Crypto News Part 1

Crypto News Part 1

Bitcoin birthday the og cryptocurrency becomes a teenager and hits a new hash rate what caused the crypto market crash that followed Solana stagnates developers cite degraded performance as questions arise around Solana's stability,

 why this could be nothing more than thud crypto holders of the world unite avalanche's first initial litigation offering goes live opening the door to an anew dimension of legal action how does it work avei's emerging empire All this and more in just a moment.

What you are about to see is educational content. not financial advice for today's top stories last Monday marked 13 years since the first bitcoin block was mined and bitcoin's hash rate,i.e computing power simultaneously hit an all-time high the first bitcoin block contained the headline from the time newspaper for January the 3rd 2009, which read quote chancel or on brink of second bailout for banks this hidden message was meant to underscore. bitcoin's role as an alternative to the current financial system which is controlled almost exclusively by central banks around the world.

the historical correlations between monetary policy and the price action of asset markets are as clear as day and the recent crypto crash is no exception to the crash. we've just witnessed was caused by the same thing that crashed the stock market and the precious metals market in the release of the minutes. i.e summary of the federal reserve's December meeting the minutes revealed that some federal reserve officials seem keen to increase interest rates at a faster rate than originally planned.

as we all know increases in interest rates have negative impacts on company investments and consumer spending both of which impact stock market valuations and because asset markets are forward-looking they are beginning to sell. now even though the actual interest rate increase is still months away the good news is that it's likely the federal reserve will cease its aggressive interest rate rhetoric.

when the adjusted inflation figures come out for December this Wednesday the bad news is that bitcoin is also experiencing a crypto-specific factor which is dragging down the price of BTC and that's a massive drop in hash rate due to an internet outage in Kazakhstan amidst ongoing protests there china's crypto crackdown from may last year suggests that this hash rate will eventually find its way to western countries primarily the united states that were good news for crypto mining companies in the recipient regions but bad news for bitcoin as most of its hash power may soon be coming from countries like Kazakhstan,

 which is becoming increasingly hostile to proof of work mining this could put bitcoin in danger in the not so distant future now bitcoin isn't the only cryptocurrency feeling the pressure these days either last week Solana experienced not one but two episodes of quote degraded performance while these issues were reportedly caused by another distributed denial of service or DDoS attack Solana founder and developer Anatoly yakivenko explained that they were in fact due to an ongoing Solana upgrade.

 the same can't be said for the issues Solana experienced in September and December last year however these were in fact caused by DDoS attacks now for those unfamiliar DDoS attacks essentially involves spamming a service with too many requests so that it goes down, in this case, that means spamming a cryptocurrency blockchain with too many transactions so that it grinds to a halt some analysts believe that the insanely low transaction fees and predictable transaction ordering created by Solana's proof of history technology make it more susceptible to DDoS attacks than other cryptocurrency blockchains assuming this is the case it's something that can and likely will be fixed before Solana's actual main net launch Solana remember is still technically in beta.

what cannot be fixed though is the blockchain bloat that every layer one cryptocurrency will experience now in plain English degraded performance is something almost every crypto will experience with enough users and transactions polygons owned degraded performance last week is proof of this polygon's poor performance was caused by a play-to-earned blockchain game called sunflower farmers which coincides says created conditions akin to quote an unintentional distributed denial of service attack even ethereum's arbitrary scaling solution saw an outage over the weekend due to high demand still there's no question that Solana needs.

 some serious work and you can see how much progress the project has made by watching my most recent update about it using the link in the description anyways another ethereum competitor that made the headlines last week was avalanche this is because of the successful launch of the first-ever initial litigation offering or something that avalanche had been planning since December 2020. as the name suggests initial litigation offerings make it possible to crowdfund the money required for a lawsuit using cryptocurrency in exchange token holders for the clothes participated in stand to gain a cut of the damages awarded by the courts assuming the lawsuit is successful of course the first ILO features an American company called another whose legal hemp farm was unlawfully destroyed by local law enforcement in its California county or,