Crypto Scoop: Bitcoin Hits A One-year High Of $31,400

This week, amid price gains, several countries announced their adoption and regulatory frameworks for cryptocurrencies. In this edition of the crypto scoop, we review the following:

• Price moves of top cryptocurrencies
• Solana Cardinal’s announcement of operation halt
• Tether’s MOU with Georgia
• Crypto adoption and regulation in Nigeria, United Kingdom and more. 

Price Moves of Top Cryptocurrencies

Bitcoin has once again stolen the limelight, with its price soaring to a one-year high. Bitcoin shattered resistance levels and peaked at an impressive $31,400. Meanwhile, Ethereum also saw significant gains as it smashed the $1,800 barrier and reached a milestone of $1,900.

During the week, MicroStrategy, led by the influential Bitcoin advocate Michael Saylor made a significant investment in BTC. The company has purchased a staggering $350 million worth of Bitcoin. Their latest acquisition amounts to 12,333 BTC, bought for $347 million at an average price of $28,136 per Bitcoin. Impressively, MicroStrategy now holds a total of 152,333 BTC. 

Tether Signs A Memorandum of Understanding With Georgia

In an effort to establish Georgia as a global blockchain hub, Tether, the stablecoin issuer, has forged a significant partnership with the government of Georgia. The two parties have signed a memorandum of understanding (MoU) with the aim of developing Bitcoin infrastructure within the country. This strategic collaboration seeks to lay the foundation for a thriving startup ecosystem in Georgia, drawing international attention and investment to the burgeoning decentralised space. The focus will be on creating an environment that nurtures the development of financial tools built around blockchain technology. Among the key focus areas are educational initiatives aimed at promoting understanding and adoption of Bitcoin and blockchain technology. 

Solana NFT protocol Cardinal to halt operations in August

Solana-based NFT protocol Cardinal, known for pioneering work in "conditional ownership" of NFTs, has decided to cease operations starting August 26. In a Twitter thread on June 28, the team attributed this decision to the challenging macroeconomic environment since they began building the protocol 18 months ago.

While acknowledging that some of their products, such as staking, rentals, and identity solutions, have seen genuine usage, Cardinal expressed frustration that the adoption of blockchain technology by industries worldwide has been slow, stating that their products seem confined within the crypto maximalist community.

Given Cardinal's significant role within the Solana ecosystem, the team has advised users to manually withdraw their assets from the platform within a two-month notice period starting from June 28. By July 19, the protocol will halt new deposits, staking, stake pool creation, token manager creation, namespace name linking, and NFT rentals. During this period, users will only be able to make withdrawals from the platform.

It is crucial for users to withdraw their assets by the August 26 deadline, as any remaining assets will be forcibly withdrawn to the depositors' address if left unclaimed. Despite the closure of Cardinal, the team has assured the community that their code will remain open-source, enabling anyone to redeploy a new version of the protocol easily.

Crypto adoption and regulation in Nigeria, the United Kingdom and Indonesia

Nigeria has emerged as one of the top 10 countries globally for crypto adoption, according to a report titled 'State of Web 3.0 in Africa' prepared by Emurgo Africa in collaboration with PwC. The report highlighted the significant rise in blockchain funding in Africa, which surged by a remarkable 1,668% in 2022, accumulating a total of $91 million in countries like Kenya, South Africa, and Nigeria. It also underscored the potential applications of blockchain technology in areas such as SME financing, supply chain management, governance, trade infrastructure digitisation, and title deed registration in Africa.

The Financial Services and Markets Bill, similar to MiCA in the EU, has received approval from King Charles in the United Kingdom, marking a significant step toward regulating cryptocurrencies and stablecoins. Despite not being part of the EU, the UK has joined the League of Nations, implementing crypto regulations, surpassing the United States in terms of acceptance. The bill's passing means that crypto activities will be recognised as regulated financial activities, bringing them within the purview of established market regulations.

Indonesia has also taken a significant step toward regional adoption of cryptocurrencies by officially classifying 501 digital assets, including popular tokens like Bitcoin, Ethereum, and Litecoin, as commodities. The move follows the establishment of a crypto exchange in September 2022 and subsequent discussions on financial legislation aimed at strengthening cryptocurrency regulations. This comprehensive classification aims to provide regulatory clarity and facilitate the development of the crypto industry within the country.

Crypto Initiatives In North Carolina And Canada

In North Carolina, lawmakers are considering diversifying the state treasury by adding investments in Bitcoin and gold. A bill has been passed in the House of Representatives to fund a study on digital assets and precious metals, aiming to protect the state's assets and hedge against inflation. The bill will now advance to the Senate for approval before potentially becoming law.

That’s not all! The Standing Committee on Industry and Technology (INDU) has released a report supporting blockchain technology and cryptocurrencies in Canada. The report contains 16 proposals emphasising the blockchain industry's economic and job creation potential. It recommends recognising blockchain as an emerging industry, prioritising individuals' right to self-custody, and promoting secure access to digital assets. The recommendations will be considered by the House of Commons and the government.