Monat: März 2023

SEC Subpoenas SushiSwap, CEO Proposes Legal Defense Fund for DAO

• The US Securities and Exchange Commission (SEC) has issued a subpoena against SushiSwap and its CEO Jared Gary.
• Jared Gary is proposing the creation of a legal fund to cover the legal costs of core developers who ratified Sushi 2.0 in April 2022.
• The SEC has been taking action against the crypto-market with lawsuits and subpoenas for some time, most recently targeting stablecoin BUSD issuer Paxos.

SEC Subpoenas SushiSwap

The United States Securities and Exchanges Commission (SEC) has taken action against yet another crypto-entity by issuing a subpoena against decentralized exchange SushiSwap and its CEO Jared Gary.

Legal Fund Proposal

In response to the subpoena, Jared Gary proposed creating a legal fund to cover the legal costs of core developers who ratified Sushi 2.0 in April 2022. The proposal calls for $3 million USDT stablecoin to be dedicated from the Sushiswap Decentralized Autonomous Organization (DAO), with an additional $1 million set aside in case funds are needed. Funds will be sourced from Kanpai fees, grants, and TWAP market sells of Sushi.

SEC Targets Crypto Market

The SEC’s recent action against SushiSwap follows other attempts at cracking down on cryptocurrency markets over the past few years. Most recently, it labeled stablecoin BUSD issuer – Paxos – as a security.

SUSHI’s Market Cap

Realistic or not, there is speculation about what impact this news might have on SUSHI’s market capitalization in terms of Bitcoin (BTC).

Conclusion

It remains to be seen how this situation develops but one thing is certain – regulatory agencies like the SEC are increasing their scrutiny when it comes to cryptocurrencies and DeFi projects like Sushiswap will need to prepare accordingly if they want to stay compliant with applicable laws and regulations moving forward.

MKR Price Slumps as MakerDAO Introduces Debt Ceiling Breaker

• MakerDAO has proposed a debt ceiling breaker to protect their system from volatility and maintain liquidity.
• The proposal was necessitated by USD Coin losing its parity with the US dollar, leading to a temporary loss of dollar parity for DAI.
• MKR’s demand faltered and prices dropped due to the lack of new liquidity.

MakerDAO Proposes Debt Ceiling Breaker

MakerDAO [MKR] has initiated an emergency executive proposal in order to introduce a debt ceiling breaker for collateral assets used to mint its DAI stablecoin. This action became necessary after USD Coin [USDC] lost its parity with the U.S. dollar last weekend, resulting in a temporary loss of dollar parity for DAI.

Purpose of the Debt Ceiling Breaker

The purpose of the debt ceiling breaker is to maintain the stability of the MakerDAO system by limiting the number of DAI that can be issued against any given collateral asset locked in the Maker protocol. With this new proposal, MakerDAO aims to handle scenarios where the underlying collateral asset is experiencing substantial volatility. This mechanism will enable MakerDAO to safeguard its liquidity and prevent losses in such situations.

MKR Demand Falters

Because of its statistically significant positive correlation with Bitcoin [BTC], MKR experienced an initial price rally following Federal Regulators‘ decision to make all SVIB depositors whole. However, due to lack of new liquidity, MKR’s price soon declined and stagnated any possible uptick. According Santiment data, daily active addresses trading MKR dropped by 86%, while new demand decreased by 95% over four days at press time.

Analysis

At press time, MKR’s RSI rested above its centerline at 54.17, while its MFI, on an uptrend, was pegged at 41; however token accumulation was not enough for significant price growth according to MACD indicator analysis .

Conclusion

Despite initial optimism surrounding MakerDAO’s emergency executive proposal for a debt ceiling breaker ,MKR’s demand has since been slipping as evidenced by network activity data from Santiment . Despite token accumulation being evident on daily charts , prices have yet failed to experience significant growth due MACD indicator analysis .

Shiba Inu [SHIB] Price Analysis: Bearish Outlook as Bitcoin Struggles

• Shiba Inu has been bearish on the price charts in recent weeks due to negative investor sentiment and lower trading volume.
• Bitcoin approached a critical support level, but it remains uncertain whether the downtrend across the crypto-market will be relieved.
• The RSI and OBV indicated a bearish shift in bias with a shorting opportunity presented around $0.0000123 while daily active addresses trended lower but accumulation was seen.

Overview of Shiba Inu Price Movement

Shiba Inu (SHIB) has been bearish on the price charts in recent weeks as investor sentiment has been negative and the trading volume also saw a fall in recent days, despite the network performance remaining healthy. Bitcoin also approached a critical support level, however it is still uncertain if there will be any relief from this overall downtrend across the crypto market.

Technical Indicators

On the daily chart, SHIB broke beneath its higher low at $0.0000117 (shown in orange) which signaled a bearish structure. Additionally, an imbalance was seen above which could present a shorting opportunity around $0.0000123 according to technical indicators such as Relative Strength Index (RSI) and On Balance Volume (OBV). The RSI fell below 50-mark indicating sellers dominating the market while OBV noted losses although not large ones yet. Meanwhile, further levels of support were identified at $0.0000105 and $0.0000094 – 3.4% and 13.2% below its current price respectively at press time.

Daily Active Addresses

The 90-day MVRV ratio hit 6-month highs in early February before declining afterwards suggesting that holders likely booked profits during this period of high prices for SHIB tokens; however, selling pressure would not necessarily decrease due to this factor alone as seen by how daily active addresses count have decreased since 21 February as well even though accumulation was observed at certain points throughout this time frame too..

Federal Reserve Update

Additionally, Federal Reserve Chair Jerome Powell cautioned that interest rates could head higher which had an impact on investor sentiment particularly amongst those holding cryptocurrencies such as Shiba Inu token resulting in further losses for Bitcoin and possibly SHIB too should these downward trends continue further southbound on their respective price charts..

Conclusion

To conclude then, investor sentiment towards SHIB has been generally negative lately with buyers seemingly taking profit while sellers remain dominant within this market leading to many weak signals moving downwards on technical indicators like RSI and OBV among others; furthermore federal reserve updates regarding possible rate hikes have only added to existing pressure pushing prices lower even more making it increasingly difficult for bulls to make any substantial gains anytime soon without some kind of positive news or stimulus package coming into play first..

Whales Bet Big on CRV despite Curve’s Struggles: Analyzing the Protocol’s Uptick

• Convex Finance dominated Curve Finance’s governance, holding 45% of the overall governance on the network.
• Despite a decline in volume, Curve Finance’s treasury holdings increased by 37.3%.
• Whales have shown interest in CRV and its prices have surged, despite a decrease in trading velocity.

Convex Finance Dominates Curve Governance

Convex Finance has taken over 45% of the overall governance on Curve [CRV] network after holders of veCVX and veCRV tokens voted for specific pools and earned bribes from other protocols. This dominance was created as Convex held most of these tokens which allowed them to vote for incentivized pools.

Curve Faces Heat

Despite their dominance, Curve Finance has seen their share of DEX volume fall from 15.2% to 4.4% since the beginning of this year due to competition from Uniswap [UNI]. The protocol still generated ample revenue though and increased its treasury holdings by 37.3%. However, there is potential room for improvement as it pertains to volume and active developers – with only 8.6% increase in active developers over the past week.

Whales Show Interest

Whales have been showing strong interest in CRV token with Santiment data showing an increase in large address holders over the past week. This could be one reason why CRV prices have surged despite decreased trading velocity as reported by Token Terminal – suggesting that frequency with which CRV is traded has plummeted.

Delphi Digital Speaks On Convex Business Model & Looming Catalyst

Delphi Digital released an article for PRO members which looks at Convex’s business model and a looming catalyst live now⬇️https://t.co/akrMZYuE8M . It is unclear whether this report will drive further investment into the protocol or not but only time will tell whether whales are correct in their assessment of the Curve token.

Conclusion

Overall, Convex Finance holds a dominant position amongst Curve protocols after gaining 45% of total control on staking pools while whales continue to buy CRV despite decreased trading velocity and lower DEX volumes compared to Uniswap [UNI]. Delphi Digital released an article looking at Convex’s business model while whales show increasing interest in CRV token – only time will tell if they are right about their assessment or not