Liminal Newsletter: March Edition

As we are closing down on the countdown to Bitcoin halving the market is in the ATH breaking mode, leading to an increased participation in the market from both retail and institutional investors. The month of March also saw a few major updates from the Ethereum Dencim upgrade coming at just the right time, when on-chain transactions are rapidly growing across L2s, to SEC chasing after Ethereum to classify it as security. Overseeing the market action, there were a lot of updates coming in from key jurisdictions to introduce assets like Bitcoin & Ethereum to their traditional and institutional investors in a regulated space.?

Ethereum Dencun Upgrade Now Live, Reducing Transaction Fees on L2s

Ethereum's Dencun upgrade slashes Layer 2 transaction fees by up to 99%, boosting scalability and potentially fueling growth for applications and new blockchain networks built on Ethereum. The upgrade follows last year's Shapella update and introduces "proto-danksharding" to achieve significant fee reductions. Many chains, including Arbitrum, Polygon, and Coinbase Global, rely on this link to the Ethereum Network.?

Bitcoin Rallies Before Halving

Bitcoin (BTC) has been on a winning streak lately despite challenges like a strong U.S. dollar and rising Treasury yields. It's soared to its highest levels since late 2021, leaving bulls cheering. Even though a price dip might be on the horizon, the overall trend looks bullish. Experts predict that BTC could surpass its record high of $69,000 before the fourth mining reward halving on April 19. History tells us that as the halving approaches, Bitcoin tends to rally. This time, it's no different, especially with the enthusiastic support from the crypto community. TradeFi folks are also eagerly snapping up Bitcoin ETFs in anticipation of the halving frenzy.

SEC Pursuing Legal Campaign to Classify Ethereum as a Security

The SEC is investigating Ethereum and may classify it as a security, potentially derailing hopes for a Spot Ethereum ETF this year. This comes despite strong performance in the digital asset market, with Bitcoin reaching new highs. The investigation focuses on the Ethereum Foundation and its shift to proof-of-stake governance.

London Stock Exchange to Launch Bitcoin and Ethereum ETN

The London Stock Exchange just announced that it is launching a market for bitcoin and ether exchange-traded notes (ETNs) on May 28. But here's the kicker: they're already accepting applications for trading these crypto ETNs starting April 8. Of course, everything is subject to approval from the U.K. regulator, the Financial Conduct Authority. These ETNs will be exclusively available to professional investors, and it's all part of the growing recognition of digital assets in traditional financial markets.?

Alright, now, it’s time to take a break from the news around the world and give you a sneak peek into what has happened at Liminal over the past month.

Liminal Launches Digital Asset Custody?

Get ready for the game-changer in digital asset custody! Liminal is proud to announce the launch of its highly anticipated secure and compliant digital asset custody platform. We've witnessed the evolution of digital asset custody from self-custody wallets to multi-sig setups, and now, we're stepping up the game to introduce institutional-grade fully managed custody. Our platform is designed to simplify security, compliance, and operational excellence for institutions, providing unparalleled peace of mind. With rigorous integrations, bank-grade key management, proprietary risk monitoring, and extensive fund deployment opportunities, we're here to tackle the unique challenges of managing digital assets head-on.?

Read More: Media Announcement

Liminal Solved Solana Transaction Failing Problem

Due to a sudden surge in on-chain activity on Solana, 50% to 80% of transactions were failing. This happened because Solana transactions usually come with an expiry component derived from the blockhash, which can't be predicted. Blockchain nodes struggle to keep up when demand is high, making the typical 60-second expiry impossible to meet. To solve this, Liminal introduced transactions that don't expire, by harnessing a feature called 'Nonce Accounts' on $SOL, which allows proxy contracts to operate without expiry, we've bypassed the usual constraints, ensuring reliability even during peak times.?

Liminal Launched “Block & Key” Webinar Series

Following the successful launch of Liminal’s digital asset custody platform, we’ve joined forces with Dolce Vita Advisors to bring a knowledge series packed with insights from experts across security, custody, compliance, and taxation domains. The aim? To delve deep into the intricacies of digital asset custody, discussing technicalities, anecdotes, and roadmaps to achieve perfect security, compliance, and key management.?

Kicking off the series was the first webinar, "Digital Assets for Family Offices." It covered a range of crucial topics, including the significance of digital assets and current global trends, regulations surrounding investing in digital assets and custody in India, and the current landscape of crypto investments by family offices. Featuring speakers from Cavenwell Group , Deloitte Consulting and BrownRice Capital is a must for family offices.

Join Liminal For A New Webinar On Framework to Find the Right Digital Asset Custodian?

Liminal is coming with its second webinar under the Block & Key webinar series. This time, we are bringing an exclusive webinar featuring industry experts to dispel misconceptions and craft an actionable plan for finding the perfect custodian for institutions. Featuring speakers from CoinSwitch , Dolce Vita Advisors , KoinX , Paragon Consulting Partners , and BlockAML , is a must for CFOs, CTOs, COOs, and Heads of Crypto/Digital Assets.

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