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Parth Dubey

Terraform Labs receive Subpoena Enforcement Action for creation of MIR tokens

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Terraform Labs, the firm behind the Mirror Protocol, has received a Subpoena Enforcement Action by the United States Securities and Exchange Commission [SEC]. The co-founder and CEO of the firm, Do Kwon, also received a similar response from the monetary authority.

Mirror Protocol began its journey in 2020, and the platform had a unique use case in its mind. Terraform Labs built the Protocol on the Terra (LUNA) blockchain. The native governance token of the decentralized, community-driven Protocol was termed the MIR token.

Terraform Labs violation of federal securities law

According to the statement by the SEC, there are doubts if the firm has broken federal securities law. Terraform Labs protocol allows users to create and trade assets referred to as “mAssets.” These assets “mirror” the price activity of real-world assets in the U.S., allowing users to gain exposure to them.

“The SEC is investigating whether Terraform Labs, Kwon or others violated the federal securities laws by, among other things, not registering the offer or sale of securities, selling security-based- swaps outside of a national security exchange, acting as an unregistered broker or dealer, or engaging in securities transactions by an unregistered investment company.”

Said the SEC in their statement

The SEC claims that the Mirror Protocol is actually offering trading services to users, acting as a broker, without approval from proper authorities. Since the firm is not registered as a broker, dealer, or exchange, it is not authorized to allow the sale of these “mirrored” assets.

The SEC staff served Terraform Labs and its CEO Kwon with investigative subpoenas, compelling them to produce certain legal documents required for the investigation. However, the firm and its CEO failed to comply, refusing to produce any strong defense or the required documents.

As a result, the monetary authority has now filed a lawsuit against Terraform Labs and Kwon in the U.S. District Court for the Southern District of New York “to show cause why the court should not compel them to produce documents as required by the subpoenas and compel Kwon to appear for testimony.”

The investigation is still ongoing as the SEC hasn’t reached a conclusion.

Shiba Inu drops to the 11th rank as price remain bearish

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Shiba Inu’s growth showed no signs of stopping last month as it continued to conquer the charts. However, the month of November hasn’t been quite great for the token as prices are down by more than 20%, reaching a monthly low of $0.00004312. Furthermore, the SHIB token dropped by more than 15% on the week ending Nov 1.

As per the data from CoinmarketCap, the 24-hour trading volume of SHIB dropped by 31.75% and is currently at $4.2 billion. Also, the market capitalization of the token declined by 10.79%, resting at $28 billion. The 24-hour high of the token was witnessed at $0.00005705 and low at $0.00005161.

The price movements in the recent days have been quite bearish as Bitcoin retests $64k. The nearest resistance for SHIB price action remains unbroken at $0.00007811, while support levels can be found at $0.00005146.

Shiba Inu price analysis using the daily chart

The technical indicators on the daily chart indicate that the momentum is shifting from bullish to bearish as the price of the coin enters the bearish side of the Bollinger Bands. We can expect a breakout from the lower end if this price fractal continues.

Although, the 50-day and 100-day Moving Averages are still below the price action, which is a bullish scenario, indicating that bulls might take over once volumes are high.

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Shiba Inu price analysis on daily chart by TradingView

On the other hand, the MACD indicator shows that the signal line (orange line) has crossed above the MACD line (blue line), and the histogram on the chart has turned bearish, filled with red bars. This indicates a bearish crossover, and lower prices for the short term are possible.

Also, the RSI indicator is progressing with a negative gradient, hinting at bearish price action as selling pressure is defeating the buying pressure.

Shiba Inu
Shiba Inu price analysis on daily chart by TradingView

Final Verdict

The meme coin’s performance appears to be bearish in the short term, and it seems that lower prices will follow if buying pressure doesn’t increase. Volumes seem to be optimistic; however, price action remains sluggish.

Dogecoin withdrawals shut down on Binance; Users’ asked to return tokens

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Binance has found itself in another tight spot as the world’s biggest crypto exchange froze the accounts of Dogecoin investors from withdrawing the asser. The users of the platform took to social media platforms to express their dissatisfaction with the exchange.

According to a Reddit user, investors were reportedly asked to return Dogecoin they did not possess. Following this, in an announcement on Thursday, Binance shut down all DOGE network withdrawals.

“We discovered a minor issue with DOGE network withdrawals on Binance after carrying out a version update on 2021-11-10. As a result, we have temporarily suspended DOGE network withdrawals until this issue is resolved.”

Said the world’s biggest cryptocurrency exchange in the post.

The reason for this ‘minor’ issue or the issue itself wasn’t revealed. The Dogecoin Core was updated to version 1.14.5, in which the minimum transaction fees were revised at 0.01 DOGE/kb. Along with the reduced fee, the release also fixed “2 high severity vulnerabilities” that were the cause of concern for the Core users.

Dogecoin developers reveal the cause

Binance was asking users to return DOGE tokens that they didn’t possess, and according to some users, the exchange processed withdrawals with the wallet owners’ permission. After zero answers from Binance, the Twitter community representing Dogecoin developers explained the situation.

According to the tweets, the reason for this unforeseen situation is the attempts to carry on the transactions requested years ago on the exchange. The DOGE network withdrawals were working fine on other exchanges, and it seems that the situation only persists on the Binance exchange.

These transactions were “stuck” in the exchange because of the insufficient transaction fees. Now that the transaction fee was lowered, the transactions were re-initiated, even though the users don’t own their tokens or their wallets anymore.

Reddit users contacted Binance support to find out why this suspended withdrawal and why they suddenly own so many DOGE tokens.

I contacted them on the chat, and I was transmitted to the “relevant department”, who would contact me later.

the user said

A while ago, Binance reported that the network was going under maintenance due to heavy backup. Such issues seem to be common with the Binance exchange.

Discord halts the integration of Ethereum and NFTs after major criticism

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Discord, a Community messaging app, recently announced that it was going to integrate Ethereum-based NFTs but has now dropped the plan after strong backlash. A large number of users criticized the idea, which led to forced walk back.

On November 9, Jason Citron, the founder and Chief Executive Officer (CEO) of Discord, posted a screenshot of the app’s user settings page with the ETH logo and connecting digital wallets option displayed. He captioned the picture with “probably nothing.”

The CEO, after the tweet, saw thousands of critics bombarding the comment section to halt the plans. Many users even threatened to cancel Nitro’s subscription, which is the primary source of income for the company. 

The crypto skeptic community said that cryptocurrencies are a major reason behind the damaged environment as they consume a high amount of energy. They also called NFTs a Ponzi scheme.

On November 11, Citron clarified that the feature was in “pre-release” mode and indicated that he halted his plans by moving it to “no-release” mode. He added:

“Thanks for all the perspectives everyone. We have no current plans to ship this internal concept. For now, we’re focused on protecting users from spam, scams, and fraud. Web3 has lots of good but also lots of problems we need to work through at our scale. More soon.”

Discord community has many crypto-skeptics

In spite of Discord being commonly used by the crypto community, it seems that many users are still not so fond of the industry. Interestingly, most of the NFT projects also use the app to build their communities. 

On November 9, a Reddit post titled “Please do not support NFTs” went on-trend among Discord users and received more than 6,400 upvotes implying that there were a large number of crypto-skeptics in the Community. 

A user said that NFT technology is a scam by giving the below-mentioned example:

“Imagine you buy a ticket that says you own X image. But that ticket has no legal validity in any country. Also, the value of NFTs is based on pure speculation and scarcity.”

Cardano bleeds but price remains above $2; What’s the next move?

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Cardano recently dropped to the 6th position in the market as the monthly candle for November 2021 is up by nearly 8%. The previous months haven’t been too kind for the altcoin as it saw a decline of more than 20% in September, followed by a dip of nearly 7% in October.

According to the data provided by CoinMarketCap, the 24-hour trading volume of the token dropped by nearly 11% and currently stands at $6 billion. On the other hand, the token’s market capitalization is down by almost 4%, resting at $71.3 billion.

The current resistance for price action can be seen at $2.15, which remains intact. On the other hand, the nearest support level is present at $1.95. Following a drop of more than 7% on Nov 10, the token’s price has turned bearish.

Cardano price analysis on the daily chart using technical indicators

The technical indicators for Cardano price analysis remain bearish as the token is unable to capture higher prices and reach the previous all-time high at $3.1.

The 50-day Moving Average and the 100-day Moving Average are currently progressing above the price action, indicating bearish sentiment. Also, the prices failed to break out from the upper end of the Bollinger Bands as bears take the prices down.

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Cardano price analysis on the chart by TradingView

The RSI indicator shows that the selling pressure has increased but, the prices are still in the bullish zone, i.e., above 50-level. Gradually, the gradient has turned positive, meaning higher prices might follow today.

The MACD indicator turned bullish as the blue line (MACD line) crossed above the red line (signal line), and the histogram turned green.

Based on the readings from RSI and MACD, it seems that the bulls are currently in control of the prices overall.

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Cardano price analysis on the chart by TradingView

Final Verdict

The prices turned bearish for Cardano the previous day. However, we can expect higher prices in the coming days as the indicators are still fairly bullish.

Solana continues to dominate DeFi space with new partnerships

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The Solana token is known for its low transaction fee, high speed, and scalability. The 5th biggest cryptocurrency and one of the biggest smart contracts platforms continues to dominate the DeFi space joining hands with 776, a venture capital firm.

Founded by Alexis Ohanian, the co-founder of Reddit, 776 “will be joining forces with @solana to support the next generation of social with a new $100M initiative.” In the Solana Conference, Ohanian mentioned that this new partnership would deal with the “next generation of social” for Web 3.0.

Web 3.0 is the new concept of the internet, decentralized in nature, “ushering in the Davids who will beat the Goliaths.” According to the announcement, the two firms will back a $100M initiative which is supposed to develop and expand Web 3.0.

The open-source version of the internet has attracted a lot of investment. The funds gathered by the partnership of Solana and 776 will focus on applications that are integrated into the SOL chain, attracting more projects in the long term. To boost the adoption of Web 3.0, the network also recently partnered with Brave.

Solana connects with Huobi ECO Chain

In a post, Allbridge, a medium of transferring tokens between different blockchains, announced that it is launching new a bridge option for the first trading pair of tokens that Huobi ECO Chain released. “BTC and USDT transfers to Solana are going live on Allbridge,” the post suggested.

With the help of Saber, the leading cross-chain AMM for pegged assets on SOL and partner of Allbridge, “users will be able to move their assets from HECO and exchange them into their SOL-native versions — renBTC and USDT.”

SOL’s dominance in the decentralized finance industry continues to grow as the token made a new all-time high at $260 a few days ago. Currently, the 5th biggest token has a market capitalization of $73.7 billion. With a trading volume of $4.3 billion, SOL is one of the most actively traded tokens in the market.

Additionally, Solana also announced its own NFT marketplace, which is still in the beta version, titled Solanart. The expansion of the network seeks to eliminate other competitors from the market.

Tencent gifts NFTs to its employees on the occasion of its 23rd anniversary

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China’s largest gaming and internet company, Tencent Holdings Ld., also known as Tencent, is celebrating its 23rd anniversary in a wise and advanced way by incorporating Non-fungible tokens (NFTs). 

The Chinese multinational company has gifted every employee an NFT, which is Tencent’s logo penguin. The company has brought 72,000 unique pieces to the collection. Under these pieces, they have used 1,000 different shapes to diversify the collection.

Colin Wu, the well-known Chinese journalist who is known for reporting exclusive news, tweeted about the same today. Social media has shown a mixed reaction to the company’s actions.

Some of the users find it exciting and a new way to celebrate, while some commented 72,000 is a huge number and does not seem “rare.”

The company was founded in 1998, and it has deep roots in the internet-related market, including entertainment and artificial intelligence.

Tencent’s slowest growth since 2004 amidst Chinese regulatory crackdown

On Wednesday, Tencent posted its slowest revenue growth since 2004, saying that the outlook for the advertising sector will be weak into 2022. The biggest reason behind the slow growth is the brutal Chinese regulatory crackdown.

As per the data by financial market data provider Refinitiv, the company’s revenue surged by 13%, at 142.4 billion yuan, which is the slowest surge since the company went public in 2004. The company said in its statements that the net profit for Q3 rose 3% to 39.5 billion yuan (around $6.18 billion).

Pony Ma, the company’s CEO, stated,

“During the third quarter, the internet industry, including the domestic games industry, and certain advertiser categories, adapted to new regulatory and macroeconomic developments.”

NFT has been one of the most significant contributors to crypto adoption these days due to the involvement of creators and fans from the entertainment and gaming sectors.

As TronWeekly reports, many big firms are trying their hands on NFT, and Disney, as well as Marvel, are the latest examples. Recently, Disney announced its partnership with VeVe to launch its own NFT collectibles.

Ripple doubles trading volume, races for higher prices

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Ripple prices are bullish for today, up by more than 3% on the daily candle that was opened at $1.21. The daily high sits at $1.296 and with a dominance of a little over 2% and a market rank of #7.

According to the data presented by CoinmarketCap, the 24-hour high for Ripple stands at $1.30 with a low of $1.19. The trading volume for the token has nearly doubled in the last 24-hours, standing at $5.3 billion.

While Bitcoin today reclaimed the $66,000 price level and is nearly 1.5% away from its all-time high, the market sentiment turned purely bullish as Ethereum reached an all-time high.

Ripple price analysis on the daily chart using technical indicators

The technical indicators suggest a bullish price for Ripple today as the 50-day and 100-day Moving Averages are currently progressing below the price movement.

Furthermore, the price action broke down from the upper end of the Bollinger Bands, turning the price movement bullish overall.

Ripple price analysis
XRP price analysis on the chart by TradingView

On the other hand, the RSI indicator suggests that the buying pressure has increased and is defeating the selling pressure as the gradient of the RSI line is positive. The RSI line is currently resting above 60-level, and we can expect higher prices in the short term.

On the MACD indicator, the blue line (MACD line) shot up above the orange line (signal line), and hence, XRP/USDT shows a bullish divergence. As a result, the histogram also turned green, and it seems that the bulls will take the price action upwards, to test $1.30.

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XRP price analysis on the chart by TradingView

Final Verdict

The final verdict for the Ripple price analysis is bullish as the token breached the resistance present at $1.18. The nearest support currently remains unbroken, at $1.21, and it seems that this price level will continue to hold in the short term as well.

Block.one announces 45M EOS tokens transfer to Helios to support growth

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Blockchain technology specialized software company Block.one officially announced that it will transfer 45 million EOS ( roughly$209 million) to a decentralized platform Helios led by Block Pierce. It will also create an EOS venture capital fund to expand the infrastructure and to support developers.

As per the press release, the company is continuously avoiding to act as a centralized entity for any public implementation of the EOSIO software. It recognizes the power in open-source collaborations that offers freedom to govern, build, and iterate the system to the contributors.

Block.one says that the open-source system preserves the decentralized nature along with the natural development of EOS and EOSIO-based assets. The company says through Helios, its main focus is to develop and deliver EOSIO along with increased investment in the EOSIO ecosystem. The company also includes supporting new innovators as its primary goal. Along with that, Block.one focuses on the development of EOSIO infrastructure and incubation of new businesses.

The network growth has been the primary focus for the company as it seeks to dominate the DeFi industry.

“Over the last three years we have watched the EOS community and network evolve, and we have put a great deal of consideration into how we can leverage our own EOS token holdings to help further fuel the network’s growth.”

said the company in the press release

Helios aims to serve the EOS community

Helios, the recipient of the 45 million EOS tokens is focused on serving the EOS community with high intention. It will create an EOS Venture Capital Fund along with supporting infrastructure creation. It also has agreed to create institutional-level EOS financial products along with providing the facility of tooling and documentation to the developers.

The announcement also mentions that Helios will be responsible for organizing and managing community events to educate, expand the network, and develop use cases.

Block.one is hoping that this step will empower and expand the EOS network. The company added that it hopes for a ton of new opportunities and participants in the system. The company also aims to increase the liquidity of the EOS-based projects. 

Ethereum ‘Flippening’ Bitcoin This Cycle, Says Gen Z Crypto Hedge Fund Manager

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Ethereum has always been eyed as the biggest competitor for Bitcoin, the world’s first and biggest cryptocurrency. In a recent statement, the co-head of market neutral at BlockTower Capital, a crypto and blockchain investment firm, Rahul Rai, claimed that Ether (ETH) will dethrone Bitcoin (BTC) in the years to come in terms of market capitalization.  

Ethereum hit its all-time high above $4,700 on Nov. 8th while Bitcoin breached $65k on the same day. It seems that the entire market acquired a bullish stance as the ETH market cap shot up by nearly 4%, resting at $558 billion. In contrast, Bitcoin is still dominating the market with a market cap of $1.2 trillion. 

Comparatively, two years ago, Bitcoin ruled over 67% of the crypto space while Ethereum dominance was just 8%. While Bitcoin’s dominance dropped, ETH dominance nearly tripled in these two years.

Ethereum vs. Bitcoin: the war wages on

Although currently, Bitcoin still dominates over 43% of the crypto space, the 24-year old hedge fund founder said in his statement to Insider that by the end of this cycle, i.e., in six months or so, Ethereum will take over the market and dominate Bitcoin.

“Bitcoin is a store of value, it’s digital gold. And so its market cap, at most, is going to be somewhere around gold – may be larger, because it has some properties that are better than gold. But that’s roughly the benchmark you’re going to use to cap its market size,” commented Rai in his statement.

Rahul Rai in his statement

Ethereum has obtained a special place in the crypto space. With a number of decentralized applications currently operating on the network, the use cases of the Network are diverse and never-ending. While Rai claims that Bitcoin is a better store of value, Ethereum actually represents the decentralized space.

The total locked value for ETH has currently reached $100 billion, continuing its upward trajectory. The anticipated reveal of ETH 2.0 which will shift it from proof-of-work to proof-of-stake has also made investors bullish on the price action for ETH in the near future.

Furthermore, the NFT industry that exploded this year found a safe haven in the Ethereum blockchain. A number of NFTs have been released on the network as it continues to be the top destination for NFT creators.