Crypto Guides, Knowledge & Insights

$7.8 Billion Lost to Crypto Ponzi Schemes in 2022: Report

Once cyberattacks are added to the mix, a total of $11.5 billion worth of crypto has been lost to bad actors last year.　　TRM Labs, a leading blockchain analysis firm focused on preventing cybercrime, has released a comprehensive report on the illicit sums lost to bad actors in the crypto space in 2022.　　The figures are quite notable, especially given the declining prices and interest in the market last year.　　Improved Cybersecurity Measures　　In spite of the plummeting value of various digital assets due to crypto winter and the myriad collapses that accompanied it, the number of scams and thefts in the industry has not decreased significantly, at most staying in proportion to similar cases in previous years.　　For instance, over $12 billion were lost to DeFi exploits in 2021. Although this figure dwarfs the $3.7 billion lost to exploits in 2022, its worth noting that those $12 billion represent a sevenfold increase in DeFi exploits over the prior year, making 2022 an outlier by any measure.　　In 2022, $3.7 billion was stolen across over 175 incidents, each of which resulted in an average loss of $20 million for the investors of the exploited projects. It‘s worth noting that the smart contracts that were the main

2023-07-03Deep Dive

Azuki NFT Floor Price Deeply Dropped To 6.85 ETH, Down 54% Last 7 Days

The floor price of Azuki NFT is 6.85 ETH, down 16% in the last 24 hours.　　The floor price of Azuki Elementals is 0.95 ETH, down 19.49%, and the floor price of Beanz is 0.3838 ETH, down 10.37%.　　Despite admitting mistakes, the Azuki NFT collection is still facing strong criticism from the community with the newly launched Elementals collection.　　Azuki NFT, one of the most successful NFT collections of all time, is going through a rough time this week with strong criticism from the community.　　According to data analysis on Opensea, the floor price of Azuki NFT is 6.85 ETH, down 16% in the last 24 hours and recorded a drop of 54% in the past week.　　Azuki floor price in the last 7 days. Source: Opensea　　The floor price of Azuki Elementals is 0.95 ETH, down 19.49%, and the floor price of Beanz is 0.3838 ETH, down 10.37%.　　Despite the commercial success, the anime-style non-fungible token (NFT) collection “has yet to hit the mark” envisioned for the new NFT installment Elementals. However, some Azuki NFT owners have expressed disappointment that the new Elemental collection looks much like the previous one, causing a significant price drop on June 28, 2023.　　An angry section of NFT fans criticizes the

2023-07-03Deep Dive

VCs Steps Back, Crypto Funding Amount In June Hits Lowest In 2 Years: Report

There were 83 public investments by crypto VCs in June, and the total funding in June was $520 million.　　This is down 14% month-on-month and down 44% year-on-year.　　The infrastructure category accounts for about 31% of funded projects, DeFi about 18%, CeFi about 8%, and NFT/GameFi about 20%.　　According to WuBlockchains monthly report, there were 83 public investments by crypto VCs in June, down 14% month-on-month (97 projects in May 2023) and 44% year-on-year (149 projects as of June 2022).　　Among crypto market segments in June, the infrastructure category accounted for about 31% of funded projects, DeFi for about 18%, CeFi for about 8%, and NFT/GameFi for about 20%.　　Total funding for June was $520 million, down 32% month-on-month (total $760 million in May 2023) and down 71% year-over-year ($1.81 billion total) in June 2022).　　Source: WuBlockchain　　As you can see, only some startups are raising capital at all stages. And with that comes a slowdown in hiring, signs of layoffs, and company closures that are still increasing due to the impact of market crises.　　Venture capitalists have maintained a trend that began in 2022 amid scandals affecting the crypto sector. News of regulatory uncertainty, market downturns, and unprecedented crashes were the headwinds that drove venture capitalists out

2023-07-03Deep Dive

KuCoin Takes Security To The Next Level With Mandatory KYC Verification

KuCoin and Binance make KYC verification mandatory to comply with regulations.　　Non-KYC users can only use limited features like sell orders, withdrawals still available.　　KuCoins new KYC registration goes into effect on July 15.　　KuCoins decision to enforce know-your-customer verification is in response to the changing regulatory landscape.　　The exchange will now restrict access to certain features to non-KYC users. According to a press release, these users will be limited to “spot trading sell orders, futures trading deleveraging, margin trading deleveraging, KuCoin Earn redemption, and ETF redemption.” This move is aimed at enhancing the security of on-chain assets, which has become a growing concern with the rise of cryptocurrencies.　　Starting July 15, KuCoin will require all users to undergo KYC registration. This will be similar to the intermediate verification process that Binance implemented in 2021. Users will need to verify their country of residence and nationality, and provide a government-issued ID. This is in line with the industrys efforts to increase transparency and mitigate the risks of illegal activities.　　Although withdrawals will still be available, deposit services will be limited to KYC-registered users. This means that users who do not comply with the new policy will not be able to fully utilize KuCoins services.　　KCs move to

2023-06-30Deep Dive

UK Crypto Regulations Gain Legal Status with Royal Assent

The UK Crypto industry has taken a significant step towards regulating the cryptocurrency and stablecoin industry as a bill granting regulatory oversight received royal assent from King Charles. The Financial Services and Markets Act 2023, now an official law, brings digital assets within the scope of regulation and empowers authorities to establish rules and supervision for the sector. This move solidifies the United Kingdoms commitment to becoming a global leader in cryptocurrency regulation and sets it apart from other major economies.　　Crypto Assets Classified as Regulated Financial Activity in UK Crypto Industry　　The Financial Services and Markets Act 2023 classifies cryptocurrencies as regulated financial activities, granting regulatory authorities in the UK Crypto industry the power to introduce and enforce rules specific to the sector. The Treasury, Financial Conduct Authority, Bank of England, and the Payments Systems Regulator will oversee the implementation of regulations, ensuring the safe adoption and operation of cryptocurrencies in the country.　　Stablecoins Brought under the Scope of Payment Rules　　UK Crypto & Stablecoin Industry　　Stablecoins, a type of cryptocurrency pegged to a stable asset, will now fall under the purview of payment regulations in the UK. This decision aims to subject stablecoins to the same oversight as other financial assets, further enhancing

2023-06-30Deep Dive

Breaking News: Largest Hong Kong ETF Manager Considers Cryptocurrency Expansion

Hang Seng Investment Management, the largest ETF manager in Hong Kong, is exploring the integration of cryptocurrencies into its investment products, following HSBCs decision to allow customers to purchase cryptocurrency ETFs.　　The launch of ETF Connect has resulted in substantial inflows, with average daily assets under management exceeding HKD 12 billion and a significant increase in trading volume.　　Hang Seng Investment Management, the largest ETF manager in Hong Kong, is considering incorporating cryptocurrencies into its investment products following HSBCs plan to allow customers to buy cryptocurrency ETFs.　　Hang Seng Investment Management is considering the possibility of using cryptocurrencies in its existing investment products after HSBC, Hong Kongs largest bank, announced its plan to allow customers to purchase cryptocurrency ETFs. Although there is no clear objective to create an ETF focused on virtual assets, Hang Seng is closely monitoring the development of related asset classes and examining the possibility of incorporating virtual currencies into their existing investment product allocations.　　Since the launch of ETF Connect last July, it has attracted stable net inflows of funds. In just one month, the average daily assets under management exceeded HKD 12 billion, representing a growth of nearly 80% compared to December of last year. During this period, the

2023-06-30Deep Dive

Reclusive Binance co-founder Yi He speaks on SEC case

Yi He is a co-founder and major shareholder at Binance and has a close relationship with CEO Changpeng Zhao. Famous for keeping a low profile, she has broken her silence in an interview with Bloomberg.　　Binance‘s famously private co-founder and CMO, Yi He, commented on the company’s regulatory standing in an interview published by Bloomberg on June 28.　　Yi He discusses regulations　　In several interviews, Yi He commented on regulatory challenges, noting:　　“If [regulators] really took the time to understand our industry, they would see that if Binance isnt compliant, then practically no other global trading platform or offshore company is.”　　She stated that Binance respects regulators regardless of whether they support or oppose cryptocurrency development. She acknowledged that regulations, in general, are meant to protect investors and said that regulations are “inevitable globally.”　　Bloomberg emphasized Yi Hes close relationship with Binance CEO Changpeng Zhao, disclosing that the two have a roommate-like relationship and have children together. Interviewers noted that this could raise a conflict of interest within the company leadership, but Yi He emphasized that she and Zhao lead separate parts of the company.　　Yi He notably leads the Binance team that decides which crypto tokens Binance lists, a group that Bloomberg called “so secretive that

2023-06-29Deep Dive

Amid The Uproar Over The New Collection, Azuki NFT Hosts An AMA On Discord

Azuki NFT plans to hold an AMA event in Discord tomorrow with the participation of 2 other co-founders.　　Azuki Elementals NFT Mint sold out less than 15 minutes after launch with the reveal of a new airdrop.　　However, there have been many criticisms about Azuki Elementals being too close to the original collection, creating a rift in the NFT space.　　ZAGABOND.ETH, the co-founder of the Azuki NFT, announced on Twitter that the team will join the Azuki Discord at 18:00 PT on June 29. An AMA event will be held, when ZAGABOND will be joining the Azuki Discord.ETH will join two other co-authors of the project.　　According to the news yesterday, after Azukis sale of Elemental caused controversy, Azuki announced that they would make further statements and plans regarding Elementals.　　Some community members have discovered that the contract address Elemental Beans has launched a new contract called Green Bean. Azukis official Twitter suggests that they will broadcast the “Green Bean” NFT to holders.　　Introducing a new contract by “Green Bean” has sparked speculation about a potential connection to the Elementals collection. The community eagerly awaits further updates from Azuki.　　The project announced yesterday that it had achieved tremendous success with releasing its latest NFT expansion, Azuki “Elementals”.

2023-06-29Deep Dive

Azuki Admits Failure with “Elementals” Mint Amid Backlash

Chiru Labs the company responsible for Azukis NFTs debuts new NFT collection “Elementals” that sold out in 15 minutes, netting $38M.　　Complaints roll in, alleging that its too similar to the original Azuki collection.　　Azuki admits fault and acknowledges that “the [profile picture NFTs] feel similar and, even worse, dilutive to Azuki”.　　Chiru Labs, the company responsible for Azukis NFTs, unveiled a new collection called “Elementals”.　　The collection was so popular that it sold out in just fifteen minutes, netting the company a whopping $38 million. The virtual shelves were emptied so fast that the digital assets didnt even get a chance to go to a public sale. Only prior holders of Azukis and the BEANZ collection who put down a deposit of 2 ETH were able to purchase the NFTs.　　However, not everyone was happy with the new collection. Shortly after its release, community members began to complain that the Elementals collection was too similar to the original January 2022 Azuki collection. Both collections feature characters looking to the left, and one user even joked that the next batch of Azuki NFTs would have them facing to the right.　　Another user alleged that Azuki‘s latest move has done significant damage to the main collection. According

2023-06-29Deep Dive

Shocking: Azuki Elementals’ Floor Price Collapses To 1.65 ETH!

Azuki Elementals NFT series experienced a setback as its floor price plummeted, sparking NFT community discussions.　　Notable buyers invested millions in Azuki Elementals, reflecting ongoing interest in NFTs as digital asset investment.　　Despite the decline in price and admission of failure, Azuki still generated a substantial revenue of $37 million.　　Azuki Elementals NFT series has experienced a significant setback as its floor price plummeted to 1.65 ETH, falling below the initial issue price of 2 ETH.　　The entire Azuki brand NFT series witnessed a sharp decline, with the floor price dropping to 10 ETH, marking a staggering 24-hour decrease of 31%. This disappointing turn of events has raised concerns within the digital collectibles community.　　One of Azukis co-founders acknowledged the failure of the minting experience, stating that it did not meet the expected standard. This admission highlights the challenges faced by the team in delivering a satisfactory user experience and meeting the high expectations of collectors and investors.　　Despite the decline in prices and the admission of failure, the Azuki official team (0x3A…6305) managed to generate substantial revenue through the sale of Azuki Elementals. They received 20,000 ETH, which amounts to approximately $37 million. Shortly after, the funds were transferred to the Azuki team‘s multi-signature address

2023-06-28Deep Dive

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