At the end of the second quarter, the bear market is continuing. However, social networking sites continue to extensively discuss blockchain, metaverse, web3, NFT, and similar terms. Let's Trait Sniper count on some market events from last week!

Blockchain Market

EU Agree on MiCA Crypto Rules

The MiCA (Markets in Crypto-Assets) framework, launched in 2020, attempts to simplify the growth of crypto firms throughout the 27 member states of the E.U. and includes a wide range of requirements for crypto issuers and service providers. It also has unique legal rules for stablecoins, which are cryptocurrencies linked to the value of other assets such as the U.S. dollar.

Under the new laws, stablecoins such as tether and Circle's USDC will be required to maintain ample reserves to meet redemption requests in the event of mass withdrawals. If stablecoins become too big, daily transactions might be limited to 200 million euros. The regulations are a response to the collapse of TerraUSD, a so-called "algorithmic" stablecoin that attempted to maintain a $1 value via a sophisticated algorithm. The incident took out billions of dollars from the entire cryptocurrency market.

MiCA will also address environmental issues around cryptocurrencies by requiring companies to publish their energy use and the ecological effect of digital assets. The restrictions will not apply to tokens without issuers, such as bitcoin. Still, trading platforms will be required to advise customers of the risk of loss connected with digital trading tokens.

MiCA is the E.U.'s first effort to create a comprehensive regulatory framework for digital assets. The regulations are expected to go into force as early as 2024, a momentous step that would place the E.U. ahead of both the United States and the United Kingdom in terms of implementing crypto-specific legislation.

WeChat is Banning Accounts Associated with NFTs and Crypto

WeChat, a popular Chinese social media platform, has changed its terms of service to prohibit accounts that participate in "virtual money or digital collecting business" — i.e., NFTs and cryptocurrencies. This form of communication is deemed "violating content" under the unlawful activities provision of the app.

In the event of China's total ban on crypto trading and mining in 2021, many hypothesized that the country would next target NFTs. They have already begun prohibiting users from trading or speculating on NFTs and requiring them to make NFT purchases using the Chinese Yuan, a fiat currency. With this newest announcement, the Chinese NFT market and community have faced yet another challenge.

NFT Market

The Collaboration: Gucci x SuperRare

A household name and iconic fashion business, Gucci, is going deeper into the web3 world. A revolutionary new art collection, ‘The Next 100 Years of Gucci’, is now live through the Gucci Vault, presented by Gucci and SuperRare. The art collection sale is the latest move by Gucci into the new digital realm of NFTs. The Value Art Space show contains 29 artists picked from a varied and unique group of producers.

Additionally, this relationship between Gucci and SuperRare is possible after Gucci bought $25,000 worth of RARE tokens to join the SuperRareDAO. It is a rare partnership, with the fashion brand being the first of such enterprises to join a DAO.

Obviously, Gucci has some significant intentions for its future inside web3.

KPMG Enters the Metaverse and Invests in Web3 Training

In March this year, KPMG Canada acquired World of Women non-traded shares. Ethereum and Bitcoin have also been introduced to the company's corporate treasury. Meanwhile, KPMG US has included NFT and crypto training in the onboarding process for new employees.

KPMG’s metaverse collaboration hub was set up jointly by KPMG in the U.S. and Canada. The center will act as a meeting place for workers, customers, and communities to explore cross-sector development prospects. The center will emphasize education, cooperation, training, events, and seminars. In addition, this year, the two companies would spend $30 million on Web3 experiences. The two companies have already established specialized teams to assist their customers with their metaverse strategies. In addition, they will collaborate on developing new tools and solutions as they continue to investigate Web3's potential.

As one of the Big Four Accounting firms, KPMG’s metaverse move spells big things for the Web3 space.

Facebook NFT adoption

The news that Facebook is implementing NFTs on its platform is vital for the NFT industry. There are four images of the Facebook application displaying NFTs. These photos illustrate the different display choices for posting NFTs to a timeline. In addition, when you click on the picture, you will be presented with information on the whole art collection and the artist of each NFT.

Facebook has also announced that there would be no costs involved in forming NFTs on its social media platform. Notably, it will also restrict the use of NFTs in any advertising. This is a crucial choice since ads and commerce now play a significant role on the site.

Adopting NFTs on both Facebook and Instagram is part of Meta's big dream for the metaverse. The organization is fully committed to the concept of the "metaverse" and seeks to lead the web3 revolution.

Coca-Cola Pride NFT Collection

Coca-Cola is celebrating International Pride Day with the release of the Coca-Cola Pride Collection of NFTs. They will donate all proceeds from initial and secondary sales to the LGBTQIA+ community organization, OUT, which is the second-oldest South African organization serving the LGBTQIA+ community. It provides people with both physical and mental health care.

The limited-edition run of 136 NFTs is now available online for the Coca-Cola Pride Collection. Buyers will mint on the Polygon network. Consequently, NFT purchasers will experience cheaper transaction costs and have a far lesser environmental effect.

Final Thought

A growing number of major players have entered the blockchain field. Despite the fact that cryptocurrency markets are in the red, the actions listed above demonstrate efforts to address blockchain and NFT challenges, such as legal and environmental concerns. Thus, the future of blockchain, NFT, Web3, and the metaverse will seek to grow.

Trait Sniper Weekly News 5 (27.06 - 03.07.2022)

Related Posts

Lazy Mint: All things NFT creators need to know

Trait Sniper Weekly News 10 (01.08 - 07.08.2022)

NFT and Gaming Industry: Meaning and the Future