Daily Report | Sun Yuchen invests 30 million USD in WLFI; pump.fun will indefinitely suspend live streaming feature; Binance HODLer airdrop launches Thena (THE)
November 26 News OverviewOrganizer: Fairy, ChainCatcher
Important News:
- Justin Sun invests $30 million in Trump family's crypto project WLFI, becoming its largest investor
- SEC charges Texas fund manager for illegally investing $18.5 million of client funds in cryptocurrency
- Binance to delist GFT, IRIS, KEY, OAX, REN
- Binance to launch yield-bearing margin asset BFUSD
- pump.fun: Live streaming feature on the website to be suspended indefinitely
- Binance HODLer airdrop launches second project Thena (THE)
- BNB Chain ecosystem's re-staking infrastructure Kernel completes $10 million in funding, with participation from Binance Labs and others
- AXIOS: Trump is considering appointing an AI minister
"What important events happened in the last 24 hours"
SEC charges Texas fund manager for illegally investing $18.5 million of client funds in cryptocurrency
According to DL News, the U.S. Securities and Exchange Commission (SEC) has charged Texas fund manager Khalid Parekh for illegally investing $18.5 million of client funds in cryptocurrency without their consent.
The SEC disclosed that from August 2021 to August 2022, Parekh raised $18.5 million from 373 investors across 40 states through his sole proprietorship Fair Invest. He primarily attracted investors from the American Muslim community through radio shows, podcasts, and media interviews, claiming that his fund complied with Islamic law.
Parekh promised investors an annual return of 4%, claiming these returns came from traditional assets such as stocks, mutual funds, commodities, and ETFs. However, the SEC's charges indicate that he actually invested client funds into two cryptocurrency lending platforms without informing investors.
During the SEC investigation, Parekh returned client funds along with the promised 4% returns. Additionally, he agreed to pay a $100,000 fine and withdrew his SEC registration as an investment advisor.
Onchain Lens: Trading of THE tokens active before Binance announcement, three wallets profiting significantly
According to Onchain Lens monitoring, suspicious insider activity related to THE tokens occurred before Binance's announcement, mostly involving newly created wallets:
Wallet 1: 23 hours ago withdrew 200,000 USDT from Bybit, purchased 918,214 THE, and sold 410,218 THE, profiting $433,000, currently still holding 507,000 THE, valued at approximately $548,000, with total profits reaching $782,000.
Wallet 2: Newly created 3 hours ago, withdrew 400 BNB (valued at approximately $249,000) from Binance, purchased 490,786 THE, now valued at approximately $514,000, with floating profits of about $264,000.
Wallet 3: Also a new wallet, withdrew 1,638 BNB (about $1.02 million) from Binance, purchasing 1,027,193 THE at an average price of $1.
While it cannot be confirmed whether this is insider trading, the scale of purchases is significant and may be related to the airdrop plan.
AXIOS: Trump is considering appointing an AI minister
According to AXIOS, Trump is considering appointing an AI minister to coordinate federal policies and government use of emerging technologies.
Binance to delist GFT, IRIS, KEY, OAX, REN
According to an official announcement, Binance will stop trading and delist the following tokens on December 10, 2024, at 11:00 (UTC+8): Gifto (GFT), IRISnet (IRIS), SelfKey (KEY), OAX (OAX), Ren (REN).
Binance contracts will fully close and automatically settle the KEYUSDT and RENUSDT perpetual contracts on December 3 at 09:00 (UTC), and the contracts will be delisted after settlement.
Binance emphasized that it will regularly review the digital assets listed to ensure high standards of token quality. When a token no longer meets listing standards or there are significant changes in the industry environment, a thorough project review will be conducted, and it may be delisted.
Binance HODLer airdrop launches second project Thena (THE)
According to an official announcement, the Binance HODLer airdrop has launched its second project, Thena (THE), which is a DEX and liquidity layer built on the BNB chain and opBNB.
Users who subscribe to BNB Simple Earn Flexible or Locked products from 00:00 on November 6, 2024, to 23:59 on November 13, 2024 (UTC) will receive airdrop allocations. The THE HODLer airdrop page is expected to go live within twelve hours, and the new tokens will be distributed to users' spot wallets one hour before trading begins.
Binance will list Thena (THE) on November 27, 2024, at 10:00 (UTC) and open trading pairs THE/BTC, THE/USDT, THE/BNB, THE/FDUSD, and THE/TRY.
Zhao Changpeng: Not against memes, suggests the industry build real applications with blockchain
Binance co-founder Zhao Changpeng posted on X, stating: "I am not against memes, but meme coins have become 'a bit' strange now. Let's build real applications with blockchain."
Binance to launch yield-bearing margin asset BFUSD
According to The Block, Binance announced it will launch a yield-bearing margin asset BFUSD, which will officially go live on November 27, 2024, at 10:00 (UTC+8). Users can earn passive income by holding or trading contracts, with Binance promising that its annual percentage yield (APY) will never be less than zero.
According to a Binance spokesperson, BFUSD holders will receive a daily calculated base annual yield, allowing them to enjoy returns even without participating in contract trading. Additionally, eligible USDⓈ-M contract trading users can receive higher enhanced annual yields on the same day. Historical data shows that from November 20 to 25, the base annual yield for BFUSD fluctuated between 12% and 35%, while the enhanced yield reached 15% to 47%.
BFUSD is not a stablecoin and cannot be withdrawn from Binance contract accounts or traded on the open market; it can only be used as margin for Binance contract trading and can be exchanged 1:1 with USDT. The product generates returns through delta hedging strategies between the spot and contract markets and Ethereum staking. It is currently only available to qualified Binance contract users in supported regions, excluding restricted areas such as the U.S.
U.S. SEC's $8.2 billion in fines for 2024 largely from Terraform Labs-related cases
According to Decrypt, the U.S. Securities and Exchange Commission (SEC) received $8.2 billion in fines for the fiscal year 2024, setting a historical record, with more than half ($4.5 billion) coming from fines related to the SEC's case against Terraform Labs and its founder Do Kwon. Without this settlement, the SEC's finances would have reached their lowest level since 2013, at $3.72 billion.
Public company Jiva Technologies' board approves purchase of $1 million in Bitcoin as reserve asset
Public company Jiva Technologies announced that its board has approved the purchase of $1 million in Bitcoin as part of its reserve asset and corporate fund management strategy. CEO Lorne Rapkin stated that Bitcoin's inherent scarcity and limited supply make it a modern hedge against inflation.
UK Financial Conduct Authority plans to implement cryptocurrency regulatory framework by 2026
According to CoinDesk, the UK Financial Conduct Authority (FCA) has released a roadmap for cryptocurrency regulation, planning to officially implement a comprehensive regulatory framework by 2026.
The roadmap indicates that the FCA will publish discussion papers related to market abuse and information disclosure by the end of this year and plans to release policy documents on stablecoins, trading platforms, staking, crypto asset exposure, and lending in early 2024.
Data shows that the number of cryptocurrency holders in the UK has grown by 4% over the past two years, with approximately 7 million adults currently holding crypto assets. Previously, UK Economic Secretary Tulip Siddiq stated that a regulatory draft related to cryptocurrencies, stablecoins, and staking would be introduced early next year.
BNB Chain ecosystem's re-staking infrastructure Kernel completes $10 million in funding, with participation from Binance Labs and others
BNB Chain ecosystem's re-staking infrastructure Kernel announced that it has raised a total of $10 million in multiple funding rounds, with investors including Binance Labs, SCB Limited, Laser Digital, Bankless Ventures, Hypersphere, Draper Dragon, DACM, CYPHER, ArkStream Capital, HTX Ventures, Avid VC, GSR, Cluster Capital, Longhash Ventures, Via BTC, Side Door Ventures, NOIA, and DWF Labs.
Kernel includes three DeFi products: the cross-chain re-staking infrastructure Kernel on the BNB Chain (mainnet launching soon), the liquidity re-staking protocol Kelp on Ethereum, and the RWA tokenized yield protocol Gain. Kernel stated that the KERNEL token will unify governance and incentives for Kelp, Kernel, and Gain, rewarding early supporters and promoting ecosystem development.
Hashdex submits revised S-1 application for Nasdaq crypto index U.S. ETF
According to Cointelegraph, asset management company Hashdex has submitted a second revised application for a crypto ETF, aiming to create a one-stop cryptocurrency investment portfolio.
The revised document indicates that the crypto index ETF's application is making progress with the U.S. SEC. After the SEC requested more time to decide whether to authorize the ETF for trading, Hashdex submitted the first revised S-1 document in October.
The document states that Hashdex's Nasdaq crypto index U.S. ETF will initially include Bitcoin and Ethereum but may ultimately expand to include other digital currencies.
pump.fun: Live streaming feature on the website to be suspended indefinitely
pump.fun released an official announcement stating: "Recent events during platform live streams have raised concerns. We regret to hear about some users' experiences and take this opportunity to address these issues openly and directly… To ensure the absolute safety of users, we will indefinitely suspend the live streaming feature on the website until the infrastructure is ready to handle higher-level activities.
In the future, we will make the website's usage rules and regulations more transparent by publishing guidelines. We will also provide more visibility to creators and users regarding individual review decisions to ensure everyone understands the processes and outcomes."
Justin Sun invests $30 million in Trump family's crypto project WLFI, becoming its largest investor
Justin Sun announced a $30 million investment in the Trump family's crypto project World Liberty Financial (WLFI), becoming its largest investor.
He also stated that the U.S. is becoming a center for blockchain, thanks to Trump's support for Bitcoin.
"What are the must-read articles from the past 24 hours"
DeSci track entrepreneurs form a hierarchy: entrepreneurs in vertical fields are "scarce"
"DeSci" is not a new concept, but since November this year, the term has suddenly gone viral in the community—especially during the November Devcon, where it was heavily promoted by Binance co-founder CZ and Ethereum founder Vitalik, making many feel it is a trendsetter. According to Dune data, the popularity of DeSci continues to rise, becoming the leading narrative in recent times.
DeSci (Decentralized Science) is a movement that aims to build fair public infrastructure in the field of scientific research using the Web3 stack to fund, create, review, verify, store, and disseminate scientific knowledge, according to the Ethereum Foundation's definition. Specifically, DeSci aims to address challenges in traditional scientific research, such as funding difficulties, insufficient data sharing, and low research transparency. Currently, projects addressing funding issues are the main type in the DeSci track.
According to RootData, there are currently as many as 32 projects in the DeSci track, making it somewhat overwhelming to filter through them, but projects with an outstanding founder or co-founder are rare. It can be said that if we rank these DeSci entrepreneurs, a hierarchy of disdain among DeSci founders would form: highly vertical entrepreneurs > top elites from crypto/other industries > finance professionals > serial entrepreneurs from other industries.
Exploring Trump 2.0 cabinet members, over 5 are "crypto traders"
Just two weeks after Trump's election, his 2.0 cabinet has been fully nominated. Among its members are not only Bitcoin believers but also supporters of altcoins and Dogecoin. This article will give you a quick overview of Trump's 2.0 cabinet and their stance on cryptocurrency.
New President Trump himself holds over $5 million in cryptocurrency. According to Arkham data, Donald Trump currently holds $5.4 million in cryptocurrency, with his largest asset being ETH, holding 495.664 ETH, worth about $1.7 million. His top five holdings also include: WETH (about $1.64 million), TRUMP (about $100,000), TROG (about $40,000), and GUA (about $15,000).
Behind LUM, perhaps is a self-experiment by the Coinbase team
As we continuously chase the next hot trend in the crypto space, whether it's decentralized science (DeSci), meme culture, AI, or other hot concepts, there are always some milestone historical events that lay the foundation for the entire industry.
For example, #Bitcoin is the first cryptocurrency, which not only has significant historical importance but also inspired almost all crypto innovations we know today. Similarly, $DOGE is the first true "meme coin," initially just a joke based on Bitcoin, but it became a phenomenon.
In the crypto space, those "one-of-a-kind" projects (1 of 1s) and true blue-chip projects (TRUE bluechips) are extremely rare. Nowadays, when we discover such projects, they are often backed by heavyweight venture capital (VC) firms like Paradigm or a16z.
But what if I told you that a brand new "one-of-a-kind" historic event has recently emerged in the crypto space, yet it has been overlooked due to a lack of attention? Would you believe it?
