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- 1 The crypto space is always brimming with important events every day.
- 2 Ethereum Network’s Merge upgrade was completed a year ago today.
- 3 Deutsche Bank will offer custody services for crypto soon.
The cryptocurrency market saw more of the instances taking place today. One of the anticipated upgrades in the broader crypto industry, the Ethereum Merge upgrade, completed its one year. During that time period, the second-biggest cryptocurrency blockchain network went through some major changes.
Meanwhile, a prominent German investment firm, Deutsche Bank, stepped into crypto custody services for its institutional clients. The foray of the institution with half a trillion worth of assets under management solidifies the trend of traditional financial firms entering decentralized financial assets.
Famous crypto lawyer, John Deaton, decided to join the LBRY lawsuit as an Amicus Curiae. The lawyer is well known because of the Ripple vs. Securities Exchange Commission (SEC) case taking the side of the payment protocol firm.
Ethereum Merge Marks One-Year Anniversary
The Ethereum Network celebrated the one-year anniversary of its Merge upgrade on September 15, 2023. This significant transition replaced the Proof-of-Work (PoW) consensus mechanism with Proof-of-Stake (PoS), reducing energy consumption dramatically. Energy used for transaction validation dropped by nearly 99.8%, from 23 million megawatts per hour to 2,600 megawatts per hour. This reduction addressed environmental concerns associated with crypto mining.
Despite Ethereum becoming deflationary post-merge, with 300,000 ETH (approximately $488 Million) burned, the price didn’t see substantial gains due to external factors. Ethereum’s supply continues to decrease, with an estimated 0.25% reduction, causing 1% of the supply to disappear every four years.
However, growing centralization concerns have emerged, mainly due to the popularity of liquid staking protocols. While the community imposed a 22% self-limit on ETH staking, protocols like Lido Finance now hold over 32.4% of the total ETH staked, raising centralization worries in the Ethereum network.
Deutsche Bank Ventures Into Crypto Services
Deutsche Bank, a major player in the banking industry, is set to venture into the world of cryptocurrency by offering custody services in collaboration with Switzerland-based crypto firm Taurus. This marks Deutsche Bank’s first foray into the burgeoning crypto asset sector, showcasing the increasing influence of cryptocurrencies on traditional financial institutions.
The bank intends to provide custody services for cryptocurrencies and tokenized assets to its institutional clients. While Deutsche Bank has no prior experience in the crypto space, it acknowledges the significant potential of the cryptocurrency sector, which is expected to encompass trillions of dollars in assets. This move reflects the bank’s commitment to adapting to the evolving financial landscape and catering to the demands of its clients.
However, it’s worth noting that Deutsche Bank has no plans to engage in cryptocurrency trading; its focus is primarily on custody services. The bank filed for a crypto custody license in Germany in June, signaling its strategic shift towards digital assets. The specifics of the assets to be offered in custody services were not disclosed, but it’s expected to cover a range of crypto assets and stablecoins, as well as tokenized versions of traditional financial securities.
Pro-XRP Lawyer Siding With LBRY Against SEC Lawsuit
John Deaton, the lawyer representing multiple token holders in the Ripple-SEC lawsuit, has officially submitted his Notice of Appearance as an Amicus Curiae in the LBRY lawsuit. This action, documented on September 14, 2023, in the United States Court of Appeals for the First Circuit, pertains to his representation of Amicus Curiae Naomi Brockwell.
Naomi Brockwell is the founder of Crypto Law, a platform dedicated to providing insights and updates on legal and regulatory developments related to cryptocurrencies in the United States, often working in collaboration with Deaton.
Deaton’s commitment to the legal fight is evident in his statement on X (formerly Twitter): “Win, lose, or draw, we will be in the fight!” His advocacy for the rights of cryptocurrency investors and active involvement in cryptocurrency-related legal proceedings and regulatory discussions make him a prominent figure in this space.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
