Weekly Highlights in the Crypto Space

Key Developments

Musk Suggests DDoS Attack Delayed Trump Interview on X

Elon Musk, the owner of X, announced that the platform experienced a significant distributed denial-of-service (DDoS) attack just as he was about to conduct an interview with Donald Trump, a U.S. presidential candidate.

On August 12, Musk tweeted, “There appears to be a massive DDoS attack on X. Working on shutting it down.” Such attacks aim to overwhelm a network or service with excessive traffic, making it difficult for legitimate users to access it.

Technical difficulties hindered the Trump-Musk interview scheduled for 8:00 PM Eastern Time, with several users unable to join. Despite the issues, approximately 120,000 users still accessed the stream. Musk reassured followers that the system was tested earlier that day with eight million simultaneous listeners.

The interview commenced around 8:30 PM ET, with Musk noting it proceeded with a smaller audience and promised to release unedited audio shortly thereafter.

Musk stated, “As this massive attack illustrates, there’s a lot of opposition to people just hearing what President Trump has to say,” during the interview opening.

US Court of Appeals Revives HEX Case Against Binance.US

A U.S. appeals court has partially refuted a previous dismissal of a class-action lawsuit alleging price manipulation of the Hex (HEX) token by Binance.US.

A three-judge panel from the Ninth Circuit Court stated that the plaintiff, Ryan Cox, has made substantial claims against Binance.US and CoinMarketCap.

Cox’s lawsuit, initiated in 2021, asserts that Binance manipulated HEX’s ranking on CoinMarketCap, a platform owned by Binance, thereby affecting its trading price compared to Binance’s other cryptocurrencies.

A lower court had previously dismissed the case, citing insufficient connections between Binance.US and the alleged manipulation in Arizona, where the lawsuit was filed.

Kamala Harris to Uphold Biden’s Crypto Regulatory Stance

Kamala Harris, the U.S. Vice President and current presidential aspirant, is reportedly set to maintain the Biden administration’s strict approach towards cryptocurrency regulation.

Harris is collaborating with former economic advisors Brian Deese and Bharat Ramamurti, both of whom opposed the more lenient Clarity for Payment Stablecoins Act of 2023.

Analysts suggest that Harris’ selection of advisors indicates her intent to continue a tough regulatory framework for the crypto sector. Plans concerning her economic policy agenda are expected to be revealed in an upcoming speech.

US Government Transfers $590M Worth of Bitcoin to Coinbase

The U.S. government recently transferred nearly $600 million in Bitcoin to Coinbase but analysts believe this will not lead to increased selling pressure. Approximately 10,000 Bitcoin, valued at over $593 million, was transferred on August 15.

According to data from Arkham Intelligence, the Bitcoin was sent to a deposit wallet belonging to Coinbase Prime. Despite initial concerns, Ryan Lee from Bitget Research stated that there is little indication that the Bitcoin will be liquidated.

“This does not mean that 10,000 Bitcoin have already been sold,” he noted.

Large holders of Bitcoin, often referred to as whales, can greatly influence the market, and their transactions are closely monitored by investors.

MetaMask Introduces Pilot Self-Custody Debit Card with Mastercard

MetaMask, a well-known decentralized finance wallet, has teamed up with Mastercard and Baanx to launch a pilot program for a self-custody debit card in the UK and EU, with plans for broader distribution in the future.

This card allows users to hold their digital assets until a transaction is made, at which point their cryptocurrencies are converted to fiat for retail payments.

Lorenzo Santos, a senior product manager at Consensys, emphasized that users must hold their crypto on the Linea network to set spending limits on the card, share details regarding the transaction process, and confirm the smart contract’s functionality for conversions.

Market Overview

This week, Bitcoin (BTC) is priced at $59,006, Ether (ETH) at $2,597, and XRP at $0.56. The total cryptocurrency market capitalization stands at $2.08 trillion.

Winners and Losers

• Top Gainers:
  • Aave (AAVE) at 16.01%
  • THORChain (RUNE) at 15.15%
  • SATS (1000SATS) at 8.75%
• Top Losers:
  • dogwifhat (WIF) at 22.86%
  • Brett (Based) (BRETT) at 18.89%
  • Pepe (PEPE) at 15.48%

Notable Quotes

“The combination of a dollar liquidity-inspired Bitcoin and Ether rally into year-end will create a strong foundation for the return of a sexy shitcoin soiree.”

Arthur Hayes, co-founder of BitMEX

“NEW EVIDENCE THAT Kamala Harris WILL CONTINUE CRYPTO CRACKDOWN. Her advisor choice suggests she will keep Biden’s hostile attitude to crypto.”

Alex Thorn, head of research at Galaxy Digital

“Decentralized prediction markets are a significant innovation with real public utility.”

Tyler Winklevoss, co-founder of Gemini

Forecast of the Week

Bybit’s Prediction: Bitcoin’s Bull Rally Expected to Last Another 350 Days

Despite experiencing corrections, Bitcoin’s resurgence could continue for up to another year. A report by Bybit indicates that based on historical price trends, the current cycle may extend its rally into the latter half of 2025.

The report highlights that a trough-to-peak ratio indicates potential for another 350 days of growth, all while Bitcoin seeks to recover from a significant market sell-off.

Controversial Issues of the Week

ASX Faces Lawsuit Over Misleading Blockchain Project Statements

The Australian Securities and Investments Commission (ASIC) has initiated legal action against the Australian Securities Exchange, alleging that misleading statements were made regarding its now-abandoned blockchain project.

ASIC claims that the ASX’s assertions about the project’s progress were inaccurate and lacked a reasonable basis.

Canadian Exchange Fraud Case Revealed

The Canadian cryptocurrency exchange ezBtc and its founder have been found guilty of defrauding customers by misappropriating approximately $9.5 million in digital assets for personal use, including gambling.

The British Columbia Securities Commission revealed that ezBtc falsely claimed to secure user funds, bringing significant losses to their customers.

Solana Whale Continues Major Token Sales

A major holder of Solana continues to liquidate their assets, with recent transactions totaling approximately $84 million since the start of the year. The patterns suggest ongoing selling pressure as this whale moves significant amounts of SOL.

Highlighted Magazine Stories

AI vs. Bitcoin Mining: A Growing Competition for Resources

Recent discussions suggest that AI technology may consume more energy than Bitcoin mining, creating competition for electricity and equipment.

The Resilience of NFTs Amidst Challenges

Despite market fluctuations, the NFT space continues to thrive, signaling an enduring interest in digital art and collectibles.