Category Archives: Vitalik Buterin
Ethereum Staking: Vitalik Buterin Reveals Ethereum’s Staking Overhaul for Decentralization Boost – CoinGape
In a recent interview with Defi and NFT platform Defiant, Ethereum co-founder Vitalik Buterin was asked 45 questions. The interview took place in Turkey, and Buterin was visiting the nation for the first time.
The Ethereum founder first addressed the Turkish cryptocurrency environment. When asked about crypto in Turkey, Buterin stated that Turkey is a very big hub in the crypto-verse as per statistics. He also said that whenever he posts on X, he gets most of the comments from the Turkish audience.
Later on, he talked about how the future of crypto in Turkey will advance and how it will impact the world.
As the interview proceeded, the host asked Buterin about the future roadmap of Ethereum. Vitalik revealed that the change this year is realizing that they have to have a positive approach toward staking centralization.
He addressed that they have to redesign the Ethereum staking to make healthy changes in Mining pools and staking pools. He thinks that alleviating the issues will improve decentralization. However, the challenge is that data availability is moving slower in the off-chain systems as the near-term and mid-term demands are high.
About the next Ethereum upgrade EIP 4844 a.k.a Danksharding, Buterin said that the data map space will be improvised to 16 Megabytes per slot. Once the upgrade is done, the only hard work to be done is setting the parameters and attributes.
Buterin also argued that they could also employ a voting system so there would be no need for hard forks in the future. The Dencun upgrade will be live early in 2024.
Also Read: CME Bitcoin Futures Turns Mega Bullish, Rally To $45,000 In Play?
As soon as Buterin mentioned UTxO, Cardano advocates mocked him on the microblogging site X hilariously. Taking a dig at Buterin, Cardanos founder Charles Hoskinson said that Ethereum 3 will solve it all satirically.
Ethereum uses an account-based model while, UTxO (Unspent Transaction Output (UTXO)-based blockchain) is used by Bitcoin and Cardano. While Buterin praised the UTxO approach, the Cardano army couldnt stop themselves and taunted why Cardano was doing things correctly.
In response to a comment, Hoskinson mentioned that Cardano would never be lauded as one of the greatest scientific achievements by Vitalik or the Ethereum team. Furthermore, he stated that Vitalik is rediscovering what Cardano has been working on for a decade and that they are never recognized.
Also Read: Binances Ex-CEO Changpeng CZ Zhao Fights For UAE Return Post Guilty Plea
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Top Trending Cryptos To Buy: FriendXChange Surges by 300%, BONK Challenges SHIBA INU & DOGE, and Ethereum Rival Solana Rises 15% – Yahoo Finance
New York, NY --News Direct-- Bitcoin Mag
The cryptocurrency market is abuzz with recent developments, showcasing exciting growth and competitive dynamics. From FriendXChange's impressive surge to BONK's challenge to meme coin titans, and Solana's stand against Ethereum, each story reflects the vibrant and unpredictable nature of this digital economy.
FriendXChange, an emerging force in the cryptocurrency landscape, has experienced a remarkable 280% surge in value, underscoring its unique position in the market. This platform offers an innovative approach to monetizing social capital, allowing users to trade shares of X (Twitter) influencers, family, friends, and public figures, akin to stock market investments. This pioneering concept has introduced a new asset class that ties directly into daily social interactions.
A notable feature of FriendXChange.Tech is the ability to trade shares of renowned cryptocurrency figures like Vitalik Buterin, M. Cuban, and A. Hayes, among others. This functionality capitalizes on the growing trend of influencer-based investments within the crypto sector. Beyond facilitating trades in shares of famous personalities, the platform expands investment opportunities to a diverse range of influencers, fostering a dynamic and engaging market environment.
FriendXChange also incentivizes user participation through a staking mechanism. By staking their $FRND tokens, users are eligible to earn a portion of the platform's revenue, presenting an appealing passive income opportunity. Additionally, the platform promotes community growth and engagement by offering users a 5% lifetime referral commission on all trading transactions made by their referrals. As per FRNDX Contract Audit's, $FRND has implemented essential measures to ensure a safe and reliable trading environment. These measures include renouncing the contract and locking in liquidity. Furthermore, an upcoming airdrop of FRNDX tokens is set to enhance the platform's appeal, aiming to attract new users and reward existing members.
Story continues
In the dynamic world of cryptocurrencies, BONK has emerged as a formidable contender, especially in the memecoin category. The Solana-based memecoin has experienced a staggering 4424% increase in value in just a week after its launch. This growth was spurred by the developers' strategic airdrop of half of BONK's total supply to the Solana blockchain community, fostering rapid adoption within the ecosystem.
BONK's initial performance outpaced that of Shiba Inu, which took 141 days to triple its market price, compared to just eight days for BONK. This rapid rise positions BONK as a potential rival to established memecoins like Shiba Inu and Dogecoin.
The impact of BONK on Solana (SOL) has been significant. The blockchain, which had been grappling with a decline in market cap, saw a 20-40% increase in value recently, trading at $59.90 at the time of reporting. While BONK experienced a recent 53% gain in a week, there are signs of recovery of the Solana Ecosystem.
Dogecoin, the veteran of dog-themed cryptocurrencies, known for its light-hearted community and meme-centric nature, has also been influenced by these developments. Despite achieving a significant bull run in late 2022, DOGE recently lost its 8th spot by global market cap, highlighting potential vulnerabilities in its position. While Shiba Inu (SHIB), the 19th most popular memecoin, has been navigating through the volatile cryptocurrency market. With a current market capitalization of approximately $4.78 billion, Shiba Inu (SHIB) continues to maintain a significant presence in the crypto landscape.
The contrasting trajectories of Solana and Ethereum offer insights into the diverse strategies and performances within the crypto market. Solana, known for its efficient and high-speed transactions, has recently made headlines with a significant rally. Following the FTX collapse, SOL's value climbed from a low of under $20 to nearly $60, driven by increased network activity and successful liquid staking token protocols like Jito. This surge has bolstered Solana's position as a top 6 cryptocurrency, with the ratio between Solana and Ethereum jumping significantly.
In contrast, Ethereum, while maintaining its status as the second-largest cryptocurrency by market cap, has faced challenges with scalability and network centralization. Over the past week, Ethereum's price saw a modest increase of approximately 6%, fluctuating between $1,970 and $2,100. Despite these challenges, both Solana and Ethereum continue to show promise, with asset management firm VanEck forecasting significant price gains for both platforms by 2030.
The cryptocurrency market continues to thrive with innovative platforms like FriendXChange offering unique trading opportunities and incentives. BONK's rapid ascent challenges established players like Shiba Inu and Dogecoin, while the rivalry between Solana and Ethereum underscores the diverse strategies and potentials within this digital economy. As the market evolves, these developments promise exciting opportunities and challenges for investors and enthusiasts alike.
This article is for informational purposes only and does not constitute financial, investment, or trading advice.
Bitcoin Magazie
View source version on newsdirect.com: https://newsdirect.com/news/top-trending-cryptos-to-buy-friendxchange-surges-by-300-bonk-challenges-shiba-inu-and-doge-and-ethereum-rival-solana-rises-15-418595046
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With the right tools, Solana can be the incubator for defi 2.0 | Opinion – crypto.news
Disclosure: The views and opinions expressed here belong solely to the author and do not represent the views and opinions of crypto.news editorial.
The eyes of the world are on the trial of FTX founder and former crypto poster-child Sam Bankman-Fried, who has morphed into a symbol of the worst excesses of the last crypto bubble. But the media circus that surrounds proceedings is more true-crime series than legitimate commentary on decentralized finance.
It is true that defi has been on a roller coaster over the past several years. The sector exploded onto the financial and technological scene in 2021 as groundbreaking new tools allowed people to put their money to work and earn yield in unprecedented ways through participation in networks such as MakerDAO and Aave.
Despite the seeming suddenness of its arrival, this breakthrough was a long time coming. For decades, if not centuries, traditional financial markets and instruments have sold investors short in two important ways.
The first relates to access: since traditional markets are overseen by centralized gatekeepers such as banks and mutual funds, they have historically excluded huge swathes of the worlds population, particularly outside the wealthy countries that host the bulk of big institutions. The second limitation was technological. In a digital age, markets have remained largely analog.
Defi introduced innovations that opened the door to financial products that simply werent possible before. This turned out to be both a blessing and a curse: the combination of novelty and popularity led to a proliferation of defi productsnot all of which worked as advertised. Many projects promised investors far more than they could deliver. And as the FTX-Alameda saga demonstrates, some strayed into outright fraud.
The enormous increase in activity, meanwhile, severely strained the capacity of Ethereum, which with its smart contract functionality, made many of these early innovations possible. Couple all that with the macroeconomic-driven descent into a bear market in 2022, and its no surprise that defi has suffered a retrenchment. But I believe were now on the cusp of a new era of growth and possibility.
There will however be one crucial difference this time around: much of the next phase of growth is poised to take place on Solanaif we build the infrastructure that will allow defi projects to thrive.
Im confident that, with the right tooling, Solana can and will nurture the next iteration of decentralized finance: defi 2.0. As one of the ecosystems earliest entrants, I am familiar with the many strengths that make it a prime choice for the next generation of defi protocols.
Solana is one of the fastest and greenest layer 1 blockchains in the industry. It processes some 5,000 transactions per second in practice, but has hit top speeds of 65,000 in testing. This dwarfs Ethereums current speed of 15-25 TPS. This, along with the fact that Solanas transaction costs are among the lowest in web3, has made it the chosen home of some of web3s smartest and most innovative developers. In December, Vitalik Buterin noted in a tweet:
Some smart people tell me there is an earnest smart developer community in Solana, and now that the awful opportunistic money people have been washed out, the chain has a bright future.
Hard for me to tell from outside, but I hope the community gets its fair chance to thrive
Positive sentiment about the network has grown throughout 2023, with strong performance reports and votes of confidence from a variety of quarters. September alone brought three significant votes of confidence.
On Sept. 1, MakerDAO, creator of popular stablecoin DAI, said it planned to use Solanas codebasenot Ethereumsas the foundation for its new chain. MakerDAO CEO Rune Christensen said his decision was based on Solanas efficiency, technical quality and available developer talentand crucially, its resilience. A few days later, Visa offered validation from the mainstream world, when it said it would use USDC and Solana to supercharge its ability to settle in crypto.
And in mid-September, former Goldman Sachs executive Raoul Paul called Solana the best major story in the defi space outside Ethereum, praising its speed as well as its highly engaged developer community.
But while endorsements like these show that the wider world is recognizing Solanas positivesspeed, energy-efficiency, and proven stabilityit still needs one ingredient to truly drive the emergence of defi 2.0: a critical mass of high-quality tokens.
Token flow is the lifeblood of defi. High-profile crypto assets would attract a new investor base, who would in turn create more liquidity. Greater liquidity would make Solanas decentralized marketplaces more efficient and less subject to volatility, which could in turn attract more investors. This potentially self-reinforcing cycle of increasing activity and total value locked would lead to a growing, thriving defi ecosystem within Solana.
So what is the key to attracting more top-flight assets? Tools and infrastructure that make tokenization simple for project teams: from inception through to liquidity incentivization.
Support for liquidity provision is essential. Providers are increasingly demanding the kind of return on capital offered by exchanges such as Uniswap v3, which offers users the ability to concentrate the liquidity they provide on custom-set price ranges to maximize returns. Liquidity pools that couple v3-style concentrated liquidity with automation are also in growing demand.
Another way to stimulate greater engagement throughout the ecosystem is to introduce staking mechanisms that dont force users to make the impossible choice between returns and voting power.
Introducing tools like these to Solana would attract a more diverse set of users and would make it easier for projects to build healthy and engaged communities. Among other things, Solana needs infrastructure that supports a new kind of stakingone that provides governance and enables protocol reward sharing, while also allowing community members to retain a voice in how a decentralized organization distributes its assets.
With the right tools and infrastructure and a resulting influx of new users encouraged by mainstream support, Solana can indeed be the soil in which defi 2.0 will flourish.
Tommy Johnson
Tommy Johnson is the co-founder of PsyFi, a Solana-based options protocol building a suite of open-source, accessible financial tools and products that allow users to tailor investment strategies to their risk/reward appetites. Through PsyFis partnership with the Hxro Network, Tommy also recently worked to launch Armada, a suite of public good token launch and management tools for the Solana ecosystem.
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With the right tools, Solana can be the incubator for defi 2.0 | Opinion - crypto.news
TRON, Ethereum, and Euler Network: A Crypto Investment Odyssey – Analytics Insight
In the landscape of cryptocurrencies, the pursuit of making money is a dynamic venture. TRON (TRX), Ethereum (ETH), and Euler Network (EUL) emerge as key players, each with distinctive attributes and the potential for substantial returns. Lets delve into the world of these cryptocurrencies, exploring their current standing, and predicting what the future might hold for investors.
TRON stands at the forefront of bridging the realms of digital entertainment and blockchain technology. Founded by the forward-thinking Justin Sun, TRON focuses on achieving high throughput and scalability to facilitate decentralised applications (DApps) and smart contracts. At the core of TRONs ecosystem is its native cryptocurrency, TRX, driving seamless transactions within the network.
While TRON has made significant strides, a compelling comparison with Euler Network reveals the latters innovative edge. Euler Networks commitment to pushing boundaries and introducing advanced features positions it as a standout choice, potentially making it the best investment among the two.
Ethereum, conceptualised by Vitalik Buterin, remains a pioneer in the realm of smart contracts and decentralised applications. Ethereums native token, ETH, plays a pivotal role in executing transactions and interacting with the Ethereum network, maintaining a substantial market presence.
Ethereums historical significance is evident, yet a comparison with Euler Network unveils the latters forward-looking approach. Euler Networks commitment to innovation and unique features places it in a favourable position, potentially outshining Ethereum in the long run.
Euler Network (EUL) emerges as a beacon of innovation in the cryptocurrency landscape. Notable achievements and groundbreaking initiatives define Euler Networks trajectory. The recent launch of Euler Mining Coin (EMC) through its presale garnered remarkable success, raising an impressive $3 million within a mere 24 hours.
Euler Networks achievements, coupled with a successful presale, underscore strong community support and make it an attractive investment opportunity. Its innovative features and forward-looking strategies position Euler Network as a potential leader in the crypto sphere.
In conclusion, the journey to making money in the cryptocurrency market involves strategic considerations and a keen understanding of each platforms unique offerings. While TRON and Ethereum maintain their significance, Euler Networks innovative edge and successful presale make it a compelling choice for investors seeking both returns and a stake in the future of cryptocurrency. As the crypto landscape continues to evolve, strategic investments in these platforms can pave the way for financial success.
Website: http://eulernetwork.com/
Twitter: https://twitter.com/EulerNetwork
Telegram: https://t.me/eulernetwork
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TRON, Ethereum, and Euler Network: A Crypto Investment Odyssey - Analytics Insight
Ethereum vs Cardano: Key Differences to Watch Out – CoinGape
The cryptocurrency market has grown tremendously in terms of user penetration and revenue generation. Revenues are projected to reach US $37.9B in 2023, although these digital currencies are often associated with volatility and uncertainty.
Multiple blockchain platforms are there in the crypto market offering different currencies. However, the two cryptocurrencies that have gained the limelight over the years are Ethereum and Cardano. Both of them rank among the top 10 cryptocurrencies by market capitalization.
This is not the only reason to invest in cryptos. This article will discuss similarities and key differences between Ethereum and Cardano the two major cryptocurrencies, so you can make an informed investment decision.
Ethereum is a network of computers across the globe that follows the Ethereum protocol. It is a community-run technology that operates on blockchain to enable smart contracts and crypto trading. It is one of the best altcoins to invest your money in.
Ethereum was created by Vitalik Buterin in 2013 but gained public awareness in 2014 after the Bitcoin Conference in Miami, Florida. It promotes itself as a peer-to-peer network that can be used by anyone interested in coordinating globally, creating organizations, building apps, and sharing values. Ethereum cryptocurrency, Ether, can be used for digital global payments.
Cardano defines itself as the first blockchain platform to be developed through peer-reviewed research. It offers unparalleled security to its users and helps them ease transactions and exchanges & provides a system for organizations to grow. It works on the famous proof of stake model(PoS), with a distinctive two-layer structure.
Cardano was developed by Charles Hoskinson and Jeremy Wood in 2017. Charles was one of the co-founders of Ethereum. During its launch, this highly valued cryptocurrency created 31 billion tokens. It also raised $60M+ during the initial coin offering in 2017.
Cardanos core vision is to disrupt the way blockchains reach consensus so they utilize a proof-of-stake called Ouroboros to be the most environmentally sustainable blockchain platform.
The key differences between Ethereum and Cardano blockchain platforms lie in their credibility, ability to process high-volume transactions, and other parameters. Here is a comparative analysis between the two.
Whether to invest your money in Ethereum vs Cardano depends on your investment preferences and risk appetite. However, crypto experts believe that investing in Ethereum is more beneficial because of the support it gets from its developer community and large ecosystem.
In contrast, investment in Cardano can go high for long-term acquisitions as it is growing in emerging markets. The popularity of this crypto depends on the support it is getting in from its growing user base. However, you need to wait a while to see how it will impact the growth and prices of Cardano.
Investment in cryptocurrencies might be risky because of market volatility. However, having proper knowledge of different currencies might help you make a better decision. If you are looking to park your funds in the top cryptos, understanding the Ethereum vs Cardano differences is the first step you should take.
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Ethereum vs Cardano: Key Differences to Watch Out - CoinGape
Argentina Now Has A Bitcoin Friendly President – Tekedia
In a historic election, Argentina has chosen a new leader who is openly supportive of Bitcoin and other cryptocurrencies. Javier Gerardo Milei, a former vice president and senator, defeated the incumbent Alberto Fernndez by a narrow margin of 51.2% to 48.8%. Duhalde campaigned on a platform of economic reform, social inclusion and digital innovation, promising to make Argentina a global hub for blockchain and crypto development.
Javier Gerardo Mileiis not new to the crypto scene. He has been an active investor and advocate of Bitcoin since 2017, when he publicly declared that he had bought some bitcoins as a hedge against inflation and currency devaluation. He has also participated in several crypto events and conferences, where he shared his vision of how Bitcoin can empower individuals and communities, especially in developing countries like Argentina.
Javier Gerardo Mileis victory is seen as a positive sign for the crypto industry in Argentina, which has been struggling with regulatory uncertainty and high taxes. According to a recent report by Chainalysis, Argentina ranks among the top 20 countries in the world in terms of crypto adoption, with an estimated 2.1 million users and $1.4 billion in transactions in 2020. However, the government has imposed strict controls on foreign exchange and capital flows, limiting the access and use of crypto for many Argentinians.
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Argentinas inflation is one of the highest in the world, reaching 51.4% in 2020 and expected to surpass 60% in 2023. This has severe consequences for the economy and the living standards of the population, especially the poor and the middle class. In this blog post, we will explore the causes, effects and possible solutions for this chronic problem that has plagued Argentina for decades.
The causes of inflation are complex and multifaceted, but they can be broadly divided into two categories: demand-pull and cost-push. Demand-pull inflation occurs when aggregate demand exceeds aggregate supply, creating excess pressure on prices. Cost-push inflation occurs when the costs of production increase, forcing producers to raise prices to maintain their profit margins. Both types of inflation can be influenced by external factors, such as exchange rate fluctuations, international trade, commodity prices and global economic conditions.
In Argentina, demand-pull inflation has been driven by expansionary fiscal and monetary policies, which have increased public spending and money supply without a corresponding increase in productivity or tax revenues. The government has resorted to printing money to finance its deficits, which has eroded the value of the peso and fueled inflation expectations.
Moreover, the government has implemented price controls and subsidies on essential goods and services, such as utilities, transport and food, which have distorted market signals and created shortages and black markets.
Cost-push inflation has been exacerbated by the devaluation of the peso, which has increased the cost of imported inputs and intermediate goods. Argentina is highly dependent on imports for its industrial and agricultural sectors, as well as for its energy needs.
The depreciation of the peso has also increased the burden of external debt, which is mostly denominated in foreign currency. Additionally, Argentina faces structural problems that hinder its competitiveness and productivity, such as high labor costs, rigid labor laws, inefficient taxation system, low investment levels and institutional weaknesses.
Javier Gerardo Mileihas pledged to change that. He has announced that he will introduce a new legal framework for crypto that will recognize it as a legitimate form of money and property, protect the rights and interests of users and investors, and foster innovation and competition in the sector. He has also said that he will lower the taxes on crypto transactions and mining and create incentives for entrepreneurs and startups to launch crypto-related projects in Argentina.
Javier Gerardo Mileis pro-crypto stance has earned him the support and praise of many prominent figures in the global crypto community, such as Michael Saylor, Jack Dorsey, Vitalik Buterin and Changpeng Zhao. They have congratulated him on his victory and expressed their willingness to collaborate with him on advancing the adoption and development of crypto in Argentina and beyond.
Javier Gerardo Mileis election marks a historic moment for Argentina and the world. It shows that crypto is not only a technological innovation, but also a political and social force that can influence the outcome of elections and shape the future of nations. It also signals that Argentina is ready to embrace the opportunities and challenges of the digital age and become a leader in the global crypto movement.
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Vitalik Buterin participates in $6 million funding round for Nocturne – crypto.news
As per an Oct. 25 post on X, Nocturne, a protocol enabling private, composable accounts on Ethereum, announced Bain Capital Crypto and Polychain would be leading their multi-million seed round.
The round will be co-led by Bain Capital Crypto and Polychain with participation from Vitalik Buterin, the founder of Ethereum.
In a follow up post, Nocturne shares that other participants in the funding round include Bankless Ventures and Robot Ventures, alongside angel participants such as Tim Beiko from the Ethereum foundation, Aaron Henshaw, the Head of Engineering at Coinbase Cloud and Scott Moore, the previous co-founder of Gitcoin, among others.
Nocturne Labs has since shared news of a November launch for the protocol deployment on the mainnet, with funding from the most recent round said to be directed at the v1 protocol and supporting integrations with protocols, wallets, payment platforms, and other partners.
Established in the United States just last year, Nocturne has continued to construct a protocol to facilitate anonymous transactions within the Ethereum ecosystem, allowing users to establish discreet internal accounts within Nocturne, where the receipt and expenditure of funds will transpire in an entirely untraceable manner, ensuring that these transactions remain detached from a singular, traceable address.
Nocturne Labs first user-facing product, a private vault UI, is said to offer a streamlined interface for users to manage their hot assets stored within their private accounts, allowing them to receive and deposit funds anonymously, earn yield on idle funds, and withdraw to fresh wallets for unlinked trading and transactions.
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Vitalik Buterin participates in $6 million funding round for Nocturne - crypto.news
CYBER spikes 30% as Binance announces follow-on investments – crypto.news
The investments follow Vitalik Buterins decision to join the Farcaster decentralized network.
Binances venture arm, Binance Labs, has announced an investment in CyberConnect, a decentralized social protocol. In an X post on Oct. 25, the $9 billion venture capital firm said the decision to back the protocol reflects its confidence in the potential of social finance (sofi) to boost web3 adoption.
We have made a follow-on investment round in @CyberConnectHQ, a decentralized social network.
We see SocialFi's potential in propelling Web3 into the mainstream, and well be hosting an AMA to dive into the opportunities of social integrations across the ecosystem. Stay tuned!
Although the funding amount was not disclosed, the announcement sent CYBER, a native token for CyberConnect, soaring 30% up to $6.4, as per CoinGecko.
The deal comes just a week after Ethereum co-founder Vitalik Buterin joined Farcaster, another decentralized social network, following the recent hacking of his X account, which was the result of a SIM swap attack.
[] glad to be on farcaster, where my account recovery can be controlled by a good wholesome ethereum address.
Ethereum co-founder Vitalik Buterin
Founded in 2021, CyberConnect is a decentralized sofi protocol focused on giving users control over their digital ID, content, and social interactions. Its three core products are CyberAccount, CyberGraph, and CyberID.
While CyberAccount aims to simplify the complexity of gas payments across many networks and modernize the onboarding process for multi-chain web3 activities, CyberGraph helps store user-generated content and facilitates connecting different blockchain networks.
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CYBER spikes 30% as Binance announces follow-on investments - crypto.news
Bitcoin’s CoinJoin services threatened by new FinCEN rules – Protos
The Financial Crimes Enforcement Network (FinCEN) published a notice of proposed rule making that would escalate the mixing of convertible virtual currencies to a primary money laundering concern. If implemented, these new and more stringent rules will impact not only dedicated tumblers like Tornado Cash but service providers that use basic privacy protocols like Bitcoins coinjoin.
FinCEN cited malicious actors use of crypto-mixing services to launder illicit proceeds. The bureau highlighted Hamas, Palestinian Islamic Jihad, Russian criminal groups, and the Democratic Peoples Republic of Korea.
The Palestinian Islamic Jihad, for example, recently received millions of Tron-based USDT. Hamas reportedly received some $450,000 in digital asset donations which Israeli authorities have since seized.
The notice of proposed rule making explains FinCINs goals of greater compliance practices for coin mixers. It says heightened transparency will improve FinCINs ability to deny states like North Korea and other terrorist groups their access to US financial infrastructure.
FinCENs proposal could require financial institutions to keep records and reports relating to transactions involving digital asset tumblers. Simply put, the rule brings know your customer (KYC), anti-money laundering (AML), and combating the financing of terrorism (CFT) requirements to operators of crypto tumblers.
As justification for its rulemaking, FinCEN cited Section 311 of the USA Patriot Act. Section 311 empowers the Treasury Secretary with the authority to classify primary money laundering concerns and require domestic financial agencies to take special measures against those entities.
Special measures for primary money laundering concerns include:
Previously, authorities cracked down on mixers like Tornado Cash, which is already sanctioned in the US. The Office of Foreign Asset Control (OFAC) sanctioned Tornado Cash in August 2022.
Read more: US sanctions on Tornado Cash spark free speech protests
The Tornado Cash sanction, of course, proved highly controversial. Several digital asset insiders claimed it was unfair to honest users who simply want privacy. Many claimed the sanction violated their free speech rights.
Somebody used Tornado Cash to sprinkle ETH donations into the wallets of well-known figures like Vitalik Buterin, Brian Armstrong, and Jimmy Fallon perhaps an attempt to draw them into the debate over whether OFACs actions amounted to an overreach of its authority. Even Vitalik Buterin suggested a potentially more regulatory-compliant alternative using ZK proofs in a paper he co-authored.
Tornado Cashs volume declined by 85% shortly after OFAC imposed its sanction. However, the measures havent killed the service entirely. A recent Arkham report showed that $77 million in digital assets were sent through the Tornado Cash contract in a recent 30-day period.
As an open-source protocol, Tornado Cashs contract still operates on the Ethereum blockchain, making it more difficult for authorities to block entirely for as long as Ethereum is accessible.
However, the ability to access a tumbling service doesnt necessarily mean that using it is legal. In theory, OFAC could pursue anyone who sends funds through a sanctioned coin tumbler, even though it may have some explaining to do if it were to go after Jimmy Fallon for receiving an unsolicited donation of ETH through Tornado Cash.
FinCENs new notice of proposed rule making on digital asset mixing means that tumbling services like CoinJoin might soon become even more difficult to use legally. Moreover, operators depending on anonymizing services might have to collect, record, process, and disclose untold reams of data to the government.
Unless FinCEN receives a significant number of objections as formal comments during its public comment period, its proposed rules stand a good chance of becoming enacted by treasury secretary Janet Yellen.
Unsurprisingly, FinCEN justifies the new requirements by naming rogue users like Hamas and the Democratic Peoples Republic of Korea. FinCEN has opened a comment period lasting 90 days after its recent publication of the notice of proposed rule making in the federal register.
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Bitcoin's CoinJoin services threatened by new FinCEN rules - Protos
Goldman Sachs Analysis: Ethereum’s Path to Scalability – Cryptonews
Source: Adobe
Ethereum (ETH)s upcoming Dencun upgrade, expected in the first quarter of 2024, will play a crucial role in the blockchains journey towards scalability as a settlement layer.
In a recent note, Goldman Sachs highlighted the primary impact of the Dencun upgrade, which is increasing data availability for layer-2 rollups through proto-danksharding.
The bank claimed that this enhancement will result in reduced transaction costs for rollups, ultimately benefiting end users.
Dencuns primary impact will be to increase its data availability for layer-2 rollups via proto-danksharding, resulting in a reduction of rollup transaction costs which will be passed on to end users.
In the context of blockchain technology, a layer 1 network serves as the foundation or underlying infrastructure.
Layer 2 refers to off-chain systems or separate blockchains built on top of layer 1s.
Rollups, which are part of layer 2, process transactions on a faster blockchain and then transfer the data back to the parent blockchain at a fraction of the cost.
The proto-danksharding feature of the Dencun upgrade will not only improve data availability for layer-2 rollups but also lay the groundwork for future scalability upgrades, including danksharding.
Danksharding is a methodology that aims to enhance Ethereums scalability by dividing the network into shards, expanding data storage capacity rather than solely increasing transaction throughput.
According to the Goldman Sachs report, Dencun will enhance Ethereums scalability through the implementation of rollups.
Additionally, it will optimize gas fees, improve network security, and introduce several housekeeping updates aimed at overall network improvement.
Meanwhile, Ethereum co-founder Vitalik Buterin has recently admitted that centralization of nodes is one of the networks biggest challenges, given the fact that the majority of the 5,901 active Ethereum full nodes are run on centralized platforms such as Amazon Web Services (AWS).
The Ethereum mastermind said that he hopes in the future fully verified Ethereum nodes can literally run on a phone.
He claimed that solving the issue with centralization of full nodes is a big piece of the puzzle to making Ethereum more decentralized.
As reported, in an effort to maintain the decentralized nature of the ETH network, several prominent liquid staking providers have implemented or are in the process of implementing a self-limit rule.
The rule ensures that these providers will not own more than 22% of the Ethereum staking market, which could help address concerns over the growing centralization of Ethereum staking.
Rocket Pool, StakeWise, Stader Labs, Diva Staking, and Puffer Finance are some of the staking platforms that have already committed to the self-limit, Ethereum core developer Superphiz said in a recent tweet.
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Goldman Sachs Analysis: Ethereum's Path to Scalability - Cryptonews