Trump Appoints Pro-Crypto Leaders for Economic Council and Advisory Roles
Welcome to The Protocol, CoinDesk's weekly wrap-up of the most important stories in cryptocurrency tech development.
Network News
TRUMP CRYPTO APPOINTMENTS: President-elect Donald Trump has made several key appointments promoting cryptocurrency and emerging technologies: 1) Stephen Miran as Chair of the Council of Economic Advisers, advocating for blockchain integration; 2) Bo Hines, leading the new Crypto Council focusing on regulatory frameworks; 3) David Sacks, appointed as AI and Crypto Czar, aims to merge blockchain with AI. These roles mark a shift from Trump's previous skepticism toward digital assets amid ongoing regulatory challenges.
APTOS LEADERSHIP SHIFT: Aptos Labs CEO Mo Shaikh has resigned, with Avery Ching stepping in as CEO. Shaikh will act as strategic adviser. Under his leadership, Aptos raised $400 million and partnered with firms like BlackRock and Google. The company continues to focus on scalability and innovation using its layer-1 blockchain technology.
SONIC TO AIRDROP TIKTOK: Sonic, a Layer 2 solution on Solana, plans to airdrop its native token, SONIC, to TikTok users. This initiative integrates DeFi with social media, aiming to promote broader participation in decentralized financial services. Sonic seeks to enhance user engagement while addressing scalability issues on the Solana network.
ALSO:
- MicroStrategy acquired 5,262 BTC as its stock enters the Nasdaq 100.
- Nokia entered the crypto space with a patented encryption technology for digital assets.
- Ripple's legal chief advocated for regulation focused on crypto practices rather than the technology itself.
Feature: Kraken’s Ink Layer-2 Goes Live
Kraken announced the launch of its layer-2 rollup network, Ink, built on Ethereum. The rollout occurred ahead of schedule, utilizing the OP stack framework for developers to create customized rollups. Kraken is set to receive 25 million OP tokens (valued at approximately $58 million) as part of its agreement with Optimism, which supports grant distribution to developers on the stack. Coinbase has also initiated a layer-2 network called Base, now the second-largest rollup network according to L2beat.
Money Center
Fundraising: Avalon Labs secured $10 million in Series A funding to expand its Bitcoin-backed stablecoin, enhancing liquidity in the cryptocurrency market.
Deals & Grants: Tether announced a $75 million investment in Rumble, a video-sharing platform, supporting decentralized media initiatives.
Data & Tokens: Bonk (BONK) rose 30%, leading a rebound among dog-themed meme tokens, including Shiba Inu (SHIB) and Dogecoin (DOGE). The Commodity Futures Trading Commission classified Floki (FLOKI) as a utility token, impacting its regulatory status.
Data Corner: 60M USDC Outflows Hit Hyper Liquid
Hyper Liquid experienced a record outflow of $60 million in USDC amid speculation regarding North Korea's investigation into the platform. This incident raises concerns about the exchange’s liquidity and highlights vulnerabilities in crypto markets, particularly for platforms dealing with high-risk financial products.
Calendar
Jan 9-12, 2025: CES, Las Vegas
Jan. 15-19: World Economic Forum, Davos, Switzerland
January 21-25: WAGMI conference, Miami.
Jan. 24-25: Adopting Bitcoin, Cape Town, South Africa.
Jan. 30-31: PLAN B Forum, San Salvador, El Salvador.
Feb. 1-6: Satoshi Roundtable, Dubai
Feb. 19-20, 2025: ConsensusHK, Hong Kong.
Feb. 23-24: NFT Paris
Feb 23-March 2: ETHDenver
March 18-19: Digital Asset Summit, London
May 14-16: Consensus, Toronto.
May 27-29: Bitcoin 2025, Las Vegas.