Coinbase has announced the upcoming launch of a new token sales platform that will allow U.S. retail investors to participate in initial coin offerings (ICOs) for the first time since the token sale hysteria of 2017 and 2018, which eventually ended in disaster for many crypto speculators. The move to launch this platform comes just a few weeks after Coinbase acquired the investment platform Echo for $375 million.
ICOs were all the rage in 2017, as the then-relatively-new blockchain platform Ethereum appeared to have found its first major use case. While there are a few projects from this era of crypto that are still around, the hysteria around ICOs eventually turned into marketing-focused teams collecting investment from others, with not much more to show for plans than a whitepaper (if that).
The large amount of outright fraud occurring in the space at the time led to a regulatory backlash from the Biden administration, and Kim Kardashian, Floyd Mayweather, and other celebrities were eventually charged with SEC violations regarding their promotion of dubious crypto tokens.
While the ICO market has been dormant in the United States since that time, there is now a push to bring back this type of activity under the crypto-friendly Trump administration via platforms like the new token offering facility provided by Coinbase.
Much of the fraud that was able to proliferate during the 2017 to 2018 ICO bubble came down to the lack of traditional investment standards being followed. To prevent that sort of environment from developing again, Coinbase says it will require projects to meet certain requirements to launch token sales and also use an algorithm to try to put newly-issued tokens in the hands of users who are in it for the long haul.
For example, the platform is intended to promote a wide distribution of the initial tokens and will punish token investors who tend to simply dump their allocations on the market as quickly as possible. Additionally, token issuers will be blocked from selling their allocations for at least six months, and the teams behind the projects will need to follow a disclosure policy regarding tokenomics and other attributes of the project related to credibility and trust.
Coinbase previously attempted to operate under its own token listing standards, but the SEC’s view under chairman Gary Gensler at the time was basically that everything but bitcoin was a security. This eventually led to an SEC enforcement action against Coinbase, which has since been dropped.
They do, that’s a known thing
— Larry Cermak (@lawmaster) December 7, 2020
Whether Coinbase can operate as a credible, neutral authority on new token sales is up to the discretion of its users. However, it should be noted that the crypto exchange previously took tokens from various projects for its Coinbase Earn project, where its users were provided with free tokens in exchange for reading about the associated projects. Put differently, Coinbase was provided with funds from token projects that were then provided to users as an incentive to sign up in exchange for creating promotional content about those same tokens.
Congress is also expected to pass its own standards and form of regulatory clarity to the crypto market in the form of the Clarity Act. That said, the odds of that passage occurring this year have dropped from a high of 87% to 21% since July, according to prediction market Polymarket.
This latest move from Coinbase is yet another example of the lines between crypto and traditional finance becoming increasingly blurred. Under this new structure, ICOs look more like initial public offerings (IPOs) with Coinbase acting as a gatekeeper of sorts in terms of which projects get the stamp of approval.
So, we now have a centralized financial institution operating an initial investment platform built on U.S. dollar-based rails (the platform uses the Coinbase-partnered USDC stablecoin from Circle) for projects that are increasingly looking more like traditional fintech than anything truly decentralized or operating outside of the traditional financial system.
It seems the crypto sector has moved far away from the original ideology Satoshi Nakamoto had when creating Bitcoin, as he pointed to “all the trust that’s required to make it work” as the source of the problems with traditional finance that he intended to solve.
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![Scientists Say Some Black Holes Are Born From Other Black Holes
Since LIGO’s Nobel-winning discovery of gravitational waves—ripples in spacetime—the U.S.-based detector has been picking up on hundreds of signals from black hole mergers. And, after a decade of studying gravitational waves, researchers believe a significant fraction of black holes may come from cosmic chain reactions. A recent paper published in Physical Review Letters describes an analysis of 155 pairs of binary black holes, identified by LIGO and its sisters, Virgo and KAGRA, in Italy and Japan, respectively. According to the study, about 14% of merging black holes may be what’s called “second-generation black holes,” or black holes that form from previous mergers of two smaller black holes. This “hierarchical” backstory is vastly different from the textbook version of how black holes emerge from the explosive death of a star. “Overall in the universe, black holes are merging all the time,” Cailin Plunkett, the study’s first author and a graduate student at the Massachusetts Institute of Technology, told MIT News. “Now we’re seeing a relatively consistent picture where there’s a decent percentage of black holes that are coming from this repeated pathway.”
Tracking the invisible Gravitational waves that reach Earth’s detectors typically come from extremely intense events. Over the years, LIGO has picked up some truly perplexing signals. For example, last summer it found the most colossal black hole merger ever—and if that wasn’t wild enough, the black holes that took part in the merger lie within a cosmic “dead zone” for black holes.
This zone refers to a range of black hole masses in which, physically speaking, black holes can’t form through ordinary stellar collapse. From these discoveries, astronomers realized just how little we knew about black holes, which are challenging to investigate directly. In that sense, it was a no-brainer that the ever-growing catalog of LIGO’s gravitational signals would turn up entirely new insights about black holes. “It is increasingly clear, both from individual events and population analyses, that massive black holes exist in [this] range,” the researchers wrote in the latest paper. “These observations have spurred further investigation into mechanisms that can populate this gap.”
A wobbly imprint The latest research represents one such investigation. During mergers, the two black holes spiral toward each other along an orbital plane. When one or both black hole spins are misaligned, the orbital plane can wobble, or “precess,” the researchers explained to MIT News. The degree to which the disk wobbles acts as a parameter from which researchers can measure the masses and spins of the merging black holes. One telling sign of hierarchical mergers is that they’re “lopsided,” meaning one of the pair has a much higher spin and mass than the other. For the study, the team created an analytic model to capture the kind of wobble that would have emerged from second-generation black holes. Around 14% of merging black holes followed this pattern, and the second-generation black holes identified had a very specific range of masses, at around 20 solar masses or 40 solar masses and above. Of mysterious origins To be fair, that might not sound like a whole lot. But it demonstrates that a sizeable portion of known black holes indeed follow this pattern. As for why, the team suspects hierarchical mergers emerge from dense stellar environments. Simply, when multiple neighboring stars die and collapse into black holes, the dense environment can make it easier for those black holes to find each other and merge. That could further lead to the formation of second-generation black holes. Theoretically, this could “repeat potentially ad infinitum, by virtue of the fact that you have a ton of stars and black holes in this really dense environment,” Plunkett said.
But an ensuing mystery concerns those black holes in the 40-and-above regime, which coincides with the aforementioned “death zones” for black hole masses. According to stellar evolution theory, black holes born of supernovas shouldn’t leave any black holes above roughly 45 solar masses, explained Plunkett. “Yet we have seen black holes that are that massive,” she mused. “And the question is: Where did they come from?” For now, it’s hard to say when we’ll get an answer to that question, if ever. But one thing seems to be clear: black holes are a lot weirder than we could ever imagine. #Scientists #Black #Holes #Born #Black #HolesBlack holes,Gravitational wave,LIGO Scientists Say Some Black Holes Are Born From Other Black Holes
Since LIGO’s Nobel-winning discovery of gravitational waves—ripples in spacetime—the U.S.-based detector has been picking up on hundreds of signals from black hole mergers. And, after a decade of studying gravitational waves, researchers believe a significant fraction of black holes may come from cosmic chain reactions. A recent paper published in Physical Review Letters describes an analysis of 155 pairs of binary black holes, identified by LIGO and its sisters, Virgo and KAGRA, in Italy and Japan, respectively. According to the study, about 14% of merging black holes may be what’s called “second-generation black holes,” or black holes that form from previous mergers of two smaller black holes. This “hierarchical” backstory is vastly different from the textbook version of how black holes emerge from the explosive death of a star. “Overall in the universe, black holes are merging all the time,” Cailin Plunkett, the study’s first author and a graduate student at the Massachusetts Institute of Technology, told MIT News. “Now we’re seeing a relatively consistent picture where there’s a decent percentage of black holes that are coming from this repeated pathway.”
Tracking the invisible Gravitational waves that reach Earth’s detectors typically come from extremely intense events. Over the years, LIGO has picked up some truly perplexing signals. For example, last summer it found the most colossal black hole merger ever—and if that wasn’t wild enough, the black holes that took part in the merger lie within a cosmic “dead zone” for black holes.
This zone refers to a range of black hole masses in which, physically speaking, black holes can’t form through ordinary stellar collapse. From these discoveries, astronomers realized just how little we knew about black holes, which are challenging to investigate directly. In that sense, it was a no-brainer that the ever-growing catalog of LIGO’s gravitational signals would turn up entirely new insights about black holes. “It is increasingly clear, both from individual events and population analyses, that massive black holes exist in [this] range,” the researchers wrote in the latest paper. “These observations have spurred further investigation into mechanisms that can populate this gap.”
A wobbly imprint The latest research represents one such investigation. During mergers, the two black holes spiral toward each other along an orbital plane. When one or both black hole spins are misaligned, the orbital plane can wobble, or “precess,” the researchers explained to MIT News. The degree to which the disk wobbles acts as a parameter from which researchers can measure the masses and spins of the merging black holes. One telling sign of hierarchical mergers is that they’re “lopsided,” meaning one of the pair has a much higher spin and mass than the other. For the study, the team created an analytic model to capture the kind of wobble that would have emerged from second-generation black holes. Around 14% of merging black holes followed this pattern, and the second-generation black holes identified had a very specific range of masses, at around 20 solar masses or 40 solar masses and above. Of mysterious origins To be fair, that might not sound like a whole lot. But it demonstrates that a sizeable portion of known black holes indeed follow this pattern. As for why, the team suspects hierarchical mergers emerge from dense stellar environments. Simply, when multiple neighboring stars die and collapse into black holes, the dense environment can make it easier for those black holes to find each other and merge. That could further lead to the formation of second-generation black holes. Theoretically, this could “repeat potentially ad infinitum, by virtue of the fact that you have a ton of stars and black holes in this really dense environment,” Plunkett said.
But an ensuing mystery concerns those black holes in the 40-and-above regime, which coincides with the aforementioned “death zones” for black hole masses. According to stellar evolution theory, black holes born of supernovas shouldn’t leave any black holes above roughly 45 solar masses, explained Plunkett. “Yet we have seen black holes that are that massive,” she mused. “And the question is: Where did they come from?” For now, it’s hard to say when we’ll get an answer to that question, if ever. But one thing seems to be clear: black holes are a lot weirder than we could ever imagine. #Scientists #Black #Holes #Born #Black #HolesBlack holes,Gravitational wave,LIGO](https://gizmodo.com/app/uploads/2026/07/black-hole-hierarchial-mergers-1280x853.jpg)
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