Weekly Highlights: Bitwise’s XRP-ETF and HBO’s Satoshi Nakamoto Revelation

Bitwise has filed for a spot XRP-ETF, bitcoin miners’ revenue in September hit a yearly low, Mark Cuban labeled all meme tokens as potential scams, among other events of the past week.

Bitcoin Price Drops to $62,000

The leading cryptocurrency began the week above $65,000 but quickly shifted to a decline. On Wednesday, October 2, digital gold fell below $61,000. The following day, the asset recovered to $62,000.

At the time of writing, bitcoin is trading at $62,500.

All top-10 digital assets by market capitalization ended the week in the “red zone.” XRP (-17.4%) and Dogecoin (-11.2%) suffered the most losses.

The total cryptocurrency market capitalization stands at $2.3 trillion. Bitcoin’s dominance index is 58%.

Bitwise Files for Spot XRP-ETF

Digital asset manager Bitwise has filed for the launch of a spot exchange-traded fund based on XRP. The firm promised to provide further details later.

Since December 2020, the legal battle between the SEC and Ripple over XRP’s status has been ongoing.

In July 2023, the fintech firm scored a partial victory. The court ruled that programmatic sales and other distributions of the token do not constitute an offer and sale of investment contracts.

The SEC attempted to challenge the decision, but the court dismissed the Commission’s interlocutory appeal. The agency still has the option for another attempt. Ripple’s chief legal officer, Stuart Alderoty, expressed confidence that this would not change XRP’s status.

HBO to Reveal Bitcoin Creator’s Identity in Satoshi Nakamoto Film

On October 9, HBO will release a new documentary film aimed at uncovering the identity of bitcoin’s creator, known under the pseudonym Satoshi Nakamoto.

The film, titled Money Electric: The Bitcoin Mystery, was directed by Cullen Hoback. His previous work, Q: Into the Storm, exposed the widespread QAnon conspiracy theory in the U.S.

The film took three years to make, with Blockstream CEO Adam Back serving as a “key point” in the investigation of the digital gold’s main mystery.

“In the film, we present damn convincing arguments, and I think the person we focus on will surprise and spark a lot of debate. I’m sure people will argue about it regardless of how convincing our arguments are, and that’s okay. That’s the nature of this industry. We had much more evidence than we could include in the film,” said the director.

He noted that bitcoin has gone mainstream, and Satoshi owns a “huge share” of the cryptocurrency. Estimates suggest this amounts to 1.1 million BTC, valued at around $67 billion.

Hoback believes that the bitcoin creator could publicly destroy these assets for the “safety and longevity of bitcoin.” Satoshi has not done so, but the possibility still exists, he added.

“That’s why it’s very important to try to understand who is behind this,” emphasized the director.

Galaxy Digital’s head of research, Alex Thorn, wrote that the film’s authors claim Satoshi’s true identity is Len Sassaman. This theory was presented in 2021 by Evan Luthra, founder of the gaming project Worlds and a bitcoin supporter, he recalled.

What to Discuss with Friends?

• A bitcoin developer introduced the “most anonymous” messenger.
• Binance’s market share fell to a four-year low.
• An unknown buyer purchased a cryptopunk for 24,000 ETH.
• Durov revealed the number of Telegram user data disclosures.

Forbes: Changpeng Zhao “Earned” $25 Million a Day in Detention

The fortune of Binance co-founder and former CEO Changpeng Zhao (CZ) increased by approximately $3 billion during his time in detention, according to Forbes.

This implies the entrepreneur “earned” about $25 million for each day of his 117-day detention.

As of September 27, Forbes estimated Zhao’s net worth at $61 billion. The nearest internet-archived data on the Binance founder’s wealth at the start of his detention dates back to May 7 ($33 billion) and July 12 ($57.8 billion). This led to the assumption that his wealth increased by at least $3 billion while in prison.

Bitcoin Miners’ Revenue in September Hits Yearly Low

In September, miners of the leading cryptocurrency earned a total revenue of $815.7 million. This is the lowest figure since the beginning of the year.

Fees accounted for $13.86 million of miners’ revenue — the lowest since the BRC-20 standard emerged in March 2023.

According to JPMorgan experts, miners’ gross profit from block rewards decreased by 6% compared to August — to $16,100 per EH/s.

Also on ForkLog:

• OpenAI raised $6.6 billion at a $157 billion valuation.
• A bitcoin whale moved coins mined in 2009 worth $3.6 million.
• Metaplanet’s bitcoin balance exceeded 500 BTC.
• Bloomberg: Dogecoin, the “king of meme coins,” is no longer a joke.

Mark Cuban Labels All Meme Tokens as Potential Scams

Meme tokens lack real value, and every asset in the segment represents a “prolonged” rug pull, according to billionaire Mark Cuban.

He compared trading such coins to roulette and the game “Musical Chairs” (sometimes called “Odd One Out”).

Cuban stated that meme coins might have a strong community, but they lack viability in any case.

“Every meme token is a kind of rug pull in progress, right? Because there’s no real reason to hold it, except for fun and the hope that its value will rise as more people join,” the billionaire believes.

Cuban thinks the meme market is supported by the greater fool theory. This speculative concept suggests that one can profit by buying an asset and quickly selling it for a profit, as there will be another willing to execute the same scheme.

“No one is foolish enough to consider these great investments,” the businessman emphasized.

Cuban admitted that he had considered trading meme coins several times but ultimately refrained from doing so.

What Else to Read?

This week, ForkLog explored what has changed in Argentina over a year with a “crypto president” and how Web3 equivalents of Spotify and SoundCloud operate.

In the traditional digest, we compiled the week’s main events in the field of cybersecurity.