Crypto News Headlines (01-Feb-2022)

Bitcoin and Ether, the two biggest cryptocurrencies, have lost nearly half their value since reaching all-time highs in November, while the top 100 most valuable NFT collections have seen smaller losses, and some have even gained in value, according to a study by DappRadar, a data acquisition and analysis company that tracks the NFT industry, first reported by The Defiant, a media startup focused on decentralized finance.

The top 100 NFT collections together lost 15% of their value in the same period that the two most popular cryptocurrencies dropped nearly 50%, according to an analysis by DappRadar. It ranked the top 100 NFT collections by multiplying the cheapest NFT in a collection by the number of collectibles available in a series: for example, the price of the cheapest Bored Ape Yacht Club NFT multiplied by 10,000, the number of cartoon apes that exist in the collection.

Fantom has come out of nowhere to be the third biggest dApps network in terms of the value of apps using the chain. Ethereum, as noted above, sits at $116 billion, a sizable position it has built up over a number of years.

Fantom, however, is spiking dramatically. Back in early December, it had $5 billion in value locked on its ecosystem. Now it’s up to $12 billion. There are now 129 protocols built on the Fantom network, twice as many protocols as Solana. This all happened incredibly quickly. Fantom went live in December 2019. Now it’s the third biggest crypto ecosystem in the world, as measured by the dollar value in its network.

What makes me even more excited about Fantom is how cheap it is compared to other cryptos. Ethereum’s market cap is almost $300 billion. The coin is valued at more than twice the value of the dApps on its network. Solana’s market cap (and its valuation is down substantially) is almost four times the value of the dApps on its network. Meanwhile, Fantom has a market cap under $6 billion. Its coin is trading at half the value of its ecosystem.

From the outside, Ukraine’s offering as a crypto hub is quite simple: with low taxes, light paperwork, and a surplus of highly talented engineers, a local tech economy would grow to attract foreign investment. But within Ukraine, it offers a lot more. The burgeoning tech economy would help the Eastern European country rebrand itself from a service economy, where Western companies often outsource back-end development, to a place where there is innovation and development independent from both the West and the East.

“The development of a new industry will allow attracting transparent investments and will strengthen the image of our country as a high-tech state,” said Mykhailo Fedorov, Ukraine’s vice prime minister of digital transformation, after legalizing Bitcoin last September.

Bitcoin’s market dominance dipped 0.07 percent to 41.75 percent and the currency was trading at $38,033.97 today. (Representative image)

The global cryptocurrency market capitalisation fell 3.11 percent over the last 24 hours to $1.67 trillion while the trading volume over the same period dipped by 4.98 percent to $55.89 billion.

While decentralised finance (DeFi) accounted for 15.70 percent of the 24-hour cryptocurrency trading volume at $8.78 billion, stablecoins made up around 77.81 percent of the 24-hour trading volume at $43.49trillion. Bitcoin’s market dominance rose 0.09 percent to 41.85 percent and the currency was trading at $36,898.64 today morning.

In rupee terms, Bitcoin dipped 2.12 percent to trade at Rs 29,84,544 while Ethereum decreased 2.04 percent to Rs 2,02,773.1.

Indian Finance Minister Nirmala Sitharaman announced a 30% tax on any income from the transfer of virtual digital assets, a first for the nation.

Additionally, she also said that the digital rupee will most likely be issued in the 2022-23, which is the first time the Indian government has given a timeline on the launch of a central bank digital currency (CBDC).

“There has been a phenomenal increase in transaction in virtual digital assets. The magnitude and frequency of these transactions have made it imperative to provide for a specific tax regime,” Sitharaman said in the critical Indian budget speech, which lasted for over two hours.

Speaking on the adoption of CBDCs, Sitharaman said that a “digital rupee” will be “issued using blockchain and other technologies; to be issued by RBI starting 2022-23. This will give a big boost to the economy.”

Having suffered on the way down from its all-time price highs in November, the latest moves have allowed Bitcoin to reclaim some of its lost ground against altcoins.

Previously, attention was focused on major tokens such as Ether (ETH), Solana (SOL) and others as they capitalized on Bitcoin’s weakness.

With the tables seemingly now turning, strength is flowing back to BTC, which managed to preserve 40% dominance throughout the latter half of last month.

Large amounts of bitcoin stolen from the cryptocurrency exchange Bitfinex six years ago were moved by hackers early on Tuesday.

“So far this morning, 94,643.29 bitcoins ($3.55 billion) have been moved in 23 transactions, from a wallet associated with a theft from Bitfinex in 2016, to a new address,” blockchain analytics firm Elliptic said. These originate from a theft suffered by Bitfinex in 2016, the firm added.

“It is unlikely that these funds will be cashed out any time soon. Funds from this hack have been slowly laundered for over five years now and cashing-out large volumes over a short period of time would draw unwanted attention,” Elliptic said.

The number of bitcoin transferred amounted to 79% of the total 119,756 bitcoins drained from Bitfinex in 2016, one of the biggest bitcoin hacks to date.

Twitter account Whale Alert had earlier reported on this development saying that bad actors transferred 10,000 bitcoins worth more than $383 million to an unknown wallet during Asian hours on Tuesday.

Hackers last moved the stolen bitcoin in April 2021, transferring over $700 million worth of coins to unknown wallets during the bull frenzy brought on by crypto exchange Coinbase’s then impending listing on Nasdaq.

A movement of malicious funds usually raises suspicion of bad actors looking to cash out and spooks markets.

As noted in April last year, most of the bitcoin associated with the Bitfinex hack is widely tracked and blacklisted. Thus, hackers will have a tough time cashing out on prominent centralized exchanges.

In other words, the latest movement of the hacked coins presents little downside risk to bitcoin. At press time, the cryptocurrency was trading largely unchanged on the day near $38,500.

Kanye West won’t be purchasing a Bored Ape Yacht Club nonfungible token (NFT) any time soon.

In a strongly worded Instagram post made on Monday, Ye stated “Do not ask me to do a f*cking NFT.” The message in the photo, shared with his 10.5 million followers, explains he is focused on “building real products in the real world.”

He didn’t mince his words in a follow-up comment to the Instagram post:


A cryptocurrency, broadly defined, is a form of digital tokens or “coins” that exist on a distributed and decentralized ledger called a blockchain.

Beyond that, the field of cryptocurrencies has expanded dramatically since Bitcoin was launched over a decade ago, and the next great digital token may be released tomorrow.

Bitcoin continues to lead the pack of cryptocurrencies in terms of market capitalization, user base, and popularity.

Other virtual currencies such as Ethereum are helping to create decentralized financial (DeFi) systems.

Some altcoins have been endorsed as having newer features than Bitcoin, such as the ability to handle more transactions per second or use different consensus algorithms such as proof of stake.

Bitcoin is currently testing a crucial level of resistance following a woeful month that saw it lose 16.19% of its value.

At the time of writing it was trading at $38,300 having momentarily lifted itself above $39,000 this morning.

Bitcoin bulls will be hoping for a clean break above the psychological level at $40,000, although it’s worth noting that short interest will be high as traders attempt to predict a gruelling lower high.

The world’s largest cryptocurrency remains in a downtrend on all time frames. However, a relief rally is expected this month as throughout Bitcoin’s history it has only painted four red monthly candles in a row on one occasion – during the 2018 bear market.