Author: José Oramas

José is a journalist and translator with a keen interest in blockchain and cryptocurrencies.

Categories
Crypto News Metaverse NFTs

Snoop Dogg Set to Make ‘Death Row Records’ the First NFT Music Label

American rapper Snoop Dogg recently acquired Death Row Records – the most famous hip-hop record label in history – and is planning to turn it into a world-first NFT (non-fungible token) music label.

Snoop Dogg announced his decision of taking Death Row into the metaverse on an audio recording on social media channel Clubhouse, saying:

Death Row will be an NFT label, we will be putting out artists through the metaverse and a whole ‘nother chain of music. Just like we broke the industry when we was the first independent [label] to be major, I want to be the first major in the metaverse.

Snoop Dogg (Clubhouse)

The rapper acquired Death Row Records on February 10, shortly before performing at the Super Bowl Halftime Show, which saw the participation of his peers in the hip-hop scene including Eminem, Dr Dre and Kendrick Lamar.

Snoop Dogg Making Waves With NFTs

Dogg has been one of the most active crypto advocates on social media. On September 20, the rapper revealed he’s behind the Twitter handle Cozomo De’ Medici, who owns a US$17 million NFT collection:

Late last year, Dogg dropped his own NFT collection, Decentral Eyes Dogg, which comprises a composite portrait of the US rapper with distinct facial traits:

The purple area is a nod to his hiphop royalty. The halftone and grunge effect on his left eye speaks to his being an OG in the game, and the Doggystyle references are a nod to his epic first release. Snoop recorded new audio exclusively for this artwork to add that swagger and put the signature Snoop touch on top.

Snoop Dogg
Categories
Crypto News Metaverse

JPMorgan Dives into the Metaverse with its Decentraland Metaverse Lounge

American investment bank JPMorgan has entered the metaverse with a virtual Decentraland Lounge, citing “immense economic opportunities”.

First Investment Bank to Enter the Metaverse

The bank announced on February 15 that it will be opening a lounge at a mall in Decentraland. As per the report, the metaverse has a US$1 trillion market opportunity in yearly revenue, and has the capacity to “expand access to the marketplace for consumers from emerging and frontier economies”.

Supply and demand dynamics are driving more people into the meta-economy. In turn, this will require the development of new skills and will also generate new way[s] of making money. After all, people will have to develop and build the products that are consumed in the virtual world – establishing huge opportunities for the creator economy.

JPMorgan announcement

The move makes JPMorgan the first bank to enter the metaverse – a virtual reality world where users can interact with each other socially and economically. The irony is that JPMorgan and CEO Jamie Dimon have long been detractors of Bitcoin and the crypto market:

The Metaverse is the Next Big Investment Theme

JPMorgan was motivated by the large inflow of different companies entering the metaverse. Last week, Crypto News Australia reported that fast food giant McDonald’s is planning to enter the metaverse to build a “virtual restaurant featuring actual and virtual goods”.

We see companies of all shapes and sizes entering the metaverse in different ways, including household names like Walmart, Nike, Gap, Verizon, Hulu, PWC, Adidas, Atari and others.

JPMorgan announcement

The metaverse has been growing in popularity in the past few months as more companies, especially tech giants such as Meta (formerly Facebook) and Microsoft, are deciding to explore its foundational technology to expand their business opportunities.

Edward Stanley, an equity strategist at Morgan Stanley, noted in November that the metaverse has “big investment opportunities” for all kinds of businesses, including gaming, fashion, real estate, fast food chains, etc.

Newsflow around the metaverse concept has been high and companies are embracing it in growing numbers. Of any major theme, companies and analysts have greater interest in the metaverse than any other theme at present.

Edward Stanley, equity strategist, Morgan Stanley
Categories
Crypto News DeFi Ethereum Hackers Tokens

White Hat Hacker Chooses $2 Million Bug Bounty over ‘Printing Unlimited ETH’

A white hat hacker recently discovered a critical security bug on Optimism – a layer-2 scaling solution on Ethereum – that could have allowed him to exploit a set of smart contracts to print an unlimited amount of Ether (ETH). Instead, the hacker reported the issue to the Optimism team, who rewarded him with US$2 million for discovering the bug.

Jay Freeman, a software engineer who goes by the online handle of Saurik, discovered the bug on the project’s fork of Geth (Go Ethereum) – a popular standalone implementation for Ethereum-based protocols.

The Optimism team admitted in a blog post that the bug had been previously triggered by an Etherscan employee, and that it had gone unnoticed.

Analysis of Optimism’s chain history showed that the bug was not exploited. A fix for the issue was tested and deployed to Optimism’s Kovan and Mainnet networks (including all infrastructure providers) within hours of confirmation.

Optimism blog post

Freeman provided an in-depth insight into the discovery in a separate blog. “Exploiting this bug enables the attacker to have access to an effectively unbounded number of tokens” he said.

White Hat Hacker Saves the Day

White hat hacker is the term for ethical hackers who use their skills for identifying security issues in hardware or software networks instead of exploiting them.

The Optimism community praised Freeman’s detective work instead of taking advantage of such a situation, which could have spelled disaster for the platform:

While the DeFi community is filled with malicious actors waiting for their opportunity to attack, there are also numerous examples of white hat hackers working towards the greater good of the community.

Decentralised exchange SushiSwap, for example, almost went dark if it were not for the collective effort of a group of white hat hackers that prevented a potential US$350 million heist.

In December, popular Ethereum-based layer 2 scaling solution Polygon rescued all of its MATIC tokens – worth around US$24 billion – thanks to a white hat hacker who had discovered a security bug on the protocol, leading to a hard fork on the Polygon sidechain.

Categories
Bitcoin Bitfinex Crime Crypto News

Bitfinex Hack and Bitcoin Laundering Scheme Coming to Netflix

Remember the Bitfinex hack of 2016? Well, this real-life story is now coming to Netflix as a documentary series about the married couple who allegedly laundered part of the proceeds of the hack – an aspiring rapper called Heather Morgan and her husband, Ilya “Dutch” Lichtenstein, both arrested in New York last week.

Streaming giant Netflix will produce the series centred on the Bitfinex hack, which amounted to 120,000 BTC or around US$4.5 billion. It will be directed by American filmmaker and producer Chris Smith.

Morgan and Lichtenstein were arrested on charges of laundering over US$3.6 billion worth of Bitcoin, almost three-quarters of the hack’s total proceeds. Investigators tracked movement of the assets on the blockchain as the couple tried to liquidate them by buying and selling NFTs (non-fungible tokens), physical gold, using fake identities and online accounts.

Whale Alert Spots 10,000 BTC From Bitfinex Hack

Earlier this month, Whale Alert reported that almost US$400 million in proceeds from the Bitfinex hack had been transferred to an unknown wallet.

As an interesting side note, the LEO token, which is a basic exchange utility token used on Bitfinex to lower trading, blew up 60 percent in value following the seizure of the 120,000 BTC.

Categories
Crypto News Metaverse NFTs Social media

YouTube Confirms Move into Web3, Says It Has ‘Incredible Potential’

YouTube has confirmed it’s stepping into Web3, flagging its “incredible potential” for content creators through the use of blockchain technology and NFTs (non-fungible tokens).

In a February 10 blog post, YouTube’s chief product officer, Neal Mohan, shared some of the company’s upcoming plans for products and services in 2022, including Web3 technology.

Mohan said that YouTube was working on strategies to integrate some of these technologies. Some of Mohan’s suggestions regarding blockchain and NFTs include giving users the ability to own unique videos, photos, art and more from their favourite content creators. This also allows creators to better engage with their audience and access new ways of making money.

A Careful Approach to Web3

The approach, according to Mohan, is being taken in a “responsible manner”, as many companies have faced harsh backlash due to the environmental impact of using blockchain-based technologies such as Ethereum and its Proof of Work (PoW) consensus, which consumes an enormous amount of processing power.

There’s a lot to consider in making sure we approach these new technologies responsibly, but we think there’s incredible potential as well.

Neal Mohan, chief product officer, YouTube

The other aspect is that the NFT sphere is full of scammers and other malicious actors, and YouTube has been vulnerable to hacking attacks before. Two weeks ago, Crypto News Australia reported how more than 30 crypto YouTube Channels had been hacked in a coordinated attack.

Will There Be NFTs on YouTube Anytime Soon?

While Mohan didn’t disclose if YouTube would integrate NFTs, the integration of Web3 features opens up many possibilities. For example, we might see an NFT minting feature on the platform, or one that allows NFT holders exclusive access to a creator’s content.

NFTs can help creators find new ways to make more money, and YouTube can take a cut out of that in transaction fees.

This isn’t the first time YouTube has flagged its intentions of integrating Web3 technologies. Just last month, CEO Susan Wojcicki hinted at a possible NFT integration.

Categories
Regulation Russia

Russia Shifts from Banning to Regulating Crypto Like Foreign Currencies

Russia has decided to shift from banning cryptocurrencies to recognising them as a form of currency, according to local newspaper Kommersant.

As per the local report, the Russian government and the country’s central bank have decided to integrate cryptocurrencies into the same regulatory framework as for foreign currencies, thus becoming part of Russia’s financial system.

This new law would seek to put digital assets under state oversight with “strict obligations for all participants in the professional market and an emphasis on protecting the rights of ordinary investors”.

The decision comes not long after Russia’s central bank decided to fully ban digital assets, claiming that their speculative nature posed a threat to the financial stability of Russian citizens. This, however, was met with great opposition from the country’s finance ministry.

Banks Will Take Control of Crypto Transactions

The new law proposes a framework that will treat crypto as an “analogue of currencies”, and it’s expected to come into force by February 18.

First of all, citizens will only be able to buy crypto through “licensed and locally registered financial entities”. This means, of course, that local banks will work as intermediaries between users and crypto companies. It also means that users won’t have control of their funds.

Cryptocurrency exchanges, decentralised marketplaces and other related platforms will be forced to open a bank account to register as legal entities – as long as they meet certain conditions, such as having sufficient capital and liquidity.

Criminal Charges For Not Declaring Crypto Transactions Over $8000

Second of all, the Russian government could collect over US$13 billion as tax payments from this crypto law. All crypto transactions over 600,000 rubles (approximately US$8,000) must be declared to the Federal Taxation Service (FNS), or criminal charges will result.

Third, banks working with crypto exchanges won’t use blockchain analytics tools from security companies such as Elliptic or Chainalysis. Instead, they’ll be using the “Transparent Blockchain”, a tracking tool developed by Russia’s financial watchdog (Rosfinmonitoring).

The Transparent Blockchain is capable of identifying owners of crypto wallets and collecting information from the darknet, thus detecting illegal activity with the use of digital assets.

Categories
Crypto News Sports

Manchester United Legends to Create World’s First Soccer DAO

Former Manchester United superstars Gary Neville, Paul Scholes and Ryan Giggs are launching a sports-focused decentralised autonomous organisation (DAO) to allow fans to invest in professional football projects alongside them.

The Class of 92 Revisited

As reported by Bloomberg, the football legends have partnered with Singaporean billionaire Peter Lim and his son, Kiat Lim, to create the CO92 DAO, which will allow fans to own a stake of the DAO’s token and make sport-related investments.

CO92 DAO honours the Class of 92, a Manchester United squad distinguished by the names of David Beckham, Gary Neville, Paul Scholes, Nicky Butt, and other legendary players of the club.

The purpose of CO92 DAO is to make football fan ownership accessible to everyone. We have access to unique sporting projects and want to work together with fans to create value together.

Bloomberg

Details of the project are yet to be released but, according to Bloomberg, a public announcement is imminent.

Man U Making Waves in the Crypto Space

Manchester United has been making big moves in the crypto space. Yesterday, Crypto News Australia reported that the English club was set to partner with blockchain platform Tezos for a US$27 million per year sponsorship deal.

CO92 DAO would be the second sports venture by the father-son duo. They already have a football venture called gZujuPG, a digital platform backed by Man U superstar Cristiano Ronaldo.

CO92 DAO is the only way that the community can participate in the high-growth projects that the Class of ’92, Peter [Lim] and myself can provide access to by aggregating our years of experience and high-level personal networks in the industry.

Kiat Lim, Forbes Asia

Categories
Crypto News NFTs

Nike Sues StockX for Selling Unauthorised Sneaker Pics as NFTs

Sportswear giant Nike is suing online sneaker reseller StockX for selling unlicensed images of non-fungible token (NFT) sneakers.

Reuters reported that Nike had filed a 50-page lawsuit against StockX in a New York federal court on February 3, demanding an undisclosed amount in damages and blocking the sales of the virtual collectibles on StockX’s platform.

StockX is one of the most popular online resellers, valued at more than US$3.8 billion. According to Nike, StockX had told its buyers that the NFT sneakers would be redeemable in “the near future”. The NFT collection is still online.

The listing is still online. Source: StockX

Nike did not approve of or authorise StockX’s Nike-branded Vault NFTs. Those unsanctioned products are likely to confuse consumers, create a false association between those products and Nike, and dilute Nike’s famous trademarks.

Nike lawsuit vs StockX

The US footwear giant further stated that StockX had sold around 500 Nike-branded NFTs at “inflated prices and [under] murky terms of purchase and ownership”.

Nike and the Metaverse

On December 16, Nike took a step into the metaverse when it announced the acquisition of RTFKT Studios, a digital art studio focusing on NFT sneakers and other collectibles.

Nike was late to the party, however, as Japanese sports apparel multinational Asics launched its own digital footwear collection in July 2021, placing it one step ahead of the American behemoth.

Categories
Australia Crypto News Facebook Scams

Australian Consumer Watchdog Investigates Meta (Facebook) for Crypto Scam Ads

The ACCC (Australian Competition and Consumer Commission) is investigating Facebook’s parent company Meta for allowing crypto scammers to advertise on the social network using fake articles or requesting crypto transfers.

Investment scams in Australia increased more than 53 percent in 2021, with Australians losing over A$70 million. Now the ACCC is probing Meta for allowing crypto scammers to advertise on Facebook, defrauding Aussies hundreds of thousands of dollars.

Mining Magnate Sues Meta for Misrepresentation

This follows news last week, reported by Crypto News Australia, of Fortescue Metals chairman Andrew Forrest pursuing legal action against Meta for allowing crypto scammers to post fake articles using his image and name, along with those of other business identities and celebrities.

Forrest is accusing the social media giant of breaching Australia’s AML (anti-money laundering) laws and is also pursuing a related civil case in California.

Like Dr Forrest, we consider that Meta should be doing more to detect, prevent and remove false or misleading advertisements from the Facebook platform so that consumers are not misled and scammers are prevented from reaching potential victims. The ACCC will continue to consider whether Meta’s conduct raises concerns under Australian Consumer Law.

ACCC chair Rod Sims, The Australian

Forrest is not the only high-profile Australian whose identity has been co-opted to promote cryptocurrency scams. Others include actor Chris Hemsworth and TV commentators Waleed Aly and David Koch.

Fake Crypto News Australia Website

Notably, a fake Crypto News Australia website on Facebook is promoting “crypto bonuses”, requesting users to send ETH to a specific wallet to receive triple the amount sent. Keep in mind that Crypto News Australia will never ask for crypto or send crypto to readers.

Fake websites, fake wallets or exchanges, impersonation giveaways -there are so many types of cryptocurrency-related scams that it can be hard to keep track of them all. Make sure you stay safe and check out our guide on the Top 10 Bitcoin Scams to Avoid.

Categories
Charity Crypto News Cryptocurrencies

Crypto Donations Up 16x in 2021, ETH Beats BTC as Most Donated

More than US$69 million worth of cryptocurrency was donated in 2021, a 1,558 percent increase on the US$4.2 million figure in 2020. The data was released by The Giving Block, a platform that allows donations in cryptocurrency for non-profit organisations and individuals.

2021: The Year of Crypto Philanthropy

A total of 70 cryptocurrencies were donated, and for the first time Ether (ETH) surpassed Bitcoin (BTC) as the most donated cryptocurrency with US$30.79 million worth of ETH transferred to the The Giving Block.

Source: The Giving Block

Monthly Volume of Crypto Donations Skyrockets

More than 295 million crypto users globally donated using their preferred cryptocurrency. The Giving Block attributes the increase to the bull market and the growing adoption of crypto assets during 2021, but what’s interesting is that the volume of donations didn’t drop during market crashes – rather, it increased with each month.

At the close of the first quarter of 2021, the total donation volume was around US$1.69 million – by the end of Q4, it was $43.1 million.

2021 donations by month. Source: The Giving Block

Various NFT (non-fungible token) projects also contributed to The Giving Block with donations of more than US$12.3 million. These included Yuga Labs – creators of Bored Ape Yacht Club – who donated 66.45 ETH to the organisation.

This data reflects the growing popularity of digital assets among activist, nonprofits, and the general public throughout 2021, especially as it’s easier to donate using cryptocurrencies.

As an emerging source of fundraising, individuals from all corners of the crypto community – from anonymous donors to industry leaders to NFT artists – have shown an eagerness to embrace their capacity as supporters of important causes, from animal rights and disaster relief to mental health awareness and cancer research.

Pat Duffy, co-founder, The Giving Block