Telegram gives in to the regulations
Bitcoin recoveries after the halving, while Ethereum developers struggle with bugs, and Telegram exits the TON project. The crypto week of May 11-17 in the BTCMEX recap.
The block reward halving that took place on the Bitcoin blockchain on May 11 gave a new breath to the pioneer cryptocurrency. The demand for Bitcoin has been growing rapidly worldwide. The total number of functioning Bitcoin ATMs rising to 8,000, a more than 90% increase since 2019. BTC keeps leading the market in capitalization and USD transaction volume with more than $10 billion daily.
Bitcoin Cash (BCH) and Bitcoin Satoshi Vision (BSV) have also seen the spike in their hash rates, as miners are gradually shifting back to the network. Both altcoins saw the SHA-256 hash rate drop that followed the two halvings in April.
A month after the first halving, Bitcoin (BTC) moved up by 7% but following the second halving, the price slipped by 10% in a month. Bitcoin rallied sharply in the post-halving three days and peaked at $9,941.68 on May 14, with a resistance level of nearly $10,000.
Ethereum 2.0 scheduled for June
Ethereum upgrade developers announced the successful implementation of the Schlesi testnet, and are hoping for the official multi-client testnet launch in June. The team is currently fixing bugs and trying to synchronize all existing clients into one single version of the blockchain, revealed the report of May 14.
Bugs prevented the first launch, and once that was fixed, transaction finality “was terrible” due to the clients crashing often. The new testnet is expected to start with three clients at genesis, while also enabling “dry runs” of the deposit contract that bridges Ethereum 1.0 and 2.0.
Telegram steps away from TON
Telegram abandons the development of the Telegram Open Network (TON) project along with the Gram token, not meeting the US regulations. Telegram’s CEO, Pavel Durov, explained that the US fin regulators currently demand the Gram token not to be released worldwide, as they fear the US citizens will gain easy access to the digital asset. Durov explicitly criticized the U.S. government’s involvement and efforts to prevent the launch of a project based on principles of decentralization pioneered by Bitcoin and Ethereum.
The future of TON is very uncertain. The free Telegram Open Network – TON Labs – required the company to step back from the blockchain development earlier, explaining the will of complete decentralization.
Telegram first announced the idea in 2017. The event followed by the SEC stepped in with a lawsuit that accused Telegram of violating US securities law by holding an unregistered security sale.
Samsung released 5G phone
The world saw the first-ever smartphone supporting 5G network, released by Samsung and SK Telecom – South Korean network provider. The device is called Galaxy A Quantum. and is equipped with blockchain-powered ID authentication. The phone’s initial price is 649,000 Korean won, or $527.54 USD.
The phone is equipped with blockchain-powered ID authentication. Blockchain-powered system is utilized when users pay for goods and services at offline merchants with the SK Pay. Another of the phone’s major features is SK Pay biometric protection — a mobile blockchain authentication service. The mobile carrier noted that the phone goes up for pre-sale on May 15, with an official launch date of May 22.
Proof-of-Stake Alliance seeks clarity in regulations
The Proof-of-Stake Alliance entered the dialogue with the SEC regarding the regulations space around the Staking-as-a-Service (STaaS) market. The meetings with the SEC were held in February to educate the agency about PoS technology and discuss a regulatory framework for STaaS offerings.
Staking allows token holders to earn interest on locked amounts of a network’s native token, which in turn supports the network’s overall efficiency. PoS appeared to be more efficient and scalable consensus mechanism in comparison to the Bitcoin’s native Proof-of-Work (PoW).
Bitcoin Treasure Hunt
The treasure hunt riddle appeared on the crypto art scene. The new music album released by a tech-driven music artist – Logic Beach – contains ~0.03 (+ 0.02) BTC. Listeners have to find the 12-word seed phrase for the wallet holding the BTC prize. “Bifurcations” by Logic Beach is a Lo-Fi, Synth-Glitch, experimental project aiming to celebrate the halving and to have a bit of fun, – according to the artist.