Scenius Sync (Issue #62)

Coinbase Takes Stake in Circle, OpenSea Disables Royalty Enforcement Tool, SEC Poised to Greenlight Ether Futures ETF, & Friend.tech Founders Want to Catch Their Breath

Scenius: The intelligence and the intuition of a whole cultural scene. The communal form of the concept of genius.

Welcome to The Scenius Sync.

Our mission with this concise publication is twofold:

1. Share the essential stories driving the crypto industry and markets.

2. Highlight innovative applications and mainstream adoption of crypto and blockchain technology.

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Essential News 🗞

1. SEC Moves to Appeal Ripple Ruling That XRP Token Is Not a Security

   • The SEC asked a federal judge for permission to appeal her ruling that Ripple Labs’ XRP token is not a security when sold to the general public, arguing that the decision could affect other cases involving cryptocurrencies. The SEC in court papers Friday requested that US District Judge Analisa Torres in Manhattan certify the issue for immediate appeal.

2. Coinbase Gets a Stake in Stablecoin Operator Circle and USDC Adds 6 New Blockchains

   • Coinbase is acquiring a minority stake in Circle Internet Financial. Their Centre Consortium, which governed the USDC stablecoin, is being dissolved and Circle is bringing the stablecoin fully in-house. Six new blockchains will integrate with USDC, taking the total to 15. Though not identified, Polkadot, Near, Optimism and Cosmos are chains Circle has said it planned to add in 2023.

3. OpenSea disables royalty enforcement tool, makes creator fees optional

   • NFT marketplace OpenSea is changing its creator fee structure. The platform has opted to make creator fees optional for new collections after Aug. 31. It will also disable the OpenSea Operator Filter, a tool that enforced creator royalties, according to a statement. Collections that used the filter up to that date will have their creator fee royalties enforced on OpenSea through Feb. 29, after which the fees will become optional. 

   • Reception has been mixed. For example, Yuga Labs slammed OpenSea's shift to optional royalties and intends to sever ties with OpenSea over the NFT platform's shift to a royalty-optional model. 

4. Binance considers legal action against Checkout​.com as partnership ends

   • Binance is considering legal action against its former payment provider Checkout.com, a spokesperson for Binance told Cointelegraph on Aug. 18. The potential legal dispute arises from letters sent by Checkout.com to Binance on Aug. 9 and Aug. 11. According to a Forbes report, Guillaume Pousaz, CEO of Checkout.com, ended the relationship with Binance, citing “reports of regulators actions and orders in relevant jurisdictions,” along with concerns about Anti-Money Laundering, sanctions and compliance controls. “We do not agree with Checkout’s purported basis for termination and are considering our options for legal action,” said a Binance spokesperson in an email, clarifying that on-ramp and off-ramp services remain available at the exchange.

5. NFT Platform Recur to Shut Down Despite $50M Raise and Big Name Backers

   • The NFT startup Recur said on Friday that its Web3 platform is winding down—unable to weather the chills of crypto winter despite hosting the IP of several big brands like Hello Kitty and Nickelodeon. Over the next several months, Recur’s platform will steadily lose its core features, the firm said in a blog post. That includes the ability for users to withdraw NFTs from Recur, cash out stablecoin balances, and trade collectibles on Recur-hosted marketplaces.

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Innovation & Adoption 💡📈

1. SEC Set to Greenlight Ether-Futures ETFs in Win for Crypto Industry

   • The SEC is poised to allow the first exchange-traded funds based on Ether futures, a major win for several firms that long have sought to offer the products. The regulator isn’t likely to block the products, which would be based on futures contracts for the second-largest cryptocurrency, according to people familiar with the matter. Nearly a dozen companies, including Volatility Shares, Bitwise, Roundhill and ProShares, have filed to launch the ETFs.

2. Mantle Network crosses $40 million in TVL within a month of launch

   • Mantle Network, a Layer 2 blockchain network operating on Ethereum, has seen notable growth since its launch last month. The mainnet alpha for Mantle was officially launched on July 17, and it has quickly become the seventh most valuable Layer 2 blockchain in terms of TVL, according to DeFiLlama, following major players like Arbitrum One, OP Mainnet, zkSync Era, Base, Starknet, and Immutable X. One standout feature contributing to Mantle’s TVL is its native decentralized exchange, Agni Finance. The value locked in that exchange alone has surpassed $23 million, with the cumulative trading volume reaching $53.6 million.

3. Friend.tech Founders Say Viral Crypto App Is Surprising Them Too: 'We Want to Catch Our Breath'

   • Friend.tech, the new decentralized social media platform from the makers of Stealcam, has already, in its mere two weeks of existence, seen an extraordinary run. The app, which is built on Coinbase’s Base scaling network for Ethereum and lets users buy and sell “keys” (originally, “shares”) in their favorite Twitter accounts, has generated a whopping $2.88 million in protocol fees. In that metric, it has outpaced every single on-chain protocol globally over the last 24 hours besides Ethereum and Lido, according to DefiLlama.

4. Ethereum developers to debut new testnet 'Holesky' next month

   • In a bid to improve the testing environment and address supply challenges for ether on testnets, Ethereum core developers are planning to launch a new testnet called Holesky next month, as discussed in a meeting yesterday.

     The upcoming test network, initially referred to as Holli, aims to offer enhanced testing support for developers working on the Ethereum network.

5. Mastercard forms CBDC partner program with Ripple, Consensys

   • Mastercard announced Thursday that it is convening a group of blockchain and payment services providers to participate in the program. The new CBDC program is designed to “foster collaboration with key players in the space,” Raj Dhamodharan, Mastercard’s head of digital assets and blockchain, said in the statement.