Data from the blockchain research platform, Messari, reveals that Ethereum caught up with Bitcoin in terms of daily value transfer. Geth, the most popular implementation of the Ethereum (ETH) network client, has received new software. According to the contributors, this release is a special one Prysmatic Labs, a team of software engineers dedicated to making the Ethereum smart contracts blockchain better, has announced that the ETH 2.0 Topaz testnet will be launched on or before April 19, 2020, at exactly 00:00 UTC. The team says interested node validators mus send their deposit before April 16,… Today, on Thursday, April 16th, Ethereum price is growing steeply. The coin is generally trading at 169.70 USD.
The use of the Ethereum network to transfer value has soared to record levels.
The numbers show that “Ethereum is becoming the dominant value transfer layer in crypto,” he said.
Value transfer refers to the US dollar value of the total units on a blockchain that are transferred on a given day. With bitcoin, the metric refers to the USD value of all the bitcoin (BTC) sent on a given day.
Value transfer on Ethereum differs slightly. As well as its own ether (ETH) cryptocurrency, Ethereum supports assets from third parties that can be sent and received over its network. For the above chart, value transfer on Ethereum refers to the USD value of both ETH and the Ethereum-based stablecoins that are transferred on on a given day.
Another chart from Messari show just how much the increase in the amount of value moved via USDT has boosted Ethereum’s numbers over the last few months.
Citing concerns about the validity of Watkins’ findings, independent developer Udi Wertheimer expressed his thoughts regarding the exclusion of Omni data, a software layer on the bitcoin network that includes the issuance of the world’s most used stablecoin, tether (USDT). The Ethereum chart had included data for USDT issued as an ERC-20 token.
“USDT on Omni is bigger than all the non-USDT Ethereum-based stablecoins. If you include USDC and the smaller ones, you should also include Omni-USDT,” Wertheimer said.
But Watkins was quick to answer back, arguing the conclusion remained the same.
“Furthermore, the amount of value transferred on Ethereum is slightly underestimated because it only includes the top stablecoins that CoinMetrics provides data for, and not all Ethereum based tokens,” he said.
In his tweet thread, Watkins also noted that stablecoins have just had their best quarter to date. Issuance in the first quarter of this year, he said, had “ballooned over $8 billion,” adding almost as much to the category’s market capitalization in Q1 as for all of 2019.
“Over the past two years, many stablecoin issuers have created stablecoins on Ethereum because of its flexible token standards that allow for the easy issuance and interoperability,” according to Watkins.
“These stablecoins have grown so great in amount that they’re now being widely used as money on the Ethereum blockchain. Instead of sending and receiving value in ETH, which is volatile, users can send value in stablecoins which are price-stable with the US Dollar,” the researcher said.
The stablecoins responsible for driving Ethereum’s growth may be under threat. Leaders from the world’s top industrialized nations are on the offensive regarding the emergence of digital currencies that could rapidly gain a huge user base and alter the financial landscape, like Facebook’s proposed Libra coin, The Daily Hodl reported.
The G20’s regulatory watchdog, the Financial Stability Board (FSB), has released a 62-page document entitled “Addressing the regulatory, supervisory and oversight challenges raised by ‘global stablecoin’ arrangements.” It sets out a list of recommendations aimed at controlling the use of stablecoins. Its primary objective is to map out a global strategy for regulating the asset class.
Stablecoins are a new class of cryptocurrency pegged to assets such as fiat money and gold to minimize price volatility. They leverage blockchain technology and digitization to make efficient domestic and cross-border payments. As a store of value, they can also facilitate cryptocurrency trades, maintaining a fixed price as investors move in and out of various coins.
FSB’s list of 10 recommendations, released on Tuesday, reveal that central banks are concerned about Facebook’s plans to roll out Libra, a potentially powerful stablecoin with the ability to rival traditional currencies in cross-border transactions, compromising the status quo.
While financial rules that regulate traditional payments and customer checks do apply to stablecoins, addressing certain risks associated with crypto assets, the FSB has identified specific issues with cross-border stablecoins. The recommended solution is to implement a flexible, cross-border cooperation that can control these crypto assets.
To address vulnerabilities posed by stablecoins and to ensure that they do not undermine financial stability, the FSB recommends that regulators should have the power to limit or prohibit activities tied to this particular class of crypto assets.
“Authorities within a jurisdiction, either independently or collectively, should have and utilise the appropriate powers and capabilities to regulate, supervise, oversee and if necessary prohibit effectively the activities being conducted and services being offered to users in or from their jurisdiction and the attendant risks that these services and activities may pose.
“This may include, for example, services and activities related to the governance/control of the stablecoin arrangement, operating the infrastructure of the stablecoin arrangement, issuing/redeeming stablecoins, managing stablecoin reserve assets, providing custody/trust for stablecoin reserve assets, trading/exchanging stablecoins, or storing the keys providing access to stablecoins.”
The regulatory body also says that stablecoin operators need to manage risks, be operationally resilient, as well as take measures against cyber attacks and systems to curb terrorist financing and money laundering.
“Relevant authorities should, where necessary, clarify regulatory powers and address potential gaps in their domestic frameworks to adequately address risks posed by GSCs [global stablecoins].”
The recommendations, which reference the most widely traded cryptocurrency, the stablecoin Tether (USDT), as well as other high-volume stable crypto assets such as USDC, TUSD, PAX and DAI, will be officially presented to the G20 leaders.
You can check out the full list of recommendations here.
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Ethereum catches up with Bitcoin in terms of value transfer
- Data from the blockchain research platform, Messari, reveals that Ethereum caught up with Bitcoin in terms of daily value transfer.
- The daily value transfer of Ethereum has been steadily increasing since April 2019.
The research and data analysis platform Messari has collected data showing that Ethereum has caught up with Bitcoin in terms of daily value transfer. Messari’s analysis attributes the increase of value transfer on the Ethereum blockchain to the stablecoins.
According to Messari, the history of the stablecoins is linked to that of Ethereum. In this sense, Messari claims that stablecoins experienced their best quarter ever in Q1. The spread of the coronavirus (COVID-19) and its impact on the crypto market has favored stablecoins, according to Messari:
(…) stablecoin issuance ballooned over $8 billion in the quarter. The action was so dramatic it shook the prevailing order in cryptocurrencies.
At the same time, the growth of stablecoins has favored Ethereum by increasing the daily value transfer since April 2019, as shown in the chart below. By June 2019, the daily value transfer of Ethereum was up to 1 billion dollars. Although there was a decline in early 2020, Ethereum’s daily value transfer soared towards the end of February, reaching its current value of about $1.6 trillion, along with Bitcoin.
With regard to this growth, the blockchain research company has found that stablecoins accounted for 80% of the daily value transfer on the Ethereum network. Messari also added:
Ethereum is becoming the dominant value transfer layer in crypto, Tether cracked the top 3 cryptocurrencies by market cap, and stablecoin challengers have gained serious momentum.
On the other hand, Messari also determined that stablecoins are used to make “significantly larger” transfers than Bitcoin. Stablecoins are more suitable for transferring value between exchanges. According to Messari, this is one of the most important uses for stablecoins today.
Messari predicts that Ethereum will continue to dominate the issuance of stablecoins. Compared to its competitors, Ethereum offers maturity and a dynamic ecosystem. Messari claims that investors are simply “following the money”. Among the stablecoins that have benefited most from the growth in value transfer is Tether, followed by Circle’s USDC, and the stablecoins of exchanges Binance and Huobi.
Messari concludes that growth in stablecoins could quadruple by 2020. Given the scarcity of dollars facing the world, Messari says, stablecoins could provide “real value” to anyone who can use a smartphone:
The announcement of Libra and the growth of stablecoins last year caused many consider 2019 as the year of stablecoins. But if trends from the past quarter persist, 2020 could very well give 2019 a run for its money.
However, a report from the Financial Stability Board (FSB) could change this trend. According to the FSB, stablecoins represent a potential danger to the world economy. Although the FSB recognizes that there is not yet a stablecoin that meets the characteristics to be a real threat, the institution is already working on ways to regulate and control the emergence of this type of asset. Representing 80% of the daily transfer value for Ethereum, this could be catastrophic for the platform, Bitcoin and the entire crypto market.
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Last Updated on 16 April, 2020
Ethereum (ETH) Geth Implementation New Release Delivered: Transaction Size Limit Doubled
Geth, the most popular implementation of the Ethereum (ETH) network client, has received new software. According to the contributors, this release is a special one
As revealed by Péter Szilágyi, team lead at Ethereum Foundation, the Geth client implementation v1.19.13 has been released. The new software is named Drossix Blue.
According to the official Go-Ethereum GitHub repository, this is the first stable Ethereum (ETH) release based on the Go 1.14.x `family`. This novelty increases the block processing speed by about 10%.
Mr. Szilágyi outlined that this last feature is the result of six-months of work. Although the dynamic state snapshots option is not yet enabled by default, it may act as a basis for further development.
Another feature of the new implementation is that the propagated transaction size limit increased from 64 KB to 128 KB. The rules of technical file processing have also changed. Now, both Ethash algorithms cache data and Directed Acyclic Graph (DAG) files are forcefully stored in RAM. As reported by U.Today, this was the issue with the DAG file that ruined Antminer E3 Ethereum Classic (ETC) mining in February.
At printing time, Geth implementation accounts for 77% of all Ethereum (ETH) network nodes, as per Ethernodes data.
Author: Thu, 04/16/2020 – 11:51
Ethereum 2.0: Prysmatic Labs Rolls Out Topaz Testnet
Prysmatic Labs, a team of software engineers dedicated to making the Ethereum smart contracts blockchain better, has announced that the ETH 2.0 Topaz testnet will be launched on or before April 19, 2020, at exactly 00:00 UTC. The team says interested node validators mus send their deposit before April 16, according to a blog post on April 14, 2020.
While the Ethereum network remains the clear leader in the world of decentralized finance (DeFi), thanks to its robust smart contracts support, the team is however not resting on its oars just yet, working round the clock to make the network better.
Having previously successfully rolled out the Ruby, Sapphire, and Diamond testnets, Prysmatic Labs, one of the Ethereum development teams working hard to make the ETH 2.0 dream a reality, is set to launch the Topaz testnet this weekend.
For the uninitiated, ETH 2.0 simply refers to a series of potential updates designed to fix the existing issues plaguing the Ethereum network, including scalability, mining, and security, among others, to make the platform even better.
The Prysmatic Labs team has hinted that the Topaz test network is quite unique, as it comes with the full Ethereum 2.0 Phase 0 mainnet configuration.
Preston van Loon, co-founder at Prysmatic Labs said:
“The test network is very significant because it mirrors the mainnet scale and parameters to the fullest. Earlier testnet versions such as Sapphire came with either a smaller scale configuration for rapid iteration or used fractional deposits instead of the full 32 ETH deposit value.”
Notably, Prysmatic Labs has made it clear that while the Sapphire testnet validators were allowed to deposit just 3.2 ETH, interested genesis validators in the Topaz test network will however need to deposit the full 32 ETH on the Goerli ETH1 testnet to participate.
The team says the Topaz testnet is now accepting genesis deposits and all genesis validators must send their deposits before April 16, 2020, at 00:00 UTC.
Van says the Topaz testnet will function as a single-client network, however, it will support interoperability between other clients on the latest spec for Phase 0.
“When other client teams update to the latest specification, we fully expect to have multiple clients validating in Topaz, but this network is not the official coordinated multi-client testnet that we require before mainnet launch.”
At press time, the price of Ether (ETH) is up by 5.74 percent, trading at $167.90, with a market cap of $18.56 billion.
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Author: Ogwu Osaemezu Emmanuel
Ethereum Price Grew Significantly Today, Gaining Over 8% in 24 Hours
Today, on Thursday, April 16th, the Ethereum price is growing steeply. The coin is generally trading at 169.70 USD.
By Dmitriy Gurkovskiy, Chief Analyst at RoboForex.
- Ethereum price is growing today: tech analysis.
- The price of all assets in the ETH network has become equal to the BTC.
- Users will be able to check the origin of the cryptocurrency.
On W1 of the Ethereum, we see that the correctional phase after a rapid decline was too “modest”. A new wave of descending dynamics did not become vast either. The market now rests within the borders of a channel between $80.86 and $260.00 USD. The descending lines of the MACD and Stochastic indicate bearish predominance. However, if the bulls manage to break away the resistance level near $260.00 USD, the correctional phase will extend to 23.6% ($398.00 USD) and 38.2% ($593.00 USD) Fibo.
Photo: Roboforex / TradingView
On D1, ETH/USD also demonstrates an uptrend as a mid-term correction. The quotations are moving inside a stable channel and testing 38.2% Fibo for the second time. The next goals of the growth are 50.0% ($190.00 USD) and 61.8% ($213.00 USD). The dynamics of the MACD lines remain descending, hence a breakaway of the support near $150.00 USD may become the beginning of a new wave of declining to the low of $89.80 USD.
Photo: Roboforex / TradingView
On H4, the quotations escaped a short-term descending channel upwards. The momentum of growth is aimed at overcoming the local low; then the psychologically important level of $200.00 USD may be approached. Additional confirmation of the upcoming growth will be a Gold Cross on the Stochastic.
Photo: Roboforex / TradingView
The aggregate sum of the assets transferred intraday in the ETH network has become equal to that of the BTC, amounting to 1.5 billion USD. This is explained by investors’ high demand for stablecoins. The parity with the BTC means that the demand for alternative cryptocurrencies in the first quarter of 2020 will remain high, and then the alignment of forces may change.
About 80% of the transactions in the Ethereum network involve USTD, USDS, and TUSD. Prevailing of cryptocurrencies with a fixed rate is explained by higher investors’ demand for them in the case of transferring capital.
As the latest news goes, in the Ethereum survey service Etherscan, you may now check the origin of the cryptocurrency. For this, a function called “ETHProtect: is used; the investor may collect the data on the cryptocurrency history – whether it has been noticed in some frauds, fishing, or other unlawful activities. In many cases, this information will not be extremely useful for the user but if you buy large sums, it will definitely not harm you. For example, frequent hacking of crypto exchanges has created an illegal flow of digital money, and the new function will let you know where your money has come from. However, it remains unclear what to do with this knowledge next.
Disclaimer: Any predictions contained herein are based on the authors` particular opinion. This analysis shall not be treated as trading advice. RoboForex shall not be held liable for the results of the trades arising from relying upon trading recommendations and reviews contained herein.
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Dmitriy Gurkovskiy is a senior analyst at RoboForex, an award-winning European online foreign exchange forex broker.
Author: Muhamin Olowoporoku