3Commas Weekly Crypto Industry Updates September 20th, 2024

Let's discuss what has happened in the crypto industry in the third week of September 2024.

Bitcoin miner wallets move for the first time in over 15 years — Is this Satoshi?

In recent on-chain transaction data, wallets belonging to early Bitcoin miners who got coins as rewards just after the blockchain’s launch by its pseudonymous creator, Satoshi Nakamoto, have recently been observed moving their Bitcoin.

On Sept. 20, five miner wallets that received 50 Bitcoin each as block rewards in 2009 started to move their funds. Blockchain data shows that one wallet received the mining reward on Jan. 29, 2009, while three others got block rewards on Jan. 31, 2009. The last wallet received a block reward on Feb. 2, 2009.

Why does it matter?

This might signal to traders that the crypto market could be gearing up to experience the biggest bull run ever. It can also be interpreted as a signal to some traders that a significant dump may be coming up. 

MicroStrategy announced a third debt offering of 2024 in a new plan to raise $700M. 

MicroStrategy has just raised $700M from selling senior convertible notes. MicroStrategy explains that the proceeds will be used to pay off $500M in existing debt and to purchase more Bitcoin. The convertible senior notes will be due in 2028.  MicroStrategy currently holds 244,800 BTC. 

This is the third debt offering of 2024 from MicroStrategy. The company raised around $700M in a debt offering in March, followed by another $500M in debt offering for the month of June due in 2032.

Why does it matter?

It’s a strong signal of institutional trust in the continuing growth of Bitcoin as a good asset for storing wealth. 

House Republicans demand that SEC’s Gensler clarify crypto airdrops 

US Representatives Tom Emmer and Patrick McHenry gave Gary Gensler, the US SEC’s Chairperson until the end of the month to answer questions about the SEC’s approach to crypto airdrops. 

Hydrogen Technology Corporation and its former CEO were sued in September 2022 by the SEC for market manipulation of what it called crypto asset securities.

The SEC alleged that the company minted over 11B Hydro tokens for fundraising and distributed them as airdrops, which the SEC called “unregistered offers and sales of their securities.”

Why does it matter?

The idea of regulating crypto airdrops will not be a welcoming development for the crypto community. This is because new projects utilizing such ideas as this will slow-down blockchain network growth since airdrops are mostly used to incentivize users for active participation. 

Tether USDT’s market share surged from 55% to 75% in two years

Tether’s US dollar-denominated stablecoin now controls three fourths of the entire stablecoin market, following significant adoption over the past two years.

Tether USDT’s market share has surged over the past two years due to widespread adoption as a crypto coin trading pair and as a payment option, according to Token Terminal. The world’s largest stablecoin issuer generated around $400M worth of revenue during the past 30 days.

Why does it matter?

The crypto market is growing and the use of stablecoin is also growing. It's notable to mention that more institutions are now launching their ecosystem stablecoins including PayPal, BitGo etc.

Bybit gets provisional crypto license from Dubai regulator

The Virtual Asset Regulatory Authority (VARA) has granted Bybit a non-operational license to operate in the region.

The world’s second largest crypto exchange by derivatives volume has secured a provisional license for retail and institutional crypto investors in Dubai two years after moving its headquarters to the region. 

In a recent regulatory development, the Securities And Commodities Authority (SCA) and VARA announced that the Dubai-licensed virtual asset service providers (VASPs) will be able to operate in the entire country.

Why does it matter? 

Co-operation between the regulators and crypto firms is an encouraging development that will help in making the crypto space a compliant environment for traders and investors alike.

Conclusion: 

What we’re seeing is an increased Bitcoin buying activity and stablecoins market growth and adoption by both institutions and individuals. Also, the government is collaborating with crypto firms to make laws and ensure compliance for both providers and investors to ensure the protection against bad actors in the crypto industry.