Read in the digest:
- Global crypto market cap falls under $1 trillion as tech firms determine market direction.
- Kraken accused of violating U.S. sanction, allowing Users in Iran to buy crypto.
- Ripple’s unique active addresses spike to two-year highs.
- AntPool invests $10 million to support the Ethereum Classic mining ecosystem.
- ‘Cryptojacking’ attacks on financial firms surge 30% amidst crypto slump of Q2.
Global Crypto Market Cap Falls Under $1 Trillion as Tech Firms Determine Market Direction
Bitcoin and the broader crypto market suffered another wave of losses as sentiments turned negative ahead of the expected interest rate hike by the U.S. Federal Reserve, which is attempting to bring inflation under control.
The price of Bitcoin has fallen 10% over the last 10 days after recovering to the $24k level last week. Bitcoin now trades at $21,250 at the time of writing, after touching a one-week low at $20,776.
The 7 day price chart for Bitcoin (BTC). Source: CoinMarketCap
The broader crypto market cap has reflected the bearish sentiment, with Ethereum dropping by more than 13% in the last three days. Solana (SOL) and Dogecoin (DOGE) became the biggest losers in the top 10 cryptos ranked by market cap, losing 19% and 16%, respectively.
The steep downtrend of crypto markets has forced the global crypto market cap under $1 trillion for the first time in one week.
Flipsider:
- While cryptos suffered across the board, BarnBridge (BOND), a relatively new and unknown DeFi token, rallied more than 800% to reach $20 on July 26th.
The 30 day price chart for BarnBridge (BOND). Source: CoinMarketCap
Why You Should Care
With Bitcoin moving in tandem with stocks, the stock performance of Amazon (NASDAQ:AMZN), Apple (NASDAQ:AAPL), Google (NASDAQ:GOOGL), Facebook (NASDAQ:META), and Microsoft (NASDAQ:MSFT) could determine the direction of the crypto market in the coming days.
Kraken Accused of Violating U.S. Sanctions, Allowing Users in Iran to Buy Crypto
Kraken, one of the world’s largest crypto exchanges, is reportedly under investigation by the U.S. Treasury Department for the violation of U.S. sanctions in allowing Iranians to buy digital assets on its platform.
According to reports, the U.S. Treasury Department’s Office of Foreign Assets Control has been investigating the crypto exchange since 2019 in order to determine whether it allowed users in Iran to buy and sell digital tokens.
The Treasury Department is said to be preparing to impose a fine on the exchange for violating the sanctions. The Treasury imposed sanctions on Iran in 1979, and Kraken could become the biggest firm to suffer enforcement action for the breach.
A recent investigation also shows that the world’s largest crypto exchange, Binance, also bypassed U.S. sanctions and maintained operations in Iran.
Flipsider:
- Kraken’s Chief Legal Officer Marco Santori has since claimed that the exchange “closely monitors compliance with sanctions laws and, as a general matter, reports to regulators even potential issues.”
Why You Should Care
The regulatory scrutiny targeting the crypto space has heightened as the industry grows, thereby becoming more established and entwined with other industries.
Ripple’s Unique Active Addresses Spike to Two-Year Highs
With Ripple scoring another major win in its case against the U.S. Securities and Exchange Commission (SEC), the number of unique active addresses on the network has soared to a new two-year high.
According to data from Santiment, the number of unique addresses on the Ripple network has hit a number of unique addresses currently interacting on the network has exceeded 247,000 – a peak not seen since February 2020.
The milestone was recorded after Ripple Labs announced a new partnership with Singapore-based payments institution FOMO Pay, which will be integrating Ripple’s on-demand liquidity (ODL) solution.
Flipsider:
- Santiment notes that the spike in unique active addresses on the XRP network was not a result of the creation of new addresses. The data tracker explained that the number of new addresses has remained fairly constant.
Why You Should Care
Ripple continues to make significant progress and growth as a global payment processor, despite its legal battles in the U.S.
AntPool Invests $10 Million to Support Ethereum Classic Mining Ecosystem
The Ethereum mainnet merge, which will see the network transition from a Proof of Work algorithm to a Proof of Stake consensus, has been a source of concern for miners, as mining will effectively end after the merge.
With Ethereum miners looking for an alternative network where mining is possible, AntPool, the mining pool affiliated with mining rig giant Bitmain, has backed the Ethereum Classic (ETC) ecosystem with an investment of $10 million.
Ethereum Classic is an Ethereum offshoot alternative that will continue to mine using Proof of Work, thereby ensuring the compatibility of the rigs currently used by Ethereum miners.
At Bitmain’s ‘World Digital Mining Summit’ on Tuesday, AntPool’s CEO Lv Lei announced that the pool plans to invest even further. AntPool’s parent company, Bitmain, started selling its latest Ethereum mining model (the Antminer E9) earlier in July.
Flipsider:
- Vitalik Buterin, the co-founder of Ethereum, has said that those unhappy with Ethereum’s evolution can use the Ethereum Classic alternative, calling it a “totally fine chain.”
Why You Should Care
The move from AntPool will ensure Ethereum miners continue to profit from their mining equipment, even after the much-anticipated merge
‘Cryptojacking’ Attacks on Financial Firms Surge 30% Amidst Crypto Slump of Q2
A Q2 cybersecurity report has shown that cryptojacking, the unauthorized use of people’s devices computing power to mine cryptocurrency, surged by 30% in the period to hit a new all-time high.
The recent report by American cybersecurity firm SonicWall reveals that the increase of cryptojacking among financial firms increased by a value of $66.7 million, or 30%, within the first half of 2022 compared with the same period last year.
The security firm explained that the hackers first leverage the Log4j vulnerability to deploy attacks in the cloud. The cybercriminals then use this critical vulnerability to gain access to the computers of financial firms.
SonicWall explains that “unlike ransomware, which announces its presence and relies heavily on communication with victims, cryptojacking can succeed without the victim ever being aware of it.”
Flipsider:
- SonicWall revealed that the volume of cryptojacking attacks fell alongside the crypto market in the first half of the year, due to the attacks becoming less lucrative.
Why You Should Care
SonicWall has warned financial firms to remain alert, as these cybercriminals are now moving from the government, healthcare, and education sectors into the retail and financial sectors.