What happened this week in the world of blockchain and cryptocurrencies? The most relevant local and international events, along with engaging background reports, concisely summarized in the weekly review.
Selected articles of the week:
Three Swiss cantonal banks already offer services for cryptocurrencies. Zurich Cantonal Bank (ZKB), the largest state bank, is now entering the field. Since this week, customers have been able to trade Bitcoin and Ethereum around the clock directly in ZKB eBanking or ZKB Mobile Banking. As a universal bank, the bank offers its customers all relevant financial services, including the trading and custody of cryptocurrencies. ZKB’s business-to-business solution also gives Swiss banks the opportunity to offer their customers the trading and secure custody of cryptocurrencies.
Zurich Cantonal Bank (ZKB), Switzerland’s largest state-owned bank, is entering the crypto sector with a Bitcoin and Ethereum offering.
Tron: a Solana killer?
Since its launch in 2015, Ethereum has been the first network to allow the use of smart contracts. These are self-executing contracts whose terms are written directly into the code. This enables decentralized, trustworthy transactions and the development of applications without intermediaries. However, high transaction costs have driven many users to faster and cheaper alternatives such as Solana. This is reflected in the network’s strong user numbers. Over the past few weeks, Tron, one of the older smart contract blockchains, has emerged as another competitor.
For almost a year, the Solana blockchain has dominated the memecoin sector, but now Tron is entering the space as a new competitor.
ADA becomes governance token
Cardano is also a decentralized proof-of-stake (PoS) blockchain. The network’s founding team takes a decidedly scientific approach and bases its development on peer-reviewed academic research. With the so-called “Chang upgrade”, the blockchain is entering the final development phase and allows users to vote (governance) on network changes.
The Chang upgrade makes Cardano a fully decentralized, community-run blockchain with on-chain governance using the ADA token.
Where is all the Bitcoin selling pressure coming from?
After the strong ETF inflows this spring, headlines about billions in Bitcoin sales dominated. The ongoing redistribution of funds to the creditors of Mt. Gox alone amounted to almost six billion USD. But the US government, the German Federal Criminal Police Office and Genesis also sold substantial holdings. This selling pressure came up against a rather illiquid market. A detailed analysis.
In this report, we will take a closer look at liquidity in the context of the Bitcoin (BTC) supply overhang.
Untypical price performance
In addition: August was not a good month for the crypto markets. Despite the prospect of an interest rate cut, risk assets suffered. For Bitcoin, such a price trend shortly after the halving is rather atypical. In past market cycles, the halving of the inflation rate was always followed by an upswing. ETFs have probably contributed to breaking this historical pattern. Nevertheless, the sector is developing rapidly and the future outlook remains positive.
A summarizing monthly review of what’s happening in the crypto markets in cooperation with the Swiss specialist 21Shares AG.
