CRYPTOCURRENCY
FTX's Bankruptcy Plan Leaves Customers Struggling Amid Crypto Market Revival
The contrast between FTX's ongoing bankruptcy proceedings and the broader crypto market's revival underscores the volatility and risks in the cryptocurrency industry.
Web3 Security Losses Skyrocket to $889.26M in Q3 2023, Says Beosin Report
The Q3 2023 Global Web3 Security Report, jointly initiated by Beosin and SUSS NiFT, reveals a concerning escalation in the Web3 security landscape. The report shows that losses from hacks, phishing scams, and rug pulls reached $889.26M in Q3 2023, exceeding the combined losses of the first two quarters. The report also highlights the increasing threat posed by North Korea's Lazarus group.
A Guide to Minimizing Risk in Crypto Trading
Risk management in crypto trading, shaped by market volatility, involves setting stop-losses, proper position sizing, using take-profit orders, and diversifying assets. Continuous learning is vital.
Crypto Hacks and Scams on the Rise
Over $103 million was lost to crypto exploits, scams, and hacks in April, with the total loss for the year reaching $429.7 million. Major hacks included Bitrue exchange and South Korean GDAC exchange, and flash loan attacks took around $20 million. Exit scams saw a loss of $9.4 million.
US Crypto Tax Law Study
Indiana and Maine universities publish a study examining US cryptocurrency tax law. The paper proposes a new tax framework for cryptocurrency losses, which would prevent taxpayers from using them against other capital gains.
Crypto Hacks in Q1 2023
In Q1 2023, hackers accessed over $320 million through 139 incidents on BNB Chain and losses of $221 million on Ethereum. While significantly lower than Q1 and Q4 2022, the quarter saw hundreds of millions lost, with 60% due to the Euler Finance hack. However, funds were recovered through negotiations with hackers, a trend increasingly common in the industry.
Meta offers lucrative pay packages for metaverse developers
Facebook's parent company, Meta, is offering its metaverse developers salaries ranging from $600,000 to almost $1 million, despite billions in losses for its virtual reality suite. CEO Mark Zuckerberg remains committed to Meta's long-term vision of the metaverse, even after the division responsible for its development recorded its largest yearly loss of $13.7 billion.
Hong Kong Suffers Surge in Crypto Scams in 2022
Hong Kong police reported a surge in crypto-related scams in 2022, with losses amounting to HK$1.7 billion ($216.6 million), up 106% from the previous year. The number of crypto-related scam cases reported in Hong Kong also surged by 67% from 2021. Such scams accounted for over 50% of the HK$3.2 billion ($407 million) stolen from city residents in technology crimes. The Hong Kong police CyberDefender website reported almost 23,000 cases of technology-related crimes in 2022. The use of cryptocurrency has made it more complicated for enforcement to track criminal funds, as fraudsters can hide their identities, transactions, and final destination.
DeFi Suffers $21M in Losses from Exploits
Decentralized finance (DeFi) platforms lost at least $21 million in February due to a series of exploits including flash loan reentrancy attacks, price oracle attacks, and other hacks across seven protocols. Noteworthy incidents included the reentrancy attacks on Platypus Finance and dForce network, the price oracle attack on BonqDAO, and the smart contract exploit on Hope Finance. These incidents follow a report by Chainalysis revealing that DeFi platforms lost $3.1 billion to hacks in 2022.
Digital Currency Group Reports Over $1 Billion Loss Due to 3AC Collapse
Digital Currency Group (DCG) has reported losses of over $1 billion in 2022, largely due to the collapse of Three Arrows Capital (3AC) and falling cryptocurrency prices. DCG's lending arm, Genesis, filed for Chapter 11 bankruptcy in January, as it was 3AC's largest creditor. DCG's fourth-quarter losses came to $24 million, while revenues came in at $143 million. Full-year revenues for DCG came in at $719 million, with total assets of $5.3 billion.