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Taiwan’s Ace Exchange founder indicted in $10.6M fraud case
Update April 11, 07:15 am UTC: This article has been updated to include a quote from Ace Exchange denying reports that the platform operates multiple franchise stores. Prosecutors in Taiwan are taking action against David Pan, the founder of Ace Exchange, a local cryptocurrency trading platform. According to an official statement by prosecutors, Pan was indicted alongside six other suspects on April 8. Prosecutors charged him with money laundering and fraud, which led to losses of 340 million New Taiwan dollars ($10.6 million). The Taipei City police previously arrested Pan and 14 others allegedly involved in the case in January 2024 following raids on several locations, including Ace’s headquarters. The prosecution found that Pan was one of the persons affiliated with the fraudulent cryptocurrency wallet service referred to as “Alfred” or “Afu wallet” and a related crypto card. According to prosecutors, the persons defrauded customers by offering a service based on a classic high-reward promise model through offline over-the-counter exchange and fake investment groups. After depositing funds, the defrauded investors could not withdraw their funds or found their accounts blocked. A Taiwanese court reportedly ruled that the defendant’s property should be seized, with some confiscated assets amounting to at least 3.5 million NT$, or $110,000. In response to the indictment, Ace Exchange published a statement on April 8, reiterating that Pan and his fraudulent activity had nothing to do with the platform, as he reportedly ceased to be involved in day-to-day operations in 2022. Related: Philippines SEC ‘can’t endorse’ ways to retrieve funds after Binance ban “The wallet product was developed by a third-party team entrusted by the former director Pan and is not a product or service launched by Ace Exchange,” the firm emphasized. It added that Ace was cooperating with local authorities. The exchange stated the following: “Please rest assured that the trading and operating conditions of Ace Exchange are normal. We ensure the security of user assets, and deposit and withdrawal services for all cryptocurrencies and New Taiwan dollars operate smoothly.” Ace Exchange also denied reports alleging that the platform operates multiple franchise stores and facilitates cash transactions of cryptocurrencies through ATMs. “We want to categorically state that Ace Exchange has never established franchise stores, nor have we engaged in any services involving cash transactions of cryptocurrencies,” a spokesperson told Cointelegraph. Ace Exchange is a lesser-known centralized crypto exchange based in Taiwan. According to data from CoinMarketCap, the platform was launched in late 2018 and trades around $14 million per day. According to data from Traders Union, Ace Exchange should be considered a “high-risk cryptocurrency exchange” with a trust score of 2.78 out of 10. Magazine: Google sues crypto app scammers, Crypto.com in Korea: Asia Express
Prosecutors in Taiwan are taking action against David Pan, the founder of Ace Exchange, a local cryptocurrency trading platform. According to an official statement by prosecutors, Pan was indicted alongside six other suspects on April 8. The exchange stated the following:“Please rest assured that the trading and operating conditions of Ace Exchange are normal. Ace Exchange is a lesser-known centralized crypto exchange based in Taiwan. According to data from Traders Union, Ace Exchange should be considered a “high-risk cryptocurrency exchange” with a trust score of 2.78 out of 10.
Pac Finance causes $24M in liquidations via sudden parameter change
Users of the decentralized finance (DeFi) app Pac Finance have reportedly suffered $24 million in liquidations on April 11 because of a sudden parameter change made by a developer wallet, according to multiple reports on social media and the app’s official Discord server. In a post to X, the team stated that the parameter was changed by a smart contract engineer "without prior notification to our team." They claimed that they are in contact with affected users and are woring to mitigate the issue. Pac Finance is a crypto lending app that runs on Blast network. It allows crypto holders to deposit funds and earn interest by lending their capital. To ensure repayment, the app only allows borrowers to take out loans equal to a percentage value of their collateral. This percentage is called the “loan-to-value ratio” (LTV). The LTV can be changed by the development team, but this is usually only done after an announcement is made. According to Blast network’s blockchain data, a developer wallet called a function on Pac Finance's PoolConfigurator-Proxy contract at 1:06 am UTC on April 11, setting the LTV for Renzo Restaked Ether (ezETH) at 60%. ezETH parameter change on Pac Finance. Source: Blastscan. According to smart contract developer Roffet.eth, this parameter change caused “the liquidation of a large number of ezETH leveraging farmers,” as these borrowers were now found to be violating the collateral rules for the protocol. Roffet called the parameter change “arbitrary,” since it was allegedly done without warning. Parsec Finance founder Will Sheehan also criticized the change, claiming it occurred “seemingly without warning.” Sheehan estimated that borrowers lost approximately $24 million in collateral as their assets were automatically sold off to pay back their loans due to this change. Related: Curve’s (CRV) price hits a 1-year low amid looming liquidation threat In response to the cascade of liquidations, Pac Finance users took to the protocol’s official Discord server to complain and demand answers. In response, the team’s Discord moderator, Bountydreams, announced they were attempting to contact the team to get an explanation. By 7:55 pm, they claimed to have still received no response. Pac Finance users complain of April 11 liquidations. Source: Pax Finance, Discord. After publication, the team posted to X acknowledging the issue. They stated that the parameter change was made by a smart contract engineer who was asked to make changes to LTV. However, the engineer also made changes to the liquidation threshold, which was not authorized by the team. The team claimed they are working to mitigate the impact to users and to set up a "governance contract/timelock and forum" to prevent future incidents like this one. Mass liquidations are a frequent problem for leveraged traders who borrow cryptocurrency or cash. However, they usually happen because of sudden changes in the price of a cryptocurrency, not because of protocol changes. On April 2, leveraged Bitcoin traders were liquidated for over $165 million when it experienced a flash crash. On April 9, another $110 million in Bitcoin positions were liquidated when the price suddenly rose. Update (April 12, 2:12 pm UTC): This article has been updated to include a statement from the Pac Finance team.
Pac Finance is a crypto lending app that runs on Blast network. ezETH parameter change on Pac Finance. Related: Curve’s (CRV) price hits a 1-year low amid looming liquidation threatIn response to the cascade of liquidations, Pac Finance users took to the protocol’s official Discord server to complain and demand answers. Pac Finance users complain of April 11 liquidations. Update (April 12, 2:12 pm UTC): This article has been updated to include a statement from the Pac Finance team.
Chinese police probe spurs mysterious token movements and platform upgrades
Filecoin liquid staking protocol STFIL claims that there have been token movements and unexplainable protocol upgrades following an investigation of their team members by the Chinese police. On April 9, the protocol expressed its belief that Chinese authorities are still investigating its core technical team members. According to the X post, the detained members have already received legal assistance. It wrote: “We believe that the STFIL core technical team is under investigation by local Chinese police, and we understand lawyers have been hired to understand the current situation and provide legal assistance to the individuals under detention.” The liquid staking protocol also said that while its team members were detained last week, Filecoin (FIL) tokens on the STFIL platform were transferred to an “unknown, external address.” At the time of writing, the address holds 2.5 million FIL tokens worth about $23 million. Address holding the tokens from the staking platform. Source: Filecoin Explorer Furthermore, STFIL also claimed that there were “abnormal, unscheduled upgrades” in the past few days within the protocol amid the investigation. The staking platform said they are seeking assistance and urged the community to help monitor the address that received the tokens. “We hope that the community can help track this unknown address and discuss ways to protect the interests of stakeholders,” it wrote. Community members on X claiming to have staked their FIL tokens on the platform have been discussing how they could recover their funds. Some have questioned how the police can take their funds. Related: Crypto staking rewards are now 450% higher than S&P 500 dividends Meanwhile, the Filecoin token remains strong despite the issues. On April 9, FIL recorded a seven-day high of $9.32 and had a 24-hour volume of $265 million. Currently, the token hovers aroun $9.12, according to coin information tracker CoinGecko. Filecoin’s seven-day price chart. Source: CoinGecko This is not the first time Chinese authorities have cracked down on crypto projects. In 2023, cross-chain protocol Multichain announced that it was forced to halt its operations due to a lack of funds. This happened after its CEO and co-founder, Zhaojun He, was taken into custody by Chinese police. With information scarce, the project had no choice but to wind down activities. Magazine: 1 in 6 new Base meme coins are scams, 91% have vulnerabilities
Filecoin liquid staking protocol STFIL claims that there have been token movements and unexplainable protocol upgrades following an investigation of their team members by the Chinese police. On April 9, the protocol expressed its belief that Chinese authorities are still investigating its core technical team members. Address holding the tokens from the staking platform. The staking platform said they are seeking assistance and urged the community to help monitor the address that received the tokens. Community members on X claiming to have staked their FIL tokens on the platform have been discussing how they could recover their funds.
Former Disney boss launches Web3 game publisher with Marvel, Star Wars talent
A team of Hollywood and gaming luminaries has joined forces to launch a AAA Web3 games publisher in the United Arab Emirates. Dubbed Galactic Entertainment Publishing, the recently launched venture represents the first arm of parent company Galactic Group. The firm’s inaugural endeavor, PlanetQuest, has been in active development since 2022. Loren Roosendaal, CEO of Galactic Entertainment and founder of PlanetQuest, told Cointelegraph that despite the game not having launched yet, it’s installed a massive user base: “PlanetQuest passport holders account for over 300,000 connected wallets, over 200,000 of which hold one or more PlanetQuest NFTs.” AAA franchise experience The team behind PlanetQuest is comprised of former employees from Disney, Warner Bros., Activision-Blizzard and Epic. Their previous individual credits include a bevy of franchises, from films such as The Batman, Avengers and Blade Runner to AAA games such as Fortnite, Call of Duty, and Star Wars: Jedi Survivor. The firm’s chief creative officer, Jon McCoy — who has worked on AAA Hollywood blockbusters throughout his career — said those experiences couldn’t compare with his work with Galactic Group: “Naturally no first attempt at something new is perfect, but it’s been amazing getting to create a sci-fi universe with the fans in a way that’s never been attempted before. I’ve gotten to fulfill a lot of my childhood dreams, working on Star Wars, Blade Runner and Marvel movies to name a few, but there’s little that compares to being able to interact and build with the fans from day one.” PlanetQuest The company’s first title, PlanetQuest, has been described as existing in a “Star Wars-like” world full of assets that players can own and trade. Everything from ships to entire planets can be copped as digital assets that, ostensibly, players can keep for their own game use or sell/trade to other players for native currency. Galactic currently has plans to launch tie-in media for PlanetQuest, including novels, comic books and another game to be revealed later, according to a report from VentureBeat. Related: Disney launches NFT platform with Dapper Labs
A team of Hollywood and gaming luminaries has joined forces to launch a AAA Web3 games publisher in the United Arab Emirates. Dubbed Galactic Entertainment Publishing, the recently launched venture represents the first arm of parent company Galactic Group. Their previous individual credits include a bevy of franchises, from films such as The Batman, Avengers and Blade Runner to AAA games such as Fortnite, Call of Duty, and Star Wars: Jedi Survivor. Galactic currently has plans to launch tie-in media for PlanetQuest, including novels, comic books and another game to be revealed later, according to a report from VentureBeat. Related: Disney launches NFT platform with Dapper Labs
TradFi firms now prefer public blockchains: Ex-Grayscale exec
Traditional financial institutions are more keen on tokenizing assets on public blockchains than ever before, says a former Grayscale executive. Speaking with Cointelegraph, Celisa Morin, who served as Vice President of Platform Distribution at Grayscale until mid-2022, said that a new BlackRock-led narrative among TradFi institutions could see more firms look to tokenize assets on public chains over private ones. “I think we see a preference for private chains with JPMorgan’s Onyx. But I do think that this was the narrative a few years back. Now, I think it's very much the public blockchains.” Morin is now the head of international law firm Reed Smith’s crypto department, explaining it would make sense for larger traditional financial institutions to follow the lead of BlackRock — which launched its $100 million tokenized ‘BUIDL’ fund on the Ethereum network on March 18. The BUIDL fund now holds $288 million in assets per Dune Analytics data. Top tokenized funds of government securities. Source: Dune Analytics BlackRock’s move to launch a fund on Ethereum wasn’t without controversy, with the asset manager’s on-chain wallet quickly becoming the target of various spoofs from crypto enthusiasts. Deposits to BlackRock’s public wallet included legally dubious transactions from the now OFAC-sanctioned mixer Tornado Cash, as well as a roster of various cryptocurrencies from real-world asset (RWA) tokenization projects and memecoins. Despite the potential legal troubles that come with opting to tokenize assets on public blockchains — instead of using a more KYC and AML-friendly private network, Morin said many firms would likely take the lead from BlackRock. “If BlackRock has made these choices, I don’t know why the rest of the crew would be held back.” Morin also noted that Franklin Templeton had already made the “forward thinking” move to launch its tokenized money market fund on the payments-oriented Stellar Network in 2021. The fund integrated with the Ethereum layer-2 scaling solution Polygon in October last year. Related: Over $1B in US Treasurys have now been tokenized on-chain Franklin Templeton’s three-year-old Franklin OnChain U.S. Government Money Fund (FOBXX) now boasts a total of $360.2 million in U.S. Treasurys. In total, $1.08 billion in U.S. Treasurys have now been tokenized across 17 products. Ethereum ETF in May unlikely Morin was less enthusiastic about spot Ether (ETH) exchange-traded funds (ETFs), saying it's unlikely they would be approved in May. She agreed that the lack of communication between the United States Securities and Exchange Commission between prospective fund issuers was a bad sign. Echoing the sentiments of Senior Bloomberg ETF analyst Eric Balchunas — Morin said the chances of an approval by VanEck’s deadline on May 23rd grew slimmer with each day the SEC refrained from engaging in public comment. Magazine: Bitcoin ETFs make Coinbase a ‘honeypot’ for hackers and governments — Trezor CEO
Traditional financial institutions are more keen on tokenizing assets on public blockchains than ever before, says a former Grayscale executive. Speaking with Cointelegraph, Celisa Morin, who served as Vice President of Platform Distribution at Grayscale until mid-2022, said that a new BlackRock-led narrative among TradFi institutions could see more firms look to tokenize assets on public chains over private ones. “I think we see a preference for private chains with JPMorgan’s Onyx. The BUIDL fund now holds $288 million in assets per Dune Analytics data. Despite the potential legal troubles that come with opting to tokenize assets on public blockchains — instead of using a more KYC and AML-friendly private network, Morin said many firms would likely take the lead from BlackRock.
Once unprofitable BTC miners are turning their machines back on — Analyst
Bitcoin miners have likely put their older crypto-mining machines back to work in the first quarter, contributing to a record-setting hash rate as Bitcoin’s price skyrocketed to a new all-time high in early March. “Improved market conditions have encouraged miners who were previously unprofitable at lower hashprice levels to come back online,” said Nico Smid, founder of Digital Mining Solutions in the firm’s first quarter Bitcoin mining review, published on April 2. Smid told Cointelegraph he has spoken with industry players who have observed an uptick in less efficient miners turning back on. “The fact that the network became less efficient in comparison to the 1st of January (30.4 J/TH) [...] supports the thesis that less efficient machines are coming back online." Bitcoin’s hash price level has moved in a similar trajectory to Bitcoin’s (BTC) change in price, which has increased 56.8% in 2024 to $66,280 at the time of publication. Switching back on these less efficient Bitcoin miners may have contributed to a 14.7% increase in Bitcoin hash rate since the start of 2024. “This growth is equivalent to adding 375,000 Antminers S21 200 TH/s to the network.” The deployment of Bitmain S21s and other latest-generation mining equipment also played a role in driving Bitcoin hash rate growth over the first three months. Bitcoin’s hash rate peaked at 631 exahashes per second (EH/s) on a 7-day moving average on March 11 — a little less than a week after Bitcoin surpassed its previous all-time high price of $68,990. Bitcoin’s change in hash rate in 2024. Source: Digital Mining Solutions Bitcoin went on to set a new all-time high of $73,738 three days later on March 14, according to CoinGecko. Related: Bitcoin miner bankruptcies will be less common this cycle — Hut8 CEO Interestingly, Smid noted miner revenues reached a new all-time high on March 10 despite a steady decline in transaction fees since the start of March. “While this is beneficial for individuals seeking to send quick transactions, it presents a less favorable scenario for miners who have grown accustomed to high transaction fees over the past few months.” Change in total transaction fees on Bitcoin in 2024. Source: Digital Mining Solutions While less efficient miners are turning back on, the cost of application-specific integrated circuit (ASIC) machines continues to stabilize as many Bitcoin miners are holding off on new investments as the halving event fast approaches. “Miners seem to be adopting a ‘wait and see’ approach as the halving event approaches,” noted Smid, who cited an ASIC Jungle survey which found 65% of customers are postponing the purchase of new miners until after the halving. The Bitcoin halving is currently slated for April 20 when block 840,000 is reached. The event will reduce miner rewards from 6.25 BTC ($414,000) to 3.125 BTC ($212,000) at current prices. Magazine: This is your brain on crypto — Substance abuse grows among crypto traders
Bitcoin miners have likely put their older crypto-mining machines back to work in the first quarter, contributing to a record-setting hash rate as Bitcoin’s price skyrocketed to a new all-time high in early March. Smid told Cointelegraph he has spoken with industry players who have observed an uptick in less efficient miners turning back on. Bitcoin’s hash price level has moved in a similar trajectory to Bitcoin’s (BTC) change in price, which has increased 56.8% in 2024 to $66,280 at the time of publication. Switching back on these less efficient Bitcoin miners may have contributed to a 14.7% increase in Bitcoin hash rate since the start of 2024. Source: Digital Mining SolutionsWhile less efficient miners are turning back on, the cost of application-specific integrated circuit (ASIC) machines continues to stabilize as many Bitcoin miners are holding off on new investments as the halving event fast approaches.
Stablecoin competition crucial for regulatory engagement — Tether CEO
Ripple’s move to launch its own stablecoin could add further legitimacy to the stablecoin landscape, according to Tether CEO Paolo Ardoino. Speaking exclusively to Cointelegraph during Paris Blockchain Week, Ardoino said the stablecoin ecosystem needs healthy competition between big players to further legitimize the utility of fiat-backed tokens in the eyes of regulators. “First of all, competition is great. I always believed that Tether cannot be alone. The stablecoin ecosystem is an industry because there are many players,” Ardoino said. Stablecoins have become an increasingly important cog in the wider cryptocurrency space. With a total market capitalization of over $130 billion in April 2024, stablecoins provide a wide range of utilities, from centralized exchange to decentralized finance (DeFi) protocols. The top 10 stablecoins by market capitalization. Source: CoinMarketCap Ardoino said that having multiple credible players with viable and thriving businesses offering stablecoins reflects the growing importance of the sector: “Being multiplayer helps in discussions with the regulators. If you are all alone and you have one single product, regulators will never take you seriously. If you have a group of great companies, then you are more effective.” Ardoino also believes that Ripple’s intent to launch a stablecoin later in 2024 is indicative of the amount of room for more players to offer legitimate fiat-backed tokens. Related: Tether’s USDT stablecoin hits historic $100B market cap “I believe that there is space for everyone. Considering that the United States is printing around $1 trillion every 100 days, the space could probably be 30 times bigger than it is,” Tether’s CEO said. Tether’s market dominance Tether (USDT) is the leading stablecoin by market capitalization, valued at $108 billion on April 17. USD Coin (USDC) trails USDT as the second biggest stablecoin by market cap at $32 billion. Tether’s latest attestation of circling USDT tokens across 15 different blockchain protocols. Source: Tether Ardoino believes that the growing adoption of stablecoins like USDT and USDC is a direct result of rampant inflation and devaluing national currencies around the world. “Think about Argentina, Turkey, Venezuela, Vietnam or Brazil. All these countries are looking for an alternative to the national currency. The inflation in these countries and nations has been going through the roof,” Ardoino said. He added that more than 2 billion people remain unbanked, living off less than $300 a month. This leaves a large number of people without bank accounts and unable to transact in conventional economies. Related: Tether boosts Bitcoin reserves with latest acquisition The growing accessibility of digital wallets means that people are becoming increasingly able to save in digital forms of money like USDT or USDC. As Ardoino said, the simplicity of these offerings reflects a bleak reality of the global economic landscape: “USDT’s digital dollar is nothing fancy. It simply moves on a blockchain. The sad reality is that the success of stablecoins is also directly proportional to the macroeconomic issues happening in this world.” Ardoino maintains that circulating USDT is overcollateralized by 106%. Tether also intends to move toward 100% reserves in U.S. Treasury bills. It currently holds an estimated $90 billion of Treasury bonds. Magazine: The real risks to Ethena’s stablecoin model (are not the ones you think)
Ripple’s move to launch its own stablecoin could add further legitimacy to the stablecoin landscape, according to Tether CEO Paolo Ardoino. The stablecoin ecosystem is an industry because there are many players,” Ardoino said. Related: Tether’s USDT stablecoin hits historic $100B market cap“I believe that there is space for everyone. Tether’s market dominanceTether (USDT) is the leading stablecoin by market capitalization, valued at $108 billion on April 17. USD Coin (USDC) trails USDT as the second biggest stablecoin by market cap at $32 billion.
PayPal opens PYUSD stablecoin to USD conversions for cross-border transfers
PayPal will allow all United States users outside the state of Hawaii to fund money transfers to family and friends abroad using U.S. dollars converted from its native stablecoin PayPal USD (PYUSD). According to the April 4 announcement, the service, powered by PayPal’s Xoom, is able to fund money transfers via PYUSD to more than 160 countries with no Xoom transaction fees. “By introducing the option to fund cross-border money transfers with USD converted from PYUSD, Xoom now offers an easy and reliable way for U.S. users to send money abroad using PYUSD as a funding source,” the company wrote, adding: “When this option is selected, Xoom will convert the PYUSD in a U.S. user’s PayPal Cryptocurrency Hub to USD currency with no crypto sale fee, and recipients will receive funds in the fiat currency selected by the sender." Through the service, funds can be sent abroad either to a recipient’s bank account, a mobile wallet address or a financial institution for pickup. Transactions not denominated in U.S. dollars will be subject to currency conversion, which includes a spread. All U.S. users can use the service except in Hawaii, where the holding of cryptocurrencies with PayPal is prohibited by state law. The issuance of and custody of PayPal USD is performed by Paxos Trust Company in New York. Since its launch last August, close to $200 million PYUSD has been issued, a number well below USD Coin’s (USDC) market cap of $32.9 billion and Tether’s (USDT) $110 billion. Jose Fernandez da Ponte, senior vice president of PayPal’s Digital Currency Group, said that the firm’s goals surrounding PYUSD are to create “a stable value to maximize user confidence and ensure it had utility for commerce and payments.” The same day, Ripple announced it would launch its own U.S. dollar-backed stablecoin to rival the $150 billion stablecoin market. Similarly, on April 3, Nick van Eck, the son of investment management maestro Jan van Eck, is set to launch a new U.S. dollar-backed stablecoin after closing a $12-million funding round. Related: What is PayPal USD, and how does it work?
PayPal will allow all United States users outside the state of Hawaii to fund money transfers to family and friends abroad using U.S. dollars converted from its native stablecoin PayPal USD (PYUSD). According to the April 4 announcement, the service, powered by PayPal’s Xoom, is able to fund money transfers via PYUSD to more than 160 countries with no Xoom transaction fees. All U.S. users can use the service except in Hawaii, where the holding of cryptocurrencies with PayPal is prohibited by state law. The issuance of and custody of PayPal USD is performed by Paxos Trust Company in New York. Related: What is PayPal USD, and how does it work?
Casa's multi-key solution for tackling self-custody Bitcoin inheritance
Bitcoin self-custody firm Casa is rolling out an inheritance feature aimed at streamlining the transfer of assets to benefactors from deceased estates. The inheritance of cryptocurrencies can be a complicated process, even more so if the owner of the digital assets has not made any provisions for their families or designated recipients to take control. Nick Neuman, co-founder and CEO of Casa, tells Cointelegraph that the inheritance of cryptocurrencies has long been an issue for crypto-natives looking to ensure that their digital holdings are passed on accordingly. “It’s not overlooked. Many people recognize it as a big problem they want to solve but they haven’t had good tools to solve it yet, so most people either don’t have a solution, or have cobbled together something that they hope will work but don’t feel good about,” Neuman said. Casa has offered an inheritance feature to its highest membership tier in the U.S. for the past few years. Neuman said the new offering will be available to all Casa members and differs from the existing high-tier feature, allowing users to transfer Bitcoin (BTC), Ether (ETH), Tether (USDT), and USD Coin (USDC) holdings to benefactors. Related: Casa Releases Self-Custody Bitcoin Wallet Focused on Privacy The offering aims to ensure that the process of managing cryptocurrency holdings of deceased individuals is straightforward, secure and resistant to malicious actors. Neuman said that instances where inheritance plans have not been made have been “precarious and stressful,” adding: “When we’ve tried to help recover assets for people who don’t have an inheritance plan and have passed away, it has taken anywhere from 6-12 months to figure everything out. Even then, the chance of actually recovering the assets is low.” The offering hinges on a Casa’s user designating a recipient to a specific token vault in its proprietary app. The recipient then creates a free Casa account and scans a QR code provided by the vault owner, which contains an encrypted version of the owner’s mobile key. Related: Casa launches multisignature Ethereum self-custody vault The key can only be imported by the specified account and the recipient can’t initially use it or see the vault balance as Neuman explains: “If the vault owner passes away, the recipient can request access to the vault in their Casa app. This starts a six month timer, and sends a ton of notifications every month to the owner.” If the owner is still alive, they can reject the request in their app. If the timer runs out after six months, the recipient can use the shared mobile key and request a signature from the Casa Recovery Key for the shared vault. This will give them 2 out of 3 signatures required to access the asset. Casa's inheritance feature allows a vault owner to assign encrypted keys to benefactors to access assets after their death. Source: Casa Casa will also offer a five-key vault, where one hardware key is shared with the recipient. The small increase in friction for recipients adds increased security and resilience of a five-key vault for larger holdings. Best guess estimates pin the value of lost Bitcoin at around $140 billion, of which misplaced keys are often a cause. Since its inception in 2016, Casa has promoted multisignature self-custody in the crypto industry. Its flagship Bitcoin vault allows users to store the cryptocurrency using up to five keys for more distributed security. Casa’s service originally catered to Bitcoin “whales” willing to spend $10,000 a year on custody before opening its service to a broader base of users. The company has now added an Ether vault to its platform, with ETH holders also able to use up to five keys to secure their holdings. Magazine: ‘SEAL 911’ team of white hats formed to fight crypto hacks in real time
Bitcoin self-custody firm Casa is rolling out an inheritance feature aimed at streamlining the transfer of assets to benefactors from deceased estates. Casa has offered an inheritance feature to its highest membership tier in the U.S. for the past few years. Related: Casa Releases Self-Custody Bitcoin Wallet Focused on PrivacyThe offering aims to ensure that the process of managing cryptocurrency holdings of deceased individuals is straightforward, secure and resistant to malicious actors. Casa's inheritance feature allows a vault owner to assign encrypted keys to benefactors to access assets after their death. Its flagship Bitcoin vault allows users to store the cryptocurrency using up to five keys for more distributed security.
Elections may swing Senate Banking Committee toward crypto, Sen. Lummis says
Cryptocurrency is increasingly becoming a political issue, and upcoming elections will be decisive in the future of crypto in the United States, Senator Cynthia Lummis told the audience at the Bitcoin Policy Summit in Washington, D.C. Innovations in mining could add weight to the pro-crypto argument, she added. The current political atmosphere is stifling for crypto. “In this administration, there are a number of high-ranking policy positions that are held by people who are threatened by Bitcoin because they know they can't control it,” Lummis said. Therefore, “we're trying to view it [crypto] as a negative and foresee how we should regulate the negative side of it,” despite its benefits. “The banking committee is kind of the obstacle,” Lummis said, and the Senate race is Ohio will be critical in determining the political landscape for crypto: “You've got a sort of a Blockchain entrepreneur running as a Republican against the sitting chairman of the banking committee, who seems to have Elizabeth Warren whispering in his ear about this topic,” Lummis said. The current chairman of the Senate Banking Committee, Ohio Sen. Sherrod Brown, is a vocal crypto skeptic. He is being challenged by Bernie Moreno. Related: Senate Banking Committee’s priorities for new Congress include crypto: Report In addition, Montana Senator and Banking Committee member Democrat John Tester also holds a key position and “we're trying to educate his opponent on my side of the aisle about Bitcoin and Blockchain technology.” Lummis did not name the opponent. There are three Republican candidates who will face off in the Montana primaries in the run-up to the national election. Source: Cynthia Lummis “We have better advocacy on the [House] Finance Committee and the Ag [House Agriculture] Committee,” Lummis continued. Lummis went on to talk about mining, saying Bitcoin miners are starting to get innovative with energy generation. She said, “Essentially we look at Bitcoin mining in two ways. There's grid stabilization — utility scale — and then there's energy harvesting.” Innovations such as energy harvesting, via methane gas, for instance, can “get capital excited about […] the energy use of Bitcoin and how it can be positive versus viewed as parasitic,” Lummis said. Magazine: Inside the Iranian Bitcoin mining industry
The current chairman of the Senate Banking Committee, Ohio Sen. Sherrod Brown, is a vocal crypto skeptic. Source: Cynthia Lummis“We have better advocacy on the [House] Finance Committee and the Ag [House Agriculture] Committee,” Lummis continued. Lummis went on to talk about mining, saying Bitcoin miners are starting to get innovative with energy generation. She said, “Essentially we look at Bitcoin mining in two ways. Magazine: Inside the Iranian Bitcoin mining industry
Bitcoin’s 2023–2024 growth rate has it on track to surpass Microsoft within a year
Bitcoin has had a banner year so far in 2024. It reached a new all-time high price of $73,679 on March 13, and in the time since, it’s hung around the $70,000 threshold — putting it up more than 140% over the same time last year. When Bitcoin (BTC) reached its 2024 peak (so far) and new all-time high, it briefly surpassed silver as the eighth most valuable commodity in the world by market capitalization. Related: Bitcoin price nails new $73.6K all-time high as ETFs eat away at supply In the current market situation, if one could fast-forward another year under the exact same growth rate, Bitcoin would reach a price of approximately $170,574 by the beginning of April 2025. This would put it ahead of silver today, as well as Amazon, Alphabet (Google), Saudi Aramco, Nvidia and Microsoft to take the second-place spot on CompaniesMarketcap’s list of the top 100 commodities by capitalization. Source: CompaniesMarketCap While this number only holds water when imagining a scenario where Bitcoin grows and the rest of the market remains static, today’s market capitalizations can be used as a measuring stick for what Bitcoin’s potential future growth could look like. Silver If silver’s market cap remains at its current value of $1.412 trillion, Bitcoin could surpass it again by increasing its current price point from $69,678 (as of the time of this article’s publication) to $71,732. This would give Bitcoin a total market capitalization of approximately $1.413 trillion and sole possession of the eighth-place spot on the list. Google The Mountain View search giant currently has a market capitalization of $1.885 trillion, just $12 billion ahead of Amazon. Bitcoin can surpass them both and claim the sixth-place spot on the list by reaching a price of approximately $95,642 to surpass a market cap of $1.885 trillion. This would put it squarely behind Saudi Aramco, which currently sits in fifth place with a cap of $1.984 trillion. Microsoft Fourth and third on the list are occupied by Nvidia and Apple, respectively. Bitcoin will have to reach a total market value of about $2.65 trillion in order to slide into third place and have a shot at knocking Microsoft out of its second-place slot. The number to beat there, if Bitcoin is to surpass Microsoft’s $3.126 trillion cap and reach number two on the list, is approximately $165,608 per BTC. While this might seem lofty given its current price at just under $70,000, it’s worth remembering that the price of Bitcoin increased by approximately 144.82% year over year from April 2023 through the end of March 2024. If Bitcoin increased by 144.82% in the next year, from its current value of $69,678, it would reach approximately $170,574. At this price, its market cap would be approximately $3.224 trillion, more than enough to overtake Microsoft. Gold Once Bitcoin secures second place — again, assuming the entire market remained static and BTC’s price alone rose —its price would need to be approximately $800,476 per BTC to achieve a market cap of $15.15 trillion. This would beat gold’s current cap of $15.141 trillion and give the world’s first cryptocurrency the top slot on the market cap leaderboard.
Bitcoin can surpass them both and claim the sixth-place spot on the list by reaching a price of approximately $95,642 to surpass a market cap of $1.885 trillion. The number to beat there, if Bitcoin is to surpass Microsoft’s $3.126 trillion cap and reach number two on the list, is approximately $165,608 per BTC. If Bitcoin increased by 144.82% in the next year, from its current value of $69,678, it would reach approximately $170,574. At this price, its market cap would be approximately $3.224 trillion, more than enough to overtake Microsoft. This would beat gold’s current cap of $15.141 trillion and give the world’s first cryptocurrency the top slot on the market cap leaderboard.
‘Penny hasn’t dropped’ for Australia’s next crypto unicorns — Coinbase APAC MD
Australia is primed for its next wave of crypto “unicorns” — startups with a billion-dollar valuation — but not until there is more regulatory clarity around crypto, according to Coinbase’s APAC managing director John O’Loghlen. “I don’t think the penny’s dropped in Canberra or on the high street in terms of just how much great human capital there is in Australia,” O’Loghlen told Cointelegraph — referring to policymakers and large institutional players. “It’s really important that we get this clarity in legislation around digital assets so that the sector can be properly funded and give the VC community and other investors certainty around it so that we can keep building the next Illuvium or Immutable.” While O’Logheln acknowledged there while there had been some regulatory advancements — including the Treasury’s October 2023 consultation paper and an informal regulatory meeting with policymakers at the Blockchain APAC Summit in March — he says it’s still lagging behind a huge uptick in retail and institutional demand for crypto. According to a 2024 investor survey from Australian crypto exchange Independent Reserve, approximately 27.5% of all Australians — 7.15 million people — now own cryptocurrency. The survey found that 35% of all Australian crypto investors put around $500 per month into digital assets. 27.5% of Australians currently own crypto. Source: Independent Reserve O’Loghlen also pointed to the growing demand for the utility of stablecoins, digital remittances, and a swathe of other capital-efficient applications of crypto in the Australian fintech industry as prime breeding grounds for the next multi-billion crypto company. “Some of these companies are really going to be next Canva, the next Xero, the next Atlassian, or the next Afterpay,” he said, naming several multibillion-dollar valuation companies in Australia. O’Loghlen also sees a significant increase in demand for crypto products on the retail side — with two main sectors piquing his attention. The first is from an increase in interest in self-managed retirement funds divesting into crypto, which O’Loghlen said were considerable, despite being small relative to the size of their portfolio. “Even if it's [0.5%] or 1% allocation, when that audience invests, the size of that investment is a considerable multiple of the [younger] cohorts, because their assets under management are significantly sized.” The next most interesting cohort of investors coming into the market is what O’Loghlen called “HENRYs” — an internal acronym that stands for “High Earners Not Rich Yet.” “These are working professionals who don’t have a whole lot of debt, don’t have a don’t have a large mortgage — they’ve got good earning potential and they’re really taking time to educate themselves on crypto,” he said. Related: Australians wouldn’t value retail CBDC for its privacy or safety, RBA finds Looking ahead, O’Loghlen revealed that Coinbase would be looking to expand its Stand with Crypto campaign to Australia later this year. He said Coinbase plans to fly in members of its senior leadership to host several events to better help regulators and policymakers understand the potential upsides to cryptocurrency in the country. “It’s important that people in Canberra — government representatives and policymakers — can see the real use cases for entrepreneurs and founders who are saving money and getting utility out of crypto,” he said. O’Loghlen’s comments echo those of Kraken Australia’s MD Johnathon Miller, who told Cointelegraph that current market conditions mark an “inflection point” for crypto in Australia. Magazine: Synthetix founder Kain Warwick: It’s DeFi that’s wrong, not the market
Australia is primed for its next wave of crypto “unicorns” — startups with a billion-dollar valuation — but not until there is more regulatory clarity around crypto, according to Coinbase’s APAC managing director John O’Loghlen. According to a 2024 investor survey from Australian crypto exchange Independent Reserve, approximately 27.5% of all Australians — 7.15 million people — now own cryptocurrency. The survey found that 35% of all Australian crypto investors put around $500 per month into digital assets. O’Loghlen also sees a significant increase in demand for crypto products on the retail side — with two main sectors piquing his attention. O’Loghlen’s comments echo those of Kraken Australia’s MD Johnathon Miller, who told Cointelegraph that current market conditions mark an “inflection point” for crypto in Australia.
KuCoin plans $10M airdrop of BTC, KCS as Justice Dept., CFTC circle
Cryptocurrency exchange KuCoin will hold an airdrop of Bitcoin (BTC) and its native KuCoin (KCS) token worth $10 million, according to a letter from CEO Johnny Lyu posted on the exchange’s blog on March 27. The news comes a day after the United States Justice Department announced charges against the exchange and two of its founders. Lyu did not mention the federal charges, although he alluded to them in the first sentence of his letter: “I would like to express my gratitude to all KuCoin users, for your support, trust and companionship during the past few days.” Comparing the airdrop to the exchange’s reimbursement of its investors who lost money in the Confido rug pull, Lyu continued: “Recently, on March 26th and 27th, some users experienced longer-than-expected wait times during the withdrawal process. […] To express our profound gratitude for your support and patience KuCoin will launch a special airdrop event totaling 10 million USD in KCS and BTC.” Rules for the airdrop will be released in three days, Lyu wrote. The recent delays in withdrawals were possibly caused by the high volume as wary customers abandoned the exchange. The airdrop thus rewards users who remained loyal to the exchange in its time of crisis. Related: KuCoin agrees to ban New York residents and pay $22 million settlement The timing of the airdrop is noteworthy since KuCoin was hit with a barrage of legal actions one day earlier. The Justice Department unsealed an indictment for violations of the Bank Secrecy Act for lacking an Anti-Money Laundering program by the two founders and operating an unlicensed money-transmitting business. Simultaneously, the Commodity Futures Trading Commission (CFTC) initiated a civil case against the exchange for violations of the Commodity Exchange Act and CFTC regulations. Source: Wu Blockchain KuCoin hastened to assure users that their assets were safe after the charges were filed and KCS fell 12% in 24 hours. Airdrops come with risks, not the least of which is the possibility of regulatory action. The SEC wrote in its document “Framework for “Investment Contract” Analysis of Digital Assets”: “The lack of monetary consideration for digital assets, such as those distributed via a so-called ‘air drop,’ does not mean that the investment of money prong [of the Howey test] is not satisfied; therefore, an airdrop may constitute a sale or distribution of securities.” The DeFi Education Fund teamed up with a small Texas clothing company sued for a declaratory judgment against the SEC to prevent the agency from prosecuting the company for holding an airdrop. Magazine: Cool green mayor giving a grand in Bitcoin to each resident
Cryptocurrency exchange KuCoin will hold an airdrop of Bitcoin (BTC) and its native KuCoin (KCS) token worth $10 million, according to a letter from CEO Johnny Lyu posted on the exchange’s blog on March 27. The news comes a day after the United States Justice Department announced charges against the exchange and two of its founders. […] To express our profound gratitude for your support and patience KuCoin will launch a special airdrop event totaling 10 million USD in KCS and BTC.”Rules for the airdrop will be released in three days, Lyu wrote. The airdrop thus rewards users who remained loyal to the exchange in its time of crisis. Simultaneously, the Commodity Futures Trading Commission (CFTC) initiated a civil case against the exchange for violations of the Commodity Exchange Act and CFTC regulations.
Australians wouldn’t value retail CBDC for its privacy or safety, RBA finds
The Reserve Bank of Australia (RBA) has examined the value the public would place on a retail central bank digital currency (CBDC). It looked at willingness to pay for the use of CBDC in a digital wallet and the privacy benefits that CBDC might offer. The RBA described its hypothetical CBDC as “a digital currency that is even safer and potentially more private than commercial bank deposits” and used a discrete choice experiment to assess public valuations of goods without markets. Source: Resist CBDC The research considered fees for privacy and safety options of up to 5 Australian dollars (AUD), which is equivalent to about $3 U.S. dollars. It added that that users paying 5 AUD per year would generate about 100 million AUD in fees — not a significant enough amount to “overwhelm the range of other considerations relevant to the CBDC issuance decision.” Related: Aussie federal budget reaffirms BTC won’t be treated as foreign currency The safety value of a CBDC lies in its lack of credit risk, which is inherent in bank deposits, as banks can fail. Using data from 2022, the RBA was able to demonstrate that willingness to hold an account with the RBA instead of a commercial bank is in the negative — people would be willing to pay (less than an Australian dollar per year) not to do it. According to the RBA: “This is consistent with bank deposits in Australia already being perceived as a safe form of money, and physical cash issued by the Reserve Bank of Australia continuing to be available as an alternative option.” Public resistance to CBDC could also color those findings, the RBA said. The survey assumed the use of a disintermediated system in which the RBA would open accounts for members of the public. Most live and trial CBDCs are intermediated and make us of the services of a financial institution to provide services for CBDC users. The report noted that some policymakers expect to design an intermediated CBDC, which would have different privacy options. Estimates of willingness to pay for CBDC privacy and safety options, Source: RBA Privacy data were much more complex. Previous research has suggested that people highly value privacy, but frequently forgo privacy measures in practice, making its value hard to assess. The results obtained showed a strong preference for sharing information with the financial crime authority Australian Transaction Reports and Analysis Centre and a commercial bank, which was worth about 5 AUD more than allowing data sharing with the RBA. In short, the study finds little public support for a retail CBDC. The RBA has made numerous previous studies of CBDC, most of which reached positive conclusions. Those studies mainly looked at wholesale CBDC use cases. Magazine: Wealthy, isolated, and incredible beaches: Perth Crypto City Guide
The Reserve Bank of Australia (RBA) has examined the value the public would place on a retail central bank digital currency (CBDC). It looked at willingness to pay for the use of CBDC in a digital wallet and the privacy benefits that CBDC might offer. Source: Resist CBDCThe research considered fees for privacy and safety options of up to 5 Australian dollars (AUD), which is equivalent to about $3 U.S. dollars. Estimates of willingness to pay for CBDC privacy and safety options, Source: RBAPrivacy data were much more complex. Previous research has suggested that people highly value privacy, but frequently forgo privacy measures in practice, making its value hard to assess.
Nearly $100M recovered from hacks in March — PeckShield
Nearly $100 million in digital assets stolen in March hacks has been recovered, according to data compiled by blockchain security firm PeckShield. PeckShield said on April 1 that over 30 hacking incidents occurred in March, accounting for $187 million in funds lost. Total hack losses in 2024 by month. Source: PeckShield While the losses ran into the millions, 52.8% of the hacked funds were returned. PeckShield said that $98.8 million in stolen digital assets were recovered last month. PeckShield also highlighted the top five incidents within the month. The Munchables incident took the top spot in terms of losses in a hacking incident. It was followed by the Curio hack, the Prisma Finance incident, the NFPrompt hack and the WOOFi exploit. Most recovered funds were from the incident involving the nonfungible token game based on the Blast network called Munchables. On March 26, the project announced that it had been exploited, with initial estimated losses put at $62 million. However, the hacker later returned the funds without demanding a ransom. On March 27, Munchables determined that the hacker was one of its own developers. In the end, Blast creator Pacman announced that $97 million in crypto taken from the incident had been secured by Blast core contributors. Related: Hacker moves $10M from 2023 phishing incident to Tornado Cash Meanwhile, the Prisma Finance incident, which saw about $11 million in digital assets stolen, might also have a chance to recover its lost funds. On March 28, the decentralized finance protocol froze its platform to investigate the hack. However, around six hours after the attack, the hacker said in an on-chain message that the incident was a “white hat rescue.” The protocol is currently in talks with the hacker, which may lead to a recovery. On March 24, Curio’s MakerDAO-based smart contract on Ethereum was breached. While initial estimated losses were $16 million, PeckShield claims it is closer to $40 million. The security firm noted that the incident ranks second in terms of the amount lost last month. The Binance-incubated platform NFPrompt saw hackers illegally access about $10 million, and the WooFi decentralized exchange suffered losses of about $8.5 million. Magazine: DeFi’s billion-dollar secret: The insiders responsible for hacks
Nearly $100 million in digital assets stolen in March hacks has been recovered, according to data compiled by blockchain security firm PeckShield. PeckShield said on April 1 that over 30 hacking incidents occurred in March, accounting for $187 million in funds lost. PeckShield said that $98.8 million in stolen digital assets were recovered last month. It was followed by the Curio hack, the Prisma Finance incident, the NFPrompt hack and the WOOFi exploit. Most recovered funds were from the incident involving the nonfungible token game based on the Blast network called Munchables.
US Justice Department charges KuCoin and two founders with violating AML laws
United States Justice Department officials unsealed an indictment against cryptocurrency exchange KuCoin and two of its founders for “conspiring to operate an unlicensed money transmitting business” and violations of the Bank Secrecy Act, or BSA. In a March 26 announcement, the U.S. Department of Justice said KuCoin founders Chun Gan and Ke Tang had willfully failed to maintain an Anti-Money Laundering program at the exchange, leading to the platform being used for “money laundering and terrorist financing.” The company itself was charged with operating an unlicensed money-transmitting business and violating the BSA. “KuCoin and its founders deliberately sought to conceal the fact that substantial numbers of U.S. users were trading on KuCoin’s platform,” said U.S. Attorney Damian Williams. “Indeed, KuCoin allegedly took advantage of its sizeable U.S. customer base to become one of the world’s largest cryptocurrency derivatives and spot exchanges, with billions of dollars of daily trades and trillions of dollars of annual trade volume.” Williams added: “In failing to implement even basic anti-money laundering policies, the defendants allowed KuCoin to operate in the shadows of the financial markets and be used as a haven for illicit money laundering.” The DOJ criminal charges were announced in parallel to a civil enforcement case from the U.S. Commodity Futures Trading Commission (CFTC), which charged KuCoin “with multiple violations of the Commodity Exchange Act (CEA) and CFTC regulations” on March 26. According to the Justice Department, KuCoin received more than $5 billion and sent more than $4 billion of “suspicious and criminal funds.” Related: KuCoin responds to claims of user funds being locked Gan and Tang helped launch KuCoin in 2017. According to its website, KuCoin’s operational headquarters was in Seychelles. The two founders, Chinese nationals, remained at large at the time of publication. U.S. officials have pursued similar criminal charges against crypto exchanges and their executives doing business in the country. On March 28, former FTX CEO Sam Bankman-Fried will be sentenced following his conviction on seven felony charges. Former Binance CEO Changpeng Zhao is expected to be sentenced on April 30. Magazine: US enforcement agencies are turning up the heat on crypto-related crime
United States Justice Department officials unsealed an indictment against cryptocurrency exchange KuCoin and two of its founders for “conspiring to operate an unlicensed money transmitting business” and violations of the Bank Secrecy Act, or BSA. “KuCoin and its founders deliberately sought to conceal the fact that substantial numbers of U.S. users were trading on KuCoin’s platform,” said U.S. Attorney Damian Williams. According to the Justice Department, KuCoin received more than $5 billion and sent more than $4 billion of “suspicious and criminal funds.”Related: KuCoin responds to claims of user funds being lockedGan and Tang helped launch KuCoin in 2017. U.S. officials have pursued similar criminal charges against crypto exchanges and their executives doing business in the country. On March 28, former FTX CEO Sam Bankman-Fried will be sentenced following his conviction on seven felony charges.
US Bitcoin miner Giga Energy to launch facility in Argentina
Texas-based Bitcoin (BTC) miner Giga Energy has expanded its operations into Argentina as part of a move to utilize wasted energy from "natural gas flaring" on the South American nation's oil fields. Giga co-founder Brent Whitehead described the expansion as a “significant milestone” for his firm in a March 26 post on LinkedIn. “This move not only broadens our operational landscape but also aligns with our vision to mitigate flaring globally.” Gas flaring is the burning of the natural gas associated with oil extraction. Methane is released as part of the process, which Giga then converts into electricity to power its Bitcoin mining rigs. The expansion will see Giga place a large shipping container with thousands of Bitcoin miners on top of an oil well, divert the excess gas into generators, and then harnessing that energy to power Bitcoin mining rigs, according to a March 26 CNBC report. Giga’s Argentina mining site — based in the province of Mendoza — has been in a test phase since December and has already mined between $200,000 and $250,000 worth of Bitcoin, the firm’s other co-founder, Matt Lohstroh, told CNBC. However, the firm is still waiting to import all necessary equipment before it can fully scale the operation. Until then, the firm doesn’t expect to turn a profit. Argentina boasts the second-largest shale gas reserve in the world, according to a recently published academic paper from the University of Michigan. The firm’s Bitcoin mining operation will also reduce methane emissions, Whitehead told CNBC. “By capturing stranded natural gas to power modular data centers for energy-intensive computing, Giga is actively contributing to reducing global methane emissions.” IT services company Exa Tech will help Giga handle operations onsite, while oil and gas firm Phoenix Global Resources will provide the gas needed to power the Bitcoin miners. Giga first launched its Bitcoin mining operations in 2019 and has 150 megawatts worth of containers installed in its facilities in Texas and Shanghai, according to CNBC. Related: Riot, TeraWulf and CleanSpark best-positioned miners for Bitcoin halving — CoinShares The move comes as Bitcoin mining firms prepare for the upcoming Bitcoin halving event currently slated to occur sometime around April 20. The halving event will see the Bitcoin reward paid to miners sliced from 6.25 BTC ($439,000) to 3.125 BTC ($219,500). Notably, the event could see global hashrate shift from the United States to countries with cheaper electricity rates, according to Hashlabs Mining’s founder and chief mining strategist Jaran Mellerud. Mellerud told Cointelegraph that Argentina and Paraguay are the most promising countries for Bitcoin mining in South America. Magazine: Wolf Of All Streets worries about a world where Bitcoin hits $1M: Hall of Flame
Texas-based Bitcoin (BTC) miner Giga Energy has expanded its operations into Argentina as part of a move to utilize wasted energy from "natural gas flaring" on the South American nation's oil fields. Methane is released as part of the process, which Giga then converts into electricity to power its Bitcoin mining rigs. Giga first launched its Bitcoin mining operations in 2019 and has 150 megawatts worth of containers installed in its facilities in Texas and Shanghai, according to CNBC. Related: Riot, TeraWulf and CleanSpark best-positioned miners for Bitcoin halving — CoinSharesThe move comes as Bitcoin mining firms prepare for the upcoming Bitcoin halving event currently slated to occur sometime around April 20. Mellerud told Cointelegraph that Argentina and Paraguay are the most promising countries for Bitcoin mining in South America.
Blockchain Association and crypto activist group sue SEC over ‘Dealer Rule’
The Blockchain Association (BA) and the Crypto Freedom Alliance of Texas (CFAT) revealed a new lawsuit against the United States Securities and Exchange Commission (SEC) in the Northern District of Texas, according to a statement. On April 23, the BA announced the lawsuit in a move to challenge the SEC’s recent expansion of the “Dealer Rule,” which the industry groups argue stifles innovation in the U.S. digital asset market. The BA and CFAT argue that the SEC overstepped its authority by implementing a broad interpretation of the term “dealer” within the Securities Exchange Act of 1934. In February the SEC adopted new rules which redefine “dealer” and “government securities dealer” and therefore require more crypto market participants to register, join a self-regulatory organization and comply with federal securities laws. This expansion, the lawsuit claims, creates a vague and burdensome regulatory environment for businesses involved in digital asset trading. The lawsuit alleges that the SEC failed to adequately address public concerns raised during a limited comment period and neglected to assess the potential negative impacts of the rule. Kristin Smith, the CEO of the Blockchain Association, said this the latest example of the SEC’s “blatant attempts to unlawfully regulate outside its authority.” “The Dealer Rule advances the SEC’s anti-digital asset crusade and unlawfully redefines the boundaries of its statutory authority granted to it by Congress, threatening to drive U.S. companies offshore and incite fear in American innovators.” Related: SEC’s Hester Peirce wants more decentralization in the financial system The lawsuit seeks a court order to overturn the Dealer Rule expansion based on violations of the Administrative Procedure Act (APA). The APA ensures fair and transparent rulemaking by requiring agencies to consider public feedback and provide clear guidelines. Smith said that they are seeking “declaratory judgment and injunctive relief” against the regulators to overturn the expansion of the rule and ultimately to prohibit its use against the industry “before more harm can be done by this rabid regulator.” The BA and CFAT represent a significant portion of the cryptocurrency industry, including leading investors, companies, and projects. Overall, their work advocates for a national policy framework within the U.S. that aims to foster local innovation and responsible development within the digital asset space. Magazine: Altseason on the horizon, SEC targets Uniswap, and BTC halving news: Hodler’s Digest, April 7-13
The Blockchain Association (BA) and the Crypto Freedom Alliance of Texas (CFAT) revealed a new lawsuit against the United States Securities and Exchange Commission (SEC) in the Northern District of Texas, according to a statement. On April 23, the BA announced the lawsuit in a move to challenge the SEC’s recent expansion of the “Dealer Rule,” which the industry groups argue stifles innovation in the U.S. digital asset market. The BA and CFAT argue that the SEC overstepped its authority by implementing a broad interpretation of the term “dealer” within the Securities Exchange Act of 1934. In February the SEC adopted new rules which redefine “dealer” and “government securities dealer” and therefore require more crypto market participants to register, join a self-regulatory organization and comply with federal securities laws. This expansion, the lawsuit claims, creates a vague and burdensome regulatory environment for businesses involved in digital asset trading.
Ethereum reaches 1M validators, community thinks it’s ‘too much’
The Ethereum network recently hit the one million validator milestone, with 32 million Ether (ETH) currently staked, valued at approximately $114 billion based on current market prices. On March 28, the Dune Analytics dashboard created by Hildobby to track Ethereum staking progress showed that the network achieved a validator count of one million, with the 32 million ETH staked accounting for 26% of the total supply. The data also showed that around 30% of the ETH is staked using the Ethereum staking pool Lido, a liquid staking platform for proof-of-stake (PoS) cryptocurrencies. Staking pools like Lido remain popular because they allow users with a smaller amount of ETH to pool their assets and participate. Ethereum reaches one million validators. Source: Dune Validators ensure the security of a blockchain by monitoring the network for any malicious transactions, such as double-spending, which is essentially spending the same currencies twice. In Ethereum, validators participate in proposing and validating transactions within the network. Those who wish to participate in this process are required to stake 32 ETH. In return, they get a small portion of ETH as a reward. While the number of validators could translate into higher security for a blockchain, some community members think too many validators could pose a problem. Venture investor and Ethereum advocate Evan Van Ness said there’s arguably already “too much” staked. Gabriel Weide, who runs a staking pool, believes that too many validators can eventually lead to “failed transactions.” Meanwhile, Peter Kim, the head of engineering at Coinbase Wallet, said that while the number of validators is “impressive,” it’s “artificially inflated by the 32 ETH cap.” However, he suggested this may change soon. Related: Vitalik Buterin on fix for Ethereum centralization: Make running nodes easier As the number of validators continues to rise, Ethereum co-founder Vitalik Buterin proposed a way to improve the network’s decentralization. On March 27, Buterin published a blog post proposing to penalize validators in proportion to their average failure rate. If many validators fail in a given slot, each failure’s penalties will be higher. Such an approach could potentially reduce the advantage of large ETH stakers over smaller ones, according to Buterin. Magazine: ETH a security? Celsius clawbacks, SBF says sentence too harsh: Hodler’s Digest, March 17-23
The Ethereum network recently hit the one million validator milestone, with 32 million Ether (ETH) currently staked, valued at approximately $114 billion based on current market prices. The data also showed that around 30% of the ETH is staked using the Ethereum staking pool Lido, a liquid staking platform for proof-of-stake (PoS) cryptocurrencies. Ethereum reaches one million validators. In Ethereum, validators participate in proposing and validating transactions within the network. Those who wish to participate in this process are required to stake 32 ETH.
Woo X exchange launches world’s first tokenized T-bills for retail
Woo X cryptocurrency exchange has launched tokenized United States Treasury Bills (T-Bills), claiming to be the first protocol to offer tokenized T-Bills for retail investors. Woo X launched its real-world–asset (RWA) tokenization vaults, RWA Earn Vaults, enabling users to earn yield by holding Circle’s USD Coin (USDC), according to an April 22 X post: “With the RWA Earn Vaults, all @WOO_X users can now earn stable, predictable yield on their USDC holdings backed by U.S. Treasury Bills without having to jump through any extra hoops.” Backed solely by U.S. T-bills, RWA Earn Vaults offer between 4.5% and 4.7% annual percentage rate (APR) to USDC holders. According to the announcement: “User subscriptions accumulate real yields, fully backed by U.S. Treasury Bills, with current APRs for 7-day and 28-day terms at ~4.5% and ~4.75% respectively.” Related: Hashing It Out: Are RWAs the future of crypto? The yield-earning product was launched in partnership with OpenTrade, a London-headquartered tokenization platform backed by Circle. Circle is the issuer of the world’s second-largest stablecoin, USDC, which has a $34 billion market cap, behind Tether’s (USDT) with an over $109 billion market capitalization, according to CoinMarketCap data. Related: USDT aims to offer a lifeline to inflation-stricken nations: Tether CEO RWAs were the second most profitable crypto narrative in Q1 2024 RWAs were the second most profitable narrative in the crypto space during the first quarter of 2024, according to a recent report by CoinGecko. CoinGecko analyst Lim Yu Qian said: “The memecoin narrative was 4.6 times more profitable than the next best-performing crypto narrative of tokenized real-world assets (RWA) and 33.3 times more profitable than the layer 2 narratives with the lowest returns in Q1 this year.” Showcasing the growing institutional interest in the RWA sector, the world’s largest asset manager, BlackRock, launched a USD Institutional Digital Liquidity Fund on March 20, tickered “BUIDL,” worth over $298 million at the time of writing, according to Etherscan. Over $1 billion worth of U.S. Treasurys have been tokenized through 17 tokenization products by March 28, which rose to $1.15 billion by April 22, according to Dune data. Tokenized government securities. Source: Dune Franklin Templeton’s Franklin OnChain U.S. Government Money Fund (FOBXX) remains the largest treasury tokenization fund, worth over $390 million at the time of writing, according to Dune. How tokenization will transform traditional finance | Interview with FTX US president Brett Harrison. Source: Cointelegraph Related: EigenLayer on the brink of potential yield crisis
Woo X cryptocurrency exchange has launched tokenized United States Treasury Bills (T-Bills), claiming to be the first protocol to offer tokenized T-Bills for retail investors. The yield-earning product was launched in partnership with OpenTrade, a London-headquartered tokenization platform backed by Circle. Over $1 billion worth of U.S. Treasurys have been tokenized through 17 tokenization products by March 28, which rose to $1.15 billion by April 22, according to Dune data. Source: DuneFranklin Templeton’s Franklin OnChain U.S. Government Money Fund (FOBXX) remains the largest treasury tokenization fund, worth over $390 million at the time of writing, according to Dune. How tokenization will transform traditional finance | Interview with FTX US president Brett Harrison.