Report: NFT Firm Candy Digital Cuts Over a Third of the Company’s Staff

November 29, 2022 Bitcoin.com

FTX crisis feeds the Twitter rumor mill with hot takes and conspiracy theories

November 10, 2022 Coin Telegraph

Binance

Exciting times lead to exciting posts, many of which bring up valid questions, and maybe some less valuable answers.

Events are unfolding fast as the cryptocurrency market is rocked again, this time by FTX. Facts and non-facts are hard to sort out under these conditions, especially since both seem to be depegged from believability at times. “Where’s the money?” and “Who’s to blame?” are popular talking points. Some of the information appearing is indisputably false, or at least highly speculative.

The situation has given rise to the opportunity to tell wild tales, such as this tweet that appeared (and disappeared) on Nov 10:

*A very fake tweet, which has since been deleted. Note the username.*

Rumors are not always harmless, as became clear when Tether experienced instability due to “evidence” that FTX and Alameda were trying to short the stablecoin. Tether denied having any exposure to Alameda or FTX.

The current status of withdrawals from FTX has also been a source of confusion, possibly because the status of withdrawals remains confusing in real life. FTX is not using “the normal process of queueing withdrawals,” an observer said, and there are a variety of potential causes.

There are a few scenarios here:

1. They're prioritizing friends and family
2. They found a backer
3. Rouge employee free for all
— Steven (@Dogetoshi) November 10, 2022

1/ Multiple people have pointed out that the "withdrawals" - which seems to have started again - from @FTX_Official are towards addresses that look ...almost fishy?https://t.co/x4IaEECd0a
— Jason Choi (@mrjasonchoi) November 10, 2022

Meanwhile, some FTX employees may not be receiving their salaries:

Receiving dozens of messages from FTX employees similar to this:
"Please do not harass us. We had no idea of what was going on. We were getting paid through Crypto and on our FTX account. We have no access to our money. We have been asking Sam about our salary but no answer."
— Autism Capital (@AutismCapital) November 10, 2022

Anon tip-off in DMs.

Seems like a reasonable explanation until proven otherwise... pic.twitter.com/XA4TGUw0Ls
— DeFiyst (@DeFiyst) November 10, 2022

FTX CEO Sam “SBF” Bankman-Fried warned employees that they might have to wait, according to a leaked FTX internal communication. There is plenty of room for irregularity here, and at least one potential scandal arose, only to be quickly denied:

*VERIFY*: "Dirty secret is that FTX and ramnik were secretly paying jai bhavnani and other rari guys under the table to build tooling and protocols and sybil as many airdrops as possible across both aptos and sui while having them constantly pump both chains to unknowing retail."
— Autism Capital (@AutismCapital) November 10, 2022

Not once have I considered launching a protocol on Aptos or Sui.

Much less with a token. Didn’t turn out so well my first time.
— Jai (@Jai_Bhavnani) November 10, 2022

Bhavnani is the founder of decentralized finance protocol Rari Capital, which was hit by a $10 million hack last year.

In an informational environment of this type, it is tempting to think out loud and in public.

tabasco imploded alameda by being as degen as 3AC & LUNA and got FIRED... sam & caroline been in damage control since... am i the only one who thinks this?
— Foresight Potentials ♟️ Microdosed Capital (@polymath_gray) November 9, 2022

It may be reasonably assumed that the finger-pointing, self-justification and soul-searching has only just started. SBF has apologized profusely and publicly. Meanwhile, newly reelected Minnesota Representative Tom Emmer claimed “reports to my office” indicate SBF and Securities and Exchange Commissioner Gary Gensler were working together to “obtain a regulatory monopoly.”

Galaxy Digital CEO Michael Novogratz probably had a significant insight when he pointed to SBF’s magnetism and fashion sense.

"Does it feel illegal? We'll see. It certainly seems immoral. I'm furious actually," says @novogratz on @SBF_FTX. "This is a tale as old as time. Some young charismatic guy in Bermuda shorts with the floppy hair charmed the 20 best investors and regulators in the world." pic.twitter.com/4a495VK8mt
— Squawk Box (@SquawkCNBC) November 10, 2022

“This is a tale as old as time,” Novogratz said. His company has $77 million of FTX exposure.

3AC liquidators seek time, access to headquarters as Genesis, Algorand ties are untangled

July 18, 2022 Coin Telegraph

Coin Telegraph

In a court filing in Singapore, 3AC's liquidators seek to slow down an expected onslaught of suits while they figure out the company’s complex financial dealings.

The liquidators of failed crypto hedge fund Three Arrows Capital (3AC) have filed an application in the High Court of Singapore for a stay on claims against 3AC and access to the company’s Singapore headquarters. The liquidators said in the 1,157-page document that a court decision is needed in light of the number legal proceedings that may arise in the near future and the “virtual radio silence from the management/directors of the Company.”

According to the July 9 application, the Singapore office may contain cold wallets or information on how to access 3AC trading accounts, which the liquidators want to access before any of it is removed or destroyed. The application lists previous unsuccessful efforts to obtain information from company directors Su Zhu and Kyle Davies and their representatives.

Details of 3AC’s financial woes continue to emerge. According to The Street, 3AC’s biggest creditor, trader Genesis Asia Pacific, a subsidiary of Digital Currency Group, loaned 3AC $2.36 billion.

Crypto lender Genesis gave $2.36 billion to Three Arrows Capital
— TheStreet (@TheStreet) July 18, 2022

That is a far greater sum than previously reported. It was already known that the loan had an 80% margin and Genesis began selling off collateral immediately when 3AC missed a margin call.

Algorand also appeared on the list of 3AC creditors.

Last September, the Algorand Foundation entered a one-off OTC trade with 3AC. We have reason to believe 3AC violated the associated lockup terms and as such are seeking remuneration per the terms of the agreement....
— Algorand Foundation (@AlgoFoundation) July 18, 2022

The location of Zhu and Davies is currently unknown. Zhu took to Twitter July 12 to complain that “our good faith to cooperate with the Liquidators was met with baiting.” He may appear at the 3AC creditors’ meeting scheduled for July 18, however, since he is filing a $5 million claim against the company, according to a tweet by DrSoldmanGachs. Zhu is the cofounder and CEO of 3AC.

I've just seen the list of creditors to #3AC and noticed that @zhusu has filed a claim for $5 million. While being on the run, he has somehow found the time to diligently and ruthlessly fill out forms to pursue a claim against his own Fund. https://t.co/YFfWmYZOoM
— Soldman Gachs ⌐◨-◨ (@DrSoldmanGachs) July 18, 2022

In addition to Zhu’s claim, 3AC investment manager ThreeAC Limited is making a $25 million claim, DrSoldmanGachs continues in the thread. Kyle Davies’ wife Kelli Kali Chen is reportedly seeking a claimed $65.7 million debt in the same filing in the Eastern Caribbean Supreme Court. A court in the British Virgin Islands ordered 3AC into liquidation June 27.

Report: Softbank’s Internet Firm Z Holdings Plans to Launch NFT Mall in 180 Countries

March 10, 2022 Bitcoin.com

Polygon Raises $450 Million From Sequoia Capital India, Softbank, Shark Tank’s Kevin O’leary

February 7, 2022 Bitcoin.com

Privacy-focused applications platform Aleo raises $200M

February 7, 2022 Coin Telegraph

Aleo

Aleo will use the funds to support developers in building applications within its private and scalable platform.

Zero-knowledge applications platform Aleo has raised $200 million in a solid investment round, pushing the company forward and supporting its goals to develop products and services that encourage and assist developers in building applications on top of its decentralized network.

The Series B investment round was led by Kora Management LP and SoftBank Vision Fund 2, which invest in fintech projects within emerging digital economies. Samsung Ventures also participated in the raise along with Tiger Global, Sea Capital, Slow Ventures and Andreessen Horowitz (a16z).

Aleo is building a network that integrates zero-knowledge proofs, a cryptography technique that lets the platform become scalable, private and interoperable.

Aaron Wong, an investor at SoftBank Investment Advisers says that Aleo is creating a foundation that ensures that Web3 is scalable, safe and secure. Wong added that this will enhance financial transactions and gaming applications as well.

“As the blockchain industry continues to evolve, it is proving its potential to support a digital ecosystem defined by accessibility, efficiency, and interoperability.

Daniel Jacobs, Founder at Kora Management LP says that the biggest challenges in the industry are privacy and scalability. According to Jacobs, Aleo “will have profound impacts on a large and growing number of applications in the blockchain space and beyond.”

Jacobs explained that the project could protect user and application identity without giving up on performance that’s required to support many users. He also further noted that Aleo will become a catalyst that spurs the next generation of gaming, decentralized finance, and other use cases within the blockchain industry.

As Cointelegraph reported in April, Aleo secured $28 million in a private investment round to bring its platform for zero-knowledge applications to a wider audience. Venture capital firm a16z led the effort followed by investments from Coinbase Ventures, Galaxy Digital, and others.

Mercado Bitcoin operator acquires Portuguese crypto exchange

January 12, 2022 Coin Telegraph

Brazil

After raising over $250 million from firms like SoftBank last year, Brazil’s 2TM Group is expanding into Europe.

Brazilian 2TM Group, the operator of Latin America’s largest cryptocurrency exchange, Mercado Bitcoin, is moving to expand its global footprint with a strategic acquisition in Portugal.

The company officially announced Wednesday the acquisition of a controlling stake in CriptoLoja, a Lisbon-based crypto exchange licensed by the Portuguese central bank.

Subject to approval by Banco de Portugal, the new deal intends to help 2TM start its expansion into Europe with over-the-counter exchange services. The company also plans to offer the services of Mercado Bitcoin to retail and institutional investors in Portugal.

“We will access the European market using the clear synergies with our presence in Latin America, as we share the same language, a recognized brand, and cross-sell opportunities for customers. There are many Brazilians living in Portugal who would love to invest through our platform,” 2TM CEO Roberto Dagnoni said.

Dagnoni said that the new acquisition became possible after several major funding rounds in 2021, in which 2TM raised over $250 million from investors like the Japanese financial giant SoftBank, bringing its valuation to more than $2 billion by November.

“Crypto is a global business. Portugal is a strategic market for us because it requires a specific license, is becoming an important hub for crypto in Europe and opens a gateway into the larger European market,” Dagnoni noted.

According to the announcement, CriptoLoja founders, Luis Gomes and Pedro Borges, will remain co-heads of the business while assisting 2TM’s expansion in Europe. “Cryptocurrencies are still an emerging topic in the country. All the virtual assets such as Bitcoin and Ether are generating a revolution and considerable demand,” Borges stated.

Portugal has been hailed as a crypto-friendly jurisdiction as its authorities have pushed for technological free zones for fintech development and innovation in the country. Last year, the central bank of Portugal licensed three crypto exchange businesses: CriptoLoja, Luso Digital Assets and Mind The Coin.

2TM, Mercado Bitcoin’s Holding Company, Raises $50.3 Million in Second Closing of Series B Funding Round

December 1, 2021 Bitcoin.com

The Sandbox Scores $93 Million Investment Led by Softbank as Metaverse Tokens Thrive

November 4, 2021 Bitcoin.com

Everyone’s in The Sandbox: Artists, brands and creators pile into the Metaverse

November 3, 2021 Coin Telegraph

Altcoin Watch

New ecosystem partners, attractive creator incentives and the successful completion of a $93 million funding round are a few reasons why SAND has rallied 393% in the past two weeks.

The blockchain gaming ecosystem has seen explosive growth over the course of 2021 as nonfungible tokens (NFT) and the play-to-earn gaming model helped create new income opportunities for people around the world while also ushering in a new cohort of users to the cryptocurrency sector.

One project involved in gaming and the building of the Metaverse is The Sandbox (SAND), a blockchain-based virtual world where users to create, build, buy and sell digital assets in the form of a game.

Data from Cointelegraph Markets Pro and TradingView shows that after hitting a low of $0.70 on Oct. 27, the price of SAND has stormed 393% higher to reach a new all-time high at $3.45 on Nov. 3 as its 24-hour trading volume surged to $9 billion.

*SAND/USDT 4-hour chart. Source: TradingView*

Three reasons for the sudden spike in price of SAND include the successful completion of a $93 million funding round, its expanding ecosystem that continues to onboard new partners and the project's supportive environment that allows creators to engage with their communities while also receiving the lion’s share of revenue generated by their efforts.

SAND raises $93 million in a Series B funding round

On Nov. 2, The Sandbox announced that the project had successfully completed a $93 million Series B funding round which was led by the SoftBank Vision Fund 2.

According to the team behind SAND, the funds will be used to help scale the ecosystem's growth strategy, operations and player acquisition “while sending a clear statement that the world’s most innovative fund believes in Web3 and decentralization as the next major trend.”

These plans include the addition of new games, live performances and social experiences that encourage community engagement and create a earning-friendly environment for creators, brands and intellectual properties.

Growing list of ecosystem partners

A second factor behind the explosive price action for SAND is the protocols expanding network of big-name partners who have bought digital land inside The Sandbox.

Most recently, The Sandbox ecosystem welcomed Quan, a popular Japanese messenger and sticker characters collection. As part of its entrance to the ecosystem, Quan will auction off more than 300 LAND parcels, including 100 premium parcels that are bundled with NFTs.

The addition of popular companies to The Sandbox ecosystem should help to spread the reach of the community and attract new users to the world of blockchain gaming world.

Attractive creator incentives

Another reason for the growth seen for The Sandbox is the attractive creator incentives offered to developers and artists who build within the ecosystem.

As a way to demonstrate the project's focus on helping creators develop their brands, The Sandbox gives creatives 95% of the revenue generated by the items that they sell on the platform and 50% of all SAND revenue streams are reinvested into the Sandbox Foundation.

Funds in the foundation’s treasury, which adds up to more than $100 million, are used to provide grants to artists, creators and players.

VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for SAND on Oct. 28, prior to the recent price rise.

The VORTECS™ Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.

*VORTECS™ Score (green) vs. SAND price. Source:* *Cointelegraph Markets Pro*

As seen in the chart above, the VORTECS™ Score for SAND climbed into the green zone on Oct. 27 and reached a high of 74 on Oct. 28, around 32 hours before the price began to increase 229% over the next four days.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Softbank

SAND raises $93 million in a Series B funding round

Growing list of ecosystem partners

Attractive creator incentives

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