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By The Numbers: Over 1 Million New Crypto Tokens Launched Since April

The crypto community created over one million tokens across all chains in the past month, with Solana and Ethereum leading the crypto token frenzy. According to Coinbase’s director, these numbers doubled the tokens created in Ethereum between 2015 and 2023.

Over 22,000 New Crypto Tokens Created Daily

Coinbase’s director Connor Grogan shared on X that 1 million tokens have been launched since April 1, 2024. The tokens created in the Ethereum Network account for 36% of the total number, with 372,642 tokens launched in the past month and a half.

According to Dune Analytics, 327,553 tokens, around 88% of the total, were launched on the Layer-2 blockchain Base. The surge was seemingly propelled by the memecoin frenzy that has taken over this cycle.

crypto

Additionally, Ethereum and Arbitrum saw a significantly smaller number of new crypto tokens launched, with 21,474 and 19,284 new tokens, respectively.

However, Solana took the crown after seeing the creation of 643,227 tokens since April 1. Out of those, 464,563 are memecoins, per Dune Analytics. Moreover, Grogan highlighted that Solana registers an average of 20,000 new tokens daily.

As reported by Solana Floor, on Monday, the blockchain reached a new all-time high (ATH) in newly created tokens, with 23,000. This could be attributed to the market pump propelled by the return of renowned crypto trader Roaring Kitty. Since his comeback to social media, several new memecoins have been created, and the top ones have surged.

The crypto community reacted to the astonishing numbers, with many expressing concerns. One user pointed out that most of these tokens are “just spam to farm sniper bots.” He alleged that some people launch tokens “just to rug pull bots that auto-bought.”

Another user playfully added, “The moral of the story is don’t buy projects created after February 2024.” This year, investors have seen many project launches promising big returns. Instead, investors have suffered rug-pull and other scams.

Overabundance Of Altcoins?

At the end of April, DeFi researcher and Web3 investor Thor Hartvigsen pointed out that while only four months into the year, the market had seen a massive increase in the supply of altcoins.

As a result, this increase accounted for $8.6 billion in additional liquid supply injected into the market. Hartvigsen added that crypto projects will unlock $70.5 billion over the years, with many tokens launched in 2023 “also unlocking this year with many cliffs ending.”

Moreover, the market observer highlighted that the average float in market capitalization and fully diluted valuation (FDV) for the tokens launched in Q1 2024 was just 13.6%.

crypto

To him, this is only “the tip of the iceberg,” as the crypto market will continue to be flooded with new supplies and tokens. He offered a list of categories he believes will see the greatest number of new tokes this year.

His list included Modular Infrastructure protocols, Liquid Restaking Tokens (LRTs), Bridges and Cross-Chain Messaging solutions, and Perpetual Decentralized Exchanges (DEXes).

On Tuesday, DeFi researcher Ignas shared a list based on the recently launched low-float tokens shared by Hartvigsen. According to him, these tokens are down by 63.6% on average.

According to the researcher, tokens like JUP, ONDO, and STRK have registered a 49.2%, 30.5%, and 74.2% decrease from ATH prices.

crypto, TOTAL

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Getting Cheaper, Getting Higher? Ethereum Dencun Upgrade And The Potential For ETH To Rise Back Above $4,000

The highly anticipated Dencun upgrade for the Ethereum (ETH) ecosystem is on the horizon, promising to bring significant cost reductions and notable changes to Layer 2 (L2) networks. The update, scheduled for March 13, will introduce a new data storage system known as blobs, reducing congestion on the Ethereum network and driving key new features in various areas. 

Ethereum Dencun Upgrade

As highlighted in a recent Bloomberg report, Dencun aims to reduce the cost of Layer 2 networks such as Arbitrum (ABR), Polygon (MATIC), and Coinbase’s Base by enabling previously costly transactions to become significantly cheaper. 

In particular, transactions that used to cost $1 can now cost as little as one cent, the report notes, while others that used to cost cents can be reduced to a fraction of a cent. This cost reduction is expected to improve the end-user experience greatly and is a significant improvement over previous upgrades such as the September 2022 “Merge.”

One of the most crucial aspects of the Dencun upgrade is the introduction of blobs, a new type of data repository for Layer 2 networks. Currently, Layer 2 blockchains store their data on the Ethereum network, leading to substantial storage costs passed on to applications and users. 

However, with blobs, Layer 2s will store their data for a significantly shorter period, about 18 days, resulting in lower costs. While this shift sacrifices storing a complete record of all transactions forever, it frees up more space on the Ethereum network for other transactions, reducing congestion.

AI-Driven Trading Strategies

According to the report, introducing blobs through the Dencun upgrade also paves the way for using artificial intelligence (AI) in various applications. For example, games can incorporate AI-driven non-player characters, enabling advanced gameplay capabilities and a deeper experience. 

In decentralized finance (DeFi), automated market makers can incorporate “complex trading strategies” driven by AI models. This newfound flexibility and complexity are expected to foster innovation and drive the development of advanced applications in the Ethereum ecosystem.

In addition, the Dencun upgrade is expected to reduce the operating costs of Layer 2 chains significantly. Previously, launching and operating a Layer 2 project required considerable venture capital backing. However, Bloomberg reports that with the cost reductions brought about by Dencun, small teams may be able to launch and maintain Layer 2 chains. 

While the adoption of blobs and the associated cost advantages are expected to drive immediate benefits, it is worth noting that the cost of blobs may increase over time as demand grows. 

How Could Dencun Boost ETH Price?

While the price of ETH has corrected by over 3% in the past 24 hours, resulting in a current trading price of $3,916, the Dencun upgrade holds the potential to have a positive impact on its price.

The upgrade aims to significantly reduce costs for Layer 2 networks and enhance the overall user experience, making Ethereum a more appealing platform for decentralized applications (dApps) and other use cases. By lowering transaction fees and improving scalability, Dencun could attract more users and developers to the Ethereum ecosystem, potentially driving up demand for ETH tokens.

Despite the ongoing correction, it is worth noting that the current price of ETH is not far from its two-year high of $4,084. However, it’s important to consider that the price has formed a double top pattern on the daily time frame for two consecutive days, which may present a near-term hurdle for ETH’s price. The market’s reaction and the ability of ETH to surpass its nearest resistance level remain to be seen.

Ethereum

Featured image from Shutterstock, chart from TradingView.com

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How To Create And Mint Your Own NFTs On The Ethereum Network

The allure of creating your own NFTs and BRC-20 tokens is undeniable. For artists, owning and monetizing their digital creations through NFTs offers a new level of control and potential financial reward. Beyond the realm of art, NFTs can foster passionate communities, grant exclusive access to events, and even act as fundraising tools. 

However, stepping into the world of token creation isn’t without its challenges. It demands both a technical understanding of blockchain technology and smart contracts, along with a careful consideration of financial risks and potential regulatory implications. Before diving in, it’s crucial to assess your goals, resources, and risk tolerance. While the possibilities are vast and exciting, responsible and informed action is key to navigating this rapidly evolving landscape.

NFTs, or Non-Fungible Tokens, are digital assets that represent ownership or proof of authenticity for specific items or content. Unlike fungible cryptocurrencies like Bitcoin or Ethereum, NFTs cannot be exchanged on a one-to-one basis due to their unique nature.

NFTs are typically created and traded on blockchain platforms such as Ethereum, Binance Smart Chain, and decentralized marketplaces like OpenSea. These platforms utilize smart contracts to establish ownership and enable transparent and immutable transactions for NFTs.

NFTs can represent a wide range of digital items, including artwork, music, videos, virtual real estate, and collectibles. Each NFT has metadata describing the item it represents and a unique identifier that sets it apart from other NFTs

Creating NFTs On The Ethereum Network

The primary stage in the creation of NFTs involves identifying the content you wish to associate with your NFT. Consider the specific representation you desire for your NFT, whether it be digital artwork, collectibles, virtual real estate, or any other distinct digital item.

In this article, we will use illustrations from OpenSea to guide you on the steps you need to create your own NFTs. OpenSea stands as a leading decentralized marketplace built on the Ethereum blockchain, dedicated to NFTs. It creates a space where users can engage in buying, selling, and discovering an extensive array of digital assets, encompassing artwork, virtual real estate, collectibles, and more.

OpenSea delivers a user-friendly interface, showcasing a vast selection of NFT listings curated from diverse creators and projects. Through OpenSea, users gain the ability to explore the NFT community, partake in auctions, and securely manage their digital assets. With a commitment to fostering the expansion and accessibility of the NFT market, OpenSea ensures a seamless experience for enthusiasts and collectors alike.

This step-by-step guide covers how to create an NFT collection and mint directly to your wallet. 

First, visit the original OpenSea website, and click on the “Login” button at the top to connect your preffered wallet.

To figure out the best wallet to use on the Ethereum network, check here.

NFTs

Next,  click on your “Profile Icon” at the top right of your OpenSea interface in order to deploy a smart contract and select “Studio” through the pop-up options.

NFT OpenSea

To initiate the creation of a fresh NFT, simply click the “Create” button located at the top right corner.

OpenSea

When you explore the options, you will find the choice to either Drop a collection or Create/Mint an NFT. Selecting “Create an NFT”. This will enable you to mint an NFT directly into your wallet.

NFTs

Once you proceed, a fresh “Create an NFT” screen will be presented. If you are using OpenSea Studio tools for the first time to create an NFT, select “Create a new collection.” You will be able to add one NFT to this collection initially, with the option to include more NFTs at a later stage.

NFT

After selecting “Create a new collection,” you will be guided through the steps on your screen to deploy a smart contract. This process will enable you to create NFTs for your newly created collection.

To customize your contract, you need to add a logo image, choose a contract name, and designate a token symbol. Additionally, you will need to choose an EVM blockchain. It’s important to note that deploying a smart contract incurs gas fees, and the estimated fees for each blockchain will be displayed. If the fees are higher than anticipated, you can revisit the process at a later time, as they are subject to change based on network activity.

NFTs 

When you are prepared, proceed by clicking on “Continue”. This action will prompt a transaction signature request in your wallet, which will necessitate gas.

NFTs

Once the process is finalized, you will receive a confirmation message. Proceed to the next step by selecting “Create an NFT” as shown below.                                  :

NFT OpenSea

Having successfully created a smart contract, you are now prepared to generate an NFT. It is important to note that once your item is minted, further editing becomes impossible as it permanently resides on the blockchain. In this case, you will be creating an ERC-1155 NFT, which allows for the creation of multiple copies of the same item.

To begin this phase, upload the media for your NFT, which represents the artwork associated with it. Next, choose the collection in which you wish to mint your NFT.

Subsequently, provide a name for your item and set the desired item supply. The item supply determines the number of copies you wish to mint for the NFT. If you choose 1, then the item will be a one-of-one. 

NFT name

Next, click on the “Create” button at the bottom right, as shown in the above image.  A loading message will appear as the item is being minted. To proceed with the minting process, you will need to approve the transaction using your wallet.   

NFTs

Congratulations! You have successfully minted your very first NFT!

NFT OpenSea

Conclusion

Although NFTs and BRC-20 tokens have distinct functions and operate on separate blockchains, they both contribute to the growing realm of blockchain-based digital assets. NFTs have captured widespread interest for their exceptional nature and capacity to represent ownership of digital assets. 

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How to Buy, Sell, and Trade ERC-20 Tokens on the Ethereum Network

[toc]

The Ethereum network stands as a revolutionary innovation in the realm of blockchain technology. It serves as a robust platform for building and deploying decentralized applications (dApps), fueling the growth of decentralized finance (DeFi) and transforming the way we interact with financial services. However, with its widespread adoption and increasing popularity, Ethereum has faced challenges of scalability and high transaction fees, leading to the development of Layer 2 scaling solutions to enhance its capabilities.

The Ethereum blockchain hums with innovation, birthing a new breed of digital assets known as ERC-20 tokens. These versatile gems unlock a treasure trove of possibilities, from voting rights in decentralized communities to fueling innovative applications and even representing virtual currencies. 

ERC-20 tokens are standardized building blocks on the Ethereum network. They adhere to a specific set of rules, ensuring seamless interaction and divisibility, making them perfect for trading and diverse applications. Think of them as digital coins, each with its unique identity and purpose, ready to be exchanged, used, and explored.

Whether you’re a seasoned crypto trader or a curious newcomer, navigating the thrilling world of ERC-20 trading can be challenging. This comprehensive guide will equip you with the knowledge and tools to confidently buy, sell, and trade these digital assets on the Ethereum network. 

Some of the major and popular ERC-20 Tokens are Tether (USDT), Polygon (MATIC), Chainlink (LINK), Uniswap (UNI), Lido DAO (LIDO), Maker DAO (MKR), amongst many others. 

Features of Ethereum Network

Ethereum’s innovative design sets it apart from other networks, paving the way for a decentralized future of finance, applications, and beyond. Distinguished by its unique features and capabilities, it stands as one of the pioneers of Blockchain Technologies with standout features like: 

The Power of Smart Contracts

The Ethereum Virtual Machine (EVM) serves as the core engine that drives the execution of smart contracts on the Ethereum network. These smart contracts are self-executing code that automates various actions and agreements, forming the foundation of dApps and DeFi protocols. EVM compatibility is crucial for deploying and interacting with ERC-20 tokens, the most common token standard on Ethereum.

Unlike static databases, Ethereum boasts the groundbreaking ability to execute self-enforcing agreements through smart contracts. These programmable pieces of code automate a wide range of tasks, enabling trustless interactions and the creation of innovative applications in diverse sectors.

Layer 1 and Layer 2: Addressing Scalability

The Ethereum mainnet functions as a Layer 1 blockchain, the base layer where all transactions are ultimately settled. To address the scalability bottlenecks on this primary layer, Layer 2 solutions have emerged as a promising approach. These solutions aim to offload a significant portion of transaction processing off-chain, resulting in increased throughput, faster confirmation times, and significantly reduced transaction costs.

A Platform For Innovation

Ethereum isn’t just a cryptocurrency platform; it’s a fertile ground for developers to build revolutionary decentralized applications (dApps). From DeFi protocols automating financial transactions to NFTs unlocking new ownership models, the possibilities are endless.

Gas and Gas Fees: Fueling Transactions

Within the Ethereum network, gas refers to the computational power required to execute transactions and smart contracts. Users pay gas fees to compensate miners for processing their transactions. Gas fees are denominated in ETH, Ethereum’s native cryptocurrency.

Fueling Decentralized Finance (DeFi)

As a breeding ground for DeFi protocols, Ethereum empowers users to take control of their finances. Borrow, lend, invest, and trade without dependence on intermediaries, fostering a more open and inclusive financial system.

Ecosystem And Adoption

Unlike centralized projects, Ethereum thrives on a vibrant and passionate community. Developers, miners, and users participate in its governance and evolution, ensuring its development remains transparent and aligned with the community’s needs. This growing ecosystem includes decentralized exchanges (DEXs), gaming applications, and more. 

Exploring Layer 2 Scaling Solutions

Layer 2 scaling solutions offer a promising pathway to address the scalability challenges faced by the Ethereum mainnet. They operate as secondary layers built on top of the main blockchain, providing alternative mechanisms for transaction processing and data storage.

Here are some common types of Layer 2 solutions:

  • Sidechains: Independent blockchains that run in parallel with Ethereum, enabling faster and cheaper transactions.
  • Plasma Chains: Blockchains that leverage Ethereum for security and finality, offering scalability benefits through data offloading.
  • Optimistic Rollups: The technology employed by the Ethereum network for token transactions, which bundles multiple transactions off-chain and submits a summary to the mainnet for verification.

Beyond Features: What Truly Sets Ethereum Apart?

Ethereum’s uniqueness extends beyond its specific features, encompassing its fundamental characteristics and impact on the blockchain landscape.

Network Effect and Ecosystem: Through its early adoption and widespread implementation, Ethereum has established a robust network effect. Developers, projects, and users gravitate towards it, creating a flourishing ecosystem that strengthens its overall value and resilience.

Security and Trust: Built on a Proof-of-Work (PoW) consensus mechanism, Ethereum offers a high level of security and protection against malicious attacks. Its distributed nature further bolsters trust and transparency, minimizing the risk of centralized control.

Flexibility and Adaptability: Ethereum’s design prioritizes flexibility and adaptability. Upgradeability mechanisms allow it to evolve and adopt new features to remain relevant and address emerging challenges in the blockchain space.

Global Impact and Pioneering Spirit: Ethereum has gone beyond being a mere technological advancement; it has ignited a global conversation about decentralization, ownership, and financial autonomy. Its pioneering spirit continues to inspire innovation and shape the future of our digital world.

How To Get Started  on the Ethereum Network for ERC-20 Tokens.

To buy/sell ERC-20 Tokens, you’ll need a crypto wallet. There are several crypto wallets to choose from within the Ethereum network and, popular options include software wallets like MetaMask, Trust Wallet, Coinbase Wallet, Binance WAllet, etc. 

If you are using a desktop computer, you can download Google Chrome and install the MetaMask Wallet Chrome extension. If you prefer using your mobile phone, you can download MetaMask wallet via Google Play or the iOS App Store. 

Just make sure that you are downloading the official Chrome extension and mobile app by visiting MetaMask Wallet’s website.

Metamask

Once you’ve registered and set up your wallet via the Google Chrome Extension or via the mobile app you downloaded, MetaMask wallet allows users to manage their cryptocurrency wallets and interact with decentralized applications (DApps) to execute transactions on supported blockchain networks directly from their browsers. (Write down your seed phrase on a piece of paper and keep it in a safe place!). 

Now, you’ll need to connect and add Ethereum to your MetaMask wallet. You may refer to MetaMask support page for reference on their website. 

Trading ERC-20 Tokens on the Ethereum Network.

In order to ERC-20 token trades on the Ethereum network, you will need to buy ETH as your base currency. You can buy ETH on centralized exchanges such as Binance, copy your wallet address from Metamask, and then send the ETH from Binance to your Metamask wallet. 

You can also purchase ETH directly within the Metamask wallet using traditional payment methods such as credit or debit cards, etc.

Ethereum network

Just click on the “Buy/Sell” button within Metamask to open the interface. Here, you can put how much ETH (or any other token) you want to buy in terms of dollar terms, pick your payment method, and then click “Buy”.

Note that to buy crypto directly within Metamask, you will need to provide info such as your country and state. However, it is a straightforward process that only takes a minute.

It’ll only take a couple of minutes at most for your ETH to arrive in your wallet. Once the ETH arrives, you are all set to begin trading ERC-20 tokens on the Ethereum network. So, head over to UniSwap to get started on your trading journey.

How To Trade ERC-20 Tokens On The Ethereum Network Using UniSwap

Uniswap is a decentralized exchange (DEX) protocol built on the Ethereum blockchain. It allows users to trade Ethereum-based tokens directly from their wallets without the need for intermediaries or traditional order books. 

Uniswap offers users a simple and straightforward way to buy and sell a wide variety of tokens. Be sure you’re on the  Uniswap website to protect your wallet.

The first step is clicking on the “Launch App” button at the top right corner, as shown in the image below:

Uniswap

The next step is clicking on the connect wallet option on Uniswap at the top right corner, as shown in the image below:

Uniswap Ethereum

Connect to your preferred wallet as shown below. (In this case, it’s Metamask):

Swap

Once connected, switch Metamask to the Ethereum network. (If you’re already on the Ethereum network, you do not need to switch):

Ethereum swap

After connecting MetaMask to the Ethereum network, go to Uniswap, and then you can start your ERC-20 Tokens on the Ethereum network using UniSwap.

Trading Ethereum Tokens On Uniswap

The next step is to select your preferred tokens on the UnsSwap interface and since Uniswap operates on a token to token trading model, click on the “select token” button to select the trading pair you want to trade against. 

For example, if you want to buy USDT using ETH,  select ETH – USDT, enter the amount, then click on “swap” or “trade now” and confirm the transaction in your Metamask wallet. You can view the tokens in your wallet’s asset list.

Uniswap

Buying and Selling ERC-20 Tokens with the Metamask Wallet

Ethereum Network users can also buy and sell tokens using the Metamask extension wallet already connected to the Ethereum network. To do this, make sure you’re connected to the Ethereum network and have ETH to swap and pay for gas fees. Then, navigate to the “Swap” button as shown below. This will take you to the Swap interface inside Metamask.

metamask swap

Using the image above as a guide, you can also search for tokens using the name or the contract address, just like on UniSwap. Input the amount of ETH you want to swap, confirm that you have the correct token, and then click “Swap.” Once the transaction is confirmed, the tokens you just bought will be sent to your wallet.

Tracking ERC-20 Token Prices on The Ethereum Network

ERC-20 token holders and traders can take advantage of on-chain tools like DeFiLama to gain access to comprehensive market insights for specific tokens. These insights include price data and contract information, empowering users to make well-informed trading decisions based on reliable and up-to-date information.

Dextools is a comprehensive analytic resource for managing digital assets traded on ERC-20 Decentralized Exchanges. It’s a vibrant analytical cryptocurrency resource that provides statistical information on all leading blockchains and crypto projects. 

Dextools

Among these features, an exceptional one is the charting functionality, which delivers both real-time and historical price data for a wide range of tokens. 

By utilizing these charts, users gain valuable insights into price trends, trading volumes, and other pertinent metrics. This enables them to pinpoint potential entry or exit points for their trades with precision and confidence. For example, let’s assume you’re $ETH for $LIDO, your trading pair is ETH/LIDO.

Note, Trading pairs serve as bridges between currencies. For example, the ETH/LIDOpair allows you to acquire $LIDO tokens using Ethereum (ETH).

Choose the pair that fits your funding situation and trading strategy. Consider using ETH if you already hold it, or fiat currencies if you’re venturing in fresh. 

Let’s track the $LIDO token on Dextools, here’s what we have:

Charts

Conclusion

Buying, selling, and trading ERC-20 tokens on the Ethereum network can be a thrilling adventure, opening doors to exciting investment opportunities and unlocking the potential of decentralized finance. However,  it demands knowledge, caution, and a well-defined strategy. 

This guide serves as your map and compass, but the ultimate treasure lies in your own learning and exploration. Navigate with confidence, trade responsibly, and remember that the most valuable asset in this journey is your knowledge.

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How to Buy, Sell, and Trade ERC-20 Tokens on the Ethereum Network

[toc]

The Ethereum network stands as a revolutionary innovation in the realm of blockchain technology. It serves as a robust platform for building and deploying decentralized applications (dApps), fueling the growth of decentralized finance (DeFi) and transforming the way we interact with financial services. However, with its widespread adoption and increasing popularity, Ethereum has faced challenges of scalability and high transaction fees, leading to the development of Layer 2 scaling solutions to enhance its capabilities.

The Ethereum blockchain hums with innovation, birthing a new breed of digital assets known as ERC-20 tokens. These versatile gems unlock a treasure trove of possibilities, from voting rights in decentralized communities to fueling innovative applications and even representing virtual currencies. 

ERC-20 tokens are standardized building blocks on the Ethereum network. They adhere to a specific set of rules, ensuring seamless interaction and divisibility, making them perfect for trading and diverse applications. Think of them as digital coins, each with its unique identity and purpose, ready to be exchanged, used, and explored.

Whether you’re a seasoned crypto trader or a curious newcomer, navigating the thrilling world of ERC-20 trading can be challenging. This comprehensive guide will equip you with the knowledge and tools to confidently buy, sell, and trade these digital assets on the Ethereum network. 

Some of the major and popular ERC-20 Tokens are Tether (USDT), Polygon (MATIC), Chainlink (LINK), Uniswap (UNI), Lido DAO (LIDO), Maker DAO (MKR), amongst many others. 

Features of Ethereum Network

Ethereum’s innovative design sets it apart from other networks, paving the way for a decentralized future of finance, applications, and beyond. Distinguished by its unique features and capabilities, it stands as one of the pioneers of Blockchain Technologies with standout features like: 

The Power of Smart Contracts

The Ethereum Virtual Machine (EVM) serves as the core engine that drives the execution of smart contracts on the Ethereum network. These smart contracts are self-executing code that automates various actions and agreements, forming the foundation of dApps and DeFi protocols. EVM compatibility is crucial for deploying and interacting with ERC-20 tokens, the most common token standard on Ethereum.

Unlike static databases, Ethereum boasts the groundbreaking ability to execute self-enforcing agreements through smart contracts. These programmable pieces of code automate a wide range of tasks, enabling trustless interactions and the creation of innovative applications in diverse sectors.

Layer 1 and Layer 2: Addressing Scalability

The Ethereum mainnet functions as a Layer 1 blockchain, the base layer where all transactions are ultimately settled. To address the scalability bottlenecks on this primary layer, Layer 2 solutions have emerged as a promising approach. These solutions aim to offload a significant portion of transaction processing off-chain, resulting in increased throughput, faster confirmation times, and significantly reduced transaction costs.

A Platform For Innovation

Ethereum isn’t just a cryptocurrency platform; it’s a fertile ground for developers to build revolutionary decentralized applications (dApps). From DeFi protocols automating financial transactions to NFTs unlocking new ownership models, the possibilities are endless.

Gas and Gas Fees: Fueling Transactions

Within the Ethereum network, gas refers to the computational power required to execute transactions and smart contracts. Users pay gas fees to compensate miners for processing their transactions. Gas fees are denominated in ETH, Ethereum’s native cryptocurrency.

Fueling Decentralized Finance (DeFi)

As a breeding ground for DeFi protocols, Ethereum empowers users to take control of their finances. Borrow, lend, invest, and trade without dependence on intermediaries, fostering a more open and inclusive financial system.

Ecosystem And Adoption

Unlike centralized projects, Ethereum thrives on a vibrant and passionate community. Developers, miners, and users participate in its governance and evolution, ensuring its development remains transparent and aligned with the community’s needs. This growing ecosystem includes decentralized exchanges (DEXs), gaming applications, and more. 

Exploring Layer 2 Scaling Solutions

Layer 2 scaling solutions offer a promising pathway to address the scalability challenges faced by the Ethereum mainnet. They operate as secondary layers built on top of the main blockchain, providing alternative mechanisms for transaction processing and data storage.

Here are some common types of Layer 2 solutions:

  • Sidechains: Independent blockchains that run in parallel with Ethereum, enabling faster and cheaper transactions.
  • Plasma Chains: Blockchains that leverage Ethereum for security and finality, offering scalability benefits through data offloading.
  • Optimistic Rollups: The technology employed by the Ethereum network for token transactions, which bundles multiple transactions off-chain and submits a summary to the mainnet for verification.

Beyond Features: What Truly Sets Ethereum Apart?

Ethereum’s uniqueness extends beyond its specific features, encompassing its fundamental characteristics and impact on the blockchain landscape.

Network Effect and Ecosystem: Through its early adoption and widespread implementation, Ethereum has established a robust network effect. Developers, projects, and users gravitate towards it, creating a flourishing ecosystem that strengthens its overall value and resilience.

Security and Trust: Built on a Proof-of-Work (PoW) consensus mechanism, Ethereum offers a high level of security and protection against malicious attacks. Its distributed nature further bolsters trust and transparency, minimizing the risk of centralized control.

Flexibility and Adaptability: Ethereum’s design prioritizes flexibility and adaptability. Upgradeability mechanisms allow it to evolve and adopt new features to remain relevant and address emerging challenges in the blockchain space.

Global Impact and Pioneering Spirit: Ethereum has gone beyond being a mere technological advancement; it has ignited a global conversation about decentralization, ownership, and financial autonomy. Its pioneering spirit continues to inspire innovation and shape the future of our digital world.

How To Get Started  on the Ethereum Network for ERC-20 Tokens.

To buy/sell ERC-20 Tokens, you’ll need a crypto wallet. There are several crypto wallets to choose from within the Ethereum network and, popular options include software wallets like MetaMask, Trust Wallet, Coinbase Wallet, Binance WAllet, etc. 

If you are using a desktop computer, you can download Google Chrome and install the MetaMask Wallet Chrome extension. If you prefer using your mobile phone, you can download MetaMask wallet via Google Play or the iOS App Store. 

Just make sure that you are downloading the official Chrome extension and mobile app by visiting MetaMask Wallet’s website.

Metamask

Once you’ve registered and set up your wallet via the Google Chrome Extension or via the mobile app you downloaded, MetaMask wallet allows users to manage their cryptocurrency wallets and interact with decentralized applications (DApps) to execute transactions on supported blockchain networks directly from their browsers. (Write down your seed phrase on a piece of paper and keep it in a safe place!). 

Now, you’ll need to connect and add Ethereum to your MetaMask wallet. You may refer to MetaMask support page for reference on their website. 

Trading ERC-20 Tokens on the Ethereum Network.

In order to ERC-20 token trades on the Ethereum network, you will need to buy ETH as your base currency. You can buy ETH on centralized exchanges such as Binance, copy your wallet address from Metamask, and then send the ETH from Binance to your Metamask wallet. 

You can also purchase ETH directly within the Metamask wallet using traditional payment methods such as credit or debit cards, etc.

Ethereum network

Just click on the “Buy/Sell” button within Metamask to open the interface. Here, you can put how much ETH (or any other token) you want to buy in terms of dollar terms, pick your payment method, and then click “Buy”.

Note that to buy crypto directly within Metamask, you will need to provide info such as your country and state. However, it is a straightforward process that only takes a minute.

It’ll only take a couple of minutes at most for your ETH to arrive in your wallet. Once the ETH arrives, you are all set to begin trading ERC-20 tokens on the Ethereum network. So, head over to UniSwap to get started on your trading journey.

How To Trade ERC-20 Tokens On The Ethereum Network Using UniSwap

Uniswap is a decentralized exchange (DEX) protocol built on the Ethereum blockchain. It allows users to trade Ethereum-based tokens directly from their wallets without the need for intermediaries or traditional order books. 

Uniswap offers users a simple and straightforward way to buy and sell a wide variety of tokens. Be sure you’re on the  Uniswap website to protect your wallet.

The first step is clicking on the “Launch App” button at the top right corner, as shown in the image below:

Uniswap

The next step is clicking on the connect wallet option on Uniswap at the top right corner, as shown in the image below:

Uniswap Ethereum

Connect to your preferred wallet as shown below. (In this case, it’s Metamask):

Swap

Once connected, switch Metamask to the Ethereum network. (If you’re already on the Ethereum network, you do not need to switch):

Ethereum swap

After connecting MetaMask to the Ethereum network, go to Uniswap, and then you can start your ERC-20 Tokens on the Ethereum network using UniSwap.

Trading Ethereum Tokens On Uniswap

The next step is to select your preferred tokens on the UnsSwap interface and since Uniswap operates on a token to token trading model, click on the “select token” button to select the trading pair you want to trade against. 

For example, if you want to buy USDT using ETH,  select ETH – USDT, enter the amount, then click on “swap” or “trade now” and confirm the transaction in your Metamask wallet. You can view the tokens in your wallet’s asset list.

Uniswap

Buying and Selling ERC-20 Tokens with the Metamask Wallet

Ethereum Network users can also buy and sell tokens using the Metamask extension wallet already connected to the Ethereum network. To do this, make sure you’re connected to the Ethereum network and have ETH to swap and pay for gas fees. Then, navigate to the “Swap” button as shown below. This will take you to the Swap interface inside Metamask.

metamask swap

Using the image above as a guide, you can also search for tokens using the name or the contract address, just like on UniSwap. Input the amount of ETH you want to swap, confirm that you have the correct token, and then click “Swap.” Once the transaction is confirmed, the tokens you just bought will be sent to your wallet.

Tracking ERC-20 Token Prices on The Ethereum Network

ERC-20 token holders and traders can take advantage of on-chain tools like DeFiLama to gain access to comprehensive market insights for specific tokens. These insights include price data and contract information, empowering users to make well-informed trading decisions based on reliable and up-to-date information.

Dextools is a comprehensive analytic resource for managing digital assets traded on ERC-20 Decentralized Exchanges. It’s a vibrant analytical cryptocurrency resource that provides statistical information on all leading blockchains and crypto projects. 

Dextools

Among these features, an exceptional one is the charting functionality, which delivers both real-time and historical price data for a wide range of tokens. 

By utilizing these charts, users gain valuable insights into price trends, trading volumes, and other pertinent metrics. This enables them to pinpoint potential entry or exit points for their trades with precision and confidence. For example, let’s assume you’re $ETH for $LIDO, your trading pair is ETH/LIDO.

Note, Trading pairs serve as bridges between currencies. For example, the ETH/LIDOpair allows you to acquire $LIDO tokens using Ethereum (ETH).

Choose the pair that fits your funding situation and trading strategy. Consider using ETH if you already hold it, or fiat currencies if you’re venturing in fresh. 

Let’s track the $LIDO token on Dextools, here’s what we have:

Charts

Conclusion

Buying, selling, and trading ERC-20 tokens on the Ethereum network can be a thrilling adventure, opening doors to exciting investment opportunities and unlocking the potential of decentralized finance. However,  it demands knowledge, caution, and a well-defined strategy. 

This guide serves as your map and compass, but the ultimate treasure lies in your own learning and exploration. Navigate with confidence, trade responsibly, and remember that the most valuable asset in this journey is your knowledge.

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Report Shows Polygon Users Rivaled Ethereum In 2023, But Why Has Price Failed To Clear $1?

Layer-2 network Polygon is reported to have competed with Ethereum in 2023, as both networks saw the most influx of new users. This development has once again raised concerns about MATIC’s price, considering that such an achievement should potentially mean that new money moved into the ecosystem last year. 

Polygon and Ethereum Acquired The Most Users In 2023

According to a report by Blockchain analytics firm Flipside, Polygon and Ethereum led the pack with 30.6 million acquired users in 2023. Giving a further breakdown, Polygon is said to have acquired 15,24 million users, while Ethereum attracted 15.4 million users. Meanwhile, these users are defined as persons who performed at least two transactions on the networks. 

Despite falling about 160,000 short of Ethereum’s numbers, Polygon’s numbers are still impressive, considering that it ranked ahead of other networks like Bitcoin and Solana. The layer-2 network also outperformed other Ethereum L2 networks like Arbitrum, Optimism, and Base, which recorded 7.3 million, 3.3 million, and 1.9 million acquired users, respectively. 

Notably, Polygon hit the ground running as soon as 2023 began, setting the record for monthly acquired users with 2 million in January. Interestingly, January 2023 was the first time MATIC rose above $1 in a very long while. It held above that level until the end of April 2023. After that, MATIC traded below that level for most of the year, only rising above $1 towards the end of December 2023. 

MATIC price chart from Tradingview.com (Polygon)

Why Has MATIC Failed To Rise And Hold Above $1

A recent analysis by Blockchain intelligence firm ChainArgos suggested that the Polygon team has been secretly selling off MATIC tokens, something which could have accounted for the significant sell pressures that have risen at different times for the crypto token. This could also serve as a plausible explanation for why MATIC has struggled to hold above $1 despite enjoying great utility. 

The Polygon team was accused of not executing its token allocations in line with the publicly stated plan, with part of the allocated funds accounting for some of the tokens that were sold. These secret sales, which have for long gone under the radar, are said to be circumvented through wallets linked to the crypto exchange Binance. 

So far, about 767 million MATIC have apparently been offloaded in these secret transactions. ChainArgos hinted at how these transactions have no doubt affected MATIC’s price on different occasions, as they noted that the outflows are a “good indicator for an upcoming top and subsequent move lower.”

At the time of writing, MATIC is trading at around $0.73, up in the last 24 hours, according to data from CoinMarketCap. 

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Ethereum Turns Deflationary With Over 106,000 ETH Burned In A Single Month

The Ethereum ecosystem is back on track with its mission to ensure that Ether is deflationary following a significant increase in the burn rate. Several factors are said to have contributed to this milestone, including voluntary exits by validators. 

Over 106,000 ETH Burned In The Last 30 Days

According to data from Ultra Sound Money, over 106,000 ETH have been burned in the last 30 days. In that same period, only just over 70,000 ETH have been issued. This has caused a significant decrease in Ethereum’s supply, with it being down by over 35,000 ETH. 

This is a welcome development, as the disparity between the burn and issuance rate hasn’t always been this obvious. That led to concerns as to whether ETH was truly deflationary or not. It also began to seem like the London Hard Fork wasn’t effective. Ahead of the Merge, Ethereum introduced this upgrade in its efforts to make ETH deflationary. 

ETH investors are sure to be delighted with the fact that the token has once again become deflationary. Such development could propel ETH’s price to new heights. Moreover, it comes at a time when the market is preparing for an imminent bull run. As such, this macro factor, alongside other ones, places it at the forefront to be one of the biggest gainers. 

Ethereum price chart from Tradingview.com

Factors That Have Contributed To The Ethereum Deflationary Status 

A report by Glassnode provided insights as to why Ethereum is deflationary once again. One of them happens to be the fact that the number of validators onboarded has slowed in recent weeks. Instead, Ethereum has an increasing number of validators exiting the ecosystem. This development has ultimately caused ETH issuance to slow.

This trend of exits notably began at the start of October. This seems to be when investors actually began to take full advantage of the Shanghai upgrade that had taken place in April. Before October, the exiting event is reported to have been at an average of 309 validators per day. That increased to 1018 validators per day at the start of October. 

Meanwhile, the burn rate during this period is said to have increased significantly due to the growing network activity. The increase in network usage has led to higher gas fees. The daily amount of transaction fees burned through the EIP1559 protocol has also increased as a result. The accumulated fees burned between October and November are reported to have reached 5,368 ETH. 

Ethereum is flying high at the moment, and this could be partly due to its recently achieved status. At the time of writing, the crypto token is trading at around $2,240, up by over 3% in the last 24 hours, according to data from CoinMarketCap. 

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Ethereum L2 Blast Crosses $123 Million, Important Things To Know Before You Bridge In

Blast, a brand new Ethereum Layer 2 network, has drawn a startling amount of interest and security concerns due to a surge of investors using the network to bridge their assets. 

Blast Hits $123 Million In TVL

Blast recently announced its mainnet access on X (formerly Twitter). The L2 network built by Pacman Blur has gained a staggering amount of attention from crypto investors following the declaration.

“Introducing Blast: The only Ethereum L2 with native yield for ETH and stablecoins. We’ve raised $20m from Paradigm and StandardCrypto to build the L2 that helps you earn more,” Blast stated. 

Blast recorded over 23,368 users in just 24 hours of announcing the imminent launch of its mainnet. The influx of investors pushed Blast’s Total Value Locked (TVL) to $81 million in a single day. 

“23,368 users have joined the Blast Community in the past 24 hours. Thanks to them, Blast has reached $81 Million in TVL in one day! We’re excited to share more with community members soon. There’s much more to come,” Blast said. 

Presently, Blast has recorded over $123 million in TVL from assets bridged by investors. This unexpected surge in bridging demands has raised concerns especially due to the unusual conditions attached to the bridging process. 

Blast Ethereum L2

According to Blast, users can only access the Ethereum L2 network after receiving an invitation code. The network has also stated that users will not be able to withdraw their bridged funds until February 2024. 

While the unconventional bridging conditions have raised some red flags, many investors continue to express their interest by actively bridging their assets 

Details About New Ethereum L2 Network

Blast has outlined several important details of its bridging and staking processes. The Ethereum L2 network highlighted the potential yield benefits of investors when they bridge their ETH tokens and stablecoins. The network has also stated that investors who stake their ETH can gain profits over time as their assets grow in their Blast wallets. 

“Once you have access, you can bridge to earn yield (4% for ETH + 5% for stablecoins) and Blast Points ahead of the Mainnet launch in February (2024). Early access members get more points based on how much they bridge and who they invite,” Blast stated.

The L2 network added:

Specifically, Blast natively participates in ETH staking, and the staking yield is passed back to the L2’s users and dapps. We’ve redesigned the L2 from the ground up so that if you have 1 ETH in your wallet on Blast, over time it grows to 1.04, 1.08, 1.12 ETH automatically.

Additionally, Blast has expanded its bridging capabilities to a diverse range of digital assets. According to the L2 network, investors can bridge beyond ETH and opt for stablecoins such as USDT, DAI, and more. 

“It’s not just ETH on Blast that earns yield. Stablecoins do too. When you bridge stablecoins like USDC, USDT, and DAI to Blast, it’s deposited in on-chain T-Bill protocols like MakerDAO, and the yield is passed back to Blast users via USDB, Blast’s auto-rebasing stablecoin,” Blast stated.

Ethereum price chart from Tradingview.com (Blast L2)

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NEAR Foundation And Eigen Labs Team Up To Improve Web3 Transactions On Ethereum Rollups

The NEAR Foundation has announced a strategic partnership with Eigen Labs, a startup focused on building the Ethereum restaking protocol Eigen Layer. 

While addressing the challenges of liquidity fragmentation between Layer 2 (L2) solutions, the collaboration aims to reinvent Ethereum (ETH) roll-up transactions, making them “more cost-effective and efficient.”

Rapid And Affordable Ethereum Transactions? 

In a joint statement released on November 10, the NEAR Foundation and Eigen Labs unveiled their plans to develop a “fast finality layer” to power rapid and inexpensive transactions for Ethereum rollups, including cross-rollup transactions. 

Per the announcement, the collaboration seeks to significantly reduce transaction processing times to a mere 3-4 seconds, a notable improvement compared to the minutes, hours, or even days it currently takes. Moreover, it aims to make transactions 4000 times cheaper than existing options, providing a cost advantage for users.

Furthermore, one of the partnership’s key objectives is to establish “secure and low-latency” cross-rollup communication, resolving the challenges faced by developers and founders working with rollups. 

As announced, the Fast Finality Layer will maintain the “security guarantees” of Ethereum while introducing additional guarantees from the NEAR and EigenLayer technologies.

Both protocols believe this solution promises to enhance liquidity by reducing fragmentation between Layer-2 solutions, empowering developers to make informed decisions regarding the sequencers they prefer for transaction processing.

NEAR And Eigen Labs Partnership For ‘Seamless Web3 Integration’

Illia Polosukhin, co-founder of NEAR Protocol, expressed pride in partnering with Eigen Labs, emphasizing that the fast finality layer showcases the technological strengths of NEAR while making the Open Web more user-friendly. Polosukhin further stated:

NEAR Foundation is proud to partner with such an excellent team as Eigen Labs to offer a fast finality layer for ETH rollups. The fast finality layer showcases the strengths of NEAR’s technology while making the Open Web more usable, which has always been the core goal for NEAR. It will also help defragment liquidity for Ethereum rollups and make all of Web3 more interoperable as a result.

For his part, Sreeram Kannan, founder of Eigen Labs, shared his enthusiasm for the partnership and highlighted the mutual benefits it brings. In his words, the collaboration will leverage the innovative technologies of both NEAR and EigenLayer, enabling faster, cheaper, and easier development on the Ethereum network.

The collaboration between NEAR and Eigen Labs marks a significant milestone for EigenLayer, as it enables fast settlement for cross-rollup transactions and demonstrates wider adoption of restaking across the Ethereum ecosystem and beyond. 

For NEAR, the partnership extends to enhancing the NEAR-Ethereum Rainbow Bridge by transitioning it to an actively validated service (AVS). This transition is expected to enhance bridging capabilities between NEAR and Ethereum, enabling faster transaction finality, increased security guarantees, and improved decentralization.

The collaboration is expected to launch a testnet in Q1 2024, and further details will be shared then. This partnership between the NEAR Foundation and Eigen Labs holds great promise for advancing Ethereum rollup transactions, improving liquidity, and driving the broader adoption of Web3 technologies.

NEAR

Featured image from Shutterstock, chart from TradingView.com 

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Ethereum Network Fees Hit 2023 Low: What It Could Mean For ETH Price

In recent weeks, Ethereum (ETH), one of the most valuable assets in the cryptocurrency market, has not enjoyed favorable sentiment due to its struggling price and unstable on-chain performance. The general market condition has not offered much reprieve either, as most altcoins have failed to maintain an upward momentum.  Fortunately, the latest on-chain revelation offers some hope for the price of Ethereum. 

Ethereum Average Fee Drops To Lowest Level In 2023

On-chain analytics have been helpful in providing real-time insights into crypto market trends. And the latest on-chain revelations have highlighted a plunge in Ethereum network fees, which might prove to be a turning point for the cryptocurrency’s market value and performance.

According to the on-chain analytics platform, Santiment, the Ethereum network fees have dropped to their lowest levels in 2023, with each transaction averaging about $1.15 as of this writing. This reflects a significant fall from the huge fees seen in 2021 and 2022, with demand for processing power causing the average fees to reach above $50.

Historically, such a decline in fees is a positive sign for Ethereum’s utility and adoption, as lower costs make it more profitable and worthwhile to use the network. Santiment also noted that rising utility is often the case due to Ether tokens becoming more affordable to circulate.

It is worth noting that the impact of this development can spread to the overall market value of the digital asset. Increased utility and adoption can contribute to the recovery of Ethereum’s market capitalization and value. 

The Effect On ETH Price?

Indeed, the plunging network fees positively benefit Ethereum and its users, especially as it can improve other network metrics and parameters. However, this development has not significantly impacted ETH price, as it seems to be struggling to break out from under the current selling pressure.

On Thursday, September 21, the cryptocurrency fell beneath the psychological $1,600 level for the second time this month. And the Ether token continues to trade below this price mark, with a roughly 2.6% decline in the past three days.

Investors will be watching to see if Ethereum can build positive network momentum while fees are low. However, it remains to be seen whether this will be enough to propel the ETH price out of consolidation, especially as there are no signs of buying pressure from Ethereum whales.

Moreover, the dwindling number of major ETH holders adds zero optimism to this scenario. This is because such a decline in whale holdings can make the Ethereum price increasingly susceptible to downward pressure.

According to CoinGecko data, the Ether token trades for $1,593, reflecting a 2.6% price dip in the past week. Ethereum is currently the second-largest cryptocurrency, with a market capitalization of $191.6 billion.

Ethereum

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Ethereum Holesky Testnet Already Seeing Issues, What’s Wrong This Time?

In a rare lapse in technological expertise, the recently unveiled Ethereum testnet, Holesky, failed to launch after developers discovered flaws in the testnet’s design. 

Ethereum Holesky Testnet Riddled With Misconfigurations

The crypto community and Ethereum enthusiasts are presently waiting for the return of Ethereum’s Holesky testnet which was scheduled to launch on Friday, September 15. 

The Holesky testnet which was created to replace Ethereum’s Goerli testnet after its deprecation in 2024 encountered an unexpected technical hiccup on the day of its release. The release date marked a significant date in the Ethereum community’s history, commemorating the one-year anniversary of Ethereum’s Merge to a Proof of Stake (PoS) network.  

Ethereum developers have labeled the technical flaw as a “misconfiguration in the ExtraData field.” Reports reveal that the misconfiguration was identified by an Ethereum Researcher named Protolambda. 

One of the DevOps at the Ethereum Foundation, Parithosh revealed in an X (formerly Twitter) post the details of Holesky’s launch delay and misconfigurations. Parithosh explained that the flaw was found in one of Holesky’s Genesis files, the el Genesis file. 

He stated that validators are currently working on the testnet and have succeeded in starting the chain; however, modifications on the network have not been completed so more time will be required to get the testnet back up and running ready for a relaunch. 

“We had a misconfiguration in the el genesis file and that led to the Holesky network improperly launching. Some validators manually fixed the config and were able to start the chain, but not enough for the network to finalize,” Parithosh said in the X post.

Ethereum price chart from Tradingview.com (Holesky testnet)

Holesky Testnet Scheduled For a Relaunch

The Holesky testnet was created to introduce a range of features and enhancements in the Ethereum ecosystem. The testnet was loaded with more than 1 billion Holesky Ether (HETH) to ensure that the network was large and strong enough to handle complex tests on upgrades and developments in the Ethereum blockchain.

Ethereum’s Holesky testnet has now been rescheduled for release in two weeks. However, no proper date has been announced regarding the relaunch. 

“It’s extremely likely that we relaunch the network with new genesis files and have the network up two weeks from now,” Ethereum developer, Parithosh stated. 

While the delay is undoubtedly disappointing to many users, developers have vowed to integrate more validation steps and better docs to make the Holesky testnet stronger and prevent future misconfigurations. 

The delay in Ethereum’s Holesky testnet has not overly affected the price of its native token, ETH. Presently Ethereum developers are working vigorously to resolve the issue as fast as possible. The Ethereum community also remains hopeful that the delay will result in a more robust and reliable testing environment that will greatly benefit the Ethereum ecosystem.

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Ethereum Denied Non-Security Status In Latest Court Battle Against SEC

In a recent court ruling, Ethereum (ETH) was denied non-security status in a case against the U.S. Securities and Exchange Commission (SEC). 

The court granted the SEC’s motion to dismiss the complaint for declaratory relief on whether Ethereum and the Ethereum Network are securities. While the ruling was a procedural one and not on the merits, it confirmed that there is no protection for Ethereum as a non-security. 

Ethereum And Other Cryptocurrencies Left In Legal Limbo

At this point in the US, only Bitcoin (BTC) and XRP are large-cap tokens that have legal clarity. The court’s decision highlights the regulatory uncertainty surrounding cryptocurrencies and the need for the SEC to issue definitive guidance rather than approaching the issue in piecemeal litigation.

According to the Law Firm Dedicated to unique issues of digital assets and cryptocurrency, Hodl Law, the court emphasized that the SEC has not investigated the plaintiff or threatened to investigate, and there is no imminent threat based on its unclear Ethereum position and enforcement-by-litigation approach. 

However, the SEC’s recent refusals to comment on Ethereum, combined with the position it was forced to take in this briefing, clearly demonstrate that it views Ethereum as a security and is waiting for the most opportune time to strike.

While there are appellate options and constitutional grounds available, the ruling underscores the need for greater regulatory clarity in the cryptocurrency space. Businesses and individuals operating in the crypto industry need expert legal counsel to navigate the complex legal landscape and ensure compliance with applicable regulations.

ETH’s Fate As A Security

If the SEC were to classify Ethereum as a security, it could have significant consequences for the cryptocurrency and the broader industry.

First and foremost, if Ethereum were classified as a security, it would be subject to the same regulations as traditional securities, such as stocks and bonds. This would mean that Ethereum would have to comply with securities laws and regulations, including registration requirements, disclosure requirements, and other compliance obligations. 

This would likely increase the cost and complexity of operating the ETH network and could potentially stifle innovation.

Additionally, it could impact the value and liquidity of the cryptocurrency. The SEC’s classification would create uncertainty and potentially undermine investor confidence in Ethereum, leading to a decline in its value and potentially reducing demand for the cryptocurrency.

Furthermore, this case could potentially lead to legal action against the platform and its developers. If the SEC were to determine that Ethereum was sold in violation of securities laws, it could result in penalties and fines for the platform’s founders and developers.

As the crypto industry continues to evolve, regulators must provide clear guidance on the status and treatment of cryptocurrencies. 

The ongoing confusion and uncertainty surrounding the legal status of Ethereum and other cryptocurrencies pose significant challenges for businesses and investors in the space. While the court’s ruling, in this case, maybe disappointing for some, it underscores the need for greater clarity and regulatory certainty in the cryptocurrency industry.

Ethereum

As of the time of writing, ETH is in the process of recovering from a significant decline experienced over the past few days. Currently, the second-largest token in the nascent industry is trading at $1,850, which represents a 0.7% decrease in the last 24 hours.

Featured image from iStock, chart from TradingView.com

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Ethereum Marks Highest Growth Day In 2022, Will ETH Price Follow?

All eyes have been on the Ethereum network since it moved from a Proof of Work (PoW) to a proof of Stake (PoS) mechanism. Granted, the digital asset’s price hasn’t done as well as many had predicted it would after the upgrade but the new functions of the network remains fascinating. Now, Ethereum has marked another milestone following the upgrade, with the largest single growth day recorded so far in 2022.

Growth On Steroids

Activity on the Ethereum blockchain has been higher since the Merge was completed. The steady increase had inadvertently led to the highest growth day on record for Ethereum in the year 2022. The previous high for the year had been back at the beginning of January but the numbers recorded on Saturday, October 8, had effectively crushed the January 3rd numbers.

On-chain data analysis firm, Santiment, said that on October 8th, a total of 135,780 new Ethereum addresses were created. This was 11.1% higher than the numbers from January and is now a new all-time high for the network in 2022.

Perhaps even more interesting than the network growth itself is the project that is being credited for it. A new token called Xen that was created by an ex-Google employee had launched with a novel feature; allowing users to be able to mint their own tokens. Speculations are the new wallet creations were to take advantage of the token launch and mint the Xen tokens, of which more than 400,000 has already been minted so far.

ETH price trending above $1,300 | Source: ETHUSD on TradingView.com
Will Ethereum (ETH) Price Rise?

Such considerable growth in a short period of time always works toward a bullish tendency for any digital asset. For Ethereum, this new growth could definitely lead to a breakout in the price. This will likely push the price of the cryptocurrency above $1,500 once more and the deflationary nature of the ETH issuance supports this.

With Xen’s launch, it has accounted for about 42% of the total fee burned by the network. At more than 163 ETH burned in 24 hours, ETH issuance had turned deflationary, with less ETH coming into circulation. If the supply continues to decrease, then it is possible that a breakout will happen for ETH.

However, it is also important to keep in mind that more often than not, the price of Ethereum tends to closely follow that of bitcoin. Since bitcoin has shown no indication of a breakout, it would hinder any possibilities of a rally from ETH, likely stifling its growth. So while the present events may point to a breakout for the second-largest cryptocurrency, it still waits on bitcoin to lead the way.

Featured image from Crypto News, chart from TradingView.com

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Solana Gains 11% In 2 Days As SOL Cruises Near Resistance Zone

The 11 percent gain of Solana from its dip on September 7 comes after months of turbulent market conditions. A tenth of that may be meaningless by the time this is published. The market is currently trending upwards.

The market bottomed out at $33.79 on Wednesday before falling 9.29% to $30.89. At this point, both the CCI and the Stoch RSI for SOL showed that the crypto had been oversold.

While SOL was recovering over the course of eight hours, trading volume decreased from the sell-off of 1.650 million to 1.280 million.

Solana Bulls Unfazed By Pressure

The dip was relatively minor, and the bulls continued to push higher. One of the largest positive price movements ever since SOL was introduced was a 16.55 percent increase.  Recent research indicates that this price action is very bullish.

We can be upbeat about the price moving as high as $36.50 if it manages to end above the long accumulation zone tension ($33.05) on the charts.

From the most recent available data, we can see that the current support line is located somewhere around the $32.40 price range, but the price has been trading much higher, near $35.26, recently.

Chart: TradingView.com

Since breaking through several near-term resistance levels at the 50, 38.2, and 23.6 Fib levels, the price of SOL has maintained its support.

SOL is attempting to merge its position above the 23.6 Fibonacci level after breaking through the $34.36 resistance zone. This trend aligns with the most recent price analysis.

SOL Expected To Breach Resistance At $33.85

On the four-hourly chart, SOL formed a “Symmetrical Triangle.” The Symmetrical Triangle is a pattern of declining volatility.

This indicates that market volatility is decreasing and that the market is likely to break out soon. There is a greater likelihood of SOL breaking out of its zone on the higher side, surpassing the resistance of $33.85.

According to this pattern, a breakout above $33.85 will take Solana’s price to the highs of August 25 ($36.42), followed by the psychological level of $40.0.

This may be the case with the current market. The $33.85 breakout occurred earlier this morning as of writing. Following that, the price range increased by 5.77 percent.

The bullish momentum has not diminished. Positive market indicators continue to indicate a strong buy. The next few days will reveal whether this breakout represents SOL’s next major boom.

SOL total market cap at $12.2 billion on the daily chart | Source: TradingView.com
Featured image from TheNewsCrypto, chart from TradingView.com

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Arthur Hayes Says Ethereum (ETH) Could Reach $10K Level By The End Of Year

Arthur Hayes, the youngest crypto billionaire of American Africa and the former CEO and co-founder of the derivatives platform BitMEX, predicted Ethereum could hit $10,000 by the end of 2022. Notably, Hayes once speculated a downtrend in Ethereum’s price in an April blog post that came true.

He further urged that the Fed’s strict policies and increasing rates had the main role behind Terra’s crash as it was a byproduct of the macroeconomic environment. The crypto market is at the bottom or likely to touch the grounds, afterward, it will bounce, Hayes says, reiterating that Ethereum still has the potential to reach $10,000 by the end of the year or at the start of 2023.

Related Reading | Arthur Hayes Says Bitcoin And Ethereum May Not Be Ready To Recover Drastically

The former CEO in an April post portended Ethereum’s price would decrease its value by June which came to pass in May and even ETH dropped below $1,700 on a couple of crypto exchanges.

Developer’s choice and widely being used for executing smart contracts, Ethereum stands at the second spot in the rank list, currently trading at around $1,770. ETH’s investors saw the all-time high (ATH) of the coin by November 2021 when it touched the $4,870 level. Now it has been six months since the token’s value facing dips.

Ethereum’s price currently fluctuates at over $1,770. | Source: ETH/USD price chart from TradingView.com
Will Ethereum Price Would Go Up Next Year?

The analyst predicted even more volatility in the market for the mid-term saying that he would like to purchase Bitcoin at $20,000 and Ethereum at  $1,300. This figure decreases over 70% of Ethereum’s price from its ATH. Remarkably, investors have lost over 60% who bought Ethereum’s top.

Truly, the predicted low will ruin the interest of investors who invested when ETH was hovering at the top but Hayes believes the token has a bright future ahead. Indeed, the time will tell better if it may come true considering a massive crash.

Hayes’s statement of buying Ethereum at $1,300 definitely expresses what he is on to. Ethereum price could experience quick price moves when the value plummets below the support level. It signs the possibility of further dips in the value, to make the weak-hand investors leave. Then, the massive investment will come to form grounds under the support level that will make the bulls run again.

Although it shows the possibility of a price reversal, does not Hayes’s prediction of $10,000 sounds extraordinary?

Bitcoin experienced an 80% crash before setting a new ATH. And it happened many times in the crypto market over the past few years. Likely, Ethereum could claim the speculated price of $10,000 in 2023 or in 2024 if it takes longer for the next bull market.

Related Reading | Bored Ape Yacht Club Plunges By 60% Last Month

Crypto traders who believe Arthur’s convictions and invest in the token at the time, would get an ROI of over 500% if the market follows the bull cycle by ending the year and ETH claims the target price of $10,000.

Featured image from Pixabay and chart from TradingView.com