Welcome to Issue 17 of Popular Crypto, a newsletter about the mainstream products and services taking crypto to the masses.
In this issue:
- NBA player Spencer Dinwiddie tokenizes his contract
- FTX and the CME debut Bitcoin options products
- DeFi lending protocol Aave launches flash loans
- The first-ever direct IRA investment into an STO
We also cover Almonit’s mission to index the decentralized web (dWeb), a more robust, censorship-resistant Internet built on Ethereum Name Service and IPFS.
All that and more in this week’s issue. But first, here’s some…
🚀 Updates From Nomics
- #1 Nomics Mobile App Is Live (Beta): We’re pleased to announce the beta launch of the Nomics mobile app for Android and iOS. Now, you can get real-time crypto market cap rankings, historical prices, charts and more for cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and 4,000 other cryptoassets. The app is available for download from Google Play and the App Store.
- #2 Binance Futures Added: We’ve added Binance Futures data to our API and Nomics.com. Binance has an “A” Transparency Rating, indicating full transparency. To earn an A-level rating, an exchange must provide trade-level data and full histories.
Thanks to the addition of Binance Futures, Binance flipped BitMEX to become the top crypto exchange on Nomics – in terms of trade volume.
We also completed a deep data integration with FarhadMarket, which earned an A+ Transparency Rating.
- #3 Supply Data Added for 2,800 Additional Assets: This week, we added supply and market cap data for more than 2,800 additional currencies. The data is available on Nomics.com and via the API through the Currencies Ticker endpoint.
- #4 How To Get Hired (or Hire) In The Crypto Industry: Flippening episode #67, How to Recruit (or Get Hired in Crypto) in 2020, is live on our blog. In the episode, we’re joined by Rob Paone, founder of Proof of Talent, a boutique recruiting firm specializing in the blockchain and crypto industries. We discuss the state of hiring and recruiting in the blockchain/crypto space, how to get hired by a crypto company, and more.
And now, let’s see what the cryptocurrency world has brought us this week.
Clay Collins
Nomics Co-Founder
😍 Thanks To Our Sponsor: Nexo.io
- 🚀 Updates From Nomics
- 😍 Thanks To Our Sponsor: Nexo.io
- 😎 Top Ten of the Week
- #1. Blockchain Makes the NBA
- #2. Bitcoin Options Boom
- #3. The European Union Strengthens KYC/AML Regs With AMLD5
- #4. Trees Grow on Crypto
- #5. Unlock Adds Instant Refunds & Risk-Free Trials
- #6. Aave Launches Flash Loans
- #7. Almonit Indexes the Decentralized Web
- #8. An IRA Buys Security Tokens
- #9. BTCPay Server Integrates Liquid
- #10. A Great Year for Grayscale
- 🏆 Our Weekly Poll
😎 Top Ten of the Week
#1. Blockchain Makes the NBA
Brooklyn Nets’ guard Spencer Dinwiddie has teamed up with security token platform Securitize to convert a portion of his NBA contract into Professional Athlete Investment Tokens or PAInTs. The Ethereum-based tokens are available to accredited investors, each of whom will receive 4.95% monthly interest and their principal on maturity. Dinwiddie will get his contract fast-tracked, so he can put the money to work however he likes. [Link]
There’s a good chance he buys some crypto with it. Check out the following video for Dinwiddie’s views on decentralized finance (DeFi) and cryptocurrency in general.
Meanwhile, the Sacramento Kings have launched an Ethereum-based auction to sell sports gear and memorabilia. To track items, many of which are one-of-a-kind, the Kings will use Treum, a supply chain management tool backed by Consensys. Treum will authenticate each item, establish a transaction history, and record future sales, loans, and exhibitions. The first auction, for a jersey worn by guard Buddy Hield, closed at $1,090 after 73 bids. [Link]
#2. Bitcoin Options Boom
On January 13th, the Chicago Mercantile Exchange (CME) launched live Bitcoin options trading. On the first day of trading, the exchange facilitated 55 contracts worth 275 BTC – approximately $2 million. Contrast that with Bakkt, which has averaged just half that volume since launching its Bitcoin options product in early December. [Link]
Days earlier, Hong Kong-based crypto derivatives exchange FTX successfully launched a Bitcoin options product of their own. According to CEO Sam Bankman-Fried, FTX options reached $1 million in volume in their first two hours of trading!
#3. The European Union Strengthens KYC/AML Regs With AMLD5
The European Union is in the process of switching to a tough new regulatory scheme for firms that handle cryptocurrencies. The Fifth Anti-Money Laundering Directive (AMLD5) requires that crypto exchanges obey strict KYC/AML procedures. It also strengthens the hand of law enforcement to investigate exchanges and custody providers.
The enhanced security measures may prompt more financial institutions to experiment with crypto. What is certain is that AMLD5 will burden European firms with higher compliance costs. [Link]
Netherlands-based crypto derivatives exchange Deribit has already announced that it will be bypassing AMLD5 by moving to Panama. Matt Willemsen of Nugget’s News has been anticipating the move ever since Deribit CEO John Jansen appeared on the Flippening back in October 2019.
#4. Trees Grow on Crypto
Donation app rTrees has launched on the Ethereum mainnet. The app enables users to stream interest generated from Dai (DAI) to Trees for the Future, a charity that plants trees all over the world. To track their impact, each user gets a Grove Page, where they can view their annual “grow rate” and total trees planted. [Link]
It’s all made possible by rDai, or Redeemable Dai (pegged 1:1 to Dai), which lets users direct Dai-generated interest to an app, person or cause of their choice. Users can also keep interest in a wallet for on-demand spending.
#5. Unlock Adds Instant Refunds & Risk-Free Trials
Unlock, a blockchain-based subscription solution that lets creators “lock” online content (except to those with the right key), has released version 1.2 to enable instant refunds and risk-free trials. Previously, refunds were a 2-step process: the creator, or lock owner, had to withdraw funds from the lock and send them to the subscriber, or key owner. Now, the entire transaction can be facilitated through the lock itself. This also lets lock owners define a period during which a key owner can request a full refund. [Link]
#6. Aave Launches Flash Loans
On January 8th, DeFi lending protocol Aave went live on the Ethereum mainnet. The platform offers “flash loans”, instant loans requiring zero collateral. Instead of pledging fiat or cryptoassets, customers borrow and return their loans in a single transaction. So long as a loan is repaid before the block ends (within 13 seconds on Ethereum), the transaction will be allowed. If it isn’t repaid in time, the transaction will be reversed by smart contract. [Link]
Aave has limited, specialized uses. Indeed, the platform was “designed for developers/people with some technical knowledge.” But flash loans are a major advance for DeFi. On a recent episode of Flippening Podcast [LIVE], The Defiant founder Camila Russo talked about undercollateralized loans (loans with less than 100% collateral) as key to mainstream crypto adoption. Aave’s flash loans are the first real-world example.
For a look at the platform, check out the following gif.
#7. Almonit Indexes the Decentralized Web
Almonit has launched a search engine for the decentralized web, or dWeb. The tool, which only searches dWebsites, can be reached at almonit.eth/ (via MetaMask) or at almonit.eth.link via any other browser. [Link]
The dWeb is a more resilient, censorship-resistant form of the world wide web. It runs on two main technologies: Ethereum Name Service for naming and IPFS for distributed file storage. As of this writing, there are just 106 dWebsites, but the list is growing.
#8. An IRA Buys Security Tokens
In addition to helping Spencer Dinwiddie tokenize his NBA contract, Securitize also facilitated the first-ever direct IRA investment in an STO, or security token offering. The tokens represent shares in a private fund with holdings in Coinbase, Bakkt, Tagomi, and Nomics. The deal was made by AltoIRA, a custodian for self-directed retirement accounts. [Link]
#9. BTCPay Server Integrates Liquid
Open-source crypto payment processor BTCPay Server has integrated Liquid, a sidechain-based Bitcoin settlement protocol. BTCPay users with Liquid Bitcoin (L-BTC) or Liquid Tether (USDt) can now enjoy fast (two-minute), confidential transactions through the Liquid Network. [Link]
#10. A Great Year for Grayscale
Institutions are buying crypto. Cryptoasset management firm Grayscale reports that they attracted nearly $608 million in investments last year, a new record. Much of that activity can be attributed to the Grayscale Bitcoin Trust, which raked in $193.8 million in Q4 alone. 71% of Grayscale’s investors were institutions, up from 66% the year prior. [Link]
🏆 Our Weekly Poll
In our last poll, we asked you about the big 2019 developments that will drive crypto adoption in 2020 and beyond. Here are the results:
This week, we want your take on all the great, new options for putting idle stablecoins and stablecoin-generated interest to work. If you had some extra DAI, what would you do with it?
