🏛️Emmer Floats Securities Clarity Act
Republican congressman Tom Emmer has introduced the Securities Clarity Act, just days after the EU approved MiCA. Meanwhile, Ripple has launched a CBDC platform and wants to integrate the assets with DeFi. A new liquidity mechanism called Lotus has been gaining attention with its unique tokenomics and inspiring numerous forks. Finally, Anchorage Digital, a major crypto custodian, now enables institutions to participate in DAO governance by integrating support for Snapshot voting.
✍️ In today’s newsletter:
- New bill seeks to provide clear guidelines for US crypto industry
- Ripple wants to bring CBDCs to DeFi
- Lotus token design spawns wave of forks
- Anchorage Digital enables Snapshot voting for institutional token holders
📈 Markets in the last 24 hrs:
Watch our video on deflationary ETH as Ultra Sound Money. And check out our podcast with Mihailo Bjelic, the co-founder of Polygon.
Congressman Emmer Introduces ‘Securities Clarity Act’
TLDR Republican congressman Tom Emmer has introduced the Securities Clarity Act, a bill that aims to provide regulatory clarity for the web3 industry by differentiating assets that are not securities from investment contracts. The proposed legislation has received praise from industry experts and comes at a time when the SEC's heavy-handed approach has faced criticism.
SO WHAT If passed, the Securities Clarity Act could have significant implications for the crypto industry in the United States, offering much-needed clarity on the classification of digital assets and helping crypto projects operate within a compliant framework.
Ripple Wants to Integrate CBDCs With DeFi
TLDR Ripple is exploring the integration of Central Bank Digital Currencies (CBDCs) with decentralized finance (DeFi) protocols. The company aims to create a CBDC-powered lending protocol backed by the Hong Kong Monetary Authority, which would support tokenized real estate as collateral.
SO WHAT By exploring the use of CBDCs in lending protocols and other DeFi applications, Ripple aims to facilitate the integration of central bank money into the emerging web3 ecosystem. As CBDC initiatives gain momentum globally, the collaboration between traditional finance and decentralized technologies could pave the way for new opportunities and advancements in the digital asset space.
Novel Token Launch Model Ripples Through DeFi
TLDR A new token launch mechanism pioneered by the White Lotus project is gaining attention in DeFi circles. The mechanism utilizes an on-chain market-making algorithm built on top of Trader Joe's liquidity books to rebalance liquidity in response to price movements, resulting in a "risk-free value" that doesn't decrease and can potentially increase over time.
SO WHAT The design presents a unique approach to token launches and liquidity management. While it's still early to determine its long-term success, the concept has generated excitement and interest from developers. If the mechanism proves successful, it could have a significant impact on the DeFi landscape.
Crypto Custodian Anchorage Enables Institutional Clients To Participate In DeFi Governance
TLDR Anchorage Digital, a major crypto custodian, has integrated support for Snapshot voting, allowing institutions holding DeFi assets with the firm to participate in DAO governance. Snapshot is a popular off-chain governance platform used by leading DeFi projects.
SO WHAT The move aims to boost governance participation and address the issue of low voter turnouts and concentration of power among whales. Anchorage supports over 60 tokens that use Snapshot voting, including Aave, Lido, and Uniswap.
🔎 OUR REPORTERS ARE WATCHING
- FTX and Alameda sue SBF over $250M acquisition of stock clearing firm (Axios)
- CFTC Chair Rostin Behnam said DeFi platforms can still be subject to U.S. law (Bloomberg)
- Former CFO indicted for diverting $35M to cryptocurrency venture (Cointelegraph)
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