Unlocking the Potential of Sei Network for NFT Artists and Projects

Sei Network is swiftly carving out its place in the NFT landscape, leveraging its specialized blockchain technology to revolutionize digital asset exchange. As an open-source Layer 1 blockchain, Sei Network sets itself apart with its exceptional speed and efficiency, offering an ideal platform for a variety of applications, particularly NFT marketplaces. This platform is not just technologically advanced; it is also rich in resources, thanks to a substantial ecosystem fund aimed at empowering developers and creators. By focusing on speed, scalability, and community, Sei Network is fast becoming a hub for NFT artists seeking a dynamic, scalable, and community-driven space for their digital creations.

Sei Network’s Technological Edge

What truly distinguishes Sei Network in the crowded field of cryptocurrencies and NFT platforms is its innovative design. Its Layer 1 blockchain comes equipped with a native order-matching engine, enhancing its operational capacity for trading apps. This feature is vital for NFT transactions, which require swift processing and a robust infrastructure. As such, Sei Network emerges as an optimal environment for the creation, exchange, and collection of NFTs, tailored to meet the evolving demands of today’s digital art market.

Sei NFT volume continues to surge. Off a tiny base but in dollar volume it’s over $200k the past 24 hours. Which is way up relatively speaking. Also the actual OG projects that I’ve been saying to buy for over a month are all at or near ATH. Many up 10x or more since I went deep.

— Beanie (@beaniemaxi) January 24, 2024

Step 1: Setting up your SEI Wallet (Compass)

Setting Up and Utilizing Compass Wallet for Sei Network

To engage with Pallet Exchange and the broader Sei Network, users need to set up and use the Compass Wallet. This wallet, specifically designed for Sei Network, offers a secure and user-friendly experience. It supports most tokens on the Sei Network and allows for the addition of custom tokens. Crucially, the Compass Wallet enables permissionless access to any dApp on the Sei Network, including NFT marketplaces like Pallet Exchange. With its focus on user experience, Compass Wallet is an essential tool for participants and explorers of the Sei Network, facilitating seamless NFT transactions and interactions within the ecosystem.

Step 2: Funding your SEI wallet

Funding Your Sei Wallet: Bridging ETH via Wormhole and Buying SEI on Exchanges Funding your Sei wallet is a vital step in participating in the Sei ecosystem. Users have two primary options: bridging Ethereum (ETH) through Wormhole or purchasing SEI tokens directly from exchanges like Coinbase. Wormhole’s Portal Bridge allows users to lock their ETH in a smart contract, receiving Wormhole-wrapped assets on Sei Network, which can then be swapped for SEI tokens. Alternatively, users can buy SEI tokens directly on exchanges and transfer them to their Compass Wallet, streamlining the process of engaging with the Sei ecosystem.

Step 3: Buying NFTs

Pallet Exchange: The Premier Marketplace on Sei Network

At the forefront of Sei Network’s NFT scene is Pallet Exchange, a native marketplace that has been pivotal in the network’s growth. Its contribution to Sei Network’s impressive performance in the crypto market cannot be overstated, with significant increases in value over short periods. This surge in Sei’s value is largely attributed to the heightened activity on Pallet Exchange, recently surpassing $1 million in marketplace volume. Pallet Exchange’s success highlights Sei Network’s unique approach to blockchain technology, focusing on high transaction speeds and reduced costs, thus optimizing the trading experience for NFT enthusiasts.

Pallet Exchange’s Integration and Growth within Sei Ecosystem

Pallet Exchange is more than just a marketplace; it is a cornerstone of Sei’s broader narrative of growth and expansion. With over $70 million in ecosystem funding earmarked for development, Pallet Exchange and other dApps within Sei’s ecosystem are poised to benefit from enhanced trading infrastructures. This investment is indicative of the potential for groundbreaking Web3 projects on Sei’s blockchain and the platform’s commitment to fostering a thriving digital asset community.

Spotlight on Top NFT Collections on Pallet Exchange

Pallet Exchange boasts a range of popular NFT collections that have captivated the market. Collections like DOB, The Colony, WE Bump, and Seiyans stand out for their significant trading volumes and price appreciation, underscoring the growing interest in Sei’s NFT ecosystem. These collections, with their rapid growth in value and trading volume, exemplify the vibrant activity on Pallet and reflect the burgeoning potential of the Sei Network in the NFT domain.

Sei Network’s Role in Shaping the NFT Marketplace

Sei Network is more than just a participant in the digital art market; it is a trailblazer, offering a blockchain solution that is uniquely suited to the needs of NFT trading. With Pallet Exchange as a leading marketplace and Compass Wallet facilitating user interaction, Sei Network is well-positioned to become a dominant force in the NFT arena. Backed by substantial funding and a commitment to innovation, Sei Network is fostering a vibrant community for creators and collectors alike, setting a new standard in the NFT world.

TLDR: Sei Network offers a unique blend of speed, efficiency, and community focus, making it an ideal platform for NFT artists and projects. With Pallet Exchange leading the NFT marketplace and Compass Wallet enabling seamless transactions, Sei Network is redefining the digital art market, backed by significant ecosystem funding and technological innovation.

The post Sei Network: The Ultimate Guide to Navigating the Future of NFTs appeared first on NFT CULTURE.

Onchain Summer, a month-long festivity organized by Base, the L2 venture incubated by Coinbase, culminated last week, leaving an indelible mark in the realm of onchain technology. Celebrating the exhilarating launch of Base Mainnet, Onchain Summer manifested the immense community zeal, bringing together over 50 pioneering companies, prodigious artists, and innovative creators. From August 9 to August 31, a unique mint unveiled daily, underscoring the might of onchain technology.

Onchain Summer by the Numbers:

• An astounding 700K mints over the course of 23 days.
• Participation from 268K distinct wallets.
• The big hitters in partner collections included Coca-Cola (80K), Iskra (71K), FWB (71K), Zora (70K), and anotherblock (55K).
• The most prolific creator mints were Base itself with a whopping 154K, followed by Iskra (71K), Deekay Motion (45K), Zorb (44K), and Kleerup (31K).

Onchain Summer’s Essence: Central to Onchain Summer was the spirit of unity and collaboration. With contributors like FWB, Parallel, anotherblock, Coca-Cola, and many others, the event represented the vast potential of the onchain space. Artists like Slimesunday collaborated to echo the transformative nature of NFTs, reinforcing their permanence in the digital world, not as a mere transient trend but as revolutionary tools that amplify creativity.

The sheer volume of participation, with 700,000 mints from 268,000 unique wallets, underscores the burgeoning onchain ecosystem.

Quotes like, “The odds of you being alive at the birth of a major art movement is close to zero,” from Cozomo de’ Medici, encapsulate the essence of the event, highlighting the privilege of shaping a prominent art movement.

Jesse Pollak, the brains behind Base, took audiences on a daily journey with his Onchain Summer Stories livestreams, accumulating over 200,000 views. These sessions spotlighted the exceptional architects of our digital future, delineating the vast spectrum of onchain possibilities.

Closing Thoughts: Onchain Summer was not merely a commemoration; it exemplified the potential of an evolving onchain universe. As Ed Fornieles articulated, the near future might see a world where terms like ‘web3’ become so ingrained that they dissolve into everyday life. A boundless universe where art, innovation, and creativity assume unprecedented forms, and the horizons are infinite.

Though Onchain Summer might have come to a close, the onchain epoch is in full swing, promising unending digital summers.

TL;DR: Base’s Onchain Summer, a month-long event, celebrated the launch of Base Mainnet. With over 700K mints from 268K wallets, it showcased the dynamism of onchain technology, emphasizing the boundless potential of the digital future.

The post Onchain Summer: A Grand Celebration of the Launch of Base appeared first on NFT CULTURE.

TL;DR: Coca-Cola unveils its inaugural NFT collection on Coinbase’s Base as part of the “Onchain Summer” event. The collection features a blend of classic and contemporary artworks intricately connected with the iconic Coca-Cola bottle. Renowned masterpieces like “The Scream” and “Girl with a Pearl Earring” coexist with modern creations. The minting process is open for a limited time, with NFT prices ranging from 0.0011 ETH to 0.014 ETH. This collection signifies the intersection of iconic brands and digital art, transforming tradition into a new interactive form and inviting enthusiasts to engage with art in novel ways.

Coinbase’s layer-2 network Base is about to witness a remarkable artistic fusion as Coca-Cola unveils its inaugural NFT collection. As part of the “Onchain Summer” event, Coca-Cola’s NFT collection marks an exciting foray into the digital art world. The collection boasts a convergence of classic and contemporary masterpieces, all intricately intertwined with the iconic Coca-Cola bottle.

In an announcement on August 13, Coinbase revealed the launch of Coca-Cola’s NFT collection, emphasizing its collaboration with leading artists for the Global Masterpiece campaign. This initiative allows art enthusiasts and Coca-Cola aficionados alike to engage with these unique artworks in a new digital dimension.

ᴏɴᴄʜᴀɪɴ ꜱᴜᴍᴍᴇʀ@CocaCola is bringing their Global Masterpiece campaign onchain with iconic works from leading artists.

Mint now: https://t.co/xTWyI3O7IW pic.twitter.com/9wxFgt8qOh

— Coinbase (@coinbase) August 13, 2023

The collection features a captivating blend of artistry, spanning from timeless classics to modern creations. Renowned artworks such as Edvard Munch’s “The Scream” and Johannes Vermeer’s “Girl with a Pearl Earring” coexist harmoniously with contemporary creations by artists like Aket and Vikram Kushwah. This dynamic mixture of styles and eras is a testament to Coca-Cola’s commitment to bridging tradition with innovation.

The NFTs minting process, commenced recently, offers a fleeting opportunity for art enthusiasts to own a piece of this digital collectible history. The minting window is set to conclude within a mere two days, making the collection even more exclusive. The pricing structure is designed to be inclusive, with NFTs available for acquisition at a range of prices, starting as low as 0.0011 ETH and reaching up to 0.014 ETH.

The Coca-Cola NFT collection marks a significant step in the intersection of iconic brands and digital art. By leveraging the blockchain technology underlying NFTs, Coca-Cola transforms its legacy into a new, interactive form. The “Onchain Summer” event provides a fitting platform for enthusiasts to partake in this artistic journey, celebrating the fusion of culture, innovation, and heritage.

In the realm of NFTs, where innovation meets tradition, Coca-Cola’s NFT collection sets a precedent for iconic brands to explore new frontiers of creativity and engagement. As the minting countdown ticks away, collectors and fans eagerly await the chance to secure their own piece of digital art history.

The post Coca-Cola Unveils Iconic NFT Masterpiece Collection on Coinbase’s Base appeared first on NFT CULTURE.

The cryptocurrency world in the United States is currently on a roller-coaster ride. Major players, Coinbase and Binance, have been caught in the crosshairs of the Securities and Exchange Commission (SEC). The regulatory body alleges these industry giants traded crypto assets deemed securities, which they claim should have been registered.

This stern action by the SEC signifies a seismic shift in the U.S crypto landscape. It places other exchanges such as Kraken, Gemini, Crypto.com, and OKCoin under intense scrutiny, potentially exposing them to similar legal actions. Fireblocks’ chief legal and compliance officer, Jason Allegrante, warns that all U.S. exchanges should now take heed of the regulatory storm brewing.

Meanwhile, Coinbase and Binance remain steadfast, vehemently denying the SEC’s allegations and vowing to defend their stance robustly in court. These firms, along with others in the crypto space, argue that many tokens are closer in nature to commodities rather than securities.

The numbers don't lie. pic.twitter.com/lec4wkp6RO

— Coinbase (@coinbase) June 6, 2023

However, the real bone of contention is the fundamental disagreement over defining a cryptocurrency as a security. This debate exposes a critical gap in the regulatory landscape surrounding cryptocurrencies.

Securities are essentially tradable financial instruments, such as stocks and bonds, often representing ownership or creditor relationships. In contrast, the characterization of crypto tokens as commodities implies they are basic goods interchangeable with other goods of the same type, like gold or oil.

As the crypto industry treads on this tightrope, it becomes glaringly evident that a well-defined regulatory framework is urgently needed to avoid the ambiguities of securities and commodities.

The current SEC lawsuits have sent shockwaves through the industry. Regardless of their outcomes, they have already signaled a tightening grip of oversight over crypto exchanges. With the shadow of legal action looming, the industry finds itself at a critical crossroads that could fundamentally alter its future trajectory.

The SEC’s approach, while potentially detrimental to smaller companies, is viewed by some, like SEC chair Gary Gensler, as a necessary step toward securing investor trust and adapting business models to a new era of compliance.

In light of these events, many industry observers anticipate a geographical shift in the crypto world. With around 90% of crypto trading already taking place outside the U.S, exchanges might continue to expand into regions with more favorable regulations, and companies like Coinbase have even considered moving their headquarters internationally.

The current situation underscores the delicate balance between innovation and regulation. As the SEC doubles down on its oversight, the crypto industry must remain resilient and adaptable, ready to navigate the storm of regulatory scrutiny.

By redefining their operational and legal strategies, U.S. crypto exchanges can turn this regulatory challenge into an opportunity – one that strengthens the industry’s standing and ensures its sustainability in the long run.

The post Navigating the Storm: U.S. Crypto Exchanges Face Regulatory Scrutiny appeared first on NFT CULTURE.

The internet is a vast, ever-evolving landscape, home to many phenomena, none perhaps as pervasive or as controversial as memes. One such meme, Pepe the Frog, has traveled a particularly tumultuous path, finding itself in the spotlight for both negative and positive reasons. More recently, it has been thrust into the limelight due to its association with cryptocurrencies and non-fungible tokens (NFTs). But has this recent foray into blockchain technology truly saved Pepe, or merely added another layer to its complex narrative?

The Birth of Pepe

Pepe the Frog was born in 2005, as a character in Matt Furie’s comic series ‘Boy’s Club’. This laid-back amphibian was no different from any other comic character. However, by the late 2000s, Pepe had been adopted by the internet as a popular meme, often accompanied by the phrase “feels good man.”

Over time, the Pepe meme diversified. Variations appeared, each expressing a different emotion, but the most prevalent was the so-called “sad frog meme,” a melancholy Pepe that became a common sight on internet message boards.

The Controversy

However, in the mid-2010s, Pepe took a dark turn. It was co-opted by online hate groups and far-right activists, becoming a symbol of discrimination and divisiveness. This was to the consternation of Furie, a liberal and outspoken critic of Donald Trump, who saw his creation being used by Trump supporters during the 2016 U.S. Presidential election. In 2016, the Anti-Defamation League (ADL) even added Pepe to its database of hate symbols, sparking Furie to launch a “Save Pepe” campaign. Despite his efforts, the friendly frog had become a symbol of controversy.

From Controversy to Crypto

In the wake of this controversy, an anonymous group of developers saw an opportunity. They used non-fungible tokens (NFTs) – unique digital assets stored on a blockchain – to create “PepeCash” and “Rare Pepes”. These tokens depicted Pepe in various scenarios, and were sold as collectibles.

A New Controversy: Coinbase and the ‘Hate Symbol’ Label

Just when it seemed like Pepe might have found some respite in the world of crypto, a new controversy emerged. On May 10, Coinbase, a prominent cryptocurrency exchange, sent out an email to its customers describing Pepe as a “hate symbol” co-opted by alt-right groups. This description was based on a 2016 decision by the Anti-Defamation League to include Pepe in its database of online hate symbols.

The email drew immediate backlash from the PEPE memecoin community. Prominent crypto influencer Borovik.eth shared the newsletter with his 96,000 followers, sparking widespread outrage. Fans and holders of the frog-themed memecoin demanded an apology from Coinbase, with some users even advocating for a boycott of the crypto exchange, leading to the trending hashtag: “#deletecoinbase”.

This controversy escalated when Pseudonymous Twitter user and solidity developer Kenobi declared that Pepe is not a symbol of hate and that he would be moving funds to the United States-based crypto exchange Gemini as a result.

Interestingly, while the controversy raged, the price of Pepe fell 2.6% following news of Coinbase’s description circulating on Twitter. At the time of publication, Pepe was trading for a price of $0.00000184, down 10.4% in the last 24 hours, according to data from CoinGecko.

Coinbase has yet to make any indication of whether it intends to list the Pepe token on its exchange. The exchange’s spokesperson said they had “nothing further to add” in response to the controversy. Meanwhile, Gemini, another major crypto exchange, listed the memecoin for trading, describing the token in more neutral terms.

This latest incident underscores the complex nature of Pepe’s journey. Even as the memecoin community seeks to reclaim the symbol from its controversial past, others continue to associate it with hate and division.

Redemption or Just Another Chapter?

For some, this move represented an attempt to reclaim Pepe from its negative connotations and restore its original, innocuous meaning. The Rare Pepe NFTs gained popularity, attracting a community of enthusiasts who saw value in these digital collectibles. Even Furie embraced this shift, releasing official Pepe NFTs in 2021.

However, not everyone agrees that this move fully disassociates Pepe from its controversial past. Some argue that the layers of internet irony and the often inscrutable world of crypto make it difficult to separate this new incarnation of Pepe from its previous uses.

The story of Pepe is undeniably a complex one. It highlights the power of the internet to shape and reshape symbols, and the potential of technologies like blockchain to influence these narratives. Pepe’s journey from comic character to controversial symbol, and then to a crypto collectible, serves as a mirror reflecting our ever-changing digital culture.

But the question remains: Has the world of cryptocurrencies and NFTs truly saved Pepe, or just written another chapter in its contentious history? As Pepe continues to evolve, the answer to this question will likely be just as dynamic.

What do you think? Has the world of cryptocurrencies and NFTs truly saved Pepe, or just written another chapter in its contentious history? As the saga of Pepe continues to evolve, the answer to this question remains as dynamic and elusive as the meme itself. We’d love to hear your thoughts.

Is Pepe a symbol of the alt-right or a just a meme? I have my opinions but I would love yours. Pls vote. Like and rt.

— Mal | BAYC 5362 (@mal_nft) May 11, 2023

The post The Complex Journey of the Pepe Meme: Controversy, Crypto, and Redemption? appeared first on NFT CULTURE.

Coinbase, the leading cryptocurrency exchange, has recently launched a new campaign to support sensible crypto policy and raise funds for crypto advocacy organizations. The campaign is centered around the release of a commemorative NFT collection called Stand With Crypto, which features a blue shield symbolizing the collective effort to protect and promote the potential of cryptocurrency. The NFTs can be minted for free via the OurZORA platform and all proceeds from the collection will be donated to vetted organizations through a Crypto Advocacy Round with Gitcoin.

This campaign comes at a crucial time for the cryptocurrency industry in the United States, as companies and participants seek clarity and fair regulation from judicial and legislative bodies. Coinbase, who is leading the charge in advocating for consistent and fair regulation, recently sued the SEC in an effort to force the issue. The growth of crypto and web3 is highly dependent upon regulatory clarity, making the Stand With Crypto campaign and the support of crypto advocacy organizations all the more important.

By participating in the Stand With Crypto campaign, users not only show their support for sensible crypto policy but also become part of a growing community that believes in the future of crypto. Minting the commemorative NFT and adding a shield emoji to your Twitter display name is an easy way to get involved and raise awareness for the cause. With unlimited minting available, users can even raise more funds for crypto advocacy by minting additional NFTs.

Overall, the Stand With Crypto campaign is an exciting initiative that showcases the growing support for cryptocurrency and the importance of advocating for sensible policy. As the industry continues to evolve and grow, campaigns like this will play an increasingly important role in shaping the future of crypto.

1/ The community is clearly fired up about sensible crypto policy. Here’s how to continue the support

1⃣: Mint a Stand With Crypto commemorative NFT
2⃣: Add a shield emoji next to your Twitter display name

https://t.co/yCGNEt8Zcn pic.twitter.com/xd3ZDKrNSB

— Coinbase (@coinbase) April 24, 2023

The post Join the Crypto Crusade: Coinbase’s Stand With Crypto Campaign appeared first on NFT CULTURE.

Coinbase, one of the world’s leading cryptocurrency exchanges, has taken another formal step to seek regulatory clarity from the US Securities and Exchange Commission (SEC) for the crypto industry. The company has filed a narrow action in federal court, requesting the SEC to respond to its pending rulemaking petition that asks the SEC to provide overdue guidance for the crypto industry.

Coinbase filed the petition in July 2022, and since then, over 1,700 entities and individuals have submitted comments echoing the request for clarity. The Administrative Procedure Act requires the SEC to respond to Coinbase’s rulemaking petition “within a reasonable time.” If the SEC says no to the rulemaking petition, Coinbase would be allowed to challenge that decision in court and explain why rulemaking is required.

Today, we filed a narrow action in the U.S. Circuit Court to compel the SEC to respond “yes or no” to a rulemaking petition we filed with them last July asking them to provide regulatory guidance for the crypto industry. – Paul Grewal

The action filed by Coinbase asks the court to compel the SEC to share its decision, which may feel unusual, but it is also unusual for an agency to bring enforcement actions based on a view of the law that it has not yet shared formally with the public. Coinbase is not asking the court to instruct the agency how to respond, but it is simply requesting that the SEC responds at all, which they are legally obligated to do.

The lack of regulatory clarity for the crypto industry has led to potential regulatory enforcement actions from the SEC against Coinbase and other crypto companies, even though they have not been told how the SEC believes the law applies to their business. The rulemaking process is a critical step in giving the public notice about what activities they can and cannot engage in. Until the crypto industry gets that clarity, Coinbase will continue to take every step available to seek it, which includes the legal challenge filed in court.

Coinbase believes that crypto and blockchain technology have the ability to increase economic freedom and opportunity around the world. However, the disjointed, regulation-by-enforcement approach adopted by government leaders and regulators at the federal level has the potential to negatively impact American competitiveness and national security. The company recognizes that rules are needed and has asked for rules to be developed. The decision to move forward with the legal challenge is an attempt to compel basic rulemaking, which shouldn’t have come this far. Coinbase is committed to seeing this challenge through to its conclusion as it believes it has an obligation to its industry, customers, shareholders, and employees to seek regulatory clarity in the US.

The post Coinbase Takes Legal Action to Compel SEC for Crypto Clarity appeared first on NFT CULTURE.

The Securities and Exchange Commission (SEC) issued an investor alert relating to cryptocurrencies, warning investors of their exceptional volatility and speculative nature. The current regulatory framework has put Coinbase, the largest crypto exchange in the U.S., in hot water. This is particularly troubling for the crypto space, as Coinbase has described itself as “the most trusted crypto exchange.” Staking, in particular, is a complicated concept, and Horizon Labs has a geoblocker on its $APE staking platform in the U.S. region. While there are clear crimes in the space that make sense to pursue, in Coinbase’s case, the SEC approved the initial language around staking in the company’s IPO registration statement. Therefore, the regulatory body’s renewed stance against staking is a difficult one to digest.

“We met with the SEC more than 30 times over nine months, but we were doing all of the talking. In December 2022, we asked the SEC again for some feedback on our proposals. The SEC staff agreed to provide feedback in January 2023. In January, the day before our scheduled meeting, the SEC canceled on us and told us they would be shifting back to an enforcement investigation. We now understand that there is disagreement within the Commission itself on how to proceed with a registration path. This was just two months ago,” said Paul Grewal, Chief Legal Officer of Coinbase.

What is a wells notice?

A Wells notice is a letter that the Securities and Exchange Commission (SEC) sends to individuals or companies to alert them that the agency intends to recommend enforcement action against them. The letter provides the recipient with an opportunity to respond to the allegations before the SEC makes a final decision on whether to take enforcement action. A Wells notice does not always result in charges, nor does it indicate that the recipient has violated any laws. The purpose of a Wells notice is to give the recipient a chance to provide a defense or explanation before the SEC takes any legal action.

What is staking?

Crypto staking is a process by which a cryptocurrency holder can help secure and validate transactions on a blockchain network and earn rewards for doing so. In staking, a user holds a certain amount of cryptocurrency in a designated wallet, and in exchange for holding and “locking up” their tokens, the user receives additional tokens or cryptocurrency as a reward.

Staking works differently depending on the specific blockchain network, but in general, staking involves delegating your cryptocurrency holdings to a node or validator that participates in the network’s consensus mechanism. Validators are responsible for verifying transactions on the network and maintaining the blockchain’s integrity. By staking your cryptocurrency and delegating it to a validator, you are helping to secure the network and contributing to the consensus mechanism.

Staking rewards are typically paid out in the same cryptocurrency that was staked. The amount of rewards a user receives depends on several factors, including the amount of cryptocurrency staked, the length of time the cryptocurrency is staked, and the network’s overall participation rate. Some networks also have additional incentives, such as slashing penalties for validators who misbehave.

Staking has become increasingly popular in the crypto space as a way for investors to earn passive income on their holdings, as well as to participate in and support the underlying blockchain network.

Does the SEC hate staking?

It’s important to note that the SEC does not hate staking as a concept. However, the agency has raised concerns about certain staking activities that may be in violation of securities laws.

In particular, the SEC is concerned about whether staking activities involving cryptocurrencies may be considered securities offerings, which would make them subject to securities laws and regulations. The agency has stated that certain staking activities may involve the offer and sale of securities, which would require compliance with registration requirements and other securities laws.

The SEC’s renewed focus on staking may also be related to its broader crackdown on unregistered securities offerings and initial coin offerings (ICOs). In recent years, the agency has taken action against numerous cryptocurrency projects that it deemed to be violating securities laws, including those that involved staking or other similar activities.

It’s worth noting that not all staking activities are considered to be securities offerings. However, the regulatory framework around staking and other cryptocurrency-related activities is still developing, and it’s important for investors and companies to seek legal advice and comply with relevant regulations to avoid potential legal issues.

The post Coinbase SEC Wells Notice appeared first on NFT CULTURE.

Coinbase, a cryptocurrency exchange, has launched Base, a layer 2 network that uses Optimism’s OP Stack, with the aim of attracting millions of new crypto users in the future. Coinbase has begun testing the Base network on its testnet. Coinbase is joining Optimism as a core developer on the open-source OP Stack, a toolkit for the Optimism network. Base is not limited to Ethereum and will provide easy and secure access to layer 2 networks, such as Optimism, and other blockchain ecosystems, like Solana. Base offers a secure, low-cost, and developer-friendly way for anyone to build decentralized apps onchain. Coinbase plans to decentralize the chain progressively and has no plans to issue a new network token. Coinbase would allow developers to integrate their product with Base and provide fiat onramps, targeting an estimated 110 million verified users and $80 billion in assets on the platform in the Coinbase ecosystem. The Base Ecosystem Fund will invest in and support early-stage projects building on Base.

Base is an Ethereum L2 that offers a secure, low-cost, developer-friendly way for anyone, anywhere, to build decentralized apps. Our goal with Base is to make onchain the next online and onboard 1B+ users into the cryptoeconomy.

Does a L2 Coinbase Solution Make Sense?

Some argue that Coinbase’s L2 solution, which funnels all value back to ETH, could be a good option for a project of this scale that doesn’t try to profit via token. However, L2 solutions are generally centralized by nature, and some experts believe that Coinbase’s solution doesn’t provide enough decentralization for users.

One issue is the tradeoff between centralization and decentralization in L2 solutions. While L2s don’t necessarily need decentralization in the way that L1s do, this makes them less ideal for storing real value. Storing all value on Ethereum and only routing transactions on top of L2 could be a better solution.

Another issue is the technical feasibility of Coinbase’s L2 solution. While it may work well for the crypto ethos, it’s unclear if Coinbase’s L2 solution provides enough decentralization for users. Moreover, some experts believe that Coinbase’s solution doesn’t offer enough security for users.

Overall, there are concerns about Coinbase’s role as an L2 solution for Ethereum. While there may be some benefits to Coinbase’s approach, it’s important to carefully consider the risks and benefits of different options and to make informed decisions based on your individual goals and risk tolerance.

Coinbase Disappoints

It’s worth noting that despite the anticipation surrounding Coinbase’s Base network launch, the announcement has been seen as lackluster by some in the cryptocurrency community. This is likely due to Coinbase’s disappointing track record over the past year, particularly with its failed launch of an NFT marketplace, which was announced with great fanfare but ultimately scrapped. Some critics are concerned that Coinbase may struggle to attract users to its new network, especially given the increasing competition in the cryptocurrency space. However, others remain optimistic about the potential of the Base network, and believe that Coinbase’s expertise and resources may give it an edge over its rivals in the long run. Only time will tell whether the Base network will be successful or not.

Important: Base is *not* a token We do not plan to issue a new network token for Base and will use ETH as the native gas token.

1/ We’re excited to announce @BuildOnBase.

Base is an Ethereum L2 that offers a secure, low-cost, developer-friendly way for anyone, anywhere, to build decentralized apps.

Our goal with Base is to make onchain the next online and onboard 1B+ users into the cryptoeconomy. pic.twitter.com/RmwZFJzGGs

— Coinbase (@coinbase) February 23, 2023

The post Coinbase announces BASE appeared first on NFT CULTURE.

Staking of cryptocurrencies refers to the process of holding onto and supporting a specific cryptocurrency network by locking up one’s coins as collateral. This process helps secure the network and, in return, rewards the staker with more coins. However, the future of crypto staking in the United States is currently in jeopardy.

This was brought to light by a tweet from Coinbase CEO, Brian Armstrong, who expressed his concerns about rumors that the SEC would like to eliminate crypto staking for retail customers in the US. Armstrong stated that such a move would be a “terrible path” for the country and that regulation through enforcement does not work, as it often pushes companies to operate offshore. He also expressed hope that the industry could work together to establish clear rules and find solutions that protect consumers while preserving innovation and national security interests in the US.

SEC Settles with Kraken after ending Staking

Additionally, Kraken has reportedly agreed to close its cryptocurrency staking operations to resolve charges with the US Securities and Exchange Commission (SEC), according to a source familiar with the matter. The SEC is expected to hold a private meeting on Thursday to discuss and vote on the settlement, with a potential announcement to follow later in the day, according to the same source. Kraken’s spokesperson declined to comment on the matter, while the SEC also declined to make any comments after the publication of this article. The staking service offered by Kraken, which included a crypto-lending product offering up to 24% yield, is also expected to shut down as part of the settlement.

It was recently reported by Bloomberg that Kraken was close to a settlement with the SEC over allegations of offering unregistered securities. This comes a day after the CEO of Coinbase, Brian Armstrong, tweeted about rumors that the SEC would prevent retail customers from participating in staking. The SEC declined to comment on Armstrong’s remarks. In his tweet, Brian Armstrong references an article from “Paradigm.xyz” that explains why Ethereum’s new staking model does not make ETH a security, suggesting that the staking mechanics for Ethereum are a key factor in determining if it should be classified as a security.

SEC Chair Gary Gensler has previously stated that he believes staking through intermediaries, such as Kraken, may fall under the definition of securities under US laws, as it resembles lending. The SEC has taken similar actions and settled charges with lending companies in the past, including the now-bankrupt lender BlockFi.

A settlement with Kraken would be a significant win for the SEC as it continues its efforts to regulate the crypto industry. According to data from Dune Analytics, the majority of Ethereum stakers use staking services. Following the publication of this article, the crypto market saw a dip, with Ethereum falling 4.5% in the first 30 minutes.

Brian Armstrong has strong views about the role of staking in the USA.

1/ We're hearing rumors that the SEC would like to get rid of crypto staking in the U.S. for retail customers. I hope that's not the case as I believe it would be a terrible path for the U.S. if that was allowed to happen.

— Brian Armstrong (@brian_armstrong) February 8, 2023

The post The end of crypto staking in the united states? appeared first on NFT CULTURE.