August 11, 2024

A piece of news about the change of WBTC shareholders spread in the circle. It is reported that BitGO and BiT Global announced that they are creating a joint venture to diversify WBTC's custody and cold storage businesses across multiple jurisdictions. Bit Global is a strategic partner of Justin Sun and the Tron ecosystem. In short, WBTC's shareholders have joined the dangerous Sun. Affected by this, MakerDAO, as the largest application protocol of WBTC, is considering voting to reduce the scale of its guarantee for WBTC, which is a direct vote with its feet.

There are two main reasons why Sun's participation is a risk factor for a protocol. The first is that Sun's assets are diversified, but the transparency is poor. On paper, Sun does have billions of dollars in operations, but it is questionable whether these funds are related to the user funds of the two exchanges he acquired, and it is obvious that some of them are ill-gotten gains. The second is Sun's character. Many of his previous projects were endlessly cutting leeks, including the wave of acquiring Shuibi. I don't know how many people were cheated. However, I personally do not hold any WBTC, and I will not hold it in the future, because you should not touch any of Sun's projects.

The trend of Bitcoin has been stable in the past few days, but the exchange rate of Ethereum has pulled back a bit and quietly reached 2700. It has been a week since the 8-5 plunge. Objectively speaking, the probability of a second bottoming out has become very low, at least it will not be completed in the conventional way of falling. Therefore, for specific operations, half of the positions for bottom-fishing are not considered for the time being. This trend is expected to rise again, but considering that the second bottoming out has not been completed, I will continue to sell some when it rises, and continue to view it with the idea of ​​"wide range fluctuations".

The market is currently in a rebound relay, so if it continues to go sideways and rise steadily, the rebound is not over yet. In fact, it is understandable. After all, this wave of plunge was caused by an unexpected event, and there was obvious emotional miskilling. In fact, there were indeed serial liquidations on August 5. Since it was a sudden negative news, when this negative news did not cause further damage in the end, it means that it is difficult for the market to plummet again. However, because the bottom chips have not been fully digested, it is difficult to rise too much, and the overall situation is still a range of fluctuations.

Thank you for your attention and likes.