Results of the week: Sam Bankman-Fried apologized for the collapse of the FTX, and the co-founder of the “Finnish” was detained in the UAE
Sam Bankman-Fried apologized for the collapse of the FTX, the co-founder of the “finish” was detained in the UAE, Chanpen Zhao called the most important requirements for the crypto-rope and other events of the outgoing week.
Bitcoin was fixed above $ 16,000
According to the results of the week, bitcoin quotes returned to levels above $ 16,000. At the time of writing, the first cryptocurrency is traded near $ 16,570.
During the period under consideration, almost all digital assets from the TOP-10 on capitalization were in the “red zone”. The exception was XRP – the price of token increased by 1.9%.
The total capitalization of the cryptocurrency market fell to $ 858 billion. Bitcoin dominance index increased to 37.1%.
FTX collapse – events for a week
At the beginning of the week, Glassnode analysts indicated a record outflow of bitcoins from exchanges balance to cold wallets against the background of a ftx collapse. According to their estimates, the monthly pace reached 106,000 BTC. A similar dynamics was characteristic of April and November 2020, as well as June-July 2022.
According to Crypto Fund Research experts, the losses of cryptocurrency funds due to bankruptcy FTX can be up to $ 5 billion. The crisis touched on 25-40% of industry investment structures that invested in Bitcoin-Biru or its Utility Token FTT.
According to Nansen, about 86% of tokens were originally controlled by FTX and AlaMeda Research itself.
Paradigm regretted investment in Sam Bankman-Fried, writing off investments to zero. Similarly, Singapore Temasek Holdings and the Canadian Pension Fund Ontario Teachers ’Pension Plan were received. According to Circle, its investments in the FTX Group share capital are about $ 10.6 million.
In the documents for the court, the FTX operator announced the presence of more than a million creditors. Bloobmerg was unlikely to return the funds by clients. Later, Bankman-Fried apologized for what had happened and admitted that events could develop more dramatic. He also revealed information about the value of the exchange assets and Alameda Research.
Media surveyed lawyers pessimistic about the future fate of the former head of the company. In their opinion, the US Ministry of Justice has everything necessary to initiate a criminal case against Bankman-Frid and other leaders of the exchange. A collective lawsuit has already been filed against him.
Hack VC managing partner Alexander Pak, in turn, spoke about the “catastrophic” tendency of the ex-head of the FTX to risk. According to him, serious fears regarding the methods of activity of the founder of the victim of the platform appeared before its appearance.
At the same time, the current CEO FTX John Ray accused the ex-head of the exchange of hiding the illegal use of client funds and the “secret release of Alameda Research from some aspects of the autocracy protocol” on the platform.
According to the document, Euclid Way Ltd., controlled by Alameda Research, issued a loan of $ 2.3 billion Paper Bird Inc., which is owned by Bankman-Fried. The venture company itself also learned:
- $ 1 billion – the head of the group;
- $ 543 million – the co -founder of the FTX NISHADA SINGHO;
- $ 55 million-Co-CEO Ryan Salame.
At the same time, Ray indicated that the fair value of the FTX Trading LTD digital assets, which includes the FTX global exchange and other trading platforms registered outside the United States, amounts to $ 659,000.
According to him, FTX Group violated financial accounting rules. In particular, the exchange platform did not include obligations to customers in their reporting.
Against the background of the crisis, a number of industry participants decided to support the affected by FTX collapse. The creation of funds was announced by Binance, Bitget and OKX.
At the same time, the American Bitcoin Tarzhi Birgi unit Chanpan Zhao may claim to participate in the auction for the sale of assets Voyager Digital. Earlier, the creditor reached a preliminary agreement with FTX US.
The activity of Chanpan Zhao did not go unnoticed by the authorities. In the US Congress, they became interested in the role of Binance in the collapse of FTX. Later, the exchange confirmed the receipt of similar requests from the regulators of some countries.
Within a week, Kraken and Paxos reported on freezing of FTX assets related to FTX.
On November 15, the Supreme Court of the Bahamas, granted the request of the Securities Commission on the appointment of temporary liquidators of the local FTX Digital Markets (FDM). On the same day, the company submitted a request from bankruptcy in the United States to the court of the Southern District of New York.
Later it became known that the Bahamas regulator transferred all FDM assets to the wallet controlled by him.
Chanpeng Zhao called the most important requirements for crypto -rhiza and announced the joint work of industry giants with regulators
The head of Binance Chanpeng Zhao called the six most important, in his opinion, requirements for centralized exchanges:
- Do not at risk of user means;
- never use native tokens as security;
- disclose information about assets;
- keep significant reserves;
- avoid excessive leverage;
- strengthen and apply security protocols.
The head of Binance also announced plans to unite the largest crypto industry players to work together with politicians and regulators. The organization will take care of the “third party, which has done this more than once in different fields”.
What else is happening around FTX?
- Coinbase predicted prolonged cryptosima due to ftx collapse.
- The hacker hacked FTX was a list of Ethereum Kitov.
- The new CEO FTX called not to focus on Bankman-Frida’s statements.
- FTX collapse led to record sales of hardware wallets.
Auditors confirmed the use of the LFG fund for $ 2.8 billion to save UST
The technical audit of actions by Luna Foundation Guard (LFG) conducted by the JS HELD showed that the organization spent a reserve fund of about $ 2.8 billion exclusively to protect the binding of algorithmic stablecoin Terrausd (UST).
As a result of the audit, the specialists came to the following conclusions:
- LFG spent 80 081 BTC and $ 49.8 million in stabilcoins (~ $ 2.8) to protect the UST linking, which corresponds to messages from May 16;
- In turn, Terraform Labs (TFL) directed $ 613 million equity to the salvation of the “stable coin”.
On November 16, the media reported searches in the payment company Chai Corporation founded by TFL co -founder Daniel Shin. The accusations allegedly relate to the use of personal data of customers without https://gagarin.news/news/australian-pension-funds-expect-clear-regulation-of-cryptocurrencies/ their consent when launching a service based on Korean Vena Stebiblcoin CRT from Terraform Labs.
1inch Network presented the fifth version of the Protocol of the liquidity aggregator with DEX
1inch Network Defi project launched the fifth version of the liquidity aggregator protocol with DEX. Unlike 1inch Router V4, transactions will cost ~ 5% cheaper.
The new version applied a new logic of interaction, and preliminary and post-interaction was added.
Tim Draper did not refuse to forecast the growth in bitcoin price to $ 250,000
Venture investor and billionaire Tim Draper confirmed his forecast for bitcoin price growth to $ 250,000 by the beginning of 2023, despite the crash of the FTX crisis.
According to him, the collapse of the Exchange Sam Bankman-Fried “has nothing to do with the success of the first cryptocurrency, since it is decentralized, and FTX does not.
What to discuss with friends?
- Prime Minister Saint-Kits and Nevis allowed the legalization of Bitcoin Cash.
- In China, Hacker was sentenced to 10.5 years in prison for stealing 383 ETH.
- Flare Defi project on BNB Chain hacked $ 17.9 million.
- Certik experts opened the black market KYC.
Genesis Trading stopped cryptolending operations
Cryptocurrency Platform Genesis Trading froze the withdrawal of funds and the issuance of new loans. This happened against the backdrop of “increased requests” from customers after FTX collapse.
The desire to redeem the loan portfolio Genesis Trading worth about $ 2.8 billion said its competitor B2C2. The founder of the platform Max Bonen noted that the decision was made “not from altruism”.
Report: Ukrainian Web3 startups attracted $ 1 billion in four years
Since 2017, more than 80 Web3 startups have been launched in Ukraine, which together attracted about $ 1 billion investments over the past four years, the Hypra Venture Fund reported.
The leaders in the volume of involved investments are the SOLANA team and the Near Protocol developers – they received a total of $ 315.8 million and $ 524 million, respectively.
On November 14, the inter -fractional association of deputies Blockchain4UKRANE and the Public Union “Virtual Assets of Ukraine” signed a roadmap for the use of blockchain and Web3 technologies in the country.
Vitalik Buterin suggested using ZK-Snarks to check the balance sheets
Ethereum founder Vitalik Buterin proposed using ZK-Snarks to verify data on cryptocurrency exchanges reserves. In his opinion, the technology will make the Proof-OF-RESERVE (Por) procedure more efficient.
According to Butaterin, ideally, a system should appear that would not allow the exchange to operate with customer means without their consent. He emphasized that ZK-Snarks technology could help achieve this goal.
The founder of Ethereum called the Merkle Tree Proof-OF-RESERVES procedure “as good as the evidence of obligations can be at all”. At the same time, he noted that this model has a number of problems associated with confidentiality.
The co -founder of “finico” was detained in the UAE
The co -founder of the financial pyramid “Finico” by Zygmunt Zygmuntovich was detained in the United Arab Emirates on September 6. Information was also confirmed by the Prosecutor General of the Russian Federation. The department has already sent a request to issue Zygmuntovich.
He is accused of fraud and participation in the criminal community.
Also on FORKLOG:
- GRAYSCALE GBTC discount reached a record 42%.
- Analysts pointed to the persistence of the Hodler and the stress of miners against the background of the collapse of FTX.
- WSJ: Blockfi cryptolending platform will submit bankruptcy proceedings.
- Top managers of bitcoin companies gave forecasts for the market after FTX collapse.
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