Are you curious about the latest in the crypto world? Here’s a rundown of today’s key trends and events affecting Bitcoin prices, blockchain technology, DeFi, NFTs, Web3, and crypto regulations.
The Daily: World Liberty Financial teams up with Ethena, Polygon rejects $1.3 billion stablecoin proposal and more
Trump-Backed World Liberty Financial Partners with EthenaWorld Liberty Financial (WLFI), a DeFi project backed by President-elect Donald Trump, has announced a long-term partnership with Ethena Labs, the creator of the synthetic dollar project. This collaboration begins with integrating Ethena's sUSDe as a collateral token on the WLFI protocol.
The WLFI governance community is set to vote this week on including sUSDe in its upcoming Aave instance. Ethena’s sUSDe, a yield-bearing stablecoin, has gained significant momentum, accumulating $1.2 billion in supplied assets since being integrated with Aave Core and Aave’s Lido instance in mid-November.
This partnership could boost stablecoin deposits on WLFI, as sUSDe is poised to serve as collateral for borrowing tokens like USDC and USDT. Even if the proposal doesn’t pass, WLFI and Ethena plan to explore other integration opportunities.
In a separate move, WLFI recently purchased $600,000 worth of Ethena’s ENA governance tokens, underlining its confidence in Ethena’s growth potential.
“Collaborating with Ethena Labs brings us closer to democratizing access to financial tools that provide better experiences and greater accessibility for users worldwide,” said Zak Folkman, co-founder of WLFI.
US Federal Reserve cuts fed funds rate by 25 basis points
On Wednesday, Bitcoin's price saw a slight uptick after the U.S. Federal Reserve announced a 25 basis point cut to interest rates. The Federal Open Market Committee (FOMC) delivered what most economists and traders had anticipated, lowering the benchmark federal funds rate to a range of 4.25% to 4.50%. This follows a larger 50 basis point rate cut made in September.
The Fed explained the decision in its statement: "To support its goals, the Committee decided to lower the target range for the federal funds rate by 1/4 percentage point to 4-1/4 to 4-1/2 percent." The central bank noted that labor market conditions have eased over the year, with a slight rise in the unemployment rate, although it remains low. Inflation has moved closer to the Fed’s 2% target but remains below the desired level.
The Fed also addressed the potential for further rate cuts, stating, "In considering the extent and timing of additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks."
Cardano Whales Capitalize on ADA Price Dip to Scoop Up $160 Million in Tokens
Cardano Whales took advantage of the recent cryptocurrency market dip to accumulate more ADA after selling off some of their holdings earlier this month when the price surpassed $1.15.
According to cryptocurrency analyst Ali Martinez, whales offloaded their tokens as Cardano traded between $1.15 and $1.33 to lock in profits. However, when the price dropped to $0.91, they capitalized on the dip to replenish their holdings.
Martinez noted that these large investors added 160 million ADA tokens during the price drop, signaling continued confidence in the cryptocurrency.
Kraken unveils Ethereum scaling layer Ink months ahead of schedule
According to an announcement, Kraken has officially launched its Layer 2 blockchain, Ink, on the mainnet. The launch comes “months ahead of schedule,” with the company initially planning for an early 2025 release.
Ink is built using Optimism’s Superchain technology stack, a framework designed to create scalable blockchain layers. This means Ink is interoperable with other networks built using the OP Stack.
The launch has partnered with several prominent applications, including the decentralized exchange Curve, stablecoin platform Frax, L2 infrastructure provider Gelato, and interoperability protocol LayerZero.
“Ink is also advancing toward Stage 1 decentralization with permissionless fault proofs to enhance accountability by January 2025,” the company stated. This will allow anyone to challenge potentially invalid transactions, making Ink more transparent and accountable to its users.
With this launch, Kraken joins other major crypto platforms like Coinbase and Uniswap in developing custom Layer 2 solutions. Since its launch earlier this year, Coinbase’s Ethereum-based L2, Base, has already become a significant revenue generator.
OpenSea token airdrop rumors, CyberKongz on SEC radar: Nifty Newsletter
In this week’s newsletter, catch up on key developments in the NFT space: OpenSea’s registration in the Cayman Islands has fueled speculation about a potential token airdrop, Animoca Brands chairman Yat Siu predicts NFTs will surpass their 2021 and 2022 success, CyberKongz faces regulatory scrutiny from the U.S. SEC, and Pudgy Penguins’ token drops by over 50% after its launch.
OpenSea, a leading NFT marketplace, recently registered a foundation in the Cayman Islands, igniting rumors about a possible token launch and airdrop. The NFT community is hopeful that loyal users of the platform might receive rewards in the form of tokens.
OpenSea confirmed the foundation’s registration to Cointelegraph but declined to share additional details.
On November 4, OpenSea CEO Devin Finzer announced upcoming major changes for the platform. While specifics remain under wraps, OpenSea hinted at unveiling an improved marketplace in December.
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