gm 05/11

Summary
gm, Bitcoin fell below $100,000 for the first time since June, triggering over $2 billion in liquidations across the broader market. Major altcoins followed suit, with Ethereum dropping to a four-month low around $3,000 and Solana sliding to its lowest level since August, while privacy coins like Zcash and Dash defied the trend with notable gains. UBS and Chainlink achieved a milestone with the first onchain tokenized fund redemption, showcasing the integration of blockchain technology with the traditional financial sector. Meanwhile, institutional developments continue despite market volatility, with Strategy (MSTR) launching a euro-denominated preferred stock for Bitcoin acquisitions and Nasdaq's CEO outlining how blockchain can transform finance by streamlining post-trade systems, enhancing collateral mobility, and improving payment processes.

News Headlines
📱 Bitnomial Adds RLUSD and XRP as Margin Collateral for Crypto Derivatives

• Bitnomial, a CFTC-regulated derivatives exchange, has become the first registered U.S. derivatives clearing organization to accept RLUSD stablecoins and XRP as margin collateral for crypto derivatives.
• This development expands options for institutional traders who can now use these assets for leveraged perpetuals, futures, and options trading, with retail access available through Bitnomial's Botanical platform.

💵 Ripple's RLUSD Stablecoin Hits $1B Milestone Less Than a Year After Launch

• Ripple's RLUSD stablecoin has surpassed $1 billion in market capitalization less than a year after its December 2024 launch, becoming the 10th largest U.S. dollar-backed stablecoin.
• The growth has been driven by increasing institutional demand, with significant portions of its supply issued on both the Ethereum blockchain and XRP Ledger, serving as the primary stablecoin for nearly $100 billion in processed payments.

⛏️ Bitcoin Mining Profitability Slumps as Hashprice Hits Multi-Month Low

• Bitcoin's mining profitability has deteriorated with hashprice falling to $43.1 PH/s, the lowest since April, due to a 20% drop in Bitcoin's price combined with unusually low transaction fees.
• The network hash rate continues to exceed 1.1 ZH/s while mining difficulty has adjusted to a record high of 156 trillion, creating additional pressure on miner revenues.

🔄 Sequans Sells $100 Million in Bitcoin to Cut Debt, First Bitcoin Treasury Firm to Liquidate Holdings

• Sequans Communications has sold 970 Bitcoin (worth approximately $100 million) to reduce its convertible debt by 50%, bringing total liabilities down from $189 million to $94.5 million.
• This marks Sequans as the first bitcoin treasury company to liquidate part of its holdings in a challenging market, now maintaining 2,264 BTC valued at about $228 million.

Market Metrics

Fundraising & VC
1. Tatakai (Angel, $7M) - Web3 gaming and NFT platform
2. Zynk (Seed, $5M) - High-speed global payments infrastructure

Regulatory
💰 Treasury Sanctions North Korean Crypto Laundering Network

• The US Treasury has sanctioned eight North Korean bankers and two entities for laundering stolen cryptocurrency to fund North Korea's weapons programs.
• The operation targeted 53 crypto wallets primarily using Tether's stablecoin, with North Korean hackers reportedly stealing nearly $3 billion in crypto over the past two years.

⚖️ Appeals Court Skeptical of Sam Bankman-Fried's Claims

• Appeals court judges expressed doubt about Sam Bankman-Fried's arguments for overturning his 25-year sentence and request for a new trial.
• The court questioned claims that he was restricted from discussing legal advice and that jurors were misled about FTX customer losses, emphasizing that eventual repayment doesn't negate financial crimes.

🏧 Calls for Crypto ATM Reform Amid Fraud Concerns

• FBI reports indicate Americans have lost $240 million to crypto ATM scams, with fraudsters exploiting victims through romance scams, fake police calls, and tech support schemes.
• Industry experts argue that reform is needed, including transparent fee structures, stricter verification for transactions, and improved fraud prevention measures to maintain legitimacy.

👨‍⚖️ New NYC Mayor May Bring Crypto Regulatory Changes

• Newly elected NYC Mayor Zohran Mamdani, a self-described democratic socialist, is expected to adopt a cautious approach toward crypto, emphasizing compliance and consumer protection.
• Mamdani has previously expressed concerns over crypto market failures' impact on low-income investors and may push for policies promoting transparency and higher taxes on the wealthy.

🏦 Traditional Banks Fight Coinbase's Trust Charter Application

• The Independent Community Bankers of America is urging the OCC to reject Coinbase's application for a federal trust charter, citing concerns over profitability and risk management.
• This resistance follows similar opposition to trust applications from other crypto firms like Ripple, Circle, and Paxos, highlighting the ongoing tension between traditional finance and crypto companies.

Technical Analysis
Bitcoin - Bitcoin has broken down from an approximate horizontal trend channel in the short term. This signals a continued weak development, and the currency now meets resistance on possible reactions up towards the floor of the trend channel. There is no support in the price chart and further decline is indicated. In case of a positive reaction, the currency has resistance at 107000 points. The volume balance is negative and weakens the currency in the short term. The currency is overall assessed as technically negative for the short term.

Ethereum - Ethereum has broken the falling trend channel down in the short term, which indicates an even stronger falling rate. It also gave a negative signal from the rectangle formation at the break down through the support at 3777. Further fall to 3189 or lower is signaled. There is no support in the price chart and further decline is indicated. In case of a positive reaction, the currency has resistance at 3830 points. Volume has previously been low at price tops and high at price bottoms. Volume balance is also negative, which confirms the trend. The currency is overall assessed as technically negative for the short term.