Cryptocurrency

Fintech CEO: Beanstalk Farms 9-Figure Exploit was Avoidable

Published

2 years ago

April 21, 2022

PeckShield flagged an attack on Beanstalk Farms, an Ethereum-based stablecoin protocol. The attackers are estimated to have made off with over $80MM in cryptocurrencies, though the exploit, in totality, is expected to be valued at over $180MM. Afterwards, the stablecoin’s market plummeted from its $1 peg.

“According to Beanstalk’s summary of the event, the attacker was able to exploit a failure to implement flash loan resistance measures, allowing the attacker to take out a flash loan in order to attain a significant amount of Stalk, the governing token of Beanstalk. That allowed the attacker to utilize the voting rights of the Stalk to propose a governance proposal which flushed the protocol funds. These kinds of exploits… they’re just entirely avoidable with the right security and audits in place,” said Richard Gardner, CEO of Modulus, a US-based developer of ultra-high-performance trading and surveillance technology that powers global equities, derivatives, and digital asset exchanges.

The company’s summary said, in part, “Beanstalk did not use a flash loan resistant measure to determine the % of Stalk that had voted in favor of the BIP. This was the fault that allowed the hacker to exploit Beanstalk.”

“It is important that audits are done regularly, especially as changes are made, which might allow for additional vulnerabilities. Like in this case, where the company underwent an audit on its smart contracts, but not since the flash loan vulnerability was introduced. Security isn’t a one-and-done thing. Security in the digital assets space must be an ongoing pursuit,” said Gardner.

“One item of interest, beyond solely the hack in question, is that it looks like the attacker sent a small chunk of the proceeds of the exploit to a wallet for Ukrainian relief efforts. At this point, it hasn’t been identified if the attack is related to a particular ideology, nor is it certain that a donation of roughly $250,000 is indicative of anything ideological at all, considering that’s dwarfed by the total value of the attack. However, it is definitely worth noting,” said Gardner.

Modulus is known throughout the financial technology segment as a leader in the development of ultra-high frequency trading systems and blockchain technologies. Modulus has provided its exchange solution to some of the industry’s most profitable digital asset exchanges, including a well-known multi-billion-dollar cryptocurrency exchange. Over the past twenty years, the company has built technology for the world’s most notable institutions, with a client list which includes NASA, NASDAQ, Goldman Sachs, Merrill Lynch, JP Morgan Chase, Bank of America, Barclays, Siemens, Shell, Yahoo!, Microsoft, Cornell University, and the University of Chicago.

“Given the geopolitical conflict that is going on around the world, now more than ever, the industry should be on high alert, buttoning up any faults that may exist. Especially after the United States linked the North Korean Lazurus Group to the previous major crypto hack, it should be clear that it isn’t solely issues in Eastern Europe which should draw heightened awareness,” said Gardner.

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Samed Olukoya

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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Cryptocurrency

Will Pump-and-Dump Fun Kill the Meme Coin Frenzy in 2024?

Published

6 days ago

September 15, 2024

Temitayo Olukoya

The meme coin market, once dominated by viral hits like Dogecoin and Shiba Inu, is facing a new challenge in 2024: the rise of pump-and-dump schemes masquerading as community-driven fun.

These events, organized on social media platforms, encourage participants to collectively buy a meme coin, inflating its price before early investors quickly sell, leaving many with heavy losses.

While pump-and-dump schemes are not new to crypto, 2024 has seen them take on a new form in the meme coin space, branded as “fun events” or “pump parties.” Communities treat these schemes as a kind of joke, with memes about losing money or rockets crashing back to Earth, softening the blow of financial risk. However, this emerging trend has begun to erode trust in meme coins.

Meme coins, by nature, thrive on internet culture, hype, and community sentiment. Their value is rarely tied to any real utility, making them particularly susceptible to manipulation. As more pump-and-dump schemes surface, many fear that investors, especially newcomers, may begin to associate all meme coins with high risk and fleeting value.

This shift could mark the beginning of the end for the meme coin craze. Established tokens like Dogecoin may survive thanks to their strong communities, but lesser-known meme coins may struggle to gain traction as pump-and-dump events increase skepticism.

The future of meme coins depends on whether the community can move past these schemes and find more sustainable ways to build value—or risk being seen as nothing more than a fleeting, high-stakes game.

Cryptocurrency

Telegram Mini Apps Ushers in a New Era For Airdrop Hunters

Published

6 days ago

September 15, 2024

Temitayo Olukoya

Telegram, a social media platform has taken center stage with the rise of a new wave of mini-apps designed specifically to streamline the airdrop process, thereby gaining an increase in momentum within the crypto communities.

The crypto industry had always been about innovation, but airdrops—free token giveaways by blockchain projects—had long been plagued by inefficiencies. Manual distribution was slow and error-prone, scammers frequently exploited the process, and users often struggled to keep track of the numerous airdrops they were eligible for.

However, Telegrams’ simple user interface allowed projects to upload their token pools and define criteria for participants, such as holding specific tokens or completing tasks like following social media accounts, playing games, linking crypto wallets and others for airdrop eligibility.

List of Airdrops for Telegram Users

Fintopia
Blum
X Empire
PocketFi
Hamster Kombat
Hot
Tomarket
OGC
Sidekickfan
Major
TonxDao
Notgram
Memefi
Agent 301
Zesh
Acki Nacki
Vertus
Tapswap
Catizen
Cats
TonStation

Catizen Airdrop
Catizen is set to airdrop its tokens on September 20, 2024. The game focuses on AI-powered cat characters, offering users a play-to-earn experience with dynamic AI interaction. This anticipated airdrop event is expected to increase the game’s player base significantly.

Hamster Kombat Airdrop
Hamster Kombat will have its airdrop on September 26, 2024. As one of the most popular Telegram-based battle games, players engage in competitive combat using unique hamster characters. Don’t miss out on this exciting airdrop before the official listing.

Cats Telegram Airdrop
The Cats Telegram project has announced its airdrop event for the end of September 2024. The game features feline characters, and players can earn tokens through engaging challenges and missions. With an enthusiastic community, the airdrop is expected to boost user engagement.

Major Airdrop
Major, a rising star in the play-to-earn arena, will conduct its airdrop on October 1, 2024. Players can expect immersive gameplay with various missions and rewards. This airdrop will precede its highly anticipated listing, so be sure to participate.

TonStation Airdrop
TonStation, known for integrating the TON blockchain into play-to-earn mechanics, will hold its airdrop on October 6, 2024. The game offers players a chance to earn tokens through interactive station-building tasks. Secure your tokens during this airdrop event!

MemeFi Airdrop
MemeFi’s airdrop will take place on October 9, 2024, offering users a chance to earn valuable tokens. This Telegram-based game merges memes with financial strategies, creating a fun yet profitable play-to-earn experience. Don’t miss this unique opportunity!

X Empire Airdrop
X Empire, known for its competitive empire-building gameplay, will airdrop tokens on October 15, 2024. Players can expect an engaging experience with strategic challenges. This airdrop precedes its listing, offering players an early chance to grab in-game assets.

TapSwap Airdrop
TapSwap is set to host its airdrop in mid-October 2024. This game allows players to earn tokens through quick, tap-based challenges. With its rising popularity, the airdrop is expected to attract a large number of participants. Stay tuned for the exact date!

PocketFi Airdrop
PocketFi’s airdrop is scheduled for Q4 2024. This play-to-earn game combines DeFi features with fun, interactive missions. Players can earn tokens through various in-game activities. The exact airdrop date will be announced soon, so keep an eye out for updates.

Blum Crypto Airdrop
Blum Crypto is set to conduct its airdrop in Q4 2024. This game blends blockchain technology with immersive gameplay, offering players the chance to earn tokens. The airdrop is anticipated to draw significant interest from the Telegram gaming community.

Cryptocurrency

Nigeria Sees Surge in Crypto Licenses: 50 Exchanges Apply as SEC Embraces Digital Assets

Published

1 week ago

September 13, 2024

Investors King

Emonotimi Agama, director-general of the Securities Exchange Commission (SEC), has disclosed that 50 cryptocurrency exchanges have applied for operational licenses in the country following the government’s change in stance on digital assets.

The DG disclosed this during a fireside chat at the BusinessDay Blockchain Conference in Lagos on Wednesday.

In August, the SEC announced that it had granted approval in principle to two Digital Asset Exchanges to begin operations under its Accelerated Regulatory Incubation Program (ARIP).

Five firms were also admitted to test their models and technology under its Regulatory Incubation Program.

The approved firms include: Busha Digital Limited, Quidax Technologies Limited, Trovotech Ltd, Wrapped CBDC Ltd, HousingExhange.NG Ltd, Dream City Capital, and Blockvault Custodian Ltd.

The ARIP was introduced by the SEC to onboard firms that had already begun operations before the release of the Rules on Virtual Asset Service Providers in May 2022.

The RI Program, on the other hand, was designed to evaluate the business models of digital asset firms and allow them to test their products, services, and technology in a real-world market environment under the regulator’s close supervision.

At the time, the SEC had noted that additional license applications were being assessed and that approvals-in-principle would be granted on a case-by-case basis once the requirements were met.

According to the DG on Wednesday, the regulator received 50 applications and has accepted seven firms into its programmes.

“Our work at the SEC is to protect investors and foster market development,” he said, noting that while the commission is open to innovation, businesses must meet regulatory and compliance requirements to ensure the growth of a stable and sustainable digital economy.

He explained that the government is receptive to crypto and blockchain because it has seen the country’s youths adopt the technology.

He, however, noted that the pace of acceptance of digital assets may vary across different sectors but will eventually happen.

“For Innovators, we encourage you to seize the opportunity to develop blockchain solutions tailored to Africa’s unique needs. Focus on solving real-world problems, such as financial exclusion, inefficient supply chains, and lack of transparency in governance,” he added.

During another fireside chat, Buchi Okoro, Quidax’s chief executive officer, noted that regulation helps check operators’ activity in the space and protect investors.

He said that much of the fraud carried out with crypto, while alarming, pales in comparison with those done through traditional channels.

He highlighted that the issue with crypto was that criminals quickly adopted it. “Criminals typically adopt new technology faster than everyone else,” he said.

Okoro stated that much of this will dissipate as more genuine entities embrace the market.

According to Francis Ogbuka, vice president of sales and Development, Zone, the recent licensing of crypto exchanges will lead to more growth in the sector as many players will move their assets to regulated entities that offer them a level of safety.

Nigeria is one of the largest peer-to-peer (P2P) crypto markets globally. According to Chainalysis, a global blockchain platform, crypto transactions in the country totalled $56.7 billion between July 2022 and June 2023.

SEC has been leading efforts to establish a regulatory framework for the crypto industry, particularly after the Central Bank of Nigeria (CBN) lifted its ban in December 2023 and handed regulatory oversight to it.