The Weekly Wrap – Lightning comes to Twitter and OpenSea goes mobile

Sep 24, 2021 - 5 min read

1. Using Strike, Twitter offers iOS users free, instant global payments using Bitcoin Lightning

The Facts:

  • Twitter became Strike’s first API partner, offering Bitcoin Lightning payments to Twitter users through the just released Strike API.
  • The function allows a user to send a small amount (“tip”) to any other user in the Twitter network, instantly and at negligible cost.
  • The functionality will be rolled out to Android users over the coming weeks.

Why it’s important:

  • Having more than 200m daily active users, Twitter multiplies the number of people being exposed to Bitcoin/Lightning on a regular basis in an environment they are familiar with.
  • A single move by one platform player enables a network of 320m people globally to transfer money instantly and at negligible cost. This may over time put a dent in the high-fee remittance market with an estimated size of close to $600B.
2. Sorare raises $680 million in Series B

The Facts:

  • Sorare, a soccer NFT trading platform, raised $680 million in a Series B round led by SoftBank, valuing Sorare at $4.3 billion.
  • The Paris-based startup has 600’000 registered users and licensed players from over 180 soccer teams, with card sales of $150 million so far this year.
  • In “fantasy games” users form virtual teams consisting of professional sports players to win points based on their real-life performance.

Why it’s important:

  • NFTs are a new way for fans to participate in fantasy gaming, a $20 billion market expected to further grow in the coming years.
  • This fundraise could interest more teams and players to enter the crypto space using NFTs or fan tokens, another form of fan engagement.

I thought Bitcoin was a good idea in August of 2020. Every single month for the past 13 months there have been fundamental developments in the space that have made it a better idea.

3. OpenSea launches mobile application

The Facts:

  • OpenSea, the largest NFT marketplace, has launched a mobile application for iOS and Android.
  • Inside the app, users are able to discover new works and view statistics on NFT collections.
  • The app allows users to connect a mobile crypto wallet to their user profile or to enter a watch-only Ethereum address.

Why it’s important:

  • This app could build on OpenSea’s momentum in the NFT space by offering users an additional channel for NFT transactions.
  • The new application will improve the user experience for mobile users, particularly with the option to directly interact with the marketplace through mobile wallets like MetaMask or Rainbow.
4. Evergrande debt fears trigger market de-risking

The Facts:

  • Evergrande, a Chinese property development giant, has been reported to be $300b in debt, with interest payments of $84m due last Thursday.
  • The reports triggered a sell-off in both traditional and cryptocurrency markets as part of investors’ move to de-risk.
  • As a reaction, The People’s Bank of China has injected the equivalent of $25b into the banking system through reverse repo agreements.

Why it’s important:

  • The event highlights the correlation of traditional markets and cryptocurrency markets, particularly during liquidity shifts to less risky assets.
  • A collapse of Evergrande could have significant impacts on the world economy, reminiscent of 2007’s subprime mortgage crisis.

Number of the week

Amount of Chinese developer giant Evergrande’s debt obligations at risk

5. Only 5% of South Korean Exchanges registered with FSC days before deadline

The Facts:

  • Back in April, the South Korean Financial Services Commission (FSC) announced registration requirements for cryptocurrency exchanges engaging in won (KRW) trading.
  • So far, only four exchanges have fully registered with the South Korean regulator’s anti-money-laundering enforcement unit.
  • Those non-compliant after the deadline of September 24 face being blocked by the South Korean authorities.

Why it’s important:

  • With the deadline this week, more than 60 South Korean exchanges could be forced to suspend trading services partially or fully.
  • Such a suspension of trading services would have a negative impact on consumer choice, especially when it comes to smaller-cap cryptocurrencies not offered by the major exchanges.

In other news

  • Coinbase cancels planned crypto lending product after SEC Wells notice (via The Block)
  • SushiSwap leader “0xMaki” moves to advisor role (via The Block)
  • US officials investigate Binance on alleged insider trading (via The Block)

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