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2022-06-17

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Yellow Card Crypto Scoop

After a bearish wave hit the crypto market, one may expect sour market sentiments, but top investors seem unfazed. Several countries have pursued crypto adoption initiatives within the week. In this edition of the crypto scoop, we’ll be reviewing:

  • BTC, ETH price dip
  • Circle launch of a new stablecoin
  • Crypto growth and adoption across the globe
  • Open Sea’s migration to seaport protocol
  • Football legend, Kanu’s crypto collaboration and more juicy tidbits. 

BTC, ETH, SOL, and DOGE take a tumble in Red

The crypto market was once struck again with a red wave, with the total market cap falling below $1 Trillion. In fact, Ethereum mining was said to have become unprofitable for miners as ETH dropped as low as $1,100. In fact, popular crypto exchange, Binance and Crypto lender Celsius had to suspend withdrawals, citing extreme market conditions. 

Bitcoin dropped below $21,000 as DOGE hit its lowest level since April 2021, and SOL traded at a one-year low. DOGE price dips prompted some doge investors to file a lawsuit against Elon Musk, Tesla and SpaceX. Elon Musk is being sued for $258 billion over claims he “is  engaged in a crypto pyramid scheme (aka Ponzi scheme) by dogecoin cryptocurrency.” The lawsuit states that Musk and his companies “falsely and deceptively claim that dogecoin is a legitimate investment when it has no value at all.” 

However, despite the seemingly unending bearish run, the CEO of Devere Group, a financial advisory and asset management firm, has predicted a bull run and a significant bounce in the price of bitcoin during the fourth quarter of this year. 

While there have been significant sell-offs, top crypto investors continue to hold their crypto holdings. Microstrategy CEO Michael Saylor whose company holds 129,218 bitcoins, debunked the rumour that his company is facing a margin call for a bitcoin-backed loan and will be forced to sell some coins. He explained, If the price of the cryptocurrency “falls below $3,562, the company could post some other collateral,” 

El Salvador’s prime minister, whose country holds over 2,300 bitcoins, explained that even though the county lost more than $50 million with the recent crash, the risk is extremely minimal. Likewise, Mark Cuban, the billionaire crypto investor, admits that most financial markets will continue to struggle but that as long as the crypto industry creates new technology, it will be fine. Elon Musk has continued advocating for an integrated Twitter payment system that supports cryptocurrencies.

USDC parent company Circle launches Euro Backed Stablecoins. 

On Thursday, Circle's CEO, Jeremy Allaire, stated that the company had released a new stablecoin tethered to the euro's value (EUR). The new EUROC cryptocurrency is already live on the Ethereum network, according to Allaire, and will be "available to mint and redeem on June 30th." Finally, a win for stablecoins. 

Crypto adoption sweeps South Africa and the globe.

According to the findings of a new Kucoin study, 7.6 Million South Africans Are Crypto Investors. Crypto adoption is fast spreading across the globe, and the Central African Republic CAR president has urged his citizens to understand Bitcoin to bring long-term prosperity. In fact, South Korea's president has called for suggestions for regulatory measures to improve crypto adoption and regulation. 

Kazakhstan officials have also announced that crypto exchanges can now own bank accounts in the country. While Panama's president has vetoed the current crypto bill, which he notes doesn't comply with existing regulations for anti-money laundering, he has requested a new bill. Once the new cryptocurrency law is approved as soon as possible, generating new jobs and attracting new investments to the country. 

NYC Mayor Eric Adams has requested that New York Governor vetoes the bill to ban bitcoin mining, noting it only impedes the nation. While this is ongoing, Brazil lawmakers have proposed a bill that will allow the legal use of cryptocurrencies in Brazil. 

Crypto adoption is indeed fast spreading across the globe. 

OpenSea announces migration to Seaport protocol.

OpenSea, the most popular nonfungible tokens (NFTs) platform in terms of trade volume, announced its migration to Seaport on Tuesday. The protocol promises decreased gas fees, the opportunity to make offers on entire collections, the elimination of new account initiation fees, and more user-friendly signature alternatives, among other benefits.

Users would pay 35 per cent less for gas fees when dealing on Seaport, according to OpenSea. According to data from 2021, total savings would be over $460 million (138,000 ETH). Furthermore, eliminating the setup cost might save $120 million (35,000 ETH) per year in additional savings.

Nwankwo Kanu, a Nigerian football legend and former player for Arsenal, has joined Sportsbet.io as a partner.

As the leading global preferred crypto-led sports betting service adds another superstar to its team, Nwankwo Kanu, Papillo, has signed as a Global Ambassador for Sportsbet.io.

 According to Nwankwo Kanu, Sportsbet.io's Global Ambassador, "Signing for Sportsbet.io was the perfect opportunity to join the crypto revolution. I've already seen how crypto can be a force for good in our world, with the Kanu Heart Foundation receiving significant Bitcoin donations. I'll be working closely with the team at Sportsbet.io to help spread the word."

After signing a four-year deal, Kanu will represent Sportsbet.io as a Global Ambassador, appearing in various promotions and special events.

Jack Dorsey announces the creation of Web5, the future of the internet. 

Block, previously Square, has announced that it is working on web5 to replace web3 to focus on decentralised applications and giving consumers control over their data. TBD's mission statement is as follows:

"We believe in a decentralised future that returns ownership and control over your finances, data, and identity. Guided by this vision, TBD is building infrastructure that enables everyone to access and participate in the global economy." While web3 has yet to establish itself as the dominant technology of the internet, Jack Dorsey believes it is already time for a change.

Jack Dorsey has also collaborated with Jay Z to unveil a 'Bitcoin Academy' for Brooklyn Public Housing Residents. The two entrepreneurs will pair up this summer to deliver Bitcoin-focused financial literacy classes to Marcy Houses children, teens, and adults. Residents of the Marcy Houses, a poor housing development in Brooklyn, New York, where Jay-Z (née Shawn Carter) grew up, will be able to take free Bitcoin education seminars, thanks to a partnership between the rapper and Jack Dorsey.