LayerZero Announces Airdrop Eligibility for 1.28 Million Wallets

LayerZero, the leading cross-chain interoperability protocol, has revealed that 1.28 million wallets are eligible for its highly-anticipated airdrop. The announcement, made by Bryan Pellegrino, CEO of the LayerZero Foundation, marks one of the largest token generation events to date.

On July 19, Pellegrino disclosed that 23.8% of the token supply will be distributed to LayerZero users and developers. Of this, 8.5% of the tokens will be claimable when the airdrop goes live. The allocation includes 5% for core contributors, 3% for ecosystem projects that have submitted requests for proposals (RFP), and 0.5% for the community pool. The remaining tokens will be distributed gradually over the next three years, with retroactive distributions occurring every 12 months.

However, Pellegrino cautioned that the number of eligible wallets could change as the project continues to weed out wallets involved in sybil farming. Sybil farming refers to the practice where a single entity uses multiple wallets to farm activity on a protocol to increase their airdrop allocation.

In an effort to maintain the integrity of the airdrop, LayerZero has launched an anti-sybil campaign to exclude addresses identified as engaging in sybil activity. Addresses found to be sybil farming will be excluded from the airdrop, though sybil users who self-report could still receive 15% of their expected token allocation. Pellegrino noted that of the six million wallets that have used LayerZero, about one million were involved in sybil farming.

In April 2023, the company successfully raised $120 million in a Series B funding round, which valued LayerZero at $3 billion. The protocol facilitated over $6.7 billion worth of cross-chain asset transfers and transmitted 29.6 million messages in the first quarter of 2024.

CertiK Reveals Itself as Kraken's $3 Million Exploiter Amid Controversy

Blockchain security firm CertiK has publicly identified itself as the "security researcher" involved in a contentious incident with cryptocurrency exchange Kraken, in which $3 million worth of digital assets were reportedly extracted from Kraken accounts.

CertiK disclosed it had informed Kraken about an exploit that allowed the removal of millions of dollars from the exchange’s accounts. Kraken’s chief security officer, Nicholas Percoco, had previously accused an unnamed security team of “extortion” for withholding the return of the funds until Kraken agreed to a payment, purportedly linked to potential damages had the vulnerability not been disclosed.

CertiK responded by alleging that Kraken's security team threatened individual CertiK employees, demanding the repayment of a mismatched amount of cryptocurrency within an unreasonable time frame, and without providing repayment addresses. “In the spirit of transparency and our commitment to the Web3 community, we are going public to protect all users’ security. We urge [Kraken] to cease any threats against whitehat hackers,” CertiK stated.

The security firm provided a timeline of events, beginning with the identification of the exploit on June 5 and culminating in claims that Kraken threatened a CertiK employee on June 18.

The incident has sparked mixed reactions within the crypto community. While some users have expressed support for Kraken, arguing that CertiK's actions do not align with the typical behavior of white hat hackers, others have criticized Kraken's handling of the situation. The legal ramifications for Kraken remain uncertain at this stage.

Bitcoin Whales Realize Unprecedented $1.2B in Profits Amid Market Turmoil

Over the past two weeks, long-term Bitcoin (BTC) whales have cashed out $1.2 billion in profits. According to CryptoQuant, these "old whales" have taken advantage of soaring prices to sell coins they acquired at much lower values, marking an unprecedented profit-taking period in USD terms.

CryptoQuant's Head of Research, Julio Moreno, highlighted the significance of this activity, noting that the last comparable event occurred in April 2022, when Bitcoin traded at $40,000. During that period, whales realized $683 million in profits in a single day, translating to 17,000 BTC. In contrast, the recent two-week period saw profits of 14,000 BTC but with a much higher USD value.

Bitcoin whales, typically entities holding at least 1,000 BTC (worth approximately $65 million at current prices), are often institutional investors rather than individuals. CryptoQuant CEO Ki Young Ju suggested that many of these sales have likely been executed through brokers, which means the market hasn't yet felt the full impact of this sell-off. However, he cautioned that brokers could deposit BTC to exchanges, potentially affecting market liquidity and prices.

This activity comes at a time when the crypto market is already facing bearish momentum. Bitcoin has dropped 3% over the past week, compounded by $300 million in outflows from Bitcoin ETFs over the last two days.

AI-Related Tokens Surge Following Nvidia's To Be the World’s Most Valuable Company

Fetch.ai (FET) has led a notable surge in major AI-related cryptocurrency tokens over the past 24 hours, spurred by Nvidia's recent achievement of becoming the world's most valuable company. Fetch.ai saw its value soar by over 25%, with other tokens such as Bittensor (TAO) rising by more than 19%, Render (RNDR) jumping over 13%, and NEAR Protocol (NEAR) and Internet Computer (ICP) experiencing gains just under 10%.

The market's enthusiasm for AI-related cryptocurrencies reflects the broader excitement surrounding advancements in artificial intelligence and their potential applications. This trend is evident as Nvidia's prominence in the AI space bolsters investor confidence and drives up the value of related digital assets.

However, YouHodler Risk Manager Sergei Gorev has advised caution regarding the latest rally in AI-related tokens. He suggested that the recent surge might be fueled more by market hype than by underlying fundamentals. "As for the quotes of Nvidia shares, we consider the stock's recent dynamics as a result of the market's overreaction to prospects that are not yet fully clear. The narrative of creating something new has always caused hype in the market, whether it's 3D printers, electric vehicles, etc. Now, it's about the hype around AI."

While the excitement around AI and its potential continues to drive significant gains in the cryptocurrency market, industry experts like Gorev urge investors to remain cautious and consider the long-term viability and substance behind these valuations.

“Pharma Bro” Martin Shkreli Claims Involvement in Trump DJT Memecoin Amid Controversy

Martin Shkreli, infamously known as "Pharma Bro," has claimed involvement in the creation of the DJT token, a Solana-based meme coin that purports ties to the Trump family. This revelation came in the wake of crypto analytics platform Arkham Intelligence offering a $150,000 bounty to identify the creator of the DJT token, possibly spurred by a potential $100 million bet between pseudonymous crypto trader GCR and Shkreli.

On-chain investigator ZachXBT posted his findings on X, declaring he had proof of the token’s creator. Shortly after, Shkreli reached out to ZachXBT, and within an hour, hosted a Twitter Spaces session where he asserted his role in the creation of the DJT token. However, GCR has remained silent since a tweet last night about the broader crypto market, having previously stated that they would consider the bet settled if "Donald J Trump himself" confirmed launching the coin.

Shkreli claimed he worked with Barron Trump, Donald Trump’s youngest son, but expressed uncertainty about the Trump family publicly endorsing the token. He also purported to have evidence supporting his claims, although this was partially debunked by a screenshot shared with ZachXBT, suggesting Shkreli had insider information rather than direct involvement.

The absence of a recording from the Twitter Space session has led to conflicting accounts of Shkreli’s statements. Some users reported he admitted to insider trading and launching the token with a friend, intending to see it devalue. Others recounted him claiming to launch the token but could no longer ensure Trump family support.

Despite the rumors, traders on Polymarket, a blockchain-based prediction platform, remain skeptical about the DJT token's legitimacy. 92% of Polymarket participants are betting against the Trump family’s involvement with the DJT token. The token itself has plummeted over 60% in value in the past 24 hours.

Consensys: SEC Closes Investigation Into Ethereum

Leading Ethereum developer Consensys revealed late Tuesday that the U.S. Securities and Exchange Commission (SEC) has decided to close its investigation into Ethereum 2.0. This announcement marks a pivotal moment for Ethereum developers and the broader crypto industry.

The decision follows the SEC's approval of Ethereum spot ETFs last month. Consensys had responded to this approval by sending a letter to the SEC, pointing out that the funds were based on ETH being classified as a commodity. The letter sought clarification on how this classification would impact the ongoing investigation.

Laura Brookover, an attorney for Consensys, took to Twitter to share the SEC's notification letter along with the company's full statement. "Things have changed remarkably fast since we filed our lawsuit against the SEC in late April, culminating in today’s development," Brookover wrote. "After more than a year, the Ethereum investigation is finally over with no charges against anyone."

Despite the positive news, the SEC's correspondence included a standard disclaimer, noting that the conclusion of the investigation should not be interpreted as an exoneration or a guarantee that no future action would be taken.

While the closing of the Ethereum investigation is a significant victory, Consensys remains critical of the SEC's overall approach to crypto regulation. "The closing of the Ethereum investigation is momentous, but it’s not a cure-all for the many blockchain developers, technology providers, and industry participants who have suffered under the SEC’s unlawful and aggressive crypto enforcement regime."

DJT Surges on Trump Official Token Rumors, Arkham Offers $165K Bounty to Unmask Creator

Blockchain analytics firm Arkham Intelligence has announced a $150,000 bounty for anyone who can definitively identify the creator of the Solana-based token DJT, which saw a dramatic 500% surge on Monday fueled by unsubstantiated rumors linking it to former President Donald Trump.

"$150,000 to the first person to definitively prove the identity of the creator of $DJT," Arkham posted on X on June 18. The bounty, which will remain active for eight days, will be paid in 100,000 Arkham (ARKM) tokens, valued at $1.50 each at the time of the announcement, according to CoinMarketCap. ARKM is currently valued at $1.65, increasing the value of the bounty to $165,000.

Arkham's bounty notice specifies that the evidence must be original and not sourced from the internet. "Find definitive evidence of the creator of $DJT. We will accept private proof for this bounty but if accepted, that proof will be made public," the notice states. It also clarifies that simply linking to previously broken news will not qualify for the reward.

In parallel, speculation continues to swirl online about whether Donald Trump or someone from his family is behind the DJT token. The decentralized betting platform Polymarket has seen nearly $1.7 million in wagers on whether the DJT token is genuinely linked to Trump. Currently, only 17% of bettors are in the "Yes" camp. To win, they need to provide definitive proof by 11:59 PM ET on June 21; otherwise, the market will resolve to "No."

The rumors that Trump might be involved with the DJT token were initially sparked by a post from tech blog Pirate Wires, which claimed that Trump's son, Barron Trump, spearheaded the token. However, Pirate Wires offered no detailed sources for these claims. Pirate Wires creator Mike Solana admitted he had not spoken directly with Trump and was merely reporting what he had heard from his sources.

DeFi Token VELO Gains Interest After Investment by U.S. Congressman Revealed

U.S. Congressman Mike Collins (R-Georgia) recently disclosed a $15,000 purchase of Velodrome, a relatively small altcoin, in his filings. This investment has thrust Velodrome Finance, which has a market capitalization of around $79 million, into the spotlight. The VELO token, the native currency of the Velodrome ecosystem, saw a 9% increase in value over the past week, and is now trading at $0.1122.

Velodrome is a decentralized finance (DeFi) protocol on layer-2 networks. Launched in June 2022, Velodrome Finance evolved from the Solidly project with the aim of supporting liquidity for DeFi protocols on Layer 2 solutions. It employs a “vote escrow” mechanism inspired by Curve Finance and Olympus DAO, designed to promote long-term holding through staking, rebasing, and bonding.

The platform's innovative approach seeks to mitigate common issues in DeFi, such as the “farm and dump” scenario, by balancing protocol emissions with fees through a rewards system. Velodrome offers various liquidity pools, with reward rates determined by user voting. The initial distribution of VELO involved 400 million tokens, allocated among community members, partner protocols, the Velodrome team, and the Optimism team. VELO holders benefit from transaction fees, bribes, and rebase rewards. When locked, VELO converts to veVELO, allowing users to vote on pools and influence protocol decisions.

Congressman Collins' investment has brought attention to Velodrome, highlighting its unique position within the DeFi space. It also shows the increasing involvement of U.S. politicians in cryptocurrencies, most notably presidential candidate Donald Trump’s recent display of strong support towards the crypto industry, going as far as calling himself the ‘crypto President.’

TRUMP Memecoin Whale Nets $3.7 Million Profit Amid Market Sell-Off

In the midst of a turbulent market sell-off, a major memecoin whale has made headlines by securing a substantial profit from their MAGA (TRUMP) tokens. The whale, operating under the wallet identifier “0x52C0,” has reportedly sold over 171,000 TRUMP tokens, netting 414 Ether (ETH), which translates to approximately $1.44 million within the past 24 hours. This savvy move resulted in an overall profit of more than $3.7 million on their investment.

According to a June 18 post by Lookonchain, the whale strategically sold their TRUMP tokens at the $8.38 mark. Despite this significant sale, 28% of the whale's portfolio still consists of TRUMP tokens, valued at around $372,000. The recent decline in the value of TRUMP tokens coincided with the whale's decision to lock in profits. According to data from CoinMarketCap, the TRUMP token is down over 27% in the past week. However, the token recovered slightly and is up 38% in the past 24 hours, now trading at $9.03.

The drop in TRUMP token prices is partly attributed to rumors surrounding the launch of an official Trump cryptocurrency on Solana. Pirate Wires, a tech blog, claimed in a June 17 X post that Barron Trump, the 18-year-old son of former President Donald Trump, was leading the launch of a token named TrumpCoin (DJT). However, there has been no official confirmation from Trump's team, and blockchain analysis firms like Bubblemaps have expressed skepticism about any direct connection between DJT and the former president.

Other memecoins are also hit by significant selloffs. Leading memecoins such as Dogecoin (DOGE) and Shiba Inu (SHIB) experienced significant weekly declines of 8.8% and 13.6%, respectively. Pepe (PEPE) dropped 8.8%, while Solana-based Dogwifhat (WIF) fell over 16.2%, according to CoinMarketCap.

Dogecoin Long Liquidations Surge Past $60 Million Amid Market Dip

Dogecoin (DOGE) has seen a significant spike in long liquidations, surpassing $60 million in the past 24 hours as its price fell below the $0.12 mark. Remarkably, Dogecoin's liquidations were on par with those of Bitcoin, which also experienced just over $60 million in liquidations during the same timeframe. Given Bitcoin's much larger trading volume and market capitalization, this marked the most substantial daily liquidation event for Dogecoin since May 2021.

Dogecoin's trading metrics reveal a bearish sentiment among traders. Open interest in Dogecoin futures, representing the number of unsettled futures contracts, has dropped by over 18% to $642 million. Additionally, the long-short ratio for Dogecoin futures is now above 0.9, suggesting that traders are increasingly betting on further price declines. DOGE is down 8.6% in the past week, but has recovered slightly over the past 24 hours and traded up by 3.8%.

Large-cap memecoins in general have been trending downward. Shiba Inu (SHIB) and Pepe (PEPE) both dropped 8.8% over the past week, while leading Solana-based memecoin Dogwifhat (WIF) fell over 16.2%, according to CoinMarketCap data. The broader downtrend in memecoins and altcoins comes on the back of a decline in Bitcoin (BTC) price, which is down 2.88% in the past week.

The broader cryptocurrency market saw over $444 million in liquidations during the same period. According to Coinglass, the bulk of these liquidations, approximately $382 million, were long positions, indicating a widespread market downturn.

Bitcoin Price Falls Below $65,000, Some Large Cap Alts Outperform

Bitcoin's price dipped below $65,000 for the second time in three days, amid a wave of substantial outflows from spot Bitcoin exchange-traded funds (ETFs) last week. Bitcoin's price fell from an opening of $66,629 to an intra-day low of $65,050 on June 17. At the time of writing, Bitcoin was trading at $64,800, marking a 2.56% drop over the past 24 hours.

This recent price correction is part of a broader downtrend that saw Bitcoin hitting a low of $60,005 on June 14, closely linked to negative ETF flows. CoinShares' latest report highlighted significant outflows from digital asset investment products, totaling $600 million last week. This marks the end of a five-week cycle of inflows into crypto investment products. The report attributed the recent price drop to mixed macroeconomic data from the U.S. and the FOMC's hawkish tone, which slashed the expected Fed rate cuts for 2024 from four to just one.

The negative sentiment was particularly pronounced for Bitcoin, which saw outflows amounting to $621 million. In contrast, short-Bitcoin products saw minor inflows of $1.8 million. Data from Farside Investors supported these findings, showing net outflows of $580 million from spot Bitcoin ETFs for the week ending June 14.

These high outflows from Bitcoin investment products indicate waning investor interest, putting downward pressure on Bitcoin’s price. Large-cap altcoins have outperformed Bitcoin over the past week, led by XRP and Toncoin, which posted gains of 4% and 11%, respectively, according to CoinMarketCap data. Despite Bitcoin's 5.6% drop over the same period, it still outperformed several altcoins, including Solana and BNB Chain.

zkSync Token Launches Amid High Network Load and Security Concerns

The zkSync token (ZK) officially launched on exchanges on June 17. According to CoinMarketCap, the token has a total supply of 21 billion ZK and currently boasts a market capitalization of approximately $788 million. Upon its debut, the token was listed on major exchanges including Binance, Bybit, Gate.io, and KuCoin. Initially, the token's price surged to a high of $0.30 before settling to around $0.21.

The excitement surrounding the token launch was marred by a rise in malicious decentralized applications (DApps) impersonating zkSync. Following the announcement that over 695,000 wallets were eligible for the recent ZK token airdrop, these malicious actors took advantage of the situation. These bad actors exploited Twitter's (X) comment sections, particularly under zkSync’s posts, to distribute links to fraudulent DApps. Many of these accounts abused Twitter’s verified status to appear legitimate, thereby increasing their chance of deceiving users.

As the launch approached, zkSync experienced a high network load, leading to degraded performance in some remote procedure call (RPC) services. In an announcement on X, zkSync acknowledged the network strain and the resultant issues with RPC services, which are crucial for node communication and network operations such as sending transactions and querying data. The zkSync team assured users they were working on increasing RPC capacities and advised them to stay tuned for further updates.

The token distribution program, set to run from June 17 to July 16, aims to distribute 10.5 million ZK tokens to eligible users. However, the community has raised concerns about the methodology used to filter Sybil farms, which are multiple accounts created to exploit airdrop distributions. In response, the zkSync team has assured the community that they are addressing these concerns to ensure a fair and transparent distribution process.

SEC's Crypto Enforcement Chief Steps Down After Nearly Nine Years

David Hirsch, the head of the United States Securities and Exchange Commission's (SEC) Crypto Asset and Cyber Unit in the Division of Enforcement, has departed from the agency after nearly nine years of service.

"Last Friday marked my final day with the SEC after almost nine years," Hirsch announced on LinkedIn. "Throughout my tenure, I had the opportunity to engage in more complex and challenging investigations and issues than I ever imagined when I first joined the agency as a staff attorney in the Fort Worth Regional Office."

Hirsch expressed pride in the accomplishments of the Crypto Assets and Cyber Unit team, which he had the privilege of leading. "I'm particularly proud of the historic work done by the Crypto Assets and Cyber Unit team," he added. Although Hirsch did not reveal his future plans, he mentioned that he would share more details after taking a break. Before his tenure at the SEC, he served as a legal advisory board member at the NYU Center for Cybersecurity.

The SEC plays a crucial role in the evolving landscape of cryptocurrency regulation, especially as crypto becomes a contentious political issue in the U.S. ahead of the upcoming presidential elections. Recently, the agency has faced mounting pressure from lawmakers to approve spot Ethereum exchange-traded funds. Additionally, SEC Chair Gary Gensler has been a controversial figure among crypto enthusiasts, often perceived as antagonistic.

Significant Outflows Hit Crypto ETFs Amid Federal Reserve Concerns

Digital asset exchange-traded products and funds faced substantial outflows last week, shedding $600 million, the largest since March 22, according to a June 17 report by CoinShares.

The "Weekly Asset Fund Flows" report highlighted that the outflows were predominantly from Bitcoin investment vehicles, which saw an exodus of $621 million. In contrast, short Bitcoin funds experienced modest inflows of $1.8 million. The report attributed this capital flight to a more hawkish-than-expected stance from the Federal Reserve, which suggested maintaining high-interest rates. This outlook likely prompted investors to pull back from fixed-supply assets like Bitcoin.

Despite the bleak scenario for Bitcoin, altcoins showed resilience. Ether investment vehicles attracted $13.2 million in inflows, while LIDO and XRP investment products saw $2 million and $1.1 million respectively. Other altcoins, including BNB, Litecoin, Cardano, and Chainlink, also recorded small weekly inflows. However, these gains were insufficient, leading to a decline in total digital assets under management.

Despite initial enthusiasm following the launch of Bitcoin exchange-traded funds (ETFs) in the United States, many experts believe that institutional involvement is still nascent. Franklin Templeton CEO Jenny Johnson argued that institutional adoption is still in its infancy. She suggested that a more robust wave of institutional interest and capital deployment is likely to occur in a subsequent phase of investment.

Tether Launches Alloy, US Dollar-Pegged Stablecoin Backed by Gold

Tether is stepping into new territory with the launch of Alloy (aUSDT), a gold-backed stablecoin pegged to the U.S. dollar. According to Tether, Alloy will be overcollateralized by Tether Gold (XAUt), a token representing ownership of physical gold, while being pegged to the U.S. dollar. This arrangement makes Alloy a synthetic dollar, designed to emulate the value and functionality of the U.S. dollar without direct backing.

In an explanatory post on X, Tether described tethered assets as digital assets intended to track the reference price of another asset through various stabilization mechanisms. Alloy by Tether claims to offer long-term holders the chance to maintain gold exposure while simultaneously obtaining a dollar-referenced tethered asset for everyday transactions and payments. Alloy can be minted on the new Alloy by Tether platform, offering a unique blend of stability and flexibility for digital asset holders.

The introduction of aUSDT offers both stability and flexibility. Tether indicated that other tethered assets, including yield-bearing products, could also be developed on the Alloy platform. The synthetic dollar can be minted by depositing XAUt through a smart contract and price oracles, allowing users to conduct transactions with aUSDT while retaining their gold-backed Tether assets.

This development comes in the wake of Tether's record $4.5 billion profit in Q1 2024, primarily driven by Bitcoin and gold. The creation of aUSDT was spearheaded by Tether subsidiaries Moon Gold and Moon Gold El Salvador. Tether CEO Paolo Ardoino noted that Alloy by Tether will become part of a broader real-world asset tokenization platform launching later this year.

Australia Stock Exchange Approves First Spot Bitcoin ETF

Australia's largest stock exchange, the Australian Securities Exchange (ASX), has approved its first spot Bitcoin exchange-traded fund (ETF), set to commence trading on June 20. The new ETF, named the VanEck Bitcoin ETF (VBTC), will be issued by investment firm VanEck.

This approval comes on the heels of VanEck's recent success in the United States, where the firm launched the VanEck Bitcoin Trust (HODL), a spot Bitcoin ETF, on January 11. VanEck's CEO for the Asia-Pacific region, Arian Neiron, emphasized the growing demand for Bitcoin exposure in Australia, especially through regulated and transparent investment vehicles.

"We recognize Bitcoin is an emerging asset class that many advisers and investors want to access," Neiron stated. "VBTC also makes Bitcoin more accessible by managing all the back-end complexity. Understanding the technical aspects of acquiring, storing, and securing digital assets is no longer necessary."

The approval of VBTC marks a significant milestone as it is the first spot Bitcoin ETF to be approved by the ASX. However, it is not the first Bitcoin ETF to launch in Australia. Over the past two years, there have been two other Bitcoin ETFs introduced in the country.

The first Bitcoin ETF to debut in Australia was the Global X 21 Shares Bitcoin ETF (EBTC), which launched in April 2022. Most recently, the Monochrome Bitcoin ETF (IBTC) was approved and began trading on June 4 on Australia’s second-largest stock exchange, the Cboe Australia exchange. These previous launches indicate a growing acceptance and interest in Bitcoin investment products within the Australian market.

Lil Pump Flaunts New Solana Tattoo, While Celeb Coins Take a Hit

American rapper Lil Pump recently took to Instagram to showcase what appears to be a new tattoo dedicated to the blockchain platform Solana. In his post, the rapper revealed that he had already sold his Solana (SOL) tokens and playfully asked his over 14 million followers for their opinions on his fresh ink. "Like my new tats? I sold my SOL," he wrote.

The rapper, famous for his 2017 hit single "Gucci Gang," quickly garnered attention, with many fans expressing their disapproval of the tattoo. One user criticized the decision, saying they couldn't fathom getting tattoos removed from their forehead only to replace them with "some dumber ones." The authenticity of the tattoo was also a point of contention, with some followers questioning its legitimacy. One optimistic commenter wrote, "To the moon! Gucci gain, Gucci gain, Gucci gain!"

This tattoo revelation comes at a time when celebrity-backed crypto projects are experiencing significant downturns. On June 6, data showed that many tokens endorsed by celebrities had plummeted by at least 66%. High-profile names such as Caitlyn Jenner, rapper Rich the Kid, and Nigerian singer David Adedeji Adeleke Oon have all seen their associated tokens suffer severe declines after initial spikes.

The trend extends beyond these celebrities. Tokens linked to boxing legend Floyd Mayweather have also seen their values drop by about 90%. Despite these setbacks, the launch of new celebrity tokens continues unabated. For instance, on June 11, controversial social media figure Andrew Tate promoted a Solana-based memecoin called Daddy Tate (DADDY), which quickly surpassed Iggy Azalea’s MOTHER token, despite accusations of insider trading.

Solana's SOL Token Falls Amid Market Correction and Competitive Pressure

The price of Solana's native token, SOL, has experienced a significant drop of 7.22% in the past 7 days, reaching $150.33 on June 17. This decline outpaces the broader cryptocurrency market, which has seen a more modest reduction of around 1.5% over the same period. Several factors contribute to this underperformance, including growing competition from Ethereum (ETH) and stagnant inflows into the Solana ecosystem.

A major factor behind SOL's recent price drop is the increasing prominence of Ethereum, particularly in light of the potential regulatory approval for spot Ether exchange-traded funds (ETFs) in the United States. This development has significantly bolstered Ethereum’s market position, drawing attention and investment away from Solana. Since May 20, when the U.S. Securities and Exchange Commission (SEC) began contacting Ether ETF applicants to update their filings, the SOL/ETH pair has dropped by 22.65%.

Adding to the pressure on Solana, its market dominance has been declining. Since May 20, SOL's market share has fallen from 3.30% to 2.82%, while Ethereum’s has risen from 15.78% to 18.04%. This shift indicates a growing preference for Ethereum among investors, which is further supported by recent investment trends. According to CoinShares' weekly report, Ether investment vehicles attracted $68.9 million in the week ending June 8, significantly higher than Solana's $0.7 million inflows during the same period.

The decline in SOL's price also correlates with stagnant network activity within the Solana ecosystem. The total value locked (TVL) in Solana's leading projects, such as Jito, Marinade, and Kamino, has seen modest declines in their SOL reserves over the past 24 hours. Another contributing factor to SOL's price drop is the sharp decline in the number of users on decentralized exchanges (DEXs) on the Solana blockchain. As users exit the DEXs or the ecosystem, they may sell off their SOL holdings, increasing selling pressure without a corresponding rise in buying demand.

Largest Telecom Provider in Europe, Deutsche Telekom, Will Begin Mining Bitcoin

Deutsche Telekom, Europe's largest telecommunications provider, is set to venture into Bitcoin mining. This announcement was made by Dirk Röder, head of Web3 infrastructure and solutions at T-Systems MMS, a Deutsche Telekom-owned subsidiary, during the BTC Prague conference on Friday.

Röder, who sported a shirt featuring a pink Bitcoin graphic styled after Deutsche Telekom's logo, revealed the company's plans with evident enthusiasm. "Since 2023 we [have been] running a Bitcoin node and we are running Bitcoin Lightning nodes as well," he stated. Röder then hinted at an upcoming venture, saying, "And with a heart full of [...] pride, I would like to let you in on a little secret: we will engage in 'digital monetary photosynthesis' soon."

This cryptic announcement prompted Bitcoin influencer Joe Nakamoto to seek clarification, directly asking, "So is T-Mobile mining Bitcoin?" To which Röder responded succinctly, "We will."

Deutsche Telekom's foray into the cryptocurrency space isn't confined to Bitcoin. The company has been steadily increasing its involvement in various blockchain initiatives. In 2022, Deutsche Telekom extended its support to the Ethereum network by running validator nodes and collaborating with the liquid staking protocol StakeWise, joining its governance DAO. This move was in line with the company's strategy, which includes running a validation node for the Polygon network and supporting the Q and Chainlink blockchain networks. The firm also operate nodes on the Polkadot and Celo networks and makes direct investments in these protocols' tokens.

Notcoin Surges Over 15% as TON Reaches ATHs

Notcoin (NOT) experienced a significant surge on Friday, climbing over 15% and breaking above $0.20. However, at the time of writing, NOT has declined by 4.49% over the past 24 hours, and is currently trading at $0.20. The token is still up 4.73% in the past week, despite a wider market downturn.

Notcoin is a token on the TON blockchain and was airdropped to users of the popular Telegram-based "tap to earn" game. The game quickly gained immense popularity, even drawing praise from Telegram CEO Pavel Durov for its high level of user engagement.

This upward movement for Notcoin coincides with a broader rally in the TON blockchain ecosystem. TON itself broke through its previous all-time high and briefly surpassed $8.00 for the first time since the coin's launch. This reflects a growing interest and activity within the TON blockchain, driven in part by the increasing popularity of various Telegram-based "x to earn" games such as Hamster Kombat and Yescoin.

These games have reportedly attracted tens of millions of participants worldwide, although there are questions about the extent to which bots have inflated these numbers. Nonetheless, the simplicity of signing up, getting a wallet, and participating in these games has undoubtedly boosted TON blockchain activity and statistics.

Currently, the number of daily active wallets on the TON blockchain stands at over 547,000, according to data from Tonstat, and this figure is on a clear upward trajectory. This growth highlights the increasing adoption and usage of the TON blockchain, driven by the popularity of its associated games and the ease of user participation.