do not miss it! This is the most important week for the cryptocurrency community

In addition to Ethereum ETF, two important regulatory bills in the currency circle will also have results this week. Let you know in one summary:

🔶 SAB-121: This is a "Cryptocurrency Regulatory Accounting Principles" released by the SEC in 2022. Regulations would force any company holding or custody of cryptocurrencies to list these assets as liabilities

The SAB-121 bill is so unreasonable that it will even hinder the development of the cryptocurrency industry in the United States. The current situation is that both the Senate and the House of Representatives have passed the "repeal of the bill"

👉 Currently just waiting for Biden’s approval (results to be given before 5/28)

What’s interesting is that Biden said before the House of Representatives voted that he would oppose it, but a number of Democratic congressmen still chose to pass it. I wonder if this will make Biden change his mind.

🔶 FIT-21: formerly known as the "21st Century Financial Innovation and Technology Act", the goal is to provide a clear framework for the classification of digital assets, such as which are "securities", which are "commodities", which are regulated by the SEC, and which are regulated by the CFTC Tube

FIT-21 bill = Congress disagrees with Gary Gensler’s attitude that “cryptocurrencies do not need to be enacted separately” and believes that cryptocurrencies need to be given sufficient regulatory transparency. This bill will be discussed and voted on in the House of Representatives tomorrow, and the voting results will be available on 5/23 at the latest.

🕵️ Apart from the bill itself, what I want to see is whether the attitudes of Biden, the Democratic Party, and the SEC towards the currency circle will be shaken due to the election poll results. According to the latest U.S. polls, Trump has been leading Biden, and the ruling party’s regulatory attitude towards the currency circle is likely to open this gap.

The regulatory attitude of the United States towards the cryptocurrency industry has always been one of the fundamental aspects that I focus on observing. If this election can bring more regulatory transparency to the cryptocurrency industry, it will definitely be a good thing for future development.

How to plan the "Ethereum Cancun Upgrade"?

This major upgrade is expected to be completed on March 13. Upon completion, the handling fee of Ethereum L2 will be reduced by more than 10 times.

In my opinion, this can mainly bring two major benefits👇

🔶Re-ensure Ethereum’s leading position as a “modular public chain”

Recently, with the rise of the Celestia ecosystem, Manta, Dymension, and Cosmos have attracted a lot of attention and are growing very fast. However, when it comes to the richness of the ecosystem, Ethereum and Layer2 (Arbitrum, Optimism) can still firmly hold the first place.

This Cancun upgrade can draw public attention back to Ethereum and help the Ethereum ecosystem continue to grow

🔶Attract GameFi, SocialFi, and DePIN back to the Ethereum ecosystem

Currently, Solana's "high-performance single-chain design" has led many projects to choose to develop on Solana (such as Render, Helium) instead of choosing Ethereum, which has a richer and safer ecosystem. The main reason is - too expensive!

This Cancun upgrade will solve this problem. The low handling fees will make more projects willing to use Ethereum’s Layer2 as the underlying architecture, increase the usage scenarios of ETH, and drive more narratives.

After the upgrade, the profitability of Ethereum Layer 2 (such as Optimism and Arbitrum) will increase significantly. Assuming that token holders have a way to obtain profit distribution in the future, it will be a great benefit to the L2 token ($ARB , $OP ).

(However, please pay attention to the unlocking schedule of tokens. For example, $ARB will soon have a large amount unlocked)