Building Blocks #35

Your route to web3 alpha in the MENA region. Whether you’re a seasoned HODLer or just getting into crypto - we’ve got something for everyone to keep you ahead of the curve. By the community, for the community - Building Blocks.

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Birds Eye View (vs Last 7 Days)

?? Overall Crypto Market Cap: $3.68 Trillion (+6%)

?? BTC Dominance: 54.4% (+1.3 PPT)

?? Price Snapshot:

?? Bitcoin: $104894 (+6%)

?? Ethereum: $3884 (+4.5%)

? XRP: $2.57 (+8%)

?? Solana: $217 (-3%)

VC Round-Up: Diving into Crypto Start-ups raising funds in December

We've rounded up some of the best fund-raising rounds for various start-ups in the crypto space in December:

Brighty secures $10M for Crypto Payments in the UK

Crypto exchange platform Brighty has secured $10 million in funding spearheaded by Futurecraft Ventures to enhance its blockchain technology-powered payment card services across Europe and the UK.

The crypto trading startup provides customers with European IBAN accounts connected to credit cards, plus secure wallet addresses supporting Ethereum, Tron, Polygon, and Arbitrum blockchain networks.

AgriDex raises $9M to tokenize agricultural commodities on Solana

AgriDex, a blockchain technology platform built on Solana's crypto exchange infrastructure, has secured $9 million in funding, with Sycamore Gap leading the round, joined by Endeavour Ventures, Hawkwood Capital, FS Ventures, HU Investments, and angel investors from Citadel, Goldman Sachs, and Palantir.

The platform leverages what is blockchain to facilitate crypto trading of agricultural products, executing trades in wine, coffee, olive oil, and livestock, including royal animals from Gatcombe Park. It provides instant settlements, sub-0.5% transaction fees, and NFT-based record-keeping.

The crypto news platform targets a $4.5 billion agricultural market. Key partnerships include Circle, Plume Network, Imperial Shipping Group, Parrogate Group, and Future Farm.

VanEck leads Superform’s $3M round for SuperVaults

Blockchain technology firm Superform, known for its crypto trading solutions, has secured $3 million in a seed+ extension round with VanEck Ventures leading the investment. Notable crypto exchange partners including Polychain Capital, CMT Digital, Amber Group, Node Ventures, BlockTower Capital, Heartcore Capital, Maven11 Capital, and UpTop Capital also participated.

The funds will drive the development of SuperVaults, Superform's innovative stable coin products automating non-custodial, high-yield investments. Their first offering, SuperUSDC, functions as a stablecoin vault on Ethereum, delivering automated returns across major protocols. Following their $6.5 million seed round in November 2022, Superform's total funding now reaches $9.5 million.

Blockchain technology firm Superform, known for its crypto trading solutions, has secured $3 million in a seed+ extension round with VanEck Ventures leading the investment. Notable crypto exchange partners including Polychain Capital, CMT Digital, Amber Group, Node Ventures, BlockTower Capital, Heartcore Capital, Maven11 Capital, and UpTop Capital also participated.

The funds will drive the development of SuperVaults, Superform's innovative stable coin products automating non-custodial, high-yield investments. Their first offering, SuperUSDC, functions as a stablecoin vault for USDC on Ethereum, targeting consistent returns across major protocols. Following their $6.5 million seed round in November 2022, Superform's total funding now reaches $9.5 million.

Blockchain technology firm Superform, known for its crypto trading solutions, has secured $3 million in a seed+ extension round with VanEck Ventures leading the investment. Notable crypto exchange partners including Polychain Capital, CMT Digital, Amber Group, Node Ventures, BlockTower Capital, Heartcore Capital, Maven11 Capital, and UpTop Capital also participated.

The funds will drive the development of SuperVaults, Superform's innovative stable coin products automating non-custodial, high-yield investments. Their first offering, SuperUSDC, functions as a stablecoin vault for USDC on Ethereum, targeting consistent returns across major protocols. Following their $6.5 million seed round in November 2022, Superform's total funding now reaches $9.5 million.

Yei Finance secures $2M to develop v2 decentralized lending platform

Yei Finance has secured $2 million in seed funding, with crypto exchange leader Manifold heading the round, joined by DWF Ventures, Kronos Research, Outlier Ventures, Side Door Ventures, and WOO, alongside angel investors in the blockchain technology space.

The investment will power the deployment of Yei Finance v2, a cross-chain stable coin lending platform enabling crypto trading across multiple blockchains. The system leverages Circle's CCTP for seamless USDC transfers, eliminating dependency on wrapped tokens and external bridges. The startup's v2 features specialized lending pools for distinct assets and risk levels, plus interest-generating tokens like yUSDC.

Waterfall Network raises $11.6M for blockchain infrastructure

The blockchain technology platform Waterfall Network has secured $11.6 million in funding from Bolt's Capital, Alpha Token Capital, and Enflux. The crypto exchange aims to enhance its crypto trading infrastructure, node optimization, and blockchain scalability with the new capital. This crypto news comes after Waterfall achieved 12,778 transactions per second (TPS).

The crypto platform features Ethereum Virtual Machine (EVM) compatibility and leverages directed acyclic graph (DAG) architecture for parallel transaction processing and consensus mechanisms.

As of December 2024, Waterfall's network boasts 8,647 active validators spread across South and North America, Australia, Africa, Eurasia, and the British, Japanese, and Taiwanese territories.

Union raises $12M Series A for crosschain ZK layer

Union, a blockchain technology platform specializing in zero-knowledge (ZK) settlement, has secured $12 million in Series A funding. The round was spearheaded by Gumi Cryptos Capital and Longhash Ventures, with Borderless Capital and others joining. Founders from crypto trading platforms Polygon, Movement, and Berachain also participated, bringing Union's total funding to $16 million.

Union utilizes ZK-proofs to enable secure crypto exchange operations, including message transmission, asset movements, and cross-blockchain transactions. The platform's Ethereum to IBC bridge connects Cosmos with various blockchain ecosystems, including Polygon, Berachain, Arbitrum, and Movement Labs. Additionally, Union is working on bitcoin interoperability solutions to enhance crypto trading capabilities.

The Series A follows Union's $4 million seed round from 2023, led by Galileo Fund by Anagram.

Which was your favorite start-up to raise funds in December? Let us know in the comments below!

Solana overthrows Ethereum’s 8-year reign as top ecosystem for new Devs

In a significant shift in the blockchain technology landscape, Solana's ecosystem attracted more fresh developers this year, ending Ethereum's eight-year dominance as the preferred platform for new developers.

However, Ethereum maintains its position as the global leader in overall developer engagement within the crypto trading sphere.

According to a December 12 report from Electric Capital, the Solana ecosystem, known for its competitive bitcoin price performance, surpassed the Ethereum ecosystem in attracting new developers for the first time since 2016.

Current statistics reveal that 7,625 new developers joined Solana this year, with substantial growth in Asia, compared to Ethereum's 6,456.

The report highlighted that the Solana ecosystem experienced an impressive 83% surge in activity compared to the previous year, impacting various sectors including stable coin development.

Solana achieved several temporary victories over Ethereum this year. On March 18, Solana's network activity exceeded Ethereum's during a memecoin rush, while October 28 saw it generating more daily network fees than Ethereum over 24 hours.

The study found that 39,148 new developers entered the crypto exchange space this year, showing a 7% decrease from the previous year and roughly half of 2022's peak of over 77,000.

Despite a 17% reduction in monthly Ethereum developers to 6,244 over the past year, it remains the dominant ecosystem for total developer activity in the blockchain life cycle.

Electric Capital's data shows Ethereum leading in active developers across all major continents, from Asia to South America.

Ethereum's layer-2 networks have grown 64% since 2021, with 26% of all monthly crypto developers focusing on L2s and the mainnet.

Eigenlayer, Ethereum's primary restaking protocol, emerged as 2024's fastest-growing developer ecosystem, showing a 167% increase in monthly developers.

The report revealed crypto news of global expansion in developer numbers across Africa, South America, and Asia.

Notably, Asia, Europe, and North America emerged as the primary crypto hubs in 2024.

Asia leads globally with one-third of worldwide developers residing there, largely due to India's success in attracting the most new crypto developers in 2024.

EU Securities and Markets Authority publishes final guidance for MiCA

The European Securities and Markets Authority (ESMA) has unveiled its conclusive guidance report to assist member states in their final transition to the Markets in Crypto-Assets (MiCA) regulation, a significant development in crypto news that impacts crypto trading and blockchain technology adoption.

The regulatory framework under MiCA, which affects crypto exchange operations and blockchain life, commenced implementation in June 2024, with complete enforcement set for Dec. 30. ESMA's latest guidelines aim to provide regulatory clarity to member states still adapting their systems, particularly concerning bitcoin price stability and crypto trading regulations.

As per reports, the stable coin market has experienced significant growth under MiCA's guidance, including developments in stable coin UAE initiatives and AED stable coin projects. However, as of Dec. 10, six European Union members — Belgium, Italy, Poland, Portugal, Luxembourg, and Romania — were struggling to meet year-end deadlines due to regulatory ambiguities in initial MiCA documentation.

According to ESMA's final guidance report: “Stakeholders generally appreciated the clarity of the draft guidelines and the comprehensive?approach taken by ESMA. Several respondents highlighted the need for further clarity on?specific criteria and conditions, while others expressed concerns about the potential?administrative burden the draft guidelines might impose.”

Member states and industry stakeholders, including those involved in bitcoin USD trading and XRP stable coin development, actively participated in the commentary period. The feedback led to ESMA addressing 12 distinct concerns, mostly regarding asset classification and legal usage in blockchain technology frameworks.

A primary concern was the potential for varying interpretations of MiCA laws across member states due to insufficient explanations.

"Several respondents highlighted the potential for legal uncertainty due to the scope of the guidelines and the way the conditions and criteria detailed in the guidelines could be understood by NCAs [national competent authorities]," ESMA noted, warning this might result in "diverging interpretations across member states."

To resolve these issues, ESMA included explanatory scenarios covering various aspects of digital asset regulation under MiCA. However, the report states that MiCA has opted not to provide "real world" examples as the guidelines cannot express opinions on specific cryptocurrencies or similar assets.

The report also addressed concerns regarding the EU's Markets in Financial Instruments Directive II (MiFID II) guidance, which was implemented following the 2008 global financial crisis to standardize financial practices across the bloc.

Member states are advocating for regulatory updates to explicitly categorize crypto assets as financial instruments within the blockchain technology framework. In response, ESMA's guidance proposes enhancing clarity on MiFID II regulations without altering the fundamental definition of financial instruments. This approach aims to balance the criteria for classifying digital assets while maintaining flexibility in crypto trading regulations.

Additionally, member states express concerns about MiCA's lack of clarity regarding crypto exchange operations, particularly in determining legally transferable assets, ensuring technological neutrality, and applying classifications like securities and derivatives across various blockchain-based assets. These concerns directly impact bitcoin trading and stable coin implementations across the region.

Although this represents the Final Guidance Report before the December 30 deadline, ESMA emphasized throughout the comprehensive 49-page document its commitment to ongoing collaboration with legislators and stakeholders. This continuous engagement aims to develop clearer guidelines without modifying the core regulatory framework, ensuring sustainable growth in the crypto and blockchain life ecosystem.

Key Crypto trends shaping the Middle East’s blockchain future

The United Arab Emirates (UAE) is emerging as a global powerhouse for blockchain technology and crypto trading innovation, with significant developments in Islamic-compliant services, AED stable coin initiatives, and worldwide expertise migration, according to industry experts.

During the recent Bitcoin MENA and Abu Dhabi Finance Week conferences in the UAE, crypto news professionals explored the pivotal trends shaping the region's crypto exchange landscape.

In interviews with key figures including Blockdaemon's Chief Revenue Officer, Andrew Vranjes; Core DAO's Head of Ecosystem Growth, Adam Bendjemil; and MatterFi's Head of Business Development, Jakub Zurawinski, to understand their perspectives on blockchain life in the UAE and Middle East.

Vranjes portrayed the UAE as a springboard for blockchain projects, emphasizing its superior regulatory framework compared to other regions. "Our outlook for this market suggests accelerated growth," he stated. "This ecosystem will rapidly ascend in global rankings."

Vranjes emphasized the nation's success in attracting expertise, noting the significant influx of professionals from London, India, and Asia-Pacific regions.

"The convergence of skilled professionals, established companies, and robust regulatory frameworks creates the perfect environment for success," Vranjes noted.

The rising demand for Islamic-compliant crypto services represents another crucial trend, especially in decentralized finance (DeFi). Islamic finance avoids interest-based lending, emphasizing profit-sharing arrangements where lenders and borrowers jointly shoulder investment risks and share outcomes.

Bendjemil highlighted that Islamic compliance is "currently the most significant narrative in the Middle East," encompassing both Bitcoin price USD trends and DeFi developments.

Bendjemil noted this as a "persistent requirement" in the Middle East, with numerous developers actively working on strategies aligned with Islamic principles.

In September, Bybit launched an Islamic-compliant crypto trading account, addressing the needs of investors seeking alignment with religious guidelines.

Zurawinski discussed the transformative potential of stable coin UAE initiatives, particularly AED stable coin developments, which could enhance the nation's payment infrastructure.

On Oct. 18, a stable coin issuer received preliminary approval from the national central bank for a potential XRP stable coin pegged to the UAE dirham. Zurawinski noted, "This demonstrates the focus on local payment solutions, contrasting with USD or Bitcoin USD as legal tender."

Zurawinski suggested that while Bitcoin price adoption as an official payment method might take time, it doesn't diminish the UAE's role as "a blueprint for innovation in the crypto space." The nation continues to demonstrate leadership in implementing what is blockchain technology and fostering crypto exchange development, setting new standards for global markets.

Bitwise launches Solana staking ETP in Europe amid US approval delays

In the latest crypto news, leading crypto index fund manager Bitwise has launched a Solana staking exchange-traded product (ETP) in Europe under the ticker BSOL, while simultaneously pursuing registration approval for its Solana exchange-traded fund (ETF) in the United States.

According to blockchain technology news outlet Blockworks, Bitwise introduced its Solana-based crypto trading product in Europe on Dec. 17, collaborating with Marinade, a self-custodial automation platform.

When approached by Cointelegraph for additional information about the partnership, Bitwise had not provided a response by press time.

The innovative ETP delivers a 6.48% annual percentage yield (APY) to stakers, surpassing other European competitors in the crypto exchange space, including 21Shares, which provides 5.49%.

BSOL maintains a competitive edge with its management fee of 0.85%, substantially below 21Shares' 2.5%.

Following developments in the stable coin and bitcoin price markets, Bitwise established a statutory trust in Delaware last November for its planned spot Solana ETF, pending further regulatory submissions to the Securities and Exchange Commission.

As Bitwise awaits US approval, VanEck's digital asset research head, Matthew Sigel, projected that a US-approved spot Solana ETF would have "overwhelmingly high" probability by 2025's end.

Bitwise's initial European Solana ETP, ESOL, launched in August following the ETC Group acquisition. BSOL enhances ESOL's capabilities by incorporating staking rewards, addressing a significant limitation.

The acquisition expanded Bitwise's portfolio with nine European-listed crypto ETPs, boosting its assets under management beyond $4.5 billion. Currently, ESOL manages assets worth $24 million.

Bitwise's investment chief Matt Hougan and research head Ryan Rasmussen recently predicted that multiple "crypto unicorns" will enter public trading in 2025, including prominent blockchain technology firms including stablecoin issuer Circle and crypto exchange Kraken.

Furthermore, the Bitwise executives projected that bitcoin price usd would exceed $200,000 by late 2025, suggesting bitcoin could potentially surpass gold's current $18 trillion market capitalization by 2029, marking a significant milestone in crypto trading history.

Remote, Stripe enable USDC payments for global contractors

Global payroll provider Remote is expanding its crypto services by enabling US-based companies to pay contractors across 69 countries using the stable coin USDC. This enhancement comes through Remote's partnership with payment provider Stripe, marking a significant development in blockchain technology adoption.

"Stable coin payments enhance Remote's automated systems for contractor management, including onboarding, invoicing, and payment processing," states the company's announcement. The platform's contractor management capabilities are expanding rapidly, reflecting post-pandemic changes in global workforce dynamics and crypto trading patterns.

Contractors can receive their payments in Circle's USDC through a Base wallet address. Base, a blockchain technology initiative, is Coinbase's layer-2 network that launched in August 2023, revolutionizing crypto exchange operations.

The dollar-pegged stable coin enables recipients to maintain value in US currency, offering protection against inflation in various countries, similar to how bitcoin price stability affects market confidence. Stripe's integration allows for near-instant settlements, bypassing traditional banking delays and forex procedures.

Previously, Remote payments through Stripe Connect were limited to local currencies, with some European currencies available to regional recipients. Remote implements KYC verification during contractor onboarding, while Stripe conducts its separate crypto trading compliance checks.

Stripe introduced USDC payment capabilities in summer 2024, returning to the crypto news spotlight after discontinuing its bitcoin usd services in 2018. The company was a pioneer in bitcoin adoption, being the first major payment provider to support BTC in 2014.

Stripe established a partnership with Coinbase in June regarding USDC support on Base. The payment giant launched its stable coin payment service in October, contributing to the broader adoption of blockchain life solutions in global payments.

Stablecoin Exposure in the UAE

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Weekly Merchandise Giveaway

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