Cardano Rumor Rundown March 30, 2023

Hey Everyone!

Let’s go….

Newly Covered Today:

1. Your boy Charles is laying out a philosophical framework for avoiding a dystopian next century. https://www.youtube.com/watch?v=uragYmFhNIk
2. It’s crypto winter. Barren fields abound. Not shocked to see projects moving around in search of the greenest pastures. https://twitter.com/erableofficial/status/1640755341200687110
3. Genius Yield has open sourced it’s Atlas plutus application backend (PAB) for the good of the community. https://twitter.com/GeniusyieldO/status/1641117181785276419
4. Community members are discussing the migration of projects from one chain to another. https://twitter.com/cashpognft/status/1641171962129989634

Previously covered, but still interesting:

1. Do you like Javascript and Cardano? This thread is for you. https://twitter.com/CryptoJoe101/status/1633579944490967049
2. It’s going down today! Hearing in the House on the Coordinated Attack on Crypto. https://financialservices.house.gov/calendar/eventsingle.aspx?EventID=408628
3. Paul Krugman hilariously complains about being locked out of his Venmo account. He predicted the impact of the internet would be about as much as the fax machine and has subsequently opposed crypto. https://twitter.com/paulkrugman/status/1633472068355346437 https://twitter.com/mdudas/status/1633571193344126979
4. Even Jerome Powell thinks we need regulatory clarity for crypto. https://www.youtube.com/live/GzVLeabssdE?feature=share&t=2065
5. In the House hearing, he also gave us some new tidbits on CBDC development. https://www.youtube.com/live/GzVLeabssdE?feature=share&t=218 https://www.youtube.com/live/GzVLeabssdE?feature=share&t=3477
6. A member of the House committee actually asked Powell about Operation Chokepoint 2.0. https://www.youtube.com/live/GzVLeabssdE?feature=share&t=6930
7. Senator Lummis got Powell to agree that properly regulated stablecoins could have a place in our banking system and that a workable legal framework for crypto is something Congress should do. https://www.youtube.com/live/8kyhYJ9EFts?feature=share&t=6923
8. Big Pey is launching something called Atrium Lab. https://twitter.com/bigpeyYT/status/1633830948575010816
9. Believe it or not…legal systems made up entirely by coders may not be optimal. Incredibly, the study of law is actually a fully developed centuries old academic discipline that lies outside of JavaScript and Python. Unless you have full anonymity, you WILL be cross-chain bridged to IRL law. Some DAOs will learn this the hard way. https://twitter.com/lex_node/status/1633925979004436481
10. The NY Attorney General just filed against Kucoin for being an unregistered broker-dealer. Here’s the important part: they’re alleging that ETH is a security and a commodity. Their argument is not complex...it’s very straightforward. https://www.docdroid.net/Myyp0yz/kucoin-pdf
11. Silvergate was a failure of fractional reserve banking, not of crypto. https://twitter.com/CaitlinLong_/status/1633608132713938945
12. The current US Administration’s Budget seeks to eliminate tax loss harvesting for crypto, add a 30% tax on energy used in crypto mining, hike capital gains taxes on high earners, and beam us directly to clown world with an unrealized gains tax on high earners. https://www.whitehouse.gov/wp-content/uploads/2022/03/budget_fy2023.pdf
13. The subcommittee hearing on “the Administration’s Attack” on crypto went about like expected. Paul Grewal of Coinbase along with Prof. Evans of Penn State Law made some persuasive pleas for regulatory clarity. The “Anti-Crypto Party”™ also brought out their favorite witness from Duke. https://www.youtube.com/watch?v=aOUUy4_KwNU
14. Rep. Emmer (Pro-Crypto) called the current regulatory approach “lazy & destructive…that is chilling innovation.” https://www.youtube.com/live/aOUUy4_KwNU?feature=share&t=5670
15. Rep. Foster (Cryptophobe): “this is the essential thing that has to be provided for the healthy development of the crypto industry…somewhere there has to be an API provided by a trusted 3rd party to register your crypto wallets.” Why not just completely neuter crypto? https://www.youtube.com/live/aOUUy4_KwNU?feature=share&t=5266
16. Rep. Ritchie Torres (Pro-Crypto) pointed out offshore deregulated overleveraged centralized crypto companies pose the greatest risk to consumers. But, the regulators don’t focus there. They incredibly only attack the onshore entities. He also pointed out the absurdity of the idea a stablecoin is a security. (Sadly there’s the Section 2(a)(1) exposure). https://www.youtube.com/live/aOUUy4_KwNU?feature=share&t=5703
17. Rep. Davidson (Pro-Crypto) shamed his anti-crypto colleagues for their implied claims that these assets are the same as centralized assets and came out strongly supporting self-custody and pointed out there was no FTX risk if you self-custodied your assets. “We have people overtly trying to make self-custody illegal.” https://www.youtube.com/live/aOUUy4_KwNU?feature=share&t=6034
18. CMC is tweeting about IOG’s Sidechain toolkit? https://twitter.com/CoinMarketCap/status/1634773712468852736
19. Now we’re dealing with U.S. bank runs. Among the casualties was Silicon Valley Bank where Centre (the Circle/Coinbase joint entity that issues USDC) was keeping $3.3 billion of the $43ish billion backing USDC. Signature Bank was also shut down by regulators. https://www.forbes.com/sites/digital-assets/2023/03/11/43-billion-nightmare-sudden-circle-depeg-could-be-about-to-crash-the-price-of-bitcoin-ethereum-bnb-xrp-cardano-dogecoin-polygon-and-solana
20. Unfortunately, the FDIC insurance limit is $250k. https://www.fdic.gov/resources/deposit-insurance/brochures/deposits-at-a-glance/
21. The Feds were taking bids for anyone to acquire SVB until 2pm Eastern on Sunday. The big question on Sunday was whether the Feds will cover all uninsured depositors. They decided they will and that also applies to Signature Bank. https://www.washingtonpost.com/us-policy/2023/03/12/silicon-valley-bank-deposits/
22. Here’s the joint statement from Treasury, Federal Reserve, and FDIC. https://home.treasury.gov/news/press-releases/jy1337
23. Yellen said NO to a bailout for SVB on Sunday. She’s obviously got bigger macro concerns. But, it’s funny how that fits perfectly with a strategy of suppressing stablecoins generally. https://www.cbsnews.com/news/janet-yellen-silicon-valley-bank-bailout-face-the-nation-interview-today-2023-03-12/
24. Here Caitlin Long explains the fundamental incompatibility between fast settling crypto and fractional reserve banking that caused all this. https://twitter.com/CaitlinLong_/status/1634573552790929409
25. CZ reminds us that he’s considered buying banks in the past and asks if it’s time yet. https://twitter.com/cz_binance/status/1634437834579800064
26. CIP-1694 has been updated. https://github.com/JaredCorduan/CIPs/blob/voltaire-v1/CIP-1694/README.md
27. Here’s a good rundown of all the changes in the CIP-1694 update. https://twitter.com/_KtorZ_/status/1635410495514759169
28. Apparently, Cardano NFTs will be going to space! https://twitter.com/RichardMcCrackn/status/1635438087592460288
29. Many in the crypto space think that Signature’s shutdown was just an extension of Operation Chokepoint 2.0 aimed at shuttering crypto banking. https://twitter.com/nic__carter/status/1635328056234766337
30. Rumors: regulators are calling every bank today and asking if they have exposure to crypto. https://twitter.com/wtogami/status/1635400774158290944
31. Instagram is disabling NFTs. https://twitter.com/nftnow/status/1635388411166224384
32. Cardano TVL is doing things. https://twitter.com/CryptoIRELAND1/status/1635694692556845060
33. Cardano NFTs in space! https://twitter.com/adamKDean/status/1635796768704319488
34. GPT4 was released today. It crushes the Bar Exam, the SAT, the GRE, the LSAT, and almost all AP subjects. This will displace a lot of human jobs. https://openai.com/research/gpt-4
35. It has already done amazing real world things. In Example #6 it shows you how to exploit an arbitrary ETH contract. Better pay attention crypto. https://twitter.com/LinusEkenstam/status/1635754587775967233
36. Report: Gov. Newsom failed to disclose accounts at SVB while lobbying White House and Treasury for a bailout of depositors. https://www.businessinsider.com/gavin-newsom-svb-biden-silicon-valley-bank-wineries-bailout-lobbying-2023-3
37. Things are not looking good at Credit Suisse. https://twitter.com/GRDecter/status/1635985735063855104
38. The court in the Voyager decision had some pretty harsh things to say about the SEC. https://www.nysb.uscourts.gov/sites/default/files/opinions/312840_1170_opinion.pdf
39. Barney Frank points out that the regulators never claimed Signature Bank was insolvent and wonders if they are the first US bank to ever be closed down without being insolvent. https://nymag.com/intelligencer/2023/03/barney-frank-says-more-shuttering-signature-bank.html
40. Charles dropped a video addressing the updates to the governance proposal. https://twitter.com/IOHK_Charles/status/1636151615894990851
41. Gensler reasserts his claims that proof-of-stake tokens are securities. https://www.theblock.co/post/220297/gensler-suggests-proof-of-stake-tokens-are-securities
42. Dudes are already letting GPT4 run whole startups. https://twitter.com/jacksonfall/status/1636107218859745286
43. Here’s an interesting theory: taking down Binance would create too big a hole, so they took down Silvergate, Silicon Valley Bank, and Signature to insulate the fiat world from crypto. Now they can take down Binance. https://twitter.com/BryceWeiner/status/1636055979870818305
44. The Army of Spies Channel is now TWO YEARS OLD (March 17)!
45. Yes! Everyone’s favorite Cardano cetacean is back! https://twitter.com/cardano_whale/status/1636561122739331073
46. I was asked to list a few Irish whiskeys today. https://twitter.com/ArmySpies/status/1636548071541862401
47. An interesting exchange between a Senator and Janet Yellen regarding the effect of the bailouts on small banks. https://twitter.com/theemikehobart/status/1636494845144432643
48. Eleven other banks swoop in with $30 billion to save First Republic. https://www.npr.org/2023/03/16/1163958533/first-republic-bank-silicon-valley-bank-signature-bank-bank-run
49. Wut? https://twitter.com/WhaleChart/status/1636566421005017088
50. Here’s Raoul Pal with a very optimistic take for crypto if you are one who believes anyone understands the markets. https://twitter.com/RaoulGMI/status/1636547466299416576
51. Any buyer of signature bank must agree to give up its crypto business. https://twitter.com/GOPMajorityWhip/status/1636356199661850626
52. Here’s Duncan Coutts explaining P2P in Cardano. https://youtu.be/zOTfhcK-Wf4
53. Here’s a visual representation of how CIP-1694 works. https://twitter.com/Hornan7/status/1636381895541026817
54. This is one of the craziest things I’ve seen in crypto. Balaji is burning a few million to ring the fire alarm and make everyone aware of what he believes is an impending attack on dollar holders. Counterparty is guaranteed $1million (minus BTC price) if he just buys one additional BTC (or an option to purchase more). https://twitter.com/balajis/status/1636827051419389952
55. Here’s the Space where he explains his bet. https://twitter.com/Breedlove22/status/1637236255242219520
56. Arthur Hayes gives you an incredible explanation of what’s going on with this banking crisis and what he thinks comes next. https://cryptohayes.medium.com/kaiseki-b15230bdd09e
57. This is officially the worst regulatory approach ever. https://twitter.com/BillHughesDC/status/1636067729575690241
58. The SEC hide the ball game seems to conflict with how judges actually view the law. https://twitter.com/SGJohnsson/status/1636071530340728832
59. The Fed Quietly opened the swap lines with other central banks on Sunday night. https://www.federalreserve.gov/newsevents/pressreleases/monetary20230319a.htm
60. Here’s why they are opening the swap lines: so that US treasuries don’t get dumped on the open market by foreign banks. This way the foreign central banks can have dollars to absorb the treasuries from the foreign banks. https://twitter.com/CryptoHayes/status/1637620774776315904
61. Charles dropped a video on Markets and Contagion in which he revealed that Credit Suisse wouldn’t allow an account when he was with Ethereum b/c crypto was “too risky.” Bwahahahaha. https://twitter.com/IOHK_Charles/status/1637952165217185792
62. Apparently, Djed will also be on ETH and BSC? https://twitter.com/DjedStablecoin/status/1637871708823760902
63. Super ironic that the Credit Suisse CEO claimed crypto was in a bubble at $7k BTC. How the tables have turned. https://twitter.com/gaborgurbacs/status/1637783982271082496
64. Personalization is coming to ADA Handles. https://medium.com/ada-handle/personalization-101-6708ab692b29
65. Four million Cardano wallets. Nice milestone to cross! https://twitter.com/StakeWithPride/status/1638020286997213190
66. More aerostat activity out of World Mobile. This time in New Hampshire. https://twitter.com/WorldMobileTeam/status/1637926277905522689
67. You gotta admit. Balaji is genius at inventing new tag lines. First it was “We are all bitcoin maximalists now.” Today it’s “Fed around and find out.” https://twitter.com/balajis/status/1638349643854786560
68. Apparently, Sushi Swap DAO and its “Head Chef” just got served with an SEC subpoena and they’re asking the community for a $3 million defense fund (with potential for more). https://forum.sushi.com/t/establish-sushi-legal-defense-fund/11813
69. The crypto twitter meme response to the Sushi SEC subpoena was fast and brutal. https://twitter.com/trhistorianelt/status/1638231852619104256
70. People are now suggesting that no member of the Sushi Swap DAO should be in the US. https://twitter.com/tundra_v1/status/1638274785728929793
71. Very interesting rumors that projects are sitting on 2-300 SEC subpoenas and dozens of Wells Notices. https://coinpedia.org/ripple/xrp-price-have-the-xrp-bulls-and-whales-given-up-ahead-of-the-summary-judgment/
72. The IRS is asking for comments on NFTs as “collectibles” (apparently matters for long term capital gains and elsewhere). https://www.irs.gov/pub/irs-drop/n-23-27.pdf
73. Sebastian Nagel reports they have a Hydra head open on Cardano Mainnet. https://twitter.com/ch1bo_/status/1638599596782899205
74. Coinbase just revealed receipt of a Wells Notice. This means the SEC has concluded their investigation and they are (theoretically) inviting Coinbase to convince them otherwise before they file an enforcement action. Basically, the SEC has launched its full war against crypto. https://twitter.com/iampaulgrewal/status/1638660032324829184
75. Here’s the actual notice. https://assets.ctfassets.net/c5bd0wqjc7v0/6G5AjtDvRqRdiwlijKDSxE/f049398909914cb03646d0819d7a48d1/2023.03.22_Coinbase__Inc._Wells_notice.pdf
76. Brian Armstrong says the Wells Notice is focused on staking and asset listings. https://twitter.com/brian_armstrong/status/1638654192138199041
77. Kraken is also not having a great day. Operation Chokepoint 2.0! https://twitter.com/ArmySpies/status/1638636382305546243
78. Report: The SEC is suing Justin Sun over TRX wash trading. Jake Paul and other celebrities are also being drug into the suit. https://www.coindesk.com/policy/2023/03/22/tron-founder-justin-sun-sued-by-us-sec-on-securities-market-manipulation-charges/
79. Here’s the SEC vs. Justin Sun complaint. https://www.docdroid.net/owTRUU3/justin-pdf
80. The Fed chose to hike a quarter of a percent and softened guidance on future hikes. Here’s the redline. https://twitter.com/ArmySpies/status/1638616155022843904
81. IOG dropped a recap of the CIP-1694 workshop. https://twitter.com/IOHK_Charles/status/1639030606100332545
82. Emurgo signed an MOU with Pan-Atlantic University in Nigeria to support blockchain education and research. https://twitter.com/wlstylr/status/1638989199583088641
83. The US is trying to kill crypto. Hong Kong is investing millions in building a crypto hub. https://twitter.com/BitcoinMagazine/status/1638499378691293185
84. Report: Montenegro caught and arrested Do Kwon! https://twitter.com/filip_adzic/status/1638886164118802432
85. Here’s Caitlin Long on the Banking Crisis. She is absolutely the most knowledgeable person on banking in crypto. If there is anyone I would trust on banking matters, it would be her. https://youtu.be/QM5h1oybxPU
86. Here’s the wilder, more extreme take from Balaji. Interestingly, he and Caitlin disagree about how many big prints are left and they both say the position of the other could be right. https://youtu.be/G9ULrFN_lCI
87. Wow. Did Cointelegraph really try to claim we have no self-custody in Cardano staking? https://twitter.com/PhilippeVleLong/status/1639663904795119616
88. Coinbase is updating its staking services (including those related to ADA) and says it will “acts only as a service provider connecting you, the validators, and the protocol.” https://help.coinbase.com/en/coinbase/trading-and-funding/coinbase-earn/rewards
89. This is being interpreted by some as a move toward on-chain only staking that may positively impact the decentralization of validation in blockchains like Cardano. But, we’ll see what validators they aim their delegation at. https://cryptoslate.com/coinbase-moves-to-on-chain-staking-for-tezos-cosmos-solana-and-cardano/
90. People are divided on whether GPT4 will swallow everything and if any skill matters right now other than prompt engineering. But, it looks like Cardano smart contract development is definitely on the radar for that conversation. https://twitter.com/PoolShamrock/status/1639748637684105217
91. The disparity in daily users between the fledgling defi projects in Cardano and the largest most established defi projects in crypto is shocking to some. https://twitter.com/SubcriticalTV/status/1640058128300638208
92. The CFTC has filed an enforcement action against Binance, CZ, and Samuel Lim (CCO of Binance). https://www.docdroid.net/60YAbCz/cftc-binance-pdf
93. People are very curious about how the CFTC knew what Signal text chains were on CZ’s phone. https://twitter.com/BillHughesDC/status/1640400690349744128
94. Some are already implying that the CFTC alleging a coin is a commodity in an enforcement action may be a long term blessing in disguise for crypto since at least it’s not the SEC. https://twitter.com/jconorgrogan/status/1640371206644703232
95. CFTC alleges some bad facts based on internal chat logs. https://twitter.com/ArmySpies/status/1640479998049124353
96. The relief sought by the CFTC is off the charts. https://twitter.com/ArmySpies/status/1640446720353136641
97. I wonder if the shape of a Ledger would have been an advantage here. https://twitter.com/GrindingPoet/status/1639953503354511360
98. CZ has already published a response. https://www.binance.com/en/blog/from-cz/czs-response-to-the-cftc-complaint-2408916493005890282
99. Charles dropped a video on the Cooper & Kirk memo on Chokepoint 2.0. https://www.youtube.com/watch?v=aWvcTgP66tU
100. Here’s the Cooper & Kirk memo itself. cooperkirk.com/wp-content/uploads/2023/03/Operation-Choke-Point-2.0.pdf
101. The Cardano NFT community is embracing CIP-68 and updatable/evolutionary NFTs. https://twitter.com/ada_anvil/status/1640845896911929345
102. Charles responded to the MKBHD tweet that branded crypto as “dumber and dumber every day”. https://twitter.com/IOHK_Charles/status/1640746108350779392
103. IOG dropped a video of the March Hydra technical meeting. https://twitter.com/LucasMacchia2/status/1640710842990854145
104. CFTC Chairman says Binance was a clear case of evasion of US Law. https://twitter.com/SquawkCNBC/status/1640685027989102593
105. Report: Japan is creeping up on a CBDC issuance with a pilot program in April and statements from the Bank of Japan that they need to be ready to issue if the government makes the decision to launch.. https://www.reuters.com/markets/currencies/kuroda-says-boj-needs-be-ready-issue-digital-yen-2023-03-28/
106. Allegations of insider frontrunning at Binance. https://twitter.com/FatManTerra/status/1640677879196397571

~Army of Spies