Popular stablecoin issuer Circle has announced the launch of a euro-backed stablecoin called Euro Coin (EUROC). EUROC is set to be a fully-reserved, regulated stablecoin that will further Circle’s work in “driving the frictionless exchange of financial value.”

Panamanian President Laurentino Cortizo has vetoed the country’s “Crypto Law” on the grounds that it “requires adaptation to the norms that regulate our financial system.” The bill will now be sent back to Panama’s National Assembly to be debated.

Ethereum-based decentralized finance (DeFi) protocol Inverse Finance has suffered a flashloan exploit that saw attackers make off with $1.26 million in Tether’s USDT stablecoin and Wrapped Bitcoin (WBTC).

Top stories in the Crypto Roundup today:

• Circle Announces Euro-Backed Stablecoin
• Panama’s President Shoots Down Law Regulating Bitcoin
• Inverse Finance Loses $1.2 Million in Flashloan Exploit
• Crypto Market Movers – XMR, STORJ, UMA

Circle Announces Euro-Backed Stablecoin

Popular stablecoin issuer Circle has announced the launch of a euro-backed stablecoin called Euro Coin (EUROC). EUROC is set to be a fully-reserved, regulated stablecoin that will further Circle’s work in “driving the frictionless exchange of financial value.”

The new stablecoin is backed by euro-denominated reserves held in the custody of leading financial institutions within the U.S. regulatory perimeter. Circle’s CEO Jeremy Allaire was quoted saying:

"There is clear market demand for a digital currency denominated in euros, the world's second most traded currency after the U.S. dollar. With USDC and Euro Coin, Circle is helping to unlock a new era of fast, inexpensive, secure and interoperable value exchange worldwide."

EUROC will initially launch on the Ethereum blockchain as an ERC-20 token on June 30, with support for more blockchains expected to come later this year. The stablecoin will be supported by a number of platforms from the get-go, including Binance.US, Bitstamp, Compound, Curve, Fireblocks, FTX, Huobi Global, Ledger, and Uniswap.

Panama’s President Shoots Down Law Regulating Bitcoin

Panamanian President Laurentino Cortizo has vetoed the country’s “Crypto Law” on the grounds that it “requires adaptation to the norms that regulate our financial system.” The bill will now be sent back to Panama’s National Assembly to be debated.

Towardt the end of April, the country was seemingly looking like it was moving to encourage citizens to use BTC when the country’s legislature approved a bill regulating the use of digital assets. President Cortizo, however, said he wanted guarantees the law complies with global anti-money laundering standards.

The bill would let Panamanians buy goods and services with cryptocurrencies like Bitcoin or Ethereum, as these would become a valid form of payment “for any legal civil or commercial operations,” including for government taxes and duties.

It also recognizes decentralized autonomous organizations (DAOs) as legal entities, while setting up a framework for Panama to issue tokenized securities and commodities like gold via security token offerings (STOs).

Inverse Finance Loses $1.2 Million in Flashloan Exploit

Ethereum-based decentralized finance (DeFi) protocol Inverse Finance has suffered a flashloan exploit that saw attackers make off with $1.26 million in Tether’s USDT stablecoin and Wrapped Bitcoin (WBTC).

The exploit came just two months after the protocol lost $15.6 million in a price oracle manipulation exploit and occurred because of a flashloan, a type of loan that is borrowed and returned within a single transaction.

The flashloan manipulated the price oracle for a liquidity provider token used by the protocol’s money market, allowing attackers to borrow a larger amount of the protocol’s stablecoin DOLA than the amount of collateral they posted, allowing them to pocket the difference.

In response, Inverse Finance has temporarily halted borrowing and removed its DOLA stablecoin from its money market as it investigates the incident. The protocol has said only the attacker’s deposited collateral was affected in the incident and that it only incurred debt to itself over the stolen DOLA.

Inverse Finance has encouraged the attacker to return the funds to receive a “generous bounty.”

Crypto Market Movers – XMR, STORJ, UMA

Several tokens are leading the charge in the last 7-day period. Some of these are well-known cryptocurrencies with more liquid trading pairs, so we’ll be focusing on these over low-cap cryptos that may have higher percentage changes.

Monero (XMR) – Monero is a decentralized cryptocurrency that uses ring signatures, ring confidential transactions, and stealth addresses to obfuscate the origins, amounts, and destinations of all transactions. Transactions on the Monero blockchain cannot be linked to a particular user or real-world identity.

Storj (STORJ) - Storj is a decentralized cloud storage platform that allows anyone to rent their idle hard drive space and earn revenue by doing so. End-users can use Storj to store their files at competitive prices and within a p2p network that is secure from severe downtime, censorship, and hacks.

UMA (UMA) - UMA is designed to power the financial innovations made possible by permissionless, public blockchains, like Ethereum. Using concepts borrowed from fiat financial derivatives, UMA defines an open-source protocol that allows any two counterparties to design and create their own financial contracts.

State of the Crypto by Top Tier Exchange Volume

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