W3BStation
Markets
BTC $96,420 +2.34% ETH $3,280 +1.82% SOL $185.40 -0.92% BNB $642.50 +0.45% XRP $2.18 +3.12% DOGE $0.082 -1.50% ADA $1.05 +0.80% AVAX $42.10 +1.15%
BTC $96,420 +2.34% ETH $3,280 +1.82% SOL $185.40 -0.92% BNB $642.50 +0.45% XRP $2.18 +3.12% DOGE $0.082 -1.50% ADA $1.05 +0.80% AVAX $42.10 +1.15%
08/22/2024

Proof-of-Ink Will Drive Web3 Adoption, Fed Rate Cuts Could Trigger DeFi Summer: Finance Redefined

Gavin Wood unveiled a major infrastructure milestone for Web3 citizens, while the HashKey CEO predicts a DeFi market resurgence driven by interest rate cuts.

Proof-of-Ink Will Drive Web3 Adoption, Fed Rate Cuts Could Trigger DeFi Summer: Finance Redefined

Gavin Wood unveiled a major infrastructure milestone for Web3 citizens, while the HashKey CEO predicts a DeFi market resurgence driven by interest rate cuts.
Proof-of-Ink Will Drive Web3 Adoption, Fed Rate Cuts Could Trigger DeFi Summer: Finance RedefinedNewsletter
Own this piece of crypto history

Welcome to Finance Redefined, your weekly dose of essential decentralized finance insights — a newsletter designed to bring you the most significant developments from the past week.

This week, Ethereum and Polkadot co-founder Gavin Wood revealed the launch of Parity's tattoo-based Web3 personhood solution, which Wood says could be one of the key missing pieces for mainstream Web3 adoption, in a conversation with Cointelegraph at the Web3 Summit in Berlin.

Gavin Wood's Proof-of-Ink: The Tattoo That Protects Your Web3 Identity

Parity Technologies is rolling out a Web3 personhood solution — a critical missing component for mainstream Web3 adoption.

The new solution, "Proof-of-Ink," will allow users to prove their digital identity in a privacy-preserving way through a unique tattoo that functions as proof of digital citizenship.

Proof-of-Ink is expected to launch in Q4 2024, according to Wood.

Lower Interest Rates Could Be the Key to a DeFi Summer: HashKey Capital CEO

As the U.S. Federal Reserve is expected to cut interest rates in 2024, weakening U.S. Treasury yields could spotlight higher-risk, higher-yield opportunities elsewhere — potentially driving greater investor demand for crypto.

This uncertainty centers on Bitcoin, widely regarded as a high-risk asset. When rates fall, investors typically rotate into riskier asset classes.

ARK Invest CEO Cathie Wood joined HashKey CEO Deng Chao for a conversation at the Web3 Festival 2024 in Hong Kong. Source: YouTube

However, that's not always the case, as ARK Invest CEO Cathie Wood noted during a conversation at the Web3 Festival in Hong Kong earlier in 2024. She expressed her belief that Bitcoin could actually function as a hedge, citing its track record amid "currency debasement in emerging markets around the world."

Franklin Templeton Expands Blockchain Fund to the Avalanche Network

Franklin Templeton, a global asset management firm, has expanded the Franklin OnChain US Government Money Fund to the Avalanche network.

According to a press release shared with Cointelegraph, the expansion to the layer-1 blockchain network will mark the "first onchain money market fund" on Avalanche.

The fund, launched in 2021, gives institutional investors access to Franklin Templeton's blockchain-integrated record-keeping system, Benji Investments.

"[Investors] may hold their wallets on the Avalanche network upon request and subject to eligibility."

Crypto Phishing Attack Drains $55 Million Whale's Wallet

A crypto holder lost $55 million after signing an unverified transaction, allowing bad actors to use a phishing attack to steal the whale's stablecoins.

On August 20, a crypto wallet owner signed a transaction that transferred ownership of 55.47 million Dai held in the Maker decentralized finance (DeFi) protocol. As a result of the signed transaction, a phishing address took control of the wallet's stablecoins.

The whale apparently noticed the mistake and attempted to withdraw the funds to a new address. However, the transaction failed because the ownership transfer had already gone through.

Polychain Leads $6.7 Million Investment in New Bitcoin Yield Network Corn

Polychain Capital announced a $6.7 million investment in a new Bitcoin-focused yield network.

The $6.7 million raise went to Corn, a new Ethereum layer-2 network that uses a tokenized version of Bitcoin for gas fees and network economic incentives, under the ticker BTCN.

Corn launched on August 19 with the goal of enhancing the utility of the world's first cryptocurrency and introducing new yield opportunities, according to Corn and BadgerDAO founder Chris Spadafora.

DeFi Market Overview

According to data from Cointelegraph Markets Pro and TradingView, most of the top 100 cryptocurrencies by market cap closed the week in the red for the second consecutive week.

Among the top 100, Klaytn (KLAY) surged over 31% to become the week's biggest winner, followed by Polygon (MATIC) in second place with gains of over 30% on the weekly chart.

Smart contract blockchain Fantom (FTM) also climbed more than 29% on the week, with analysts forecasting further upside potential as it prepares to transition to its new Sonic blockchain network.

Total value locked in DeFi. Source: DefiLlama

Thanks for reading this summary of the week's most notable DeFi developments. Join us next Friday for more stories, insights, and analysis from this rapidly evolving space.