question,answer,references
Hashing It Out: Are RWAs the future of crypto?,"In this episode of Cointelegraph’s Hashing It Out podcast, host Elisha Owusu Akyaw interviews Micah Yeackley, co-founder of Kula DAO — a project tokenizing a diverse collection of real-world assets (RWA) on the blockchain — about the prospects of the sector in the Web3 space and what it means for developing markets.

The episode also touches on other significant topics, such as regulation and what RWAs on the blockchain mean for retail and institutional investors.

Yeackley explains that tokenizing real-world assets can span across multiple asset types beyond what most people expect. He highlights that even though Kula started out by focusing on natural resources, the project quickly realized that anything with real-world value could be tokenized, including water resources, agricultural projects and real estate developments.

Based on the wide variety of RWAs that can be tokenized, Yeackley suggests that projects are more likely to benefit from having a diverse pool of assets, which is Kula’s approach. He explains:

“Well, when you talk to any savvy investor, anybody that’s investing money for a long time, they’re experienced at it. They’re always going to say diversification is key.""

Yeackley breaks down the “DoubleDAO,” a component of the Kula DAO governance structure, which aims to collate the best of Web2 and Web3 governance, ensuring checks and balances during the decentralized autonomous organization’s (DAO) decision-making process. The Double-DAO provides asset-layered protection so that the voices and participation of key stakeholders are protected.

The Double-DAO includes a “RegionalDAO,” where local communities affected by the assets can actively participate in decision-making.

He also highlights how the project’s rollout in Zambia has led to changes at a partner mine in areas such as equal pay for women and the construction of social amenities through the voting process.

Moving to regulation, Yeackley says it’s difficult for projects in the sector to be regulated. Kula has received pre-approval from the Virtual Assets Regulatory Authority in Dubai and is set to become the first regulated RWA DAO to tokenize natural resources and commodities.

Yeackley believes that regulation should be the first step and not the last in a sector with extensive regulation in the traditional financial landscape.

Listen to the latest episode of Hashing It Out on Spotify, Apple Podcasts or TuneIn. You can also explore Cointelegraph’s complete catalog of informative podcasts on the Cointelegraph Podcasts page.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.","The episode also touches on other significant topics, such as regulation and what RWAs on the blockchain mean for retail and institutional investors.
Yeackley explains that tokenizing real-world assets can span across multiple asset types beyond what most people expect.
Moving to regulation, Yeackley says it’s difficult for projects in the sector to be regulated.
Yeackley believes that regulation should be the first step and not the last in a sector with extensive regulation in the traditional financial landscape.
Listen to the latest episode of Hashing It Out on Spotify, Apple Podcasts or TuneIn."
Bitcoin’s ‘normal drop’ leads to $256M longs liquidated — Analysts,"Bitcoin’s price decline of over 7% in the last 24 hours has resulted in $256 million in losses for traders with long positions.

However, analysts believe it’s nothing out of the ordinary despite escalating geopolitical tensions in the Middle East.

“So far, this is a normal drop. In fact, we’ve had several 20-22% drops this cycle,” Benjamin Cowan stated in an April 13 post on X.

“Chaos is good for Bitcoin,” MicroStrategy CEO Michael Saylor declared in an April 13 post on X.

Meanwhile, pseudonymous crypto trader Rekt Capital believes the price of Bitcoin (BTC) will resume its “uptrend,” although not before experiencing short-term pain first:

“Bitcoin will retrace deep enough to convince you that the Bull Market is over,” Rekt explained.

On April 13, Bitcoin’s price plummeted right down to $60,919, before finding support at $62,060.

At the time of publication, its current price is $63,858, according to CoinMarketCap data.

Bitcoin’s price has gone right down to $60,919 in the past 24 hours. Source: CoinMarketCap

The sudden price plunge led to a total of $319.15 million in liquidations from leveraged positions in Bitcoin over the past 24 hours.

According to CoinGlass data, this included $256.58 million from long positions and $62.58 million from short positions.

Traders seem to be bracing for further downside. If Bitcoin’s price were to revert to its price level of $67,000 just 24 hours ago, short positions totaling $1.05 billion would face liquidation.

A total of $319.15 million was liquidated in Bitcoin positions over the past 24 hours. Source: CoinGlass

Although the entire cryptocurrency market experienced widespread pain as $945.9 million was liquidated from 253,554 traders over the last 24 hours.

The Crypto Fear and Greed Index — a tool that tracks crypto market sentiment — currently stands at a greed level of 72, a slight decrease from last week’s extreme greed score of 78.

Related: Why XRP price might jump 70% vs. BTC after the Bitcoin halving

The global crypto market cap has also taken an 8% hit, dropping down to $2.23 trillion.

Meanwhile, Cointelegraph recently reported that the growth in demand from Bitcoin whales has never been stronger.

Demand from “permanent holders” has exceeded the market supply of new Bitcoin for the first time, according to data shared by crypto analytic firm CryptoQuant.

This indicates that the amount of new Bitcoin produced by mining is insufficient to meet crypto investors’ demand, and the scarcity will only grow further after the halving of the Bitcoin.

Magazine: 1 in 6 new Base meme coins are scams, 91% have vulnerabilities","Bitcoin’s price decline of over 7% in the last 24 hours has resulted in $256 million in losses for traders with long positions.
Bitcoin’s price has gone right down to $60,919 in the past 24 hours.
If Bitcoin’s price were to revert to its price level of $67,000 just 24 hours ago, short positions totaling $1.05 billion would face liquidation.
A total of $319.15 million was liquidated in Bitcoin positions over the past 24 hours.
Source: CoinGlassAlthough the entire cryptocurrency market experienced widespread pain as $945.9 million was liquidated from 253,554 traders over the last 24 hours."
Tether vows to freeze assets after Venezuela looks to crypto to bypass oil sanctions,"USDT-issuer Tether says it will freeze addresses linked to sanctioned entities following a report that Venezuela’s state-run oil company was using the stablecoin to bypass sanctions.

A spokesperson from Tether told Cointelegraph that the company remains committed to stopping payments linked to Office of Foreign Assets Control (OFAC) sanctioned entities:

""Tether respects the OFAC SDN list and is committed to working to ensure sanction addresses are frozen promptly.""

This comes after an exclusive report from Reuters claimed that Venezuela’s state-run oil company, PDVSA, has been using cryptocurrencies to facilitate its crude oil and fuel exports. The country is facing new oil sanctions reimposed by the United States.

According to the report, the U.S. Treasury Department requires PDVSA customers and providers to wind down transactions by May 31 due to Venezuela’s failure to implement electoral reforms.

Related: Tether’s USDT stablecoin goes live on TON blockchain

The report, which cited anonymous sources, says the reimposed sanctions will make it harder for Venezuela to increase its oil product and export because companies will require U.S. authorizations to do business with the South American nation.

The sources claim that PDVSA has been moving its oil sales to Tether (USDT) as a mitigating move to avoid funds being frozen in foreign bank accounts as new sanctions take effect.

Reports in 2023 linked cryptocurrency payments to a corruption scandal at PDVSA involving the discovery of $21 billion of unaccounted receivables for oil exports.

Related: Stablecoin competition crucial for regulatory engagement — Tether CEO

Reuters’ sources also claim that PDVSA has reworked its spot oil deals in 2024 to a contract model that requires prepayment for exported cargo in USDT. The report also suggests that the Venezuelan state-run oil firm requires new customers looking to conduct oil transactions to hold cryptocurrency in a digital wallet.

It’s understood that companies that looked to resume business with PDVSA following a six-month licensing approval from the U.S. in October 2023 had to resort to intermediaries to carry out the cryptocurrency payment requirements.

Magazine: Lazarus Group’s favorite exploit revealed — Crypto hacks analysis","USDT-issuer Tether says it will freeze addresses linked to sanctioned entities following a report that Venezuela’s state-run oil company was using the stablecoin to bypass sanctions.
This comes after an exclusive report from Reuters claimed that Venezuela’s state-run oil company, PDVSA, has been using cryptocurrencies to facilitate its crude oil and fuel exports.
The country is facing new oil sanctions reimposed by the United States.
The sources claim that PDVSA has been moving its oil sales to Tether (USDT) as a mitigating move to avoid funds being frozen in foreign bank accounts as new sanctions take effect.
The report also suggests that the Venezuelan state-run oil firm requires new customers looking to conduct oil transactions to hold cryptocurrency in a digital wallet."
Cyprus keeps FTX Europe license suspended until September,"The saga of the collapsed cryptocurrency exchange FTX has been inching toward a conclusion but some former parts of the FTX empire are still struggling to continue operations.

The Cyprus Securities and Exchange Commission (SEC) has extended the suspension of FTX Europe’s license, prohibiting the firm from offering services until September 2024.

Cyprus' securities regulator officially announced the news on April 16, declaring that FTX Europe must proceed with necessary actions to comply with the relevant provisions of The Investment Services and Activities and Regulated Markets Law.

Excerpt from CySEC’s decision regarding FTX Europe. Source: CySEC

As part of the regulatory decision, FTX Europe is banned from providing investment services as well as entering into any business transaction with any person or accepting any new clients. The firm is also prohibited from advertising investment services, the announcement notes.

On the other hand, the regulator required FTX Europe to complete all its transactions and those of its clients upon their request. The Cyprus SEC ordered that the company will also have to return all funds and financial instruments attributable to its clients.

The news comes just a few weeks after a federal U.S. judge sentenced former FTX CEO Sam “SBF” Bankman-Fried to 25 years in prison on March 28 after being found guilty on seven counts of fraud and conspiracy to launder money.

After FTX collapsed in November 2022, its then-affiliated firm FTX Europe was named one of the firms included in FTX’s Chapter 11 filing in the United States.

Related: Sam Bankman-Fried asks to stay in Brooklyn prison for appeal

Before getting involved in the FTX empire, FTX Europe was known as Digital Assets AG, a Swiss crypto startup founded by Patrick Gruhn and Robin Matzke. Gruhn and Matzke sold the company to FTX in 2021 for $323 million, which subsequently rebranded to FTX Europe.

Following long-running bankruptcy disputes, FTX sold its subsidiary FTX Europe back to its founders Gruhn and Matzke in February 2024 for $32.7 million.

Following the settlement, Matzke reportedly claimed that FTX’s European expansion was going well until FTX failed internationally in November 2022, adding that the settlement was a good result.

“We are happy to support speedy payouts to EU clients,” Matzke said in February.

Magazine: SBF gets 25 years in prison, Fidelity eyes ETH staking, and Coinbase’s court loss: Hodler’s Digest, March 24-30","Excerpt from CySEC’s decision regarding FTX Europe.
On the other hand, the regulator required FTX Europe to complete all its transactions and those of its clients upon their request.
After FTX collapsed in November 2022, its then-affiliated firm FTX Europe was named one of the firms included in FTX’s Chapter 11 filing in the United States.
Gruhn and Matzke sold the company to FTX in 2021 for $323 million, which subsequently rebranded to FTX Europe.
Following long-running bankruptcy disputes, FTX sold its subsidiary FTX Europe back to its founders Gruhn and Matzke in February 2024 for $32.7 million."
Terraform Labs and Do Kwon found liable for fraud in SEC case,"A jury found Terraform Labs and co-founder Do Kwon liable for defrauding investors in its civil case with the United States Securities and Exchange Commission.

In an April 5 announcement, SEC Enforcement Director Gurbir Grewal said jurors in U.S. District Court for the Southern District of New York found Kwon and Terraform liable in the civil enforcement case after a short deliberation. The SEC trial started on March 25 without the attendance of Kwon, who remains in Montenegro as courts determine whether to grant an extradition request from the U.S. or South Korea.

“We are pleased with today’s jury verdict holding Terraform Labs and Do Kwon liable for a massive crypto fraud,” said Grewal. “Terraform Labs and Kwon, its former CEO, deceived investors about the stability of the crypto asset security and so-called algorithmic stablecoin Terra USD, and they further misled investors about whether a popular payment application used Terraform’s blockchain to process and settle payments.”

Grewal cited Terraform’s lack of registration with the regulator as having “very real consequences” for investors, reiterating calls for compliance. During the trial, SEC attorneys likened the platform to a “house of cards” and alleged the company and Kwon lied to investors.

“We are very disappointed with the verdict, which we do not believe is supported by the evidence,” a Terraform Labs spokesperson told Cointelegraph. “We continue to maintain that the SEC does not have the legal authority to bring this case at all, and we are carefully weighing our options and next steps.”

According to the verdict filed in the U.S. District Court for the Southern District of New York on April 5, jurors found Kwon and Terraform liable for six charges. They also determined that the platform acted “recklessly” in making false or misleading statements regarding the offer or sale of TerraUSD (UST), Luna (LUNA) or wLUNA.

Terraform Labs collapsed in May 2022 following the instability of its algorithmic stablecoin, UST, and other claims about the blockchain’s use cases. The platform’s failure likely contributed to a major crypto market downturn, leading to bankruptcy filings from firms including FTX, BlockFi and Celsius.

Related: Terra crash anniversary: Community reflects on the lessons learned

The SEC filed its lawsuit against Terra and Kwon in February 2023, alleging the two “orchestrat[ed] a multi-billion dollar crypto asset securities fraud.” The civil case could have far-reaching implications for crypto firms operating in the U.S. — in December, Judge Jed Rakoff granted a partial summary judgment in favor of Terraform regarding the unregistered offer and sale of security-based swaps.

It’s unclear what the verdict could mean for the extradition of Kwon from Montenegro. As of April 5, following a decision from the country’s Supreme Court, his case has been returned to a lower court to determine whether to grant extradition to the U.S. or South Korea. He faces criminal charges in both countries.

Magazine: Lawmakers’ fear and doubt drives proposed crypto regulations in US","A jury found Terraform Labs and co-founder Do Kwon liable for defrauding investors in its civil case with the United States Securities and Exchange Commission.
In an April 5 announcement, SEC Enforcement Director Gurbir Grewal said jurors in U.S. District Court for the Southern District of New York found Kwon and Terraform liable in the civil enforcement case after a short deliberation.
“We are pleased with today’s jury verdict holding Terraform Labs and Do Kwon liable for a massive crypto fraud,” said Grewal.
“We are very disappointed with the verdict, which we do not believe is supported by the evidence,” a Terraform Labs spokesperson told Cointelegraph.
Terraform Labs collapsed in May 2022 following the instability of its algorithmic stablecoin, UST, and other claims about the blockchain’s use cases."
Philippines SEC orders Apple and Google to remove Binance from app stores,"The Philippines Securities and Exchange Commission (SEC) ordered both Google and Apple to remove the Binance app from their respective app stores for users in the Philippines.

According to a press release from the SEC on April 23, it is working with the Big Tech companies on the removal of “applications operated by cryptocurrency giant Binance.” It said the companies received separate letters on April 19 regarding removing the apps in the local marketplaces.

“The SEC has identified [Binance] and concluded that the public’s continued access to these websites/apps poses a threat to the security of the funds of investing Filipinos.”

Emilio B. Aquino, chair of the SEC, said that selling or offering unregistered securities to locals and operating as an “unregistered broker” is in violation of the country’s securities regulations.

He said that by removing Binance applications from digital app marketplaces, these companies would help “prevent the further proliferation of its illegal activities in the country,” saying that otherwise, this could have “detrimental” effects on the local economy.

This move comes shortly after the SEC and the National Telecommunications Commission (NTC) blocked access to Binance websites on March 25.

Related: Binance’s $1B emergency ‘SAFU’ fund now makes up 3% of UDSC supply

The SEC has been actively warning the public against using Binance for investing since November 2023. It says the crypto exchange, which is one of the world’s largest, has yet to secure a license to solicit investments from the public nor to operate an exchange to buy and sell securities.

On April 8, following the enforcement of its official ban on Binance, an SEC official reiterated that they had already provided users with a three-month period, along with an extension, to facilitate the withdrawal of their funds from the exchange. After this period, the SEC said they “cannot endorse” any methods for retrieving funds.

The move to block Binance follows a crackdown from the SEC and the NTC on Feb. 21, through which they moved to block and ban unlicensed crypto trading platforms in the country. At that time Binance was unaffected.

Binance has been involved in other regulatory-related debacles around the world, most recently in a new class-action lawsuit in Canada on April 23, following allegations that it violated local securities laws.

However, on the flip side, the cryptocurrency exchange announced on April 18 that it would return to India after paying a $2 million fine for previous non-compliance with local regulations.

On the same day, it was reported that Binance received its crypto licence in Dubai, also known as the coveted Virtual Asset Service Provider (VASP), after its co-founder Changpeng Zhao gave up his voting power in the exchange’s local entity.

Magazine: Lazarus Group’s favorite exploit revealed — Crypto hacks analysis","The Philippines Securities and Exchange Commission (SEC) ordered both Google and Apple to remove the Binance app from their respective app stores for users in the Philippines.
This move comes shortly after the SEC and the National Telecommunications Commission (NTC) blocked access to Binance websites on March 25.
Related: Binance’s $1B emergency ‘SAFU’ fund now makes up 3% of UDSC supplyThe SEC has been actively warning the public against using Binance for investing since November 2023.
It says the crypto exchange, which is one of the world’s largest, has yet to secure a license to solicit investments from the public nor to operate an exchange to buy and sell securities.
Binance has been involved in other regulatory-related debacles around the world, most recently in a new class-action lawsuit in Canada on April 23, following allegations that it violated local securities laws."
Finland's households turn to Bitcoin mining to heat homes,"A new project in Finland is turning energy from mining Bitcoin (BTC) cryptocurrency into energy to heat homes during the cold Finnish winter.

Bitcoin mining infrastructure firm Hashlabs Mining has introduced a pioneering project enabling heat generation using specially designed Bitcoin mining devices.

The project combines heat production from the hydro-cooled ASIC mining device — a WhatsMiner M63S — with the Finnish district heating system, where the heat is transferred from a centralized source through a network of insulated pipes to multiple buildings. The new project is designed to allow households to benefit from industrial BTC mining.

“With the help of industrial consumers like Bitcoin miners, Finland can increasingly use its massive nuclear power plant to produce heat,” Hashlabs Mining co-founder Jaran Mellerud said in a post on X on April 23.

A local partner of Hashlabs has already integrated two Bitcoin mines with district heating facilities and is currently integrating a third one, Mellerud said.

In the project, Hashlabs specifically utilizes the hot water generated from WhatsMiner M63S mining, which reaches a temperature of 70 degrees Celsius. “The best provider of reliable, high-temperature water for district heating is Bitcoin mining,” the Hashlabs founder stated.

WhatsMiner-generated hot water is set to replace the heat generated in plants utilizing fuels like biomass and other carbon-neutral heat sources, as well as peat, hard coal and others.

As of 2019, most of Finland’s district heat was produced with wood fuels, accounting for 35%, and hard coal with 18%, according to data from Statistics Finland.

Peat ranked the third most important energy source in district heat production in 2019, with 15% produced with peat.

Related: Bitcoin halving will lead to more sustainable BTC mining: Report

The concept of using the energy coming from Bitcoin mining for heating has been gaining momentum in the past few years, with savvy Bitcoin miners finding many ways to make Bitcoin more environmentally-friendly and sustainable.

As previously mentioned by Cointelegraph, some miners found ways to use Bitcoin mining-created heat to warm swimming pools, dehydrate meat to make beef jerky or even dry out timber. In June 2023, a bathhouse in New York told its customers that it was using the byproduct heat from Bitcoin mining rigs as the energy to run its facilities.

Magazine: Lazarus Group’s favorite exploit revealed — Crypto hacks analysis","A new project in Finland is turning energy from mining Bitcoin (BTC) cryptocurrency into energy to heat homes during the cold Finnish winter.
Bitcoin mining infrastructure firm Hashlabs Mining has introduced a pioneering project enabling heat generation using specially designed Bitcoin mining devices.
“The best provider of reliable, high-temperature water for district heating is Bitcoin mining,” the Hashlabs founder stated.
As of 2019, most of Finland’s district heat was produced with wood fuels, accounting for 35%, and hard coal with 18%, according to data from Statistics Finland.
Peat ranked the third most important energy source in district heat production in 2019, with 15% produced with peat."
Bitcoin ransomware Akira drains $42M from more than 250 companies: FBI,"Akira, a year-old ransomware group, breached more than 250 organizations and extracted approximately $42 million in ransomware proceeds, top global cybersecurity agencies alerted.

Investigations conducted by the United States Federal Bureau of Investigation (FBI) found that Akira ransomware has been targeting businesses and critical infrastructure entities in North America, Europe and Australia since March 2023. While the ransomware initially targeted Windows systems, the FBI recently found Akira’s Linux variant as well.

The FBI, along with Cybersecurity and Infrastructure Security Agency (CISA), Europol’s European Cybercrime Centre (EC3) and the Netherlands’ National Cyber Security Centre (NCSC-NL), released a joint cybersecurity advisory (CSA) to “disseminate” the threat to masses.

According to the advisory, Akira gains initial access through pre-installed virtual private networks (VPNs) that lack multifactor authentication (MFA). The ransomware then proceeds to extract credentials and other sensitive information before locking up the system and displaying a ransom note.

“Akira threat actors do not leave an initial ransom demand or payment instructions on compromised networks, and do not relay this information until contacted by the victim.”

The ransomware group demands payments in Bitcoin (BTC) from the victim organizations to restore access. Such malware often disables security software after initial access to avoid detection.

Cybersecurity best practices against ransomware attacks. Source: cisa.gov

Some of the threat mitigation techniques recommended in the advisory are implementing a recovery plan and MFA, filtering network traffic, disabling unused ports and hyperlinks and system-wide encryption.

“The FBI, CISA, EC3, and NCSC-NL recommend continually testing your security program, at scale, in a production environment to ensure optimal performance against the MITRE ATT&CK techniques identified in this advisory,” the agencies concluded.

Related: Mystery malware targets Call of Duty cheaters, stealing their Bitcoin

The FBI, CISA, NCSC and the U.S. National Security Agency (NSA) previously issued alerts about malware that was being used to target crypto wallets and exchanges.

Directories where information were extracted by the malware. Source: National Cyber Security Centre

The report noted that some of the data extracted by the malware included data within the directories of the Binance and Coinbase exchange applications and the Trust Wallet application. According to the report, every file in the directories listed is being exfiltrated regardless of type.

Magazine: Get Bitcoin or die tryin’: Why hip hop stars love crypto","Akira, a year-old ransomware group, breached more than 250 organizations and extracted approximately $42 million in ransomware proceeds, top global cybersecurity agencies alerted.
Investigations conducted by the United States Federal Bureau of Investigation (FBI) found that Akira ransomware has been targeting businesses and critical infrastructure entities in North America, Europe and Australia since March 2023.
While the ransomware initially targeted Windows systems, the FBI recently found Akira’s Linux variant as well.
According to the advisory, Akira gains initial access through pre-installed virtual private networks (VPNs) that lack multifactor authentication (MFA).
The ransomware then proceeds to extract credentials and other sensitive information before locking up the system and displaying a ransom note."
SEC breaks from past policy guidelines in Uniswap crackdown,"The United States Securities and Exchange Commission (SEC) is contradicting years of its own policy guidelines with its latest action against decentralized crypto exchange Uniswap, according to Cinneamhain Ventures’ Adam Cochran.

In a legal analysis on X, Cochran referred to several previous decisions by the U.S. regulator over the definition of an exchange and what it means for Uniswap’s potential legal battle.

The SEC has previously issued “No-Action Letters” in 1986, 1991 and 1997 for entities seeking guidance on routing and matching trades electronically. According to Cochran, the entities were “looking to establish their first system for routing and matching trades electronically. They were concerned that would make them an “exchange.”

“But the SEC concluded that because the execution was on a separate system that matching, routing, communicating and ordering as a “computer service system” did not meet the holistic definition of “an exchange.”

Another precedent contradicting the SEC relates to classifying front ends as an exchange. The regulator’s guidance in letters from 1989 and 1990 was that an interface that displays and communicates with an exchange is not in itself an exchange.

“The SEC guidance found that because these interfaces, even though they profited from bringing together buyers and sellers to exchange explicit securities the fact that the settlement and payment happened elsewhere meant these interfaces were not exchanges,” explained the venture capitalist.

Cochran also noted that in 1998, on the SEC No-Act. LEXIS 18, the Commission declared the matter settled and would no longer respond to No-Action Letter requests.

In addition, connecting buyers and sellers does not constitute an exchange. The SEC provided this guidance to companies in 1979, 1996 and 1999, according to Cochran’s analysis.

“The exchange needed to involve the legal transfer of the assets and/or finances. So even though a buyer on Uniswap may commit to a purchase, by signing a transaction with their private key the Uniswap Labs frontend, isn’t what’s settling it.”

Another relevant point in the analysis concerns asset listing. In 1998, the commission found that having an electronic system for common stocks that are not listed on an existing exchange does not constitute an exchange, regardless of whether fees are charged.

“In this case, the commission found that once again, so long as their informational interface was no clearing and settling these transactions, then just because it was the primary listing location of an asset, it was not somehow more of an exchange.”

SEC’s Wells notice

Uniswap enables automated token exchanges on the Ethereum blockchain, allowing users to swap multiple crypto tokens without using traditional intermediaries.

Uniswap Labs, Uniswap’s main developer, has been under regulatory scrutiny since 2021. On April 10, however, the platform was served a Wells notice — a formal notification that the regulator’s staff intends to recommend enforcement action.

Uniswap Labs previously claimed it was only responsible for developing the app’s front-end portal. According to the team, the front end is separate from the Uniswap protocol, which is autonomous code released for public use.

Cochran’s analysis backs up these claims. According to him, the front end and the smart contract are separate elements in a crypto trade.

“In fact, we know these elements are distinct, because you can execute trades on the smart contract through other interfaces (like Etherscan or swap aggregators), or even directly through a node.”

Magazine: Bitcoin ETFs make Coinbase a ‘honeypot’ for hackers and governments — Trezor CEO","The United States Securities and Exchange Commission (SEC) is contradicting years of its own policy guidelines with its latest action against decentralized crypto exchange Uniswap, according to Cinneamhain Ventures’ Adam Cochran.
The SEC has previously issued “No-Action Letters” in 1986, 1991 and 1997 for entities seeking guidance on routing and matching trades electronically.
According to Cochran, the entities were “looking to establish their first system for routing and matching trades electronically.
The SEC provided this guidance to companies in 1979, 1996 and 1999, according to Cochran’s analysis.
According to the team, the front end is separate from the Uniswap protocol, which is autonomous code released for public use."
Telegram-linked Toncoin flips Cardano to become 9th-largest cryptocurrency,"Toncoin (TON) flipped Cardano’s ADA (ADA) token to become the ninth-largest cryptocurrency by market capitalization on April 9. Can Toncoin continue its parabolic rise?

TON becomes the ninth-largest cryptocurrency

Following a 13% daily price increase, TON rose to $6.65 as of 1:45 pm UTC to reach a $23 billion market capitalization, overtaking the ADA’s $22 billion market cap, according to CoinMarketCap data.

TON/USD, 1-day chart. Source: CoinMarketCap

The rally comes a day after TON Society developers set aside $5 million in Toncoin to incentivize users to verify their identity using palm-scanning technology. The project aims to enable digital identity verification for Telegram users over the next five years and will distribute 1 million TON to users participating in the proof-of-personhood program.

The increased interest in TON helped it outperform ADA. TON’s price has surged over 135% during the past month, while ADA’s price has fallen 15%.

TON vs. ADA, 1-month chart. Source: TradingView

Zooming out further, TON’s price increased 183% year-to-date, while ADA price fell 1.30%.

TON launched a $115 million community incentive program on March 20, with $38 million for token mining and user incentives, $22 million for airdrops, $15 million for The League developer ecosystem, and $40 million for liquidity pool boosts. The program aims to drive more user adoption.

In contrast with Toncoin, ADA saw little interest this year, as investor attention was focused on the United States Bitcoin exchange-traded funds (ETFs) and other major blockchain upgrades, such as Ethereum’s Dencun upgrade.

Related: With 10 days to the halving, analysts predict $150K Bitcoin top

Can TON maintain its momentum?

Toncoin’s price action has been drastically outperforming Dogecoin (DOGE). TON rose 130% during the past month, while DOGE only gained 14.8%. Year-to-date, TON is up 177%, while DOGE is up 108%, according to TradingView.

TON vs. DOGE, 1-month chart. Source: TradingView

While Dogecoin’s price action is purely based on speculation-driven demand, Toncoin’s utility within the Telegram messaging app can lead directly to its price appreciation with increasing user uptake.

On the downside, Toncoin’s token distribution could raise concerns among retail investors. According to CoinCarp data, over 60% of Toncoin is held by the 10 largest holders, while 93% of the supply is held by the 100 richest holders.

TON token distribution chart. Source: CoinCarp

Related: Telegram Mini Apps are ‘Trojan horse’ for mass blockchain adoption — TON investments director

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.","Toncoin (TON) flipped Cardano’s ADA (ADA) token to become the ninth-largest cryptocurrency by market capitalization on April 9.
The project aims to enable digital identity verification for Telegram users over the next five years and will distribute 1 million TON to users participating in the proof-of-personhood program.
Source: TradingViewZooming out further, TON’s price increased 183% year-to-date, while ADA price fell 1.30%.
In contrast with Toncoin, ADA saw little interest this year, as investor attention was focused on the United States Bitcoin exchange-traded funds (ETFs) and other major blockchain upgrades, such as Ethereum’s Dencun upgrade.
TON token distribution chart."
0G Labs raises $35M pre-seed funding from over 40 crypto investors for on-chain AI,"Web3 modular infrastructure firm 0G Labs announced the successful completion of a $35 million pre-seed funding round on March 25.

According to a press release from 0G Labs, the round received participation from more than 40 crypto-native institutions, including Hack VC and Blockchain Builders Fund.

The funding will be used to build out 0G Labs’ vision of creating a full-stack blockchain-based solution for training, deploying, and running artificial intelligence models. Per the press release, one of the major advantages of its platform is speed over current state-of-the-art solutions such as Ethereum’s smart contract network.

Ed Roman, Managing Partner at Hack V, lauded 0G Labs a pioneer in the area of on-chain generative AI infrastructure:

“0G is positioned as the premier modular data availability solution for web3, including the next frontier of crypto-powered AI networks. Their data availability technology has shown to achieve speeds 1000x+ faster and cheaper than ETH L1, which is simply phenomenal. We’re proud to be their partners in this journey, and can’t wait to see their ecosystem thrive as the team pushes forward towards main-net.""

Pre-seeding is typically the first funding round a startup receives. This $35 million dollar emergence round represents one of the largest initial startup funds for a company operating at the intersection of Web3 and artificial intelligence (AI).

For comparison, OpenAI, the company behind ChatGPT and Dall-E, raised $120,000 in its pre-seed round on Aug. 22, 2016. In the time since, OpenAI has ridden the success of its generative AI technology to a current valuation of around $80 billion as of Feb. 2024.

Related: FTX to offload $1B Anthropic stake to pay off bankruptcy debts within weeks — report

0G Labs’ website states that one of the products it’s developing is called “Uni-Chain.” Accoridng to the site, this is an architecture for Web3 that seamlessly connects networks into a unified metaverse where users can transact with users and services on any chain through through single wallet access.

“Our modular technology will enable frictionless interoperability between chains,” reads the site, “while ensuring security, eliminating fragmentation, and maximizing connectivity for a weightless and open meta-uni-verse.”","Web3 modular infrastructure firm 0G Labs announced the successful completion of a $35 million pre-seed funding round on March 25.
According to a press release from 0G Labs, the round received participation from more than 40 crypto-native institutions, including Hack VC and Blockchain Builders Fund.
The funding will be used to build out 0G Labs’ vision of creating a full-stack blockchain-based solution for training, deploying, and running artificial intelligence models.
In the time since, OpenAI has ridden the success of its generative AI technology to a current valuation of around $80 billion as of Feb. 2024.
“Our modular technology will enable frictionless interoperability between chains,” reads the site, “while ensuring security, eliminating fragmentation, and maximizing connectivity for a weightless and open meta-uni-verse.”"
ZachXBT claims he is being ‘borderline harassed’ by US law enforcement,"Blockchain investigator ZachXBT has alleged that he’s been the target of what he deems as borderline harassment by the Criminal Investigation Unit (CIU) of the United States Internal Revenue Service (IRS) as they seek his assistance in blockchain investigations.

According to a March 6 post on X, ZachXBT explained that although he has been willing to help victims and support law enforcement with necessary information, he believes that the U.S. law enforcement agency has crossed his “personal boundaries” in their effort to get his assistance solving blockchain crime.

“They have shown up irl to old addresses, contacted personal emails using private data, and have sent mail when I have public contact methods readily available,” he claimed.

One of the several images shared by ZachXBT depicted an email from an IRS special agent requesting ZachXBT’s assistance while praising him for his “really impressive work.”

“I ran across your profile on social media and I’ve seen some really impressive work, esp. Your use of blockchain tracing tools,” the email from the special agent said while admitting that his skills are limited in the blockchain industry:

“I’ve been an IRS-CI special agent for a while, but I’m pretty new to the crypto/cyber arena and I was hoping you could give me a sense of what I should be looking at if I wanted to make the biggest impact.”

ZachXBT alleges that the multiple means of contact was a “blatant disregard for any professionalism.”

This comes after ZachXBT refused to assist holders of the Complex (SIMPLE) memecoin, minted on the Base blockchain after its developers abruptly shut down the project on April 4.

He explained that he dislikes “spending long periods helping people who willingly choose to gamble on vaporware meme coins vs actual victims.”

Meanwhile, the IRS has been expanding its collaborations with well-known people and companies within the blockchain tracing area for quite some time now.

Related: Wormhole’s huge airdrop attracts scammers, spoof tokens and a $3B valuation

In May 2023, Cointelegraph reported that IRS-CI Chief Jim Lee stated that its partnership with blockchain analytics firm Chainalysis has become invaluable.

Lee explained that the unit’s efforts to investigate crypto-related crimes would be near “impossible” without the infrastructure and tools it now has access to.

At the time, the IRS-CI estimated it had seized $10 billion worth of cryptocurrency since it began investigating a broad body of crimes involving digital assets.

Magazine: NFTs are like nightclubs, crypto is a volatile religion: NFTStats, NFT Collector","Blockchain investigator ZachXBT has alleged that he’s been the target of what he deems as borderline harassment by the Criminal Investigation Unit (CIU) of the United States Internal Revenue Service (IRS) as they seek his assistance in blockchain investigations.
According to a March 6 post on X, ZachXBT explained that although he has been willing to help victims and support law enforcement with necessary information, he believes that the U.S. law enforcement agency has crossed his “personal boundaries” in their effort to get his assistance solving blockchain crime.
One of the several images shared by ZachXBT depicted an email from an IRS special agent requesting ZachXBT’s assistance while praising him for his “really impressive work.”“I ran across your profile on social media and I’ve seen some really impressive work, esp.
Lee explained that the unit’s efforts to investigate crypto-related crimes would be near “impossible” without the infrastructure and tools it now has access to.
Magazine: NFTs are like nightclubs, crypto is a volatile religion: NFTStats, NFT Collector"
Wallets linked to Coinbase and Vitalik Buterin have millions ‘stuck’ in bridge contracts,"Dozens of crypto whale wallets with assets ranging from six to seven figures are stuck on multiple decentralized finance (DeFi) bridge contracts.

One of these whale wallets is linked to Ethereum co-founder Vitalik Buterin, who has over $1 million worth of assets stuck for over seven months, with other wallets having assets unclaimed for over two years.

According to a report published by crypto analytics firm Arkham Intelligence, several notable whale addresses linked to prominent crypto individuals and entities have their funds stuck in the bridge contracts for as long as two years.

DeFi bridge contracts are software protocols that allow the movement of assets and data between different blockchain networks, enabling interoperability within the DeFi ecosystem.

However, not all DeFi bridges function the same. On the one hand, cross-chain bridges enable users to automatically obtain their assets on the other chain.

On the other hand, traders using native bridges must retrieve their funds manually as there is no way for the smart contract to remind users to do so, which could result in situations where users forget their money.

One wallet linked to “thomasg.eth” has had $800,000 stuck in Arbitrum Bridge for one year and 10 months. Another wallet, linked to Bofur Capital, with 27 wrapped Bitcoin worth $1.8 million, has been stuck for two years and three months.

Similarly, another wallet linked to nonfungible token (NFT) user Mike Macdonald has about $117,000 in assets linked to CryptoPunks sales stuck on a bridge contract.

Arkham suggested the account owner take a look, reminding them that if they “own the account that sent 5 CryptoPunks to, then you might also own the account that received the proceeds after they were sold.”

Another wallet that received 50 Ether (ETH) from Vitalik.eth seems to have been forgotten for seven months despite holding nearly $1 million worth of ETH on the Optimism bridge.

Another linked to Coinbase crypto exchange was also identified and contains $75,000 worth of assets stuck for nearly six months.

Arkham suspects Coinbase tried bridging $75,000 worth of USD Coin (USDC) to ETH and forgot about it. The assets are stuck in the Optimism bridge contract and waiting to be claimed.

Arkham notified whales linked to the stuck and forgotten funds to retrieve them in case they had forgotten about them. It also reminded the community that these instances can occur due to the nature of cross-chain bridges.","Dozens of crypto whale wallets with assets ranging from six to seven figures are stuck on multiple decentralized finance (DeFi) bridge contracts.
One of these whale wallets is linked to Ethereum co-founder Vitalik Buterin, who has over $1 million worth of assets stuck for over seven months, with other wallets having assets unclaimed for over two years.
One wallet linked to “thomasg.eth” has had $800,000 stuck in Arbitrum Bridge for one year and 10 months.
Similarly, another wallet linked to nonfungible token (NFT) user Mike Macdonald has about $117,000 in assets linked to CryptoPunks sales stuck on a bridge contract.
Another linked to Coinbase crypto exchange was also identified and contains $75,000 worth of assets stuck for nearly six months."
Memes are creating a ‘Cambrian explosion’ of crypto onboarding: Base creator,"Base creator Jesse Pollak believes memes will be key to onboarding millions of users to his Coinbase-adjacent layer-2 network, which has already tripled in total value locked (TVL) since March.

During a memecoin hackathon in New York on April 20, Pollak said memes are an important part of the on-chain economy, adding that he is “excited to see more based memes proliferate to help bring the world on-chain.”

“There’s been a ton of energy on Base,” said Pollak, adding:

“One thing that has really stood out to us is that we’re seeing these memes today onboard thousands and thousands of people into this new economy.”

The growth in memecoins and transactions on Base surged following the Ethereum Dencun upgrade in mid-March, which reduced fees on layer-2 networks.

As a result, Base’s TVL has surged almost 250% since the beginning of March, hitting an all-time high of $1.61 billion on April 21, according to DefiLlama.

Base TVL 2024. Source: DeFiLlama

Pollak said that aside from speculation, memecoin creators on Base have also bred countless new ways to onboard people to their communities.

“And what that’s creating is this kind of Cambrian explosion of onboarding experiments where people are taking tons and tons of shots on goal to say ‘how do we get our culture into the hands of more people.’”

“The thing we’ve built more conviction on is that in the years ahead we’re actually going to see these memes bring in millions more people [to Base] — they’re going to be one of the biggest drivers because they’re doing that work constantly to onboard more and more folks through that in a really creative way,” he added.

He added that there were “hundreds of teams and hundreds of sub-cultures” that are evolving, building, and creating, “bringing their culture and energy into this economy” and capital market.

Related: 12 Solana presale memecoins abandoned after just a month

The most popular memecoin on Base at the moment is BRETT, which has a market capitalization of $567 million and has seen a price explosion of 7,780% since the beginning of March.

Other large-cap memecoins on the Coinbase blockchain include DEGEN, with a market cap of $435 million, and TOSHI, with $185 million, according to CoinGecko.

Blockchains such as Solana and Base have become a magnet for memecoin degens in recent months due to their high throughput and low fees.

However, an in-depth investigation by Cointelegraph revealed that 16.7% of new Base memecoins were scams, and more than 90% of them have vulnerabilities.

Magazine: 1 in 6 new Base meme coins are scams, 91% have vulnerabilities","Base creator Jesse Pollak believes memes will be key to onboarding millions of users to his Coinbase-adjacent layer-2 network, which has already tripled in total value locked (TVL) since March.
Base TVL 2024.
Source: DeFiLlamaPollak said that aside from speculation, memecoin creators on Base have also bred countless new ways to onboard people to their communities.
Blockchains such as Solana and Base have become a magnet for memecoin degens in recent months due to their high throughput and low fees.
However, an in-depth investigation by Cointelegraph revealed that 16.7% of new Base memecoins were scams, and more than 90% of them have vulnerabilities."
TON’s $5M incentive program aims to drive digital ID verification,"The Open Network (TON) ecosystem developers have set aside $5 million of Toncoin tokens to incentivize users to verify their identity using state-of-the-art palm scanning technology.

TON Society, a community of developers and contributors building out the TON ecosystem, will distribute one million Toncoin to users participating in the voluntary proof-of-personhood program. The project aims to enable digital identity verification for Telegram users over the next five years.

The project uses HumanCode’s technology to allow users to verify their human identity on the blockchain. The application, available on Google Play and Apple Store, lets users scan their palms on a smartphone.

According to information shared with Cointelegraph, the technology provides privacy protection and is hardware-agnostic, allowing the scanner to be used on various mobile devices.

TON Foundation growth director Ekin Tuna said that supporting proof-of-personhood protocols like HumanCode is a step toward a practical reputation system with real-life use cases for TON’s ecosystem:

“A scalable, private, and decentralized identity will help to onboard the first one billion users to the Web3 ecosystem in Telegram.”

HumanCode founder Tim Zhang told Cointelegraph that the technology securely scans a human palm by extracting the pattern directly onto a user's smartphone device.

“This local extraction ensures the pattern is non-reversible, meaning that even if someone were to gain unauthorized access to our server, reconstructing the palm images from the patterns would be impossible,” Zhang explains.

The founder added that the system maintains U.S. SOC2 data security and privacy certifications and implements a triple-layer privacy protection mechanism. The first step involves local extraction of the user’s unique palm pattern, preventing personal information from being transferred off the device.

The extracted feature is encrypted before being sent to HumanCode servers to secure the data during transmission. The verification process is conducted locally on a user’s device, removing the need to transfer sensitive data to external servers.

HumanCode incentives will be given to TON Society members who complete a palm scan and prove their personhood. A ‘soulbound' token is then minted to represent their verified digital identity before users are rewarded for participating.

Cointelegraph also highlighted the reality of increased skepticism for proof-of-personhood technology in conversation with Zhang, given that Worldcoin has received pushback for its iris-scanning technology.

The company’s iris-scanning devices and data collection methods have been subject to investigations and regulatory scrutiny in Hong Kong, Spain and France over the past six months.

A Worldcoin iris-scanning orb on display at ETHGlobal in London in March 2024. Source: Gareth Jenkinson

Zhang said HumanCode’s use of robust security protocols and encryption is an important trust-bridging factor, while suggesting that users might feel less intimidated about scanning their hands instead of their eyes:

“From our experience, palm recognition technology is inherently more acceptable. For most people, scanning your palm with a smartphone camera just feels less intrusive than eye-scanning.”

Zhang also said the technology can potentially combat bots and fraudulent accounts on any social media platform by verifying the authenticity of users through unique palm patterns. This allows a platform to effectively distinguish between real users and automated bots.

In March, the TON Foundation allocated 30 million Toncoin, worth around $115 million, for various community rewards to drive adoption.

The incentives are allocated to four different areas: $38 million worth of TON will go to token mining and user incentives, $22 million for airdrops, $15 million for the League developer ecosystem, and $40 million for liquidity pool boosts.

The Telegram Ad Platform, built on the TON blockchain, officially went live in March 2024. The platform allows Telegram channel owners worldwide to receive financial rewards, exclusively selling advertising and sharing revenue with channel owners in TON.

Magazine: AI didn’t kill the metaverse, it will build it — Alien Worlds, Bittensor vs. Eric Wall: AI Eye","The Open Network (TON) ecosystem developers have set aside $5 million of Toncoin tokens to incentivize users to verify their identity using state-of-the-art palm scanning technology.
TON Society, a community of developers and contributors building out the TON ecosystem, will distribute one million Toncoin to users participating in the voluntary proof-of-personhood program.
The project aims to enable digital identity verification for Telegram users over the next five years.
A ‘soulbound' token is then minted to represent their verified digital identity before users are rewarded for participating.
In March, the TON Foundation allocated 30 million Toncoin, worth around $115 million, for various community rewards to drive adoption."
"Worldcoin reaches 10M users, 70M transactions and at least 13 goats bought","Worldcoin’s World App has reached 10 million total users signed up, with an average of 2 million users a day and more than 5 million a month.

These milestones come less than a year after the service’s launch in June 2023, and according to Tiago Sada, head of product for Worldcoin’s parent company, Tools for Humanity, the project now has more daily users than its total monthly user count in January 2024.

Universal basic income

Worldcoin is a cryptocurrency project aimed at creating a universal basic income. Users register their identity with the company’s “World App” by having their eyes scanned in-person by machines referred to by the company as “Orbs.”

Remco Bloemen, head of blockchain at the Worldcoin Foundation, said in a statement that World App wasn’t intended to be the only solution on the Worldcoin protocol:

“Our hope is that this will encourage other contributors to develop additional wallets for the protocol, as different users have different needs and preferences for their wallet apps. In other words, down the road the Worldcoin community has expressed interest in alternatives to World App, so that a wider range of people can engage with Worldcoin as they choose.”

Goats

One of the more noteworthy use cases for World App, as of late, has been the viral story of a user in Kenya who expressed their gratitude over being able to purchase a goat with the funds they received from a Worldcoin airdrop.

The crypto community rallied to the person, sending an undisclosed amount of cryptocurrency which they reportedly used to purchase even more goats bringing their total to “13 and counting.”

The goat pictured above was even given a proper name: “Sam.” When asked on X why the owner chose to name it that, they responded that it was named after Sam Altman, the co-founder of Worldcoin.

Altman is also the co-founder and current CEO of unicorn artificial intelligence (AI) startup and former not-for-profit company OpenAI. The company’s ChatGPT product is currently viewed as the state-of-the-art for generative AI technology.

Related: Worldcoin tightens privacy checks, allows users to unverify World ID","Worldcoin’s World App has reached 10 million total users signed up, with an average of 2 million users a day and more than 5 million a month.
Universal basic incomeWorldcoin is a cryptocurrency project aimed at creating a universal basic income.
Altman is also the co-founder and current CEO of unicorn artificial intelligence (AI) startup and former not-for-profit company OpenAI.
The company’s ChatGPT product is currently viewed as the state-of-the-art for generative AI technology.
Related: Worldcoin tightens privacy checks, allows users to unverify World ID"
Hong Kong officials recommend city’s crypto industry self-regulate,"The Hong Kong Securities & Futures Professionals Association (HKSFPA) has recommended the city's crypto firms set up a self-regulatory committee and monitor one another for compliance.

“The Hong Kong financial market industry is too focused on supervision,” said the HKSFPA in an April 22 recommendation letter, “but there is no organization to maintain the overall development of the industry.""

The administrative body then noted the need for Hong Kong to stay competitive in the global securities market and “consolidate its status as an international financial center.” In outlining the next steps, the HKSFPA recommended the city’s regulator, the Securities & Futures Commission (SFC), establish ""statutory self-regulating” and autonomous bodies that would instead delegate licensing powers to industry players:

""In the case of Hong Kong, the Commission recommends that the Securities and Futures Commission still retains the power to supervise market conduct, but splits the licensing power to solely the securities industry, A self-regulatory institution composed of the futures industry, asset management industry and virtual asset industry.""

As per a similar recommendation letter last August, the HKSFPA spoke of a “balanced supervision and development"" that prevents the Hong Kong virtual assets industry ""from going to the extreme direction of supervision.""

Hong Kong Monetary Authority, one of the city's financial regulators (Wikipedia Commons)

That said, self-regulation doesn't always come with a balanced risk-reward dynamic.

For one, Lithuania is tightening its crypto regulations starting in 2025 after reports of compliance failures and embezzlement. The Baltic nation has issued licenses to more than 580 crypto firms and currently maintains little oversight from its licensees.

However, Hong Kong regulators have been much more tolerant of virtual asset firms than their counterparts in other parts of the world.

On April 15, the SFC approved spot Bitcoin and Ether exchange-traded funds for issuers, including Harvest Fund Management, Bosera Asset Management, and China Asset Management (ChinaAMC). Last year, the regulator issued official virtual asset licenses to crypto exchanges Hashkey and OSL.

Meanwhile, the U.S. Securities and Exchange Commission has not yet approved a spot Ether ETF or offered specific licenses for crypto exchanges to register. In addition, the outlook for their approvals currently remains grim.

Related: Hong Kong investment firm Victory Securities reveals Bitcoin and Ether ETF fees","The Hong Kong Securities & Futures Professionals Association (HKSFPA) has recommended the city's crypto firms set up a self-regulatory committee and monitor one another for compliance.
Hong Kong Monetary Authority, one of the city's financial regulators (Wikipedia Commons)That said, self-regulation doesn't always come with a balanced risk-reward dynamic.
However, Hong Kong regulators have been much more tolerant of virtual asset firms than their counterparts in other parts of the world.
On April 15, the SFC approved spot Bitcoin and Ether exchange-traded funds for issuers, including Harvest Fund Management, Bosera Asset Management, and China Asset Management (ChinaAMC).
Related: Hong Kong investment firm Victory Securities reveals Bitcoin and Ether ETF fees"
MicroStrategy is trading at an ‘unjustifiable premium’ to Bitcoin: Analyst,"There may be little reason left for investors to trade MicroStrategy stocks to gain exposure to Bitcoin (BTC) after the approval of several spot Bitcoin exchange-traded funds (ETF) this year, argues investment firm Kerrisdale Capital.

MicroStrategy’s executive chairman Michael Saylor, would likely beg to differ.

“The days when MicroStrategy shares represented a rare, unique way to gain access to Bitcoin are long over,” Kerrisdale Capital explained in a March 28 analyst note, adding it believes MSTR price is overvalued.

The firm noted it had short positions on the MicroStrategy stock.

“We are long bitcoin and short shares of MicroStrategy, a proxy for bitcoin which trades at an unjustifiable premium to the digital asset that drives its value.”

MSTR is currently trading at $1,704. Over the last month, it saw a growth of 66.65%, and over the past six months, it has experienced an increase of approximately 419%.

On the other hand, Bitcoin’s price currently stands at $70,849. It has had a one month increase of 15.8%, and soared 163.31% over the past six months.

“Shares of MicroStrategy have soared amid a recent rise in the price of bitcoin but, as is often the case with crypto, things have gotten carried away,” it stated.

​​MSTR stock price has risen 419% over the past six months. Source: Google Finance

It also pointed out MicroStrategy's increasing debt-to-asset ratio and limited cash flow, which amounted to just $10 million in 2023 from its “sleepy” software analytics business. This made up only 3% of the company's overall enterprise value.

MicroStrategy’s Saylor confident in firm's offering

However, Saylor has said on several occasions that he remains confident his company would continue to be an attractive offer for investors.

In December, Saylor told Bloomberg TV that his company would still offer a high-performance vehicle for people who are Bitcoin-long investors.

“The ETFs are unlevered and they charge a fee,” Saylor told Bloomberg. “We provide you leverage, but we don’t charge a fee.”

Saylor also recently announced that MicroStrategy is undergoing a rebrand as a “Bitcoin development company.”

In a Feb. 12 interview with CNBC, Saylor explained that “it is a natural decision for us given the success of our Bitcoin strategy, and our unique status as the world’s largest public company holder.”

MicroStrategy holds 214,246 Bitcoin, as per data from Bitcoin Treasuries. This is approximately a 54% increase from its holdings of 138,955 Bitcoin this time last year.

Saylor added that MicroStrategy, as an operating company, has more flexibility in managing its capital and operations than an investment trust.

“We’re going to develop software, we’re going to generate cash flow, we’re going to leverage the capital markets, all in order to accumulate more Bitcoin for our shareholders, and also to promote the growth of the Bitcoin network,"" he stated.

On March 19, Cointelegraph reported that MicroStrategy sold another $604 million in convertible notes to buy an additional 9,245 BTC.

Related: Bitcoin is more of a ‘billion-dollar building in cyberspace,’ argues Saylor

Kerrisdale Capital says it remains bullish on Bitcoin, claiming it provides much better direct value for investors. The firm indicated that MSTR's current price implies Bitcoin’s price is $177,000, approximately two and a half times the price of Bitcoin.

The firm also revealed it has long positions in two newly approved spot Bitcoin ETFs, the iShares Bitcoin Trust (IBIT) and Fidelity Wise Origin Bitcoin Fund (FBTC).

It claimed that shareholders would find equivalent value in owning Bitcoin directly rather than holding MSTR stock at this stage.

“Shareholder value creation has been overwhelmingly driven by simple bitcoin price appreciation – much as it would from owning bitcoin outright.""

Despite MicroStrategy seeing significant growth in its stock over the past 12 months, it declined approximately 11.18% on the day.

Cointelegraph reached out to MicroStrategy for comment but did not receive a response at the time of publication.

Magazine: China will intensify Bitcoin bull run, $1M by 2028: Bitcoin Man, X Hall of Flame","“We are long bitcoin and short shares of MicroStrategy, a proxy for bitcoin which trades at an unjustifiable premium to the digital asset that drives its value.”MSTR is currently trading at $1,704.
The firm indicated that MSTR's current price implies Bitcoin’s price is $177,000, approximately two and a half times the price of Bitcoin.
The firm also revealed it has long positions in two newly approved spot Bitcoin ETFs, the iShares Bitcoin Trust (IBIT) and Fidelity Wise Origin Bitcoin Fund (FBTC).
“Shareholder value creation has been overwhelmingly driven by simple bitcoin price appreciation – much as it would from owning bitcoin outright.""
Magazine: China will intensify Bitcoin bull run, $1M by 2028: Bitcoin Man, X Hall of Flame"
BIS envisions global ‘Finternet’ running on unified ledger technology,"The Bank for International Settlements has presented its fullest and strongest argument so far for unified ledger technology in a paper coauthored by BIS chief Agustin Carstens. The paper describes a “financial system for the future,” which it calls the Finternet, that would use unified ledgers as a vehicle.

Unified ledgers could remove a host of the pain points in the current financial system by improving speed, compliance and privacy in the financial system, the BIS paper claimed. Unified ledgers “bring together multiple financial asset markets […] as executable objects on common programmable platforms.” This flexibility offers advantages over digital transactions on other platforms:

“Even when individuals use sophisticated front-end interfaces to make supposedly ‘digital’ transactions, behind the scenes, movements of money and other financial assets often rely on the owners of siloed proprietary databases to initiate and process transfers.”

Unified ledgers “combine all the components needed to complete financial transactions—financial assets, ownership records, rules governing their use and other relevant information—in a single venue.” This gives them the potential to overcome issues related to technical standards and governance and eliminate third-party messaging systems.

Related: SWIFT proposes a role for itself in a tokenized future on a unified ledger

However, the BIS does not envision a single unified ledger. Rather, multiple unified ledgers would interact among themselves and with the financial system beyond the Finternet through apps. Unified ledgers require tokenization of assets, especially money, for transfers using smart contracts. The proposal creates a tokenization manager role that would monitor regulatory requirements.

Source: Bank for International Settlements

Carstens introduced the concept of unified ledger in February 2023. The topic was taken up again in the 2023 BIS annual report. The recently announced Project Agora also crucially uses unified ledger. The BIS and seven central banks are participating in that project, which involves central bank digital currency and tokenized money transfers.

The idea has also been considered by global financial messaging service SWIFT. The international Monetary Fund’s proposed XC platform is also highly similar in many details.

Magazine: Bitcoin in Senegal: Why is this African country using BTC?","The Bank for International Settlements has presented its fullest and strongest argument so far for unified ledger technology in a paper coauthored by BIS chief Agustin Carstens.
The paper describes a “financial system for the future,” which it calls the Finternet, that would use unified ledgers as a vehicle.
Unified ledgers could remove a host of the pain points in the current financial system by improving speed, compliance and privacy in the financial system, the BIS paper claimed.
Related: SWIFT proposes a role for itself in a tokenized future on a unified ledgerHowever, the BIS does not envision a single unified ledger.
Rather, multiple unified ledgers would interact among themselves and with the financial system beyond the Finternet through apps."
Crypto-like communication devices could break gov’t surveillance — Telegram founder Durov,"Pavel Durov, founder of the encrypted instant messaging app Telegram Messenger, predicts that rising government surveillance will force the birth of secure communication devices inspired by cryptocurrency hardware wallets.

In a Tucker Carlson interview on April 17, Durov recalled past experiences while expressing how government entities continue to suppress the private exchange of information:

“The world is becoming less amenable. Governments are becoming less tolerant of privacy. And that’s clearly the trend because they have more technological power.”

However, Durov believes that growing oversight will force innovations around hardware devices dedicated to secure communications “in a similar way that we have hardware wallets to store your cryptocurrency.”

He claimed that the United States law enforcement agency, Federal Bureau of Investigation (FBI), attempted to persuade people affiliated with Telegram to install backdoors for surveillance purposes.

Durov said that the geopolitical neutrality of the United Arab Emirates (UAE) is ideal for entrepreneurs fighting for privacy and anti-surveillance:

“It’s a small country that wants to be friends with everybody. It’s not aligned geopolitically with any of the big superpowers. And I think it’s the best place for a neutral platform like ours to be in if we want to make sure we can defend our users’ privacy and freedom of speech.”

Speaking about company ownership, Durov said he avoids venture capital (VC) investments to prevent external influence on the way Telegram operates. He revealed that he holds a “few hundred million dollars” in fiat and Bitcoin (BTC), which allows him to bootstrap his projects and companies with 100% ownership.

However, he did raise funds for a few projects in the past, one of which was a cryptocurrency project.

Related: Telegram channels eligible for 50% ad revenue, but there’s a catch

Echoing Durov’s concerns about rising government surveillance, on April 16, American whistleblower Edward Snowden warned that the United States National Security Agency (NSA) is only days away from “taking over the internet” with a massive expansion of its surveillance powers.

Snowden’s alert comes after Elizabeth Goitein, co-director of the Liberty and National Security Program at the Brennan Center for Justice, pointed out that through an “innocuous change” to the definition of “electronic communications surveillance provider” in the Foreign Intelligence Surveillance Act (FISA) 702 bill, the U.S. government could go far beyond its current scope and force nearly every company and individual that provides any internet-related service to assist with NSA surveillance.

Magazine: The real risks to Ethena’s stablecoin model (are not the ones you think)","Pavel Durov, founder of the encrypted instant messaging app Telegram Messenger, predicts that rising government surveillance will force the birth of secure communication devices inspired by cryptocurrency hardware wallets.
In a Tucker Carlson interview on April 17, Durov recalled past experiences while expressing how government entities continue to suppress the private exchange of information:“The world is becoming less amenable.
Durov said that the geopolitical neutrality of the United Arab Emirates (UAE) is ideal for entrepreneurs fighting for privacy and anti-surveillance:“It’s a small country that wants to be friends with everybody.
However, he did raise funds for a few projects in the past, one of which was a cryptocurrency project.
Magazine: The real risks to Ethena’s stablecoin model (are not the ones you think)"
US consumer agency flags risks in virtual crypto economies,"The United States Consumer Financial Protection Bureau (CFPB) has targeted crypto-centric gaming in a recent report, cautioning against scams and low consumer safeguards in video games and virtual realms.

In its “Banking in video games and virtual worlds” report released on Thursday, April 4, the consumer protection agency highlights the rising interest among gaming creators in bridging virtual items to reality.

Despite still trailing mainstream gaming platforms like Roblox or Fortnite, the agency highlighted the growth of crypto assets in virtual worlds. Third-party trading platforms enable users to convert digital assets into fiat currency. The report states:

“Notably, some of the largest virtual gaming world publishers have expressed growing interest in positioning their virtual items as crypto-assets that have the ability to be traded outside of the game’s economy.”

The report said that crypto assets in virtual environments like Decentraland and The Sandbox could be exchanged for fiat currency on other cryptocurrency platforms.

Alexander Grieve, government affairs lead at Paradigm, said that reports like the one published by the CFPB could signal upcoming regulatory actions. He suggested that the CFPB, like many federal agencies, is seeking its regulatory role in the cryptosphere, with this report potentially serving as one avenue.

The CFPB report states that online video games and virtual worlds are becoming akin to traditional banking but lack federal protections. The agency received complaints regarding hacking attempts, account theft and assets lost within games, with consumers expressing dissatisfaction over the lack of support from gaming companies.

Related: Crypto-focused lawmaker wants to lead House Financial Services Committee in 2025

CFPB Director Rohit Chopra highlighted the increasing trend of Americans converting billions of dollars into digital currencies for gaming. With banking and payments shifting to virtual realms, the CFPB said it aims to safeguard consumers from fraud and scams.

The CFPB has shifted its focus toward cryptocurrencies, introducing a proposed rule titled “Defining Larger Participants of a Market for General-Use Digital Consumer Payment Applications.” This rule grants the agency oversight over “larger nonbank firms” providing digital wallet and payment app services.

It mandates nonbank financial entities processing over five million transactions annually to adhere to regulations akin to those imposed on major banks and credit unions. Although the 62-page rule references cryptocurrency sparingly, critics contend it “asserts authority over cryptocurrency” inappropriately.

Magazine: Lawmakers’ fear and doubt drives proposed crypto regulations in US","The United States Consumer Financial Protection Bureau (CFPB) has targeted crypto-centric gaming in a recent report, cautioning against scams and low consumer safeguards in video games and virtual realms.
In its “Banking in video games and virtual worlds” report released on Thursday, April 4, the consumer protection agency highlights the rising interest among gaming creators in bridging virtual items to reality.
Despite still trailing mainstream gaming platforms like Roblox or Fortnite, the agency highlighted the growth of crypto assets in virtual worlds.
Third-party trading platforms enable users to convert digital assets into fiat currency.
The CFPB report states that online video games and virtual worlds are becoming akin to traditional banking but lack federal protections."
Queensland law enforcement agency calls for more powers to seize crypto,"The Crime and Corruption Commission (CCC), a law enforcement agency in Queensland, Australia, has identified certain gaps in state laws that encourage criminal use of digital assets.

To overcome these legal shortcomings, the agency has proposed modernizing Queensland’s asset confiscation regime.

The CCC questioned the efficacy of Queensland’s Criminal Proceeds Confiscation Act 2002 (CPCA) when it comes to confiscating cryptocurrencies tied to organized crimes, such as money laundering.

The commission has called for a significant reform of the Act that seeks to achieve seven priority outcomes, three of which directly relate to the effective seizure of digital assets. It said:

“Digital assets are expected to continue to proliferate as the criminal environment increasingly becomes less physical, and the CPCA less effective for dealing with digital assets.”

The lack of crypto-related language in the CPCA, such as cryptocurrency, crypto asset or digital asset, is the root cause of the gaps within Queensland’s legislative regime, according to the CCC.

Citing the importance of CPCA to remain fit for purpose within a changing criminal environment, the commission added:

“While digital assets can be restrained and forfeited under the CPCA, there are currently no specific provisions for investigative agencies in Queensland to facilitate effective seizure of digital assets.”

The CCC sees this inability to seize digital assets as hindering Queensland’s ability to gather evidence, attribute ownership of a digital asset, or facilitate the storage or transfers of digital assets, among others.

The commission recommended reforms such as defining “digital assets” and introducing them to money laundering laws, converting seized assets into stable currencies amid legal proceedings and automatic forfeitures.

Related: Australia poised for ‘inflection point’ of crypto demand — Kraken Aus MD

In March, Alan Kirkland, commissioner of the Australian Securities and Investments Commission (ASIC), unveiled a strategy to foster responsible financial innovation development.

Kirkland pointed out the need to solve the “regulatory trilemma” when it comes to financial innovations, which includes consumer protection, market integrity and encouraging financial innovation.

Kirkland believes that ASIC’s approach to innovation and effective regulation can reduce the associated risks and help promote digital assets to the masses.

Magazine: 1 in 6 new Base meme coins are scams, 91% have vulnerabilities","The Crime and Corruption Commission (CCC), a law enforcement agency in Queensland, Australia, has identified certain gaps in state laws that encourage criminal use of digital assets.
To overcome these legal shortcomings, the agency has proposed modernizing Queensland’s asset confiscation regime.
The CCC questioned the efficacy of Queensland’s Criminal Proceeds Confiscation Act 2002 (CPCA) when it comes to confiscating cryptocurrencies tied to organized crimes, such as money laundering.
The commission recommended reforms such as defining “digital assets” and introducing them to money laundering laws, converting seized assets into stable currencies amid legal proceedings and automatic forfeitures.
Kirkland believes that ASIC’s approach to innovation and effective regulation can reduce the associated risks and help promote digital assets to the masses."
Coca‑Cola pours $1.1B into generative AI experiment with Microsoft,"The Coca-Cola Company has signed a five-year deal with Microsoft to develop and integrate artificial intelligence (AI) use cases across various business functions.

Coca‑Cola committed $1.1 billion to the Microsoft Cloud for its generative AI and cloud capabilities. According to the announcement made on April 23, the duo will jointly experiment with Azure OpenAI Service and other technologies “to develop innovative generative AI use cases across various business functions.”

In addition, the companies will experiment with the Microsoft Copilot Microsoft 365 AI assistant to test its efficacy in improving workplace productivity.

As part of the drive, Coca-Cola migrated all its applications to Microsoft Azure. Judson Althoff, the executive vice president and chief commercial officer at Microsoft, said:

“Through our long-term partnership, we have made significant progress to accelerate system-wide AI Transformation across The Coca‑Cola Company and its network of independent bottlers worldwide.”

Using Azure OpenAI Service, Coca-Cola is currently exploring the use of generative AI-powered digital assistants to improve performance metrics related to customer experiences, streamline operations, and improve efficiency, among other things.

Coca-Cola’s AI partnership with Microsoft dates back to 2020, which started off as a $250 million agreement. “Microsoft’s capabilities help accelerate our adoption of AI to create incremental enterprise value,” said Neeraj Tolmare, senior vice president and global chief information officer for The Coca-Cola Company.

Related: Microsoft pours $1.5B into UAE AI company, sets sights on global expansion

On April 9, Microsoft AI executive vice president and CEO Mustafa Suleyman revealed the firm’s plans to make a “significant, long-term investment” in the United Kingdom as they start scouting potential candidates in the region.

In a blog post, Suleyman said:

“There is an enormous pool of AI talent and expertise in the U.K., and Microsoft AI plans to make a significant, long-term investment in the region as we begin hiring the best AI scientists and engineers into this new AI hub.”

Suleyman’s statements came as he announced the creation of an AI hub in the United Kingdom. The hub’s goal is to advance AI language models and their infrastructure.

In addition, it would also create tooling for foundation models and collaborate with its AI teams across the globe and its partners like OpenAI.

Magazine: Lazarus Group’s favorite exploit revealed — Crypto hacks analysis","The Coca-Cola Company has signed a five-year deal with Microsoft to develop and integrate artificial intelligence (AI) use cases across various business functions.
Coca‑Cola committed $1.1 billion to the Microsoft Cloud for its generative AI and cloud capabilities.
According to the announcement made on April 23, the duo will jointly experiment with Azure OpenAI Service and other technologies “to develop innovative generative AI use cases across various business functions.”In addition, the companies will experiment with the Microsoft Copilot Microsoft 365 AI assistant to test its efficacy in improving workplace productivity.
As part of the drive, Coca-Cola migrated all its applications to Microsoft Azure.
“Microsoft’s capabilities help accelerate our adoption of AI to create incremental enterprise value,” said Neeraj Tolmare, senior vice president and global chief information officer for The Coca-Cola Company."
Nilam Resources flagged ‘buyer beware’ as shares pump over Bitcoin plans,"Nilam Resources, a micro-cap company that touted plans this week to acquire $1.7 billion worth of Bitcoin (BTC), has been flagged as a “public interest concern” amid a meteoric 1,500% share price surge on Tuesday, March 26.

OTC Markets Group, the firm that runs OTC Pink, a platform for over-the-counter stock trading, currently labels Nilam Resources (NILA) as “Caveat Emptor” — a designation it hands down to companies it deems worthy of “buyer beware.”

In a glossary page explaining the labels, OTC Markets explained that this “public interest concern” may stem from a spam campaign, questionable stock promotion, any known investigation of the company, regulatory suspensions, or any other disruptive corporate actions.

The OTC listing for NILA also shows it has been deemed a “Shell Risk” — a label given to companies it thinks is likely a shell company based on its annual financial data and other income-related metrics.

Listing for Nila Resources showing the various warning labels Source: OTC Markets

On March 25, Nilam Resources, an investment holding company, announced it had entered into a Letter of Intent to acquire a company that plans to hold 24,800 Bitcoin.

Nilam Resources claimed the deal had been months in the making. It plans to issue a newly authorized “preferred stock” in exchange for the Bitcoin, which will be at a “discounted rate relative to current market prices.”

A day later, its share prices soared, reaching a new all-time high of 33 cents, up 1,700% from 1.8 cents last week. The company’s current market cap currently stands at $280 million, according to OTCMarkets.

However, many crypto-natives aren’t convinced the firm will be able to follow through with its ambitious plan, with some suggesting the announcement is some kind of “marketing stunt.”

“Stunt of a dying penny stock”

Bitcoin analyst and Adamant Research editor Tuur Demeester said he removed his initial tweet sharing Nilam’s announcement on X after “a commenter pointed out that it’s indeed a stunt from a dying penny stock.”

Quinten Francois, a crypto YouTuber and co-founder of Web3 company WhereAt Social also accused the filing of being a “marketing stunt” — common among failing small-cap stocks.

Dylan LeClair, director of market intelligence at digital asset fund UTXO Management also shared doubts, noting the plan would only work if there were legitimate demand for the equity sale.

“A letter of intent is one thing, actually executing is another.”

“Likely flops and is for PR purposes,” he added.

If Nilam is successful, the company will hold more Bitcoin than any other publicly listed company in the United States, except for MicroStrategy.

Related: MicroStrategy sells another $604M of notes to buy 9K Bitcoin

That would include beating Elon Musk’s Tesla and major Bitcoin miners such as Riot Blockchain, Hut 8 Corp, and Marathon Digital Holdings, according to data from BitcoinTreasuries.

Former CEO calls it a “pump and dump”

Former Nilam Resources CEO Ron McIntyre has also reportedly cried foul over the announcement, telling Protos that the press release was issued without his review and that he didn’t have detailed knowledge of the deal.

Asked why he resigned from his position, McIntyre reportedly replied:

“Just look at the chart — it’s a classic pump and dump.”

“There will be a FINRA investigation into Nilam Resources,” he added.

Nila Resources describes itself as an investment holding company. In November last year, it announced it would be pivoting from health and wellness investments to “frontier tech” including medtech, fintech, and climate tech.

It followed up just a day later with an announcement it had acquired TechyTrade, a fintech technology provider.

Nilam Resources did not immediately respond to a request for comment.

Magazine: Asia Express ‘Am I sorry? No’ — 3AC founder. $6B BTC laundered for fast food worker: Asia Express","Nilam Resources, a micro-cap company that touted plans this week to acquire $1.7 billion worth of Bitcoin (BTC), has been flagged as a “public interest concern” amid a meteoric 1,500% share price surge on Tuesday, March 26.
Listing for Nila Resources showing the various warning labels Source: OTC MarketsOn March 25, Nilam Resources, an investment holding company, announced it had entered into a Letter of Intent to acquire a company that plans to hold 24,800 Bitcoin.
Nilam Resources claimed the deal had been months in the making.
Asked why he resigned from his position, McIntyre reportedly replied:“Just look at the chart — it’s a classic pump and dump.”“There will be a FINRA investigation into Nilam Resources,” he added.
Nilam Resources did not immediately respond to a request for comment."
Philippines SEC accuses eToro of offering unregistered securities,"The Securities and Exchange Commission in the Philippines has issued an advisory against online trading platform eToro, saying it is not authorized to sell or offer securities in the country.

The financial regulator issued the advisory in March, which was posted publicly on April 4, informing the public that the online investment trading platform eToro is “not authorized to sell or offer securities to the public in the Philippines.”

“ETORO’s operations allow Filipinos to create user accounts on their platform for the purpose of investing and trading unregistered investment products,” the SEC wrote in its advisory.

Screenshot from SEC advisory. Source: Philippines SEC

It said the firm is not registered as a corporation in the Philippines and does not have the necessary licenses or authority required under the Securities Regulation Code to sell securities, operate as a broker-dealer, or run an exchange for trading securities in the country.

EToro is a multinational trading company founded in 2007 that is popular with Millennials. The multiasset investment firm has over 33 million registered users worldwide, according to Statista. The platform is available in 140 countries and was valued at $3.5 billion in 2023.

Despite being a multinational company, the Philippine finance regulator advised the public “to exercise caution before investing in these kinds of unregistered online investment platforms and their representatives.”

The bulletin added that anyone acting as salespeople, promoters, influencers, endorsers or agents for eToro in the Philippines could face penalties of up to $88,300 (5 million Philippines pesos) in fines or 21 years imprisonment for violating securities laws.

The eToro company website currently lists the Philippines as a supported country.

Cointelegraph reached out to eToro for clarification but did not receive an immediate response.

Related: Philippine gov’t blocks unlicensed crypto exchange sites

In November 2023, the SEC issued a similar advisory stating that crypto exchange Binance was not authorized to sell or offer securities to the public.

In March, the Philippines National Telecommunications Commission (NTC) began blocking crypto company websites without the necessary licenses.

Later that month, Cointelegraph reported that the SEC instructed the national internet provider to block access to Binance’s website.

“The SEC has identified the aforementioned platform and concluded that the public’s continued access to these websites/apps poses a threat to the security of the funds of investing Filipinos,” stated SEC Chairperson Emilio B. Aquino at the time.

Magazine: Bitcoin ETF guru Eric Balchunas has the last laugh at doubters: X Hall of Flame","The Securities and Exchange Commission in the Philippines has issued an advisory against online trading platform eToro, saying it is not authorized to sell or offer securities in the country.
Source: Philippines SECIt said the firm is not registered as a corporation in the Philippines and does not have the necessary licenses or authority required under the Securities Regulation Code to sell securities, operate as a broker-dealer, or run an exchange for trading securities in the country.
EToro is a multinational trading company founded in 2007 that is popular with Millennials.
The eToro company website currently lists the Philippines as a supported country.
Later that month, Cointelegraph reported that the SEC instructed the national internet provider to block access to Binance’s website."
GBTC fees will drop when Bitcoin ETFs ‘start to mature’ — Grayscale CEO,"Grayscale’s flagship Bitcoin (BTC) exchange-traded fund (ETF) will drop its fees, the highest of all United States spot Bitcoin ETFs, but only once the products “start to mature,” according to CEO Michael Sonnenshein.

Sonnenshein said in an April 10 on-stage interview at Canaccord Genuity’s Digital Assets Symposium that “markets have tended to be very excitable” when commodity or specific thematic exposure products — such its own Grayscale Bitcoin Trust (GBTC) — debut and give investors access to assets for the first time.

“We’re still kind of very much in that phase for Bitcoin,” he said.

Over time Sonnenshein said the products “start to mature,” and the market consolidates as investors allocate funds heavily toward only a few products.

“That means fees also come down over time. We’ll reduce fees on GBTC, and that also means that we’re kind of at the end of that first inning of that first wave of adoption.”

Typically, new products — such as the recently launched Bitcoin ETFs — make their way to wealth management platforms, Sonnenshein said.

“Those things really haven’t started happening yet,” he added. “We’re not quite yet at that next phase of adoption and growth here in the U.S.”

GBTC launched in 2015 and converted to an ETF in January, alongside the launch of nine other Bitcoin ETFs after Grayscale won a lawsuit against the Securities and Exchange Commission — forcing it to review a GBTC conversion bid it denied.

GBTC has the highest management fees out of all U.S. Bitcoin ETFs — pinned at 1.5% a year compared to the 0.30% average of its competitors.

It’s also seen the highest outflows of all its competitors since it converted in mid-January, having $16.1 billion in net outflows to April 11, per Farside Investors data.

Cumulative U.S. spot Bitcoin ETF flows since launching on Jan. 11 with GBTC outflows in gray. Source: Farside Investors

Sonnenshein claimed after GBTC’s conversion it emerged as a “capital markets and risk transference tool” for those wanting Bitcoin exposure.

Related: Bitcoin ETF activity to remain robust until the halving: Santiment

“GBTC has a very large outstanding share supply, a lot of daily liquidity, very tight spread,” he added. “We have seen a lot of engagement from those types of investors.”

Despite Grayscale’s early “100% market share” for Bitcoin ETFs in the U.S., Sonnenshein knew that other issuers coming into the market “would be a net positive for the ecosystem.”

“We really do believe a rising tide does lift all boats when it comes to the adoption, the maturation, the accessibility of the asset class.”

“We’ve seen some of the world’s largest asset managers getting involved in the space, Sonnenshein noted. “I think that just underscores, again, the staying power of the asset class and investor demand for it.”

Magazine: Bitcoin ETFs make Coinbase a ‘honeypot’ for hackers and governments — Trezor CEO","Grayscale’s flagship Bitcoin (BTC) exchange-traded fund (ETF) will drop its fees, the highest of all United States spot Bitcoin ETFs, but only once the products “start to mature,” according to CEO Michael Sonnenshein.
GBTC has the highest management fees out of all U.S. Bitcoin ETFs — pinned at 1.5% a year compared to the 0.30% average of its competitors.
Cumulative U.S. spot Bitcoin ETF flows since launching on Jan. 11 with GBTC outflows in gray.
Related: Bitcoin ETF activity to remain robust until the halving: Santiment“GBTC has a very large outstanding share supply, a lot of daily liquidity, very tight spread,” he added.
“I think that just underscores, again, the staying power of the asset class and investor demand for it.”Magazine: Bitcoin ETFs make Coinbase a ‘honeypot’ for hackers and governments — Trezor CEO"
"Cryptojacker conned $3.5M from cloud firms to mine crypto, feds allege","United States prosecutors have charged a man with wire fraud and money laundering charges after he allegedly defrauded two cloud computing providers to run a “large-scale illegal ‘cryptojacking’ operation” — with the perpetrator facing up to 50 years in prison.

The Brooklyn U.S. Attorney’s Office on April 15 claimed Charles O. Parks III, also known as “CP3O,” defrauded the two companies of $3.5 million to mine $970,000 in cryptocurrencies, including Ether (ETH), Litecoin (LTC) and Monero (XMR) using the two firm’s resources without paying.

Cryptojacking is when an entity uses resources such as computing power or electricity without permission to mine crypto. Types of malware can inject software to mine crypto that drains a small amount of resources from a network of computers.

Parks was arrested in Nebraska on April 13 and charged with wire fraud, money laundering and engaging in unlawful monetary transactions.

He faces a combined maximum sentence of 50 years in prison and is slated to appear before an Omaha federal court on April 16.

The indictment alleged Parkes created multiple accounts with a subsidiary of “Company 1,” a “cloud computing and consumer electronic device headquartered in Seattle, Washington,” and “Company 2,” a firm that makes “personal computers and related services headquartered in Redmond, Washington.”

From around January to August 2021, Parks allegedly used multiple fake “names, corporate affiliations and email addresses,” including from companies he registered — MultiMillionaire LLC and CP3O LLC — to make accounts at the companies.

He then “tricked and defrauded” the services into “approving heightened privileges and benefits, including elevated levels of cloud computing services and deferred billing accommodations,” the indictment alleges.

Parkes deflected when the providers started inquiring about “questionable data usage and mounting unpaid subscription balances,” prosecutors claimed.

Highlighted excerpt of the indictment against Parkes. Source: U.S. Attorney’s Office

The indictment claims Parkes laundered some of his mined crypto through “Cryptocurrency Exchange 1,” which “bills itself as a ‘decentralized company, with no headquarters.’”

Related: IRS investigation chief expects uptick in crypto tax evasion this year

Other funds were allegedly laundered through a payments provider, bank accounts and a New York City-headquartered nonfungible token (NFT) marketplace.

He structured the payments in a bid to avoid the $10,000 minimum transaction reporting requirements under federal law, the indictment said. Prosecutors claimed to have found multiple instances of Parkes moving $9,999 and smaller amounts from the crypto exchange to a bank account.

Prosecutors alleged Parks used the proceeds for “extravagant purchases,” including a luxury Mercedes Benz, jewelry and “first-class hotel and travel expenses.”

Brooklyn U.S. Attorney Breon Peace said in a statement: “This Office will continue to prioritize prosecuting criminal actors who use new, sophisticated technology to engage in the old scheme of fraud and deceit.”

Magazine: ‘SEAL 911’ team of white hats formed to fight crypto hacks in real time","Cryptojacking is when an entity uses resources such as computing power or electricity without permission to mine crypto.
Types of malware can inject software to mine crypto that drains a small amount of resources from a network of computers.
Parks was arrested in Nebraska on April 13 and charged with wire fraud, money laundering and engaging in unlawful monetary transactions.
He then “tricked and defrauded” the services into “approving heightened privileges and benefits, including elevated levels of cloud computing services and deferred billing accommodations,” the indictment alleges.
Prosecutors claimed to have found multiple instances of Parkes moving $9,999 and smaller amounts from the crypto exchange to a bank account."
Upbit suspends crypto transactions exceeding 1 million won,"Upbit — one of South Korea’s largest crypto exchanges — will suspend deposits and withdrawals of digital assets of more than 1 million Korean won ($721).

The move comes in response to changes to the virtual asset service provider (VASP) Ten&Ten, one of the local facilitators of deposits and withdrawals.

In an April 17 announcement, Upbit said the suspension of use and termination of Ten&Ten’s Travel Rule Solution service is the reason behind its decision to halt deposits and withdrawals.

The Ten&Ten exchange services stopped transaction support on April 15, and the last date to withdraw crypto assets is April 22 at 10:00 am Korea Standard Time.

Ten&Ten helped the crypto exchange offer crypto deposits and withdrawals of over 1 million won. Other VASPs that allow deposits and withdrawals over 1 million won include Bblock, Gopax, FlatExchange, Aprobit, Prabang, Borabit, BTX, Flybit, Foblegate, Bithumb, Coinone, Korbit, Coredocs, GDAC, Hanbitco, Qbit, Korea Digital Asset Trust and Oasis Exchange.

In a report released on April 10, the European Union named Upbit second in market share after Binance, with approximately 528.57 billion in trading volume.

In the first quarter of 2024, the South Korean won surpassed the United States dollar in crypto trading volume. According to Kaiko data, transactions in Korean won on centralized exchanges totaled over $456 billion, slightly exceeding the U.S. dollar's cumulative volume of around $455 billion.

Related: South Korean police catch $4.1M crypto scam duo

Currently, South Korean financial authorities plan to release new guidelines imposing tighter regulations for token listings on centralized crypto exchanges by the end of April or, at the latest, early May.

Authorities will also prohibit listing digital assets with hacking incidents on domestic exchanges unless the root cause is thoroughly determined.

The 24-hour trading volume at Upbit fell to $3.8 billion at the start of April after reaching a high earlier in March. On March 5, Upbit recorded a daily trading volume of almost $15 billion, the exchange’s highest trading volume of 2024 so far.

The crypto exchange’s surge in daily trading volume may be attributed to Bitcoin reaching a new all-time high of $69,200 on the same day.

Hong Kong’s financial regulator has reportedly approved three spot Bitcoin (BTC) exchange-traded funds, which are expected to list on the Hong Kong Stock Exchange in approximately two weeks.

Magazine: ETH price nears 3-year lows vs. Bitcoin — Will an Ethereum ETF stem the tide?","Upbit — one of South Korea’s largest crypto exchanges — will suspend deposits and withdrawals of digital assets of more than 1 million Korean won ($721).
Ten&Ten helped the crypto exchange offer crypto deposits and withdrawals of over 1 million won.
In the first quarter of 2024, the South Korean won surpassed the United States dollar in crypto trading volume.
On March 5, Upbit recorded a daily trading volume of almost $15 billion, the exchange’s highest trading volume of 2024 so far.
The crypto exchange’s surge in daily trading volume may be attributed to Bitcoin reaching a new all-time high of $69,200 on the same day."
Bitcoin mining stocks saw spikes across the board ahead of halving event,"Several Bitcoin (BTC) mining firms listed on the Nasdaq stock exchange closed the trading week with a noticeable 24-hour increase in share prices in the lead-up to the Bitcoin halving event.

On April 20, Bitcoin celebrated its fourth-ever halving event, and the date was likely firmly marked in the calendars of Bitcoin mining firms as it can significantly disrupt business operations.

The halving event slashes miner rewards in half for every block they mine. The most recent halving cut down miners' rewards from 6 BTC to 3.125 BTC per block mined.

However, stock investors were speculating about which firm might take the lead in the industry, with certain mining firms surging as much as 10% in the 24 hours prior to the halving event.

Riot Platforms (RIOT) saw the most significant growth among publicly listed Bitcoin mining firms on the April 19 trading day, with its stock price increasing by 10.13% to $9.13.

On the same day, Riot announced the launch of a new 250-acre mining facility in Corsicana, Texas.

The announcement granted Jason Les, CEO of Riot Platforms, the opportunity to ring the closing bell at the Nasdaq headquarters.

Meanwhile, Marathon Digital (MARA) closely followed with a 9.78% increase to $16.50, while Clean Spark (CLSK) saw a rise of 5.98% to $17.20.

The halving event triggers Bitcoin miners to change up their operational strategies if they want to maintain the same profit margins.

Bitcoin miners who stick with using the same energy and resources to mine Bitcoin will potentially see diminished profits.

This leaves miners with two options, either expand operations to produce the same level of top-line revenue or cease operations altogether.

Hut 8 CEO Asher Gennot recently explained that several Bitcoin mining firms went bankrupt in 2022 due to being overleveraged and unprepared for rising energy costs.

Although major Bitcoin miners have recently been acquiring significant amounts of new equipment in preparation for the event.

Related: Marathon Digital Holdings launches direct Bitcoin transaction submission service

Marathon Digital recently announced its plans to acquire a 200-megawatt (MW) Bitcoin mining facility in Texas for $87.3 million.

Meanwhile, in December 2023, competitor Bitcoin mining firm Riot Platforms purchased 66,560 mining rigs from manufacturer MicroBT in one of the largest expansions of hash rate in the firm's history.

Overall, the S&P 500 — the index that tracks the 500-largest public companies in the United States — experienced another 0.88% 24-hour decrease before the close of the trading week, marking a 3.54% decline over the past five trading days, as per Google Finance data.

Magazine: Get Bitcoin or die tryin’: Why hip hop stars love crypto","Several Bitcoin (BTC) mining firms listed on the Nasdaq stock exchange closed the trading week with a noticeable 24-hour increase in share prices in the lead-up to the Bitcoin halving event.
On April 20, Bitcoin celebrated its fourth-ever halving event, and the date was likely firmly marked in the calendars of Bitcoin mining firms as it can significantly disrupt business operations.
The halving event triggers Bitcoin miners to change up their operational strategies if they want to maintain the same profit margins.
Bitcoin miners who stick with using the same energy and resources to mine Bitcoin will potentially see diminished profits.
Although major Bitcoin miners have recently been acquiring significant amounts of new equipment in preparation for the event."
"History of Crypto: The future of crypto exchanges, regulatory battles, and governance","Welcome to the History of Crypto, a Cointelegraph series that brings readers back to the most significant events in the crypto space. Powered by Phemex, the timeline allows crypto community members to explore and look back at the important events that shaped the industry into what it is today.

This article explores the period following November 2022, when the FTX exchange collapsed, giving rise to one of the most notorious crypto winters in the history of digital assets.

The period after the collapse of the FTX exchange is known as one of the darkest times in crypto history.

The downfall of FTX and its over 130 subsidiaries catalyzed a chain reaction of bankruptcies and layoffs among Web3 firms, giving rise to one of the longest crypto winters, that saw Bitcoin's (BTC) price bottom out at $16,000.

EXPLORE THE HISTORY OF CRYPTO

Following the bankruptcy that caused a $8.9 billion loss of investor funds, regulators were forced to take action and develop more investor safety-oriented frameworks emphasizing transparency for crypto exchanges and service providers.

United States regulators issued some of the most significant criminal fines in history to Binance despite no evidence of user fund misappropriation. They also fined smaller exchanges in a hawkish effort to prevent potential FTX-like meltdowns.

Explore the History of Crypto. Source: History of Crypto

How did FTX collapse?

The now-infamous FTX exchange collapsed nearly on and a half years ago, sending shockwaves across global crypto markets and wiping out tens of billions of value within a few days.

In essence, FTX collapsed due to user fund misappropriation, which resulted in billions worth of trading losses for its sister company, Alameda Research. The quantitative trading firm used FTX customer funds that Bankman-Fried transferred without consent to fund Alameda’s trading losses, now referred to as the Alameda gap.

Before getting its quantitative trading protocol from Gary Wang, Alameda lost over $500,000 every day throughout an awful month, claimed Michael Lewis in his biography about Bankman-Fried.

The user fund misappropriation started to unravel in November 2022 when it was revealed that a large portion of Alameda’s balance sheet was made up of FTX’s FTT token.

The revelation led to a large sell-off, which caused the FTT token price to plummet, raising widespread concerns about the financial health of FTX and Alameda Research. This led to mass customer withdrawals of up to $6 billion within three days. FTX could not meet the withdrawals as it was forced to suspend them.

FTX filed for bankruptcy on Nov. 11, 2022. Bankman-Fried was arrested in the Bahamas on Dec. 12, 2022, after United States prosecutors filed criminal charges against him. He was extradited to the U.S. in January 2023. Bankman-Fried was sentenced to 25 years in federal prison on March 28, 2024.

100 Years in Jail?! SBF Trial Verdict Explained. Source: Cointelegraph

Related: Alameda Research FTT token transfer from September fuels wild speculations

The regulatory crackdown after the FTX collapse

The collapse of the FTX exchange triggered a hawkish response from the United States Securities and Exchange Commission (SEC), which started a broader crackdown on crypto exchanges to avoid another potential FTX-like meltdown.

In June 2023, the SEC sued Coinbase and Binance Exchange for alleged securities violations. In the lawsuit against Binance, the SEC alleged that the company and its founder, Changpeng Zhao, had misappropriated billions of user funds.

EXPLORE THE HISTORY OF CRYPTO

Despite no evidence of user fund misappropriation, Binance was charged with violating Anti-Money Laundering laws and settled to pay one of the most significant criminal fines in history worth $4.3 billion.

As for the Coinbase lawsuit, the SEC claimed that the exchange operates as an unregistered exchange, broker, and clearing agency and violated securities laws by listing 13 tokens it alleged were securities, according to the lawsuit filed in June 2023.

Coinbase sought an order to drop the case, questioning the SEC’s authority over crypto exchanges. The exchange’s motion to drop the legal case was dismissed on March 27, allowing the SEC to proceed with its lawsuit against Coinbase.

How the U.S. SEC is waging an undeclared war on crypto. Source: Cointelegraph

The immediate regulatory response focused on prosecutions and enforcement rather than implementing blockchain-specific regulations, according to Ashar Burney, the legal head of TDeFi, who told Cointelegraph:

“This approach reflects a broader trend where regulators address fraudulent activities within the crypto space through existing legal frameworks, emphasizing enforcement against criminal behavior rather than introducing new regulations specific to blockchain technologies.”

Burney added that the FTX collapse was primarily a “case of criminal fraud,” not a lack of regulatory frameworks.

Related: Paradigm leads $225M funding round for new ‘Solana killer’ L1

How the regulatory landscape evolved post-FTX

Following the FTX collapse, crypto exchanges have started striving for more transparency, spearheaded by Binance, the world’s largest exchange.

By the end of November 2022, Binance launched its Proof-of-Reserves (PoR) system, which shows the amount of underlying assets the exchange holds on behalf of users. This third-party audit aims to show users that the exchange can meet any potential withdrawal requests. Binance’s main assets were overcollateralized by at least 102% as of April 12, according to its PoR page.

Following Binance’s push for transparency, other top exchanges have followed suit, including Coinbase, OKX, Crypto.com, Kraken, and Bybit.

How CZ built Binance and became the richest person in crypto | Crypto Stories Ep. 16. Source: Cointelegraph

Despite the new PoR audit systems, investors still need to conduct due diligence as FTX had also performed numerous financial audits that didn’t uncover the fraud, according to TDeFi’s legal head, Burney, who told Cointelegraph:

“SBF's firm underwent multiple audits by reputable auditing firms, demonstrating the complexity of identifying fraudulent behavior even with established compliance measures. Overall, investors' safety is not significantly different, especially considering that the crypto industry experiences lower fraud rates compared to traditional fintech and investment sectors.”

Beyond the transparency efforts of crypto exchanges, governments worldwide have also taken a more collaborative approach to regulating the nascent crypto industry, according to James Wo, the founder and CEO of DFG, who told Cointelegraph:

“Although countries have different stances with some being more crypto-friendly than others, they all work towards the same goal of providing a framework that prevents Anti Money Laundering (AML) with ample Know Your Client (KYC) processes in countries that do not outright ban it.”

In May 2023, the European Council adopted the first comprehensive legal framework for the crypto industry. The Markets in Crypto Assets (MiCA) framework aims to protect investors through more rigorous transparency standards and AML rules.

EXPLORE THE HISTORY OF CRYPTO

Thanks to the new MiCA bill, crypto exchanges will become fully regulated entities from the end of 2024, Vyara Savova, senior policy lead at the European Crypto Initiative, told Cointelegraph:

“2024 is the year of MiCA, and the whole EU will now have a comprehensive legal framework for crypto-assets, crypto-asset services, and crypto-asset service providers (also known as CASPs). Crypto exchanges are a type of CASP under MiCA and will become fully regulated in December 2024. “

While MiCA is a significant step for the global regulatory landscape and investor safety, its efficiency will depend on the member state implementations for each country, explained Savova:

“An important aspect that is often overlooked is the role of member state laws in applying this regulation, as these laws will create the supervisory framework in the respective country.”

Hong Kong and Dubai have also introduced crypto regulations that favor innovation in an effort to become known as global crypto hubs. Yet, the most regulatory sign came in January 2024, with the approval of the spot Bitcoin exchange-traded funds (ETFs).

Related: TradFi Wall Street firms pushing for Ether ETF approval, says former Binance Labs head

Bitcoin ETFs signal an innovation-friendly approach, but investors are not necessarily safer

After months of regulatory battles, the ten spot Bitcoin ETFs were approved by the United States SEC on Jan. 10, enabling traditional investors to gain exposure to BTC through publicly-traded funds.

The approval of the ETFs is a positive development signaling that signals an innovation-friendly approach from U.S. regulators for the future, according to DFG’s Wo, who told Cointelegraph:

“Despite the lawsuits to multiple crypto exchanges, the SEC previously approved the Bitcoin ETF with the Ethereum ETF being filed. This is a signal that governments are more in favor of regulation than outright banning, as seen in many other countries regulators which provide tight regulations for the approval of licenses to operate crypto-related businesses.“

The U.S. ETF approval has also inspired other jurisdictions to follow suit. The Securities Regulatory Commission (SFC) of Hong Kong could approve the first four spot Bitcoin ETF applications by April 15, after the financial regulator has reportedly accelerated the approval process for the first ETFs.

Spot Bitcoin ETF Approved: Impact on Investments with Mark Yusko. Source: Cointelegraph

Related: Hong Kong regulator fast-tracks Bitcoin spot ETF approvals

Despite significant global regulatory developments like ETFs and more regulations around crypto exchanges, investors aren’t necessarily shielded from another FTX-like meltdown, according to DFG’s Wo:

“Although regulation and compliance have stepped up in regulated entities, it does not mean it will not happen again even if we can expect better risk management from these entities. Overall, self-custody will still be the safest as you are in control of your own funds as long as you take sufficient risk mitigations of not clicking on phishing or scam links that may drain your wallet.”

Related: FTX moves to offload 8% stake in Anthropic

Looking ahead to 2024 and beyond

The FTX collapse inspired widespread collaboration between global regulators to prevent another high-profile meltdown. Some of the world’s leading economies have developed new regulations for crypto exchanges, while Europe passed the first comprehensive framework for the crypto industry, setting the benchmark for other regulators.

The European MiCA framework is still a work in progress. The next major part of the bill will set a marketing communication standard for crypto exchanges, which could impact crypto service providers in Europe, according to the European Crypto Initiative’s senior policy lead, Savova, who told Cointelegraph:

“What will develop throughout 2024 is the CASP and, therefore, exchanges’ marketing communications and what will be allowed. It’s a very impactful topic that emerged in France and is now being discussed at the EU level through the Retail Investment Strategy.”

The second consultation package for reverse solicitation guidelines under MiCA is set to end on April 29. The outcome of the consultation will be influential for MiCA’s final implementation in December, according to Savova:

“[This will determine] how exchanges and other CASPs from countries outside of the EU might provide services to EU citizens without a license and how these services should be marketed in Europe. The outcomes of this consultation will be critical for MiCA’s implementation in December.”

According to TDeFi’s Burney, crypto service providers could still see more regulatory scrutiny, including more stringent disclosure and compliance requirements, leading to a more mature industry. Burney said:

“These developments reflect a shift towards a more mature regulatory framework aimed at balancing innovation with regulatory oversight. However, obtaining a license in the US may not entirely prevent exchanges from operating globally and serving US customers, highlighting the challenges of regulating a decentralized and global industry.”

Crypto Bull Market Phase 2: What to Expect. Source: Cointelegraph

Related: Binance Labs shifts investment focus to Bitcoin DeFi","The period after the collapse of the FTX exchange is known as one of the darkest times in crypto history.
Coinbase sought an order to drop the case, questioning the SEC’s authority over crypto exchanges.
How CZ built Binance and became the richest person in crypto | Crypto Stories Ep.
Crypto exchanges are a type of CASP under MiCA and will become fully regulated in December 2024.
Burney said:“These developments reflect a shift towards a more mature regulatory framework aimed at balancing innovation with regulatory oversight."
Trudeau announces $1.8B package to boost Canada’s AI sector,"Canada is committing $1.76 billion (2.4 billion Canadian dollars) of its federal budget to boost its artificial intelligence (AI) sector and maintain the country’s “competitive edge” in AI.

The government unveiled a new package of measures, including investing in AI-related startups, medium-sized businesses and research firms to “secure Canada’s AI advantage.”

“The rapid advance of generative AI today will unlock immense economic potential for Canada, significantly improving productivity and reducing the time workers have to spend on repetitive tasks,” Canadian Prime Minister Justin Trudeau said in an April 7 statement.

In Montreal, PM Justin Trudeau announces a $2.4-billion package from the upcoming federal budget to build capacity in artificial intelligence.#cdnpoli pic.twitter.com/AbNlOrX2kd — CPAC (@CPAC_TV) April 7, 2024

The package will see $1.47 billion invested into building computing capabilities and other AI-related infrastructure through the country’s new AI Compute Access Fund, supporting the country’s leading AI researchers and startups.

Another $147 million will be dedicated to AI startups in the agriculture, clean technology, healthcare and manufacturing industries, while $73.5 million will be handed to small and medium-sized AI scale-up companies to boost productivity.

“This will create good-paying opportunities for every generation, boost innovation across the economy, raise productivity, and accelerate economic growth.”

Trudeau noted that many developments in drug discovery, energy efficiency, and housing innovation have already been leveraged by AI in the country.

The fund will also address workers who may be impacted by the AI boom, which will receive up to $36.8 million under Canada’s Sectoral Workforce Solutions Program to re-train and re-skill across various industries.

Employees in the film and animation industries are most at risk of losing their jobs to generative AI, according to a recent report from consultancy firm CVL Economics.

The remaining $36.8 million will be used to create a Canadian AI Safety Institute to further the safe development and deployment of AI.

Canada claims it was the first country in the world to introduce a national AI strategy when it introduced the Pan-Canadian Artificial Intelligence Strategy in 2017, aimed at driving the adoption of AI through research and commercialization.

Related: AI token prices soar: Is it all hype, or is there real potential?

According to data from Statistica, Canada’s AI market is currently worth around $7.4 billion, while the United States market sits at about $106 billion.

Part of Canada’s AI strategy has also reportedly involved attempts to recruit several emerging AI firms from the European Union.

One of Canada’s leading AI startups is Tenstorrent, which partnered with South Korean manufacturing conglomerate Samsung last October to help “bring the next generation of AI chiplets to market.”

Tenstorrent had closed a $100-million funding round led by Samsung and the automotive manufacturer Hyundai two months earlier.

Magazine: Bittensor vs. Eric Wall, AI didn’t kill the metaverse, it will build it says Alien Worlds: AI Eye","Canada is committing $1.76 billion (2.4 billion Canadian dollars) of its federal budget to boost its artificial intelligence (AI) sector and maintain the country’s “competitive edge” in AI.
The remaining $36.8 million will be used to create a Canadian AI Safety Institute to further the safe development and deployment of AI.
Canada claims it was the first country in the world to introduce a national AI strategy when it introduced the Pan-Canadian Artificial Intelligence Strategy in 2017, aimed at driving the adoption of AI through research and commercialization.
According to data from Statistica, Canada’s AI market is currently worth around $7.4 billion, while the United States market sits at about $106 billion.
Part of Canada’s AI strategy has also reportedly involved attempts to recruit several emerging AI firms from the European Union."
Move-to-earn protocol StepN announces $30M airdrop for users,"Move-to-earn lifestyle app StepN, built on the Solana blockchain, is airdropping 100 million FSL points, worth approximately $30 million, to its users.

According to the April 10 announcement, the FSL points are redeemable at a 1:1 ratio for StepN’s GMT (GMT) token and can also be used in upcoming StepN nonfungible token (NFT) mints alongside obtaining exclusive prizes. “We have decided to launch this huge airdrop campaign as a token of gratitude to our most loyal community members,” said Shiti Manghani, CEO of StepN.

“The first airdrop of this week, for our Badge Holders, was dedicated to our core players,” StepN wrote, continuing: “Those who are truly playing the hard way. For them, we airdropped an FSL Points allocation based on the complexity of their in-app achievements.”

To claim the points, users must sign up for an FSL ID, which is created by the namesake developer that also manages the StepN ecosystem. From there, users can also spend the FSL points in the ecosystem’s NFT marketplace Mooar and strategy game Gas Hero. The $30 million airdrop will be ongoing until the end of April.

Created by FSL in 2021, StepN allows users to earn rewards for walking, jogging or running. Rewards are available after users purchase a virtual Sneaker NFT and link their smartphones. Rewards are issued in the form of GMT tokens, which have an inflationary mechanism, supply cap of 6 billion and current diluted market capitalization of $1.57 billion.

GMT tokens earned by players can then be used to mint new sneakers or level up in the game. On the in-app marketplace, players can lease or sell their NFT sneakers, and their GMT revenues are saved in the in-app wallet, which features a built-in swap function. The lifestyle app currently has more than five million users.

Related: Solana's STEPN hits record high as GMT price skyrockets 34,000% in over a month","Move-to-earn lifestyle app StepN, built on the Solana blockchain, is airdropping 100 million FSL points, worth approximately $30 million, to its users.
“The first airdrop of this week, for our Badge Holders, was dedicated to our core players,” StepN wrote, continuing: “Those who are truly playing the hard way.
From there, users can also spend the FSL points in the ecosystem’s NFT marketplace Mooar and strategy game Gas Hero.
Created by FSL in 2021, StepN allows users to earn rewards for walking, jogging or running.
The lifestyle app currently has more than five million users."
"Solana memecoin frenzy raises questions about crypto utility, reputation","The Solana blockchain is currently outperforming rivals Ethereum, Avalanche and BNB Chain in terms of network activity, growth and adoption — all thanks to the memecoin frenzy that has taken crypto markets by storm.

Over the past month, the Solana blockchain has seen the launch of thousands of new memecoins with billions of dollars in trading volume. Several new memecoins made headlines and rose to new market highs within days, while others grabbed headlines for rugging users and even racism.

Memecoins are digital currencies that derive their name from internet memes and have no practical application outside of being a pop culture reference. These cryptocurrencies are often backed by a strong online community.

Memecoins are not a new concept — during the last bull cycle, memecoins like Dogecoin (DOGE) and Shiba Inu (SHIB) grabbed mainstream attention as their prices soared.

But that was nothing compared to the current memecoin frenzy, which started on Solana and has now spread to several other chains, including Coinbase’s layer-2 platform Base, Binance’s BNB Smart Chain and more.

During the last bull cycle, memecoins grew to new highs over an extended period of time and were primarily fueled by a strong online community.

Dogecoin saw a major push from Tesla CEO Elon Musk, who added DOGE payments to Tesla’s merch store to show his support.

But during the current cycle, memecoins are appearing at unprecedented rates, and tokens barely hours old have amassed millions in trading volume and billions in market capitalization.

The rise of Solana memecoins

According to an April report from CoinGecko, memecoins were the most profitable crypto sector in Q1 2024, recording average returns of 1,312.6% across multiple top tokens by market cap.

Notable gains include BRETT, with a 7,727.6% surge. Dogwifhat (WIF) rose by 2,721.2% over the quarter, while Book of Meme (BOME) briefly surged over 40,000% within days of launching.

BOME was launched on March 14 by pseudonymous artist Darkfarms1 with a market cap of around $4 million.

Within a couple of days of launching, it had reached a market cap of $1.45 billion. Within a week, it was supported by multiple major exchanges, including Binance, Bybit and KuCoin.

Dogwifhat, which launched in November 2023, was among the top 50 cryptocurrencies by market cap by the first quarter of 2024 at nearly $50 billion.

Memecoins distorting crypto’s image

While the Solana memecoin frenzy has made many new crypto millionaires, even more people have lost fortunes chasing the one memecoin that could make them rich.

Furthermore, many new memecoin projects are rug pulls — exit scams in which developers shut down the project and steal the funds they have raised from investors.

Many crypto veterans have warned against investing in memecoins due to their lack of utility and the casino-like atmosphere permeating memecoin markets.

A spokesperson from the research team at crypto exchange Bitrue told Cointelegraph that the market frenzy can “distort the image of cryptocurrencies, potentially undermining their credibility and the broader adoption of blockchain technology.”

“While the influx of new participants and trading volume may initially seem positive, the speculative nature of memecoins raises concerns about the maturity and integrity of the crypto market.”

Proponents believe the memecoin frenzy has attracted a significant number of newcomers to the crypto space and generated substantial profits for some investors.

However, it’s essential to recognize the risks associated with speculative assets like memecoins, as they lack intrinsic value and are highly volatile. While some may profit, many others may incur losses, highlighting the importance of responsible investment practices and education for all participants.

Bitget chief research analyst Ryan Lee believes the rapid rise in the prices of Ether (ETH) and SOL (SOL) — the native assets of two major blockchains on which memecoins are launching, Ethereum and Solana, respectively — is one component propelling the memecoin sector upward.

“One significant factor contributing to the surge in these memecoins is their deployment on the ETH and Solana chains, typically priced in ETH and SOL on decentralized exchange platforms. The upward trend in ETH and SOL prices consequently drives the price appreciation of memecoins,” Lee told Cointelegraph.

The Ethereum ICO era-like frenzy

The memecoin frenzy on Solana has seen a trend similar to other crypto market success stories, wherein the blockchain was flooded with dog- and cat-themed memecoins that raked in millions in trading volume, which was followed by popular memecoins based on world leaders such as former United States President Donald Trump and current President Joe Biden.

At the same time, many developers and users are raising money to launch new memecoins via social media. At a time when major crypto firms are struggling to raise funding from venture capitalists, users on X have raised hundreds of millions of dollars within hours in pre-seed funds. However, not all pre-seed projects were launched, as several were rugged.

Observers have compared the memecoin funding frenzy with thousands of new tokens, characterized by scams and no real-world use cases, to the 2017 initial coin offering (ICO) bubble on the Ethereum network.

During the ICO rush, projects raised millions of dollars, only to deliver tokens with little to no use. But even then, there was at least a pretense of offering a genuine product.

During the 2017 ICO boom, Ethereum network’s capacity was tested thoroughly as daily transactions increased 24x within a year.

Similarly, Solana has seen a 2.5x increase in daily active addresses, from around 600,000 on Jan. 1, 2024 to over 1.5 million by the second week of April.

The ugly side of memecoins

While dog- and cat-themed memecoins ruled the Solana blockchain during the peak of memecoin frenzy, a load of tokens containing racist and homophobic epithets was also unleashed.

Some of these tokens were able to garner market capitalizations into the billions of dollars.

The proliferation of these coins saw many from the crypto community call for intervention from Solana developers.

During the Buidl Asia 2024 event, Austin Federa of the Solana Foundation argued that wallet developers should have the right to institute block lists. He added that practically every wallet in every ecosystem filters out “spam NFTs” and “spam tokens.” He said that “users always have the ability to reveal something if they want to, [...] but the core network needs to remain permissionless.”

Recent: Virtual reality steps up as metaverse struggles to deliver

Conversely, Nansen chief data journalist Martin Lee told Cointelegraph that memecoin trends are a function of the crypto market, which is “the most open and free market there is in the world. The ability to create a token and traders being able to actively trade those tokens are all enabled by the benefits of crypto. They’re not inherently good or bad.”

The memecoin frenzy has divided the crypto community. On the one hand, many crypto veterans who have seen these meme cycles believe it paints crypto in a bad light, as most memecoins offer no utility and are effectively gambling.

On the other hand, proponents claim that memecoins are bringing new traders to the crypto world and showcase the values of a free market where anyone can create a token to trade.","The Solana blockchain is currently outperforming rivals Ethereum, Avalanche and BNB Chain in terms of network activity, growth and adoption — all thanks to the memecoin frenzy that has taken crypto markets by storm.
Over the past month, the Solana blockchain has seen the launch of thousands of new memecoins with billions of dollars in trading volume.
But that was nothing compared to the current memecoin frenzy, which started on Solana and has now spread to several other chains, including Coinbase’s layer-2 platform Base, Binance’s BNB Smart Chain and more.
Memecoins distorting crypto’s imageWhile the Solana memecoin frenzy has made many new crypto millionaires, even more people have lost fortunes chasing the one memecoin that could make them rich.
They’re not inherently good or bad.”The memecoin frenzy has divided the crypto community."
Restaking protocol EigenLayer partially launches on Ethereum mainnet,"Ethereum restaking protocol EigenLayer, which touts over $13 billion in assets, has launched onto the blockchain’s mainnet, but some key features are still to come and will go live sometime in 2024.

EigenLayer announced the launch in an April 9 blog post but added in-protocol payments to operators from actively validated services (AVS), such as apps and cross-chain bridges, are yet to come.

A mechanism called slashing — when validators get their staked crypto taken from them if they don’t do their job correctly — is also still on the way.

Both will come “later this year” after the EigenLayer marketplace has time to “develop and stabilize,” the protocol said without disclosing a timeline.

As of today, restakers can now delegate their restaked ETH balance to Eigenlayer operators, who in turn operate AVS.

“So there’s still no restaking rewards?” Galaxy Digital vice president of research Christine Kim rhetorically asked in a responding X post.

The promise of restaking protocols such as EigenLayer is to allow users to earn rewards for restaking their already-staked Ether (ETH) tokens — which are 1:1 representative tokens tied to ETH staked in a protocol such as Lido or Rocket Pool.

Coinbase analysts said on April 2 that restaking could increase earnings but “can also compound risks” as the same funds could be shipped around to multiple protocols, which could create complex security and financial issues.

Alongside its mainnet launch, EigenLayer also released a data availability service EigenDA, the first AVS to launch on the protocol aiming to help other blockchain apps store transaction data.

Related: Aave contemplates fee distribution in DeFi shake-up

Other AVS, however, will have to register with EigenLayer and cannot fully deploy right now.

In a separate X post, Galaxy’s Kim said she didn’t understand “why everyone’s hyped about this [EigenDA] news, 99% of getting restaking right depends on the economics, balancing risk with reward.”

“There’s still no risk (ie, slashing) or reward (ie, AVS payouts) live on [EigenLayer] SO there’s no restaking really happening yet [in my opinion],” she added.

EigenLayer has a total value locked of $13.33 billion, according to DefiLlama.

EigenLayer’s total value locked in U.S. dollar terms since its launch. Source: DefiLlama

It overtook Aave in early March to become the second-largest decentralized finance protocol behind Lido, with $33 billion in locked value.

Magazine: Ethereum restaking — Blockchain innovation or dangerous house of cards?","Ethereum restaking protocol EigenLayer, which touts over $13 billion in assets, has launched onto the blockchain’s mainnet, but some key features are still to come and will go live sometime in 2024.
Both will come “later this year” after the EigenLayer marketplace has time to “develop and stabilize,” the protocol said without disclosing a timeline.
Alongside its mainnet launch, EigenLayer also released a data availability service EigenDA, the first AVS to launch on the protocol aiming to help other blockchain apps store transaction data.
EigenLayer has a total value locked of $13.33 billion, according to DefiLlama.
Source: DefiLlamaIt overtook Aave in early March to become the second-largest decentralized finance protocol behind Lido, with $33 billion in locked value."
"Crypto VC funding surged 53% in March, Optimism wins largest share","Venture capital funding into crypto jumped by 52.5% month-on-month in March, with crypto projects getting $1.16 billion, mostly in infrastructure and decentralized finance projects.

RootData figures show 180 publicly-announced investments managed to secure investments in the last month — the highest monthly figure since April 2022.

One-fifth of deals saw fundraises of between $1 million to $3 million, while just over 15% raised between $5 million to $10 million. The majority of the funded projects were based in the United States, but they still only made up less than 10% of the total deal count.

Ethereum layer-2 blockchain Optimism got the month’s largest raise when it sold $89 million worth of its tokens in a private deal. Cryptography startup Zama was runner-up with its $73 million Series A.

March’s top 10 largest deals by amount raised. Source: RootData

The monthly deal number was up 25% from February and over 70% from the prior year period, while the total amount raised was also up 28% compared to March 2023.

VC firms recently hinted at their crypto-focused interests for the year ahead. Andreessen Horowitz (a16z) on April 1 earmarked $30 million for a fund focused on Web3 gaming.

Crypto-related VC funding by month since March 2022 with USD amount raised (orange) and number of deals (gray line). Source: RootData

Last week, a16z co-founder Marc Andreessen and Galaxy Digital were top contributors to VC firm 1kx’s $75 million fund targeting crypto-based consumer apps and Hack VC in February raised $150 million to fund early-stage crypto and artificial intelligence startups.

Infrastructure projects were the most well-funded firms in March, making up for nearly $283 million — around a quarter of the total $1.16 billion VC funding.

Decentralized finance (DeFi) projects followed with $228.1 million in funding, making up nearly 20% of the total, with centralized finance (CeFi) projects — such as exchanges — seeing the third-most funding at $85.5 million.

No funding was raised in the DAO category.

Fundraising amount per sector for March 2024. Source: RootData

Last month’s funding is the first time since November that VC funding has broken over $1 billion for the month.

Related: Web3 startups flock to accelerators as crypto enthusiasm surges

It comes after a dampened 2023 for crypto raises after FTX collapsed in late 2022 and took the crypto markets with it.

VC funding has made monthly gains year-to-date as enthusiasm for crypto has made a comeback in tandem with the markets, which PitchBook attributed to the launch of spot Bitcoin (BTC) exchange-traded funds (ETFs) in the U.S.

Magazine: The secret of pitching to male VCs: Helping female crypto founders blast off","Venture capital funding into crypto jumped by 52.5% month-on-month in March, with crypto projects getting $1.16 billion, mostly in infrastructure and decentralized finance projects.
One-fifth of deals saw fundraises of between $1 million to $3 million, while just over 15% raised between $5 million to $10 million.
Crypto-related VC funding by month since March 2022 with USD amount raised (orange) and number of deals (gray line).
Infrastructure projects were the most well-funded firms in March, making up for nearly $283 million — around a quarter of the total $1.16 billion VC funding.
Source: RootDataLast month’s funding is the first time since November that VC funding has broken over $1 billion for the month."
Web3 ad service Everyworld reaches 225K users within a month of launching beta,"Web 3 advertising service platform Everyworld has reached a total user base of 225,000 as of March 28.

According to a press release from Everyworld, this milestone for the service occurred within a month of its initial beta.

Everyworld describes its platform as having “elements of a media platform, a game show, an online marketplace and even TikTok,” but also notes that it’s “entirely different.”

As an ad service platform, it serves advertisements from more than 20 games from both the blockchain and traditional gaming sectors. These include Shrapnel, Big Time, Star Atlas, Planet Mojo, The Sandbox, and High Street, and others according to the press release.

Users are incentivized to interact with the content on Everyworld’s platform through a rewards system wherein users earn points towards prize drawings.

CEO Janine Yorio, in a statement given to the press, said:

“The goal is to onboard web3 natives and then to expand to a mainstream audience, and in doing so to demonstrate the transformative power of cryptocurrency to bring people together, rallying communities to collaborate toward common goals. To demonstrate the applicability of this blockchain technology to non-crypto uses, Everyworld displays ad content for both blockchain (web3) and also traditional video games.”

Related: Web3 game Wilder World gets Epic Game Store listing during alpha testing

The company says its ad services protocol is a “win-win” for gamers and developers. According to its website it also conducts conservation efforts with support for various conservation organizations.

“This is an enormous opportunity,” the company’s chief crypto officer, TJ Kawamura, said in a press release, adding that “the users of today’s platforms, games, and other consumer applications demand—and deserve—to be rewarded for engaging with a product. After all, we are in the midst of the most competitive attention economy the world has ever seen, and products, now more than ever, depend on user participation. “

The Everyworld platform is currently available in select markets excluding the U.S. and Afghanistan, Australia, Belgium, Belize, Bolivia, Canada (province of Quebec), Cambodia, Chad, China, Columbia, Cuba, Iran, Iraq, Lebanon, Libya, Myanmar, North Korea, Russia, Singapore, Somalia, Sudan, Syria, Tanzania, Thailand, Turkey.","Web 3 advertising service platform Everyworld has reached a total user base of 225,000 as of March 28.
According to a press release from Everyworld, this milestone for the service occurred within a month of its initial beta.
These include Shrapnel, Big Time, Star Atlas, Planet Mojo, The Sandbox, and High Street, and others according to the press release.
Users are incentivized to interact with the content on Everyworld’s platform through a rewards system wherein users earn points towards prize drawings.
“The Everyworld platform is currently available in select markets excluding the U.S. and Afghanistan, Australia, Belgium, Belize, Bolivia, Canada (province of Quebec), Cambodia, Chad, China, Columbia, Cuba, Iran, Iraq, Lebanon, Libya, Myanmar, North Korea, Russia, Singapore, Somalia, Sudan, Syria, Tanzania, Thailand, Turkey."
"Osmosis, dYdX and Synthetix most actively developed DeFi projects: Santiment","Osmosis, a decentralized exchange (DEX) built on Cosmos, has surged to become the most actively developed decentralized finance (DeFi) project in the last month, according to data shared by crypto intelligence platform Santiment.

In a March 25 post to X, Santiment wrote that Osmosis had seen over 169 commits on GitHub in the last 30 days. The decentralized perpetuals exchange dYdX stood in second place with 145 commits, while derivatives liquidity protocol Synthetix came in third with 116.

Osmosis was the most-developed DeFi project in the last month. Source Santiment

Santiment explained the list of “developer activity” was collected by compiling all non-redundant GitHub activity listed on each project’s respective records and providing an average number of those values.

The total value locked (TVL) and overall trading volumes on Osmosis significantly increased between early October and March 15.

Osmosis TVL and volumes surged between October and March. Source: DefiLlama

Much of the uptick in activity can be traced back to a surge of interest in airdrop farming on Cosmos-related infrastructure throughout the wider crypto sector, with Osmosis being the primary DEX on Cosmos.

Several projects, such as data availability blockchain network Celestia and multilayer RollApp deployer Dymension, use core elements of the Cosmos ecosystem for their networks and have now yielded hundreds of millions of dollars in airdrops for farmers.

Related: Cosmos-based networks Umee and Osmosis to merge, creating ‘DeFi Hub’

For dYdX, much of the development activity could be linked to its early-January v4 upgrade, a network shift that saw the decentralized derivatives exchange transition from an Ethereum layer-2 network to a standalone blockchain in the Cosmos ecosystem.

The dYdX v4 network has generated over $60 billion worth of trading volume since going live on Jan. 25, per DefiLlama data.

dYdX v4 has generated over $60 billion in trading volume since its launch. Source: DeiLlama

Meanwhile, the TVL on the Synthetix protocol has also been steadily increasing since mid-February and currently stands at $994 million across the Ethereum and Optimism networks.

In July 2023, Synthetix founder Kain Warwick announced the upcoming launch of a new derivatives front-end called Infinex. The alpha version of the platform is live on mainnet, and the full-release version is currently slated for the coming months.

Magazine: 5 dangers to beware when apeing into Solana memecoins","Osmosis, a decentralized exchange (DEX) built on Cosmos, has surged to become the most actively developed decentralized finance (DeFi) project in the last month, according to data shared by crypto intelligence platform Santiment.
In a March 25 post to X, Santiment wrote that Osmosis had seen over 169 commits on GitHub in the last 30 days.
The decentralized perpetuals exchange dYdX stood in second place with 145 commits, while derivatives liquidity protocol Synthetix came in third with 116.
Osmosis TVL and volumes surged between October and March.
The dYdX v4 network has generated over $60 billion worth of trading volume since going live on Jan. 25, per DefiLlama data."
Memecoin madness is breaking the Bitcoin halving cycle,"Crypto industry analysts are calling the current Bitcoin halving cycle the “weirdest” bull market on record, following a premature Bitcoin (BTC) all-time high and a massive rush into memecoins.

On April 1, Chainlink community liaison Zach Rynes — aka “ChainLinkGod” — said, “This bull market has been weird” in a post to his 171,000 followers on X.

Historically, bull runs would see liquidity flow into Bitcoin before moving into Ether (ETH) and other high-capitalization coins and finally moving down the chain.

However, the market “skipped a couple of steps that we have seen with previous cycles,” with flows going from BTC straight to memecoins, which is “a bit unusual,” commented Rynes.

Memecoin total capitalization surged to $70 billion on April 1, primarily driven by pumps in newly launched tokens, such as Solana-based Dogwifhat (WIF), Book of Meme (BOME) and older memecoins such as Pepe (PEPE) and Bonk (BONK).

Coinbase layer-2 network Base has also become a hotbed of memecoin speculation.

The recently launched Base-native token DEGEN is one example, which has skyrocketed an eye-watering 2,800% over the past month. The memecoin is an unofficial token that was distributed to the community on the decentralized social network Farcaster.

Rynes added that market fundamentals are not playing much of a role at the moment:

“There’s some retail money that’s entered, but nowhere near the levels we’ve seen before; we’re in an attention economy based on specific narratives, not real fundamentals.”

The sentiment was echoed by Ethereum educator Anthony Sassano on April 1, who said that after around a decade in crypto, “I can say with full confidence that this is, by far, the weirdest bull market crypto has ever had.”

He added that retail is not here “in any meaningful way” until the entire market goes up together:

“Not these isolated sector-specific pumps that are very obviously pushed by crypto natives and just involve a hot ball of money rotating around.”

Related: Memecoin presales hit ‘peak degeneracy’ with over $100M raised in 3 days

Another factor adding to the weirdness of this market cycle is that Bitcoin has reached an all-time high before the halving. In previous cycles, the Bitcoin all-time high arrived the year after the halving.

The asset hit $73,734 on March 14, and the Bitcoin halving is just 18 days away now, due on April 20. Analysts have already predicted that the pre-halving retrace is over.

On April 1, technical analyst Moustache highlighted that BTC had reclaimed a key Fibonacci ratio level seen in previous cycles, but this time it was before the halving.

Magazine: 5 dangers to beware when apeing into Solana memecoins","Crypto industry analysts are calling the current Bitcoin halving cycle the “weirdest” bull market on record, following a premature Bitcoin (BTC) all-time high and a massive rush into memecoins.
On April 1, Chainlink community liaison Zach Rynes — aka “ChainLinkGod” — said, “This bull market has been weird” in a post to his 171,000 followers on X.
Historically, bull runs would see liquidity flow into Bitcoin before moving into Ether (ETH) and other high-capitalization coins and finally moving down the chain.
In previous cycles, the Bitcoin all-time high arrived the year after the halving.
The asset hit $73,734 on March 14, and the Bitcoin halving is just 18 days away now, due on April 20."
Chinese gov’t launches public blockchain infrastructure platform with Conflux Network,"The Chinese government has launched a new public blockchain infrastructure platform led by Conflux Network.

The new platform, dubbed “Ultra-Large Scale Blockchain Infrastructure Platform for the Belt and Road Initiative,” aims to offer an underlying public blockchain for cross-border applications, according to an April 1 X post by Conflux Network:

“The main focus of the project is to create a public blockchain infrastructure platform. This platform will be able to support the implementation of cross-border cooperation projects along the Belt and Road Initiative. It will provide the base for developing applications that showcase collaboration across borders.”

Conflux Network is a multichain blockchain ecosystem operated by the Conflux Foundation, also known as the Shanghai Tree-Graph Blockchain Research Institute.

Related: Hong Kong’s in-kind ETF creation could be a significant market opportunity: Analysts

Crypto is thriving in China, despite the trading ban

The governmental blockchain initiative comes despite mainland China’s hostile attitude toward cryptocurrencies. China had started tightening its grip on the crypto industry since at least 2017 when the government ordered Chinese Bitcoin exchanges to shut down.

Despite the ban on crypto trading, 33.3% of Chinese investors hold a large amount of stablecoins, placing them in second place to Vietnam, with 58.6%, according to a December 2023 report by Vietnamese venture capital firm Kyros Ventures.

Traders in mainland China have found ways to circumvent the ban on trading. The majority of investors in the country choose to trade on centralized crypto exchanges, according to the report by Kyros Ventures.

Beijing banned crypto trading and mining in 2021 and prohibited offshore exchanges from offering their services in the country. Before the crypto crackdown intensified in 2021, China controlled two-thirds of the total Bitcoin mining hashing power.

Amid calls for greater industry scrutiny, China is set to make a major amendment to its Anti-Money Laundering (AML) regulations to include cryptocurrency-related transactions.

As the first major revision to China’s AML regulations since 2007, the amendment aims to impose stricter guidelines to curb crypto-related money laundering.

So-called “virtual currency trading platforms” reportedly helped facilitate a $2.2 billion underground banking operation to bypass the country’s forex restrictions, according to a Dec. 24, 2023 report.

Related: Bitcoin network’s carbon emission jumped 17% after China ban: Report","The Chinese government has launched a new public blockchain infrastructure platform led by Conflux Network.
The new platform, dubbed “Ultra-Large Scale Blockchain Infrastructure Platform for the Belt and Road Initiative,” aims to offer an underlying public blockchain for cross-border applications, according to an April 1 X post by Conflux Network:“The main focus of the project is to create a public blockchain infrastructure platform.
This platform will be able to support the implementation of cross-border cooperation projects along the Belt and Road Initiative.
The majority of investors in the country choose to trade on centralized crypto exchanges, according to the report by Kyros Ventures.
Beijing banned crypto trading and mining in 2021 and prohibited offshore exchanges from offering their services in the country."
"Ripple to launch US dollar stablecoin, aims to compete with USDT and USDC","XRP issuer Ripple has announced plans to launch a United States dollar-backed stablecoin and hopes to compete with Circle and Tether for a slice of the market share over the next five years.

Cointelegraph spoke to Ripple chief technology officer David Schwartz ahead of the announcement, which outlines plans for the stablecoin that will initially be issued on the XRP Ledger and the Ethereum blockchain.

“It’s funny that the question you ask, we don’t have an answer to yet. What’s the ticker going to be, and what we’re going to call it? You’re just going to have to call it the Ripple stablecoin for now,” Schwartz said during a video call.

Related: Ripple ‘would certainly welcome’ an XRP ETF: Brad Garlinghouse

Ripple has been toying with the idea of launching a stablecoin for over a year, and Schwartz believes the existing stablecoin ecosystem is not as diverse and robust as it could be. Pinning the stablecoin market’s current value at $150 billion, Schwartz said there’s room for another big player:

“We think it will be over $2 trillion by 2028, and there’s only two market leaders. We don’t think it’s a winner-take-all-all ecosystem, particularly on the DeFi side.”

Ripple’s stablecoin will be pegged at a 1:1 ratio with the U.S. dollar, and the company plans to back the tokens with U.S. dollar deposits, short-term U.S. government Treasurys and “other cash equivalents.” Schwartz said that Ripple would look to emulate Circle’s focus on compliance and likely aim to compete against the USD Coin (USDC) issuer:

“Our angle is going to be very ‘compliance-first.’ We’re very transparent about how the assets are backed, so we’re kind of going to be directly competing against USDC.”

“We’re looking to grab market share. We’re not looking to finesse a couple of extra decimal points by taking risks with other people’s money,” Schwartz added when queried over Ripple’s plans to back the stablecoin with dollar deposits, U.S. Treasurys and cash equivalents.

Circle’s transparency page outlining a slight surplus in reserve assets backing USDC tokens in circulation. Source: Circle

The reserve assets are set to be audited by a third-party accounting firm, and Ripple will publish monthly attestations. Schwartz drew comparisons to the early days of Tether’s (USDT) stablecoin, where critics often sounded the alarm over the potential of the issuer to steal funds and the credibility of its reserve attestations.

“Initially when Tether first launched, a big concern was whether these guys would run off with all the money because they’re very incentivized to do that. Then, after a while, ‘you’re like, wait a minute, these guys have a long-term business,’” Schwartz said.

The top 10 stablecoins by market capitalization. Tether’s USDT is valued at $106 billion. Source: CoinMarketCap

The Ripple chief technology officer added that the reality of launching a new stablecoin that could attract hundreds of millions, billions, or tens of billions of dollars would lead to these types of concerns. The company is leaning on its credibility, track record in the space and strong balance sheet to squeeze its way into the stablecoin market.

“I think we have a credible claim to be in the conversation near the top. If at the end of two years, we’re number three, but the market has grown to 10 times what it is today, that’s still pretty good,” Schwartz said.

Tether’s USDT is issued across 15 different blockchains. Ripple will issue its stablecoin on the XRP Ledger and the Ethereum blockchain. Source: Tether

Cointelegraph also queried why Ripple was interested in a stablecoin offering while XRP (XRP) continues to be positioned as the token for its real-time gross settlement system, currency exchange and remittance network primarily catering to financial institutions.

Schwartz says that Ripplenet serves non-bank payment companies using XRP for transparent payments. However, there are some markets that these firms cannot get into using XRP or supplement liquidity.

Related: XRPL blockchain plugs into cross-chain DeFi

“Having multiple paths to give customers a better experience means you have more customers. If we only did things with XRP, then where XRP wasn’t available, we would just have to tell a customer no,” Schwartz explained.

The introduction of a Ripple stablecoin is also set to complement the ecosystem’s recently launched automated market maker. Schwartz says the stablecoin will provide liquidity and capture volatility and arbitrage opportunities between multiple assets.

Magazine: Ethereum’s ERC-20 design flaws are a crypto scammer’s best friend","XRP issuer Ripple has announced plans to launch a United States dollar-backed stablecoin and hopes to compete with Circle and Tether for a slice of the market share over the next five years.
You’re just going to have to call it the Ripple stablecoin for now,” Schwartz said during a video call.
Schwartz drew comparisons to the early days of Tether’s (USDT) stablecoin, where critics often sounded the alarm over the potential of the issuer to steal funds and the credibility of its reserve attestations.
The company is leaning on its credibility, track record in the space and strong balance sheet to squeeze its way into the stablecoin market.
The introduction of a Ripple stablecoin is also set to complement the ecosystem’s recently launched automated market maker."
"BingX exchange openly supports Iranian users, defying sanctions","The BingX crypto exchange is allowing sanctioned Iranian users to evade restrictions.

The exchange openly displays an Iranian version of its website, and its officials have made statements in Persian in the exchange’s official Telegram group.

According to a translation of one of the statements, “The Bing X exchange has no problem with Iranian users, and it is even possible to authenticate with a national card.”

The exchange also allows Iranian rial to Tether (USDT) swaps in its interface, which are prohibited under United States Treasury Department’s Office of Foreign Assets Control (OFAC) rules.

Statement by BingX admin. Source: BingX official Telegram channel.

In another post within the official BingX Discord, one user asked if ""there are any restrictions for registering from Iran"" regarding the platform's verification. ""It should be fine.."" a BingX representative replied, ""Just follow the instruction on your registration.""

BingX's policy on user registration from Iran. Source: BingX Discord

Iran has been under a variety of sanctions since 1979. The U.S. and the United Nations have accused the country of a wide variety of violations of international law, including seizing property belonging to U.S. companies, funding terrorism and enriching uranium to make nuclear weapons. Iran has denied these claims.

The sanctions generally prevent Iranian residents from using centralized cryptocurrency exchanges, and these exchanges risk being blocked from U.S. and global markets if they do business with Iranians.

According to OFAC, Foreign Financial Institutions (FFIs) risk “correspondent and payable-through account sanctions and blocking sanctions” if they knowingly conduct or facilitate transactions involving the purchase or sale of Iranian rials.

However, it appears that on the BingX exchange, the Iranian rial — an OFAC-sanctioned currency — is directly swappable for other crypto assets.

BingX supporting transactions in the Iranian rial. Source: BingX

BingX facilitates over $974 million in trading volume per day, according to CoinMarketCap data. This makes it one of the top 20 crypto exchanges in the world.

Per data from its official website, the exchange is a registered financial services company in the Republic of Lithuania, giving it a license to do business in the European Union. It is also licensed in Australia as a digital currency exchange and operates from Singapore.

Like all global financial institutions, entities in Australia and Lithuania must comply with the U.S. OFAC sanctions and any sanctions imposed on Iran by their home countries or the European Union.

BingXPersian, where services are offered to Iranian residents, is listed as an official channel of the BingX exchange. Source: BingX

Yet, despite such requirements, the exchange publicly solicits Iran-based users on its social channels and official website. Before November 2021, the exchange was known as Bingbon.

BingX was founded by Josh Lu in 2018 and claims to serve over 10 million users. The nationality of its current founder is unknown.

Statement by BingX customer support representative J. Jalali. Source: BingX official Telegram channel

According to another BingX representative, “Iran is in the list of countries with restrictions.” However, “this does not mean a ban on providing services.” In addition, the exchange is also advertising its Iranian rial services and states, “Did you know that you can buy and sell Tether with Rials on Bing X?""

BingX touts the buying and selling of sanctioned Iranian rial and toman (1 toman = 10 rial) via peer-to-peer transactions. Source: BingX on Telegram

Response from BingX

On April 13, post publication, a BingX representative told Cointelegraph that Mirzadeh, the Telegram user featured in the above screenshots ""is not an authorized representative of BingX, and his statements do not mirror the official policies or positions of our company."" In addition, they claimed that the Rial to USDT swaps shown above are on an unauthorized subpage of the Paycat website. ""We want to clarify that the official BingX website is bingx.com. Bingx.paycat.com is not authorized to represent the positions or views of BingX.""

The BingX representative also claimed that Iranian users are not allowed on the exchange. However, after publication, a BingX customer service representative stated that ""there is no requirement for authentication and Persian language users can use the exchange.""

BingX's explanation of rules surrounding Iranian users. Source: BingX on Telegram

Not a first occurrence

BingX is not the only licensed cryptocurrency exchange that has been caught circumventing sanctions for Iranian users.

In July 2022, Reuters reported that the largest cryptocurrency exchange in the world, Binance, was serving Iranian citizens. At the time, Binance denied the claim, stating that it “strictly” adheres to sanctions requirements.

In November 2023, the exchange agreed to a $4.5 billion plea deal with the U.S. Justice Department and the U.S. Treasury, admitting that it failed to maintain an effective policy against money laundering. Its former CEO, Changpeng Zhao, also pled guilty to Bank Secrecy Act violations.

The BingX official website onboarding Iranian residents. Source: BingX

In May 2023, the crypto exchange Poloniex also paid a $7.6 million settlement to the OFAC for failing to retroactively screen users from Crimea, Cuba, Iran, Sudan, and Syria who had registered before the exchange implemented Know Your Customer controls.

Update April 13 2024 7:20pm UTC: Added a screenshot from BingX Telegram

Update April 13 2024 7:15pm UTC: Added a statement from BingX

Update April 12 2024 9:40pm UTC: Added a screenshot from BingX Discord

Related: US Treasury sanctions crypto mixer Sinbad, alleging North Korea ties","The BingX crypto exchange is allowing sanctioned Iranian users to evade restrictions.
Source: BingX official Telegram channel.
However, it appears that on the BingX exchange, the Iranian rial — an OFAC-sanctioned currency — is directly swappable for other crypto assets.
The BingX representative also claimed that Iranian users are not allowed on the exchange.
Source: BingX on TelegramNot a first occurrenceBingX is not the only licensed cryptocurrency exchange that has been caught circumventing sanctions for Iranian users."
Bitcoin halving puts focus on crypto education initiatives,"Over the last couple of months, the crypto world has been abuzz with anticipation for the upcoming Bitcoin halving event.

This pivotal moment, expected to occur on April 20 (based on the UTC time standard), will once again cut the reward for mining new Bitcoin blocks in half, further reducing the supply of the world’s first and largest cryptocurrency, Bitcoin (BTC).

While many investors and traders are speculating on the potential price implications, a growing movement within the industry is shifting this focus toward education and adoption.

Whether through online courses, podcasts, workshops or good old-fashioned books, the push for increased Bitcoin education seems to be fueled by a shared belief that understanding begets trust.

There are a number of initiatives spearheaded by businesses, individuals and educational institutions that promote a deeper understanding of Bitcoin and the digital asset ecosystem as a whole.

Binance Academy

Binance Academy is the official education platform offered by cryptocurrency exchange Binance. It provides a suite of resources to promote the understanding of Bitcoin and its associated technologies. For instance, those new to the world’s pioneering cryptocurrency can sign up for the free “Bitcoin Basics” course, which offers a structured introduction covering the asset’s history, underlying blockchain technology, mining processes, wallets and more.

Binance Academy has prepared several in-depth explanatory articles to help the community grasp the significance of this supply-altering phenomenon. The pieces delve into the mechanics of halvings, their impact on Bitcoin’s issuance rate, and historical price effects surrounding past events.

For traders seeking to analyze Bitcoin’s market movements, the platform provides targeted technical analysis content. A dedicated series explores charting techniques, indicators and other strategies specifically applied to Bitcoin trading and price forecasting. Complementing this is a wide array of video tutorials and articles that unpack various concepts like wallets, forks, mining and more.

Lastly, Binance Academy also maintains a living glossary of Bitcoin-related terminology to ensure key concepts are readily accessible. Through this multiformat approach spanning courses, articles, videos and reference tools, the platform strives to elevate Bitcoin knowledge across skill levels.

Jameson Lopp — Lopp.net

Celebrated cypherpunk, software engineer, columnist and Bitcoin advocate Jameson Lopp has created a comprehensive repository of Bitcoin-related resources on his personal website, Lopp.net, aimed at furthering education and understanding of the pioneering cryptocurrency.

One of the standout offerings on Lopp’s site is his curated “Bitcoin Resources” page, which compiles a vast collection of links and materials covering everything from Bitcoin’s fundamentals (including the halving) and its codebase to developer tools, research papers and educational courses.

Source: Jameson Lopp

Complementing this is Lopp’s article chest, where he regularly publishes pieces unpacking complex Bitcoin concepts and analyzing industry developments while also sharing his expertise as a seasoned cypherpunk. The posts tackle intricate topics like Bitcoin privacy, self-custody best practices and the philosophy behind the technology’s decentralized ethos.

For those seeking a more structured learning experience, Lopp’s website also hosts comprehensive video recordings, allowing viewers to gain insights into Bitcoin’s technical operations from many of the industry’s foremost educators.

Coinbase Learn

Like Binance, crypto exchange Coinbase has recognized the importance of education in driving mainstream adoption. To this end, the company has dedicated the “Learn” section on its website to hosting a wealth of resources that cater to audiences across the crypto knowledge spectrum.

For those just beginning their journey, the “crypto basics” category provides foundational knowledge through beginner-friendly articles explaining concepts pertaining to Bitcoin, cryptocurrencies and blockchain technology. There are also practical guides on setting up wallets and securely sending and receiving digital assets.

As users progress on their learning paths, more advanced topics are covered, including in-depth explainers on major events like Bitcoin’s recurring halving events. The “explore” subsection allows curious learners to dive deeper into emerging trends, use cases, and innovative crypto applications.

Recognizing the importance of staying updated, there is a market updates section where users can find the latest news, analyses and expert insights into market movements.

MIT Bitcoin Club

Launched by one of the most prestigious institutions in the world, MIT’s BTC education program is designed to be holistic in its outlook. It covers a host of topics, ranging from the foundations of the Bitcoin network to more advanced concepts like the creation of decentralized applications atop the Bitcoin ecosystem and the design of hardware wallets.

Starting page for MIT Bitcoin Club's educational resources. Source: MIT

Additionally, there is also a free archive of some of MIT’s own cryptocurrency research and academic papers, providing readers with a technical understanding of experimental ideas permeating the Bitcoin and blockchain ecosystem.

In addition to these free offerings, there is also the option to take online classes, whose topics include cryptocurrency engineering and design, shared public ledgers, and blockchain entrepreneurship, among others.

BitDegree

BitDegree is an online education platform that aims to simplify and democratize access to the Web3 sector.

One of BitDegree’s flagship offerings is its Web3 Missions program. The initiative allows learners to earn valuable crypto rewards and nonfungible token (NFT) certificates by successfully completing various comprehensive examinations.

They cover a wide range of topics, from blockchain fundamentals to emerging trends (such as the aforementioned Bitcoin halving) and upcoming innovative applications within the decentralized web ecosystem. By incentivizing knowledge acquisition, BitDegree aims to foster a more educated, empowered crypto community.

Additionally, the platform hosts various campaigns in collaboration with established Web3 projects called LearnDrops. These typically involve interactive courses that introduce users to specific crypto platforms, protocols or services. Upon their completion, learners are rewarded with the project’s native tokens, NFTs or other incentives. Notable past collaborations include projects like the FIO Protocol, Ledger and PrimeXBT.

Furthermore, BitDegree offers resources spanning cryptocurrency basics, market news, practical tutorials and analyses.

Cointelegraph Learn

Cointelegraph’s own Learn section contains a variety of educational resources for newcomers and veterans of the cryptocurrency industry.

These include “how-to” guides for things like setting up a wallet, staking, getting into decentralized finance and trading Bitcoin options, to name a few.

Cointelegraph Learn also has an “Explained” section detailing complex concepts in the blockchain and cryptocurrency industry to make them more accessible and understandable to a wider audience.

The crypto glossary also explains the myriad of unique terms that are used every day in the cryptocurrency industry.

Cointelegraph's Crypto Glossary. Source: Cointelegraph

In short, there have never been more resources for crypto enthusiasts, traders or even the crypto-curious to learn more about digital currency. As events like the Bitcoin halving gain increasing public attention, demand for knowledge about the world's seminal cryptocurrency will also increase.","Over the last couple of months, the crypto world has been abuzz with anticipation for the upcoming Bitcoin halving event.
Whether through online courses, podcasts, workshops or good old-fashioned books, the push for increased Bitcoin education seems to be fueled by a shared belief that understanding begets trust.
Binance AcademyBinance Academy is the official education platform offered by cryptocurrency exchange Binance.
Source: Jameson LoppComplementing this is Lopp’s article chest, where he regularly publishes pieces unpacking complex Bitcoin concepts and analyzing industry developments while also sharing his expertise as a seasoned cypherpunk.
BitDegreeBitDegree is an online education platform that aims to simplify and democratize access to the Web3 sector."
Jack Dorsey’s Block announces development of ‘full Bitcoin mining system’,"Payments firm Block, formerly known as Square, has announced plans to develop a Bitcoin (BTC) mining system in response to challenges faced by mining operators.

In an April 23 blog post, Block said it had completed development of a three-nanometer chip used for BTC mining, which led to the firm announcing a “full Bitcoin mining system.” Block — then Square — CEO Jack Dorsey suggested a collaborative approach to decentralize Bitcoin mining in October 2021.

“We’ve spent a significant amount of time talking to a wide variety of bitcoin miners to identify the challenges faced by mining operators,” said Block. “Building on these insights and pursuant to our goal of supporting mining decentralization, we plan to offer both a standalone mining chip as well as a full mining system of our own design.”

Block completed a prototype design of a five-nanometre BTC mining chip in May 2023, claiming at the time the centralization of chip development in the hands of a few companies was harmful to the ecosystem. The firm called on the mining community to provide additional feedback for the system, asking for comments on challenges it faced in purchasing miners, maintenance, transparency and software issues.

Related: Jack Dorsey wants to decentralize Bitcoin mining with new investment

Intel announced in 2023 that it planned to end shipping for its Blockscale 1000 Series ASIC (application-specific integrated circuit) mining chips in April as part of cost-cutting measures. Such chips are often used for mining proof-of-work cryptocurrencies, including Bitcoin.

The Bitcoin halving on April 19 cut the block reward for miners from 6.25 BTC to 3.125 BTC. The event will likely shake up the market as miners compete for fewer rewards for the same work until the next halving, expected in another four years.

Magazine: Bitcoin is on a collision course with ‘Net Zero’ promises","Payments firm Block, formerly known as Square, has announced plans to develop a Bitcoin (BTC) mining system in response to challenges faced by mining operators.
In an April 23 blog post, Block said it had completed development of a three-nanometer chip used for BTC mining, which led to the firm announcing a “full Bitcoin mining system.” Block — then Square — CEO Jack Dorsey suggested a collaborative approach to decentralize Bitcoin mining in October 2021.
“We’ve spent a significant amount of time talking to a wide variety of bitcoin miners to identify the challenges faced by mining operators,” said Block.
Related: Jack Dorsey wants to decentralize Bitcoin mining with new investmentIntel announced in 2023 that it planned to end shipping for its Blockscale 1000 Series ASIC (application-specific integrated circuit) mining chips in April as part of cost-cutting measures.
The Bitcoin halving on April 19 cut the block reward for miners from 6.25 BTC to 3.125 BTC."
South Korean police catch $4.1M crypto scam duo,"South Korean police have caught a pair of fraudsters who stole 5.5 billion won ($4.1 million) from a senior citizen with the promise of profitable crypto investments.

The Haeundae Police Station in Busan, South Korea, detained two individuals in their 20s and 30s for deceiving a senior citizen and stealing 5.5 billion South Korean won spread across multiple transactions.

According to a local report, the victim was promised high returns on cryptocurrency investments between September 2022 and December 2022.

The scammers guaranteed 70% profits in a monthly investment of 1 billion won. The police quoted the fraudsters saying:

“It’s a boom period for coin (cryptocurrency). If you invest 1 billion won, I will call it 1.7 billion won a month later.”

The victim sent 5.5 billion won in total over six different transactions to the scammers, who then forged balance certificates to show as proof of investments.

During the scam, the victim was shown fake balance sheets of crypto investments and real estate contracts.

South Korean police said the fake balance sheet showed 20 billion won worth of cryptocurrencies, even though none of the victim’s 5.5 billion won funds made it to the crypto trading account.

While the police have detained the fraudsters in a timely manner, information about the recovery of funds has yet to be made public.

Related: South Korean crypto criminals face life imprisonment

Meanwhile, South Korea’s most infamous crypto entrepreneur, Terraform Labs co-founder Do Kwon, was reportedly released from prison in Montenegro on March 23 amid extradition requests from the United States and South Korea.

Kwon is currently facing legal charges for the collapse of the Terra ecosystem in 2022. Prison director Darko Vukcevic reportedly said by phone:

“We released Do Kwon from prison as his regular prison term for traveling with fake papers ended. Since he is a foreign citizen and his documents were withheld, he was taken for an interview to the police directorate for foreigners, and they will deal with him further.”

The decision to release Kwon reportedly came from the Council of the Supreme Court, which is set to review a decision that could grant or deny extradition to his native South Korea.

Magazine: 5 dangers to beware when apeing into Solana memecoins","South Korean police have caught a pair of fraudsters who stole 5.5 billion won ($4.1 million) from a senior citizen with the promise of profitable crypto investments.
The Haeundae Police Station in Busan, South Korea, detained two individuals in their 20s and 30s for deceiving a senior citizen and stealing 5.5 billion South Korean won spread across multiple transactions.
The scammers guaranteed 70% profits in a monthly investment of 1 billion won.
South Korean police said the fake balance sheet showed 20 billion won worth of cryptocurrencies, even though none of the victim’s 5.5 billion won funds made it to the crypto trading account.
Related: South Korean crypto criminals face life imprisonmentMeanwhile, South Korea’s most infamous crypto entrepreneur, Terraform Labs co-founder Do Kwon, was reportedly released from prison in Montenegro on March 23 amid extradition requests from the United States and South Korea."
1inch unveils crypto debit card in partnership with Mastercard and Baanx,"Decentralized finance (DeFi) firm 1inch Network has debuted a new debit card with cryptocurrency-to-fiat bridge functionality. The new card was developed in partnership with Mastercard and Baanx.

According to a blog post from 1inch, the new debit cards will feature full functionality, including a physical card featuring an account number, expiration date and the “CVC” security code required to conduct some transactions. It will also have a virtual card feature allowing users to conduct transactions digitally where supported.

Christian Rau, senior vice president of crypto and fintech enablement at Mastercard, said in a statement that the new card serves as a necessary bridge between the Web3 and Web2 worlds:

“We’ve long championed solutions that not only meet customers where they are, but also deliver ubiquity, peace of mind and the highest levels of security. Leveraging Mastercard’s leading technology and standards, the 1inch Card is connecting Web2 and Web3 worlds in an innovative way.”

While most popular crypto and Web3 exchanges have robust features for converting fiat to crypto, and vice versa, such conversion adds extra steps to the payment process. This can slow transactions down, increase security risks and add extra fees to the process.

The advent of crypto-to-fiat debit purchases allows users to retain custody of their crypto and Web3 funds with a single conversion rate to consider at the point of purchase.

Related: Mastercard sees partnerships as key to blockchain remittances in Latam

For now, the cards are only available in the United Kingdom and European economic areas. However, according to 1inch, the company is seeking to expand the program.

Orest Gavryliak, chief legal officer at 1inch Network, told Cointelegraph that “the expansion of the service area depends on our partners. We are indeed working on geographical expansion for the 1inch card. Stay tuned!”

In a post on the X social media app, 1inch Network co-founder Segej Kunz showed off the virtual payment aspect of the new card by completing a one-touch transaction with his smartphone.","Decentralized finance (DeFi) firm 1inch Network has debuted a new debit card with cryptocurrency-to-fiat bridge functionality.
The new card was developed in partnership with Mastercard and Baanx.
Orest Gavryliak, chief legal officer at 1inch Network, told Cointelegraph that “the expansion of the service area depends on our partners.
We are indeed working on geographical expansion for the 1inch card.
Stay tuned!”In a post on the X social media app, 1inch Network co-founder Segej Kunz showed off the virtual payment aspect of the new card by completing a one-touch transaction with his smartphone."
DeFi whales have millions ‘forgotten’ in bridge contracts: Arkham,"Several identified crypto addresses have millions of dollars either “stuck” or “forgotten” about in at least two large bridge contracts, according to blockchain intelligence firm Arkham.

“There are dozens of accounts with 6-7 figures stuck in bridge contracts, forgotten about,” said Arkham in an April 22 X post., including wallets connected to Ethereum co-founder Vitalik Buterin, crypto exchange Coinbase, and several DeFi whales.

The firm attached two screenshots of fund transfers to and from the Arbitrum and Optimism bridges to support their case.

Arkham noted a wallet that received 50 Ether (ETH) from Buterin has had $1.05 million stuck in the Optimism bridge for seven months now. If the address is owned by Buterin, it would represent a small fraction of his $789 million cryptocurrency portfolio, according to Arkham’s data.

Another wallet linked to Bofur Capital, which shares the same name as a Celsius creditor, has $1.8 million in wrapped-Bitcoin (WBTC) stuck in the Arbitrum bridge, which hasn’t moved in 27 months, while Thomasg.eth — the pseudonymous founder behind decentralized air transportation solution Arrow — has $800,000 in Ether stuck in the Arbitrum bridge.

Furthermore, Coinbase tried to bridge $75,000 in USD Coin (USDC) to Ethereum six months ago via the Optimism bridge, but it hasn’t been claimed on Ethereum’s base layer yet, Arkham said.

Related: Wormhole bridge hacker from 2022 was briefly eligible for the recent airdrop

There is, however, also a possibility that the owners behind these wallets still have complete control of the funds and have voluntarily chosen to park the funds there for the time being.

Cross-chain bridges play an important part in modular blockchain networks like Ethereum, which prioritizes data availability and security on the base layer and offloads transaction responsibilities to layer 2s.

However, bridges have become a honeypot site for hackers, as they are often automated by potentially vulnerable smart contracts or a highly centralized validator set.

For example, the $650 million Ronin bridge hack orchestrated by North Korea’s state-backed Lazarus Group came after it obtained access to five of the nine private keys held by transaction validators in March 2022.

Magazine: ‘SEAL 911’ team of white hats formed to fight crypto hacks in real time","Several identified crypto addresses have millions of dollars either “stuck” or “forgotten” about in at least two large bridge contracts, according to blockchain intelligence firm Arkham.
“There are dozens of accounts with 6-7 figures stuck in bridge contracts, forgotten about,” said Arkham in an April 22 X post., including wallets connected to Ethereum co-founder Vitalik Buterin, crypto exchange Coinbase, and several DeFi whales.
The firm attached two screenshots of fund transfers to and from the Arbitrum and Optimism bridges to support their case.
Arkham noted a wallet that received 50 Ether (ETH) from Buterin has had $1.05 million stuck in the Optimism bridge for seven months now.
Furthermore, Coinbase tried to bridge $75,000 in USD Coin (USDC) to Ethereum six months ago via the Optimism bridge, but it hasn’t been claimed on Ethereum’s base layer yet, Arkham said."
"Binance’s US settlement was a ‘turning page,’ says exec","Binance’s record-breaking $4.3-billion settlement with the United States last year was a “turning page” for the exchange, which is welcoming the “coming wave of regulation,” said its head of institutional and VIPs Catherine Chen.

Part of Binance’s settlement saw it employ an independent compliance monitor for three years and agree to a five-year U.S. Treasury monitor, which Chen said was “frankly, a great thing from my perspective” on an April 10 Paris Blockchain Week panel moderated by Cointelegraph editor-at-large Kristina Cornèr.

Chen also brushed off concerns that Binance’s performance would suffer under the monitoring agreement, claiming it had “been preparing for it.”

“It is a challenge, but it’s a welcome challenge, and we fully embrace it because we know that that would be great for the market.”

In November 2023, Binance, Binance.US and co-founder Changpang “CZ” Zhao paid the U.S. government $4.3 billion to settle charges of violating Anti-Money Laundering (AML) and sanctions laws.

Zhao agreed to step down as CEO and pleaded guilty to failing to maintain an AML program. He faces up to 18 months in jail, with his sentencing set for April 30.

On the panel, Chen said having regulation in place “gives a lot more clarity” to Binance’s users and “will help them be a lot more comfortable with the industry, with the asset class [and] with the key players.”

Chen on stage at Paris Blockchain Week discussing Binance’s settlement. Source: Paris Blockchain Week

“Although people see challenges for us, it’s actually great. It’s the best thing that can and should happen to the industry,” she added.

Related: Philippines SEC ‘can’t endorse’ ways to retrieve funds after Binance ban

Binance’s new CEO, Richard Teng, told CNBC on April 9 that it “was operating in a certain fashion,” but it had “moved past that as the company moves into greater maturity.”

In an on-stage interview at Paris Blockchain Week the same day, Teng said the exchange — famous for never having formal headquarters under Zhao — was looking for a global HQ and was “speaking to a few jurisdictions.”

The Securities and Exchange Commission is still pursuing charges against Binance, Binance.US and Zhao, claiming they sold unregistered securities and commingled customer assets — allegations that Binance denies.

Magazine: ‘SEAL 911’ team of white hats formed to fight crypto hacks in real time","Binance’s record-breaking $4.3-billion settlement with the United States last year was a “turning page” for the exchange, which is welcoming the “coming wave of regulation,” said its head of institutional and VIPs Catherine Chen.
Part of Binance’s settlement saw it employ an independent compliance monitor for three years and agree to a five-year U.S. Treasury monitor, which Chen said was “frankly, a great thing from my perspective” on an April 10 Paris Blockchain Week panel moderated by Cointelegraph editor-at-large Kristina Cornèr.
Zhao agreed to step down as CEO and pleaded guilty to failing to maintain an AML program.
On the panel, Chen said having regulation in place “gives a lot more clarity” to Binance’s users and “will help them be a lot more comfortable with the industry, with the asset class [and] with the key players.”Chen on stage at Paris Blockchain Week discussing Binance’s settlement.
Source: Paris Blockchain Week“Although people see challenges for us, it’s actually great."
Web3 startups flock to accelerators as crypto enthusiasm surges,"Some Web3 startups are turning to accelerator programs as crypto enters a new bull market and investors look to get involved in the

Accelerator programs offer mentorship and guidance in return for early equity. For example, United States-based Y Combinator counts several crypto firms, such as Coinbase and OpenSea, among its alumni.

On March 26, Andreessen Horowitz (a16z) revealed the lineup for its spring 2024 crypto startup accelerator. The 25 startups will undergo a 10-week mentorship program in London led by the a16z crypto team.

Operating partner Jason Rosenthal shared a list featuring projects including Farcaster infrastructure, decentralized food delivery and zero-knowledge passport authentication. Startups in a16z’s accelerator get $500,000 from the firm in exchange for 7% equity. Alumni include Flashbots and Phantom.

On Nov. 9, 2023, the Avalanche Foundation and Ava Labs introduced the first group of startups in its accelerator, Codebase. The program will see investments ranging from $500,000 to $1 million for startups.

Helika, a Web3 gaming infrastructure company, revealed its collaboration with Pantera Capital, Spartan Capital, Sfermion and other venture capital firms to allocate up to $50 million to startups participating in its new Web3 gaming accelerator, Helika Accelerate.

Related: Paradigm’s funding takes Farcaster’s dev to unicorn status

The cryptosphere has seen a resurgence in venture capital activity as the bull market ramps up. Crypto-native venture firm 1kx recently disclosed an oversubscribed $75 million fundraising round, while Hack VC finalized a $150 million round in February.

Sam Lehman, principal at Symbolic Capital, emphasized in a March 26 X post that robust crypto accelerators play a vital role in fostering community among founders within the network-centric Web3 sphere.

Lehman highlighted the rise of new crypto accelerators driven by funds aiming to boost their brand and deploy capital quickly. However, he warned of potential predatory practices among some accelerators:

“Some accelerators are using the early stage at which they invest plus their proposed ‘value-add’ to come in and take extremely big positions in companies immediately. Founders should definitely think twice about whether the terms they’d accept from an accelerator are worth what they’d receive in return.”

Investment activity in Web3 gaming has also steadily increased recently. 0G Labs closed a $35 million pre-seed funding round on March 25, with participation from over 40 crypto-native institutions, including Hack VC and the Blockchain Builders Fund.

Magazine: SEC can proceed with Coinbase lawsuit: Court ruling","Some Web3 startups are turning to accelerator programs as crypto enters a new bull market and investors look to get involved in theAccelerator programs offer mentorship and guidance in return for early equity.
Helika, a Web3 gaming infrastructure company, revealed its collaboration with Pantera Capital, Spartan Capital, Sfermion and other venture capital firms to allocate up to $50 million to startups participating in its new Web3 gaming accelerator, Helika Accelerate.
Related: Paradigm’s funding takes Farcaster’s dev to unicorn statusThe cryptosphere has seen a resurgence in venture capital activity as the bull market ramps up.
Crypto-native venture firm 1kx recently disclosed an oversubscribed $75 million fundraising round, while Hack VC finalized a $150 million round in February.
Lehman highlighted the rise of new crypto accelerators driven by funds aiming to boost their brand and deploy capital quickly."
Canadian authorities move to seize assets tied to QuadrigaCX CEO,"The director of civil forfeiture in the Canadian province of British Columbia has made an unexplained wealth order to confiscate cash, 45 gold bars and luxury items found in a safe deposit box linked to a co-founder of the QuadrigaCX cryptocurrency exchange.

An unexplained wealth order is a type of court order that compels a person to explain how they acquired their assets. Mike Farnworth, the province’s minister of public safety and solicitor general, said in a statement:

“Through this action, we are demonstrating again that criminals will have to prove that their assets are the proceeds of lawful activity and not financial crime. The international, criminal actions of Quadriga Coin Exchange (Quadriga CX) led to thousands of people losing their life savings.”

QuadrigaCX, once the largest cryptocurrency exchange in Canada, became insolvent in February 2019, shortly after its co-founder, Gerald Cotten, died in India, taking the private keys to QuadrigaCX’s offline storage systems to the grave.

According to documents submitted to the British Columbia Supreme Court, the assets are allegedly the proceeds of criminal activities linked to Michael Patryn, co-founder of Quadriga Coin Exchange, and Gerald Cotten. The order facilitated the seizure of a safe deposit box at CIBC Bank along with an account.

Related: QuadrigaCX creditors set to receive 13% of their claims as an ‘interim dividend’

Civil forfeiture has existed in British Columbia since 2006, allowing the province to confiscate property without criminal charges.

Inside the safe deposit box were 250,200 Canadian dollars ($184,250) in cash, gold bars, two Rolex watches, a Chanel J12 Black Diamond watch and other jewelry items.

Additionally, the box contained a 45-caliber Ruger 1911 pistol with ammunition and identity documents bearing the names Omar Dhanani and Omar Patryn, according to the CBC.

The order contends that Patryn played a significant role in QuadrigaCX’s activities, including misappropriating customer funds and cryptocurrency, justifying the seizure of assets.

Following the seizure, the next course of action is to prompt a response from Patryn to account for his wealth.

After QuadrigaCX’s collapse, Patryn embarked on a new venture in decentralized finance, participating in various protocols like Wonderland and UwU Lend, using the alias “Sifu.”

Michael Patryn was previously known as Omar Dhanani before two name changes in 2003 and 2008. He has been convicted of various financial crimes in the United States.

Magazine: $3.4B of Bitcoin in a popcorn tin — The Silk Road hacker’s story","An unexplained wealth order is a type of court order that compels a person to explain how they acquired their assets.
The order facilitated the seizure of a safe deposit box at CIBC Bank along with an account.
Inside the safe deposit box were 250,200 Canadian dollars ($184,250) in cash, gold bars, two Rolex watches, a Chanel J12 Black Diamond watch and other jewelry items.
Additionally, the box contained a 45-caliber Ruger 1911 pistol with ammunition and identity documents bearing the names Omar Dhanani and Omar Patryn, according to the CBC.
The order contends that Patryn played a significant role in QuadrigaCX’s activities, including misappropriating customer funds and cryptocurrency, justifying the seizure of assets."
US crypto stocks rally on first trading day after Bitcoin halving,"United States crypto-related stocks posted gains on Monday alongside a broader market upturn just days after the Bitcoin (BTC) halving — with some notching double-digit percentage gains.

The country’s five largest public-traded Bitcoin miners by market capitalization, Marathon Digital (MARA), CleanSpark (CLSK), Riot Platforms (RIOT) Cipher Mining (CIFR), and Hut 8 (HUT) all gained over the April 22 trading day and have continued to gain in after-hours trading, per Google Finance.

Stronghold Digital Mining (SDIG) was the day’s biggest crypto-related gainer with a 35.3% bump to $3.64, extending 4% after-hours to nearly $3.80.

Riot followed with an over 23% jump to $11.24 and a 3.2% after-the-bell rally to $11.60.

The top 10 U.S. crypto mining stocks in order of their April 22 gains. Source: CompaniesMarketCap

Overall, U.S. crypto miners saw price gains on the day extending their rallies from Friday, April 19.

The Valkyrie Bitcoin Miners ETF (WGMI) — which holds mining stocks and some chipmakers including Nvidia (NVDA) — posted an 11% gain and a 3% rise after hours to $16.69.

The crypto stock price jumps come despite their Bitcoin mining rewards being halved to 3.125 BTC per block after the halving on Saturday, April 20 just after midnight UTC — April 19 at 8:09 pm in New York.

It coincides with a broader U.S. market gain as the Nasdaq Composite and the S&P 500, respectively, saw a 1.1% and 0.8% jump on the day after last week’s stretch of losses — which has been attributed to diminished tensions in the Middle East and incoming earnings reports from major tech firms.

Related: Bitcoin ETF demand turns negative around BTC halving

CIBC Private Wealth investment chief David Donabedian however told Barron’s on April 22 that the market dampened on high inflation rates, hiking bond yields, and speculation on the Federal Reserve’s expected rate cuts.

He added nearly half of the country’s largest companies will share their first-quarter earnings this week which could also add to market volatility.

Bitcoin’s price has risen 4.5% to $66,810 since the halving, according to Cointelegraph Markets Pro. Ahead of the event, market commentators predicted mixed results for the cryptocurrency’s price after the halving had taken place.

Bitcoin’s price in the last week with the white vertical line denoting the time of its halving. Source: Cointelegraph Markets Pro

Meanwhile, crypto exchange Coinbase had a 7% gain to $225.86 with a slight 0.8% bump after-hours as did the Bitcoin-buying software firm MicroStrategy (MSTR) — seeing a 12.7% daily gain extending 2.5% after-hours to $1,357.

Web3 Gamer: Bitcoin Halving will pump games, Shrapnel’s ‘simple’ secret revealed","United States crypto-related stocks posted gains on Monday alongside a broader market upturn just days after the Bitcoin (BTC) halving — with some notching double-digit percentage gains.
The top 10 U.S. crypto mining stocks in order of their April 22 gains.
Source: CompaniesMarketCapOverall, U.S. crypto miners saw price gains on the day extending their rallies from Friday, April 19.
The Valkyrie Bitcoin Miners ETF (WGMI) — which holds mining stocks and some chipmakers including Nvidia (NVDA) — posted an 11% gain and a 3% rise after hours to $16.69.
Web3 Gamer: Bitcoin Halving will pump games, Shrapnel’s ‘simple’ secret revealed"
SEC enforcement director claims crypto industry makes ‘creative attempts’ to avoid guidelines,"Gurbir Grewal, the director of the Division of Enforcement at the United States Securities and Exchange Commission (SEC), has pushed back against criticism that the regulator is making up rules on crypto as it goes.

In prepared remarks for an SEC Speaks event on April 3, Grewal claimed that companies in the crypto industry had made “many creative attempts” to avoid the commission’s jurisdiction by continuing to operate in the United States. He also addressed concerns that the SEC was “recklessly exceeding” its authority or “regulating by enforcement” in lawsuits brought against crypto firms.

Gurbir Grewal at SEC Speaks on April 3. Source: Practising Law Institute

Grewal pointed to Sam Bankman-Fried as an example of the need for enforcement cases. On March 28, the former FTX CEO was sentenced to 25 years in federal prison for defrauding investors of the crypto exchange, including “people who were forced to sell their home, their car, or take on a second job to make up for their losses.”

“It’s my hope that, after the latest in a long and growing string of courts affirming our authority to police the crypto markets, we can move past them and address the very real issues present in this industry that lead to elevated investor risk: fraud, lack of transparency, commingling of assets, conflicts of interest, and lack of oversight, to mention just a few,” said the enforcement director.

Related: Coinbase Wallet triumph over SEC allegations is a ‘giant win’ for DeFi

Grewal reiterated that the SEC’s standard for determining what a security is under the Howey test had been “clearly and consistently applied.” He did not specifically address reports that the SEC had been exploring whether to classify Ether (ETH) as a security rather than a commodity under the U.S. Commodity Future Trading Commission’s purview.

“These are not secret analyses; they are public documents for the whole world to see,” said Grewal. “Even parties that argue in court that their conduct does not implicate the federal securities laws have themselves used the Howey framework internally for years to evaluate crypto offerings.”

In March, a Utah judge imposed sanctions on the SEC for acting in “bad faith” in a lawsuit it brought against the firm Debt Box. Many industry participants have pointed to the commission’s seemingly inconsistent approach to enforcement on crypto firms and exchange-traded funds, hinting it could lead to an exodus from the United States.

The enforcement director’s comments followed those from SEC Commissioner Hester Peirce, who on April 2 criticized the regulator’s accounting guidelines for institutions looking to custody crypto assets. She and other staff and commissioners will speak at the SEC Speaks event ending on April 3.

Magazine: Lawmakers’ fear and doubt drives proposed crypto regulations in US","In prepared remarks for an SEC Speaks event on April 3, Grewal claimed that companies in the crypto industry had made “many creative attempts” to avoid the commission’s jurisdiction by continuing to operate in the United States.
He also addressed concerns that the SEC was “recklessly exceeding” its authority or “regulating by enforcement” in lawsuits brought against crypto firms.
Gurbir Grewal at SEC Speaks on April 3.
Many industry participants have pointed to the commission’s seemingly inconsistent approach to enforcement on crypto firms and exchange-traded funds, hinting it could lead to an exodus from the United States.
She and other staff and commissioners will speak at the SEC Speaks event ending on April 3."
Solana’s Jupiter DEX kickstarts native DAO with $137M in initial capital,"Solana decentralized exchange (DEX) Jupiter is allocating 10 million USD Coin (USDC) and 100 million of its native JUP token ($127 million), worth a combined $137 million at the time of publication, to kickstart its Jupiter DAO.

As announced on March 27, the budget “provides the DAO the capability to fund the ideas with USDC and have the JUP allocation for long term incentive alignment with J.U.P Catributors,” Jupiter wrote, continuing: “To ensure that the DAO will be able to execute on these crucial things over the long term, we will aim to top up the same budget on a yearly basis.”

For additional contributions, Jupiter raised the following example:

“If the DAO ends the year with 1.5M USDC and 50M JUP, the team will replenish 8.5M USDC from revenues and an additional 50M JUP will be transferred from the community cold wallets.”

At its inception, the ecosystem funds are stored in a decentralized autonomous organization multisignature wallet with three initial members, with plans to expand access to more custodians within the coming weeks. Parallel to the announcement, the Jupiter DAO wallet address was funded with two separate transactions of USDC and JUP.

We have officially funded 10M USDC and 100M JUP into a DAO wallet.



This operational budget provides the DAO the capability to fund the ideas with USDC and have the JUP allocation for long term incentive alignment with J.U.P Catributors.



Besides LFG selection, the DAO will also… — Jupiter (@JupiterExchange) March 27, 2024

Jupiter is currently one of the most popular decentralized applications on the Solana blockchain, with $381.49 million in total value locked (TVL), having grown 86% month over month. The DEX accounts for approximately 8% of the Solana ecosystem’s total TVL at the time of publication. The JUP token currently has a fully diluted market cap of $12.5 billion.

With a gain of 807% in the past year, Solana’s SOL (SOL) has become one of the largest cryptocurrencies by market cap. A huge part of that growth was driven by the recent memecoin craze. On March 25, Jeo Boden (BODEN), a Solana memecoin parody of United States President Joe Biden, surpassed $250 million in market cap, with a gain of 54% within the past 24 hours.

Related: Solana takes the lead in weekly stablecoin transfer volume","Solana decentralized exchange (DEX) Jupiter is allocating 10 million USD Coin (USDC) and 100 million of its native JUP token ($127 million), worth a combined $137 million at the time of publication, to kickstart its Jupiter DAO.
Parallel to the announcement, the Jupiter DAO wallet address was funded with two separate transactions of USDC and JUP.
We have officially funded 10M USDC and 100M JUP into a DAO wallet.
This operational budget provides the DAO the capability to fund the ideas with USDC and have the JUP allocation for long term incentive alignment with J.U.P Catributors.
With a gain of 807% in the past year, Solana’s SOL (SOL) has become one of the largest cryptocurrencies by market cap."
Bitcoin Bollinger Band signal suggests BTC could double by July,"The price of Bitcoin (BTC) could double from its current value of $69,000 in as little as three months time, according to an analyst’s take on a widely used momentum indicator.

Pseudonymous analyst TechDev told their 440,000 followers on X that Bitcoin had closed two consecutive months above the upper Bollinger Band, adding that every time Bitcoin had done this in the past, its price had doubled within the next three months.

This would put Bitcoin at around $140,000 by July.

In technical analysis, Bollinger Bands are a tool that measures the momentum and volatility of an asset within a certain range. Typically, when prices touch the upper band, it can indicate an overbought signal, while touching the lower band indicates an asset being oversold.

However, Bollinger Bands are just one of many technical indicators available to analysts, and according to Investopedia, they are more reactive than predictive, given their use of past price action and volatility data. The metrics can also differ widely during peak bull and bear markets.

Bitcoin has “room to run”

Meanwhile, SkyBridge Capital CEO Anthony Scaramucci took to CNBC on April 6 to predict that Bitcoin could reach as high as $170,000 during the cycle and could eventually trade at around half the total value of the global gold market.

“I’m simply saying it could trade to half the valuation of gold, which is around six to eight to 10 times move from here.”

“It’s not going to happen overnight, and there will be a lot of volatility,” he added.

Bitcoin currently commands a market capitalization of $1.35 trillion, while gold boasts a total value of $15.8 trillion. If Bitcoin were to trade at half the value of gold, its market cap would need to grow roughly six times from here, which would result in a price of roughly $400,000 per BTC.

#Bitcoin is up over 140% over the last year, hitting all-time highs last month fueled by demand from spot ETFs. @Scaramucci discusses why he thinks Bitcoin is back: pic.twitter.com/HJxQEy6XY0 — CNBC's Closing Bell (@CNBCClosingBell) April 5, 2024

Describing the 10 recently approved spot Bitcoin exchange-traded funds (ETFs) as “selling machines,” Scaramucci argued these products would continue to spur increased retail and institutional demand for the crypto asset.

Nine of the 10 spot Bitcoin ETFs have now seen over $12 billion worth of net inflows, with Grayscale being the odd one out. In contrast, when the Gold ETF (GLD) was launched in November 2004, it took nearly one year to notch $10 billion in inflows.

Like many other market commentators, Scaramucci viewed the upcoming Bitcoin halving — currently scheduled for April 20 — as a major catalyst for Bitcoin price appreciation in the short term.

Crypto market cap to hit $5 trillion: Ripple CEO

The optimism also wasn’t lost on Ripple CEO Brad Garlinghouse, who predicts that the value of the entire crypto sector would double by the end of this year.

In an April 7 report from CNBC, Garlinghouse predicted that the entire crypto sector would be worth $5 trillion by the end of the year, looking to the upcoming halving, regulatory developments and the increasing popularity of Bitcoin ETFs as having a continued positive effect on wider crypto adoption.

Related: Bitcoin halving will have to battle with ‘weak time of year’ — Coinbase

“I’ve been around this industry for a long time, and I’ve seen these trends come and go,” Garlinghouse said.

“I’m very optimistic. I think the macro trends, the big picture things like the ETFs, they’re driving for the first time real institutional money.”

Magazine: Creating ‘good’ AGI that won’t kill us all — Crypto’s Artificial Superintelligence Alliance","The price of Bitcoin (BTC) could double from its current value of $69,000 in as little as three months time, according to an analyst’s take on a widely used momentum indicator.
Typically, when prices touch the upper band, it can indicate an overbought signal, while touching the lower band indicates an asset being oversold.
Bitcoin currently commands a market capitalization of $1.35 trillion, while gold boasts a total value of $15.8 trillion.
Nine of the 10 spot Bitcoin ETFs have now seen over $12 billion worth of net inflows, with Grayscale being the odd one out.
Like many other market commentators, Scaramucci viewed the upcoming Bitcoin halving — currently scheduled for April 20 — as a major catalyst for Bitcoin price appreciation in the short term."
Bitwise CIO ‘excited’ for a product that gives exposure to Ethereum DeFi,"Cryptocurrency asset management firm Bitwise has hinted interest in offering an exchange-traded product (ETP) covering Ethereum’s ecosystem of layer-2 (L2) networks and applications, according to Bitwise’s chief investment officer, Matt Hougan.

“I’m somewhere between embarrassed and excited with the fact that Bitwise doesn’t have one, because I do think that would be a great product,” Hougan explained in an interview with Forbes, published on March 31.

Hougan said he has “extraordinary confidence” that the Ethereum ecosystem will evolve but said it’s still up in the air, which L2s and applications will come out on top.

“I have a hard time imagining what the future will be like three years from now when there are a hundred popular real-world decentralized applications that people are using and where the economics will flow,” he said, adding:

“So the best way to approach that would be to own them all, which would be a great product for what it’s worth.”

Hougan also reiterated that the market is underestimating the importance of the Dencun upgrade by a factor of 10 or 20.

“It is a complete game changer, and I think the market hasn’t recognized that.”

Hopes for Ether ETFs to launch in December

Meanwhile, Hougan said he was concerned the market may not be ready for a spot Ether (ETH) exchange-traded fund (ETF) by May and that he hopes the United States securities regulator pushes back approval until December.

“It’s hard to get financial advisers to think about Ethereum right now,” as TradFi is still digesting the recently approved spot Bitcoin (BTC) ETFs, Hougan said.

“If you shove it down their throat in May, I’m not sure they will be [ready],” Hougan stressed.

“Part of me hopes that it’s December or something like that because I think that would be better for the market.”

Bitwise filed its S-1 and 19-b4 forms with the U.S. Securities and Exchange Commission to list a spot Ether ETF on March 28.

BlackRock, VanEck, ARK 21Shares, Fidelity, Grayscale Hashdex, Franklin Templeton and Invesco Galaxy are among the other applicants vying for SEC approval for a spot Ether ETF, and many commentators expect May to be a key period for possible mass approvals.

Related: 3 theories why the SEC may be eyeing down Ethereum: Crypto lawyer

However, some analysts’ odds for spot Ether ETF approval have continued to fall, citing the SEC’s apparent lack of willingness to engage with applicants in recent months.

But not everyone agrees. Last week, Grayscale chief legal officer Craig Salm said issues common to spot Ether ETFs “were figured out” with the spot Bitcoin ETFs — such as details of creation and redemption procedures, cash and in-kind models, asset protection, loss prevention and custody.

Bitwise is one of 10 spot Bitcoin ETF issuers. Its Bitwise Bitcoin ETF (BITB) has amassed over $1.6 billion in flows — the fourth-most behind BlackRock’s IBIT, Fidelity’s FBTC and Ark 21Shares’ ARKB, according to BitMEX Research, citing March 28 data.

Magazine: Crypto regulation — Does SEC Chair Gary Gensler have the final say?","“I’m somewhere between embarrassed and excited with the fact that Bitwise doesn’t have one, because I do think that would be a great product,” Hougan explained in an interview with Forbes, published on March 31.
“It’s hard to get financial advisers to think about Ethereum right now,” as TradFi is still digesting the recently approved spot Bitcoin (BTC) ETFs, Hougan said.
Last week, Grayscale chief legal officer Craig Salm said issues common to spot Ether ETFs “were figured out” with the spot Bitcoin ETFs — such as details of creation and redemption procedures, cash and in-kind models, asset protection, loss prevention and custody.
Bitwise is one of 10 spot Bitcoin ETF issuers.
Its Bitwise Bitcoin ETF (BITB) has amassed over $1.6 billion in flows — the fourth-most behind BlackRock’s IBIT, Fidelity’s FBTC and Ark 21Shares’ ARKB, according to BitMEX Research, citing March 28 data."
New Telegram mini-apps will be so convenient users won’t know it’s crypto,"Telegram’s 900 million users will be able to make peer-to-peer interactions seamlessly as the messaging app incorporates mini-apps and the Tether (USDT) stablecoins. Many users will interface with crypto for the first time and not even notice it.

Developers will also benefit as they launch ecommerce, paywalled content, games and other business activities on top of The Open Network’s (TON’s) layer-1 blockchain more smoothly thanks to the stablecoin, TON Foundation director of investments Justin Hyun told Cointelegraph’s Ezra Reguerra at the Token2049 conference in Dubai. Telegram is also continuing the rollout of its TON-based wallet.

The launch of Tether on TON “really unlocks the creator economy that is already happening in TON and Telegram” as users “no longer need to jump through the barriers of having to acquire a different type of crypto or token,” Hyun said. He added:

“The most interesting use cases are the ones that engage in social viral mechanics. So there are games that are being created on a daily basis that are powered through Telegram mini-apps.”

Those products will be available without downloading outside apps. The advantages of that are clear. Hyun gave the Catizen game as an example. When the developers came to TON from a different blockchain, they gained 2 million users in two months, compared to 600,000 in a year and a half previously.

Related: Telegram commits to TON blockchain, plans to support tokenized emojis and stickers NFTs

Other social media are highly regionalized. “We have seen the rise of super apps which were not able to break through the barriers,” Hyun said, pointing to WeChat in China, Line in Japan and KakaoTalk in South Korea. TON’s global reach and native USDT remove the need for local payment gateways. Tether also makes it possible for Telegram to circumvent the payment restrictions imposed by Google and Apple.

Source: TON

TON is thus returning to the original vision that was scuttled by the inability of The Open Network to hold an initial coin offering in 2020 due to United States Securities and Exchange Commission’s opposition, Hyun said. The TON Foundation was created in 2021 by open-source developers who took over the project.

Magazine: Shanghai Man: Hack of little-known Poly Network highlights East-West crypto divide","Telegram’s 900 million users will be able to make peer-to-peer interactions seamlessly as the messaging app incorporates mini-apps and the Tether (USDT) stablecoins.
Many users will interface with crypto for the first time and not even notice it.
Related: Telegram commits to TON blockchain, plans to support tokenized emojis and stickers NFTsOther social media are highly regionalized.
Tether also makes it possible for Telegram to circumvent the payment restrictions imposed by Google and Apple.
Magazine: Shanghai Man: Hack of little-known Poly Network highlights East-West crypto divide"
Bankrupt Voyager platform secures $484M for creditor repayments,"Bankrupt crypto firm Voyager Digital has made progress toward compensating its creditors by securing $484 million through settlements with FTX, Three Arrows Capital (3AC) and Directors and Officers (D&O) insurance claims. This marks a significant milestone in the company’s financial recovery and creditor reimbursement efforts.

In an April 9 filing in the United States Bankruptcy Court for the Southern District of New York, Voyager disclosed that the majority of the reclaimed funds, roughly $450 million, stem from a settlement with FTX.

Voyager filed for Chapter 11 bankruptcy in July 2022 as the crypto market suffered several shocks, including the collapse of the Terra ecosystem in May.

In October 2023, the U.S. Commodity Futures Trading Commission and the Federal Trade Commission (FTC) filed parallel lawsuits against former Voyager CEO Stephen Ehrlich for fraudulent statements.

This settlement, including interest, accounts for about 25% of Voyager creditors’ aggregate claims and is anticipated to be disbursed shortly.

In addition to the FTX agreement, Voyager has obtained a claim of approximately $675 million from its ongoing litigation with Three Arrows Capital. Of this amount, $20.43 million represents Voyager’s proportionate share of the initial distribution from 3AC.

The administrator expects additional payments to be disbursed in the coming years as assets are sold off and further litigation settlements are secured. A settlement reached through D&O insurance mediation will also allocate at least $14.35 million to benefit Voyager’s creditors.

Related: Former SEC official compares Dallas Mavericks’ Voyager partnership to heroin

As Voyager progresses through its financial recovery journey, the company faces operational hurdles, including many uncashed checks. Around 270,000 checks totaling $17 million remain uncashed, with the majority valued at less than $25.

Voyager has set a deadline of April 20, after which these uncashed checks will be voided if not claimed.

Voyager is also still dealing with the repercussions of an FTX data breach. An investigation is being conducted to identify the origin and consequences of the breach, which resulted in the compromise of creditor data.

As of May 2023, a restructuring plan proposed having Voyager customers recover 35.7% of their claims in cryptocurrency or cash. The crypto exchange settled with the FTC for $1.65 billion in monetary relief in November 2023.

Magazine: Billions are spent marketing crypto to sports fans — Is it worth it?","This settlement, including interest, accounts for about 25% of Voyager creditors’ aggregate claims and is anticipated to be disbursed shortly.
In addition to the FTX agreement, Voyager has obtained a claim of approximately $675 million from its ongoing litigation with Three Arrows Capital.
Related: Former SEC official compares Dallas Mavericks’ Voyager partnership to heroinAs Voyager progresses through its financial recovery journey, the company faces operational hurdles, including many uncashed checks.
Voyager has set a deadline of April 20, after which these uncashed checks will be voided if not claimed.
As of May 2023, a restructuring plan proposed having Voyager customers recover 35.7% of their claims in cryptocurrency or cash."
BTCFi is an ‘enormous opportunity’ to make Bitcoin a productive asset — Stacks,"Bitcoin decentralized finance (DeFi) will make Bitcoin (BTC) a more versatile asset with yield-generating capabilities, Andre Serrano, product and partnership manager at Stacks, told Cointelegraph in an exclusive interview:

“The vision is simple: Bitcoin is a $1.2 trillion asset class with very little on-chain activity. So there’s an enormous opportunity for protocols and layer-2s to make Bitcoin a productive asset.”

Bitcoin-native DeFi, or BTCFi, is a recent development seeking to bring DeFi capabilities to the world’s first blockchain network. With the current pace of adoption and development, the market for Bitcoin layer-2 networks could overtake the market for Ethereum layer-2s, according to Serrano:

“L2s just open up the design space for what’s possible with Bitcoin… Over the next few years, I fully expect the market for Bitcoin L2s to likely meet and exceed that of Ethereum L2s.”

Serrano’s predictions come days ahead of the anticipated Bitcoin halving, as Bitcoin was trading above the $63,500 mark as of 8:30 am UTC, following a 7.9% weekly decline, according to data from CoinMarketCap.

BTC/USD, 1-day chart. Source: CoinMarketCap

Showcasing investor demand for BTCFi, decentralized exchange (DEX) MerlinSwap raised 6,599 Bitcoin worth $480 million during its initial DEX offering (IDO) on April 5. The IDO attracted over 52,000 participants.

Related: Bitcoin supply to run out on exchanges in 9 months — Bybit

Bitcoin L2 networks are a significant element of BTCFi, enabling lower transaction costs and additional use cases for the world’s first blockchain network. For instance, L2 network Stacks enable the creation of smart contracts on the Bitcoin network.

Stacks’ Serrano argued that L2s for Bitcoin are more important than for Ethereum, which already comes with inherent smart contract capabilities. He added that L2s are necessary to scale the Bitcoin network beyond its current transaction limitations.

Andre Serrano interview with Cointelegraph. Source: Cointelegraph

He noted that some of the “low-hanging fruits” for making Bitcoin a more productive asset involved the creation of yield-generating capabilities and lending protocols around Bitcoin.

Other market participants are also optimistic about Bitcoin-native DeFi. With the current adoption rate, BTCFi could match the innovation of Ethereum DeFi, according to Nash Lee, co-founder of MerlinSwap. He told Cointelegraph:

“[Market appetite] is seeking expansive platforms capable of accommodating the surging volumes and expectations. DeFi stands out as the only sector with the potential to leverage this narrative, providing a sustainable ecosystem for Bitcoin’s evolving use cases. This dynamic sets the stage for Bitcoin DeFi to potentially match, if not exceed, the innovation and complexity seen in Ethereum’s DeFi ecosystem.”

Related: 'China is about to start bidding' — Will Hong Kong Bitcoin ETFs spark the halving rally?","So there’s an enormous opportunity for protocols and layer-2s to make Bitcoin a productive asset.”Bitcoin-native DeFi, or BTCFi, is a recent development seeking to bring DeFi capabilities to the world’s first blockchain network.
For instance, L2 network Stacks enable the creation of smart contracts on the Bitcoin network.
Stacks’ Serrano argued that L2s for Bitcoin are more important than for Ethereum, which already comes with inherent smart contract capabilities.
He added that L2s are necessary to scale the Bitcoin network beyond its current transaction limitations.
With the current adoption rate, BTCFi could match the innovation of Ethereum DeFi, according to Nash Lee, co-founder of MerlinSwap."
Ore creator proposes rewards to tackle Solana congestion,"Hardhat Chad, the pseudonymous creator of the Ore project, has suggested that the Solana Foundation offer a reward if it intends to incentivize testnet activity.

This suggestion comes after the Solana network faced congestion issues for nearly a week with a transaction failure rate as high as 75%.

In a post on the X social platform, Hardhat Chad said that if Solana blockchain platform wishes to encourage users to participate in testnet activities, such as testing new features or protocols, the Solana Foundation should provide an incentive in the form of SOL (SOL) tokens.

This incentive could motivate users to actively engage in testing, which can improve the platform’s performance and identify potential issues before deployment to the mainnet.

The community’s response to Hardhat Chad’s suggestion was divided. Some supported it, while others disagreed. One user, TheSoftwareJedi, disagreed, advising Chad to focus on building his project first and demonstrating goodwill to the foundation.

The user proposed that Hardhat Chad could apply for funding via a grant from the foundation but stressed the significance of preserving autonomy from foundation incentives.

However, Hardhat Chad clarified that he isn’t looking for funds from the foundation. His goal for Ore is to establish a currency, not develop testnet tools. He’s reassessing incentives to combat spam, questioning the need to prioritize building testnet spam bots.

This proposal comes after Hardhat Chad announced via social media that the immediate cessation of mining operations was essential for the well-being of the Solana network and Ore’s stakeholders. Hardhat Chad emphasized the need for an overhauled smart contract framework amid recent network difficulties.

Related: Withdrawals from real estate betting platform Parcl hit $74M after airdrop

This strategic move also aligns with the project’s roadmap for developing Ore’s second version (v2), emphasizing a commitment to long-term sustainability.

Ore, a blockchain-based project launched on Solana, is exploring the proper distribution method by using a proof-of-work (PoW) token distribution mechanism. The project is experimenting with combining PoW’s security with Solana’s fast transaction capabilities.

Since its introduction, Ore’s activity has contributed significantly to Solana’s network congestion, impacting transaction scheduling and leading to a high rate of failed transactions, especially from the memecoin frenzy on the network.

However, Solana developers have released a mainnet beta update, v1.17.31, to address the ongoing network congestion on the Solana blockchain.

This patch contains enhancements that will help with some of the ongoing network congestion, and further improvements will follow in v1.18.

Magazine: Bitcoin ETFs make Coinbase a ‘honeypot’ for hackers and governments — Trezor CEO","Hardhat Chad, the pseudonymous creator of the Ore project, has suggested that the Solana Foundation offer a reward if it intends to incentivize testnet activity.
This suggestion comes after the Solana network faced congestion issues for nearly a week with a transaction failure rate as high as 75%.
This proposal comes after Hardhat Chad announced via social media that the immediate cessation of mining operations was essential for the well-being of the Solana network and Ore’s stakeholders.
However, Solana developers have released a mainnet beta update, v1.17.31, to address the ongoing network congestion on the Solana blockchain.
This patch contains enhancements that will help with some of the ongoing network congestion, and further improvements will follow in v1.18."
"Stablecoin, retail CBDC sandboxes are on South African payments roadmap","The South African Reserve Bank has released a digital payments roadmap toward the goals of its Vision 2025, published six years ago.

Adoption of digital payment technologies in the country has been “sluggish,” the report said. It looked at ways to catch up to the vision, including plans for cryptocurrency and central bank digital currency (CBDC).

South Africa’s financial services sector, especially banking, is well-developed. Despite advances in digital payment technology, South Africans with lower and middle living standards remain disproportionately dependent on cash, the report found. User costs, low financial literacy, limited accessibility and lack of trust hinder progress, however.

The roadmap looked at high-level plans to increase accessibility of financial technology, modernize payment infrastructure and remove barriers to use. The scope of the plans is strictly domestic.

Related: South Africa adds new cryptocurrency standards to advertising code

In South Africa, crypto assets are not legal tender, but are not banned. Local online and brick-and-mortar retailer Pick n Pay accepts payment in Bitcoin at over 1,600 locations, for example. The SARB is looking to international best practices for regulation and open to greater use of distributed ledger technology:

“In the interim [before regulations are in place], the SARB is open to allowing eligible stablecoins used for domestic payments to be tested in the regulatory sandbox.”

The SARB said the sandbox would have a two-year timeline. Cryptocurrency is being integrated into the South African financial system through the licensing of exchanges as well.

CBDC will get similar treatment. The SARB launched a study of retail CBDC in 2021. CBDC has the potential for greater cost effectiveness and real-time online and offline peer-to-peer digital payments. The roadmap suggested continuing exploration of both retail and wholesale CBDC for two years.

Source: SA Reserve Bank

Tokenization faces regulatory barriers in South Africa. The SARB noted the benefits of tokenization, especially its enhanced security. However:

“Existing regulations may not be specific or enabling for tokenised use cases, which may result in unregulated or the underregulation of payment activities that introduce risks in the payment ecosystem.”

Meanwhile, the SARB is monitoring the growth of the technology, it said.

Magazine: South Africa’s digital-nomad crypto hub: Cape Town, Crypto City Guide","The South African Reserve Bank has released a digital payments roadmap toward the goals of its Vision 2025, published six years ago.
Adoption of digital payment technologies in the country has been “sluggish,” the report said.
Despite advances in digital payment technology, South Africans with lower and middle living standards remain disproportionately dependent on cash, the report found.
The roadmap looked at high-level plans to increase accessibility of financial technology, modernize payment infrastructure and remove barriers to use.
CBDC has the potential for greater cost effectiveness and real-time online and offline peer-to-peer digital payments."
Sam Bankman-Fried files to appeal conviction and sentence,"Lawyers representing Sam “SBF” Bankman-Fried have filed the paperwork to appeal the conviction and sentence of the former FTX CEO.

In an April 11 notice filed in the United States District Court for the Southern District of New York, attorney Alexandra Shapiro said Bankman-Fried intended to appeal his conviction on seven felony counts by a jury and Judge Lewis Kaplan’s sentence of 25 years in federal prison. SBF’s lawyers said they planned to appeal at the March 28 sentencing hearing, so the filing was expected.

The filing came two weeks after Bankman-Fried’s sentencing hearing, at which Judge Kaplan also ordered the forfeiture of $11 billion. On April 8, the former FTX CEO’s lawyers asked the judge to approve an order allowing SBF to remain at the Metropolitan Detention Center in Brooklyn for the appeal rather than a federal prison in the San Francisco Bay Area.

The case against Bankman-Fried and his associates began in November 2022, when cryptocurrency exchange FTX experienced liquidity issues and filed for bankruptcy. SBF was arrested in the Bahamas — where the firm’s offices were at the time — before being extradited to the U.S. and charged with fraud. A jury convicted Bankman-Fried of seven felony counts in November 2023.

Affected crypto users seem to have split opinions on Judge Kaplan’s sentencing. Many suggested that 25 years was insufficient given the amount of harm Bankman-Fried caused thousands of FTX customers, while others hinted that the time in prison could be an effective deterrent to figures in the space.

Related: FTX co-CEO Salame's sentencing moved to end of May

Bankman-Fried’s filing will now likely go to the Second Circuit Court of Appeals, where a panel of judges could decide whether to affirm the decision in the former FTX CEO’s conviction in federal court or reverse the decision and set the groundwork for a possible new trial. Shapiro’s filing did not suggest on what grounds SBF would seek an appeal.

Sentencing hearings against Bankman-Fried’s associates at FTX and Alameda Research — including Ryan Salame, Caroline Ellison, Gary Wang and Nishad Singh — are moving forward, with Salame’s sentencing scheduled for May 28. The four individuals all pleaded guilty and accepted deals before SBF’s trial.

Magazine: ‘Less flashy’ Mashinsky set for less jail time than SBF: Inner City Press, X Hall of Flame","Lawyers representing Sam “SBF” Bankman-Fried have filed the paperwork to appeal the conviction and sentence of the former FTX CEO.
SBF’s lawyers said they planned to appeal at the March 28 sentencing hearing, so the filing was expected.
The filing came two weeks after Bankman-Fried’s sentencing hearing, at which Judge Kaplan also ordered the forfeiture of $11 billion.
The case against Bankman-Fried and his associates began in November 2022, when cryptocurrency exchange FTX experienced liquidity issues and filed for bankruptcy.
Shapiro’s filing did not suggest on what grounds SBF would seek an appeal."
"AssangeDAO’s crypto activities suspicious, analysts urge caution","Analysts at SlowMist have raised concerns about a possible “soft rug pull” on March 10 when a 100 Ether (ETH) transaction from an AssangeDAO address went to a recipient seemingly associated with the decentralized autonomous organization.

The blockchain forensics firm emphasized that while the true intentions of AssangeDAO are unclear, investors should proceed with caution and conduct comprehensive due diligence before interacting with the organization.

AssangeDAO, which launched in 2022, rose to prominence with its stand for the freedom of Julian Assange, an Australian activist famous for creating WikiLeaks, a platform committed to disclosing classified data from unidentified origins.

The process of an AssangeDAO-related address transferring funds to another AssangeDAO-related address. Source: SlowMist

Following a 2021 high court ruling in the United Kingdom on Assange’s extradition, backers established AssangeDAO to advocate for his freedom.

The initiative amassed over $53 million in cryptocurrency contributions, including a donation from Ethereum co-founder Vitalik Buterin.

The AssangeDAO intends to use the funds to bid on a one-of-one nonfungible token (NFT) from a drop called “Censored” by digital artist Pak in collaboration with Assange.

The sale proceeds are supposed to go toward Assange’s defense fund and additional awareness campaigns as he fights extradition to the United States.

The AssangeDAO’s $53.7 million marked the largest amount raised by a decentralized autonomous organization (DAO) using the community funding hosting platform Juicebox, overtaking the widely popular ConstitutionDAO, which raised $49 million from the community in late 2021 to bid on a copy of the first edition print copy of the United States Constitution.

Related: Lido staked SOL holders fret as $24M remains stuck on ‘broken’ contract

However, collaborative analysis by SlowMist and RescuETH discovered that beginning in 2022, AssangeDAO moved most of its funds to multiple addresses, including several associated with cryptocurrency exchanges such as Kraken and Coinbase.

Furthermore, the group transferred more than 1,000 Ether to various unidentified smart contracts, dispersing the funds among numerous addresses. AssangeDAO had not issued any public statements regarding the matter at the time of publication.

SlowMist analysts stressed the importance of transparency in DAO operations, highlighting that the recent transfers have sparked questions, especially regarding where the funds ultimately ended up.

On Nov. 8, 2023, AssangeDAO announced that 16 members of the U.S. Congress signed a letter urging Attorney General Merrick Garland to drop the dangerous and unprecedented charges against Assange.

On March 26, Assange was granted permission by a U.K. court to appeal his extradition to the United States.

Magazine: Beyond crypto — Zero-knowledge proofs show potential from voting to finance","The process of an AssangeDAO-related address transferring funds to another AssangeDAO-related address.
Source: SlowMistFollowing a 2021 high court ruling in the United Kingdom on Assange’s extradition, backers established AssangeDAO to advocate for his freedom.
Furthermore, the group transferred more than 1,000 Ether to various unidentified smart contracts, dispersing the funds among numerous addresses.
SlowMist analysts stressed the importance of transparency in DAO operations, highlighting that the recent transfers have sparked questions, especially regarding where the funds ultimately ended up.
On March 26, Assange was granted permission by a U.K. court to appeal his extradition to the United States."
BlackRock’s Bitcoin ETF daily inflow hits $0 for the first time,"BlackRock iShares Bitcoin Trust (IBIT) has notched its first day of $0 in inflows since Bitcoin (BTC) exchange-traded funds (ETFs) were introduced in the United States in January.

Ever since its launch on Jan. 11, IBIT has consistently attracted investments worth millions of dollars daily, racking up nearly $15.5 billion in just 71 days. The inflow streak ended for BlackRock on April 24 after it recorded $0 of inflows.

Bitcoin ETF inflow and outflow data. Source: Farside

Most of the other Bitcoin ETF participants witnessed a dry spell as well. Of the 11 United States-registered Bitcoin ETFs, Fidelity Wise Origin Bitcoin Fund (FBTC) and ARK 21Shares Bitcoin ETF (ARKB) were the only two to record inflows of $5.6 million and $4.2 million, respectively.

Additionally, Grayscale Bitcoin Trust ETF (GBTC) continued to bleed. On April 24, GBTC recorded $130.4 millio in outflows. As a result, the spot Bitcoin ETFs realized a net outflow of $120.6 million on the day.

While the lack of inflows is a first for IBIT, it’s not uncommon among other ETF participants. Fidelity’s FBTC, for example, has notched three days of $0 inflows in the last two weeks.

To date, the Bitcoin ETF market in the U.S. has accumulated a net $12.3 billion in Bitcoin. However, GBTC outflows have offset some of the inflows notched by the remaining nine Bitcoin ETFs. As of Jan. 11, outflows from GBTC exceed $17 billion.

Related: SEC pushes decision on Franklin Templeton spot Ether ETF

Some of the Bitcoin ETF market participants are also in the process of applying for Ether (ETH) ETFs in the United States. However, the Securities and Exchange Commission recently delayed the approval decisions for several of them.

“The Commission finds that it is appropriate to designate a longer period within which to issue an order approving or disapproving the proposed rule change so that it has sufficient time to consider the proposed rule change, as modified by Amendment No. 1,” the agency wrote in its notice on April 23.

The SEC’s decision on whether to allow the conversion of Grayscale’s ETH Trust to a spot ETH exchange-traded product on NYSE Arca has been extended by 60 days to June 23.

Magazine: 7 ICO alternatives for blockchain fundraising: Crypto airdrops, IDOs & more","Bitcoin ETF inflow and outflow data.
Source: FarsideMost of the other Bitcoin ETF participants witnessed a dry spell as well.
Additionally, Grayscale Bitcoin Trust ETF (GBTC) continued to bleed.
As a result, the spot Bitcoin ETFs realized a net outflow of $120.6 million on the day.
To date, the Bitcoin ETF market in the U.S. has accumulated a net $12.3 billion in Bitcoin."
NYSE gauges interest in 24/7 stock trading like crypto: Report,"The New York Stock Exchange (NYSE) is reportedly getting a gauge on whether traders would embrace 24-hour stock trading, similar to how cryptocurrency markets operate.

To test market sentiment, NYSE’s data analytics team put out a survey asking market participants whether they would support 24/7 or 24-hour weekday trading and if so, what systems should be put in place to protect traders from overnight price swings, according to an April 22 report from the Financial Times.

NYSE — along with the Nasdaq and Chicago Board Options Exchange — currently trade Monday to Friday between 9:30 am to 4:00 pm Eastern Time.

In the United States, assets such as cryptocurrencies, United States Treasurys, foreign exchange and leading stock index futures can already be traded 24/7, while some brokerages offer

Robinhood and Interactive Brokers are such platforms, offering 24-hour weekday access to U.S. stocks by facilitating a “dark pool” trading venue allowing international retail investors to trade shares during their daytime hours.

However, last week, reports emerged that Robinhood halted its 24-hour trading services following increased tensions between Israel and Iran, raising investor concerns about the sustainability of around-the-clock trading.

Managing liquidity in a 24/7 trading arena has al proven a tough task for trading platforms in the cryptocurrency industry.

It often creates a “mismatch between the operating hours of traditional financial institutions and the needs of large crypto traders and market makers,” noted cryptocurrency research firm Kaiko. Sleepless nights are a common complaint for traders when the market becomes extremely volatile too.

While results of NYSE's poll haven’t been released, Skylands Capital senior trader Tom Hearden posted a poll of his own asking his 19,300 X followers whether they would support NYSE moving to 24/7 trading hours — with over 70% of the 1,459 respondents voting “No.”

NYSE’s poll comes as startup firm 24X National Exchange is seeking approval from the Securities and Exchange Commission (SEC) to launch the first round-the-clock exchange in the country.

Related: Stocks and crypto at the edge of ‘significant’ correction: 10x Research

The SEC still has “months” to review the requested rule change, while other stakeholders involved are already looking at pertinent issues, such as who should bear costs and the role of clearing houses, FT said, citing two sources familiar with the matter.

“I have no idea how much volume they’re going to be doing in the middle of the night. But it’s really not up to the SEC to decide whether it’s commercially viable or not,” said James Angel, a finance professor at Georgetown University to FT.

“I’m in favour of letting the market decide. If it succeeds, we’re all better off and if it doesn’t, well, the exchange’s investors lost.”

It marks the second attempt at SEC approval after the firm withdrew a proposal in March 2023, citing operations and technical issues.

Magazine: Jameson Lopp: Skeptical of spot Ether ETFs, BTC price prediction dilemma: X Hall of Flame","The New York Stock Exchange (NYSE) is reportedly getting a gauge on whether traders would embrace 24-hour stock trading, similar to how cryptocurrency markets operate.
NYSE — along with the Nasdaq and Chicago Board Options Exchange — currently trade Monday to Friday between 9:30 am to 4:00 pm Eastern Time.
However, last week, reports emerged that Robinhood halted its 24-hour trading services following increased tensions between Israel and Iran, raising investor concerns about the sustainability of around-the-clock trading.
Managing liquidity in a 24/7 trading arena has al proven a tough task for trading platforms in the cryptocurrency industry.
It often creates a “mismatch between the operating hours of traditional financial institutions and the needs of large crypto traders and market makers,” noted cryptocurrency research firm Kaiko."
Former Ethereum adviser files $9.6B lawsuit against US gov't,"Steven Nerayoff, an early adviser to the Ethereum network, has filed a lawsuit against the United States government for false charges and mistreatment by federal agents between 2019 and 2023.

Nerayoff — known for publicly accusing Ethereum co-founder Vitalik Buterin of fraud — filed a Federal Tort Claims Act (FTCA) lawsuit suing the U.S. for $9.6 billion in damages for the extortion case brought against him in 2019.

The legal battle lasted for about four years, with the U.S. government eventually dismissing the lawsuit in May 2023.

According to the new SF-95 filing posted by FOX Business journalist Eleanor Terrett, Nerayoff sued the federal government based on claims that its agents were aware of the baseless nature of the charges.

He also argued that some agents engaged in harassment and intimidation tactics, including fabrication of evidence, in order to prosecute him for extortion.

Nerayoffs’s legal team believes that damages caused to Nerayoff’s reputation and businesses are significant enough to file a lawsuit against the U.S. government. The filing reads:

“As a direct and proximate result of the wrongful conduct of federal agents and/or officers, Mr. Nerayoff’s well-being, personal life and career were irreparably harmed. [...] He incurred significant legal fees to defend himself while simultaneously losing income as a result of becoming a feared pariah in the crypto community.”

According to Terrett, Nerayoff hired prominent lawyer Alan Dershowitz as a consultant on the case, who believes that the case is “unusual.”

Nerayoff is a serial entrepreneur, attorney, inventor of multiple international patents and founder of the blockchain consulting firm Alchemist. He is also a blockchain pioneer, known for his early involvement in projects like Ethereum in 2015.

Nerayoff was arrested by the Federal Bureau of Investigation (FBI) alongside his Alchemist associate Michael Hlady in September 2019. Both Nerayoff and Hlady were charged with extortion, with authorities arguing that they threatened to “destroy a cryptocurrency startup if they were not paid millions of dollars” in Ether (ETH).

Related: Coinbase cleared in lawsuit over crypto transactions

An early player in the cryptocurrency scene, Nerayoff has been at the center of diverse controversies and legal battles. The former Ethereum advisor repeatedly attacked Ethereum in the past, making serious allegations against founders Buterin, Joe Lubin, as well as the Ethereum Foundation.

Nerayoff’s allegations included various aspects of Ethereum’s development and operations, including fraudulent initial coin offerings, personal misconduct, and collusion with corrupt officials. One of Nerayoff’s claims is that Ethereum received preferential treatment from regulators, which is referred to as “ETHGate” in the community.

Magazine: NFTs are like nightclubs, crypto is a volatile religion: NFTStats, NFT Collector","Steven Nerayoff, an early adviser to the Ethereum network, has filed a lawsuit against the United States government for false charges and mistreatment by federal agents between 2019 and 2023.
The legal battle lasted for about four years, with the U.S. government eventually dismissing the lawsuit in May 2023.
The filing reads:“As a direct and proximate result of the wrongful conduct of federal agents and/or officers, Mr. Nerayoff’s well-being, personal life and career were irreparably harmed.
The former Ethereum advisor repeatedly attacked Ethereum in the past, making serious allegations against founders Buterin, Joe Lubin, as well as the Ethereum Foundation.
One of Nerayoff’s claims is that Ethereum received preferential treatment from regulators, which is referred to as “ETHGate” in the community."
NSA ’just days from taking over the internet’ warns Edward Snowden,"The United States National Security Agency (NSA) is only days away from “taking over the internet” with a massive expansion of its surveillance powers, according to NSA whistleblower Edward Snowden.

In an April 16 post to X, Snowden drew attention to a thread originally posted by Elizabeth Goitein — the co-director of the Liberty and National Security Program at the Brennan Center for Justice — that warned of a new bill that could see the U.S. government surveillance powers amplified to new levels.

The bill in question reforms and extends a part of the Foreign Intelligence Surveillance Act (FISA) known as Section 702.

Currently, the NSA can force internet service providers such as Google and Verizon to hand over sensitive data concerning NSA targets.

However, Goitein claims that through an “innocuous change” to the definition of “electronic communications surveillance provider” in the FISA 702 bill, the U.S. government could go far beyond its current scope and force nearly every company and individual that provides any internet-related service to assist with NSA surveillance.

“That sweeps in an enormous range of U.S. businesses that provide wifi to their customers and therefore have access to equipment on which communications transit. Barber shops, laundromats, fitness centers, hardware stores, dentist’s offices.”

Additionally, the people forced to hand over data would be unable to discuss the information provided due to hefty gag order penalties and conditions outlined in the bill, added Goitein.

The bill initially received heavy pushback from privacy-conscious Republicans but passed through the U.S. House of Representatives on April 13.

Related: Norway passes data center legislation signaling more scrutiny for Bitcoin miners

Part of the pushback saw the bills’ proposed spying powers time-frame cut from five years to two years, as well as some minor amendments to the service providers included under the surveillance measures.

However, according to Goitein, the amendment did very little to reduce the scope of surveillance granted to the NSA.

In her view, the amendment could even see service providers such as cleaners, plumbers and IT service providers that have access to laptops and routers inside people’s homes be forced to provide information and serve as “surrogate spies,” claimed Goitein.

The bill has seen strong pushback from both sides of the political aisle, with several government representatives claiming the bill violates citizen’s constitutional rights.

Democratic Senator Ron Wyden described the bill as “terrifying” and said he would do everything in his power to prevent it from being passed through the Senate.

“This bill represents one of the most dramatic and terrifying expansions of government surveillance authority in history.”

Republican Congressperson Anna Paulina Luna, who voted against the bill in the House of Representatives, said Section 702 was an “irresponsible extension” of the NSA’s powers. Luna added that if government agencies wanted access to data, they must be forced to apply for a warrant.

The bill is slated for a vote on April 19 in the U.S. Senate.

Magazine: Creating ‘good’ AGI that won’t kill us all — Crypto’s Artificial Superintelligence Alliance","The United States National Security Agency (NSA) is only days away from “taking over the internet” with a massive expansion of its surveillance powers, according to NSA whistleblower Edward Snowden.
The bill in question reforms and extends a part of the Foreign Intelligence Surveillance Act (FISA) known as Section 702.
Currently, the NSA can force internet service providers such as Google and Verizon to hand over sensitive data concerning NSA targets.
The bill initially received heavy pushback from privacy-conscious Republicans but passed through the U.S. House of Representatives on April 13.
However, according to Goitein, the amendment did very little to reduce the scope of surveillance granted to the NSA."
Man City and OKX release limited-edition jerseys tied to rare NFTs,"Premier League football club Manchester City is launching a new nonfungible token (NFT) collection that will allow fans to win a limited number of unique jerseys and matchday experiences.

The “Unseen City Shirts” campaign is the latest move in a long-term partnership with cryptocurrency exchange OKX. Users can mint the digital collectibles on the OKX app, which offers a chance to win redesigned, commemorative football shirts depending on the rarity of the NFT.

Man City stars Sergio Gómez, Erling Haaland and Jérémy Doku model the limited edition “The Roses and the Bees” jerseys, which feature hand-painted elements by artist Christian Jeffery. Source: Manchester City

Cointelegraph spoke exclusively with OKX global chief marketing officer Haider Rafique and Man City chief marketing and fan experience officer Nuria Tarré to discuss the details of the new campaign.

The limited collection jerseys feature designs incorporating the Lancashire rose and the Manchester worker bee, hand-painted by artist Christian Jeffery.

Rafique explains that the rarity of the NFTs is determined algorithmically. Five ultra-rare NFTs will give access to a play-on-pitch experience, two tickets to a Manchester City match and a limited-edition City shirt.

“The Roses and the Bees” NFT jersey as seen on OKX Marketplace. Source: OKX

A further five rare NFTs include a stadium tour experience, a hospitality ticket and a “The Roses and the Bees” design jersey. OKX users can mint the NFTs at no cost on the OKX Marketplace.

Nuria said that the NFT launch is part of the Premier League club’s strategy to attract audiences that are “more tech-savvy, open to new innovations and technology.” Digital ownership is another dimension that Man City is interested in bringing to its fans. Tarré explained:

“We think it’s important that you can own this piece digitally. I think that’s one of the beauties of Web3 — it changes the ownership process.”

Man City’s chief marketing officer said the club will continue to explore the possibilities of Web3, both through its partnership with OKX and other avenues. Tarré said the club has actively experimented with new technology in Web2 and metaverse environments.

Man City ventured into the world of Roblox in late 2022, with Tarré describing Web3 environments as the most progressing and exciting:

“Technology keeps on evolving and applications keep on evolving. You can add layers of sophistication, creation and co-creation. We’re definitely willing to explore further.”

In recent years, Rafique has actively driven OKX’s high-profile sports partnerships with Manchester City and Formula 1 team McLaren. The exchange has been exploring different marketing initiatives to tap into the fan bases of these sporting brands.

The OKX CMO explained that the past three years have been spent laying foundational work to provide utility to sports fans and Web3 users. Starting with basic NFTs attached to physical goods aims to provide the platform to create more utility-based ecosystems. Rafique said:

“I don’t think it’s a lack of intention. I think it’s a lack of product and technology infrastructure, which will come as the industry progresses and as our partnership progresses.”

OKX first partnered with Man City in March 2022 before expanding its sponsorship by becoming the club’s official training kit partner for the 2022–2023 season. OKX then sealed a new deal to become City’s official sleeve partner in a new multiyear agreement in June 2023.

Magazine: Crypto scoring big with European football","Premier League football club Manchester City is launching a new nonfungible token (NFT) collection that will allow fans to win a limited number of unique jerseys and matchday experiences.
Five ultra-rare NFTs will give access to a play-on-pitch experience, two tickets to a Manchester City match and a limited-edition City shirt.
OKX users can mint the NFTs at no cost on the OKX Marketplace.
We’re definitely willing to explore further.”In recent years, Rafique has actively driven OKX’s high-profile sports partnerships with Manchester City and Formula 1 team McLaren.
The OKX CMO explained that the past three years have been spent laying foundational work to provide utility to sports fans and Web3 users."
Amazon takes minority share in ChatGPT rival Anthropic AI,"Web services giant Amazon said it is fulfilling its $4-billion investment commitment to the artificial intelligence (AI) startup Anthropic.

In a post on March 27, Amazon said it now holds a minority ownership position in the company after investing an additional $2.75 billion. Last September, Amazon announced its investment intentions and made an initial investment of $1.25 billion.

Anthropic was founded in 2021 by former members of OpenAI. It has created its own AI chatbot, rivaling ChatGPT, called Claude.

In early March, Anthropic released its most powerful version, Claude 3, which can also analyze images.

Amazon also revealed that Anthropic would make Amazon Web Services (AWS) its main cloud provider for “mission-critical workloads.” This includes safety research and the development of future foundation models.

It also said that Anthropic would use AWS Trainium and Inferentia chips to build, train and deploy its future models.

Swami Sivasubramanian, vice president of data and AI at AWS, said they see the collaboration as something that will “further improve” their customers’ experience and called generative AI “the most transformational technology of our time.”

Related: Nvidia CEO’s simple solution to AI hallucination could upend crypto — but only if it works

Alongside its major AI investments, Amazon also launched its own AI-powered assistant built for businesses, which is called Amazon Q. Its chatbot is said to be able to chat, solve problems, create content and more.

Amazon is not the only Big Tech company eyeing a stake in Anthropic. Last October, Google announced a $500-million investment in the company with a commitment to increase to $2 billion.

Anthropic, like all the major AI chatbot developers, has found itself involved in legal battles over copyright and data infringement.

In January, the company fought a lawsuit filed by music label Universal Music Group (UMG), calling the claims invalid.

The AI startup was sued by the label for “unlawful” use and “unlawfully” copying and disseminating “vast amounts of copyrighted works” from UMG while training its AI models.

Around this same time, Anthropic updated its commercial terms of service, saying that no client data was used in AI training and that it would protect customers from copyright infringement claims arising from the authorized use of the company’s services or outputs.

Magazine: Why boomers ‘like’ AI pics on Facebook, mind-reading AI breakthrough: AI Eye","Web services giant Amazon said it is fulfilling its $4-billion investment commitment to the artificial intelligence (AI) startup Anthropic.
It has created its own AI chatbot, rivaling ChatGPT, called Claude.
Amazon also revealed that Anthropic would make Amazon Web Services (AWS) its main cloud provider for “mission-critical workloads.” This includes safety research and the development of future foundation models.
Anthropic, like all the major AI chatbot developers, has found itself involved in legal battles over copyright and data infringement.
Magazine: Why boomers ‘like’ AI pics on Facebook, mind-reading AI breakthrough: AI Eye"
Bitcoin fees top Ethereum for 3 days in a row as halving approaches,"Fees on Bitcoin have surpassed Ethereum for three consecutive days as miners and traders prepare for the upcoming Bitcoin halving and, to a lesser extent, the introduction of Runes on Bitcoin.

Bitcoin (BTC) miners cashed in $7.47 million in fees on April 17 — about $160,000 more than the $7.31 million paid to Ethereum stakers, according to Crypto Fees.

Bitcoin miners also raked in $9.98 million and $5.91 million across April 15 and 16 — beating out Ethereum stakers by $3.5 million and 1.1 million on those respective days.

Ethereum, however, maintains a narrow lead on a seven-day average fee basis at $8.55 million compared with Bitcoin’s $7.57 million.

Largest fees by blockchains and decentralized finance projects. Source: Crypto Fees

Bitcoin transaction fees are determined by the size or data volume of the transaction and blockspace demand at the time of the transaction request.

The uptick in Bitcoin fees comes at a crucial time for Bitcoin miners, as April 20’s Bitcoin halving event will result in the mining subsidy being sliced from 6.25 BTC ($398,000) to 3.125 BTC ($199,000).

Currently, about 900 BTC is mined per day, which equates to about $57.2 million at current prices.

Using April 17’s $7.47 million fee count, this means transaction fees accounted for 11.5% of the Bitcoin mining industry’s total block rewards.

However, the share of block rewards from transaction fees will increase considerably after the halving event, as approximately 450 BTC will be mined then.

Miners will, therefore, rely more on higher fees and a continued increase in Bitcoin’s price to make up for the revenue fall that it will experience — at least in the short term — from the halving.

Meanwhile, the introduction of NFT-like Ordinals inscriptions in January 2023 has helped Bitcoin miners chalk up more revenue from transaction fees — and a new revenue stream will become available when Runes, a new Bitcoin token standard, is released when the halving occurs at block 840,000.

Related: China has a Trojan Horse in US Bitcoin mining infrastructure

Runes will compete with Ordinals by aiming to make it easier to create fungible tokens on Bitcoin for memecoin enthusiasts and other community-driven audiences.

Its creator, Casey Rodarmor — who also invented Ordinals — said Runes are fully UTXO-based and, therefore, should not spam Bitcoin to the same extent that Ordinals has.

The recent uptick in Bitcoin fees may have been partially driven by a decline in BRC-20 token prices in recent days as some trader attention shifts to Runes.

Ordinals (ORDI) and Sats (SATS), the two largest BRC-20s by market capitalization, have seen falls of 38% and 43%, respectively, over the last week, according to CoinMarketCap.

Magazine: Get Bitcoin or die tryin’: Why hip hop stars love crypto","Fees on Bitcoin have surpassed Ethereum for three consecutive days as miners and traders prepare for the upcoming Bitcoin halving and, to a lesser extent, the introduction of Runes on Bitcoin.
Bitcoin (BTC) miners cashed in $7.47 million in fees on April 17 — about $160,000 more than the $7.31 million paid to Ethereum stakers, according to Crypto Fees.
Bitcoin miners also raked in $9.98 million and $5.91 million across April 15 and 16 — beating out Ethereum stakers by $3.5 million and 1.1 million on those respective days.
Source: Crypto FeesBitcoin transaction fees are determined by the size or data volume of the transaction and blockspace demand at the time of the transaction request.
The uptick in Bitcoin fees comes at a crucial time for Bitcoin miners, as April 20’s Bitcoin halving event will result in the mining subsidy being sliced from 6.25 BTC ($398,000) to 3.125 BTC ($199,000)."
"First VR developer integrates with OpenAI, setting stage for no-code VR development","Virtual reality (VR) developer Victoria VR has announced its integration with artificial intelligence giant OpenAI, the creator of the popular generative AI tool ChatGPT.

The new implementation will enable users to experience the first AI integration through Victoria VR’s AI builder platform, which allows the development of virtual reality experiences through AI algorithms, according to Adam Bém, CEO and co-founder of Victoria VR. He told Cointelegraph:

“For end-users, this means unprecedented access to AI-driven capabilities in virtual reality, enhancing their development process and creativity. Over time, this will lead to more sophisticated and immersive virtual experiences.”

Victoria VR’s AI builder enables users to design their own 3D virtual reality experiences, games and applications without requiring programming knowledge. The OpenAI integration will enable a variety of new content-building, from in-game items and virtual accessories to metaverse platforms.

Players will be able to create these experiences using ChatGPT’s AI prompts. User-created content on Victoria VR is minted as nonfungible tokens, making content tradable.

While AI and VR are currently some of the most trending technologies, they both have significant limitations. Despite VR experiences being in their infancy, hardware is very expensive, with Meta’s recent Quest 3 selling the basic 128 GB edition for $499 and the 512 GB edition for $649.

As for AI systems, “hallucinations” are the most pressing concern. AI hallucinations are unintended results of training large language models that occur when AI models output new, usually incorrect, information that isn’t contained in its data set.

Related: Nvidia CEO’s simple solution to AI hallucination could upend crypto — but only if it works

Victoria VR will also plan to integrate other AI technologies, such as DALL-E, Midjourney and Stable Diffusion. Victoria VR is currently available on the Apple Vision Pro and Oculus Quest 3.

The platform leverages Unreal Engine 5, one of the most popular gaming engines, with over 7.5 million active developers.

Related: Final Fantasy 15 director says AI, VR, Web3 important for devs ‘whether you like it or not’

AI set to drive VR development in the next five years

With the current pace of advancements, AI will be the primary driver of virtual reality development in the next five years, according to Bém, who told Cointelegraph:

“Currently, AI enables the creation of sophisticated texts, codes and images, and is on the verge of transforming video production and 3D object creation. With the pace at which AI technology is advancing, it’s anticipated that in the next five years, AI will primarily drive the development of virtual realities, relegating traditional roles like VR developers, 3D modelers and coders to the background.”

AI is already creating new possibilities for gaming, including AI-generated infinite narratives, and more interactive nonplayer characters (NPCs) with more realistic responses.

Related: Bitcoin clings to $65K — More losses ahead for BTC price?","Virtual reality (VR) developer Victoria VR has announced its integration with artificial intelligence giant OpenAI, the creator of the popular generative AI tool ChatGPT.
He told Cointelegraph:“For end-users, this means unprecedented access to AI-driven capabilities in virtual reality, enhancing their development process and creativity.
User-created content on Victoria VR is minted as nonfungible tokens, making content tradable.
Despite VR experiences being in their infancy, hardware is very expensive, with Meta’s recent Quest 3 selling the basic 128 GB edition for $499 and the 512 GB edition for $649.
Victoria VR is currently available on the Apple Vision Pro and Oculus Quest 3."
"SEC’s spot Ether ETF concerns unfounded, Consensys asserts","Consensys addressed the United States Securities and Exchange Commission’s inquiry about potential fraud and manipulation risks related to Ethereum’s proof-of-stake (PoS) system, particularly concerning spot Ether (ETH) exchange-traded funds (ETFs).

In a comment letter submitted to the regulatory agency, Consensys, the blockchain and Web3 software development company responsible for the popular MetaMask wallet, stated that concerns about fraud and manipulation are baseless.

Consensys explained in a blog post:

“In fact, Ethereum’s PoS implementation meets and even exceeds the security of Bitcoin’s proof-of-work (PoW), which underlies Bitcoin-based ETFs that have already been approved for trading by the SEC.”

The Ethereum infrastructure firm highlighted Ethereum’s advantages — quicker block finality than Bitcoin, a division of responsibilities between proposers and attesters to deter stakeholder dominance, higher attack costs, penalties for validator rule violations, and superior environmental sustainability compared to Bitcoin.

Consensys highlighted that Ethereum boasts a larger developer community than Bitcoin and operates on a fully transparent and public blockchain. Consensys urged the SEC to acknowledge Ethereum’s superior security features, surpassing those of Bitcoin-based ETFs previously approved by the SEC.

Although spot Bitcoin (BTC) ETFs have proven exceptionally popular, whether or not a spot Ether ETF will be approved in May of this year remains debatable.

Related: Bitwise files with SEC for spot Ether ETF listing

The final SEC deadline for approving or denying the next round of spot ETH ETF applications will come on May 23, starting with VanEck’s investment vehicle. Though many experts seemed to be optimistic about approval in 2023, some have suggested going into 2024 that the commission could deny applications.

Several firms have spot ETH ETF applications pending approval or denial, including Fidelity, Hashdex and ARK 21Shares. The SEC began approving investment vehicles tied to Ether futures in October 2023.

Crypto gamblers are placing bets on whether spot Ether ETFs will have been approved by the SEC before May 31. The overall bets on the ETF outcomes have reached at least $12 million on the predictions market. The SEC eventually approved the trading and listing of 10 spot Bitcoin ETFs on Jan. 10.

Investment management company Grayscale has expressed confidence in a favorable decision by the SEC for spot Ether ETFs by May. On March 25, Grayscale chief legal officer Craig Salm said that the SEC’s perceived “lack of engagement” with applicants does not indicate whether an ETF will be approved.

Magazine: Ether ETFs face Senate opposition, Wright is not Satoshi, and Dencun goes live: Hodler’s Digest, March 10–16","Although spot Bitcoin (BTC) ETFs have proven exceptionally popular, whether or not a spot Ether ETF will be approved in May of this year remains debatable.
Related: Bitwise files with SEC for spot Ether ETF listingThe final SEC deadline for approving or denying the next round of spot ETH ETF applications will come on May 23, starting with VanEck’s investment vehicle.
Several firms have spot ETH ETF applications pending approval or denial, including Fidelity, Hashdex and ARK 21Shares.
Crypto gamblers are placing bets on whether spot Ether ETFs will have been approved by the SEC before May 31.
Investment management company Grayscale has expressed confidence in a favorable decision by the SEC for spot Ether ETFs by May."
Tether expands AI operations with global recruitment drive for top-tier talent,"Tether Operations Limited, the blockchain and cryptocurrency company behind the Tether stablecoin, has announced a strategic expansion of its artificial intelligence (AI) focus alongside a global recruitment drive for “top-tier” talent for its AI division.

The expanded strategic focus comes amid concerns “over the monopolization of AI technologies by Big Tech,” according to a press release from Tether. The company said its Tether Data division “is stepping forward to champion transparency and privacy in AI model development.”

Tether also said the company's strategic AI expansion would build on its previous operations, including its recent investment in Northern Data Group.

A company spokesperson told Cointelegraph:

“Tether plans to push the boundaries of AI technology, not only making high-performance and privacy-preserving AI technologies accessible for personal use but also setting new industry standards for innovation and utility. The investment in Northern Data Group will help Tether pursue AI projects by leveraging Northern Data’s highly advanced GPU and compute infrastructure, to address real-world challenges in a more objective and transparent way compared to what we have seen from the current leading companies. AI potential is so groundbreaking that its impact can become bigger than the internet itself.”

As part of the expansion, Tether laid out a three-pronged approach. The first part of the plan is to “pioneer the development of open-source, multimodal AI models to set new industry standards, driving innovation and accessibility within AI technology.”

The next phase of the expansion involves leading collaborations to bring products and services to market and “leveraging the technology to address real-world challenges.”

Finally, Tether intends to actively engage with “the broader ecosystem through community contributions” in order to showcase its products and “advance the field of open AI.”

The company also announced a global recruitment drive seeking “top-tier” talent for its AI division. Tether Data’s recruitment page shows two available positions, one for an AI engineer and the other for a head of AI. Both positions are in Europe.

Tether told Cointelegraph that “as of now, Tether is actively recruiting for this new division.”

Related: IMF recommends stablecoins and CBDCs to boost Pacific Islands’ economies","Tether Operations Limited, the blockchain and cryptocurrency company behind the Tether stablecoin, has announced a strategic expansion of its artificial intelligence (AI) focus alongside a global recruitment drive for “top-tier” talent for its AI division.
The company said its Tether Data division “is stepping forward to champion transparency and privacy in AI model development.”Tether also said the company's strategic AI expansion would build on its previous operations, including its recent investment in Northern Data Group.
AI potential is so groundbreaking that its impact can become bigger than the internet itself.”As part of the expansion, Tether laid out a three-pronged approach.
Tether Data’s recruitment page shows two available positions, one for an AI engineer and the other for a head of AI.
Tether told Cointelegraph that “as of now, Tether is actively recruiting for this new division.”Related: IMF recommends stablecoins and CBDCs to boost Pacific Islands’ economies"
Base overtakes Arbitrum for most active addresses so far this month,"The Coinbase-supported Base network has now surpassed Arbitrum as the leading Ethereum layer-2 network by active addresses this month.

Base has seen over 1.48 million new active addresses over the first nine days of April — narrowly beating out Arbitrum One with 1.43 million active addresses, according to data from growthepie.

Ethereum scaling solutions zkSync Era and the Optimism mainnet rounded out the top four with 1.21 million and 650,000 active addresses, respectively.

However, Arbitrum One still maintains a slight lead over Base in active addresses over the last 30 days, at 3.84 million, compared to Base’s 3.76 million.

Change in monthly active users on Arbitrum One, Base, zkSync Era and OP Mainnet over the last 30 days. Source: growthepie

Meanwhile, Starknet and Mantle have seen the largest falls in active addresses at 51% and 40% over the last 30 days.

It comes as Base recently surpassed the $4 billion mark in total value locked on the protocol earlier in the month. It now only trails Arbitrum One and OP Mainnet, according to L2BEAT.

Base also boasts the largest 30-day transaction count at 53.1 million, more than 10 million clear of Arbitrum’s 41.2 million and Ethereum’s 37.9 million over the same timeframe, according to L2BEAT.

Base’s increase in active addresses has partly been fueled by a recent memecoin mania on the Coinbase-supported network.

Brett (BRETT) and Degen (DEGEN) are among the largest memecoins on Base, with respective market caps of $720 million and $523 million, according to CoinGecko, while Toshi (TOSHI) and Normie (NORMIE) are also highly traded memecoins on the network.

Related: Coinbase partners with Lightspark for Bitcoin Lightning payments

However, Base’s popularity has also attracted scammers, as the network saw an 18-fold increase in successful phishing scams from January to March — with $3.35 million stolen last month.

A recent analysis shows one in six memecoins are Base are scams and that 91% of Base memecoins possess security vulnerabilities that could expose users to big losses.

Coinbase officially launched Base last August. The cryptocurrency exchange is the sole sequencer of Base, according to L2BEAT data — meaning the chain is fully controlled by the exchange.

However, the firm has iterated its intention to progressively decentralize Base over time.

Magazine: Is measuring blockchain transactions per second (TPS) stupid in 2024? Big Questions","The Coinbase-supported Base network has now surpassed Arbitrum as the leading Ethereum layer-2 network by active addresses this month.
Base has seen over 1.48 million new active addresses over the first nine days of April — narrowly beating out Arbitrum One with 1.43 million active addresses, according to data from growthepie.
Ethereum scaling solutions zkSync Era and the Optimism mainnet rounded out the top four with 1.21 million and 650,000 active addresses, respectively.
However, Arbitrum One still maintains a slight lead over Base in active addresses over the last 30 days, at 3.84 million, compared to Base’s 3.76 million.
A recent analysis shows one in six memecoins are Base are scams and that 91% of Base memecoins possess security vulnerabilities that could expose users to big losses."
SEC lawyers resign after ‘gross abuse’ of power in crypto case — Report,"Two lawyers for the United States Securities and Exchange Commission (SEC) have reportedly resigned after a district court sanctioned the agency for “gross abuse” of power and acting in “bad faith” in a crypto case.

According to an April 22 Bloomberg report, Michael Welsh and Joseph Watkins, lead attorneys in the case against crypto platform DEBT Box, resigned earlier this month. Sources familiar with the matter say the lawyers were warned they would be terminated if they stayed.

The lawyers were both relatively new to the agency, as indicated by their LinkedIn profiles. Welsh served as a trial attorney at the SEC from December 2022, while Watkins acted as an attorney at the Division of Enforcement beginning in January 2023.

The pair’s resignation follows a court decision from Chief Judge Robert J. Shelby, the federal judge hearing the case in Salt Lake City, Utah. In March, Judge Shelby sanctioned the SEC for false statements and misrepresentations in its case against Digital Licensing Inc., known as DEBT Box.

Judge Shelby said in the March 18 filing that “the Commission’s above-discussed conduct constitutes a gross abuse of the power entrusted to it by Congress and substantially undermined the integrity of these proceedings and the judicial process.”

In August 2023, the SEC obtained an emergency relief to halt the Utah-based company, temporarily freezing its assets and obtaining restraining orders against DEBT Box’s principals under claims of a $50-million crypto fraud scheme.

Judge Shelby further stated that the evidence put forward “lacked any basis” but was nonetheless presented in “deliberately false and misleading ways.”

“Welsh knew his statement from the TRO hearing was incorrect. Rather than correcting the misstatement, he and the Commission attempted to subtly shift the language to gloss over and perpetuate the misconduct.”

The crypto industry has been vocal in its criticisms of the SEC’s approach under Chair Gary Gensler, particularly concerning the agency’s “regulation by enforcement” strategy. Some critics argue that this approach has increased regulatory uncertainty in the industry, stifling innovation and undermining U.S. competitiveness in the digital asset space.

High-profile enforcement actions against crypto platforms include lawsuits against crypto exchanges Coinbase and Binance, and the agency’s forthcoming action over the decentralized finance platform Uniswap.

Magazine: Crypto regulation: Does SEC Chair Gary Gensler have the final say?","Two lawyers for the United States Securities and Exchange Commission (SEC) have reportedly resigned after a district court sanctioned the agency for “gross abuse” of power and acting in “bad faith” in a crypto case.
According to an April 22 Bloomberg report, Michael Welsh and Joseph Watkins, lead attorneys in the case against crypto platform DEBT Box, resigned earlier this month.
In March, Judge Shelby sanctioned the SEC for false statements and misrepresentations in its case against Digital Licensing Inc., known as DEBT Box.
Judge Shelby further stated that the evidence put forward “lacked any basis” but was nonetheless presented in “deliberately false and misleading ways.”“Welsh knew his statement from the TRO hearing was incorrect.
High-profile enforcement actions against crypto platforms include lawsuits against crypto exchanges Coinbase and Binance, and the agency’s forthcoming action over the decentralized finance platform Uniswap."
"Bitcoin miners may ‘fear’ the halving, but they cherish it too","For over a decade, the quadrennial Bitcoin (BTC) halving event has delighted early Bitcoin hodlers while striking fear into inefficient crypto miners.

And while some may even be secretly hoping for an end to the profitability slashing (which has even bankrupted companies in the past), most miners agree — it’s what makes Bitcoin special, and it’s not going anywhere.

“We as miners embrace halvings and cherish them — but of course, we fear them a bit too,” said Kristian Csepcsar, chief of propaganda at the Bitcoin mining infrastructure firm Braiins.

There have been concerns that the Bitcoin halving event, set for April 20, could lead to some Bitcoin miners going under — particularly if the price of Bitcoin fails to exceed the cost of mining.

“Miners are true Bitcoiners at heart,” said Csepcsar. “So even though halvings put extreme pressure on the mining industry as a whole we all understand why halvings are an integral part of the Bitcoin design.”

Some Bitcoin mining firms like Hut 8 said they look at the halving as an opportunity to double down on growth and strengthen competitiveness, according to CEO Asher Genoot.

“We have prepared for the halving with a comprehensive restructuring of the business and focus on being a low-cost operator,” Genoot told Cointelegraph.

He added that Hut 8 mines “only when it is profitable” using its proprietary software and maintains a strong balance sheet with more than 9,100 BTC that enables it to maintain stability while investing in growth.

Hashlabs Mining co-founder Jaran Mellerud believes that Bitcoin miners would probably love the idea of scrapping the halving. However, the Bitcoin network is not controlled by miners, but by node operators, he stressed, adding:

“Bitcoin was not made for the miners, but for the hodlers.”

Would it be possible to scrap halving?

Like any change to Bitcoin, it is theoretically possible to do away with the halving if you have a hard fork.

However, most think it would be “next to impossible” to reach the consensus required to make the change, while others, such as argues that the resulting product, by design, won’t be Bitcoin anymore.

“It would break one of the key features that every Bitcoiner loves about Bitcoin: it will have less supply inflation than gold, and continue that deflationary trend,” Bitcoin ESG researcher Daniel Batten told Cointelegraph.

“One of the main reasons investors are attracted to Bitcoin is its limited supply of 21 million coins, and this is also what makes Bitcoin unique,” added Hashlabs Mining' Mellerud.

He suggested that the Bitcoin market cap would likely be much smaller if there were no halvings and limited supply, and miners would not benefit from the higher block subsidy.

Bitcoin inflation rate versus time. Source: BitcoinBlockHalf

Csepcsar from Braiins argues that removing the halving from Bitcoin’s code is virtually impossible.

“Change of this magnitude to the core architecture of bitcoin is next to impossible today,” Csepcsar said, adding:

“Putting everybody into consensus and changing such a core principle of bitcoin is impossible in any short time frame such as a few years. What will be the case in 10 years and more is another matter and nobody has an answer to that.”

Some miners may support the idea of eliminating halvings but full nodes may not, and nodes have significant control over the Bitcoin network, according to New Layer Capital’s general partner Nicholas Safford.

“If a group of miners wanted to implement such a proposal, they would need to hard fork the Bitcoin network, after which point, the new cryptocurrency would cease to be Bitcoin,” he stated.

Miners fear the halving, but they don’t hate it

Bitcoin halvings have been historically associated with bullish sentiment as BTC prices surged to new all-time highs after halvings. However, there’s also a fear that the halving would raise the operational costs of mining Bitcoin, hurting profitability.

On the halving date, for a miner whose cost of mining 1 BTC was $35,000 per BTC, the cost would suddenly increase overnight to $70,000 per BTC, New Layer Capital’s Safford explained.

Miner revenue after halvings. Source: Visual Capitalist

“This miner is no longer profitable as the market value of 1 BTC — currently around $65,000 — is no longer enough to cover the cost to mine 1 BTC,” he said, adding:

Related: Bitcoin needs to hold above $80,000 to keep mining profitable post-halving

“Halving inevitably leads to several unsustainably high-cost miners — due to high electricity rate, less efficient ASICs, high overheads and so on — dropping off the network.”

So, Bitcoin halvings are probably here to stay

Industry executives and advocates are confident that halvings are eventually beneficial and are here to stay.

“Halvings are the economic catalysts that ensure a smooth curve toward the 21 million Bitcoin supply cap and the need for continuously improving energy efficiency,” Bitfarms’ chief mining officer Ben Gagnon told Cointelegraph.

The total global mining activity in USD terms has grown exponentially each halving epoch despite the block reward halving every four years, Gagnon noted.

Cryptocurrency mining market size, 2022 to 2032. Source: Precedence Statistics

Gagnon also pointed out that there are many coins that don’t have halving events and opted for linear growth of coin supply. “They have not done well against Bitcoin,” the exec stated.

“The whole point of the Bitcoin Network is that the code is law, and it will not be changed,” said SunnySide Digital founder and CEO Taras Kulyk.

“What will happen in more than 10 years, really nobody can tell. But I would still not bet on any dramatic changes like changing the 21 million cap or removing halvings altogether,” Csepcsar told Cointelegraph. He added:

“Bitcoin either has to survive these harsh situations or is not the antifragile freedom tool that we all want it to be.”

Magazine: How to protect your crypto in a volatile market — Bitcoin OGs and experts weigh in","For over a decade, the quadrennial Bitcoin (BTC) halving event has delighted early Bitcoin hodlers while striking fear into inefficient crypto miners.
“We as miners embrace halvings and cherish them — but of course, we fear them a bit too,” said Kristian Csepcsar, chief of propaganda at the Bitcoin mining infrastructure firm Braiins.
There have been concerns that the Bitcoin halving event, set for April 20, could lead to some Bitcoin miners going under — particularly if the price of Bitcoin fails to exceed the cost of mining.
Hashlabs Mining co-founder Jaran Mellerud believes that Bitcoin miners would probably love the idea of scrapping the halving.
However, there’s also a fear that the halving would raise the operational costs of mining Bitcoin, hurting profitability."
Mark Zuckerberg says Meta wearables that read brain signals are coming soon,"Meta CEO Mark Zuckerberg has hinted his firm is making progress on its first “consumer neural interfaces,” non-invasive wearable devices that can interpret brain signals to control computers.

“One of the things that I’m pretty excited about — I think we’ll start getting some consumer neural interfaces soon. I think that’s going to be pretty wild.”

However, unlike Elon Musk’s Neuralink brain chip, Zuckerberg explained that these devices wouldn’t be something that “jacks into your brain” but something wearable on the wrist that can “read neural signals that your brain sends through your nerves to your hand to basically move it in different subtle ways.”

Meta first began discussing the development of “wrist-based interaction” in March 2021 as part of Facebook Reality Labs Research.

Meta’s wristband works using electromyography (EMG) to interpret brain signals about desired hand gestures and translate them into commands to control devices.

“We’re basically able to read those signals and use them to control glasses or other computing devices,” he added.

The most recent comments came during an interview on April 18 between the Facebook co-founder and tech entrepreneur and YouTuber Roberto Nickson.

“We’re still at the beginning of the journey because we haven’t rolled out the first version of the product, but playing with it internally it’s … it’s really cool … really interesting to see.”

Earlier this year, the Meta CEO said that this neural wristband could become a consumer product in just a few years, using artificial intelligence to overcome the limitations of camera-based gesture tracking.

Mark Zuckerberg on consumer neural interfaces. Source: YouTube

He has also envisioned the neural interfaces to work with Meta’s Ray-Ban augmented reality smart glasses.

Commenting on the firm’s smart glasses, he said the “hero feature” was integrating AI into them. “We’re really close to having multi-modal AI [...] so you don’t just ask it a question with text or voice; you can ask it about things going on around you, and it can see what’s going on and answer questions [...] that’s pretty wild,” he added.

Related: Meta’s AI boss says LLMs not enough: ‘Human level AI is not just around the corner’

Meanwhile, lawmakers in the United States are already working on legislation aimed at protecting privacy in the nascent field of neurotech.

The Protect Privacy of Biological Data Act, which expands the definition of “sensitive data” to encompass biological and neural data, was passed in Colorado this week, according to reports.

In other news, Meta has just released a new version of Meta AI, the assistant that operates across the firm’s applications and glasses. “Our goal is to build the world’s leading AI,” Zuckerberg said.

Meta AI is being upgraded with the new “state-of-the-art Llama 3 AI model, which we’re open-sourcing,” he added.

Magazine: How to get better crypto predictions from ChatGPT, Humane AI pin slammed: AI Eye","Meta CEO Mark Zuckerberg has hinted his firm is making progress on its first “consumer neural interfaces,” non-invasive wearable devices that can interpret brain signals to control computers.
“One of the things that I’m pretty excited about — I think we’ll start getting some consumer neural interfaces soon.
Meta’s wristband works using electromyography (EMG) to interpret brain signals about desired hand gestures and translate them into commands to control devices.
In other news, Meta has just released a new version of Meta AI, the assistant that operates across the firm’s applications and glasses.
Meta AI is being upgraded with the new “state-of-the-art Llama 3 AI model, which we’re open-sourcing,” he added."
Bithumb posts 57% annual loss soon after delayed IPO,"Bithumb Korea, the operator of the South Korean cryptocurrency exchange Bithumb, posted a 57% loss in annual revenue for the fiscal year of 2023.

The Seoul-based exchange’s annual sales revenue fell 57.6% to 1.358 billion Korean won in 2023, down from 3.201 billion won in 2022, according to an April 2 report from Korean news outlet Newdaily.

Net profit fell 74.5% to 243 billion won in 2023, from 954 billion won a year prior, but remained in a surplus for the fourth consecutive year.

The main reason behind the financial losses was the decrease in the value of cryptocurrencies due to the crypto winter, according to Bithumb.

Bithumb also offered a fee-free trading policy during the fourth quarter of last year, which contributed to the exchange’s falling revenue.

The exchange focused on increasing its availability throughout South Korea last year during difficult market conditions. This year, it will continue focusing on strengthening its services to drive performance improvements, a Bithumb spokesperson told Newdaily.

The financial loss was reported on the same day Crypto.com announced it would launch a cryptocurrency trading app for South Korean retail investors on April 29, which could pose a threat to Bithumb’s market share in the country.

Related: Bitcoin clings to $65K — More losses ahead for BTC price?

Bithumb delays IPO

Bithumb was planning to become the first digital asset company to go public on the South Korean stock market, according to local media reports that first emerged at the beginning of November 2023.

The reports alleged that Bithumb was preparing for an initial public offering (IPO) in the second half of 2025 on the Kosdaq — South Korea’s version of the Nasdaq.

The IPO rumors were confirmed as Bithumb Korea started setting up a non-exchange business to accelerate its stock market debut, according to a March 24 report by the Korea Herald.

Yet Bithumb has reconsidered its IPO ambitions after former chairman Lee Jeong-hoon’s role in the company came under scrutiny, suggesting internal issues within the company, according to a March 29 report by Decenter.

All You Need To Know About Crypto In South Korea. Source: Cointelegraph

According to Bithumb officials, the IPO wasn’t delayed due to legal issues related to chairman Lee’s role in the company but due to a reassessment of internal strategy during an evolving institutional landscape.

The surprising development comes over a month after South Korea’s Financial Services Commission (FSC) proposed a new amendment that would mandate new crypto firm executives to obtain regulatory approval before assuming their roles.

If the amendment is accepted, new executives won’t be able to work until the FSC formally approves their applications.

Related: Largest Ethena airdrop recipient gets nearly $2M","Bithumb Korea, the operator of the South Korean cryptocurrency exchange Bithumb, posted a 57% loss in annual revenue for the fiscal year of 2023.
The Seoul-based exchange’s annual sales revenue fell 57.6% to 1.358 billion Korean won in 2023, down from 3.201 billion won in 2022, according to an April 2 report from Korean news outlet Newdaily.
Net profit fell 74.5% to 243 billion won in 2023, from 954 billion won a year prior, but remained in a surplus for the fourth consecutive year.
The exchange focused on increasing its availability throughout South Korea last year during difficult market conditions.
All You Need To Know About Crypto In South Korea."
Upbit’s trading volume falls below $4B after reaching yearly high in March,"The 24-hour trading volume at Upbit, one of South Korea’s biggest crypto exchanges, fell to $3.8 billion at the start of April after reaching a high earlier in March.

On March 5, Upbit recorded a daily trading volume of almost $15 billion, the exchange’s highest trading volume this year.

The crypto exchange’s surge in daily trading volume may be attributed to Bitcoin reaching a new all-time high of $69,200 on the same day.

The rush was primarily driven by large inflows in the new spot Bitcoin (BTC) exchange-traded funds (ETFs) in the United States.

While Bitcoin was trading below $70,000 in the rest of the world, the digital asset reached a new all-time high of 96,734,000 South Korean won (about $72,504) on Upbit at around 3:00 pm UTC on March 5.

This may have played a role in boosting the daily trading volume at the exchange on March 5.

This price difference in South Korea versus the rest of the world is commonly called the “Kimchi Premium.” Named after the country’s famous fermented side dish, the Kimchi Premium refers to the disparity between BTC prices on Korean crypto trading platforms and international crypto exchanges.

Despite its uptick, the surge did not last, as the daily trading volume on the exchange dropped to as low as $2.6 billion on March 31.

Upbit’s daily exchange trading volume chart. Source: CoinGecko

According to coin information tracker CoinGecko, Upbit’s current 24-hour trading volume for April 1 is $3.8 billion.

Related: South Korean police catch $4.1M crypto scam duo

In 2023, Upbit’s parent company reported an 81% decline in net profits. On Nov. 28, Upbit owner Dunamu reported a profit of $23 million, which is much lower than the same period in 2022, when it earned about $123 million.

The company said the lower profits could be due to a “sluggish investment market” stemming from an economic downturn. It also pointed toward the lower prices of digital assets as one of the causes of the decline in profit.

Despite Dunamu’s profit drop in 2023, Upbit continued its business expansion efforts. On Jan. 9, the exchange obtained a Major Payment Institution license from Singapore’s central bank. This allows the company to offer crypto and fiat-related services in Singapore.

Magazine: ‘Am I sorry? No’ — 3AC founder. $6B BTC laundered for fast food worker: Asia Express","On March 5, Upbit recorded a daily trading volume of almost $15 billion, the exchange’s highest trading volume this year.
The crypto exchange’s surge in daily trading volume may be attributed to Bitcoin reaching a new all-time high of $69,200 on the same day.
This may have played a role in boosting the daily trading volume at the exchange on March 5.
Upbit’s daily exchange trading volume chart.
Source: CoinGeckoAccording to coin information tracker CoinGecko, Upbit’s current 24-hour trading volume for April 1 is $3.8 billion."
Bitcoin bounces back as Grayscale ETF outflows hit new record low,"Outflows from the Grayscale Bitcoin Trust (GBTC) exchange-traded fund (ETF) have hit a new record low, down almost 90% from the previous day, coinciding with a rebound in Bitcoin after new United States inflation data triggered volatility.

On April 10, GBTC saw outflows of $17.5 million, a significant decrease compared to the $154.9 million outflows recorded on April 9, according to Farside data.

Alongside this, the price of Bitcoin (BTC) has increased 2.08% over the past 24 hours, currently standing at $70,474, per CoinMarketCap data.

Within the same time frame, it briefly hit local lows of $67,482 following the release of the U.S. Consumer Price Index (CPI) for March, which came in at a hotter-than-expected 3.5% year-on-year. This led to worries that the U.S. Federal Reserve might further delay interest rate cuts.

Bitcoin’s price has hovered between $65,600 and $72,668 over the past seven days. Source: CoinMarketCap

Some crypto commentators are again sharing hope it could be the start of the slowdown in GBTC outflows, which have amounted to $16 billion in outflows since GBTC was converted to a spot Bitcoin ETF in January.

“GBTC selling over?” the CEO of crypto-focused reviews portal Apollo, Thomas Fahrer, asked his 41,500 X followers in an April 11 post.

Fahrer further pointed out that the April 10 outflows are equivalent to roughly 250 Bitcoin, almost a 95% decrease in outflows from the start of the week.

Only days ago, on April 8, Grayscale witnessed outflows equivalent to 4,288 Bitcoin at a total of $303 million.

The previous low was on Feb. 26 when GBTC outflowed $22.4 million. The daily GBTC outflows average across the four months is $257.8 million.

The Fidelity Wise Origin Bitcoin Fund recorded $76.3 million in inflows, BlackRock’s iShares Bitcoin Trust saw $33.3 million, the Bitwise Bitcoin ETF saw $24.3 million, and the ARK 21Shares Bitcoin ETF had inflows of $7.3 million.

Recently, bankrupt crypto lending firm Genesis offloaded approximately 36 million GBTC shares to acquire 32,041 Bitcoin.

Magazine: China will intensify Bitcoin bull run, $1M by 2028: Bitcoin Man, X Hall of Flame","Outflows from the Grayscale Bitcoin Trust (GBTC) exchange-traded fund (ETF) have hit a new record low, down almost 90% from the previous day, coinciding with a rebound in Bitcoin after new United States inflation data triggered volatility.
On April 10, GBTC saw outflows of $17.5 million, a significant decrease compared to the $154.9 million outflows recorded on April 9, according to Farside data.
Only days ago, on April 8, Grayscale witnessed outflows equivalent to 4,288 Bitcoin at a total of $303 million.
The Fidelity Wise Origin Bitcoin Fund recorded $76.3 million in inflows, BlackRock’s iShares Bitcoin Trust saw $33.3 million, the Bitwise Bitcoin ETF saw $24.3 million, and the ARK 21Shares Bitcoin ETF had inflows of $7.3 million.
Recently, bankrupt crypto lending firm Genesis offloaded approximately 36 million GBTC shares to acquire 32,041 Bitcoin."
Bakkt declares $780M full-year revenue in 2023 earnings report,"Crypto custody and trading company Bakkt has published its quarterly report, recording a full-year total revenue of $780.1 million for 2023.

Bakkt said that in the fourth quarter of 2023 alone, it had earned a total revenue of $214.5 million. This includes its gross crypto and net loyalty revenues.

The report highlighted that Bakkt’s acquisition of Bakkt Crypto (formerly Apex Crypto) drove the increase in its gross crypto services revenues.

With its balance sheet strengthened, the crypto custody firm aims to scale its business further in 2024. Bakkt’s incoming president and CEO, Andy Main, said the company will focus on several initiatives this year. The executive explained:

“Our focus for 2024 is on a set of strategic initiatives that will provide our business with efficient scale, including broadening our client network, expanding our product set and prudently managing expenses.”

Within the report, the company also published its expectations for its performance in 2024. According to the company, it is expecting full-year revenue of between $3.2 billion to $5.1 billion. This includes gross crypto revenues of $3.2 billion to $5 billion.

However, it also expects its crypto costs to be similar to its revenue in crypto, seemingly predicting to break even in its crypto business.

Related: Bakkt shifts focus to custody services, adds support for DOGE, SHIB, other coins

Main said in the report that its new balance sheet helped put the company in a position to alleviate conditions that placed doubt in the company’s ability to continue.

On Feb. 7, Bakkt filed an amendment to its quarterly report with the United States Securities and Exchange Commission, with a section containing a note that it may “not be able to continue as a going concern.”

This meant the company was running low on cash to fund its operations in the next year. However, with its latest report showing positive results, Main said that this alleviated the conditions that raised concerns about its capabilities to continue its business.

Furthermore, the company’s incoming president expressed excitement about the crypto space’s improving market conditions and said it would help them execute their key priorities and drive the company toward profitability.

Magazine: ETH a security? Celsius clawbacks, SBF says sentence too harsh: Hodler’s Digest, March 17-23","Crypto custody and trading company Bakkt has published its quarterly report, recording a full-year total revenue of $780.1 million for 2023.
Bakkt said that in the fourth quarter of 2023 alone, it had earned a total revenue of $214.5 million.
This includes its gross crypto and net loyalty revenues.
The report highlighted that Bakkt’s acquisition of Bakkt Crypto (formerly Apex Crypto) drove the increase in its gross crypto services revenues.
With its balance sheet strengthened, the crypto custody firm aims to scale its business further in 2024."
"Arkham’s top 5 doxed crypto hodlers own $3.5B, but 35% is untouchable","The top five identified crypto whales with publicly known wallet addresses hold around $3.5 billion in crypto, according to a dashboard from blockchain intelligence firm Arkham.

However, due to lost passwords and private keys, a large chunk of it is inaccessible.

On April 15, the on-chain intelligence platform announced the updated dashboard revealing the holdings of some of the world’s on-chain-verified richest crypto holders and whales, including Tron’s Justin Sun and Ethereum’s Vitalik Buterin.

The top five crypto holders on its list currently own an aggregate of $3.47 billion in digital assets, according to the data. However, around 35% or $1.21 billion of that total has been flagged as ‘inaccessible.’

Arkham’s crypto top five

Justin Sun tops the list with a reported $1.06 billion in his crypto wallet. The Tron network founder’s wallet is heavy on his own stablecoin, Decentralized USD (USDD), with $275 million in holdings, followed by the network’s native token, Tron (TRX), of which he holds $237 million worth.

Rain Lõhmus, the founder of Estonia-based LHV Bank, is second on Arkham’s list with $769 million worth of Ether. However, it has been flagged as inaccessible, as it was reported in November that he lost access to his private key.

Ethereum co-founder Vitalik Buterin comes third with a wallet containing $757 million, primarily in ETH, of which he holds 245,425 tokens.

The Bitcoin wallet of the former chief technology officer at Ripple, Stefan Thomas, shows up as fourth on the list. However, his $442 million worth of Bitcoin (BTC) has also been flagged inaccessible.

Thomas lost access to more than 7,000 Bitcoin in 2011 after losing the password to the encrypted hard drive holding the details of his cryptocurrency.

In October, crypto recovery firm Unciphered offered to unlock the IronKey hard drive.

Related: Ethereum’s next hard fork could make lost private keys a thing of the past

Crypto venture capitalist James Fickel rounds out the top five with $436 million worth of digital assets in his wallet, according to Arkham.

Other notable crypto wallets in the top ten include early adopter Patricio Worthalter, who holds $219 million worth, primarily in ETH. General Partner at Cluster Capital, Winslow Strong, is listed as holding $27.5 million worth of digital assets.

For those included, the dashboard displays public wallets tagged by Arkham, their current token holdings and balance history, a breakdown of portfolios across chains and historical daily balances, and recent activity.

However, the list doesn’t contain whale wallets that are linked to unknown or pseudonymous owners, such as Bitcoin’s creator Satoshi Nakamoto whose BTC holdings are estimated to be worth tens of billions across multiple addresses, or other crypto titans that currently aren’t linked to a particular wallet address.

Magazine: 1 in 6 new Base meme coins are scams, 91% have vulnerabilities","The top five identified crypto whales with publicly known wallet addresses hold around $3.5 billion in crypto, according to a dashboard from blockchain intelligence firm Arkham.
However, around 35% or $1.21 billion of that total has been flagged as ‘inaccessible.’Arkham’s crypto top fiveJustin Sun tops the list with a reported $1.06 billion in his crypto wallet.
Rain Lõhmus, the founder of Estonia-based LHV Bank, is second on Arkham’s list with $769 million worth of Ether.
Other notable crypto wallets in the top ten include early adopter Patricio Worthalter, who holds $219 million worth, primarily in ETH.
General Partner at Cluster Capital, Winslow Strong, is listed as holding $27.5 million worth of digital assets."
Ethena will become highest revenue-generating crypto project — Delphi Labs CEO,"Ethena Labs will become the highest revenue-generating cryptocurrency project on the market, according to José Maria Macedo, the CEO of Delphi Labs and the founding partner of crypto investment firm Delphi Ventures.

Ethena Labs is one of the highest conviction bets for Delphi Ventures during this bull cycle, according to an April 2 blog post by Delphi Labs’ Macedo, who wrote:

“sUSDe will offer the highest dollar yield in crypto at scale. USDe will become the largest stablecoin outside of USDC/USDT in 2024. Ethena will become the highest revenue-generating project in all of crypto.”

Ethena Labs became the highest-earning decentralized application (DApp) in crypto on March 8 when it offered a 67% annual percentage yield (APY) on USDe. Ethena launched its USDe synthetic dollar on the public mainnet on Feb. 19.

Ethena’s USDe synthetic dollar is currently offering a 35.4% APY to over 118,000 users, according to its homepage.

The CEO’s bullish predictions follow the launch of the Ethena Labs airdrop on April 2, which distributed $450 million worth of Ethena (ENA) tokens among eligible wallets.

The largest airdrop recipient received nearly $2 million worth of ENA tokens, as per Arkham Intelligence data.

Related: Ethena Labs founder clarifies USDe stability amid high yield worries

Can USDe synthetic dollar become the third-largest “stablecoin” in 2024?

The USDe synthetic dollar currently ranks as the seventh-largest asset among stablecoins, with a $1.9 billion market capitalization, according to CoinMarketCap data.

To flip the third-largest stablecoin, Dai (DAI), USDe’s market cap would need to increase by at least 178% to above $5.3 billion.

Top stablecoins by market capitalization. Source: CoinMarketCap

The market cap of USDe rose over 21% in the last 24 hours and 165% in the last month to $1.89 billion, according to DefiLlama data.

According to Delphi’s Macedo, the stablecoin market is a $100 billion industry to which Ethena introduced a competitive new tradeoff, which will pave its future growth:

“In my view, USDe is the most scalable fully collateralized stablecoin ever created. It’s not fully decentralized, nor can it ever be, but it nevertheless sits at a very interesting point on the tradeoff spectrum.”

Related: How high can Bitcoin go? New BTC price prediction sees cycle top at $180K","Ethena Labs will become the highest revenue-generating cryptocurrency project on the market, according to José Maria Macedo, the CEO of Delphi Labs and the founding partner of crypto investment firm Delphi Ventures.
Ethena Labs is one of the highest conviction bets for Delphi Ventures during this bull cycle, according to an April 2 blog post by Delphi Labs’ Macedo, who wrote:“sUSDe will offer the highest dollar yield in crypto at scale.
Ethena launched its USDe synthetic dollar on the public mainnet on Feb. 19.
The CEO’s bullish predictions follow the launch of the Ethena Labs airdrop on April 2, which distributed $450 million worth of Ethena (ENA) tokens among eligible wallets.
Related: Ethena Labs founder clarifies USDe stability amid high yield worriesCan USDe synthetic dollar become the third-largest “stablecoin” in 2024?"
Blockchain and AI: Redefining authorship in publishing,"Self-publishing has empowered authors worldwide to bypass traditional gatekeepers of the publishing industry and share their work with the world.

However, as the industry looks to keep up with modernization, the self-publishing platform Booksie has embraced blockchain and artificial intelligence (AI).

In an interview with Cointelegraph, Booksie founder and CEO Sol Nasisi shared his vision for the future of self-publishing built on the powerful combination of these emerging technologies.

Blockchain: Transparency and ownership for authors

The idea of blockchain in the publishing industry isn’t necessarily a new phenomenon. In 2018, the Alliance of Independent Authors launched Blockchain for Books, an awareness campaign about the potential of blockchain technology in publishing. It resulted in a guidebook called Authors and Blockchain.

The core principle of a blockchain network, that of a shared public ledger, can act as a mechanism allowing authors to regain control over their work and access valuable data.

Nasisi explained that as more of the traditional web is closed behind “walled gardens,” blockchain can offer authors an additional pathway to selling their books.

“The blockchain [creates] a new digital book publishing and purchasing experience complete with real ownership, rare books in limited editions, and opportunities for book collectors and resellers to participate in external markets.”

Beyond financial benefits, blockchain offers transparency and empowers authors to protect their work.

Related: OpenAI makes ChatGPT ‘less verbose,’ blurring writer-AI distinction

“The immutability and transparency creates a way for an author to prove they created the work,” says Nasisi. This is particularly relevant in a world increasingly concerned with AI-generated content.

AI: Empowering writers, not replacing them

Accessible AI has become more mainstream over the last year, and it has been integrated into companies’ business operations in almost every industry worldwide.

However, authors have already had their gripes with the technology making alleged illegal use of their work. In July, author Sarah Silverman sued Meta and OpenAI for using copyrighted work to train their AI systems without permission.

In September 2023, a similar lawsuit was filed by the Author’s Guild against OpenAI, alleging misuse of copyrighted material in training of its AI models.

However, Nasisi stressed that AI can be used as a tool for authors, not to replace or exploit them or their work.

“We never want to have an AI that is writing the story for a writer.”

He said that they designed Booksie’s AI bot integration to aid writers who provide feedback on fiction and non-fiction works.

The disruptive duo of blockchain and AI

When looking at the combined potential of blockchain and AI, Nasisi said the two will “fundamentally change” how the publishing industry functions over the next 10 years.

He said he envisions a future where “writers will combine their creativity with AI and blockchain to create entire worlds in multiple mediums and interact with fans in novel ways.”

This future could involve authors leveraging AI assistance to write a book, then utilizing blockchain to create a limited-edition version, a video series, a game based on the story’s world and accompanying merchandise — all while maintaining ownership and transparency throughout the process.

The impact of this technological convergence extends far beyond publishing. Nasisi highlights other industries ripe for disruption.

“AI is changing how higher education teaches while blockchain will provide the authenticity of learning via credentials.”

He likens the two technologies to yin and yang, feeding off each other and creating a new paradigm.

Booksie and its partner, Chainletter Labs, are actively working toward this vision. Nasisi concluded, “The publishing industry will never be the same.”

With blockchain and AI at the helm, self-publishing is poised to empower authors like never before, creating a future filled with exciting new possibilities for creators and readers alike.

Magazine: AI didn’t kill the metaverse, it will build it — Alien Worlds, Bittensor vs Eric Wall: AI Eye","Self-publishing has empowered authors worldwide to bypass traditional gatekeepers of the publishing industry and share their work with the world.
However, as the industry looks to keep up with modernization, the self-publishing platform Booksie has embraced blockchain and artificial intelligence (AI).
Blockchain: Transparency and ownership for authorsThe idea of blockchain in the publishing industry isn’t necessarily a new phenomenon.
In 2018, the Alliance of Independent Authors launched Blockchain for Books, an awareness campaign about the potential of blockchain technology in publishing.
The disruptive duo of blockchain and AIWhen looking at the combined potential of blockchain and AI, Nasisi said the two will “fundamentally change” how the publishing industry functions over the next 10 years."
"MIT, German central bank will research CBDC privacy in new project","The Deutsche Bundesbank is the latest monetary authority to team up with the Massachusetts Institute of Technology (MIT) Digital Currency Initiative (DCI) to study central bank digital currency (CBDC). President of the German central bank Joachim Nagel spoke at the launch of the project about challenges ahead for the digital euro.

Nagel told MIT students that the joint research will focus on designing security and privacy measures in a CBDC. The problem is that private digital payment solutions often use third-party services that gain access to consumers’ payment data, which they can use for commercial purposes. In contrast:

“A digital euro would offer the highest possible level of privacy. The Eurosystem would not have access to digital euro users’ personal information. Consumers would gain more control over their personal data.”

Nagel went on the say the current payments system does not work well. “German bank cards, for example, don’t always work in other euro area countries, even if they contain a payment scheme operated by an international company,” he said.

Related: Federal Reserve lists CBDCs as one of 7 ‘key duties’ to Congress

As digitalization increases, the Eurosystem is considering “a digital product that complements our analogue product cash,” Nagel said. He was referring to the digital euro specifically, although other options have appeared, such as the United States Federal Reserve’s FedNow service that was launched in July.

FedNow has been the target of harsh criticism, but CBDCs have fared even worse. Privacy and potential effects on the banking industry are big talking points for CBDC opponents. European Central Bank (ECB) officials are increasingly going on the offensive against the criticism. ECB president Christine Lagarde said in September that the digital euro was the subject of conspiracy theories, and ECB officials have criticized the banking community for failing to give CBDC reasonable consideration.

Source: Digital Currency Initiative

Nagel conceded to MIT students that the digital euro, as a “riskless asset,” could contribute to economic instability in times of stress by undermining banks. Holding limits will be placed on the digital euro to counteract that threat, Nagel said. He added that the public has only a vague understanding of the digital euro project, which is now in its preparatory stage.

The DCI has also partnered with the U.S. Federal Reserve Bank of Boston in its Project Hamilton looking at a potential digital dollar, and with the central banks of Canada and the United Kingdom.

Magazine: How the digital yuan could change the world… for better or worse","The Deutsche Bundesbank is the latest monetary authority to team up with the Massachusetts Institute of Technology (MIT) Digital Currency Initiative (DCI) to study central bank digital currency (CBDC).
President of the German central bank Joachim Nagel spoke at the launch of the project about challenges ahead for the digital euro.
Nagel told MIT students that the joint research will focus on designing security and privacy measures in a CBDC.
European Central Bank (ECB) officials are increasingly going on the offensive against the criticism.
He added that the public has only a vague understanding of the digital euro project, which is now in its preparatory stage."
"Crypto Biz: Tokenization spikes, SEC delays Bitcoin ETF options, and more","United States Treasurys tokenized on public blockchains surpassed $1 billion as traditional financial firms continued to load securities on-chain amid a prolonged period of elevated interest rates.

Data compiled by 21.co and Dune Analytics shows that tokenized government securities reached the $1 billion mark in assets on March 28, distributed across 17 products. A majority of the assets are based on the Ethereum, Polygon and Stellar networks.

“The growth in tokenized treasuries on public blockchains like Stellar is a result of more asset issuers recognizing blockchain technology makes good business sense,” Paul Wong, director of product, CBDCs and institutions at the Stellar Foundation, told Cointelegraph.

Investment firm Franklin Templeton is among the companies tokenizing assets, with over $360.1 million in assets and 33.6% of the market share through its Franklin OnChain U.S. Government Money Fund. The fund, launched in 2021, is based on the Polygon and Stellar blockchains.

By volume, tokenized securities represent the largest asset class on the Stellar network, with a total tokenized market cap of over $430 million as of late March. “Blockchain is here to stay and is the future. We expect to see exponential growth in tokenization in the next few years,” said Wong.

Aside from the rise of tokenization markets, this week’s Crypto Biz explores PayPal’s stablecoin, SushiSwap’s move to a “Labs model,” and the U.S. Securities and Exchange Commission (SEC) delaying a decision on options trading on spot Bitcoin exchange-traded funds (ETFs).

SEC defers decision on Bitwise, Grayscale Bitcoin ETF options

The U.S. securities regulator has delayed its decision to allow the New York Stock Exchange to offer options trading on spot Bitcoin (BTC) ETFs. According to the April 8 filing, the SEC’s pushback will impact options trading on the Bitwise Bitcoin ETF, the Grayscale Bitcoin Trust and any other trust that holds Bitcoin on the NYSE. The securities regulator reached the same outcome for Nasdaq in March, which requested options trading on BlackRock’s iShares Bitcoin Trust. The next deadline for the SEC to either approve, deny or delay the proposed rule change on the NYSE is May 29.

PayPal stablecoin circulation dropped 38% in March — Paxos

The circulation of PayPal USD (PYUSD), a stablecoin issued by PayPal and Paxos, declined by 39% in March, totaling $188.5 million. Previous months saw higher circulation, with $304 million in February and $301 million in January. Despite experiencing rapid growth in early 2024, doubling its market value within one month by mid-January, PYUSD has since faced a decline in circulation and market capitalization. The PYUSD treasury held $14.9 million in United States Treasury bonds as of March 29. The market capitalization of PYUSD has been decreasing since late February, falling from an all-time high of $312 million on Feb. 26, according to CoinGecko data.

SushiSwap DAO backs transition to “Labs model” in preliminary vote

SushiSwap has received a positive sign to move forward with a plan to adopt a less decentralized “Labs model.” Over 62% of voters favored this transition in a signal vote concluded on April 10. The proposal, introduced on March 26, outlines the creation of Sushi Labs, an autonomous entity responsible for managing the Sushi ecosystem’s administrative, technical and operational aspects. Tokenholders would still decide on treasury allocations but wouldn’t participate in operational decisions. In addition, the new entity would receive 25 million SushiSwap (SUSHI) tokens — worth around $39 million at current prices — and future airdrops from its affiliated protocols and partners. The Sushi community has criticized the move.

Paradigm leads $225 million funding round for new “Solana killer” L1

Crypto-focused venture capital firm Paradigm has led a $225 million funding round into a new layer-1 blockchain network, which is set to compete for market share with Solana and other top networks. Monad Labs aims to build a new layer-1 smart contract network with faster speed and lower costs than Ethereum. According to a March 14 X post by Monad, the new L1 will be 100% compatible with the Ethereum Virtual Machine and capable of up to 10,000 transactions per second. Crypto VC funding turned positive in the first quarter of 2024, breaking a two-year slump.

Before you go: Smart contracts that can be turned on and off by a multisig mechanism or governance vote are potentially problematic, says Coin Center’s Peter Van Valkenburgh.

Crypto Biz is your weekly pulse on the business behind blockchain and crypto, delivered directly to your inbox every Thursday.","SEC defers decision on Bitwise, Grayscale Bitcoin ETF optionsThe U.S. securities regulator has delayed its decision to allow the New York Stock Exchange to offer options trading on spot Bitcoin (BTC) ETFs.
According to the April 8 filing, the SEC’s pushback will impact options trading on the Bitwise Bitcoin ETF, the Grayscale Bitcoin Trust and any other trust that holds Bitcoin on the NYSE.
The securities regulator reached the same outcome for Nasdaq in March, which requested options trading on BlackRock’s iShares Bitcoin Trust.
The proposal, introduced on March 26, outlines the creation of Sushi Labs, an autonomous entity responsible for managing the Sushi ecosystem’s administrative, technical and operational aspects.
Crypto Biz is your weekly pulse on the business behind blockchain and crypto, delivered directly to your inbox every Thursday."
Hong Kong Bitcoin and Ether ETFs officially approved to start trading on April 30,"The first wave of spot Bitcoin and Ether exchange-traded funds (ETFs) have been officially approved to start trading in Hong Kong on April 30.

Hong Kong’s financial regulator, the Securities and Futures Commission (SFC), announced the official approval of the first batch of spot Bitcoin (BTC) and Ether (ETH) ETFs on April 24, according to a press release shared with Cointelegraph.

The first batch of approved Hong Kong-based ETFs also include China Asset Management’s (ChinaAMC) Bitcoin and Ether-based ETFs, which will start trading on April 30.

The ETFs will offer retail and institutional investors a safer and more convenient way to invest in the underlying digital assets under a regulated framework, according to Thomas Zhu, head of digital assets and head of family office business at ChinaAMC. He wrote in the official announcement:

“The in-kind feature also attracts coin holders by offering the ease of converting coins to fully regulated ETFs managed by professional fund managers and regulated custodians. With the growing adoption of ETFs in institutional asset allocation and retail trading in Hong Kong, we expect robust demand for our offerings.”

Hong Kong will see the launch of three Bitcoin and three Ether-based spot Bitcoin ETFs on April 30, according to an April 2

List of ETFs launching in Hong Kong. Source: Bloomberg

Related: Hong Kong approves first Bitcoin and Ether ETFs

Unlike the cash-creation model of the United States spot Bitcoin ETFs, Hong Kong aims to offer in-kind creation models for ETFs that enable the creation of new ETF shares by using BTC and ETH.

Hong Kong’s in-kind ETF creation model could be a significant opportunity to considerably increase assets under management (AUM) and trading volume for these products, according to a research note by Bloomberg ETF analyst Rebecca Sin, shared in a March 26 X post by Eric Balchunas:

“Hong Kong is aiming for in-kind creation of the ETF, unlike the US, where the transaction is cash only — in the US, it’s cash in, Bitcoin ETF out, while Hong Kong aims for Bitcoin in, ETF out. This could be an opportunity for the market.”

Hong Kong ETFs could see a potential fee war

The launch of the first ETFs in Hong Kong could lead to issuers racing to offer the lowest fees to customers, according to an April 24 X post by Bloomberg ETF analyst James Seyffart. He wrote:

“A potential fee war could break out in Hong Kong over these Bitcoin and Ethereum ETFs. Harvest coming in hot with a full fee waiver and the lowest fee at 0.3% after waiver.”

The fees for the first ETFs are already lower than previously expected, which is a promising sign, according to Eric Balchunas, senior ETF analyst at Bloomberg, who wrote in an April 24 X post:

“Fees are 30bps, 60bps, and 99bps which is on average lower than we thought, good sign.”

Additional reporting by Helen Partz.

Related: 'China is about to start bidding' — Will Hong Kong Bitcoin ETFs spark the halving rally?","The first wave of spot Bitcoin and Ether exchange-traded funds (ETFs) have been officially approved to start trading in Hong Kong on April 30.
The first batch of approved Hong Kong-based ETFs also include China Asset Management’s (ChinaAMC) Bitcoin and Ether-based ETFs, which will start trading on April 30.
With the growing adoption of ETFs in institutional asset allocation and retail trading in Hong Kong, we expect robust demand for our offerings.”Hong Kong will see the launch of three Bitcoin and three Ether-based spot Bitcoin ETFs on April 30, according to an April 2List of ETFs launching in Hong Kong.
Source: BloombergRelated: Hong Kong approves first Bitcoin and Ether ETFsUnlike the cash-creation model of the United States spot Bitcoin ETFs, Hong Kong aims to offer in-kind creation models for ETFs that enable the creation of new ETF shares by using BTC and ETH.
Related: 'China is about to start bidding' — Will Hong Kong Bitcoin ETFs spark the halving rally?"
"Google eyes paid AI search features, explores subscription model: Report","Google is considering introducing premium features powered by generative artificial intelligence (AI) in its search engine.

The move would mark the first time a core Google product is behind a paywall. However, the free search experience with advertisements will still be available.

According to a Financial Times report on April 3, the tech giant is looking at a variety of options, including incorporating AI-powered search features to its premium subscription services, which already provide access to its new Gemini AI assistant in Gmail and Docs.

Google mainly relies on advertising for monetization. The company already offers various plans, such as the Gemini AI assistant in Gmail and Docs.

However, these subscriptions currently do not enhance the search experience. The company’s main product, Google Search, has been free since its launch in the early 2000s. However, the tech giant might be exploring different means of monetization.

The report added that Google’s traditional search engine would remain free of charge and that ads would continue to appear alongside search results even for subscribers.

With the recent competition in AI, most tech companies have tried to bring more products to the market.

Google started trialing its AI-driven search tool, combining tailored narratives with web links and advertisements. Yet integration into the primary search engine lags due to delayed feature adoption from its experimental “search generative experience.”

Related: ChatGPT removes another barrier to human-AI interaction

However, AI queries demand more computing power, which ultimately is costly compared to general queries. Therefore, it may not be profitable if Google brings its “Search Generative Experience” for free.

A spokesperson from Google said that the company has no plans for an ad-free search experience:

“We’re not working on or considering an ad-free search experience. As we’ve done many times before, we’ll continue to build new premium capabilities and services to enhance our subscription offerings across Google.”

In February, Google added a new paid tier to its consumer subscription service that gives people access to its latest AI model, Gemini.

Users who pay for the subscription, called Google One AI Premium, can use the advanced Gemini chatbot and access the generative AI model in popular services such as Gmail and Google Docs.

Google, credited with pioneering the technology underlying the current AI surge, finds itself embroiled in competition with two prominent industry players: OpenAI, the developer of ChatGPT, and Microsoft, its supporter.

Magazine: Why boomers ‘like’ AI pics on Facebook, mind-reading AI breakthrough: AI Eye","However, the free search experience with advertisements will still be available.
The company’s main product, Google Search, has been free since its launch in the early 2000s.
Therefore, it may not be profitable if Google brings its “Search Generative Experience” for free.
Users who pay for the subscription, called Google One AI Premium, can use the advanced Gemini chatbot and access the generative AI model in popular services such as Gmail and Google Docs.
Magazine: Why boomers ‘like’ AI pics on Facebook, mind-reading AI breakthrough: AI Eye"
Meet the Solana memecoin that suffered two rug pulls but still survived,"While most exit scams or rug pulls result in the collapse of a project, Solana-based memecoin Catwifhat (CIF) managed to survive two of them, illustrating how crypto’s decentralized nature can sometimes allow a project to continue even when its developer disappears.

In a conversation with Cointelegraph, Catwifhat investor NFT_Sloth claimed that the project survived two rug pulls over 12 days, yet still has a dedicated community behind it today.

First, the project’s founder allegedly dumped their tokens into the open market only a few hours after launch on Dec. 12, 2023, cashing in 20% of WIF’s supply for 3.86 SOL (SOL) (worth approximately $265 at the time) and pulling most of its liquidity. Despite this setback, the remaining investors quickly took over the project, forming a new dev team to promote the token. As a result, CIF recovered to a market cap of more than $4 million by Dec. 23, just 11 days after it had been rugged.

But then, the token’s largest liquidity provider rugged the project again on Dec. 24, removing 92% of its liquidity and tanking the price by approximately 76%. Despite suffering further losses, the token’s dev team restructured yet again and continued to work on the project. As of April 3, its market cap sits at approximately $1.4 million. The 200 million tokens the founder sold on launch day would be worth over $250,000 today had they held.

Catwifhat (CIF) price chart. Source: Coingecko

Catwifhat precursor reached a $3 billion market cap

According to NFT_Sloth, Catwifhat was created to follow in the footsteps of Solana memecoin Dogwifhat (WIF), which launched in November 2023. This earlier token was created to take advantage of the “Dogwifhat” meme that had grown popular on the X platform since 2019.

According to meme history site Know Your Memes, the Dogwifhat meme got its start on Nov. 6, 2019, when professional Fortnite player Issa temporarily changed his profile picture on X to an image of a Shiba Inu dog wearing a beanie hat. Other Fortnite players also changed their profile pics to the image shortly afterward, claiming they were creating a Dogwifhat “movement” or “gang.”

Related: Solana memecoin craze causes Biden parody token to reach $250M market cap

Original Dogwifhat meme. Source: Know Your Meme

The following month, X users began to edit the photo in various ways and repost it to X, causing the meme to spread throughout the platform quickly.

In November 2023, a team of crypto developers attempted to capitalize on this phenomenon by creating a token associated with it. According to NFT_Sloth, members of the Dogwifhat community sent images to various memecoin influencers on X. They took the influencer’s profile picture and edited it, adding the beanie from the Dogwifhat meme.

One of these influencers was “Joji,” who used an Azuki nonfungible token as their profile picture. They were sent an image of this Azuki with the beanie on its head, allowing them to express support for the token through this altered profile picture. Joji began promoting Dogwifhat on their Telegram and X channels, and the token quickly gained popularity.

Catwifhat launches and developer dumps tokens

As told by NFT_Sloth, Catwifhat was one of the first memecoins attempting to follow in the footsteps of Dogwifhat. However, the developer of the project allegedly executed an exit scam mere hours after it launched.

According to the Solscan block explorer, the developer of Catwifhat minted 1 billion tokens at the moment of creation on Dec. 12, 2023, all of which were sent to the deployer account. From there, they sent 10% of the supply (100 million CIF) to an account beginning with Fm1w and another 10% to an account beginning with AUKt. The remaining 80% (800 million CIF) was deposited into a liquidity pool on the Raydium decentralized exchange. These 800 million tokens were paired with 1 SOL, setting an initial price of 0.00000000125 SOL ($0.000000085675) per CIF.

However, the token had no marketing on launch day. The developer deployed the token’s contract and listed CIF on DEX Screener but made no further attempt to attract buyers. Despite this lack of marketing, the token attracted some buyers who saw it on DEXScreener due to its similar name to Dogwifhat, NFT_Sloth claimed.

Blockchain data shows that at 9:41 am UTC on Dec. 12, the account beginning with Fm1w sold all 100 million of its tokens into the liquidity pool, receiving 1.24 SOL (approximately $85 at the time) in exchange. Two minutes later, the account beginning with AUKt also sold its coins, receiving 2.62 SOL ($180) in exchange.

At 9:56 am, the deployer account removed its share of the liquidity pool. By the time it did this, all of the CIF in the pool had been sold, causing the deployer to receive only SOL from its withdrawal. In addition, because the previous two transactions had crashed the price, the deployer received only 0.00203928 SOL ($0.14) from its withdrawal.

This alleged exit scam netted the developer approximately $265 worth of SOL in total.

Related: YouTuber Logan Paul claims CryptoZoo ‘isn’t a scam’ in new documentary

Catwifhat community takes over

After the first developer sold their tokens and removed liquidity, investors were left with essentially worthless tokens. However, NFT_Sloth says that several large investors decided to keep pursuing the project. They formed a team to take over its promotion. He claims that Joji also joined the team during this time and began promoting Catwifhat to his Telegram and X audiences. This led some “alpha callers,” speculators who make public bets on memecoins, to increasingly make calls in favor of Catwifhat, ultimately bringing even more investors into its community.

After the first developer exited, traders experienced high slippage from lack of liquidity. Yet during the first 10 days after launch, a single CIF investor managed to buy up over 55 million tokens and deposit them into the Raydium liquidity pool, providing enough supply for traders to keep trading. At the time, this investor’s share of the liquidity pool represented approximately 92% of its total value locked. They also became a social media manager for the new team and had access to its official X account. This centralization in liquidity eventually led to the second “rug pull,” NFT_Sloth claimed.

The project gets “rugged”... again

According to NFT_Sloth, this social media manager revoked his own access to the team’s X account on Dec. 24 and immediately afterward removed his liquidity. The result was a catastrophic slide in the token’s price. The current development team alleges that this action was a “liquidity rug pull,” he claimed, as the person who acted was a member of the team and controlled an excessive amount of the pool’s liquidity.

NFT_Sloth claimed that the team’s Telegram group and website admin also went silent after this event, providing further evidence of an exit scam.

Blockchain data shows that at 7:57 pm UTC on Dec. 24, two transactions from an account beginning with CWSy were confirmed. The first removed nearly 102 million CIF and 1,630 SOL from the Raydium liquidity pool. The second removed approximately 55 million CIF and 869 SOL.

Data from this time shows a massive slide in price for CIF. According to CoinGecko, the token peaked at $0.00431771 on Dec. 23, with the price being recorded as the day began at midnight. This implies that the token had a market cap of over $4.3 million at the beginning of that day. By the start of Dec. 24, the price had fallen to $0.00261692 and the market cap to $2.6 million, a decline of approximately 40%. At this point, the alleged rug pull had not yet occurred.

The next price point recorded is at the start of the following day, four hours after the alleged rug pull had occurred. At that moment, CoinGecko data shows a CIF price of $0.00098130, implying a market cap of $981,300 and a decline of 76%.

Related: Lena Network’s Candy token falls 87% after $2.9M rug pull

Catwifhat regroups yet again

Despite this second “rug pull,” the team reportedly regrouped again. NFT_Sloth said he built a new website for the project while another investor, whom he refers to as “Sam B,” launched a new Telegram group. The old website was eventually taken offline for unknown reasons.

Current Catwifhat website. Source: Catwifhat

NFT_Sloth also credited X user Cryptochristo with breathing new life into the CIF community. They reportedly spent “ten hours a day” promoting the coin after joining the group, which helped to provide the public with new awareness of the project.

He stated that some members of the community are working on an NFT marketplace that will use CIF as its native token, providing CIF with utility. However, NFT_Sloth also argued that memecoins shouldn’t be judged entirely on their utility. “In all honesty, the utility side of meme tokens is kind of like the unsexy side,” he stated. “People are in it for the LOLs for the most part.” He claimed that Catwifhat’s ultimate goal is to “transcend out of the memecoin little bubble” and gain “mainstream” adoption, similar to Dogecoin (DOGE).

As of April 2, CIF has a price of $0.001451 and a market cap of $1,451,116. The 200 million tokens that the developer reportedly sold for $265 on launch day are now worth roughly $290,000, according to CoinGecko data.

The story of Catwifhat offers some hope for victims of rug pulls, as investors were reportedly able to recover from the losses caused by these events. However, most victims of other projects have not been able to recover from these events. In May 2023, rug pulls drained over $45 million from victims, more than the amount drained from decentralized finance exploits. Since April 2023, more than $35 million has been stolen from over 42,000 victims in rug pulls, according to security platform Blockfence.","The 200 million tokens the founder sold on launch day would be worth over $250,000 today had they held.
Catwifhat (CIF) price chart.
From there, they sent 10% of the supply (100 million CIF) to an account beginning with Fm1w and another 10% to an account beginning with AUKt.
At that moment, CoinGecko data shows a CIF price of $0.00098130, implying a market cap of $981,300 and a decline of 76%.
The 200 million tokens that the developer reportedly sold for $265 on launch day are now worth roughly $290,000, according to CoinGecko data."
UK trade association experiments with Regulated Liability Network,"UK Finance, a banking and finance trade association based in the United Kingdom, has announced the beginning of an experimental phase focusing on the U.K. Regulated Liability Network (RLN). Eleven member organizations are taking part.

The experimentation will examine technical and legal issues and customer benefits in three use cases. First, it will consider payment-upon-delivery for physical products with an eye to reducing fraud online.

It will also look at the homebuying process to improve customer transparency to reduce conveyance fraud — the practice of selling an asset to avoid paying a claim by a creditor. The final case study will use digital money for digital bond settlement.

The experiments will align with Project Rosalind, a joint effort of the Bank for International Settlements and the Bank of England that concluded in June. It studied the use of application programming interfaces (API) in banks’ interactions with central bank digital currency (CBDC). The functionality of the U.K. RLN will be examined in a technical sandbox.

Related: City of London, British trade groups form new digital currency advocacy alliance

Results are expected to be published this summer. UK Finance released the results of its discovery-phase RLN experimentation in September.

Barclays, Citi, HSBC, Lloyds Banking Group, Mastercard, NatWest, Nationwide, Santander, Standard Chartered, Virgin Money and Visa are participants in the experimentation.

Source: Dagnum P.I.

The RLN was introduced in November 2022. It places assets and liabilities on the same ledger and focuses on interoperability between regulated forms of money using blockchain. Lloyds Banking Group head of digital and markets innovation Peter Left said in a statement:

“As a commercially led approach, RLN can unlock new features for customers’ money across a range of retail and wholesale use cases.”

In July, the Federal Reserve Bank of New York Innovation Center, the SWIFT global messaging service and nine large financial institutions completed a proof-of-concept to exchange and settle commercial bank deposit tokens and central bank liabilities using a simulated United States CBDC. Participants included Citi, HSBC and Mastercard, which are participating in the UK RLN experimentation as well.

Magazine: How the digital yuan could change the world… for better or worse","UK Finance, a banking and finance trade association based in the United Kingdom, has announced the beginning of an experimental phase focusing on the U.K.
The final case study will use digital money for digital bond settlement.
It studied the use of application programming interfaces (API) in banks’ interactions with central bank digital currency (CBDC).
It places assets and liabilities on the same ledger and focuses on interoperability between regulated forms of money using blockchain.
Participants included Citi, HSBC and Mastercard, which are participating in the UK RLN experimentation as well."
Terraform Labs was ‘built on lies’ — SEC at trial,"As the trial between Terraform Labs and the United States Securities and Exchange Commission (SEC) approaches the finish line, attorneys alleged the crypto firm made several false claims regarding the platform to investors.

According to an April 5 Reuters report, SEC lawyers said in U.S. District Court for the Southern District of New York that Terraform’s story was “built on lies,” which included the stability of algorithmic stablecoin TerraUSD (UST) and an integration with a South Korean payment app. Terraform attorney Louis Pellegrino reportedly claimed co-founder Do Kwon had been truthful in public statements, and the SEC’s case relied on information taken out of context.

The civil trial with the SEC came more than a year after the commission filed a lawsuit against Terraform in February 2023. The regulator alleged at the time that the platform and Kwon “orchestrat[ed] a multi-billion dollar crypto asset securities fraud.”

During the trial, SEC lawyers compared Terra to a “house of cards” that collapsed for investors in 2022. The failure of Terra contributed to a major crypto market downturn that engulfed FTX, BlockFi, Celsius and others forced to file for bankruptcy.

Related: Montenegro’s Supreme Court sends Do Kwon’s extradition case back to lower court

The trial has been moving forward without Kwon attending in person. The Terraform co-founder remains in Montenegro as the courts determine whether to grant an extradition request from the U.S. or South Korea. He was arrested in March 2023 for using falsified travel documents.

In January, Judge Jed Rakoff moved the start date of the SEC v. Terraform Labs trial to March 25 in an attempt to accommodate Kwon. Other major figures in the crypto space going to court in the U.S. include former Celsius CEO Alex Mashinsky for his criminal trial in January 2025 and former Binance CEO Changpeng Zhao for an April 30 sentencing hearing.

Magazine: Lawmakers’ fear and doubt drives proposed crypto regulations in US","As the trial between Terraform Labs and the United States Securities and Exchange Commission (SEC) approaches the finish line, attorneys alleged the crypto firm made several false claims regarding the platform to investors.
The civil trial with the SEC came more than a year after the commission filed a lawsuit against Terraform in February 2023.
Related: Montenegro’s Supreme Court sends Do Kwon’s extradition case back to lower courtThe trial has been moving forward without Kwon attending in person.
The Terraform co-founder remains in Montenegro as the courts determine whether to grant an extradition request from the U.S. or South Korea.
In January, Judge Jed Rakoff moved the start date of the SEC v. Terraform Labs trial to March 25 in an attempt to accommodate Kwon."
Coinbase Wallet triumph over SEC allegations is a ‘giant win’ for DeFi,"Crypto lawyers are hailing a recent decision by a United States judge to dismiss allegations against Coinbase Wallet as a win for self-custody wallets and decentralized finance (DeFi) apps.

U.S. District Judge Katherine Failla on March 27 denied Coinbase’s bid to dismiss a Securities and Exchange Commission’s lawsuit, finding the SEC “sufficiently pleaded” Coinbase was unlicensed and its crypto staking offering was unregistered securities.

The judge also determined the SEC failed to allege that Coinbase conducted brokerage activity through Coinbase Wallet, its self-custody crypto wallet app that gives users full control of their assets.

“[This] is a pretty giant win for browser-based wallet extensions, application front ends, and other similar applications,” said Ethena Labs general counsel Zach Rosenberg in a March 27 X post.

“[It’s] not just that Coinbase won, but the basis for it,” Rosenberg emphasized. He explained that Coinbase helping Wallet users find token prices doesn’t mean it’s acting as a broker by “routing or making recommendations.”

Coinbase winning on this issue at this stage means the Court did not think that, even accepting all well-pled SEC allegations as categorically true, there was a plausible basis to conclude that Coinbase acted as a broker by virtue of offering Coinbase Wallet. — Meat (,) (@MeatEsq) March 27, 2024

The court order could be used by DeFi app developers facing similar lawsuits to argue their way out of allegations that they acted as unregistered brokers.

Industry advocate body the Blockchain Association legal head Marisa Tashman Coppel posted she was “very pleased to see the court curb massive SEC overreach with regard to the Coinbase Wallet allegations.”

Law firm Willkie Farr & Gallagher partner Mike Selig said in an X post the Coinbase Wallet dismissal was a “significant setback” for the SEC.

“SEC aimed to discourage builders from developing peer-to-peer software. Didn’t work.”

Crypto venture firm Variant legal chief Jake Chervinsky said, however, that while there are “some positives” in the judge’s order, “overall, SEC wins.”

Related: US lawmakers demand SEC clarify position on Prometheum’s plans for Ether

“It’s great for DeFi that Wallet is not a broker, and there’s good language on other issues,” he said. “But the court sided with the SEC (incorrectly, [in my opinion]) on several key issues.”

Chervinsky explained Judge Failla said the Howey test — a legal framework to classify securities — applies to “purely secondary market transactions” and ignores the “‘contract’ in ‘investment contract.’”

He claimed the court also adopted the SEC’s theory that a token project using sale profits to reinvest into its ecosystem is a “common enterprise” where buyers would reasonably expect profits — making it a security.

“This is a disappointing outcome,” Chervinsky said. “But it’s only the beginning — not the end — of the SEC’s case against Coinbase specifically.”

The case will now continue into discovery — where Coinbase and the SEC collect evidence for their arguments.

The SEC first sued Coinbase in June last year, alleging it listed 13 tokens the regulator deemed securities and operated as an unlicenced exchange and broker-dealer, which Coinbase denies.

Magazine: Coinbase ‘is going to win’ says MetaLawMan: X Hall of Flame","Crypto lawyers are hailing a recent decision by a United States judge to dismiss allegations against Coinbase Wallet as a win for self-custody wallets and decentralized finance (DeFi) apps.
The judge also determined the SEC failed to allege that Coinbase conducted brokerage activity through Coinbase Wallet, its self-custody crypto wallet app that gives users full control of their assets.
“[This] is a pretty giant win for browser-based wallet extensions, application front ends, and other similar applications,” said Ethena Labs general counsel Zach Rosenberg in a March 27 X post.
The SEC first sued Coinbase in June last year, alleging it listed 13 tokens the regulator deemed securities and operated as an unlicenced exchange and broker-dealer, which Coinbase denies.
Magazine: Coinbase ‘is going to win’ says MetaLawMan: X Hall of Flame"
Former NY Fed chief joins Binance.US board,"United States-based cryptocurrency exchange Binance.US announced that a former chief compliance and ethics officer from the Federal Reserve Bank of New York has joined its board of directors.

In an April 16 blog post, Binance.US said former NY Fed chief Martin Grant would be bringing his “regulatory, legal, and compliance” experience to the crypto exchange as one of its newest board members. Grant was the chief compliance and ethics officer at the NY Fed from 2005 to 2022, having joined the bank in 1990.

According to Binance.US Interim CEO Norman Reed, adding Grant would help the exchange “continue to navigate the current regulatory environment “ in the U.S. The former NY Fed chief is also the Global Head of Regulatory Affairs and Integrity at financial services firm JST Digital, adding that the crypto industry in the U.S. was “at an inflection point.”

The change to Binance.US’ board of directors came roughly two weeks after global exchange Binance — a separate entity — announced it would be forming a board for the first time. The seven-person board is chaired by Gabriel Abed, the ambassador of Barbados to the United Arab Emirates, where the exchange has some personnel and ties to regulatory authorities.

Related: Binance.US says it’s ‘radioactive’ to banks, SEC dealt ‘near-mortal blow’

Former Binance CEO Changpeng Zhao chaired the Binance.US board before he resigned in November 2023 as part of an agreement with U.S. authorities — a settlement that did not include the U.S. exchange. Zhao stepped down as Binance CEO and pleaded guilty to one felony charge, for which he is scheduled to be sentenced on April 30.

Binance, Binance.US and Zhao still face a civil lawsuit initially filed by the U.S. Securities and Exchange Commission in June 2023 for allegedly offering unregistered securities. The case is one of many enforcement actions the regulator is pursuing against crypto firms with operations in the country, including Coinbase and Ripple.

Magazine: ‘SEAL 911’ team of white hats formed to fight crypto hacks in real time","United States-based cryptocurrency exchange Binance.US announced that a former chief compliance and ethics officer from the Federal Reserve Bank of New York has joined its board of directors.
In an April 16 blog post, Binance.US said former NY Fed chief Martin Grant would be bringing his “regulatory, legal, and compliance” experience to the crypto exchange as one of its newest board members.
Grant was the chief compliance and ethics officer at the NY Fed from 2005 to 2022, having joined the bank in 1990.
According to Binance.US Interim CEO Norman Reed, adding Grant would help the exchange “continue to navigate the current regulatory environment “ in the U.S.
Binance, Binance.US and Zhao still face a civil lawsuit initially filed by the U.S. Securities and Exchange Commission in June 2023 for allegedly offering unregistered securities."
Father-son team says they’ve recovered $6M in lost crypto,"When crypto users lose their private keys or get scammed out of their coins by a con artist, they usually cannot recover their funds. In most cases, their crypto is lost forever. But according to a father and son team that operates out of New Hampshire, all hope is not lost. They claim to have recovered more than $6 million worth of lost crypto throughout their careers.

Chris and Charles Brooks run Crypto Asset Recovery, a service that helps crypto users recover lost wallets. They also provide scam tracking for victims of crypto theft.

Charles and Chris Brooks. Source: Crypto Asset Recovery

In a conversation with Cointelegraph, Chris, the father of co-founder Charles, said that about 70% of the duo’s clients come to them after losing their Bitcoin (BTC) wallet password. These users sometimes have no seed word backups, so if they lose their password, their wallets are difficult to recover without the help of a specialist.

“The BIP39 recovery seed [generated by most modern wallets] was only proposed in 2013, and it didn’t start getting wide adoption until 2015. So, for folks who have older wallets, that’s not even an option for them,” he stated. Even if a wallet is fairly new, there is still a “handful of wallets where you have to go searching for your seed words if you want to back that up.”

In these cases, if a user forgets their password, they lose access to their wallet since they don’t have any seed word backups they can use to restore it. Even so, Chris claimed that most of these wallets can still be recovered using software that guesses the password through brute force.

Even if a user has a seed word backup, they may have made a mistake when copying it down. For example, they may have left one word out, or they may be getting an error when they attempt to enter the words. Chris said he could often recover these wallets as well by brute-forcing the missing word or the correct order of words.

Charles said he recently helped a “Casascius coin” collector recover his lost wallet key. A Casascius coin is a physical coin that carries a Bitcoin private key inside of a film on its back side. The private key is only 26 to 36 characters long instead of the usual 51 characters. On the front side of the coin is the first eight characters of the Bitcoin address that corresponds to its key.

According to Charles, the collector had accidentally ripped part of the coin’s film, causing “5 or 6 characters” to become illegible. Using the remaining characters and the snippet of the Bitcoin address from the front of the coin, Charles was able to use software to guess the missing characters to the private key.

Related: Crypto’s Indiana Jones? Coinbase exec helps recover $322K of once-lost crypto

The duo recently launched a scam tracking service for users who have their crypto stolen by con artists. In a case where a client was scammed, “we will take the transaction hashes of [the victim] sending funds to the scammer, [and] we will follow those funds into the scammer’s wallet,” Charles stated. After establishing the scammer’s address or “address cluster,” they will attempt to associate it “with a known entity, which is more often than not an exchange.” Once this entity is known, they will “compile a report and help the client report the case to law enforcement.”

In contrast to crypto lost from a forgotten password, Charles cautioned that scammed funds are usually gone forever. The only sliver of hope of recovering them is by involving police and the courts, he explained:

“We don’t see much likelihood in recovery of scam cases. Once the funds are in somebody else’s wallet, [...] you need to go hunt them down with police and gain access to their Ledger, or whatever is holding it, so we tell [clients] that there is a very low likelihood of recovery.”

Even so, some crypto users may benefit from being able to trace stolen funds and provide a report to the police, he claimed. Charles stated that law enforcement is working on a few cases that the team has reported, but so far, none have concluded.

The duo claimed they’ve recovered $6 million in crypto lost through forgotten passwords, missing seed words and other issues. “We’ve been pretty successful in recovering lost wallets,” Charlie stated. “We have right around a 45% or 46% success rate when somebody needs help with a cracked password, and so over time, that has built up.”

Crypto users have lost billions of dollars from forgetting passwords and losing seed words over the years. According to an estimate from Chainalysis, over 20% of the Bitcoin supply is in wallets no longer under the control of any person.","When crypto users lose their private keys or get scammed out of their coins by a con artist, they usually cannot recover their funds.
They claim to have recovered more than $6 million worth of lost crypto throughout their careers.
Chris and Charles Brooks run Crypto Asset Recovery, a service that helps crypto users recover lost wallets.
The duo claimed they’ve recovered $6 million in crypto lost through forgotten passwords, missing seed words and other issues.
“We’ve been pretty successful in recovering lost wallets,” Charlie stated."
Web3 investment up 55% in Q1 as crypto VC interest rebounds,"The total investment in Web3 firms increased by 55% in the first quarter of 2024, signaling the return of venture capital (VC) interest to crypto.

In addition to an increase of over 55% in total investment, the number of Web3 VC investment deals rose 36% in the first quarter of 2024 compared to the previous quarter, according to a Q1 on-chain report by QuickNode and Artemis.

Artificial intelligence (AI) and gaming-related Web3 protocols took the lion’s share of the investment. According to the report:

“[This indicates] that investments are increasing for the first time in over a year, and suggesting a favorable shift in VC sentiment for web3. In particular, AI and Gaming have garnered the most resounding revival of venture capital enthusiasm among the categories.”

Quarterly number of Web3 investment deals. Source: QuickNode

Further showcasing VC interest in Web3, crypto-focused VC firm Paradigm led a $225 million funding round into Monad Labs, which is building a new layer-1 blockchain network set to compete with Solana. The round was announced on April 9.

Two of the quarter’s largest early-stage rounds included a $42 million Series B round by Berachain and a $35 million pre-seed round for 0G Labs, a data availability blockchain for AI protocols.

Seed round deals saw the most growth, up 53% quarter-on-quarter, suggesting increased interest in early-stage deals. Series A and seed funding rounds nearly doubled their capital inflows compared to the previous quarter, “reflecting VCs’ renewed willingness to invest in Web3,” according to the report.

Quarterly number of Web3 investment deals, by round. Source: QuickNode

Related: With 10 days to the halving, analysts predict $150K Bitcoin top

Crypto VC interest reignites ahead of the Bitcoin halving

Several notable investment deals were announced in the period leading up to the 2024 Bitcoin halving.

On April 9, Bitcoin layer-2 network Mezo announced the completion of a $21 million Series A funding round led by Pantera Capital. Mezo enables investors to earn yield based on the time they hold their tokens. They describe it as a “Bitcoin Economic Layer.”

On April 3, reports emerged about Paradigm negotiating to raise up to $850 million for a new fund, which would make it the largest raise in the crypto industry since May 2022, when Silicon Valley-based VC firm Andreessen Horowitz raised a record-setting $4.5 billion.

What Could Go Wrong with Bitcoin Halving? Source: Cointelegraph

Related: Binance Labs shifts investment focus to Bitcoin DeFi","The total investment in Web3 firms increased by 55% in the first quarter of 2024, signaling the return of venture capital (VC) interest to crypto.
In addition to an increase of over 55% in total investment, the number of Web3 VC investment deals rose 36% in the first quarter of 2024 compared to the previous quarter, according to a Q1 on-chain report by QuickNode and Artemis.
In particular, AI and Gaming have garnered the most resounding revival of venture capital enthusiasm among the categories.”Quarterly number of Web3 investment deals.
Seed round deals saw the most growth, up 53% quarter-on-quarter, suggesting increased interest in early-stage deals.
Quarterly number of Web3 investment deals, by round."
Dubai crypto watchdog aims to ease burdens for small entities,"Dubai's crypto landscape is undergoing a transformative phase, but amidst the buzz, smaller players are grappling with hefty regulatory burdens. Matthew White, CEO of Dubai's Virtual Asset Regulatory Authority (VARA), is on a mission to change that narrative.

In an exclusive revelation at the Paris Blockchain Week, White unveiled ambitious plans to alleviate the compliance costs plaguing small crypto entities.

At a regulatory panel discussion at the Paris Blockchain Week, White admitted that crypto regulations are not perfect, adding that he is looking for ways to improve them.

One of the plans under consideration is lessening the financial burdens for smaller crypto businesses. White said:

“It’s not perfect. There’s a number of things I’m looking at, at the moment, to try and make the regime fit for everybody. One of those is figuring out a way to deal with the costs of compliance for smaller entities.”

The VARA official said getting regulated is a “costly exercise” and that many people lack the resources. White said this was something the watchdog had experienced, leading them to look for solutions.

VARA CEO Matthew White discussing regulations at the Paris Blockchain Week stage. Source: Paris Blockchain Week

White explained a potential fix, where larger participants could “host” smaller ones. With this structure, costs would be carried by entities with more resources. He explained:

“The cost of compliance is borne by the larger systemic players, and this allows the smaller players to come into the ecosystem, be regulated, but also not have to suffer the same sort of level of costs of compliance that we’ve got.”

The VARA CEO also said that looking at things like this is part of the regulator’s journey of allowing innovation while creating regulations. The official said that they are continuing to engage with the industry to try to understand it.

“It moves so quickly. We don’t pretend to know everything as a regulator,” he added.

Related: Lawyer explains new federal virtual asset law in the United Arab Emirates

Last year, White replaced former CEO Henson Orser at VARA. On Nov. 16, VARA announced that White’s appointment was part of its preparations to ramp up to full-scale market operations.

The leadership switch came as the United Arab Emirates tightened its rules and imposed fines for unlicensed virtual asset service providers.

On Nov. 8, United Arab Emirates regulators collaborated in a joint guidance for VASPs, detailing fines and sanctions for non-compliance.

Magazine: Crypto City: Guide to Dubai","Matthew White, CEO of Dubai's Virtual Asset Regulatory Authority (VARA), is on a mission to change that narrative.
In an exclusive revelation at the Paris Blockchain Week, White unveiled ambitious plans to alleviate the compliance costs plaguing small crypto entities.
At a regulatory panel discussion at the Paris Blockchain Week, White admitted that crypto regulations are not perfect, adding that he is looking for ways to improve them.
One of the plans under consideration is lessening the financial burdens for smaller crypto businesses.
VARA CEO Matthew White discussing regulations at the Paris Blockchain Week stage."
Sweden demands $90M in outstanding tax from crypto miners,"Swedish crypto miners owe over $90 million in taxes after government investigations revealed four years of misappropriations.

The Swedish Tax Agency —Skatteverket — investigated the operations of 21 crypto-mining firms between 2020 and 2023. The investigation revealed that 18 crypto-mining firms filed “misleading or incomplete” information to benefit from tax incentives.

According to the agency, some crypto firms provided misleading business descriptions to avoid paying value-added tax (VAT) on taxable operations. Others found ways to avoid paying import taxes on mining equipment or income tax on mining revenue.

A rough translation of the Swedish Tax Agency’s statement read:

“The described approach leads to tax disappearing from the country in the form of incorrect payments of input VAT, unpaid output VAT and unreported crypto assets.”

The crypto mining firms are required to pay the tax authorities over 990 million Swedish krona ($90 million) in total. This includes unpaid total VAT of 932 million krona ($85.4 million) and tax surcharges of approximately 57.9 million krona ($5.3 million).

A breakdown of tax obligations for crypto mining firms between 2020 and 2023. Source: Swedish Tax Agency

While the crypto mining firms appealed against the $90 million demand from the Swedish Tax Agency, the administrative court upheld the appeals of two mining firms and rejected the rest. “The amounts above have been adjusted with regard to the verdicts.”

Related: Renewable energy Bitcoin mining company powers up in Sweden

In November 2023, crypto mining firm Hive Digital Technologies acquired a commercial property and a data center in Boden, Sweden. At the time, Johanna Thornblad, Hive’s country president for Sweden, said:

“The new data center will enable HIVE to grow its regional footprint while further demonstrating its commitment to its ESG focus, sustainable practices, environmental responsibility, and energy efficiency with its newest “green” energy powered data center.”

The company confirmed that the property will also house its incoming generation of ASIC servers and increase its Bitcoin (BTC) production.

Hive owns and operates data center facilities in Canada, Sweden, and Iceland, and it promotes the use of green energy to mine digital assets such as Bitcoin on the cloud.

Magazine: Bitcoin Halving will pump games, Shrapnel’s ‘simple’ secret revealed: Web3 Gamer","Swedish crypto miners owe over $90 million in taxes after government investigations revealed four years of misappropriations.
The Swedish Tax Agency —Skatteverket — investigated the operations of 21 crypto-mining firms between 2020 and 2023.
According to the agency, some crypto firms provided misleading business descriptions to avoid paying value-added tax (VAT) on taxable operations.
A breakdown of tax obligations for crypto mining firms between 2020 and 2023.
Source: Swedish Tax AgencyWhile the crypto mining firms appealed against the $90 million demand from the Swedish Tax Agency, the administrative court upheld the appeals of two mining firms and rejected the rest."
Bitcoin mining difficulty sets new high pre-halving,"Update April 15, 10:40 am UTC: According to the Hash Rate Index, the Bitcoin hash rate only reached a high of 630 EH/s in March.

Bitcoin mining difficulty has experienced another adjustment before the Bitcoin halving, hitting a new all-time high of 86.4 trillion, according to data from BTC.com.

The latest adjustment, which occurred on April 10, increased the Bitcoin mining difficulty by 3.4% from the previous difficulty level of 83 trillion, which was set on March 28.

The difficulty of mining Bitcoin (BTC) continues to grow ahead of the historic halving event, which is poised to cut miner rewards by 50%.

The past five Bitcoin mining difficulty adjustments as of April 10. Source: BTC.com

The latest Bitcoin mining difficulty adjustment is likely the last one before the halving.

According to BTC.com, the next Bitcoin mining difficulty adjustment will occur in 13 days, or around April 24. In the meantime, the Bitcoin halving is expected to occur in eight days on April 19, according to data from M2.

Bitcoin mining difficulty measures how hard and time-consuming it is to mine a new block or solve mathematical puzzles under Bitcoin’s proof-of-work (PoW) consensus mechanism.

BTC mining difficulty adjustment occurs every 2,016 blocks, or approximately every two weeks, as Bitcoin is programmed to self-adjust the difficulty level to maintain a target block time of 10 minutes.

The mining difficulty directly depends on the Bitcoin blockchain hash rate, a unit measuring miners’ computational power to produce new BTC.

In line with the increasing Bitcoin mining difficulty, the BTC hash rate has seen a significant rise recently, surging from around 619 exahashes per second (EH/s) on March 28 to 696 EH/s on April 10, according to BTC.com.

Related: Bitcoin miners may ‘fear’ the halving, but they cherish it too

According to data from BitInfoCharts, the Bitcoin hash rate reached an all-time high of 727.9 EH/s on March 24. Other charts like Hashrate Index indicate that the Bitcoin hash rate didn't post such a high in March, only reaching a high of 630 EH/s in March.

Bitcoin hash rate three-month chart. Source: BitInfoCharts

Some analysts predict that the BTC hash rate will likely drop after the upcoming Bitcoin halving in 2024.

According to Galaxy’s mining analysts, as much as 20% of Bitcoin’s current hash rate could go offline after the Bitcoin halving, as many miners will likely turn off their mining rigs due to lowered efficiency.

The analysts said that more than 70% of the Bitcoin hash rate was churned out by eight ASIC miner models by the end of 2023.

Magazine: Synthetix founder: It’s DeFi that’s wrong, not the market","Bitcoin mining difficulty has experienced another adjustment before the Bitcoin halving, hitting a new all-time high of 86.4 trillion, according to data from BTC.com.
The latest adjustment, which occurred on April 10, increased the Bitcoin mining difficulty by 3.4% from the previous difficulty level of 83 trillion, which was set on March 28.
The past five Bitcoin mining difficulty adjustments as of April 10.
According to BTC.com, the next Bitcoin mining difficulty adjustment will occur in 13 days, or around April 24.
Bitcoin mining difficulty measures how hard and time-consuming it is to mine a new block or solve mathematical puzzles under Bitcoin’s proof-of-work (PoW) consensus mechanism."
Hut 8 ‘self-mining plans’ make it competitive post-halving: Benchmark,"United States Bitcoin (BTC) miner Hut 8’s plans to expand its self-mining operations and its scope of diversified revenue streams will make it more competitive in a post-halving world, according to investing banking firm Benchmark.

In an April 22 research note viewed by Cointelegraph, Benchmark senior analyst Mark Palmer explained that the “new HUT” — a firm borne out of a merger between the “old HUT” and US Bitcoin Corporation — boasted a “diversified business model” with multiple revenue streams.

Benchmark initiated coverage of Hut 8 stock and set a $12 price target — a near 30% increase from its current share price of $9.22, per TradingView data.

Hut 8 is currently trading for just above $9.Source: TradingView

Hut 8’s current self-mining hash rate of 5.4 exahash per second (EH/S) remains far below that of self-mining category leader Marathon Digital which has a deployed rate of 27.8 EH/s, but despite this, Palmer said he expects this gap to close over time.

“Hut trades at a discount to its Bitcoin mining peers that we expect to shrink as the company executes on its self-mining expansion plans.”

Palmer looked to Hut 8’s multiple revenue streams, which include self-mining, cloud computing, high-performance computing, and artificial intelligence services, as justification for his price target.

Related: Biden is asking Congress to kill the American Bitcoin mining industry

“We believe the diversity of Hut 8’s platform will benefit it over the long-term, as its revenue streams outside of self-mining position it to weather severe downturns in Bitcoin’s price better than most of its listed peers, in our view,” Palmer said.

Additionally, Palmer explained that Hut 8 touts an enterprise value-to-revenue multiple of 2.6 which is slightly below that of the 3.1 average of its publicly traded Bitcoin mining peers including, Marathon Digital, Riot Platforms, and several others.

Hut 8’s EV/Revenue multiple is slightly below that of its peers. Source: Benchmark

While Palmer conceded that Hut 8 still needs to upgrade its hash rate he said its 9,102 Bitcoin held on reserve provided it with a “sizable liquidity cushion” as well as an ability to capture upside moves if the price of BTC were to rally significantly in the coming months.

On Feb. 7, Hut 8 announced a leadership shakeup, with former CEO Jamie Leverton being replaced by Asher Genoot, the then-president and sitting member of the company’s board of directors.

The management re-structure came just weeks after short-selling firm JCapital published a report claiming that Hut 8 was in “legal trouble” and warned investors in the Florida-based Bitcoin miner of “upcoming pump and dump.”

Hut 8 slammed the share seller report as a “deliberate attempt to spread misinformation,” claiming it was filled with inaccurate information and misrepresented data.

Magazine: The real risks to Ethena’s stablecoin model (are not the ones you think)","United States Bitcoin (BTC) miner Hut 8’s plans to expand its self-mining operations and its scope of diversified revenue streams will make it more competitive in a post-halving world, according to investing banking firm Benchmark.
In an April 22 research note viewed by Cointelegraph, Benchmark senior analyst Mark Palmer explained that the “new HUT” — a firm borne out of a merger between the “old HUT” and US Bitcoin Corporation — boasted a “diversified business model” with multiple revenue streams.
Benchmark initiated coverage of Hut 8 stock and set a $12 price target — a near 30% increase from its current share price of $9.22, per TradingView data.
“Hut trades at a discount to its Bitcoin mining peers that we expect to shrink as the company executes on its self-mining expansion plans.”Palmer looked to Hut 8’s multiple revenue streams, which include self-mining, cloud computing, high-performance computing, and artificial intelligence services, as justification for his price target.
Hut 8’s EV/Revenue multiple is slightly below that of its peers."
BNB Chain will enable native liquid staking on BSC,"BNB Chain said it will enable native liquid staking on its BNB Smart Chain (BSC) as part of its shift to migrate the BNB Beacon Chain’s functions to BSC as the former is wound down.

In an announcement sent to Cointelegraph, BNB Chain noted that the BNB Beacon Chain will be completely shut down by June 2024. However, the company said it will transfer its features to the BSC before it closes.

BNB Chain’s road map for transitioning from the Beacon Chain to the Smart Chain. Source: BNB Chain

BNB Chain said that enabling liquid staking on BSC will allow ecosystem participants to secure the network while keeping the liquidity of their assets.

While the organization did not give a specific date for the rollout of the liquid staking feature, BNB Chain said it will happen in April or May.

The BNB Chain core development team told Cointelegraph that the move to BSC is the organization’s attempt to streamline the network. They said:

“The implementation aligns with the sunset of the BNB Chain Fusion, streamlining the network, improving efficiency, reducing security risks and matching current technological demands.”

The team added that the move is also a part of the company’s growth plans to make the BNB Chain “more attractive to users.”

BNB Chain explained that with the feature, users can engage in decentralized finance activities without sacrificing the asset’s utility because they will have liquid staking tokens representing their staked crypto assets.

The BNB Chain core development team also told Cointelegraph in a statement that holders can delegate their BNB (BNB) to a liquidity pool or directly to the validator. They said:

“Liquidity staking not only rewards BNB stakers but also enhances security for the BNB Chain network. It offers BNB holders increased flexibility in staking their assets and more options for staking BNB.”

The team explained that when BNB holders stake their tokens in the liquidity pool, they can receive liquidity provider tokens, which they can use in many activities within the ecosystem.

Related: New crypto users shouldn’t ‘rush into DeFi’ — Security firms

According to the development team, liquid staking and the maximum extractable value (MEV) optimization for the BNB Chain will be rolled out together.

“Validators with MEV enabled will have the opportunity to boost their staking returns through MEV revenue, which will ultimately be factored into Liquidity Staking rewards,” the team added.

Magazine: 7 ICO alternatives for blockchain fundraising: Crypto airdrops, IDOs & more","BNB Chain said it will enable native liquid staking on its BNB Smart Chain (BSC) as part of its shift to migrate the BNB Beacon Chain’s functions to BSC as the former is wound down.
In an announcement sent to Cointelegraph, BNB Chain noted that the BNB Beacon Chain will be completely shut down by June 2024.
While the organization did not give a specific date for the rollout of the liquid staking feature, BNB Chain said it will happen in April or May.
The BNB Chain core development team also told Cointelegraph in a statement that holders can delegate their BNB (BNB) to a liquidity pool or directly to the validator.
They said:“Liquidity staking not only rewards BNB stakers but also enhances security for the BNB Chain network."
Crypto VC Paradigm seeking up to $850M raise for fund: Report,"Crypto venture capital firm Paradigm is reportedly negotiating a raise of up to $850 million for a new fund.

Paradigm is discussing with investors to raise between $750 million to $850 million as crypto markets have come back over the past months, Bloomberg reported on April 3, citing people familiar with the matter.

A $750 million raise would be the largest for crypto since May 2022, when Silicon Valley-based VC firm Andreessen Horowitz (a16z) raised a record-setting $4.5 billion.

If Paradigm completes the raise, it would be its largest since it raised a $2.5 billion fund in November 2021 at the peak of the last cycle’s bull run — which was the largest cryptocurrency fund ever at the time.

In September, The Information reported Paradigm was aiming to raise a $1 billion fund.

Paradigm did not immediately respond to a request for comment.

Some of Paradigm’s most notable Web3-related investments include Coinbase, Fireblocks, Blast, Optimism, Uniswap, Gitcoin and friend.tech.

It recently tipped Merkle Manufactory — the firm behind the decentralized social network Farcaster — into unicorn status as its valuation surpassed the $1 billion mark in a Paradigm-led funding round.

Paradigm also invested $278 million in the now-collapsed FTX. It wrote its investment down to zero just four days after Sam Bankman-Fried’s exchange filed for bankruptcy.

Matt Huang, Paradigm's founder and managing partner,said the firm felt “deep regret” for investing in a company that did “enormous damage to the ecosystem.”

Matt Huang, co-founder and managing partner at Paradigm. Source: Paradigm

Huang said FTX only constituted “a small part” of Paradigm’s total assets, however.

Related: Crypto VC funding surged 53% in March, Optimism wins largest share

VC fundraising for crypto projects sunk ta low of $445 million in October 2023 — the lowest monthly figure since December 2020, according to RootData.

However, the last three months have recorded consecutive monthly increases, with March seeing $1.16 billion, according to RootData.

Cryptocurrency fundraising between Jan. 2020 and April 2024. Source: RootData

The infrastructure and decentralized finance (DeFi) sectors received the most funding in 2024 at $1.14 billion and $459 million, respectively.

Nonfungible token (NFT)-related VC funding last year was $281.3 million, a 92% drop from the $3.4 billion in 2022.

The VC funding drop is in tandem with floor prices of major NFT collections also to falling. The two largest NFT projects by market cap, CryptoPunks and the Bored Ape Yacht Club, saw their respective floor prices fall around 63% and 90% from highs back in October 2021 and May 2022, according to NFT Price Floor.

Magazine: The secret of pitching to male VCs: Helping female crypto founders blast off","Crypto venture capital firm Paradigm is reportedly negotiating a raise of up to $850 million for a new fund.
A $750 million raise would be the largest for crypto since May 2022, when Silicon Valley-based VC firm Andreessen Horowitz (a16z) raised a record-setting $4.5 billion.
In September, The Information reported Paradigm was aiming to raise a $1 billion fund.
Nonfungible token (NFT)-related VC funding last year was $281.3 million, a 92% drop from the $3.4 billion in 2022.
The VC funding drop is in tandem with floor prices of major NFT collections also to falling."
Hong Kong investment firm Victory Securities reveals Bitcoin and Ether ETF fees,"Hong Kong-based investment firm Victory Securities has reportedly disclosed its proposed fees to investors for Bitcoin (BTC) and Ether (ETH) exchange-traded funds (ETFs) following the recent approval of cryptocurrency ETF products within the region.

The announcement comes even though the Hong Kong Securities and Futures Commission (SFC) has not yet published the list of approved ETF issuers.

If approved by the SFC, Victory Securities’ customers will face proposed fees for Ether and Bitcoin ETF shares in the primary market, set at 0.5% to 1% of the total transaction, with a minimum fee of $850, according to an extract of a translated report shared by Wu Blockchain on April 20.

For investors interested in buying and selling existing ETF shares on the secondary market, the fees will be 0.15% for online transactions and 0.25% for telephone transactions.

Source: Wu Blockchain

The fees are comparable to the rates set out by United States asset managers offering spot Bitcoin ETFs. While different fees in the U.S. are waived until various times this year, asset manager Franklin Templeton has set its fee at 0.19%, while other ETFs range between 0.20% and 0.90%.

The Grayscale Bitcoin Trust (GBTC) imposes a notably higher fee at 1.5%.

On April 15, Cointelegraph reported that Hong Kong has become the latest country to approve spot ETFs for Bitcoin and Ether.

Related: Hong Kong spot Bitcoin ETF approval draws praise and caution from industry players

At least three offshore Chinese asset managers, including Hong Kong units of Harvest Fund Management, Bosera Asset Management and China Asset Management (ChinaAMC), plan to launch their spot Bitcoin and Ether ETFs soon.

While the approval saw praise from many in the crypto community including local Hong Kong exchanges, others were more skeptical of the ETF's success within the region.

“Mainland China investors probably won’t be eligible to buy Hong Kong-listed spot Bitcoin and Ether ETFs as they are barred from buying virtual assets,” Bloomberg ETF analyst Eric Balchunas stated in an April 17 post on X.

Magazine: Get Bitcoin or die tryin’: Why hip hop stars love crypto","Hong Kong-based investment firm Victory Securities has reportedly disclosed its proposed fees to investors for Bitcoin (BTC) and Ether (ETH) exchange-traded funds (ETFs) following the recent approval of cryptocurrency ETF products within the region.
The announcement comes even though the Hong Kong Securities and Futures Commission (SFC) has not yet published the list of approved ETF issuers.
Source: Wu BlockchainThe fees are comparable to the rates set out by United States asset managers offering spot Bitcoin ETFs.
On April 15, Cointelegraph reported that Hong Kong has become the latest country to approve spot ETFs for Bitcoin and Ether.
Related: Hong Kong spot Bitcoin ETF approval draws praise and caution from industry playersAt least three offshore Chinese asset managers, including Hong Kong units of Harvest Fund Management, Bosera Asset Management and China Asset Management (ChinaAMC), plan to launch their spot Bitcoin and Ether ETFs soon."
Bitcoin nosedives as political tensions escalate in the Middle East,"Bitcoin price plummeted over 8.4% on April 13 after Iran launched an attack on Israel, escalating geopolitical conflicts in the Middle East.

The price of Bitcoin (BTC) dropped from around $67,000 to $61,625, wiping out over $130 million in market capitalization within minutes following news of the attack.

The sell-off is also affecting other cryptocurrencies. At the time of writing, Ether (ETH) was down 9.81% to $2,927, while Solana’s (SOL) sank 15.96% to $129. According to CoinMarketCap data, the global crypto market capitalization declined 8.19% to $2.23 trillion.

Bitcoin price on April 13. Source: TradingView

According to Bloomberg, Iran launched drones toward Israel on Saturday, April 13. The action is retaliation for an attack conducted by Israel days before, which targeted a diplomatic compound in Damascus, Syria, killing seven Iranians, including two generals.

Aside from the airstrikes, Iranian authorities have reportedly seized a cargo ship owned by a billionaire Israeli.

On April 12, United States President Joe Biden warned that Iran would launch attacks “sooner than later,” highlighting that the U.S. would help defend Israel:

“We are devoted to the defense of Israel. We will support Israel, we will help defend Israel, and Iran will not succeed.”

The conflict between Iran and Israel significantly escalates tensions in the region, something the U.S. has been reportedly trying to prevent since the Oct. 7, 2023, terrorist attacks carried out by Hamas, which has led to broader ongoing conflict between Israel and Hamas.

U.S. officials have been urging Israel not to escalate tensions in their response to Iran, a government source told CNN. The officials also expressed frustration with the lack of prior information Israel provided regarding its airstrike in Damascus. Israel only informed a U.S. official when its planes were already en route to Syria, sources said.

“We were not aware that Israel was going to carry out this airstrike in advance,” the official stated. “Minutes before it happened and when Israeli planes were already in the air, Israel reached out to a U.S. official to say they were in the process of conducting a strike in Syria. It did not include any details on who they were targeting or where it would be conducted, and the strike was already underway before word could be passed through the U.S. government.”","Bitcoin price plummeted over 8.4% on April 13 after Iran launched an attack on Israel, escalating geopolitical conflicts in the Middle East.
The price of Bitcoin (BTC) dropped from around $67,000 to $61,625, wiping out over $130 million in market capitalization within minutes following news of the attack.
At the time of writing, Ether (ETH) was down 9.81% to $2,927, while Solana’s (SOL) sank 15.96% to $129.
U.S. officials have been urging Israel not to escalate tensions in their response to Iran, a government source told CNN.
Israel only informed a U.S. official when its planes were already en route to Syria, sources said."
"Cathie Wood’s ARK dumps $31M in Robinhood stock, stacks Roblox","ARK Invest, the investment management firm founded by veteran investor Cathie Wood, started dumping large amounts of stock of the cryptocurrency-friendly broker-dealer Robinhood (HOOD).

On March 25, ARK dumped 1.6 million Robinhood shares from its three funds, according to a trade notification seen by Cointelegraph.

The amount is worth $31.5 million, based on HOOD’s closing price of $19.08 on Monday, according to data from TradingView.

The most significant portion — or 1,247,181 shares — was offloaded from the ARK Innovation ETF (ARKK), worth about $24 million. ARK also offloaded 275,933 and 128,137 HOOD shares from the ARK Next Generation Internet ETF (ARKW) and ARK Fintech Innovation ETF (ARKF), respectively.

ARK’s latest Robinhood sale is the largest one since the company started actively stacking HOOD stock last year. The sales came amid Robinhood seeing significant success, with its price surging 36% over the past 30 days.

The firm was selling smaller portions of Robinhood shares previously, with the majority of such sales being forced by compliance with Rule 12d3-1. The rule prohibits funds from acquiring more than 5% of the value of its total assets in securities.

Related: Coinbase to launch DOGE futures, says it ‘transcended’ meme origins

After dumping $24 million in Robinhood shares, ARK’s ARKK holds HOOD as its eighth-largest portfolio asset, accounting for 4.3% of its entire $8.2 billion assets under management.

The top three assets are Coinbase (COIN), which accounts for 10.6% as of March 26, Tesla (TSLA) and Roku (ROKU), which make up 8.4% and 7.5%, respectively.

ARKK’s top nine assets by value as of March 26, 2024. Source: ARK Invest

While dumping Robinhood, ARK has continued buying more shares of the online game platform Roblox (RBLX). On March 25, ARK acquired 740,115 Roblox shares for its three funds, including ARKK, ARKW and ARKF. The amount is worth $27 million at the closing price on Monday, according to TradingView.

In addition to selling Robinhood, ARK continued to offload Coinbase shares, dumping 4,291 COIN on Monday. The sale is worth roughly $21 million as of Tuesday morning, according to TradingView data.

Founded in 2013, Robinhood is a crypto-friendly stock trading application that allows users to trade cryptocurrencies like Bitcoin (BTC) and Ether (ETH) in addition to stocks, exchange-traded funds (ETFs), options and other assets.

On March 20, 2024, Robinhood launched the Android version of its self-custodial wallet, the Robinhood Wallet app.

Magazine: Bitcoin ETFs make Coinbase a ‘honeypot’ for hackers and governments: Trezor CEO","On March 25, ARK dumped 1.6 million Robinhood shares from its three funds, according to a trade notification seen by Cointelegraph.
ARK also offloaded 275,933 and 128,137 HOOD shares from the ARK Next Generation Internet ETF (ARKW) and ARK Fintech Innovation ETF (ARKF), respectively.
The firm was selling smaller portions of Robinhood shares previously, with the majority of such sales being forced by compliance with Rule 12d3-1.
Source: ARK InvestWhile dumping Robinhood, ARK has continued buying more shares of the online game platform Roblox (RBLX).
In addition to selling Robinhood, ARK continued to offload Coinbase shares, dumping 4,291 COIN on Monday."
"Bitcoin whales in accumulation phase, with BTC halving just a week away","As the Bitcoin (BTC) halving approached, whales have acquired significant amounts of BTC in the past week. With around a week left unti the fourth Bitcoin halving — which will see the block reward reduced to 3.125 BTC — growing demand from whales indicates bullish market sentiment.

According to data shared by crypto analytic firm CryptoQuant, the growth in demand from Bitcoin whales has never been stronger.

Demand from “permanent holders” has exceeded the market supply of new Bitcoin for the first time. This indicates that the quantity of new Bitcoin produced by mining is insufficient to meet cryptocurrency investors’ demand, and the scarcity will only grow further after the halving of the Bitcoin.

Bitcoin issuance vs. permanent holder demand. Source: CryptoQuant

The increasing demand from BTC whales added to the spot Bitcoin inflows will put upward pressure on the price of the top cryptocurrency. In the intermediate and long run, this trend may potentially help to push the value of Bitcoin further.

The Bitcoin halving is a milestone event for the crypto ecosystem and is often preceded and followed by euphoric price action.

Historically, each bull run has started months before the halving in anticipation of the reduced BTC supply. Post-halving, the price of BTC rises multifold due to the decreased supply and widening supply-demand imbalance.

Besides the direct impact on supply, BTC halvings also impact the miners responsible for transaction verification and adding new blocks to the blockchain.

Each halving cuts the amount of BTC miners earn in half, increasing the cost of mining new BTC. Therefore, BTC prices must rise to a certain level for miners to continue operating profitably.

Related: Bitcoin RSI points to short-term gains as metric signals BTC price top

Currently, the average cost of mining one Bitcoin is about $49,000, which is profitable at the current trading price of around $70,000. However, post-halving BTC prices must cross $80,000 for miners to continue operating at a profit.

The whale accumulation phase is a bullish sign for the crypto market, indicating that big BTC holders are moving their holdings to cold wallets in anticipation of a price rise.

Magazine: Creating ‘good’ AGI that won’t kill us all — Crypto’s Artificial Superintelligence Alliance","As the Bitcoin (BTC) halving approached, whales have acquired significant amounts of BTC in the past week.
With around a week left unti the fourth Bitcoin halving — which will see the block reward reduced to 3.125 BTC — growing demand from whales indicates bullish market sentiment.
According to data shared by crypto analytic firm CryptoQuant, the growth in demand from Bitcoin whales has never been stronger.
The Bitcoin halving is a milestone event for the crypto ecosystem and is often preceded and followed by euphoric price action.
Each halving cuts the amount of BTC miners earn in half, increasing the cost of mining new BTC."
eToro’s CEO predicts $100T crypto market amid shifts,"In an interview at Paris Blockchain Week, Yoni Assia, CEO of the trading platform eToro, discussed the future of cryptocurrencies and blockchain technology. Assia predicts that the market capitalization for crypto projects could exceed $100 trillion as more physical assets transition to the blockchain.

Speaking with Cointelegraph Editor-at-Large Kristina Lucrezia Cornèr at the Paris Blockchain Week on April 10, Assia discussed eToro’s journey through several price crash events, recollecting “crypto winter” episodes of the Mt. Gox crash, the initial coin offering (ICO) bubble, nonfungible tokens (NFTs) and the recent ecosystem collapses.

In the process, Assia underscored the need for investors to learn about assets of interest and stick to a “long-term vision” amid market turmoil.

Unlike 15 years ago, investors now have the option to go beyond Bitcoin (BTC) and put their money into various altcoin projects and blockchains.

Moreover, Assia envisions a future where real-world assets will be traded over blockchains, much like digital asset securities. In doing so, traditional stock markets could go beyond the current T+1 settlement cycles to how crypto operates.

Over the next 10 years, Assia predicts that the market capitalization of crypto projects will exceed $100 trillion in value as most physical assets shift over to the blockchain.

He further anticipates that Bitcoin’s market price will continue to rise as more people realize the rising inflation of fiat money and use BTC as a hedge to retain their purchasing power.

Responding to Cornèr’s question on the redistribution of wealth via crypto, Assia said artificial intelligence (AI) will be one of the biggest disruptors, as it is well-positioned to create new types of jobs and generate wealth “through creating new forms of money.”

Related: Ethereum-based investment products see negative outflows for 4th consecutive week

The use of decentralized AIs in the future could be to make investments in an unstoppable blockchain like Bitcoin, and in the process, “the crypto community will be the first to identify singularity because it’s very hard to define what consciousness is,” he said.

In a previous interaction with Cointelegraph, Assia said Bitcoin adoption would be catalyzed by exchange-traded funds (ETFs) and ease of investing through various platforms for non-professionals.

Magazine: Synthetix founder: It’s DeFi that’s wrong, not the market","In an interview at Paris Blockchain Week, Yoni Assia, CEO of the trading platform eToro, discussed the future of cryptocurrencies and blockchain technology.
Assia predicts that the market capitalization for crypto projects could exceed $100 trillion as more physical assets transition to the blockchain.
Speaking with Cointelegraph Editor-at-Large Kristina Lucrezia Cornèr at the Paris Blockchain Week on April 10, Assia discussed eToro’s journey through several price crash events, recollecting “crypto winter” episodes of the Mt.
In the process, Assia underscored the need for investors to learn about assets of interest and stick to a “long-term vision” amid market turmoil.
Over the next 10 years, Assia predicts that the market capitalization of crypto projects will exceed $100 trillion in value as most physical assets shift over to the blockchain."
Grayscale spot Bitcoin ETF ‘halves’ before BTC halving,"Major Bitcoin (BTC) investor Grayscale Investments has seen its spot BTC exchange-traded fund (ETF) holdings drop 50% ahead of the anticipated Bitcoin halving event.

Bitcoin holdings in the Grayscale Bitcoin Trust ETF (GBTC) shrunk by one-half from 619,220 BTC on the first day of trading on Jan. 11.

According to GBTC data, the spot Bitcoin ETF held 309,871 BTC on its 66th day of trading on April 16, down 50% of the amount since the trading debut. At the time of writing, the amount is worth $19.7 billion.

The GBTC “halving” came just two days before the much anticipated Bitcoin halving, which will reduce the mining reward by 50% from 6.25 BTC to 3.125 BTC.

Occurring once every four years, or once in 210,000 blocks, the Bitcoin halving is a major event, often tied to subsequent rallies in the crypto market.

The two events do not correlate but make for another coincidence in the chronology of Bitcoin-related occurrences.

GBTC has been experiencing a massive sell-off since the first day of trading, significantly impacting the Bitcoin price.

The outflows have been largely attributed to high trading fees as GBTC had the biggest fees of the 10 spot Bitcoin ETFs in the United States — 1.5% at the trading start. The majority of Bitcoin ETFs were lowering their fees to increase competitiveness, setting trading commissions between 0.2% and 0.4%.

Related: GBTC fees will drop when Bitcoin ETFs ‘start to mature’ — Grayscale CEO

GBTC’s biggest rival, BlackRock's iShares Bitcoin Trust (IBIT), offered a 0.25% fee at the trading start, not including a 0.12% discount for the first $5 billion of traded assets during the waiver period.

BlackRock's spot Bitcoin ETF has attracted a lot of inflows, with holdings surging more than 10,000% from just 2,621 BTC on the trading debut to 272,548 BTC on April 16. BlackRock’s IBIT is now 13% far from reaching GBTC holdings.

Despite the rapid growth, IBIT has failed to absorb GBTC outflows of 309,349 BTC. However, with eight other issuers, the spot Bitcoin ETF providers have accumulated around 224,552 BTC, excluding GBTC, since the trading launch.

As of April 16, 2024, the 10 spot Bitcoin ETFs collectively held around 862,162 BTC, worth $54.7 billion.

Magazine: Bitcoin Halving will pump games, Shrapnel’s ‘simple’ secret revealed: Web3 Gamer","Major Bitcoin (BTC) investor Grayscale Investments has seen its spot BTC exchange-traded fund (ETF) holdings drop 50% ahead of the anticipated Bitcoin halving event.
Bitcoin holdings in the Grayscale Bitcoin Trust ETF (GBTC) shrunk by one-half from 619,220 BTC on the first day of trading on Jan. 11.
The GBTC “halving” came just two days before the much anticipated Bitcoin halving, which will reduce the mining reward by 50% from 6.25 BTC to 3.125 BTC.
However, with eight other issuers, the spot Bitcoin ETF providers have accumulated around 224,552 BTC, excluding GBTC, since the trading launch.
As of April 16, 2024, the 10 spot Bitcoin ETFs collectively held around 862,162 BTC, worth $54.7 billion."
SEC issues Wells notice to DeFi protocol Uniswap,"The United States Securities and Exchange Commission has issued a Wells notice to the decentralized exchange Uniswap.

On X (formerly Twitter), Uniswap chief legal officer Marvin Ammori confirmed the regulator’s notice on April 10. “Today’s Wells notice against Uniswap is disappointing, but is not unexpected from this SEC,” Ammori wrote, arguing:

“If the SEC had authority over our self-custodial, non-intermediated products, it could tell us how to register them. It can’t and so it doesn’t. It has provided no clarity and no guidance — as several SEC commissioners have stated in multiple dissents.”

A Wells notice is a formal notification issued by the SEC to inform a company or individual that the regulator’s staff intends to recommend enforcement action against them. This notice gives the recipient an opportunity to provide a written explanation or argument (a “Wells submission”) as to why such action should not be taken.

Uniswap enables automated token exchanges on the Ethereum blockchain, allowing users to swap several crypto tokens without needing traditional intermediaries like centralized exchanges.

The SEC has been investigating Uniswap Labs, Uniswap’s main developer, since 2021. The decentralized exchange (DEX) has previously delisted several tokens from its platform, citing growing regulatory pressure.

Related: What is a Wells notice, explained

As part of its defense, Uniswap Labs previously claimed that it is only the software developer responsible for building the front-end portal to the app. The front-end is separate from the Uniswap protocol itself, which is autonomous code released for public use.

“The Uniswap Protocol, web app, and wallet don’t meet the legal definitions of securities exchange or broker,” said Ammori, adding that the protocol welcomes “regulations for crypto — and clear rule of law that we expect in the US — not arbitrary enforcement and continued abuse of power.”

The SEC has issued similar notices in the past, warning about legal actions against crypto exchanges Coinbase and Binance.

While the U.S. SEC unveils its latest legal action against crypto protocols, the European Union is advancing its Markets in Crypto-Assets (MiCA) regulation over decentralized finance (DeFi) protocols, including their front-ends.

The EU regulator is required to prepare a report by Dec. 30, 2024, assessing the feasibility of specific regulations for the decentralized finance market. The report will explore how decentralized systems, particularly those without a clear issuer or service provider, should be regulated in the region.","The United States Securities and Exchange Commission has issued a Wells notice to the decentralized exchange Uniswap.
On X (formerly Twitter), Uniswap chief legal officer Marvin Ammori confirmed the regulator’s notice on April 10.
“Today’s Wells notice against Uniswap is disappointing, but is not unexpected from this SEC,” Ammori wrote, arguing:“If the SEC had authority over our self-custodial, non-intermediated products, it could tell us how to register them.
The decentralized exchange (DEX) has previously delisted several tokens from its platform, citing growing regulatory pressure.
The front-end is separate from the Uniswap protocol itself, which is autonomous code released for public use."
Gary Gensler’s resignation ‘troll’ post disappoints Crypto X,"United States Securities and Exchange Commission (SEC) Chair Gary Gensler duped more than a few X users into believing he was resigning from the SEC on Wednesday — before saying he was “not done.”

“It’s been an honor to serve as [SEC] Chair. Over the past 3 years, I’ve seen firsthand how the incredible staff at the SEC serve investors and issuers alike,” Gensler wrote in an April 17 X post.

In following posts, he noted the “more than 2,000 enforcement actions” and rules that the SEC has finalized under his stewardship, which appeared to be teeing up a resignation announcement.

“And we’re not done,” Gensler added, delivering the final punchline.

The posts went viral and have been viewed over 1.1 million times, according to X figures.

“A legendary and respectable troll thread, honestly [in my opinion],” wrote crypto trader Jordan Fish, who goes by Cobie.

“This really does feel like a resignation tweet at first, but then it’s clearly not,” wrote Bloomberg Litigation Analyst Elliott Stein. “Gotta think that was intentional, given Gensler’s seeming penchant for trolling.”

Van Buren Capital general partner Scott Johnsson highlighted Gensler’s posts “leads with [number] of enforcement actions.”

“Would be like [Department of Justice/Bureau of Prisons] highlighting number of incarcerations. Lack of focus,” he added.

In 2023, the SEC’s crypto-related enforcement actions reached a 10-year high under Gensler’s leadership, which brought 46 enforcement actions against crypto firms, doubling from 2021.

U.S. crypto industry executives and some lawmakers have claimed Gensler takes a “regulation by enforcement” approach to crypto, as the SEC argues dozens of cryptocurrencies are securities in lawsuits against crypto companies.

Gensler, meanwhile, has claimed crypto is full of fraud and manipulation and has said companies should “come into compliance.”

The crypto side of X got back at Gensler for his post — in its own way.

Related: Gary Gensler responds to US lawmakers over SEC’s false spot Bitcoin ETF tweet

Unofficial Crypto Twitter archivist “inversebrah” noted the platform’s crypto community “managed to score a couple of helthy [sic] ratios already.” A ratio is when a reply post garners more engagement — such as likes or shares — than the original post it replied to.

In this case, Gensler’s post received around 1,700 likes, but some responses have racked up more than three times that.

Some of the reply posts to Gensler’s thread with a greater number of likes. Source: X

U.S. President Joe Biden nominated Gensler to chair the SEC in 2021. Gensler started his five-year tenure on April 17, 2021, and could serve as chair until April 17, 2026.

It is, however, custom for the SEC chair to resign if the U.S. elects a new president, and Americans are heading to polls on Nov. 5 to vote on a possible rematch between Biden and former president Donald Trump.

Magazine: Crypto regulation — Does SEC Chair Gary Gensler have the final say?","United States Securities and Exchange Commission (SEC) Chair Gary Gensler duped more than a few X users into believing he was resigning from the SEC on Wednesday — before saying he was “not done.”“It’s been an honor to serve as [SEC] Chair.
Over the past 3 years, I’ve seen firsthand how the incredible staff at the SEC serve investors and issuers alike,” Gensler wrote in an April 17 X post.
“A legendary and respectable troll thread, honestly [in my opinion],” wrote crypto trader Jordan Fish, who goes by Cobie.
In this case, Gensler’s post received around 1,700 likes, but some responses have racked up more than three times that.
Magazine: Crypto regulation — Does SEC Chair Gary Gensler have the final say?"
"History of Crypto: Crippling inflation, rising debt, and the evolving crypto landscape","The cryptocurrency market took a beating in 2022, falling more than 70% during a time when the industry made headlines around the world for all the wrong reasons — from FTX’s bankruptcy and Sam Bankman-Fried’s arrest to the $50 billion collapse of the Terra ecosystem.

The United States also saw inflation hit a 40-year high as the country’s national debt figure continued to rise.

But it wasn’t all doom and gloom. In September 2022, Ethereum made the long-awaited transition to a proof-of-stake network, and Bitcoin’s hash rate increased threefold throughout the year. The market also rebounded strongly in 2023.

Here are some of the major industry events between 2022 and 2023.

EXPLORE THE HISTORY OF CRYPTO

U.S. inflation rates have topped out, for now

Crippling inflation was one of several macroeconomic factors that contributed to the 77.2% price drawdown for Bitcoin (BTC) from its previous all-time high of $68,990 to a cycle low of $15,740 in November 2022.

In fact, the U.S. Consumer Price Index (CPI) inflation rate topped out at 9.1% in June 2022, marking its highest level since 1982, according to the U.S. Bureau of Labor Statistics.

Fortunately, CPI inflation started trending downward after June 2022, bottoming out at around 3% in June 2023. Since then, monthly figures have hovered around the 3% range.

Change in CPI inflation over the last 20 years. Source: U.S. Bureau of Labor Statistics

Since June 2023, Bitcoin has soared over 135% from $30,480 to set a new all-time high above $73,000.

However, the CPI inflation rate has risen 11.65% since November 2021, meaning Bitcoin still hasn’t hit its inflation-adjusted all-time high. That will happen when Bitcoin notches $77,026.

U.S. national debt continues to soar

The U.S. national debt continued its exponential rise in 2022 and 2023, increasing 4.35% to $33.2 trillion over those two fiscal years, according to data from the U.S. Treasury.

Change in U.S. national debt over the last 100 years. Source: U.S. Treasury

The debt, which has since risen to $34.5 trillion, has put the U.S. on an “unsustainable fiscal path,” according to U.S. Federal Reserve Chair Jerome Powell.

Fortunately, the U.S. debt to gross domestic product ratio has decreased from about 3.2% to approximately 123%.

Researchers from the University of Pennsylvania say financial markets can only withstand another 20 years of accumulated deficits projected under current U.S. fiscal policy. After that, the debt dynamics would begin to “unravel.”

EXPLORE THE HISTORY OF CRYPTO

Coinbase CEO Brian Armstrong recently voiced that increased Bitcoin (BTC) adoption in the U.S. could serve as a “check and balance on excessive deficit spending,” which he believes is essential for the U.S. dollar to remain strong.

Bitcoin’s inclusion would mark a “return to financial discipline,” he added.

El Salvador is a textbook example of this, according to venture capitalist Tim Draper, who believes the country’s Bitcoin investment could help pay off the $215 million in debt it owes to the International Monetary Fund.

“[If] Bitcoin hits $100,000, they’ll be able to pay off the IMF [and] never have to talk to them again.”

FTX’s collapse shocks the world as SEC plays cop on crypto industry

Tumbling macroeconomic conditions between 2023 and 2023 arguably impacted every cryptocurrency firm, which led to an array of bankruptcies, liquidations and even prison time for some of the industry’s most controversial figures.

The events triggered a wave of regulation by enforcement action by the Gary Gensler-led U.S. Securities and Exchange Commission (SEC), which declared itself the “cop on the beat” for the cryptocurrency industry.

No collapse was bigger than FTX, which saw more than $8 billion in misappropriated customer funds wiped from a crashing market. BlockFi also went bankrupt — citing loans it lost from FTX — while Three Arrows Capital filed for Chapter 15 bankruptcy after its excessive leverage on long positions was wiped out.

Celsius and Voyager were other notable firms that filed for bankruptcy.

Former FTX CEO Sam Bankman-Fried was convicted of fraud in November 2023 for his role in orchestrating what some described as the largest fraud in U.S. history.

The $50 billion collapse of the Terra ecosystem and its algorithmic stablecoin TerraUSD (UST) also caused carnage in May 2022.

The man largely responsible for that collapse was Do Kwon, the former CEO of Terraform Labs, who spent more than five months on the run in several countries before finally being detained at immigration control in Montenegro for using a fake Costa Rican passport.

He faces fraud charges in his home country of South Korea and in the U.S. for the role he played in the Terra collapse.

The SEC became even more determined to catch the remaining “hucksters,” “fraudsters” and “scam artists” in the cryptocurrency industry after Bankman-Fried. Most notably, it sued the world’s largest cryptocurrency exchange, Binance, and its former CEO, Changpeng Zhao, who pleaded guilty to money laundering violations in November 2023.

The securities regulator also sued Coinbase in June 2023, claiming the trading platform unlawfully listed cryptocurrencies, which it considered to be securities.

Related: Bitcoin’s banking crisis surge will ‘attract more institutions’: ARK’s Cathie Wood

March 2023 also saw a local banking crisis, with three cryptocurrency-friendly banks collapsing: Signature Bank, Silvergate Bank and Silicon Valley Bank (SVB). This gave rise to fears that the U.S. banking system may not be as resilient as initially thought.

Even Fed Chair Powell was left scratching his head over the collapse of SVB.

EXPLORE THE HISTORY OF CRYPTO

Despite several industry setbacks, builders kept building.

Most notably, Ethereum transitioned to a proof-of-stake consensus mechanism in September 2022 and, in doing so, decreased its energy consumption by over 99%.

The Bitcoin network also became more secure between 2022 and 2023, with its hash rate increasing 200% to 515 terrahashes per second during that time frame, according to Blockchain.com data.

Magazine: Unstablecoins: Depegging, bank runs and other risks loom","The United States also saw inflation hit a 40-year high as the country’s national debt figure continued to rise.
Source: U.S. Bureau of Labor StatisticsSince June 2023, Bitcoin has soared over 135% from $30,480 to set a new all-time high above $73,000.
However, the CPI inflation rate has risen 11.65% since November 2021, meaning Bitcoin still hasn’t hit its inflation-adjusted all-time high.
U.S. national debt continues to soarThe U.S. national debt continued its exponential rise in 2022 and 2023, increasing 4.35% to $33.2 trillion over those two fiscal years, according to data from the U.S. Treasury.
Change in U.S. national debt over the last 100 years."