• Americans lost $10.3 billion to online scams in 2022, with crypto investment losses accounting for 25%.
• Crypto fraud rose 183% in 2022 according to the FBI report.
• The most common investment scams included liquidity mining, hacking social media accounts, impersonating celebrities and fake employment offers.
Americans Lost Over $10 Billion To Online Scammers In 2022
A report from the Internet Crime Complaint Center (IC3) revealed that Americans lost $10.3 billion to online scammers in 2022, up from $6.9 billion in 2021. According to the data gathered by IC3, crypto investments accounted for about 25% of the total losses experienced by victims. The FBI also reported a 183% increase in cryptocurrency-related frauds from 2021 to 2022.
Most Common Investment Scams In 2022
The five most common investment scams reported in 2022 were liquidity mining, hacking social media accounts, impersonating celebrities and fake employment offers. In liquidity mining schemes, scammers linked victims’ wallets to fake services and stole their assets as soon as they linked them up. Additionally, hackers targeted victims’ friends after gaining access to their profiles and offered false investments opportunities that took advantage of the trust between them and their friend. Other types of fraudulent activities included offering fake job vacancies at investment firms and convincing real estate agents to join an expensive home purchase using cryptocurrency when none existed at all.
Crypto Hacks And Project Failures In 2022
The “Cryptocurrency Scams of 2022” report by Privacy Affairs highlighted how much fraud affected crypto investments last year — resulting in nearly $3.5 billion worth of losses due to failing stablecoins, collapsing exchanges and crypto hacks throughout the year..
How Victims Can Avoid Crypto Fraud
The FBI has advised potential investors who are looking into cryptocurrencies be aware of red flags such as promises of guaranteed returns or sudden changes in an offer made on social media or other platforms with no evidence behind it before investing any money into new projects or ventures related to cryptocurrencies or blockchain technology..
It is clear that online scammers have seen a huge rise when it comes to exploiting unsuspecting individuals through fraudulent activities involving cryptocurrency investments — costing US citizens over $10 billion dollars throughout 2020 alone..
• Three crypto venture capital firms, Paradigm, Pantera Capital, and Andreessen Horowitz (a16z), may have over $5b tied up in Silicon Valley Bank (SVB).
• Unconfirmed data from the US Securities and Exchange Commission’s ADV file shows that a16z-related funds had $2.85b in SVB, Paradigm-related funds was $1.72 billion and Pantera-related funds was $560 million as of May 6, 2022.
• The California Department of Financial Protection and Innovation recently shut down SVB resulting in a crisis of confidence amidst redemption demands for tens of billions of dollars.
Crypto Venture Funds Investing with Silicon Valley Bank
Three crypto venture capital firms, Paradigm, Pantera Capital, and Andreessen Horowitz (a16z), may have over $5b tied up in Silicon Valley Bank (SVB). Unconfirmed data from the United States Securities and Exchange Commission’s ADV file shows that a16z-related funds had $2.85b in SVB as of May 6th 2022. Meanwhile, Paradigm-related funds was $1.72 billion and Pantera-related funds was $560 million according to recent SEC filings.
Silicon Valley Bank Shut Down
The California Department of Financial Protection and Innovation recently shut down SVB resulting in a crisis of confidence amidst redemption demands for tens of billions of dollars. This has led to concerns about the safety of assets held by crypto firms in traditional financial institutions such as Circle’s stablecoin issuer USDC which currently has $3.3b worth deposits stuck with the lender struggling to maintain its USD peg value at 1:1 ratio.
Crypto Regulation is Evolving
The crypto industry has been largely unregulated for years but it is gradually evolving which leads more investors opting for financial institutions instead decentralised exchanges due to better insurance coverage offered by them while trading digital assets or holding cryptocurrencies such as Bitcoin or Ethereum.
FDIC Receiver Appointed by Regulator
When SVB was placed under receivership by the regulator on Mar 10th 2021 , FDIC was appointed as receiver for all the assets held by it including those belonging to cryptocurrency venture capital firms mentioned above . However scraped data from SEC does not provide any information on amount these VCs still hold within it .
It remains unclear how much money exactly these three Crypto VCs have invested with SVB however investors should remain cautious when investing using conventional financial institutions due to lack transparency surrounding their operations especially during times like this where uncertainty prevails regarding their ability to protect customer’s assets at all times .
• BLUR is a non-fungible token (NFT) marketplace built on the Ethereum blockchain. It has seen an impressive surge in trading volumes and market share over the past 30 days, surpassing OpenSea.
• However, its native token has plunged close to 99% from its all-time high of $45.98 due to a slew of factors.
• The success of BLUR is attributed to its point-based distribution approach that incentivizes users to fill the liquidity pool order book and provide real network effects.
What is BLUR?
BLUR is an NFT marketplace built on the Ethereum (ETH) blockchain that’s been taking the crypto world by storm lately. Founded by Tieshun Requerre, an MIT graduate, it has seen an impressive surge in trading volumes and market share over the past 30 days, surpassing Opensea with a jaw-dropping valuation of $13 billion.
Why Has BLUR Plunged?
The excitement surrounding Blur’s ascent is palpable, but so is the rapid decline of its price which has plunged over 18% in the past seven days as of Mar. 6, now trading at a mere $0.69 and down a colossal 98% from its all-time high of $45.98. This can be attributed to multiple factors such as investor fatigue and profit taking after large gains or dips in prices due to speculation and also due to market consolidation where bigger players are buying up smaller ones for their own gain reducing liquidity for other traders.
How Has Blur Taken NFT Markets By Storm?
Blur offers a game-changing feature: The ability to buy multiple NFTs from different marketplaces in one fell swoop. As of March 6th according DappRadar, Blur’s trading volume over the last 30 days has hit an impressive $1.58 billion compared to OpenSea who only clocked in at $364 million during this same period and Delphi reported that with assistance from Blur Airdrops it was able capture 53% market share within months after launch..
What Makes BLUR Unique?
The success behind Blur can also be attributed to its point-based distribution approach that incentivizes users through Airdrops rewards system which assigns risk scores based on bids & asks filled into their liquidity pool orderbook thus creating real network effects resulting more participation within the platform leading it growth & success against competitors like OpenSea who until recently had no competition in this space .
In conclusion , what makes BLUR unique compared to other NFT Marketplaces such as OpenSea Is Its ability To Buy Multiple NFT’S From Different Marketplaces In One Fell Swoop And Its Point Based Distribution Model Which Incentivizes Users To Fill The Liquidity Pool Orderbook With Bids & Asks And Rewards Them Through Airdrops Creating Real Network Effects Resulting In More Participation Within The Platform Making It Grow Quickly And Successfully Against Competitors Like OpenSea Who Until Recently Had No Competition In This Space .
• Bybit CEO Ben Zhou has joined the regulations talk, telling crypto.news that harsh crackdowns on crypto exchanges won’t benefit anyone.
• Ben Zhou is one of the many people who have reacted to the continued and harsh crypto regulation, with Coinbase’s Brian Armstrong calling out the SEC for too harsh crackdowns on crypto.
• Kraken was recently charged $30 million by the SEC plus a ban from offering crypto staking in the U.S., while Binance may settle charges by taking a fine from the regulator.
Bybit CEO Bashes Harsh SEC Crypto Stance
Bybit CEO Ben Zhou has joined the conversation around cryptocurrency regulations, telling crypto.news that harsh crackdowns on crypto exchanges won’t benefit anyone.
Ben Zhou Doubles Down on Crypto Crackdowns
At the Blockchain Life summit Dubai, Bybit CEO Ben Zhou told crypto.news that he believes current regulatory approaches to cryptocurrencies are going too far and will not be beneficial for any party involved.
He further commented that more scams take place in regulated spaces than in those without regulation, citing an example of large non-crypto companies being unable to answer questions about their reserves with certainty.
SEC Receiving Backlash for Harsh Crypto Regulation
Ben Zhou is not alone in his opinion; Coinbase’s Brian Armstrong has also been criticizing the SEC for using too much enforcement power when it comes to regulating cryptocurrencies.
Kraken Fined $30 Million Plus Ban
Earlier this month, Kraken received a hefty fine from the SEC of $30 million plus a ban from offering crypto staking services within U.S borders—a move which was heavily criticized by Kraken CEO Jesse Powell who argued he should have done better.
Binance May Settle Charges With Fine
The news came shortly after reports surfaced claiming that Binance may follow suit and settle its own charges with a fine imposed by the regulator. p >
• Shiba Inu’s price could take a significant blow due to a large transfer of 182 billion SHIB tokens and reported sell-offs of the meme coin.
• There was an on-chain data source called Lookonchain that reported a “smart money” investor transferred 182 billion SHIB tokens to cryptocurrency exchanges Crypto.com and Gemini, which is equal to around $2.3 million.
• Lookonchain also said that Voyager is selling assets via Coinbase most of which are comprised of SHIB tokens, and if these transactions carry on, the price of the meme coin could see downward movements.
Massive Sell-Offs Could Lead to Big Drop for Shiba Inu
Shiba Inu (SHIB) could be in trouble with recent massive transfers and sell-offs witnessed from SHIB whales just after Voyager also made reports of some Sell-offs of the meme coin. The price of Shiba Inu could take a significant blow if there is a considerable drop in demand for the stock in the near term or medium term amid these developments.
182 Billion SHIB Tokens Transferred
A “smart money” investor reportedly carried out a sizable Shiba Inu transaction a few hours before press time, as reported by an on-chain data source called Lookonchain. The whale recently transferred 182 billion SHIB to cryptocurrency exchanges Crypto.com and Gemini, which is equal to around $2.3 million.
Voyager Selling Assets Via Coinbase
Lookonchain yesterday said that Voyager is selling assets via Coinbase most of which are comprised of SHIB tokens. Since Feb 14th, Voyager has been sending assets to Coinbase almost daily, leading to speculation about their impact on the future performance of the coin’s price..
Potential Impact On Price
A further major drag on the SHIB price is possible if Voyager is in fact selling all its crypto holdings; however, at press time CoinMarketCap showed that Shiba Inu had increased by over 1.5% in twenty four hours showing that no immediate impact had yet been seen on its value due to these developments yet .
• The market value of BinaryX (BNX) has experienced a significant increase, surging over 200% within the past month.
• BNX is a GameFi platform that operates two play-to-earn games and functions as the platform token of BinaryX.
• BinaryX’s recent success has been driven by their user growth, expansion plans for new games, and their 1:100 token split.
BinaryX Surges 200% in One Month
The market value of BinaryX (BNX) has experienced a significant increase, surging over 200% within the past month. CoinMarketCap’s recent price data reveals a rising trend in BNX’s value, starting from $58 on Jan. 7 and reaching its 52-week peak of $181.35 on Feb. 13. Despite a slight pullback, the current price of BNX is $168.32 as of Feb. 17, accompanied by a market cap of $486 million.
What is BinaryX?
BinaryX is a GameFi platform that operates two play-to-earn games, CyberDragon and CyberChess, both of which run on the BNB chain as decentralized apps (dapps). BNX functions as the platform token of BinaryX and serves as a utility token for all activities in the BinaryX ecosystem, including games and an incubation fund with over $1 billion locked in smart contracts as of Feb 17th — a 30% increase in one month!
Why Is BNX Rising?
Binaryx’s success is multifaceted; they reported an impressive increase in user growth from 98k to 130k players at year end; this positive sentiment was met with investor enthusiasm towards their upcoming expansions plans for new games and initiatives like their 1:100 token split decision which was made through a democratic DAO vote with 99.5% in support!
What Does This Mean For Investors?
The surge in interest surrounding the project suggests investors may be eager to capitalize on Binaryx’s potential, though caution should always be taken when investing in any crypto asset or project. It will be interesting to see how far this momentum can carry them – only time will tell!
Binaryx’s recent success has been driven by their increasing user base , expansive game lineup and innovative initiatives like their 1:100 token split – all factors pointing towards investor confidence for what lies ahead for this project! Whether or not you decide to invest should ultimately come down to your own research into the project – happy investing!
• China has launched a state-supported blockchain research center in Beijing.
• The goal of the center is to promote the integration of technology into daily life through research and development efforts.
• Despite the Chinese government’s ongoing crackdown on cryptocurrencies, the launch of the National Blockchain Technology Innovation Center reflects its enthusiasm for blockchain technology.
China Launches Beijing Blockchain Research Center
China has recently launched a state-supported blockchain research center in Beijing with the goal of promoting the integration of technology into daily life through focused research and development efforts. The new institution will be led by the Beijing Academy of Blockchain and Edge Computing (BABEC).
The National Blockchain Technology Innovation Center plans to develop a research network with local universities, think tanks, and blockchain companies in order to explore and develop core blockchain technologies. The findings will be utilized to further digitalize China and grow its blockchain industry.
Cryptocurrency Regulations Tighten
Despite the Chinese government’s ongoing crackdown on cryptocurrencies, the launch of this new institution reflects its enthusiasm for blockchain technology. It was first mentioned in China’s five-year policy plan in 2021 as playing a key role in the country’s digital economy. China is also prioritizing development of a central bank digital currency, which millions have been distributed nationwide to boost adoption.
Taxes Levied On Digital Asset Transactions
On Jan 30th Justin Sun announced that China is taking significant steps to regulate cryptocurrencies through taxes levied on digital asset transactions. This signals that Chinese government views cryptocurrencies as legitimate form wealth and hence seeks to tax them accordingly .
The launch of this National Blockchain Technology Innovation Center demonstrates how despite Chinese governments continuing crackdown on cryptocurrency , it still remains enthusiastic about potential use cases for blockchains . This institute hopes to accelerate digitalization initiatives within china while expanding its understanding & usage of core technologies related to blockchain .
• Binance has stopped its wallet services for WazirX due to false claims made by Zanmai Labs, which manages WazirX.
• Binance has set a deadline of Feb. 3rd, 2023 at 11:59 UTC for Zanmai Labs to retrieve the funds utilized for WazirX’s operations.
• WazirX recently revealed in a proof of reserves report that 90% of its user assets are stored in Binance wallets.
Binance Stops Wallet Support for WazirX
Binance, the world’s largest cryptocurrency exchange, has discontinued its wallet support for the Indian cryptocurrency platform WazirX following false claims from Zanmai Labs, which manages the platform. As a result, Binance has given Zanmai Labs a deadline of Feb. 3rd, 2023 at 11:59 UTC to withdraw their untrue statements or end the partnership. If a satisfactory reply is not received by this time, Binance will be forced to end the association and retrieve any funds used in WazirX’s operations.
The Argument That Sparked The End Of The Collaboration
The public argument between WazirX co-founder Nischal Shetty and Binance CEO Changpeng Zhao over who holds authority over WazirX ignited when Indian authorities started looking into potential violations of foreign exchange regulations by the exchange platform. This argument ultimately led to the discontinuation of wallet support from Binance.
Proof Of Reserves Report Revealed
WazirX recently published a proof of reserves report through CoinGabbar, an independent website that tracks crypto assets and revealed that 90% of user assets were stored in Binance wallets at the time it was published – with 92% worth $259 million in value and other exchanges holding only $26 million worth.
Binance Denies Ownership Over Exchange
Despite announcements made back in 2019 suggesting otherwise, Binance has since denied any ownership over the exchange and clarified that it only provides wallet and tech services to them without actually owning them directly.
In conclusion, while arguments have sparked between both sides regarding who holds authority over WazirX as well as who owns it ultimately – it is clear that 90% of user assets are still held within Binance wallets despite no direct ownership being claimed by either side at this moment in time.
• IOTA, a cryptocurrency start-up leveraging blockchain technology and IoT, has been chosen to take part in the next stage of testing and development for the European Blockchain Pre-Commercial Procurement.
• The purpose of the project is to investigate the feasibility of utilizing blockchain technology to improve current applications and develop new ones for the European Blockchain Services Infrastructure (EBSI).
• The goals of the EBSI include promoting cross-border mobility, reducing waste, ensuring compliance with E.U. regulations, fostering the growth of technology hubs and projects, and making digital services more reliable and trustworthy.
The European Union has selected IOTA, a cryptocurrency start-up leveraging blockchain technology and the Internet of Things (IoT), to take part in the next phase of their European Blockchain Pre-Commercial Procurement (PCP) project. This initiative is a collaborative effort between the European Commission and the European Blockchain Services Infrastructure (EBSI) to test and develop novel blockchain technology.
IOTA was chosen to take part in the next stage of testing and development due to their experience and expertise in the blockchain field. They have embraced the same core values as the EBSI, which has made them a natural fit for the project. The goal of the project is to investigate the feasibility of utilizing blockchain technology to both improve current applications and develop new ones for the EBSI.
The EBSI is an ambitious project that seeks to enhance pan-European blockchain services through a distributed ledger system. It has several goals, including promoting cross-border mobility, reducing waste, ensuring compliance with E.U. regulations, fostering the growth of technology hubs and projects, and making digital services more reliable and trustworthy.
IOTA believes that this project will not only benefit the European Union, but also the entire blockchain industry. Dominik Schiener, co-founder and chairman of the IOTA Foundation, said, “We are very confident in our ability to bring distributed ledger technology to the European market and look forward to the next phase.”
The European Commission and the EBSI will now work with IOTA to test and develop blockchain technology in order to improve current applications and create new ones. This is an exciting step forward for the blockchain industry, as it will help to bring the technology to a wider audience and promote its use in the public sector.
• James Bromley, an attorney defending debtors in the FTX bankruptcy case, has criticized social media for spreading information from FTX’s former chief executive officer, Sam Bankman-Fried.
• Bromley stated that if the judge were to grant an extension based on these claims, the debtors would be subject to “further assaults on Twitter” and similar issues.
• Bromley accused SBF and Friedberg of using social media to hurt creditors that submitted information to law enforcement.
James Bromley, an attorney representing the debtors in the FTX bankruptcy case, has expressed his concern with the impact of social media on the court proceedings. During a hearing on January 20th, 2023, Bromley spoke out against the use of Twitter, claiming that it had been used as a tool to spread information from FTX’s former chief executive officer, Sam Bankman-Fried. Furthermore, Bromley mentioned that the debtors had already been subject to “further assaults on Twitter”, and that if the judge were to grant an extension based on the claims of Bankman-Fried, the debtors would be further subjected to such online attacks.
Bromley also accused Bankman-Fried and his associates of using social media channels to hurt creditors that had submitted information to law enforcement. He argued that it was extremely difficult to cross-examine a tweet, especially one that was being published by someone who was the subject of a criminal prosecution.
The issue of social media’s influence on court proceedings has been a contentious one, with many arguing that the use of such platforms can be used to spread misinformation and distort the truth. Bromley’s comments on the matter show that this is an issue that needs to be taken seriously, as it can have a detrimental effect on the outcome of a case. It remains to be seen how the court will handle this situation, but it is clear that the use of social media must be carefully monitored in order to ensure that justice is served.