This week in Crypto: Sweet surprise for Bitcoin’s (BTCs) faithful holders

We cover weekly key developments in the world of crypto assets and blockchain that have influenced price action and general sentiment.

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this week in crypto

Illustration: MilicaM

Investment developments  

The latest blockchain data reveals a sweet surprise for Bitcoin’s (BTCs) faithful holders – their long-term patience is finally paying off, after nearly a year of waiting! And what’s more, this renewed profitability for the steadfast bunch has historically been a tell-tale sign of major market upswings in the past. 

As per the experts at Glassnode, the seven-day average of BTCs long-term holder spent output profit ratio (LTH-SOPR) has soared above the coveted mark of 1 for the first time since May 2022. This metric measures the ratio of the value of unspent transaction output (UTXO) at its creation to the value at which the wallet holder eventually spends it onchain. For those who are new to the jargon, UTXO is basically the leftover change money that hasn’t been used as input in a fresh transaction. 

Looks like it’s finally time for the holderss to rejoice – they have truly earned their well-deserved reward! 

this week in crypto

Source: Glassnode

As bitcoin continues its ascent from the murky depths of the bear market, the ratio has once again made a move above one. At its current price of $29,292 (at the time of writing), the cryptocurrency has soared a whopping 90% from its low of $15,460 last November. This latest crossover is not a mere coincidence, as the ratio’s previous jumps above one have all been harbingers of multi-year bull runs. The chart reveals a pattern that links sub-1 readings to periods of investor despair and market bottoms, while values above 10 have signaled market tops. Let’s keep our eyes peeled for the next move of this exciting ratio. 

Finally, according to data from CoinMarketCap, the global crypto market cap stands at $1.21 trillion, a 0.61% increase from April 27 to 28. Meanwhile, the total crypto market volume over the last 24 hours (April 28) is $45.93 billion, a 32.78% decrease.  

The Crypto Fear and Greed Index, which uses six measurements to asses the current sentiment in the markets, still shows the emotion of greed with a value of 64. The index rates market emotions from 1, extreme fear, to 100, extreme greed.  

this week in crypto

Crypto Fear & Greed Index. Source: Alternative 

Crypto Exchange developments 

The $1 billion acquisition deal between crypto lender Voyager Digital and Binance US has met its demise, as confirmed by a letter from the latter to the former. Voyager has taken to Twitter to announce their plans for self-liquidation under Chapter 11. Binance US cited the “hostile and uncertain regulatory climate” in the US as the reason for the termination, and regulators’ efforts to get the deal suspended through court order only added to the uncertainty.  

The Commodity Futures Trading Commission’s commissioner, Kristin Johnson, disclosed that settling its complaint against Binance is still under consideration. While rumors suggest a link between the termination and an imminent settlement, Binance CEO Changpeng Zhao remains tight-lipped. 

With the court’s nod of approval for its reorganization strategy, Voyager Digital is opening up a world of possibilities for its clients. Now, they can choose to receive either cash or cryptocurrency with just a flick of a “toggle option” on their platform. This marks a significant shift from the previous arrangement where customers could recover only up to 73% of their funds, a figure that could have been slashed to 48% if claims from FTX and Alameda Research were accepted. 

As expected, the unsecured creditors’ committee is fuming with rage, and they’re not holding back on their wrath. There’s already talk of legal action against Binance, and the tension in the air is palpable. Nevertheless, Voyager and the committee are focused on executing the self-liquidation process in line with the reorganization plan’s provisions. It’s a time of change, challenges, and opportunities, and Voyager is poised to make the most of it all. 

Web3 developments 

The innovative Chinese tech titan, Tencent, has revealed its latest game-changing move. Users of its WeChat ecosystem can now make digital yuan payments via applets and video channels, revolutionizing the way we shop and interact with e-commerce platforms such as What’s more, WeChat applets – also known as “mini programs” – enable effortless integration with third-party apps without the need for multiple downloads. With WeChat Pay as the cherry on top, it’s never been easier to indulge in a seamless digital shopping experience, using Chinese CBDCs. 

Yuga Labs, the powerhouse behind the world-renowned Bored Ape Yacht Club, is reigning supreme in the NFT market with a staggering 35% share of all NFT trading volume from October 2022 to March 2023, as per the latest report by DappRadar. 

But their domination doesn’t stop there. Along with the Bored Ape Yacht Club, their avant-garde creations include the Mutant Ape Yacht Club, and Otherside metaverse game land deeds. In an unprecedented move, Yuga Labs also acquired the IP of iconic projects CryptoPunks and Meebits NFT from the original creator Larva Labs in 2022. 

This creative powerhouse has amassed a mind-boggling trading volume of over $2 billion from their creations alone, accounting for 34.6% of the total market volume over the last two quarters combined. Yuga Labs is a name that resonates with creativity, innovation, and an unrelenting thirst to push boundaries in the NFT world. 

DeFi developments 

IZUMi Finance, the innovative multichain decentralized-finance protocol, has secured a whopping $22 million in funding. This investment will inject much-needed liquidity into the startup’s groundbreaking on-chain order book decentralized exchange, iZiSwap Pro, which is currently live on the zkSync Era network. 

But that’s not all. iZUMi Finance is changing the game with its one-step “liquidity-as-a-service,” allowing users to effortlessly convert assets or cash. With approximately $25 million in total value locked, according to Defi Llama data, iZUMi Finance is already making waves in the industry. 

And now, with the introduction of iZiSwap Pro, an automated market maker-driven order book decentralized exchange, the company is further cementing its position as a trailblazer in the field. By reducing transaction costs and mitigating custody risks, iZiSwap Pro is the next evolution of decentralized exchanges. 

But what makes this funding round truly unique is the way it was executed. Rather than a simple “cash in, equity out” arrangement, iZUMi Finance issued an iZUMi zk-Fund through strategic partner Solv Protocol. This semi-fungible token (SFT) allows investors to become limited partners of the fund, with an SFT in their wallet representing their share. And upon maturity, investors can redeem their SFT for their principal. 

iZUMi Finance isn’t just disrupting the industry, it’s redefining it. And with this latest funding round, the sky’s the limit for this innovative company. 

Tech developments 

Behold! The ingenious mind of Circle, the visionary behind the US Dollar Coin (USDC), has unveiled their revolutionary mainnet protocol – the captivating Cross-Chain Transfer Protocol (CCTP) – a game-changer that allows for the effortless transfer of USDC between Ethereum and Avalanche. 

This unprecedented CCTP demolishes the need for cumbersome USDC bridges, delivering a streamlined transaction process that guarantees unparalleled security and reliability for all users. Brace yourself for an era of unparalleled ease and confidence. 

Finally, the Web3 ecosystem can rejoice as the CCTP obliterates the rampant fragmentation that has been the bane of its existence for too long. No more rogue copies of USDC scattered across multiple networks due to tokens being haphazardly bridged between them. 

With an official and foolproof method of moving coins from one network to another, Circle foresees the gradual fading away of these unofficial variants, leaving the token stronger, clearer, and more secure than ever before. Get ready for a transformational ride with Circle’s CCTP at the helm. 


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