Crypto Guides, Knowledge & Insights

FTX hacker is now one of the largest ETH holders

With a total of 228,523 ETH worth $284.82 million, the hacker who used an exploit to steal funds from the now-bankrupt FTX has emerged as the 35th-largest owner of Ethereum.　　The hacker converted the stolen funds into various transactions, according to popular cryptocurrency security firm PeckShield.　　The hacker exchanged approximately 7,420 BNB on BSC for 1,500 ETH, converting $48 million in DAI to 37,000 ETH, according to the firm. Furthermore, the exploiter traded 3,500 BNB for 962,071.43 BSC USD, 3,500 BNB for 958,560.13 BSC-USD, and 15,000 BNB for 3,899,020.38 BSC-USD separately.　　Furthermore, the exploiter transferred approximately 3.9 million swapped BSC-USD to Ethereum via the Celer Network, then to cBridge and Stargate Finance. They were changed for 5.564.83 ETH by the hacker.　　The attack　　The hacker stole $400 million from FTX wallets during the attack. Its worth noting that the attack happened on the same day that FTX declared bankruptcy.　　Furthermore, the attacker transferred the stolen funds via a number of decentralized exchanges (DEX). CowSwap, UniSwap, and 1inch are among the DEX. However, Arkham forensic research discovered that the hacker lost a large portion of the stolen funds while attempting to move them through various chains. The attacker attempted to hide their tracks by transferring assets to

2022-11-16Deep Dive

Decentralized stablecoins are pitched as crypto’s holy grail, so where are they?

A large portion of the media attention paid to Bitcoin is due to the crypto assets wild price fluctuations, and while it has tended to become less volatile over time, the fact that the bitcoin price in US dollar terms is roughly a quarter of what it was last year is too much for many potential users to bear.　　Stablecoins have seen tremendous growth in recent years as a result of price volatility issues, accounting for more than $130 billion of the total crypto market.　　However, contrary to what stablecoin promoters claim, these alternative digital currencies are not at all similar to bitcoin. The vast majority of stablecoins are centralized tokens issued on top of blockchains such as Ethereum, Tron, BNB Chain, and Solana, and they include backdoors that allow issuers to do things like freeze funds and blacklist addresses. They could also be regulated out of existence with the stroke of a pen.　　Due to the limitations of traditional, centralized stablecoins, decentralized stablecoins have long been regarded as a sort of crypto Holy Grail. The idea is to combine bitcoins censorship resistance and permissionless nature with a much more stable asset.　　Alex Gladstein, Chief Strategy Officer of the Human Rights Foundation, stated:　　“I think

2022-11-16Deep Dive

Weekly Crypto Market Progress Report Amid the Fall of FTX

According to information from CoinMarketCap, FTX Token (FTT) clearly caused the breakdown in pricing, which fell by nearly 92.33% in the last seven days to $1.78. The fall of the coin was eerily similar to that of Terra (LUNA), which lost a years worth of earnings in just over a week after the algorithm stablecoin TerraUSD (UST) crashed earlier in May. 　　Before FTX filed for bankruptcy, sector investors began to lose faith in the company; this action sparked money withdrawals that caused the trading platforms liquidity crisis. FTT holders were forced to sell their coins on other exchanges as well after realizing the firms grim destiny.　　Performance of the Top 10 Coins for the Week　　Each of the top ten digital currencies has had a mediocre performance so far this week. Bitcoin is currently being traded at $16,655.55, a 21.50% weekly decline. The price of bitcoin even fell to $15,682.69 during the course of the week, marking the lowest level in almost two years. 　　Ethereum (ETH) experienced a similar fate and fell 23.63% to $1,237.73 during the course of the week. With a 20.41% decline, Binance Coin (BNB) is currently trading at $278.36. Above the course of the week under consideration, XRP,

2022-11-16Deep Dive

Litecoin Has Entered The Top 20, Has Gained Over 28% Over The Past Week, and This is Why

Litecoin (LTC) was going for $68.65 and had a 24-hour trading activity of $1,400,844,453. Over the past 24 hours, the tokens price has dropped by 1.59%. With a current valuation of $4,912,922,846, the cryptocurrency is placed #19 on CoinMarketCap. 　　Litecoin had a price of $51.18 on October 21. The currency dropped 74% in the last year and 65% year to date as a result of the general crypto market collapse, like many other cryptocurrencies. Bitcoin, in contrast, has decreased by around 69% over the past year and by 59% so far this year.　　Litecoins price has fallen by 54.39% since it started trading in 2022 at $150.80. The LTC price is $68.65 at the time of writing, up 0.76% from the recent trading day.　　On November 1, the price of Litecoin increased by around 8% as a result of MoneyGrams decision to allow customers to keep and sell a variety of cryptocurrencies on its app. Users of Moneygram can buy, sell, and store Litecoin as well as Bitcoin and Ethereum. The revelation did not affect Bitcoin and Ethereum in the exact way it impacted Litecoin because they have considerably larger market caps and fan bases than Litecoin.　　Moneygram stated that users can buy,

2022-11-16Deep Dive

FTX or Alameda Slumps Issued Wrapped Tokens, No Longer Redeemable

Coingecko stats show that Wrapped bitcoin on Sollet has decreased by more than 60% over the past day from its native bitcoins current price of $16,811. In comparison, Wrapped ETH on Sollet is also down for the past 24 hours, but only by roughly 8% to $1,209. At the time of writing, native ETH is trading for $1,261. 　　Notably, Coingecko is posting the following caution on its site for both wrapped tokens, soETH and soBTC:　　“soBTC tokens are wrapped BTC tokens issued by FTX or Alameda. Both these entities have filed for Chapter 11 bankruptcy, and the BTC tokens are no longer redeemable.”　　Rather than holding or trading genuine Bitcoin or Ethereum, users can store or exchange wrapping tokens for these assets, like the ones for Bitcoin or Ethereum, on the Solana blockchain. 　　　　As a result of the majority of Solana wrapped commodities being held by the now-defunct cryptocurrency exchange FTX and Alameda study, the wrapped tokens are no immediately convertible and will likely drop to zero, according to the founder of the open source portfolio tracking tool Roktiapp. 　　Reactions to the wrapped resources were merely people trying to alert individuals to the fact that the wrapped tokens were fake tokens. Tweeted

2022-11-15Deep Dive

Why FTX Might Not Be the Only Victim in its Own Demise

Despite information regarding discrepancies in the balance statement of its sister trading company Alameda Research, FTX continued to seem regular last week. 　　Nobody was prepared for the path that led to FTX Derivatives Exchanges bankruptcy, and as a result, many people were taken off guard. Even if the process is still in its early phases, these slumps will eventually have a rippling effect.　　FTX held a key place in the ecosystem of digital currencies, acting as an investment and the borrower of last option to struggling businesses throughout the whole crypto winter. Over 200 businesses that FTX has interests in were named in its bankruptcy petition. 　　　　While the failure of FTX was a major shock, the fact that throughout the summer, several big firms, including Celsius Network, Voyager Digital, Three Arrows Capital, and Terraform Labs, failed must have served as a reminder to keen observers that nothing was impossible in this industry.　　The Broad-based Heartbreak and FTX　　What may be hurting many peoples hearts right now is a significant distinction between the FTXs demise and a plethora of other insolvent enterprises. Having promised the ethos of centralization, FTX notably dipped its claws into users finances in an unscrupulous fashion which it utilized to

2022-11-15Deep Dive

Numerous Crypto Exchanges Suffer as a Result of FTX

Hong Kong-listed business New Huo Technology Limited (HKEX: 1611) announced from within knowledge on Monday that approximately $18.1 million worth of digital currencies possessed by its subsidiary Hbit Limited are placed in cryptocurrency exchanges FTX, per the most latest revelation posted on Hong Kong Exchange, going to cite “Failure to withdraw cryptocurrency assets from crypto exchange FTX.”　　　　According to the clients trade request, about $13.2 million of the $18.1 million capital is the “clients asset,” and about USD 4.9 million is the “asset of Hbit Limited.” The listed firm issued a warning that due to FTXs petition for bankruptcy proceedings on November 11 and its subsequent liquidity crisis, the crypto assets “may not be able to be removed from FTX.”　　The companys board of directors emphasized that it will keep offering consumers financial services involving virtual assets that are legal, competent, and secure.　　“The Board is of the view that the Incident currently does not affect the normal business operations of the Group. As Hbit Limited is legally and operationally separated from other business entities of the Group, other assets and business lines of the Group will not be affected.”　　The Board stated that if “the incident is not solved,” it could have an

2022-11-14Deep Dive

After the FTX data leak, Solana Developers split apart the Solana Liquidity Hub Serum

On November 12, a developer using the alias Mango Max claimed on Twitter that a “confirmed build of the same version has been generated and deployed.” Additionally, a multi-sig owned by a group of reliable programmers is now in charge of managing the upgrade authority and fee earnings. The functioning of the Serum (SRM) and MegaSerum (MSRM) tokens as well as the fee savings has not been changed. 　　Many Solana professional developers the hack may well have damaged the protocol because FTX creates Serum. Developers are scrambling to fork Serums code today and continue the protocol without FTX, according to Anatoly Yakovenko of the Solana blockchain.　　　　The original Serum could only be upgraded via an encryption key that is owned by others at FTX and not the Serum DAO, and that key may have been stolen as a result of the FTX hack, therefore it appears that programmers may need a different version of Serum. The developers who rely on serum are going to fork the software, according to Yakovenko, because the upgrading key to the current version has been hacked. 　　Not just Yakovenko but other developers also contributed to the forking issue. Says Mango Max, “The serum program update key

2022-11-14Deep Dive

Huobi addresses concerns raised surrounding fake reserves ‘snapshot’

Huobi has addressed the concerns raised in response to Wu Blockchains tweet, which revealed that over 10,000 ETH had been transferred out of the Huobi 34 wallet.　　Huobi clarified that the hot wallet address is part of the advertised address and informed people worried that the company guarantees the security of user assets, 100% redemption, and will not put any restrictions on deposits and withdrawals.　　On November 13, Huobi published its Work Report on Asset Transparency, which detailed the disclosure of its hot and cold wallet balances. Huobi stated that disclosing its hot and cold wallets will become a standard procedure.　　Concerns about the asset snapshot of the asset reserve began to emerge shortly after Huobis disclosure statement. According to Wu Blockchain, Huobi transferred 10,000 Ethereum (ETH) from the Huobi 34 wallet to “Binance and OKX deposit wallets.”　　At the moment of the snapshot, the wallet contained 14,858 ETH. The 10,000 ETH in question was removed from the wallet two minutes later.　　The Huobi 34 wallet reported previously now has a total balance of about 18,000 ETH and is still seeing regular transactions in and out of the wallet.

2022-11-14Deep Dive

Binance to launch ‘recovery fund’ for strong projects with liquidity crisis

On November 14, Binance CEO Changpeng CZ Zhao said that the exchange would launch an industry recovery fund to assist strong projects in a liquidity crisis.　　CZ made the statement in response to the recent bear market liquidity shortage that has impacted various cryptocurrency projects, pushing some of them out of business.　　CZ stated that the fund would be open to other industry players that choose to invest. He also stated that further details regarding the effort would be released soon.　　CZ has asked projects that believe they are eligible for the money to contact Binance Labs.　　CZ stated in June that Binance was prepared to help industry participants survive and develop even if the firm did not benefit from such assistance.　　Binance Pool also created a $500 million loan facility to help the cryptocurrency mining business.　　Crypto community praises CZ initiative　　The crypto community has embraced CZs effort, with many hailing it as a positive step forward.　　Justin Sun, the founder of Tron (TRX), stated that his two exchanges, Huobi Global and Poloniex, would participate in the project. Sun stated:　　“(We would) contribute to this industry recovery fund in order to assist good builders and developers in recovering from the crisis!”　　Meanwhile, some questioned the proposal, wondering how Binance

2022-11-14Deep Dive

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