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Humanity is absolutely not ready for the next supervolcano eruption

Even if we manage to avoid self-destruction by another world war or climate change, there are many more existential threats for which we would do well to prepare.

Most often you can hear that an asteroid will fly to us from space, so humanity began to prepare for this event by developing monitoring systems, because we do not want to end up like dinosaurs.

But in a recent study published in Nature, experts say the asteroid hazard has overshadowed one that is much more likely: “Over the next century, large-scale volcanic eruptions are hundreds of times more likely than asteroid and comet impacts combined”.

Governments and space corporations spend hundreds of millions of dollars annually on planetary defense. For example, the NASA DART mission, aimed at testing the technology of changing the orbit of an asteroid, which will happen as early as October, cost about $330 million.

It’s a small price to pay considering this technology could save us from being killed by an asteroid in the future, but scientists see the problem that there is no comparable investment to prepare for super-eruptions.

Volcanoes, unlike asteroids, are already here on Earth. They are not just scattered all over the planet, but often surrounded by picturesque landscapes that hide their destructive potential.

According to the US Geological Survey, the last supereruption occurred about 22,000 years ago, and their frequency averages about every 15,000 years, which means that we may well live at a time when a new supereruption can occur.

The last sufficiently strong eruption, falling short of receiving the prefix “super”, with a magnitude of 7, occurred in 1815 on Mount Tambora in Indonesia.

About 100,000 people died then, and the ash and dust thrown into the atmosphere lowered global temperatures by an average of about 1 degree Celsius, which is why the next year went down in history as the “Year without a summer”, followed by crop failures and, as a consequence, famine, outbreaks of disease and violence.

Yes, monitoring of volcanic activity has improved since then, as has our ability to mobilize global support for disaster relief, but that may (most likely will) not be enough to offset all the risks we now face.

he world’s population has increased eightfold since the early 1800s, and some large urban areas flourished near dangerous volcanoes.

The globalization of various processes, including trade, has led to overall development, but can become a problem, as shocks in one part of the planet can cause food shortages and other crises in others.

In a 2021 study based on ancient ice core data, researchers found that the intervals between powerful eruptions are hundreds or even thousands of years shorter than previously thought.

More such studies, experts believe, are needed, as well as interdisciplinary work aimed at developing tools for monitoring and predicting consequences by identifying risks for trade, agriculture, energy and infrastructure, as well as warning.

In general, scientists believe that humanity today is completely unprepared for this danger.

The post Humanity is absolutely not ready for the next supervolcano eruption appeared first on Anomalien.com.

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Algorand upgrade boosts speed, adds trustless cross-chain communication

Algorand has increased its transaction speed, processing capacity and cross-chain functionality with a major upgrade.

Pure proof-of-stake (PPoS) blockchain Algorand has introduced cross-chain communication and transaction speed improvements with the latest upgrade to its protocol.

The layer-1 blockchain network announced the implementation of State Proofs to its mainnet, which introduces trustless communication between different blockchain protocols. The upgrade also increased Algorand’s processing speed from 1,200 to 6,000 transactions per second.

The upgrade also includes the provision of new tools for developers as well as on-chain randomness capabilities for decentralized applications (DApps) running on Algorand. On-chain randomness is a key feature of Algorand’s PPoS consensus, in which network validators are chosen at random despite the respective amount of staked Algorand (ALGO) tokens.

As Algorand unpacked in a recent Medium post, State Proofs are cryptographic proofs of Algorand’s state that allows DApps on other blockchains to trustlessly verify Algorand transactions. The upgrade also increased the block size to 5 MB and a “sub-4-second block latency and finality.”

The introduction of State Proofs allows Algorand to securely connect to different blockchain networks without using an intermediary. Cross-chain interoperability and connectivity have mainly been powered by cross-chain bridges and validator networks, which have been subject to high-level exploits in recent times.

3/ Today’s upgrade also features an increase in performance from 1,200 to 6,000 TPS and new best-in-class developer tools, allowing organizations building on #Algorand to continue to scale to meet growing demand for #Web3 applications pic.twitter.com/1CJyL0587L

— Algorand (@Algorand) September 7, 2022

Algorand touts its quantum-secure, trustless State Proofs as a solution to the centralized nature of storage points in existing cross-chain service providers and platforms. Exploits of cross-chain bridges have resulted in the loss of more than $2 billion in 2022 alone.

Paul Riegle, chief product officer at Algorand, highlighted the upgrade as a significant step in facilitating the growth of Web3 platforms running on its network:

“From State Proofs, which are a game-changing blockchain interoperability security feature, to increased TPS, we are unlocking the tools required for Web3 applications to fulfill their vast potential.”

Algorand’s upgrade is timely considering that Ethereum is on the cusp of its transition from proof-of-work to proof-of-stake (PoS) consensus, with the Merge set to take place in the next couple of weeks. Ethereum’s move to PoS is set to drastically improve the scalability and efficiency of the network while reducing its carbon footprint.

Algorand is the brainchild of MIT professor Silvio Micali, who founded the PPoS blockchain to address what is known as the “blockchain trilemma.” The trilemma suggests that no blockchain can be simultaneously decentralized, scalable and secure.

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Bitpanda aims to entice crypto investors to TradFi by adding commodities

The exchange now allows crypto investors access to traditional investments such as natural resource commodities like precious metals.

The Vienna-based fintech unicorn Bitpanda is harkening back to the ways of traditional finance (TradFi) through new offerings on its exchange platform.

By adding commodities to its list of available investment options, Bitpanda aims to provide its users to benefit from short-term price fluctuations in more traditional instruments, such as oil, natural gas and wheat.

Bitpanda CEO Eric Demuth told Cointelegraph that due to investor demand, the line between TradFi and decentralized finance (DeFi) is becoming more blurred every year.

“People want to be able to trade multiple asset classes simply, safely and conveniently, and TradFi is catching up to that idea.”

In both financial realms, there are lessons to be learned about what benefits consumers most. TradFi is taking notes from DeFi in terms of accessibility, while DeFi has lessons to learn from traditional financial mechanisms as far as risk mitigation.

“TradFi has focused on expanding its accessibility, and that is driving a convergence. There is still some way to go before [it] can claim to have the same level of usability and accessibility offered by fintechs.”

With estimates of more than 300 million crypto users as of this year, traditional and DeFi traders are most likely on the road to some middle ground.

Related: How blockchain technology is changing the way people invest

As major institutions around the globe caught on to the crypto investment, opening up trading opportunities to assets like commodities on a digital asset exchange could also serve as a gateway to traditional instruments for crypto investors.

“Crypto investors tend to be very involved in tradable markets. They also appreciate the simplicity offered by platforms that allow them to make quick and easy investments into multiple asset classes.”

Demuth says if platforms can offer the accessibility and simplicity of crypto trading, but with listings which include assets from TradFi investment possibilities widen.

Though he also stressed that in such instances an emphasis must be placed on educating about the pros and cons of each asset within the parameters of their place within the financial world. 

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Which countries are the worst for crypto taxation? New study lists top five

Crypto analytics firm Coincub has released crypto tax rankings, pointing out the worst and the best countries regarding crypto taxation.

Global cryptocurrency taxation rules significantly vary among countries, and some jurisdictions have come up with extremely tough crypto tax policies for their residents.

In a new study by crypto analytics firm Coincub, Belgium is referred to as the worst country in the world in terms of crypto taxation for residents. That is according to in-house rankings covering taxation aspects like taxes on crypto income or crypto capital gains.

Belgium is known for its massive 33% tax on capital gains on crypto transactions, and it also withholds up to 50% in taxes from professional income on crypto trades. As previously reported, Belgium adopted strict crypto taxation rules back in 2017.

Released on Thursday, Coincub’s tax rankings also bring up countries like Iceland, Israel, the Philippines and Japan as the locations less favorable to crypto investors.

In Iceland, any crypto gains up to $7,000 are subject to under 40% tax, while bigger gains will incur 46%, the report notes. Under Israel’s tax regime, the sale of crypto is usually subject to capital gains tax, which is up to 33%. On the other hand, if crypto trading involves a business income tax, it may go as high as 50%.

In the Philippines, there is no tax on any crypto income under $4,500, but after that, any income is taxed up to 35%. The country’s government has been also discussing new taxes on crypto by 2024, raising concerns that Manila may follow India’s lead and impose a 30% flat tax on all crypto income.

Japan closes the top-5 worst countries for crypto taxation for residents in Coincub’s rankings. The country has a progressive tax rate system for income considered miscellaneous income. The tax rate varies from 5% to 45%, depending on the amount of total profits.

Among other strict crypto tax economies, Coincub also mentioned countries like India, Austria, the United States, Norway, Denmark and France.

On the other hand, the study pointed out a number of countries that provide tax-efficient incentives to citizens and have much more favorable crypto tax policies. According to the rankings, Germany tops the list as the best place for crypto investors, as anyone holding cryptocurrency for a minimum of a year will incur no capital gains tax on selling or converting their crypto. Other crypto-tax-friendly countries include Italy, Switzerland, Singapore and Slovenia.

Related: Australian Treasury consults public on Bitcoin foreign currency tax exclusion

Additionally, Coincub mentioned classic tax havens or countries that offer foreign businesses and individuals minimal to no tax liability for their financial deposits, where crypto is no exception. Among those, the study listed The Bahamas, Bermuda, Belarus, the United Arab Emirates, the Central African Republic, Lichtenstein and others.

Coincub emphasized that crypto taxation is very fast-changing as new regulations occur regularly. The firm also noted that there is an increasing number of countries that apply flat tax rates on gains for individuals, aiming to simplify tax take.

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Plasma-based Life in the Universe: Another Look at what Can Be Called Life

Plasma-based life is hypothetical life based on what is sometimes called the “fourth state of matter”. The possibility of such non-corporeal life is a common theme in science fiction.

However, in September 2003, physicists managed to create plasma clots that can grow, reproduce and communicate, which meets most of the traditional requirements for biological cells.

With no genetic material in their composition, they cannot be called alive, but researchers believe that these curious spheres may offer a radical new explanation for how life began.

Most biologists believe that living cells arose as a result of a complex and long evolution of chemicals, which took millions of years, starting from simple molecules through amino acids, primitive proteins, and finally forming an organized structure.

But if Mircea Sandulovich and his colleagues at Cuza University in Romania are right, then the theory may need to be revised.

They argue that cell-like self-organization can occur in a few microseconds. The researchers studied environmental conditions similar to those that existed on Earth before the dawn of life, when the planet was engulfed in electrical storms that caused plasma to form in the atmosphere.

They inserted two electrodes into a chamber containing a low-temperature plasma of argon, a gas in which some atoms are split into electrons and charged ions. They applied a high voltage to the electrodes, causing an arc of energy to shoot through the gap between them like a miniature lightning bolt.

Sandulovich says that this electrical spark caused a high concentration of ions and electrons on the positively charged electrode, which spontaneously formed spheres.

Each sphere had a boundary consisting of two layers – an outer layer of negatively charged electrons and an inner layer of positively charged ions. Inside the boundary there was an inner core of gas atoms.

The amount of energy in the initial spark determined their size and lifespan. Sandulovich managed to grow spheres from a few micrometers to three centimeters in diameter. A clear boundary layer that delimits and separates an object from its environment is one of the four main criteria commonly used to define living cells.

Sandulovich decided to find out if his cells met other criteria: the ability to replicate, transmit information, metabolism and growth.

He found that the spheres could replicate, splitting into two parts. Under the right conditions, they also grew in size, absorbing neutral argon atoms and splitting them into ions and electrons to replenish their boundary layers.

Finally, they could transmit information by emitting electromagnetic energy, causing the atoms inside other spheres to vibrate at a certain frequency.

Spheres are not the only self-organizing systems that meet all these requirements. But they are the first gaseous “cells”. Sandulovich even believes that they may have been the first cells on Earth, originating in electrical storms.

“The emergence of such spheres is probably a prerequisite for biochemical evolution,” he says.

This research raises the intriguing possibility that life throughout the universe may have a much broader basis than is commonly acknowledged.

If life in plasma can arise naturally, then the places of its search can be the outer layers or interiors of stars (the Sun), the magnetospheres of planets, regions of high temperatures, and even ball lightning.

The post Plasma-based Life in the Universe: Another Look at what Can Be Called Life appeared first on Anomalien.com.

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Vermont’s financial regulator alleges Celsius and its CEO made ‘false and misleading claims’

According to the regulator, Celsius “lacked sufficient assets to repay its obligations” despite suggesting it had enough funds in its reserves to mitigate the risk of insolvency.

The ​​Vermont Department of Financial Regulation, or DFR, alleged crypto lending platform Celsius Network and CEO Alex Mashinsky misled state regulators about the firm’s financial health and its compliance with securities laws.

In a Wednesday filing with the United States Bankruptcy Court in the Southern District of New York, Vermont’s financial regulator said Celsius and Mashinsky “made false and misleading claims to investors,” which allegedly downplayed concerns about volatility in the crypto market and encouraged retail investors to leave their funds on the platform or make new investments. According to the state regulator, Celsius and its CEO “lacked sufficient assets to repay its obligations” despite claiming the firm had enough funds in its reserves to mitigate the risk of insolvency.

The DFR cited company blog posts and tweets from Mashinsky starting in 2021, suggesting that the platform was “profitable or financially healthy” at a time when it was experiencing “catastrophic losses” and “failed to earn sufficient revenue to support returns.” In addition, the regulator said it had learned of credible claims that Celsius and its management team “engaged in the improper manipulation of the price of the CEL token,” using investor funds to purchase additional tokens and payout many to depositors as interest.

Notwithstanding the extreme market volatility, Celsius has not experienced any significant losses and all funds are safe.

— Alex Mashinsky (@Mashinsky) May 11, 2022

“By increasing its Net Position in CEL by hundreds of millions of dollars, Celsius increased and propped up the market price of CEL, thereby artificially inflating the company’s CEL holdings on its balance sheet and financial statements,” said DFR assistant general counsel Ethan McLaughlin. “Excluding the Company’s Net Position in CEL, liabilities would have exceeded its assets since at least February 28, 2019. These practices may also have enriched Celsius insiders, at the expense of retail investors.”

The financial regulator called for an investigation into Celsius’ alleged manipulation of the CEL tokens’ price, which “artificially inflat[ed] the value of the company’s net position in CEL on its balance sheet and financial statements.” Though Celsius officially filed for Chapter 11 bankruptcy in July, a balance sheet analysis conducted by the DFR suggested the platform may have been insolvent on May 13, if not earlier.

Related: Celsius bankruptcy proceedings show complexities amid declining hope of recovery

Cointelegraph reported on Aug. 16 that Celsius may have been on track to run out of funds by October, with a report suggesting the company’s debt was closer to $2.8 billion against its bankruptcy filing claims of a $1.2 billion deficit. During the bankruptcy court proceedings, Celsius co-founder Daniel Leon claimed his stake in the platform, 32,600 common shares, was effectively “worthless.” On Sept. 1, former Celsius users petitioned the bankruptcy court to allow them a legal remedy to recover $22.5 million in the platform’s custody.

Cointelegraph reached out to Celsius and Alex Mashinsky, but did not receive a response at the time of publication.

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GameStop doubles down on crypto amid a new partnership with FTX US

After launching an NFT marketplace and wallet with the help of Immutable X, GameStop is continuing its push into crypto following a partnership with FTX.

Gaming retailer GameStop is partnering with United States crypto exchange FTX US to bring more customers to crypto and work together on online marketing initiatives. 

In a Wednesday statement, the gaming retailer noted that the new partnership will introduce GameStop’s customers into the FTX ecosystem, including its marketplaces for digital assets, while also seeing the retailer become FTX’s “preferred retail partner in the United States.”

The partnership will also see certain GameStop retail stores carrying FTX gift cards. As of Aug. 31, there are 2,970 GameStop stores across the United States.

In its Q2 earnings call, GameStop CEO Matt Furlong said the new deal is aimed at establishing something “unique” in the retail space:

The deal we just announced with FTX is a by-product of our commerce and blockchain team, working hand-in-hand together to establish something unique in the retail world.

GameStop did not disclose the financial terms of the partnership in its statement.

News of the new partnership came on the same day that GameStop released its financial results for the quarter that ended July 30, 2022.

Despite GameStop reporting a nearly 4% decline in net sales to $1.14 billion in the quarter, shares in GameStop managed to rise nearly 12% in after-hours trading following the news, reaching $26.84 per share.

GameStop has significantly ramped up its Web3 efforts this year after unveiling a nonfungible token (NFT) and Web3 gaming division in January, as well as the launch of its NFT marketplace on July 11 in partnership with Ethereum scaling solution Immutable X.

Furlong noted during the earnings call that the launch of its marketplace “supports GameStop’s pursuit of long-term growth in the cryptocurrency, NFT and Web3 gaming verticals,” which they expect to be increasingly important for gamers and collectors.

The marketplace is a “non-custodial, Ethereum Layer 2-based marketplace,” which allows users to connect their own digital asset wallets, like the recently launched GameStop Wallet.

Related: GameStop NFT daily fee revenue plunges under $4K as gloom infects markets

GameStop noted that sales attributable to its digital collectibles were $223.2 million in the quarter, representing a nearly 26% increase compared to the $177.2 million worth of sales in the prior year period.

According to DappRadar, the marketplace has seen a volume of $21.26 million traded on it since its launch. Activity on the marketplace has slowed dramatically since its launch, with only $922,350 worth of activity occurring on the marketplace within the last seven days.

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Avalanche flash loan exploit sees $371K in USDC stolen

The scammer deployed a custom smart contract, leveraging a $51 million flash loan to manipulate the AVAX/USDC Trader Joe LP pool price for a single block.

Avalanche-based lending protocol Nereus Finance has been the victim of a crafty hack that saw a user net $371,000 worth of USD Coin (USDC) using a smart contract exploit.

Blockchain cybersecurity firm CertiK was one of the first to detect the exploit on Tuesday, indicating that the attack impacted liquidity pools on Nereus relating to decentralized exchange (DEX) Trader Joe and automated market maker Curve Finance.

CertiK also suggested that underlying protocols themselves were impacted. However, Curve Finance responded via Twitter on Wednesday, stating “maybe you meant ‘assets impacted,’ not ‘protocols impacted’. Only @nereusfinance and its assets seem impacted.”

On Wednesday, Nereus Finance released a detailed post-mortem of the incident explaining an “exploiter” was able to deploy a custom smart contract that utilized a $51 million flash loan from Aave to artificially manipulate the Avalanche (AVAX)/USDC Trader Joe LP (JLP) pool price for a single block.

We’ve published a post-mortem on the NXUSD incident from yesterday. https://t.co/ADhu6PagP2
Thanks @peckshield @CertiK

— Nereus Finance (@nereusfinance) September 7, 2022

As a result, the anonymous hacker was able to mint 998,000 worth of Nereus’ native token NXUSD against $508,000 worth of collateral. They then swapped this capital into different assets via various liquidity pools and managed to walk away with a net profit of $371,406 once the flash loan was returned. 

The incident ended with to the creation of $500,000 of NXUSD “bad debt” in the NXUSD protocol.

The Nereus team says it was quick to remedy the situation. After consulting security experts, developing a mitigation plan and notifying law enforcement, they liquidated and paused the exploited JLP market.

The bad debt was reportedly paid off using NXUSD from the team’s treasury.

According to Nereus, the exploit resulted from a “missed step” in the price calculation, resulting in the opportunity to be exploited. However, it stressed that “no users funds are at risk, and NXUSD continues to be over collateralized,” and the “Lending and Borrowing protocol was not affected by this exploit.”

Nereus is also confident the same exploit won’t be possible a second time, as the team will be  amending its “audit and security practices in order to ensure these types of events do not occur in the future,” noting:

“While this exploit is a bad incident — it’s not uncommon for protocols to face these types of battle tests.”

As of this writing, the Nereus team is trying to identify the hacker and track the funds and has offered a 20% white hat reward for the return of the funds, no questions asked.

Related: Solana-based stablecoin NIRV drops 85% following $3.5M exploit

Despite this recent flash loan exploit and several other notable incidents throughout the year, CertiK’s August 2022 Monthly Skynet Alerts Report, released on Sept. 2, claims there has been a notable decrease in these types of attacks.

Compared to the previous month, August saw a drop of 95% in flash loan attacks, only resulting in a total loss of $745,244, the second lowest this year.

February still has the lowest recorded loss from flash loan exploits with only $200,000.

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Bitcoin is a ‘wild card’ set to outperform —Bloomberg analyst

The commodity strategist has pegged Bitcoin to rebound strongly from the bear market despite headwinds for high-risk assets.

Bloomberg analyst Mike McGlone has labeled Bitcoin (BTC) a “wild card” which is “ripe” to outperform once traditional stocks finally bottom out. 

In a Wednesday post on Linkedin and Twitter, McGlone explained that while the United States Federal Reserve tightening will likely determine the direction of the stock market, Bitcoin remains a “wildcard” that could buck the trend, stating:

“Bitcoin is a wild card that’s more ripe to outperform when stocks bottom, but transitioning to be more like gold and bonds.”

The commodities strategist shared more details in a Wednesday report, which noted that Bitcoin was primed to rebound strongly from the bear market despite a “strong headwind” toward high-risk assets:

“It’s typically a matter of time for the fed funds gauge to flip toward cuts, and when it does, Bitcoin is poised to be a primary beneficiary.”

The report notes that while Bitcoin would follow a similar trend to treasury bonds and gold, Ether (ETH) “may have a higher correlation with stocks.”

The Federal Reserve’s increased quantitative tightening comes amid several major interest rate hikes throughout 2022, with the most recent spike accounting for a 75 basis points increase on July 27.

Macro in Five Charts: Crude, Commodities, Stocks, Bonds, Bitcoin – #Crudeoil may be resuming an enduring bear market and refueling the T-bond bull. #FederalReserve tightening as global GDP turns negative may help transmogrify #stocks to going down on bad news and up on good. pic.twitter.com/KZEWsZyI8h

— Mike McGlone (@mikemcglone11) September 7, 2022

While it is not known exactly when the Fed’s quantitative tightening will end, some economists predicted the endpoint will begin “at some point in 2023” according to a Bloomberg article published in August. 

Quantitative tightening is a contractionary monetary policy tool that is used by central banks to reduce the level of money supply and liquidity in an economy, which can reduce spending across markets such as stocks. 

Related: Bitcoin likely to transition to a risk-off asset in H2 2022, says Bloomberg analyst

Despite Bloomberg’s bullish take, however, other experts believe that Bitcoin and equity markets have actually become more correlated than before.

Cointelegraph contributor Michaël van de Poppe recently said the correlation between the S&P 500 index and BTC was approaching 100%, while a number of IMF economists claimed to have seen a 10-fold increase in correlation between crypto and equity markets in some regions of the world.

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Ether price could ‘decouple’ from other crypto post Merge — Chainalysis

Chainalysis suggests ETH could decouple from other cryptocurrencies post Merge as its staking rewards could make it similar to bonds or commodities.

Crypto analytics firm Chainalysis has suggested that the price of Ether (ETH) could decouple from other crypto assets post-Merge, with staking yields potentially driving strong institutional adoption.

In a Wednesday report, Chainalysis explained that the upcoming Ethereum upgrade would introduce institutional investors to staking yields similar to certain instruments such as bonds and commodities while also becoming much more eco-friendly.

The report said ETH staking is expected to offer a 10-15% yield annually for stakers, therefore making ETH an “enticing bond alternative for institutional investors” considering that treasury bonds yields offer much less in comparison

“Ether’s price could decouple from other cryptocurrencies following The Merge, as its staking rewards will make it similar to an instrument like a bond or commodity with a carry premium.”

According to Chainalysis data, the number of institutional ETH stakers — those with $1 million worth of ETH staked or more — has “been steadily increasing” from under 200 as of January 2021 to around 1,100 as of August this year.

The firm notes that if this number increases at a faster rate following The Merge, this should confirm the hypothesis that institutional investors “do indeed see Ethereum staking as a good yield-generating strategy.”

The Chainalysis report also tips ETH to draw in more retail and institutional traders after The Merge, as the forthcoming upgrade will make staking a much more attractive investment tool.

Currently staked ETH is locked up in a smart contract that cannot be withdrawn from until the Shanghai upgrade comes around six to 12 months after the Merge goes through.

As such the staked ETH market is currently illiquid, resulting in some staking service providers offering synthetic assets that represent the value of the staked Ether, the drawback however is that “those synthetics don’t always maintain a 1:1 peg,” argues the firm. 

“The Shanghai upgrade […] will allow users to withdraw staked Ether at will, providing more liquidity for stakers and making staking a more attractive proposition overall,” the report reads.

Related: Binance US launches low-barrier Ethereum staking ahead of The Merge

Another factor highlighted is that the Ethereum blockchain’s proof-of-stake (PoS) transition will see its energy consumption requirements drop by as much as 99% following the upgrade, according to the Ethereum Foundation:

“The switch to PoS will also make Ethereum more eco-friendly, which could make investors with sustainability commitments more comfortable with the asset. This especially applies to institutional investors.”

ConsenSys, the firm behind the MetaMask wallet and founded by Ethereum co-founder Joseph Lubin, also published a similar report looking at the “impact of the Merge on Institutions” this week.

The report echoes similar sentiments regarding ETH staking rewards and environmental sustainability attracting institutions, but also highlights the importance of the PoS Ethereum chain “producing stronger security guarantees for institutional investors” along with ETH’s potential to become a deflationary asset:

“Reduced ETH issuance and increased burns will systematically reduce ETH supply — putting deflationary pressure on ETH, thereby alleviating institutional concerns of token price dropping to zero, and increasing likelihood of an increase in value.”

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