Want some insight into the state of crypto in Q1 2024?

Look no further than our latest #Binance Research market pulse report, where we cover it all 🫡

Check it out ⤵️
https://www.binance.com/en/research/analysis/1q24-market-pulse

Highlights 🧵:

1/ BlackRock's tokenized fund BUIDL has become the largest tokenized treasury fund just six weeks after its launch, capturing 30% of market share. Much of BUIDL's rapid growth has been attributed to Ondo Finance, whose $50M inflow last week brings its total contribution to $140M. Overall, the on-chain tokenized fund landscape has seen steady growth, with a QoQ increase of 42% in Q1 2024.

2/ MicroStrategy has introduced the Orange protocol, using Ordinal-like Inscriptions to anchor digital IDs on Bitcoin. Separately, Tether has invested $200M to acquire a majority stake in Blackrock Neurotech, a company specializing in brain-computer interfaces.

3/ EigenLayer has announced its highly anticipated token launch. 15% of $EIGEN has been earmarked to be distributed to ecosystem participants over multiple seasons. The airdrop, however, faced some criticism due to non-transferable tokens at launch and restrictions excluding users from certain countries.

Time to look at this month's market insights!

Our research team analyzed the state of the crypto market and provided insights on Bitcoin Runes, liquid restaking, stablecoin supply, and more.

Check it out ⬇️
https://www.binance.com/en/research/analysis/monthly-market-insights-2024-05/

Heard about Bitcoin's new Runes Protocol?

Our new #Binance report explores the basics of Runes and how they work, how they differ from BRC-20 tokens as well as their effects on Bitcoin's metrics so far.

Check it out ⬇️
https://www.binance.com/en/research/analysis/the-future-of-bitcoin-2-tokens

Highlights 🧵:
1/ In May, Bitcoin’s total transactions surpassed one billion, demonstrating the network's growing usage and activity. Notably, the introduction of Inscriptions, Ordinals, and BRC-20s has been a major driver. Runes, a newly launched token standard on Bitcoin, is also contributing to this momentum. Our most recent report thoroughly explores these dynamics.

2/ Vitalik Buterin has proposed EIP-7702, aiming to enhance account abstraction on Ethereum by allowing externally-owned accounts to temporarily function as smart contract wallets during transactions. Susquehanna, a $438B asset manager, has disclosed its purchase of $1.3B worth of spot BTC ETFs.

3/ LayerZero has offered Sybil farmers the opportunity to self-report and receive 15% of their intended airdrop allocations, aiming to distribute tokens to genuine users and discourage excessive airdrop farming. Hyperliquid has announced its plan to transition to HyperBFT - a consensus algorithm capable of supporting 200K TPS.

The prevalence of tokens launching with high valuations and low initial supplies has stirred discussions due to concerns over limited upside for retail investors.

Our report examines the situation, driving forces, and considerations for investors/teams.
https://www.binance.com/en/research/analysis/low-float-and-high-fdv-how-did-we-get-here

Highlights 🧵:
1/ The number of crypto deals in Q1 2024 increased by 52.1% QoQ and has reached its highest level in nearly two years. However, the practice of tokens launching with high valuations and low float has sparked debate about limited upside for retail investors.
Check out our recent Binance Research report which dives into the details of this phenomenon.

2/ The CME Group plans to offer spot Bitcoin trading through the EBS trading venue in Switzerland. Robinhood has launched its inaugural crypto-staking product, enabling European customers to stake $SOL for a 5% yield, and is also broadening its crypto services with localized support in Italy, Poland, and Lithuania.

3/ Binance has launched its Funding Rate Arbitrage bot for users to utilize arbitrage strategies using perpetual futures and spot trading pairs. Blast has announced that its planned airdrop will take place on June 26, with a larger allocation amount as compensation for the delay of the airdrop from May to June.

Wondering what the next frontiers for DeFi are?

Our new #Binance report covers emerging trends in DeFi markets, from new types of derivatives and yield paradigms to modular lending designs, prediction markets, and more.

Read on ⬇️
https://www.binance.com/en/research/analysis/breakthrough-defi-markets

Highlights 🧵:
1/ The U.S. SEC officially approved 8 spot Ethereum ETFs, including products from BlackRock, Fidelity, and Grayscale. The next step is for the S-1 registration statements to be approved and effective, after which trading of the ETFs may start.

2/ Fantom Foundation introduced Sonic Foundation and Sonic Labs for their upcoming new Layer-1, Sonic Chain. The Sonic Foundation will oversee Sonic’s governance, manage the network treasury, orchestrate partnerships, and develop the dApp ecosystem. Sonic Chain is a parallelized EVM chain designed to be a high-performance L1 with sub-second finality. Fantom Foundation alsp closed a strategic funding round of US$10 million.

3/ The U.S. House passed the Financial Innovation and Technology for the 21st Century Act (FIT21), establishing a new regulatory framework for digital assets and enhancing the CFTC oversight. FIT21 sets up definitions for crypto assets, and divides responsibility between the CFTC and SEC.

Did you know that Bitcoin has only ~0.1% of its value in Layer-2s?

Our new #Binance report covers the latest in Bitcoin scalability, providing a framework for analyzing L2s, before diving into BitVM, Lightning, RGB, Citrea, Merlin, and more.

Read on ⬇️
https://www.binance.com/en/research/analysis/the-future-of-bitcoin-3-scaling-bitcoin

Time to look at June's market insights!

Our team analyzed the state of the crypto market and provided key insights on Grayscale's ETHE, Solana's fee structure, the growth of real-world assets, and more.

Check it out ⬇️
https://www.binance.com/en/research/analysis/monthly-market-insights-2024-06/

1/ The European Central Bank announced an interest rate cut for the first time since 2019, lowering the deposit rate from 4% to 3.75%. ECB President Christine Lagarde stated the rate cut is based on strong economic forecasts and that further cuts would depend on continued downward inflation trends. Despite the cut, the ECB projects slightly higher inflation for 2024 and 2025 compared to previous forecasts, averaging 2.5% and 2.2% respectively.

2/ Robinhood announced the strategic acquisition of Bitstamp exchange in a US$200m deal, aiming to accelerate their global crypto expansion plans.

3/ Paxos International introduced a yield-bearing stablecoin called Lift Dollar (USDL), backed by U.S. dollar deposits, liquid U.S. government securities, and cash equivalent reserve assets. USDL is issued permissionlessly on Ethereum, with an approximate 5% yield accrued programmatically via daily rebasing.

Highlights 🧵:
1/ May's U.S. inflation data came in below expectations, with the CPI up 3.3% year-on-year compared to expectations of 3.4%. This triggered a rally in risk assets like stocks and crypto, although the effect on crypto appeared to be short-lived.

2/ The Fed dot plot revealed the latest interest rate forecasts, indicating a median estimate of just one rate cut this year, down from three projected in March. Nonetheless, traders remain optimistic, pricing in two rate cuts this year, with the first expected in September.

3/ BNB Chain and Binance Labs have jointly announced the launch of “BNB Incubation Alliance”, which aims to support early-stage blockchain projects. Winning projects will be fast tracked into BNB Chain's "Most Valuable Builder" program, receive BNB chain grants, and gain the chance to receive investment opportunities from Binance Labs.

4/ Tether’s investment arm expects to invest more than US$1B in deals over the next year, with a focus on financial infrastructure, AI, and biotech.