Last Updated : March 06, 2023 / 09:52 AM IST
Cryptocurrency roundup for March 6: Pantera Capital leads $10.5 million funding round, Binance to help return funds to users in Voyager deal, Bybit suspends USD deposits via Bank Transfer, and more
A daily round-up of the most interesting articles on cryptocurrencies like Bitcoin, Ethereum and Tether to help jump-start the day.
Web3 Platform Few and Far Raises $10.5 Million in Funding Round
British Virgin Islands-based digital Collectibles web3 platform Few and Far on Friday announced that it has raised $10.5 million in a funding round led by Pantera Capital, a blockchain investment firm. The funding round also included other prominent investors such as Cypher Capital, Huobi Ventures, Hypersphere, Metaweb, Mantis Partners, and K5 Global. According to the company, the new funds will be used to expand the platform's capabilities, enhance user experience, and increase the number of web3 developers. IP owners are also expected to benefit from the platform, which provides an all-inclusive suite of developer tools to carry out everything related to next-generation digital collectibles. Details here.
Iron Bank Demands Accountability from Alpha Homora for Bad Debt
Decentralized finance (DeFi) lending protocol Iron Bank has called on Alpha Homora to take responsibility for its bad debt. The call follows Alpha Homora's alleged failure to provide a proposed solution to the issue despite repeated requests by Iron Bank. Iron Bank said it has been seeking a transparent and written solution from Alpha Homora, but the company has been unresponsive and continues to request private calls. Iron Bank added that written responses are important to protect all parties involved and provide full transparency. According to Iron Bank, Alpha Homora committed to topping off its collateral within three days but failed to meet the commitment. More here.
Binance CEO Changpeng Zhao Reiterates Support for Voyager Deal Despite SEC Objections
Binance CEO Changpeng Zhao has reiterated the company's support for the Voyager deal, despite objections raised by the US Securities and Exchange Commission (SEC). The SEC opposed the acquisition of Voyager Digital by BinanceUS, which was entered into in December 2022. However, US Bankruptcy Judge Michael Wiles on Thursday questioned the regulator's lack of explanation and action on the matter. “Deliberative is one thing, but what have you done? If there are reasons to be concerned here, I need to hear specifics,” he said. I’m shocked a regulator would come in and say: ‘I'm charged with regulatory authority over these things. These are reasons that I have concerns because they're within my regulatory jurisdiction, but I’ve done nothing, I have nothing to offer to you,” the Judge further said. Full report here.
NFT Trading Volume Hits Record $2 Billion in February: DappRadar Report
The non-fungible token (NFT) market is seeing a surge in trading volumes, with February recording the highest numbers since May 2022, according to DappRadar's latest industry report. The data platform reveals that NFT trading volumes reached $2 billion, with much of the growth attributable to the popularity of zero-fee marketplace Blur. Despite NFT sales dropping by 32% from January, trading volume increased by 120%. This can be attributed to incentivized trades ahead of Blur's native token airdrop in mid-February. While Blur has been challenging historically leading NFT marketplace OpenSea and taking over market share, DappRadar's blockchain research analyst, Sara Gherghelas, believes the marketplace isn't attracting new traders. Details here.
Gains Network Emerges As A Rising Star In Arbitrum's Thriving $2B DeFi Ecosystem
DeFi ecosystem Arbitrum, a Layer 2 scaling solution for Ethereum, has now become the fourth-largest decentralized finance, with over $2 billion of Total Value Locked (TVL). While decentralized perpetual exchange GMX leads the ecosystem, a rising star has been capturing attention in the form of Gains Network. Gains Network has been gaining traction with its gTrade perpetual futures exchange, which offers leverage trading on multiple asset classes, cryptocurrency research firm Delphi Digital said in a research report. Gains Network borrows concepts from the MakerDAO model to offer synthetic leverage trading with greater capital efficiency, similar to Synthetix. Users can stake GNS to receive platform fees paid in DAI, allowing them to deliver real yield without relying on token emissions. Continue here.
BlockFi Receives $9.9M from Silvergate Bank Following Bankruptcy Filing
After filing for bankruptcy protection in November 2022, BlockFi has been granted the release of almost $9.9 million from Silvergate Capital Corp by a U.S. Bankruptcy Judge. The bank had initially "reevaluated its business," which resulted in a number of companies ending their association with Silvergate. However, the court filing on Friday confirmed that Silvergate was required to return $9,850,000 deposited by BlockFi, The Block reported. Despite facing its own problems this week, including various litigation and regulatory and other inquiries and investigations, Silvergate agreed to release the majority of the funds held in BlockFi's reserve account within two business days. Full report here.
The Fall of Cryptocurrency: Uncertainty around Silvergate Bank Sparks Market Turmoil
The world of cryptocurrency is no stranger to sudden market movements and volatility, but the latest market shake-up has left many in the industry reeling. A large red bar appeared on trading charts, with cryptocurrency values plummeting by hundreds of millions of dollars within hours. Uncertainty around Silvergate Bank: One of the key reasons behind the sudden drop in cryptocurrency prices was the uncertainty surrounding Silvergate Bank, a California-based crypto-bank that plays an important role in providing market liquidity. Shares of Silvergate Bank fell by a staggering 58% during trading in the U.S. on Thursday. The bank allows cryptocurrency exchanges and other customers to exchange cryptocurrency for fiat money, and its fall has sparked concerns over the stability of the cryptocurrency market. Continue reading.
Bybit Suspends USD Deposits via Bank Transfer
Cryptocurrency exchange Bybit on Saturday announced the suspension of USD deposits via bank transfer, citing service outages from their partner. Effective immediately, USD deposits via Wire Transfer (SWIFT) and Wire Transfer (For US bank) are no longer available, it stated. The company has advised its users to continue making USD deposits via the Advcash Wallet, or to buy cryptocurrencies with their credit card on their One-Click Buy page. However, USD withdrawals via Wire Transfer (SWIFT) and Wire Transfer (For US bank) will still be available until March 10, 12am UTC. Bybit has also reminded its users that if they wish to withdraw USD at short notice, they should do so as soon as possible to avoid any potential disruptions that may occur due to the prevailing circumstances. Full report here.
Silvergate Investigation Fails to Dent Bitcoin Liquidity Despite Low Market Depth.
Blockchain analysis firm has reported that despite the ongoing negative news around Silvergate Bank, its potential impact on Bitcoin liquidity has not been as significant as many in the market may have anticipated. The report suggests that the recent Silvergate fiasco has not played a strong role in liquidity yet. Silvergate Bank, known for its relationship with the cryptocurrency industry, is under investigation for its alleged role in facilitating transactions related to a notorious darknet market. This news has raised concerns among market participants that Silvergate's potential legal troubles could have a significant impact on liquidity, particularly in the Bitcoin market. More here.