Issue #97

Regulation

1. SEC approves 11 spot Bitcoin ETF applications

-- Approved issuers: BlackRock, Grayscale, ARK 21Shares, Bitwise, WisdomTree, Fidelity, VanEck, Invesco, Valkyrie, Hashdex, and Franklin Templeton

-- Issuers now competing on fees; Franklin Templeton currently offers the cheapest solution

-- ETFs recorded $4.6B and $7.1B in cumulative trading volume on the 1st and 2nd days, respectively

2. Korean exchange Upbit receives a Major Payment Institution (MPI) license in Singapore

3. CFTC advisory committee is urging policymakers to implement AML/KYC in DeFi

4. Apple removes offshore crypto exchanges from India app store

-- This follows the issuance of compliance show cause notices by the Indian government (source)

-- Government still working to block the URLs of the exchanges

-- Affected exchanges still available via Google's Play Store for now

5. Crypto custodian BitGo receives in-principle approval for a MPI license in Singapore

6. Genesis Global Trading agrees to pay $8M fine and cease operations in New York

-- Allegedly violated rules related to AML compliance, suspicious activity reporting, and cybersecurity

Infrastructure

1. Developer retention for Solana increases

-- According to the Solana Foundation, developer retention increased from 31% to 50% in 2023

-- The ecosystem maintained 2.5k-3k monthly active developers

2. BitMEX Co-Founder Arthur Hayes joins Ritual as an Advisor

-- Ritual is developing a network of modular execution layers with nodes that host AI models

Finance

1. CoinShares acquires the ETF unit of Valkyrie Investments, following approval of its spot Bitcoin ETF application'

2. Injective releases real world asset tokenization module

3. PayPayl's stablecoin market cap grows 70% over last month to $290M

-- Crypto(.com) now holds the largest portion of tokens

Consumer

1. Fox partners with Polygon to combat deepfakes and LLM-generated content

-- Developed an open source tool called Verify that allows publishers to register content and cryptographically sign it onchain, enabling consumers to identify trusted sources

2. Taproot Wizards launching its first Bitcoin NFT collection called Quantum Cats

-- A homage to the Bitcoin improvement proposal known as OP_CAT

3. Super Nintendo Entertainment System (SNES) emulator inscribed onto Bitcoin

-- Allows users to play classic Nintendo games on Bitcoin

4. Sotheby is hosting its 2nd Bitcoin Ordinals auction

-- Called "Natively Digital: An Ordinals Curated Sale"

-- Auction closes on Jan 22nd

Security

1. Telcoin restores all user balances after an exploit that resulted in $1.2M of user funds stolen

Research

1. Proof of stake mechanisms with strong cryptoeconomic security (source)

-- Cryptoeconomic safety: cost of corruption > profit from corruption

-- Strong cryptoeconomic safety: no honest user of the system suffers any loss of funds

2. A decentralized architecture for conditional information reveal systems (source)

3. Tracking the use of crypto on the dark web (source)

-- Discovered 1.2k illicit blockchain addresses, which account for 91 BTC in revenue

4. Detecting anomalies in blockchain transactions using machine learning classifiers and explainability analysis (source)

5. Enforcing control flow integrity (CFI) in the root-of-trust (RoT) (source)

-- Integrates the CFI enforcement policy in RoT firmware, whereas recent techniques require ad-hoc binary toolchains or design of CFI primitives in hardware

6. A meta-analysis of blockchain-based federated learning systems (source)

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