With the overall global macroeconomic conditions still up in the air, the crypto market has also failed to perform better than the traditional market. In this week’s issue, we are taking a look at some of the major headlines and discussing why you should pay particular attention.
Key Points
- Crypto trading volume records another low
- European Union officially signs MiCA
- Multichain faces issues, affects Gate
- MXC to present at Web3 Berlin
Crypto Trading Volume Records Another Low
The decreasing trend in crypto trading volume reported in last week’s issue of This Week in Crypto is continuing. Looking at the overall monthly figure, the crypto trading volume for the month of May 2023 has fallen by more than 70% compared to May 2022. The decrease in trading volume seems to stem from both global macroeconomic uncertainty and the lack of significant price actions within the market.
While the current market is not as exciting, it may be the right moment for current holders to participate in various staking programs to take advantage of the lack of volatility and overall movement.
European Union Officially Signs MiCA
The European Union has announced that it has officially signed MiCA, the first-of-its-kind regulation shedding some light on the state of cryptocurrency in a regulatory framework. The most important parts of the signed legislation are a KYC requirement that is attached to all crypto asset transfers for residents living within the European Union, and an increased required reserve for stablecoin issuers. Moreover, MiCA introduces a licensing requirement for exchanges and custodial wallet providers operating within the EU.
The introduction of MiCA is expected to bring some strict regulations within the EU. However, traders can also enjoy increased security thanks to the regulations, and it may be regarded as the EU taking a step closer to fully accepting cryptocurrency as a legitimate asset class.
Multichain Faces Issues, Affects Gate
Readers of last week’s This Week in Crypto may recall that there has been some lack of clarity with Multichain. In a worse turn of events, Multichain has admitted that it is not able to locate its CEO, who has exclusive access to the router that is causing the issue. With rumors of the CEO being arrested in China, the on-chain movement of large amounts of assets from Multichain to Gate sparked the fire. The focus of the issue turned from Multichain’s operational issue to the potential of Gate not being able to honor the potential large withdrawal that would be coming up as the result of the liquidation of the deposited assets. With the rumor of Gate’s operational issues, the price of Gate Token (GT) has fallen sharply. Gate currently denies being affected by Multichain, and asserts that its operations are healthy as normal.
While the situation is still unfolding, we at MXC would like to take this opportunity to reassure our community that MXC Foundation carries no treasury funds on Gate and is not associated in any form with Multichain. All assets are securely stored.
MXC to Present at Web3 Berlin
Time for some exciting news! After a successful Super Demo at EDCON 2023 in Montenegro, MXC has been invited by Web3 Berlin to present its zkEVM solutions and how the MXC network is bringing off-chain physical assets into the on-chain digital world. MXC CEO Xin Hu will present as a key speaker.
If you have not done so already, register for Web3 Berlin and make sure to watch us live!
