DeFi Sector Rockets Higher as Institutional Interest Grows

DeFi sector rockets higher as institutional interest grows

A majority of the leading DeFi tokens are outperforming the wider markets, as the proprietary tokens of Uniswap, Aave, Compound, and Synthetix have recorded two-figure increases in the previous 24 hours. 

The weekend saw a surge in DeFi assets, even as the top ten crypto assets by market value traded within a 2% range, as per CoinGecko. AAVE and COMP saw a significant leap of 30%, while SNX increased by 19%, and UNI by 12%. Other tokens such as Curve (CRV), dYdX (DYDX), and PancakeSwap (CAKE) also rose approximately 7% today.

The aggregate total value committed in DeFi protocols and the market valuation of DeFi assets have both risen over 10% in the last ten days. Market pundits believe this is a good sign of broader crypto health as the DeFi assets are typically associated with an institutional bid due to their deeper liquidity, product-market fit, and innovative use cases.

‍

Japan exempts crypto startups from capital gains tax

The National Tax Agency of Japan has provided further explanation, stating that cryptocurrency issuers will not be required to pay capital gains tax on profits not yet realized, as per the notice issued on June 20. The tax committee of the governing Liberal Democratic Party (LDP) in the country gave the green light to a proposal in December of the previous year, which allows cryptocurrency startups issuing their own tokens to be exempted from paying corporate tax on unrealized profits.

‍

Bybit gains crypto license in Cyprus

Bybit, a cryptocurrency exchange, has acquired a permit to operate and provide custody services for cryptocurrencies in Cyprus, according to a company announcement on Monday. Based in Dubai, the company asserts that this development underlines its dedication to adhering to local regulations. The license enhances the exchange's foothold in the European Union (EU), following regulatory challenges in Japan and its withdrawal from Canada and the UK.

‍

BTC futures surge to $11 billion

Bitcoin (BTC) futures markets are witnessing the most significant cash influx in more than a year, probably due to speculations on price variations in the wake of numerous crypto exchange-traded fund (ETF) submissions. The total count of unresolved contracts, or open interest, on Bitcoin futures escalated to over $11 billion during the weekend, reaching its peak since May of the previous year when the once-dominant Terra collapsed.

‍

Riot inks MicroBT deal to build bitcoin miners in US

Riot Platforms is collaborating with MicroBT, a Bitcoin mining equipment producer based in China, aiming to establish a secure supply chain within the country and possibly increase its hash rate by threefold. 

Riot's CEO, Jason Les, expressed to Blockworks that this partnership also aims to generally strengthen the domestic Bitcoin mining sector. Established in 2016, MicroBT is known for creating and marketing integrated circuits and Bitcoin mining devices under the WhatsMiner brand.

‍

Other breaking news

• ZkSync launches rival to Optimism’s OP Stack
• U.S. Supreme Court Rules in Favor of Coinbase in User Lawsuit
• Binance Reverses Decision to Delist Some Privacy Coins in EU
• BitGo Still Sees Consolidation in Crypto Custody
• Terra Classic Revival Plans Continue

‍

Wrapping Up

That’s all for today, folks! The US will get new BTC miners as Riot inks a deal with MicroBT, meanwhile BTC futures surge to $11 billion in value. Similarly, the DeFi sector is skyrocketing, and Japan is exempting crypto startups from capital gains taxes. Stay informed and ahead of the game with our daily crypto scoop. See you tomorrow!