News und Insights

The world of decentralised finance (DeFi) is having a rough time. Token values have dropped significantly, and one of its popular projects – Terra’s algorithmic stablecoin UST – completely imploded a few weeks back. Yet another incident that shed some bad light on DeFi recently happened in the Solana ecosystem. Through a governance vote on the Solana-based lending and borrowing protocol Solend, users voted to grant “special” parties the rights to liquidate a borrower’s assets. Although the vote was conducted on-chain, there was a quirky element to it. It was launched without announcement and one wallet paid $700,000 for additional voting power, ultimately making up 90% of votes.

Following the publication of yet another 40-year record CPI print of 8.6% in the US on June 10th, the crypto markets corrected heavily. And with prices coming down significantly, the current bear market took its next toll. New York-based crypto lending company Celsius Network saw its own token correct more than 50% in a few hours.

After the epic Terra ecosystem collapse with LUNA and UST going to virtually zero, the project was recently relaunched according to a pre-set revival plan. Following a vote, over 65% of all community members voted in favour of starting Terra as a completely new blockchain.

In an epic but tragic demise, algorithmic stablecoin TerraUSD lost its pegging. This sent LUNA onto a death spiral to zero dragging down the entire Terra Luna ecosystem with it.

The popular instant messaging app Telegram has integrated Bitcoin as well as its cryptocurrency called Toncoin. Users of the app can now send and receive either Bitcoin or Toncoin.

For the first time in its history, decentralised exchange (DEX) protocol Uniswap is faced with a class-action lawsuit. Initiated by an individual called Nessa Risely, who lost a lot of money using crypto’s most famous DEX, two U.S. law firms have joined the action and invited anyone that has lost money as well trading on Uniswap to join the class action lawsuit.

It was taken as a huge relief within the crypto space: The much-discussed proposal to ban Proof-of-Work (PoW) based cryptocurrencies was recently rejected in the EU Parliament. Soon after though, the next wave of trouble came rolling in.

It seems as if the global cryptocurrency space is looking at clearer regulatory guidance to be adopted soon. In the U.S., President Biden’s recent executive order represents the first all-encompassing government approach to clearly lay out proper regulation of crypto assets.