Can ETH outshine BTC in January? IRS DeFi broker regulations, and more: Hodler’s Digest, Dec. 22 – 28

As we near the end of 2024, let’s delve into some of the most intriguing and exciting stories from the past week that are making waves in the world of cryptocurrency.

The Internal Revenue Service (IRS) has recently issued new rules surrounding digital asset reporting, specifically focusing on brokers who facilitate transactions with digital assets. This includes platforms that help customers with transactions involving cryptocurrencies. These regulations, set to go into effect in 2027, require brokers to disclose important information about digital asset transactions, including gross proceeds from sales and information about the taxpayers involved.

When it comes to exchange-traded funds (ETFs), US-listed Bitcoin and Ether ETFs have seen significant growth in 2024. Bitcoin ETFs alone brought in a whopping $35.66 billion in net inflows, surpassing initial industry expectations. The Fidelity Wise Origin Bitcoin Fund and the ARK 21Shares Bitcoin ETF also saw substantial inflows, totaling $11.84 billion and $2.49 billion, respectively.

An unfortunate incident took place recently when the X account of Yat Siu, co-founder and chair of Animoca Brands, was hacked. The hacker used Siu’s account to promote a fake token on Solana, leading to confusion and concerns within the cryptocurrency community. This hack is part of a larger trend of similar attacks on crypto X accounts, with some hacks resulting in significant financial gains for hackers.

MicroStrategy, a software company known for its investments in Bitcoin, has called a shareholders’ meeting to discuss expanding its equity-issuance plan to fund more Bitcoin purchases. The company is seeking permission to issue additional shares to support its ongoing investments in the cryptocurrency.

Unfortunately, cryptocurrency hacks have been on the rise in 2024, with hackers stealing over $2.3 billion from the Web3 ecosystem. This represents a 40% increase compared to the previous year, raising concerns about the security and mainstream acceptance of cryptocurrencies.

In terms of market performance, Bitcoin is currently at $94,337, Ether at $3,317, and XRP at $2.14. The total market cap stands at $3.28 trillion, according to CoinMarketCap. Among the top 100 cryptocurrencies, there have been notable gains and losses this week, with some altcoins seeing significant increases in value while others have experienced declines. Remember to check out Cointelegraph’s market analysis for more detailed information on crypto prices.

As we reflect on the past week’s events in the world of cryptocurrency, it’s clear that the industry is constantly evolving and experiencing both growth and challenges. Stay tuned for more updates and insights into this fascinating and dynamic space.