General doom and gloom this week around expected further regulation, as well as USDT nervousness. There was hope somewhere in the world however as I spent two days at NEO DevCon listening to the grand vision to make NEO the #1 blockchain by 2020.. then Thursday morning happened. The market is still bloody red; hang in there everyone.
Coincheck, one of the largest cryptocurrency exchanges in Japan, was hacked for $400 million USD last week in what is considered the largest crypto theft ever. Hackers stole 500+ million coins of NEM ($XEM), a Japan-based smart asset blockchain and perennial top 10 by market cap; the official NEM foundation has tagged the stolen coins to monitor their movement and alert exchanges if they are attempted to be sold. The short term impact was a 10% drop and quick rebound thanks to the swift tagging, but continuing to track the coins will get more difficult as the hackers begin spreading the coins out to others. Coincheck has promised to recoup all affected customers in JPY and halted new registrations for now.
Litecoin + Monero
Charlie Lee, founder of Litecoin ($LTC), tweeted out a partnership proposal to Monero ($XMR) founder Riccardo Spagni. The proposal was to make “on-chain atomic swaps” easy to do between LTC and XMR, creating an easy and liquid p2p market for the two coins. The purported primary benefit for LTC holders is access to XMR’s anonymity, and for XMR holders easy access to LTC's liquidity (Charlie has lately been back on a media spree advocating for payments via Litecoin). Charlie and Riccardo are animal pals so this is actually not an unlikely scenario.
Bitfinex and Tether Subpoena’ed
Word came out about a United States CFTC subpoena sent to Bitfinex and Tether, the infamous company behind $USDT. Except that the subpoena was sent almost two months ago on Dec. 6, so the short term cause for alarm was just another day in our jumpy world of crypto.
Facebook Bans Crypto Ads
Renowned crypto hustler James Altucher (could give McAfee a run for his money), as well as ICOs of varyingly quality, have both seemingly made fortunes plastering ads all over Facebook. On Tuesday Facebook said no more. Ads like “binary options, initial coin offerings and cryptocurrency” are “frequently associated with misleading or deceptive promotional practices”. The move is a small sacrifice to Facebook’s revenue but a noble one as we continue to mull over how best to prevent the next Bitconnect. My only concern is how will I find binary option courses now??
See you guys next week —
Crypto Weekly Roundup is for informational purposes only and does not constitute any investment recommendations.