CoinDesk Weekly Summary: EigenLayer, Kraken, Coinbase, AWS Highlights
Following last week’s tariff-related developments, this week in crypto was relatively calm. Bitcoin held steady around $84k. The CoinDesk 20 index, which tracks about 80% of the market, saw an increase of about 4% over the past week—nothing particularly remarkable. However, there were still notable events. On Tuesday, a technical issue at AWS caused significant disruptions in the crypto space, highlighting that the decentralized economy isn’t always as decentralized as one might think. Shaurya Malwa reported the incident early. Bitcoin and other significant cryptocurrencies dipped due to negative news surrounding Nvidia, as reported by Omkar Godbole. The project Mantra, which focuses on real-world assets, experienced a dramatic loss of 90% in value, attributed to “force liquidations” by exchanges, according to the company. Meanwhile, EigenLayer, a leader in restaking, introduced a “slashing” feature aimed at enhancing security (detailed by Sam Kessler).
OKX, a notable exchange, announced its intention to establish operations in California following a $500 million settlement with the SEC regarding previous operational issues in the U.S. without a money transmitter license, as covered by Cheyenne Ligon. In less favorable news, Kraken reduced its workforce by “hundreds” in anticipation of a potential IPO. Additionally, Coinbase found itself in a “front running controversy” related to a uniquely named token on its Base L2. Privacy advocates expressed concern over rumors that Binance may delist Zcash amid a prolonged decline in privacy coin values. In news from Washington D.C., Jesse Hamilton reported on an influx of crypto lobbyists in the capital, sparking discussions about the number of trade groups and their potential effectiveness. Friends With Benefits, a social club for creative technologists, launched a new initiative to develop Web3 products related to music, film, publishing, and other engaging activities. (This piece was authored by me.)
As always, the broader economy and markets influenced crypto (with comments on the Fed by Trump adding to the uncertainty). However, within the crypto realm, it was largely business as usual—fortunes gained, fortunes lost, and fortunes postponed.
