Crypto Guides, Knowledge & Insights

Crypto.com suspends its services following a possible hack

Crypto.com has confirmed deposit and withdrawal services stoppage amid investigations regarding a possible hack. The exchange is looking into several accounts that reported losing a hefty amount of money through unconventional ways. It also tweeted that its team is updating its security measures and will resume operations once complete.A possible hack pushes crypto.com to pause its services　　Several Cypto.com users have expressed their worries that they may have unknowingly lost funds from their trading accounts. The users posted that they were surprised to find prized digital assets missing from Crypto.com trading accounts. The exchange is currently under maintenance and investigating the matter; therefore, their depositing and withdrawal services are unavailable for now.　　Even though several users have complained about the ‘loss’ of their holdings, the exchange has assured them that all funds are intact. A spokesperson for the exchange also refused to give more information regarding the saga.　　Crypto.com houses over 10 million clients and is among the most popular exchanges in the US. It is also popular due to its business deals, like the recent take over as the title sponsor of the Los Angeles sports center. The exchange cut a deal worth $700 million, featuring actor Matt Damon, one of their

2022-01-18Deep Dive

Could Bitcoin’s security be weakening? Let’s talk about it

Bitcoin proponents claim that Bitcoin‘s security is unquestionable and fears surrounding halving events are blown out of proportion. Critics, however, argue that transaction fees might not have the capacity to counteract the declining block rewards, driving the network’s security budget down.　　While 2022 started with the Bitcoin hash rate at an all-time high (ATH), and the total miner revenue up over 400% since halving, the topic deserves attention in the light of Bitcoin payments declining.Need for block subsidy　　Designed to cap the total number of coins issued at 21 million, Bitcoin halving is a cyclical event that cuts rewards for miners in half, and occurs roughly every four years.　　According to Satoshis vision and design, “in a few decades when the reward gets too small, the transaction fee will become the main compensation.”　　This assumption is contingent on one major fact–Bitcoin becoming broadly adopted, as the networks growth is expected to drive the demand for block space, eventually decreasing the need for a block subsidy.　　According to Morgan “Mo” Bennett, this topic needs more air time.　　The independent analyst pointed out that Bitcoins security budget, which protects the network against 51% attacks and is represented by the block subsidy and transaction fees combined, is in constant

2022-01-18Deep Dive

Ethereum gas fee tokens poor performers, Ponzi accusations

Without any sign of gas fees on Ethereum being less of a pain to users, the fees continue to be a hot topic, and a driving force and tailwind for so-called Layer-1 competitors such as Solana and Avalanche, both of whom boast much lower fees.　　As Ethereum gas fees stir some frustration among its users, theres perhaps no surprise some are trying to capitalize on the emotions. There are now at least two tokens that have gained a non-ignorable amount of attention from parts of the industry.GAS down 94%　　The GAS token was launched on the 29th of December, claimable to Ethereum users who spent a significant amount on gas fees in the past. Launched by the Gas DAO, the purpose of the token is, as per the DAO website, “Providing strategic insights and a voice for the networks most active users.”　　The “strategic insights” come from polls conducted among token holders.　　“Gas DAO polls Ethereum users on behalf of protocols, leveraging the most diverse user base on Ethereum to create actionable Insights for protocols. Responses are cryptographically verifiable,” the website reads.　　However, if the intention of the GAS token ever was to bring some comfort to hardened gas payers, it has thus far failed

2022-01-18Deep Dive

JPMorgan Shares Predictions on Crypto Markets, Ethereum’s Upgrades, Defi, NFTs – Featured Bitcoin Ne

JPMorgan Outlines Future Outlook for Crypto Markets　　JPMorgan analyst Kenneth Worthington published a report on the 2022 outlook for crypto markets Friday. The analyst wrote:　　THE APPLICATIONS FROM CRYPTO HAVE ONLY JUST BEGUN. WEB3.0, GREATER USE OF NFTS TOKENIZATION ARE IN THE LINE-OF-SIGHT FOR 2022.　　JPMorgan sees “the tokenization and fractionalization as holding particularly large promise as transactions speeds in crypto become more competitive with trad-fi networks,” the analyst continued.　　The report adds:　　DEFI WAS A BIT OF A FLOP IN 2021, BUT STILL HAS STRONG POTENTIAL IN 2022 AND BEYOND.　　The analyst explained that the development of crypto technology will continue, driven by the scaling of Layer-1 and the introduction and growth of Layer-2. He added that Ethereums Merge and Layer 2.0 introduction will speed up transactions and could significantly cut energy consumption.　　Worthington detailed:　　THE USE CASES FOR CRYPTO MARKETS WILL CONTINUE TO GROW AND NEW PROJECTS AND TOKENS WITH MORE AND DIFFERENT USE CASES WILL SURFACE.　　Furthermore, the JPMorgan analysts noted that with these projects attached to tokens and Coinbase being a leading exchange to buy and sell tokens, “we see Coinbase as a leading direct beneficiary of crypto market growth.”　　Worthington additionally said that if 2021 was the year of non-fungible tokens, then 2022 may be

2022-01-18Deep Dive

Indian Prime Minister Rallies For Global Cooperation on Cryptocurrency

Indian Prime Minister Narendra Modi has issued a rallying call to all stakeholders worldwide to jointly tackle the potential risks and challenges that are linked to Bitcoin and cryptocurrencies in general.　　Modi spoke virtually about the topic during the Davos conference of the 2022 World Economic Forum.　　The prime minister shared his belief that cryptocurrency is one of those challenges that the world has to face as a unit. In his words, as “a global family”. He then went on to say:　　“To fight this, every nation, every global agency needs to have collective and synchronized action.”　　Modi went further with claims that the kind of technology that crypto operates under, has made it so, that a single nation can not come up with decisions that will be adequate. He then recommended the need for nations to “have a common thinking” when it comes to tackling the challenges posed by cryptocurrency.　　 Policy Changes and Reforms, A Necessity — Indian Prime Minister　　Recall that even the Indian government is still undecided about its own regulatory framework for cryptocurrency. In fact, the government recently announced how it is actively studying regulatory frameworks from around the world, carefully taking note of how global standards on cryptocurrencies evolve.　　Interestingly, Indias

2022-01-18Deep Dive

Binance: the most popular Crypto exchange in Africa.

By: Damian Okonkwo　　The craze for Crypto currency in Africa could not in the least be quenched by banning the banks from facilitating Crypto currency transactions. Binance has therefore remained resilient and emerged the best exchange that has continuously provided the opportunity for trading Crypto currency across the African continent through the provision of a reliable P2P platforms that allows traders buy and sell Crypto currency without involving the bank or any other regulatory body.　　Binance exchange which was launched in 2017 by the Chinese founder Changing Zhao has remained one of the world’s top crypto exchanges in terms of liquidity provisions and reliability. Binance has made great progress since its launch in 2017 and currently has over 810 different cryptocurrency pairs already listed and traded on the exchange.　　On the other hand, Binance P2P was launched in October 2019 and over 100 payment options like Bank transfer, ChipperCash, and PayPal being supported on Binance P2P. With the ban on Crypto currency by the CBN excluding the banks from allowing the use of digital cards to buy Crypto from any Crypto exchange, Binance provided itself the African leading Crypto exchange by providing highly scrutinized P2P platforms for Africans to buy and sell their

2022-01-18Deep Dive

Malaysian Central Bank “Actively Assessing” CBDC

The Central Bank of Malaysia, otherwise known as the Bank Negara Malaysia, has been exploring the possibility of its own central bank digital currency.　　Studying CBDCs　　The central bank of Malaysia is examining a central bank digital currency.　　Per an email response to Bloomberg, the Central Bank of Malaysia has been weighing whether bringing its own central bank digital currency would be a boon to the nation. Malaysias Central Bank wrote that it “is actively assessing the value proposition of [a] central bank digital currency (CBDC) to Malaysia.”　　The Central Bank of Malaysia added further:“While a decision has not been made to issue CBDC, we have focused our research on CBDC via proof-of-concept and experimentation to enhance our technical and policy capabilities, should the need to issue CBDC arise in the future.”　　In September 2021, the Central Bank joined Project Dunbar, which seeks to test the utility of central bank digital currencies in international settlements, which are often both slow and costly. The results of the project have been promising, according to the Bank of International Settlements, a member institution on the project, which wrote that “a multi-CBDC platform” could “significantly improve cross-border payments.” Furthermore, the BIS claimed that modern technologies like distributed ledgers and

2022-01-18Deep Dive

Singapore Urges Local Crypto Companies to Refrain From Promoting Digital Assets: Report

Singapores central bank has issued guidelines to discourage cryptocurrency trading by the general public. The central bank emphasized that “the trading of cryptocurrencies is highly risky and not suitable for the general public.”　　Singapores Central Bank Discouraging Crypto Trading by the General Public　　The Monetary Authority of Singapore (MAS), the nations central bank, announced Monday that it has issued guidelines “to discourage cryptocurrency trading by [the] general public.”　　The guidelines restrict cryptocurrency trading service providers from promoting their digital payment token (DPT) services to the general public. DPT is commonly known as cryptocurrency, the MAS clarified.　　The central bank explained that companies should not market or advertise crypto services in public areas in Singapore or use third parties, such as social media influencers, to promote cryptocurrency services to the general public.　　Companies can only market or advertise crypto services on their own corporate websites, mobile applications, or official social media accounts.　　Loo Siew Yee, the MAS assistant managing director for policy, payments, and financial crime, noted that the central bank “strongly encourages the development of blockchain technology and innovative application of crypto tokens in value-adding use cases.” However, she stressed:　　“But the trading of cryptocurrencies is highly risky and not suitable for the general public. DPT service

2022-01-18Deep Dive

Thailand’s Former SEC Chief Opposes Possible Crypto Taxation: Report

Tipsuda Thavaramara – former Deputy Secretary-General of Thailand‘s Securities and Exchange Commission (SEC) – disagreed with the government’s intentions to impose a 15% capital gains tax on cryptocurrency profits. She believes such legislation is unpractical, unfair, and not beneficial for the trade sector.　　The Bill Lacks Clarity　　Earlier this month, the Thai authorities presented plans to slam local cryptocurrency investors and miners with a 15% capital gains tax. According to the legislation, digital asset exchanges would be exempt from the potential regulations. Nonetheless, the lawmakers did not elaborate, making some individuals doubt the use-cases.　　One of them is Tipsuda Thavaramara – a former top executive at Thailands SEC. In her view, the possible crypto taxation lacks clarity and is not going to promote trade:　　“Withholding tax also affects transactions as stores that accept cryptocurrencies must collect capital gains tax from customers.”　　She went further stating that the Revenue Departments decision is “unfair and unpractical” as crypto exchange operators do not pay investment returns to users:　　“Whether policies focus on the promotion of trade industry or not, the Revenue Department should collect taxes fairly under clear rules and practices.”　　Thavaramara noted that countries like Singapore, Australia, and some European nations do not treat cryptocurrencies as a product and

2022-01-18Deep Dive

Bank of America calls Solana “Visa of the digital asset ecosystem”

A leading financial institution, the Bank of America, has predicted that Solana could become the “Visa of the digital asset ecosystem,” which would enable it to steal more of the market share of Ethereums blockchain.Solana would eat into Ethereum‘s market share　　According to Alkesh Shah, an analyst at the Bank of America, Solana’s simplicity, alongside its speed plus its lower transaction fees, would continue to make it attractive for investors. This would enable it to continue to compete with Ethereum for investors‘ and developers’ attention alike.　　SOL, the native token of the Solana blockchain, has been one of the best-performing assets of the past year. The asset saw its price rise by over 4000% within the last year and it currently sits as the fifth largest crypto asset by market cap.　　While Ethereum has continued to dominate DeFi and the NFT space as the most used blockchain, the network has witnessed heightened rivalry from rivals like Solana who boast higher transaction speed and cheaper transaction fees.　　Notably, this is not the first time that the Bank of America would be endorsing other blockchains against Ethereum. Just recently, the bank opined that Avalanche would provide a credible alternative to Ethereum for DeFi protocols, NFTs, and

2022-01-17Deep Dive

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