Mini Program: Daily Cryptocurrency Dynamics Summary

1. Bitcoin's market share rose to 55.9%, the highest since April 2021

According to CoinMarketCap data, Bitcoin's market value currently accounts for 55.9% of the total market value of cryptocurrencies, a new high since April 2021, and ETH's market share is about 15%. It is worth noting that SOL's market value share reached a historical high of 3.62% on July 29, exceeding BNB's 3.51%.

2. The US Democratic Party launched the "Crypto for Harris" campaign to counter Trump's encryption measures

According to FOXBusiness, the US Democratic Party has launched the "Crypto for Harris" campaign to counter Trump's appeal in the cryptocurrency industry. Democratic cryptocurrency supporters plan to hold an online town hall meeting next week, when several guests, including entrepreneur Mark Cuban and SkyBridge Capital founder Anthony Scaramucci, will speak to discuss ways to support Harris' campaign and raise funds. The event aims to attract 40 million American voters who own digital assets and demonstrate the Democratic Party's position on promoting the blockchain and cryptocurrency industries. The Republican Party's influence among cryptocurrency voters is rising, and Trump once promised at the Bitcoin Conference to reduce regulation and set up a Bitcoin reserve. However, Harris' campaign team recently introduced former Binance and Ripple consultants, showing its emphasis on the cryptocurrency industry.

3. Former prosecutor: Trump’s US Bitcoin reserve plan is illegal, and the sale of seized assets should be used to compensate victims

Donald Trump's campaign promise to use the U.S. government's holdings of cryptocurrency to build a national Bitcoin reserve has raised concerns among former prosecutors, who say the move would divert seized digital assets that could have been used to compensate crime victims, according to Bloomberg. Experts say Trump's "never sell Bitcoin" philosophy violates a core principle of U.S. forfeiture law: the government sells seized assets to repay crime victims and support law enforcement. "Most of these 'reserves' probably belong to victims of hacks, ransomware and scams, and the money should be returned to the victims," ​​said Amanda Wick, a former federal prosecutor and head of Incite Consulting. "If they knew that, I'm sure the crypto community wouldn't say you should deceive victims to hoard Bitcoin." Elizabeth Boison, a former federal prosecutor who worked on forfeiture matters for the Justice Department, said the proposed Bitcoin reserve does not comply with existing law. “The primary purpose of asset forfeiture is to deter and punish criminal activity by depriving criminals of property used or obtained through illegal conduct,” Boison said. She added that Trump’s proposal “is inconsistent with the purpose of asset forfeiture and the provisions of the law that currently allow for the forfeiture of assets.” Laurel Loomis Rimon, another former federal prosecutor, added that the U.S. government can only recover assets after obtaining a final forfeiture order from a judge. She said the government is not making money with the assets, as Trump has claimed. “I think he’s trying to win favor with the cryptocurrency industry, which makes little sense,” Rimon said.

4. Market news: Trump family’s new crypto project may be called “World Liberty”

According to Solid Intel sources, the new crypto project promoted by the Trump family may be called "World Liberty". In addition, according to The Block, Trump's youngest son Eric Trump mentioned the upcoming DEFI project on Twitter, which seems to be related to SUBIFY's CHASE HERO and "World Liberty" trademark applications. Earlier news, Trump's son Eric Trump said he had a strong interest in crypto/DeFi and would make a major announcement.

5. Hong Kong virtual bank Mox Bank launches cryptocurrency ETF trading

Standard Chartered Bank's virtual banking subsidiary Mox announced the launch of a cryptocurrency ETF service, becoming the first bank of its kind to offer direct trading of spot Bitcoin and Ethereum ETFs on its platform. The bank also plans to expand its cryptocurrency products, including allowing direct purchase and trading of crypto assets through cooperation with licensed exchanges in the future. Mox charges a fee of 0.12% of the transaction volume for spot and derivative ETFs listed in Hong Kong, with a minimum of US$3.85 (HKD30); and a fee of 0.01% of the transaction volume for derivative ETFs listed in the United States, with a minimum of US$5.

6. Robinhood's crypto trading revenue increased 161% year-on-year in the second quarter of this year, and trading volume rose to US$21.5 billion

According to The Block, Robinhood's latest second-quarter financial report shows that its cryptocurrency trading revenue increased to $81 million, twice the stock trading revenue and up 161% from the same period last year. The company's largest source of revenue in the second quarter was options, which generated a total of $327 million in revenue. At the same time, Robinhood's nominal cryptocurrency trading volume rose to $21.5 billion in the second quarter, a year-on-year increase of 137%, but far lower than the $36 billion in the first quarter of this year. In addition, the number of Robinhood's monthly active users was 11.8 million in the quarter, a year-on-year increase of 9%. According to previous news, Robinhood acquired the crypto trading platform Bitstamp in June this year, expanding the tokens it can offer to more than 85.

7. UK FCA issues guidance on cryptocurrency promotion compliance

According to Cointelegraph, the UK Financial Conduct Authority (FCA) has issued more guidance on the compliance of cryptocurrency promotion. Since October 2023, the FCA has begun to regulate the promotion of cryptocurrency services and continues to help the industry comply with these regulations. The FCA has reviewed relevant companies to understand their implementation of cooling-off periods, risk warnings, customer classification, investment suitability assessments, record keeping and due diligence on crypto assets. The regulator found some good and bad practices and emphasized that companies should work directly with the FCA to improve standards across the industry. Two weeks after the new regulations came into effect, the FCA found more than 200 violations and issued additional rules to facilitate the compliance process.

8. Crypto Alliance calls for clearer rules and warns of risks in letter to Biden and Harris

According to The Block, a group of more than 50 cryptocurrency companies, the Cryptocurrency Market Integrity Coalition (CMIC), called on US President Joe Biden and Vice President Kamala Harris to set clear rules for the digital asset industry, saying that without these rules, consumers will be harmed and innovation will stop. The alliance was founded by Coinbase, Circle and The Digital Chamber, and its members include Robinhood, BitGo and Chainalysis. In a letter to the White House on Wednesday, the alliance wrote that other jurisdictions, including the European Union, Japan and the United Kingdom, have begun to develop regulatory frameworks. "Many of the losses in the past few years could have been avoided through basic consumer protection measures, and CMIC members are particularly concerned about this given our public commitment to maintaining market integrity and working to establish strict industry standards to monitor and eliminate market misconduct," the members said. The letter stated that regulators have no clear rules for how to enforce the law on cryptocurrencies, causing compliant US companies to lose customers and market share to entities that do not comply with the rules. The alliance also wrote: "We hope to see the US government work with Congress to enact such foundational legislation this year. Missing the opportunity for legislation will be a mistake that will be noticed both at home and abroad."

9. The UK Financial Conduct Authority has issued more than 1,000 warnings to crypto companies since October last year

According to Coindesk, since the financial promotion rules came into effect on October 8 last year, the UK Financial Conduct Authority (FCA) has issued more than 1,000 warnings to crypto companies. According to the new rules, crypto companies must register with the FCA before they can promote to UK customers. Lucy Castledine, FCA's director of consumer investment, said in an interview that these actions have resulted in 48 apps being removed from local UK app stores.

10. Analysis: If the share prices of the "Big Seven" in the U.S. stock market continue to fall, Bitcoin may face greater downward pressure

According to Cointelegraph, the sharp drop in the share prices of the "Big Seven" in the U.S. stock market may bring more downward pressure on the price of Bitcoin. The "Big Seven" in the U.S. stock market is an alias for a number of high-performing technology stocks such as Nvidia and Microsoft. In regular trading on August 5, the cumulative market value of the stocks evaporated by more than $650 billion. Although it has recovered slightly since then, according to Akshay Nassa, founder of Chimp Exchange, another drop in the top technology stocks may cause the price of Bitcoin to fall. Nassa said: "The correlation between stock market performance and cryptocurrency value is well documented; as major technology stocks fall, investor sentiment often turns to alternative assets, including Bitcoin." Nassa further stated that as the Nasdaq, which has a high proportion of technology stocks, enters a period of significant adjustment, the correlation between Bitcoin and technology stocks has become more important, and this impact may spread to the cryptocurrency field. Alvin Kan, COO of Bitget Wallet, said that while stocks are generally more resilient to market fluctuations, another drop in the "Big Seven" in the U.S. stock market may hurt the price of Bitcoin. Kan explained that pressure from tech stocks, combined with other crypto-specific catalysts, could threaten to push prices below the $50,000 mark again. Other factors influencing Bitcoin and crypto prices include the latest rate cut by the Bank of Japan and “aggressive” ETH selling by market makers such as Jump Trading, Kan added.

11. Industry insiders: The political background of the United States on crypto assets is becoming increasingly clear, and the focus of cryptocurrencies will further tilt towards the United States

"Opportunities have shifted overseas over the past few years because of the poor regulatory environment in the U.S.," said Cosmo Jiang, a portfolio manager at investment firm Pantera Capital. "As the U.S. continues to make progress, that shift will come back and so will our capital allocation." Separately, London-based cryptocurrency custodian Copper Technologies Ltd. is considering refocusing on the U.S. market in the event of a Trump win, according to a person familiar with the matter who was not authorized to speak publicly. Advisers to Vice President Kamala Harris are seeking to reconnect with the industry, and Republican presidential candidate Donald Trump is seeking donations and votes from the industry and promising to make the U.S. the "crypto capital of the world," in part by firing Securities and Exchange Commission Chairman Gary Gensler, the Financial Times reported. These trends suggest that the center of gravity for cryptocurrency is shifting further toward the U.S., a shift that began this year with the successful debut of the first U.S. spot bitcoin and ethereum ETFs.

Article forwarded from: Jinshi Data