Crypto Market UpdateWritten by VanTable of Contents:Regulatory Updates and BankingDenmark FSA Orders Saxo Bank to Delete Cryptocurrency HoldingsValkyrie Refiles Bitcoin ETF Application with SECAUSTRAC Raids Binance Australia Over AML and CTF ConcernsEthereum Community Supports ERC-7265 to Prevent DeFi HacksDBS Bank Introduces Digital Yuan Payment ToolCryptocurrency Market MovementsBitcoin Traders Eye Dip Amid Risk of Leveraged Bets LiquidationLitecoin's Price Soars to 12-Month High Amid Upcoming HalvingEthereum Staking Surges, Lido Finance Dominates Post-Shanghai UpgradeStarkWare's Quantum Leap Upgrade Aims for Faster TransactionsCrypto Exchanges and Platform DevelopmentsBinance Suspends Support for Multichain-linked Tokens Due to Protocol IssuesAave DAO Votes to Enable Yield Farming for Ethereum VersionsCountry-Specific DevelopmentsUAE Free Zone Partners with Hedera Hashgraph to Support Web3 StartupsCanadian Teenagers Arrested for $4.2 Million Cryptocurrency TheftSecurity Incidents and Legal MattersQ2 Crypto Hacks: Over $300 Million Stolen, DeFi Platforms Main TargetAzukiDao Allocates 20,000 ETH to Founders; Plans Legal Action Against FounderNon-Fungible Tokens (NFTs)NFT Royalties Plunge to Two-Year Low, Top Projects Still ProfitDenmark FSA Orders Saxo Bank to Delete Cryptocurrency HoldingsDenmark's financial regulator, the Financial Supervisory Authority (FSA), has ordered Saxo Bank to delete all cryptocurrency holdings from its trading platform. The FSA believes that cryptocurrencies are not compatible with the bank's risk profile and regulatory obligations. Saxo Bank is required to inform its clients about the decision and provide them with alternative options for trading cryptocurrencies. This move comes as regulators around the world are increasing their scrutiny on cryptocurrencies due to concerns about money laundering, fraud, and investor protection.Valkyrie Refiles Bitcoin ETF Application with SECValkyrie has refiled its application for a Bitcoin ETF with the SEC, following in the footsteps of BlackRock. The ETF would trade on the NYSE Arca and aims to provide investors with exposure to Bitcoin. Valkyrie's previous application was withdrawn in January. The company's CEO believes that the SEC's concerns regarding market manipulation have been addressed. If approved, the ETF would join the growing list of Bitcoin ETFs in the US, including those from VanEck and WisdomTree.AUSTRAC Raids Binance Australia Over AML and CTF ConcernsBinance Australia, a cryptocurrency exchange, was raided by the Australian Transaction Reports and Analysis Centre (AUSTRAC). The regulator conducted the raid due to concerns about the exchange's compliance with anti-money laundering and counter-terrorism financing laws. Binance Australia is a separate entity from the global Binance platform. The raid comes as regulators worldwide are increasing scrutiny on cryptocurrency exchanges. Binance has faced regulatory challenges in several countries, including the UK and Japan. The exchange has also been banned in Malaysia and Thailand.Ethereum Community Supports ERC-7265 to Prevent DeFi HacksA new proposal called ERC-7265 has been put forward by Ethereum users to prevent DeFi hacks. It aims to enhance security by introducing a new standard for smart contracts. The proposal suggests implementing a "time lock" mechanism that would delay the execution of certain transactions, giving users more time to react to potential hacks. This would help prevent the loss of funds in the event of a security breach. The proposal has gained support from the Ethereum community, with over 1,000 users voting in favor of it.DBS Bank Introduces Digital Yuan Payment ToolDBS Bank has launched a digital yuan payment tool, allowing its customers to make transactions using China's central bank digital currency (CBDC). The tool is available on the bank's mobile app and enables users to top up their digital yuan wallets, make payments, and scan QR codes for transactions. DBS Bank aims to tap into the growing demand for digital currencies and provide a seamless payment experience for its customers. The move comes as China continues to test and expand the use of its digital yuan across various sectors.Bitcoin Traders Eye Dip Amid Risk of Leveraged Bets LiquidationBitcoin traders are eager to buy the dip as BTC nears $30,000, a record number of addresses holding at least 0.1 BTC and 1 BTC. However, Coinglass' liquidation map reveals a large cluster of leveraged Bitcoin bets at risk of liquidation between $29,000-$30,000 on Binance, with leverage potentially as high as 50 to 100 times. Above $30,000, liquidation points are scarce until $31,400. Source: CoinglassLitecoin's Price Soars to 12-Month High Amid Upcoming HalvingLitecoin has seen significant changes in the last few days, with accumulating during a dip and a surge in bullish volume pushing the price to a 12-month high. However, the high MVRV ratio and upcoming halving event suggest a critical next four weeks for LTC. Ethereum Staking Surges, Lido Finance Dominates Post-Shanghai UpgradeEthereum staking deposits surged post-Shanghai upgrade, with Lido Finance dominating. Daily deposits peaked at 13,595. Lido holds 16 times more staked Ethereum than the second-largest pool. stETH flow shifted in DeFi protocols, decreasing in liquidity pools but increasing in collateral in lending protocols. The Ethereum cartel remains. Crypto exchange 1inch sold 11,000 ETH ($21 million) to test Fusion transaction features for its protocol upgrade, aiming to improve asset rebalancing with better average rates and cost efficiency.StarkWare's Quantum Leap Upgrade Aims for Faster TransactionsStarkWare has deployed its Quantum Leap upgrade on testnet, claiming it can process "hundreds of transactions per second." The upgrade could improve transaction speed by 56X or more, bringing throughput to triple digits. Co-founder Uri Kolodny said the upgrade solves the scaling challenge, while additional upgrades are expected by the end of the quarter to address data availability issues and enable granular control for users. StarkWare's validity proof ZK scaling technology has facilitated over $1 trillion in transactions. Binance Suspends Support for Multichain-linked Tokens Due to Protocol IssuesBinance is suspending support for Multichain-linked tokens like Polkastarter, Alchemy Pay, Beefy.Finance, and Harvest Finance starting July 7 due to issues with the protocol. Users can still deposit and withdraw these tokens via other networks. Multichain manages over $1.3 billion in assets, but faced technical difficulties and rumors of CEO detention in May. Aave DAO Votes to Enable Yield Farming for Ethereum VersionsThe Aave DAO voted to enable yield farming for Ether (ETH), wstETH, and rETH, which are different versions of Ethereum. The voting outcome allows users to earn interest on these assets by depositing them into the Aave protocol. The decision was made to increase the utility and value of these assets within the Aave ecosystem. This move is expected to attract more users and liquidity to the platform.UAE Free Zone Partners with Hedera Hashgraph to Support Web3 StartupsA UAE free zone has partnered with the Hedera Hashgraph (HBAR) Foundation to support Web3 startups. The collaboration aims to provide resources and expertise to startups in the Web3 space, focusing on blockchain, decentralized finance (DeFi), and other emerging technologies. The partnership will offer startups access to mentorship, funding, and networking opportunities. The free zone has already attracted over 15,000 companies and aims to become a global hub for Web3 innovation. Canadian Teenagers Arrested for $4.2 Million Cryptocurrency TheftTwo Canadian boys, aged 17, were arrested for stealing $4.2 million in Bitcoin and Ethereum through a spear phishing attack. They had a total of $13.4 million in cryptocurrency. Authorities are taking action against the growing trend of crypto crimes with task forces and cooperative efforts. Q2 Crypto Hacks: Over $300 Million Stolen, DeFi Platforms Main TargetIn Q2 2023, crypto hacks and exploits resulted in the theft of over $300 million. The report highlights the increasing sophistication of cybercriminals, with decentralized finance (DeFi) platforms being the primary target. The most common attack vector was smart contract vulnerabilities, accounting for 67% of all incidents. Additionally, phishing attacks and ransomware were prevalent. The report emphasizes the need for improved security measures and regulatory frameworks to protect investors and the crypto industry as a whole.AzukiDao Allocates 20,000 ETH to Founders; Plans Legal Action Against FounderAzukiDao, a decentralized autonomous organization, has completed its first voting process with 20,000 ETH allocated to the founding team. The DAO aims to support artists and creators by providing fair compensation and ownership rights. In a separate development, the DAO plans to sue its founder for alleged financial misconduct and seeks to recover misused funds. Top Altcoin Gainers and LosersGainers:FTX Token FTT (+7.90%)Maker MKR (+2.04%)Filecoin FIL (+1.54%)Losers:BitDAO BIT (-11.28%)The Graph GRT (-9.92%)FLEX FLEX (-8.62%)NFT Market MapNFT Royalties Plunge to Two-Year Low, Top Projects Still ProfitEarnings from NFT royalties have reached a two-year low, with the lowest-ever floor prices seen in blue-chip NFT projects. OpenSea and Blur are now equal in royalty distribution, and NFT earnings have declined overall. Despite this, top projects like Bored Ape Yacht Club and Azuki have still earned significant amounts, with BAYC totaling 22,288 ETH ($42.2 million) in all-time royalties. In 2022, NFT creators earned $1.8 billion in royalties, with the top 10 projects making $489 million in residual earnings.This article has been refined and enhanced by ChatGPT.