Ecosystem Update July 24

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Dear investors,

We're thrilled to share our July 2024 Ecosystem Update. This detailed report explores the latest market trends and events, highlights significant achievements within the Advanced Blockchain ecosystem, and features recent organizational developments. Furthermore, it provides an extensive overview of our progress and insights into the broader industry landscape.

Macro Industry View

July has been a month with uncertainty throughout the whole crypto market. This uncertainty is first reflected via macro market trends. The total market cap of crypto gradually rose from $2T to $2.5T in July, but then dropped drastically at the end of July and the beginning of August.

Key events in July brought uncertainty onto the stage. The U.S. election has been packed with key events, with candidate and former president Donald Trump surviving an assassination. Joe Biden stepped down from the competition, making Donald Trump more likely to get elected. The latter then released positive signals towards the whole crypto industry in his talk on Bitcoin Conference. During his speech, Trump highlighted the potential of Bitcoin as a financial asset and suggested it could play a role in reducing the U.S. national debt.

On July 23rd, the SEC gave preliminary approvals to 8 spot ETH ETF. U.S. spot Ether ETFs saw net inflows totaling $106 million. This debut marked a significant milestone for the cryptocurrency market, as nine ETFs tied to the spot price of Ether were launched. Among these, BlackRock's iShares Ethereum Trust and Bitwise Ethereum ETF were the top performers, garnering $266.5 million and $204 million in inflows, respectively. However, the launch also led to substantial outflows from the Grayscale Ethereum Trust, which experienced withdrawals of $484 million. This shift was anticipated as the conversion from a traditional trust to an ETF allowed investors to more easily sell their shares. Despite the strong inflows into the new ETFs, the overall market saw Ether's price drop by 1.3% on the first day but recovered slightly by the afternoon.

Ecosystem Key Updates

Summary

peaq has expanded its ecosystem by integrating DePIN projects Combinder, Kaisar, and Roam Network, which leverage AI for data rewards, idle GPU power for AI projects, and enhanced mobile network insights, respectively.
Composable Finance’s Picasso is expanding its ecosystem through a partnership with Elys network. Composable also announced the launch of Mantis, an intent-oriented yield-generating Solana roll-up.
Panoptic receives grant from Uniswap Foundation to develop a platform for passive liquidity providers, which will attract more LPs to Uniswap.
Over the past month, Neon has formed several key partnerships. Coin98, a leading non-custodial wallet, now supports Neon EVM, and Yona, a Bitcoin L2 network, integrates the Neon stack to bring EVM compatibility with SVM execution to the Bitcoin blockchain.
Light, in collaboration with Helius, a top crypto development platform, has announced a new product called ZK Compression. This lightweight, scalable primitive is now available on Solana and Helius zk-testnet.
Pendulum’s Spacewalk bridge has announced partnership with Soroswap, providing users with seamless cross-chain asset transfer between Stellar and Polkadot.
Delv’s new product Hyperdrive is live on Ethereum Mainnet. They bring fixed rate yield to Ethereum.

Peaq‍

Peaq has continued to expand their peaqosystem by integrating new DePIN projects Combinder, Kaisar and Roam Network into Peaq. Combinder is leveraging AI agents to enable anyone to earn rewards for providing data from their smart devices, like air conditioners or smart fridges, which can be used to balance the grid. Kaisar allows anyone to offer their idle GPU power to AI projects and earn rewards for it. Roam is transforming the mobile network landscape by enabling mobile operators and enterprises to gain valuable insights that would be highly challenging to gather without the DePIN model.

Composable Finance‍

Picasso continues to expand its ecosystem by partnering with Elys network. Furthermore, Composable Foundation also announced the launch of their next product Mantis, an intent-oriented yield generating Solana roll-up.

Panoptic

Panoptic received grant from Uniswap Foundation to develop a platform for passive liquidity providers, which will attract more LPs to Uniswap.

Neon‍

In the past month, Neon has settled quite some partnerships. Coin98, a leading non-custodial wallet, now supports Neon EVM. In addition, Yona, a Bitcoin L2 network, now integrates Neon stack, bringing EVM compatibility to the Bitcoin blockchain with SVM execution.

Light Protocol‍

Light team has announced a brand new product ZK Compression together with Helius, a top crypto development platform. ZK Compression is a light-weight, scalable primitive on Solana. It is now on Solana and Helius zk-testnet.

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Pendulum‍

Pendulum’s Spacewalk bridge has announced partnership with Soroswap, providing users with seamless cross-chain asset transfer between Stellar and Polkadot.

Delv‍

Delv’s new product Hyperdrive is live on Ethereum Mainnet. They bring fixed rate yield to Ethereum.

ABAG Update

Our team remains focused on wrapping up the group consolidated reports and respective audit, paving the way for our upcoming Annual General Meeting (AGM) for the financial year 2023. More updates on the concrete date of the AGM and the respective agenda will follow during the course of August 2024.

The AGM serves as a unique platform to keep our investors informed about the group's recent developments, current and future initiatives, and to answer all open questions.

As of August 5, 2024, the Supervisory Board of Advanced Blockchain has dismissed the sole member of the Management Board and CEO of the Company, Mr. Simon Telian, with immediate effect.

Mr. Hatem Elsayed has been appointed as a new member of the Management Board, and acts as Chief Operating Officer (COO) and has been appointed until December 31, 2025. Mr. Elsayed has recently served as a Project Manager. He brings extensive experience in the blockchain and Web3 sectors, being an angel investor and an ambassador for the Polkadot Network in the Middle East region.

Moreover, the Supervisory Board intends to add Mr. Maik Laske as Chief Financial Officer (CFO) to the Management Board team in the near future. Mr. Laske has more than 30 years of experience in the areas of Finance, Controlling, Investment Banking, Treasury, M&A and Investor Relations.

An investor update will take place during the course of the current week to address all your questions and provide an update on the recent company developments.

Lastly, our newly appointed COO attended EthCC and Polkadot Decoded in Belgium, enhancing our communication with our portfolio companies such as Pendulum, catching up on recent technological developments, and connecting with founders building in the space.

Advanced Blockchain, through Incredulous Labs, holds 5.5% of PEN’s (Pendulum’s governance token - partly vested) total token supply as a result of advisory services provided during the initial phases of Pendulum’s establishment.

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We deeply value your continuous support and look forward to welcoming you to our upcoming investor update call.

Best regards,

Advanced Blockchain Team

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