Author: Lauren Claxton

Lauren is currently a freelance writer with experience in finance writing. She has a growing interest in the metaverse and all things NFTs and expects to graduate in 2022 with bachelors degrees in creative writing and public relations.

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Crypto News DAO Ethereum Optimism Tokens

ETH Scaling Solution ‘Optimism’ Launches DAO, Plans to Airdrop OP Token

Optimism, a leading Ethereum layer 2 scaling solution, has unveiled its new governance structure and is preparing to release a token called OP to help power the change: 

Governance of Two Houses

Optimism’s newly announced governance structure is to be split into two halves: the Citizens house and the Token house. The Citizens house will be governing the distribution of funding for retroactive public goods, whereas the Token house will focus on driving growth, protocol upgrades, and project incentives.

The new governance token, OP, will be the power behind the Token house. It will create incentives for users to contribute to governance, as much of the project’s decisions will be voter-based. This house will be established through a token airdrop to users.

This airdrop will not just be a one-time event, as users can expect a second drop in Q2. While awaiting an official date for the first airdrop, users can find eligibility information and an allocations link within the initial announcement.

Layer 2 and DAOs

Aside from Optimism, there is a wide range of projects working to continue the expansion of the DeFi ecosystem and resolve network performance issues. Crypto News Australia has compiled an informative list of projects worth watching.  

Decentralised autonomous organisations (DAOs) are the blockchain-based version of companies that are native to the internet. There’s a lot to know about DAOs, not to mention a list of risks and benefits, but it doesn’t have to be complicated. Crypto News Australia has also published a handy guide to DAOs.

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Crypto News NFTs

World’s First Crypto Dating Show Raises $6 Million With the Help of Paris Hilton

The potential Web3 version of Netflix, Mad Realities, has launched the world’s first crypto dating show and subsequently raised US$6 million. The seed round was aided by 11:11 Media, socialite heiress Paris Hilton’s media company:

Persistence Pays Off in Crypto Dating Show Success

Mad Realities has moved a step closer to becoming an established Web3 streaming service. The round was led by venture capital firm Paradigm and attracted some other surprisingly big names: 

According to Devin Lewtan, co-founder and CEO of Mad Realities, the company was determined that Hilton join the fundraising round and evidently its persistence paid off. “We were really, really bullish on getting Paris Hilton,” Lewtan said.

The company began on YouTube, fundraising US$500,000 for its first project – a Bachelorette-style series called Proof of Love – through NFT sales. However, with its newly raised funds, Mad Realities is set on producing more content as it works towards creating a decentralised media company that can compete with mainstream services like Netflix.

If you would like a glimpse of what Mad Realities is offering, Proof of Love is available to watch on the company’s YouTube channel.  

Other Celebs Acting Up in Crypto Projects

In July last year, pandemic-based movie Zero Contact, starring Anthony Hopkins, was offered for sale as an NFT and later released to Vuele, a direct-to-consumer NFT viewing platform.

In the same month of 2021, the NFT series Stoner Cats launched. Created and produced by actor Mila Kunis, the animated series featured an A-list cast including Ashton Kutcher, Seth MacFarlane, Chris Rock and Jane Fonda voice acting as a group of sentient cartoon cats, with Ethereum co-founder Vitalik Buterin in a cameo role. The series required viewers to mint their access to the first five-minute episode.

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Australia Banking Crypto News Cryptocurrency Law Regulation Scams

AUSTRAC Releases Guide to Detect and Prevent Illicit Crypto Activity

The Australian Transaction Reports and Analysis Centre (AUSTRAC) published two guides this week with hopes of helping Aussies detect and prevent illicit crypto activity.  

Focus on Ransomware, Debanking

AUSTRAC is helping companies identify when their customers are being forced to take part in paying ransomware creators or illicitly engaging with crypto. This assistance comes in the form of two guides and a warning that debanking customers without evidence is a harmful practice.

In what can be considered another positive step the government is taking to embrace cryptocurrency, the financial watchdog has been prompted to act after a recent increase in ransomware-related attacks and cases of debanking.

https://www.linkedin.com/in/stevevallas/overlay/photo/

Open dialogue, pro-active guidance, and strong relationships between government and industry are necessary to ensure businesses can identify and report behaviour that puts Australians at risk of harm.

Steve Vallas, Blockchain Australia CEO

The release of these documents follows guides from the Australian Securities and Investments Commission (ASIC) and AUSTRAC’s critical infrastructure bill.

ASIC and AUSTRAC Go After Scammers and ‘Finfluencers’

AUSTRAC and ASIC began investigating scammers deceiving crypto investors in March 2021. The investigation discovered that British scammers were stealing millions of dollars of crypto from Aussies.

The latest AUSTRAC guides come only weeks after ASIC released its guide warning Australian ‘Finfluencers’ of impending tighter regulations.

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Blockchain Crypto News Gaming NFTs

Blockchain Gaming Has Soared 2000% in a Year According to Latest Report

Among the findings of a joint report by DappRadar and the Blockchain Game Alliance (BGA) is that blockchain gaming has boomed by a massive 2000 percent in a year. This figure directly relates to 52 percent of all blockchain activity.

DappRadar x BGA Games Report – February 2022 - Animefreaktv https://animefreaktv.org/dappradar-x-bga-games-report-february-2022/
DappRadar x BGA report.

This Could Be a $10 Billion Year

The first quarter of this year has seen significant statistics out of the crypto gaming industry. With US$2.5 billion in investments poured into the industry already, 2022 is shaping up to be a big year for the advancement of blockchain gaming. Developers are anticipating this number could grow to US$10 billion by the end of the year.

The popularity of play-to-earn (P2E) NFT games on the Ethereum sidechain has played a large role in this growth. According to the report:

The ownership entitled by NFTs, and the underlying financial ecosystem enabled by cryptocurrencies and play-to-earn games, will shift the paradigm from the traditional metaverse that is limited to a virtual, augmented reality.

DappRadar x BGA games report

Animoca Brands and Yuga Labs hold some of the largest deals for the year so far, as blockchain games drew in 1.22 million unique active wallets.

Success Stories in Crypto Gaming Industry

In 2021, blockchain crypto gaming coins soared, with just one week in August witnessing nearly 700 percent growth. This seemed to mark the start of the acceleration in the blockchain gaming industry. Mobile gaming benefits immensely from NFTs, as the notion of adding real-world value to in-game assets became wildly popular.

Later in 2021, Galaxy Interactive – a venture capital firm specialising in gaming start-ups – raised US$325 million with the intention of investing in blue-chip NFTs. At the time it was reported that US$150 million had been allocated to a range of new companies.

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Australia Blockchain Crypto News The Sandbox

Sandbox Creator Buys a Major Stake in Australian Digital Agency ‘Be Media’

Australian digital marketing agency ‘Be Media’ has sold a significant stake in the company to Animoca Brands, the crypto investment giant behind the Sandbox. Be Media is said to be already filling positions for blockchain-based development:

Hong Kong-based Animoca Brands now has a particularly large stake in the Perth-based digital marketing agency. This comes as the company pivots towards crypto after prioritising the provision of Web2 companies for its digital strategies.

Be Media Stake Part of Animoca Expansion Plan

Animoca appears to have purchased its stake as part of its incursion into Australia with aspirations of inducting more companies into Web3. Although Be Media is not strictly crypto-related, the agency makes a good starting point for Animoca’s expansion plan. Be Media has already begun “aggressive hiring” for project management and blockchain-based development positions.

Be Media founder and CEO Jordan Fogarty will retain his current role and a minor stake in the company. Fogarty is reportedly enthusiastic about the pairing and “honoured” to be a part of the introduction of Web3 to local companies.

High Performing Sales

The Sandbox’s token SAND has performed well since its release, hitting an all-time high in November 2021. Animoca announced its intention to release Metaverse Alpha the following month, which had a knock-on effect on token sales. The play-to-earn game hosted the event for just a month.

More recently, NFT gaming platform Balthazar raised US$3 million through an Animoca Brands token sale. The sale valued the DAO at US$30 million and elevated Balthazar to its status as one of the leading platforms in the metaverse.

Animoca has also partnered with the Australian Football League to mint its new NFT collection.

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Crypto News Ethereum NFTs

Moonbirds NFT Collection Soars on Debut, Racking $200m+ in Sales

Since the highly anticipated Moonbirds NFT mint launched last weekend, the Ethereum-based collection has seen north of US$200 million in sales. However, the debut project from the PROOF collective seems to be stirring the pot:

Moonbirds has joined the ranks of the Bored Ape Yacht Club and CryptoPunks in near-record time, becoming the top-selling collection with 10,000 pixelated birds raking in sales of approximately US$281 million just days after minting.

But what is it makes these birds so popular?

How’s This for PROOF?

The Moonbirds project is the product of tech entrepreneurs Kevin Rose and Ryan Carson, and is the first project from the PROOF collective, a private NFT community led by the pair. The community consists of 1,000 members including big industry names such as Beeple and Gary Vaynerchuk. Membership of the community grants access to a private Discord chat, collaborations and special events.

However, both the mint and success of this collection are not without controversy. Concerns of rarity snipping – the act of project leaders using insider knowledge to buy rarer NFTs – are circulating. Beyond this, there are complaints of potential raffle manipulation and frustration over the 2.5 ETH minting price:

Only 7,875 NFTs were released by PROOF via an allow list formed through the raffle process. Another 2,000 were free mints for PROOF collective NFT holders. Membership of PROOF can be purchased for just over 97 ETH (about US$300,700).

Mixed Reactions to Other NFT and DeFi Launches

Earlier this month, Star Trek fans were making news for their contempt towards the launch of a Star Trek NFT collection. The launch was considered “tone-deaf” by fans and contrary to the franchise’s spirit – if not directly opposing Star Trek’s values, illustrating that the content of an NFT collection should always suit the intended audience.

One project that has been far better received this month is Opulous. The new blockchain-based music platform has seen the value of its token – OPUL – rocket up 175 percent following the announcement of DeFi staking, S-NFT sales, and CEX listings.

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Australia CBDCs Crypto News Investing Regulation Trading

Australia and Singapore Create New FinTech Bridge to Grow Digital Finance

The Monetary Authority of Singapore (MAS) and the Australian Treasury have come together to sign the Australia-Singapore FinTech Bridge Agreement, which an MAS media release describes as a measure to strengthen cooperation between both countries’ FinTech ecosystems:

Building a FinTech Bridge

The agreement will see two industry regulators facilitating trade and investment in their respective sectors. These regulators will also develop ties among industry groups, policy officials and other regulators, with further plans to develop FinTech companies in each other’s markets to create new opportunities and minimise entry barriers.

https://www.lawyersweekly.com.au/biglaw/24799-investment-groups-in-singapore-and-australia-acquire-figtree-grove-shopping-centre
MAS and the Australian Treasury have flagged a FinTech agreement.

The Bridge Agreement is likely to explore joint innovation projects in other emerging areas including blockchain, sustainable finance, data portability, and cross-border data connectivity. However, the first step for the partnership is to develop a framework for bilateral collaboration and joint projects.

Australian CBDC Partnerships

The agreement comes less than a month after the central banks of Australia, Malaysia, South Africa, Singapore, and the Bank for International settlements (BIS) announced plans to explore multi-CBDC platforms.

On March 25, BIS released a report announcing the results of two multi-CBDC platforms it had been working on, finding that while these platforms were technically viable, they faced governance, coordination, and jurisdictional challenges. Opportunities are available, although more exploration into the application of these platforms is required.

To learn more about CBDCs, Crypto News Australia has put together a guide on CBDCs and stablecoins.

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Celsius Crypto News Regulation

Crypto Lender Celsius Halts Interest Accounts for Retail Investors Amid Regulations

Effective April 15, non-accredited US retail investors will no longer be paid rewards on any new deposits into Celsius interest accounts. The news comes in a statement from Celsius, which also notes that these rules will not impact customers outside the US.

Celsius Prioritises Regulation

The move by Celsius, a leader in centralised finance (CeFi), sees it fall into line with crypto regulations. From April 15, only accredited investors will be able to receive rewards and add new assets to the company’s Earn platform.

The update only applies in the US, and to be considered “accredited” an investor must have a net worth greater than US$1 million or a minimum annual income of $200,000. After April 15, those who aren’t accredited will have their coins held in custody, meaning they can still swap, borrow and transfer, but cannot earn interest.

As we previously have acknowledged, Celsius has been working closely with regulators around the world. It is our intention to be as transparent with our community as possible.

Celsius custody solution statement

Any US non-accredited Celsius users who were intending to use their crypto as loan collateral prior to April 15 will have their assets returned to their account on completion of the loan.

Other Offers and Rates

In March, Crypto.com slashed its return rates on token deposits, its second cut in a month. More recently, digital asset exchange Zipmex launched its ZipUp+ program, which offers Aussies very attractive yield returns. Zipmex is one of the major regulated Australian exchanges and may become even more popular with this new offer as the project allows interest of up to 10 percent APY without a lock-in period.

Categories
Australia CoinSpot Crypto News Cryptocurrencies

Aussies Can Now Buy Luxury Cars with Crypto Through CoinSpot

CoinSpot is now allowing Australians to purchase luxury vehicles using up to 30 types of cryptocurrencies, including bitcoin and ethereum.

This comes as the high-profile crypto exchange enters a partnership with Melbourne-based prestige car retailer Dutton Garage: 

Any purchases made will go through CoinSpot’s over-the-counter (OTC) trading desk to limit exposure to fluctuations in the market. This will also help prevent slippage for customers transacting values over A$50,000 and minimise low liquidity risk.

‘Strong Demand’ for Crypto Car Purchases

In a joint statement, CoinSpot and Dutton Garage said the partnership was in response to “strong demand” from Australian customers to purchase vehicles and other luxury items using crypto.

“With Web3, digital currencies are becoming more than just stores of value, and instead, legitimate ways to purchase big-ticket items,” said Gary Howells, CoinSpot’s chief product officer. “Increasing crypto’s utility is the key to driving mass adoption of what we believe is the future of finance.”

Juv Jayaram, chief technology officer at Dutton Group, added: “Working with CoinSpot enables our customers to access their crypto investments and transact with us in a seamless and transparent manner.”

The CoinSpot-Dutton deal is not the first meeting of crypto and car commerce in Australia. In April 2021, carbuyers.com.au announced a new payment system that allowed Aussies to use bitcoin to cover the purchase of a vehicle. Two months later, auction house Lloyds started accepting major cryptocurrencies as payment for sport and collector cars.

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Australia Crypto News Cryptocurrency Law Regulation

Aussie Regulator Asks Banks to ‘Proceed with Care’ Over Crypto

The Australian Prudential Regulation Authority (APRA) is in the final stages of drafting a letter to Australia’s financial institutions that will outline its expectations for the future of digital assets, in the wake of the UK’s recent statement on digital assets.

High Expectations for Financial Institutions

APRA has plans to provide the industry with more clarity in the coming months, cautioning banks, super funds and insurers planning to take on crypto. Chairman Wayne Byres said this week that the regulator was finalising its letter prescribing its requirements for how financial institutions deal with digital assets.

While the number of Australian financial institutions embracing crypto is so far limited, with the Commonwealth Bank becoming the first bank to offer crypto-related services in late 2021, it is necessary to achieve clarity on regulation as soon as possible. This comes as regulators overseas make similar moves.

https://www.apra.gov.au/apras-executive-and-governance

Much like our approach to climate risk, [the letter’s] underlying message is primarily one of: ‘by all means innovate, but proceed with care and in full knowledge of the risks’.

Wayne Byres, APRA chairman

However, not everyone is happy with the news, and social media has offered mixed responses. APRA claims that a regulatory framework for “stored value facilities” is a high priority, as these facilities will purportedly allow customers to store funds for future payments.

No Time to Waste in a ‘Global Competition’

Last week ASIC chairman Greg Medcraft urged Aussie regulators to join the crypto start-up race, encouraging the development of plans for the future of digital asset investment and technology. Medcraft said it was “a global competition” and if financial institutions didn’t get in now they could risk missing out.

As long ago as July 2021, Australian crypto companies were requesting more certainty regarding the regulation of the industry. At the time, this resulted in the Australian Fintech Senate allowing Aussies to submit their requests relating to technology and finance and how society might benefit from emerging technologies.