OVERVIEW

Ethereum Is King Of NFTs Again 👑

Equities are down, metals are up, the dollar is down, oil is up, the Yen is down, and crypto is up. Things are all over the place today. 🤷‍♂️

GDP data can be blamed for some of the broad market shenanigans. Q1 GDP growth slumped to 1.60% from 3.40% last quarter, while the Core PCE Price Index leaped to 3.70%. 😬

In a nutshell, inflation is picking up steam while the economy is slowing down, which could turn into stagflation if it persists. The Fed’s worst nightmare, like Lord Voldemort in Harry Potter.

In today’s Litepaper: ETH king of NFTs, Consensys sues the SEC and another crypto mixer down. We also cover a piece of Bitcoin history being auctioned and Runes taking over the Bitcoin arena. 📰

Before we dive in, here’s today’s crypto market heatmap: 

And here’s a look at crypto’s total and altcoin market cap YTD:

ETHEREUM
Ethereum Leads NFT Sales 🎁

$ETH continues to assert its dominance in the NFT market, leading yesterday’s sales with a volume of over $7.13 million. 🎨

Although it hasn't surpassed the $10 million mark since early April, Ethereum remains a pivotal player in the digital collectibles arena. On the same day, Bitcoin ($BTC) closely followed, with sales just shy of Ethereum's figures. Polygon ($MATIC) and Mythos Chain also reported notable daily activities, with sales reaching millions of dollars and tens of thousands of transactions.

Ethereum's consistent performance, despite fluctuations, shows its role as a market leader, shaping how digital assets are traded and valued. The ongoing innovation and participation across blockchains signals a healthy and expansive future for NFTs, reflecting the growing interest and investment in blockchain technologies. 🔄

Returning to the beginning of 2024, the number of new NFT sales collapsed. The number of NFT sales very slowly continues to rise, but there are signs that an uptick may be occurring soon.

And if you thought or think that NFTs are dying, that’s clearly not the case. The number of new addresses has spiked considerably.

Is the bottom in for the NFT space? Time will tell, but things are looking up. 🕰️

NEWS
Consensys Files Lawsuit Against SEC to Protect Ethereum's Future 📁

Consensys has initiated a lawsuit against the U.S. Securities and Exchange Commission (SEC), alleging regulatory overreach. 👍

Filed in a Texas federal court, the lawsuit aims to counter an anticipated SEC action against MetaMask, the crypto wallet that Consensys has developed and supported. Central to the dispute is the classification of Ethereum's native token, Ether ($ETH), with Consensys seeking a judicial declaration that ETH is not a security.

The complaint warns that the SEC's jurisdiction over Ethereum could disastrously affect the network, potentially halting its operation in the U.S. It argues that such regulatory actions would cripple "one of the internet’s greatest innovations," by making every ETH transaction a potential legal violation.

Previously, the SEC did not classify Ethereum tokens as securities (similar to Bitcoin), but no further clarifications have been provided despite recent moves to use Ethereum staking as a basis for new legal actions. Consensys contends that staking should be viewed merely as a means to support the protocol’s operation, not an investment contract. 💥

NEWS
'Buy Bitcoin' Sign from Yellen Testimony Auctioned for Over $1 Million 😆

An iconic piece of $BTC history, the 'Buy Bitcoin' sign held up behind Janet Yellen during a 2017 Congressional testimony, has been sold for a whopping 16 BTC, equivalent to over $1 million. 🖼️

The auction occurred at PubKey, a Bitcoin-themed bar in New York City. The proceeds will fund the development of Tirrel Corp, a startup focused on enhancing Bitcoin's layer-2 lightning network.

There isn't much known about the news sign’s owner other than their handle, Squirrekkywrath.

This sale highlights the growing intersection of cryptocurrency and cultural significance, underscoring the community’s enthusiasm for preserving and valuing iconic moments in Bitcoin’s history. 🏆

NEWS
Samourai Wallet Taken Down, Founders Charged 🥷

The U.S. Department of Justice has recently arrested Keonne Rodriguez and William Lonergan Hill, the founders of Samourai Wallet, for allegedly laundering over $100 million through their cryptocurrency mixer service. 🚨

These arrests are part of a broader crackdown targeting the illegal use of digital currencies to obscure financial transactions. The Samourai Wallet was downloaded over 100,000 times and is alleged to have facilitated over $2 billion in illicit transactions.

The operation spanned multiple countries, with Hill detained in Portugal and awaiting extradition to the U.S. Authorities have also taken steps to remove the app from the Google Play Store in the United States. 🌍

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BITCOIN
Runes Transactions Account for 68% of Bitcoin Activity Since April Launch 🤯

Since its launch following Bitcoin's ($BTC) network halving event on April 20, Runes have constituted the majority of Bitcoin transactions, reaching 68% of total activity. 🔄

This new token standard has facilitated over 2.38 million transactions, according to data from Dune Analytics. Despite its dominance in transaction volume, the fees accrued from Runes have declined from the peak on halving day, raising concerns about the protocol's long-term financial viability for miners.

Critics argue that while Runes has improved efficiency in creating tokens compared to the BRC-20 standard, it consumes an excessive amount of block space, potentially undermining Bitcoin’s function as a decentralized digital currency.

Furthermore, the fluctuating earnings from miner fees—ranging from 33% to nearly 70%—reflect the unstable nature of relying solely on such transactions for revenue.

However, we’re not even a week into post-halving, so maybe people just need to chill? 🏷️

NEWS
Crypto News In Three Sentences 📰

🌎 Global Stablecoin Rush: U.S. and Emerging Markets Push Past $30 Billion

The U.S. leads global stablecoin purchases, recording over $30 billion in January 2024 alone, according to Chainalysis' 2024 Crypto Spring report. Emerging markets like Turkey and Brazil significantly contribute to this trend, turning to stablecoins as a hedge against local currency volatility. From CryptoPotato.

📉 BlackRock Busts Blockchain Bubble: No Ties to Hedera, HBAR Plummets

BlackRock confirmed it has no commercial relationship with Hedera, following a misinterpretation that led to a significant rally in $HBAR's price. The confusion arose after blockchain firms Archax and Ownera tokenized shares of BlackRock’s ICS Treasury Fund on Hedera's platform, mistakenly suggesting BlackRock's involvement. Cointelegraph has more.

💔 Solana's Memecoin Meltdown: $26M Vanishes in Abandoned Presales

Over $26 million was lost as investors faced the abandonment of at least 12 memecoin projects on the $SOL blockchain. The most significant losses were seen in the memecoin "I like this coin" (LIKE), which lost 99.20% of its value shortly after its launch. More from CryptoIntelligence.

🤔 Cooling Off? BlackRock’s IBIT Experiences First Zero-Inflow Since Launch

BlackRock’s iShares Bitcoin Trust ($IBIT) experienced its first day without any new inflows since the launch of Bitcoin ETFs in the U.S., signaling a potential cooling off in investor enthusiasm. Despite this setback, the broader market context remains strong, with the Bitcoin ETF sector still managing a net collection of $12.30 billion. From CryptoNews.

🔧 Fixing the Fallout: Renzo Protocol Tweaks Tokenomics Post-Liquidation

Following a massive $60 million in liquidations due to a depegging event, Renzo Protocol is rethinking its strategy to improve its tokenomics and restore investor confidence. The protocol's ezETH token faced severe backlash and massive sell-offs after controversial airdrops and tokenomics announcements, leading to drastic price drops. Renzo is now adjusting its approach in an attempt to stabilize the token and prevent future financial disruptions. AMB Crypto has more.

Links That Don’t Suck 🔗

🌾 You should share a robot lawn mower with your neighbors

🤔 Avail integrates leading layer-2 networks to create more cost-efficient chains

🏦 SoftBank will reportedly invest nearly $1 billion in AI push, tapping Nvidia’s chips

💸 Tether seeks to boost peer-to-peer payments on Telegram by expanding dollar, gold stablecoins to TON Network

♨️ Steam closes refund policy loophole, finally comes up with a name for the thing where you can play a game early if you preorder

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