Crypto News Headlines (18-May-2022)

Addresses connected to Ronin Bridge’s $625 million exploit show upward of $10 million worth of ether were on the move in Asian morning hours on Wednesday, as per blockchain data.

One address was funded by the Ronin exploiter this morning for 5,505 ether, with the funds coming in from another wallet that was directly funded by the main exploiter address, blockchain data shows.

Starting in the wee hours on Wednesday, the address sent ether in batches of 100 to Tornado, an on-chain privacy exchange. Over 55 transactions were made, the data shows.

FTX founder Sam Bankman-Fried has given his opinion about where bitcoin is going and the real value of its structure in the future. In an interview published by the Financial Times, Bankman-Fried criticized the implementation of Bitcoin as a payments network. To him, the Bitcoin blockchain system will never work as a day-to-day payments system for several reasons.

A perceived lack of scalability of the Bitcoin blockchain is one of them, and the second reason presented by the executive has to do with the energy and environmental implications of this hypothetical growth compared to other alternatives. To Bankman-Fried, bitcoin for payments is akin to gold, in that it would be impractical to use. He stated:

Why don’t we go to a store and pay with physical gold bars? First of all, it would be ridiculous and absurd. It would be unbelievably expensive. And I’m sure it’d be bad for the climate.

He also declared that proof-of-stake (PoS) networks would be more efficient to complete these tasks, explaining:

Things that you’re doing millions of transactions a second with (will) have to be extremely efficient and lightweight and lower energy cost. Proof of stake networks are.

Billionaire investor Bill Ackman expressed his views on the collapse of the Terra ecosystem, calling it “the crypto version of a pyramid scheme.”

“Investors were promised 20% returns backed by a token whose value is driven only by demand from new investors in the token,” Ackman tweeted. “There is no fundamental underlying business.”

The 20% returns mentioned refer to the high yield earned on Terra’s highly-popular Anchor Protocol application. Today, those rates have dropped to 18% and are expected to drop again on June 1.

In a series of tweets, the founder and CEO of Pershing Square Capital Management also criticized LUNA for creating artificial demand by limiting the supply through a vesting schedule.

According to the latest weekly report from Arcane Research, the BTC Trading volume has seen further growth this week.

The “daily trading volume” is an indicator that measures the total amount of Bitcoin changing hands on any given day.

When the value of this metric goes down, it means a lesser number of coins are being traded on the chain at the moment.

Sinking volumes can suggest that investors’ interest in cryptocurrency is decreasing right now.

On the other hand, an increasing volume shows that the network is becoming more active as a larger amount of BTC observes movement.

Historically, high volumes have made up for an ideal environment for large moves in the price of Bitcoin. This is because to sustain any such move, you need a large number of active traders.

It’s also true, however, that large price moves themselves also attract more traders, thus increasing the volume and fueling itself.

A report commissioned by South Korea’s federal government recommends the domestic crypto industry adopt a licensing system for exchanges and token issuers as a way of protecting investors.

The report issued by the Financial Services Commission (FSC) to the National Assembly, the country’s legislature, also calls for new regulations to mitigate insider trading, pump-and-dump schemes and wash trading.

The new regulations would be stricter, and the penalties for failure to comply would be harsher than those in the Capital Markets Act that the domestic crypto industry currently abides by.

“The Comparative Analysis of the Virtual Property Industry Act” report obtained exclusively by Korea Economic Daily on Tuesday reveals a recommendation to establish a licensing system that would apply to coin issuers such as companies that operate initial coin offerings (ICO) and crypto exchanges. Varying degrees of licenses would be issued based on the risk involved.

TaxBit, a Salt Lake City, Utah-based provider of crypto tax and accounting software, announced on Tuesday that it has received a new investment from Haun Ventures – a new venture fund designed to help founders build the next generation of the internet.

The strategic investment will allow TaxBit to further accelerate its leading tax and accounting platform and bring additional solutions to the crypto market, helping clients and businesses report and pay crypto taxes.

This is one of the first investments by Haun Ventures, a venture capital fund recently founded by Katie Haun.

Ms. Haun co-led Andreessen Horowitz’s crypto arm in the past, but announced her departure in December last year. In March, Haun launched her venture capital firm, Haun Ventures, which is dedicated to backing crypto startups. The venture capital company was launched with $1.5 billion in capital across two funds — a $500 million early-stage fund and a $1 billion “acceleration” fund.

Cloudflare, one of the leading content delivery and DDoS mitigation companies, announced a new Web3 push that leverages Ethereum’s upcoming proof-of-stake network. The company informed it will be running Ethereum validator nodes as part of its experiment in order to assess the viability of the scaling technology in the future.

Cloudflare stated that blockchain technologies could be part of the story of the internet in the long run and that these experiences might help in the decentralization of such networks. About this, the company stated:

For the Ethereum ecosystem, running validator nodes on our network allows us to offer even more geographic decentralization in places like EMEA, LATAM, and APJC while also adding infrastructure decentralization to the network.

Cloudflare specified these actions will be conducted in the coming months before The Merge, the change of consensus mechanism the Ethereum network aims to execute later this year.

Kadena (KDA), the native cryptocurrency of the eponymous proof-of-work (PoW) blockchain network, is down more than 10% over the last day, trading at $2.89 by press time, per CoinMarketCap.

Kadena was founded by two former JP Morgan employees–Stuart Popejoy and Will Martino–who both led JP Morgan’s Blockchain Center for Excellence, the American investment bank’s in-house blockchain team.

By combining the PoW consensus mechanism with directed acyclic graph (DAG) principles, Kadena claims it can provide the security of Bitcoin while offering high throughput that makes the blockchain usable by enterprises.

Big Four consulting firm EY has unveiled its blockchain-based supply chain manager built for the Polygon network aimed at solving bottlenecks in product traceability.

The EY OpsChain Supply Chain Manager, which is now available in beta, is the first joint project between EY and Ethereum scaler Polygon following the start of their collaboration last September.

The project is aimed at tackling chokepoints along supply chains combining product traceability with inventory management.

Organizations would create tokens to represent assets and inventory which the OpsChain manager would then track across the supply chain network.

Scaling networks like Polygon are designed to lighten the load on blockchain mainnets such as Ethereum, processing transactions on a sidechain to reduce congestion and costs.

Polygon Nightfall, the network combining the fruits of the two entities’ labour, offers zero-knowledge proof-based privacy technology, guaranteeing that only selected parties can see the full history of the assets tracked.

Falcone rose to fame and fortunes, amassing a fortune of $2 billion by shorting housing markets but has since squandered most of that over the past decade, according to reports.

On May 17, the New York Post reported that the former hedge fund tycoon is angling to profit from TV coverage of the crypto industry, filling a niche that is currently void.

Falcone is reportedly pitching BlockchainTV to investors in hopes of garnering enough funding to back a dedicated crypto TV channel.

The report added that Falcone enlisted former music executive Charlie Walk to help him sell the concept and attract investors, which the pair has been attempting since January.