Yesterday in Crypto - Issue #6

Read time: ~7 minutes

Here’s what you missed this past weekend.

A new trend is taking the crypto market by storm: Telegram bot tokens. These automated programs allow users to execute trades on decentralized exchanges (DEXs) like Uniswap directly through the popular messaging app, Telegram. The leader in this emerging field is Unibot, a project that was launched in May this year. Unibot's native token, UNIBOT, has seen a staggering 400% increase in value over the past 30 days.

Unibot and other similar bots simplify the trading process significantly. Instead of having to visit the Uniswap website, connect their wallet, and then pay high transaction fees to complete a trade, users can execute trades with a simple command in Telegram. This ease of use has been praised by many in the crypto community, with some stating that it's an excellent tool for quick swaps and short-term trades.

Despite the rapid growth and popularity of these bots, they do come with their share of risks. Users must transfer tokens to a third-party wallet or share their private keys to link existing wallets, which exposes their funds to potential exploits or rug pulls. However, the convenience and potential returns seem to outweigh the risks for many traders, with the cumulative trading volumes handled by Telegram bots reaching an impressive $77 million since May 2023.

Many other Telegram bot coins are up 1000% or more since this frenzy began. Staying on top of trends in the crypto space can produce life changing profits if you happen to be early enough.

U.S. Congressman Warren Davidson has called for a ban on Central Bank Digital Currencies (CBDCs). This proposal is rooted in concerns about the potential implications of CBDCs for financial freedom and privacy.

CBDCs are digital forms of a country's fiat currency, issued and regulated by its central bank. They are designed to bring the benefits of digital currencies, such as speed and cost efficiency, to traditional financial systems. However, Davidson and other critics argue that CBDCs could transform money into a tool for coercion and control.

The crux of the issue lies in the nature of CBDCs. Unlike cryptocurrencies, which operate on decentralized networks, CBDCs would be centrally controlled. This means that a central authority, such as a government or a central bank, could potentially monitor and control all transactions. This could lead to unprecedented levels of financial surveillance and control, threatening the financial freedom and privacy that cryptocurrencies offer.

Davidson's call to action comes at a time when the Federal Reserve Bank of San Francisco is seeking a "senior crypto architect" to work on a CBDC project. The Congressman likens the Federal Reserve's interest in CBDCs to constructing a financial equivalent of a "Death Star," a weapon capable of mass destruction.

Davidson's stance is that money should be a stable store of value and not be programmable by a central authority. He advocates for sound money that facilitates permission-less peer-to-peer transactions. His call to action comes amid a growing global interest in CBDCs, with several countries exploring their potential benefits and drawbacks.

We as a people need to reject CBDCs from the start. Once we loosen the grip we have on our freedoms, it becomes extremely difficult to keep holding on.

A Bitcoin whale has just awoken from an 11-year slumber. This dormant wallet, untouched since April 2012, has suddenly sprung to life, transferring its entire hoard of over 1,037 Bitcoin. This unexpected activity has sent ripples through the crypto community, sparking speculation about the identity and intentions of the wallet's owner.

Back in 2012, when this wallet last saw activity, a single Bitcoin was valued at less than $5. That means that back then, the whole stash was worth around $5,000. Fast forward to today, and the same stash is worth thousands of $31 million. The wallet's balance had even soared to a staggering $71.6 million when Bitcoin reached its all-time high of $69,044 in November 2021.

This isn't the first time a long-dormant Bitcoin wallet has made headlines. In April 2023, another Bitcoin address transferred 2,071 BTC, worth over $60 million at the time, nearly a decade after acquiring the digital currency. These large transactions can influence the price of cryptocurrencies, and the sudden movement of long-inactive wallets can create uncertainty and speculation among investors.

These events serve as a reminder of the potential rewards for early adopters and long-term holders of Bitcoin, despite the volatility and risk associated with cryptocurrencies. They also underscore the mystery and intrigue that often surrounds the movements of 'Bitcoin whales', whose actions can have significant impacts on the cryptocurrency market.

That’s all for today. We’ll see you on tomorrow.

“Whereas most technologies tend to automate workers on the periphery doing menial tasks, blockchains automate away the center. Instead of putting the taxi driver out of a job, blockchain puts Uber out of a job and lets the taxi drivers work with the customer directly.”

- Vitalik Buterin, Founder, Ethereum