57th Edition

Sep 2, 2022

Ethereum Stamped Newsletter

This week in The Flippening, TL;DR

  • Ethereum’s most popular scaling solution undergoes a massive upgrade
  • Indonesia is all set to establish the 'Crypto Stock' Exchange by the end of 2022
  • Crypto.com made a mistake and transferred $10 million instead of $100 to a woman in 2021, now sues her in court.

🔊 Top Highlights of the Week

L2 scaling solution, Arbitrum, undergoes a massive upgrade to Arbitrum Nitro

On 31st August, Ethereum scaling solution Arbitrum underwent one of its most significant updates called ‘Nitro.’ The Nitro upgrade will speed up transaction processing, lower transaction costs, and simplify cross-chain communication between Arbitrum and Ethereum.

Nitro is expected to add improved fraud proofs and updated sequencers, token bridges and call data compression mechanisms to Arbitrum.

Indonesia to Establish 'Crypto Stock' Exchange by the end of 2022 🇮🇩

According to this report from DealStreetAsia, the Indonesian government is planning to establish a ‘crypto stock exchange’ by the end of 2022. Various crypto exchanges that have received licenses to operate in the country will be listed on the stock exchange, including companies in the digital asset industry.

How crypto.com made a $10.5 million mistake?

In May 2021, an Australian woman wanted a $100 refund from Crypto.com. While processing the amount, the exchange typed an account number in place of the amount. The woman ended up receiving a $10.5 million gift! Crypto.com realized the mistake only seven months later during a year-end audit. By then, it was too late!

The exchange wanted to freeze the woman’s account, but she had moved the money already and bought a mansion. A judge has ordered the woman to sell the house and repay the exchange. We would bet there will be an appeal to that order.

📰 Other Highlights:

  • Polygon Jumps 10% Over The Week Amid Robinhood, Meta Integrations
  • Helium Sinks 15% Following Proposed Move to Solana
  • ⁠The Ethereum Merge may constitute a taxable event if it results in a chain-splitting hard fork, tax experts warn.
  • Meta now lets you post your NFTs on both Facebook and Instagram
Disclaimer: All price movements are recorded up to 03:30 PM UTC, 02nd Sept 2022

Most of the top cryptos ended the week on a tough note. Ripple took the hardest hit, whereas Cardano remained relatively less-affected. We might be heading into a volatile weekend.

Disclaimer: All price movements are recorded up to 03:30 PM UTC, 02nd Sept 2022

It was a totally different scenario on a sectoral level. Most of the sectors ended the week in green, suggesting the advantage of diversifying across sectors as opposed to investing in individual tokens.

Crypto simplified

We have come across numerous narratives surrounding the upcoming Ethereum 'Merge.' The upgrade has been undergoing for the past few years and is in its final stages now. The final transition begins on 6th September and is expected to be completed by 19th.

By the way, this is Vitalik, the founder of Ethereum. You can see how excited he is by thinking about the upcoming Ethereum 'Merge.' 

We decided to take a good look at the expectations doing the rounds.

Expectation 1: The Merge will super-pump the price of ETH into well above $10000.

It is perhaps the most widely anticipated outcome of the upgrade. The positive impact on price will likely happen in the future. However, it will definitely not happen in the immediate short term. The mantra is 'Buy the rumor, sell the news!' Therefore, once the 'Merge' goes live, do not be surprised if we witness a short-term downward price correction.

Expectation 2: With the Proof-of-Stake transition, the gas fees are likely to reduce.

The PoS transition will reduce Ethereum's energy consumption by ~99.95%. However, it will not significantly impact the transaction fees, also known as the gas fees.

Expectation 3: Double-digit annual yields will be possible post the 'Merge.'

Real (net of inflation) staking rewards can only be high when a very small % of the supply is staked. With several people staking their ETH holdings, yields will continue to remain modest even post the 'Merge.'

The 'Merge' will undoubtedly achieve the goal of enabling developers to innovate continuously in building decentralized apps (DApps) and helping to create friendlier user experiences on-chain.

Featured - Mudrex Web3 & Crypto School podcast

This edition of the Flippening features a special podcast giving insights into building a meaningful career at the intersection of art, tech & personal identity.

The Mudrex Web3 & Crypto School is designed to make concepts and conversations around Web3 and crypto accessible to everyone. 

Here we are, at the end of our 57th edition. We hope you liked reading it. 

If you liked the content, please share this with your friends.

Share
Copy LinkWhatsapp Messenger iconMail Icon

Hey there, cryptonaut! It’s time for you to join the rocketship.

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.