Crypto Flipsider News – BTC ETH Consolidates; Crypto.com’s Korea Expansion; Dragoma Rug Pull; Beanstalk Relaunches; deBridge Attack

Read in the Digest:

• Bitcoin and Ethereum consolidate – Oasis Network as emerges biggest gainer.

• Crypto.com secures South Korean regulatory licenses via acquisition of local companies.

• Polygon-based Web 3.0 sports project ‘Dragoma’ pulls the rug on investors.

• Beanstalk relaunches stablecoin after $182 million attack in mid-April.

• North Korean hackers behind the attempted deBridge Finance attack.

Bitcoin and Ethereum Consolidate – Oasis Network Emerges as Biggest Gainer

Market leaders Bitcoin (BTC) and Ethereum (ETH) consolidated over the weekend after a breakout rally. However, both assets are now showing renewed signs of bullish pressure, with Bitcoin gaining 4.5% to top $24,150 for the first time in August.

The 24 hour price chart for Bitcoin (BTC). Source: CoinMarketCap

Ethereum’s (ETH) gains surpassed Bitcoin’s, as it rose 6.1% over the last 24 hours to trade at $1,806—the highest valuation achieved by ETH since June 9th.

The 24 hour price chart for Ethereum (ETH). Source: CoinMarketCap

With BTC and ETH just finding their bullish footing, the Oasis Network (ROSE) has been on an upward trajectory. After gaining 15% in value on Sunday, and 11.9% on Monday, August 8th, ROSE hit a new 3-month high at $0.1107.

The 3 day price chart for Oasis Network (ROSE). Source: CoinMarketCap

Flipsider:

• In the heat of global crypto regulation, a new bill introduced in the U.S. Senate could see Bitcoin and Ethereum officially recognized as commodities, and overseen by the Commodity Futures Trading Commission (CFTC).
• Regardless of regulatory concerns and the bearish market, BH Digital, a Brevan Howard Asset Management subsidiary, managed to raise $1 billion in the largest crypto hedge fund launch ever.

Why You Should Care

The rally experienced by Bitcoin and Ethereum re-enforces projections from experts that the crypto market has bottomed out, and could once again soar to new highs.

Crypto.com Secures South Korean Regulatory Licenses Via Acquisition of Local Companies

Leading crypto exchange Crypto.com has completed its virtual asset service provider registration under the ‘South Korean Electronic Financial Transaction Act‘ after acquiring two Korean-based companies.

Crypto.com announced the acquisition of payment service provider PnLink Co., Ltd., and virtual asset service provider OK-BIT Co. Ltd. at ‘Korea Blockchain Week 2022’. However, the exchange did not disclose the financial details behind the deal.

The registration as a virtual asset service provider will permit Crypto.com to provide crypto asset exchange and custody services, while keeping in compliance with the ‘South Korean Electronic Financial Transaction Act‘. 

According to the General Manager of Crypto.com’s South Korea branch, Patrick Yoon, the expansion will “not only help further evolve and empower commerce in Korea but also support the greater creation and development of our Web 3.0 ecosystem.”

Flipsider:

• Crypto.com’s native token CRO has been a notable weaknesses of the exchange, having lost more than 85% of its value in the last 8 months.

Why You Should Care

The license from South Korea is expected to be a huge boost for Crypto.com’s push for international expansion.

Polygon-Based Web 3.0 Sports Project ‘Dragoma’ Pulls the Rug on Investors

The creators of the newly launched Polygon-based, Web 3.0, lifestyle sports application ‘Dragoma’ have pulled the rug on investors. Leading security firm PeckShield reported the rug pull of the project, which was launched in June 2022.

The unfortunate incident followed two significant events for Dragoma; first, MEXC Global announced the listing the DMA/USDT pair in its Assessment Zone, triggering the purchase of DMA and driving the token to an all-time high of $1.82 on August 8th.

The 7 day price chart for Dragoma (DMA). Source: CoinMarketCap

Data from CMC shows that the DMA tokens, which had been trading at as high as $1.82, are down more than 99.9% to be valued at $0.001691 at the time of writing. According to early autopsies, investors in the project have suffered losses of up to $3.5 million. 

Following the rug pull, the developers behind the Dragoma project have deleted their social media accounts, and shut down their website. PeckShield revealed that the stolen funds have been deposited in an unidentified, centralized cryptocurrency exchange.

Flipsider:

• Dragoma published a blog post stating that, due to “abnormal on-chain transfers of Dragoma (DMA)” trading of DMA has been suspended until further notice.

Why You Should Care

Rug pulls have long been a thorn in the side of the crypto space becoming particularly common in 2021. As a result, investors are advised to only invest in well-researched projects with a proven record.

Beanstalk Relaunches Stablecoin After $182 Million Attack in Mid-April

Ethereum-based algorithmic stablecoin Beanstalk Farms (BEAN) has relaunched its protocol after losing $182 million in a massive flash loan attack and government exploit that forced the protocol offline in mid-April.

In its official blog post, Beanstalk announced the relaunch of its protocol at 12 pm (ET) on Saturday–one year after its initial deployment “Replant.” Additionally, Beanstalk claims that the network is now stronger and more secure than it was before the attack. 

Changes to the project’s code have been audited by two firms from “top notch smart contract auditing firms” in Trail of Bits and Halborn. The protocol has also been migrated to a community-run, multi-sig wallet until it can secure an on-chain governance mechanism.

Flipsider:

• Beanstalk’s (BEAN) market cap reached an all-time high of $100 million in mid-April, but currently stands at around $284,000, trading at a low of $0.0039.

Why You Should Care

Beanstalk’s creator, Publius, stated that the protocol will be more sustainable, as it now solves existing stablecoin problems and helps businesses reach their goals more effectively.

North Korean Hackers Behind Attempted deBridge Finance Attack

As attacks on Decentralized Finance (DeFi) protocols increase, cross-chain interoperability and liquidity protocol deBridge Finance experienced an email-based cyberattack over the weekend.

Co-Founder of deBridge Alex Smirnov linked the attack back to the North Korea-associated Lazarus Group, a notorious hacking organization responsible for some of the most infamous security breaches, including the $625 million Ronin bridge exploit carried out earlier this year.

On Friday, employees of deBridge Finance received an email that was seemingly from Smirnov, with an attachment labeled “New Salary Adjustments.” While many employees flagged the email, one downloaded and opened the associated file.

Upon closer inspection of the file, Smirnov explained that Windows-based systems would have been at risk, but macOS users were unaffected. On Windows, the file executes a cmd.exe command, autostarts, and begins to share information held on the computer with the attacker.

Flipsider:

• Smirnov has warned DeFi and Web 3.0 protocols that the email phishing attack on deBridge is widespread, and adequate measures should be taken to protect their projects. 

Why You Should Care

The surge of attacks on cross-bridge protocols has led to the loss of over $2 billion in cryptocurrencies to hackers this year.