Henrique Bucher

People are overlooking the critical relationship between #XRP and any #stablecoins being built on the #XRPLedger People forget that #XRP is the native asset of #Ripple’s protocol, the technology that sets the rules, designed to bridge all #currencies and other digital assets through interoperability and to provide the #liquidity necessary to settle and facilitate all cross-border transactions of digital assets Stablecoins like #RLUSD, built on the #XRPL and pegged either to devalued fiat currencies like the USD or to hard assets and #commodities like #gold, depend on the very infrastructure they’ve been built upon for their transactions and liquidity. This directly links them to #XRP’s value and functionality For those who have done their research, it’s clear that the #BIS is planning to launch new stablecoins tied to central bank reserve assets such as gold. This is why central #banks are increasing their gold reserves, which will contribute to the value of the XRPL ecosystem So, despite their different roles and functionalities, #XRP and the stablecoins built on the ledger are deeply interconnected through the infrastructure.

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💡 Blockchain, pandas and redundancy 💡 - sometimes just knowing why a thing is, in an era of GAI and failing search, is the most valuable thing What has pandas got to do with blockchain and redundancy? 1️⃣ You'll see me use a panda emoji a lot. That's a very shorthand way of signaling that I support blockchain technology as a technology. Pandas became a meme in blockchain a long time ago i.e. 2016-2018 2️⃣ The origin of the panda meme is so old its forgotten and can't be searched. I believe it was an inside joke that morphed. At the time (2016) there were less blockchain developers than pandas i.e. less than 1,000-2,000 i.e.2. the number of pandas in the wild when conservation efforts started. i.e.3. so tiny. 3️⃣ The reason why it is funny is that there's conservatively around 5-10 million developers globally for each major programming language eg Python, Java and Javascript (boo libraries), C++, SQL, even COBOL (1 million) - i.e. a hopelessly large multiple - so much, so dry, sarcasm to find the panda meme funny. 4️⃣ People rapidly forgot the origins of the meme because it was such a small group who came up with it, and it became a rallying call and then just a positive thing. That the origins were lost, was also not lost, on the sarcastic. 5️⃣ The developer population is important when you're selling blockchain for financial services or more broadly, because redundancy (availability of more devs) is really important for adoption. This pressure to increase the blockchain developer community created the Ethereum 1 million devs initiative. It is inherent in what you want to say, but hesitate to, if you work in blockchain. As of 2023 there were about 20,000 blockchain devs globally, dominated by EVM compatible chains - see https://lnkd.in/gpwQFY75 Try asking ChatGPT 4.0 for that statistic. So 20,000 is a 20X in a short period of time and that's more than enough to support financial services development. But that's also a long way to go to even 1 million devs, even further to go to 10 million. I don't want to say blockchain is early because how early can something 15 years old be, but it is by the developer community size, still so early.

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Looking at my actual token consumption over the last 3~ months with Claude 3.5 Sonnet Claude 3.5 Sonnet Total (actual): $246.53 If I used O1 for every single call, that number would instead be: O1 Total: $1,158.00 (~4.5x) O1-mini Total: $231.60 (same) If O1 can clearly outcompete Sonnet for quality, it could even SIGNIFICANTLY reduce total consumption, meaning I would actually come out closer to even in $$$ and way ahead in time.

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Federal Reserve Bank of New York - Regulating Decentralized Systems: Evidence from Sanctions on Tornado Cash Source: https://lnkd.in/gsndy9ke #fed #us #regulation #decentralized #systems #defi #evidence #sanctions #tornado #cash #interesting Credits: Anders Brownworth Jon Durfee Michael Junho Lee Antoine Martin Highlights: 1. We find that the level of cooperation weakens along the settlement chain. In general, the total value and volume of Tornado Cash drops precipitously and remains so for our sample period following the announcement of the sanctions. Although Tornado Cash transactions are continuously settled throughout our sample period, an increasing number of large builders, who are responsible for selecting transactions for settlement, cooperate with the sanctions by excluding Tornado Cash transactions from their blocks 2. We demonstrate that although Tornado Cash transactions continue to be settled, censorship-resistance appears more tenuous than what the transaction volume suggests. In particular, one major block builder is responsible for a majority of non-cooperative blocks towards the end of our sample period. Given that the market for block building is open, the withdrawal of other established builders from building non-cooperative blocks sheds light on the fragility of censorship-resistance of the Ethereum network 3. Our analysis indicates that non-cooperation is not driven by pecuniary motives or operational constraints, and instead by philosophical reasons. We observe several proposers who throughout our sample only validate cooperative blocks, which confirms the feasibility of cooperation, even if the contents of blocks cannot be examined by a proposer. Second, we find that non-cooperative blocks are systematically less profitable than cooperative blocks. We attempt to assess the impact of OFAC sanctions cooperation across different Ethereum communities and actors by analyzing on-chain Ethereum data. We ultimately find that cooperation with sanctions is mixed. We see an initially significant impact at first with respect to Tornado Cash volume and utilization – this effectively deteriorates the anonymity it can provide. We observe that Tornado Cash transactions are not being excluded at the proposer level given the fact the largest proposers process blocks with Tornado Cash transactions. However, it is important to note that it seems possible to develop a cooperative proposer ecosystem; our data indicates other proposers’ source cooperative blocks from builders that produce both cooperative and non-cooperative blocks. This use-case shows Ethereum is not immune to censorship and cooperation – different actors across the ecosystem have different roles that influence where censorship and cooperation can be enforced. The Ethereum community is attempting to grapple with this situation in various ways 

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🪙 Bitcoin back above $70k and ETH hits $3.7 as Bloomberg analyst raised the spot ETH ETF approval odds from 25% to 75% as they felt that SEC will do a 180 on this. 😲This would come as a surprise as more of the crypto community that I know felt the chances of the approval is low. We shall see how this plays out! https://lnkd.in/giqnR_ak #ETH #spot #ETF #SEC #Bitcoin #crypto

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💡RWA Tokenization Standards 💡 - This is a really great map and quality assessment for Ethereum Request for Comment (ERC) standards, for security tokens or what is now more commonly called RWA tokens. 🤠🐼 What do you need to know? 1️⃣ Classification is important because it helps people be clear about what they are describing. Security tokens are a sub class of real world asset (RWA) tokens designed to be securities. ERCs are a way to be specific about the Ethereum code and more particularly the “smart contract” (not smart, not a contract). 2️⃣ This map assumes we are in Ethereum Virtual Machine (EVM) compatible land (you mostly are). Other layer 1s such as Solana have taken a different approach. 3️⃣ The ERC1404 is probably the most active of these standards https://erc1404.org. It looks like it is related to other ERC1400s but really it is its own thing. 4️⃣ From a practical point of view what matters most is whether a custodian “supports” that standard. In some cases they only support ERC20s or reverse compatible with ERC20. Others support a wider range. But you custody something else, the private key. Always start where you will finish. 5️⃣ If you do compliance for RWA tokens, especially FINRA, all you want is a label that says “No Creating Bearer Bonds*” (*unless you really know what you are doing, come ask me first). If this is sounding 🌟arcane🌟 it pretty much is. We should probably stop speaking in three letter acronyms. What really you need to know about is the care and feeding of Ethereum designers, developers and project leads and why those are different - and then hand this all to them. Also care and feeding of your in-house compliance person. More on that another day 😀🤔

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https://lnkd.in/gH7-eH5C Also..... The largest single category of that stablecoin-enabled crime was sanctions evasion. In fact, across all cryptocurrencies, sanctions evasion accounted for more than half of the $24.2 billion in criminal transactions Chainalysis observed in 2023, with stablecoins representing the vast majority of those transactions. ------- As I pointed out in my public consultation to Legco since much of the Hong Kong Executive Council including the Chief Executive, Secretary of Security, and Chief of Police are under US sanctions, Hong Kong should encourage the development of virtual assets to advance Chinese national security. Because I am a US citizen, I can't be directly involved in sanctions busting activities, but I can salute the people who are. Anyway Legco has asked Customs and Excise to do a survey of the OTC markets to see what's going on, and I think they will find a bunch of patriots that are using their skills at moving money to advance Chinese national security. Turns out when you run a cash business, you want clean, honest, effective cops, and you aren't that happy when there are riots everywhere. Kind of bad for business.

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Robinhood acquires Bitstamp - one of the oldest EU based crypto exchanges. Also has Singapore licensing as of earlier this year. Two perspectives: (1) It was an all cash deal. It is an exit for the founders and their investors. It shows mainstream crypto adoption vibes. (2) At $200M whether you believe what's on Crunchbase or not, 10+ years after getting started, that's a terrible IRR from a founder and VC perspective. Just to put this in context, Binance has just paid $4.3B in US fines, that's with a B.

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Crypto & Macro Daily Update 📰 🔷 #Bitcoin mining revenue hit its lowest point in 2024 this August, dropping to $851.25 million—a $99.75 million decrease from July's $951 million. 🔷 SEC may challenge the FTX estate's proposal to repay creditors in stablecoins. 🔷 Bitcoin whales are on the rise, with wallets holding 100+ BTC reaching a 17-month high. 🔷 QCP Capital notes Ethereum’s significant underperformance compared to Bitcoin in August. 🔷 Global crypto investment products experienced $305 million in weekly outflows, according to CoinShares. 🔷 Kamala Harris' election odds have slipped to 47% on Polymarket as Trump gains ground. 🔷 During the week of August 26-30, Bitcoin spot ETFs had net outflows of $277 million, while Ethereum spot ETFs saw $12.6 million in outflows. 🔷 Qatar introduces a new regulatory framework for digital assets to boost its financial sector. 🔷 Metaplanet, a top Japanese Bitcoin investor, has teamed up with Ripple’s associate SBI VC Trade to enhance its Bitcoin trading, storage, and financial strategy. 🔷 According to Lookonchain analysts, the top 10 meme coins have dropped an average of 63.73% from their all-time highs over the past year. 🔷 Cardano’s Chang hard fork has been successfully implemented, marking a shift toward decentralized governance. 🔷 OKX secures a license in Singapore, with a former MAS official now leading as regional CEO. Stay informed and trade wisely! 🔥 Please join me on telegram channel for regular updates on macro and crypto : t.me/hashtalk1

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🚀 US Bitcoin ETFs vs. German BTC Sell-Off: Who Influences More? 📉 Which has a greater impact on the market: US ETF inflows or German sell-offs? Share your thoughts!

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The RWA Revolution Recent reports from Binance and Chainlink highlight the explosive growth in Real-World Assets (#RWAs) tokenization. Here are the key takeaways: 📊 Market Size: Total on-chain RWAs have hit an all-time high of $12B+, excluding the $175B+ #stablecoin market. Projections suggest this could reach $10-16T by 2030. 🚀 Leading Categories:   - Tokenized US Treasuries (grew from $769M to $2.2B in 2024)   - Private credit   - Commodities (dominated by gold) 🏦 Institutional Involvement: BlackRock, Franklin Templeton, and WisdomTree Asset Management are driving growth with tokenized products like #BUIDL and #FOBXX. 🧰 Technical Considerations:   - Smart contracts and #oracles are crucial infrastructure   - Emerging focus on RWA-specific oracles for enhanced security   - Growing interest in zero-knowledge technology for privacy and compliance 🤔 Challenges:   - Centralization concerns   - Regulatory uncertainties   - Upcoming interest rate cuts may impact yields The time has come for asset managers to prepare for this tokenization wave as the potential benefits surpass the technical and regulatory complexities. Credits (Chainlink): Colin Cunningham Raoul Schipper Wei Dai Jimmy Haight Andreas Beak Credits (Binance): Shivam Sharma and Chloe Tan #Tokenization #FinTech #Blockchain #AssetManagement

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This is a fascinating read. The speed and sophistication of new types of alleged fraud is remarkable. https://lnkd.in/e6UXHvk4

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Why do folks think Traders are tech bros? When you come to me asking for solutions to tech related problems because I’m a trader who sits in front of a PC, you are really trying to fit a square peg in a round hole While I might not be up to date with my knowledge on recent technologies, I care about how the emergence of a new technology will shape the business landscape and ultimately impact the financial markets and companies driving these new technologies. So with Ai, I’m not looking to be an expert on use of Ai or software operations. I’m looking to see how the world is adapting to the technology, how the companies involved are competing against each other in the markets and how investors are responding to the competition with their bets on these companies. A Trader is not a Tech bro, he might understand the basics of computers and networks, but he’s not a tech bro who understands systems, networks and programming languages.

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Some crazy crypto token unlocks coming up. See below If existing and new tokens continue to unlock / issue - there is no bull market in #Altcoins coming. The mafia of some notorious Founders / VCs / Exchanges / market makers will sell these coins to accumulate majors - aka BTC/ETH/SOL. Which is the only game in town. Short term degen narratives like memecoins will be for retail to become exit liquidity to snipers - akin to gambling. No one became a millionaire going to casino everyday. Token Unlocks • Sei - 0.16% of supply worth $1.43m today on Aug 15th • ARB - 2.77% of supply worth $51.91m on Aug 16th • APE - 2.31% of supply worth $9.08m on Aug 17th • ASTR - 0.14% of supply worth $570.36k on Aug 17th • ENA - 0.82% of supply worth $4.78m on Aug 18th • KDA - 0.04% of supply worth $55.68k on Aug 18th • ROSE - 2.24% of supply worth $9.02m on Aug 18th • PIXEL - 7.05% of supply worth $7.44m on Aug 19th • AVAX - 2.41% of supply worth $199.90m on Aug 20th Want to read in more detail? Subscribe here https://lnkd.in/gkQm_Zy5 Want live action & pure alpha without random noise? Subscribe here https://t.me/hashtalk1 Follow, learn and track live crypto trades as we take them - with conviction and in total transparency https://lnkd.in/gDvKYJ-2

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#Bitcoin Traders: Crucial Moves Before Tonight's #CPI and #FOMC. 👇1-12) Tonight’s double macro-event of CPI and FOMC appears to be a coin flip after last week’s higher-than-expected US #employment data, which caused most Wall Street banks to push out their first rate cut expectations towards September, if not later. Although the interest rate-sensitive #Nasdaq has continued to make new all-time highs, Bitcoin has declined from 71,000 to 67,000. 👇2-12) Bitcoin could break to new highs if prices climbed above 72,000 (71,946). However, we have warned that over-positioning in #Ethereum (leveraged) futures could cause unwinding with negative implications for #Bitcoin (here) and preferred Bitcoin over Ethereum (last week BTC -5% vs. ETH -9%). Our report on Monday showed the chart below, as Bitcoin traded dangerously close to the uptrend line (purple). 👇3-12) Full report: https://lnkd.in/gMabckij

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Bitcoin, Ether Rally Cools Following U.S. Ether ETF Listing Approval The recent approval of the Ethereum Exchange-Traded Fund (ETF) heralds a strategic shift in the cryptocurrency landscape. As a leading digital asset, Ethereum's ETF opens a floodgate of opportunities for savvy investors. Retail and institutional players can now seamlessly tap into Ethereum's growth potential with regulated ease. The Ethereum ETF approval acts as a strategic catalyst, streamlining access for retail investors and enticing institutional giants into the crypto realm. This move not only adds a layer of legitimacy but also primes the market for heightened liquidity and price stability. This strategic maneuver is poised to spark a great bull run in the crypto space. With increased accessibility, market legitimacy, and higher liquidity, Ethereum's ETF sets the stage for a wave of sustained growth and mainstream adoption. Brace for a transformative period as the Ethereum ETF kickstarts what could be the dawn of a major crypto boom.

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