Category: Cryptocurrency News

Cryptocurrency News and Public Mining Pools

Abracadabra Protocol To Counter CRV Risk With 200% Interest Rate Hike

DeFi lending protocol, Abracadabra Money, is currently debating a proposal to boost the interest rate in its CRV lending markets as it looks to mitigate its exposure to the DeFi token.  In the last few days, CRV  has seen its value decline significantly due to the recent Curve Finance exploit on Sunday, which resulted in a total loss of over $60 million. According to data from CoinMarketCap, CRV is currently trading at $0.56, with an 8.28% loss in the last 24 hours. Abracadabra Exposed To Significant CRV Risk Levels In a governance proposal submitted on Aug 1, DAO contributor and community manager Romy highlighted that Abracadabra was currently exposed to a substantial level of CRV risk. To address this situation, the proposal contains a strategy that introduces collateral-based interest to both CRV cauldrons – lending markets – on Abracadabra. Related Reading: Ethereum DeFi Coins Plunge As Curve Concerns Threaten Major Market Crash Romy stated that Curve Finance, the underlying platform of CRV, has seen its TVL negatively affected over the last month by several events, including the Conic Finance Hack, the JPEG’d exploit, and the attack on Curve itself.  In particular, Romy noted that the theft of $25 million from Curve’s CRV/ETH pool had impacted the on-chain liquidity for CRV, altering the conditions that led to the adoption of the token as a collateral asset on Abracadabra.  In addition, the proposal also noted that Abracadabra had recorded CRV outflows toward markets with lower Loan-to-Value (LTV) ratios and higher interest rates. Together, all these factors have affected CRV’s price and liquidity, prompting the need for Abracadabra to reduce its exposure to the token.   CRV trading at $0.558 on the daily chart: Source: CRVUSD chart on Tradingview.com Abracadabra’s Proposed Strategy To Introduce 200% Interest Hike As earlier stated, Romy’s governance proposal aims to cover Abracadabra CRV’s risk by applying collateral-based interest to the two CRV lending markets on the platform. It was stated that this strategy had been previously implemented with the WBTC and WETH cauldrons.  This introduction of collateral-based interests would allow Abracadabra to levy interest directly on each CRV cauldron’s collateral which is directly transferred to the protocol’s treasury and converted to Abracardra’s native stablecoin MIM, either via on-chain or off-chain transactions.  Related Reading: Is It A Good Idea To Buy Curve Now? Here’s What This Founder Thinks Based on projections, Romy stated that this strategy would allow Abracadabra to boost its treasury reserve and cut potential losses due to CRV exposure to about $5M borrowed MIM.  Under the new proposed interest structure, the interest rates will be determined based on two factors: the combined outstanding principal of the CRV cauldrons and the collateral ratio of each cauldron.  The base interest rate will vary depending on the total borrowed amount, classified into three ranges: $0M-$5M, $5M-$10M, and $10M-$18M. For instance, as the current outstanding principal stands at $18M, the base interest rate would be set at 200%.  Using this rate, it is estimated that the loan would be completely covered in six months’ time. Furthermore, the collateral ratio would influence the interest multiplier, with ratios ranging from

Worldcoin says will allow companies, governments to use its ID system

submitted by /u/djwired [link] [comments]

Masters Degree Project About Blockchain Auctions

I am considering building an auction application that utilizes the blockchain powered by Ethereum. I have seen platforms such as Opensea having these systems. I am thinking about flaws and areas that can be improved for already existing platforms such as these. Therefore I turn to the community for any sort of advices and their…
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After Ubisoft announced their first upcoming blockchain game last month, another gaming giant Bandai Namco (Tekken, Pacman, Elden Ring etc…) announced their first blockchain game also today.

Ubisoft announced their first web3 game that will be on Oasys blockchain (just like this game that's also on Oasys) few weeks ago. It will be free to play PvP tactical RPG. And now Bandai Namco (who is actually an even bigger studio than Ubisoft with market cap of 14.7 billion USD as opposed to…
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US DoJ is concerned about a run on Binance should prosecutors bring fraud charges: Report

Officials reportedly speculated an indictment against Binance in the U.S. could cause a run on the exchange similar to what happened with crypto exchange FTX in November 2022.

Bitcoin ETF Approval Odds Just Got Better: Bloomberg Analysts

What are the chances here ? Do you think SEC will be forced to bend their ways to approve the ETF’s this year ? submitted by /u/Parush9 [link] [comments]

Web3 startups queue up: Consensys Startup Program partners with Cointelegraph Accelerator

Cointelegraph Accelerator participants will get a headstart with Consensys’ Web3 solutions, including MetaMask, Infura and Linea zkEVM.

Happy 12th Birthday to the Kraken Exchange! Even today one of the most trusted exchanges.

When it comes to centralized exchanges we all learned last year, as to why we should not trust them so easily with our money, especially after so many scams in the year 2022 involving the likes of FTX and Celsius and many others. But one exchange has always been standing out, that is Kraken. Unarguably,…
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Buying Pressure Incoming? MicroStrategy Files Notice With SEC To Sell $750 Million In Stocks

In a recent development, MicroStrategy, a US-based software firm, has announced intentions to raise about $750 million through stock sales. According to the platform, which is currently one of the biggest corporate holders of Bitcoin, proceeds realized from the sale will be used to purchase more Bitcoin. More BTC For MicroStrategy? In a filing with the United States Securities and Exchange Commission on August 1, MicroStrategy disclosed that it has entered into a sales contract with three companies, namely Canaccord Genuity, Cowen and Company, and Berenberg Capital, with respect to the sale of MicroStrategy’s class A common stocks.  Related Reading: Here’s The Total Number Of XRP That Ripple Currently Holds Since MicroStrategy is a publicly traded company, the sales are expected to be available to the general public and to take place on the stock market. The firm is guaranteed easy access to capital since its stock will be offered to every interested investor.  According to MicroStrategy, the proceeds raised from the proposed sale would be applied to different corporate objectives, which according to MicroStrategy’s Chief Financial Officer Andrew Kang, shall include “.. the purchase of Bitcoin as well as the repurchase or repayment of outstanding debt.” BTC bulls still holding $29,300 | Source: BTCUSD on Tradingview.com Bitcoin Price Reaction To The News MicroStrategy is a firm founded by Micheal Saylor and one of the largest holders of Bitcoin. The firm presently holds 152,800 Bitcoin valued at $4.5 billion at the current market price. The firm purchased an additional 12,333 Bitcoin during the second quarter of the year and another 467 in July. It is currently one of the most prominent champions of Bitcoin with a bold investment strategy to boost its Bitcoin holdings regardless of whether or not the market is trending.  Speaking to Investors following the announcement, Chairman and founder of the firm Micheal Saylor noted that their objective “is to find ways to generate incremental Bitcoin for our shareholders and do that with either cash flow from the business or do it through intelligent accretive financings of equity or debt or other intelligent operations.”  Related Reading: BlackRock CEO Larry Fink Is The Best Thing To Happen To Bitcoin, Mike Novogratz Says In reaction to the announcement, the price of Bitcoin rose to about 2%, increasing from $29,200 to $29,771 at the time of writing. Shareholders in the company also benefited following the ongoing Bitcoin rally, with shares increasing to nearly 200% since the beginning of the year. According to data from Google Finance, MSTR shares have risen from $145.02 per share on January 3 to $434.98 at the time of publication.  Featured image from Bitcoinist, chart from Tradingview.com

New Moons Distribution (Round 42 Proposal)

Moons are r/CryptoCurrency's version of Community Points. Community Points are a way for users to be rewarded for their contributions to the subreddit, and they can be used on premium features in the community. Moons are distributed every 4 weeks based on contributions people make to r/CryptoCurrency. For every distribution, Reddit publishes karma data as…
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