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Business

Dogecoin Spikes As Elon Musk Maintains Faith In The Cryptocurrency.

On Sunday, Dogecoin rose over 10% from its near-record lows after Musk stated that he would continue to buy the cryptocurrency. Musk used his Twitter account to say, 


“I will keep supporting Dogecoin.” 

A reply to the tweet called on Musk to keep buying Dogecoin to which he replied, “I am”. 

Musk’s tweets caused the coin to rise over 10% in an hour to $0.056. In the 24 hours following the tweets, Dogecoin gained around 8.5% helping to compensate for the cryptocurrency’s steep falls during the previous month.

The tweet that started the rise.

The Dogecoin spike has coincided with a recovery in other cryptocurrencies that have also been struggling after substantial losses.

By the time of this writing, Coindesk had Bitcoin selling at around $20,400 after slipping below $20,000 on Saturday. The currency has been on a 12-day losing streak that had it dropping as low as $17,600 at one point.

The gains are however only a drop in the bucket compared to the losses cryptos have suffered this year. Dogecoin is still down by 67% while Bitcoin and Ethereum are down approximately 70% and 75% respectively.  

Dogecoin was initially started as a joke but has gained a lot of traction and fans around the world since Musk became a supporter of the coin in 2019. The coin has received a lot of criticism and is not considered a good investment by some financial experts because it has no use cases. 

Last year, however, the creators of Dogecoin told Decrypt that they were working with Musk to create the coin a more affordable and environmentally friendly alternative to bitcoin.

Dogecoin’s value has never recovered since Musk jokingly referred to the coin as a “hustle” on Saturday Night Live in May 2021. The coin plunged from record highs of $0.72 to $0.33 in a week. 

The SNL comedy sketch that caused Dogecoin’s downturn.

Following news of Musk’s plan to buy Twitter for $44 billion, the currency rose because the coin’s value appears to be heavily influenced by Musk’s words and actions.

Last week, Musk was sued by a Dogecoin investor for roughly $260 billion for allegedly running a “pyramid scam” by misrepresenting the coin to have any value in order to pump up its price.

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Business

Bitcoin Bounces Back Above $20,000 And Ethereum Exceeds $1,000

After a weekend of relentless losses, crypto’s top two coins made marginal recoveries, rising above $20,000 and $1,000, respectively.

According to data from CoinMarketCap, Bitcoin (BTC) has increased by just over 15% over the past day, climbing from a stunning low of $17,772 yesterday to $20,482 at the time of writing. Ethereum (ETH), which yesterday fell to $898, has increased by more than 25% in the past day to $1,130 as of the time of writing.

The price movements signal at least a short-term break from the sharp downward trends of the previous week. The first time in a year that Bitcoin dipped below $26,000 was last Sunday, a negative development that sparked a significant selloff. BTC dropped below $20,000, $19,000, and $18,000 all in one day yesterday. ETH and BTC both had pretty continuous declines, and by yesterday afternoon, ETH had dropped to $898, a startling reduction of more than 46% in just one week.

BTC and ETH created market conditions that, according to experts, might lead to a wave of forced liquidations by falling below $20,000 and $1,000.

In such a scenario, large-scale investors in both cryptocurrencies would be forced to close positions on BTC and ETH derivative products, with prices too low to generate sufficient collateral. Such events likely would push the prices of BTC and ETH down even further, triggering more liquidations, in what’s known as a “cascade effect.”

But by recovering, even marginally, to levels above $20,000 and $1,000 today, BTC and ETH have temporarily halted a snowballing selloff that some analysts have said could send BTC as low as $13,800 in the current bear market.

Uncertainty still surrounds the extent and length of the crypto bear market. Early last month, when the stock market and several major coins plummeted together, the most recent crypto crash started. Each fresh fallout from the crash has made it harder for the cryptocurrency industry to recover causing more damage to the crypto industry. 

The latest repercussions came last week when crypto lenders Celsius and Babel froze withdrawals for all customers, citing potential liquidity issues. Major crypto investment firm Three Arrows Capital may also be at risk of insolvency.

Categories
Technology

Tether suffers an attack

Tether Chief Technical Officer (CTO), Paolo Ardoino, confirmed this previous weekend on Twitter that the Tether website, tether.io, suffered a Distributed Denial Of Service  (DDOS) attack. This is a malicious attempt to disrupt the normal traffic of a targeted server, service, or network by overwhelming the target or its surrounding infrastructure with a flood of Internet traffic.

The number of requests for the website increased to 8,000,000 every five minutes early on Saturday morning which is a distant shift from the 2000 requests every five minutes on a typical day.

According to Paolo Ardoino, the firm received a ransom request from the hackers who attacked its system. He explained that the demand is not unprecedented because they have received it once in the past. 

At the moment, the effect of the attack has been watered down and Paolo has revealed that the Tether team has been able to mitigate further risk.

Before the attack, Tether had been involved in a battle to maintain its position as the number one stablecoin in the crypto industry. Amid a market crash that has reduced the crypto market cap to less than $900 million US dollars, stablecoins have also faced increased scrutiny recently. 

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Business

22% of adults in South Africa invest in crypto.

A study by leading cryptocurrency exchange, Kucoin has revealed that 22% of adults in South Africa have invested in cryptocurrency. 

This comes out to around 7.6 million people between the ages of 18 and 60. According to the report, 65% of crypto investors in the country believe that “crypto is the future of finance.”

South Africa, according to the research, is the most financially advanced African country, making its economic environment conducive to the development of innovative technology.

According to the report, a big majority of consumers appear to favor lower-risk products, such as digital assets as a way to save and receive consistent returns.

The analysis also revealed that South Africans heavily rely on social media for crypto-related information with 72% of respondents polled relying on social media for knowledge about the decentralized market.

Matlala Rathabeng, a South African Twitter influencer, stated that “Social media is the most powerful channel for introducing people to new things and allowing them to build networks.” It is now increasing people’s hope and trust in cryptocurrency.”

“The findings of the report also shed light on the overall attitude of South Africans regarding cryptocurrencies, highlighting their trust in crypto in matters related to money,” according to the report titled “Into The Cryptoverse.”

The report also included a detail saying, “Many of the surveyed prefer crypto to banks, largely because of higher yields on the cryptocurrency market, which outstrip bank interest rates.

“The demographics of South African crypto investors are skewed towards male and younger generations. Men account for 60% of crypto investors, with 42% of crypto investors being aged 18 to 30. The unequal distribution of wealth in the country is well illustrated by the findings of the report, as 22% of crypto investors earn less than $5,000 a year, while 16% earn more than $50,000 during the same period.

“Experience in the cryptocurrency market is another key indicator to look at. “Of the surveyed crypto investors, 22% have less than three months of experience in crypto investment, while 24% have been trading crypto for more than two years.”

According to the report, despite local regulations and laws, South African crypto investors are maintaining a positive attitude because crypto is proving to be capable of improving people’s financial standing.

It also stated that this adoption is beneficial to the local crypto market because it eliminates fraudulent individuals and players. According to the report, the low percentage of employment in Africa is encouraging people to look for alternative ways to make money, and cryptocurrency investments are one of them.

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Business

Babel Finance freezes crypto transactions.

Leading cryptocurrency service provider, Babel Finance has put a temporary suspension on withdrawals and the redemption  of crypto assets. The Hong Kong-based crypto lender has been scrambling to pay clients during the current digital market slump. 

As cryptocurrencies have continued to dip, more investors have been trying to pull money out of cryptos and liquidate their positions. 

Cryptocurrency valuations have plunged in recent weeks as investors dump risky assets in a rising rate environment, with bitcoin, which reached a record high of $69,000 in November, having lost more than half its value this year.

“Recently, the crypto market has seen major fluctuations, and some institutions in the industry have experienced conductive risk events. Due to the current situation, Babel Finance is facing unusual liquidity pressures,” Babel has said in a company statement. 

As crypto lenders, the Babel business model involves accepting retail crypto deposits and reinvest them, boasting double-digit returns and attracting tens of billions of dollars in assets. However, due to the recent financial crisis, lenders are unable to redeem their clients’ assets.

Babel, which only accepts Bitcoin, Ethereum and stablecoins from 500 clients, raised $80 million in a funding round last month, bringing the company value to around $2 billion. The company had $3 billion in loan balances on its balance sheet at the end of last year.

This week has already seen U.S.-based retail crypto lending platform, Celsius Network freezing withdrawals and transfers between accounts “to stabilize liquidity” after the collapse of cryptocurrency TerraUSD in May triggered a surge in redemptions.

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Business

Adaverse Supports the Launch of AfriBlocks’ Pan-African Freelance Marketplace

AfriBlocks, a pan-African freelancers marketplace that links verified African experts to the international market, has received a strategic investment from Adaverse, a Cardano ecosystem accelerator created to promote the growth of Web3 crypto-native enterprises in Africa. The contribution is a part of AfriBlocks’ pre-seed funding round, which brings together prominent investors from several sectors of the market.

Adaverse was launched in September 2021 as a joint venture by EMURGO Africa and Everest Ventures, to identify and provide valuable support resources to promising African founders developing Web 3 solutions on Cardano’s third-generation and environmentally-sustainable blockchain.

They are now investing in AfriBlocks which is building a robust infrastructure that leverages blockchain technology to provide Africans and African diasporans with direct employment pathways across the globe. 

Tongayi Choto, Co-founder and CEO of AfriBlocks emphasized, “AfriBlocks is reimagining the way people work by leveraging Blockchain and emerging technologies to build the infrastructure for the future of work in Africa and the support we will be receiving from Adaverse will help us achieve these milestones faster.”

Africa has the youngest population in the world, with more than 60 percent of the population under the age of 25, and the educated youth of the continent experience high unemployment. With technological advancements and a changing digital environment, AfriBlocks is highlighting the enthusiastic and entrepreneurial young Africans for better economic prospects.

“AfriBlocks is building one of Africa’s most significant pillars for the future of work, which aligns with EMURGO Africa’s mission to support foundational structures for the emerging digital economy across Africa. Rapid economic development in Africa will be accelerated when diasporan barriers are broken down, and this is achievable on Cardano’s blockchain,” said Shogo Ishida, Co-CEO for the Middle East & Africa at EMURGO Africa highlighted.

“The African professional freelance market has been largely ignored and undervalued on established traditional freelance websites. By integrating a certified database of the top African talents with seamless blockchain payment processing, AfriBlocks provides exactly what Africa needs. Adaverse is thrilled to assist this critical development stage of AfriBlocks,” said Vincent Li, Founding Partner at Adaverse added.

Categories
Social Good

Boomtown leverages NFTs to fund human trafficking education and prevention

In order to collect money for A21, a global organization aiming to put an end to human trafficking and slavery, Boomtown, a South African advertising and marketing communication agency, has taken advantage of the current NFTs “feeding frenzy.”

Under the guidance of the agency’s Creative Head Meagan Viljoen, a great team was put together and they created a campaign that has gone live on Ethereum’s Rarible as a collection called The Unownable Series.

Viljoen explains: “Much of what is available for purchase as an NFT on Rarible is grouped into collections – Bored Ape Yacht Club, Ragnarok, and The Creature World for example. And much of what is expressed in these collections are individual characters and people. So, in buying the NFT, it could be said that you are purchasing a person online. Of course, it is really only an image of a person, but Boomtown saw this as an opportunity to send a hard-hitting message. We believed the world’s current fascination with the blockchain, the technology that enables the NFTs phenomenon, could help us break human trafficking.”

“By showing the characters in the collection as blindfolded and giving them a name, they represent the harrowing truth of human trafficking, that many women, men, and children are unknowingly groomed online or in-person through false relationships or work opportunities, and sold for less than the price of an NFT,” Viljoen added 

A limited NFT edition of distinctive characters is part of Boomtown’s campaign on Rarible. The collection’s brief description outlines how many people are trafficked each year, how it happens, and what A21 is doing to try to do to end human trafficking. 

According to A21’s South Africa Prevention & Awareness Coordinator, Cornel Viljoen, human trafficking is the exploitation of vulnerable people for their bodies and labour. Through force, fraud, and coercion, people everywhere are being bought and sold against their will right now in the 21st century.

He adds, “But slavery is more stoppable than ever before. And that’s why we’re here, rallying around the world and doing the work together. While it has its origins in South Africa, this campaign will be run globally by sharing social media posts.”

At the moment, the image is not for sale but is seeking donations.

The campaign includes a social media element to drive people to the Rarible site to view the images and donate. This incorporates a series of digital audio stories written to capture the harrowing moments that led to people being taken and trafficked to create the biggest impact possible.

“We hope that, by its presence on Rarible and through the social media campaign supporting it, we’ll not only be able to raise funds for A21 but also warn those who visit the collection – out of curiosity or to donate – how traffickers operate and therefore be on their guard,” Viljoen explained.

To support The Unownable Series, donors will need to purchase Ethereum on Luno, upload it to their Metmask accounts, and ‘make their bids’ on Rarible.

The Unownable Series will be up for ‘bid’ for an extended period following which artists worldwide will be approached to make their contribution by creating their own Unownable characters. The transaction of these pieces of art will not be a purchase but a donation to A21 to help end the collection of human lives.

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Business

ILAPI Establishes Centre For Coin Liberty in Ghana

The policy research firm known as the Institute for Liberty and Policy Innovation (ILAPI) has announced the launch of the Centre for Coin Liberty in Ghana.

The Centre will serve as a blockchain advocacy and research hub and it has been made clear that it is not a cryptocurrency investment scheme. As such, it will not provide cryptocurrency investment advice and does not explicitly encourage youth to invest in cryptocurrency.

The Director of the Centre, Nathaniel Dwamena, stated at the launch that the centre’s purpose is to use evidence-based methods and research to create constant and continuous public engagement in order to shape legislation for blockchain adoption.

Researchers, lawyers, development historians, conflict and security consultants, and think tank developers have been recruited to make up the team at the entre.

The Centre is also designed to build readiness for the use of blockchain and decentralized solutions and to have an impact by influencing public policy to integrate blockchain solutions for development in Ghana and Africa as a whole.

The Global Strategy Director at mPedigree and Vice President IMANI Africa, Selorm Brantie who was the chair of the launch event asked the media to support blockchain technology.

He believes that blockchain technology saves money by introducing new efficiencies that improve trust, security, transparency, and traceability of data shared across networks.

Brantie shared how data shows that one out of every six people will have a blockchain account within the next ten years and thus suggested that adopting blockchain technology should start with education and awareness, which the media could help with.

Dwamena stated that the Centre’s pillars will be blockchain policy research, blockchain education and advocacy, participatory blockchain technology innovations, digital assets, and adoption strategy.

He was enthusiastic that Ghana could use blockchain technology in a variety of industries, including election management, as Japan did in Tuskuba and the United States did during the 2020 presidential election (Utah County).

Dwamena pointed out that Thailand’s National Electronics and Computer Technology Centre had finished developing a blockchain-based voting system. He believes blockchain technology can help fight corruption, reduce poverty and ensure financial inclusion.

According to Dwamena, the Centre is looking forward to working with a variety of stakeholders, including regulatory agencies, the media, and others, to integrate blockchain solutions, public policy and conversation, as well as partnership and collaboration.

Peter Bismark Kwofie, Executive Director of ILAPI, stated that they would use public opinion to ensure that the public understands the importance and potential of blockchain.

He also revealed that the team is currently developing a decentralized app to eliminate real estate agent fraud and extortion.

Categories
Social Good

Afrobubble Puts African History On Blockchain With NFT collection.

The history of Africa is characterized by robust and captivating stories that often have contradicting accounts because of poor documentation. Let’s take a look at how Afrobubble is looking to immortalise the characters in these stories with the power of blockchain. 

Afrobubble was founded in October 2021 to bring African history into the 21st Century through a comprehensive NFT collection. 

The collection was inspired by the legend of the Nigerian Warrior Queen Amina who was one of Africa’s most revered female warriors & conquerors but until recently her story could only be found in history books. 

“We asked ourselves, ‘Who can we immortalise?’, and it was a no-brainer for Queen Amina.”  

-Afrobubble co-founder, Venn Oputa said in an interview with Techpoint Africa.

He added, “If you check her history, she is like Alexander the Great; she was this mighty queen who was conquering lands. She was even like the fundamental idea of feminism, a strong [and] empowered queen.”

In a collection with over 3000 NFTs, the story of Queen Amina and other Africa-themed characters was thus brought to life with animations similar to the popular American cartoon series known as “Samurai Jack’. 

The NFTs are available on the Solana blockchain and are priced differently depending on the rarity of the characters used. 

The Afrobubble team intends for these NFTs to spark an interest in African historical characters for the generation(s) that are involved in Web3 to be able to learn more about African cultural heroes. 

“We want people to know this character when they’re going through history, even on the blockchain. We want them to be like, ‘Oh, who was Queen Amina?’ We have a rendition of Queen Amina. But they will be like, ‘Oh, let’s go and search for her’, and that will lead to so much more,” Oputa says. 

Oputa also explained that the collection is a marketing strategy to get more brands and individuals into the NFT space, creating an infrastructure that shows the benefits of creating value with NFTs. 

The collection is the first step for Afrobubble to realize its objective of creating an African NFT marketplace with the infrastructure to help other artists, brands, and businesses create NFT collections easily.

For Oputa, community building is the most exciting part of creating this collection and a significant part of the profits will go towards bringing more players into the space.

The collection is working with popular Nigerian artiste, Bad Boy Timz, helping him onboard his community in the NFT space.

Categories
Business

Students From Kenyatta University Caught In A Bitcoin Scam

Francis Maina Wambui, alias ‘Nick’ (26), and Zellic Alusa (25) were arrested in the company of two ladies for being caught in a bitcoin scam. They were in the lavish Milimani area in Nakuru where they run their operations.

The two students were hacking people’s credit cards and using them to buy Bitcoin, then they covert their funds to Kenyan currency.

According to reports, the suspects have been setting up false email addresses that they use to access the credit cards of unsuspecting victims. They purchase Bitcoin, which they later exchange for Kenyan money, and then they target people who reside abroad.

“In the sophisticated crime that is gaining currency in the country, the students create fake email accounts which they use to hack credit cards of innocent persons, especially those living in foreign countries.”  The Directorate of Criminal Investigations (DCI) emphasized.

The Directorate of Criminal Investigations also alleges that after converting the money, the two would use it to live lavishly, entertain young women and buy property.

“The gang operating from houses in the affluent Milimani neighborhood has been on our radar over the past few days and it was only a matter of time before our detectives smoked them out,” DCI said in a statement.

Some of the items recovered during the arrest include a land sale agreement entered on May 25 for a property valued at KES 850,000 in Juja, 5 laptops, 4 mobile phones, 2 WiFi gadgets, 3 hard drives, and assorted SIM cards which are all believed to be connected to their crime. 

“Cyber forensic experts have since taken over investigations into the matter for a comprehensive analysis into the sophisticated crime,” DCI added.

Meanwhile, the two will remain in police custody pending arraignment.

The arrests come just months after the Central Bank of Kenya warned financial institutions against supporting cryptocurrency transactions.

Kenya still remains one of the leading countries in crypto adoption in Africa according to Chainalaysis.