Golden Weekly is a weekly blockchain industry summary column launched by Jinse Finance, covering the week's key news, market and contract data, mining information, project dynamics, technological progress and other industry dynamics. This article is a project weekly, taking you to see the progress of this week's mainstream projects and star projects.
Bitcoin
Lightning Labs CEO: Bitcoin-based stablecoin is coming soon
Lightning Labs CEO Elizabeth Stark said that stablecoins based on Bitcoin are coming soon. Stablecoins running on Bitcoin are getting closer to reality through new features built by Lightning Labs using the network's Taproot upgrade implemented at the end of 2021. The Bitcoin network may be the most suitable blockchain for the use of stablecoins, especially when countries face inflation and currency depreciation. She also emphasized that the adoption of stablecoins has grown dramatically during the COVID-19 pandemic, mainly in emerging markets.
Canaan launches upgraded Bitcoin mining machine A1566
Canaan Creative has launched the Avalon A1566, an upgraded Bitcoin mining machine that uses Canaan’s most advanced technology.
Bitcoin mining company GDA to build a Bitcoin mine in Argentina using gas-fired electricity
Mining and data center company Genesis Digital Assets Limited (GDA) has partnered with Argentine power company YPF Luz to use combustion gas produced by a gas-fired power station to power its Bitcoin mining farm in Argentina. The data center is located at the Bajo de Toro thermal power plant and will accommodate 1,200 Bitcoin mining machines.
Wells Fargo Holds US Spot Bitcoin ETF
Wells Fargo is now storing spot Bitcoin ETFs for its customers, with a new SEC filing showing that the bank holds 2,245 shares of Grayscale Bitcoin Trust (GBTC), which was recently converted into an ETF. While the shares, valued at $121,207, represent only a small portion of the bank's roughly $2 trillion in assets under management, the development is noteworthy given the reluctance of the traditional banking industry to get involved in the digital asset industry. The U.S. House of Representatives has passed a bill that aims to ease the threshold for banks to hold cryptocurrencies by amending the U.S. Securities and Exchange Commission's (SEC) guidelines, a move that has been threatened with a veto by the Biden administration due to concerns that the SEC's ability to regulate crypto assets could be limited.
JPMorgan holds multiple US spot Bitcoin ETFs
American financial giant JPMorgan Chase has announced its holdings in Bitcoin spot ETFs from Grayscale, ProShares, Bitwise, BlackRock, and Fidelity. According to documents filed with the U.S. Securities and Exchange Commission (SEC) on May 10, JPMorgan Chase holds approximately $760,000 worth of ProShares BITO, BlackRock IBIT, Fidelity FBTC, Grayscale GBTC, and Bitwise BITB. In addition, the bank also holds 25,021 shares of Bitcoin ATM supplier Bitcoin Depot, worth approximately $47,000.
Hong Kong Stock Exchange launches Bitcoin ETF to balance market opportunities and investor protection
According to Caixin, in April 2024, three Bitcoin spot ETFs and three Ethereum spot ETFs approved by the Hong Kong Securities and Futures Commission were listed on the Hong Kong Stock Exchange. It is reported that the Hong Kong Stock Exchange launched the Bitcoin ETF with the goal of balancing market opportunities and investor protection. As the regulatory thinking becomes clearer, it strives to find a balance between protecting investor interests and market development.
Bitcoin volatility is lower than Tesla and Nvidia stocks, and the price may rise to more than $100,000
Crypto analyst Yashu Gola wrote that Bitcoin's annual volatility has dropped below that of well-known technology stocks such as Tesla, Meta and Nvidia, marking its gradual transformation into a more mature and stable asset class. According to a report by Fidelity Investments, Bitcoin's volatility is lower than 33 of the approximately 500 companies in the S&P 500 index, showing its stability. In addition, the decline in Bitcoin's volatility indicates that investor sentiment has shifted in a positive direction, which may trigger a sharp rise in prices. With the approval of a variety of spot Bitcoin trading products in the United States, important institutional investors are expected to join in the coming months. These institutions typically have strict risk management regulations, and low-volatility asset classes are more in line with their investment strategies. Analysts point out that Bitcoin's stable growth may mean that it is gradually maturing and is expected to bring about a historic price surge. Bitcoin prices are expected to rise to the range of $100,000 to $150,000 in the future.
Ethereum
Analyst: Ethereum options implied volatility remains high
Analysts say uncertainty surrounding Ethereum's future price keeps the asset's options implied volatility at a much higher level than Bitcoin. In contrast, Bitcoin's implied volatility has fallen more dramatically, suggesting that derivatives traders believe the Bitcoin market is stabilizing. Data shows that the Bitcoin Volatility Index fell from 72% at the time of the halving to a multi-month low of 55%. In contrast, Ethereum's indicator fell from 76% to the current 65% over the same period, a smaller drop. QCPCapital analysts pointed out that the risk reversal of Ethereum options is still -4%, and put options are more expensive than call options, reflecting investors' bearish sentiment. In contrast, Bitcoin's risk reversal has turned positive, and call options are more expensive than put options, indicating that the market is bullish. Jinse Finance Note: Implied volatility (IV) is a measure used in the options market that represents the market's forecast of possible future changes or price fluctuations in an asset or security.
Harvest Global CEO: The company is considering allowing mainland investors to invest in its Bitcoin and Ethereum ETFs through the Shanghai-Hong Kong Stock Connect program in the future
Harvest Global, one of the issuers of the first spot bitcoin and ethereum exchange-traded funds (ETFs) in Hong Kong, has confirmed plans to open these funds to mainland Chinese investors through the Hong Kong Stock Connect. Han Tongli, CEO and chief investment officer of Harvest Global, said that at the Bitcoin Asia conference, the possibility of including these ETFs in the ETF Connect program was discussed, which is part of the broader "Stock Connect" program launched in 2014 to connect exchanges in Hong Kong with mainland China. Han Tongli said that as long as everything goes well in the next two years, we do not rule out applying to include our ETFs in the Connect program.
Ethereum transaction fees hit lowest level since merger as L2 network activity increases
On May 11, as more and more activities moved to the L2 network on the Ethereum chain, the average transaction fee on Ethereum reached a historic low. Ultrasound.money data showed that the average gas fee of Ethereum has dropped to 4.81 Gwei, the lowest level since the network completed the merger event in 2022. Market observers attributed the decline to the increased activity of the L2 network after the completion of the Dencun upgrade. The Dencun upgrade has greatly reduced the fees of the L2 network. Blockchain analysis platform IntoTheBlock reported that more and more transactions are now being settled on Ethereum L2. Last month, transactions on the three head L2s accounted for 82% of all Ethereum transactions, a record high.
Ethereum ETF Might Not Appear Until Late 2025
Eric Balchunas, ETF analyst at Bloomberg News, said that due to the lack of meaningful interaction with potential issuers and the vague regulatory status of Ethereum, the US SEC may reject the application for Ethereum spot ETF on May 23, and the Ethereum ETF may not appear until the end of 2025. Faced with rejection, potential ETF issuers such as BlackRock, Fidelity or Ark Invest have two options: either sue the SEC as Grayscale did with the Bitcoin spot ETF, or file a lawsuit again later. Influencing factors include the US election. If former President Trump wins a second term in the White House, the SEC may face a change in leadership. The new chairman may be more friendly to cryptocurrencies than Gary Gensler. If there is a new president, you submit your application again, and maybe you will be approved. Or you sue. In any case, it will take a full year to achieve.
Ethereum network gas fee drops to 2 gwei
On May 12, according to Etherscan data, the Ethereum network gas fee dropped to 2 gwei today and is currently reported at 4 gwei.
other projects
MyShell: Testnet Phase 1 Airdrop NFT will be issued soon
The decentralized AI content platform MyShell officially announced on the X platform that the first phase of the test network airdrop is coming soon, and the new NFT will be accompanied by more privileges, which is planned to last until the end of May. Earlier news, the first phase of the MyShell test network has been launched.
Parallel Network: All NFT collection oracles updated
Parallel Network announced that all NFT collection oracles have been updated and real-time pricing is now reflected on the Parallel application.
Former Amazon Software Developer Creates Bitcoin Wallet App Called Machankura
Kgothatso Ngako, a former Amazon software developer in South Africa, created a Bitcoin wallet app called Machankura, which aims to solve the problem of millions of people in Africa not having smartphones. The app can run on ordinary mobile phones and uses the Lightning Network to conduct Bitcoin transactions without a touch screen or camera. Ngako said that they already have nearly 15,000 users in countries such as South Africa, Nigeria, and Kenya. He mentioned that this service is similar to what Facebook does in developing countries, and reverse billing is achieved through the USSD interface. Users can use Lightning addresses, without the need for copy and paste functions, and can conduct Bitcoin transactions by simply entering numbers or email addresses.
Silent Protocol introduces a “Ghost Layer” solution for Ethereum using ZK and 0VM
Silent Protocol has launched the "Ghost Layer," described as "the world's first Layer 1.5 on Ethereum," according to an official blog post. Founder Novachrono wrote in the post that it implements a "modular secure value transfer layer, creating the first fully compliant, composable, and privacy-preserving ecosystem." The team said: "Using ZK-based systems and 0VM technology, private asset storage and cross-chain value flow are achieved. Silent Protocol also launched EZEE in 2023, solving the challenge of state denial. Ghost Layer marks Silent Protocol's commitment to building an Ethereum-compatible and composable framework that enables developers to create privacy-preserving applications."
NFT Marketplace Etherity Plans to Transform to Ethereum L2
The Ethernity team said it is leveraging Optimism to transform from an Ethereum-based NFT market to an Ethereum Layer 2 solution designed specifically for entertainment brands. Etherity's enhanced platform integrates an AI-driven DRM protocol to ensure strong IP protection, thereby improving security and scalability. This strategic upgrade aims to redefine blockchain entertainment, aiming to attract major franchises of global entertainment brands and establish new industry standards.
Silent Protocol introduces a “Ghost Layer” solution for Ethereum using ZK and 0VM
Silent Protocol has launched the "Ghost Layer," described as "the world's first Layer 1.5 on Ethereum," according to an official blog post. Founder Novachrono wrote in the post that it implements a "modular secure value transfer layer, creating the first fully compliant, composable, and privacy-preserving ecosystem." The team said: "Using ZK-based systems and 0VM technology, private asset storage and cross-chain value flow are achieved. Silent Protocol also launched EZEE in 2023, solving the challenge of state denial. Ghost Layer marks Silent Protocol's commitment to building an Ethereum-compatible and composable framework that enables developers to create privacy-preserving applications."
NFT Marketplace Etherity Plans to Transform to Ethereum L2
The Ethernity team said it is leveraging Optimism to transform from an Ethereum-based NFT marketplace to an Ethereum Layer 2 solution designed specifically for entertainment brands. Etherity's enhanced platform integrates an AI-driven DRM protocol to ensure strong IP protection, thereby improving security and scalability. This strategic upgrade aims to redefine blockchain entertainment, aiming to attract major franchises of global entertainment brands and establish new industry standards.
