Web 3 Industry News Highlights

APAC Web 3 News

China's Crypto Renaissance: Beijing Unveils White Paper as Exchanges Flock to Hong Kong

Beijing has recently unveiled a white paper aimed at promoting innovation and advancing the web3 industry. The "Web3 Innovation and Development White Paper (2023)" was released during the Zhongguancun Forum by the Beijing Municipal Science & Technology Commission. The document recognizes web3 technology as a crucial trend for future Internet industry development. With the goal of positioning Beijing as a global innovation hub for the digital economy, the commission plans to allocate at least $14 million (100 million yuan) annually until 2025. The white paper highlights Beijing's commitment to policy support and technological advancements to foster the growth of the web3 industry. The timing of the release is notable, as it coincides with Hong Kong's upcoming cryptocurrency regulations set to take effect on June 1. This move by Beijing suggests a potential shift in China's stance on the industry, showing signs of openness in certain capacities. Recent coverage of cryptocurrencies on China Central Television (CCTV), featuring Bitcoin and NFTs, further signifies evolving perspectives within the country.

China and in particular, Hong Kong's renewed embrace of cryptocurrency has attracted significant interest from exchanges looking to capitalise on the city's potential. Huobi, Gate Group, Amber Group, OKX, and BitMEX are among the companies vying to establish a presence in Hong Kong. Huobi plans to launch a compliant trading platform, Gate Group has launched Gate.HK, and Amber Group is considering a move to the city. Hong Kong's regulatory changes, including a licensing regime starting June 1, allow for retail trading in cryptocurrencies, creating opportunities for growth.

The regulatory environment in Hong Kong is viewed as more supportive and cooperative compared to countries like the US. While challenges persist, such as some banks declining to open accounts for crypto businesses, the city's convenient location and wealthy tycoons and family offices make it an attractive destination for crypto firms. The influx of exchanges reflects the growing recognition of Hong Kong's potential as a thriving hub for the crypto industry, poised for further development in the global market.

Binance Expands into Thailand while Facing Challenges in the Australian Market

Binance, the popular cryptocurrency exchange, is set to expand its operations in Thailand through a joint venture called Gulf Binance. The joint venture has secured a digital assets operator licence in Thailand and plans to launch a digital assets brokerage and exchange in Q4 2023. Binance aims to leverage the local industry knowledge of Gulf Innova, led by billionaire Sarath Ratanavadi. While Binance expands in Thailand, it has been facing challenges in the Australian market, where it has been losing its grip. Thailand's welcoming gestures towards the Web3 industry and its aspirations to become Asia's crypto hub make it an attractive opportunity for Binance's expansion.

The exchange recently announced the delisting of several crypto-to-AUD spot trading pairs, including popular pairs like APE/AUD, AVAX/AUD, and LINK/AUD. The decision to delist these pairs comes amidst a lack of significant trading volume and the suspension of AUD deposits by Binance Australia. While the delisted assets can still be traded against other available pairs on the exchange, the move highlights the regulatory hurdles and shifting landscape that Binance is navigating in Australia. 

Crypto/Blockchain/FinTech News

Crypto Consortium Fahrenheit Emerges as Winning Bidder to Acquire Celsius Network's Assets

Crypto lending company Celsius Network has taken a significant step towards emerging from bankruptcy as the crypto consortium Fahrenheit wins the bid to acquire its assets. Backed by mining company US Bitcoin Corp., Arrington Capital, Proof Group, Steven Kokinos, and Ravi Kaza, Fahrenheit will take ownership of Celsius's institutional loan portfolio, staked crypto assets, Bitcoin mining unit, and other cryptocurrency-related investments. The deal includes the formation of a new company that will receive a substantial amount of liquid cryptocurrency and be supported by US Bitcoin Corp for constructing Bitcoin mining facilities. The agreement is subject to approval by the U.S. Bankruptcy Court, and a backup bid from the Blockchain Recovery Investment Consortium is in place as a contingency plan.

NFT News

Infamous Gold Maxi and Bitcoin Critic Peter Schiff Launches Bitcoin-Based NFT Art Collection

In a surprising turn of events, economist, gold advocate, and well-known crypto sceptic Peter Schiff has announced the upcoming release of a collaborative non-fungible token (NFT) art collection on the Bitcoin network. Despite his long standing criticism of cryptocurrencies and his previous dismissal of NFTs as worthless, Schiff has partnered with an artist known as "Market Price" to unveil the "Golden Triumph" NFT collection. The collection includes a physical painting depicting a hand holding a bar of gold, along with prints and digital versions inscribed as Ordinal NFTs on the Bitcoin blockchain. While the crypto community has reacted with a mix of confusion, amusement, and welcome, noting the apparent contradiction, Schiff seems to have recognized the value of blockchain technology for verifying ownership of assets like art through NFTs. The collection will be auctioned off in a two-part auction starting on June 2. Schiff's unexpected foray into the NFT space echoes the recent involvement of former US President Donald Trump, who previously criticised crypto before launching his Trump Digital Trading Cards collection in 2022.

Starbucks Expands Web3 Rewards Program with NFT Airdrop in June

Starbucks is set to launch an NFT airdrop as part of its Odyssey rewards program. The airdrop will be available to select members who meet specific criteria, including being a Starbucks rewards member and enrolled in the Odyssey platform. Participants must have completed two "journeys" and own at least one limited-edition NFT stamp. The airdrop terms state that the stamp received will be determined by Starbucks, and the company has been actively exploring digital ownership with the recent release of "First Store" NFTs. The announcement has generated excitement among Starbucks enthusiasts and NFT collectors alike.

AI Spotlight 

JPMorgan Chase Ventures into Generative AI with IndexGPT 

JPMorgan Chase has entered the competitive race to develop a generative AI tool for business applications with its recently filed trademark application for IndexGPT. The application, submitted to the United States Patent and Trademark Office (USPTO) on May 11, aims to utilise IndexGPT across various business units such as advertising, business consulting, and finance-focused software. This strategic move aligns with JPMorgan's CEO, Jamie Dimon's, perspective on artificial intelligence, as he emphasised its importance for the company's future success. JPMorgan plans to empower its employees by leveraging ChatGPT and other large language model tools. In contrast, while tech giants across different industries are swiftly adopting generative AI systems, Apple has taken a cautious approach by imposing restrictions on ChatGPT and similar tools due to concerns about potential data compromise. Apple specifically limited the use of Microsoft-owned application Copilot, an AI tool on GitHub, citing apprehensions regarding the exposure of confidential information.

Crypto Market Watch

Bitcoin Holds Strong as Traders Sense Market Turning Point

Bitcoin has managed to hold on to its recent gains, hovering around $26,700 as of May 27. Despite a prevailing bearish sentiment in the market, some traders believe a significant turning point is on the horizon. The US economy's ability to withstand tighter financial conditions, as evidenced by the latest Personal Consumption Expenditures (PCE) index, has sparked expectations of an interest rate hike in June by the Federal Reserve. Surprisingly, this development hasn't dampened Bitcoin's rebound. However, caution remains among retail investors, who seem to be influenced by last year's mindset. The $26,000 support level, represented by the 200-week moving average, has proved crucial, while attention now shifts to reclaiming other important trend lines. Market analysts predict substantial price movements in the near future as the market reaches a critical juncture. Additionally, for the bulls to gain an upper hand, Bitcoin's trajectory requires further strength. Failure to do so might trigger a potential bearish phase, potentially leading to a drop towards $20,000, as indicated by the bearish head-and-shoulders pattern.

Ethereum and Bitcoin Balances on Exchanges Nearing 5-Year Lows as Self-Custody and Upgrades Gain Momentum

The amount of Ethereum and Bitcoin held on centralised exchanges has reached a near five-year low, indicating a significant exodus of cryptocurrencies from exchanges. The decline in balances can be attributed to factors such as the collapse of FTX, increased interest in self-custody solutions, and the recent Ethereum upgrade. The data suggests a bullish sentiment among investors, with many opting to hold their assets in wallets or stake them, rather than keeping them on exchanges.

Unveiling the Gartley Pattern: A Powerful Tool for Crypto Trading

In the world of crypto trading, where volatility and market fluctuations are the norms, traders are constantly seeking reliable tools and strategies to enhance their decision-making process. One such tool that has gained popularity among experienced traders is the Gartley pattern. Derived from the principles of harmonic trading, the Gartley pattern is a unique chart pattern that can provide valuable insights into potential market reversals and profitable trading opportunities.

Understanding the Gartley Pattern:

The Gartley pattern is a specific harmonic pattern that helps traders identify key turning points in the market. It was developed by H.M. Gartley in the early 1930s and gained renewed recognition in recent years due to its effectiveness in various financial markets, including cryptocurrencies. This pattern is based on Fibonacci ratios and geometric proportions, making it particularly suited for analysing price movements and predicting future trends.

Key Elements of the Gartley Pattern:

The Gartley pattern consists of four distinct price swings, forming specific ratios based on Fibonacci retracements and extensions. The pattern typically begins with an initial leg, known as the "X to A leg," followed by a corrective leg, labelled as the "A to B leg." The next move is a retracement, known as the "B to C leg," which ideally reaches a Fibonacci retracement level. Finally, the pattern completes with the "C to D leg," which extends from the Fibonacci retracement level to a Fibonacci extension level, often coinciding with the 61.8% retracement of the X to A leg.

Trading Opportunities with the Gartley Pattern:

One of the primary advantages of the Gartley pattern is its ability to identify potential reversal zones in the market. When the price adheres to the specific ratios and proportions of the pattern, traders can anticipate a reversal and plan their trades accordingly. By combining the Gartley pattern with other technical analysis tools, such as support and resistance levels or oscillators, traders can further validate their trading decisions and increase the probability of successful trades.

It's important to note that like any trading strategy, the Gartley pattern is not foolproof and should be used in conjunction with risk management practices. Traders should carefully analyse market conditions, consider the timeframe they are trading in, and use additional confirmation indicators to avoid false signals

The Gartley pattern offers traders a systematic approach to identify potential reversals and profitable trading opportunities in the crypto market. By leveraging Fibonacci ratios and geometric proportions, this pattern helps traders make informed decisions based on historical price patterns. While mastering the Gartley pattern requires practice and experience, incorporating it into one's trading strategy can provide valuable insights and enhance the overall trading performance. As with any trading tool, it is essential to conduct thorough research, practice risk management, and consider other market factors before executing trades based on the Gartley pattern.

Web 3 Community Events 

Each week we will promote local and Australian-wide events in the Web3 ecosystem.

GOLD COAST - May 29: Building on Bitcoin Meetup

GOLD COAST - June 6: Paint n Sip n NFT with BLOCKSTARS 

BRISBANE - June 7: Let’s Talk All Things Wallet Advancements with ATB

SYDNEY: June 25th: Blockchain Week Launch Party

Web3 Conferences & Events 

NATIONAL - June 26 - 30: Blockchain Australia Blockchain Week

SYDNEY - July: Blockchain APAC Digital Asset Conference

Previous Web 3 Events

Web 3 Knowledge Corner: 

The Golden Dilemma: The Battle between Gold and Bitcoin

In the world of investments, an intriguing clash ensues between the age-old allure of gold and the disruptive potential of bitcoin. Amidst this clash, renowned economist and investor Peter Schiff stands as a prominent figure, ardently advocating for the supremacy of gold. This week he surprised the world by announcing an NFT project to be launched on Bitcoin. Is this a sign of change? In this analysis, we embark on a journey to unravel the pros and cons of these two contrasting assets, examining the perspectives of both traditional wisdom and innovative disruption.

GOLD

Pros:

1. Tangible Asset: Gold is a physical asset that has been valued for centuries, offering intrinsic value and a sense of security.
2. Store of Value: Gold has historically been recognized as a reliable store of value, particularly during times of economic uncertainty or inflation.
3. Established Market: Gold has a well-established market with a wide range of investors and liquidity, making it relatively easy to buy, sell, and trade.
4. Portfolio Diversification: Adding gold to an investment portfolio can provide diversification and act as a hedge against market volatility.

Cons:

1. Limited Portability: Gold is a physical asset that requires storage and security measures, making it less portable and convenient compared to digital assets like bitcoin.
2. Storage and Transaction Costs: Storing and securing physical gold can come with associated costs, such as fees for safe deposit boxes or insurance.
3. Limited Transparency: The gold market is not as transparent as digital assets like Bitcoin, and verifying the authenticity and purity of gold can be challenging.
4. Lack of Programmability: Gold lacks the programmable features and smart contract capabilities that blockchain-based assets like Bitcoin offer.

BITCOIN

Pros:

1. Digital and Borderless: Bitcoin is a digital asset that can be easily transferred across borders, making it highly portable and accessible.
2. Decentralisation: Bitcoin operates on a decentralised blockchain network, independent of any central authority or government control.
3. Transparency: Bitcoin's blockchain technology allows for transparent and auditable transactions, enhancing trust and accountability.
4. Programmable and Smart Contracts: Bitcoin's blockchain enables programmable features and smart contracts, offering a wide range of applications beyond simple currency transactions.

Cons:

1. Volatility: Bitcoin is known for its price volatility, experiencing significant price fluctuations that can impact investment returns.
2. Regulatory Uncertainty: The regulatory landscape for cryptocurrencies like bitcoin is still evolving, which can create uncertainties and potential regulatory risks.
3. Security Risks: While the underlying blockchain technology of bitcoin is secure, individual wallets and exchanges can be vulnerable to hacks or theft.
4. Adoption and Acceptance: Despite growing acceptance, bitcoin still faces challenges in terms of mainstream adoption and acceptance as a widely recognized form of payment.

The rise of Bitcoin has introduced an exciting potential for the digital currency to become the gold of the future. Bitcoin's unique characteristics, such as its limited supply, decentralisation, and growing adoption, have positioned it as a viable alternative to traditional gold. As more investors recognize Bitcoin's potential as a store of value and a hedge against inflation, its role in the global financial landscape may continue to evolve. While the battle between gold and Bitcoin persists, the future holds the promise of a new digital gold standard that could revolutionise the way we perceive and invest in wealth preservation.

It's important to note that this is a simplified analysis, and there are many other factors to consider when comparing gold and Bitcoin. Investors should conduct thorough research and consider their own investment goals and risk tolerance before making any investment decisions.