Daily Digest - 19th September 2022

Headlines

▌Security Agency: Hacker Attacks EthereumPow Chain to Profit 200 ETHW

The security agency BlockSec said that it was detected that the attacker was replaying the message of the PoS chain on EthereumPow, and the root cause of the vulnerability was that the bridge did not properly verify the actual chainid of the cross-chain message. The attacker first transferred 200 WETH through the omni bridge of the Gnosis chain, then replayed the same message on the PoW chain, earning an additional 200 ETHW. As a result, the balance of the chain contract deployed on the PoW chain will be depleted.

Cryptocurrency

▌SEC and Ripple Call for Immediate Ruling on Whether XRP Sale Violates Securities Law

Both the U.S. Securities and Exchange Commission (SEC) and Ripple Labs want a federal judge to rule that crypto companies linked to the XRP cryptocurrency violated federal securities laws, or otherwise dismiss the lawsuit without a lengthy trial. Both the SEC and Ripple filed motions for summary judgment in the Southern District of New York, asking District Judge Analisa Torres to rule based on arguments presented in accompanying documents. The documents were released to the federal court database on Friday.

▌Bloomberg analyst: Bitcoin Rally Triggers Will Be Related to Increased Adoption and Demands

Bloomberg Intelligence senior commodity strategist Mike McGlone pointed out in a Sept. 17 interview that the trigger for Bitcoin’s rally will be related to increased adoption and demand. Overall, Bitcoin and cryptocurrencies are likely to top all asset classes in the current environment, he noted. According to McGlone, cryptocurrencies have the added advantage of having the fastest growing technology. Meanwhile, McGlone compared current market conditions to the dot-com bubble of 2000, in which select assets stood out while others collapsed. However, he noted that Fed policy could play a key role in ending the current situation.

▌Report: Even if Bitcoin Price Hit $2 Million by 2040, It May Still Consume Less Than 1% of the World’s Energy

Crypto research and analytics firm Arcane Research released a report estimating the development in bitcoin’s energy usage toward 2040. The report points out that even bitcoin price hit $2 million by 2040, it may still consume less than 1% of the world’s energy. The research analyst Jaran Mellerud argues that it is worth spending less than 1% of global energy to secure a global monetary system.

Key Economic Event

▌U.S. President Biden Expects A "Soft Landing" for the U.S. Economy

President Biden has said he doesn't believe the economy is as bad as people think. Biden, who rarely does interviews, made the assertions during an interview with CBS 60 Minutes on Sunday. His optimistic view on the state of the economy came after stocks fell sharply last week when a key August inflation report came in hotter than expected. “We hope we can have what they say, 'a soft landing,' a transition to a place where we don't lose the gains that I ran to make in the first place for middle-class folks, being able to generate good-paying jobs and expansion. And at the same time make sure we are able to continue to grow,” Biden promised.