According to the new guidelines released by the Australian Taxation Office (ATO) on November 9th, capital gains tax (CGT) should be levied on a range of DeFi transactions. The new guidelines state that capital gains tax must be paid when a user transfers tokens to an address or smart contract that does not have "beneficial ownership" or if the token balance of that address is non-zero. Although these standards suggest that the relevant rules may cover liquidity collateral, the guidelines do not clarify some confusing issues, such as whether Australian DeFi users need to pay taxes when staking Ethereum on Lido or sending tokens across L2. In cases where the rules are not clear, assuming an Australian DeFi user purchases ETH for $100 and then stakes it or sends it through bridging at a price of $1,000, they may need to pay taxes on the $900 "profit", even if they have not sold ETH or realized profits. An ATO spokesperson stated that the tax situation of the transaction will depend on the steps taken by the user on the platform or contract, as well as the relevant facts and circumstances of taxpayers who own cryptocurrency assets. Liberal Party Senator Andrew Bragg stated that the previous government had commissioned the Taxation Committee to propose appropriate rules for taxing cryptocurrencies, but the investigation results have been postponed twice and will not be released until February next year. In the absence of legislation, the Australian Taxation Office is allowed to formulate its own rules. (Cointelegraph)

Doug Colkitt, founder of Ambient Exchange, has revealed that the thief who stole $46 million from KyberSwap used a sophisticated smart contract exploit known as an "infinite money glitch." The attacker exploited KyberSwap's concentrated liquidity feature, tricking the contract into thinking it had more liquidity than it actually did. This exploit is unique to Kyber's implementation of concentrated liquidity and is unlikely to work on other decentralized exchanges. Despite the presence of a failsafe mechanism, the attacker was able to execute a carefully engineered smart contract exploit by setting the swap quantity just below the upper bound for reaching the tick boundary. The attacker has expressed a willingness to negotiate the return of some of the stolen funds.

According to data from TradingView, the total value of all DeFi token projects is currently $57.75 billion, an increase of over 25% in the past month. The current valuation of DeFi is at its highest level since August 2022.

Pancakeswap, the third-largest decentralized exchange in terms of total value locked, has introduced a new voting system called "Gauges." This system enables governance token holders to vote for additional rewards to be distributed to specific pools. The exchange has also replaced its vCAKE metric with a new metric called "veCAKE." To gain the ability to vote, CAKE holders must lock their tokens into a smart contract for a set period, and the longer they lock their tokens, the more voting power they receive. The exchange has eliminated its syrup pool reward system and will now only give additional fees to users who have veCAKE.

According to official sources, Avantis, a perpetual contract DEX on the blockchain, has announced the launch of its public test network. In September, DeFi derivative trading platform Avantis Labs completed a $4 million seed round of financing, led by Pantera Capital, with participation from Founders Fund, Coinbase's Base ecosystem fund, and Modular Capital. The new funds will be used to develop its flagship product, perpetual contract trading and market-making protocol Avantis. Avantis is being developed on the Optimism Superchain, a chain network built using the OP Stack and using USDC stablecoin as collateral for its protocol transactions.

Uniswap has announced the launch of the V4 template for developers. The V4 template has innovative features that enable a seamless development journey. It aims to simplify the experience of developers building on the Uniswap contract, making it easier and more efficient. The template is deployed on the Goerli test network. All scripts are tailor-made for Goerli, but developers can also use local development options.

According to the Governance Forum page, a new proposal suggests updating the GNO risk parameter of the Aave V3 Gnosis pool.

Data monitored by Lookonchain shows that the on-chain address "5PAhQi" seems to have received 5.06 million PYTH tokens (approximately $1.77 million) through multiple addresses, becoming the address that received the most airdrops.

Blockchain project Vega Protocol, which focuses on trading, has launched a perpetual futures market today. The new product will be permissionless, meaning community members will propose and vote on which assets to create perpetual futures for. Vega Protocol is set to release its mainnet in March 2023. <br>

On November 20th, DeFi protocol Panoptic based on Uniswap raised $7 million in seed funding to help develop its perpetual options decentralized trading platform. The funding round was led by European cryptocurrency investment company Greenfield Capital, with participation from HashKey, gumi Cryptos Capital (gCC), L1D, Heartcore Capital, Comma3, and Zee Prime Capital.<br>This funding will help Panoptic further develop the platform during the current beta testing phase before its release on the Ethereum mainnet and the release of its V2 product. (The Block)