XDC extends rally

Lazy Bitcoin and that other lollygagger, Ethereum, each recorded a -0.1% loss in the past day. We can almost hear crypto denizens muttering "whatever," that is if they even noticed.

Alas, the sector is that multi-splendored (if a little wonky), with memecoins veering into decentralized finance (DeFi) and hybrid chains harmonizing global trade.

Meanwhile, embodying an onward/upward spirit, an embattled exchange is set to launch its own layer-2 blockchain.

That's right: Coinbase, despite its legal trouble, next week will roll out Base, its layer-2 blockchain built with Optimism's OP Stack (CoinDesk).

"Layer 2" refers to a set of separate systems – adjacent to the layer-1 chain – allowing for scaling.

Optimism's OP token has gained nearly 3% in the past 24 hours. It's now the 42nd-largest digital asset. OP's market capitalization stands at about $1.2 billion.

Another bright flash of green appears in the ranks of the Top 20 which today boasts enigmatic laggards (like Litecoin, down 3%) and low-energy crawlers (such as Solana up 1%).

But for some legit moving/shaking, feast your eyes on No. 15 Shiba Inu. SHIB advanced 4.8% in 24 hours. The meme-inspired project is trying to escape its pigeonhole, pivoting toward prioritizing digital identity services so as to strengthen the project's image among users and governments, opening the door to a DeFi realm increasingly connected with everyday users determined to gain more control over their personal data.

"The move is the latest attempt by Shiba Inu to break away from its meme coin status and become a serious DeFi contender," CoinDesk said.

Shiba Inu is also launching a layer-2 network, Shibarium, right now being tested but expected to go live later this month.

Meanwhile, the top-performer today among the largest 100 digital assets is XDC Network, up 11.2% in 24 hours as of 8:08 a.m. (EST). The 44th-largest coin (with a market cap of $1.1 billion) has gained 38% in the past week.

XDC is a hybrid blockchain that integrates elements of public and private chains (while being Ethereum compatible) in a bid for real-world relevancy. These days, XDC is ramping up a new initiative, XDC Trade Network, an XDC-platform-run suite of dApps for dealing with the intricacies of trade finance.

XDC is eight cents. Its all-time high of nineteen cents came in late August of 2021.

The dog days are here. Bitcoin is an old hound lying slacked jawed in the shade. BTC is -0.3% since last Friday morning.

More unsettling, according to Glassnode, is evidence indicative of longer-term holders having decided to reduce their holdings. Glassnode analyzed several-years-old BTC stashes deemed inactive for at least one year. The total supply of BTC that fits that description has decreased. Not a great sign.

It has now been two weeks since the largest crypto even dared to tip-toe up or down more than a few hundred dollars. As of Friday at 8:52 a.m. (EST), BTC was about $29,120.

More dramatic volatility is expected to resume, said CoinDesk, citing a report by K33.

“A deep crypto sleep tends to be followed by a violent wake-up,” said Vetle Lunde, a K33 analyst. "The market is clearly in an unprecedented stable stage."

Trade finance isn't the sexiest corner of the centralized financial world. But it's steadily evolving into a breeding ground for blockchain use cases.

Over the decades, farmers, manufacturers, supply chains and a vast tapestry of intermediaries embraced globalization; financiers helped parties sleep at night, essentially by writing short-term insurance policies for precious cargo winnowing its way around the planet by way of sea-faring freighters. But the sector eventually became weighed down by the ballast of endless documents in need of signatures, and signatures in need of verification, as goods went from factories to ports to freighters to warehouses (and as hedge funds sat ready to take delivery of containers in the instances where intended recipients had to back out for whatever reason).

Digital transformation in this once "paperwork intensive" sector has been gradual but seems to be accelerating.

To further streamline such operations, XDC is partnering with Infocomm Media Development Authority (IMDA).

The IMDA platform is called TradeTrust. Looking out over the horizon, the XDC/TradeTrust vessel is a bet on the proliferation of trade document standards, specifically ones set out by Singapore's Model Law on Electronic Trade Records (MLETR); it’s a framework for cross-border trading that relies heavily on TradeTrust which is now integrating XDC's blockchain (Global Trade Review).

Last month, the UK’s Electronic Trade Documents Bill, based upon MLETR, gave digital documents the same recognition as their paper counterparts under English law.