Weekly Report | Trump appoints David Sacks as head of the cryptocurrency sector; South Korean president announces emergency martial law; Solana co-founder: We need national XRP reserves
Sun Yuchen: May launch a "MicroStrategy" version of TRX on the Tron network; Hong Kong's "Stablecoin Regulation Draft" published, intended to be submitted to the Legislative Council for the first reading on December 18; The U.S. non-farm payrolls for November adjusted to 227,000, expected 200,000, previous value revised to 36,000.Organizer: Luan Peng, ChainCatcher
"What Important Events Happened This Week (12.2-12.8)"
1、Solana Co-founder: We Need National XRP Reserves
Solana co-founder Toly posted on X, stating: "We need national XRP reserves."
According to previous news, based on RootData market data, XRP's market capitalization has surpassed SOL, breaking 130.2 billion USD, ranking third in the cryptocurrency market capitalization leaderboard (excluding stablecoins).
Ryan Kim, founding partner of crypto investment firm Hashed, stated on social media that in 2014, Ripple Labs sold XRP in Korea through the "Ripple Market Korea" project as a "Ponzi scheme," attracting a large number of Korean investors. These early investors may have received substantial returns, and there is a real XRP community in Korea, which is why Koreans are buying XRP in large quantities.
According to a report from Korean media in November 2014, Ripple Market Korea completed its first round of sales within 2 hours on its opening day. The platform issued its own token RMK, promising to return transaction fee profits to users based on their holdings. At that time, the platform promoted XRP's advantages, such as its ability to exchange with various national currencies, investment from Google Ventures, and compliance with U.S. regulations.
Web3 asset data platform RootData tweeted that tokens compliant with ISO 20022 standards have performed strongly, with an average increase of 72.96% in the last 7 days, and a median increase of 63.94%.
It is reported that ISO 20022 is an international standard that provides a secure and standardized way to exchange financial messages between organizations in the payment industry. This standard will replace the SWIFT financial information system, which has been in use for 50 years, allowing banks and other financial institutions to facilitate global payments. The I020022 cryptocurrency list is a collection of compliant digital currencies and tokens that meet the International Organization for Standardization (ISO) 20022 standards. Many cryptocurrencies will be integrated into this new financial system, referred to as ISO 20022 compliant cryptocurrencies.
4、South Korean President Announces Emergency Martial Law
According to Jinshi News, South Korean President Yoon Suk-yeol suddenly delivered a televised speech tonight, announcing the implementation of "emergency martial law." Yoon listed several reasons, stating that the opposition party is manipulating the National Assembly and disrupting the country, and that he will purge "anti-national forces" within South Korea. Specific martial law measures are currently unknown.
Analysts suggest that the recent push by the opposition party in South Korea for a series of legislation targeting the president's wife and the impeachment of public officials may have triggered Yoon's announcement of "emergency martial law."
According to Yonhap News, after South Korean President Yoon Suk-yeol announced the implementation of martial law and lifted it more than 6 hours later, the largest opposition party, the Democratic Party, urged Yoon to resign immediately, stating that if he does not resign, they will initiate impeachment proceedings.
The Democratic Party issued a resolution containing the above content after convening an emergency parliamentary meeting. The resolution stated: "Yoon Suk-yeol's announcement of emergency martial law is a clear violation of the constitution and did not comply with any conditions required for the announcement (of martial law). The declaration of emergency martial law itself is invalid and constitutes a serious constitutional violation, which is a serious act of internal turmoil and a perfect reason for impeachment."
The Democratic Party stated, "If Yoon Suk-yeol does not resign immediately, we will represent the will of the people and immediately enter the impeachment process."
6、Insider: Trump Has Chosen Paul Atkins as SEC Chairman
According to three insiders, Trump has chosen Paul Atkins to serve as the chairman of the U.S. Securities and Exchange Commission (SEC). One source revealed that Trump has contacted Atkins and is waiting for his acceptance. Atkins' spokesperson did not immediately respond to a request for comment.
Current SEC Chairman Gary Gensler will leave office on January 20. Additionally, Atkins will need to be confirmed by the Senate unless Trump opts for a recess appointment during the Senate's recess. Paul Atkins previously served as an SEC commissioner during the George W. Bush administration and is known for opposing "imposing hefty fines on companies that violate securities laws." He has been a supporter of the crypto industry and is still active in his consulting firm, Patomak Global Partners, which he founded in 2009. Meanwhile, since 2017, he has also served as co-chair of the Token Alliance, an industry association advocating for digital assets and blockchain.
7、Justin Sun: May Launch a TRX Version of MicroStrategy
TRON founder Justin Sun posted on X, stating, "The success of MicroStrategy shows how innovation can overcome outdated regulations. Under the Trump administration, the U.S. has been unprecedentedly friendly to cryptocurrencies. How about directly creating a TRX version of MicroStrategy?"
8、Powell: Bitcoin is Like Gold, Existing in Digital Form
Federal Reserve Chairman Powell stated that Bitcoin is like gold, just in digital form. Bitcoin is used as a speculative asset; it competes with gold, not the dollar.
According to The Block, Ethereum Foundation researcher Justin Drake stated that Solana's golden age is coming to an end and will not pose a threat to Ethereum. Despite Solana's strong development momentum, Drake stated that Ethereum focuses on long-term gains.
He said, "Solana is currently at its peak, but I believe this will mark the end of Solana's golden age, as all of Solana's competitive advantages in latency and throughput will disappear due to fundamental architectural differences that make it non-scalable." Currently, Ethereum developers heavily rely on layer 2 solutions to provide faster and cheaper transaction fees.
Drake stated, "I believe layer 1 is competing with Bitcoin, while layer 2 is competing with Solana. Therefore, competing with Solana does not even fall within the responsibilities of layer 1; we should compete in terms of security and health. So if Solana has any competition, it needs to come from applications and layer 2."
10、Florida Expected to Launch Strategic Bitcoin Reserves in Q1 2025
According to The Street, Florida is expected to launch strategic Bitcoin reserves in the first quarter of 2025. Samuel Armes, president of the Florida Blockchain Business Association (FBBA), stated that Florida "is very likely to establish a strategic Bitcoin reserve during the upcoming legislative session (starting in Q1 2025)."
It is reported that the plan is based on Florida's existing investments in Bitcoin and crypto-related assets, which are made through its $185.7 billion pension fund, the fourth largest pension fund in the U.S. Armes stated, "Florida has already invested in Bitcoin and crypto-related assets through our pension fund." He suggested allocating 1% of Florida's $185.7 billion pension fund, or $1.857 billion.
11、Market News: Trump Appoints David Sacks as Head of Crypto
According to market news, Trump has appointed PayPal co-founder David Sacks as the head of crypto, responsible for leading U.S. policy and regulatory affairs in the cryptocurrency space. David Sacks is a well-known Silicon Valley investor and a supporter of blockchain technology.
12、Insiders: SEC Rejects Two SOL Spot ETF Applications
According to FOX Business reporter Eleanor Terrett, the U.S. Securities and Exchange Commission (SEC) has notified at least two applicants for SOL spot ETFs that their submitted 19b4 filings will be rejected. Insiders revealed that during the current administration, the SEC is unlikely to approve any new cryptocurrency ETF applications.
According to a press release from the Hong Kong Special Administrative Region government, Hong Kong today published the "Stablecoin Regulation Draft" in the gazette to introduce a regulatory framework for fiat-backed stablecoin issuers in Hong Kong. The draft aims to improve the regulatory framework for virtual asset activities to address the potential risks that fiat-backed stablecoins pose to financial stability, ensuring users have adequate protection and maximizing the benefits of virtual assets and their related technologies. Under the proposed licensing system, anyone engaging in any of the following activities must obtain a license from the Financial Management Commissioner:
(i) Issuing fiat-backed stablecoins in Hong Kong during business operations;
(ii) Issuing fiat-backed stablecoins claiming to be pegged to the value of the Hong Kong dollar during business operations;
(iii) Actively promoting the issuance of their fiat-backed stablecoins to the public in Hong Kong.
To effectively implement the system, the draft also proposes granting the Financial Management Commissioner necessary regulatory, investigative, and enforcement powers. The draft will be submitted to the Legislative Council for first reading on December 18.
Trump announced the appointment of well-known Silicon Valley investor David O. Sacks as the White House Director of Artificial Intelligence and Cryptocurrency. He posted on the social media platform Truth Social, stating, "I am pleased to announce that David O. Sacks will serve as the 'White House AI and Cryptocurrency Director.' In this important position, David will guide the government's policies in the two areas that are crucial to America's future competitiveness: artificial intelligence and cryptocurrency.
David will work to make the U.S. a clear global leader in these two fields. He will protect online free speech, keeping us away from the biases and censorship of big tech companies. He will work to establish a legal framework that provides the clarity the cryptocurrency industry has long sought, allowing it to thrive in the U.S. David will also lead the President's Council on Technology. David possesses the knowledge, business experience, wisdom, and pragmatism to make America great again in these two critical technologies. Congratulations to David!"
15、CryptoQuant Analyst: High Leverage and Slowing Buying Pressure Led to BTC Price Drop This Morning
CryptoQuant analyst Maartunn posted on social media analyzing the reasons for BTC's price drop this morning, including:
- The net buying volume on the Binance platform showed a significant amount of selling pressure, with buying power slowing down;
- This surge in BTC was driven by leverage, with open contracts increasing by over 15%;
- The above two signals coincided with market sentiment being "extremely greedy."
16、Binance to List Across Protocol (ACX) and Orca (ORCA)
According to an official announcement, Binance will list Across Protocol (ACX) and Orca (ORCA) and add seed tags for them.
Binance will list Across Protocol (ACX) and Orca (ORCA) for trading at 13:00 (UTC) on December 6, 2024, and open trading for the ACX/USDT and ORCA/USDT spot trading pairs.
17、Bloomberg Analyst: Total Holdings of Bitcoin in U.S. Spot ETFs Exceeds Satoshi's BTC Holdings
Bloomberg senior analyst Eric Balchunas posted on X, stating: "The total Bitcoin holdings in U.S. spot ETFs have just surpassed Satoshi's Bitcoin holdings, currently exceeding 1.1 million coins, more than anyone else in the world. These funds have been established for less than a year, making them essentially 'infant' level."
According to Jinshi News, the U.S. seasonally adjusted non-farm payrolls for November were 227,000, expected to be 200,000, with the previous value revised from 12,000 to 36,000.
19、DEXX: Will Not Run Away and Will Compensate, Calls to Stop Harm and Attacks
DEXX posted on X, stating: "To all users affected by this hacking incident, we deeply bow and sincerely apologize on behalf of the DEXX team. Due to negligence regarding security, user losses occurred. The DEXX platform is willing to bear all adverse consequences and do its utmost to compensate all users harmed in this incident.
We call for an end to harm and attacks, as we are the victim platform and you are the victims. Perhaps when everyone is about to give up and consider running away, your support is the motivation for us to persist.
We will not run away, we are willing to compensate, we will not abandon our users, and we are willing to protect the platform."
20、Market News: UK Has Banned Access to pump.fun Website
According to market news, the UK has banned access to the pump.fun website. According to a screenshot of the relevant notice, if accessed from the UK, it will prompt that the website is currently not open to UK users according to UK laws and regulations, and it also reminds users to withdraw tokens held in private wallets.
"What Exciting Articles Are Worth Reading This Week (12.2-12.8)"
This article excerpts some insightful points from Chris Dixon, co-founder and managing partner of a16z Crypto, in his new book "Read Write Own: Blockchain Network Trends and Potentials to Open Up a New Era of WEB3," compiled from related tweets by a16z. The following is the original text compilation:
Looking for deeper insights into the world of technology, business, and startups? Want to understand the history and future of the internet? Need a concise explanation of the cryptocurrency and blockchain movement and its significance? We have the answers for you.
Here, we have selected the sharpest excerpts and most provocative points from the New York Times bestseller "Read Write Own." This book is densely packed with information, deeply analyzing the hidden structures that determine how money and power flow on the web. The author, Chris Dixon, co-founder and managing partner of a16z Crypto, reveals how the networks that dominate our lives operate and how to restructure these networks to truly empower internet users.
The points discussed in "Read Write Own" provide a new way of thinking about business and life—from nurturing innovation to seizing disruptive opportunities and boldly betting on unconventional directions. OpenAI CEO Sam Altman described this book as "a compelling vision of the future of the internet and how to achieve it." Whether you are passionate about the crypto space, just starting to learn, or simply curious about the whirlwind of this field, this book can bring you value.
Here are the most captivating excerpts from the book, each containing important insights:
On December 5, Bitcoin surged past the $100,000 mark, once again setting a historical record, reaching an all-time high of $104,088. Meanwhile, the stock price of Boya Interactive (stock code: 00434.HK) in the Hong Kong stock market soared, with an intraday increase of nearly 30%, peaking at 6.43 HKD, a new high since July 2015.
As of the close of the Hong Kong stock market, Boya Interactive was quoted at 6.2 HKD, with a cumulative increase of 173.63% over the past month. The total value of the cryptocurrency assets held by Boya Interactive has approached $340 million. Meanwhile, the company's total market capitalization reached 4.279 billion HKD (approximately $556 million). The value of Boya Interactive's cryptocurrency holdings is gradually approaching its total stock market value, with the gap between the two narrowing.
Currently, Boya Interactive's cryptocurrency asset portfolio includes 3,183 Bitcoins, valued at approximately $331 million; 1,188 Ethereum, valued at $4.3 million; in addition, the company has invested $2.58 million in tokens such as ATOM and BNB.
Currently, the value of Bitcoin held by Boya Interactive is as high as approximately $331 million, and just from Bitcoin alone, its unrealized gains are close to $150 million. According to the BitcoinTreasuries data platform, Boya Interactive currently ranks eleventh in Bitcoin holdings among publicly listed companies globally, being the only Asian company in the Top 15 of publicly listed companies' Bitcoin holdings, regarded as the Asian version of "MicroStrategy."
With Bitcoin breaking the $100,000 mark, Boya Interactive has undoubtedly become one of the biggest beneficiaries of Bitcoin's rise. This Hong Kong-listed company, primarily focused on online chess and card games (with major products including Texas Hold'em, Dou Di Zhu, Chinese Chess, and Sichuan Mahjong), has achieved a dual leap in stock price and cryptocurrency assets through continuous accumulation of crypto assets and extensive layout in the Web3 field.
Since Boya Interactive officially announced its entry into the crypto field in August 2023, the company has approved a total of $200 million in funds for purchasing cryptocurrencies. Based on the current value of cryptocurrencies, this investment has realized an unrealized gain of nearly $200 million, with a return rate of up to 100%. During this period, Boya Interactive's stock price has also achieved a leap from a previous low of 0.5 HKD to the current high of 6.43 HKD, an increase of nearly 13 times.
In an interview with ChainCatcher, Boya Interactive stated: The cryptocurrency assets held have brought significant changes to the company in the capital market. In the past, Boya Interactive may not have been very prominent in the capital market, but since holding crypto assets, the market value of Boya Group has increased more than tenfold this year, attracting attention from global investors.
In addition to directly investing in crypto assets, Boya Interactive is actively exploring the transformation path of Web2 games to Web3, aiming to create new games that align with Web3 technologies and concepts. Besides its own business transformation, the company is also leveraging its years of experience in game development and operations, combined with advanced Web3 technologies, to invest in and incubate more quality Web3 projects.
This morning, Bitcoin finally broke through $100,000.
Since U.S. Republican presidential candidate Trump announced his victory in the 2024 presidential election, Bitcoin's market has surged, finally breaking through the $70,000-$80,000 price range and continuously setting new historical highs.
At this moment, "Bitcoin will become one of the national strategic reserve assets of the U.S." seems to be a possibility. Regardless of when this possibility materializes, the public capital market has reacted, with companies rushing to announce their purchases of Bitcoin as reserve assets.
According to incomplete statistics, around 60 listed companies globally hold Bitcoin. According to data from OKLink Research Institute, since the U.S. election situation became clear, 17 listed companies in the U.S. and Japan have announced their holdings or approval of Bitcoin as a strategic asset.
Unlike previous hype around concepts, using real money to concentrate on hoarding Bitcoin rather than other cryptocurrencies indicates that Bitcoin's consensus in mainstream capital markets is continuously strengthening. According to HODL15Capital data, globally, there are currently 22 listed companies holding more than 1,000 Bitcoins—valued at over $100 million in USD.
Among them, the most notable is MicroStrategy, which holds the largest amount of Bitcoin. The company's stock price has increased by 114.52% over the past year, with its market capitalization once exceeding $100 billion.
According to the 8K document released by the company on December 2, it is continuing to increase its Bitcoin holdings through a financing plan totaling $42 billion, leading to a continuous increase in its Bitcoin holdings.
Developing a Web3 application generally faces two major challenges: how to truly decentralize and have privacy security capabilities, and how to simplify development and reduce costs.
CocoCat co-founder Eric stated that currently, smart contracts can be easily implemented on the blockchain, but the front-end and back-end of applications are mostly deployed in traditional ways on cloud servers like Amazon and Alibaba Cloud, which brings some centralized security risks and high-cost issues.
Based on this market pain point, CocoCat has built a more privacy and security-focused decentralized P2P network called Cat Network, and through two productivity tools, CocoAPP Framework and Self-Service Protocol, it lowers the development threshold, providing project parties with a cheaper and more decentralized application deployment method.
Eric revealed that Cat Network can help developers reduce costs by over 90%, and it has already attracted around 400 project parties from public chains, DeFi, and Web2.
To further validate and visualize Cat Network's decentralization and privacy protection capabilities, Eric's core team has also developed a Web3 social product called CocoCat, which is completely decentralized and has stronger privacy protection compared to Telegram, and also includes more features tailored to Web3 user needs. The iterations on the CocoCat social application will also feed back into the underlying network, providing developers or project parties with capabilities that are more aligned with market demands.
5、Coin Center: Are We Too Optimistic About Trump's Potential Crypto Policies?
Cryptocurrency has garnered a lot of attention in the recent elections, with many wondering how friendly the new government and Congress will be. In short, we expect some areas to improve while others will still face challenges. We anticipate that good policies may be easier to implement in securities and banking regulation, while there may be clearer rules to regulate centralized secondary markets and centralized stablecoin issuers.
The outlook is less certain in the areas of anti-money laundering, tax reporting, and sanctions. Coin Center will continue to focus on protecting the rights of developers of self-custody and privacy software, as well as the rights of ordinary Americans who wish to use these tools. Here are our thoughts on these issues, along with our preliminary analysis of future opportunities and challenges.
6、XRP Soars, Reviewing 9 Associated Ecosystem Projects with Issued Tokens
The situation of favoring new tokens over old ones is reversing. The long-established Ripple coin XRP has continued to soar, with an increase of over 360% in the past month, and today its market capitalization has surpassed USDT and SOL, becoming the third-largest cryptocurrency. Additionally, XRP's market capitalization has also surpassed Pinduoduo, China Life, and Citigroup, rising to the 138th position in global asset rankings.
According to RootData's popularity trends, the tokens related to the XRP ecosystem are rapidly gaining traction, and ChainCatcher has briefly reviewed the projects related to the XRP ecosystem.
7、Bitcoin Breaks $100,000! New Milestone, New Starting Point
The new year has come early! Predictions have become reality, with more than 20 days left until 2025, Bitcoin has broken through $100,000, achieving a new milestone, and history is being continuously rewritten.
Since Trump was elected as the new U.S. president, Bitcoin has surged from $75,000 to $100,000, an increase of 33% in just one month. Compared to the $46,000 after the approval of the Bitcoin spot ETF at the beginning of the year, Bitcoin's price has more than doubled.
The historical high of $100,000 may also just be a new starting point for Bitcoin. In 2024, Bitcoin has created multiple histories under the combined forces of Wall Street, Trump, and others. Meanwhile, crypto assets, led by Bitcoin, may further bridge the gap with the mainstream world.
8、Hashkey Capital Report: Why Are We Bullish on Altcoins?
Since 2016, in four instances where Bitcoin reached new cycle highs, the altcoin index outperformed Bitcoin in the three months leading up to those highs, with the only exception occurring in the second quarter of 2016.
On December 3, 2024, South Korean President Yoon Suk-yeol suddenly announced the implementation of "emergency martial law," a decision that not only shocked the South Korean political scene but also triggered a serious constitutional crisis.
As always, cryptocurrency investors were among the injured, with Bitcoin prices on South Korea's largest trading platform, Upbit, briefly plunging to $65,000.
10、Analysis of Hyperliquid's Airdrop Model: Why Does the "Product First, Token Later" Model Win?
Multiple viewpoints can coexist:
- Hyperliquid's airdrop marks a turning point, reflecting a complete rejection of the market's trend towards "air software" dominated by insider-supported infrastructure, where these projects typically allocate only a small share to the community.
- Raising huge amounts of money at ridiculous valuations and then launching at absurd fully diluted valuations (FDV), ultimately leading to continuous declines in stock prices and selling to retail investors, is a bad practice.
- For most projects, unless the founders have previously earned tens of millions of dollars, it is difficult to do so without raising funds and without "insiders," even among team members.
Here are some thoughts on how to understand these seemingly contradictory viewpoints.
