Utility mining is a mechanism or process in which participants engage in protocol-specified on-chain activity and are rewarded with tokens for doing so. Protocols can utilize utility mining to distribute their native or governance #tokens to end-users and attract new users to their protocols, helping bootstrap themselves as well as mitigating the risks of mercenary capital. This process incentivizes users to interact with the underlying protocol to receive additional yields.

One of the risks of such a system is the potential for Sybil attacks, as yield is distributed on the basis of activity. One solution to this is leveraging the Transfer Rewards Function (TRF), allowing utility mining to sustainably distribute tokens in a probabilistic mechanism (the fact that rewards are distributed in tiers) each time any user performs an on-chain transaction. TRF is a custom mathematical function that distributes rewards through the use of assets. It takes into account the size of the reward pool and the transaction amount.

These rewards are distributed in tandem with other rewards, granting each network participant equal opportunities to generate large amounts of yield, whether they are sending or receiving these assets. For example, AMM A decides to distribute a portion of its tokens ($AMM) through utility mining. This may incentivize rational users of, for example, AMM B to use AMM A for a period of time to maximize their yield.

A user using AMM A will potentially be able to get exposure to AMM A tokens ($AMM) every time they make a trade, maximizing their expected outcome. However, to claim this yield, the user has to learn and understand how to use AMM A and be actively engaged in deriving utility out of it. The user may also be contributing towards its revenue for the services provided.
Once the yield towards the end of the utility mining initiative is reduced, the user may choose to remain a long-term user of AMM A, as they were able to derive value out of it and potentially keep using it for its value proposition.
#BinanceMegadropSolv

deep dive into the digital assets that have shaped the future of finance
Back in the day, we traded stocks, bonds, and commodities. But the world has changed, and so has the way we invest. Today, we're talking about digital assets: coins and tokens.
What's the Difference?
Let's start with the basics.
📍Coins: Think of coins as the foundational currencies of their respective blockchains. They're like the dollars and euros of the crypto world. They have their own blockchain, a digital ledger that records all transactions. Bitcoin and Ethereum are prime examples.
📍Tokens: Tokens, on the other hand, are built on existing blockchains. They're like the apps on your smartphone, running on the operating system (the blockchain) but with their own unique functions. They can represent anything from in-game currency to shares in a company.
Why Does it Matter?
Understanding the difference between coins and tokens is crucial for several reasons:
👉Risk Profile:
Coins: Generally, coins are more stable, especially those with a strong track record like Bitcoin. They're often seen as a store of value.
Tokens: Tokens, being tied to specific projects, can be more volatile. Their value fluctuates based on the success or failure of the underlying project.
* Use Cases:
* Coins: Primarily used as a medium of exchange and a store of value.
* Tokens: Have a wider range of applications, including:
* Utility Tokens: Used to access specific services or products within a platform.
* Security Tokens: Represent ownership in a real-world asset, like real estate or stocks.
* Governance Tokens: Give holders voting rights in the decision-making process of a project.
* Investment Potential:
* Both coins and tokens offer significant investment potential. However, due to their different risk profiles, it's essential to conduct thorough research before investing.
A Word of Caution
The crypto market is highly volatile. What was a hot token yesterday could be worthless tomorrow. Always do your own research (DYOR), and never invest more than you can afford to lose.
The Future of Finance
As a seasoned trader, I've witnessed the transformative power of technology. Blockchain, the technology underpinning cryptocurrencies, has the potential to revolutionize industries from finance to supply chain management.
Coins and tokens are just the beginning. The future of finance is decentralized, and it's exciting to be a part of it.
So, what do you think? Let me know your thoughts in the comments below
#Cryptocurrency
#bitcoin
#Ethereum #tokens #BlockchainTechnology

In what CCData reports as a groundbreaking verdict, Judge Torres favored #XRP in its closely watched lawsuit against the U.S. Securities and Exchange Commission (#SEC ).

This decision, as CCData indicates, could usher in a new era for the digital assets industry, specifically regarding the categorization of such assets as securities in the United States.

In a blog post published on 14 July 2023, CCData, a leading provider of institutional-grade real-time market data for digital assets, suggests that:

the ruling brings a renewed sense of optimism to an industry that has been grappling with regulatory actions, creating a potential precedent that may influence ongoing legal cases, restoring confidence in industry participation.

Moreover, CCData predicts it could potentially draw in more liquidity into the ecosystem as market makers encounter less risk in dealing with these assets.

In the aftermath of the court ruling, $XRP ’s price performance escalated to record levels, CCData observes. The #cryptocurrency peaked at $0.93—the highest since May 2021—and closed at $0.82.

Source: TradingView

This #news triggered a dramatic increase in trading activity, with XRP trading pairs on centralized exchanges hitting a total volume of $6.05 billion on the day—an impressive 1351% increase from the previous day.

Source: CCData

Moreover, #tokens such as Solana and Cardano, which have been recently classified as securities, also witnessed significant gains.

Source: CCData

As CCData indicates, the decision to relist XRP on centralized exchanges such as Coinbase, Kraken, and Gemini contributed to the jump in trading volumes.

Despite the legal complications faced by XRP due to the lawsuit, its market-depth liquidity demonstrated resilience throughout the year.

This could be an indicator of the perceived risk of market-making on the XRP pair, which becomes riskier if XRP were deemed a security.

CCData's Orderbook data suggests that the ruling caught most speculators off guard with a vast number of orders within a very tight range around $0.45 before the announcement.

This led to a surge in buy orders, causing the price to rise to $0.95 from $0.60.

From a derivatives perspective, XRP maintained a positive funding rate, which CCData attributes to the broader positive market sentiment.

The event stimulated a significant rise in Open Interest across exchanges, reaching three times higher than its baselinelevel prior to the announcement.

CCData highlights this increase as a demonstration ofthe positive speculation surrounding $XRP .

In conclusion, CCData believes:

this landmark verdict introduces new clarity to the digitalasset market. and that this development could reshape industry trends, potentially boostcoins deemed securities, and challenge $BTC 's market cap dominance.

Furthermore, it says that:

this could prompt a reevaluation of the SEC's regulation by enforcement approach and catalyze industry growth by attracting fresh liquidity and fostering confidence in continued innovation in the digital asset sector.

#Ripple💰 #RippleStablecoin #CoinbaseExchange. #BinanceSquareFamily
#tokens

Introduction

In a noteworthy development, the U.S. Securities and Exchange Commission (SEC) has revised its position regarding the classification of cryptocurrencies, heralding a moment of triumph for crypto supporters. In its amended complaint against Binance, the SEC stated that it does not regard crypto assets themselves as securities. This revelation, though mentioned in a footnote, quickly gained traction among industry leaders, including the Chief Legal Officers (CLOs) of Ripple and Coinbase.

Contents
1. Reactions from Coinbase and Ripple's CLOs
2. Frustration Over SEC’s Inconsistent Regulations
3. The Ripple Case Under Examination

1. Reactions from Coinbase and Ripple's CLOs

Paul Grewal, Coinbase’s Chief Legal Officer, highlighted this crucial update in a series of posts on X (formerly Twitter). He underscored the importance of the SEC’s admission by quoting directly from the amended complaint. Grewal remarked, “‘The SEC regrets any confusion it may have invited’ by falsely and repeatedly stating that tokens themselves are securities.”
He characterized the language in the footnote as “remarkable,” criticizing the agency for its reversal of a long-standing position on crypto regulation. Grewal also noted the potential ramifications this shift could have on ongoing litigation involving other crypto entities, particularly Ripple. He tagged Ripple's CLO, Stuart Alderoty, in his post, suggesting that Alderoty might be surprised by the SEC's latest statement.

2. Frustration Over SEC’s Inconsistent Regulations

Stuart Alderoty responded with a mix of vindication and frustration. Quoting Grewal’s post, he expressed his views on the SEC's contradictory approach to cryptocurrency regulation. Alderoty stated, “So the SEC finally admits that 1/ ‘crypto asset security’ is a made-up term and 2/ to prove a ‘crypto asset security’ is an investment contract, the SEC needs evidence of a bundle of ‘contracts, expectations, and understandings’?”
He went on to criticize the SEC’s ever-evolving stance, labeling the agency as “a twisted pretzel of contradictions.” Alderoty humorously proposed a redesign of the SEC's logo to reflect their complex legal entanglements.

3. The Ripple Case Under Examination

The SEC’s acknowledgment is a relief for many within the cryptocurrency sector, especially following years of what has been termed “regulation by enforcement.” Grewal emphasized this concern, stating, “That SEC absolutely ‘maintained’ that tokens themselves are securities is clear from the long record of their regulation by enforcement campaign. Why mislead...”

Conclusion and Final Thoughts

The SEC's recent admission that crypto tokens are not classified as securities represents a significant pivot in its regulatory stance, eliciting strong reactions from key figures in the industry. As the crypto community digests this announcement, the implications for ongoing litigation and future regulatory frameworks remain to be seen. The contrasting views from Coinbase and Ripple's legal leaders highlight the complexities and challenges faced by the cryptocurrency sector as it navigates an evolving regulatory landscape.

🚀 We’re gearing up for #listing 🚀

This week's #achievements :

1,5 million accounts identified as #cheating , they are likely to be banned
10 trillion #tokens will be burned

These are the first steps we’re taking to ensure the value of each token remains high and is distributed fairly.

👉 Read our articles about $SECOND and its purpose for more insights.
#MemeCoinTrending

Ripple Labs is progressing toward launching its USD-pegged #stablecoin , RLUSD, with 1.7 million #tokens minted recently. Although there's no set launch date, the rapid minting activity suggests we're close. 🧐

CEO #BradGarlinghouse hinted at a public release in the coming weeks, positioning #RLUSD to compete with established stablecoins like USDT and $USDC
. 💰

Regulatory approval is a key hurdle, as Ripple seeks to avoid issues with US authorities.
#BinanceLaunchpoolHMSTR