Web3🌑Friday Highlights: Sky’s Bitcoin Vote, Trump’s Crypto Push, Kraken vs. SEC, and Market Trends

Happy Friday! Dive into today’s Web3 highlights where we explore major moves and trends shaping the crypto landscape. Sky is set to vote on a significant Wrapped Bitcoin sale, which could impact the DeFi space. Meanwhile, former President Donald Trump is making waves with the launch of World Liberty Financial, a new crypto platform he’s championing. Kraken is pushing back against SEC allegations with a jury trial demand, and the crypto market is stalling Bitcoin while Ethereum faces potential bottoming. Stay tuned as we unpack these developments and their implications for the future of Web3.

1. DeFi giant Sky votes on offloading Wrapped Bitcoin amid Justin Sun worries

Sky, a major DeFi lender, is voting to remove $200 million in wrapped Bitcoin (wBTC) from its platform due to concerns over Tron founder Justin Sun’s involvement with custodian BitGo. wBTC, a key token in DeFi lending with a $9 billion market cap, allows Bitcoin to be used on other blockchains. Competitors like tBTC and Coinbase’s newly launched wBTC alternative are poised to benefit from the move. Sky’s governance proposal suggests gradually offboarding wBTC in five stages, starting September 26, with alternative collateral products being considered. The decision could significantly impact DeFi lending markets.

DeFi Lending Giant Sky Sets Vote to Offload Wrapped Bitcoin as Justin Sun Concerns Linger

Sky, the decentralized money bank previously known as MakerDAO, will decide on completely dumping wrapped bitcoin (wBTC) from its…

Mediumcrypto boss

2. Trump launches World Liberty Financial, embracing crypto

Former U.S. President Donald Trump has announced the launch of his family’s cryptocurrency platform, World Liberty Financial, presenting it as an alternative to traditional banks. The platform aims to embrace the future of crypto, and Trump will host a live event on X (formerly Twitter) on September 16 to officially kick off the venture. Trump’s sons, Eric and Donald Jr., are promoting the project as a breakthrough in decentralized finance. Despite security challenges and scams targeting the platform’s users, the venture has gained attention, with Trump raising $25 million from the crypto sector by July.

Donald Trump Announces World Liberty Financial Launch — ‘We’re Embracing the Future With Crypto’ – Featured Bitcoin News

Donald Trump has announced the launch of crypto platform World Liberty Financial, positioning it as an alternative to traditional banks.

Bitcoin NewsKevin Helms

3. Kraken demands a jury trial in SEC lawsuit

Kraken is facing a lawsuit from the SEC, which accuses the crypto exchange of violating federal securities laws by not registering as a broker, clearinghouse, or exchange. The case follows similar allegations against Binance and Coinbase. Kraken has demanded a jury trial, denying any wrongdoing and arguing that digital assets do not fall under current securities regulations. The exchange claims it wasn't required to register with the SEC and accused the agency of overreach. Kraken admitted to listing over 220 crypto assets but denied operating as a broker-dealer, clearing agency, or securities exchange.

Kraken Seeks Jury Trial in SEC Lawsuit, Presents Defense Arguments

Binance and Coinbase also face similar allegations by the SEC of violating federal securities laws for failing to register as a broker, clearinghouse or exchange.

CoinDeskAmitoj Singh

4. Bitcoin stalls as Ethereum’s bottom nears, say analysts

Bitcoin is trading flat at $58,020, while Ethereum has dipped 0.8% to $2,345. Analysts expect Ethereum to hit a potential bottom in 2-4 months, indicating possible oversold conditions. Despite this, Bitcoin spot ETFs saw a $39 million inflow, while Ethereum ETFs experienced a $20.1 million outflow. Broader economic factors like tech stock rallies and positive inflation data are influencing crypto markets, with experts predicting sideways movement until the U.S. presidential elections. The outcome could shape future crypto regulations, with a crypto-friendly president possibly serving as a catalyst for market growth.

Bitcoin Stagnates as Analysts Forecast Potential Bottom For Ethereum Before End of Year - Decrypt

Bitcoin has stagnated, showing little change in the past day, as analysts forecast Ethereum seeing a bottom in the next 2-4 months.

DecryptMurtuza Merchant

That wraps up today’s Web3 highlights! From Sky’s pivotal Wrapped Bitcoin decision to Trump’s new crypto venture, and Kraken’s courtroom battle with the SEC, it’s clear the crypto world is buzzing with activity. Bitcoin’s stagnation and Ethereum’s potential bottom signal important shifts in the market. Keep an eye on these developments as they unfold. For more updates and insights, don’t forget to follow us on social media and subscribe to our newsletter. Stay informed and ahead of the curve in the ever-evolving world of Web3.

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