In this report:
- Latest Crypto News: SEC going after Crypto Exchanges
- Why is the Crypto Market Down? Operation Chokepoint 2.0
- Top 100 Gainers (7-days): Terra Classic (LUNC) +18.3% (7d)
- Micro-Cap Gainers (30-days): Pink BNB (PNB) +1,068% (30d)
- Monthly Altcoin Pick: Altcoin Pick was released last week
Latest Crypto News:
The latest crypto news over the last week:
Why is the Crypto Market Down this Week?
Earlier this week the Securities and Exchange Commission (SEC) charged Binance, the world's largest cryptocurrency exchange with 13 securities violations, including charging the CEO (CZ) himself. These charges have spooked many investors and resulted in almost $800M being taken off the crypto exchange within 24 hours of the announcement as well as the Binance token dropping by more than 10%.
A day later, the SEC charged Coinbase, the biggest crypto exchange in America 'operating an unregistered securities exchange broker and clearing agency' - resulting in the Coinbase stock price dropping by more than 20%.
What makes this interesting is back in 2021, the SEC actually approved Coinbase's IPO. However, now they are saying Coinbase has been operating as an unregistered broker since 2019.
What's really going on?
In past dispatches, we talked about Operation ChokePoint 2.0 and how the Biden Administration is orchestrating a highly coordinated plan with regulators to strangle the crypto industry by cutting ties with the banking and crypto exchange sector thereby preventing money from moving into and out of the crypto sector.
Meanwhile, in Russia, regulators moving towards the use of cryptocurrency exchanges instead of a national (centralized) exchange, heh.
It also shouldn't be any surprise that some of the biggest movers in this down market over the last few weeks have been ISO 20022-compliant cryptos, specifically Quant, XDC, and XRP.
Many are saying the introduction is IS0 20022, CBDCs and the restriction or increased regulation of some of the largest (centralized) crypto exchanges are all part of a bigger (global initiative), being referred to as the New Quantum Financial System.
What is the Future Outlook?
We are likely to see the continued push by the SEC to fine, restrict or otherwise hamper cryptocurrency exchanges operating in America. This will likely continue to depress the crypto market. This pressure will also likely push many users to seek alternative options - such as the use of decentralized exchanges and increased usage and awareness of decentralized finance.
Over the short term, it's likely we can expect to continue to see the market move sideways, and in the longer term, users will simply shift to other lessor-known options available in the market, such as more significant usage of decentralized exchanges and the DeFi products they offer.
Crypto Market at a Glance (7D):
A lot of red this week in the crypto market, thanks SEC.
Crypto Fear & Greed Index:
Today's Crypto Fear and Greed index = Neutral -- No movement this week.
Bitcoin & Ethereum Price Movement
Bitcoin has decreased 2.6% in the last week, currently trading at $26,473 (90-day high of $31,005). In the previous 90 days, Bitcoin has increased by 29.0%.
Ethereum has decreased 3.6% in the last week, currently trading at $1,838 (90-day high of $2,137). In the previous 90 days, Ethereum has increased by 25.3%.
Global cryptocurrency market capitalization decreased slightly this week from $1.147T to $1.090T.
Top 100 Gainers - Last 7 Days
Over the last 7 days, the biggest gainers (within the top 100):
Terra Classic (LUNC) +18.3% - Ranked #67
I'm surprised to see Terra Classic top the charts for this week. Terra Classic (LUNC), also known as Luna Classic, is the first native token of the Terra blockchain, released in August 2018. This token existed before the launch of the new chain, now branded as Terra (LUNA), and operates with the original code of the Terra ecosystem.
However, after the collapse and as per a governance proposal, the original Terra chain was rebranded as Terra Classic. It continues to function, with the original Cosmos chain still running, though market swaps (mint/burn function) are disabled. All balances remained as they were, and Luna became Luna Classic (LUNC). Terra stablecoins (UST, KRT, EUT, etc.) were also renamed Terra Classic stablecoins (USTC, KRTC, EUTC, etc.).
On the other hand, a new chain was created that took on the Terra name. This new chain, also a Cosmos chain, does not have the treasury, oracle, or market modules of the original chain. Its native mining token is Luna, and it does not support any Terra stablecoins.
Thus, to avoid confusion in listing the Luna coin, the naming convention is Luna Classic (LUNC) for the Terra Classic chain and Luna (LUNA) for the new Terra chain.
Stacks (STX) +4.0% - Ranked #47
Stacks (STX) is a cryptocurrency and a decentralized computing network that enables smart contracts and decentralized applications (dApps) on the Bitcoin blockchain. It is designed to bring the functionality of smart contracts and programmability to Bitcoin, which traditionally has not had native support for these features.
Stacks operates as a layer-2 blockchain protocol built on top of the Bitcoin blockchain. It uses a unique consensus mechanism called Proof of Transfer (PoX), which leverages the security and stability of the Bitcoin network. PoX allows Stacks participants to mine new STX tokens by sending BTC to the Stacks protocol and, in return, earn STX rewards.
The primary goal of Stacks is to enable developers to build decentralized applications and smart contracts on top of Bitcoin, expanding its capabilities beyond a mere store of value. By using the Stacks blockchain, developers can leverage the security and network effects of the Bitcoin network while enjoying the benefits of programmability and decentralized applications.
XRP (XRP) +2.1% - Ranked #6
XRP (XRP) is a digital cryptocurrency that was created by Ripple Labs, a technology company focused on providing solutions for fast and low-cost international money transfers. XRP is the native cryptocurrency of the Ripple network, which is a digital payment protocol and a decentralized platform for real-time gross settlement of payments, currency exchange, and remittances.
Unlike many other cryptocurrencies, XRP does not operate on a traditional blockchain. Instead, Ripple utilizes a consensus algorithm called the Ripple Protocol Consensus Algorithm (RPCA) to validate transactions and maintain the network's integrity. The Ripple network is also referred to as the RippleNet.
XRP has been designed to facilitate fast and low-cost international money transfers. It aims to address the inefficiencies and delays associated with traditional banking systems, which often involve multiple intermediaries and lengthy settlement times. Ripple's technology, including the use of XRP, aims to provide financial institutions with a more efficient alternative for cross-border transactions.
The New Quantum Financial System
It's also worth noting, last week we had 2 ISO 20022 Compliant Cryptocurrencies topping the charts (Quant, XDC) and this week XRP, also an ISO 20022 compliant crypto on this list. Many are calling the move to ISO 20022-compliant blockchains and the global movement to blockchain-backed digital currencies the New Quantum Financial System.
Gemini Dollar (GUSD) +0.05% - Ranked #69
Another surprise is to see a stablecoin on this list. Gemini Dollar (GUSD) is a stablecoin cryptocurrency issued by the Gemini exchange. Gemini is a cryptocurrency exchange and custodian that allows customers to buy, sell, and store digital assets. The exchange was founded by the Winklevoss twins in 2014.
A stablecoin is a type of cryptocurrency that aims to keep its value stable relative to a specific asset or a pool of assets. Gemini Dollar is pegged to the US Dollar, meaning that for every Gemini Dollar in circulation, there should be an equivalent amount of US Dollars held in reserve by the Gemini exchange.
The primary use case of stablecoins like GUSD is to allow for quick, cheap, and transparent value transfers, especially in scenarios where traditional banking systems may be slow or expensive. They are often used in the cryptocurrency market for trading, given their stability compared to other cryptocurrencies like Bitcoin or Ethereum.
GUSD is based on the Ethereum blockchain and follows the ERC20 standard, meaning it can be sent, received, and stored in any Ethereum-compatible wallet.
Meme Coins Are Slowing
The meme coin pump seems to be slowing down with only moderate gains in the top performers over the last 30 days.
Best Meme Coin Research Tool
If you missed out on the Pepe craze and looking for the next freshly minted meme coins which are getting traction (it's how I originally found Pepe), or just want to get in early on a brand new project with great potential - Check out Moralis Money.
First, read our 100x Altcoin strategy article which discusses how to use this tool.
Biggest Micro-Cap Gainers in the last 30 days
Every week we review and analyze small and micro market cap cryptos looking for the next low-cap gem. These are the best-performing (quality) micro-cap projects over the last 30 days:
Best Performing Quality Micro Caps (Last 30 days):
- PNB +1.068% - AI-based Crypto Media Portal (Micro-Cap)
- MEVFREE +889% - Trading Tool Platform (Micro-Cap)
- GST-ETH +246% - Stepn (Green Satoshi -ETH) Move-to-Earn (Nano-Cap)
- IMGNAI +123% - AI Imagine Generation (Micro-Cap)
This is the second-week PNB made the top of this list.
Monthly Altcoin Pick:
If you missed our latest altcoin pick released 2 weeks ago - it's a project working on building the first decentralized AI superCloud. And if you caught the news over the last few weeks, Nividia (the graphics card manufacturer) has just become a trillion-dollar company due to the AI boom. This company (our Altcoin Pick) is building the backend infrastructure to handle this AI boom - offering lots of potential for long-term growth.
If you would like access to the full report, consider becoming a member. Altcoin picks are emailed to members as soon as they are published. If you are wondering how we choose our monthly Altcoin Picks - this is the strategy we use for choosing them.
Our Altcoin Picks for the prior months can be found here.
Thanks and appreciation to all our members!
Until the next report,