Month: January 2023

• Crypto market capitalization dropped 3.5% in the past 24 hours following a decline in U.S. equity markets.
• Ether and dogecoin led the slide among major tokens, falling more than 5%, Cardano’s ADA and Polygon’s MATIC dropped 4%, while bitcoin lost just 1.6%.
• Outside of majors, avalanche (AVAX) fell 7.7% while lido (LDO) dropped over 10%, ending a multi-week bump that saw the token’s value jump 135% in the past month.

The crypto market has seen a pullback in the past 24 hours, following a decline in U.S. equity markets. Major tokens such as Ether, Dogecoin and Cardano’s ADA have all seen decreases, while Bitcoin has held relatively steady, with a 1.6% decrease. This has caused a 3.5% drop in the crypto market capitalization, to just over $1 trillion.

Ether and Dogecoin have both seen over 5% decreases, while Cardano’s ADA and Polygon’s MATIC have dropped 4%. Outside of major tokens, Avalanche (AVAX) has seen a 7.7% decrease, while Lido (LDO) has dropped over 10%. This has ended a multi-week bump that saw Lido’s value jump 135% in the past month.

Conversely, a few tokens have seen increases in the past 24 hours, including Quant (QNT) and Aptos (APT), which have both risen over 4%. The increases in these tokens, combined with the relative stability of Bitcoin, have helped to cushion the effects of the crypto market pullback.

In addition, the pullback has caused upward of $173 million in longs, or bets on higher token prices, to be liquidated. Ether futures saw $86 million in liquidations, while traders of Bitcoin futures lost $46 million.

Overall, the current pullback appears to be more of a bull breather than a bear trend. With Bitcoin still relatively stable, and with a few tokens still trading in the green, the crypto market appears to have the potential to soon recover.

• Frontier launched an in-browser wallet extension for 35 supported blockchains that allows users to interact with staking, transactional and non-fungible token (NFT) activities.
• The wallet can be used to stake tokens, store and transfer NFTs and even transfer tokens between various networks.
• The wallet supports newer blockchains such as Aptos and Sui, which have seen strong interest and engagement in crypto circles in the past few months.

Decentralized finance (DeFi) protocol Frontier has recently launched an in-browser wallet extension that enables users to interact with staking, transactional, and non-fungible token (NFT) activities over 35 supported blockchains. This extension provides users with a unified platform that allows them to securely interact with any decentralized applications (dapps) in one place, eliminating the need to switch between various applications.

The wallet offers a variety of features that make it suitable for a wide range of use cases. With the wallet, users can stake tokens, store and transfer NFTs, and even transfer tokens between different networks, which is known as bridging. Additionally, it supports newer blockchains such as Aptos and Sui, which have seen an increase in interest and engagement in the cryptocurrency community over the past few months.

In addition to these features, the wallet also offers enhanced security. The wallet supports hardware-based security, meaning users can store their assets in a hardware wallet such as a Ledger or Trezor. Furthermore, the wallet also supports multi-signature authentication, which requires two or more users to authorize a transaction before it can be completed.

Overall, the new Frontier in-browser wallet is a great addition to the DeFi space, offering users a unified platform for managing their tokens, staking, and transferring NFTs across various blockchains. With its enhanced security features and support for newer blockchains, the wallet is sure to attract a wide range of users.

• A North Korean hacking group is suspected of carrying out a $100M Harmony network hack
• A pseudonymous blockchain sleuth reported that a part of the funds involved in the attack, worth $63.5 million, was moved over the weekend
• Crypto exchange Huobi blocked the funds involved in the hack on Monday morning

The crypto world was rocked on Monday morning by news of the purported involvement of North Korea’s Lazarus Group in a $100 million hack on the Harmony network. According to an analysis by blockchain research firm Elliptic, the group is believed to have been behind the attack.

Pseudonymous blockchain sleuth ZachXBT reported that a part of the funds involved in the attack, worth $63.5 million (~41,000 ETH), was moved over the weekend. He alerted on Twitter that the funds had been moved through Railgun before being consolidated and deposited in three different exchanges.

Crypto exchange Huobi was quick to respond, blocking the funds involved in the hack on Monday morning. The exchange issued a statement regarding the matter, saying, “Huobi has blocked key addresses associated with the Harmony hack, and actively monitors for deposits, withdrawals and trading related to the malicious addresses. The exchange is working with the Harmony team to ensure that funds remain safe and secure.”

The incident highlights the need for heightened security measures in the crypto world, especially with the increasing threat of attacks from state-sponsored hackers. It also serves as a reminder of the importance of blockchain forensics in the detection of suspicious activity on the blockchain.

The news has sparked discussions in the crypto community and beyond, with many users noting the need for more robust security measures and better user education when it comes to crypto security.

• Bernstein expects total crypto revenue to grow from around $25 billion in 2023 to about $400 billion by 2033.
• Of the estimated $400 billion revenue pool, Bernstein says that “decentralized blockchain-driven revenue” will account for nearly half of the total revenue pool from only 15% today.
• Consumer and finance applications are expected to account for about 75% of on-chain revenue from around 40% last year.

According to a research report released by Bernstein on Monday, the crypto industry is set for a decade-long “golden age” of innovation, with total crypto revenue estimated to jump sixteenfold in the next ten years. The report states that total crypto revenue is expected to climb from around $25 billion in 2023 to approximately $400 billion by 2033.

In terms of the revenue pool, the report suggests that a large percentage of it will be derived from decentralized blockchain-driven revenue. This is expected to account for nearly half of the total revenue pool, up from only 15% today. Consumer and finance applications are expected to make up about 75% of on-chain revenue, significantly more than the 40% it represented last year.

The report further states that on-chain revenue is anticipated to inflect from less than around $4 billion today to close to almost $200 billion in the next ten years, driven by “innovation in blockchain scalability and application growth across financial services and consumer tech segments.” This includes decentralized exchanges (DEX), lending, and structured/tokenized products, which are expected to be the lead drivers of on-chain financial applications.

The report concludes that this year will lay the foundations for a decade-long “golden age” of crypto innovation, as crypto pivots from a fat infrastructure thesis to a fat application thesis. If the report’s estimates are correct, it could mean that the crypto industry is set to undergo a massive transformation in the near future.