Kategorie: Crypto Business

• Laser Digital’s investment follows Infinity’s seed funding raised in September, backed by top VCs in the space.
• Infinity is an Ethereum-based protocol designed to advance institutional DeFi or what’s called “Hybrid Finance”
• Price discovery and risk innovation are critical to institutional adoption of DeFi.

Laser Digital, the crypto subsidiary of Japanese banking giant Nomura, has announced a strategic investment in decentralised finance (DeFi) protocol Infinity.

Infinity is an institutional-focused lending and borrowing platform founded by Kevin Lepsoe, a former head of structuring at Morgan Stanley. 

While the companies did not disclose the financial terms of the deal, Laser Digital’s investment follows Infinity’s $4.2 million seed round in September 2022. Major crypto market makers and venture capital investors that backed the round included Susquehanna International Group, Block0, GSR, OWC, Flow Traders,  and CSquared. 

Infinity looks to accelerate “Institutional DeFi”

Per details in a press release, Infinity will use the investment to accelerate the development of critical infrastructure targeted for “Institutional DeFi.” This is also known as hybrid finance.

Hybrid finance brings the benefit of blockchain technology to the space with an interoperable protocol for benchmark rates, credit and counterparty management. 

Olivier Dang, the Head of Ventures at Laser Digital, said the protocol is paving the way for institutional flows to come on-chain.

“Infinity is building critical infrastructure for DeFi, and its protocol enabling price discovery and management of risk within DeFi is transformative for institutions,” Dang noted. According to him, Infinity’s groundwork is key to the institutional-grade lending new levels of benchmark rates and risk management or innovation.

With a $300 trillion market of credit securities across loans, derivatives, and equity available, Ethereum-powered Infinity’s upcoming launch is bound to enable broader participation of institutional players in DeFi.  

Infinity founder Kevin Lepsoe commented:

“Laser Digital Ventures is an active investor in hybrid finance and a superb partner as we look to advance a rates protocol that meets the needs of the global investor community.”

Lepsoe pointed to investment being critical given the expectation of increased institutional flows to DeFi by 2025, particularly boosted by the new BIS guidelines. Hybrid finance is also set to be huge as crypto centralised finance (CeFi) dwindles, he added.

According to the protocol, part of the “wave of tokenization” and adoption will be down to blockchain efficiency, on-chain security and TradFi – DeFi fungibility.

The post Nomura’s Laser Digital invests in DeFi protocol Infinity appeared first on CoinJournal.

• Magic Eden has announced a strategic partnership with MoonPay.

• The two entities will work together to offer new payment options for purchasing digital collectibles. 

• MoonPay raised $555 million in November 2021.

MoonPay partners with Magic Eden

Web3 payment platform MoonPay has partnered with Magic Eden, one of the leading non-fungible token (NFT) marketplaces in the world. The partnership will see MoonPay offer new payment options for purchasing digital collectibles on Magic Eden.

Thanks to this latest cryptocurrency news, Magic Eden users can now buy NFTs across various blockchains using a credit or debit card, Apple Pay and Google Pay. The partnership is designed to make it easier to onboard new users into the web3 ecosystem. 

While commenting on this latest development, Magic Eden chief operating officer Zhuoxun Yin said;

“Our goal is to make NFTs accessible to everyone, enabling individuals to own and control their digital assets.”

MoonPay continues to onboard new web3 companies

The partnership with Magic Eden comes after MoonPay partnered with the NFT marketplace LooksRare. The partnership will see MooPay allow LooksRare users to buy and sell cryptocurrencies using various payment options. Users of the platform can also purchase NFTs via credit card.

In October 2022, Uplift DAO, the cross-chain crypto launchpad offering crowdfunded support for disruptive web3 projects, partnered with MoonPay. This collaboration is designed to make it easier for users to invest in new and exciting web3 initiatives using traditional payment methods.

MoonPay has been onboarding web3 projects to its platform over the past two years. In November 2021, the company raised $555 million. The investment allowed it to continue building strategic partnerships within the web3 ecosystem. 

In December, the web3 payment processing platform secured registration with the U.K.’s Financial Conduct Authority (FCA). by acquiring a licence with the FCA, MoonPay has ensured that it complies with local money laundering regulations in the United Kingdom. 

The post NFT marketplace Magic Eden and MoonPay partner on credit card payments appeared first on CoinJournal.

• Bakkt App will officially terminate on 16 March 2023, the firm announced today.
• However, Bakkt says app users will still access their cryptocurrencies and cash through a new web experience.
• The company says its focus now is on scaling its business-to-business-to-consumer (B2B2C) solutions.

Bakkt, a leading custody and digital economy provider for cryptocurrency, loyalty, and commerce, has announced its sunsetting its consumer app. Instead, the company will focus more on providing the market with scalable business-to-business (B2B) technology solutions.

However, even as it pulls the consumer-facing app, it will continue to offer a platform from which businesses can leverage the benefits of crypto and loyalty programs.

Bakkt to focus on B2B2C strategy

A press release the company published on Monday stated that app customers will still access digital assets through SaaS and API solutions. These solutions will now be available on a new, secure and compliant web platform.

Gavin Michael, President & CEO of Bakkt, commented that the move is part of the company’s “business-to-business-to-consumer (B2B2C) strategy.

“We are laser focused on providing our partners and clients with seamless solutions that best serve their needs,” he noted. 

According to the Bakkt chief executive, discontinuing the consumer app gives it an opportunity to continue supporting the relationship the firm’s partners and clients have had with respective customers. He added:

“With this move, we are focusing our investment on our core solutions that have product-market fit and are positioned to scale quickly.”

As noted in the press release, Bakkt expects to officially sunset the consumer app on 16 March 2023.

App users will still access their crypto and cash after this date though, with this possible across all devices via new web experience. For instance, customers will still have access to crypto balances and transaction reports – the latter being helpful for tax purposes.

Crypto regulation 

Bakkt signaled its move last November with the planned acquisition of Apex Crypto, a turnkey platform by Apex Fintech Solutions, Inc. The platform offers integrated crypto trading services to over 30 fintech partners and more than 5 million customers. 

But its announcement today comes amid increased regulatory activity, particularly after last week’s news that crypto exchange Kraken had agreed to pay a $30 million fine over its staking-as-a-service offering. Kraken also agreed to halt the crypto staking service in the US. 

The latest in the crypto actions is stablecoin issuer Paxos Trust being ordered to stop issuing the BUSD stablecoin, with reports the SEC was suing the company for offering an “unregistered security.” As reported, one crypto expert believes the recent SEC actions suggest the war on crypto is just but beginning.

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• Paxos has also halted the minting of new BUSD tokens as ordered.
• Existing BUSD will however remain fully-backed and redeemable via Paxos until at least February 2024
• Binance CEO says exchange will continue to support BUSD 

Paxos, the blockchain and tokenization platform that also issues the stablecoin Binance USD (BUSD), has announced it is terminating its relationship with global cryptocurrency exchange Binance.

According to a Paxos press release on Monday, the company has ended its partnership with Binance with respect to the branding of the BUSD stablecoin. Today’s announcement means the company won’t continue using the Binance brand for the stablecoin. 

As highlighted by CoinJournal, the development comes after the New York Department of Financial Services (NYDFS) directed Paxos to cease issuing new BUSD. 

The SEC is also reportedly suing Paxos for issuing unregistered securities, something that has the crypto community questioning how that applies to a stablecoin.

Paxos ceases BUSD issuance

In ending their relationship with Binance, Paxos also announced it will, effective 21 February 2023, stop minting new BUSD tokens as it looks to comply with the NYDFS order.

“Paxos has always prioritized the safety of its customers’ assets. That was true at our founding and remains true today. BUSD will remain fully supported by Paxos and redeemable to onboarded customers through at least February 2024,” the firm wrote.

Customers who want to exit the stablecoin can choose to redeem their money in US dollars or they can convert BUSD tokens to Paxos’ other stablecoin Pax Dollar (USDP).

On Monday, Binance CEO Changpeng Zhao said that the crypto exchange will continue to support the BUSD token. However, the platform will also look to a new stablecoin, including the option of a non-USD token.

7/ Binance will continue to support BUSD for the foreseeable future. We do foresee users migrating to other stablecoins over time. And we will make product adjustments accordingly. eg, move away from using BUSD as the main pair for trading, etc.

— CZ 🔶 Binance (@cz_binance) February 13, 2023

The negative news around the stablecoin has seen the price of Binance Coin slip as BUSD holders migrated to other stablecoins. BNB price is currently changing hands around $294, nearly 5% down in the past 24 hours.

The post Paxos terminates relationship with Binance as it halts BUSD issuance appeared first on CoinJournal.

• Stablecoin issuer issued its latest attestation report for the fourth quarter of 2022.

• The company reported a net profit of $700 million in Q4.

• The profit is in addition to the company’s reserves.

Tether publishes its Q4 attestation report

Stablecoin issuer Tether published its latest attestation report on Thursday, February 9th. The company reported a net profit of $700 million in the previous quarter despite the ongoing bear market.

Tether revealed that the profit is in addition to its reserves. While commenting on this latest cryptocurrency news, Tether said;

“Tether’s reserves remain extremely liquid, with the majority of its investments being held in cash, cash equivalents, and other short-term deposits.”

The stablecoin issuer added that the December report was attested by the accounting firm BDO. The report added that Tether’s consolidated assets exceeded its liabilities as of Dec. 31, 2022.

The report comes barely two months after Tether pledged to stop issuing secured loans from its reserves.

The company reported that its consolidated total assets amounted to at least $67.04 billion in the last quarter. Furthermore, its consolidated total liabilities amounted to $66.08 billion. Hence, reflecting excess reserves of at least $960 million.

The net profit is part of shareholder equity

Tether pointed out that the reported profit is part of shareholder equity, that is, what’s in excess of reserves. A company spokesperson added that;

“It’s basically additional capital sitting in the company to further strengthen Tether.” 

This is the first time the stablecoin issuer has disclosed its profit figures. The company didn’t reveal how it made its profits.

In a statement, Tether CTO Paolo Ardoino said;

“Tether once again proved its stability in the troubled year of 2022. Not only were we able to smoothly execute over $21 billion dollars in redemptions during the chaotic events of the year, but Tether has, on the other side, issued over $10 billion of USDT, an indication of continued organic growth and adoption of Tether.”

The stablecoin issuer removed commercial paper from its reserves in October 2022. Tether’s other assets include funds, precious metals, and corporate bonds. 

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