Qrafty heard that Ethereum reached 10 Billion in revenue, the US government isn't shutting down yet and SEC delays ETFs

***Qrafty smiling the biggest smile*** Aloha, crypto curious! I am Qrafty - the crypto lovin’ honey badger 🦡 !

Welcome to Coinqraft – the daily crypto newsletter for busy but curious people who don’t have time for the crypto drama!🌟

🦡   Qrafty has fresh bits from the crypto jungle, so let’s dive in: 📰 🌟

1. What Is Wash Trading?

2. Ethereum Hits $10 Billion In Revenue

3. SEC Delays ETFs

Bonus: US Gov isn’t shutting down… yet

What Is Wash Trading

Once upon a time in Cryptoland, there were three notorious exchanges: SneakySwap, BinaTrade, and DeceptiveDex 🏦. They were infamous for their wash trading schemes, a form of market manipulation where an entity simultaneously sells and buys the same or very similar financial instruments to mislead investors or regulators.

Can you be more specific, Qrafty?

Sure! You own five pairs of socks. You start a garage sale where you sell each pair for 1$. The total value of your socks is 5$. But you ask a friend to come on over and pretend to buy a pair of socks for 10 bucks. Now, suddenly the other buyers will believe that somehow your socks increased in value even though nothing has changed fundamentally. That’s wash trading simplified.

In the crypto forest, SneakySwap, the craftiest of the three exchanges, would send crypto from one wallet to another, creating the illusion of high liquidity and demand 📈. BinaTrade, not to be outdone, colluded with other traders to inflate their trading volumes, making it seem like their platform was bustling with activity 🎉. DeceptiveDex, the most cunning, would use multiple accounts to buy and sell the same tokens, making it appear as if there was a frenzy of trading happening on their platform 🌪️.Together, these three exchanges were responsible for up to 70% of all transactions on non-compliant crypto exchanges.

Why would they do that, Qrafty?

To steal money from people, of course. They fooled many innocent investors, who believed they were entering a thriving market with lots of opportunities 💰. But the people of Cryptoland were growing suspicious 😒. They noticed that the prices of tokens on these exchanges were often too good to be true, and the trading volumes seemed artificially high. They also noticed that wash trading controls crypto prices, not investors, through market makers and faking volumes.

So the people of Cryptoland understood that it’s each to themselves and risk management is essential when participating in such an adversarial environment.

🙃 Qrafty hopes that today’s main story brought brave badgery value to you! Now it’s time for a break, you deserve a bit of fun! 😇 👇️

Ethereum Hits $10 Billion In Revenue

Good to know the outrageous gas fees we've all paid over the years went to a good cause. Qrafty noticed that crypto media outlets are saying that’s faster than Facebook & Microsoft. Comparing Ethereum to a company founded in 1975 (Microsoft) is really… REALLY saying something about the professionalism of some publications in the space, unfortunately.

It took 7 years for Ethereum to reach this milestone. It’s beautiful to see that the decentralized smart contract blockchain has managed to extract so much value from user wallets.

Ethereum is like a toll road, but instead of paying with cash, you pay with gas. No, not that type of gas. NO, not that other kind of gas either. The more complex your transaction, the more gas you have to pay.

Validators are like the toll booth workers. They make sure that everyone is paying the right amount of gas and that no one is cheating. They get paid in block rewards and transaction fees.

The amount of revenue generated depends on how busy the Ethereum network is. The more transactions that are processed, the higher the gas fees and the more revenue is generated.

So, if you're wondering why Ethereum gas fees are so high, just think of it as the price of using a busy toll road, mkay?

SEC Delays ETFs, Congressmen Demand Approval

The SEC delays spot Bitcoin ETF decision of ARKInvest application to January 10, 2024. They’re also delaying the GlobalXETF' application which was due Oct 7, 2023.

Aside from that, the bribe lobbying funds must have been flowing aggressively through some Congress pockets, as US Congress members ask SEC Chair Gary Gensler to approve Spot Bitcoin ETFs: “A regulated spot bitcoin ETP would provide increased protection for investors by making access to bitcoin safer and more transparent,” said the letter. “Congress has a duty to ensure the SEC approves investment products that meet the requirements set out by Congress.”

Don’t Trust ‘Em

Federal Reserve says stablecoins could become a source of financial instability for the broader financial system. Up until now, they saw stablecoins as a form of money, as Mr. Powell said just 3 months ago, and wanted a robust role in their oversight.

Qrafty mentioned in previous editions how CBDC’s are a double edged sword, depending on how they are implemented: these can serve a higher public good by strictly monitoring how public funds are spent or server a lower evil by allowing government to monitor every single transaction that you make and control your financial freedom to the cent.

The US Gov isn’t shutting down… yet

Since we’re talking about fundamental institutions that you can’t trust anymore, US Senate leaders reach deal on short-term spending bill to avert a government shutdown. The temporary spending bill includes $4.5 billion for Ukraine. So the government won’t be shutting down on October 2nd, but on November 1st. Cool story, huh?

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Tomorrow is like a procrastinator's favorite book; always promising an intriguing plot, yet somehow remaining forever on the last page.

Qrafty’s thougt of the day

Other stories

Chase bans crypto payments in UK

Chase Bank to ban crypto-related payments for UK customers starting Oct 16th: “If we think you're making a payment related to crypto assets, we'll decline it.” That this comes due to UK’s unclear regulations regarding crypto assets and payments.

Franklin Templeton gets in the ETF race

Qrafty mentioned previously that they are getting in the game, but it’s official just now, since they filed the required paperwork to do so.

Ben Armstrong got arrested

Ben Armstrong, the crypto influencer who also goes by Bitboy Crypto, was arrested last night while trying to confront a former business partner by breaking into his property and trying to steal his car.

Market Whispers

Monday's range didn't provide us a "workable" range, with a high at $26,440 and a low at $25,990.

So we need to consider other technical data, like if we are below $26,600, the range low of June-July, the probability of retesting the $24,800 support is bigger.

Why? Because the breakout from last week, Monday to Thursday looks like a deviation. And since Friday we flipped the support into resistance and with every day we go lower down. Slowly then suddenly, that's how Bitcoin likes it.

Qrafty ends channeling his inner trader.

Today is INTERNATIONAL CHIMICHANGA DAY!

That’s all from Qrafty 🦡 for today! Qrafty thanks you and wishes you to live each moment as if you are listening to the music you love most!

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