Here are some of the major developments from the world of crypto over the past few days
Losses from cryptocurrency hacking in 2023 are down by more than 50 per cent as compared to 2022 due to improvements in industry security, Blockchain intelligence firm TRM Labs has said in a recent report published on December 13, 2023. The report says that losses from 160 hacks to crypto projects amounted to about $1.7 billion in 2023, less than half the $4 billion stolen from Internet protocols in 2022.
TRM Labs said the decline is due to enhanced security measures, which have seen the cryptocurrency industry incorporate real-time transaction monitoring and anomaly detection systems, strengthening digital wallets and exchange platforms.
In 2022, the crypto industry was in a downturn and suffered substantial thefts from crypto exploits and hacks. By mid-October, Chainalysis had already labelled 2022 as the “largest year ever for hacking activity”.
TRM Labs said that law enforcement agencies worldwide have bolstered their efforts against cybercrimes in the digital currency sphere. Collaborative actions, quick responses, and better asset recovery tactics have heightened the chances of detection and prosecution, discouraging potential hackers, while simultaneously creating a solid defence against cybercriminals.
The United States Securities and Exchange Commission (SEC) has delayed its decision on whether to approve or disapprove a spot Ether exchange-traded fund (ETF) proposed by Invesco and Galaxy Digital.
In a notice issued on December 13, 2023, the SEC said it would designate a longer period on whether to approve or disapprove a proposed rule change that would allow the Cboe BZX Exchange to list and trade shares of the Invesco Galaxy Ethereum ETF.
“The 45th day after publication of the notice for this proposed rule change is December 23, 2023. The Commission is extending this 45-day time period. The Commission [...] designates February 6, 2024, as the date by which the Commission shall either approve or disapprove, or institute proceedings to determine whether to disapprove, the proposed rule change,” the SEC said in its notice.
The proposed spot crypto investment vehicle is one of many being considered by the SEC, which to date has never approved an ETF with direct exposure to Bitcoin or other cryptocurrencies.
Developers of the Blockchain chess game ‘Immortal Game’ are pulling the plug on its play-to-earn (P2E) and non-fungible token (NFT) features due to rampant cheating. They said in an announcement on December 13, 2023, that while developers continue to build ‘Immortal Game’ as an online chess hub and may incorporate further decentralised technologies in the future, its goal of “giving a real opportunity for people to earn an income through chess” through ‘Immortal Game’ has failed.
“We found that by offering large amounts of cash with no limit barrier to entry, we encouraged heavy cheating on the platform and degraded the user experience for our legitimate player base who want a fair and safe place to play chess online. The unintended consequence of offering money to players has increased the unfair practices,” the developers said.
Starting this week, the marketplace for ‘Immortal Game’ NFTs will be discontinued, and players will no longer be able to use the native P2E Checkmake token (CMT) in-game. NFTs, however, will continue to exist on-chain. Users will no longer be awarded CMT for completing tournaments or daily rewards, although fiat currency rewards may be offered.
“Your ETH and CMT balances will no longer be displayed on our platform, but your wallets will retain these tokens. For those using a custodial wallet, you’ll need to connect a personal wallet to transfer your assets,” the developers further said in a communication.