TRON Industry Weekly Report: Scarcity & Hedging Drive BTC to Stabilize Above $100,000, Boop.fun Leads Meme Rebound

I. Outlook

1. Macroeconomic Summary and Future Predictions

Last week, on May 7 local time, the Federal Reserve announced that it would maintain the federal funds rate target range at 4.25% to 4.50% after concluding a two-day monetary policy meeting. This marks the third consecutive decision by the Fed to keep interest rates unchanged since the meetings in January and March of this year. Additionally, the trade agreement reached between the U.S. and the U.K. has driven up risk assets, reflecting investor optimism about easing trade tensions. Moving forward, further developments regarding tariff reductions remain a focal point for the market.

2. Market Changes and Warnings in the Cryptocurrency Industry

Last week, as trade tensions eased and positive news such as Ethereum's technological upgrades emerged, Bitcoin once again broke through the $100,000 mark, while Ethereum surged to $2,500. The meme coin sector performed particularly well, with analysts suggesting this could signal the upcoming "altcoin season," predicting explosive growth for some smaller crypto assets in the coming months.

The cryptocurrency market showed a positive trend last week, but investors should remain cautious and closely monitor policy developments, capital flow trends, and macroeconomic changes to better respond to potential market fluctuations.

3. Industry and Sector Hotspots

aZen Protocol is a cutting-edge technical architecture protocol that is highly modular and closely aligned with the AI + Web3 development trend. It injects new ideas into the DePIN ecosystem through dfNFT, PoC, and AI multi-agent systems. MilkyWay is a Layer-1 blockchain built on Cosmos, designed around liquid staking and restaking. Terminal 3 is a full-stack data and identity infrastructure platform focused on privacy, designed for compliance and Web3 scenarios.

II. Market Hotspot Sectors and Potential Projects of the Week

1. Performance of Potential Sectors

1.1. Analysis of How Decentralized AI Native Computing Infrastructure aZen Protocol Converts Idle Computing Resources into Tokenizable Assets through Divisible NFTs

aZen is a decentralized infrastructure network (DePIN) aimed at AI-driven Web3 ecosystems. It transforms computing power, AI services, and social participation into tokenizable assets through a proof of contribution (PoC) model.

By integrating computing resources, artificial intelligence, and decentralized applications (dApps), aZen provides scalable, transparent, and efficient infrastructure, driving the next phase of Web3 development.

++Architecture Overview++

The core of aZen Protocol is to provide a set of rules, mechanisms, and incentive systems that allow AI agents, computing nodes, and decentralized applications (dApps) to operate in a trustless and interoperable environment.

AI-driven applications require real-time, distributed, and intelligent scheduling management of resources. aZen Protocol achieves this through the following methods:

• Autonomous AI Task Management ------ AI agents execute and coordinate workloads within the decentralized computing network, optimizing performance and efficiency.

• Multi-Agent AI Collaboration ------ AI agents interact, negotiate, and execute tasks through smart contracts, creating a self-organizing and interoperable ecosystem.

• Dynamic AI Governance Mechanism ------ AI models continuously adapt based on network conditions, ensuring scalability, efficiency, and economic viability.

1. ++Core Features++

Dynamic Divisible NFTs (dfNFTs) for Computing, AI, and Applications

• Converts computing resources, AI models, and applications into dynamic divisible NFTs (dfNFTs), enabling fragmented ownership, rental usage, and efficient execution.

• Provides interoperability in decentralized computing environments, ensuring AI-driven workloads can be deployed seamlessly.

Smart Contract-Based Resource Orchestration

• Automates the allocation and execution of AI, applications, and computing tasks.

• Utilizes predictive AI scheduling algorithms to enhance resource utilization, reducing inefficiencies and waste.

Modular Computing and AI Integration

• Supports decentralized execution of AI inference, model training, and dApp services.

• Applications can access distributed computing resources on a pay-per-use basis.

Cloud-to-Edge AI Computing and Execution

• AI and application workloads can dynamically migrate between cloud, fog, and edge computing layers.

• Reduces latency in real-time AI model execution and decentralized application processing.

AI-Driven Security and Privacy Enhancements

• Employs zero-knowledge proofs (ZKP) and homomorphic encryption for secure computing.

• AI-driven anomaly detection enhances trust and security in decentralized networks.

Decentralized Market for AI, Applications, and Computing Resources

• Users can monetize computing resources, AI models, and application services.

• Smart contracts enable trustless transactions and execution guarantees.

Decentralized Data Collection and Processing for AI

• Data sources are tokenized and securely protected through smart contracts, ensuring privacy and trust.

• AI models can access real-time distributed data, enabling stronger learning and adaptive intelligence.

• Supports privacy-preserving machine learning (PPML), allowing AI models to train without disclosing user data.

2. ++Technical Architecture++

Layer 0 -- aZen Protocol (Base Layer)

• Converts hardware, network, storage, and other resources into dfNFTs

• Achieves tokenization of computing resources, inter-agent communication, and a contribution proof (PoC) incentive mechanism.

Layer 1 -- aZen DePIN (Infrastructure Layer)

• Hosts DePIN Agent

• Manages the sharing of decentralized computing resources, including CPU, GPU, bandwidth, and storage.

• Conducts real-time AI-driven task distribution among ZenHive nodes.

• Verifies online duration, network stability, and geographical location to optimize performance.

Layer 2 -- aZen Hub (Application Layer)

• Users can participate in DeFi, SocialFi, and DePIN mining through AI agents.

• DeF-AI Agent utilizes shared computing resources to execute models and automate financial tasks.

• It is an autonomous AI agent that provides personalized yield strategies, credit scoring, and smart liquidity management.

• SocialFi Agent uses AI to identify and promote valuable user-generated content.

• AI Companion Agent provides natural language interaction and task orchestration services.

++Comments++

aZen Protocol is a cutting-edge technical architecture protocol that is highly modular and closely aligned with the AI + Web3 development trend, injecting new ideas into the DePIN ecosystem through dfNFT, PoC, and AI multi-agent systems. However, it also faces high complexity in execution, early cold start challenges, and physical limitations in distributing computing resources.

If such projects can achieve a user value closed loop through deep integration with gaming, finance, social, and other scenarios, they have the potential to become an important part of decentralized AI computing infrastructure.

1.2. How Terminal 3, led by Titan Fund and IDG with an $8 million investment, Creates a Fair Web3 Environment Focused on Decentralized Data Storage?

The Terminal 3 (T3) platform is a comprehensive solution designed to enhance the value of user data, ensure data security, and enable access under privacy protection. The platform operates through three key steps to ensure data integrity, user privacy, and regulatory compliance.

++Feature Analysis++

1. Rich, Standardized, and Encrypted User Data Before user data is sent to the Terminal 3 platform:

• Client-Side Encryption: Private data and its access control conditions are signed and encrypted on the client side using symmetric key encryption, ensuring data security and control remains with the user, achieving data sovereignty.

• Decentralized Key Storage: The keys used for encryption are stored in a decentralized key management network.

After Terminal 3 receives the data:

• Decryption and Processing: If necessary, decryption is performed using Terminal 3's signature for processing.

• Data Enrichment: With user consent, data is enriched by combining on-chain and off-chain information.

• Standardization: Data is converted into a standardized format to ensure interoperability between Web3 platforms.

• Segmentation Optimization: Prepared data can support advanced user segmentation strategies.

• Encrypted Commitment: Data undergoes on-chain encrypted commitment (Cryptographic Commitment) before storage.

• Generation of Verifiable Credentials: Verifiable credentials containing identity claim metadata are generated on demand.

1. Atomic, Directory-Based, and Decentralized Storage of User Data After data processing is complete:

• Re-encryption and Atomicization: User data is re-encrypted and split into smaller data chunks.

• Decentralized Storage Network: These data chunks are distributed and stored in a decentralized storage network.

• Secure Reference Storage: The content ID (CID) of each data object is securely stored in Terminal 3's reference data storage system.

• Tamper-Proof and Immutability: This mechanism ensures data integrity and immutability.

• Privacy Protection: User data and personally identifiable information (PII) will never be stored on-chain.

• Data Sovereignty Control: Decentralized storage ensures users have sovereign control over their data.

• Regulatory Compliance: Our data processing methods comply with global data protection and privacy regulations.

1. Privacy-Preserving Data Access Based on Zero-Knowledge Cryptography When businesses want to understand their users:

• Zero-Knowledge Proof Mechanism: Businesses use our applications embedded with zero-knowledge proof technology to operate.

• User Segmentation: User segments can be created based on specific conditions (e.g., "users over 25 living in Hong Kong").

• Email Marketing: Targeted marketing content can be sent to specific audiences.

• Secure Query Engine: Securely processes query requests and returns the number of users that meet the criteria.

• Data Privacy Protection: No underlying identity information (e.g., birth dates, email addresses) is disclosed.

• Data Authenticity Verification: With zero-knowledge proofs, businesses can trust that the data used is authentic and has not been tampered with.

++Core Components++

Data Architecture A standardized architecture designed for interoperability, the protocol's user data architecture references and adopts established international standards, such as:

• International Organization for Standardization (ISO) codes,

• International Advertising Bureau (IAB) audience classification standards,

• Global Industry Classification Standard (GICS) classification system.

Decentralized Storage Features resilient data persistence and availability mechanisms.

The protocol's decentralized storage system for data organization and transmission is currently based on IPFS (an open-source protocol and decentralized network). Data is always stored in an encrypted state (i.e., "static encryption") and kept off-chain to ensure privacy.

Encrypted Data Warehouse

The protocol's data warehouse is the core supporting structure for data queries. It is designed to efficiently execute query processing on encrypted non-personally identifiable information (non-PII) data. Therefore, you can think of this data warehouse as a "cache" used solely for queryable fields.

With queryable encryption or structured encryption (STE), we can achieve rapid data retrieval, with response times asymptotically related to the size of the query results rather than the size of the entire database. Additionally, the data in the warehouse remains encrypted at all times, and no one can view it, including our internal team. In fact, encrypted fields (as well as the queries themselves) exist in ciphertext form throughout the processes of storage, transmission, processing, and retrieval.

Query Engine

Our query engine is a core component of the data processing system, acting as an intermediary between enterprise clients and data storage. Its main function is to parse and transform incoming queries so they can be efficiently executed on the underlying encrypted data warehouse and zero-knowledge proof system.

++Product Introduction++

T3 Identity System

In today's digital environment focused on security and privacy, the T3 identity system is revolutionizing how businesses and users manage digital identities as an integrated full-stack solution. Our comprehensive identity solution addresses the limitations and risks of traditional single-use identity and access management methods, particularly issues like low data utilization efficiency and inadequate privacy protection.

T3 ensures the security of users' personally identifiable information (PII) through zero-knowledge cryptography and self-sovereign decentralized storage technology, issuing verifiable identity credentials and helping businesses interact with their users while protecting privacy.

T3 Verification System

In a decentralized world compliant with global financial regulatory requirements, T3 Verify helps you confidently expand your digital asset business, relying on an identity solution trusted by governments and global enterprises.

T3 Verify provides enterprise-grade, reusable KYC services, allowing users to remain anonymous on-chain while still meeting strict compliance requirements.

++Core Tools++

Security and Key Management

Terminal 3 has developed a proprietary data security system based on the Lit Protocol (a decentralized key management network) to achieve data encryption, access control, and programmable signatures. The Lit Protocol offers the following advantages to users:

• Decentralized Threshold Encryption: Eliminates reliance on centralized key custodians, avoiding single points of failure.

• Multi-Party Computation (MPC) Mechanism: Through MPC technology, encryption keys are split and stored across multiple nodes, ensuring no single party holds the complete key.

• User-Controlled Access Permissions: Access permissions are controlled by users, who can revoke authorization at any time, ensuring data sovereignty.

zkDB/zkSQL

zkDB provides a powerful solution. By utilizing zero-knowledge proofs (Zero-Knowledge Proofs), zkDB ensures that the database fully contains all user data and has not been tampered with; based on this, subsequent queries can also be conducted in a verifiable and efficient manner.

Key Attributes

• Authenticated Data Structure (ADS): This database operates based on an authenticated data structure, using a single updatable proof to maintain the database state.

• Efficient Proofs: This single proof allows for rapid verification of the entire database's validity and updates when data changes.

• Verifiable Queries: Clients can initiate queries and receive verifiable results, which are confirmed to originate from the authenticated data structure.

• Data Protection: zkDB centers on protecting user data, ensuring that private data is not exposed during query or update processes.

Architecture - Authenticated Data Structure (ADS)

The architecture of zkDB is based on Merkle trees, with each update bound to a proof that guarantees the integrity of the entire database. Here is an overview of the entire process:

1. Initialization: The system starts with an empty Merkle tree, which serves as the foundational structure for zkDB.

2. User Updates: When users update their data, it is added to the Merkle tree.

3. Proof Generation: After each update, the system generates a proof of the validity of that update.

4. Continuous Iteration: Each new data update repeats the above process, maintaining a continuous chain of operations, each with its validity proof.

This structure allows zkDB to maintain a secure, verifiable update history while protecting user privacy data and supporting efficient queries. The following diagram shows an overview of the authenticated data structure (ADS) supporting zkDB and how multiple updates are continuously performed.

We do not need to verify each update individually; instead, we can batch multiple updates for unified verification, achieving extremely fast verification of the entire database. This is a core feature of zkDB, making it efficient and secure in data storage and retrieval.

Architecture - SQL

To achieve efficient and verifiable queries, the platform has developed a SQL-like query language that is compatible with zero-knowledge proofs and integrates with the aforementioned zkDB system.

The team uses bilinear accumulators to aggregate all user addresses with specific attributes. Subsequently, this accumulator is placed in a separate leaf node of the Merkle tree, allowing for quick extraction and use when verifying all addresses with a certain attribute. For example, here is a simplified diagram of how to store certain user location information:

1. All user addresses belonging to the same location (e.g., "New York") are aggregated into one accumulator;

2. This accumulator is written as a node into the Merkle tree;

3. During queries, by verifying the Merkle tree path and the accumulator, it can be proven that a certain address indeed belongs to the set with that attribute without disclosing other user information.

This structure supports efficient data indexing and retrieval while ensuring the privacy and integrity of user data, making it a key component of verifiable SQL query architecture in a zero-knowledge environment.

Please note that the leaf nodes of the Merkle tree only contain the commitment value of the accumulator and a key, such as Location:London. The hash value in the node is the hash result of concatenating these two elements, as we will need to verifiably access the combination of these two data items in the future.

++Comments++

Terminal 3 is a full-stack data and identity infrastructure platform focused on privacy and designed for compliance and Web3 scenarios, with its greatest advantages being:

• High Security and Privacy
• Strong Compliance Capability
• Cutting-Edge Architectural Design

However, it also faces realistic challenges, including:

• High Integration and Performance Costs
• Ecosystem and Toolchain Still Maturing

For projects or enterprises that prioritize compliance, data privacy, and on-chain identity management, Terminal 3 is a cutting-edge solution with long-term potential.

1.3. Analysis of How MilkyWay, an L1 Protocol Built on Cosmos for Celestia, Activates Long-Tail Assets Like TIA through LST and LRT

MilkyWay is a Layer-1 blockchain built on Cosmos, designed around two core functions: liquid staking (LSD) and restaking. These two mechanisms allow stakers to maintain asset liquidity while extending network security to multiple off-chain services or dedicated chains.

In traditional proof-of-stake (PoS) networks, staked tokens must be locked to support main chain security, preventing these assets from participating in other DeFi scenarios or cross-chain bridging. MilkyWay's LSD model breaks this limitation: users can stake tokens (like TIA, BABY, or INIT) and receive corresponding LSD tokens (like milkTIA, milkBABY, milkINIT). These LSD tokens have free liquidity and can be freely used in cross-chain DeFi networks or bridging networks, ensuring users retain flexibility in asset usage while securing the network.

++Architecture Overview++

1. Liquid Staking

• Dual Returns: You can earn regular staking rewards while also holding a tradable derivative token (commonly referred to as LSD or LST).

• Capital Freedom: Since you can use the newly minted derivative tokens in other scenarios, you maintain flexibility: they can be used for lending, providing liquidity, or participating in other yield strategies.

• Risk Factors: You still face the same penalty risks associated with regular staking (e.g., slashing penalties due to validator penalties). Additionally, due to supply and demand dynamics or liquidity factors, the market price of the derivative token may not always align with the value of the underlying asset.

Deposit Native Tokens: You send the original tokens (e.g., TIA) to the protocol.

Protocol Mints Liquidity Tokens: The protocol then issues a liquid staking derivative (LSD), such as milkTIA.

Free Use of LSD: You can use, exchange, or trade this derivative token in various DeFi applications, allowing your funds to remain effective.

Quick Withdrawals: If you need to exit quickly, you can directly exchange LSD on decentralized exchanges (DEX) without waiting for the traditional unstaking period.

2. Liquidity Restaking

• Yield Amplification: Your originally staked tokens can simultaneously provide security support for multiple protocols, thereby obtaining multiple sources of rewards.

• Diversity of AVS: AVS (Actively Validated Services) can include oracles, dedicated data layers, cross-chain bridges, and various service types.

• User Autonomy: As a staker, you can choose how many AVSs to support. Some AVSs may offer higher yields but may require stricter online time from nodes or come with harsher penalty mechanisms (e.g., punitive slashing).

Restaking, as the name suggests, is the process of staking assets again after the initial staking. This mechanism allows already staked assets to be used for another staking protocol or program, thereby enhancing asset utilization and providing holders with additional sources of rewards, but it also comes with higher slashing risks.

Let’s look at the meaning of the flowchart above, which is a simplified diagram illustrating the basic process of restaking:

1. Stakers: Users first stake their assets and then perform the restaking operation;

2. Delegation of Restaked Assets: Users delegate the restaked assets to an Operator;

3. Operators Choose AVSs: Operators are responsible for deciding which Actively Validated Services (AVSs) to participate in;

4. AVSs Borrow Economic Security: These AVSs borrow cryptoeconomic security (i.e., the "trust value" of these assets) from the operator's restaking pool to support their service operations, such as oracles, data validation layers, bridging services, etc.

In short, restaking introduces a layer of multi-purpose validation services (AVS), allowing a single staked asset to function across multiple systems, thereby improving capital efficiency and bringing compound returns, but it also spreads risk across multiple participating services.

++Summary++

MilkyWay, as an innovative Layer 1 blockchain in the Cosmos ecosystem, has multiple advantages, including releasing liquidity of staked assets, allowing users to earn main chain staking rewards while participating in multiple AVSs (Actively Validated Services) through restaking for additional rewards; its generated LSD (liquid staking derivatives) can also be freely used in DeFi scenarios, supporting quick exits without waiting for unlocking periods and compatible with cross-chain operations, enhancing capital efficiency and flexibility.

However, MilkyWay also has certain disadvantages, such as the higher slashing risks brought by restaking, the potential decoupling of LSD prices from the original asset, and the relatively complex mechanism, which may present a higher entry barrier for ordinary users. Additionally, if the selected AVSs lack security, it may affect overall fund safety.

2. Detailed Projects of the Week

2.1. Detailed Analysis of Boop.fun, a Meme Launch Platform Built on Solana by NFT Influencer Dingaling, Aimed at Promoting Viral Token Communities

++Introduction++

Boop.fun is a meme coin launch platform based on Solana, launched in May 2025 by NFT influencer Dingaling. It aims to allow users to easily create and promote their own tokens (referred to as "cult") through the integration of social media dynamics, gamified incentive mechanisms, and community-driven token promotion. The platform's design goal is to enable users to build, promote, and manage tokens in a decentralized environment through innovative means, making it a viral token culture through social interaction and community participation.

++Technical Architecture Analysis++

The core of Boop.fun is built on the Solana blockchain, leveraging Solana's efficient transaction speed and low transaction fees to ensure smooth platform operation. Its technical architecture can be divided into several key components:

• Solana Blockchain Foundation: Boop.fun is based on Solana's high throughput and low latency advantages, ensuring rapid confirmation of token creation and trading. Solana's blockchain characteristics make Boop.fun more efficient in handling a large number of transactions, especially for meme coins that require a significant volume of transactions in a short time.

• Cult Creation and Promotion: Users can create their own tokens (referred to as "cult") through a simple interface. Boop.fun provides a streamlined process that allows users without a technical background to quickly launch their own tokens. This process typically includes setting parameters such as the token's name, symbol, total supply, and initial distribution.

• Social Media Integration: Boop.fun emphasizes social interaction and community participation, with the platform highly integrated with social media (such as Twitter, Discord, etc.). Users can promote their tokens on these platforms, attracting more attention and investors. The growth and value of tokens depend not only on market demand but also on the positivity and frequency of social media interactions.

• Gamified Incentive Mechanisms: Boop.fun incentivizes users to participate in token promotion through gamified mechanisms (such as token rewards, competitions, challenges, etc.). By completing tasks or engaging in interactions, users can earn Boop.fun's native tokens or rewards in the cult tokens they create. This incentive approach encourages users to actively participate in the ecological construction of the platform.

• Decentralized Governance: Boop.fun offers decentralized governance features, allowing token holders to vote and make decisions on platform rules, parameters, and future development directions. This provides users with a greater sense of participation and power, making the platform's ecosystem fairer and more transparent.

1. Comparison with Competitors

Boop.fun's core feature lies in its unique meme coin launch platform model, combining token creation, social interaction, and gamified incentives, distinguishing it from other decentralized exchanges (DEX) or traditional token issuance platforms (such as Uniswap, PancakeSwap, Ethereum, and BSC's Token Factory, etc.). Here is a comparison of Boop.fun with some major competitors:

Boop.fun vs Uniswap / PancakeSwap

• User Experience: Uniswap and PancakeSwap provide relatively mature decentralized trading functionalities, focusing on liquidity pools, trading pairs, and other features. In contrast, Boop.fun places greater emphasis on building the "memecoin" ecosystem, focusing on meme coin creators and social dissemination, simplifying the token creation process and offering more features related to social media and community.

• Innovation: Uniswap and PancakeSwap primarily provide liquidity and trading pairs, while Boop.fun offers a complete memecoin ecosystem construction solution, allowing users to create tokens and including social and gamified incentive mechanisms. By combining social media dynamics and community participation, Boop.fun provides a more interactive and entertaining experience.

• Token Creation Barriers: Uniswap and PancakeSwap require a certain level of technical background to create tokens (such as writing smart contracts, etc.). In contrast, Boop.fun allows users to create tokens through simple interface operations, significantly lowering the barriers to token creation.

Boop.fun vs Solstarter / Launchpad

• Functional Differences: Platforms like Solstarter and Launchpad primarily focus on providing funding for projects, initial token offerings (IDOs), and other services. They typically target more mature projects, offering traditional financing and token sale solutions. In contrast, Boop.fun focuses more on community participation, social dissemination, and the entertainment aspect of token culture, emphasizing the creation and promotion of meme coins.

• Target User Groups: Solstarter and Launchpad are more suitable for project parties with funding needs and technical backgrounds. In contrast, Boop.fun primarily targets a broad audience of social media users and meme coin enthusiasts, lowering the barriers to token creation and appealing to ordinary users and community-driven projects.

3. Token Economic Model and Ecological Applications

Boop.fun's token economic model not only incentivizes user participation through the platform's native token but also creates value through the social dissemination of the tokens themselves. The main economic mechanisms include:

• Platform Token (Boop Token): Boop.fun will drive the operation of the ecosystem through its native platform token (Boop Token). The Boop Token may be used to pay platform fees, participate in governance voting, reward activities on the platform, etc. The platform token can also be traded on secondary markets, providing liquidity for early participants.

• Cult Tokens: Each token created by users on Boop.fun is referred to as a "cult," and its circulation and market value are primarily determined by community promotion and social interaction. The creators of cult tokens can gain more attention and market value for their tokens through community promotion and social media interaction.

• Social Incentives and Rewards: Through social media activities and gamified mechanisms, users can earn token rewards, such as through sharing, interacting, and participating in challenges, incentivizing users to actively participate and promote their tokens. The design of the reward mechanism not only encourages users to participate more frequently in platform activities but also increases the liquidity and market recognition of the tokens.

• Decentralized Governance: Boop.fun may also allow token holders to participate in platform decision-making through decentralized governance mechanisms, including rule setting, feature development, and token incentive allocation.

4. Future Development and Challenges

As an emerging meme coin launch platform, Boop.fun faces many challenges and opportunities. Here are some potential future directions:

• Social Media and Platform Collaboration: Boop.fun needs to further strengthen cooperation with mainstream social media platforms (such as Twitter, Discord, Reddit, etc.) to enhance user stickiness and dissemination effects. By deeply integrating social media functions, the promotion of meme coins can become more efficient.

• Market Competition: With the rapid development of the meme coin market, Boop.fun needs to maintain innovation and continuously improve user experience and incentive mechanisms to respond to competition from other competitors (such as ShibaSwap, SafeMoon, etc.).

• Community Building: The success of Boop.fun will largely depend on the activity and participation of its community. The platform needs to continuously optimize user interaction experiences and encourage community members to actively participate in governance and content creation.

++Summary++

Boop.fun provides a new, social media-based platform for meme coin creation and promotion. By simplifying the token creation process and combining social dynamics with gamified incentives, it offers users an opportunity to easily enter the DeFi and meme coin ecosystem. Although it is more entertaining and social than traditional DEX or token issuance platforms, it also faces challenges in market competition and user participation. In the future, whether Boop.fun can successfully attract users and achieve long-term development will depend on its innovation, community activity, and integration capabilities with mainstream social platforms.

III. Industry Data Analysis

1. Overall Market Performance

1.1 Spot BTC & ETH ETF

As of November 1 (Eastern Time), the total net outflow of Ethereum spot ETFs was $10,925,600.

1.2 Spot BTC vs ETH Price Trends

BTC

Analysis

Last week, BTC continued its rebound momentum and is currently operating at the top of an upward channel but has entered a stagnation phase in the short term. From the current trend, $105,000 can serve as a first-line resistance; if it breaks above, it could directly target the historical high near $110,000.

If the short-term pullback finds support around $102,000, the probability of continuing the rebound is relatively high. Conversely, if it continues to break below the midline of the upward channel, it could further pull back to the lower boundary of the channel, which is around $98,000, the second-line support.

Users should note that as long as the upward channel pattern is not broken, it is possible to maintain a bullish outlook; an effective break below the lower boundary of the channel would signal a bearish trend.

ETH

Analysis

ETH finally welcomed a strong rebound last week, with weekly gains exceeding those of BTC for the first time, marking a good start. However, the overall market is likely to undergo a brief adjustment under short-term overbought conditions, so the $2,600 area can serve as a first-line resistance; if it breaks above, it could directly target the second-line strong resistance at $2,850.

Conversely, the first-line support to watch is around $2,440; if a pullback stabilizes near this price, it indicates a short correction period, and a continued rebound may occur sooner. If it breaks below $2,440 and stabilizes near the second-line support at $2,270, the probability of continuing to set new highs and testing $2,850 decreases.

Users need to pay attention to the $2,270 support; if it holds, the overall trend remains bullish; if it breaks, the focus shifts directly to the $2,100 support.

1.3 Fear & Greed Index

2. Public Chain Data

2.1 BTC Layer 2 Summary

Analysis

As of May 10, 2025, the Bitcoin Layer 2 (L2) ecosystem continues to expand, attracting more attention from developers and institutions.

1. Stacks (STX)

• Nakamoto Upgrade: Stacks completed the Nakamoto upgrade, reducing block production time from 10-30 minutes to about 5 seconds, significantly improving transaction speed.

• sBTC Introduction: Launched sBTC (Bitcoin on Stacks), achieving cross-chain interoperability for Bitcoin and enhancing Stacks' capabilities in DeFi and smart contracts.

• Market Performance: STX price rose over 20% in the past week, reflecting positive market response to its technological advancements.

1. Bitlayer (BitVM)

• Finality Bridge Testnet: Bitlayer launched the Finality Bridge testnet based on the BitVM protocol, aiming to enhance the security of Bitcoin cross-chain assets through zero-knowledge proofs and fraud-proof mechanisms.

• Ecosystem Development: Bitlayer has initiated a $50 million ecosystem fund to attract projects such as decentralized exchanges (DEX) and AI protocols.

1. Citrea

• Clementine Bridge Protocol: Citrea deployed the Clementine bridge protocol based on BitVM on the Bitcoin testnet, aiming to achieve high throughput and low-latency transactions for Bitcoin through zero-knowledge aggregation and fraud proofs.

2.2 EVM & Non-EVM Layer 1 Summary

Analysis

++EVM-Compatible Layer 1 Blockchain Dynamics++

1. Injective Introduces Native EVM Support

Injective announced it will integrate a native Ethereum Virtual Machine (EVM) into its Layer 1 blockchain, enabling support for Ethereum-compatible decentralized applications (dApps). This EVM will coexist with the existing CosmWasm smart contract architecture, expected to achieve a throughput of 320 to 800 transactions per second upon mainnet launch.

2. Monad Testnet Launch

Monad, a high-performance EVM-compatible Layer 1 blockchain, has launched its testnet and established a partnership with Orderly Network to enhance liquidity in its decentralized finance (DeFi) ecosystem.

3. Berachain Mainnet Officially Launched

Berachain, an EVM-compatible Layer 1 blockchain built on the Cosmos SDK, has officially launched its mainnet. This chain employs a unique Proof-of-Liquidity (PoL) consensus mechanism aimed at improving security and liquidity efficiency.

++Non-EVM-Compatible Layer 1 Blockchain Dynamics++

1. Humanode Introduces Biometric Sybil Resistance Mechanism

Humanode is a decentralized Layer 1 blockchain protocol that adopts the principle of "one person, one node," achieving Sybil resistance through biometric verification. Each validating node in the network is associated with a real, unique person, aiming to ensure decentralization and privacy protection.

2. Canton Network Promotes Blockchain Interoperability Among Financial Institutions

Canton Network is a public blockchain network aimed at financial institutions, designed to enable secure, interoperable, and privacy-protected transactions. This network employs a "network of networks" architecture, allowing participating institutions to maintain their own ledgers while connecting through a shared synchronization layer to achieve atomic transactions and privacy protection.

2.3 EVM Layer 2 Summary

Analysis

From May 5 to May 10, 2025, several Ethereum-compatible Layer 2 networks (Layer 2) underwent significant updates, including protocol upgrades, network maintenance, hard fork events, and community hackathon activities.

• ZKsync initiated the v27 upgrade on May 6 through governance proposal ZIP-9, achieving full EVM equivalence, allowing developers to directly deploy standard Solidity-compiled bytecode (without special conversion), marking further compatibility of EraVM with the mainstream Ethereum ecosystem.

• All ZKsync Era node operators were required to upgrade to v28.0.0 (testnet) by May 9, with the mainnet upgrade deadline set for May 30 to ensure compatibility with the new protocol.

• Polygon zkEVM mainnet experienced a brief outage on May 5, undergoing maintenance from 13:00 to 15:00 UTC and successfully resuming operation.

• Optimism Superchain executed a hard fork upgrade codenamed "Isthmus" on May 9 at 16:00 UTC, requiring chains and node operators to complete upgrades to op-geth v1.101503.4 and op-batcher v1.12.0 in advance to support new features such as embedded L2 withdrawal roots in block headers. On the same day, Optimism held a "Superchain Upgrade - Integration" event, focusing on cross-chain interoperability and unified contract upgrades.

• ZKsync launched the "Lens Spring Hackathon" on May 5, with total prizes including $50,000 worth of GHO and $5,000 worth of BONSAI, to incentivize developers to build applications on its Lens subchain.

• Arbitrum One remains the leader in the L2 market, with a TVL exceeding $18 billion, and no significant incidents or interruptions during this period.

• Coinbase Base announced its transition to "Stage 1 Decentralization" at the end of April, with no new announcements this week, focusing on stability and ecosystem development.

IV. Macroeconomic Data Review and Key Data Release Points for Next Week

This interest rate decision aligns with market expectations, with the market generally anticipating that the Federal Reserve will maintain current rates, with potential rate cuts occurring in June or later.

The core of the Federal Reserve's "wait and see" approach remains vigilance against inflation risks. According to Powell, the new policies of the U.S. government are still evolving, and their impact on the economy remains "highly uncertain." If the announced significant tariff increases continue to be implemented, it could lead to rising inflation, slowing economic growth, and increasing unemployment rates.

This week (May 12 - May 16), important macroeconomic data points include:

May 13: U.S. April Unadjusted CPI Year-on-Year

May 15: U.S. April Retail Sales Month-on-Month

V. Regulatory Policies

U.S.: Stablecoin Legislation Faces Political Challenges

• Stablecoin Legislation Stalled: Senate Democrats blocked a bill aimed at establishing a federal regulatory framework for stablecoins on May 8. They expressed concerns about potential conflicts of interest arising from the bill's provisions related to Trump family crypto projects. Trump recently launched a meme coin and collaborated with a UAE fund to invest in the stablecoin USD1. Democrats are calling for stronger anti-money laundering and national security provisions. Although the bill has been shelved, negotiations led by Senator Mark Warner are ongoing.

• State-Level Crypto Policy Progress: Arizona and New Hampshire have passed bills allowing state governments to hold crypto assets. Arizona's bill permits the state to maintain unclaimed crypto asset reserves, while New Hampshire allows up to 5% of public funds to be invested in major cryptocurrencies and precious metals.

U.K.: Accelerating the Advancement of Crypto Regulatory Framework

• Regulatory Framework Planning: The U.K. Financial Conduct Authority (FCA) has announced plans to implement a comprehensive regulatory system for crypto assets by 2026. This plan includes releasing discussion papers on trading platforms, lending, staking rewards, and more in the first half of 2025. FCA's research shows that the average asset value of crypto asset holders in the U.K. has increased from £1,595 last year to £1,842.

• Industry Feedback: Matthew Osborne, Ripple's European Policy Director, expressed support for the U.K. government's initiative to establish leadership in the digital asset space in a letter dated May 5, praising Chancellor Rachel Reeves for emphasizing the importance of clear and forward-looking regulation to stimulate innovation and growth. Link

EU: Unified Regulation and Digital Euro Exploration

• MiCA Regulation Implementation: The EU's Markets in Crypto-Assets (MiCA) regulation will take effect at the end of 2024, providing a unified regulatory framework for crypto assets, strengthening compliance requirements for stablecoins and trading platforms, and promoting industry standardization. However, European Central Bank President Christine Lagarde has explicitly opposed including Bitcoin in national reserves, emphasizing its instability and anti-money laundering risks, reflecting the EU's conservative stance on cryptocurrencies.

• Digital Euro Testing: The EU has launched large-scale testing of the digital euro in 2025, aiming to explore potential applications for central bank digital currencies (CBDCs). However, public concerns about privacy protection have become a major obstacle to the full implementation of the digital euro.

Pakistan: Establishment of National Crypto Committee

• Crypto Committee Established: Pakistan established the Pakistan Crypto Committee (PCC) in March 2025, aimed at regulating and promoting the country's blockchain technology and digital asset development. The committee is led by Finance Minister Muhammad Orzhanbe, with Bilal Ben Saqib as CEO and Binance co-founder Zhao Changpeng as strategic advisor.

Japan: Proposal for Crypto Capital Gains Tax Reform

• Tax Reform Proposal: Japan's ruling Liberal Democratic Party (LDP) has proposed ambitious cryptocurrency regulatory reforms, suggesting reducing the capital gains tax on digital assets from the current rate to 20%. This proposal classifies cryptocurrencies as a different asset class from traditional securities, aiming to provide a more investor-friendly environment.

China: Strengthening Foreign Exchange Regulation

Strengthened Foreign Exchange Regulation: China has recently implemented new foreign exchange rules requiring banks to closely monitor and report high-risk transactions involving cryptocurrencies. These regulations aim to curb cross-border gambling, underground banking, and illegal financial activities using crypto assets.