Issue #151

Regulation

1. Donald Trump has chosen Ohio Senator J.D. Vance as his VP running mate

-- Vance (i) is known for his support of the crypto industry and criticism of the SEC, (ii) plans to introduce a bill to regulate the industry and take a more favorable approach if elected, and (iii) owns $100-250k in bitcoin (disclosed in his 2022 financial report)

-- Trump now has the support of a16z co-founders, Elon Musk, Sam Altman, Peter Thiel, and many other prominent pro-crypto execs

2. Tether appoints Philip Gradwell, ex-Chief Economist at Chainalysis, as Head of Economics to enhance communication with regulators

-- Sentiment on Tether has soured with the onset of MiCA regulations in Europe

3. FTX and CFTC agree to settle for $12.7B pending court approval

-- CFTC foregoing recovery if FTX complies with reorganization plan, aiming to benefit creditors

4. EU releases crypto-asset classification guidelines to help firms comply with MiCA

-- Market stakeholders invited to comment by mid-October

5. South Korea’s inaugural crypto law Virtual Asset User Protection Act goes into full effect

-- Mandates local crypto exchanges to secure 80% of user deposits in cold wallets

-- The law also requires exchanges to monitor and report illegal trading activities, with penalties for non-compliance set by the Financial Services Commission

Infrastructure

1. TON Foundation introduces TON Teleport BTC to facilitate transfers between Bitcoin and TON (source)

2. Polygon unveils Plonky3 (source)

-- Boasting 5-10x speed improvements over its predecessor, Plonky2

-- Allows developers to build their own zkVMs/zkEVMs

3. StarkWare successfully verifies the first ZK proof on the Bitcoin Signet network

-- End goal is to scale Bitcoin using zk similar to how zk-rollups scaled Ethereum

Finance

1. State Street is considering launching its own stablecoin and tokenizing deposits

2. BlackRock CEO Larry Fink calls bitcoin a 'legitimate financial instrument'

-- Emphasized bitcoin's potential as a hedge against government currency devaluation and a tool for financial diversification

3. DEX to CEX spot trade volume hit at an all-time high of 13.76%

-- Factors like improved liquidity and user experience are driving the appeal of DEXs

4. Spot Ethereum ETFs likely to launch July 23

5. Grayscale launches Decentralized AI Fund for accredited investors

-- Initial investments include tokens from Bittensor, Filecoin, Livepeer, Near, and Render

6. Italy's top banks participate in €25M digital bond issuance on Polygon

7. Outlier Ventures, Morgan Creek Digital launch web3 Latam accelerator program

-- The 12-week virtual program, starting in September, offers up to $200k in funding, mentorship, and other support to startups focusing on blockchain-based financial solutions

Consumer

1. Stripe now allows online vendors in the EU to integrate a widget on their sites for users to buy Bitcoin, Ether, and Solana using credit or debit cards

2. Uniswap Labs publicly launches wallet browser extension

3. Telegram announces plans to enhance blockchain-related initiatives by introducing a mini app store and in-app browser supporting web3 pages

4. Messari CEO Ryan Selkis steps down amid overly-aggressive political tweets

-- CRO Eric Turner serving as interim CEO

5. Founder of crypto casino Zero Edge, Richard Kim, gambles away most of investors' funds

-- Galaxy and other investors reported his actions to authorities

-- Richard was formerly a GP at at Galaxy Interactive

6. Donald Trump plans to release his 4th NFT collection

7. Tools of Humanity delays unlock of 80% of WDL tokens held by team members and investors from 3 to 5 years, starting on July 24, 2024

-- This change aims to prevent a sudden increase in token supply

Security

1. North Korean hackers are using job postings to infiltrate crypto companies, employing social engineering tactics to access sensitive data and assets

2. Cross-chain protocol LI(.FI) loses estimated $12M in exploit

-- Security firms suspect an arbitrary call with user-controlled data as the root cause, reminiscent of a previous attack in 2022

-- The company's incident report: a breach due to a vulnerability in a new smart contract facet, allowing unauthorized calls to any contract

-- The company is now focused on assisting affected users in recovering their funds and collaborating with authorities and security firms

3. Indian crypto exchange WazirX loses $230M in exploit

-- Multi-sig wallet on Ethereum was compromised; custody provider Liminal and WazirX blaming each other

-- Elliptic suggests North Korea-affiliated hackers were responsible

-- The stolen funds make up 45% of the exchange's reserves

Research

1. Enhancing the concurrency of blockchain sharding (source)

-- Securely reducing shard sizes for higher concurrency via the Linked Cross-shard Endorsement (LCE) protocol

2. An attack synthesis framework against logical bugs in DeFi protocols (source)

-- Developed a domain-specific language (DSL) to map smart contracts into higher-level financial operations

3. Using graph neural networks to detect smart contract vulnerabilities (source)

-- Incumbent methods rely on static rules or heuristics, which aren't scalable

4. Reducing the latency associated with threshold cryptography (source)

5. Preserving blockchain transaction confidentiality (source)

-- Allows dApp developers to configure read-access policies so that only authorized actors can interpret encrypted transaction data while all blockchain nodes can verify its integrity

6. A dynamic transaction trace analyzer for smart contract invariant generation (source)

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