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August 8, 2022updated 26 Aug 2022 7:15am

Top tweets: Coinbase users access Ethereum-based dapps – and more

Retail Banker International lists five of the top tweets on fintech in Q2 2022 based on data from GlobalData’s Banking and Payments Influencer Platform.

The top tweets are based on total engagements (likes and retweets) received on tweets from more than 603 fintech experts tracked by GlobalData’s Banking and Payments Influencer platform during the second quarter (Q2) of 2022.

1. Brian Armstrong’s tweet on Coinbase app users able to directly access Ethereum-based dapps

Brian Armstrong, CEO of the cryptocurrency trading platform Coinbase, shared an article on the company’s new decentralised application (dapp) wallet and browser allowing a small set of Coinbase users to access Ethereum-based dapps directly from the Coinbase app. This included purchasing non-fungible tokens (NFTs) on marketplaces such as Coinbase NFT and OpenSea, trading on decentralised exchanges such as Uniswap and Sushiswap, and borrowing, lending, or swapping using decentralised finance (DeFi) platforms such as Compound and Curve, the article detailed.

The article further noted that with the launch users will be able to explore dapps without having to manage a recovery phrase. The dapp wallet is powered by Multi-Party Computation (MPC) technology, which allows users to have a dedicated on-chain wallet that Coinbase is able to keep secure. This implied that if a user lost access to one’s device, the key to the dapp wallet it still safe and Coinbase can assist in the recovery through live support, the article highlighted.

Username: Brian Armstrong

Twitter handle: @brian_armstrong

Likes: 794

Retweets: 123

2. Charlie Gasparino’s tweet on the crypto trial of the century

Charlie Gasparino, senior correspondent at the media company FOX Business Network (FBN), shared an article on Securities and Exchange Commission’s (SEC) lawsuit against payment settlement company, Ripple over the latter violating securities laws when it failed to register with the agency sales of its native cryptocurrency token, XRP, which helped fund its platform and facilitated transactions on the Ripple network. The commission alleged that Ripple and its top executives sold XRP as an illegal and unregistered security for which the commission wasseeking billions of dollars in damages, the article detailed.

Ripple’s lawyers, however, claimed that the sales of XRP were legal and not materially different from the sale of the digital coin ether by operators of the ethereum blockchain. SEC had earlier cleared ether’s sale as a legally unregistered digital coin, the article further noted.

Username: Charles Gasparino

Twitter handle: @CGasparino

Likes: 259

Retweets: 83

3. Zerohedge’s tweet on EU’s crack down on Bitcoin and protecting other crypto coins

Zerohedge, a financial news platform shared an article on the digital currency Bitcoin receiving increased scrutiny from environmental activists and regulators in recent months due to its high energy consumption. The rise in Bitcoin prices has led to a rise in bitcoin network’s electricity demands with the process of securing the network, the article noted. Now, after an energy-reducing upgrade to Ethereum was pushed back to the end of the year, internal European Union (EU) documents revealed the extent of anti-bitcoin sentiment among EU officials, as well as their desire to protect other crypto coins like Ethereum.

Earlier this year, Swedish financial authorities and the EU’s European Commission considered the possibility of banning Bitcoin’s proof-of-work (PoW) mining method due to its environmental impact, the article further detailed. Officials went to the extent of suggesting that the EU should ban Bitcoin trading to reduce its overall energy consumption. They also suggested exerting pressure on the Bitcoin community and developers to follow Ethereum’s transition to the less energy-intensive proof-of-stake (PoS) mechanism, the article highlighted.

Username: zerohedge

Twitter handle: @zerohedge

Likes: 191

Retweets: 61

4. James Bianco’s tweet on crypto assets lacking bankruptcy protections

James Bianco, president at Bianco Research LLC, shared an article on the cryptocurrency trading company Coinbase stating that users’ crypto assets lack bankruptcy protections. The company warned that its customers could be viewed as general unsecured creditors during bankruptcy proceedings. Markets have been looking unstable recently, with stocks bonds, and crypto falling as investors struggle to manage the large swings shaking up financial markets globally, the article detailed. Regulators have long warned that cryptocurrency trading platforms lack the oversight and investor protections that are built into traditional financial services.

Coinbase, in its quarterly filings, suggested that the digital tokens it holds for users may not really belong to them as custodially held crypto assets may be considered to be the property of a bankruptcy estate, in case of a bankruptcy. As a result, the crypto assets could be subject to bankruptcy proceedings, and the customers could be treated as the company’s general unsecured creditors. Coinbase held $256bn in cash and cryptocurrencies for its customers at the end of the first quarter, the article noted. The company’s stock hit closing lows for four consecutive trading days. It reported that it has lost hundreds of millions of dollars in the first quarter, and its year-to-date exchange stock price has plummeted by 80%.

Username: Jim Bianco

Twitter handle: @biancoresearch

Likes: 209

Retweets: 33

5. Michael Pascoe’s tweet on the DeFi market to spark another global financial crisis

Michael Pascoe, a journalist, shared an article on the US-Australian financial regulatory scholar professor Hilary Allen stating that the rapidly growing DeFi market could threaten to set off another global financial crisis. Allen believes that the rise of DeFi and the rising interest of banks in the crypto sector, including banks such as ANZ and CBA, is extremely worrying, where she urges regulators to step in before it’s too late. In the DeFi space, crypto tries to duplicate traditional financial products and services in a decentralised manner, she explained. However, the truth is that they are not decentralised. As a result, a lot of existing financial products and services are being re-created in a space that is actually not regulated.

Allen further highlighted concerns over investor protection in the space, as people are losing money. Therefore, she thinks it is critical to stop regulated financial institutions, such as banks, from joining the crypto economy because that is where an individual distinctive problem becomes a systemic problem, the article detailed.

Username: Michael Pascoe

Twitter handle: @MichaelPascoe01

Likes: 101

Retweets: 28

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