up.
In terms of the individual contributions from the assets towards this mass liquidation event, it would appear that Bitcoin made up for more than half of the flush with about $190 million in contracts involved.
It would also appear that the second-placed asset by market cap, Ethereum (ETH), has been second here, too, with about $62 million in liquidations. Out of the altcoins, Solana (SOL) has been at the top of the charts with $9 million in liquidations.
Mass liquidation events like today’s (popularly called squeezes) aren’t exactly something that are rare occurrences in the cryptocurrency sector. This is due to the fact that most coins see significant volatility on the regular, as well as because of the market generally being overleveraged.