Crypto Hebdo: From BNB Chain Hack to Celsius Scandal

Crypto Hebdo : Du Hack de BNB Chain au scandale de Celsius

This week was eventful both on the market price structure side and on the general information level. Bitcoin Breaks Above $20,000 Amid Fed Pivot. As for global news, we find the fine imposed on Kim Kardashian for covert crypto advertising. With a restraining order, “TeraLabs Forma” has been imposed a restraining order. The Celsius affair seems to have taken on another dimension after the publication of user data. We wrap up with the hack that hit the Binance blockchain at the end of the week.

Bitcoin crosses the $20,000 mark

While Satoshi Nakamoto’s crypto had a rather mixed performance in September, October is looking pretty good for the asset. It gained nearly 6.5% in the first 7 days and eventually climbed back above the $20,000 mark. This sudden rise coincides with the overall recovery trend in global equity markets.

Investors are expecting a reversal of monetary policy from the US Federal Reserve, not expected. The author of the famous book “Rich Dad Poor Dad” earlier this week urged people to invest in Bitcoin as the dollar collapsed with the Fed’s pivot. Robert Kiyosaki predicts this Fed change by January 2023.

Another argument seems to play in Bitcoin’s favor for this start of the month. In fact, historical data shows that the asset has always shown growth in October. Since 2011, that would have averaged 26.3% growth over that period. However, we must clarify that this month’s upward trend has not been validated during the bear market years.

To learn more, read the following articles:

πŸ‘‰: Bitcoin: Whales Accumulating at $20,000?

πŸ‘‰: Robert Kiyosaki advises us to buy Bitcoin while the dollar is rising

American influencer gets a salty fine from the SEC

The American reality star has agreed to pay the US Securities and Exchange Commission (SEC) $1.26 million after being accused of covertly advertising cryptocurrency. Indeed, Kim Kardashian would promote a certain EMAX token (EthereumMax) without specifying that it was an advertisement. According to the SEC, this is a violation of federal securities laws.

Kanye West’s ex-wife has not denied the allegations and has decided to cooperate with the ongoing investigation. She even promised not to advertise crypto projects for three years. In addition, the US Securities and Exchange Commission used the media coverage of this affair to clarify matters surrounding celebrity advertising. Gary Gensley, in particular, said:

“Celebrity endorsements do not mean an investment product is right for you or legitimate”

To learn more, read the following article:

πŸ‘‰: Kim Kardashian fined $1.26 million for covert crypto ad

South Korean court arrests crypto Terra team member

According to information reported by the JBTC newspaper, South Korean justice has arrested Yoo, an employee of TFL. The latter was among those implicated in the arrest warrant issued by the Seoul South District Financial Crimes Division in early September. Yu is accused of violating the Capital Market Law, fraud and breach of duty.

However, the TerraForms Labs Foundation believes that South Korean justice does not have the jurisdiction to rule on the case, as it claims that Terra Luna is not a financial guarantee. Even if many players in the crypto ecosystem believe that TFL may have manipulated the price of its token. In an interview with The New York Times, Vitalik Buterin said:

β€œNo one knows what the Terra team really did with Bitcoin or LUNC. They made a lot of promises and really tried to make this kind of a very centralized effort to manipulate the market and maintain their coin. But it failed in the end, didn’t it? Β»

To learn more, read the following article:

πŸ‘‰: Terra Luna saga: South Korean justice arrests TerraForm Labs employee

The Celsius case shakes up the cryptosphere

Documents released by the Justice Department reveal the dubious management of Celsius leaders. Additionally, the data shows that Alex Mahinsky, the company’s CEO at the time, would have withdrawn $40 million minutes before entering this notorious liquidity crisis. Daniel Leon, the other manager who eventually left the ship, also took his shares in the company. Newke Goldstein, another top leader, also took his shares in Celsius.

This information reinforces the fear of the company’s creditors despite the optimism of FTX to buy Celsius. Lenders realized repayment may be a low priority after his record-breaking withdrawals. So far, the platform has not justified the departure of its leaders, but it has nevertheless shared a summary table of the state of its finances. As far as we can see, creditors are not on the front line to get their money back.

To learn more, read the following article:

πŸ‘‰: Celsius Network: Documents reveal questionable management by leaders

Binance victim of massive hack

On the night of September 6-7, one of BNB Chain’s cross-chain applications suffered an act of hacking. During this attack, the hacker stole 2 million tokens, or nearly $560 million, but ended up walking away with only $110 million.

Despite the methodology used by the operator to drain funds from the blockchain bridge, blockchain security expert @samczsun has a theory. The hacker used the BSC token code Hun to transfer 1 million BNB tokens to him twice. The expert later summarized with these words:

β€œIn summary, there was a bug in the way Binance Bridge verified evidence, which could have allowed attackers to spoof arbitrary messages. Fortunately, the attacker only tampered with two messages, but the damage could have been much greater. Β»

To learn more, read the following article:

πŸ‘‰: Binance loses millions of dollars after crypto bridge hack

Other notable crypto news

  • SushiSwap gains over 20% after GoldenTree Assets Management disclosed its $5.3 million cryptocurrency investment.
  • European Union imposes sanctions on crypto wallets belonging to Russian citizens.
  • Coinbase to release crypto documentary.
  • Tamadoge (TAMA) price crashes after various listings.


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