TON blockchain has overtaken the Ethereum network in terms of daily active addresses. 

Reports from Delphi Analytics highlight that for several consecutive days this month, TON’s user activity has exceeded that of its long-standing competitor, Ethereum. This surge in activity is partly attributed to strategic partnerships and integration with high-traffic platforms.

Strategic partnerships fuel TON’s rise

Earlier this year, a significant partnership was forged between Telegram Messenger and Tether, announced by Telegram’s founder Pavel Durov and Tether’s CTO Paolo Ardoino during TOKEN 2049 in Dubai. This collaboration involved Top and Wallet, led by Andrew Rogozov, playing a crucial role in integrating Tether’s USDT, the world’s predominant stablecoin, onto the TON blockchain. 

This move capitalized on Telegram’s extensive user base, offering incentives to maintain high engagement levels on the TON platform. Integrating directly with Telegram Messenger, which boasts over 900 million users, has provided TON with a distinctive competitive edge. 

As Durov states, the underlying strategy leverages Telegram’s vast distribution network to bolster the TON blockchain’s position in the market. Delphi Digital supports this view, indicating that the core appeal of the TON blockchain is its deep integration with Telegram’s expansive user reach.

The Flippening CT ignores TON's quiet growth, fueled by Telegram's 900M user base, has driven its daily active addresses above Ethereum.At its core, TON is a bet on Telegram's distribution. Though the ecosystem is nascent, its early growth is promising. But is it enough? pic.twitter.com/k2b2SMiQJD

— Delphi Digital (@Delphi_Digital) June 10, 2024

Ethereum has historically led as the primary alternative blockchain, but this year, competition has escalated due to innovative marketing and strategic alliances across various blockchain ecosystems. Ethereum now contends with rivals that are not only leveraging lower transaction fees but also engaging in vigorous marketing and partnership strategies. According to data from Token Terminal, TON has impressively outperformed Ethereum, with nearly 570,000 daily active users compared to Ethereum’s less than 450,000.

The rise of clicker games on TON

A significant portion of TON’s increased activity can be attributed to the popularity of clicker games within its ecosystem. Notably, the game Notcoin, integrated directly into the TON framework via Telegram, saw over 5 million users in its first week. 

This game and Hamster Kombat, another popular Telegram-based clicker game, have significantly contributed to daily interactions on the TON blockchain. Inspired by Notcoin’s success, Hamster Kombat has amassed over 100 million users, with its dedicated community on Telegram reaching 17 million.  These developments underscore the growing trend of blockchain networks diversifying their offerings and integrating with widely used platforms to enhance user engagement and expand their user base. 

As blockchains like TON continue to innovate and forge pivotal partnerships, the landscape of digital transactions and interactive applications is poised for further transformation, presenting new challenges and opportunities for established networks like Ethereum.

The post TON Surpasses Ethereum in Daily Active Addresses first appeared on Coinfea.

OpenAI has recently announced the addition of retired US Army General Paul M. Nakasone to its board of directors. 

Nakasone, who formerly served as the director of the National Security Agency (NSA) and head of the US Cyber Command, joins the AI organization’s board focusing on enhancing safety and cybersecurity.

Expertise in cybersecurity to bolster OpenAI

Paul M. Nakasone’s extensive experience in cybersecurity is set to play a pivotal role at OpenAI. Having recently stepped down from his role at the NSA, appointed during President Trump’s tenure, Nakasone is poised to direct his expertise toward safeguarding OpenAI’s innovative projects. 

The company emphasized this role, stating that Nakasone will oversee “safety and security decisions for all OpenAI projects and operations.” His insights are also expected to advance the company’s capabilities in using AI to detect and counteract cybersecurity threats swiftly. According to OpenAI, the new safety and cyber committee, which Nakasone will be part of, is currently reviewing the organization’s procedures and safety measures. Recommendations from this review are scheduled to be presented to the board within three months, followed by public updates. 

The recruitment of Nakasone comes at a critical time for OpenAI, which has recently been scrutinized over its safety practices. This scrutiny was heightened by the departure of several top-level executives, including Ilya Sutskever, the chief scientist and co-founder. Bret Taylor, chair of the OpenAI board, stressed that while AI holds significant potential benefits, ensuring these technologies are secure before deployment is crucial. He expressed confidence that Nakasone’s leadership in cybersecurity will be instrumental in achieving the company’s goals of deploying AI that benefits humanity.

Diverse and influential board members

The OpenAI board boasts a diverse group of leaders from various sectors. Alongside Bret Taylor and Paul Nakasone, the board includes OpenAI CEO Sam Altman and former Secretary of the Treasury Larry Summers. Other notable members are Tasha McCauley, a tech entrepreneur; Nicole Seligman, former vice president of Sony Corporation; Dan D’Angelo, CEO of Quora Inc.; and Dr. Sue Desmond-Hellmann, former CEO of the Bill and Melinda Gates Foundation. 

Fidji Simo of Instacart and Dee Templeton from Microsoft, who holds an observer seat, also contribute to the board’s wide-ranging expertise. In his remarks upon joining OpenAI, Nakasone expressed enthusiasm for contributing to the company’s mission of ensuring that artificial general intelligence remains safe and advantageous globally. His commitment appears aligned with OpenAI’s core values, emphasizing security and beneficial technological advancements. 

Techcrunch highlighted this alignment, highlighting similarities between Nakasone’s defense of certain NSA practices and OpenAI’s proactive approach to handling complex ethical issues in AI development. As OpenAI continues to navigate the complex landscape of artificial intelligence amid growing safety concerns, the addition of Nakasone is seen by many as a strategic move to fortify the company’s commitment to safety and ethical AI practices.

The post OpenAI Welcomes Former NSA Chief to Board first appeared on Coinfea.

Bitcoin’s (BTC) price has recently dipped below $67,000 amidst mixed market sentiments. While smart money indicators suggest a bearish outlook, retail investors continue to buy the dip, indicating long-term solid demand for the cryptocurrency. 

Trading volumes surged to over $26 billion within 24 hours, reflecting the heightened activity in the BTC market.

Smart money takes a cautious stance

During this period of price decline, analyses reveal that smart money investors—those known for historically outperforming the market—are showing a bearish inclination towards Bitcoin. This group’s sentiment contrasts sharply with the general trading pool, where many continue to see the downturn as an opportunity to accumulate more BTC at lower prices. 

According to sentiment trackers, the Bitcoin Fear and Greed Index has risen to 74 points, signaling a prevailing interest in purchasing despite the falling prices. Retail investors are increasingly buying the dip in defiance of smart money’s cautious approach. 

$BTC Sentiment CROWD = Bullish MP | #SmartMoney = Bearish #BitcoinCheck out sentiment and other crypto stats at https://t.co/HQDyBNuzek#crypto #cryptotrading #CryptoX pic.twitter.com/bs1P1UmfEX

— Market Prophit (@MarketProphit) June 13, 2024

This behavior is driven by a belief in Bitcoin’s value and the potential for significant price increases post-correction. Market analysts note that some predictions place BTC’s potential fall to as low as $63,000, which could extend the current accumulation phase by an additional three months. Despite this, the demand in BTC spot markets for long-term holdings remains robust, with retail investors showing little sign of pulling back.

Market dynamics and future predictions

The dynamics between institutional and retail investors are also shifting, with an increasing ratio of retail to institutional buyers. This shift may indicate a more bearish sentiment among large-scale holders. 

The influx of retail activity tends to precede a drop in market prices, suggesting that the dominance of smaller investors could lead to further price decreases. Yet, the resilience in retail buying, reduced exchange reserves, and ongoing withdrawals by miners may cushion any potential price slides. As we look towards the future, Bitcoin’s supply dynamics offer a mixed picture. 

Bitcoin's second stop below $67K Thursday resulted in the 2nd largest spike in crowd $BTC buying interest in the past 2 months. FOMO and greed comes in two ways:1) Price erupts and traders want to jump in with hopes of prices continue climbing (as we saw on May 20th)2)… pic.twitter.com/44O8Y3kSiD

— Santiment (@santimentfeed) June 14, 2024

While BTC’s liquid and highly liquid supplies are gradually diminishing, the illiquid supply of coins held for long-term investment is steadily growing. This trend reflects a broader market sentiment that views Bitcoin as a valuable asset beyond mere speculative trading. Social media platforms continue to buzz with calls to “buy the dip,” underscoring a robust community ready to support Bitcoin through volatile phases. 

Bitcoin’s current market scenario presents a complex tapestry of investor behaviors and predictions. While smart money might be signaling caution, the enthusiastic participation of retail investors provides solid backing for Bitcoin’s stability and potential growth. As the market continues to evolve, both groups of investors will play pivotal roles in shaping the trajectory of Bitcoin’s price in the coming months.

The post Institutional Investors Cautious as Retail Buys Bitcoin Dips first appeared on Coinfea.

KuCoin’s research division has released data indicating that the cryptocurrency market secured investments surpassing $1 billion in May. 

Although this marks a substantial inflow, it represents a minor downturn from the previous month’s figures.

Vibrant market activity despite fluctuations

KuCoin Research highlighted that the crypto industry witnessed 156 publicly disclosed investments totaling $1.02 billion in May. This investment volume signifies a 10.61% year-over-year increase from May 2023 yet shows a 6.4% decrease from April 2023’s totals. 

The report pointed to various market drivers, including the SEC’s unexpected nod to a Spot Ethereum ETF, which significantly bolsters market confidence. Additionally, a strong performance in the U.S. stock market and a surge in meme stocks were critical in the robust recovery of cryptocurrency assets during the month.

Mixed results in stablecoin performance

Stablecoins experienced varied fortunes throughout May. The overall issuance of major fiat-collateralized stablecoins, such as USDC and FDUSD, saw declines, whereas USDe achieved a new issuance peak. 

According to data from SosoValue, the combined issuance of six primary stablecoins dropped by $840 million. Conversely, Glassnode data indicates positive momentum for USDT and PYUSD, with PYUSD expanding its market presence from $327 million at the end of April to $398 million by the end of May, marking a 21.7% increase. 

The report also noted PYUSD’s new issuance on the Solana blockchain aimed at retail payments, which could potentially influence Solana’s broader ecosystem involving developers and users. By month-end, USDe’s issuance had escalated to $2.978 billion, narrowly missing the $3 billion threshold but overtaking FDUSD to rank as the fourth largest stablecoin.

Contrasting dynamics in layer-2 and public chains

The landscape for public chains and Layer-2 ecosystems revealed stark contrasts. Despite an uptick in Ethereum prices, its Layer-2 networks did not witness a proportional increase in activity. In contrast, networks like Base and Linea saw sustained inflows and performed well. The report suggests that the allure of high-performance public chains and lower on-chain fees has diminished somewhat, failing to attract new participants at earlier rates.

Bitcoin-related projects, such as BRC20, showed weakness, while assets like Runes led in trading volumes. The market valuation of DOG impressively surged, exceeding $800 million by the close of May. The report also touched on increased vigilance against sybil attacks within large projects, with LayerZero Labs promoting a new initiative for users to report such activities in exchange for rewards. Additionally, crypto gaming and ‘Tap to Earn’ models demonstrated strong appeal within the TON ecosystem, resonating well with market participants.

The post Over $1 Billion Poured into Crypto Investments in May, Report Reveals first appeared on Coinfea.

BoundlessPay, a futuristic digital banking platform, is making waves in the global financial market with its unique approach to integrating traditional finance and cryptocurrency. Founded by a team of seasoned professionals and backed by a robust advisory board, BoundlessPay is poised to become a major player in the digital banking space. Incorporated in the British Virgin Islands, BoundlessPay aims to bridge the gap between traditional finance and the burgeoning world of cryptocurrency.

The $BPay Launch

BoundlessPay has announced its participation in multiple upcoming launchpad listings. The launch of BPay on the 28th of June is timely, coinciding with significant advancements in consumer behavior and technology. It comes at a time when the cryptocurrency market is experiencing rapid growth, presenting a significant opportunity for expansion and market penetration. The maturity of blockchain technology now ensures the security and scalability required for such a platform, while recent regulatory developments provide the clarity needed to navigate the financial landscape confidently. 

Launching now allows BoundlessPay to capitalize on these advancements and lead the way in digital payments

Token Launch Roadmap

Private round: Starts June 14th

IDO on Kommunitas: June 24th

IDO on Siriuspad: June 24th 

IDO on Kingdomstarter: June 25th 

IDO on Vlaunch: June 25th 

LPB on Fjord foundry: June 26-28th 

TGE (MEXC and UNISWAP listing): June 28th

The platform already boasts a live product with an active and paying user base, highlighting its functionality and market readiness. Backed by Tekedia Capital and Emurgo Africa, BoundlessPay is already operational with paying users and is on a strong growth trajectory. To ensure inclusivity and broader accessibility, Boundless Pay aims to reach individuals in areas with limited internet access by introducing a variety of offline payment solutions, including Global remittance, telecom bill payments, educational bill payments, utility bill payments, etc. Payments through SMS and USSD channels are coming soon.

Key Market Needs

BoundlessPay offers a comprehensive digital banking app that seamlessly connects traditional financial services with the dynamic world of cryptocurrency. This innovative platform is designed to meet the needs of a diverse user base, including individuals, businesses, investors, and tech-savvy consumers who require efficient management of both fiat and digital currencies. 

BoundlessPay addresses the critical need for bridging centralized finance (CeFi) and decentralized finance (DeFi) by providing efficient on/off ramp solutions for its users. This functionality is essential in a market where the demand for integrated financial solutions is growing. BoundlessPay’s real-time crypto/fiat payment and settlement features, alongside its web3 payroll and employee management capabilities, are unparalleled in the market. These innovative solutions offer users a seamless and efficient way to handle their financial transactions, setting BoundlessPay apart from competitors.

The platform will continue to roll out new features in the coming months, ensuring it remains at the forefront of digital banking innovation. With its current momentum and plans for listing on multiple launchpads, BoundlessPay is well-positioned to achieve its goals and set new standards in the industry.

Investor relations:

For inquiries regarding investment opportunities, please contact:

info@boundlesspay.comhttps://t.me/blockchain_oracle

Follow BoundlessPay:

Website: https://boundlesspay.com  Twitter: https://twitter.com/boundlesspay?lang=en  Telegram: https://t.me/boundlesspay_official Medium: https://medium.com/tag/boundlesspay 

Disclaimer: The content within the Sponsored Insights and Press Release category has been provided by our partners and sponsors. The views and opinions expressed in these articles are those of the authors and do not necessarily reflect the official policy or position of our website. While our team takes care to share valuable and reliable content, we do not take responsibility for the accuracy, completeness, or validity of any claims made in these sponsored articles and Press Releases. Readers are encouraged to conduct their own research and due diligence before making any decisions based on the information provided in Sponsored Insights.

The post BoundlessPay Announces Multi-Launchpad Listings: Revolutionizing Digital Banking for a Global Audience first appeared on Coinfea.

Europe has integrated Iota’s Web3 Identification technology. The European Commission announced this initiative on June 13. It is part of the second cohort of the European Blockchain Sandbox initiative (EBSI). 

Iota’s inclusion aims to increase the security, efficiency, and transparency of KYC procedures across European borders, potentially setting a new benchmark in digital identity verification.

Iota boosts security and efficiency in Europe

Iota, known for its robust open-source distributed ledger and cryptocurrency ecosystem, has been recognized for its potential to transform KYC processes within the EU. The European Commission’s adoption of Iota’s technology is anticipated to enhance the integrity and efficiency of cross-border transactions. 

This is expected to foster greater trust and transparency, which are crucial in international finance and business engagements. The European Commission’s selection of Iota underscores a strategic move towards advanced technological frameworks to handle identity verification processes more adeptly.

Brickken’s innovative Digital Asset Platform has also been highlighted as a critical player in this initiative. The platform, which facilitates the tokenization of Real-World Assets (RWAs), is gaining attention for its ability to streamline asset management in Europe. By tokenizing assets such as debt, equity shares, and revenue streams, Brickken enables businesses to secure investments and manage investor relations with enhanced efficiency and transparency. 

A spokesperson from Brickken emphasized that their technology simplifies various financial processes, including reconciliation and settlements, through smart contracts. This plug-and-play solution is tailored to meet diverse legislative requirements and adapt to future regulatory changes, making it a versatile tool for today’s financial landscape.

REX innovates real estate investments

RealEstate.Exchange (REX) is another innovative project selected for the European Blockchain Sandbox initiative. REX is pioneering the tokenization of real estate assets, offering investors a secure, transparent, and efficient marketplace. 

This platform allows for issuing and trading real estate tokens on a secondary market, facilitated by an Automated Market Maker (AMM) system. This system enhances trading efficiency using liquidity pools instead of requiring direct interactions between buyers and sellers. REX’s approach streamlines investment and supports the EU’s objectives of promoting economic inclusivity by enabling fractional ownership and broadening access to the real estate market. 

According to the European Commission, REX’s use of DLT for record-keeping enhances transparency, aiding the fight against financial crimes like money laundering and terrorist financing.

In the ongoing pilot project, digital identity experts from twelve EU member states are exploring synergies among digital wallets, national business registries, and systems for legal entity verification. This collaborative effort is expected to further refine the mechanisms of digital identity and asset management within the EU, aligning with broader goals of operational efficiency and regulatory compliance.

The post Europe Adopts Iota’s Web3 ID for KYC Enhancements first appeared on Coinfea.

President Joe Biden’s campaign team is reportedly considering accepting cryptocurrency donations using the Coinbase Commerce platform as part of its efforts to attract a broader donor base in the run-up to the re-election campaign. 

Since Biden’s presidency began, this initiative has come amidst various White House policies perceived as less favorable towards the cryptocurrency industry.

Strategic shift to attract Crypto industry support

Sources close to the matter indicate that discussions around cryptocurrency donations are still in the preliminary stages, with no definitive decision reached yet. The consideration of such a move would represent a significant shift from President Biden’s earlier stance and appears to be a direct response to garnering attention similar to that enjoyed by former President Donald Trump, who has recently adopted a pro-crypto stance.

Political analysts see the Biden campaign’s exploration of crypto donations as an attempt to demonstrate support for the burgeoning crypto sector, potentially dispelling notions that the administration is averse to this industry. An undisclosed source highlighted the campaign’s intent to “demonstrate support for the crypto industry and to show that they are not the enemy.”

Potential for Crypto-backed campaign contributions

The campaign’s strategy to potentially accept cryptocurrencies also aims to tap into the substantial financial resources within the crypto community. Pro-crypto donors, including individuals and corporations, have previously contributed significant amounts through Political Action Committees (PACs) and plan to support pro-crypto candidates actively.

Despite these overtures towards the crypto industry, the Biden administration faces challenges in winning over this sector, partly due to the administration’s past actions, like the recent veto of a bipartisan resolution aimed at overturning the SAB 121—an SEC directive seen as detrimental by crypto stakeholders. Meanwhile, Trump’s vocal support for cryptocurrencies has positioned him as a preferable candidate for many within the industry.

Prominent figures like Alex Bergeron from Bitcoin Magazine, Brian Morgenstern of Riot Blockchain, and Messari’s CEO Ryan Selkis have expressed optimism about the potential benefits of a Trump-led administration for the crypto market. Conversely, Bitcoin analyst Lola L33tz urges caution, reminding the public that campaign promises are not always kept post-election, suggesting that the industry should maintain political neutrality.

The post Biden’s Campaign Team Explores Accepting Crypto Donations first appeared on Coinfea.

The TON blockchain is revolutionizing the crypto industry through the introduction of Telegram mini-apps, particularly Web 3 clicker games. 

The charge are Hamster Kombat and Notcoin, which have significantly accelerated crypto adoption among millions of users. These Telegram mini-apps are easily accessible, contributing to TON’s impressive growth.

Since Telegram partnered with the TON blockchain, the network has experienced remarkable growth. In 2024, TON outpaced several other blockchains in net growth rate. According to Binance, the TON blockchain outperformed Bitcoin by 118% in May. This surge in popularity is largely due to the rise of simple blockchain clicker games. Hamster Kombat and Notcoin, both hosted on Telegram, allow users to earn crypto coins. These games are drawing millions of users to the TON ecosystem.

Telegram mini-apps boost TON adoption

Ironically, the new frontier in crypto adoption is defined by simple clicker games in Telegram miniapp format. @thenotcoin, @hamster_kombat, @CatizenAI, @TRUExWorld, and @pixelverse_xyz have all racked up millions of users in a very short time.➤ Ease of Access and Use:…

— Alex Krüger (@krugermacro) June 12, 2024

The launch of several clicker games on Telegram has attracted millions of users. The most popular among them are Notcoin, Hamster Kombat, Citizen AI, Truecoin, and Pixelverse.

Notcoin, a Web 3 game integrated with the TON blockchain, is accessible directly on Telegram. It employs a play-to-earn model, where users can mine Notcoin (NOT). This native digital currency is used to reward players and is already listed on Binance and OKC. In its first week after launching on January 1st, 2024, Notcoin garnered over 5 million players.

Hamster Kombat, another popular Telegram-based clicker game, has significantly boosted TON blockchain activity. Often referred to as the new Notcoin, Hamster Kombat’s community grew rapidly following Notcoin’s success. As of May 29th, Hamster Kombat had the largest community on Telegram, with over 17 million members.

This trend of Telegram-based clicker games has notably increased network activity on the TON blockchain. Hamster Kombat, for example, had attracted over 100 million players by June 10th. These players are actively engaging with the TON blockchain, strengthening the ecosystem and expanding the network.

Telegram’s user base drives Crypto Adoption

Telegram’s messenger service boasts a vast user base, approaching one billion users. The integration with TON has significantly broadened the blockchain’s reach. Through in-app applications like clicker games, TON has tapped into Telegram’s extensive user base, allowing users to seamlessly play, earn, and transact in crypto. The popularity of Notcoin and Hamster Kombat can be primarily attributed to Telegram’s large user base. The messenger app has provided a platform for these Web 3 clicker games to reach over 900 million users.

Beyond the large user base, Telegram offers a convenient way for users to interact with crypto and play-to-earn clicker games. Unlike traditional crypto exchange platforms with complex trading charts, Telegram provides a user-friendly interface for engaging with cryptocurrencies. Users can play and earn within the mini-apps and send crypto to others as easily as text messages on the platform.

Future Prospects of TON Blockchain

The success of the TON blockchain’s integration with Telegram mini-apps highlights the potential for further growth. With more users engaging in Web 3 clicker games, the TON ecosystem is poised to expand even more. Telegram’s ease of access and user-friendly interface are key factors in driving this growth. As more people become familiar with and adopt these mini-apps, the TON blockchain will likely continue to see an increase in network activity and user engagement.

The post TON Blockchain Surges Ahead with Web 3 Clicker Games first appeared on Coinfea.

Apple announced during its Worldwide Developers Conference (WWDC) that it will bring ChatGPT to iOS18 as part of an agreement with OpenAI.

However, the details of the deal remain undisclosed. A recent report indicates that Apple will not pay OpenAI to integrate its chatbot into iOS.

Both Apple and OpenAI have kept the financial terms of their agreement confidential. Despite this, a Bloomberg report has revealed that Apple will not provide any monetary compensation to OpenAI for embedding ChatGPT in iOS. The integration will instead be a part of a strategic partnership between the two tech giants.

ChatGPT to enhance Siri

The collaboration between Apple and OpenAI includes embedding ChatGPT into Apple’s widely recognized virtual assistant, Siri. According to Mark Gurman, individuals familiar with the matter suggested that the initial arrangement does not involve financial transactions. Apple will not pay OpenAI for its services; similarly, OpenAI will not pay Apple for access to its system. ChatGPT will be available at no additional cost for Apple users, who can accept or decline the service.

Apple has been working on integrating ChatGPT into iOS18, iPadOS18, and macOS Sequoia. Users subscribed to ChatGPT Plus can access enhanced features by logging into their OpenAI accounts. This integration aims to improve Apple’s devices’ functionality and user experience.

OpenAI gains access to the iOS user base

The partnership is a strategic move for OpenAI, offering increased exposure to the extensive iOS user base. OpenAI views this agreement as an opportunity to expand its reach rather than immediate financial gain. The integration with iOS will provide OpenAI with significant visibility, leveraging Apple’s vast platform, which hosts hundreds of millions of users.

Apple has noted that the collaboration will boost the visibility of OpenAI’s technology. OpenAI’s standalone ChatGPT app is available on Apple’s App Store. Through in-app purchases for ChatGPT Plus, Apple receives up to 30% of the payments users make. This revenue-sharing model benefits both companies while offering advanced AI tools to Apple users.

During the keynote address at WWDC, Apple showcased AI features for its flagship devices, including the iPhone, iPad, and Mac. These features, developed in-house under the branding of Apple Intelligence, highlight the company’s commitment to advancing AI technology. The integration of ChatGPT into Siri aligns with Apple’s broader AI strategy.

Apple explores AI tools from various vendors

The agreement with OpenAI is part of Apple’s more significant push into AI. Sources indicate that Apple is exploring AI models from different vendors to generate revenue through revenue-sharing deals. This strategy allows Apple to earn a share of the revenue from AI partners who monetize chatbot interactions on the Apple platform.

Previous reports have mentioned that Apple was negotiating with Anthropic for chatbot integration, aiming to offer a variety of options to its users. Additionally, Apple is discussing integrating the Gemini Chatbot as an alternative option with other AI developers, including Google. An agreement with Google is expected later this year. Apple is also considering partnerships with Chinese companies like Alibaba and Baidu to cater to the Chinese market, where its market share has declined.

Gurman noted that the increasing popularity of AI tools might impact Apple’s revenue from its Google search integration deal. As users may prefer chatbots and other AI tools over traditional search engines, Apple is exploring new ways to maintain its revenue stream. This proactive approach reflects Apple’s effort to stay ahead in the rapidly evolving AI landscape.

The post Apple Integrates ChatGPT into iOS18 Without Payment to OpenAI first appeared on Coinfea.

French tech startup Mistral AI has successfully raised 600 million euros (~$650 million) in a funding round led by venture capital firm General Catalyst. 

This significant investment values Mistral AI, an emerging competitor to OpenAI, at approximately 5.8 billion euros ($6.3 billion). The round saw participation from both new and existing investors, including Andreessen Horowitz, Lightspeed, Samsung, Salesforce, and Nvidia, pushing Mistral AI’s total funding to over $760 million.

Expansion and investor confidence

Arthur Mensch, the co-founder and CEO of Mistral AI, took to the X platform to express gratitude to the startup’s investors for their continued confidence and support. Mistral AI was established in May 2023 by former Google and Meta developers. The startup aims to become a European leader in artificial intelligence, focusing on productivity and creativity enhancement. In its early days, Mistral AI raised $113 million in a seed round, marking a solid start for the company.

In February, Mistral AI introduced a new large language model (LLM) named “Mistral Large,” designed to compete with OpenAI’s GPT-4 and Claude 2 from Anthropic. According to the company, the model excels in top-tier reasoning capabilities and is fluent in multiple languages, including English, French, Spanish, German, and Italian, with a nuanced understanding of grammar and cultural context. Mistral AI also launched a conversational AI chatbot named “Le Chat,” intended as an alternative to ChatGPT. Building such sophisticated models is costly, with the necessary processors potentially costing up to $100,000 each.

Strategic partnerships and market position

Mistral AI’s large language model is now accessible to Microsoft customers via the Azure cloud computing service. Microsoft, which already hosts AI models from OpenAI on its cloud platform, has also taken an undisclosed stake in Mistral AI, as reported by the Financial Times. This partnership is a strategic move, enhancing Mistral AI’s market position and extending its reach within the AI technology sector.

The substantial funding and strategic partnerships reflect a growing investor appetite for AI technologies. Mistral AI’s ambition to bring AI into everyone’s hands underscores its commitment to expanding its global presence and influence in the AI industry. With its innovative models and strategic alliances, Mistral AI is well-positioned to make significant strides in the competitive landscape of artificial intelligence.

The post Mistral AI Secures $650M Funding to Challenge OpenAI first appeared on Coinfea.

Former US President Donald Trump has committed to safeguarding the Bitcoin mining industry, positioning it as a potential bulwark against Central Bank Digital Currencies (CBDCs).

As he campaigns for the Republican nomination, Trump has emphasized his support for the crypto sector with the upcoming November elections in sight.

Trump’s Pro-crypto stance

Trump has garnered attention for his vocal endorsement and admiration for the crypto industry. Hosting Bitcoin mining stakeholders at his Mar-a-Lago resort in Florida, his public declarations have thrust crypto into the spotlight as a pivotal election issue.

On his social media platform, Truth Social, Trump expressed his ambition for all remaining Bitcoins to be mined in the United States. He contends that achieving this would establish the country as an energy leader and thwart creating or adopting a digital dollar or CBDC. Trump’s anti-CBDC stance resonates with many crypto advocates who fear that national digital currencies could be used for government surveillance and economic manipulation.

Trump shared a link to an opinion piece in Bitcoin Magazine titled “Trump is the Best Choice for Bitcoin.” The article, authored by Brian Morgenstein, head of policy at Bitcoin miner Riot Platforms and former White House deputy press secretary during the Trump administration, underscores why Trump is considered favorable for the crypto industry. 

Trump recently held a roundtable meeting with Bitcoin miners at his Florida resort. The event included executives from several mining firms, such as Riot Blockchain and CleanSpark. During the discussions, Trump pledged his support for Bitcoin mining if elected.

Growing crypto support

The crypto industry is increasingly receptive to Trump’s overtures, especially given the current administration’s stance. President Biden recently vetoed a bill to repeal an SEC rule that complicates financial institutions’ ability to custody crypto assets. 

Trump’s growing support within the crypto sector was evident at a recent fundraiser in San Francisco. At this event, where he described himself as a crypto president, the Republican candidate raised $12 million in donations from attendees, including numerous crypto investors.

With opposition from Trump and other crypto stakeholders, CBDCs continue gaining global traction. The Atlantic Council reports that 19 of the Group of 20 (G20) countries are in advanced stages of developing CBDCs. This advancement underscores the ongoing international interest and effort in establishing national digital currencies.

The post Trump Advocates for Bitcoin Mining as a Defense Against CBDCs first appeared on Coinfea.

The European Union’s (EU) Markets in Crypto Assets (MiCA) regulation is expected to enhance Euro-backed stablecoins’ adoption significantly. 

MiCA aims to provide clear regulatory guidelines for stablecoins, potentially increasing their use within the EU. A recent Kaiko Research report highlights the implications of this regulation on the stablecoin market.

According to the report, major exchanges like Binance and Kraken are reassessing their stablecoin offerings to align with MiCA requirements. This reassessment may result in delisting some stablecoins that fail to meet the new standards. However, Euro-pegged stablecoins are likely to benefit from these changes.

Euro stablecoins on the rise

The introduction of MiCA is anticipated to drive substantial growth for Euro-pegged stablecoins. These coins have already seen an increase in market capitalization and trading volume. Since the beginning of the year, top Euro-pegged stablecoins have maintained a combined weekly volume of $40 million. These include Tether’s EURT, Stasis’ EURS, Société Générale’s EURCV, Anchored’s AEUR, and Circle’s EURCV. AEUR, launched on Binance last year, accounts for over 50% of this volume.

Euro-backed stablecoins now represent around 1.1% of all crypto trading transactions in Euro, a significant increase from 2020 when they had no share. Despite this progress, fiat transactions still dominate, making up 98.9% of the total.

The MiCA regulation may not benefit all stablecoins. Tether USDT, the largest stablecoin by market cap, could face challenges once the regulation is in place. Among other exchanges, Kraken is reportedly considering whether to continue listing USDT.

Global stablecoin market trends

USD-pegged stablecoins continue to dominate the global market. Data shows they had an average trading volume of $270 billion in 2024, contributing significantly to the worldwide stablecoin market cap of approximately $162 billion. USD-backed stablecoins also dominate USD crypto transactions, commanding 90% of the volume, with fiat making up 10%.

The prominence of USD-backed stablecoins highlights the lag in crypto trading adoption in Europe compared to the US and the Asia-Pacific region. However, the growth of Euro stablecoins reflects the broader trend of stablecoin market expansion. This growth often indicates the influx of new and returning capital into the crypto industry.

The approval of spot crypto exchange-traded funds (ETFs) in the US has also contributed to the increased interest in cryptocurrencies as an investment class. These ETFs provide a regulated avenue for investors to gain cryptocurrency exposure, further boosting the stablecoin market.

Institutional interest in Crypto

Current economic conditions are driving institutional investors towards cryptocurrencies. Factors such as high interest rates, inflation concerns, potential recessions, and geopolitical conflicts are prompting institutions to diversify their portfolios with crypto assets. Stablecoins offer a stable entry point for these investors, providing a secure method to engage with the crypto market.

MiCA’s implementation is poised to enhance the credibility and adoption of stablecoins within the EU. Establishing clear regulatory frameworks aims to foster a more secure and transparent crypto market. This could pave the way for Euro-backed stablecoins to gain a stronger foothold in the market, potentially increasing their share of crypto transactions.

The post MiCA Legislation to Boost Euro-Backed Stablecoins Adoption first appeared on Coinfea.

AI startups have used billions of images of Brazilian children to train their models without consent, according to a report by Human Rights Watch (HRW). 

The report reveals that popular image generators, including Stable Diffusion, utilized images of children spanning their entire childhood for model training, raising significant privacy concerns.

Billions of Brazilian kids’ images were utilized

HRW’s investigation, led by researcher Hye Jung Han, highlighted that the images were sourced from about 10 Brazilian states. These images, many of which were family pictures uploaded on parenting and personal blogs, were found in a dataset called LAION-5B. This dataset was created from Common Crawl snapshots of the public web and included “image text pairs” from nearly 6 billion pictures and captions posted since 2008. Although the dataset did not contain the photos, the associated text pairs still posed a significant privacy risk.

The HRW report emphasizes that using these images without consent increases the production of non-consensual images bearing the likeness of children. Despite efforts to remove links to these images in collaboration with LAION, concerns remain that the dataset may still reference children’s images from around the world, as removing links alone does not entirely solve the problem.

Children’s identities are easily traceable

The HRW report further revealed that the identities of many Brazilian children could be traced through the names and locations included in the captions that built the dataset. This raises concerns about the potential targeting of these children by bullies and the misuse of their images for explicit content. HRW also noted that “all publicly available versions of LAION-5B were taken down,” reducing the immediate risk of misusing Brazilian children’s photos.

LAION, the German nonprofit that created the dataset, stated that they would ensure all flagged content is removed before the dataset is made available again. This decision follows a Stanford University report that found links in the dataset pointing to illegal content on the public web, including over 3,000 suspected instances of child sexual abuse content.

Protecting children’s privacy

At least 85 girls in Brazil have reported harassment by classmates who used AI to generate sexually explicit deepfake content based on photos taken from their social media. This underscores the urgent need for measures to protect children’s privacy online.

LAION-5B was introduced in 2022 as a dataset intended to replicate OpenAI’s dataset and was promoted as the most significant “freely available image-text dataset.” When HRW contacted LAION regarding the images, the organization stated that AI models trained on LAION-5B “could not produce kids’ data verbatim.” However, they acknowledged the privacy and security risks involved.

HRW has called for urgent intervention by Brazilian lawmakers to protect children’s rights from emerging technologies. They recommend that new laws be enacted to prohibit the scraping of children’s data into AI models to safeguard their privacy and security.

The situation raises broader concerns about the ethical implications of using publicly available data for AI training. While organizations like LAION are taking steps to address these issues, the need for comprehensive regulations to protect individuals, particularly vulnerable groups like children, remains pressing. The collaboration between advocacy groups and legislative bodies will be crucial in developing frameworks that ensure the ethical use of data in AI development.

HRW’s findings highlight a significant privacy risk and emphasize the need for strict regulations to prevent the misuse of children’s images in AI training. The ongoing efforts to remove flagged content and the call for legislative action aim to protect children’s rights and ensure that AI technologies are developed and used responsibly.

The post AI Startups Use Brazilian Children’s Pictures for Model Training Without Consent first appeared on Coinfea.

Bermuda and the Abu Dhabi Global Market (ADGM) collaborate to enhance the digital assets ecosystem. 

The Financial Services Regulatory Authority (FSRA) of ADGM and the Bermuda Monetary Authority (BMA) have signed a Digital Assets Memorandum of Understanding (MoU). This agreement aims to bolster regulatory and supervisory cooperation between the two jurisdictions.

Framework for collaboration

The newly signed MoU establishes a robust framework for collaboration between the BMA and FSRA. This framework supports digital asset entities operating within Bermuda and Abu Dhabi. The cooperation will involve regulatory and supervisory efforts, investigative assistance, and capacity enhancement initiatives. This collaboration aims to streamline operations and create a more cohesive regulatory environment for digital assets.

ADGM has been at the forefront of digital asset regulation. One recent milestone includes the launch of the first regulated stablecoin in the UAE. Paxos International, a UAE-based affiliate of Paxos, introduced Lift Dollar (USDL), a yield-bearing stablecoin. The FSRA of ADGM regulates this stablecoin, ensuring compliance with UAE financial regulations. Lift Dollar (USDL) is now accessible to consumers in Argentina through distribution partners such as Ripio, Buenbit, Manteca, and Crypto.

ADGM has made significant strides in the Distributed Ledger Technology (DLT) sector. In March 2024, ADGM registered its second DLT Foundation, the Finschia DLT Foundation, chaired by Youngsu Ko. This registration follows the IOTA DLT Foundation’s recognition as the first foundation under the DLT Foundations Regulations in ADGM in November 2023.

Growth and Regulatory Efforts in Bermuda

The Bermuda Monetary Authority has also been active in the digital assets sector. Recently, BMA granted a license to the Coinbase crypto exchange, showcasing its commitment to fostering a robust digital assets market. Bermuda’s regulatory environment is designed to support the growth and development of digital asset entities, ensuring they operate within a secure and compliant framework.

The collaboration between ADGM and BMA through the MoU signifies a step towards a more integrated and supportive regulatory landscape. This partnership aims to enhance the capabilities of both jurisdictions in managing and regulating digital assets effectively.

ADGM and BMA’s efforts reflect a broader trend towards the growth of the digital assets sector. Earlier this year, ADGM published a survey highlighting significant growth in various sectors, including Fintech and digital assets. Blockchain and Distributed Ledger Technology are projected to grow by 17.08% and 16.83%, respectively. These figures underscore the increasing importance of digital assets in the global financial landscape.

The partnership between ADGM and BMA aims to leverage this growth potential, creating a more robust and secure environment for digital assets. By combining their regulatory expertise, both entities are well-positioned to support the evolution of digital assets and ensure their long-term viability.

The post Bermuda and ADGM Unite to Enhance Digital Assets Ecosystem first appeared on Coinfea.

NFTs and Ordinals share similarities but differ in how they store value. Ordinals are pure data, including the image, while NFTs often store metadata offline. 

This difference has led some to argue that Ordinals are better at preserving value. Both NFTs and Ordinals have distinct risk profiles. While NFTs have been around longer and have seen significant losses, Ordinals are currently more popular. Despite this, some Ordinals have achieved valuations comparable to top NFTs, although the Ordinals market is still evolving.

Ordinals as true digital collectibles

Ordinals aim to establish themselves as “true digital collectibles” with transparent, rare records based on specific blocks. In contrast, NFT collections have shifted towards a utility narrative, with owners using NFTs for staking, gaming, or accessing future airdrops. By focusing on rarity, Ordinals may revive this aspect of digital collectibles.

Let me make the Ordinals and Runes thesis as simple as possible. Top ETH NFT, Cryptopunks – 1.3B mcap, peak 4B.Top BTC Ordinals, Nodemonkes– 150m mcapTop ETH meme, DOGE– 24B mcap, peak 90BTop BTC meme, DOG– 600m mcapBTC mcap 1.3T vs ETH mcap 465B. Ordinals and… pic.twitter.com/Cmx7JCgP1c

— Kevin Wu (@kevwuzy) May 29, 2024

Ordinals were introduced after NFTs, and some of the same milestones for issuing collectibles have been adopted. While Ordinals prioritize on-chain data availability, NFTs often require issuers to secure long-term storage and hosting for their images. This fundamental difference may influence their value preservation.

As of June 2024, NFT markets have stabilized, with daily trading volumes between $15-30M and a total tracked value of around $40B. Blue-chip NFT collections continue to trade at high floor prices. In contrast, Bitcoin-based Ordinals collections are just starting to gain traction, with a total value of under $900M.

Ordinals face challenges due to the high cost of storing data directly on the Bitcoin blockchain, which may limit mass minting. This is in contrast to NFTs, which benefit from the scalability of blockchains like Ethereum, Solana, and Polygon.

Uncertain value of ordinals

The value of Ordinals is not guaranteed. Early experiments and recent creations show varying resale values, with some losing more than 98% of their value. Even minimal collections, such as the original Bitcoin Punks, have seen significant value drops due to limited demand.

Before the advent of Ordinals, you couldn't view the entire collection until launch day or a few days afterward if there was a reveal. This sometimes led to issues where the full collection did not meet the expectations set by the sneak peeks.Ordinals changed this. Pre… pic.twitter.com/OGt3cI4IPp

— Brain Box (Badge Of Honor) (@brainboxintel) June 10, 2024

Ordinals aim for transparency, with collections visible before minting. This predictability contrasts with the initial trading frenzy in NFT collections, where bots and traders quickly determine floor prices based on rare traits.

Ordinals use a unique inscription method, turning each Satoshi into a unique item. The image is added as a payload to a regular Bitcoin transaction. This method allows projects to choose appealing inscription numbers, adding another layer of rarity.

Prospects

Existing NFT collections can switch to Bitcoin using Ordinals, although this requires gas payments dependent on blockchain conditions. The rarity of Bitcoin blocks could make Ordinals more scarce, but there is yet to be a clear winner between Ethereum NFTs and Bitcoin Ordinals. Both standards have caused network congestion, affecting users focused on financial and payment use cases.

The debate between NFTs and Ordinals continues. Each standard has its strengths and challenges, with their long-term value preservation still to be determined. As the markets evolve, NFTs and Ordinals will likely find their niches within the broader digital collectible landscape.

The post Which Standard Preserves Value Better: NFTs or Ordinals? first appeared on Coinfea.

Donald Trump, the Republican presidential candidate, declared himself the “crypto president” at a high-profile fundraiser in San Francisco. 

Tech venture capitalists David Sacks and Chamath Palihapitiya hosted the event, which raised $12 million for Trump’s campaign. Held at Sacks’ home in the upscale Pacific Heights neighborhood, Trump criticized the Democrats’ efforts to hinder the crypto industry. He emphasized his support for cryptocurrency as an essential tool for America’s future.

Crypto faces regulation challenges

The crypto industry is increasingly impacting U.S. politics as it navigates regulatory scrutiny. Major bankruptcies of crypto firms in 2022 alarmed investors and revealed widespread fraud and misconduct, causing significant financial losses. Despite these challenges, Trump continues to express his strong support for the industry but has yet to provide specific policy details.

President Joe Biden signed an executive order in 2022 to ensure the “responsible development of digital assets.” This led to reports urging regulators like the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission to create guidelines addressing risks in the crypto industry. The Biden administration has shown a willingness to work with Congress to develop a regulatory framework for cryptocurrencies. White House spokesperson Robyn Patterson stated that the administration supports innovation in digital assets while aiming to protect consumers from associated risks. This stance contrasts with Trump’s promise to halt what he calls the “Biden-Gensler crusade against crypto” if re-elected.

Crypto Industry Supports Trump

Despite San Francisco’s liberal reputation, many venture capitalists and crypto investors attended the fundraiser to support Trump. They cited Biden’s regulatory approach as a critical concern. Notable figures in the crypto industry participated, including executives from Coinbase and the Winklevoss twins, founders of Gemini.

David Sacks and Chamath Palihapitiya, both vocal about their crypto investments, particularly in Bitcoin, hosted the event. The industry’s support for Trump comes despite recent market turmoil, such as the collapse of FTX and the Terra-Do Kwon debacle. FTX founder Sam Bankman-Fried was found guilty of misappropriating customer funds and using the money to donate over $100 million to U.S. political campaigns. Meanwhile, Do Kwon is in Montenegro, awaiting extradition to the U.S. or South Korea.

Two weeks ago, Trump’s campaign announced it would accept cryptocurrency donations, framing it as a stand against “socialistic government control” over U.S. financial markets. Trump cited Senator Elizabeth Warren’s comments about building an “anti-crypto army” to restrict Americans’ financial choices as part of the rationale for his pro-crypto stance.

Crypto regulation and political divide

The crypto industry’s influence on politics highlights the growing divide between regulatory approaches. Trump and his supporters argue that excessive regulation stifles innovation and economic growth. They believe a more supportive stance towards cryptocurrency can help drive technological advancement and financial independence.

The Biden administration and other regulatory bodies emphasize the need for stringent oversight to prevent fraud, protect consumers, and ensure market stability. This regulatory approach aims to mitigate risks associated with the rapidly evolving crypto landscape while fostering responsible development.

The debate over cryptocurrency regulation will likely intensify. Trump’s declaration as the “crypto president” and his commitment to supporting the industry will be a central theme in his campaign. The outcome of this debate will have significant implications for the future of cryptocurrency in the United States and the broader financial landscape.

The post Donald Trump Declares Himself the Crypto President first appeared on Coinfea.

US Senator Mike Lee has introduced legislation to dismantle the Federal Reserve system. 

The proposed “Abolish Act” aims to repeal the 1913 Federal Reserve Act, which established the central banking system in the United States.

Senator Lee, representing Utah, criticized the Federal Reserve, also known as “the Fed,” for overstepping its mandate and failing to control economic variables such as inflation and public debt. The bill has gained support from Representative Thomas Massie of Kentucky in the House of Representatives.

Senator Lee’s critique of the Federal Reserve

Senator Lee has accused the Federal Reserve of economic manipulation and failing to meet its mandate. In a statement, Lee said that the Federal Reserve has repeatedly failed to achieve its mandate and become an economic manipulator that has directly contributed to the financial instability many Americans face today. This statement echoes the sentiments of Ron Paul, a former Texas Congressman who called for ending the Fed in his 2009 book. Ron Paul’s son, Rand Paul, a current Republican senator from Kentucky, is reportedly a close ally of Lee.

I’ve introduced legislation to End the Fed. pic.twitter.com/IGKrB3WKWP

— Mike Lee (@SenMikeLee) June 7, 2024

Representative Massie also criticized the Federal Reserve, blaming it for the economic suffering caused by high inflation. He stated that during COVID, the Fed created trillions of dollars out of thin air and loaned them to the Treasury Department to enable unprecedented deficit spending. By monetizing the debt, the Fed devalued the dollar and enabled free money policies that caused today’s high inflation.

Federal Reserve under increased scrutiny

The Federal Reserve, tasked with managing inflation and unemployment, faces growing scrutiny from lawmakers over its handling of interest rates to control prices. Data from the US Labor Department shows that year-on-year inflation fell slightly to 3.4% in April from 3.5% a year earlier. This marks the first decline in the year-over-year figure for 2024, yet inflation remains above the Fed’s 2% target. The prices of goods and services are still higher than pre-pandemic levels, and the central bank has been raising interest rates aggressively since 2022 to curb rising prices.

Senator Lee proposes dissolving the Federal Reserve’s board of governors, retaining only the chairman to ensure a smooth transition, manage employee benefits, and handle assets and debts. The proceeds from asset liquidation would eventually be transferred to the Treasury Department.

Response to the Federal Reserve’s policies

The Federal Reserve’s actions during the COVID-19 pandemic, particularly its creation of trillions of dollars and loans to the Treasury Department, have been a focal point of criticism. Lawmakers like Senator Lee and Representative Massie argue that these policies have led to significant economic challenges, including high inflation and devaluation of the dollar.

Senator Lee’s proposed legislation is a response to what he sees as the Federal Reserve’s failure to manage the economy effectively. The “Abolish Act” seeks to dismantle the institution and transfer its responsibilities to other government entities. This proposal has sparked a debate about the role of the Federal Reserve and its impact on the economy.

The “Abolish Act” introduction highlights some lawmakers’ growing dissatisfaction with the Federal Reserve’s policies. The bill’s supporters believe ending the Fed is necessary to restore economic stability and address the issues caused by its actions during the pandemic.

The post US Senator Introduces Bill to Abolish the Federal Reserve first appeared on Coinfea.

Arthur Hayes, the former CEO of BitMEX, has released a new essay titled “Group of Fools,” asserting that now is the time to go long on Bitcoin. 

Hayes, known for his direct style, outlines in his essay why he believes Bitcoin is poised for significant gains due to various macroeconomic factors and central bank policies.

Dollar-Yen Exchange Rate as a Key Indicator

Hayes emphasizes the importance of the dollar-yen exchange rate, calling it the most crucial macroeconomic indicator. He recalls his previous writing, “The Easy Button,” where he proposed that the US Federal Reserve (Fed) should exchange unlimited amounts of newly printed dollars with the Bank of Japan (BOJ) for yen. This would enable the BOJ to support the yen in global forex markets. 

Hayes supports his recommendation but notes that the Group of Seven (G7) central banks have taken a different path. They are attempting to convince the market that the interest rate gap between the yen and other major currencies, such as the dollar, euro, pound, and Canadian dollar, will narrow. If the market accepts this, it will boost the yen’s value and devalue other currencies. Hayes argues that the G7 central banks must cut their high policy rates for this strategy to succeed. The BOJ, with a policy rate of 0.1%, contrasts sharply with these higher rates of 4-5%.

G7 Strategy and the Global Economy

From March 2020 until early 2022, central banks worldwide provided complimentary money to keep economies afloat during the pandemic. When inflation surged, all G7 central banks, except for the BOJ, raised rates aggressively. The BOJ could not follow suit due to its substantial Japanese Government Bond (JGB) market holdings. Allowing rates to rise would result in significant losses on its JGB holdings.

Hayes points out that if Janet Yellen, whom he nicknames “Bad Gurl Yellen,” decides to reduce the interest rate differential, central banks with high policy rates would need to cut them. Traditionally, cutting rates is only favorable if inflation is below target. However, G7 countries uniformly target a 2% inflation rate despite differences in their economies. Hayes includes a chart showing that no G7 country’s inflation rate is below the 2% target, suggesting that G7 inflation is forming a local bottom in the 2-3% range before rising higher.

Implications for Bitcoin and Crypto Markets

Hayes finds it unusual that the Bank of Canada (BOC) and the European Central Bank (ECB) cut rates despite inflation being above target. He believes the real issue is the weak yen. If the yen isn’t strengthened, China might devalue the yuan to compete with Japan’s cheap yen, potentially leading to a sell-off of US Treasuries and threatening the Pax Americana-led global financial system.

If the Fed cuts rates at its upcoming June meeting while their inflation measure remains above target, the dollar-yen exchange rate could shift significantly. Hayes doubts the Fed is ready to cut rates given the political pressure from rising prices. He predicts the Fed will maintain its current course.

The recent rate cuts by the BOC and ECB have already set the stage for significant movements in the cryptocurrency market. Hayes initially anticipated these changes would occur around August during the Fed’s Jackson Hole symposium. However, the trend is clear: central banks are beginning easing cycles.

Hayes advises investors to go long on Bitcoin and other cryptocurrencies, asserting that the changing macro landscape demands a shift in investment strategy. He plans to deploy his excess liquid crypto cash into conviction investments, predicting that the crypto bull market is reawakening and will challenge central bankers.

The post Arthur Hayes Says It’s Time to Go Long on Bitcoin first appeared on Coinfea.

The rapid development of artificial intelligence (AI) is heightening the threat of a nuclear war, according to UN Secretary-General António Guterres. 

Guterres emphasized that humanity is on a knife’s edge as nations compete to create the most advanced weaponry, endangering countless lives. The Guardian reported that his cautionary video was scheduled to be shown at the U.S. Arms Control Association (ACA) annual conference in Washington on June 7. Guterres urged nuclear-armed states to resume dialogue and commit to a no-first-use policy.

AI and nuclear weapons: A dangerous combination

Guterres expressed his concern over the weakening of systems designed to prevent the use, testing, and proliferation of nuclear weapons since the end of the Cold War. There is growing fear that countries like the U.S. and Russia might rely on AI to streamline nuclear launch procedures. Both nations reportedly have their intercontinental ballistic missiles on high alert, ready to launch within minutes. Guterres stressed that decisions regarding nuclear weapon use must be made by humans, not machines or algorithms.

In 2022, the U.S., UK, and France released a joint statement affirming their commitment to keeping human control over nuclear launches. However, Russia and China have yet to make a similar pledge. According to the Federation of American Scientists, the number of nuclear weapons has decreased from 70,300 in 1986 to 12,100 in 2023.

Scientific warnings about AI

Guterres’ warning is part of a broader concern expressed by many scientists about the dangers posed by AI. A 2018 report by the Rand Corporation highlighted that AI development increases the risk of nuclear war. The report noted that AI, machine learning, and big-data analytics could enhance militaries’ capabilities to locate, track, target, and destroy a rival’s nuclear forces. 

Former Google product lead Bilawal Sidhu has also commented on the AI debate, suggesting that AI could be managed like nuclear technology or left open. He argued that an open-source AI would allow good actors to monitor and mitigate the actions of bad ones, reducing risks. In an interview with Newsweek, former U.S. Secretary of State Henry Kissinger described AI as consequential but less predictable than nuclear weapons. Kissinger believes that the risks of AI can be managed through international cooperation and regulation.

Calls for global cooperation

Guterres’ message calls for urgent international cooperation to address the risks associated with AI in nuclear weapons systems. He emphasized that global dialogue and agreements are crucial to prevent the escalation of threats posed by AI integration into military operations. The UN chief’s appeal for a renewed commitment to arms control underscores the need for a unified approach to prevent catastrophic outcomes.

The international community must prioritize keeping nuclear decisions in human hands to avoid unintended consequences from AI-driven systems. Reducing nuclear weapons since the Cold War is a positive step, but the potential for AI to alter the strategic landscape requires constant vigilance and proactive measures. Guterres’ warning highlights the delicate balance between technological advancement and global security, urging nations to act responsibly in the face of emerging threats.

The post UN Chief Warns AI Could Increase Nuclear War Likelihood first appeared on Coinfea.

The blockchain technology landscape shows newer blockchains outperforming in smart contract deployment. 

Smart contracts signify on-chain activity, such as creating tokens or NFTs, and more complex processes like trading, swaps, or identities.

Telegram’s dominance in smart contract deployment

Telegram’s native blockchain leads in the number of smart contracts deployed, surpassing Ethereum. Unlike Ethereum, Telegram’s blockchain is incompatible with the Ethereum Virtual Machine (EVM) and utilizes a different approach to innovative contract development. Telegram uses the FunC programming language and operates as an open-source network. This blockchain hosts various applications across multiple categories, including wallets, marketplaces, gaming, and social spaces.

"plan to repeat the feat on telegram/@ton_blockchain" https://t.co/vnYBR5xksk pic.twitter.com/PvQgE7GZrQ

— Token Terminal (@tokenterminal) June 6, 2024

One significant feature of Telegram’s blockchain is its ability to host multiple trading bots that automate decentralized services. It also provides a sample of contracts that can be templates for other projects. This extensive deployment of contracts indicates a vibrant and active ecosystem.

Polygon is the second most widely used Layer 2 (L2) solution, particularly favored during the DeFi, Web3, and gaming boom 2021. Polygon’s appeal lies in its ability to deploy contracts safely. Users can verify smart contract addresses through Polygon’s native blockchain explorer, adding a layer of security. Polygon also leads in the number of contract deployers, indicating a broad and active developer base.

The surge in contracts on Polygon can be attributed to its scalable and low-fee structure, making it an attractive option for deploying numerous smart contracts. Unlike Telegram, where centralized activities might dominate, Polygon’s activity suggests a diverse and decentralized development community.

Other notable blockchain networks

Several other networks have also seen a significant number of smart contract deployments. TRON, Arbitrum, ZKSync Era, and BNB Chain are among the leaders in this metric. Base, the tokenless blockchain by Coinbase, is an outlier in this category, which has attracted over 887.5 on-chain entities deploying smart contracts.

The metric of smart contract deployment provides insights into the dominance of various networks in 2024. Layer 1 (L1) and Layer 2 networks compete with Ethereum across different metrics. While Ethereum still dominates in terms of fees and active wallet counts, the generation of smart contracts is a proxy for developer activity and new token creation trends.

The deployment of numerous smart contracts increases exposure to potential malicious behaviors. Smart contracts written in Solidity, Python, or other languages can be vulnerable to attacks. Projects often advertise their audit status, and end-users must verify the security audits of these projects. BNB Chain and Ethereum remain the most frequently attacked networks.

Some smart contracts have shown vulnerabilities without resulting in actual exploits. However, any minor vulnerability in contracts related to decentralized finance (DeFi) or value operations can be costly. When involved in bridges, wrapped protocols, or other mechanisms generating new tokens, these contracts are especially vulnerable.

Recent smart contract vulnerabilities

In the past month, several smart contracts have been compromised. Telegram’s TONUp lost around $106K due to a flawed smart contract. Similar attacks have affected BNB Chain applications like Yon and RedKeyGame. One of the most significant hacks in the past week involved the Velocore decentralized exchange (DEX), which lost $6.8 million in ETH due to a smart contract vulnerability.

#Velocore exploit. The DEX #Velocore was attacked with a loss of ~$6.8M, due to a underflow when calculating fees.The lesson is that the #unchecked block should be in a safe context that never underflow/overflow, otherwise a $6.8M worth lesson would be taken. https://t.co/tF0eosSSgo pic.twitter.com/0cW3MPzIuc

— Daniel Tan (@DanielSlothx) June 3, 2024

The Orion liquidity aggregator also faced an attack, highlighting the ongoing risks in the DeFi sector, where smart contracts hold substantial value and locked tokens. In the past week, the TLN Protocol on the BNB Chain lost approximately $280K through a smart contract vulnerability.

The post Blockchains with the Smartest Contracts and Best Safety Profiles first appeared on Coinfea.