Stablecoins

Malaysian Kidnappers Demand $1M in Tether for Chinese National

Friday. August 16 at 1:30 AM

1 min. read

Six Malaysian individuals, including a married couple, were accused of kidnapping a Chinese man and asking for a ransom of 4.44 million Malaysian ringgits ($1 million) in Tether's USDT stablecoin. The group allegedly abducted the man on July 11 and demanded 1 million Tether tokens for his release. The accused, aged 25 to 29, pleaded not guilty to the charges. The court denied bail and set the next hearing for October 8. Local police are searching for four more suspects linked to the abduction. If convicted, the kidnappers could face 30 to 40 years in prison. Additionally, $723 million worth of electricity was lost to illegal crypto mining between 2018 and 2023. Deputy Minister Akmal Nasir highlighted the issue at an event where seized Bitcoin mining machines were destroyed, emphasizing the need to address electricity theft by crypto miners.

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Collaborative Effort to Combat Financial Crimes in Crypto Industry

Tuesday. September 10 at 11:30 PM

Tether, Tron, and TRM Labs have teamed up to establish the T3 Financial Crime Unit (T3 FCU) to tackle illicit activities involving USDT on the Tron blockchain. The unit will focus on identifying transactions related to terrorism, sanctions evasion, theft, hacking, cybercrime, and fraud. Tron's significant role in minting USDT makes its involvement in the FCU crucial. The collaboration aims to make the crypto industry safer and more secure. USDC, a USDT competitor, stopped supporting Tron due to concerns about transparency and safety. Despite criticism from the UN about USDT's use in money laundering, Tether defended its traceability and collaboration with law enforcement. Since February 2024, Tron-based USDT has seen a significant increase in minting. The joint effort signifies a commitment to using blockchain for positive impact and deterring illicit activities in the industry.

Stablecoins

Innovative Approaches in the Synthetic Stablecoin Market

Tuesday. September 10 at 10:00 PM

The synthetic stablecoin market within decentralized finance (DeFi) is dynamic, with Ethena making a significant impact through its innovative synthetic dollar, USDe. Despite the dominance of asset-backed stablecoins, Ethena has attracted a TVL of $2.7 billion with high yields. However, risks are associated with Ethena's strategy, particularly its reliance on USDT-margined contracts. Stablecoins like Tether (USDT) and USD Coin (USDC) are popular but face risks, as seen during the Silicon Valley Bank collapse. Projects like Ethena, Frax, UXD, and Elixir are meeting the demand for yield-bearing stablecoins. Ethena's use of USDT-margined perpetual contracts helps maintain its peg and offer high yields. While Ethena's approach has proven successful, debates on balancing yield, decentralization, and risk will continue as the market evolves. Other projects like Aegis.im are exploring different approaches to synthetic stablecoins, emphasizing resilience and risk management.

Stablecoins

Trump Family's Crypto Project Aims for Mass Adoption of Stablecoins

Thursday. September 5 at 4:30 PM

The Trump family's crypto project, although shrouded in mystery, is reportedly focused on promoting the use of US dollar-pegged stablecoins in decentralized finance. World Liberty Financial, in a recent statement, expressed its desire to drive the widespread adoption of stablecoins and DeFi. The platform aims to establish US-pegged stablecoins as the global settlement standard for the next century amidst concerns about the dollar's diminishing dominance. Notably, the stablecoin market, excluding algorithmic variants, has seen consistent growth, hitting a record $169 billion market cap. The project hinted at a collaboration with DeFi protocol Aave, hinting at a potential Ethereum blockchain foundation. Despite facing challenges like hacking and scams, the project envisions a future where traditional banking is bypassed, positioning the US as a crypto hub.

Stablecoins

Central Banks Increasing Gold Reserves in 2024

Monday. September 2 at 10:30 PM

Central banks worldwide have been boosting their gold reserves to record levels in 2024 as a shift towards store of value assets. According to a report by the Kobeissi Letter on Sept. 2, global net gold purchases by central banks hit 483 tonnes in the first half of 2024, a new high. This marks a 5% increase from the previous record of 460 tonnes in the first half of 2023. Major buyers during this period included the National Bank of Poland, the Reserve Bank of India, and the Central Bank of Turkey. The trend of increasing gold reserves is driven by a lack of trust in Western reserve assets, with gold being seen as a neutral and stable option. Despite gold's strong performance, Bitcoin has also shown significant growth in 2024. While gold prices hit a record high, Bitcoin has outperformed gold this year, despite some fluctuations.

Stablecoins