Blockchain Sister Startups Allegedly Pull $8 Million Exit Scam

Blockchain startups RepuX and JoyToken have reportedly pulled a joint initial coin offering (ICO) exit scam, according to an exposé by Hard Fork of The Next Web (TNW) on May 16. RepuX and JoyToken reportedly ran their ICO promotions during March and April of 2018, and are now walking away with $4.7 million and $3.3 million, respectively. As far as the startups’ stated plans were concerned, Hard Fork reports: “RepuX claimed that it was trying to build what it called a ‘blockchain-powered data marketplace,’ while JoyToken was trying to create…

Top Banks ‘Investing $50 Million’ to Build Blockchain Settlement System

Some of the world’s biggest banks are said to be investing around $50 million to build a blockchain-based digital cash settlement system. A Reuters report on Friday, citing “people familiar with the plans,” said possibly a dozen unspecified banks are involved in the project. The participating banks will reportedly be setting up a new entity called Fnality for the project, which could launch next year. Back in 2015, Swiss banking giant UBS was said to be working on a cryptocurrency that would be “linked to real-world currencies and connected to…

Bitcoin Price Crashes to $6,400 Triggered by Massive $35 Million Sell Order

By CCN: On May 17, within minutes, the bitcoin price plummeted from around $7,800 to $6,400 in a flash crash, recording an unexpected 18 percent drop. The bitcoin price briefly plunges to $6,400, recovers swiftly (source: coinmarketcap.com) The sudden decline in the bitcoin price led the valuation of the crypto market to plunge from $257 billion to $225 billion, by more than $32 billion in less than 24 hours. What triggered the sudden bitcoin price drop? According to researchers and investors including Su Zhu, the CEO at Three Arrows Capital,…

Upbit Exchange Operator Plies $46 Million Into Blockchain in First Year of Investment

The parent company of South Korean cryptocurrency exchange Upbit has invested almost $50 million in blockchain startups since March 2018, English-language Korean business news outlet The Investor reported on May 15. Dunamu, which created a dedicated investment subsidiary, Dunamu & Partners, at the same time last year, has given cash to a total of 26 businesses. In total — under plans it announced previously — the company aims to invest 100 billion won ($84 million) into the industry. “Our goal is to contribute to the healthy growth of the blockchain…

Crypto Wallet Secures $50 Million Insurance for Customer Crypto Assets

Crypto securities company Curv has partnered with insurance company Munich Re to obtain $50 million in coverage, according to a Curv press release on May 10. This new insurance is designed to cover any cases in which a bad actor was able to gain access to either Curv or the customer’s shares, both of which would be needed in order to sign off on an illicit transaction. As is stated in the press release: “Even in an extreme scenario where both networks’ shares were somehow simultaneously compromised and a transaction…

QuadrigaCX Has $21 Million in Assets and Owes $160 Million: EY Report

QuadrigaCX, the Canadian crypto exchange that collapsed after the death of its CEO and founder late last year, has just $21 million in assets, but owes creditors $160 million, its court-appointed monitor and trustee said. The latest report by Ernst and Young (EY), which is dated May 1 but appears to have been published in the last few days, outlines three legal entities affiliated with the exchange – Quadriga Fintech Solutions Corp., Whiteside Capital Corporation and 0984750 B.C. Ltd., each of which is presented as its own bankrupt firm. As a…

Fundamental Labs Fund to Invest $44 Million in Brand-New Bitcoin Miners

Fundamental Labs, a blockchain fund manager that’s backed Binance, Coinbase and Canaan Creative, is investing $44 million in top-of-the-line bitcoin miners, a longer-term bet than most are making in the sector. Revealed exclusively to CoinDesk, the Shanghai-based firm plans to run 20,000 to 30,000 units of brand-new mining equipment starting in June to capture on the cheap hydropower electricity during the rainy summer in China’s southwestern region. “Mining is the fundamental block to support the whole crypto ecosystem. That’s why we invest in mining farms, equipment and pools and participate…

Techstars-Backed Alkemi Enters DeFi Race With $16 Million Liquidity Pool

A new type of decentralized finance (DeFi) app wants to boost crypto-market liquidity by offering you interest on your coins. Today at the Techstars Blockchain Accelerator demo day, Alkemi CEO Ryan Breen will unveil a crypto liquidity pool deal worth $16 million from industry veterans like Joseph Weinberg, chairman of the data network Shyft, and Alex Friedberg of BXB Capital. Alkemi is looking to create a liquidity system for exchanges by making an accessible honeypot that service providers can dip into when demand increases faster than supply. “It’s solving inter-settlement…

Report: Australians Lost Over $4 Million to Crypto Scams in 2018

The latest edition of “Targeting scams,” an annual report released by the Australian Competition and Consumer Commission (ACCC) revealed that the country saw a 190 percent increase in cryptocurrency scams, with a total of $6.1 million AUD ($4.3 million USD) lost to crypto criminals. This marks a substantial rise from the $2.1 million AUD ($1.48 million) that was reportedly lost to scams in Australia back in 2017. The increase came even amid last year’s crypto winter, which saw virtually every digital asset in circulation lose a significant chunk of its…

ErisX Launches Crypto Spot Market on Heels of New $20 Million Raise

Aspiring crypto derivatives provider ErisX took one step closer to its ultimate goal Tuesday with the launch of a spot market. The exchange announced that it will immediately support dollar trading pairs with bitcoin, bitcoin cash, litecoin and ethereum, as well as bitcoin trading pairs with the other three cryptocurrencies at launch. While ErisX has a number of firms looking to trade on its platform at launch, it did not disclose any names. Chief strategy officer Matt Trudeau told CoinDesk that, at launch, ErisX’s platform will include both its exchange…