1. Attention Value-Market Key Points
1. Market conditions
(1) Macro environment:
l SEC relaxes SAB-121 regulations to allow banks to use "bankruptcy isolation" to custody crypto assets
The U.S. Securities and Exchange Commission (SEC) appears to have loosened up its crypto accounting policy SAB-121 proposal, allowing banks to use a "bankruptcy isolation" approach to custody customer assets, thereby circumventing some regulations. According to an analysis by Galaxy Research Director, SEC Chief Accountant Paul Munter proposed some exemptions that allow bank holding companies and introducing brokers to be exempt from the custody requirements in SAB-121. Banks can avoid SAB-121 reporting requirements if they obtain written permission from state regulators, clearly define standards in contracts, and conduct regular risk assessments. In addition, introducing brokers must meet three conditions to obtain exemptions, including not holding customers' private keys, not acting as third-party agents in transactions, and must obtain a legal opinion to prove that they meet the digital asset exemption conditions.
(2) Web3 field:
Russia plans to regulate cross-border crypto payments by the end of November, testing an experimental legal system
Anatoly Aksakov, chairman of the Russian State Duma Financial Market Committee, said that the Russian Central Bank and the Ministry of Finance are developing regulations for cross-border payments of cryptocurrencies, with the goal of completing them by the end of November. The government plans to first test the cryptocurrency payment mechanism under the Experimental Legal Regime (EPR), limiting participants to credit institutions and banks to reduce risks and protect the market from fraud.
Aksakov revealed that companies are already using cryptocurrencies for import and export payments, with transactions estimated at billions of dollars. He stressed that the initial stage will limit the number of financial institutions involved in these transactions in order to better understand the market and develop effective regulatory provisions.
2. Hot events
OpenAI o1 model has achieved breakthrough results in IQ tests and programming competitions
OpenAI's o1 model achieved an IQ score of 120 in the latest Mensa IQ test, answering 25 out of 35 questions correctly, far exceeding other AI models. Kyle Kabasares, a physics PhD student at the University of California, Irvine, found that o1 completed the doctoral thesis code he spent a year writing in just one hour, which was impressive despite using synthetic data.
In the Codeforces programming competition, the o1-mini model helped contestant AryanDLuffy rank in the top 0.17% among more than 160,000 contestants, demonstrating its excellent coding ability. Several cutting-edge papers have explored the working principle of o1, emphasizing the improvement of its reasoning performance through training rather than prompt engineering, and proposed key ideas such as test-time calculation, self-criticism mechanism and process supervision.
Web3 Field:
DeepLink Protocol completes public sale, raising over $10 million to advance decentralized cloud gaming
DeepLink Protocol successfully completed five phases of public sales, raising more than $10 million. The project combines AI and blockchain technology, focusing on providing ultra-low latency cloud game rendering technology, supporting a variety of applications such as cloud e-sports, 3A masterpieces and blockchain-integrated games. The financing attracted multinational participants from Japan, Europe and the Spanish-speaking market. DeepLink's software users have exceeded 1.7 million, covering more than 110 countries and regions. In order to cope with the growing network traffic and computing needs, DeepLink plans to launch a GPU mining galaxy competition and GPU subsidy activities with a total value of more than $10 million to further enhance its decentralized network infrastructure and promote the rapid development of the project.
3. Hot topic narrative
Tranchess is an innovative decentralized finance (DeFi) protocol that aims to provide investors with diversified income solutions. As of September 2024, the total locked value (TVL) of Tranchess on BNB Chain has reached 187 million US dollars, an increase of nearly 500% this year. It is inspired by the concept of "Tranches" (grading) in traditional finance, allowing users to choose an investment strategy that suits them according to different risk preferences. Tranchess meets the needs of investors with different risk-return requirements by splitting the main fund QUEEN into two derivative tokens BISHOP and ROOK.
The core operating logic of Tranchess is the structured fund architecture. Users can hold QUEEN to gain full exposure to the underlying assets while earning additional income through staking. BISHOP provides stable fixed income, suitable for risk-averse investors, while ROOK is a high-risk, high-yield leveraged token suitable for investors seeking higher returns. In addition, Tranchess has also introduced the Turbo & Stable model, which provides users with more flexible investment options by further segmenting and enhancing product features.
Tranchess is able to remain invincible in the fiercely competitive DeFi track, mainly due to its professional team and innovative mechanisms. The team is composed of many professionals with rich blockchain and financial backgrounds, including members from investment banks, asset management companies and hedge funds, who have deep traditional financial experience. For example, Danny Chong, co-founder of Tranchess, graduated from Nanyang Technological University and has more than ten years of banking experience. He has worked in trading, sales and management in the Asia-Pacific region. In addition, members of the technical team come from technology giants such as Google, Meta and Microsoft.
Looking ahead, Tranchess plans to continue expanding its product line and collaborate with multiple projects to launch new yield products to meet the changing market needs. As the DeFi ecosystem develops, Tranchess has the potential to become an important player in the asset management field, providing users with more innovative yield strategies.
4. Potential Catalyst
Bitcoin recently retested its 50-week moving average, and well-known analyst Titan said that this key support level could lead Bitcoin to rebound above $90,000. Historical data shows that when the price of Bitcoin retests this moving average, it usually rebounds by at least 40%, with an average rebound rate of 71%. If this rebound reaches 71%, Bitcoin has the potential to rise to $92,000.
Although September is typically a poor month for Bitcoin, with an average return of -4.69%, October and November have historically performed relatively well, at 22.9% and 46.8%, respectively. After the 2020 halving, Bitcoin gained more than 27% and 42% in October and November, respectively, and continued to rise until March 2021.
Cryptocurrency trader Mags pointed out that the current adjustment may be the last buying opportunity before the next round of rise, especially after halving. Anonymous analyst Checkmate also mentioned that Bitcoin’s current position is similar to the previous two bull cycles, indicating that the market is experiencing a recovery period.
2. Attention Value-Hot Projects
1. Social media hot spots
Ethereum is a decentralized, open-source public blockchain platform with smart contract functions. With the continuous development of Ethereum 2.0 and Layer2, it has become one of the most widely used blockchains. In July this year, the Ethereum spot ETF was officially approved for listing and trading. Although $ETH has fallen sharply in recent days due to reduced income and whale withdrawal, the market is still mainly optimistic due to its low inflation rate and strong development capabilities.
Key projects:
WBTC
Wrapped Bitcoin ($WBTC) is a tokenized version of Bitcoin that aims to bring Bitcoin liquidity to the Ethereum ecosystem. Each $WBTC is backed by custodial Bitcoin at a 1:1 ratio, meaning that the value of each $WBTC is equal to one Bitcoin. The main purpose of $WBTC is to enable Bitcoin holders to participate in decentralized financial applications, which are often built on the Ethereum blockchain. Since the launch of $WBTC, the project has faced considerable controversy due to concerns about BitGo's own risks and market makers.
Recently, BitGo announced that through a unique partnership and joint venture with BiT Global, its WBTC business will shift to the world’s first cross-jurisdictional and cross-institutional custody.
2. Smart money builds a position
Smart money holdings
Source: ChainEDGE, Dot Labs
Project Introduction:
1. PEPE (@pepecoineth /X)
$PEPE is an Ethereum-based token launched in April 2023 that seeks to capitalize on the influence of the popular internet meme "Pepe the Frog." As a "memecoin," Pepe Coin is designed to attract the attention of investors and traders, especially during "memecoin season."
2. $michi(@michionsolana /X)
$michi is a cryptocurrency based on the Solana blockchain that aims to combine meme culture with a community-driven economic model. $michi's design is inspired by a cute cat image and aims to attract a wide range of user groups, especially fans of meme culture.
Smart money flows in
Source: ChainEDGE, Dot Labs
Project Introduction:
1. PYR (@VulcanForged /X)
Vulcan Forged is a comprehensive Web3 ecosystem focused on blockchain games and the non-fungible token market. The project was developed by Vulcan Studios and has multiple game projects, including the popular VulcanVerse and Berserk. Vulcan Forged aims to provide users with a diverse gaming experience while supporting developers to create and publish blockchain-based games.
2. BOBO (@BoboverseOnSol /X)
$BOBO is an Ethereum-based ERC-20 token derived from the bear market-related meme character "Bobo the Bear". The character first appeared in 2018 and gained widespread attention on the /biz/ forum of 4chan, with more than 40,000 mentions to date. The launch of $BOBO aims to capitalize on the popularity of this meme and attract participation from the cryptocurrency community.
3. Attention Value-Sector Rotation
1. Hot topics
Source: Dune, Dot Labs
Source: Dune, Dot Labs
2. Inside the plate
Source: Dune, Dot Labs
