Monthly Crypto Roundup by CoinsDo: Nov 2024
5 mins read
November 2024 proved to be a defining moment for the cryptocurrency world. The month brought record-breaking milestones, significant political shifts, and pioneering technological advancements, showcasing the dynamic nature of the sector. However, alongside these achievements, persistent security breaches reminded stakeholders of the ongoing risks inherent in a rapidly evolving digital ecosystem. Here’s a closer look at the major events that shaped the narrative. Key Events 1. Political Shifts Shake Markets Donald Trump’s return to the White House catalyzed both excitement and trepidation within the crypto space. Bitcoin surged to an unprecedented $98,000, due to his crypto-friendly stance and his stated desire to make the US the crypto capital of the world. He has also promised to remove notably anti-crypto SEC Chair, Gary Gensler, from his post, which was greeted favorably by XRP holders - XRP’s price shot up by over 300% this month. 2. Enter the DOGE (Department of Government Efficiency) The planned formation of the Department of Government Efficiency (DOGE) captured global attention, who are unclear how seriously to take it given the overlapping of its stated purpose overlaps with an existing federal body, the Government Accountability Office as well as the sharing of a namesake with a famous memecoin. Nevertheless, Dogecoin (DOGE), the meme-based cryptocurrency, gained 20% upon the news, underscoring the market’s susceptibility to sentiment-driven movements. Technological Developments 1. TON's Society DAO Implementation The Open Network (TON) took a bold step toward decentralization with the launch of its Society DAO.The initiative enables users to influence project development directly, enhancing transparency and user trust. As TON deepens its integration with Telegram, we believe this development can redefine social media interactions by embedding decentralized tools. The Society DAO underscores the broader shift towards decentralized governance, a trend poised to transform how communities and corporations interact in digital ecosystems. 2. Global Dollar Network Launch Robinhood, Kraken, and others introduced the Global Dollar Network, a USD-pegged stablecoin framework. By addressing transparency and liquidity concerns, this initiative aims to drive mainstream adoption of stablecoins. We believe that the network’s structure could simplify international trade and remittance, particularly in regions with volatile local currencies. Serving as a bridge between traditional finance and crypto, a stablecoin offering a practical use case could potentially accelerate adoption even in hesitant markets. Hacks and Security Concerns: A Persistent Shadow Despite a 15% year-over-year decline in crypto-related theft, November alone saw $71 million lost to hackers, underlining the sector’s vulnerability. Here are some of the biggest cases: 1. XT.com Security Breach Seychelles-based exchange XT.com became the latest victim of a sophisticated cyberattack, with $1.7 million in crypto assets reportedly stolen. Initially framed as a “wallet upgrade and maintenance” event, the breach caused a suspension of withdrawals, leaving users in a lurch and sparking concerns about transparency in crisis management. The breach raised questions about XT.com’s wallet security protocols and its ability to detect and mitigate attacks in real-time. For users, such incidents exacerbate fears of centralized exchanges being unsafe custodians of assets, driving interest toward decentralized finance (DeFi) solutions. 2. Scattered Spider Hacking Scheme The Scattered Spider group, a notorious cybercrime syndicate, made headlines after U.S. prosecutors charged five members with orchestrating phishing schemes to infiltrate businesses, including crypto platforms. The group reportedly gained access to sensitive data and siphoned off substantial crypto holdings. The attack wasn’t confined to crypto alone, affecting firms across industries such as gaming and telecommunications. This cross-sector impact underscores how vulnerabilities in one area can spill over into others. Looking Ahead: Optimism Amidst Complexity November 2024 encapsulated the duality of the crypto sector: extraordinary innovation paired with formidable challenges. Bitcoin’s record high and advancements like the Global Dollar Network demonstrate crypto’s transformative potential. However, security breaches and regulatory uncertainty remind us of the work needed to safeguard this burgeoning ecosystem. As December unfolds, the focus will likely shift toward ensuring that growth is sustainable and secure. Whether through improved technology, innovative policies, or global collaboration, the crypto world continues to push boundaries—and captivate us all.
Money 20/20 Las Vegas (2024) Recap: Key Observations
8 mins read
In November, CoinsDo attended Money20/20 in Las Vegas, where leaders in finance and technology converge to shape the future of money. Thinking we’d see a sizable contingent of crypto-related financial service providers, we were rather surprised to find that their presence was notably subdued. This observation led me to reflect on the current state of the crypto industry within mainstream finance. In this blog, we'll share our insights, delve into possible reasons behind these trends, and explore what they might mean for the future of digital currencies. Observation #1: The Subdued Presence of Cryptocurrency Companies Walking through the conference halls, it was evident that crypto firms were not as prominent as one might expect at such a significant financial event. One possible explanation for the reduced presence is the increasing regulatory scrutiny the crypto industry faces. In the United States, agencies like the Securities and Exchange Commission (SEC) have intensified their focus on cryptocurrency regulations. According to a report by PWC, this is raising the bar for crypto firms to fall in line with traditional financial services obligations, a bar that not many crypto firms are able to clear currently, possibly reducing their visibility at mainstream events. Another factor could be the market volatility experienced over the past year. The crypto market has seen significant fluctuations, and the hacking of major exchanges like Wazir X have shaken investor confidence. This environment might encourage companies to focus on consolidation and stability rather than broad promotional efforts. Observation #2: Traditional Applications Take Center Stage Despite the lower visibility, the crypto companies present were emphasizing traditional financial applications of blockchain technology. Many firms showcased solutions like cross-border payments and crypto payment acceptance systems. This shift suggests a strategic move to demonstrate real-world utility. By addressing tangible problems—such as high transaction fees and slow processing times in international payments—they aim to integrate more seamlessly with existing financial systems. This trend aligns with the broader industry movement towards practical blockchain applications. Deloitte’s Global Blockchain Survey found that 83% of surveyed executives see compelling use cases for blockchain in enhancing existing financial processes. Focusing on established use cases could accelerate mainstream adoption. However, it might also sideline more innovative, disruptive aspects of crypto technology. Striking a balance between practical solutions and pioneering developments is crucial for the industry's growth. Observation #3: The Dominance of Third-Party Custodial Solutions A notable observation was the prevalence of third-party custodial services for crypto assets. The reliance on custodial solutions indicates that many users and institutions prioritize security and convenience over complete control of their assets. Non-custodial solutions, while offering greater autonomy, require users to manage their own private keys—a responsibility that can be daunting. Our own informal survey at Money20/20 also shows that institutional investors prefer custodial services due to regulatory compliance and risk management considerations. We believe that the market's readiness for non-custodial solutions is hindered by factors such as lack of user-friendly interfaces, security concerns, and limited regulatory clarity. Overcoming these challenges is essential for broader adoption of non-custodial crypto solutions. Observation #4: The Rise of AI and Regtech at Money20/20 One of the most prominent themes at this year's conference was the integration of artificial intelligence into financial services, encapsulated by the event's theme: "Human x Machine. The convergence of "Human x Machine" signifies an industry recognition that combining human expertise with machine efficiency can lead to better outcomes. By leveraging AI, financial institutions can enhance their capabilities without replacing the essential human judgment required in nuanced decision-making. We believe this explains the significant presence of regtech companies, especially those offering eKYC solutions powered by AI. These technologies are designed to streamline the customer onboarding process, enhance security, and ensure compliance with regulatory requirements. Why the Focus on AI-Powered Regtech? Increasing Regulatory Demands: Financial institutions are under growing pressure to comply with complex regulations aimed at preventing fraud, money laundering, and terrorist financing. AI-powered eKYC solutions can process vast amounts of data quickly and accurately, reducing the risk of non-compliance. Efficiency and Cost Reduction: Manual compliance processes are time-consuming and costly. AI automates these tasks, saving time and resources. A study by Accenture found that AI could help banks reduce operational costs by up to 30%. Improved Customer Experience: Faster onboarding processes enhance the customer experience. AI can verify identities in real-time, allowing customers to open accounts or access services without lengthy delays. Observation #5: Increased Interest from Venture Capitalists Despite the quieter presence of crypto firms at the forefront, there’s been a noticeable surge of interest from venture capitalists (VCs) diving deeper into the crypto space. This uptick signals a shift in investor sentiment, with many VCs appearing increasingly willing to embrace the inherent risks of the industry. What’s driving this shift? A growing sense that the U.S. regulatory environment may soon provide clearer and more stable guidelines for the crypto market. The anticipation of more defined regulations is a game changer. Uncertainty has long been a barrier to broader investment in crypto, but with both major U.S. presidential candidates recently signaling crypto-friendly positions, there’s renewed hope for supportive policies that could legitimize and stabilize the industry. For VCs, this suggests a reduced risk landscape and the potential for more predictable returns—making now a prime time to back innovative projects. This growing VC interest is a lifeline for the crypto industry. Access to funding could empower startups to bring transformative ideas to life, from decentralized finance (DeFi) platforms to cutting-edge blockchain applications. For entrepreneurs, it’s an exciting moment: a chance to secure the resources needed to scale their vision and make an impact in a space that’s ripe for disruption. Final Thoughts Reflecting on our time at Money20/20, it's clear that the crypto industry is at a crossroads. The subdued presence of crypto companies and their focus on traditional applications suggest a strategic shift towards integration with mainstream finance and a response to regulatory pressures.
Monthly Crypto Roundup by CoinsDo: Oct 2024
5 mins read
October 2024 was a dynamic month for the cryptocurrency market, marked by key project developments, regulatory milestones, and emerging trends in the U.S. political sphere. Despite no further rate cuts from the Federal Reserve, a blend of economic stability, project launches, and regulatory news contributed to mixed but generally optimistic market sentiment. Key Events Among the most pivotal was MicroStrategy’s announcement to acquire $42 billion in Bitcoin between 2025 and 2027, a move that signals an unprecedented endorsement of Bitcoin as a hedge asset from one of the world’s largest corporate holders of cryptocurrency. This multi-year strategy exemplifies a growing institutional pivot toward digital assets as reliable stores of value, particularly in an economic landscape shaped by inflationary pressures and central bank rate adjustments. By spreading this investment over three years, MicroStrategy demonstrates a nuanced understanding of Bitcoin’s liquidity cycles, strategically avoiding over-exposure and potential price destabilization. This approach may pave the way for other large-scale entities to consider Bitcoin, not as a speculative asset, but as a structural element of diversified portfolios. Simultaneously, South Korea’s record-high crypto transaction volumes in October reflect an equally transformative trend, as the nation has rapidly become a cornerstone of the digital asset economy in Asia. This surge is not solely driven by individual investors but also by emerging fintech integrations, institutional investments, and government-backed blockchain projects, positioning South Korea as a pioneer in mainstream crypto adoption. In a broader context, this exponential growth in transaction volumes highlights the maturation of digital asset infrastructure within developed Asian markets, which increasingly view cryptocurrencies as a core component of the financial ecosystem. Market Overview Bitcoin (BTC): Bitcoin showed steady growth, rising about 14.2% as investors saw it as a hedge against economic uncertainties. Favorable developments in U.S. political sentiment also contributed to its stable upward trend. Avalanche (AVAX): With a 20.1% rise, AVAX stood out as a top performer. This growth followed the Avalanche9000 upgrade and increased developer incentives, enhancing the ecosystem's attractiveness Solana (SOL): Solana climbed 12%, benefiting from new institutional partnerships and heightened developer engagement through events like the Solana Hacker House Hacks and Security Concerns October 2024 saw substantial security breaches across the crypto ecosystem, with a total of $129.6 million in losses from various hacks, exploits, and exit scams, underlining persistent vulnerabilities within the sector. Radiant Capital Exploit: Radiant Capital faced the largest loss of the month, amounting to over $50 million. Hackers exploited security weaknesses in developer devices, granting unauthorized access to core protocol functions. This breach highlighted critical vulnerabilities that can arise from insufficient security practices on developer-facing systems, signaling the need for heightened security protocols within developer environments. Whale Phishing Attack: In a highly targeted phishing scheme, attackers stole $36 million in assets from a crypto whale. This attack demonstrated an elevated level of sophistication, with attackers using deceptive links that mimicked trusted entities to gain access to sensitive information. The incident has prompted renewed calls for enhanced user education on identifying phishing attempts and exercising caution with high-value assets. M2 Exchange Hack: M2, a prominent exchange, experienced a $13.7 million hack affecting BTC, ETH, and SOL in its hot wallets. The attack exposed vulnerabilities in M2’s hot wallet infrastructure, leading to immediate operational and security overhauls to prevent future breaches. Technological Developments Avalanche9000 Upgrade: Avalanche introduced the Avalanche9000 upgrade in October, aimed at enhancing scalability and security across its network. This upgrade, supported by a $40 million developer grant, reinforced Avalanche’s position as a competitive DeFi platform. Looking Ahead October 2024’s combination of advancements and challenges has set the stage for further scrutiny and growth in the crypto space. As more political leaders recognize the value of crypto, it will be essential to watch for legislative developments, particularly in balancing innovation with security needs. The market’s future hinges on navigating these regulatory, security, and technological shifts successfully.
How to Transfer Crypto to My Bank Account with CoinWallet
5 mins read
Transferring cryptocurrency to a bank account can seem daunting at first, but with the right guidance, it becomes a straightforward process. Whether you're looking to convert USDT or any other crypto asset into fiat currency, understanding each step ensures a smooth and secure transaction. This guide walks you through the essential steps to successfully transfer your crypto to your bank account. Step 1: Identify Your Asset and Its Blockchain The first step in transferring your cryptocurrency to your bank account is to identify the asset you wish to convert and understand the blockchain it operates on. This is crucial because different cryptocurrencies use different blockchains, and knowing this will determine the native coin you'll need to pay for gas fees. Think of it like knowing the type of car you drive and the kind of fuel it needs. In the digital coin world, the "fuel" is called a gas fee, which is a small amount you pay to make the transfer happen. Ensure you have enough of the native coin in the same wallet address to cover the transaction fee. If you're short on the native coin, you can purchase more through our DApp or, if that doesn't work, via a reputable exchange in your region. It's important to choose an exchange that supports the fiat currency you wish to receive and is known for its reliability. In other words, make sure you have enough of this "fuel" in your digital wallet, or else you won't be able to move your money. Some exchanges we recommend include Coinbase, Binance, and Kraken. Alternatively, visit CoinMarketCap's top exchange list for more options. Step 2: Transfer the Native Coin to the Same Wallet Address Once you've secured enough native coins for gas fees, the next step is to ensure that this coin is in the same wallet address as the cryptocurrency you intend to transfer. This might seem like a basic step, but it's crucial to avoid transferring your assets to the wrong address, as this could result in the loss of your cryptocurrency. Always double-check the address before confirming the transfer. Basically, you need to ensure that the "fuel" you just got is in the same digital wallet as the money you want to change into cash. Step 3: Transfer Your Crypto to an Exchange or Use LetsExchange With your asset and gas fees ready, it's time to transfer your cryptocurrency to an exchange where you can sell it for fiat currency. If you are a CoinWallet user who acquired the native coin through our DApp, you're already set to proceed. Our in-app LetsExchange feature simplifies this process by allowing direct exchanges within the app. However, if you opt for an external exchange, it's essential to check with the exchange regarding the process for selling your specific cryptocurrency, as procedures can vary. It is worth noting that some exchanges also offer integrated P2P conversion features, enabling users to seamlessly convert their digital assets into fiat currency or vice versa, directly with other users on the platform. These exchanges typically provide an escrow service and a dispute resolution mechanism to ensure the security and fairness of every transaction. The escrow service holds the cryptocurrency until both parties have confirmed the transaction, mitigating the risk of fraud. Regardless, please verify that the exchange supports the specific cryptocurrency and blockchain you're working with. This step is critical to ensure that your transaction proceeds smoothly. Final Thoughts Turning digital money into cash and getting it into your bank might seem like a big deal, but it's pretty straightforward once you know what to do. Just like learning anything new, it takes a bit of reading and maybe a little practice. Just don’t forget the following: Ensure the exchange supports the token you're selling and that your token is on the correct blockchain. The process for selling crypto can differ from one exchange to another. Always consult the exchange's support or help center before proceeding. Whether you choose to use LetsExchange or another platform, the key is to proceed with caution and make informed decisions throughout the process.
What is Solana (SOL)?
6 mins read
Solana (SOL) has garnered significant attention in the cryptocurrency space for its high-performance blockchain capabilities. Known for its speed and efficiency, Solana is often touted as a potential competitor to Ethereum. This article delves into the origins, technology, real-world applications, and future prospects of Solana. The Genesis of Solana Solana was created by Anatoly Yakovenko, who published the project's whitepaper in 2017. The mainnet beta launched in March 2020. Yakovenko, a former Qualcomm engineer, aimed to address the scalability issues plaguing other blockchains. Solana's architecture was designed to support high throughput and low transaction costs, making it suitable for decentralized applications (dApps) and decentralized finance (DeFi) platforms. Solana's journey began with a focus on performance improvements over existing blockchain platforms. Its inception was driven by the need to solve the notorious blockchain trilemma—scalability, security, and decentralization. Solana's innovative approach, leveraging Proof of History (PoH), has positioned it as a formidable contender in the blockchain ecosystem. Understanding Solana's Technology Solana's technology stands out due to its unique approach to transaction processing: Proof of History (PoH) PoH is a key innovation of Solana that timestamps transactions to establish a chronological order. This system allows for more efficient validation of transactions, enhancing the blockchain’s throughput. By encoding the passage of time, PoH enables Solana to handle more transactions without sacrificing security. Proof of Stake (PoS) Complementing PoH, PoS is used for consensus and security. Validators are selected based on the number of SOL tokens they hold and are willing to "stake" as collateral. This combination ensures that the network remains secure and decentralized. High Throughput Solana claims to handle up to 65,000 transactions per second (TPS), significantly higher than Bitcoin’s 6-8 TPS and Ethereum’s 12-15 TPS. This capacity is crucial for supporting complex dApps and DeFi platforms that require fast and reliable transaction processing. Low Transaction Costs The network’s efficiency allows for very low transaction fees, making it attractive for developers and users. This cost-effectiveness is essential for applications that involve high-frequency trading or micro-transactions, where transaction fees can quickly add up. Network Uptime Solana boasts a network uptime of 99.94% over the past year, reflecting its reliability. Consistent uptime is critical for maintaining user trust and ensuring that the network can handle large volumes of transactions without interruption. Real-World Applications of Solana Solana is not just theoretical; it has practical applications across various sectors: Decentralized Finance (DeFi) Solana hosts a multitude of DeFi projects that leverage its high throughput and low transaction costs to offer seamless financial services. These platforms include: Serum Serum is a decentralized exchange (DEX) that offers high-speed trading and lower costs compared to traditional exchanges. Built on Solana, it uses an on-chain order book to provide liquidity and facilitate the execution of complex trades. Serum’s infrastructure benefits from Solana's rapid transaction processing, enabling real-time trading without the delays common on other blockchains. Raydium Raydium is an automated market maker (AMM) and liquidity provider that integrates with Serum. It offers yield farming, staking, and other DeFi services. By leveraging Solana's efficiency, Raydium can execute trades quickly and at a lower cost, providing users with a more profitable and efficient DeFi experience. Non-Fungible Tokens (NFTs) Solana is increasingly popular for NFTs, with several prominent marketplaces and projects: Solanart Solanart is a leading NFT marketplace on Solana, enabling artists and creators to mint, buy, and sell NFTs. Solanart takes advantage of Solana's low fees and fast transactions, making it accessible for users and creators alike. Magic Eden Another prominent NFT marketplace, Magic Eden, allows users to trade a wide variety of NFTs, including digital art, collectibles, and in-game assets. The platform's integration with Solana ensures that transactions are quick and affordable, which is crucial for the high volume of transactions that occur in the NFT market. Gaming Blockchain-based gaming is another area where Solana is making significant strides: Star Atlas Star Atlas is a highly anticipated space exploration game that leverages Solana's capabilities to provide an immersive and interactive gaming experience. Players can explore, trade, and battle in a virtual universe, with all transactions and interactions recorded on the Solana blockchain. Aurory Aurory is a play-to-earn game that combines elements of traditional gaming with blockchain technology. Players can earn rewards and trade in-game assets as NFTs, benefiting from Solana's fast transaction speeds and low fees. This enables a seamless gaming experience where users can engage in economic activities without the friction of high transaction costs. SOL is now Supported on CoinsDo CoinsDo is excited to announce that it now supports transactions on Solana and the related SOL token. This new integration means that CoinGet and CoinSend can now efficiently manage these assets, providing users with a seamless and secure digital asset management experience. If you're in the market for a reliable, secure, and cost-effective digital asset management system, reach out to us to learn how CoinsDo can empower your business.