Before FTX collapsed in November last year, Sam Bankman-Fried donated millions of dollars to politicians for their campaigns. The exchange now wants all the funds back by February 28, 2023.
Notably, FTX debtors have sent confidential letters to political figures, political action funds, and other recipients of contributions.
The most recent announcement comes after the one made by FTX debtors on December 19, 2022. They disclosed the launch plans for such beneficiaries to voluntarily refund funds at that time.
Now, if the payments are not returned voluntarily, FTX debtors reserve the right to commence actions before the bankruptcy court to mandate the return of such payments, according to the statement released on Sunday. Additionally, the recipients will also have to bear interest costs from the date any action is taken.
According to recent reports, FTX advisers have been attempting to recoup money that Bankman-Fried improperly distributed. The company is looking for hidden assets that can be utilized to pay creditors. Lawyers recently requested authorization from the court to examine Bankman-family Fried’s and other former top executives, which is another step in that direction.
Leaving aside donations received by politicians, the bankrupt exchange has also reportedly been clawing back funds it donated to Florida students as scholarships.
A bankruptcy lawyer opined that going after the kids for the funds was a moral issue. Thus, it’d be at the discretion of FTX lawyers to decide whether or not it’s worth it to do so. Nevertheless, the lawyer cautioned that the prize money donated to mentor organizations could certainly be up for grabs if the company struggles to come up with the funds elsewhere.
FTX’s CEO John Ray III has time and again stated that the exchange can be revived. Despite its bankruptcy, he hasn’t lost hope in its return and has left no stone unturned in pumping back life into FTX.
The decentralized internet, Web3, is built on a foundation of cryptocurrencies and decentralized applications (dapps). But in order to use them, you need a user interface. Ideally, an elegant, intuitive, easy-to-use interface.
The MetaMask is one of the leading crypto wallets and relies on browser integration and good design to serve as one of the main gateways to the world of Web3, decentralized finance (DeFi), and NFTs.
It is a browser plugin that serves as an Ethereum wallet and is installed like any other browser plugin. Once installed, it allows users to store Ether and other ERC-20 tokens, enabling them to transact with any Ethereum address.
By connecting to MetaMask to Ethereum-based dapps, users can spend their coins in games, stake tokens in gambling applications, and trade them on decentralized exchanges (DEXs). It also provides users with an entry point into the emerging world of decentralized finance, or DeFi, providing a way to access DeFi apps such as Compound and PoolTogether.
Though it might seem complicated to beginners, MetaMask is one of the simpler Ethereum wallets and dapp browsers to use, and can be set up in a couple of minutes in most cases.
To use MetaMask, you will need either Chrome, a Chromium-based browser such as Brave, or Firefox.
First, you’ll need to download and install the official Metamask extension (also known as a plugin or add-on) for your chosen browser. For most people, this is the Google Chrome extension or the Firefox addon. For our guide, we’ll be using the Firefox version, but the steps are nearly identical for other browsers.
Once installed, you should see the below splash screen. Click the ‘Get Started’ button to begin creating your Ethereum wallet using MetaMask.
On the next step, click the ‘Create a Wallet’ button.
You’ll then be asked if you want to help improve MetaMask. Click ‘No Thanks’ if this doesn’t interest you, otherwise click ‘I agree’.
Pick a password on the next step. This needs to be at least 8 characters long. We recommend using a completely unique password that hasn’t been used anywhere else, and one that contains a mixture of upper and lower case letters, symbols, and numbers.
Read and accept the Terms of Use, and click ‘Create’ once your password has been set.
MetaMask will then present you with your 12-word backup phrase. You’ll need to write this phrase down carefully, with the words recorded in the same order displayed on your screen. This phrase will be needed to recover your wallet should you ever lose access to your computer, and should be kept stored somewhere safe. Anybody who has access to your 12-word backup phrase will have access to the funds in your MetaMask wallet, so keep it private.
Click ‘Next’ once you’ve written this down.
Confirm your backup phrase on the next screen by entering the words in the same order saved previously. Click ‘Confirm’ once done.
You have now almost completed the MetaMask setup process. Just click ‘All Done’ on the final page, and you will be automatically logged in to MetaMask.
If you ever get logged out, you’ll be able to log back in again by clicking the MetaMask icon, which will have been added to your web browser (usually found next to the URL bar).
You can now access your list of assets in the ‘Assets’ tab and view your transaction history in the ‘Activity’ tab.
Sending crypto is as simple as clicking the ‘Send’ button, entering the recipient address and amount to send, and selecting a transaction fee. You can also manually adjust the transaction fee using the ‘Advanced Options’ button, using information from ETH Gas Station or similar platforms to choose a more acceptable gas price.
After clicking ‘Next’, you will then be able to either confirm or reject the transaction on the subsequent page.
To use MetaMask to interact with a dapp or smart contract, you’ll usually need to find a ‘Connect to Wallet’ button or similar element on the platform you are trying to use. After clicking this, you should then see a prompt asking whether you want to let the dapp connect to your wallet.
The below example shows how you connect MetaMask to the decentralized exchange Uniswap, but a similar process should be observed for other dapps. Simply connecting with a dapp means it can view your addresses it cannot access your funds.
Once connected, you’ll then be able to interact with the dapp and use its features.
Dapps automatically connect to MetaMask, simplifying the connection process. Within the dapp, if payment is required, a pop-up window will appear asking to confirm the transaction from the MetaMask account.
Advantages of the MetaMask
It is commonly used, so users only need one plugin to access a wide range of dapps.
Instead of managing private keys, users just need to remember a list of words, and transactions are signed on their behalf.
Users don’t have to download the Ethereum blockchain, as MetaMask sends requests to nodes outside of the user’s computer.
Dapps are designed to work with MetaMask, so it becomes much easier to send Ether in and out.
The downside of using the MetaMask is that it holds private keys within the user’s browser. This is less secure than a hardware or paper wallet but is a reasonable compromise for the ease-of-use.
Since its debut, MetaMask has offered a convenient entry point for the developing dapp ecosystem. User numbers have increased with the introduction of new dapp products and services, reaching 30 million users in March 2022.
MetaMask released MetaMask Mobile for Android and iPhone in September 2020 as its first mobile application.
The smartphone app has many of the same features as the browser-based version and lets users register new identities or log in with their pre-existing MetaMask credentials. Users are given a token wallet, key vault, and login to handle digital assets and gain access to dapps like the Uniswap DEX and NFT marketplace OpenSea.
Blockchain and cryptocurrency enthusiasts in Nigeria claim that recent claims that locals in their region are paying a premium of almost 100% on top of the current price of bitcoin are “totally false.” They contend that such reports should be disregarded because they are founded on a claim that is being spread by individuals who are unaware of the country’s dynamics.
Some cryptocurrency and blockchain enthusiasts and users from Nigeria claim that recent reports claiming that the value of BTC on local crypto exchanges is nearly twice as high as the current U.S. dollar value are completely false. The reports, according to the users, are based on tweets made by social media users who are unaware of the specific ways in which Nigerian citizens use local crypto exchange platforms.
The claim, which was reportedly started by a single tweet, has continued to spark interest among bitcoiners, prompting pushback from the Nigerian enthusiasts and influencers. The user shared a screenshot in their initial tweet thread that claimed Nigerians were paying $47,924 for one bitcoin on the peer-to-peer exchange Paxful.
— 🧡NEEDcreations is stacking sats & jamming to EDM (@NEEDcreations) January 30, 2023
As a result of recent cash withdrawal restrictions put in place by the nation’s central bank, the user further claimed that many Nigerians have exchanged their naira for bitcoin. This, according to the user, increased the value of the cryptocurrency asset in terms of dollars.
Benjamin Eseoghene, the CEO of local cryptocurrency exchange Roqqu, responded to the tweet and the ensuing media reports by saying that while there are price differences, it is untrue that bitcoin is trading above $47,000 in Nigeria.
“This is totally false, we’re trading at normal price, tho there’s some speculation around the crash of dollar rate after the general elections, maybe by then there can be some premium, but likely nowhere near 100%,” Eseoghene insisted.
The CEO of Roqqu added that some of the social media users who are spreading this claim are only doing so to support a particular point of view.
While this was going on, some Twitter users from Nigeria insisted that the widely shared screenshot was false and that nobody was buying cryptocurrency for more than $47,000. Others lamented the ease with which “half-truths and one-sided stories” can be spread via a single tweet, including author and crypto advocate Nathaniel Luz.
According to reports, billionaire investor and venture capitalist Tim Draper has pushed for the adoption of bitcoin by the Sri Lankan government. Asserting that “Adoption of 100% Bitcoin won’t be a Sri Lanka reality ever,” the Governor of the Central Bank of Sri Lanka rejected his recommendation.
The day after meeting with Sri Lankan President Ranil Wickremesinghe to urge the nation to adopt bitcoin on Tuesday, the billionaire made the same appeal to the island nation’s central bank.
“I come to the central bank with decentralized currency,” Draper was quoted as saying while sporting a bitcoin tie. However, Sri Lankan Central Bank Governor Nandalal Weerasinghe replied: “We don’t accept … Adoption of 100% bitcoin won’t be a Sri Lanka reality ever.”
The lack of food and fuel in Sri Lanka last year sparked riots. The country’s president at the time left the indebted nation and resigned later. According to the governor, Sri Lanka’s main inflation rate was 54.2% in January and the country’s economy shrank by 8% in 2016.
Draper told the central bank chief that he is a little worried about Sri Lanka, elaborating: “Have you seen Sri Lanka in the news? It’s known as the corruption capital. A country known for corruption will be able to keep perfect records with the adoption of bitcoin.”
Throughout their 30-minute meeting, the billionaire VC persisted in trying to persuade Weerasinghe. He even mentioned El Salvador, which in September 2021 became the first nation to accept bitcoin in addition to the US dollar as legal tender.
“Does the administration have the guts to do it?” Draper asked the Sri Lankan central bank governor as he pushed for bitcoin adoption. “What’s the advantage of having your own currency?” However, Weerasinghe replied: “We don’t want to make the crisis worse by introducing bitcoin.”
Draper has pitched bitcoin adoption to several other countries and received better responses than he did from the Sri Lankan government and central bank. The tiny island country of Palau in the Pacific, for example, made him the founding resident of its digital-residency program.
Due to bitcoin’s ability to act as an inflation hedge, the billionaire has long been optimistic about it. By mid-2023, he expected BTC to reach $250K, according to his November 2018 prediction.
The risks associated with investing in cryptocurrencies have been highlighted by the Central Bank of Sri Lanka on numerous occasions. Virtual currencies “are considered as unregulated financial instruments and have no regulatory oversight or safeguards relating to their usage in Sri Lanka,” the central bank stated in a notice it published in July of last year. According to the authority, “no entity or company has been granted any license or authorization to operate schemes involving virtual currencies, including cryptocurrencies.”
Following a three-month pilot testing phase via the Lightning Network in 39 locations nationwide, grocery retailer Pick n Pay is now accepting Bitcoin payments in all of its 1,628 stores.
Customers will be able to use smartphone apps or QR codes to pay for goods in stores using cryptocurrency as part of a nationwide rollout, accepting the exchange rate for the South African rand at the time of purchase.
Customers will require a Bitcoin Lightning Wallet in addition to the CryptoQR scanner app from CryptoConvert, which is connected to the Bitcoin Lightning Wallet, in order to make payments with BTC. Users must first scan an item’s QR code using the CryptoQR app before moving on to the Lightning Wallet to confirm the exchange rate and finish the transaction.
The action was taken after the Financial Sector Conduct Authority (FSCA), the nation’s financial watchdog, amended the financial advisory legislation in October to classify cryptocurrency assets as financial products, bringing cryptocurrencies under regulation for the first time in South Africa and enabling financial service providers to offer cryptocurrency both domestically and internationally.
After years of testing the service in a few stores, the retail chain announced plans to introduce cryptocurrency payments across the country in November. A first attempt at using cryptocurrencies was made in 2017 when the business started taking Bitcoin as payment in Cape Town, but the process was hampered by transaction fees and wait times.
Pick n Pay collaborated with Electrum and CryptoConvert as part of its pilot program to allow customers to pay using the Bitcoin Lightning Network, a second layer added to the Bitcoin blockchain that permits off-chain transactions.
South Africa appears to be making the most strides toward cryptocurrency adoption among the African countries. According to Chainalysis’ 2022 Global Crypto Adoption Index, South Africa is ranked 30th globally in terms of cryptocurrency adoption. The percentage of South Africans who own cryptocurrency has been estimated to be between 10% and 13%.
Australia started a public consultation on its own taxonomy of crypto assets in the wake of the global regulatory race. The four main product categories related to the cryptocurrency industry are proposed to be separated by the national regulators.
The Australian Treasury announced the release of a consultation paper on “token mapping” on February 3 and described it as the first phase of the government’s multi-stage reform program to control the market. It aims to guide policy development in “a fact-based, consumer-conscious, and innovation-friendly” manner.
The paper suggests a number of fundamental definitions for everything cryptographic, all based on the “functional” and technology-neutral approach.
It introduces the fundamental ideas behind crypto networks, crypto tokens, and smart contracts at the first level. A distributed computer system that can host crypto tokens is what the Treasury envisions as a crypto network. Information storage and user command processing are its two main tasks. The two most well-known public crypto networks mentioned in the paper are Bitcoin and Ethereum.
A crypto token is defined as a unit of digital information that can be “exclusively used or controlled” by a person who doesn’t administer the host hardware where the token is recorded. According to the paper, the concept of “exclusive use and control” is a key distinguishing factor between crypto tokens and other digital records.
A smart contract goes as the computer code published to a crypto network’s database. It involves intermediaries or agents performing functions under promises or other arrangements or procedures being completed by crypto networks without promises, intermediaries and agents.
Crypto asset services, which include lending and borrowing, fiat on/off ramping, crypto token trading, funds management, mining/staking-as-a-service, gambling and custody.
Intermediated crypto assets, which are the closest to a wide-spread definition of tokens; rights or licenses in relation to event access or subscriptions, intellectual property, reward programs, consumer goods and services, fiat money, nonfinancial assets and government bond coupons. This class includes stablecoins.
Network tokens — a “new type of currency” constituting peer-to-peer payment infrastructure. Think of your original Bitcoin
Smart contracts exist on a spectrum from “intermediated” to “public.“ Intermediaries use the former in providing a service; the latter is used by parties to remove the need for an intermediary.
Although the paper doesn’t offer any legislative proposals and only proposes to begin the discussion on this taxonomy, its authors believe it will be relatively simple to adapt existing laws to cover the majority of the crypto ecosystem. The ecosystem’s pockets where public, self-service software is used to ensure certain functions may necessitate the development of new legal regulations.
The publication of a similar paper on a potential licensing and custody framework for cryptocurrencies in the middle of 2023 will mark the next significant step in a national regulatory discussion.
The consultation paper for the cryptocurrency regulation was also released on February 1 by His Majesty’s Treasury of the United Kingdom. Given that the current Financial Services and Markets Act can cover digital assets, the financial authority emphasized in it that separate legislation is not necessary.
One day after delivering this year’s Economic Survey, which emphasized the need for a common strategy to regulate the crypto ecosystem, Indian Finance Minister Nirmala Sitharaman delivered the Union Budget 2023 in parliament on Wednesday.
Much to the disappointment of the Indian crypto community, Sitharaman made no changes to crypto rules during her Budget speech. Following her speech, many Indian crypto proponents took to Twitter to voice their opinions. Neeraj Khandelwal, the co-founder of crypto exchange Coindcx, mentioned;
“No changes to crypto taxation in India in the Budget Session. It stands at 1% TDS and 30% on profits. This puts India at a web3 disadvantage for another year.”
Sathvik Vishwanath, CEO of Indian crypto exchange Unocoin, stated, “There was no mention of crypto or blockchain in Budget this time. It has been a year since the announcement of 1% TDS was done and we all thought it would affect the industry. It did! Now we need reviving amendments.”
Rajagopal Menon, Vice President of crypto exchange Wazirx, also opined;
“The Indian Union Budget 2023 made no changes to existing crypto taxes, leaving Indian crypto companies on the Stairway to Heaven. There is lingering uncertainty because of high taxes and a lack of a solid regulatory framework which are stifling progress in the industry.”
Crypto tax firm Koinx also explained on Twitter that the penalty for failure to deduct or pay crypto TDS includes an amount equal to the unpaid TDS that will be imposed by a joint commissioner, noting that for late payments, a 15% interest per annum will be imposed. According to India Today, failure to pay TDS on crypto transactions can land one in jail for up to seven years.
Ashish Singhal, the co-founder, and CEO of crypto trading platform Coinswitch detailed on Twitter;
“The TDS of 1% for crypto transactions remains as it is. But there is a clarification. The onus of deducting TDS has been on crypto exchanges or on the user (if using P2P or other means), but until now, there was no penalty for non-deduction.
When Sitharaman announced the taxation of crypto income at 30% and a TDS of 1% on crypto transactions last year, crypto trading volumes in India plummeted. The lack of a regulatory framework for crypto and the central bank’s continued crypto ban proposal contributes to the uncertainty that drives crypto companies and investors away from India. Crypto exchange Binance, for example, does not see India as a viable business opportunity.
Automotive giant Toyota is delving deeper into blockchain use cases through its involvement with a Web3 hackathon for decentralized autonomous organization (DAO) developers.
The first Web3 hackathon was announced by the multichain smart contract and decentralized application (DApp) network, Astar on February 1. The news of note, however, was that it’s being supported by the Toyota Motor Corporation.
— Astar, Future of Smart Contracts for Multichain (@AstarNetwork) February 1, 2023
Astar Network founder Sota Watanabe commented on the significance of Toyota’s involvement in the initiative saying,
“During the event, we aim to develop the first PoC (Proof of Concept) DAO tool for Toyota’s employees. If a good tool is produced, Toyota employees will interact daily with products on Astar Network.”
The announcement emphasized that this is Toyota’s first Web3 event as the multinational car company looks to cutting-edge technologies to support its vision of increasing efficiency.
The Astar Foundation is pledging $100,000 in funding for the event, which will go toward rewards for winning projects selected by Toyota.
Event participants will develop all of their products on the Astar Network, a Japan-based layer-1 blockchain. The hackathon will be hosted in Astar’s Polkadot-based metaverse, COZMISE.
It is not the first time Toyota has dabbled in crypto and the blockchain. In 2020, the IT division of the automotive giant teamed up with Japanese crypto exchange DeCurret to develop a Toyota-branded digital token.
In 2020, Toyota opened a blockchain lab to research the potential of distributed ledger technology and its application to the auto sector.
Astar (ASTR) prices surged 10.5% on the news to trade at $0.06 at time of writing. The token has gained 53% over the past month but remains down 86% from its all-time high.
Sorare, a Paris-based fantasy NFT game startup, has closed a deal with the soccer Premier League of the U.K. to use its likenesses as part of its gaming platform. The software will allow users to create their own teams of players and groups from the aforementioned competition. With the signing of this agreement, Sorare can now boast hosting five of the most significant European divisions, including the Spanish Laliga, the top tier of soccer in Spain.
While the NFT model has faced several difficulties due to the downturn of the cryptocurrency market, Sorare allows anyone to list players as part of their fantasy teams without having to purchase their collectibles in a free-to-play game mode. Sorare CEO Nicolas Julia explained that many players have migrated to this game mode, as 87% of the players don’t spend money on the platform.
Julia also explained that the platform relies on the transactions of high-power NFT users to be profitable, as unique collectibles are still available on the platform.
The deal reportedly had to be maintained in secret because the Premier League was also negotiating with other platforms with similar agreements. According to Sky News, the deal will be replacing another partnership, with Consensys, an Ethereum software company that had been dropped last year.
Although specific figures have not been made public, the Financial Times stated that the agreement calls for the payment of tens of millions of pounds annually, with each payment being based on the app’s performance. The deal also allows the Premier League to take a stake in the fantasy startup.
With $680 million raised in September as part of its Series B fundraising round, which was headed by Softbank, Sorare saw considerable expansion in 2021. At that time, the company reached a valuation of more than $4 billion.
In September last year, the company announced a partnership with the National Basketball Association (NBA) to launch an NFT-based game featuring players and teams from the league. Also, in November, Argentine soccer superstar Lionel Messi became an investor and ambassador of the Sorare brand.
Dritan Abazovi, the prime minister of Montenegro, recently announced on Twitter that his country is working with Ripple to develop a central bank digital currency (CBDC). Abazović met with Ripple CEO Brad Garlinghouse and Vice President James Wallis at Davos.
Abazović stated in a Twitter thread;
“In cooperation with Ripple and the Central Bank, we launched a pilot project to build the first digital currency or stablecoin for Montenegro.”
Produktivan sastanak sa CEO kompanije @Ripple@bgarlinghouse i VP za saradnju sa centralnim bankama #JamesWallis. Razgovarali smo o razvoju platne infrastrukture koja bi obezbijedila veću finansijsku dostupnost i inkluziju. Crna Gora otvorena za novu vrijednost i ulaganja. ⬇️ pic.twitter.com/YdPeWHUtCm
However, because Montenegro does not already have a national currency of its own, it is unknown exactly what the future digital money would be. Despite not being a member of the Eurozone or the European Union (EU), Montenegro has adopted the euro as its official currency since the transnational currency’s introduction in 2002. Montenegro submitted its application to the EU in 2008.
The Montenegro Government has been angling for a place in the cryptocurrency industry for months. It has developed a reputation for its acceptance of crypto, and it held a panel titled “Future Now!” in April that Ethereum co-creator Vitalik Buterin attended. Buterin was reportedly granted Montenegrin citizenship at that time.
The announcement for the project with Ripple was made on January 18, however, it took several days for news of the project to reach the international community.
Ripple advisors have promoted new feats made in regard to CBDC development, with several pilots in progress. Moreover, the company is a founding entity in the Digital Dollar Project that joined the Digital Euro Association in February of last year.
