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The New York State Department of Financial Services approves 10 tokens for custody.

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The New York State Department of Financial Services has issued approval of 8 virtual currencies for sale and trade, and 10 coins approved for custody by licensed entities. According to the New York Department of Financial Services website (NYDFS), state regulators have approved eight cryptocurrencies for listing and trading. These tokens include Bitcoin, Ethereum, Bitcoin Cash, Litecoin, Binance USD, Gemini Dollar, Pax Gold, and the Paxos Standard Token. The NYDFS also greenlighted the same coins for custody and XRP and Ethereum Classic. 

The NYDFS has the authority to remove any of the tokens from the greenlist. 

 The NYDFS stated that any entity licensed by DFS to conduct virtual currency business activity in New York might use coins on the Greenlist for their approved purpose. However, the New York financial regulator also clarified that any licensed business needed to inform the regulatory body prior to using any greenlisted token. The announcement also noted that the financial regulator has the authority to remove any of the tokens from the greenlist at any given time, limit the activity of any coin, as well as discontinue the list entirely.

The US CFTC to develop a “holistic framework” for the crypto industry. 

The New York State Department of Financial Services is one of the primary regulatory agencies for crypto-related businesses in the state of New York. As reported earlier, the US Commodity Futures Trading Commission unveiled its strategic plan for the years 2020-2024. The US CFTC plans on developing a comprehensive regulatory framework for the crypto industry, among other goals. The US CFTC Chairman Heath Tarbert unveiled the plan earlier this year, remarking that this is a bipartisan, consensus plan that can stand the test of time. It will guide the last of the regulator’s unfinished business to completion and better position the agency to tackle the unwritten future. 

Source: https://coinnounce.com/the-new-york-state-department-of-financial-services-approves-10-tokens-for-custody/

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Crypto exchange bitFlyer Europe links up with PayPal, enabling account deposits with euros

Crypto exchange bitFlyer Europe has announced integration with PayPal, allowing users to deposit funds using their PayPal accounts to buy cryptocurrencies.

The post Crypto exchange bitFlyer Europe links up with PayPal, enabling account deposits with euros appeared first on The Block.

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Even after parabolic rally, top crypto VC thinks Ethereum DeFi isn’t overvalued

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It’s clear excess and euphoria is starting to seep into Ethereum’s DeFi space. Uniswap nearly reached a $1 billion circulating market capitalization just two days after its launch, a food coin called Pickle surged 1,000 percent in a day, and Yearn.finance (YFI) has gained over 1,000,000 percent since its July launch, to name just a few trends.

To put this into more broad and absolute terms, there is now $10 billion locked in mainstream DeFi contracts according to DeFi Pulse. At the start of the year, this single metric was extremely close to $500 million.

Even after all this, there may be reasons to believe that decentralized finance is not yet overvalued on a longer-term time frame.

Is Ethereum’s DeFi space really overvalued yet? A top investor is not too sure it is

After DeFi coins doubled and tripled within the span of a few weeks in June, Mechanism Capital founder Andrew Kang came out with a Twitter thread outlining his thoughts on DeFi’s trend of growth.

As this outlet covered at the time, he was not then convinced that this crypto market segment had reached a top, going as far as to say that it was in the early stages of a parabolic growth cycle.

Kang was proven correct in the two months that followed, as coins in the space continued to double and triple and rally higher on even bigger multiples.

He is now back again, having been proved correct, and he’s saying that there is still space for DeFi to grow.

On Sep. 19, he wrote:

“TVL in DeFi is up ~20x since 2019 and DeFi market cap is up a similar amount. I don’t think price has seriously outpaced fundamentals yet. Seems low EV to cashout for a short trade and potentially miss out on parabolic growth.”

Kang added that realistically, it may only take $50 million worth of new capital to drive this space up by 10% or even more.

With much capital entering the DeFi space as institutional investors get excited, growth may continue in the medium to long term.

Certain factors could drive this market lower

While DeFi may not be overvalued, there may be some trends that can trigger a further short-term correction after the already 10-30 percent drop that has transpired in this segment of the crypto market.

As reported by CryptoSlate, crypto analyst “Theta Seek” commented that there are three crucial reasons why DeFi’s growth may be reaching a plateau for the time being. These include but are not limited to:

  • Risk of funds caused by poor user experiences and tools
  • A slowdown in the value of capital and interest entering the space
  • Regulatory pressure as regulators eye the vast amounts of capital sloshing around in DeFi, along with the hacks.

It may just be that investors are sitting on the sidelines and are not advancing into this space due to the aforementioned risks and issues such as poor user experiences and potential regulatory pressure.

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Source: https://cryptoslate.com/even-after-parabolic-rally-top-crypto-vc-thinks-ethereum-defi-isnt-overvalued/

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MicroStrategy CEO seems to embrace Bitcoin maximalism

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MicroStrategy’s decision to use Bitcoin as its primary reserve currency has Michael Saylor seemingly favoring the asset over altcoins.

In a Sept. 20 tweet, the business intelligence company’s CEO stated that he considers Bitcoin (BTC) to be a crypto asset network, unlike tokens like Ethereum (ETH) or stablecoins, which he referred to as “crypto-application networks.”

Posting a chart from analytics site Bitcoin Dominance, the CEO claimed that the coin’s dominance “has advanced from a low of 71.05% on December 20, 2017 to 93.57% today.”

However, Saylor is intentionally selective when it comes to this data. Bitcoin Dominance’s figures do not include initial coin offerings or stablecoins, but rather “only includes coins using proof-of-work that are attempting to be money.”

According to CoinMarketCap, which takes stablecoins like Tether (USDT) into account, Bitcoin’s dominance was at a yearly low of 56.67% as of Sept. 13, while Messari shows the metric closer to 59%. Both are far from the 93% dominance Saylor tweeted. Ethereum and DeFi have been driving alt season this year, as the 10 largest DeFi tokens now represent a market cap of roughly $9 billion compared to Bitcoin’s $200 billion.

Though initially claiming “Bitcoin’s days are numbered” in 2013, Saylor has turned bullish on the crypto asset in recent weeks following MicroStrategy’s purchase of $250 million worth of BTC as a reserve currency in August. He announced on Sept. 14 that the firm subsequently bought an additional $175 million of BTC.

“Bitcoin scales just fine as a store of value.”

Saylor isn’t alone in the crypto community in discounting the vast majority of altcoins. Emin Gün Sirer, the creator of the first proof-of-work-based crypto, said in April that Bitcoin maximalists are correct to label “95% of the things out there as scams.”

“They’ve just recycled something that belongs to someone else,” he said.

Source: https://cointelegraph.com/news/microstrategy-ceo-seems-to-embrace-bitcoin-maximalism

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