Welcome to our recap of the major stories in the crypto world! Here’s what has happened over the past week:
Tornado Cash Saga Drags On 🎭
The drama continues over the sanctions imposed on Tornado Cash by the Office of Foreign Assets Control (OFAC).
United States Congressman Tom Emmer sent a letter to Treasury Secretary Janet Yellen to clarify OFAC’s decision.
I sent a letter to Treasury Secretary Yellen regarding the unprecedented sanctioning of Tornado Cash. The growing adoption of decentralized technology will certainly raise new challenges for OFAC. Nonetheless, technology is neutral and the expectation of privacy is normal.⬇️ pic.twitter.com/0aN4a4A6tb
— Tom Emmer (@RepTomEmmer) August 23, 2022
This is the first time that a piece of code was added to the Specially Designated Nationals and Blocked Persons List (SDN), which was argued by the Electronic Founder Foundation (EFF) that it could violate the First Amendment.
Meanwhile, Tornado Cash’s creator Alexey Pertsev has to stay in jail for at least another 90 days, according to a ruling by a judge in the Netherlands.
BREAKING: Alexey Pertsev, a coder arrested in Amsterdam for contributing to the Tornado Cash protocol, must stay in jail for 90 days pending trial, a Dutch judge ruled Wednesday.@jackschickler reports.https://t.co/J14Ot7fsTk
— CoinDesk (@CoinDesk) August 24, 2022
There has been an outcry within the Web3 community over Pertsev’s arrest, as this could kill innovation for open-source software.
— Sergej Kunz (@deacix) August 20, 2022
This is because developers can be held responsible for how their code is being used, even though they did not have any intentions of such malicious activity.
Another Rug Pull 🤦♂️
Even with fewer crypto scams happening now as compared to last year, there are still some bad hats out there.
Sudorare touted itself as forks of SudoSwap and LooksRare, 2 potential competitors to OpenSea.
This platform aimed to attract users to deposit their funds in Sudorare’s liquidity pools with the promise of higher yields.
However, after the platform launched, the developers drained liquidity from the pools, and made off with around 514 ETH.
Developers behind non-fungible token (NFT) platform Sudorare rugged users for over $800,000 in various cryptocurrencies Tuesday before deleting the project’s online footprint. @shauryamalwa reports.https://t.co/yGTxjegtuM
— CoinDesk (@CoinDesk) August 23, 2022
We would like to urge extreme caution whenever you invest in new projects that offer really high yields.
If the deal is too good to be true, it usually is the case!
Coinbase Now Offers Liquid Staking 💧
Liquid staking is now all the craze, and Coinbase has joined the bandwagon.
Coinbase will add support for Coinbase Wrapped Staked ETH (cbETH) on the Ethereum network (ERC-20 token). Do not send this asset over other networks or your funds will be lost.
What is cbETH? Let’s dive in 🧵👇 pic.twitter.com/n3Dp4OA6HO
— Coinbase Assets (@CoinbaseAssets) August 24, 2022
If you’ve staked ETH on the Beacon Chain, it can be converted into cbETH, which is a representation of your staked amount.
cbETH can be used for multiple DeFi use cases, such as lending, or depositing into a liquidity pool.
I don't know if you realize this, but @coinbase just launched liquid ETH staking. You can now convert your staked ETH to cbETH and do literally whatever you want with it throughout the DeFi ecosystem.
With The Merge approaching, this is incredibly bullish. https://t.co/vwXVd7pRwd
— yuga.eth 🛡 (@yugacohler) August 24, 2022
🦄 Uniswap Foundation Approved ✅
Learn more about the Foundation here: https://t.co/UQz5vBHqXD
— Uniswap Labs 🦄 (@Uniswap) August 24, 2022
The Uniswap Foundation has certain functions, such as:
- Promoting growth of the platform
- Changing the governance process
- Increasing awareness of Uniswap as a protocol
In fact, Uniswap is one of the DEXes we have integrated with on Ethereum. You can either use Uniswap directly on our platform, or get your trades routed from Uniswap and other DEXes to receive the best rates with our SmartSwap feature.
🔀 Low slippage trades
⛽️ Cheaper gas
— Krystal DeFi (@KrystalDefi) August 10, 2021
Telegram Usernames Are Now NFTs?
After the success of The Open Network’s domain name sale, Telegram founder Pavel Durov suggested a marketplace to auction usernames on Telegram.
— CoinDesk (@CoinDesk) August 22, 2022
Usernames have become really popular in the Web3 space, as it provides you with a form of identity.
The most popular one you may have heard of is Ethereum Name Service (ENS), which is one of the major non-financial applications of crypto as mentioned by Vitalik Buterin.
These usernames, or even group and channel links, may be converted into NFTs, and users are able to either buy or sell them via a marketplace on Telegram.
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