In the first half of 2018, crypto investments fell by nearly 25% to around $9.3 billion.

Venture capital firms investment in the crypto space has dropped nearly 25% from a record $12.5 billion in the first half of last year to around $9.3 billion in the first six months of this year.  Despite the fact that deal value has decreased, deal volume has increased, with 534 deals announced in the first half of this year compared to 456 in the same period last year.  In the second quarter, investment data remained stable. More than $4.2 billion was invested in venture-backed crypto startups, a slight increase over the same period last year.  Although this is a $1 billion decrease from the previous quarter and well below the record high of $6.1 billion set in the fourth quarter of last year, it is still a good result in the cryptocurrency markets winter.  Six rounds of $400 million or more were completed in the first quarter. Under the alias Negentropic, Glassnode co-founders explained:  “$17 billion in VC crypto investments and 1,000 deals in 2022.” The median deal size this year has been $4.5 million. Capital is pouring into BTC and altcoins, laying the groundwork for a strong recovery.  Following Bitcoins 1,300 percent gains in 2018, venture capital funding nearly quadrupled to its previous high of

2022-07-19Deep Dive

300+ NFTs Stolen, $400K in Ethereum Taken In Premint Hack

On Sunday, hackers infiltrated popular NFT registration platform Premint and made away with 320 stolen NFTs and more than $400,000 in profit in one of the biggest such hacks this year.  According to analysis by blockchain security firm CertiK, the hackers compromised the Premint website on Sunday with malicious JavaScript code. They then created a pop-up within the site that prompted users to verify their wallet ownership, ostensibly as an additional security measure.  Multiple users quickly realized the pop-up was illegitimate and immediately took to Twitter and Discord to warn others not to follow its instructions. Even so, within minutes, the hackers had already duped several Premint customers.  The pilfered NFTs included those from popular collections Bored Ape Yacht Club, Otherside, Moonbirds Oddities, and Goblintown. After securing these NFTs, the hackers immediately began flipping them on marketplaces like OpenSea; one stolen Bored Ape nabbed a price of 89 ETH, or around $132,000.  Over the course of Sunday, the hackers collected 275 ETH, or just over $400,000, in sales of all 320 stolen NFTs.   The hackers then sent the funds to Tornado Cash, a service that pools together the cryptocurrency deposits of many users and mixes them, effectively wiping out the digital trail typically left

2022-07-19Deep Dive

Understanding the difference between an exchange and a broker: A guide for all Crypto traders

There have been several cases of cryptocurrency traders who felt disappointed after purchasing Bitcoin and other Cryptocurrencies from a given broker and found themselves unable to transfer them to their storage wallets or other crypto exchange to sell. Some felt they have been scammed or denied the right to transfer their purchased crypto assets. Well, this is caused by the gross misunderstanding of the nature of services provided by the brokers. Forex brokers are known to provide an option for crypto trading on their platforms as only CFDs. Trading Cryptocurrency as CFDs means there is no legal ownership of the assets purchased. This means the assets purchased cannot be transferred from the brokers platform to ones storage wallet or any other desired destination. We have therefore highlighted these differences between a broker and an exchange for all crypto traders to know the difference.  Difference between a broker and an exchange  Ownership of assets: There is no ownership of crypto assets purchased through a broker. This is because all crypto assets purchased through a broker are considered as CFDs. This is quite different from trading Cryptocurrency using an exchange as the latter offers traders legal ownership of assets purchased when they are bought

2022-07-18Deep Dive

Uniswap Price Increases Despite Robinhood Listing

On July 14, the American trading platform Robinhood announced the official listing of Uniswaps native UNI token in its crypto sector. The uni token has somewhat recovered, but upward pressure remains.  Uniswap is a fully decentralized, transparent, and censorship-resistant protocol built on the Ethereum platform that serves as a financial infrastructure for automated liquidity. ERC-20 tokens can be exchanged using Uniswap. Uniswap is a decentralized exchange in a nutshell.  In 2020, Uniswap, a decentralized exchange platform and on-chain market maker, will launch its own governance token called Uni.  According to CoinMarketCap, UNI increased by 14 percent within 24 hours of its listing.  One $UNI coin is currently worth $6.95, with a 24-hour trading volume of $250,296,608.  Yesterday, Uniswap gained a long string of green bullish “candles,” along with an increase in trading volume and a break above the previous resistance point of $6.5. The bulls are currently attempting to hold the key psychological barrier for UNI at $6.5 on the daily candlestick chart.  At the time of writing, the UNI/USD exchange rate had risen from $7.04 to $7.26. The recent price recovery has reclaimed these moving averages and is expected to provide some support; if the support is strong enough, bullish momentum could push UNI to

2022-07-18Deep Dive

OpenSea will lay off 20% of its workforce.

OpenSea has become the latest victim of the ongoing crypto winter, deciding to reduce its workforce.  According to the Wall Street Journal (WSJ), the non-fungible token (NFT) marketplace has announced that it will lay off one-fifth, or 20%, of its workforce.  OpenSea, one of the largest marketplaces for NFTs, has indicated that approximately 57 people will be laid off, despite the fact that it now employs 230 people.  According to TechCrunch, the companys LinkedIn page lists 769 employees, implying that approximately 150 people lost their jobs.  Chief Executive Devin Finzer stated in an internal memo to employees, which was also shared on Twitter, that the company would provide severance and healthcare coverage to those laid off until 2023. Finzer also mentioned that accelerated equity vesting will be available.  “The changes were making today position us to maintain multiple years of runway under various crypto winter scenarios (5 years at current volume) and give us high confidence that we only have to go through this process once,” Finzer explained.  The layoffs contradict Finzers claims in January following the receipt of $300 million in venture capital funding, when he stated that the funds would be used to hire 90 new employees and establish a fund for creators.  As the

2022-07-18Deep Dive

Is Dubai the Next Cryptocurrency Exchange Hub?

Many jurisdictions around the world are now interacting in various ways with the digital currency ecosystem. Among the Gulf nations, Dubai is one of the most active influencers.  While many state actors see it as a threat, a much larger number of others see it as an opportunity.  With the slew of licenses granted to cryptocurrency exchanges today, Dubai appears to be one of the latter. According to Blockchain.News, OKX, one of the leading crypto exchanges in the digital currency ecosystem, is one of the most recent in the industry to be granted permission to operate in Dubai.  The Dubai Virtual Assets Regulatory Authority (VARA) granted the crypto trading platform a provisional virtual assets (VA) license, allowing it to offer targeted crypto products to qualifying investors, according to the announcement.  While the move complements the exchanges efforts to go global, emphasizing, among other things, its compliance capabilities, it speaks much more to VARAs generosity and forward-thinking position. Based on the approval of the new license, the trading platform intends to open a new regional office in Dubai in order to pursue a more comprehensive engagement in the region.  “The MENA region is one of our industrys fastest growing markets, and we are very excited to

2022-07-18Deep Dive

Avalanche's John Wu: TradFi Interest in Crypto ‘Has Absolutely Not Waned’

It may be crypto winter, but traditional financial institutions are sticking around and continuing to influence the space, says Ava Labs President John Wu.  Ava Labs operates the Ethereum sidechain Avalanche, a smart contract platform designed around sustainability and speed thats home to services for staking, lending, and trading cryptocurrency, including dapps SushiSwap and Nexo. AVAX, up more than 9% over the last 24 hours, according to CoinMarketCap, now has a market cap in excess of $6 billion.  Wu said companies like JPMorgan Chase and Société Générale-Forge, a subsidiary of one of Frances largest investment banks, are examples of how financial institutions are still innovating during crypto winter and paving the way for broader crypto adoption.  “The institutions who are trying to apply the blockchain technology to either streamline or to do new tokenization of real world assets, their interest has absolutely not waned,” Wu told Decrypt at Avalanche House in Brooklyn on Friday.  JPMorgan already uses its own stablecoin, JPM Coin—backed 1:1 by the U.S. dollar—as a tokenized form of U.S. dollar deposits helping facilitate transactions for institutional clients. Wu sees the project as a notable on-ramp for institutional investors looking to ease into crypto.  He referenced recent efforts from JPMorgan with the Monetary

2022-07-18Deep Dive

CZ: As ‘Pure Web3 Company,’ Binance Has No Plans to Offer Stock Trading

Regardless of how many new users it could attract, Binance isnt interested in offering users the ability to trade stocks.  CEO Changpeng Zhao told on the latest gm podcast that cryptocurrency exchanges offering the feature are neither right nor wrong, but he emphasized that swapping equities doesn‘t align with his company’s philosophy.  And while stock trading has proven a lucrative market for many retail investment platforms, such as Robinhood and Webull, CZ said hed rather see Binance focus on building more Web3 tools.  “We are a pure Web3 company,” CZ said. “We‘re not going back, we’re moving forward.”  The CEO added that Binance is eyeing a few companies as potential acquisition targets during the bear market, but that none of those would revolve around the exchange of traditional equities. CZ also suggested the potential deals would be more “simple” than a complicated loan structure or bailout.  “That is not to say that complex deals are bad,” CZ said. “But my preference is always keep everything very simple, very straightforward, boil everything down to very basic core principles, and go from there.”  He also commented directly on the $500 million line of credit extended to bankrupt crypto broker Voyager Digital by Sam Bankman-Frieds Alameda Research: “I would

2022-07-18Deep Dive

Finance Redefined: DeFi market fell off the cliff in Q2, but there’s hope

Analytical data reveals that DeFis total value locked registered a minor dip from the past week, falling to a value of $56.45 billion.  Welcome to Finance Redefined, your weekly dose of key decentralized finance (DeFi) insights, a newsletter crafted to bring you some of the major developments over the last week.  This past week, the DeFi ecosystem saw several new developments despite a bearish phase brought on by the lending crisis in the crypto market. Another crypto lender, Celsius, with high stakes in DeFi protocols, filed for bankruptcy. The overall DeFi market fell to new lows in the second quarter. However, a new report indicates users havent given up hope.  BNB Chain launched a new decentralized application (DApp) platform with an alarm feature. Vermont state regulator opened an investigation into troubled crypto lender Celsius, deeming it deeply insolvent. A DeFi researcher has predicted that Ethereum proof-of-stake (PoS) can help Ether (ETH) overtake Bitcoin (BTC).  The DeFi tokens saw a new flow of bullish momentum over the past couple of days owing to a market-wide green momentum after the inflation data release.  DeFi market fell off cliff in Q2, but users havent given up hope: Report  Despite the DeFi market suffering a 74.6% market cap decline in

2022-07-17Deep Dive

Bitcoin whales still 'hibernating' as BTC price nears $21K

Bitcoin price recovers 11% from the weeks lows as one trader targets $21,700 next.  Bitcoin (BTC) hit $21,000 for the first time in several days on July 15 as markets enjoyed what one trader called “summer relief.”  BTC/USD 1-hour candle chart (Bitstamp). Source: TradingViewAltcoin rebound eyed as BTC price adds 11%  Data from Cointelegraph Markets Pro and TradingView showed BTC/USD grinding higher overnight to just tap the $21,000 mark on Bitstamp on the day.  A noticeable change of tact had set in after initial losses on the back of forty-year highs for the United States Consumer Price Index (CPI). Versus the July 13 lows, BTC/USD was thus up 11%.  “Summer relief time,” Cointelegraph contributor Michaël van de Poppe summarized.  Popular trader Crypto Tony was also in the mood for modest optimism on short timeframes, eyeing a move to $21,700 for profit-taking.  “If we get this, then Alts can continue to enjoy a nice pump and relief rally,” he added in a further tweet.  Many major altcoins had responded well to the uptick in BTC price action, with Ether (ETH) making a noticeable rebound to cap over 12% daily gains.  Others in the top ten cryptocurrencies by market cap also fared well, with only Solana (SOL) nonetheless managing to beat

2022-07-16Deep Dive
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