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Worldcoin (WLD) could face UK regulatory investigations

The Information Commissioner’s Office (ICO), a body that focuses on data protection in the United Kingdom, has revealed that it plans to investigate the Worldcoin project, according to a Reuters report on July 25.

Worldcoin, launched on Monday, July 24th, has faced criticism mainly due to its iris scanning feature.

The project offers WLD coins to people who scan their irises. As stated on their website, the new orbs will be available in over 35 cities in over 20 countries, with London among one of those cities.

“We take note of the launch of WorldCoin in the UK and will be carrying out further investigations,” the Information Commissioner’s Office said.

Meanwhile, Worldcoin’s native WLD token, which is listed on several cryptocurrency exchanges including Binance, Huobi and OKX, will not be available to US residents or US residents or incorporated companies, nor will they be able to access them, meaning that the token is not listed on Coinbase.

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The high difficulty levels of the Bitcoin network are about to drop amid longer block wait times.

Hitting an all-time high on July 11, 2023, reaching a staggering 53.91 trillion, Bitcoin’s difficulty is about to decline to an estimated range of 3.9% to 4.04% on July 26, 2023.

The high level of difficulty of Bitcoin on the verge of halving

The next Bitcoin difficulty recalibration is scheduled for July 26. After a notable increase of 6.45% on July 11, it is projected that there could be a downward adjustment ranging between 3.9% and 4.04%. The generation of Bitcoin blocks occurs approximately every ten minutes and every 2016 blocks, a drop in mining difficulty occurs if the discovery process of these blocks extends for more than two weeks. On the other hand, the difficulty level increases if the mining of the 2016 blocks is completed in less than two weeks.

The lockdown breaks on July 21 and 22 were longer than the usual ten minutes, lasting between 11 and more than 12 minutes. While the hashrate peaked on July 8, it has been lower with an average of 371.1 exhash per second (EH/s) in the last few blocks of 2016. Over the last three days, Foundry USA controlled 30.08% of the global hashrate with 111.75 EH/s, followed by Antpool with 86.92 EH/s or 23.39% of the total hashrate. F2pool, Binance Pool and Viabtc follow the two mining pool leaders.

Currently, as of July 24, block times have shown signs of improvement, falling marginally below the ten minute average, and sometimes leveling off slightly above ten minutes and 24 seconds. Monday at 8:00 a.m. At m. Eastern Standard Time (EST), the order book is filled with 265,000 to 280,000 transactions in a holding pattern, waiting for their turn to be confirmed.

Miners are still struggling with the problem of clearing the backlog that has been bogging down the blockchain for months. To untangle the heap of unconfirmed transactions, 95 blocks need to be removed. An imminent difficulty reduction in a few days should pave the way for mining participants in their quest to discover these blocks.

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Ripple applies for UK cryptocurrency license

Ripple has applied for registration as a cryptocurrency company with the UK Financial Conduct Authority (FCA) following its partial victory against the US SEC.

Payment Protocol Ripple recently applied for registration as a cryptocurrency company with the UK’s Financial Conduct Authority (FCA), a company spokesperson tells Cointelegraph. The company is also seeking a payments license in Ireland as part of its major investment in the region.

More cryptocurrency companies are looking to the UK for regulatory clarity and a favorable business environment amid a wave of enforcement actions by the SEC in the US.

Venture capital firm Andreessen Horowitz (A16z) recently announced its first new non-US office in London, following “months of constructive discussions” with policymakers and the FCA, citing a “predictable business environment” as one of the main reasons for expanding abroad.

Several pieces of legislation have been introduced in the British Parliament with the aim of establishing a crypto-regulated environment in the UK. In June, a bill subjecting cryptocurrencies to the same rules applied to traditional assets was enacted after receiving royal assent from King Charles. The new law gives the Treasury, the Financial Conduct Authority (FCA), the Bank of England and the Payment Systems Regulator the authority to introduce and enforce regulations for crypto companies.

In another recent development, upper house lawmakers discussed a bill that seeks to expand authorities’ ability to target cryptocurrencies used for illicit purposes. The bill includes provisions for authorities to have greater flexibility in the confiscation and recovery of crypto assets.

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UK financial regulator announces launch of permanent Digital Sandbox in August

According to the FCA, the sandbox will be open to companies, startups and data providers, including those involved in banking, investing, lending and payments.

The UK Financial Conduct Authority (FCA) has announced the launch of its Digital Sandbox, which aims to support technology companies in the early stages of product development.

In a July 20 announcement, the FCA said the Digital Sandbox will be permanently available starting August 1. The financial watchdog has run two pilot programs of the initiative, which will be open to companies, startups and data providers, including those involved in banking, investing, lending and payments.

A sandbox allows projects to operate in a test environment to test their products and services largely without unwanted side effects that affect the real world. According to the FCA, the Digital Sandbox aims to help innovative companies in their efforts to launch new products and services, in addition to supporting economic growth and international competitiveness.

The UK Department of Treasury and Finance proposed a “financial market infrastructure sandbox” in April 2022 alongside its plans for a regulatory framework for payment stablecoins. HM Treasury also opened an investigation into a digital securities sandbox that could include crypto products in July.

On July 3, the European Commission announced that 20 projects had been selected for an EU regulatory sandbox. Those who qualified for the initiative included companies in financial and capital markets, telecommunications and information technology, and global trade.

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Aave Launches New GHO Algorithmic Stablecoin on the Ethereum (ETH) Mainnet

Lending and lending platform Aave (AAVE) has launched a new decentralized stablecoin on the Ethereum (ETH) mainnet.

The dollar-pegged stablecoin called GHO (GHO) is governed by the decentralized autonomous organization (DAO) Aave.

Nader Dabit, director of developer relations at Aave, says that the GHO is an “overcollateralized” stablecoin.

“Anyone can mint GHO using the assets they provide on the Aave Protocol V3 Ethereum marketplace as collateral, ensuring that the GHO is supercollateralized by a multitude of assets.

With GHO, the underlying mechanics and policies are fixed and cannot be arbitrarily changed by a centralized entity or individual. All transactions are done via self-executing smart contracts, and all information related to GHO transactions is published and auditable directly from the blockchain or many user interfaces.”

Aave says in the GHO launch announcement that the stablecoin is transparent and committed to the protocol community.

“Interest repaid in the GHO is redirected to the Aave DAO treasury. This supports the sustainability of the protocol and the continued development of new features.”

More than 2.7 million GHO tokens have been minted on Ethereum since the stablecoin’s official launch on Saturday, according to the project’s website.

The GHO fell from its peg to the dollar to a low of around $0.978 at one point on Sunday. It is trading at $0.982 at the time of this writing.