Liminal Newsletter: April Edition

April was poised to be the most hyped month in Web3 history, with the last Bitcoin Halving just around the corner, but it flattened out at the right with the market just not responding to the way everyone expected it to. Irrespective, we saw some big news driving from industry leaders like Ripple looking to enter the stablecoin market and Uniswap reportedly got sued by SEC and another anticipated launch of Bitcoin and Ethereum Spot ETF launch in Hong Kong. On the Liminal we saw a lot of milestones reached. We celebrated our third anniversary in style and finally got our VARA license IPA. We also attended Token 2049 and made a significant there positioning as a regulated custodian in UAE. At last, we also released our first-of-many podcast session with Web3 OG, bringing Andreas for the first one.?

Ripple to launch stablecoin pegged to the US dollar

Ripple plans to launch a stablecoin pegged to the US dollar, arriving later this year on the XRP ledger and Ethereum blockchains. Backed by solid assets, it aims to tap into the growing stablecoin market, projected to exceed $2.8 trillion by 2028.

Ripple CEO Brad Garlinghouse sees this as a crucial step in merging traditional finance with crypto. Institutions are already making strides in this space by collaborating with compliant, crypto-savvy players, and Ripple is poised to lead the charge!

SEC To File Lawsuit Against Uniswap

Uniswap disclosed a notice from the SEC signaling potential enforcement action. UNI token plummeted 9.5% post-announcement. Wells notices, preliminary warnings, typically precede enforcement actions. Uniswap's COO and Chief Legal Officer discussed the focus of the notice, alleging Uniswap's involvement as an unregistered securities broker and exchange. Uncertainty looms over UNI token's classification as a security.

Spot Bitcoin & Ethereum ETFs Start Trading In Hong Kong

Hong Kong makes strides in the virtual asset investment realm with the debut of Asia's first spot bitcoin and ether ETFs. Following the US's approval of bitcoin-linked ETFs, Hong Kong introduces six funds by three managers—Bosera Funds, China Asset Management (Hong Kong) Limited, and Harvest Global Investments. These ETFs, tradable in Hong Kong and US dollars, along with Chinese yuan for ChinaAMC (HK), saw price rises between 0.62% and 3.81% within the first 30 minutes of trading.?

Despite predictions from CCData of lower inflows compared to the US, Hong Kong offers the unique feature of in-kind creation and redemption through eligible dealers, allowing investors to utilize bitcoin and ether for ETF investments.

Bitcoin Halving Is Done, What Now?

The fourth bitcoin halving took place on 19th April, reducing the issuance rate to approximately 3.125 bitcoins every ten minutes. While historically halvings have spurred sharp price rises, the impact this time remains uncertain. Considered more symbolic than transformative, the event underscores bitcoin's value proposition amidst inflation concerns. Miners may bear the brunt of revenue loss, prompting exploration of alternative income streams.

ViaBTC made history by mining the 840,000th block on the Bitcoin network, coinciding with the halving event. Notably, the successful miner reaped over 40 bitcoins, exceeding $2.6 million in total rewards, inclusive of block subsidy and fees, as per data from mempool.space.

Liminal Turned 3

Three years ago, we embarked on a journey to transform digital asset wallets and custody for institutions. Starting with self-custodial wallets, guided by the principle of ‘not your keys, not your coins,’ we've evolved into a robust custody platform serving institutions of all sizes.

Our journey has been eventful. Witnessing a surge in institutional adoption, we've seen shifts in the digital assets ecosystem and regulatory landscape. With billions compromised in hacks and scams, the need for robust security and compliance practices became evident.

With 85 team members, 80+ clients across 12 countries, and over $700Mn AUM, we're proud of our achievements and excited for what lies ahead. Here's to continued innovation and empowerment in the digital asset space!?

Read more about our journey here

Team Liminal Attended Token 2049

Team Liminal made a mark at Token 2049 Dubai, the premier Web3 event, focused on forging connections, fostering partnerships, and advocating for secure custody and compliant wallet solutions for institutions. Our delegation, led by Founder Mahin Gupta, CEO - Middle East, Amir Tabch, BD Lead Europe, Adam Parnell, Director MENA Mohammad Durrani, Associate Director, Strategy & Business Operations, Samyak Kothari, and Founding Member Manan Vora, showcased Liminal as a burgeoning regulated custodian in the MENA region.

A Podcast With Web3 OG-Andreas Antonopoulos.

Check out the teaser for our podcast, Block & Key, where Liminal's Mahin Gupta sits down with Web3 pioneer Andreas M. Antonopoulos. Join us as we explore blockchain's transformative potential and its impact on industries worldwide. Subscribe to our YouTube channel for the full episode and more insightful discussions with leading figures in the blockchain space.?

Watch the teaser

Liminal Gets Selected In The Latest Hub71 Cohort

We're thrilled to share that Liminal Custody Solutions has been chosen to be part of cohort 14 at Hub71, a renowned tech ecosystem in Abu Dhabi. Being selected among the top 2% of over 1200 global applicants is a tremendous honor. It reaffirms our dedication to providing businesses with a secure and knowledgeable digital asset custody experience. We're excited to collaborate with other innovative startups and contribute to the thriving digital assets ecosystem in Abu Dhabi.?

Read more?

Liminal Receives Initial Approval From Dubai's Virtual Asset Regulatory Authority

Liminal has received Initial Approval from VARA, Dubai’s Virtual Asset Regulatory Authority, a significant step towards acquiring a full Virtual Asset Service Provider License. Once obtained, Liminal will offer regulated custody services in the UAE. CEO Amir Tabch expressed excitement, emphasizing the commitment to regulatory standards and client needs. The team will focus on compliance, security, and risk management to ensure client asset protection. Liminal's Institutional Custody offering, launched in March, addresses the growing demand for secure digital asset management, covering current needs with robust security and compliance features.

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