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#Helium founder Amir said that the market appears indifferent to project-led token buybacks, and under current conditions the team will stop spending funds on HNT buybacks.
He noted that Helium + Mobile generated $3.4 million in revenue in October alone, and said he would rather use that capital to grow the business.

#Trump claims to have captured Maduro and taken him out of Venezuela; he previously championed the "Petro" cryptocurrency to counter US sanctions.

#Ethereum treasury company Quantum Solutions discloses ETH holdings have increased to approximately 5,418.

#Bitmine further increases staking, causing a surge in ETH holdings in the validation queue, extending the waiting period to 17 days.

#Helium founder: Due to lukewarm market response, HNT token buybacks will be halted.

Robinhood will release its full-year 2025 earnings report on February 10th.

#CoinRank

⏰2025/12/29 - 2026/1/4 | This Week's Top Events: What Did You Miss?

Market Weekend Recap
Here's a quick look at the key headlines from this weekend👇

#CoinRank #CryptoNews #CryptoMarket #CryptoTrading

#Bitfinex hack participant Ilya Lichtenstein to be released early

#Glassnode : Current market structure exhibits typical characteristics of a long-term bear market

#Infinex founder pays $50,000 to Multicoin co-founder after losing a bet on ETH price

10x Research: Crypto market is shifting from defense to opportunity; the next phase favors discipline and active position management

#Tether invests in cross-border QR code payment platform SQRIL;

#CoinRank

Bitcoin exposure has driven MSTR’s derivatives open interest to extreme levels, signaling heavy leverage speculation around MicroStrategy stock.

 

Despite the hype, MSTR shares are down about 50% in 2025, far underperforming Bitcoin, with mNAV compressing toward parity.

 

Rising STRC dividends and potential MSCI index exclusion add financial and structural risks for MicroStrategy investors.

Michael Saylor says Bitcoin made MicroStrategy (MSTR) interesting as derivatives open interest soars, mNAV compresses, dividends rise, and MSCI index risks loom.

 

MicroStrategy founder Michael Saylor, a pioneer of the Bitcoin treasury strategy, recently pointed out that MSTR’s open interest notional value far exceeds that of other tech giants, arguing that Bitcoin is what made MSTR “interesting.”

 

However, MSTR shares have fallen about 50% so far in 2025—significantly underperforming Bitcoin’s roughly 6% decline—prompting some observers to question whether the stock’s weakness is largely the result of heavy short selling.

 

OPEN INTEREST SURGES: HAS BITCOIN-DRIVEN LEVERAGE SPECULATION MADE MSTR “INTERESTING”?

 

Michael Saylor compared MSTR’s open interest notional value with that of other major tech stocks, arguing that Bitcoin is what made MSTR interesting. According to the chart, MSTR’s ratio of derivatives open interest to market capitalization stands at 86%—far above Tesla’s 22% and Microsoft’s 3%. In Saylor’s view, Bitcoin integration has significantly increased the stock’s appeal to traders seeking leveraged exposure to Bitcoin.

 

In equity markets, a stock’s “open interest” (OI) typically refers to the total number of outstanding derivatives contracts—such as options or futures—linked to that stock. Comparing the notional value of these derivatives’ open interest with the company’s market capitalization serves as a proxy for the degree of leverage speculation and the influence of the derivatives market on the stock’s price. When this ratio becomes excessively high, it suggests that a large amount of speculative capital is actively betting on the stock.

WEAK SHARE PRICE PROMPTS ANOTHER DIVIDEND HIKE ON STRC TO 11%

 

MicroStrategy also announced that it has raised the dividend rate on its perpetual preferred stock STRC to 11%. Because the company originally targeted a trading range of 99–101 for STRC, increasing the dividend yield has become the primary tool to support the stock price. This marks the second dividend increase since STRC was issued in July last year.

 

>>> More to read: Who is Michael Saylor? Founder of MicroStrategy

MNAV PREMIUM COMPRESSION AND POTENTIAL MSCI INDEX ADJUSTMENT RISKS

 

MSTR has fallen about 50% so far in 2025, significantly underperforming Bitcoin’s roughly 6% decline. As a result, its mNAV—the ratio between the current share price and the value of the Bitcoin it holds—has compressed toward parity, approaching a level of 1.

 

The market is now awaiting a decision from global index provider MSCI on January 15 regarding whether Strategy and other DAT companies could be removed from its indices, a move that could introduce additional downside risk.

 

>>> More to read: What is MicroStrategy (MSTR)? From Data to Digital Gold

 

 

 

 

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〈Saylor Says Bitcoin Made MicroStrategy Interesting〉這篇文章最早發佈於《CoinRank》。

Proof of Burn (POB) secures blockchain networks by requiring participants to destroy tokens as an irreversible economic commitment.

 

By replacing hardware and electricity with token burning, Proof of Burn (POB) aims to reduce energy consumption while preserving incentive alignment.

 

Despite its potential benefits, Proof of Burn (POB) remains debated, with open questions around scalability, transparency, and real-world adoption.

Proof of Burn (POB) is a blockchain consensus mechanism that secures networks by permanently burning tokens, replacing energy-intensive mining with economic commitment.

 

 

WHAT IS PROOF OF BURN (POB)?

 

Proof of Burn (POB) is a blockchain consensus concept that exists in several variations, but the version most widely recognized in the crypto industry was proposed by Iain Stewart. It was introduced as a more sustainable alternative to traditional consensus models, particularly as a way to rethink how long-term network commitment can be established without relying on heavy resource consumption.

 

At a conceptual level, Proof of Burn (POB) can be viewed as a lower-energy counterpart to Proof of Work. Instead of requiring miners to compete through raw computational power or specialized hardware such as ASICs, PoB replaces physical resource expenditure with intentional economic sacrifice. In this model, cryptocurrencies are deliberately destroyed—or “burned”—as a form of investment into the blockchain network.

 

Under a Proof of Burn (POB) system, miners do not invest in hardware or electricity. Instead, they allocate capital to what can be described as a virtual mining platform, where burned tokens represent virtual mining power. This design removes the need for continuous energy consumption while preserving a cost-based mechanism for participation.

 

In practical terms, burning tokens allows participants to demonstrate their long-term commitment to the network and earn the right to validate transactions and produce blocks. The act of burning coins functions as a proxy for mining power: the more tokens a participant destroys, the greater their virtual hash power within the system.

 

As a result, in a Proof of Burn (POB) consensus model, users who burn larger amounts of cryptocurrency gain a higher probability of being selected as the next block validator. This approach shifts competition away from physical resources and toward economic commitment, forming the core logic behind the PoB consensus mechanism.

 

>>> More to read: What is Proof of Stake (PoS)?

HOW DOES PROOF OF BURN WORK?

 

At a basic level, Proof of Burn (POB) works by permanently removing tokens from circulation. This is done by sending coins to a publicly verifiable address where they can no longer be accessed, owned, or spent. In most cases, these burn addresses are randomly generated addresses with no known private key, ensuring that the burned coins are effectively lost forever.

 

From a market perspective, burning tokens reduces circulating supply and introduces scarcity, which may contribute to potential value appreciation over time. However, in the context of Proof of Burn (POB), scarcity is not the primary objective. More importantly, token burning functions as an alternative form of investment used to help secure the blockchain network.

 

One of the reasons Proof of Work blockchains are considered secure is that miners must commit substantial real-world resources before they can earn rewards. This upfront cost—whether in electricity, hardware, or operational expenses—creates a strong incentive for miners to act honestly, since malicious behavior would risk wasting their initial investment.

 

Proof of Burn (POB) follows a similar incentive logic, but replaces physical resource consumption with economic sacrifice. Instead of investing electricity, labor, or computational power, participants secure the network by burning coins. The burned tokens themselves represent the cost of participation and the miner’s commitment to the system.

 

Like Proof of Work blockchains, Proof of Burn (POB) systems reward miners with block rewards. Over time, these rewards are expected to compensate for the initial cost of burned coins, aligning long-term incentives between network security and participant profitability.

 

As mentioned earlier, there are multiple ways to implement Proof of Burn (POB). Some projects require participants to burn Bitcoin in order to gain mining or validation rights, while others achieve consensus by burning their own native cryptocurrencies. Despite these variations, the underlying principle remains the same: long-term network security is enforced through irreversible economic commitment rather than ongoing physical resource expenditure.

 

>>> More to read: What is Proof of Work (PoW)?

PROS AND CONS OF PROOF OF BURN

 

The advantages and disadvantages outlined below are based on commonly cited arguments from supporters of Proof of Burn (POB). They should not be treated as established facts. Many of these claims remain debated within the crypto community and require further testing and real-world validation before they can be confirmed or dismissed.

 

✅ Advantages

 

One of the most frequently mentioned benefits of Proof of Burn (POB) is sustainability. Because the mechanism does not rely on continuous computational work, it is often described as more energy-efficient compared to traditional mining-based systems.

 

Another advantage is that Proof of Burn (POB) eliminates the need for specialized mining hardware. Instead of physical machines, token burning acts as a form of virtual mining power, lowering the barrier to participation.

 

Burning cryptocurrency also reduces circulating supply, introducing scarcity into the market. While this is not the primary goal of Proof of Burn (POB), it is often cited as a secondary economic effect.

 

Supporters further argue that Proof of Burn (POB) encourages long-term commitment from miners. Because burned tokens cannot be recovered, participants are incentivized to behave honestly and remain engaged with the network over time.

 

Finally, some proponents believe that Proof of Burn (POB) can lead to a more decentralized distribution of mining or validation power, as participation is not dominated by access to industrial-scale hardware or cheap electricity.

❗Disadvantages

 

Critics argue that Proof of Burn (POB) is not truly environmentally friendly. In cases where Bitcoin is burned, those coins were originally produced through Proof of Work mining, which already consumed significant energy and resources.

 

Another concern is scalability. There is currently no conclusive evidence that Proof of Burn (POB) can operate efficiently or securely at the scale of large blockchain networks. More testing and real-world deployment are needed to evaluate its long-term viability.

 

Verification delays are also cited as a drawback. Compared to Proof of Work systems, validation and confirmation of miner activity in Proof of Burn (POB) networks may take longer, reducing responsiveness.

 

Lastly, the token-burning process itself is not always fully transparent or easily verifiable by average users. In some implementations, it may be difficult for non-technical participants to independently confirm that coins have truly been burned.

 

 

 

 

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〈What is Proof of Burn (PoB)?〉這篇文章最早發佈於《CoinRank》。

Blockchain bridges connect isolated networks, enabling cross-chain asset transfers and true interoperability.

 

By leveraging wrapped assets and sidechains, blockchain bridges improve scalability and reduce transaction costs.

 

Security remains the key challenge, making robust and well-designed blockchain bridges essential for the multi-chain future.

Blockchain bridges enable interoperability between isolated blockchains, allowing assets and data to move across networks while improving scalability, efficiency, and access to cross-chain applications.

 

 

WHY DO WE NEED A BLOCKCHAIN BRIDGE?

 

As the blockchain ecosystem continues to expand, one fundamental limitation has become increasingly clear: most blockchains cannot natively work with one another. Each blockchain operates under its own rules, tokens, protocols, and smart contract frameworks, creating isolated environments across the crypto landscape.

 

A Blockchain Bridge exists to break down these barriers. By connecting otherwise separate blockchains, a Blockchain Bridge allows assets and data to move between independent networks, transforming fragmented ecosystems into a more unified and interconnected blockchain network. When blockchains can interact seamlessly, token transfers become more efficient and the overall flow of value improves across the ecosystem.

 

Beyond enabling cross-chain transfers, a Blockchain Bridge delivers additional benefits. It allows users to access new protocols and applications on other blockchains without being confined to a single network. At the same time, it enables developers from different blockchain communities to collaborate more easily, fostering innovation across ecosystems.

 

In this sense, a Blockchain Bridge is not just a technical tool—it is a foundational component for the future of blockchain interoperability. As the industry moves toward a more connected and cooperative multi-chain environment, Blockchain Bridges will play a critical role in shaping how decentralized networks evolve and scale.

 

>>> More to read: What is Blockchain and How Does It Work?

HOW DOES A BLOCKCHAIN BRIDGE WORK?

 

The most common use case of a Blockchain Bridge is token transfer across different blockchains. For example, imagine you want to move your Bitcoin (BTC) onto the Ethereum network. One straightforward option would be to sell your BTC and purchase Ether (ETH). However, this approach involves transaction fees and exposes you to price volatility during the conversion process.

 

A Blockchain Bridge offers an alternative way to achieve the same goal—without selling your cryptocurrency. When you bridge 1 BTC to an Ethereum wallet, the Blockchain Bridge smart contract locks your BTC on its original network. At the same time, an equivalent amount of Wrapped Bitcoin (WBTC) is created on Ethereum. WBTC is an ERC-20 token designed to be fully compatible with the Ethereum ecosystem.

 

In this process, the original BTC remains locked inside a smart contract, while a corresponding token is issued or minted on the destination blockchain. This wrapped token represents the value of the original asset and can be used within the target network just like any other native token.

 

Wrapped tokens are essentially tokenized versions of another cryptocurrency. Their value is pegged to the underlying asset they represent, and in most cases, they can be redeemed—or “unwrapped”—at any time by reversing the bridging process. Through this mechanism, a Blockchain Bridge enables assets to move across blockchains while preserving ownership and value.

 

>>> More to read: What is Wrapped Bitcoin (WBTC)?

WHAT TYPES OF BLOCKCHAIN BRIDGES EXIST?

 

There are several ways to classify a Blockchain Bridge, depending on its trust model, functionality, and operational mechanism. Each category reflects different design trade-offs in security, decentralization, and usability.

 

✅ Custodial vs. Non-Custodial Blockchain Bridges

 

One of the most common classifications divides a Blockchain Bridge into two categories: custodial (centralized) and non-custodial (decentralized).

 

A custodial Blockchain Bridge requires users to trust a central entity to operate the bridge securely and manage locked assets properly. In this model, the bridge operator controls the system, which means users must place confidence in the organization’s operational integrity and security practices. As a result, thorough due diligence is essential before using a custodial bridge.

 

In contrast, a non-custodial Blockchain Bridge operates in a decentralized manner. It relies on smart contracts to manage the locking and minting of assets, removing the need to trust a centralized bridge operator. Instead of human oversight, security depends entirely on the correctness and robustness of the underlying code. In this setup, trust is shifted from institutions to software.

✅ Blockchain Bridges by Function

 

Another way to categorize a Blockchain Bridge is based on its primary function, such as wrapped-asset bridges and sidechain bridges.

 

Wrapped-asset bridges enable interoperability by tokenizing cryptocurrencies from one blockchain for use on another. A common example is converting Bitcoin into Wrapped Bitcoin (WBTC), an ERC-20 token compatible with the Ethereum network. Through this process, Bitcoin can be effectively transferred and utilized within Ethereum-based applications.

 

Sidechain bridges, on the other hand, connect a main blockchain to its sidechain, allowing assets and data to move between the two. This interoperability is necessary because a main chain and its sidechain often operate under different consensus mechanisms. One example is the xDai bridge, which connects the Ethereum mainnet to the Gnosis Chain (formerly the xDai blockchain). Gnosis Chain functions as an Ethereum-based stable payment sidechain secured by its own validator set, distinct from Ethereum’s validators. The xDai Blockchain Bridge enables users to transfer value smoothly between these two networks.

✅ Blockchain Bridges by Transfer Mechanism

 

Blockchain Bridges can also be classified by how assets move across chains: one-way or two-way bridges.

 

A one-way Blockchain Bridge allows users to transfer assets to a destination blockchain without the ability to move them back to the original chain. Once bridged, the assets remain permanently on the target network.

 

A two-way Blockchain Bridge, by contrast, supports bidirectional transfers. Assets can be bridged to another blockchain and later returned to their native chain by reversing the process. This flexibility makes two-way bridges more versatile for users who actively operate across multiple blockchains.

 

>>> More to read: What’s the Difference Between Blockchain and Bitcoin?

BENEFITS OF A BLOCKCHAIN BRIDGE

 

The most important benefit of a Blockchain Bridge is improved interoperability. By enabling assets, tokens, and data to move across different blockchains, a Blockchain Bridge connects otherwise isolated networks into a more cohesive ecosystem. This interoperability applies across Layer 1 and Layer 2 networks, as well as between various sidechains.

 

For example, Wrapped Bitcoin (WBTC) allows Bitcoin holders to access decentralized applications (DApps) and DeFi services within the Ethereum ecosystem. Without a Blockchain Bridge, such cross-ecosystem participation would not be possible. A highly interoperable blockchain environment is widely considered essential for the long-term success and growth of the industry.

 

Another key advantage of a Blockchain Bridge lies in scalability. Some bridges are designed to handle a large volume of transactions more efficiently, helping reduce congestion on major networks.

 

🔍 Key scalability-related benefits include:

 

Supporting asset transfers between high-security but congested networks and faster, lower-cost chains

 

Improving transaction speed and lowering fees for users

 

 

A well-known example is the Ethereum–Polygon Blockchain Bridge, a decentralized two-way bridge that serves as a scalability solution for Ethereum. By moving transactions to Polygon, users can enjoy faster confirmation times and significantly lower transaction costs while still remaining connected to the Ethereum ecosystem.

RISKS OF A BLOCKCHAIN BRIDGE

 

Despite their advantages, Blockchain Bridges also come with notable risks and limitations. Over time, attackers have exploited vulnerabilities in certain Blockchain Bridge smart contracts, leading to large-scale losses of cryptocurrency. In fact, cross-chain bridges have historically been among the most frequent targets for high-profile exploits.

 

One major risk is custodial risk. Custodial Blockchain Bridges require users to trust a centralized entity to safeguard locked assets. In theory, this central operator could misuse or steal user funds. For this reason, users should only consider custodial bridges operated by well-established platforms with a strong and transparent track record.

 

🔍 Additional risks and limitations include:

 

Smart contract vulnerabilities that can be exploited by attackers

 

Transaction throughput bottlenecks that limit large-scale interoperability

 

Dependence on the security assumptions of multiple blockchains

 

While a Blockchain Bridge can help relieve network congestion by moving assets to another chain, it does not fully solve scalability challenges. Users do not always migrate together with the same applications and services. For instance, some Ethereum-based DApps may not be supported on Polygon via a Blockchain Bridge, reducing the practical effectiveness of cross-chain scaling.

 

Finally, Blockchain Bridges can introduce trust fragmentation at the protocol level. Because a Blockchain Bridge connects two distinct blockchains, the overall security of the interconnected system is only as strong as its weakest component. If one network or bridge mechanism is compromised, the risks can propagate across the connected ecosystem.

 

>>> More to read: What is a Cross-chain Bridge & Why We Need It

CONCLUSION

 

The development of the blockchain industry has been driven by continuous innovation. Early pioneer networks such as Bitcoin and Ethereum laid the foundation, followed by the emergence of numerous alternative Layer 1 and Layer 2 blockchains. At the same time, cryptocurrencies—whether used as currencies or tokens—have grown at an exponential pace.

 

Because these blockchains operate under independent rules and technical architectures, Blockchain Bridges are required to connect them. By linking separate networks, a Blockchain Bridge enables a more cohesive and interoperable blockchain ecosystem, opening the door to improved scalability and greater operational efficiency.

 

As cross-chain attacks targeting Blockchain Bridges have occurred repeatedly, the industry continues to pursue safer and more robust Blockchain Bridge designs. Improving security while maintaining interoperability will remain a critical focus as the multi-chain ecosystem continues to evolve.

 

 

 

 

 

 

 

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〈What is a Blockchain Bridge?〉這篇文章最早發佈於《CoinRank》。

Tom Lee: Gold has seen a parabolic rise over the past year, leading the cryptocurrency market.
More than 40 countries, including the UK, implemented new crypto tax rules on January 1st, requiring exchanges to collect and report user transaction records.
#Coinbase Research Head: Factors driving crypto growth, such as regulation, ETFs, and stablecoins, will become even stronger in the future.
Opinion: Will provide full compensation for the #Metamask market results bias caused by oracle contamination.
#a16z crypto releases 17 industry outlooks for 2026.

#CoinRank #GN

#Binance responds to BROCCOLI714 cryptocurrency volatility: System checks show risk control is normal, no hacker attack detected.
US Congressman: Digital identity and #CBDC could turn the US into a "surveillance nation".
World's largest gold and silver ETFs begin reducing holdings, decreasing by 1.43 tons and 11.28 tons respectively compared to the previous day.
Mike Irving appointed global brand ambassador for ForeGate.
Reserve Bank of India recommends countries prioritize CBDC development over stablecoins.
#CoinRank