Weekly News Highlights | Russia Accepts Bitcoin Payments for Energy Exports; Defiance Founder’s Hot Wallet Stolen Due to Phishing Email

Organizer: Linqi, Hu Tao, Chain Catcher

Important Events

1. Russia: Willing to Accept Bitcoin Payments for Energy Exports

On March 25, Russian State Duma Energy Committee Chairman Pavel Zavalny stated at a press conference on Thursday that Bitcoin is a payment method that Russia may accept for purchasing oil and other resources.

"For some time, we have been suggesting to China to use national currencies such as the ruble and yuan for transactions. For Turkey, it would be the lira and ruble. The type of currency can vary; this is a common practice. If it is necessary to use Bitcoin for transactions, we will do so," Pavel Zavalny said. (Source link)

2. Indian Parliament Passes Crypto Tax Legislation, Imposing 30% Capital Gains Tax on Crypto Transactions

On March 25, the Indian Parliament officially passed a controversial tax proposal, which will impose a 30% capital gains tax on cryptocurrency transactions starting April 1. Additionally, Indians will have to pay a 1% Tax Deducted at Source (TDS) and taxes on cryptocurrency gifts, with no deductions allowed for losses.

Since the tax was first proposed in February, the Indian crypto industry has opposed the bill and supplemented meetings with lawmakers through petitions on change.org and online campaigns, but to no avail. Industry participants are now considering challenging it in the Supreme Court.

3. Defiance Founder’s Hot Wallet Hacked via Phishing Email, 60 NFTs Including Azuki and CloneX Transferred

On March 22, it was reported that this morning, OpenSea data showed that 60 NFTs, including 17 Azuki and 5 CloneX, were transferred from the wallet address of Defiance Capital founder Arthur, with a floor price value of at least $850,000 at the time.

Arthur later announced on Twitter that the theft occurred due to a spear-phishing attack (an email or electronic communication scam targeting specific individuals, organizations, or businesses). Arthur received an email with an attachment that appeared to be from a company under the Defiance Capital portfolio, and the content was related to the crypto industry. Arthur downloaded the attachment, which turned out to be a regular PDF document, so he did not suspect anything at the time.

Arthur suspects this was a targeted, social engineering attack, stating, "They might have targeted all crypto figures." (Source link)

4. Bihu Fully Stops Operations, APP Related Functions Will Be Gradually Shut Down

On March 21, Bihu announced that it would fully cease operations starting March 21, 2022. Related functions in the Bihu APP will be gradually shut down, including but not limited to content publishing, comments, advertising publishing, content settlement, and reward distribution. The mobile APP will temporarily retain KEY and some candy withdrawal functions and will gradually remove the 30-day restriction on KEY unlocking and MYKEY EOS contracts.

Additionally, the KEY/DG exchange platform is expected to launch in late April 2022, supporting exchanges for KEY stored on the Ethereum network, EOS network, and Bihu. KEY holders should follow the instructions to exchange for DG, with the foundation, incentive pool, promotional operation pool, team option pool, and remaining KEY donated to MYKEY not participating in the exchange. (Source link)

5. Geely Holding Establishes Global Blockchain Headquarters and Partners with Privacy Public Chain Concordium to Set Up Geely Blockchain Innovation Application Center

On March 22, Geely Holding announced that its global blockchain headquarters project is located in Wuxi Economic Development Zone, and it has jointly established the Geely Blockchain Innovation Application Center with the Swiss Concordium Foundation in Wuxi Economic Development Zone. This center will provide high-performance, low-cost, regulatory-compliant, and strong privacy core technology support for Geely Holding's global blockchain headquarters and participate in technological innovation and standardization work. The project aims to empower industrial internet, supply chain traceability, carbon neutrality, and the metaverse, accelerating the implementation of blockchain in the automotive and other industries.

According to previous reports, in February last year, Geely reached a cooperation with the enterprise-level privacy trading network Concordium to establish a joint venture in China, relying on Concordium blockchain technology to provide blockchain-based business models and distributed applications (DApps) to Chinese customers, including the automotive industry. Geely Holding and Concordium will hold 80% and 20% of the joint venture shares, respectively, and jointly operate and manage it. (Source link)

6. Binance CEO Changpeng Zhao Invited to Meet El Salvador President Nayib Bukele to Discuss Cryptocurrency Regulation

On March 26, Binance CEO Changpeng Zhao was invited to meet with El Salvador President Nayib Bukele in Latin America, where they discussed the importance of cryptocurrency regulation, the growing adoption of cryptocurrencies, and the necessity of increasing blockchain education globally. (Source link)

7. Terra Founder Do Kwon: Plans to Use $3 Billion to Establish BTC Reserves

On March 23, Terra founder Do Kwon tweeted that UST plus over $10 billion in BTC reserves will usher in a new monetary era based on the Bitcoin standard.

When asked where the $10 billion in BTC would come from, Do Kwon stated that it is not yet $10 billion. As the supply of UST increases, part of the minting tax will be used to establish BTC reserves connected to the Terra chain. We have $3 billion ready to establish that reserve, but the technical infrastructure (cross-chain bridges, etc.) is still not ready.

Regarding the source of the $3 billion, Do Kwon mentioned that recently LFG raised $1 billion through over-the-counter sales and another $1.2 billion by selling UST for Tether, leaving an $800 million gap. (Source link)

8. LayerZero's Cross-Chain Bridge Protocol Stargate Finance Total Locked Value Exceeds $3 Billion

On March 26, it was reported that according to official website data, LayerZero's cross-chain bridge protocol Stargate Finance has a total locked value exceeding $3 billion, currently around $3.017 billion. This amount ranks 12th among all DeFi protocols.

Previously, on March 23, Alameda co-CEO Sam Trabucco posted on social media that Alameda Research participated in the public offering of the cross-chain bridge project Stargate on March 18 and purchased all shares (100 million, accounting for 10% of the total supply) of STG.

It is reported that Stargate Finance is a composable omnichain native asset cross-chain bridge, which has been launched on networks such as Ethereum, Avalanche, Polygon, BNB Chain, Fantom, Arbitrum, and Optimism, and supports users providing liquidity for currencies such as USDC, USDT, and BUSD. (Source link)

9. 0xMaki Proposes on Sushi Governance Forum to Integrate Stargate Cross-Chain Bridge

On March 22, Sushi community manager Tangle and former Sushi leader 0xMaki jointly proposed on the Sushi governance forum to integrate Stargate to facilitate the transfer of omnichain native assets and networks. By allowing users to move freely between assets and networks, a better user experience across multiple networks will be achieved, helping to unleash the power of Sushi. The proposal states that Stargate will help the Sushi community achieve this integration for free.

It is reported that the Stargate cross-chain bridge was developed by the interoperability protocol LayerZero, which recently launched and introduced the SGT token, with the current TVL reaching $1.03 billion. 0xMaki announced his departure from Sushiswap last year and recently announced joining LayerZero as Chief Strategy Advisor. (Source link)

10. Crypto.com Becomes Exclusive Cryptocurrency Trading Platform Sponsor for the 2022 Qatar World Cup

On March 23, FIFA announced on its official website that the cryptocurrency exchange Crypto.com has become the official sponsor of FIFA's 2022 Qatar World Cup and the exclusive cryptocurrency trading platform sponsor. The transaction amount has not been disclosed.

Crypto.com will activate its official sponsorship of the 2022 Qatar World Cup in various ways, including providing opportunities for new and existing users to watch matches or win exclusive merchandise during the event. According to previous reports, Crypto.com has invested nearly $1 billion in various sports sponsorship activities to enhance its global influence.

It is reported that Crypto.com was established in 2016 and now provides cryptocurrency trading services to over 10 million customers, with more than 4,000 employees in offices across the Americas, Europe, and Asia. The 2022 Qatar World Cup will be held from November 21 to December 18, 2022. (Source link)

Important Financing/Venture Capital Information

1. On-Chain Structured Product Ribbon Finance Completes $8.75 Million Series B Financing, Led by Paradigm

On March 22, it was reported that on-chain structured product Ribbon Finance completed $8.75 million in Series B financing, led by Paradigm. The project's focus for the next six months will be on developing new risk products and multi-chain deployment.

It is reported that Ribbon is an on-chain structured product that helps retail investors benefit more easily from the complex world of crypto derivatives, allowing investors to deposit WBTC or ETH into a treasury that automatically executes a "bullish" options strategy, with the exercise price above the current asset price. Ribbon executes bullish options weekly and collects premiums. (Source link)

2. MEXC Global and Others Help Fetch.ai Launch $150 Million Ecosystem Development Fund

On March 22, it was reported that the blockchain-based machine learning platform Fetch.ai has launched a $150 million development fund to encourage more developers and projects to develop and operate within the Fetch.ai ecosystem. The fund is led by MEXC Global, with Huobi and Bybit also participating in the investment. In March 2021, Fetch.ai raised $5 million from Toronto-based digital asset company GDA Group. (Source link)

3. Sources: Cryptocurrency Project Worldcoin Plans to Raise $100 Million in Token Financing, Valued at $3 Billion

On March 23, it was reported that two sources told The Information that the cryptocurrency project Worldcoin plans to raise $100 million at a $3 billion token valuation, with participating institutions including a16z and Khosla Ventures. This funding will be used to accelerate the production of spherical devices.

It is reported that Worldcoin was founded by former YC president and plans to launch a universal, zero-threshold cryptocurrency that builds a unique personal identification code by scanning irises with a spherical device it developed, ensuring that the digital currency each person receives is unique. Last June, the project completed a $25 million financing round, with a16z and others participating. (Source link)

4. Blockchain Open Source Software Platform Tea Completes $8 Million Seed Round Financing, Led by Binance Labs

On March 23, it was reported that Tea completed $8 million in seed round financing, led by Binance Labs, with participation from XBTO Humla Ventures, Lattice Capital, DARMA Capital, Coral DeFi, Woodstock, Rocktree, SVK Crypto, and MAKE Group.

It is reported that Tea is a new company building an open-source software platform on the blockchain, representing a significant evolution of traditional open-source software, allowing volunteer developers to earn rewards and participate in open governance. Tea co-founder and CEO Max Howell is known for creating Homebrew (also known as "brew"), one of the world's most contributed open-source software programs. (Source link)

5. Former Polychain Partner Launches $125 Million Crypto Venture Fund "dao5" and Plans to Transition to DAO Format

On March 23, it was reported that former Polychain partner Tekin Salimi launched a $125 million crypto venture fund "dao5," which will provide funding of approximately $500,000 to $2 million for pre-seed and seed round financing.

Additionally, Salimi plans to transition the fund to a DAO by 2025, where DAO5 tokens will be minted and issued to the fund's investment team, advisory committee, and portfolio company founders, and the legal entity of the fund will be dissolved, with the assets of general partners permanently transferred to an on-chain treasury owned and managed by DAO5 token holders. (Source link)

6. Crypto Lending Platform Nexo Launches $150 Million Web3 Investment Fund Nexo Ventures

On March 23, it was reported that crypto lending platform Nexo launched a $150 million internal Web3 investment fund. The company's venture capital department, Nexo Ventures, plans to deploy funds in areas such as blockchain-based gaming, decentralized finance (DeFi), and NFTs. Tatiana Metodieva, head of corporate finance and investments for the venture capital department, stated that the fund will drive the continued adoption of digital assets and the expansion of the Web3 ecosystem.

Previously, the venture capital department invested in 1inch, BCB Group, BlockFills, Bware Labs, Interlay, Mizar, Qredo, Rain, Texture Capital, The TIE, and Yield Protocol, and collaborated with hedge fund Three Arrows Capital to launch an NFT lending platform, NFT Lending Desk. (Source link)

7. BAYC Parent Company Yuga Labs Completes $450 Million Financing at a $4 Billion Valuation, Led by a16z

On March 23, it was reported that Yuga Labs, the parent company of Bored Ape Yacht Club (BAYC), announced the completion of a new round of financing of $450 million at a $4 billion valuation, making it the largest financing in the NFT industry to date. This round of financing was led by a16z, with participation from Adidas Ventures, Animoca Brands, Samsung, Google Ventures, Tiger Global, FTX Ventures, Coinbase, and MoonPay. Additionally, a16z partner Chris Lyons will join the board of Yuga Labs.

Yuga Labs stated that this round of financing will be used to launch games and its own metaverse project: Otherside. BAYC co-founder Wylie Aronow stated that Otherside aims to build a "gamified" and "fully decentralized" "interoperable world," while attracting more NFT projects into its ecosystem. (Source link)

8. Former a16z Partner's Crypto Venture Firm Haun Ventures Raises $1.5 Billion for Two Funds

On March 23, it was reported that the venture capital firm Haun Ventures, led by former a16z partner Katie Haun, has raised $1.5 billion for its two cryptocurrency-focused venture capital funds, with $500 million allocated for early-stage investments and $1 billion for an "accelerator" fund. It is reported that Haun Ventures will directly invest in equity and tokens, having already invested in projects such as Aptos and Autograph. (The Block)

9. Acala Joins 9 Parachain Teams to Launch $250 Million aUSD Ecosystem Fund

On March 24, it was reported that the Polkadot DeFi protocol Acala announced the launch of a $250 million aUSD ecosystem fund in collaboration with 9 Polkadot parachain teams and several venture funds to support early-stage startups building applications with strong stablecoin use cases on any Polkadot or Kusama parachain. The fund is seeking applications based on Solidity or Substrate to drive the yield or utility of aUSD, including lending markets, DEXs, derivatives, asset management, DAOs, payments, and other use cases.

Participating Polkadot parachains include Acala, Astar Network, Centrifuge, Efinity, HydraDX, Manta, Moonbeam, OriginTrail, Parallel, and Zeitgeist. Nearly 40 participating venture capital institutions include 1confirmation, Alamda, Hashkey, DCG, IOSG, Jump Crypto, Pantera Capital, and Polychain Capital.

It is reported that Acala is a decentralized finance network that powers the aUSD ecosystem. The core product Acala USD is a decentralized, multi-collateral, crypto-backed stablecoin, serving as the native stablecoin of the Polkadot ecosystem. (Source link)

10. Cricket NFT Platform FanCraze Completes $100 Million Series A Financing, Led by Insight Partners

On March 25, it was reported that the online platform FanCraze (formerly Faze Technologies), which trades officially licensed digital cricket collectibles, completed $100 million in Series A financing, led by Insight Partners, with participation from B Capital, Mirae Financial, Tiger Global, Coatue Management, Sequoia Capital India, Courtside Ventures, and CR7.

It is reported that the funds raised will be used to integrate new sports resources and accelerate the development of its global team, R&D labs, user experience teams, game studios, and marketplace platforms, where fans can buy, trade, and create their NFTs. Additionally, FanCraze is building the official NFT ecosystem for the International Cricket Council (ICC). (Source link)