By Shikha Singh
Coinbase’s Base Plans for 25 mn Users and $100 bn in Assets by 2025.
Base, the Ethereum Layer 2 network incubated by Coinbase, has unveiled an ambitious roadmap for 2025, aiming to position itself as a leader in the crypto ecosystem.
The network plans to onboard 25 million users and 25,000 developers, enhance blockspace capacity, and target $100 billion in total assets on the platform.
Base’s strategy includes empowering developers with open tools like OnchainKit, supporting AI-driven apps, and fostering a thriving ecosystem of on-chain applications.
It also plans to simplify user experience with its Smart Wallet and increase asset liquidity to establish itself as a hub for global on-chain markets.
IRS to Require Third-Party Reporting on Crypto Transactions Starting in 2025.
Starting in 2025, cryptocurrency transactions on centralized exchanges (CEX) will fall under new IRS reporting requirements. Custodial trading platforms like Coinbase and Gemini, as well as certain wallet providers and payment processors, will be required to report digital asset transactions on a new 1099-DA form. 2025 tax returns must include this form, which details purchases and sales. However, brokers will not need to report cost basis information until 2026, which may complicate accurate tax calculations.
Decentralized platform transactions, such as those on Uniswap and Sushiswap, will not require third-party reporting until 2027. Meanwhile, Bitcoin ETF investors will face reporting requirements in 2025, with forms like 1099-B or 1099-DA detailing taxable events within the fund.
NFTs Endure One of Their Weakest Years Since 2020 in Trading and Sales.
The NFT market struggled in 2024 despite a broader rally in the digital asset industry, marking its weakest performance since 2020.
While trading volumes initially surged to $5.3 billion in Q1, they dropped significantly to $1.5 billion by Q3, with a partial recovery to $2.6 billion in Q4.
Overall, the market saw a 19% decline in trading volume and an 18% drop in sales. Due to rising token values like ETH, NFTs often sold at higher prices, but the sector’s struggles highlighted that NFTs are don’t need to be expensive to remain relevant in the Web3 ecosystem.
The gaming sector emerged as the dominant force in NFT sales, emphasizing NFTs’ role in facilitating true ownership and player-driven economies. In the NFT marketplace battle, Blur outpaced OpenSea for most of 2024, thanks to its zero-fee trading and airdrop campaigns.
Solana’s Daily Fees Hit Record High of $33 mn as Trump Family Memecoins Boost.
Solana (SOL) experienced a significant spike in daily transaction fees, reaching a record high of $33.2 million, driven by increased trading activity surrounding memecoins linked to U.S. President-Elect Donald Trump.
The introduction of the “Official Trump” (TRUMP) and “Melania Meme” (MELANIA) tokens on Solana caused a surge in on-chain activity, pushing Solana-based decentralized exchanges’ daily volume above $27 billion, the highest among Layer 1 chains.
The launch of TRUMP on Saturday saw its market cap quickly surpass $14 billion, while MELANIA, launched the following day, reached a $1.6 billion market cap.
World Liberty Financial Secures Trump-Related ENS Domain Names.
President-elect Donald Trump’s DeFi platform, World Liberty Financial, has made significant moves in the crypto space, igniting speculation about impending launches of Trump family memecoins.
On January 19, the platform secured several Ethereum Name Service (ENS) domain names, including barrontrump.eth, erictrump.eth, trumpcoin.eth, and worldliberty.eth, hinting at potential future projects.
Trump’s memecoin, TRUMP, launched just before his inauguration, quickly reached a market cap of $9 billion and peaked at $15 billion before settling around $12 billion.
Following this, Melania Trump released her own token, MELANIA, which saw a $6 billion market cap within hours of its launch. While the tokens have gained attention, some critics have dismissed them as “pump and dump” schemes.
In addition to launching memecoins, World Liberty Financial also invested $48 million in Ethereum, bringing its total ETH holdings to over $107 million. Eric Trump hinted at further moves planned for the DeFi platform.
Hashgraph Association Partners With Taurus For Global HBAR Custody Push.
The Hashgraph Association has partnered with digital asset infrastructure provider Taurus to enhance the security and accessibility of Hedera’s HBAR cryptocurrency and other assets for financial institutions.
The collaboration concentrates on custody, staking, and tokenization, especially in Europe, Asia, the Middle East, and Africa, where regulatory frameworks such as Europe’s MiCA offer more precise guidelines for digital transactions.
Additionally, the Hashgraph Association is exploring digital asset use cases in Qatar, focusing on tokenized equities, real estate, sukuk (Islamic bonds), and sustainability-related assets like carbon credits, along with consumer engagement and loyalty programs.
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