Trump’s Game-Changer: New Pro-Crypto Appointments Set to Transform Industry!

December 23, 2024

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Trump’s Game-Changer: New Pro-Crypto Appointments Set to Transform Industry!

Welcome to The Protocol, your go-to destination for the latest buzz in the vibrant world of crypto! Every week, we dive deep into the most impactful stories shaping the future of cryptocurrency technology.

In this week’s electrifying edition of The Protocol newsletter, we’re covering:

Trump’s new crypto dream team
Aptos’ unexpected leadership shake-up
TikTok enters the crypto arena!
Kraken makes a major move

Don’t miss out! This article is featured in the latest issue of The Protocol, our weekly newsletter that unpacks the tech behind crypto, block by block. Sign up here to have the latest insights delivered straight to your inbox every Wednesday!

Network News

TRUMP’S CRYPTO APPOINTMENTS: President-elect Donald Trump is shaking things up with high-profile appointments that signal a bold embrace of crypto and cutting-edge technologies for his second term. First up is Stephen Miran, who is set to lead the Council of Economic Advisers. As a passionate proponent of crypto, Miran aims to weave blockchain and decentralized finance into the fabric of the U.S. economy. Next, Bo Hines, a former college football star, will steer the newly minted Crypto Council, tasked with crafting a regulatory framework that balances innovation with consumer safety. Finally, David Sacks, a seasoned Silicon Valley insider and blockchain advocate, steps in as the AI and Crypto Czar, on a mission to unite blockchain and AI while securing U.S. leadership in both domains. These appointments mark a significant shift from Trump’s prior skepticism of digital assets. The big question now: how will these changes translate into real policy amidst regulatory hurdles and political tensions?

APTOS LEADERSHIP SHIFT: In a surprising move, Aptos Labs CEO and co-founder Mo Shaikh has stepped down, handing the reins over to Avery Ching, co-founder and now the new CEO. Shaikh will continue as a strategic advisor, shining a light on the company’s impressive milestones, including a whopping $400 million raised in venture funding and a thriving ecosystem backed by giants like BlackRock, Google, Mastercard, and PayPal. Aptos Labs is known for its innovative layer-1 blockchain, which utilizes the Move programming language, initially developed for Facebook’s Diem project, and is now venturing into finance and AI applications with insight from advisors like former Grayscale CEO Michael Sonnenshein and OpenAI’s Kevin Weil. This leadership transition highlights Aptos’ unwavering commitment to pushing the boundaries of scalability, security, and innovation in crypto technology.

SONIC TO AIRDROP TIKTOK: Sonic, a forward-thinking Layer 2 solution on the Solana blockchain, is set to roll out an exciting airdrop of its native token, SONIC, to TikTok users! This initiative aims to introduce the immense TikTok user base to decentralized finance (DeFi), seamlessly merging blockchain tech with the social media landscape. The airdrop is part of Sonic’s strategy to boost user engagement and encourage adoption of Layer 2 solutions, promising enhanced scalability and slashed transaction costs on the Solana network. By targeting TikTok’s massive audience, Sonic is working to connect mainstream users with the DeFi universe, paving the way for broader participation in digital financial services.

ALSO:

MicroStrategy added 5,262 BTC to its portfolio, celebrating its stock’s elevation to the Nasdaq 100, reinforcing its long-term Bitcoin strategy.
Nokia enters the crypto game with a patented encryption technology for digital assets, signaling its commitment to blockchain innovation.
Ripple’s legal chief calls on Congress to prioritize regulating crypto practices, rather than stifling innovation by targeting the technology itself.

Feature: Kraken’s Ink Layer-2 Goes Live

Kraken's layer-2 Ink goes live on mainnet (CoinDesk)

Kraken, the seventh-largest crypto exchange, has officially launched its layer-2 rollup network, named Ink, built atop the Ethereum blockchain.

This innovative network, grounded in the OP stack, provides a customizable framework that empowers developers to create their own rollups using Optimism’s cutting-edge technology. Initially slated for a 2025 launch, the main network’s debut comes ahead of schedule!

As part of a strategic partnership, Kraken will receive 25 million OP tokens (valued at approximately $58 million) as they embark on this ambitious project. Optimism has acknowledged the importance of providing developer grants to participants building on the OP Stack, which supports the broader “Superchain” ecosystem. Meanwhile, Kraken’s rival, Coinbase, announced its own plans to construct a layer-2 network based on OP Stack, named Base, which is now the second-largest rollup network according to L2beat.

For more details, check out the full story by Margaux Nijkerk here.

Money Center

Fundraising

Avalon Labs has secured $10 million in a Series A funding round to supercharge its Bitcoin-backed stablecoin, enhancing liquidity and stability within the cryptocurrency realm. This investment reflects an increasing appetite for Bitcoin-backed financial products as a bridge between traditional finance and the digital asset landscape.

Deals & Grants

Tether has made headlines with a $75 million deal to acquire a stake in Rumble, a video-sharing platform. This investment is geared toward championing decentralized media and aligns with Tether’s mission to support open communication technologies.

Data & Tokens

Bonk (BONK) has rocketed by 30%, leading a resurgence among dog-themed meme tokens, with Shiba Inu (SHIB) and Dogecoin (DOGE) also enjoying gains. Moreover, the Commodity Futures Trading Commission (CFTC) recently classified Floki (FLOKI) as a utility token, which could have significant implications for its regulatory status.

Data Corner: 60M USDC Outflows Hit Hyper Liquid

Hyper Liquid, a cryptocurrency exchange specializing in perpetual contracts, is in the spotlight after reporting a staggering $60 million outflow of USDC. This surge of withdrawals comes on the heels of speculation that North Korea may be investigating the platform. The sudden exodus raises questions about Hyper Liquid’s liquidity and operational stability. This incident shines a light on how geopolitical tensions can impact crypto markets, underscoring the need for stronger safeguards in an increasingly scrutinized landscape.