$46 million stolen from KyberSwap DEX!

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$46 million stolen from KyberSwap DEX; BlackRock meets with SEC for spot Bitcoin ETF; CZ addressed Binance employees by quoting Star Trek

$46 million stolen from KyberSwap DEX!

Various cryptocurrencies worth approximately $46 million were stolen from the KyberSwap exchange!

On 23 November, the Kyber Network team warned its users in an X (Twitter) post that KyberSwap Elastic “experienced a security incident”.

It advised users to withdraw their funds as a precaution and added that he was investigating the situation.

Blockchain detectives recently highlighted the affected and exploitative wallet addresses that are still active.

According to Debank data, about $46 million was stolen in the attack, including about $20 million in wrapped Ether (wETH), $7 million in wrapped Lido-staked Ether (wstETH) and $4 million in Arbitrum (ARB).

The funds were split across multiple chains, including Arbitrum, Optimism, Ethereum, Polygon and Base.

The problem in KyberSwap was determined to be related to TVL held in liquidity pools.

The attacker also left an on-chain message for protocol developers and DAO members, saying “negotiations will begin in a few hours when I am fully rested.”

DefiLlama data shows that KyberSwap’s total locked value (TVL) dropped by 68% in a matter of hours, with almost $78 million leaving the protocol due to the attack and users’ withdrawals. Its TVL is currently at $27 million, lower than its peak of $134 million in 2023.

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BlackRock meets with SEC for spot Bitcoin ETF

According to the 20 November SEC note, BlackRock made a presentation detailing how the company could use the in-kind and cash payment model for the iShares Bitcoin Trust. It is unclear how SEC officials responded to the two proposed models or whether they plan to approve spot Bitcoin ETFs. 

Numerous reports suggest that the SEC is nearing the decision-making stage on approving a spot Bitcoin ETF. 

If the ETF is approved, an important step towards the adoption of cryptocurrencies will be taken.

SEC officials also met with Grayscale officials on 20 November for the company’s Bitcoin ETF proposal. 

BlackRock is one of many companies waiting for approval of the ETF application, including Fidelity, WisdomTree, Invesco Galaxy, Valkyrie, VanEck and Bitwise. The asset management giant first applied for the listing of a spot Bitcoin ETF in June.

Meanwhile, a 2019 video in which SEC Chairman Gary Gensler criticised the regulator’s inconsistent approach to identifying BTC products is back on the agenda. It is eagerly awaited what kind of decision Gensler will now sign.

CZ addressed Binance employees by quoting Star Trek

Former Binance CEO Changpeng “CZ” Zhao resigned from his post on 21 November after being found guilty of violating Anti-Money Laundering laws, and then made a statement to those at the company via a messaging platform.

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CZ’s letter appeared on social media on 22 November. In the letter, CZ praised the Binance team and said he was “proud” of their work “today, in the past and in the future”. Stating that Binance will be fine, CZ hinted at the need for restructuring. 

CZ also quoted the famous science fiction work Star Trek: 

“I need everyone to continue to perform admirably.”

CZ also asked “Binanese” to welcome and assist the new CEO Richard Teng and announced that he would hand over to Teng. 

Teng was previously head of regional markets outside the United States. CZ commented that Teng is a “highly qualified leader” and will grow the company in the next period. 

CZ agreed to return to the United States two weeks before his sentencing on 23 February 2023, having posted bail of $175 million. This will allow him to return to Dubai, where he resides.

The former Binance CEO also agreed to deposit $15 million into a trust fund and forfeit this amount if he does not comply with the conditions.  

As a result of the US $4.3 billion settlement with Binance, a series of investigations that forced the exchange last year were finalised.

$46 million stolen from KyberSwap DEX; BlackRock meets with SEC for spot Bitcoin ETF; CZ addressed Binance employees by quoting Star Trek