Golden Weekly is a weekly blockchain industry summary program launched by Golden Finance, covering key news of the week, mining information, project dynamics, technological progress, and other industry trends. This article is part of the news weekly, bringing you a glance at major events in the blockchain industry this week.
Headlines
▌Economic Daily publishes article: Will Bitcoin become a reserve asset for the United States?
Economic Daily published an article titled 'Will Bitcoin Become a Reserve Asset for the United States?'
The article states that although the incoming U.S. government shows a keen interest in cryptocurrency, getting Bitcoin to truly become a national reserve asset for the U.S. still requires passing through multiple 'checkpoints'. From a policy perspective, listing Bitcoin as a strategic reserve asset requires a complex legislative process involving coordination and balancing of interests among multiple regulatory agencies, and the traditional financial institutions, conservative lawmakers, and interest groups skeptical of digital assets may concentrate their opposition, making implementation quite challenging. The explosive rise in Bitcoin prices seems to give some people hope for a repeat of the 'process from the dissolution of the Bretton Woods system to the establishment of the petrodollar'. However, Bitcoin's inherent properties are unstable, and once it becomes a strategic reserve asset, it may pose greater challenges for regulators and may also alert other countries in the world, exacerbating frictions in the international financial field. Whether the U.S. economy, which has been eroded by high inflation for days, can withstand the impact is still uncertain.
▌Bitcoin's market dominance rises to 57%
According to data from The Block, Bitcoin's market share has reached a high of 57% so far this year, reflecting the growing share of Bitcoin in the total cryptocurrency market capitalization.
The Block analyst stated that during the previous cycle, Bitcoin's dominance fell to 39%, which corresponded with the DeFi boom and the subsequent altcoin rebound. Currently, with a 57% dominance, coupled with Bitcoin's strong price, it may indicate that the market is at the beginning of this cycle, and BTC is entering a price discovery phase.
▌Trump and Musk observe SpaceX's Starship sixth flight test on-site in Texas
SpaceX's Starship ignited and launched for the sixth time, with Trump and Musk observing on-site in Texas.
SpaceX stated that the Starship successfully ignited one of its Raptor engines for the first time in space. The sixth flight test of the Starship has been conducted for about 30 minutes, and all systems appear to be normal.
▌Japan promotes economic stimulus plan, aiming for a unified cryptocurrency tax rate of 20%
The Japanese government announced the advancement of a new economic stimulus plan, expected to be approved by the end of 2024. The plan includes changing the cryptocurrency tax rate from the current highest rate of 55% as 'miscellaneous income' to a unified tax rate of 20%. Additionally, the reform proposal also involves raising the personal tax-exempt threshold to about $11,345 and cutting fuel taxes and sales taxes to boost the economy and improve the job market. Japanese Prime Minister Kishida has promised to work with all parties to promote this legislation.
▌Trump's team considers establishing the first cryptocurrency-related position in history at the White House
According to insiders, Trump's team is discussing with the digital asset industry whether to establish a new position at the White House specifically responsible for cryptocurrency policy. Trump's team is reviewing candidates for this role. If this new position is indeed established, it will be the first dedicated position for cryptocurrency in the history of the White House. Discussions about this position include leading a small team and serving as a liaison between Congress, the White House, and various agencies with jurisdiction over cryptocurrency, including the SEC and the CFTC. Additionally, it is reported that former Coinbase and Binance U.S. executive Brian Brooks met with Trump on Tuesday, and he is also a potential candidate for SEC chair. Coinbase CEO Brian Armstrong also spoke with Trump this week.
Policy
▌The SEC postpones its decision on Franklin's crypto index ETF EZPZ
According to a document released on Wednesday, the SEC has postponed its decision on Franklin's crypto index ETF EZPZ.
Franklin Templeton submitted a registration statement for a Franklin Crypto Index ETF to the agency in August, which will hold both Ether and Bitcoin. If approved, the proposed Franklin Crypto Index ETF will be listed on the Cboe BZX exchange and use Coinbase Custody Trust Company LLC as its digital asset custodian.
The SEC stated in its documents: 'The committee believes that a longer period should be designated to take action on the proposed rule changes to allow sufficient time to consider the proposed rule changes and the issues raised within.'
▌The SEC begins to refund victims of the BitClave ICO more than $4.6 million
According to official announcements, the SEC will issue more than $4.6 million to investors harmed by BitClave (PTE Ltd's unregistered digital asset securities ICO). After notice and claims process, investors will now receive their corresponding shares from BitClave, and checks have started to be sent out.
This payment is part of the settlement that BitClave agreed to pay in 2020 after the SEC charged that the search engine failed to register its 2017 ICO as a securities offering. In 2020, BitClave agreed to compensate approximately 9,500 investors who purchased its $25.5 million ICO three years ago. BitClave did not admit to wrongdoing but promised to return the $25.5 million raised from the ICO and pay an additional $4 million in penalties.
▌Cboe submits applications for four Solana spot ETFs to the SEC
Bloomberg senior ETF analyst James Seyffart posted on social media that 'Cboe has just submitted applications for four Solana spot ETFs to the SEC, with issuers being VanEck, 21Shares, Canary Capital, and Bitwise. If the SEC does not reject the aforementioned application documents, the final deadline will be around early August next year.'
▌Insiders: Former SEC Commissioner Paul Atkins is expected to succeed Gary Gensler as chair
According to insiders, former SEC Commissioner Paul Atkins is currently viewed as a strong candidate to succeed Gary Gensler as SEC chair. The previously strong candidate, Robinhood's general counsel Dan Gallagher, has largely withdrawn from the competition. Atkins is widely supported in the business and cryptocurrency industries for his free-market-oriented regulatory style and support for cryptocurrency. At the same time, Gensler's decision not to seek reappointment as SEC chair has also won praise from the business community. It is indicated that the candidate has not been finalized and may still change.
▌Companies including Circle and Ripple are competing for seats on the cryptocurrency committee promised by Trump
According to Reuters, a series of cryptocurrency companies, including Circle, Ripple, Kraken, Coinbase, a16z, and Paradigm, are competing for seats on the cryptocurrency advisory committee promised by President-elect Donald Trump, seeking to have a voice in his planned U.S. policy reforms.
During his campaign at the Bitcoin conference held in Nashville in July, Trump promised to establish a new committee as part of a cryptocurrency-friendly government. Insiders say his transition team is discussing how to organize and arrange personnel and which companies should be included.
▌U.S. court delays ruling on Trump's 'hush money' case
On November 19 local time, the ruling originally scheduled for November 26 in the 'hush money' case involving President-elect Trump was canceled. It is reported that the court updated the ruling status in court records that day, but no explanation was provided. Meanwhile, Manhattan District Attorney Alvin Bragg faces a deadline to provide the court with recommendations on how the case should proceed. (CCTV News)
▌Trump's team lists crypto lawyer Teresa Goody Guillen as a candidate for SEC chair
According to insiders, Trump's team is considering listing Teresa Goody Guillen, a partner at the law firm Baker Hostetler and co-head of its blockchain team, as one of the candidates for the next SEC chair. Goody Guillen is an experienced securities lawyer with experience serving the SEC and representing blockchain companies and traditional firms against the agency.
Insiders say Trump is looking for a non-bureaucratic supporter of cryptocurrency to completely reform the U.S. Securities and Exchange Commission (SEC). Washington insiders say that unlike Trump's first administration, the election process for his second term is swift and orderly, with the SEC chair candidate expected to be selected before Thanksgiving.
▌Trump nominates cryptocurrency supporter Howard Lutnick as Secretary of Commerce
According to The Wall Street Journal, Trump stated on the 19th that he will nominate veteran Wall Street financier Howard Lutnick as the next U.S. Secretary of Commerce, elevating one of his most outspoken supporters in the financial sector to a key position. Additionally, Lutnick will directly oversee the Office of the U.S. Trade Representative. Lutnick is the CEO of the financial services company Cantor Fitzgerald and has become a close ally of Trump in recent months, having been the frontrunner for Treasury Secretary. If confirmed by the Senate, Lutnick will be responsible for expanding U.S. economic growth and promoting domestic industries. He may also help maintain and expand the government's relationship with the business community. The Department of Commerce and other agencies will play a central role in implementing the elected president's proposal to impose tariffs on U.S. imports. Lutnick is a supporter of cryptocurrency, and his company Cantor Fitzgerald has been managing Tether's U.S. Treasury bond portfolio since 2021.
Blockchain applications
▌Magic Eden announces ME token economics: total supply of 1 billion tokens, over half will be allocated to the community
Magic Eden announced its official ME token economics, with a total supply of 1 billion tokens, and token distribution will take place over four years, with more than half allocated to the community.
Among them, the initial ME allocation of TGE: 12.5%; community and ecosystem: 37.7%; contributors: 26.2%; strategic participants: 23.6%.
ME will be fully distributed within four years, at which point all ME will be in circulation, with most allocated to the community. To ensure that the community and protocol are not affected by security issues, a security committee of five members will be appointed to oversee a multi-signature wallet capable of executing emergency and delayed non-urgent actions. The ME Foundation will act as the manager of ME.
▌Crypto wallet Phantom surpasses WhatsApp and Instagram in iOS popular free apps ranking
The cryptocurrency wallet platform Phantom reached a historic high in the iOS app store rankings on Wednesday.
Phantom ranked ninth in the free iPhone apps, marking its first entry into the top ten. It lagged behind the short video app TikTok at eighth place but surpassed messaging platform WhatsApp and social media giant Instagram, which ranked 13th and 14th in free apps respectively.
In addition, Phantom ranked second in the free utility app category in the iOS app store on Wednesday, second only to Google's search engine app.
Phantom is a non-custodial digital asset wallet and browser extension that raised $109 million in Series B financing. The wallet was initially based on Solana but later expanded to support Ethereum, Bitcoin, Base, and Polygon.
▌Injective launches an SDK called iAgent, allowing users to create on-chain AI agents autonomously
Layer 1 blockchain protocol Injective announced the launch of an SDK called iAgent, supporting users in autonomously creating on-chain AI agents. It is reported that iAgent deploys OpenAI's ChatGPT and other large language models so that users can command AI agents to complete Injective-based tasks.
▌The metaverse industry is 'attractive', with many regions competing to layout
From the live broadcast room to the storm scene, immersive reporting takes you through the experience; intelligent agents 'see through' logistics innovation at your fingertips; VR exhibitions allow you to transcend reality and create a new trend in exhibitions... All of this is inseparable from a hot term 'metaverse'. In recent years, the metaverse has become a new hotspot in the digital economy, with institutions predicting that by 2030, China's metaverse market size is expected to reach 850 billion yuan. According to incomplete statistics, more than 150 national and provincial-level policy documents related to the metaverse have been released so far. These policies not only provide strong policy guarantees for the development of the metaverse industry but also stimulate enthusiasm for actively laying out the metaverse industry across various regions. Beijing, Shandong Province, Henan Province, and other places have successively introduced relevant policies to promote innovative development of the metaverse industry. Meanwhile, various regions have also relied on their own advantages and characteristic resources to build a number of metaverse industrial parks and innovation platforms.
Cryptocurrency
▌Benchmark analyst: BTC is expected to reach $225,000 by the end of 2026
Benchmark financial technology analyst Mark Palmer expects BTC to reach $225,000 by the end of 2026.
Additionally, analysts also indicated that MicroStrategy's 'controversial' BTC strategy has attracted many critics, but its significant impact on the company's stock price has provided ample justification, as its stock has outperformed nearly all major U.S. companies over the past four years.
▌Coin Center lawyers appeal lawsuit, stating Tornado Cash is not 'property'
Coin Center is appealing a previous ruling by a U.S. District Court in Northern Florida, which stated that Tornado Cash created indirect benefits for foreign individuals and entities that could be defined as financial benefits subject to sanctions by the Office of Foreign Assets Control (OFAC).
Coin Center legal advisor Jeffrey S. Hetzel told the 11th Circuit Court of Appeals: 'The simplest way to resolve this case is to determine that there is no foreign property in the plaintiff's transactions. The district court must remove the term 'property' from the regulations.' Hetzel stated, 'The government in its appeal has claimed that the software posted on banned addresses is property, but that software is non-proprietary code that no one on Earth can own, control, or change in any way.'
▌Stablecoin USDS has exceeded $89 million in circulation on Solana less than 24 hours after its launch
USDS, issued by Sky (formerly known as MakerDAO), has exceeded $89 million in circulation on Solana less than a day after its launch, becoming the fastest-growing stablecoin on Solana.
It is reported that due to increased rewards provided by Sky, lenders on USDS on Save, Drift, and Kamino are seeking returns of over 20%. Sky is also encouraging traders to transfer funds to Solana through the token bridging service Wormhole, further increasing circulating supply.
▌Charles Schwab President: Will consider offering spot crypto trading once regulations change
Rick Wurster, president of Charles Schwab, stated in an interview on Bloomberg Radio that the company will consider offering spot cryptocurrency trading once U.S. regulations allow, and this is more likely to happen after Donald Trump takes office as president.
Rick Wurster stated, 'As the regulatory environment changes, we will enter the spot cryptocurrency space. We do expect it to happen, and we are preparing for that possibility.'
He also stated, 'Cryptocurrency has indeed attracted a lot of attention, and many people have made a lot of money from it. I have never bought cryptocurrency, and now I feel foolish.' Wurster added that he does not plan to invest in cryptocurrency for the time being but supports Charles Schwab clients who want to invest in the field.
▌Trump Media Technology Group may be considering launching a cryptocurrency payment service called Truth Fi
According to The New York Times, Trump's media technology group has submitted a trademark application for a cryptocurrency payment service named Truth Fi, describing it as a platform for crypto payments, financial custody services, and digital asset trading. The application does not detail how the project will operate or how close it is to fruition, but this move seems to be an attempt by the group to diversify its business beyond the social media platform Truth Social. Any large-scale crypto project will likely require Trump's media technology group to acquire another company, as it currently has fewer than 36 employees. This week, the stock price of the crypto trading platform Bakkt soared after the Financial Times reported that Trump's media is in negotiations to acquire the platform.
▌Musk releases content with banana emoji
Musk retweeted a comment on X stating 'Elon is the undisputed meme king. (banana emoji)' and replied: '(banana emoji) for scale.'
▌VanEck executive: VanEck supports strategic Bitcoin reserves
VanEck's head of digital asset research, Matthew Sigel, stated on platform X: 'VanEck supports strategic Bitcoin reserves. No need to cite 'insiders'—we will announce it ourselves.'
Previously, Fox reporter Eleanor Terrett cited insiders stating that BlackRock has not established strategic Bitcoin reserves.
▌Analysis: Pro-crypto candidates will lead the U.S. Department of Commerce, and ETF options listing will push Bitcoin to new highs
With the listing of Bitcoin ETF options, Bitcoin prices reached new highs, peaking at $93,905 per coin. The market expects that Bitcoin ETF options will likely increase financial institutions' exposure to Bitcoin. Option contracts allow investors to buy or sell an asset at a specific price and at a predetermined time. Noelle Acheson, former market insights director at Genesis, stated that while the Chicago Mercantile Exchange has already offered Bitcoin options, Bitcoin ETF spot options are significant for both retail and financial institutions. A deeper onshore derivatives market will enhance the growing complexity of the market, boosting investor confidence in Bitcoin, attracting new investor groups, and facilitating more diversified investment and trading strategies. Additionally, earlier reports about pro-crypto Howard Lutnick being nominated by Trump as Secretary of Commerce also boosted Bitcoin's rise.
Important economic dynamics
▌New York Fed states that bank reserves are sufficient, indicating no obstacles to continued tapering
The latest data from the New York Fed shows that the Federal Reserve has not encountered any obstacles in continuing to reduce the size of its balance sheet. The New York Fed reported on Thursday that its reserve demand elasticity metric was -0.15 as of November 13, remaining stable compared to a month ago. The New York Fed stated in its report that 'reserves remain ample'. This index was publicly released a month ago to show the degree of abundance or tension of bank reserves. A shift to negative values could indicate increasing tensions in bank reserves, indicating that the Federal Reserve is continuing its efforts to reduce bond holdings through quantitative tightening (QT). The New York Fed's indicators suggest that there is no immediate need to halt this process, which aligns with recent comments from Fed officials and market expectations, which currently anticipate that quantitative tightening will end sometime next year.
▌Shanghai Securities News: Limited upside for the dollar, positive signals emerging in the renminbi exchange market
The U.S. dollar index has recently shone brightly in the foreign exchange market—over the past half month, the dollar index has surged, breaking through 104, 105, and 106, and has risen more than 2.5% since November. Despite external headwinds, the previously strong renminbi has recently slightly receded. However, market participants have noted that the renminbi exchange market is showing sustained positive signals. As the year-end settlement tide approaches, the short-term depreciation pressure on the renminbi may come to an end.
▌Poll: 35% of Americans want Trump to focus quickly on inflation issues after taking office
A Reuters/Ipsos poll released Tuesday showed that Americans believe inflation is the top issue that President-elect Trump should address within his first 100 days in office. In a three-day poll, about 35% of respondents said inflation should be Trump's focus area, compared to 30% who said immigration, 27% who said employment and the overall economy. Another 23% said Trump should focus on unifying the nation. A smaller portion of respondents said he should focus on taxes, crime, or foreign conflict. Additionally, only 1% of respondents believed that Trump should prioritize international trade and tariffs. This poll surveyed 1,014 adults nationwide, with a margin of error of about 3 percentage points.
▌Federal Reserve's Schmidt: The fight against inflation is not over
Federal Reserve's Schmidt stated that the fight against inflation is not over. Upcoming tariffs and immigration policies that affect employment and inflation will be related to the Federal Reserve.
▌U.S. stock indexes closed mixed
U.S. stock indexes closed mixed, with the Nasdaq rising 0.6%, the S&P 500 rising 0.39%, and the Dow Jones falling 0.13%. Most large tech stocks rose, with Tesla up over 5%, Intel and Netflix up over 2%, and Google and Apple up over 1%, while Meta and Microsoft rose slightly; Nvidia fell over 1%, and Amazon fell slightly. Trump's media technology rose over 16%, and U.S. stock BKKT soared over 162%. It is reported that Trump's social media company is in deep negotiations to acquire the cryptocurrency trading platform Bakkt, which is owned by Intercontinental Exchange.
▌San Francisco Fed report: The U.S. labor market continues to increase inflationary pressures
A research report published by the San Francisco Fed on Monday stated that the tight U.S. labor market continues to increase inflationary pressures, although at a lower level than in 2022 and 2023. 'In the past two years, the decline in labor demand has suppressed inflation rates by nearly 0.75 percentage points,' wrote San Francisco Fed economists Regis Barnichon and Adam Hale Shapiro. 'However, as of September 2024, high demand still contributes 0.3 to 0.4 percentage points to inflation.' The San Francisco Fed's research indicates that the labor market remains a source of inflation. Powell estimates that according to the Fed's target measures, the inflation rate in October was 2.3%, and the inflation rate, which the Fed uses to measure core inflation pressure by excluding food and energy, was 2.8%.
