cryptocurrency: Crypto week at a glance: Digital tokens rally, Ethereum goes through London Hard Fork


Cryptocurrency enthusiasts were waiting for such a fantastic rally for quite some time. It was a fabulous week, where we saw Bitcoin finally managing to break out from a prolonged consolidation phase. However, despite Bitcoin’s stellar performance, it was Ethereum that was the talk of the town.

One of the most significant upgrades to the Ethereum network happened this week. The ‘London Hard Fork’ went live as block number 12,965,000 got added to the blockchain network.

This upgrade is a major step towards making Ethereum deflationary. It promises to make the network more scalable. The London Hard Fork also acts as a prelude to ‘Serenity’ or ETH 2.0, which will likely be live by the end of the year.

The anticipation of the upgrade kept ETH investors on their toes. However, a rally that lasted twelve successive days indicated that the upgrade was well received by the Ethereum community.

The crypto market cap stood at a massive $1.8 trillion as of August 7, 2021, translating into a more than $400 billion jump for the week. The massive rise in trading volumes signaled that the momentum is bullish. Markets have finally managed to reach the highs touched in June.

Crypto adoption into mainstream finance has picked up pace. Even the bearish markets during the past month did not hinder this. Germany has been progressing towards crypto adoption for some time now. They are coming up with ‘Spezialfonds’ that are accessible to institutional investors.

German regulations have allowed these hedge funds to hold 20 per cent of their assets in cryptos. Spezialfonds manage €1.8 trillion worth of assets. If these funds flow into the crypto markets, there is a much larger bull run to come.

The company Ripple, which issues the token XRP, has been engaged in a lawsuit with SEC. This has been taking a toll on the price of XRP for a prolonged time. However, some recent developments indicate that the judgment might be in favor of Ripple. The price of XRP also shot up after investors’ sensed victory.

The crypto markets rose almost linearly over the past week. This will halt at some point. The next week could likely be a period of consolidation for the markets. However, the markets have managed to come out of the grip of the bears and that is a good sign for both the short and long-term investors.

Among the top 10 cryptocurrencies, the best performer for the week has been Uniswap, followed by Polkadot and Ethereum.

Top 5 crypto gainers during the week:

  • Voyager token (VGX): 49 per cent up
  • Ravencoin (RVN): 46 per cent up
  • Internet Computer (ICP): 41 per cent up
  • Qtum (QTUM): 40 per cent up
  • Elrond (EGLD): 35 per cent up

Top 5 crypto losers this week:

  • Amp (AMP): 14 per cent down
  • Theta Fuel (TFUEL): 8 per cent down
  • Siacoin (SC): 8 per cent down
  • Decred (DCR): 8 per cent down
  • IOTA (MIOTA): 5 per cent down

(Edul Patel is CEO & Co-founder of Mudrex)


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Precious Metals Firm Kitco Launches Gold-Backed Tokens Built on Ethereum – Bitcoin News


On August 4, the precious metals firm Kitco Gold announced the launch of a gold-backed stablecoin which will leverage an audit process via Cohen & Company with monthly attestation reports. Kitco has partnered with Tradewind Markets, First Digital Trust, and Stably, an asset tokenization provider. The gold-backed ERC20 tokens called “kitco gold (KGLD)” “represent one true, troy ounce of fine gold,” according to Kitco.

Kitco Launches KGLD Token Backed by a Troy Ounce of .999 Gold

In the seventies, Bart Kitner started trading gold with funds he got from a loan and managed to expand his business into a massive precious metals company from a mere $700 investment. The global precious metals (PMs) market, Kitco, is considered an authority when it comes to PMs like gold, platinum, palladium, and silver. The Montreal-based PM company also runs a popular PM-focused website that offers financial news and PM market data.

Now the company is getting into cryptocurrency solutions as Kitco revealed it has partnered with the custodian First Digital Trust, the blockchain provider Tradewind Markets, and tokenization firm Stably. Kitco will launch a token called kitco gold (KGLD) which will translate into a single troy ounce of .9999 fine gold. The Kitco ERC20 tokens will be backed by gold reserves held in Directreserve vaults. The well-known CPA verification firm Cohen & Company will bolster the coin’s attestation process.

Precious Metals Firm Kitco Launches Gold-Backed Tokens Built on Ethereum

Because Kitco’s token is an ERC20, the firm believes the coin can be easily added to exchanges, wallet platforms, and defi ecosystems. The token’s value is recorded in real-time using the same market value of the spot gold price. John Dourekas, the chief business development officer of Kitco Digital Metals Group, explained on Wednesday that Kitco has been anticipating the release of KGLD.

“We’ve been looking forward to unveiling Kitco Gold, representing a digital receipt of physical gold ownership, which is digitally spendable,” Dourekas said in a statement. “Buyers will be able to access a secure and reliable gold token, the most robust asset class to date. Institutional investors will have a competitive alternative to traditional gold products such as gold ETFs, with the additional benefits of real-time trading and settlement enabled by blockchain technology.”

Gold Tokens Jump 30-Fold Since 2020, Kitco’s Gold Coin Will Face Competition

Kitco’s announcement follows the recent report published by Arcane Research which details that gold-pegged tokens have jumped in value 30x since the start of 2020. The PM dealer’s move also follows the largest increase in inflationary pressure since the 2008 financial crisis. Kitco has further indicated there’s been a trend of traditional financial institutions looking for stable hedges like PMs and crypto-assets.

“Trust and verification are hallmarks of a well-functioning market,” Tradewind Markets CEO Michael Albanese said during Kitco’s gold-backed token launch announcement. “We are pleased to be applying best practices from other asset markets to make gold as an investment asset more secure, accessible, and cost-efficient.”

Kitco’s KGLD creation will face gold token competitors as there are tokenized versions of both troy ounce measurements of gold and grams as well. KGLD will face projects like Tether Gold (XAUT), Digixglobal (DGX), PAX Gold (PAXG), Perth Mint Gold Token (PMGT), Gold Coin (GLC), and many more. In 2020, on a few occasions reports had shown gold-backed tokens were fetching premiums.

What do you think about Kitco’s gold-backed ERC20 token launch announcement? Let us know what you think about this subject in the comments section below.

Tags in this story
crypto assets, Digixglobal (DGX), ERC20, Ethereum, gold, Gold Investing, Gold-backed tokens, KGLD, KGLD tokens, Kitco, Kitco Digital Metals Group, Kitco Gold, kitco gold (KGLD), PAX Gold (PAXG), PM, PMS, Precious Metals, Tether Gold (XAUT), Traditional Finance

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FTX wallet adds support for BUSD and BNB tokens on the Binance Smart Chain


In what seems like an ongoing streak towards market penetration, prominent crypto exchange FTX has launched support for BSC BEP20 tokens within its wallet services. While no official announcement was made, FTX CEO Sam Bankman-Fried confirmed the development by saying:

“ftx.com/wallet now supports BSC for BUSD and BNB! (Withdrawals are live — I *think* deposits are; otherwise they will be very soon.)”

Based on the information available, FTX wallets now actively support withdrawals for Binance USD (BUSD) and BNB, both native to the Binance Chain. The company will soon enable users to make deposits via BSC BEP20 tokens. 

However, the services are not yet available for the US-focused FTX platform, FTX.US and other prohibited jurisdictions. In a previous interview, Bankman-Fried opined that governments would require more than three to five years to provide regulatory clarity for crypto businesses that wish to operate within their jurisdictions. The entrepreneur also reportedly spends “five hours a day on everything from regulation to licensing.”

Recently, the company has also limited its users to leverage trades up to 20x instead of offering 101x leverage. The intention behind this move was to minimize the inherent volatility risks associated with crypto trading. Surprisingly, the exchange has not witnessed a reduction in trading volumes following the announcement.

Related: FTX smashes crypto funding record with $900M raise to become exchange decacorn

Complimenting the crypto exchange’s technological developments, FTX’s latest Series B investment round saw over 60 participants. The resultant deal placed FTX’s valuation to a whopping $18 billion, a 1400% increase from previously $1.2 billion.

Other market leaders such as Binance also follow similar methods to promote low-risk trading and increase market adoption. Crediting this move to the “interest of Consumer Protection,” Binance CEO stated that limiting new users to 20x leverage on futures trades was something “he didn’t want to make a thingy.”