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Daily Crypto News

Daily Crypto News

Singapore Starts Fraud Investigation In to Crypto Exchange Hodlnaut — Singapore police have started an investigation into troubled crypto exchange Holdnaut, according to multiple reports. The white collar division of the police force is looking into allegations of cheating and fraud by the company and its directors, according to reports. The investigation report is the…

  1. Singapore Starts Fraud Investigation In to Crypto Exchange Hodlnaut — Singapore police have started an investigation into troubled crypto exchange Holdnaut, according to multiple reports. The white collar division of the police force is looking into allegations of cheating and fraud by the company and its directors, according to reports. The investigation report is the latest blow for the troubled Singapore-based exchange, which was one of the many crypto firms that was hit by the crypto downturn earlier this year. Earlier this month, the exchange had revealed that it has over SGD 18.3 million ($13.3 million) worth of crypto stuck in the defunct exchange FTX, dealing a further blow to its recovery process. Holdnaut had frozen withdrawals in August, after reportedly losing close to $189.7 million due to the collapse of the Terra ecosystem. Holdnaut did not immediately respond to CoinDesk’s request for comment.
  2. Global regulators to target crypto platforms after FTX crash — The crash of FTX exchange has injected greater urgency into regulating the crypto sector and targeting such ‘conglomerate’ platforms will be the focus for 2023, the new chair of global securities watchdog IOSCO said in an interview. Jean-Paul Servais said regulating crypto platforms could draw on principles from other sectors which handle conflicts of interest, such as at credit rating agencies and compilers of market benchmarks, without having to start from scratch. Cryptoassets like bitcoin have been around for years but regulators have resisted jumping in to write new rules. But the implosion at FTX, which left an estimated one million creditors facing losses totalling billions of dollars, will help change that, Servais told Reuters. “The sense of urgency was not the same even two or three years ago. There are some dissenting opinions about whether crypto is a real issue at the international level because some people think that it’s still not a material issue and risk,” Servais said. “Things are changing and due to the interconnectivity between different types of businesses, I think it’s now important that we are able to start a discussion and that’s where we are going.” IOSCO, which coordinates rules for G20 countries and others, has already set out principles for regulating stablecoins, but now the focus is turning to platforms which trade in them.
  3. Wallet linked to defunct crypto exchange BTC-e suddenly activates — A wallet address linked to defunct crypto exchange BTC-e sent its largest transaction since August 2017 on Wednesday, sending a total of 10,000 BTC (US$167 million) to two unknown wallets, according to blockchain analytics firm Crystal Blockchain after being noticed by crypto sleuth Sergey Mendeleev. One of the wallets that received 3,500 BTC forwarded 300 BTC onto another wallet, which was subsequently split even further into several further wallets, while the other wallet has still held onto the remainder of the funds.
  4. Bitcoin, Ether rise as Fed minutes suggest an easing in interest rate hikes — Bitcoin and Ether rose in Thursday morning trading in Asia as the U.S. Federal Reserve released meeting minutes on Wednesday suggesting it may slow the rate of interest rate increases as the threat of recession grows. All other top 10 cryptocurrencies by market capitalization, excluding stablecoins, also rose, with Solana and Litecoin posting the biggest gains.
  5. $740 million in crypto assets recovered so far in FTX bankruptcy — The company tasked with locking down the assets of the failed cryptocurrency exchange FTX says it has managed to recover and secure $740 million in assets so far, a fraction of the potentially billions of dollars likely missing from the company’s coffers. The numbers were disclosed on Wednesday in court filings by FTX, which hired the cryptocurrency custodial company BitGo hours after FTX filed for bankruptcy on Nov. 11. The biggest worry for many of FTX’s customers is they’ll never see their money again. FTX failed because its founder and former CEO Sam Bankman-Fried and his lieutenants used customer assets to make bets in FTX’s closely related trading firm, Alameda Research. Bankman-Fried was reportedly looking for upwards of $8 billion from new investors to repair the company’s balance sheet
  6. Ethereum Software Firm ConsenSys Reveals it Collects User Data — One of the firms behind the Ethereum merge, ConsenSys, said on Thursday that it also collects user data related to its on-chain wallet service MetaMask. The revelation comes days after decentralized crypto exchange (DEX) Uniswap made a similar update to its privacy policy, as reported. ConsenSys said that it collects some data related to user identification, such as contact details, profile information along with some other user data. The firm added that when using Infura, which is the default remote procedure call (RPC) provider, on digital wallet MetaMask, Infura will collect the user’s IP address and Ethereum wallet address for transactions. RPC is a protocol for requesting data and information from a program running on a third-party computer server. If a user switches to a different RPC on MetaMask the financial data will not be collected. Blockchain tool developer Infura and the digital wallet MetaMask are both products that are offered by ConsenSys.
  7. Billionaire bitcoin bull Mike Novogratz says crypto should and will be regulated and the FTX disaster has created a ‘deficit of trust’ in the whole industry—The FTX debacle has created a “deficit of trust” in the cryptocurrency market, according to bitcoin bull and Galaxy Digital CEO Mike Novogratz, who argued that the industry should and will be regulated after the downfall of Sam Bankman-Fried’s exchange. “This is about transparency and disclosure, in lots of ways. Our industry has failed to self-regulate. I think the money side of crypto, companies like ours that buy and sell and lend and do derivatives, are going to get regulated and should be,” he said in an interview with CNBC on Wednesday. Novogratz pointed to the messy balance sheet at FTX, which didn’t have an in-house accounting department and intertwined its financials with Alameda Research, its affiliated trading firm. Sources familiar with the companies claimed that Alameda traded with customer funds from FTX, CNBC reported, snd FTX’s new CEO, who is leading the company through Chapter 11 bankruptcy proceedings, said employees may have even used company funds to purchase homes and personal items in the Bahamas.
  8. Ethereum R&D Firm Flashbots Shares Details About Its Next-Gen Block Builder — Ethereum research and development firm Flashbots released new information Wednesday on “The Single Unifying Auctions for Value Expression” (Suave) — its vision for a new kind of blockchain that would radically transform the process by which chain-operators (i.e., “validators”) earn value across different networks. According to Flashbots, Suave, a so-called sequencing chain, will be geared towards completely decentralizing the block-building process. By the firm’s description, it would be a “plug-and-play” solution that “unbundles the mempool and block-builder role” from existing blockchains. In addition to maximizing the revenue that validators earn for operating blockchains, Flashbots hopes Suave can ameliorate rising concerns around transaction censorship, exploitative MEV practices and slow transaction execution.
  9. Bitcoin Wallet of the Failed BTC-e Exchange Wakes Up — A crypto wallet attributed to the BTC-e exchange that’s been linked to the 2014 Mt. Gox hack burst into life Wednesday with its largest transaction since August 2017, sending a total of 10,000 bitcoin ($165 million) to two unidentified recipients. As part of the transaction, which took place around 08:38 UTC, a wallet that received 3,500 bitcoin forwarded 300 BTC to another destination. That was split further and landed in several wallets not attributed to any known custodial service. The distribution pattern is open to interpretation: It’s possible the wallet owner simply sent the money to other wallets of their own, sent it to other people or cashed out through an unofficial over-the-counter broker. The remaining 6,500 stayed put. Mt. Gox, the first bitcoin exchange, was robbed of 744,408 BTC and shut permanently in 2014. Alexander Vinnik, alleged to be the operator of BTC-e — which he denies — was arrested in 2017 at a resort near Thessaloniki, Greece, at the request of the U.S. Department of Justice on money laundering and other allegations. The wallet involved in Wednesday’s transaction was attributed to BTC-e by blockchain analytics system Crystal Blockchain. The transfer was noticed by Russian crypto entrepreneur Sergey Mendeleev, who published the observation in his Telegram channel. Blockchain data provides a limited amount of information, which is open to interpretation.
  10. ApeCoin DAO Launches Community-Driven NFT Marketplace — ApeCoin DAO, a community-led governing body made up of ApeCoin holders, has launched its own white-label non-fungible token (NFT) marketplace. ApeCoin, the Ethereum-based governance and utility token used within the Bored Ape Yacht Club (BAYC)-linked APE ecosystem, launched in March. Built by non-fungible token (NFT) infrastructure company Snag Solutions, the new community marketplace lists for-sale NFTs from Yuga Labs-owned NFT collections like BAYC, Mutant Ape Yacht Club (MAYC), Bored Ape Kennel Club (BAKC) and Otherdeed for Otherside. Zach Heerwagen, CEO of Snag Solutions, said the platform offers “unique features built specifically for the BAYC and Otherside communities, including ApeCoin staking and NFT metadata integrations.”

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