Genesis Joins List of Bankrupt Crypto Companies; CoinDesk Explores Full or Partial Sale | Cointime Weekly Jan.15 – Jan.21

Lu Tian· 5 min read

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Genesis Joins Growing List of Bankrupt Crypto Companies

Genesis became the latest crypto firm caught up in the immediate fallout of FTX’s implosion, with three of its entities – Genesis HoldCo, Genesis Global Capital LLC and Genesis Asia Pacific PTE. LTD – filing for chapter 11 bankruptcy protection.

Genesis held $5.1 billion in liabilities in the weeks following its freeze on withdrawals last November. “First Day Hearing” in its Chapter 11 bankruptcy case will take place on Monday, Jan. 23.

CoinDesk Explores Full or Partial Sale to Attract Growth Capital

Crypto media outlet CoinDesk may pursue a full or partial sale to fuel future growth. Coindesk was originally acquired by the Digital Currency Group in 2016 for around $500,000 to $600,000. The company did not disclose its current valuation.

Cardano (ADA) founder Charles Hoskinson confirmed interest in acquiring the crypto-focused media outlet CoinDesk on Jan. 19.

Wang Feng, founder of Chinese crypto news outlet Marsbit, said Marsbit is willing to work with other companies to buy crypto news outlet CoinDesk.

FTX Drama Continues

US federal authorities have seized more than $697 million in cash and assets associated with Sam Bankman-Fried. 

Sam Bankman-Fried claimed that a driver crashed a car into the barricade at his parents' home—and that the car's occupants made threatening statements.

Sam Bankman-Fried reportedly used his influence in the crypto industry to inflate some coins prices through a coordinated strategy with FTX’s sister company, Alameda Research.

Coinbase May Be in Serious Trouble Now

Coinbase exits Japan citing "market conditions". The exchange said it has made the "difficult decision" to halt operations in Japan and conduct a complete review of its business in the country due to market conditions.

Moody’s has joined S&P to downgrade both Coinbase’s (COIN) long-term credit rating as well as its guaranteed senior unsecured notes.

A class action lawsuit over flare Airdrop issue has been filed against Coinbase.

Global regulations

Thai SEC Issues Crypto Custody Provider Rules

Thai SEC on Jan. 17 issued regulations requiring virtual asset service providers (VASP) to establish a digital wallet management system to guarantee efficient custody.

Binance Now Fully Compliant in Poland

Binance announced its services in Poland are now fully compliant with domestic regulatory standards for virtual asset service providers (VASPs).

French Crypto Companies Must Seek Authorization by 2024

Crypto companies in France would have to seek authorization from regulators to operate if they are not already registered with the country’s financial regulator by Jan. 1, 2024, under plans adopted by lawmakers at the National Assembly on Tuesday.

Japan Urges to Regulate Crypto Companies like Banks

Japan’s Financial Services Agency (FSA) said: “Crypto has become this big…If you like to implement effective regulation, you have to do the same as you regulate and supervise traditional institutions.”

Hong Kong To Publish Approved List of Crypto Assets for Retail Trading

The SFC’s new CEO said these whitelisted crypto tokens will be highly liquid ones deemed safe enough for non-professional investors.

Crypto weekly price action

Cryptocurrency Prices Heat Map in 7 Days, Source COIN360

Research and technology

Analyzing 973 Crypto Hack Timelines

Up until 2019, contract vulnerabilities were the most common gateway for hacks and scams. They continue to be a big problem. Here are insights from the chronological representation of 973 crypto hacks and scams.

Blockchain and Dapp Adoption Report 2022

The dapp industry experienced a 50% increase in the number of daily Unique Active Wallets (dUAW) in 2022, rising from 1.58 million dUAW in 2021 to 2.37 million last year on average.

Understanding Ethereum’s “Triple Halving”

The "triple halving" of Ethereum refers to the reduction in ETH issuance by over 80%, which is  similar to halving the Bitcoin system three times.

Launched Crypto Exchange Using the Binance Clone Script

Yes, Blockchain technology has been powering many business applications that pave way for the cryptocurrency and the market to grow. One such crypto business is starting a cryptocurrency exchange platform. Well, I am one of them!

Fundraising and investment

UAE VC Companies Launch $1 Billion Fund

Venom Foundation has announced the creation of Venom Ventures Fund, a next-generation venture capital incubator that will invest in Web3 and related blockchain projects and help them reach their full potential.

Hong-Kong Investment Fund Raises $500M

Hong Kong-based global asset manager HashKey Capital announced the closing of a $500 million investment round for its FinTech Investment Fund III.

Sports NFT Firm Candy Digital Raised Over $38M

Candy Digital had raised $38,449,997 from 14 investors in an equity offering, more than half of the $68,188,480 overall that the company is seeking to raise in the sale.’

Mobile Gaming&Web3 Startup Carry1st Raised $27M

The announcement comes one year after raising $20M in a Series A extension round last January 2022 from a16z, Avenir, Google, and others.

ZK Tech Developer Nil Foundation Raises $22 Million

The round, which closed toward the end of last year, brings the foundation’s valuation to $220 million and sees participation from other investors including Blockchain Capital, Starkware and Mina Protocol.

Viral Quotes

"I think all that is a waste of time, and why you guys waste any breath on it is beyond me. Bitcoin itself is a hyped-up fraud. It's a pet rock."

—  Jamie Dimon, CEO of JPMorgan Chase

“When the tide recedes, all the hype goes away and it’s the fundamentals that matter. In our industry, we’re so close to the money … so many people get distracted by that and that’s all they focus on.”

— Changpeng Zhao, Binance CEO

They are replacing the current digital currency system, and in a way, they are controlled. This is an excellent position where a combination of permissioned and permissionless is necessary.”

— Shyam Nagarajan, IBM Consulting executive, said CBDCs are the future of money

NFTs are not just art, they can be objects, events, organizations and transactions.”

— Cardano founder Charles Hoskinson

Literally 90% of crypto is a scam. A criminal activity. A total real-bubble Ponzi scheme that is going bust.”

— Nouriel Roubini, Economist professor 

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