Cryptocurrency News for the Morning of August 5th

Jump Crypto has unstaked Ethereum worth $315 million, as reported by the analytics platform Arkham. On July 24, Jump Trading's crypto division began moving over 120,000 ETH ($314.8 million) to exchanges including Binance, OKX, Coinbase, ByBit, and Gate.io. A significant portion of these funds was withdrawn from the Ethereum address "0x986…608c6." The company also transferred USD Coin, Tether, Uniswap, and Shiba Inu to trading platforms. The crypto community speculates that these actions may lead to a sell-off of the cryptocurrency by Jump Crypto. These transfers occurred five weeks after the resignation of Jump Crypto President Kanav Kariya amid an investigation by the Commodity Futures Trading Commission.

Issues with Bitcoin L2 Solutions

Galaxy Research highlighted long-term risks for second-layer (L2) solutions for Bitcoin in its study. Successful development of Bitcoin rollups requires significant income from transaction fees. The report states that data transfer costs to the base layer of the blockchain are a fundamental problem for such networks. Publishing data every six to eight blocks can significantly increase base fees, potentially excluding small transactions. To survive, rollups need to outperform each other in generating fee revenue.

Crypto.com User Faces Jail Time

The Australian prosecution is seeking jail time for a Crypto.com user who mistakenly received $6.8 million. In May 2021, Crypto.com accidentally sent $10.47 million AUD to Australian couple Thevamanogari Manivel and Jatinder Singh instead of a refund of $100 AUD. By the time the error was discovered in December 2021, Singh had already bought several houses and gifted $1 million AUD to a friend. Singh thought he had won an "online lottery." Singh's lawyer, Martin Kozlowski, argued that his client was unaware of the severity of the situation, but the prosecution was not satisfied with this response. In September 2023, Manivel was sentenced to seven months in jail and 18 months of community service for illegal transactions with criminally obtained funds.

Performance of Leading Cryptocurrencies

Bitcoin (BTC) started the day with a decline, according to TradingView. As of 05:30 (MSK), the cryptocurrency is trading at $54,222 (₽4,599,079 per token). The 24-hour low for Bitcoin was $52,559, and the high was $61,062. The second-largest cryptocurrency by market cap, Ethereum, also started the day with a drop. At the time of writing, it is trading at $2,290 (₽193,773 per token).

All top-10 cryptocurrencies by market cap saw declines over the past 24 hours. The biggest losses in 24 hours were recorded by Ethereum (-21.23%), and for the week by Solana (-31.70%). Among the top 100 cryptocurrencies by market cap, all showed negative trends. Over the past 24 hours, Bittensor experienced the steepest drop (-25.54%). The largest weekly losses were recorded by dogwifhat (-47.27%).

Conclusion

The cryptocurrency market continues to show high volatility, requiring investors to stay vigilant about current events and potential risks. Subscribe to our news Telegram channel to stay updated with the latest news and analysis.