#eth2.0 #shapella #dyor #hongkongweb3

Cryptocurrencies have been around for over a decade now, and while they have seen impressive growth, they have also had their fair share of challenges. One of the major challenges that have plagued cryptocurrencies like Ethereum is scalability. Ethereum 2.0, also known as Shapella, aims to address this and other issues by introducing new features that will enhance its capabilities. This article explores the benefits that Ethereum 2.0 Shapella will bring to the crypto space.

What is Ethereum 2.0 Shapella?

Introduction to Ethereum

Ethereum is a decentralized, open-source blockchain-based platform that enables developers to build and deploy decentralized applications (DApps). It was created in 2015 by Vitalik Buterin and has since become one of the most widely used blockchain platforms in the world. Ethereum's native currency is Ether (ETH), which is used to pay transaction fees and incentivize network participants.

The Need for Ethereum 2.0

One of the major limitations of Ethereum is scalability. Ethereum's current architecture can only process up to 15 transactions per second, which is significantly lower than the transaction throughput of traditional payment systems like Visa and Mastercard. Ethereum 2.0 aims to address this limitation by introducing a number of new features that will improve its scalability, security, and sustainability. Ethereum 2.0 will be implemented in multiple phases, with Shapella being the first phase of the upgrade.

How Ethereum 2.0 Shapella Will Improve the Crypto Space

Enhanced Scalability

Shapella introduces a new consensus mechanism known as Proof of Stake (PoS), which replaces the existing Proof of Work (PoW) consensus mechanism. PoS is more energy-efficient and allows validators to participate in the network without having to perform complex calculations like those required in PoW. This makes it possible to achieve higher transaction throughput while using less energy.

Improved Security

Ethereum 2.0 Shapella also introduces new security features that enhance the overall security of the network. One of these features is the use of shard chains, which break down the network into smaller, more manageable parts. This reduces the risk of a single point of failure and makes it more difficult for hackers to attack the network.

More Sustainable

Ethereum 2.0 Shapella also introduces improvements in sustainability. The new PoS consensus mechanism requires less energy to operate, which makes it more environmentally friendly than PoW. This is an important consideration given the growing concern over the impact of cryptocurrencies on the environment.

Increased Interoperability

Shapella also introduces improvements in interoperability. The new version will allow for better communication between different blockchain platforms, making it easier for developers to build decentralized applications that can communicate with other platforms. This will make it easier to create more complex DApps that can operate across different blockchain platforms.

Better User Experience

Ethereum 2.0 Shapella also introduces improvements in the user experience. The new version will make it easier for users to participate in the network by allowing them to stake their ETH and earn rewards. This will encourage more people to participate in the network, which will help to further decentralize the network and increase its security.

Conclusion

Ethereum 2.0 Shapella represents a significant upgrade for the Ethereum network. The new features that it introduces will improve the scalability, security, and sustainability of the network, making it a more robust and reliable platform for developers and users alike. As the crypto space continues to evolve, Ethereum 2.0 Shapella will play an important role in shaping its future.

ZA Bank, the largest online-only bank in Hong Kong, has started offering cryptocurrency conversion services through licensed crypto exchanges, according to a Bloomberg report on Wednesday.

ZA Bank is working with HashKey and OSL – the only two licensed crypto exchanges based in Hong Kong – to allow users to withdraw crypto deposits in U.S. dollars, Hong Kong dollars and Chinese yuan, ZA Bank’s Chief Executive Officer Ronald Iu told Bloomberg. He said more exchanges will be added after they get licensed in Hong Kong.

However, users from mainland China cannot access this service due to the country’s ban on cryptocurrency trading, according to Iu.

ZA Bank is the first licensed virtual bank in Hong Kong and the largest of its kind in the city in terms of customer deposits, which totaled around US$900 million in June 2022, according to a report by KPMG. 

The lender is backed by ZhongAn Online P&C Insurance Co., an online-only insurance company based in mainland China. The company’s founders include Tencent, the technology giant running Wechat, China’s dominant social media platform; and Ant Group, which owns Alipay, the country’s leading online payment platform.

Hong Kong has revealed plans to become a global hub for the digital asset industry, laying out a licensing regime for virtual asset services providers that will take effect in June. City officials said as many as 80 firms in the industry have set up business in Hong Kong.

The Hong Kong Monetary Authority, the central bank of the city, will host a meeting between cryptocurrency firms and bankers on April 28 to help improve liquidity in the digital asset industry, according to a Bloomberg report on March 28. This contrasts with reports from the U.S. on crypto companies struggling to find bank partners after the collapses of three crypto-friendly banks.

Hong Kong’s ambitions are also receiving support from mainland China, with multiple Chinese state-owned lenders’ Hong Kong branches now providing banking services to crypto-related firms.

#hongkongweb3festival2023 #BTC #bnb #Web3 #eth2.0

The primary token in the world’s largest smart contract ecosystem, Ethereum has topped $2,100 for the first time since May. Ethereum price blasted through resistance at $2,000 following a successful Shapella upgrade, previously referred to as Shanghai, on April 12.

Both Bitcoin and Ethereum have continued to surpass investor expectations since the beginning of the year and particularly after emerging stronger during the banking crisis in the United States.

Three crypto-friendly banks collapsed in March including Silvergate Bank, Signature Bank, and Silicon Valley Bank (SVB). Since then, regulators have been on a sprint to provide oversight, a situation that is troubling many crypto-based companies that are unable to find banking partners.

Ethereum Price Doubles Down On the Uptrend

Ethereum price holds slightly above $2,100 on Saturday, with its uptrend mainly supported by the Shapella upgrade. A daily close above this level is required for bulls to maintain the lead relative to bearish advances.

Such a move coupled with the optimistic outlook from the Moving Average Convergence Divergence (MACD) implies that the path with the least resistance is to the upside.

Can Ethereum Reach $5,000 in 2023

Ethereum price is suitably positioned to rally following its remarkable performance since the beginning of the year. This week’s spike above $2,000 confirmed the initial stages of a bull market.

Its older sibling, Bitcoin blasted above $30,000 changing the technical outlook for a potential rally to $38,000 in the coming few weeks. In addition to the momentum surrounding the Shapella upgrade, Ethereum price tends to follow in Bitcoin’s footsteps.

A massive rally in Ethereum price to $5,000 will only happen if many boxes are checked in the market in the coming months. For instance, Ether must hold the new support at $2,000 at all costs.

However, this cannot be guaranteed even with a successful Shapella upgrade, which allowed investors who staked ETH to withdraw their tokens and the rewards earned, for the first time since the network transitioned to become a proof-of-stake (PoS) protocol.

Whales must keep their bags intact if not keep demand for Ethereum rising. Another huge factor to consider is the regulatory landscape in the industry.

#ETH #Ethereum #ethereumshanghaiupgrade #eth2.0 #crypto2023

Over $41 million of ETH long positions have been liquidated as Ethereum prices flash crash from their April peaks, Coinglass data on April 19 reveals.

Ethereum Remains Volatile

ETH, the native cryptocurrency of the Ethereum network, is under immense pressure when writing. Although the uptrend remains, and the coin has generally posted impressive results over the last four months, the price drop today has led to the biggest liquidation of ETH long positions in over one month.

According to Coinglass data, ETH long positions were also wrecked on March 22 when over $31 million were forcefully closed. On average, less than $10 million of ETH longs have been closed on other trading days in the last month. 

The magnitude of long or short liquidation can be used to measure general volatility in the market. Volatility indicates how fast or slow an asset price moves within a given period. 

Depending on the general liquidity, asset prices can move at different paces. In crypto, the most liquid assets, like Bitcoin and Ethereum, are usually less volatile than altcoins, for example, those outside the top 50.

$41 Million Of ETH Longs Liquidated

From the $41 million ETH longs liquidated, a big chunk is in OKX and Binance. These are some of the world’s largest cryptocurrency exchanges that support the derivatives trading of crypto assets. 

By supporting margin, perpetual futures, and other derivatives, OKX and Binance traders can use leverage to trade bigger positions than they would ordinarily be able to. Although leverage can amplify gains, it risks the trader’s account when prices move against their prediction. 

The drop of ETH prices from $2,100 moved against leverage traders in, among other platforms, Binance and OKX, leading to tens of millions of dollars being liquidated.

By liquidating a position, the exchange forcefully closed the long position and secured the margin since it couldn’t cover the ongoing loss. How quickly a position can be liquidated also depends on the leverage level. Traders with high leverage and trading bigger positions in a volatile market stand a higher risk of having their positions liquidated. 

The sharp spike in ETH long liquidations is less than a week after $54 million of short positions were liquidated on April 14. The number of ETH shorts closed by the exchange was also the largest in over a month. As the trend observed, most of those short positions were from Binance and OKX. There were also more short positions closed on Bybit and Deribit.

#Binance #crypto2023 #ETH #eth2.0 #BullRun

The second largest crypto blockchain Ethereum is preparing for a new upgrade that will reduce transaction fees on the network. The upgrade tagged “Dencun” will also introduce more use cases for #Ethereum . 

Notably, Ethereum Foundation made the announcement of Dencun upgrade just three weeks after the #shapella upgrade.

With the upcoming Dencun upgrade, Ethereum network users can now transact with lower fees. 

Introducing Dencun Upgrade – What You Need To Know

The upcoming Dencun upgrade will feature Ethereum Improvement Proposals (EIPs). These are proposals that aim to bring changes to the network. The Ethereum community usually reviews the proposals to accept or reject them.

If the community accepts the EIPs, they become a part of the Ethereum network codes. The Dencun upgrades have four proposals, including EIP-1153, EIP-6475, EIP-4844, and EIP-6748. 

The first proposal is EIP-4844 or Proto-Danksharding or The Surge. The Surge aims to bring in “data blobs” for Layer 2 solutions to post transaction and proof data instead of CALLDATA. 

The blobs offer lower gas costs since they’re never stored on the blockchain permanently. The blob aims to lower the transaction fee on Ethereum. 

Other Dencun Proposals Bring Diverse Changes

The second important proposal for review is the EIP-6780. This proposal is to deactivate the SELFDESTRUCT opcode but still preserve its functionality. EIP-6780 proposal will allow the creation and erasure of contracts in a single transaction but not delete the contract code or storage.

The third proposal is EIP-1153 which will bring two new opcodes, TSTORE and TLOAD, to the network. The developers aim to provide transient storage that will be cleared once a transaction ends. This will add more use cases, from re-entry locks to single-transaction ERC20 approvals.

The fourth proposal is EIP-6475: SSZ Optionals. This change supports EIP-4844 since it defines one of its SSZ elements in the transaction format. The aim is to facilitate forward compatibility with SSZ objects that will be introduced to the network. 

While the four proposals above remain the major ones, the development team has others that might be considered too. One of the probable ones is EIP-2537: Precompile for BLS12-381 curve operations.

#eth2.0

The Federal Deposit Insurance Corporation (FDIC) has accused Cross River Bank of engaging in risky lending practices, according to a recent report. The FDIC claims that the bank failed to properly manage the risks associated with its lending operations, and that it also failed to maintain adequate internal controls.

The FDIC alleges that Cross River engaged in unsafe and unsound lending practices that resulted in significant losses to the bank. The regulator asserts that the bank made loans without sufficient regard for the borrowers' ability to repay, and that it relied too heavily on high-risk loans such as payday loans.

Furthermore, the FDIC claims that Cross River did not implement adequate controls to detect and manage the risks associated with these loans. Specifically, the bank allegedly failed to monitor its loan portfolio and did not implement effective risk management practices.

This is not the first time that Cross River has been accused of engaging in unsafe lending practices. In 2018, the Consumer Financial Protection Bureau (CFPB) ordered the bank to pay a $5.5 million penalty for engaging in deceptive and illegal lending practices. The CFPB found that Cross River had falsely advertised loans with low interest rates, and that it had charged borrowers undisclosed fees.

Cross River has not yet commented on the FDIC's allegations. However, the bank has previously stated that it is committed to maintaining high standards of compliance and risk management.

In conclusion, the FDIC's allegations against Cross River Bank highlight the importance of responsible lending practices and effective risk management in the financial industry. It remains to be seen how the bank will respond to the regulator's claims, but it is clear that regulatory scrutiny of lending practices is only set to increase in the years to come.

#eth2.0 #askbinancesensei #Binance #crypto2023 #BTC

According to reports, Ethereum developers are in the final stages of planning the next major upgrade.

The EIP-4844, which introduces “Proto-Danksharding” to Ethereum, is expected to occur during the Cancun hard fork.

The Ethereum roadmap remains extensive with several significant upgrades still in the pipeline. Over the next six months, Ethereum has planned upgrades to staking withdrawals, as well as various new applications that will enhance the blockchain’s security and provide a better user experience.

With the implementation of Proto-Danksharding, a new feature called “data blobs” will be introduced. These blobs can be sent and attached to blocks, but they are not accessible to the EVM and are automatically deleted after a fixed period of time. This will enable rollups to send data at a reduced cost, resulting in lower transaction fees for users.

Another new development users and engineers are planning is what is known as Distributed Validator Technology (DVT). Crypto staking ecosystem provider Obol Labs is working on a DVT solution that it plans to deploy by 2024.

The third milestone involves proposer-builder separation (PBS), which aims to address MEV attacks (maximal-extractable-value). PBS aims to create a “division of labor between two crucial tasks of block-building: proposing a block, and building it,” Bankless further explained.

How does Ethereum Governance Work?

Typically, ideas in the Ethereum community originate from lively discussions on forums such as ethresear.ch, Ethereum magicians, or the ETH R&D discord server.

These conversations might arise in response to newly identified vulnerabilities, proposals from application layer organizations such as dApps and exchanges, or even to address known user frictions such as high costs or slow transaction speeds.

Once these ideas have matured, they may be submitted as Ethereum Improvement Proposals (EIPs) and are subject to public scrutiny. This ensures that the entire community has an opportunity to provide input at any point in the process.

At press time, Ethereum (ETH) traded at $1,894.77 with a 24-hour low/high range of $1868.6 to $1915.

Ethereum Weekly Price Chart (Source: CoinMarketCap)

Over the past seven days, the low/high range has remained consistent at $1,870.41 to $1,919.17. The trading volume stands below $7 billion, and Ethereum holds a market cap of $228 billion, exhibiting a market dominance of 18.344%. Since the implementation of the Shapella upgrade, Ethereum has outperformed Bitcoin by 15% in gains.

#shapella #ETH #crypto2023 #Binance #eth2.0