Research Summary

The report discusses key developments in the cryptocurrency space, including Cosmos’ founder Jae Kwon’s proposal for a hard fork, KyberSwap’s recovery of $4.7 million in stolen funds, and weekly crypto fund inflows reaching $346 million. It also mentions Binance Futures launching USTC perpetuals, Google Cloud’s participation in EigenLayer’s testnet, and the introduction of Magic Eden’s wallet. The report also notes the delisting of TORN, the native token of Tornado Cash, from Binance.

Key Takeaways

Cosmos’ Proposed Hard Fork

  • Jae Kwon’s Initiative: Cosmos’ founder Jae Kwon has proposed a hard fork of the Cosmos blockchain, following a successful proposal to reduce the max inflation parameter of Cosmos’ native token ATOM from 19% to approximately 13.4%. The hard fork, named AtomOne, would have its own new native token and would include ATOM participation to prevent a mass sell-off.

KyberSwap’s Recovery of Stolen Funds

  • Successful Recovery: KyberSwap has managed to recover $4.7 million of funds that were stolen last week, with the remaining $1 million going to the hacker as a white hat bounty. This recovery is separate from the main exploit event.

Weekly Crypto Fund Inflows

  • Significant Inflows: The report notes that weekly crypto fund inflows reached $346 million last week. Bitcoin inflows accounted for $311.5 million (90%) of that sum, followed by Ethereum with $33.5 million, and Solana with $3.5 million.

Binance Futures’ Launch of USTC Perpetuals

  • New Product Launch: Binance Futures has launched USTC perpetuals with up to 50x leverage. USTC, TerraClassicUSD, was previously pegged to $1 before the Luna collapse in May of 2022.

Delisting of TORN

  • Market Impact: TORN, the native token of Tornado Cash, has gone down 53% after Binance announced the token’s delisting on the 7th of December 2023. BitShares, PERLECO, and Waltonchain will also be delisted on the same date.

Actionable Insights

  • Monitor the Cosmos Hard Fork: Stakeholders should keep an eye on the proposed hard fork of the Cosmos blockchain, as it could have significant implications for the value and stability of the ATOM token.
  • Assess the Impact of Delistings: The delisting of TORN and other tokens from Binance could impact their market value and liquidity. Stakeholders should assess the potential impact on their holdings or investment strategies.
  • Consider the Significance of Crypto Fund Inflows: The substantial inflows into crypto funds, particularly into Bitcoin, indicate strong investor interest. Stakeholders should consider this trend when evaluating the overall health of the crypto market.

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