Hodler’s Digest, March 31 – April 6 – Cointelegraph Magazine

This week's main news

Terraform Labs and Do Kwon have been charged with fraud in the SEC case

A jury found Terraform Labs and co-founder Do Kwon guilty of defrauding investors in a civil lawsuit filed with the United States Securities and Exchange Commission. The SEC trial began on March 25 without Quon remaining in Montenegro when the courts ruled that his extradition would not be allowed. According to the verdict, the jury found Kwon and Terraform liable on six counts. You also determined that the platform acted “negligently” by making false or misleading statements regarding the offer or sale of TerraUSD, Luna or wLUNA.

As the Memecoin craze continues, a trader turns $13K into $2M in 1 hour.

A crypto trader turned more than $13,000 into $2 million, a 15,700% profit, by investing in memecoin Donotfomoew (MOEW) Minted on the Base blockchain on April 3. The cat-themed MOEW meme token was created earlier in the day by Bitget Wallet. Shortly after its debut on the DEXs, MOEW has skyrocketed in value and currently has a market cap of $31 million. More than 8,000 addresses have received MOEW tokens during the ongoing airdrop, which is eligible for users holding enough BWB points.

Bitcoin 5% Crash Leads to $165M

A sudden 5% drop in Bitcoin (BTC) on April 2 saw traders exposed to Bitcoin and other cryptocurrencies lose more than $165 million in less than two hours. Bitcoin fell 5% from $69,450 to $65,970 in less than 30 minutes, according to TradingView data. According to data from CoinGlass, Bitcoin's sharp wick down has wiped out more than $165 million in leveraged positions, with just over $50 million in Bitcoin and more than $40 million in Ether (ETH) saving the bulk of that figure. About $6 million in long positions on Dogecoin and $4 million in Solana SOL were liquidated, followed by BTC and ETH.

The government of Argentina approved the registration requirements for crypto companies

The Argentine government has begun implementing requirements for cryptocurrency exchanges to operate legally in the country. In a March 25 announcement, Argentina's Commission Nacional de Valores said virtual asset service providers will operate in accordance with recommendations from the Financial Action Task Force (FATF). The implementation of FATF requirements seems to have raised concerns about the future of digital assets in Argentina. Several Bitcoin payments app Strike has reported that the app no ​​longer allows locals to send fiat to bank accounts.

BlackRock Updates Bitcoin ETF, Adds 5 Wall Street Firms

Global asset manager BlackRock updated its Bitcoin exchange-traded fund prospectus on April 5, adding five major Wall Street firms as newly approved participants. According to a filing with the United States Securities and Exchange Commission, the new members include ABN AMRO Clearing, Citadel Securities, Citigroup Global Markets, Goldman Sachs and UBS Securities. Among the previously approved participants in the ETF are JPMorgan Securities, Jane Street Capital, Macquarie Capital and Virtu Americas.

Winners and losers

At the end of the week, Bitcoin (BTC) at $67,570, Ether (ETH) at $3,323 and XRP at $0.58. According to CoinMarketCap, the total market cap is $2.53 trillion.

Among the top 100 cryptocurrencies, the top three altcoin gainers for the week were CORE (CORE) at 112.81%, Etena (ENA) at 42.57% and Pendle (PENDLE) at 30.34%.

The top three altcoin losers of the week were Wormhole (W) at -32.66%, Conflux (CFX) at -25.42% and Akash Network (AKT) at -22.19%.

Be sure to read Cointelegraph's market analysis for more information on crypto prices.

The most memorable quotes

“I don't like spending a long time helping people who voluntarily choose to gamble on vaporware meme coins.”

ZachXBT, anonymous sleuth on the chain

“I never thought what I was doing was illegal. Every day I am concerned about what has been lost. I never intended to hurt anyone or take anyone's money.

Sam Bankman-Fried, former CEO of FTX

“We are not crypto believers.”

Sharmin Mosavar-Rahmani, Chief Investment Officer of Goldman Sachs

“I think so [Bitcoin] It is an insurance policy against rogue regimes or abusive fiscal and monetary policies.

Cathy Wood, CEO of ARK Invest

“People have told me they are desperate to have a real conversation with the issue. [SEC] Workers, however, worry that the inevitable outcome of such a meeting will be a call to action.

US Securities and Exchange Commission Commissioner Hester Peirce

“DeFi stands out as the only sector with the potential to leverage this narrative, providing a sustainable ecosystem for Bitcoin's evolving use cases.”

Nash Lee, Co-Founder of MerlinSwap

Forecast of the week

Historical data suggests that the 2028 Bitcoin half price target is $435,000

In the year In 2020, the price of Bitcoin increased approximately 650% after the last half of its decline. If history repeats itself, Bitcoin could reach the $435,000 price level before the 2028 halving.

The 2024 Bitcoin halving will be in less than three weeks. If historical chart patterns repeat themselves, Bitcoin's current $66,000 price will halve to $434,280 per coin in 2028 if it performs the same cycle as the current one.

However, Bitcoin's average price rally has declined by 45% per cycle to a current 658%. If this diminishing return trend repeats, Bitcoin will deliver a 360% rally in the next cycle, with a value of roughly $303,600 BTC upon the halving in 2028.

FUD of the week

AaveDAO debates Dai guarantee limit after $600M mint in eUSD backing.

Aave Decentralized Autonomous Organization (AaveDAO) continues to debate limits on Dai (DAI) securities, as risk management consultants Chaos Labs proposed a new proposal to reduce Dai's loan-to-value ratio by 12 percent. Previously, Mark Zeller, the founder of the Ave Chan initiative, argued for a 75% discount. MakerDAO has been criticized on the AaveDAO forums after issuing 600 million DAI and depositing it in a vault with the decentralized credit protocol Morpho. An April 1 proposal on the MakerDAO forums sought to increase the Vault operating limit to 1 billion DAI, potentially bringing more supply to the stablecoin.

The legal boss of OneCoin was sentenced to 4 years in prison for a massive fraud of 4 billion dollars

The former head of legal and compliance for the multibillion-dollar OneCoin fraud scheme has been sentenced to four years in prison after pleading guilty to helping commit a multi-million dollar fraud. In addition to four years in prison, Irina Dilkinska was sentenced to one month in prison and ordered to pay $111 million in restitution. U.S. District Judge Edgardo Ramos reportedly denied Dilkinska's request to avoid prison time and return home to care for her young children in Bulgaria.

The Philippines SEC accused eToro of offering unregistered securities.

The Philippine Securities and Exchange Commission has issued an advisory against online trading platform Itoro, saying it is not authorized to sell or offer securities in the country. Anyone acting as a seller, promoter, influencer, endorser or agent in the Philippines could face a fine of up to $88,300 (5 million Philippine pesos) or 21 years in prison for violating safety laws, the notice added.

The best magazine sections of the week

Ethereum's ERC-20 design flaws are a crypto fraudster's best friend.

First introduced in 2015, ERC-20 tokens are riddled with open security holes, with little chance of a fix anytime soon.

AI Builds Metaverse Says Alien Worlds, Eric Wall vs Bittensor: AI Eye

AI didn't kill Metavas, it's just going to build, says Alien Worlds. Bittensor fired back at Eric Wall, Medicine/Beer Discoveries: AI Eye.

‘Web3 Gaming Waits' Says Ava, 2M Bitcoin Miners Make 13c: Web3 Gamer

The boss at Ava Labs' gaming division says their cheeky marketing demo was a big hit at the Game Developers Conference. Plus, Bitcoin Miner's clicker game will have your thumbs tapping.

Subscribe

A very engaging read in Blockchain. It is given once a week.

Editorial staff

Cointelegraph magazine writers and reporters contributed to this article.