Organized by: Mars Finance
Mars Finance Crypto Daily March 27, 2024
1. Today’s news
Circle: Cross-chain transfer protocol CCTP has been launched on Solana mainnet
According to Circle, the issuer of the U.S. dollar stablecoin USDC, announced on the USDC.
Bloomberg ETF Analyst: Hong Kong may take the opposite approach to the United States to create a physical Bitcoin ETF
Bloomberg ETF analyst Rebecca Sin released a latest research report showing that Hong Kong is expected to achieve the creation and redemption of spot Bitcoin ETFs in the second quarter of this year. This may be a major market opportunity that can significantly increase the issuance of Bitcoin ETFs in the region. People's assets under management (AUM) and trading volume.
According to the report, Hong Kong’s goal may be to use physical Bitcoin to create an ETF, which is completely different from the United States, which only allows the use of cash, that is, “cash in, Bitcoin ETF out”, while Hong Kong’s is “Bitcoin in, ETF out”.
U.S. prosecutors accuse KuCoin and two of its founders of failing to comply with U.S. anti-money laundering rules
According to Bloomberg, U.S. prosecutors have accused KuCoin of illegally transferring $9 billion in suspicious cryptocurrency transactions and also accused KuCoin of trying to conceal the number of U.S. customers. Federal prosecutors in Manhattan said on Tuesday that since KuCoin's inception in September 2017, the exchange "willfully failed" to establish and maintain a program to prevent the platform from being used for illegal activities, including terrorism financing. The company also failed to put in place appropriate controls to verify customers’ identities or submit reports of suspicious transactions on the exchange, according to the U.S. Attorney’s Office for the Southern District of New York.
Bitcoin ecological DeFi project bitSmiley launches the first native stablecoin AMM bitCow
BitSmiley, a DeFi project in the Bitcoin ecosystem, launched the native stablecoin AMM bitCow to enrich the usage scenarios of its native stablecoin bitUSD. bitCow completely eliminates free losses in the transaction process and simplifies the user's asset management process through mechanisms such as dual LP tokens. According to the official roadmap, the upcoming V1 version will focus on launching trading functions that support Bitcoin’s native stablecoins; the V2 version will focus on implementing a more advanced automated centralized liquidity AMM solution to improve the fund usage efficiency of Bitcoin’s native assets.
Munchables hacker has transferred stolen ETH to Gnosis Safe wallet
According to monitoring by Scopescan, the Munchables hackers have transferred all stolen ETH to the Gnosis Safe wallet 0x4D2F created by 0xFfE8. Scopescan noted that this could have been an operation carried out by Munchables or Blast, as the hackers shared the private keys with them.
According to previous news, Munchables posted on the X platform that developers agreed to unconditionally share the private keys of all Munchables funds. Munchables explained that the private keys were shared to assist security personnel in recovering user funds. Specifically, the private key containing $62,535,441.24 in crypto assets, the private key holding 73 WETH, and the owner’s private key containing the remaining funds.
Munchables: Sharing private keys aims to assist security personnel in recovering user funds
Munchables explained its previous "Shared Private Key" announcement on the X platform. Sharing private keys is to assist security personnel in recovering user funds. Specifically, the private key containing $62,535,441.24 in crypto assets, the private key holding 73 WETH, and the owner’s private key containing the remaining funds. According to previous news, Munchables posted on the X platform that developers agreed to unconditionally share the private keys of all Munchables funds.
Munchables: The developer who launched the previous attack agreed to unconditionally share the Munchables fund private key
Munchables posted on the X platform that the developer (who launched the previous attack) agreed to unconditionally share the private keys of all Munchables funds.
ZachXBT: The four developers employed by the Munchables team may be the same person
According to on-chain detective ZachXBT, the four different developers hired by the Munchables team may all be the same person because:
- Recommend each other to do this job;
-Regular transfers to the same two exchange deposit addresses;
- Top up each other's wallets.
Its Github username is as follows:
NelsonMurua913
Werewolves0493
BrightDragon0719
Super1114
Payment address:
0x4890e32a6A631Ba451b7823dAd39E88614f59C97
0x6BE96b68A46879305c905CcAFFF02B2519E78055
0x9976Fe30DAc6063666eEA87133dFad1d5ec27c5E
Exchange deposit address:
0x84e86b461a3063ad255575b30756bdc4d051a04b
0xe362130d4718dc9f86c802ca17fe94041f1cfc77
Vitalik Buterin: Account abstraction provides security and convenience to blockchain developers and users
According to The Block, Ethereum co-founder Vitalik Buterin said in a speech at the BUIDL Asia conference in Seoul, South Korea on Wednesday that account abstraction is a way to provide security and convenience to blockchain developers and users. According to Vitalik, the current account abstraction includes additional features that Ethereum does not currently support that could improve security and convenience.
Vitalik posted: Support decentralized staking through more anti-correlated incentives
Vitalik Buterin, co-founder of Ethereum, wrote in Warpcast: "Are validators in the same cluster (e.g., same trading platform, same user) more likely to miss certification at the same time than unrelated validators? If so, can we adjust the rewards? To support decentralized staking? Maybe.”
In addition, Vitalik published an article "Supporting decentralized staking through more anti-correlation incentives", which mentioned that one strategy to encourage better decentralization in the protocol is to punish correlation. That is, if a participant misbehaves (including unexpectedly), their penalty will increase as the number of other participants who misbehave at the same time (as measured by total ETH) increases. The theory is that if you are a large player, any mistakes you make are more likely to be replicated across all the "identities" you control, even if you spread your assets across many nominally independent accounts.
This technique is already used in Ethereum’s slashing mechanism. However, edge-case incentives that only arise under highly specific attack scenarios may never arise in practice and are therefore insufficient to incentivize decentralization. This paper proposes extending similar anticorrelated incentives to more "ordinary" failure cases, such as missing a proof, a mistake that almost all validators make at least occasionally. The theory is that larger stakeholders, including high net worth individuals and staking pools, will run many validators on the same internet connection or even the same physical computer, which will result in disproportionately related failures. Such a staker could always set up a separate physical setup for each node, but if they end up doing this, it means we have completely eliminated economies of scale for participants.
Optimism plans to allocate 850 million OP tokens to fund blockchain builders
Optimism plans to allocate 850 million OP tokens (worth approximately US$3.3 billion) to fund blockchain builders. Optimism’s governance and community unit, Optimism Collective, said that part of the 850 million OP tokens will be distributed in four rounds starting in May. The distribution will be carried out in different categories and will last until the end of 2024. Of these, 40 million OP, worth approximately $158 million, have been distributed over the past three rounds.
Aavegotchi founder: Hired Munchables hacker for a short time, confirms he has shown his face
CoderDan, the founder of Aavegotchi, said on the He fired him. He also tried to get us to hire a friend of his, who was probably also a hacker."
CoderDan added that Pixelcraft Studios had some video calls with him at the time, but they were not recorded. It is not sure whether Google records all video calls internally, but the hacker did show his face.
Finally, CoderDan provided the Munchables team with the hacker’s usual address when he worked at Pixelcraft Studios, hoping to use these clues to help Munchables recover the funds.
Asset management companies VSFG and Value Partners applied to the Hong Kong Securities and Futures Commission for Bitcoin spot ETFs
Hong Kong asset management companies VSFG and Value Partners have submitted a spot Bitcoin ETF application to the Hong Kong Securities and Futures Commission (SFC).
Chain game Illuvium releases new roadmap and Private Beta 4 details
Chain gaming Illuvium releases new roadmap and Private Beta 4 details. Users can test, find bugs and earn airdrop points through Private Beta 4 and the public beta testnet. details as follows:
-Pre-registration starts: April 15, 2024. Users who participate as early as possible can accumulate airdrop points.
-PB4 Madness: April 30-May 28, 2024. A carefully selected team will put their best efforts into testing the testnet.
-Public Beta: Available starting May 28 via the Epic Games Launcher.
-Public Beta mainnet online: released after stress testing and final adjustments.
-Airdrop points are accumulated in all stages.
KuCoin sees $1.78 billion in on-chain outflows for Ethereum and EVM
Nansen data shows that KuCoin exchange’s assets fell by 15% as outflows increased to $1.78 billion on the Ethereum and EVM chains.
AltLayer launches ALT token staking function
Rollup platform AltLayer announced the launch of native ALT token staking, allowing ALT holders to contribute to the economic security of its ecosystem. The launch of ALT token staking marks the multi-phase rollout of MACH Alpha, a rapid finality service for Layer 2 Rollups. The service will be used to protect and help scale Layer 2 solutions. (The Block)
Market News: SingularityNET, Fetch.ai and Ocean Protocol are discussing token merger matters
Three blockchain AI protocols, SingularityNET, Fetch.ai and Ocean Protocol, are discussing merging their tokens into the ASI token, which would be worth approximately $7.5 billion on a fully diluted basis, according to sources.
Kucoin considered stopping the business and selling it in 2023, and platforms such as Binance received sales information
KuCoin considered ceasing operations and selling the exchange in 2023, Wu Said Blockchain confirmed, citing three independent sources. Relevant personnel from multiple exchanges including Binance received information about the sale. In 2023, many KuCoin businesses will be spun off at an accelerated pace to reduce risks.
KuCoin was launched into criminal investigation by the U.S. DOJ in 2023, and has also been subject to multiple investigations in China. KuCoin was previously the only major offshore exchange that did not ban US IP. Wu said that data research conducted in 2022 had pointed out that KuCoin may face extreme pressure from the United States.
The DOJ pointed out that KuCoin had a passive attitude towards supervision and never submitted any required suspicious activity reports. In July 2023, when KuCoin was notified of the U.S. criminal investigation into its activities, KuCoin launched a KYC process for new customers.
Approximately $500 million in crypto assets have flowed out of KuCoin in the past few hours, including 274 million USDT, etc.
According to Spot On Chain monitoring, after the US government filed a criminal complaint against KuCoin, approximately US$500 million in assets have been withdrawn from KuCoin on the Ethereum network in the past few hours, including 274 million USDT and 15,500 ETH ( (approximately US$55 million), 50 million ONDO (approximately US$46 million), 12 million FET (approximately US$34 million), and 95.38 million GHX (approximately US$21.8 million), etc.
KuCoin hot wallets still currently hold over $3.6 billion worth of assets on the Ethereum network.
Vitalik: Farcaster stores the registry of messages sent by accounts on the chain, which is conducive to becoming a robust neutral network
In response to user The goal is to achieve eventual consistency of the message set, but trust the sender's timestamp, and get better scaling that way. The only "chain" Farcaster uses is Ethereum (via Optimism). The use of Ethereum is not just for user names, it also stores a registry of which accounts are allowed to send messages, and this information will be stored by the CRDT node. This is crucial for anti-spam, otherwise everyone would be using it to back up encrypted hard drives, movies, etc. Putting the registry on-chain is the only way to make it both outside the control of centralized actors and resistant to Sybil attacks. Therefore, in order to meet the goal of the Farcaster base network to be a robust, neutral network that is not dependent on a single entity, the registry plays a key role. "
2. Selected articles
Bitcoin takes a break, and the meme "Wealth Code" is rotated to the Base chain
Crypto markets were mixed, with Bitcoin falling below $70,000 and Ethereum hovering below $36 million. The biggest increases in the past 24 hours were Dogwifhat, ICP, APTOS, BEAM and SUI. Due to negative regulatory effects, the KUCOIN platform currency fell by more than 14%. Base chain dominates meme coin hype, with cryptocurrency traders seeking profit opportunities on the Base blockchain. The London Stock Exchange will launch exchange-traded notes for Bitcoin and Ethereum, with a market size of $350 million. Data shows that the market is optimistic about the future of Bitcoin, with traders and analysts predicting that the price of Bitcoin may rise to $100,000. The daily relative strength index is just above 60, still in classic bull market territory.
Binance second? The U.S. Department of Justice fully discloses multiple criminal prosecutions against KuCoin and its two founders
KuCoin and its two founders were accused of violating U.S. anti-money laundering laws and failing to maintain adequate anti-money laundering procedures. The indictment accuses KuCoin of receiving more than $5 billion in suspicious and criminal funds and failing to implement basic anti-money laundering policies. The case aims to send a clear message to other cryptocurrency exchanges that they must comply with U.S. law. KuCoin was charged with violating the Bank Secrecy Act, which carries a penalty of up to ten years in prison. The CFTC also filed a civil lawsuit accusing KuCoin of illegally engaging in over-the-counter commodity futures trading. The CFTC seeks disgorgement, fines and a permanent injunction. As early as 2022, some articles predicted that KuCoin may face regulatory pressure from the United States.
With twists and turns and exciting details, this article reviews the whole story of the 17,400 ETH theft from Munchables.
The Blast ecological project Munchables suffered an internal attack, resulting in the theft of 17,400 ETH. The attackers were blamed as North Korean hackers, but all stolen funds were eventually returned. Munchables and Juice's funds are secure. Munchables employs an unknown security team, possibly the same four developers. Blast core contributors receive stolen funds and Munchables will continue to be updated. Pacman announced that Blast core contributors received $97 million in funding and thanked the Munchables developers for returning all funds. The attacker laundered the coins through the cross-chain bridge and then suddenly refunded the money for unknown reasons. Investors are advised to do their research and control their investment positions.
Paradigm falls off the altar? From the top VC to the "dish master" that everyone avoids
Paradigm, a top VC in the crypto investment community, has been questioned for investing in failed projects and is known as "PUAdigim". Although it denies involvement in PUA strategies, its reputation still attracts investors. Leeks are in a dilemma. If they don't invest, they are afraid of missing out. If they invest, they are worried of being PUA. Paradigm has invested in some potential projects such as Uniswap and StarkWare, but the long-term strategy disgusts leeks. In the crypto world, each role has its own way of obtaining income, and only by thinking independently can you find your own path to success.
3. Project Interpretation
Pantera Partner: Understanding Ethereum’s native interoperability protocol Omni in one article
Omni is an Ethereum-native interoperability protocol designed to solve the problem of negative externalities in the rollup ecosystem and make Ethereum a unified operating system for decentralized applications. It uses re-pledged ETH to ensure the security of the validator set and achieves a security model that grows synchronously with the Ethereum modular ecosystem. Omni also provides sub-second cross-rollup message verification and a dedicated execution environment, allowing developers to deploy all rollup applications in one place. The team consists of members with extensive industry experience and recently completed the final testnet deployment. Omni will be the first AVS released on mainnet, serving as the interoperability standard for the Ethereum ecosystem.
The countdown to halving is 23 days away, and popular projects in the Bitcoin ecosystem are gathering to take advantage of the situation
Bitcoin ecological projects have attracted much attention, and the halving will bring a demand impact. Projects such as Merlin Chain, Stacks, B²Network and BounceBit will launch major updates in April to enhance the DeFi experience. HashKeyCapital, OKXVenture and Waterdrop Capital led the investment, with a 10% token reward to encourage early users. The Runes mainnet will be launched in late April, with Runecoin and Runestone airdropped. The Bitcoin halving is coming soon, and who will once again stir up the enthusiasm of the BTC ecosystem deserves continued attention.
LD Capital: Nervos Network, UTXO isomorphic BTC L2
Nervos Network is a high-performance public chain based on PoW and UTXO models, aiming to become a second-layer solution for Bitcoin. Its mining algorithm is Eaglesong, and its computing power has doubled since the end of 2023. CKB token mining returns are relatively good, ranking eighth in f2pool. The ecosystem is beginning to take shape. The RGB++ protocol is scheduled to be launched at the end of March. The ecological project Nervape has released a whitelist, and DOB will be released on the BTC chain. The total number of tokens CKB issued is 44.5 billion, with 2.5 billion added every year, and the annual inflation rate is 5.7%. Focus on token pledge changes, ecological development progress, scale and market popularity.
4. Investment and Financing
Crypto game development company Gunzilla Games completed US$30 million in financing, led by CoinFund and others
Crypto game development company Gunzilla Games announced the completion of US$30 million in financing, led by Avalanche's Blizzard Fund and CoinFund. The new funds will support the development and release of its upcoming free-to-play battle royale video game "Off the Grid", which is planned to be released on PlayStation , Xbox and PC.
Chain game Illuvium completed US$12 million in Series A financing, led by Animoca Brands and others
Chain game Illuvium announced the completion of a $12 million Series A round of financing, led by King River Capital, Animoca Brands, Arrington Capital, and Spartan Capital. GoldenChain, Arca, Selini Capital, Laser Digital, Polygon Ventures, 32-Bit Ventures, Yield Guild Games, N8.Capital and First.VIP participated in the investment. The new financing will be used to develop new game projects within the Illuvium ecosystem.
Bitcoin Lightning Network company Neutronpay completes US$1.5 million in bridge financing, led by Axiom Capital
Bitcoin Lightning Network company Neutronpay announced the completion of a $1.5 million bridge financing, led by Axiom Capital. The funding is intended to help Neutronpay leverage Bitcoin to provide instant and cost-effective payment solutions in Southeast Asia’s digital economy. (Bitcoin Magazine)
According to previous news in September 2022, Neutronpa completed a US$2.25 million seed round of financing, led by Hivemind Ventures, with participation from Republic, Cavalry, Ride Wave, Studio, Iterative, Fulgur Ventures, Lightning Labs and individual investors Bill Crowley and Lisa Shields.
Peaq completes US$15 million in financing, led by Generative Ventures and Borderless Capital
Mars Finance News, DePIN Layer1 protocol Peaq completed US$15 million in financing, led by Generative Ventures and Borderless Capital, Spartan Group, HV Capital, CMCC Global, Animoca Brands, Moonrock Capital, Fundamental Labs, TRGC, DWF Labs, Crit Ventures, Cogient Ventures , NGC Ventures, Agnostic Fund, Altana Wealth and others participated in the investment.
Funds from this round of financing will be used to expand the Peaq ecosystem, which consists of more than 20 DePINs and involves areas such as multi-chain machine IDs, artificial intelligence agents, and data verification.
