The Daily Index — Monday, June 12, 2023 · TLDR Index

MARKETS & BUSINESS

TLDR Crypto

TLDR Crypto

BINANCE.US SUSPENDS USD DEPOSITS, WARNS OF FIAT WITHDRAWAL PAUSE

Binance.US is suspending USD deposits and is warning users of a pause in USD withdrawals starting on June 13, due to pressure from the SEC. Its banking situation has become more complicated after the SEC issued an order to freeze Binance.US’s assets. The crypto exchange is planning to transition to a crypto-only platform. While trading, staking, deposits, and crypto withdrawals will remain operational, the firm plans to delist USD trading pairs, though Tether pairs will still be supported.

cointelegraph.com · 2 min

TLDR Crypto

CATALYST UNIT OF LIQUIDITY

Catalyst Exchange's new whitepaper goes over an innovation called the 'Unit of Liquidity', which promises to further generalize Uniswap and Balancer AMM equations and improve cross-chain DeFi applications. Unlike existing protocols, Catalyst enables cross-chain swaps without exposing users to an intermediate token or requiring a bridge. The system executes swaps independently and uses price curves rather than a constant function. It can mimic the Balancer invariant, facilitate stable-coin swaps, enable cross-chain liquidity auctions, and more.

threadreaderapp.com · 3 min

TLDR Crypto

INSCRIPTIONS 2.0 - RECURSIVE INSCRIPTIONS COMING TO ORDINALS

A PR for recursion, merged over the weekend, allows an Ordinals inscription to request content from other inscriptions, effectively exceeding the previous 4mb limit. This creates opportunities for innovative applications such as loading parts of a larger game code, or building image inscriptions from a base layer plus traits, all on-chain. Even entire programs, like Bitcoin Core, can theoretically be uploaded and run on Bitcoin. The development of this concept opens the door for further creativity and functionality for Ordinals.

threadreaderapp.com · 4 min

TLDR Crypto

THE THREE TRANSITIONS

This article from Vitalik Buterin discusses three critical transitions Ethereum must undergo to mature: L2 scaling, wallet security, and privacy. The first relates to everyone moving to rollups, enabling faster and cheaper transactions. The second involves the transition to smart contract wallets for enhanced security. The third emphasizes privacy-preserving fund transfers. In the post, Buterin discusses the implications of these transitions on users, addresses, on-chain payments, key recovery, infrastructure, and identity.

vitalik.eth.limo · 19 min

TLDR Crypto

ONCHAIN HYPERCULTURES: THE CONTEXT-FERMENTATION WINDOW

This blog discusses on-chain culture, represented by blockchains and the internet, and how it may lead to a global cultural shift by turning cultural diversity into a fruitful global society. It transforms individual and collective creativity into tangible milestones in the digital realm. For example, paying to mint, as opposed to simply uploading to servers, enhances the value of shared content. The decentralized nature of blockchains allows for endless hyperculture creation, across fields like art, journalism, music, and more. This potential, combined with collective resonance, could bring about a major cultural evolution.

mirror.xyz · 5 min

TLDR Crypto

THEIR CRYPTO COMPANY COLLAPSED. THEY WENT TO BALI.

This controversial article explains how Kyle Davies and Su Zhu have enjoyed leisurely lives traveling and sightseeing following the collapse of their cryptocurrency hedge fund, 3AC. Their hedge fund's failure led to substantial losses for other companies and individual investors, but Davies and Zhu claim to have thrived since, spending time in Bali, Thailand, and Malaysia, among other locations. Despite ongoing investigations and outstanding balances to creditors to the tune of $3.3 billion, they insist they've done nothing wrong. In fact, they're even promoting their next venture, Open Exchange, a platform for traders who lost money in last year’s crypto market crash to buy and sell claims to the bankruptcy estates of defunct crypto firms. Ironically, users will be able to trade claims against 3AC on this new exchange headed up by Davies and Zhu.

archive.ph · 16 min

TLDR Crypto

CRACKDOWN ON COINBASE

The SEC's recent lawsuits against Binance and Coinbase have drawn criticism from Congress and former regulators, who accuse SEC Chairman Gary Gensler of undermining their efforts to develop a regulatory framework for the crypto industry. Critics argue Gensler's views have significantly shifted from when he taught blockchain at MIT. While Gensler emphasizes that he is trying to reign in what he views as the non-compliance of the crypto sector, others believe the SEC is wasting resources on ambiguous cases. Some in the industry are hopeful that these enforcement actions will prompt Congress to accelerate the creation of crypto regulation, though skeptics caution about betting on swift legislative action.

marketwatch.com · 4 min

TLDR Crypto

POLYGON LABS RESPONDS TO SEC'S CLAIM MATIC IS A SECURITY

Polygon Labs has refuted the SEC's claim that MATIC is an unregistered security, focusing its argument on the fact they didn't target the US.

theblock.co · 2 min

TLDR Crypto

A16Z EXPANDING TO THE UK

a16z announced it is opening its first non-US-based office in the UK. The firm views the UKs policies towards crypto as much more friendly than the US’s regulatory environment and wants to have a strong presence in the region.

a16zcrypto.com · 5 min

TLDR Crypto

GENERATIVE ART: A QUINTESSENTIALLY MODERN ART FORM

This piece from Sotheby’s in connection with its Grails auction explains how Generative art, created via autonomous systems and often tokenized as NFTs, is gaining popularity and earning a legitimate place amongst other modern art forms.

sothebys.com · 5 min

TLDR Crypto

LIABLE

In a case alleging that Ooki DAO was operating an illegal exchange, a US court ruled that the decentralized autonomous organization is legally liable under the Commodity Exchange Act, potentially setting a significant legal precedent for other DAOs.

theblock.co · 2 min