YuanMan 🧑‍💼

Web3 practitioners are most concerned about legal security. The clown who attracted traffic yesterday and their project has already been blacklisted and blocked.

I have整理了 the official policies to objectively understand and not panic:

Although it is unrealistic to open up, legislation on cryptocurrencies in mainland China is actually on the way, especially with the passage of the US GENIUS stablecoin regulatory bill and Hong Kong's stablecoin regulatory bill, along with the potential passage of the future CLARITY bill, which is likely to accelerate this process.

This year, the Central Political and Legal Work Conference clearly proposed to conduct legislative research on multiple emerging fields, including virtual currencies. The research coincides with the 14th Five-Year Plan period.

If you pay attention to the major judicial research topics from the Supreme Court over the past two years, you will find that every year there is content related to 'virtual currency':

The topic for 2024 is 'Research on the Disposal Issues of Virtual Currencies Involved in Cases'. The participating research groups are located in Chongqing, Beijing, and Shenzhen. The 2023 topic is 'Research on the Legal Nature and Judicial Protection Path of Virtual Property'. The participating research groups are located in Guangzhou, Yancheng in Jiangsu, and Chengdu, all key areas in the cryptocurrency space. Generally, research support is often conducted in the form of related topics before legislation.

The 2024 topic will only conclude in the fourth quarter of this year, but the 2023 topic has already concluded in December last year.

The Guangzhou Internet Court held a press conference in April this year titled 'Analysis of Civil Judicial Protection Paths for Internet Virtual Property and Typical Case News Release', and released the 'Research and Analysis Report on the Legal Nature and Civil Judicial Protection Paths of Internet Virtual Property' and 'Top Ten Typical Cases of Internet Virtual Property Disputes', which are essentially the results of the research.

The report categorizes NFTs and cryptocurrencies as network construction-type virtual properties, qualifying them as a type of creation, which includes both data creation and value creation. The value is virtual, possessing characteristics of both property rights and creditor rights, allowing rights holders to exercise exclusive possession, use, profit, or disposition of virtual property.

The acknowledgment of cryptocurrency as property rights is beneficial for holders, providing a greater sense of security. However, do not be overly optimistic; the report still mentions that disputes over the value recognition of virtual property related to cryptocurrencies are likely to generate financial risks. It calls for cooperation among regulatory departments to strengthen risk prevention in key areas such as NFT digital collections and digital currencies, and to crack down on speculation and illegal activities.

Moreover, there is a typical case released simultaneously that concerns the lack of legal protection for cryptocurrency investment and trading activities. In other words, while holding cryptocurrencies is acknowledged, if there are disputes due to investment transactions, the courts will not accept the case.

This has also been the consistent attitude of judicial rulings in recent years. Legislation is likely heading in this direction: acknowledging property rights allows for the legal disposal of confiscated coins while imposing restrictions on investment and trading activities.

Web3 practitioners are most concerned about legal security. The traffic-seeking clown and his project from yesterday have already been blacklisted and blocked.

I have整理了 the official policies and hope everyone gains an objective understanding:

Although it is unrealistic to fully open up, legislation on cryptocurrencies in mainland China is indeed on the way, especially with the passage of the US GENIUS stablecoin regulatory bill and Hong Kong's stablecoin regulatory bill, coupled with the future passage of the CLARITY bill, which is likely to accelerate this process.

This year, the Central Political and Legal Work Conference clearly proposed to conduct legislative research on multiple emerging fields, including virtual currencies. The timeline from research to implementation coincides perfectly with the 14th Five-Year Plan period.

If you pay attention to the major judicial research topics of the Supreme Court in the past two years, you will find that there are related contents on "virtual currency" every year:

The topic for 2024 is "Research on the Disposal of Virtual Currencies Involved in Cases", with participating research groups located in Chongqing, Beijing, and Shenzhen. The 2023 topic is "Research on the Legal Nature and Judicial Protection Path of Virtual Property", with participating research groups located in Guangzhou, Yancheng in Jiangsu, and Chengdu, all key areas in the cryptocurrency sector. Generally, research support is often conducted in the form of related topics before legislation.

The topic for 2024 will only be finalized in the fourth quarter of this year, but the topic for 2023 has already been concluded in December last year.

The Guangzhou Internet Court held a press conference in April this year on "Analysis of Civil Judicial Protection Paths for Network Virtual Property and Typical Cases", releasing the "Research and Analysis Report on the Legal Nature and Civil Judicial Protection Paths of Network Virtual Property" and the "Top Ten Typical Cases of Network Virtual Property Disputes", which basically represent the results of the research.

The report classifies NFTs and cryptocurrencies as network construction-type virtual property, defining it as a type of created object, which includes both data creation and value creation. The value is virtual, possessing characteristics of both property rights and creditor rights, allowing the rights holder to exclusively possess, use, benefit from, or dispose of the virtual property.

The recognition of property rights for cryptocurrencies is a positive development for holders, as it increases their sense of security. However, one should not be overly optimistic; the report still mentions that disputes over the valuation of virtual property in cryptocurrencies can easily lead to financial risks, and it emphasizes the need for collaboration with regulatory authorities to strengthen risk prevention in key areas such as NFT digital collectibles and digital currencies, and to severely crack down on speculative trading and illegal activities.

Additionally, among the typical cases released simultaneously, there is one case concerning the lack of legal protection for cryptocurrency investment and trading activities. This means that while holding cryptocurrencies is allowed and their value is recognized, if there are disputes arising from investment and trading, sorry, the court will not accept it.

This has been the consistent attitude of judicial rulings in recent years. It is highly likely that legislation is moving in this direction: recognizing property rights allows for the legal disposal of confiscated coins while imposing restrictions on investment and trading activities.

Web3 practitioners are most worried about legal security. The clown who was gaining traffic yesterday and his project have already been blacklisted and blocked.

I have整理了下 official policies:

Although it is unrealistic to completely open up, legislation regarding cryptocurrencies in mainland China is actually on the way, especially with the passing of the U.S. GENIUS stablecoin regulatory bill and Hong Kong's stablecoin regulatory bill, along with the future passage of the CLARITY bill, which will likely accelerate this process.

This year, the Central Political and Legal Work Conference clearly proposed to conduct legislative research on several emerging fields, including virtual currencies. The timing from research to implementation coincides with the 14th Five-Year Plan period.

If you pay attention to the major research topics of the Supreme Court in the past two years, you will find that there are relevant contents on "virtual currencies" every year:

The topic for 2024 is "Research on the Disposition of Involved Virtual Currencies," with participating research teams located in Chongqing, Beijing, and Shenzhen. The 2023 topic is "Research on the Legal Nature and Judicial Protection Path of Virtual Property," with participating teams located in Guangzhou, Yancheng in Jiangsu, and Chengdu, all key areas in the cryptocurrency space. Generally, research support is often conducted in the form of related topics before legislation.

The topic for 2024 will not conclude until the fourth quarter of this year, but the topic for 2023 has already concluded last December.

The Guangzhou Internet Court held a press conference in April this year on "Analysis of Civil Judicial Protection Paths for Network Virtual Property and Typical Case Reporting," releasing the "Research and Analysis Report on the Legal Nature and Civil Judicial Protection Paths of Network Virtual Property" and the "Top Ten Typical Cases of Network Virtual Property Disputes," which are basically the results of the topic.

The report classified NFTs and cryptocurrencies as network construction-type virtual properties, qualifying them as a type of creation that includes both data creation and value creation. The value is virtual in nature and has characteristics of both property rights and creditor rights, allowing the rights holder to have exclusive possession, use, benefit, or disposal of the virtual property.

The recognition of property rights for cryptocurrencies is a positive development for holders, providing a greater sense of security. However, one should not be overly optimistic, as the report still mentions that the value recognition disputes of virtual property related to cryptocurrencies can easily lead to financial risks. It emphasizes the need for collaborative regulatory departments to strengthen risk prevention in key areas such as NFT digital collectibles and digital currencies, and to crack down on speculative operations and illegal activities.

Additionally, among the typical cases released simultaneously, there is one case indicating that cryptocurrency investment and trading activities are not protected by law. In other words, holding cryptocurrencies is allowed and their value is recognized, but if there are any disputes arising from investment trading, then sorry, the court will not accept it.

This has been the consistent attitude of judicial rulings in recent years. Legislation is likely moving in this direction: recognizing property rights allows for the legal channels to handle confiscated coins while placing restrictions on investment trading activities.

The wave of ETFs and corporate reserves has increased the BTC holdings of traditional institutions and companies. So what's next?

Those holding BTC assets should consider the issue of staking and financing.

Considering compliance, the first choice is still Cefi platforms, and various crypto banks should start to grow stronger. Just a few days ago, JPMorgan announced that starting in June 2025, customers will be allowed to use assets like BlackRock's iShares Bitcoin Trust (IBIT) as loan collateral.

However, after the FTX incident, it is expected that there will be strict restrictions on revolving loans. Speaking of this, if BlockFi hadn't gone bankrupt back then, it might have been thriving again.

In the past two days, the trading volume of the Binance wallet jumped from 8.9b on the 6th to 12.5b on the 8th, setting a new historical high. Looking specifically at the trading volume of individual coins, it is clear that it is related to the koge pool. After the koge pool was withdrawn yesterday, the daily trading volume of the Binance wallet fell back to 9.37b. Calculating the average trading volume per address is over 37,000, returning to the 15-16 point range. Small investors can continue to enjoy their activities happily.

However, the number of trading addresses in the Binance wallet continues to grow by several thousand daily, and with many users, the only way to maintain this is to increase the volume of transactions.
Recently, the low-fee koge pool issue combined with retail investors' dissatisfaction with studios has made it urgent to adjust the Alpha rules.

The upcoming new rules for Binance Alpha are uncertain in terms of improvements, but from last night’s zero points to receive SERAPH, it is clear that Binance definitely hopes to protect the interests of ordinary retail investors, as continually attracting new users has always been their goal.

I hope they can increase the value of holding BNB and set a limit on point accumulation to avoid disruptions to the rules from low-fee pools. Let's wait and see how things develop~

Is Koge being questioned by Binance?

The low fee pool has been removed.
The V4 pool with the largest TVL is also at a rate of one hundred thousandth.
It may not even be routed to.

After being busy for another half month, let's talk about the certain and potential changes in the market for the second half of the year. I'll share my thoughts on the market trends, Alpha, MEME, and the altcoin season.

First, let's discuss the high-certainty events. Currently, the market's expectation for interest rate cuts is mostly after September, so the third quarter may continue to see range-bound fluctuations, and major market movements will likely have to wait until the fourth quarter, unless an unexpectedly early interest rate cut occurs.

In addition to interest rate cuts, the implementation of tariffs and the passing of the CLARITY Act may also stimulate some small market movements.

Now, regarding potential changes, there may be many small opportunities in the third quarter. When the market is boring, there are always those who can't sit still; where there is demand, there is a market, making it easier to gain exposure during such times.

Binance's Alpha activities are likely to continue, as queuing for token listings is still a good option for projects, although the threshold will be raised and the rules will be adjusted.

MEME has recently shown some signs of activity, especially on the BNB chain. On Solana, in addition to memes, some application-based projects, such as games, can be monitored. InfoFI projects represented by Kaito may come up with more ways to engage, and within this sector, projects with excellent recommendation algorithms can be focused on.

As for the altcoin season, I still believe it will happen because the demand for liquidity overflow remains, but it's not the same as before; it won't be the exaggerated market conditions of 2021.

#MEME #BNBChain #SOL

Thank you crypto!

Binance Alpha took the $LA selling flight, raise your hand 🙋

Upon realizing, I see that large funds are entering the contract market. The initial circulation is low, basically just airdrop portions, and they are concentrated sell-offs, making it easy to collect chips. Coupled with the favorable news from CB and Bithumb, and with the contract short positions being so saturated, it really feels like a profitable bite here～

As for the funding rate, those wanting to short should observe first. Even if it doesn’t rise, it can still be supported to earn the funding rate. Although large funds have seen a slight withdrawal, there are no signs of a massive exit yet.

Yesterday, the brothers left Binance Alpha again, and as expected, the threshold for Alpha points has increased (223 EDGEN and 210 SQD last night). Data doesn't lie.

There's a bad news and a good news, which one do you want to hear first?

The bad news is that the number of active addresses in the Binance wallet has reached a new high again today, at 201,539, and the trading volume has also hit a new high of 9.54 billion;

The good news is that the average trading volume per person hasn't increased much, with an average daily transaction of 47,355 USD per address (it’s still about the 15-16 range), and even considering the threshold of 223 points, an average airdrop profit of 70 USD suggests that the 16 range still looks the most suitable.

Just be prepared for a decrease in future returns.

For Alpha to last, it just needs the airdrop frequency to keep up with user growth. With Binance's current influence and Alpha's popularity, there shouldn't be a lack of projects, so it should still be able to sustain for a while.

SQD is stable at 90 USD, which meets expectations, but $EDGEN is significantly below expectations. LayerEdge is a ZK-based Bitcoin L2 project with a total supply of 1 billion. The amount of Pre-Seed round financing has not been disclosed, but the community round started with a valuation of 20 million. The current price is only 0.023 USD (FDV 23 million), and there's little room to drop further. Although 1,111 units only amount to 25 USD, and it's still on the ETH chain, the number of claimants is very few. The potential value for reissuance has currently exceeded 100 USD. It seems everyone has become smarter and wants to observe for a while before deciding whether to claim.

#BinanceAlpha @binancezh

Want to see the data of RWA projects, whether it's Defillama or https://t.co/h7vBa2oPoc, the largest TVL is BlackRock's BUILD.

In fact, there are many RWA projects in the market that have not been included, why?

Most likely due to the review process, the proof of off-chain assets and the liquidity issues of off-chain assets are both challenges, regulatory lag, and there are no compliance standards, leading to higher counterparty risks.

Relatively easier to implement are financial assets with better liquidity such as deposits, government bonds, equities, and options.

However, RWA also has positive aspects:
It addresses the issue of asset accessibility for those who hold stablecoins but want to conveniently obtain risk-free returns, those who want to buy US stocks but find it inconvenient to open accounts on platforms like Robinhood, those who want to invest in real estate in a certain location but lack convenient channels or enough capital... it solves the pain points for these individuals, or is more cost-effective on-chain after considering transaction costs.

This demand truly exists, but the total amount may be overestimated. Many RWA projects directly consider the entire scale of offline assets as the potential market size, which is indeed somewhat exaggerated. A cautious and prudent approach is better.

I just looked at the data. The number of people trading on the BNB chain using the Binance wallet has increased from over 60,000 on the 15th to over 170,000 now, an increase of more than 100,000 in 15 days.

The overall number of active users on BNB's DEX has grown from 250,000 on the 15th to over 380,000 now. However, the overall trading volume on Alpha is slowing down and has hit a bottleneck.

If we look at the curve of trading volume per user, we can see a downward trend. This indicates that the newly added users in recent days are not generating as much volume overall as the older users. In the future, if the pie doesn't get bigger (increasing airdrop and TGE frequency), then these new users with small trading volumes might face the awkward situation of being kept at the threshold, or they might just be playing with small funds, focusing on participation.

I simply created a table, and the conclusion is:
The optimal solution for Binance Alpha returns is to brush 16 points daily, which corresponds to the 65536 bracket.

Assumptions:
1. There are more than 7 Alpha airdrops and TGEs within 15 days (in hindsight, there have been 12 times in the past 15 days, so the condition is met);
2. Balance points meet 3 points/day;
3. The participation threshold for each period is 200 points;
4. The return for each period is 90u.

Under these conditions, it is calculated that only when each period's return exceeds 120u, brushing the 131072 bracket is the optimal solution. Even if the balance points are 2, or the return for each period is 60-120u, the 65536 bracket remains optimal.

@binancezh @sisibinance

I made a simple table, and the conclusion is:
The optimal Alpha return solution is to earn 16 points daily, which corresponds to the 65536 tier.

Assumptions:
1. There are more than 7 Alpha airdrops and TGEs within 15 days (based on past data, there have been 12 in the last 15 days, so the condition is met);
2. The balance points meet 3 points/day;
3. The participation threshold for each period is 200 points;
4. The return for each period is 90u.

Under these conditions, it is calculated that only when the return for each period is greater than 120u, earning at the 131072 tier becomes the optimal solution. Even if the balance points are 2, or the return for each period is between 60-120u, the 65536 tier remains the optimal choice.

@binancezh @sisibinance

Received five mobile phones from Binance @binancezh 📱
Binance's sisters @sisibinance @yayabinance no longer have to worry about me not having a phone to play Alpha.

The slippers are also very practical, just when my holey shoes were worn out, the black and gold color looks good when delivering food.

This month is truly a turning point for stablecoins, and perhaps USD1 from Old Te's family can really break the current stablecoin pattern.

USD1 itself is backed by short-term U.S. Treasury bonds, government deposits, and money market funds, with Fidelity behind it, so compliance shouldn't be an issue. The current problem is that, facing the moats built by USDC and USDT over many years, capturing market share is still challenging. It's hard to say about other stablecoins, but Old Te's family inherently brings traffic, and Binance is also wisely supporting it vigorously. Coupled with the hype from MEME and Alpha, there should be no problem in generating excitement.

The support from various CEXs for USD1 marks the beginning of a breakthrough. It is difficult to break the current binary landscape relying on just one exchange or institution, but USD1 is now a combined force. Riding on the hype generated by Binance, other exchanges are also eager to launch it, plus WLFI is raising its flag and shouting, creating a synergy.

Looking at the historical ATH market caps of the top three stablecoins, they seem to be stuck around the 10 billion mark. The BUSD that Binance heavily promoted back in the day only reached about 15 billion at its peak.

The breakthrough for stablecoins has three levels:
Using on DeFi - Using on CEX - Using in offline transactions. Currently, USD1 has opened up the second level, and the next step depends on whether Binance pushes it vigorously. The third level is where the real moat of top stablecoins lies; user habits will take more time to change. Right now, with the changes brought about by the stablecoin legislation, it can be seen as a timely opportunity, while USD1's background serves as a geographical advantage, and the support from multiple exchanges and projects counts as the people. This opportunity must not be missed; the time will not come again.

This month is indeed a turning point for stablecoins; perhaps USD1 from Old Te's family can truly break the current stablecoin landscape.

USD1 itself is backed by short-term U.S. Treasury bonds, government deposits, and money market funds, with Fidelity behind it, ensuring compliance is not an issue. The current challenge is competing against the moat built over years by USDC and USDT, making it difficult to capture market share.

It’s hard to say about other stablecoins, but Old Te's family inherently brings traffic, and Binance has wisely supported it vigorously. Coupled with the popularity of MEME and Alpha, there's no doubt the hype can be driven up.

The support from various CEXs for USD1 marks the beginning of a breakthrough. Relying on one exchange or institution is challenging to disrupt the current division of the market, but USD1 is now a collective effort, leveraging the momentum created by Binance. Other exchanges are also eager to list it, and WLFI is actively promoting it, creating a coordinated effort.

Looking at the historical ATH market cap of the top three stablecoins, they seem to be stuck around the 10 billion mark. The BUSD, heavily promoted by Binance back in the day, peaked at around 15 billion.

Breaking through the stablecoin market happens in three tiers: using it in DeFi, using it on CEX, and using it for offline transactions. Currently, USD1 has opened the second tier, and it remains to be seen if Binance will continue to push it. The third tier represents the true moat for leading stablecoins, and user habits take time to change. At present, the changes brought about by stablecoin legislation represent a timely opportunity, while USD1's background provides a geographical advantage, and support from multiple exchanges and projects represents the human element. This is a critical moment that should not be missed.

Recently, Binance's Alpha trading competition counts limit orders with a trading volume of 3 times, but many people have reported being unfairly treated. This is because the principles of limit trading and instant trading are completely different.

Instant trading on Alpha is similar to swap trading in conventional DEXs, where your counterparty is the pool. As long as the pool depth at the current price level is sufficient, the slippage is low, and the wear is minimal.

For example, the ZKJ that everyone is trading frequently is from the Pancakeswap V3 pool. V3 uses concentrated liquidity, which can further increase the depth within the range. It is recommended to trade in a non-custodial wallet, where the slippage can be set to 0.01%, further reducing the risk of being squeezed.

The principle of limit orders differs from instant trading. On conventional DEXs, limit orders typically utilize an on-chain order book, meaning the counterparty is the orders listed on the order book. Some DEXs may use a hybrid mechanism of order book + AMM, or an off-chain order book combined with on-chain settlement.

Binance's announcement states that the execution of limit orders is related to block confirmation times, and that 'if the on-chain liquidity of the selected token is poor, there may not be enough counterparties to match your order', and 'excessive on-chain traffic may lead to delays in order processing and matching'. Therefore, it is highly likely that the order book model is being used.

This means that a high success rate for limit order execution can only be achieved when there are enough people using limit orders. So, if you really want to use limit trading, you can first test the liquidity near the price level with a small amount.

Additionally, the K-line data on Alpha comes from a third party and differs from the actual Alpha transaction data.

Binance Alpha announces the launch of $OBT in the new issue, and then the OBT spot directly dropped by more than ten points...

What is this MM strategy?

Recently, several protocols and public chains have launched various activities to attract TVL by offering stablecoin deposits, and the future yield expectations for stablecoins are also rising. As a result, there are more high APY and relatively low-risk yield opportunities.

Here are some opportunities with TVL over 20 million for reference: