Weekly Highlights | EthSign has aggregated over 100,000 signatures on Polygon; former Tencent WeSure chairman to serve as Chief Business Officer of Animoca Brands

Organizer: Linqi, Chain Catcher

Important News

1. Former Tencent WeSure Chairman Liu Jiaming to Join Animoca Brands as Chief Business Officer

On July 18, it was reported that former Tencent WeSure Chairman Liu Jiaming officially left his position on July 15 and is set to join Hong Kong mobile game development company Animoca Brands as Chief Business Officer (CBO), responsible for managing over 300 acquired investment companies and leading mergers and acquisitions as well as external collaborations. (Jiemian News)

2. Public Chain Sui Launches Chrome Extension Self-Custody Wallet "Sui Wallet"

On July 18, it was reported that the public chain Sui released the Chrome extension self-custody wallet "Sui Wallet," which includes features such as account creation, importing existing wallets, transferring tokens and NFTs, and viewing transaction history on Sui Explorer. Upcoming features include a new design, monitoring processes, and wallet-to-application communication capabilities.

It is reported that Sui is the first product launched by Mysten Labs, a Web3 infrastructure startup founded by four former Meta engineers. Mysten Labs launched the Sui DevNet test network in May and announced the token economics model for its public chain project Sui. Mysten Labs is seeking to raise at least $200 million in Series B funding at a valuation of $2 billion and has already secured $140 million in funding. (Source Link)

3. BNB Chain Announces MVBV Incubation Program Participant List

On July 19, it was reported that BNB Chain announced the participant list for the MVBV incubation program, which includes 27 projects. These projects will receive an 8-week program that offers development opportunities including guidance, courses, and workshops. BNB Chain stated that it cannot guarantee that all these projects will receive investment from BNB Chain and will evaluate potential investment targets through a rigorous process. The 27 projects are as follows:

Infrastructure and Tools: Web3Go, Space ID, Multi-Chain Event Protocol (MEP), Overeality, Port3 Network, Nakji Network, Zash, Metasset, Staging Labs;

DeFi Projects: InsurAce Protocol, Antimatter DAO, Tender.fi, Wink Financial, Aperture Finance, Velvet Finance, Deus Ex Securitas, IdentDeFi;

SocialFi/DAO Projects: AnyDAO, Kola Labs, FusePass, Orange Protocol;

NFT Projects: Rareboard, Double Protocol, GiroGiroAI;

GameFi Projects: Meta Apes, Gameta, and CryptoZombie. (Source Link)

4. Layer 2 Scaling Solution Scroll Announces Launch of Pre-Alpha Testnet

On July 19, it was reported that Scroll, a Layer 2 scaling solution based on zkEVM, announced the release of a pre-alpha testnet for external testers to quickly gather community feedback. Early testers can now register on the official website to gain access.

According to the article, after the pre-alpha testnet, Scroll will deploy a more open and permissionless alpha testnet, planned to be deployed on the public Ethereum testnet and open to the public, expected to include the following features:

• Allow developers to deploy smart contracts

• Allow anyone to run archived Scroll nodes

• Generate and aggregate more zkEVM proofs to be verified on-chain (Source Link)

5. Reports Suggest Tencent Plans to Shut Down Digital Collectibles Business "Huanhe"

On July 20, it was reported that according to internal sources at Tencent, the company plans to cut the "Huanhe" business this week, a message that has already been communicated to lower-level management within Huanhe.

Huanhe is Tencent's digital collectibles platform, launched in August 2021, and has not yet been operational for a year. On July 2, the Tencent News App also suspended the sale of digital collectibles. (Source Link)

6. Tesla Sells 75% of Its Bitcoin Holdings in Q2, Cashing Out $936 Million

On July 21, it was reported that Tesla CEO Elon Musk stated during the earnings call that Tesla sold 75% of its Bitcoin holdings in the second quarter, cashing out $936 million at an average selling price of $29,000, with the proceeds helping Tesla turn its free cash flow from negative to positive in Q2.

Musk mentioned that Tesla is open to increasing its Bitcoin holdings again in the future, and the sale "should not be viewed as a judgment on Bitcoin." Additionally, Tesla did not sell its holdings of Dogecoin (DOGE). (CoinDesk)

7. Polygon zkEVM Code Open-Sourced, Public Testnet Launching Soon

On July 21, it was reported that the code for Polygon zkEVM has been open-sourced and is set to launch a public testnet soon, with more documentation to be released detailing the specifics. It is reported that Polygon zkEVM can provide EVM-equivalent solutions for developers and users, achieving high throughput, low latency, and low fees. (Source Link)

8. zkSync Releases Public Roadmap, zkSync 2.0 to Launch Mainnet in 100 Days

On July 21, it was reported that Ethereum Layer 2 scaling solution zkSync released a public roadmap, stating that zkSync 2.0 will launch its mainnet within 100 days. A ZK proof for EVM smart contracts will be introduced in a real-time production environment in the fall, and project registration will open in October. (Source Link)

9. Sources: Three Arrows Capital Creditors' Committee Formed, Including DCG, Voyager, and 5 Members

On July 19, it was reported that according to three informed sources, a creditors' committee for Three Arrows Capital has been formed, consisting of five members from Digital Currency Group (DCG), Voyager, CoinList, Blockchain.com, and Matrixport. Creditors voted based on their voting rights (debt size) to select these five members.

Previously, it was reported that Three Arrows Capital owes $3.5 billion to 27 cryptocurrency companies. The largest creditor on the list is Genesis, which lent $2.3 billion to 3AC. (The Block)

10. DeFiance Capital Founder: $10 Billion is a Serious Overestimation of Three Arrows Capital's AUM

On July 20, it was reported that DeFiance Capital founder Arthur tweeted that "$10 billion is a serious overestimation of Three Arrows Capital's assets under management. The net asset value of Three Arrows Capital was about $3 billion at the end of December 2021 and about $2.38 billion on May 13, 2022. Between December 2021 and May 2022, they had no market opportunities to triple and then fall back."

He also stated that anyone who continues to use the $10 billion figure simply means they haven't done their homework and are repeating random numbers heard on Twitter. (Source Link)

11. ConsenSys Smart Contract Audit Service ConsenSys Diligence Launches TURN Token

On July 20, it was reported that ConsenSys announced the launch of the TURN token for its smart contract audit service ConsenSys Diligence, creating a new open market for buyers and sellers of security audits, which will be available for a limited time from 12:00 PM UTC on August 15, 2022, to 12:00 PM UTC on August 19.

It is reported that each TURN is an ERC721-compatible token representing 40 hours of audit time. TURN tokens will be directly granted to clients or sold at minting, allowing secondary trading among clients needing audit services, thus optimizing price discovery for service participation and scheduling processes. Each TURN represents a time slice of a smart contract auditor and allows free market pricing. (Source Link)

12. Bloomberg: Three Arrows Capital Founders Did Not Withdraw Funds Before Crisis, Forced to Hide Due to Death Threats

On July 22, it was reported that according to Bloomberg, Three Arrows Capital (3AC) founders Su Zhu and Kyle Davies spoke from a secret location, stating that their crypto speculation triggered cascading margin calls on loans that should not have been provided. They admitted that their failures caused losses for others in the industry but emphasized that they also suffered significant losses, denying allegations that they withdrew funds from 3AC before the crisis, stating they actually invested more personal funds.

Zhu Su stated that they did not anticipate LUNA could drop to zero within days, triggering a credit crunch across the industry, putting immense pressure on all of Three Arrows' illiquid positions. Nevertheless, the fund was still able to continue borrowing from large digital asset lenders and wealthy investors until those institutions themselves fell into crisis. After the LUNA collapse, Zhu Su stated that lenders were "satisfied" with Three Arrows Capital's financial situation and allowed them to continue trading.

Regarding rumors about the "lavish" lifestyle of the Three Arrows founders, Zhu Su stated that his yacht was commissioned a year ago and has complete funding sources, and he simply rides a bike to work every day.

In response to liquidators claiming they were missing, Su Zhu replied that it was due to death threats forcing them to hide. The two refused to disclose their location, but a lawyer on the phone indicated that their final destination was the United Arab Emirates. (Bloomberg)

13. BlockFi Q2 Transparency Report: $1.8 Billion in Outstanding Loans, Liquidity Guidance Plan Established

On July 22, it was reported that crypto lending company BlockFi disclosed that as of the end of Q2, the company had $1.8 billion in outstanding loans from institutional and retail investors, of which $600 million were unsecured loans. Institutional loans accounted for $1.5 billion of the outstanding total, while retail loans accounted for the remaining $300 million.

BlockFi stated that it has established a guidance plan to help maintain the necessary liquidity to fulfill core business activities, including institutional and retail lending and trading activities. The guidance plan will hold at least 10% of the total amount in inventory based on customer demand and be ready to return to customers. It will also hold at least 50% of the outstanding amount in places where it can be recalled and returned to customers within 7 days, and at least 90% of the total owed to customers will be allocated for inventory or repayable loans as needed. Such loans will be recalled within a year. (Cointelegraph)

14. Coinbase Responds to "SEC Accusation of 9 Cryptocurrencies as Securities in Insider Trading"

On July 22, it was reported that the SEC listed 9 cryptocurrencies involved in insider trading on Coinbase as securities, namely AMP, RLY, DDX, XYO, RGT, LCX, POWR, DFX, and KROM, with the SEC explicitly accusing this as a fraud.

In response, Coinbase stated that 7 of the 9 assets accused by the SEC are listed on Coinbase's platform, and none of these assets are securities. It pointed out that the SEC's accusations highlight an important issue: the U.S. lacks a clear or feasible regulatory framework for digital asset securities. The SEC has not developed tailored rules in an inclusive and transparent manner but relies on these types of one-off enforcement actions to try to bring all digital assets under its jurisdiction, even those that are not securities. (Source Link)

15. Momo Suspected to Enter Web3, Authorizes IP to WanderingLabs and Launches NFT Products

On July 22, it was reported that social company Momo is suspected of entering the Web3 space. According to the official introduction of NFT development company WanderingLabs, due to agreement with the product concept, Zhihui Group (Momo's parent company) authorized its IP to WanderingLabs to explore Web3 projects and issue NFT products Wandering Planet overseas, with plans for ongoing close cooperation.

WanderingLabs is an independent company based in Singapore, focusing on exploring the GameFi & SocialFi ecosystem. The Wandering Planet series of NFTs attempts to create a simple and fun universe, allowing NFT holders to "participate in games," with users able to obtain tickets through MINT. (Source Link)

16. Electronic Protocol Signing Platform EthSign Has Aggregated Over 100,000 Signatures on Polygon Network

On July 23, it was reported that the decentralized electronic protocol signing platform EthSign tweeted that EthSign Signatures Beta has aggregated over 100,000 signatures on the Polygon network. ([Source Link])

17. Curve CEO: Will Launch Over-Collateralized Stablecoin

On July 22, it was reported that Michael Egorov, CEO of stablecoin exchange protocol Curve, stated that despite regulatory scrutiny, Curve is seeking to launch its own over-collateralized stablecoin. However, he did not specify the collateral assets or the release date.

It is reported that after the collapse of Terra's UST stablecoin, many institutions and market participants joined the competition for market share. According to previous reports, lending protocol Aave proposed creating an over-collateralized stablecoin named GHO. (Blockworks)

18. Flashbots Strategic Director Hasu: DAOs Are Not Investable Until Major Changes Occur

On July 22, it was reported that Hasu, Strategic Director of Flashbots, tweeted that he is slowly but surely convincing himself that DAOs are not investable until major changes occur, including the separation of owners/managers and accountability to shareholders, clear demands for maximizing shareholder value, and regulatory clarity.

Kelvin Koh, co-founder and partner of the hedge fund division Spartan Capital at venture capital firm Spartan Group, also retweeted, stating, "I have now stopped investing in DAOs. More and more founders are using this structure to avoid legal liability and accountability while still participating." (Source Link)

19. Web3 Asset Management Platform Zapper Launches V2 Version and Adds NFT and DAO Dashboards

On July 21, it was reported that Web3 asset management platform Zapper announced the launch of its V2 version and added NFT and DAO dashboards. The Zapper V2 NFT dashboard allows users to gain deeper insights into various NFT series, providing their own price estimation tools. The DAO dashboard shows users the total value of different DAO treasuries and analyzes their collective holders. (Coindesk)

Important Financing/Venture Capital News

1. Blockchain Travel Ecosystem Startup Travel Coin Secures $35 Million Investment Commitment from GEM

On July 18, it was reported that blockchain travel ecosystem startup Travel Coin (TCOIN) announced a $35 million investment commitment from GEM Digital Limited. This investment aims to accelerate the global adoption of its native token TCOIN by establishing long-term partnerships with hotel businesses and cryptocurrency exchanges, improving existing products, and adopting new ideas to ultimately enhance user adoption.

It is reported that Travel Coin (TCOIN) is a blockchain technology startup developing a rewards ecosystem for the hotel industry, where restaurants, clubs, cafes, and other related businesses provide bonuses to customers in the form of TCOIN crypto tokens to increase revenue and customer numbers. (Source Link)

2. Christie's Launches Investment Fund Christie's Ventures, Focusing on Web3 and Other Areas

On July 19, it was reported that Christie's launched an investment fund, Christie's Ventures, aimed at providing financial resources and expert support to emerging technology and fintech companies to create solutions related to the art market. The fund will focus on three areas: Web3, art-related financial products, and art consumption solutions and technologies. Currently, Christie's Ventures has invested in the cross-chain interoperability protocol LayerZero. (Source Link)

3. Blockchain Security Company Halborn Completes $90 Million Series A Financing, Led by Summit Partners

On July 20, it was reported that blockchain security company Halborn completed $90 million in Series A financing, led by Summit Partners, with other investors including Castle Island Ventures, Digital Colurncom Group, and Brevan Howard. It is reported that Halborn provides end-to-end cybersecurity services, from advanced penetration testing to executing security audits on Layer 1 blockchain protocols including Solana, Cosmos, and Substrate. (Bloomberg)

4. KuCoin Announces $10 Million Strategic Investment from SIG

On July 21, it was reported that cryptocurrency exchange KuCoin announced a $10 million strategic investment from SIG (Susquehanna International Group), and additionally, KuCoin and SIG will collaborate on blockchain startup incubation and KCC ecosystem development.

Previously, it was reported that KuCoin announced the completion of a $150 million financing at a valuation of $10 billion, led by Jump Crypto, with participation from Circle Ventures, IDG Capital, and Matrix Partners. (Source Link)

5. Sources: Public Chain Project Aptos Seeking New Round of Financing at $2.75 Billion Valuation

On July 22, it was reported that according to The Information, sources revealed that the public chain project Aptos, founded by former Diem team members, has discussed a new round of financing with investors, with the company's valuation set at $2.75 billion, and the valuation may increase as negotiations progress.

Previously, it was reported that the Aptos project completed a $200 million financing led by a16z in March this year and is expected to launch its mainnet around the end of September. (The Information)