Today, enjoy the 0xResearch newsletter on Blockworks.co. Tomorrow, get the news delivered directly to your inbox.\u00a0<\/em>Subscribe to the 0xResearch newsletter<\/em><\/a>.\u00a0<\/em><\/p>\n There are about 1.38 million ERC-20 tokens<\/a> in existence. But exchanges, naturally, support only a tiny fraction of those tokens for deposits and trading. Coinbase<\/a> caters to around 200.<\/p>\n If you sent one of the unsupported tokens into an exchange deposit address, you would be very disappointed to find it vanish into the aether (not to be confused with ether!).<\/p>\n Enter asset recovery. Coinbase\u2019s in-house tool, launched in December 2023, was recently upgraded to support Base<\/a>.<\/p>\n According to a spokesperson, the tool will allow users to recover some 4,000 distinct ERC-20 tokens erroneously sent to Coinbase addresses over the years.<\/p>\n The US dollar value of all that previously marooned crypto was not disclosed, but if you were the unwitting Coinbase client with assets cast asunder, you may be in luck.<\/p>\n Customers can recover eligible assets and send them to a self-custodial wallet, although for recoveries over $100, \u201ca small administrative fee\u201d applies, along with network fees (deducted from the user\u2019s ether balance).<\/p>\n What if, after you recover some castaway crypto from Coinbase and sent it to your Safe<\/a>, you suffer another sad misfortune and misplace a private key to your multisig?<\/p>\n Today, Sygnum Bank switched on a module for Safe\u2019s Recovery hub that could come to the rescue.<\/p>\n Sygnum is the first bank to offer this service, in development since last year<\/a>, which provides an institutional-grade recovery option for users who lose access to their Safe wallets. When designated as a recoverer on Safe\u2019s platform, Sygnum can restore wallet access, thus addressing a thorny problem in the crypto space.<\/p>\n Forgotten keys often result in inaccessible funds, and somewhere north of 900,000 ETH \u2014 worth billions of dollars \u2014 may have been irrevocably stranded due to lost keys, the bank estimates.<\/p>\n The safe module is an alternative to relying on social recovery methods, such as sharing private key fragments with friends and family, or managing personal backups.<\/p>\n And you don\u2019t have to trust the Swiss bank to designate it as a third-party recoverer. Importantly, Safe\u2019s design allows the owner to cancel any recovery attempt through onchain veto rights in the case a bogus recovery is attempted. The tool is designed to be flexible, allowing users to set multiple recoverers, and also features additional security measures like time delays.<\/p>\n The service is designed to be compliant with regulatory requirements, requiring identity verification (KYC<\/a>) for both the setup and recovery process.<\/p>\n That may rub some the wrong way, but Martin Burgherr, Sygnum\u2019s chief clients officer, assures that the bank takes \u201cappropriate security measures to maintain the required security of personal data and ensure its confidentiality.\u201d<\/p>\n In the future, one might imagine a more Web3 identity alternative that uses zero-knowledge proofs to allow clients to provide selective disclosure. That\u2019s something the bank is watching, Burgherr told Blockworks.<\/p>\n Key management remains a challenge for many, but Sygnum and Safe are working toward a practical solution that retains the concept of self-sovereignty for both institutional and individual users.<\/p>\n \u2014 Macauley Peterson <\/em><\/p>\n I opened up Twitter today and all over the timeline was Sui.<\/p>\n The MoveVM L1 is coming up 6th<\/a> in daily trading volumes, a Sui bridge connecting to EVM-based chains is going live<\/a> today on mainnet, and the SUI token has rallied<\/a> this week into the top 20 tokens by market cap at $5.2 million.<\/p>\n The armchair analyst kind of way to explain this type of sudden burst in growth is to look at how much Sui is giving out in terms of liquidity incentives.<\/p>\n As far as I can tell, that number is not officially reported. But we can make some guess-timates based on Twitter posts:<\/p>\n Together, that\u2019s a weekly average of about 643k SUI. If we assume that 15 Sui dapps have the liquidity tap turned on, that bill comes up to something like 77.2 million SUI ($139 million) over the last two months.<\/p>\n That is a lot<\/em> of money for a very short period of time.\u00a0<\/p>\n Again, that is just a guess, but with that much money up for grabs, it does explain why Sui\u2019s TVL has seen an up-only direction:<\/p>\n That is not to take anything away from the technological design of Sui, which I\u2019m sure is impressive.\u00a0<\/p>\n Like all new L1s on the block, Sui is fast. Its founders have claimed<\/a> on the 0x Research podcast the chain\u2019s parallelized execution design allows horizontal scalability to be \u201cinfinite,\u201d thus rendering Vitalik\u2019s blockchain trilemma<\/a> \u201cirrelevant.\u201d<\/p>\n Sui does not have to grapple with the multitude of scalability problems that plague older chains like Ethereum. It doesn\u2019t have to deal with the kind of political turmoil stirred when a new up-and-coming researcher like Max Resnick comes in and questions the overarching multiyear-long roadmap and proposes a radical idea of his own (multiple current proposers).\u00a0<\/p>\n Sui\u2019s fee markets are also segmented and use auctions to ensure<\/a> stable network fees globally<\/em>, even when SUI\u2019s price spikes up or down. This multidimensional fee market contains gas spikes to local <\/em>fee markets. It\u2019s a similar idea to one Solana<\/a> has been talking about to explore solving its many network outages in earlier years due to transaction spam<\/a>.<\/p>\n \u2014 Donovan Choy <\/em><\/p>\n USDC transfers on Base:<\/p>\n Base\u2019s share of total USDC transfer volumes across major EVM networks is hitting a second consecutive weekly peak over Ethereum mainnet \u2014\u00a060.2% share this time. It\u2019s not clear what onchain activity is driving the surge.<\/p>\n My first hunch was memecoins, yet Base\u2019s memecoins do not drive that much trading volume. Its top memecoin, BRETT, generated<\/a> $44 million in trading volume over the last 24 hours. For context, total USDC transfer volumes<\/a> in the last week of September was $75.8 billion<\/em>.<\/p>\n Other relevant variables may include the revamp of Coinbase\u2019s Web3 smart wallet, which lets users send USDC (and EURC, cbBTC) for free, or the conclusion<\/a> of Base\u2019s three-month long \u201cOnchain Summer\u201d <\/a>campaign which distributed 300+ ETH to builders and generated $5 million revenue for creators.<\/p>\n \u2014 Donovan Choy<\/em><\/p>\n Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter<\/a>.<\/strong><\/p>\n Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. Subscribe to the Forward Guidance newsletter<\/a>.<\/strong><\/p>\n Get alpha directly in your inbox with the 0xResearch newsletter<\/a> \u2014 market highlights, charts, degen trade ideas, governance updates, and more.<\/strong><\/p>\n
\nAverting disaster<\/h2>\n
Sygnum\u2019s Safe Solution<\/h3>\n
It\u2019s pronounced \u2018swee\u2019<\/h2>\n
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Chart of the Day<\/h2>\n
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