Here are some latest developments from the world of crypto
Despite Meta’s Reality Labs losing record $13.7 billion in 2022, the company has no plans to change its long-term strategy for the Metaverse, Binance has quoted Zuckerberg as saying. With regard to Reality Labs’ efficiency, Zuckerberg said, “None of the signals that I've seen so far suggest that we should shift the Reality Labs strategy long term.”
The fourth quarter was particularly costly for this division that produces virtual reality and augmented reality hardware and software. It lost nearly $4.3 billion, the largest quarterly loss within the department since financials for the business were first published.
Further, Zuckerberg said that in 2023 the company would launch another “next generation consumer headset” following the October 2022 launch of its Quest Pro Virtual Reality (VR) headset. Meta’s overall revenue for the fourth quarter was $32.1 billion, reportedly beating Wall Street expectations.
In 2022, North Korea-Backed Hackers Stole Crypto Worth $1.7 Billion To Fund Nuclear Weapons Program
Blockchain analysis firm Chainalysis reported that North Korea-backed hackers stole $1.7 billion worth of crypto in 2022. A cryptocurrency theft amounting to $429 million was detected in 2021, BBC said in a report. In the year 2022, which Chainalysis calls "the biggest year ever for crypto hacking", North Korea-backed hackers alone looted 44 per cent of the total amount.
Experts feel the country, facing heavy sanctions, is resorting to crypto hack to fund its nuclear arsenal. Despite the country's struggling economy, it conducted six nuclear tests, and analysts expect the seventh one this year, as the country accelerates its nuclear weapons program under leader Kim Jong-un. Last year, Pyongyang launched a record number of ballistic and other missiles. "For context, North Korea's total exports in 2020 totalled $142 million worth of goods, so it isn't a stretch to say that cryptocurrency hacking is a sizable chunk of the nation's economy," Chainalysis said.
These hackers usually launder crypto through "mixers", which blend cryptocurrencies from various users to make the origins of the funds undetectable, the Blockchain analysis firm said.
Berkshire Hathaway VC Calls For Crypto Ban In US
Berkshire Hathaway (BRK) vice chairman and staunch Bitcoin sceptic Charlie Munger urged the US to ban cryptocurrencies following the route China took. A Coindesk report said Munger attributed the rise of cryptocurrencies to a gap in regulation as crypto assets aren't currencies, commodities, or securities.
"Instead, it’s a gambling contract with a nearly 100 per cent edge for the house, entered into in a country where gambling contracts are traditionally regulated only by states that compete in laxity," Munger wrote in a Wall Street opinion piece. "The US should now enact a new federal law that prevents this from happening," he added.
In 2021, Munger had reservations about Bitcoin’s success as it was used by kidnappers and extortionists. Berkshire Hathaway chairman Warren Buffett also holds poor opinion on crypto currencies.