Monat: März 2023

• Zero-knowledge (ZK) proofs have become one of blockchain technology’s most talked about items.
• The Swiss nonprofit ZeroSync Association is developing zero-knowledge proofs for Bitcoin.
• Teams like ZeroSync and StarkWare are competing to optimize and scale zero-knowledge proofs.

What are Zero-Knowledge Proofs?

Zero-knowledge (ZK) proofs enable users to validate the state and transaction history of the Bitcoin blockchain without downloading the entire chain or trusting a third party. It is essentially two parties confirming their identity to each other — without disclosing any other information to a third party who might be watching.

Competition Heats Up

The race is on to secure market share as newly formed ZK developers, such as ZeroSync and StarkWare, optimize and begin to scale the technology for Bitcoin. StarkWare’s co-founder, Eli Ben-Sasson, has extensive research experience in theoretical computer science and has been studying ZK proofs since 2001.

ZeroSync Association

The Swiss non-profit called the ZeroSync Association — based in Zug, Switzerland — is working on developing zero-knowledge proofs for Bitcoin (BTC). The core technology of ZK proofs theoretically enables users to validate the state and transaction history of the Bitcoin blockchain without downloading the entire chain or trusting a third party. Co-founders Robin Linus, Tino Steffens and Lukas George plan to beef up optimization and security of their ZK rollup in the coming weeks.

Optimizing & Scaling

ZeroSync is joined by others in what is an increasingly crowded field of developers interested in privacy, security and access to blockchains. With ZK rollups now overhauling network state validation models, teams are racing to optimize and scale these developments for Bitcoin use cases.

Conclusion

Zero knowledge proofs provide an innovative solution for data privacy on blockchains that could be revolutionary for cryptocurrency use cases going forward. With teams like StarkWare migrating over from Ethereum mainnet development and ZeroSync leading the way with optimizations on BTC mainnet, competition between these projects will only continue heat up as they move closer towards scaling these solutions with real world applications.

• Belgium’s Financial Services and Markets Authority (FSMA) is set to introduce a new set of crypto ad regulations by May 17.
• Companies sponsoring crypto advertisements in Belgium must submit their adverts to the regulator before any mass campaign.
• A recent market research showed that most crypto investors in the country are in it for the money, and 80% are men.

Belgium Introducing New Crypto Ad Regulations

Belgium’s Financial Services and Markets Authority (FSMA) is set to introduce a new set of crypto ad regulations by May 17 according to Finance Magnates. The Official Gazette published on March 17 which shows that the companies sponsoring crypto advertisements must submit their adverts to the regulator before any mass campaign — this means that adverts targeting at least 25,000 customers must be submitted to FSMA first.

Risk Information

The crypto ads must be accurate and contain mandatory risk information according to FSMA chairman Jean-Paul Servais:“To better protect consumers, the FSMA is stepping up the pace when it comes to supervision and financial education. Thanks to the new regulation, the FSMA will be able to check whether advertisements for virtual currencies are accurate and not misleading and whether the advertisements contain the compulsory warnings of risk.“

Research Results

A recent FSMA market research showed that most crypto investors in Belgium are in it for the money, with 80% being male. Despite recent turmoil in banking sector due to collapse of FTX and inadvertent winter on cryptocurrency markets, investors remain undeterred.

Other Countries Implementing Crypto Ads Regulations

Belgium is not alone in imposing restrictions on cryptocurrency ads — other countries like UK have also implemented similar regulations recently. Former minister Johan Van Overtveldt has even called for a complete ban on cryptocurrencies recently amid said banking sector turmoil.

Conclusion

It appears that authorities across Europe are taking steps towards better regulating cryptocurrency ads so as better protect consumers from potential risks associated with virtual currencies investing. Whether these measures will be enough remains yet unseen but it does put pressure on companies promoting such services & products as they need adhere more strictly than ever before or face penalties imposed by regulatory bodies across EU states.

• Silvergate Bank announced it would begin winding down operations and undergo voluntary liquidation on March 8.
• The decision was made in light of „recent industry and regulatory developments,“ its holdings company Silvergate Capital said.
• Since the collapse of FTX in November 2022, the bank has seen its stock price depreciate by over 94%.

Introduction

Silvergate bank announced it would begin winding down operations and undergo voluntary liquidation on March 8. The decision was made in light of „recent industry and regulatory developments,“ its holdings company Silvergate Capital said. Since the collapse of FTX in November 2022, the bank has seen its stock price depreciate by over 94%. This news sent shockwaves through the crypto market, as the U.S. bank served as the backbone for the crypto market, providing financial services to most large crypto companies and exchanges in the country.

How Silvergate got big

Silvergate had enjoyed success since its inception in 2018 due to its avant-garde approach to banking for cryptocurrency businesses. It quickly established itself as one of America’s top digital asset banks, offering services such as deposits and withdrawals from U.S.-based exchanges, support for digital asset trading pairs on exchanges, and custodial services for major institutional investors. This allowed them to become a trusted partner for many leading cryptocurrency firms based in America such as Coinbase, Kraken, Gemini, Binance US, BlockFi, Paxos Standard Token (PAX), etc..

Silvergate’s quick and painful death

The decline at Silvergate began when they decided to discontinue their real-time settlement service SEN (Silver Exchange Network) after facing inquiries from the Department Of Justice (DOJ). Following this move their stock prices dropped 57% within 24 hours. Compounding this issue further Bitcoin also dropped to its January low of $19 680 after trading flat at around $21 000 for over a month resulting in a dip below $1 trillion crypto market cap with investor sentiment worsening daily according to declining trading volumes with growing exchange withdrawals reported.

The domino effect

The situation at Silvergate triggered a domino effect which could not only affect U.S.-based cryptocurrency companies but also have an impact on other banking sectors across America too due to possible regulatory blowback from government agencies such as DOJ or SEC leading to stricter regulations that could affect banking activities related to cryptocurrencies adversely affecting companies who need access to traditional banking services linked with digital assets .

Regulatory blowback

Regulatory blowback can be expected due to greater scrutiny from government agencies like DOJ or SEC who may push for tighter regulations which could limit access by American companies dealing with digital assets from utilizing traditional banking services connected with cryptocurrencies . Such policies could lead make it difficult or near impossible for these firms secure liquidity or raise capital through traditional means making them reliant solely on private investments if feasible .

It is hard to predict what will happen next following this incident involving Silvergate bank but one thing is certain that it will leave a lasting impression on how we perceive traditional banking when dealing with cryptocurrencies going forward . With increased regulation expected , caution should be taken before taking any actions so that no mistakes are made while trying navigate this new terrain emerging out of this incident .

• NFT trading volume increased to $2 billion in February, reaching its pre-LUNA crash levels.
• Ethereum (ETH) remained the top blockchain by NFT trading volume with $1.8 billion in February.
• Blur triumphed over OpenSea in terms of trading volume, facilitating over $1.3 billion throughout the month.

NFT Trading Volume Returns to Pre-LUNA Crash Levels

February saw a dramatic increase in non-fungible token (NFT) market trade volume, which reached $2 billion for the first time since May 2022 according to DappRadar’s Industry Report. This marks a 117% spike from January’s figure of $956 million, and is indicative of a return to pre-LUNA crash levels.

Ethereum Dominates Trading Volume

Ethereum (ETH) recorded the highest trading volume of all blockchains with $1.8 billion traded in February – an impressive 174% increase from January’s figure of $659 million, representing 83.36% of the entire NFT market share. Solana (SOL) was second with $75 million traded and Polygon (MATIC) third with $39 million traded – despite SOL recording a 12% decrease from January’s figure of 86 million and MATIC recording a 147% increase from 16 million.

Blur vs OpenSea

Blur facilitated over 1.3 billion USD in NFT trading activity and represented 64.8% of total market share while OpenSea followed at 28.7%, accumulating 587 million USD worth of trades throughout the month; X2Y2 and LooksRare followed at 1.9% and 1.4%, respectively, accumulating 39 million USD and 29 million USD worth of trades respectively throughout the month as well.. Despite Blur having nearly double the amount of users than OpenSea at 96,856 compared to 316,199 respectively; OpenSea still hold sway as number one choice for users when it comes to NFTs due to ease of use on their platform .

Profit Chasers vs Art Lovers

The difference between Blur’s and OpenSea’s trading volumes points towards Blur being more active as far as profit chasing is concerned while OpenSea is arguably more popular amongst art lovers looking for an easy way out when it comes to buying or selling their digital artwork . With that being said , both platforms offer unique features which makes them attractive for different types buyers or sellers .

Final Thoughts
It’s evident that February marked an important milestone for the NFT industry as it not only surpassed its pre-LUNA crash levels but also saw significant growth across different blockchains such as ETH, SOL , MATIC etc . The surge in activity can be attributed largely in part due to new entrants entering this space along with increasing popularity amongst art enthusiasts who are increasingly looking for ways to monetize their artwork . It will be interesting to see how both profit chasers & art enthusiasts alike continue using these platforms moving forward !