The Daily: 'Promising' spot bitcoin ETF inflows, Worldcoin launches operations in Malaysia and more
Quick Take
- Worldcoin says Malaysians are now able to digitally prove their humanity with project’s orbs
- Increased spot bitcoin ETF inflows from institutional investors is a ‘promising’ indicator: Coinbase
- Illicit crypto activity onchain down nearly 20% since January: Chainalysis
- The following is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Worldcoin launches operations in Malaysia
- A memorandum of understanding (MoU) has been signed between the Worldcoin Foundation, Tools for Humanity and the Malaysian government to launch Worldcoin operations in Malaysia.
- The Worldcoin project aims to preserve the future of the internet by distinguishing between human and non-human actors, providing individuals with World IDs after an iris scan.
- Despite facing privacy concerns, Worldcoin has expanded its partnerships globally, including recent agreements with nations like Austria.
- The MoU includes discussions on manufacturing iris-scanning orbs in Malaysia and potentially integrating Worldcoin’s World Chain protocol with Malaysia's blockchain infrastructure.
- The MoU was signed by Malaysia’s MIMOS Berhad, following earlier meetings between Worldcoin co-founders Sam Altman, Alex Blania and Malaysian officials in April.
'Promising' spot bitcoin ETF inflows
- Coinbase analysts noted that rising inflows into spot bitcoin ETFs, even during bitcoin's underperformance, suggest sustained interest from new capital pools.
- The percentage of institutional ownership in bitcoin ETFs increased from 21.4% to 24.0% in Q2 2024, driven by growing interest from investment advisors.
- While hedge fund bitcoin ETF holdings decreased, the decline may reflect a cash and carry arbitrage strategy as open interest in bitcoin futures on the CME rose by 15% to $2.75 billion in Q2.
Illicit crypto activity onchain down 20%
- The report highlights that inflows into legitimate cryptocurrency services are at their highest level since the 2021 bull market, signaling continued global adoption of crypto.
- Despite the overall decline in crypto crime, inflows from stolen funds and ransomware jumped to $1.58 billion and $459.8 million, respectively.
- The report also notes a rise in the average value of stolen cryptocurrency per heist, partly due to higher bitcoin prices, and warns that 2024 could set a new record for ransomware payments.
Bitcoin sidechain developers unveil BitVM2 whitepaper
- The whitepaper outlines efforts to improve transaction efficiency on the Bitcoin network, focusing on enhanced transaction handling and updated cryptographic methods.
- BitVM2 aims to increase Bitcoin's transaction capacity without altering its core principles, utilizing optimistic computation to scale with sidechains.
- The whitepaper also introduces a permissionless system for challenging suspicious transactions and enhances the BitVM Bridge by reducing capital requirements and asset lock-up periods for faster transfers between networks.
SERA taps Base for NFT drop that could bring a holder to space
- Holders can participate in SERA's astronaut selection program by purchasing the NFTs, with opportunities to earn one of six seats on the New Shepard rocket and fast-track their progress through the selection process.
- The selection and voting process for astronauts will be conducted onchain, ensuring transparency and fairness while advancing SERA's mission to democratize access to space.
A look at next week
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