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Onchain Outpost: @OnchainOutpost
Brody: @brodyadreon // Paddy: @ponzipaddy

Market Metrics

Total Crypto Market Cap: down 1.5% to $2.4T
Total AI Sector Market Cap: flat 0.0% to $28.5B

Top Movers (7 days):

📈 GraphLinq Chain (GLQ): up 26.2% to $0.08868
📈 TARS Protocol (TAI): up 20.4% to $0.1893
📈 Zignaly (ZIG): up 20.4% to $0.09512

Mindshare Check:

The AI sector currently accounts for 21.01% of the total crypto market’s narrative mindshare. Every time I check price, bad price. ITS BEEN A BAD WEEK!

Highlight of the Week

🥷 Bittensor Suffers $8 Million Hack

On July 2, 2024, Bittensor's blockchain experienced a significant security breach when a compromised PyPi Package Manager led to an $8 million hack, resulting in the theft of approximately 32,000 TAO tokens from multiple high-value wallets in just three hours. Responding swiftly to the crisis, the Bittensor team immediately halted all network operations, putting the chain into "safe mode" to prevent further losses. They then took decisive action by removing the malicious package, conducting thorough code reviews, and collaborating with exchanges to trace the attacker and potentially recover the stolen funds.

The incident caused an immediate 15% slide in the value of TAO, and the price has continued to decline with the rest of the market since. Earlier today, the price hit a low of $200, the lowest the token has traded since November last year.

Furthermore, this breach raised important questions about the security practices of package repositories and exposed a critical vulnerability for blockchains relying on third party package managers. The event also highlighted the paradoxical nature of centralized control within supposedly decentralized networks, as the team was single handedly able to pause transactions on the chain.

🌱 Google Just Copped A Slap To The Face

The Grass Foundation has open-sourced 600 million Reddit comments, making them freely available for AI training. This dataset, dubbed UpvoteWeb-24-600M, includes top posts and comments from Reddit in 2024, complete with media links, reply lineage, and language detection. The timing is impeccable, considering Google just dropped $60 million for access to Reddit's data. Talk about buyer’s remorse.

This move aligns with Grass's "top-down" approach to tackling the AI data bottleneck, as discussed in our previous Big Brain Breakdown. By scraping and filtering top-of-funnel data, Grass is democratizing access to high-quality training data for AI developers worldwide. This is particularly crucial as the AI industry grapples with the centralization of resources to big tech companies like Google and OpenAI, as well as the scarcity of domain-specific, high-quality datasets needed for specialized AI models.

While Google might be nursing a case of buyer's remorse, the broader implications for AI development are significant. This open-sourcing of large, valuable datasets puts data in the hands of AI teams, accelerating progress in fields requiring granular, reliable outputs without the hefty price tag usually associated with such data acquisition.

📉 Germany Decided To Delete Our Networth

The German government is still selling their Bitcoin, making the second consecutive week of constant sell pressure. In the past 48 hrs, Arkham Intelligence has recorded outflows exceeding 3,000 BTC from the Government wallet. The BTC has landed in a number of external wallets, some being identified as exchanges or OTC desks. These sales, totaling around $200 million in Bitcoin, has sparked controversy within Germany's political sphere.

Member of parliament Joana Cotar has criticized the move, arguing that it's neither sensible nor productive. She urges the government to reconsider, suggesting Bitcoin could serve as a strategic reserve currency to diversify treasury assets and protect against currency devaluation. Cotar has also invited fellow politicians to a Bitcoin strategy event, aiming to educate them on the potential benefits. Meanwhile, crypto whale Justin Sun has expressed willingness to purchase all the Bitcoin off-market to minimize market impact, adding another dimension to this unfolding situation.

Meme of the Day

Search “Most Painful Medieval Torture Device” on Google and you will see the BTC chart over the past month…