In this week’s roundup, we bring you some of the most significant news from the crypto and DeFi sphere, touching upon key topics such as regulatory advancements, cross-chain interoperability, and the growing adoption of digital assets.
Chainspot team
🙄 Crypto Social Volumes Decrease Following Midweek Market Turbulence
Despite recent market volatility, Bitcoin, Radix, and Render have maintained positive social metrics, with gains of +4%, +16%, and +22% respectively, according to Santiment data. This contrasts with the negative returns seen for other cryptocurrencies in the past week.
The crypto market experienced turbulence following rumors of the US government selling confiscated assets, causing Bitcoin’s price to drop and rebound rapidly. This led to the liquidation of $175 million worth of futures positions. Nevertheless, the positive social metrics for Bitcoin and select cryptos indicate a potential return of user interest.
🔀 Circle Launches Mainnet Protocol for Seamless USDC Transfer Between Ethereum and Avalanche
Circle has introduced a mainnet protocol enabling users to transfer USDC between Ethereum and Avalanche networks with ease. The Cross-Chain Transfer Protocol (CCTP) eliminates the need for USDC bridges, allowing users to seamlessly redeem new tokens for bank deposits.
Developers can now create applications supporting various native versions of the stablecoin. USDC is currently available on eight different networks, and Circle’s CCTP aims to provide native interoperability across Web3, addressing DeFi liquidity and capital inefficiency issues resulting from the fragmented nature of bridged assets.
🇭🇰 Hong Kong to Launch Crypto Licensing Regime in May
Hong Kong’s Securities and Futures Commission (SFC) is set to launch its licensing regime for crypto firms in May, with retail traders gaining access on June 1. The SFC received over 150 responses during the public consultation process, which aimed to determine retail investor access to cryptocurrencies and the potential for crypto ETFs. Under the new rules, retail investors will be able to trade major cryptocurrencies, such as Bitcoin and Ethereum. The regulator is also exploring the benefits of digital assets through pilot projects, including green bond tokenization and the development of a Hong Kong CBDC.
💰 Survey Reveals 46% of Millennials Own Cryptocurrencies
A Bitget survey report reveals that 46% of millennials across the United States, China, Japan, Germany, Indonesia, and Nigeria hold cryptocurrencies. The study, conducted between July 2022 and January 2023, found that crypto ownership was lower among Gen X (25%), Gen Z (21%), and baby boomers (8%). Cointelegraph cites Bitget staff, suggesting that demographic shifts may result in increased crypto acceptance as younger generations continue to demand these assets. Additionally, a Charles Schwab survey reported that 50% of Gen Z and millennials expressed interest in crypto-based retirement funds.
As the industry expands, solutions like Chainspot Router are playing a crucial role in simplifying and optimizing the DeFi experience for users.
This week’s news highlights the dynamic nature of the cryptocurrency industry and the various ways it continues to grow and adapt. It is clear that digital assets are becoming an integral part of the global financial landscape. Let’s shape the future of the crypto ecosystem together!
Chainspot team
