3Commas Weekly Crypto Industry Updates September 27th, 2024

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

$1.1B TIA Token Release to Push October’s Crypto Unlocks to Almost $2B

Almost $2B in tokens from major projects will be unlocked in October, with 175.75M Celestia tokens worth $1.1B in current market prices accounting for over 50% of the unlocks. 

Also, a Web3 social network project called Cheelee, is scheduled to unlock $300M in vested crypto tokens on Oct. 10. Other unlocks include; Aptos APT, Arbitrum ARB, Axie Infinity AXS, ImmutableX IMX, GateToken (GT), Starknet STRK, Internet Computer ICP and Ethena Labs ENA. These projects are scheduled to unlock almost $600M in tokens for open-market trading.

Why does it matter?

The current market trend is bullish and many people are already over optimistic and excited about October and looking to have a higher uptrend in October. The current unlocks may also signal an incoming downtrend if the market has more investment opportunities than investment capital. It's left for the trader to decide what to do at this time.

Changpeng Zhao's Early Release Comes Today

Changpeng Zhao, commonly known as CZ, the founder of cryptocurrency exchange Binance, is set to be released from custody in Long Beach, California, earlier than expected after his resignation from Binance and jail term. 

This marks the end of his four-months jail term after he was convicted in the United States for failing to implement proper anti-money laundering measures at Binance. The early release is a common practice due to a policy which states that an inmate can be released earlier if his release date falls on the weekend. CZ is still the largest shareholder at Binance with a $60B net worth making him the 25th richest man in the world.

Why does it matter?

A few days ago, the BNB price skyrocketed to new highs of over 5%. It’s highly likely that this is connected to Zhao’s release and presumed resumption of influence over the direction of Binance. 

PayPal Enables Business Accounts to Buy, Sell, and Trade Crypto

PayPal started allowing individual retail customers to buy, sell, and hold crypto directly from their PayPal and Venmo accounts in 2020. 

But on September 25, PayPal announced that PayPal Business accounts can now buy, sell, and trade crypto directly from their PayPal accounts. The new feature will be available across the United States for all merchants except those in New York.  

Why does it matter?

The adoption of cryptocurrency is rapidly growing beyond our wildest dreams. Traditional companies are heavily embracing adoption and it has become a good thing for traders to stay compliant in their regions.

US SEC Delays Decision on BlackRock’s and Bitwise's Ethereum Options Trading

According to a filing released on Sept. 24, the US Securities and Exchange Commission (SEC) announced a delay in its decision to approve options trading for spot Ethereum ETFs of BlackRock and Bitwise.

The decision regarding its approval was initially expected by Sept. 26-27, but the regulatory body has currently extended its review period to Nov. 10-11 under Section 19(b) (2) of the Securities Exchange Act.

A decision on Ethereum ETF options has been pushed back to November, four days after Blackrocks’s IBIT options trading was approved. 

Why does it matter?

This cautious approach highlights the SEC commitment to protecting the trading environment for the traders. This was an approach seen with the BlackRock’s IBIT approval which was an eight-month review, addressing concerns about market manipulation and regulatory risks.

Ethena to launch new stablecoin backed by BlackRock’s BUIDL

Ethena Labs, developer of the decentralized stablecoin protocol Ethena, is working on a new stablecoin backed by a tokenized fund from BlackRock. The stablecoin will be backed by BlackRock’s tokenized BlackRock USD Institutional Digital Liquidity Fund (BUIDL), which offers a stable value of $1 per token.

According to Ethena Labs, the UStb stablecoin will be a separate fiat stablecoin product alongside USDe (USDE), a synthetic dollar stablecoin issued by Ethena in February.

“This will exist as an isolated product separate from USDe offering users and exchange partners a new product with a differentiated risk profile to USDe,” Ethena Labs said.

Why does it matter? 

This new development from Ethena still highlights the adoption of stablecoins and a caution also for traders to avoid being a victim of loss should the stablecoin depeg. Such stablecoin depeg scenario was recorded during the Luna crash incident. 

Conclusion: 

What we’re seeing is an increased adoption of stablecoins and also highlights of important events in the crypto industry as of today. The significant token unlocks which can affect the tokens involved, the release of CZ and also the efforts from regulators in screening applications from companies issues crypto ETFs to ensure a fair-play for traders and in the market.