Weekly Highlights | Hotbit Announces Cessation of Operations; Paradigm Removes Cryptocurrency Description from Homepage

整理：饼干，ChainCatcher

1. Vitalik: Don't Overload Ethereum Consensus, Maintain the Chain's Minimalism

Ethereum co-founder Vitalik Buterin reminded developers in a recent article not to overload Ethereum consensus. He stated that over the years, many developers and projects have attempted to use Ethereum consensus for other purposes, such as ultimate oracles, re-staking, and L1-driven L2 project recoveries.

However, Vitalik warned that these technologies could pose significant systemic risks to the Ethereum ecosystem and pointed out that the social consensus within the blockchain community is quite fragile. Therefore, we should maintain the chain's minimalism, helping developers find alternative strategies to achieve their security goals instead of expanding core functionalities, which would make the core itself more vulnerable. (Source link)

2. Hotbit Announces Cessation of Operations, Users Must Withdraw Remaining Assets by June 21

Cryptocurrency exchange Hotbit announced that it will cease all CEX operations starting from May 22 at 04:00 UTC and requires all users to withdraw their remaining assets by June 21 at 04:00 UTC.

Hotbit stated that this decision is based on three reasons: first, the deterioration of operational conditions, with continuous outflow of user funds from CEXs including Hotbit; second, changes in trends within the cryptocurrency industry, with the Hotbit team believing that centralized exchanges (CEXs) are becoming increasingly cumbersome, with highly complex and interrelated operations that are difficult to comply with, whether in terms of regulation or decentralization, making it unlikely to align with long-term trends; third, Hotbit has also faced multiple network attacks and issues where project flaws were exploited by malicious users, resulting in significant losses. (Source link)

3. Worldcoin Completes $115 Million Series C Funding, Led by Blockchain Capital

Tools for Humanity, the company behind the cryptocurrency project Worldcoin co-founded by OpenAI CEO Sam Altman, announced the completion of a $115 million Series C funding round, led by Blockchain Capital, which also included the crypto team from Andreessen Horowitz, as well as Bain Capital Crypto and Distributed Global. The new funds will be used for product expansion and hiring new employees to grow the startup's team of 150. (Source link)

4. Crypto VC Paradigm Removes Cryptocurrency Descriptions from Homepage, Expands Investment Scope to AI

Cryptocurrency venture capital firm Paradigm has changed its website wording from "Paradigm supports disruptive crypto/Web3 companies and protocols with funding from as little as $1 million to over $100 million" to "Paradigm is a research-oriented technology investment firm," and has removed expressions related to cryptocurrency/Web3, such as "We believe cryptocurrency will define the coming decades."

According to The Block, citing informed sources, Paradigm is shifting its focus from solely cryptocurrency to also include "cutting-edge" technologies like artificial intelligence. Those familiar with the strategy indicated that the company has not changed its mission and continues to focus on cryptocurrency and web3; the updated website copy aims to emphasize its technological research and notes that Paradigm has supported companies exploring new technologies in its core strategy, such as AI Arena. (Source link)

5. Multichain: Some Cross-Chain Routes Unavailable Due to Force Majeure, Recovery Time Unknown

According to ChainCatcher, the cross-chain interoperability protocol Multichain tweeted that while most cross-chain routes of the Multichain protocol are functioning well, some cross-chain routes are unavailable due to force majeure, and the recovery time is unknown. Once services are restored, pending transactions will be automatically credited, and Multichain will compensate users affected during this process, with compensation plans to be announced later.

Previously, Multichain's official response in the community indicated that there were abnormal delays in cross-chain fund arrivals, with backend node upgrades taking longer than expected, leading to temporary suspensions of some routes (Kava, zkSync, Polygon zkEVM). (Source link)

6. Hong Kong SFC: Retail Investors Can Trade Virtual Assets on Licensed Platforms as Early as This Year

According to Bloomberg, Hong Kong will announce that retail investors can trade cryptocurrencies under new rules for the digital asset industry, with individuals expected to trade more tokens, such as BTC and ETH, under appropriate safeguards starting next month.

According to a report from Hong Kong Radio, the acting head of the Intermediaries Division of the Hong Kong SFC, Choi Chung-fai, stated that there are currently no platforms available for retail investors to trade virtual assets, but it is anticipated that retail investors will be able to trade on licensed platforms as early as the second half of this year once the guidelines take effect.

The Hong Kong SFC will publish several guidelines related to virtual assets in the gazette on May 25. Additionally, the SFC reminded that although the relevant system will take effect on June 1, 2023, the SFC has not yet approved any virtual asset trading platforms to provide services to retail investors, and most publicly accessible virtual asset trading platforms are not regulated by the SFC. (Source link)

7. Tornado Cash Attacker Releases New Proposal for Governance Restoration

Tornado Cash community member Tornadosaurus-Hex stated in a forum that the Tornado Cash attacker has released a new proposal for governance restoration and is "very likely to execute it." In the malicious proposal, he set his TORN as "lockedBalance-s" and reset it to 0. The true motives remain unclear. If the proposal passes, the malicious code integrated by the attacker into the protocol will be removed, and token holders will regain control of Tornado Cash's DAO governance.

Tornadosaurus-Hex indicated that he or others need to propose an update to the governance contract. He is ready to fix the logic but needs to verify the storage layout to ensure that the proxy upgrade does not break the contract. Tornadosaurus-Hex also stated, "We are well aware that there is no choice regarding this proposal, but it is still important." (Source link)

8. ConsenSys Clarifies: MetaMask Will Not Tax Cryptocurrency Transactions

ConsenSys tweeted, "We are aware that there is inaccurate information circulating regarding ConsenSys's terms of service. To clarify: MetaMask will not tax cryptocurrency transactions, and we have not made any changes to our terms for this purpose. At ConsenSys, our goal is to make Web3 universally easy to use, access, and build through our product suite. It is worth noting that the terms mentioned are not new. They apply to products for which we are required to collect sales tax. The tax section in our terms of service falls under the 'Fees and Payments' section and only pertains to products and paid plans provided by ConsenSys. For example, Infura's credit card developer plan includes sales tax. Legal terminology can be complex, but the key point is to emphasize that this section does not apply to MetaMask or any other products not involving sales tax. We believe in transparency and accuracy when sharing information with our users. Our commitment to combating misinformation regarding our products and services remains steadfast. We encourage everyone to visit our website for more information about our products, and if you have any questions or concerns, please contact us."

It is reported that on May 18, 1inch co-founder Anton Bukov tweeted that the blockchain software technology company ConsenSys updated its terms of service in April, where "4.3 Taxes" states that its products "shall be responsible for determining and paying all taxes and other government fees and charges as required by applicable law… We reserve the right to withhold taxes when necessary." (Source link)

9. Li Lin: I Have No Relationship with "Huobi Hong Kong," Please Cease Use of Huobi Brand Immediately

Huobi founder Li Lin addressed on social media whether Huobi HK (Huobi Hong Kong) is related to him personally and the re-use of the "Huobi" name by the Huobi App, stating:

1. After October 8, 2022, he is no longer a shareholder of Huobi, and any operational activities of Huobi thereafter are unrelated to him personally.

2. According to the transaction agreement, Huobi is prohibited from using the "Huobi" and "火幣" brands in simplified and traditional Chinese (Huobi's Chinese name has been changed to "火必").

3. He requests that Huobi immediately cease the infringement of using the Chinese "Huobi" and "火幣."

4. Li Lin's legal team will send a letter to Huobi urging them to stop the infringement, and further legal actions will be considered based on the situation to protect Li Lin's legal rights.

10. Binance: Has Contacted Tether, Circle, and Others to Expand Support for Native Versions of Stablecoins on Binance

Binance tweeted that to enhance user security, it has contacted Tether, Circle, and others to expand support for native versions of stablecoins on Binance, with updates coming soon. (Source link)

11. Paradigm's Invested Project Reflexer Criticizes Paradigm for Shifting Focus to AI, Seeks to Distinguish Itself

DeFi protocol Reflexer tweeted that Paradigm's previous investment in FTX has severely impacted the crypto ecosystem and criticized its shift from focusing on Crypto to AI, expressing a desire for Paradigm to destroy all of its FLX (Reflexer governance token) holdings and stating that they no longer wish to work for Paradigm. (Source link)

12. Beijing Chaoyang District to Invest No Less Than 100 Million Yuan Annually to Support Internet 3.0 Industry Development

According to Caixin, at today's Zhongguancun Forum - Internet 3.0: Future Internet Industry Development Forum, Yang Hongfu, director of the Zhongguancun Chaoyang Park Management Committee, stated that starting this year, Chaoyang District will invest no less than 100 million yuan annually in special funds to support the construction of the Internet 3.0 industry ecosystem.

According to the "Chaoyang District Internet 3.0 Innovation Development Three-Year Action Plan (2023-2025)," the goal is to establish Chaoyang District as a nationally leading hub for the Internet 3.0 industry by 2025. (Source link)