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Vitalik Buterin Says Ethereum Future Is Bright, Calls on ETH Community To Double Down on Layer-2s
Ethereum creator Vitalik Buterin says the ETH community should be doubling down on layer-2 scaling solutions to strengthen its ecosystem.
In a new blog post, Buterin says that it would be a mistake to give up on layer-2s and that developers should instead continue to focus on interoperability, security and blob transactions.
Blobs – which stand for Binary Large Objects – were introduced in the EIP-4844 update and aim to reduce Ethereum’s gas fees by allowing nodes to only temporarily store data for 18 days, thus making the chain more efficient and scalable.
While some have argued that the proliferation of layer-2 solutions hurts the value of ETH since it pulls activity away from Ethereum’s mainnet, Buterin says layer-2s are allowing massive waves of new apps and innovation to exist.
“Today, the path that we are taking to scale Ethereum is layer 2 protocols (L2s). The L2s of 2025 are a far cry from the early experiments they were in 2019: they have reached key decentralization milestones, they are securing billions of dollars of value, and they are currently scaling Ethereum’s transaction capacity by a factor of 17x, dropping fees by a similar amount…
These successes are also a testament to the social side of Ethereum’s decentralized and modular approach to scaling: instead of the Ethereum Foundation having to seek out all of these users itself, there are dozens of independent entities who are motivated to do so. These entities have also made crucial contributions to the technology, without which Ethereum would not be anywhere close to as far as it is today. And as a result, we are finally approaching escape velocity.” Read More
Scammy DeepSeek AI Crypto Tokens Spread on Solana and Ethereum
The sudden rise of DeepSeek, a cheap and efficient Chinese AI model, isn’t just depressing the stock market and Bitcoin’s price—it has also prompted the creation of dozens of phony meme coins and imposter sites looking to swindle crypto users.
In the last day alone, over 75 coins claiming to be official DeepSeek tokens have proliferated— primarily on Ethereum and Solana—according to Blockaid, a crypto security startup.
DeepSeek has not issued a token, nor does the company have any relationship to crypto whatsoever. But the recent popularity of tokens tied to AI-related projects has likely encouraged scammers to assume that traders eager to get in on the DeepSeek hype will make the connection between AI and crypto… and not ask further questions.
“It’s not hard to imagine how a trader who’s not following closely might be led to think that this is a real thing,” Oz Tamir, a security researcher at Blockaid, told Decrypt.
Further adding fuel to the fire, per Tamir, was President Donald Trump’s launch of his own meme coin earlier this month. The remarkable act of a sitting U.S. president creating their own crypto token—which received decidedly mixed reviews from the industry—has done much to lend credibility to fictional claims of major companies and individuals launching similar projects, the researcher said.
“It can help scammers get away with schemes that would’ve been easy to spot in previous cycles,” he explained. Read More
Poland overtakes El Salvador in global Bitcoin ATM count
Poland surpasses El Salvador to become the fifth-largest Bitcoin ATM hub globally, recording 219 active machines amid a four-month installation spree.
Poland added 10 new Bitcoin ATMs on Jan. 27, bringing its total to 219 active machines and surpassing El Salvador as the fifth-largest cryptocurrency ATM network globally after the US, Canada, Australia and Spain.
Poland added 24 crypto ATMs in its ongoing four-month-long installation spree that began in October 2024. Numerous other countries, including current leaders Canada, Spain and Australia, continue to see an uptick in local active crypto ATMs month over month, according to Bitcoin ATM Radar data.
Speaking to Cointelegraph, Salvadoran digital assets regulator Juan Carlos Reyes, the president of the National Commission of Digital Assets (NCDA), said he was “very happy to see that the adoption of Bitcoin continues to expand.” Read More
Scam tokens surge as DeepSeek AI goes viral
Malicious “DeepSeek” crypto tokens have surged over the past 24 hours as the Chinese AI company goes viral.
According to data from security firm Blockaid, at least 75 scam tokens were created as of Jan. 27, representing a threefold jump from the previous day. This mirrors the spike in fake tokens released after US President Donald Trump released his memecoin on Jan. 18.
DeepSeek launched the latest version of its AI app on Jan. 20, quickly going viral and rising to the top of the Apple app store. Along with it has come an unfortunate turn: a proliferation of scam tokens seeking to capitalize on the company’s success.
According to Oz Tamir, research analyst at Blockaid, scammers have already set up a decentralized application (DApp) that mimics the website of DeepSeek, with a “Connect Wallet” button that, when clicked, could potentially drain the crypto user’s wallet. Tamir noted that this DApp highlights the sophistication of these scams and the need for users to be vigilant.
In a pinned X post dated Jan. 10, DeepSeek wrote, “DeepSeek has not issued any cryptocurrency. Currently, there is only one official account on the Twitter platform. We will not contact anyone through other accounts. Please stay vigilant and guard against potential scams.” Read More
Tuttle Capital Seeks SEC Approval for First-Ever Chainlink, Cardano, and Polkadot ETFs
The ETFs aim to track 200% of their reference assets' daily performance through swaps, call options, and direct investments.
Tuttle Capital Management is testing the waters with a set of filings to the U.S. Securities and Exchange Commission (SEC), proposing the first-ever exchange-traded funds tied to Chainlink (LINK), Cardano (ADA), and Polkadot (DOT).
Among the 10 proposed leveraged ETFs is the first-ever ETF tied to the Melania meme coin (MELANIA), along with leveraged products for XRP (XRP), Bonk (BONK), BNP, Solana (SOL), Litecoin (LTC), and the meme coin tied to U.S. President Donald Trump (TRUMP).
“This is a case of issuers testing the limits of what this SEC is going to allow,” Bloomberg Intelligence analyst James Seyffart wrote on X. “I’m expecting the new crypto task force (led by Hester Peirce) to likely be the lynchpin in determining what’s gonna be allowed vs what isn’t.”
The investment advisory firm's filings come as the SEC undergoes a shakeup, with pro-crypto Acting Chair Mark Uyeda replacing Gary Gensler, fueling industry hopes for approval under a President Trump administration.
The filings propose 2x leveraged ETFs, which are designed to deliver twice the daily returns—or losses—of their underlying assets. Read More
The Significance Of Markethive Amidst The Crypto Renaissance
A profound economic transformation is on the horizon, driven by the transformative power of cryptocurrency and the decentralized technologies of Web 3. This seismic shift will be remembered as a pivotal moment in human history, rivaling the transformative impact of the original Renaissance. In the 15th century, groundbreaking innovations like ledgers and the printing press sparked the Renaissance and forever altered the course of global development. Similarly, the crypto renaissance is set to bring about positive changes in the global economy, offering a sense of optimism and reassurance.
This article highlights the correlation between the historical Renaissance, where populations were essentially freed from a life of serfdom, and the pervading crypto renaissance we see unfolding today. We also discuss the importance of Markethive’s position and how it aligns with this economic resurgence. Markethive, a decentralized platform, plays a crucial role in this revolution, enabling autonomy, financial sovereignty, and wealth distribution in a dynamic crypto-enabled ecosystem. It marks the creation of a renaissance within Markethive, positioning it as a key player in the crypto renaissance.
In medieval times, access to education was primarily reserved for the upper echelons of society. Fewer than one in twenty individuals received any kind of formal instruction, which frequently excluded basic literacy skills. However, the Renaissance era ushered in two groundbreaking technological advancements that would have a lasting impact on human history: the development of ledgers and the invention of the Gutenberg printing press. Read More
Bitcoin self-custody shields users from institutional risks — Trezor
By holding their own keys, Bitcoiners can hedge against centralization risks while reaping the benefits of Bitcoin adoption, Trezor’s Lucien Bourdon said.
Hardware wallet provider Trezor has highlighted the importance of self-custody in safeguarding Bitcoin holders against potential failures of centralized institutions as institutional adoption of the cryptocurrency continues to grow.
Institutional adoption is a great contributor to mainstream recognition of Bitcoin and price appreciation, but it still introduces certain risks, Trezor’s Bitcoin analyst Lucien Bourdon told Cointelegraph.
“Institutional involvement introduces centralization, with single entities holding large amounts of Bitcoin,” Bourdon said, adding that institutional adoption is associated with risks like volatility and negative sentiment if institutional investors face significant issues or even collapse.
Self-custody — or a method of holding crypto without relying on any third-party — is a long-term solution to possible centralized failures, Bourdon stated. Read More
Ripple announces money transmitter licenses in Texas and New York
The payments firm said with the addition of the two US states, it held more than 50 licenses across different jurisdictions.
Blockchain payments firm Ripple Labs said it had secured money transmitter licenses in the US states of Texas and New York.
In a Jan. 27 notice, Ripple said financial regulators in Texas and New York had approved money transmitter licenses for the payments firm, which reported holding more than 50 licenses across different jurisdictions. According to the blockchain firm, the licensing would allow it to offer users a cross-border payment solution in the US.
“Texas and New York have defined regulations and stringent licensing requirements with robust compliance standards and regulatory oversight,” said Ripple.
Regulators in both US states could have more significant influence over crypto firms should adoption increase due to many mining companies being based in Texas and digital asset businesses operating in New York.
The licensing approvals followed Ripple CEO Brad Garlinghouse’s announcement in December that the New York Department of Financial Services approved the firm’s RLUSD stablecoin, which the company plans to list on crypto exchanges. Read More
US considers cryptocurrencies for Federal Reserve
The new Trump administration has announced it will inevstigate how it might “support the responsible growth and use of digital assets, blockchain technology, and related technologies across all sectors of the economy.”
Part of the proposed evaluation will be consideration of whether to create a “national digital asset stockpile,” that could help preserve the US’s position as a financial superpower. According to Nigel Green, CEO of deVere Group, the emergence of a Bitcoin reserve “is not just a possibility but an inevitability.”
Green predicts that other nations will follow suit in establishing their own reserves, so starting what he describes as “a fundamental shift in how wealth and power are stored and protected.”
Unlike fiat currencies, the supply of a cryptocurrency is finite, reducing inflationary pressures that can come about due to economic policy; for instance, when governments effectively ‘print money’ by raising funds through mechanisms like bond issuance. Currency value fluctuations can create or remove inflationary pressure, and are often caused by events outside a domestic economy. Holding finite resources in the form of reserves is said to be a hedge against the devaluation of a nation’s currency. It’s alongside the role currently played by gold and foregin exchange holdings that the US administration may want to place cryptocurrencies as part of Federal reserves.
“No major nation can afford to be sidelined in the digital economy. A world where states compete for cryptocurrency reserves would likely redefine the balance of economic power,” Green said. Read More
Musk exploring blockchain use to curb US government spending: Report
Elon Musk has previously stated that he wants to cut $1 trillion to $6.5 trillion in annual federal spending to help balance the budget.
Elon Musk, the head of the Department of Government Efficiency (DOGE), is reportedly exploring implementations of blockchain technology in US government operations to track and reduce federal spending.
According to Bloomberg, the DOGE is also looking at using blockchain to secure data, make payments, and manage buildings as part of the DOGE’s efficiency push.
Personnel from the newly commissioned non-government department have also met with representatives from public permissionless blockchain networks to consult about potential use by the US government.
The initiative is part of Musk’s broader goal of eliminating trillions of dollars from the annual federal budget and ensuring government accountability through transparency. Read More
Ethereum devs and L2 leaders go all in on based and native rollups
Some Ethereum layer 2s would be forgoing hundreds of millions of dollars obtained from fees to make Ethereum more connected at the base layer.
Executives from leading Ethereum layer 2s have said they’re willing to make Ethereum more unified by implementing “based” and “native” rollups, which they say could improve security while making the network less fragmented.
The head of Ethereum layer 2 Base, Jesse Pollak, said on a Jan. 25 call with Ethereum founders and developers that based rollups are “both a flexible and powerful tool that we’re going to be able to use for Base to make it more connected to Ethereum and increase the security guarantees that it provides.”
Optimism Foundation Director Ben Jones added that base rollups would improve the collaboration between Ethereum’s base layer and layer 2s.
“I want to just reemphasize we are here to support this, it is war time.”
Ethereum layer 2 networks like Arbitrum, Optimism and Base have racked up massive fees from implementing high-speed, centralized sequencers — the order in which transactions are processed and added to a block on the blockchain — which has come at the cost of unification.
Based rollups, proposed by Ethereum core developer Justin Drake in March 2023, return this process to the base layer and thus improve the network’s decentralization because the block-building process would be carried out by all Ethereum validators as opposed to a single, centralized sequencer. Read More
Disclaimer: These articles are provided for informational purposes only. They are not offered or intended to be used as legal, tax, investment, financial, or any other advice.
Featured Image Source: Pixabay
