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Tellor Tributes surges over 100% in May

In May, Tellor Tributes (COIN:TRBUSD), a decentralized oracle network, saw impressive growth, nearly doubling its market capitalization at the beginning of the month. Tellor’s market value surged from $143.32 million on April 30 to $290.3 million on May 7. This increase is associated with growth in whale activity and increasing investor interest.

Marathon Digital to join the S&P SmallCap 600

Marathon Digital Holdings (NASDAQ:MARA), a leader in Bitcoin mining in terms of market capitalization, will be included in the S&P SmallCap 600 starting May 8, replacing Aaon Inc (NASDAQ:AAON). The stock price rose 18% on May 6 in response to the news. With a market capitalization of around $5.5 billion, Marathon is the leading publicly traded Bitcoin miner. Its inclusion in the index could boost its performance after a 102% increase in 12 months.

Recovery and optimism in the Bitcoin market despite fluctuations

After overcoming a recent dip that brought Bitcoin (COIN:BTCUSD) to values below $57,000, the cryptocurrency is in a phase of recovery and stability, trading at $63,585 at the time of this analysis, reflecting a slight increase in the last 24 hours. Fernando Pereira, an analyst at Bitget, notes a promising technical signal with Bitcoin’s weekly close, suggesting a future appreciation trend. “BTC showed a continuation pattern of highs when closing the week, signaling that a possible pullback to $56,000 could represent a strong support point or even the bottom of the recent dip,” explains Pereira.

In the context of May, Bitcoin recorded an increase of about 10%, a notable recovery after the over 16% drop observed in April. QCP Capital points out a growing interest in call options for September, with strike prices at $75,000 and $100,000, with the $110,000 options particularly popular on the Deribit platform. Despite this optimism in the derivatives market, Bitfinex reports movements of large Bitcoin holders (‘whales’) to exchanges, which may suggest potential selling pressure in the short term.

Analyses from CryptoQuant indicate a significant reduction in Bitcoin flows to exchanges, reaching the lowest levels in the last ten years. The daily inflow of Bitcoin into major platforms has decreased drastically since the historical peak. In April and May 2024, exchanges recorded some of the lowest daily amounts of Bitcoin received in a decade, with only 8,400 BTC on a single day in April. This trend points to a shift in investor behavior, with investors holding onto their Bitcoin positions more, reducing availability for quick sales, despite volatility and increased institutional interest in the asset.

Influence of Crypto Super PACs and prospects with Trump in US elections

Crypto-focused Super PACs have accumulated $102 million to support pro-crypto candidates in the American elections. Most of these resources come from companies like Coinbase Global (NASDAQ:COIN) and Ripple Labs (COIN:XRPUSD), along with significant contributions from industry executives and investors. Despite facing some legal challenges with the SEC, these committees have positively impacted primaries and aim to expand their reach in the general elections.

The re-election of Donald Trump could significantly benefit the cryptocurrency sector, with expectations of more flexible regulations and the likely approval of ETFs on the horizon in the United States, favoring Bitcoin (COIN:BTCUSD) as a potential economic hedge. Geoff Kendrick, a financial analyst, suggests that a more challenging fiscal environment in the US could intensify the Treasury yield curve’s inclination and motivate greater foreign investment retreat, with a much higher annual sell-off in Trump’s tenure than in Biden’s.

Monolith Management heavily invests in BlackRock’s Bitcoin ETF

Monolith Management, co-founded by a former partner of Sequoia China, disclosed owning over $24 million in BlackRock’s spot bitcoin ETF (NASDAQ:IBIT), as revealed in an SEC filing. This investment represents the fund’s fifth-largest position in Hong Kong and more than doubles the investment in Meta Platforms (NASDAQ:META).

Cryptocurrency investment flows reveal contradictory trends

According to the latest weekly report from CoinShares, cryptocurrency investment products pointed to the fourth consecutive week of outflows, with US ETFs leading the trend. About $251 million exited the market, with Newborn Nine’s Bitcoin ETFs being the most affected. The drop in prices below $62,200 triggered automatic sales. Fidelity’s ETF (AMEX:FBTC) led with outflows of $131 million, followed by Ark 21 Shares’ ETF (AMEX:ARKB), which recorded outflows of $84 million. Meanwhile, Hong Kong’s Bitcoin and Ethereum ETFs saw inflows of $307 million during the first week of trading.

SEC warns about lack of disclosure in cryptocurrencies and extends deadline for decision on Invesco Galaxy’s Ether ETF

Gary Gensler, chairman of the US Securities and Exchange Commission, expressed concerns about the lack of disclosure in crypto investments. Following alerts issued by the agency to various crypto entities, including Robinhood Crypto, Gensler highlighted that many tokens may be considered securities under US law. He emphasized that investors are not receiving adequate disclosures. The classification of Ether (COIN:ETHUSD) as a security or commodity is still under discussion by the SEC. Reflecting this expanded regulatory caution, the SEC extended the deadline to decide on the proposed spot Ether ETF by Invesco Galaxy, setting the new date for July 5. The SEC argued that the extension would allow adequate time to address the issues raised by the proposal.

KBW analyzes regulatory impact on Robinhood after SEC warning

Robinhood Markets (NASDAQ:HOOD) was caught off guard by the SEC warning, considering its conservative stance on cryptocurrencies, noted KBW. While the SEC may pursue enforcement, KBW believes Robinhood is more likely to prevail due to its stringent listing standards. The company’s revenue from cryptocurrency trading is significant, with Ether (COIN:ETHUSD) representing a substantial portion.

QANplatform launches quantum-resistant testnet with EVM compatibility

QANplatform announced the creation of the world’s first quantum-resistant blockchain testnet, compatible with the Ethereum Virtual Machine (EVM), enabling the creation of quantum-proof smart contracts. This innovation allows developers to use various programming languages. According to Johann Polecsak, co-founder and CTO of QANplatform, this is the first EVM testnet that combines high cybersecurity with the flexibility of blockchain technology, standing out at a time when quantum computing threatens global cybersecurity.

Launch of OMNIA Protocol by ChainGPT Pad to revolutionize DeFi with RPC advancements

ChainGPT, a leading Web3 infrastructure platform based on AI, announced the exclusive launch of its OMNIA Protocol project through an IDO on May 9. OMNIA is an innovative RPC provider that addresses critical issues in DeFi such as decentralization and security. Using the ChainGPT Pad incubation program, the IDO aims to promote the OmniaVerse token (COIN:OMNIAUST) and strengthen the blockchain ecosystem with an interface that integrates real-time pending transactions, liquidity aggregation, and more.

Starknet Foundation invests $5 million in grants to boost network innovation

The Starknet Foundation has launched the Seed Grants program, allocating $5 million in USDC to support 200 promising teams. Each winner will receive $25,000, aiming to boost projects in the final development phase on Starknet, an Ethereum layer 2 scaling solution. The program aims to lower barriers for developers, promote innovation, and expand the Starknet ecosystem, which attracted over 22,400 developers in December 2023.

Botanix Labs raises $8.5 million to expand Spiderchain network

Botanix Labs raised $8.5 million to expand Spiderchain, an Ethereum-compatible layer 2 network, bringing the total raised to $11.5 million. The testnet has already recorded over 200,000 active addresses, with the mainnet launch expected soon.

Galaxis Web3 platform raises $10 million with support from major names

Galaxis, a Web3 platform in Singapore, secured $10 million in funding, with notable investors like Chainlink and Ethereum Name Services. The company, which has worked with figures like Steve Aoki and Val Kilmer, has sold over 225,000 NFTs. It is now gearing up to launch its native token GALAXIS, aiming to boost its ecosystem and explore the potential of NFT technology beyond the initial hype.

QCP Capital receives regulatory approval in Abu Dhabi

QCP Capital, a digital asset trading firm based in Singapore, received preliminary approval from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM). The company seeks to expand its presence in the Middle East, strengthening market confidence in the region. ADGM has emerged as a growing crypto hub, backed by significant institutional investments and new blockchain-based financial products.

Revolut launches Revolut X for cryptocurrency trading in the UK

Global neobank Revolut made a significant move in the world of cryptocurrencies by discreetly introducing Revolut X, a specialized cryptocurrency trading platform for retail customers in the UK. The new platform promises to compete with major exchanges, offering easy access and minimal fees. With over 100 cryptocurrencies initially available, Revolut X plans to expand its selection in the coming months.

Binance CEO demands release of detained executive in Nigeria

Richard Teng, CEO of Binance, urged for the release of Tigran Gambaryan, an executive of the exchange detained in Nigeria. Teng denounced the detention as unjust and dangerous, claiming that Gambaryan was there only for political discussions. He accused Nigeria of attempting to control Binance through the employee’s arrest. Additionally, Teng revealed attempts of bribery by individuals associated with the Nigerian government.

Hong Kong partnership to explore asset tokenization

The Hong Kong Monetary Authority (HKMA) is partnering with the financial industry to investigate asset tokenization. Announced on May 7, the “Project Ensemble Architecture Community” will bring together sector representatives and regulators to establish tokenization standards. Aimed at overseeing project development and promoting interoperability between central bank digital currencies (wCBDCs), the initiative seeks to facilitate interbank settlement of tokenized deposits through wCBDC.

Bundesbank President warns of the need for central banks to adapt to digital currencies

Joachim Nagel, president of the Bundesbank and member of the ECB, highlighted the importance of central banks rethinking their business models and quickly adopting central bank digital currencies (CBDCs). At a BIS conference on May 6, Nagel expressed doubts about the invulnerability of the traditional central bank model, emphasizing the need to adapt to the emerging technological landscape and the growing irrelevance of physical currency. He also pointed out distributed ledger technology (DLT) as essential for this transformation.