Trends of Events
Here is what happened within the crypto community
Three Decentralized Platforms Set to Collaborate in Building AI Tokens
Fetch.ai, SingularityNET, and Ocean Protocol have agreed to merge their tokens and establish an alliance dedicated to decentralized artificial intelligence (AI). This collaborative effort aims to create an AI collective, offering a decentralized alternative to current projects predominantly controlled by major technology corporations.
According to an email announcement on Wednesday, Fetch.ai’s native token (FET) will transform into ASI (Artificial Superintelligence), with a total supply of approximately 2.63 billion tokens and an initial price set at $2.82.
Additionally, the native tokens of SingularityNET (AGIX) and Ocean Protocol (OCEAN) will merge into ASI at conversion rates of approximately 0.433 to 1. Consequently, ASI is projected to have a fully diluted market capitalization of approximately $7.5 billion.
As stated by the companies, the creation of an open decentralized AI infrastructure at scale is planned by the proposed combined entity, contrasting with existing systems that may conceal their inner workings. Since the beginning of 2023, mainstream interest in AI has surged, notably fueled by tools like ChatGPT.
Nevertheless, concerns have arisen regarding the potential establishment of an oligarchy by major companies such as Microsoft, Alphabet, Amazon, Apple, and Meta in this domain. This has prompted blockchain and Web3 companies to enter the fray, advocating for an alternative approach where data transparency and sharing among contributors are prioritized.
North Korean Hacker Returns Private Keys to Munchables
According to blockchain data, an estimated $62.5 million worth of ether (ETH) was drained from the Web3 project Munchables early Wednesday, following the malicious manipulation of a contract. Munchables stated that all private keys necessary to recover the funds had been shared by the developer.
Before upgrading the platform’s smart contracts, the attacker transferred users’ funds to themselves. Based on GitHub commit activity, blockchain sleuth ZachXBT suggested that the attacker was likely North Korean and identified as “Werewolves0493” on GitHub, allegedly associated with the Munchables team.
A UN Security Council report disclosed that North Korean hacking groups have stolen approximately $3 billion worth of various tokens since 2017. Meanwhile, in response to the incident, numerous crypto developers and traders advocated for a chain rollback as a means to aid in fund recovery. A blockchain rollback involves reversing a series of confirmed transactions, typically utilized to counteract the effects of hacks or other malicious activities resulting in asset theft.
Vitalik Buterin Calls a Dig at The Metaverse a Branding Ploy
Vitalik Buterin of Ethereum argues that the concept of the Metaverse differs from common perceptions. Generally, the Metaverse is seen as a virtual decentralized realm offering immersive social interactions and experiences through avatars, VR, and AR technologies, with blockchain serving as the underlying framework.
During the BUIDL Asia conference in Seoul, Buterin highlighted the ambiguity surrounding the Metaverse, suggesting it’s often treated more as a brand than a clearly defined concept. He emphasized its envisioned status as a virtual universe open to all, free from ownership.
Buterin noted the prevalent association of the Metaverse with VR but stressed that it’s not exclusively defined by this technology. He mentioned the necessity of integrating various virtual world elements, including crypto, VR, and AI, to ensure its functionality.
Regarding account abstraction, Buterin emphasized the importance of striking a balance between security and convenience for Ethereum to achieve mainstream adoption, an aspect that is currently lacking.
HSBC’s Gold Token Goes into the Market for Retail Investors in Hong Kong
Gold is being tokenized by the financial powerhouse HSBC (HSBA) for everyday investors in Hong Kong, claiming the distinction of being the first bank to create a blockchain-based real-world asset targeted at the retail marketplace.
The HSBC Gold Token, minted on the bank’s Orion digital assets platform, is accessible through HSBC Online Banking and HSBC HK Mobile App, as stated in a press release on Wednesday. A variety of real-world assets (RWA) are being brought onto blockchains by banks and financial institutions, both on private ledgers and public networks like Ethereum, in a process known as tokenization.
In November of last year, HSBC hinted at a tokenized gold offering as part of the bank’s new digital asset custody platform, developed in collaboration with Swiss-based crypto safe-keeping specialist Metaco. “We are proud that HSBC Gold Token, powered by HSBC Orion, is the first retail product in Hong Kong that is based on distributed ledger technology, as authorized by the Securities and Futures Commission,” stated HSBC Hong Kong head of wealth and personal banking Maggie Ng in a statement.
XRPL Blockchain Taps into Cross-Chain DeFi
A wide array of decentralized finance (DeFi) capabilities is poised to be unlocked by Ripple’s underlying XRPL blockchain, with the recent introduction of a natively built automated market maker (AMM) protocol.
The XLS-30 AMM protocol, developed in collaboration with the XRPL community, has been unveiled by Ripple to enhance its blockchain ecosystem.
Expected to broaden the DeFi capabilities of the XRPL ecosystem, the AMM will facilitate cross-chain DeFi applications spanning across 50 blockchains.
Unlike XRPL’s existing decentralized exchange (DEX) with a traditional order book, which lacks certain advanced features pioneered by recent DeFi protocols, the AMM represents a significant leap forward. A spokesperson from Ripple conveyed to Cointelegraph that the AMM sets the stage for further DeFi advancements on the XRPL blockchain.
Through integration with cross-chain messaging services like Axelar, the reach and utility of XRPL-based DeFi solutions will be significantly expanded across various blockchain ecosystems.
In development since June 2022, the AMM aims to complement and enrich XRPL’s existing order book system. By integrating the AMM with order books, traders can automatically access the best price across both systems, while liquidity providers stand to earn a yield on their surplus liquidity.
The AMM enables developers to establish liquidity pools for any asset pair issued on XRPL. While not explicitly tailored for institutional trading entities, Ripple noted that its functionality may prove beneficial for high-volume traders or firms.
Although the AMM does not currently incorporate built-in compliance features, Ripple is considering integrating on-chain regulatory compliance measures to facilitate institutional adoption of its protocol.
The incorporation of the AMM into XRPL’s existing order DEX is anticipated to create a robust trading environment catering to a diverse range of users, from retail traders to institutions.
Bitdeer Negotiates Raising $100m to Boost Mining Capacity
Bitdeer Technologies Holding, founded by Jihan Wu, a Bitcoin mining firm, is reportedly seeking $100 million in funding to enhance its mining capabilities, according to sources close to the matter as reported by Bloomberg.
The Singapore-based company aims to use the funds to expand its mining capacity, particularly in preparation for the anticipated fourth halving in April, which will decrease mining rewards. The valuation of the company post-funding remains uncertain as discussions continue, and financing details are subject to change.
Established in 2018, Bitdeer is publicly traded on Nasdaq under the ticker symbol BTDR. As of now, the company has not issued any public statements regarding the ongoing financing talks.
The funding discussions coincide with the approaching fourth halving of Bitcoin, which will reduce mining rewards from 6.25 BTC to 3.125 BTC in mid-April. This reduction could potentially impact the profitability of mining operations, especially for smaller firms.
Furthermore, miners encounter additional challenges. As previously reported by crypto.news, the approval of spot Bitcoin ETFs has offered traditional investors an alternative route to enter the crypto market, diminishing their reliance on crypto-friendly mining stocks to access Bitcoin.
Sec Claims Against Coinbase Rejected by Court
The claim by the SEC that Coinbase Wallet is an unregistered broker was rejected by the U.S. District Court for the Southern District of New York. Additionally, Judge Katherine Polk Failla denied the request to halt the staking program of the Coinbase crypto exchange.
It was ruled by the judge that Coinbase Inc. was involved in the sale and offer of securities under U.S. law, contrary to the SEC’s previous allegations. Furthermore, the judge stated that Coinbase operates as an exchange, broker, and clearing agency under federal securities laws. Through its staking program, it conducts the unregistered offer and sale of securities.
Coinbase’s motion to dismiss the SEC’s lawsuit, alleging violations of its rules, was partially granted by the decision.
On June 6, 2023, the SEC filed a lawsuit against Coinbase, asserting that the platform operated as an unregistered broker. The SEC argued that Coinbase unlawfully combines the functions of broker, exchange, and clearing agency, which are typically separate in traditional markets. The Coinbase Earn staking program was also targeted by the regulator.
Moreover, the SEC contended that the absence of registration deprived Coinbase customers of essential protections, including regulatory reviews, record-keeping requirements, and conflict-of-interest prevention.
Crypto Market Outlook
The global crypto market cap stands at $2.61 trillion, reflecting a 1.23% decrease in the past day. Over the last 24 hours, the total crypto market volume has been $113.51 billion, marking a 2.32% decrease.
Currently, the volume in DeFi is $12.28 billion, accounting for 10.82% of the total crypto market 24-hour volume. The volume of all stable coins has reached $100.39 billion, representing 88.44% of the total crypto market 24-hour volume.
Bitcoin’s dominance is currently at 52.14%, showing a day-over-day increase of 0.04%.