Bitcoin and Ether rally as market capitalization soars 23% and 19% respectively

Additionally, the government is working with the Monetary Authority of Singapore to use this new currency for remittances between the two countries.The value of Bitcoin, the largest cryptocurrency by market capitalization, has seen a 23% increase in the past seven days and is currently trading above $21,300. The reason for the upward trend is not clear, but multiple indicators may provide some insight. In the stock market, the performance was mixed as investors analyzed the fourth-quarter earnings reports of banks like Goldman Sachs.  Ether, the second-largest cryptocurrency, also saw a 19% increase in the past week and is currently trading flat at $1,590. More here.

Regulator-Required Insurance: A market-oriented solution for preventing crypto exchange insolvency and catastrophic events

As founders of the first crypto and blockchain infrastructure insurance company, we suggest regulator-required insurance as a market-oriented means of preventing the damage caused by crypto exchange insolvency and related catastrophic events. Indeed, even if the Securities and Exchange Commission, for example, did have the knowledge and agility required to adequately regulate Web3, its reach extends only to the limits of its jurisdiction and, as we have seen with the Bahamas-based FTX, that reach was too short by about 150 miles. Experience makes clear that the current regulatory regime is not well-equipped to prevent these events. While it is obvious something needs to happen, the usual conversations are taking place about what new regulations need to be enacted to prevent another FTX. More here.

$415 million in crypto stolen, representing a significant portion of identified assets for recovery

The missing crypto could be connected to a hack of FTX’s systems that was uncovered shortly after the company collapsed in November. Another $2 million of hedge fund Alameda Research’s crypto was also stolen. FTX said in a statement that this includes “unauthorized third-party transfers” of $323 million out of FTX.com (the international business) and $90 million out of FTX US. In a presentation titled “Maximizing FTX Recoveries,” lawyers and advisors for FTX debtors updated the total liquid assets identified for recovery, and said they’re valued at about $5.5 billion. However, bankrupt crypto firm FTX said on Tuesday that $415 million worth of crypto was hacked from the exchange’s accounts, representing a sizeable portion of the identified assets the company is trying to recover. Full report here.

Blockchain industry experts predict increasing tokenization of economy at World Economic Forum

At the World Economic Forum, a group of experts in the blockchain industry had a conversation and came to the conclusion that in the future, the economy will become more and more tokenized. They predict that a variety of assets such as carbon credits, real estate, electricity, government bonds, and foreign exchange will be traded on the blockchain. The discussion, named "Tokenized Economies, Coming Alive," had attendees such as the CEO of Circle, Jeremy Allaire, the CEO of Bitkub Capital, Jirayut Srupsrisopa, the Finnish Minister of Transport and Communications, Timo Harraka, and the co-founder of Yield Guild Games, Beryl Li. One of the attendees, Jirayut Srupsrisopa, mentioned that Thailand's central bank plans to launch a central bank digital currency for the Thai baht wholesale market at the beginning of 2023.