Ethereum's Dencun upgrade set for March, Dogecoin's interest hits $1B, House challenges SEC rule, Bitcoin ETFs surge, and more.
Official Date for Ethereum Dencun Upgrade Announced

Official Date for Ethereum Dencun Upgrade Announced

Ethereum's Dencun upgrade set for March, Dogecoin's interest hits $1B, House challenges SEC rule, Bitcoin ETFs surge, and more.

Last update:
Mar 1, 2024
| Issue

Hello and welcome to today's Datawallet Daily. Let's dive into the major crypto happenings from the last 24 hours:

  • Official Date for Ethereum Dencun Upgrade Announced
  • Dogecoin Open Interest Surges to Over $1 Billion
  • House Committee Passes Law to Block SEC Rule
  • Bitcoin ETF Frenzy Showing No Signs of Slowing Down

Official Date for Ethereum Dencun Upgrade Announced

The Ethereum Foundation has announced that the Dencun network upgrade, a significant step forward for Ethereum, has been successfully implemented on all testnets. Originating from ETHDenver two years ago, after extensive testing and development, the much-anticipated protodanksharding feature is now set to go live on Ethereum's mainnet. The upgrade is scheduled for activation on March 13 at epoch 269568, corresponding to 13:55 UTC or 8:55 am ET. This follows successful trials on the Holešky testnet, along with previous tests on Goerli and Sepolia testnets.

This upgrade introduces proto-danksharding (EIP-4844), a key innovation to improve Ethereum's scalability by enabling rollups to include large batches of transaction data ("blobs") on a beacon node. These blobs, while temporarily stored, are not processed by the Ethereum Virtual Machine (EVM) and are deleted after 1-3 months. This process significantly reduces the cost of data storage on the blockchain, thereby lowering transaction fees for users.

To ensure smooth operation following the upgrade, stakers are advised to update their beacon nodes and validator clients. According to Galaxy's Christine Kim, all client teams, except Lodestar, have released the necessary software updates in preparation for the Dencun upgrade.

Dogecoin Open Interest Surges to $1 Billion

Dogecoin's open interest has hit a new high, reaching $1 billion. This spike, a 40% increase in just 24 hours, reflects traders' growing interest in meme coins like Dogecoin and Bonk as leveraged bets on other blockchains like Ethereum and Solana. Amidst a broader crypto rally, Dogecoin's surge stands out, even as it briefly dipped after its peak. 

Open interest in DOGE futures surged by 54%, showing a clear market optimism. Despite a potential trend reversal indicated by its "overbought" status, Dogecoin's recent updates and its cultural relevance keep attracting investors. Meanwhile, those betting against DOGE saw losses over $40 million, highlighting the risks and rewards in the volatile meme token market.

House Committee Passes Law to Block the SEC’s SAB 121 Rule

The House Financial Services Committee recently voted to challenge the SEC's rule, known as SAB 121. This rule requires companies holding digital assets for others to list those assets and any related liabilities on their financial statements. The goal is to enhance transparency and protect against risks in managing crypto assets. However, critics, including lawmakers Flood and Nickel, argue that the rule was implemented without proper consultation and procedure, bypassing the expertise of banking regulators. 

Despite opposition from some who see the rule as a vital safeguard for consumers, a resolution to overturn SAB 121 has advanced, with a majority in the committee supporting the move. This sets the stage for further votes in both the House and Senate to decide whether the rule will be repealed.

Bitcoin ETF Frenzy Showing No Signs of Slowing

The excitement surrounding Bitcoin ETFs shows no signs of slowing down, as BlackRock's bitcoin ETF (IBIT) continues to dominate trading volumes, surpassing $1 billion for the fourth day in a row. This surge in activity coincides with a record-breaking $673 million net inflow into spot Bitcoin ETFs on Wednesday, highlighting the growing investor interest in Bitcoin as its price edges closer to an all-time high.

BlackRock's IBIT, now among the top 10 most traded ETFs in the U.S., has significantly contributed to this trend, with nearly 36 million shares worth over $1.2 billion traded by midday Thursday. Other key players like Grayscale's GBTC and Fidelity's FBTC also experienced substantial trading volumes. 

This flurry of activity reflects not only the increasing demand for Bitcoin ETFs but also the potential for larger investors to join the fray, as suggested by the record inflow and trading volumes reported.

Other breaking news

  • Uniswap launches new web wallet browser extension
  • Bitcoin staking protocol Babylon goes live on testnet
  • Popular Web3 social media protocol Lens goes fully permissionless
  • Arbitrum announces Arcade, a new ecosystem for Web3 gaming
  • Blast unlocks $2.3 billion with their mainnet launch for early access users