Digital Surge to Repay Customers After Losing $33M on FTX

Summary:
• Australian cryptocurrency exchange Digital Surge has been bailed out after creditors approved a long-term recovery plan.
• The company will receive a loan of 1.25 million Australian dollars from an associated business, Digico, to allow it to function.
• Customers with under $250 will be repaid in full and others will receive at least 45% of their balance over five years.

Table of Contents:
I. Introduction
II. Background Information on Digital Surge
III. Details of the Recovery Plan
IV. Conclusion

I. Introduction: On January 25th, 2023, Australian crypto exchange Digital Surge was granted a bailout by its creditors after losing $33 million on FTX and having its digital assets frozen since November 16th, 2020. Melbourne-based investment firm KordaMentha was appointed as administrators and a deed of company arrangement (DoCA) is set to provide customers with repayment plans over the next five years for balances above $250 in value. In this article we will look at the background information on Digital Surge, the details of their recovery plan, and what this means for their customers going forward into 2021 and beyond as well as for other exchanges which may face similar issues in the future.

II. Background Information on Digital Surge: Founded in 2018 by CEO Dan Rutter, Digital Surge was one of Australia’s largest crypto exchanges until it had to file for voluntary administration in December 2020 due to its loss on FTX and subsequent freezing of digital assets held by 22000 customers since then totaling more than half its digital asset holdings at that time.. KordaMentha were appointed administrators while an associated business Digico provided a loan of 1.25 million AUD to help keep operations running during this period until a steady recovery could be planned out through DoCA proceedings with creditors present at meetings taking place both Monday 25th Jan 2023 as well as Tuesday 26th Jan 2023 leading up to 90% approval from those involved for repayment plans over 5 years starting March 2021 till 2025 .

III . Details Of The Recovery Plan : As per details released before Tuesday’s meeting , customers who had balances less than 250 AUD would get all their money back while those with higher amounts would start receiving 45% refunds beginning March 2021 lasting till 2025 when 90% repayment is expected . This plan was approved by creditors present making it official allowing funds to start flowing back into customer accounts shortly thereafter according to CEO Dan Rutter who thanked them all for showing support despite trying times bringing relief not just locally but globally too due to implications or possibilities arising from such events happening elsewhere around world where legal frameworks might not prove so favorable towards investors or businesses seeking protection like here in Australia ..

IV .Conclusion : With successful implementation & completion ,of this unique & unprecedented example set here at home , now other countries across continents can possibly follow suit if needed protecting businesses & individuals alike helping foster better trust between exchanges & people trading online without fear or worries about sudden losses due lack proper oversight measures taken beforehand especially when dealing with risk prone ventures such type involving cryptocurrencies …

Crypto Market Pullback: Dogecoin and Ether Lead Decline

• Crypto market capitalization dropped 3.5% in the past 24 hours following a decline in U.S. equity markets.
• Ether and dogecoin led the slide among major tokens, falling more than 5%.
• U.S. equities fell on Tuesday after technical glitches at the New York Stock Exchange (NYSE) briefly disrupted market trading.

Table of Contents:
I. Overview
II. Major Tokens Pulling Back
III. US Equities Affecting Crypto Markets

Crypto markets have seen a pullback over the past 24 hours following a decline in US equity markets and some traders warning of an impending drop in the coming weeks due to limited traders in the market and sentiment-driven rallies driving prices up with low funding rates and cascading short liquidations taking place as well. The crypto market capitalization has decreased by 3.5% to just over $1 trillion as Ether and dogecoin led the slide among major tokens, falling more than 5%, while bitcoin lost just 1.6%. Outside of majors, avalanche (AVAX) fell 7.7% while lido (LDO) dropped over 10%, ending a multi-week bump that saw the token’s value jump 135% in the past month – leading to upward of $173 million in longs being liquidated across Ethereum futures and Bitcoin futures respectively according to data source Coinglass; however, other tokens such as Quant (QNT) and Aptos (APT) traded positively with both rising over 4%.

I Overview:
The recent pullback comes after weeks of an uptrend for crypto markets which saw them regain their $1 trillion capitalization mark earlier this month thanks to strength from Bitcoin combined with strong transactional activity amongst tokens such as SOL and ADA making significant contributions too – however this trend appears to be taking a breather as traders likely take profits now before further downturns occur potentially leading into February or beyond depending on how things develop from here onwards for US equities and other related financial products/instruments influencing crypto markets indirectly, particularly those based around regulated exchanges operating out of the United States or elsewhere globally where various regulatory protocols are put into place regularly by governing bodies overseeing these activities at all times including but not limited to ensuring fair pricing occurs when it comes down trades taking place across multiple asset classes so people can make informed decisions about their investments without any undue influence from external sources negatively impacting them short-term or long-term depending on individual investor risk profiles etcetera ad infinitum.. .

II Major Tokens Pulling Back:
As mentioned previously Ether & Dogecoin were two big losers during this period losing more than 5% each along with Cardano’s ADA & Polygon’s MATIC also dropping 4%. Meanwhile Avalanche (AVAX), Lido (LDO), Quant (QNT), & Aptos (APT) were amongst those that traded positively with both rising above 4%. Long positions taken out across Ethereum Futures & Bitcoin Futures contributed heavily towards upwards of $173 million being liquidated during this time frame despite there being some profit takers cashing out at regular intervals too given current conditions currently prevailing within global financial spheres today thus allowing investors greater flexibility when it comes down diversifying portfolios away from traditional asset classes if they so wish whilst understanding potential risks/benefits associated moving forward safely yet confidently… .

III US Equities Affecting Crypto Markets:
The pullback is largely attributed to declines seen on Tuesday within US equities which took place due technical glitches at NYSE temporarily disrupting stock trading activity significantly enough that analysts like those working at Bitfinex sent out notes advising caution when it came down investing given current levels of sentiment partially driven by low funding rates & cascading short liquidations often encountered during bull runs like we’re seeing right now – although such warnings should always be taken seriously so investors don’t get caught up emotionally when it comes down dealing with cryptocurrency investments specifically because they can be unpredictable whereas traditional securities tend not move wildly unless fundamental shifts take place either internally or externally thus requiring further research/analysis before making any decisions accordingly going forward too…

TechDeFi: Sushi Passes 2 Governance Votes to Strengthen Treasury

• The Sushi community has voted in favour of two separate proposals to strengthen the DeFi protocol’s treasury and long-term staying power.
• One proposal sought to direct all trading fees from xSushi holders to the Sushi treasury, while the other proposed a clawback of unclaimed SUSHI tokens from a distribution held in 2021 back to the treasury.
• Liquidity providers have until Apr. 23 to claim their rewards before all unclaimed tokens will be sent to the treasury.

The decentralized finance (DeFi) service known as SushiSwap recently passed two governance measures that are part of a larger plan to ensure its longevity and success. The proposals were put forward by token holders and subsequently approved with a majority vote by those staking sushipowah and xsushi – two important tokens within the ecosystem – on the project’s governance forums.

The first proposal, known as “Kanpai”, was created in order to direct all trading fees from xSushi holders into the SushiSwap treasury rather than rewarding them for participating in trades on the platform. This rule is scheduled to last for nearly one year until December 19th 2023 at which time another reward distribution model will be proposed and likely passed by members of the community.

The second proposal sought out an 8.2 million token (valued at over 11 million USD) clawback from an initial liquidity provider distribution that took place during Sushiswap’s launch in 2020. During this period, users who supplied assets were rewarded with sushi tokens, with 2/3rds of these rewards being locked up for six months after launch day which have since been fully unvested; however 8+ million remain unclaimed even today despite it being over one year since launch date – therefore this proposal calls for those remaining tokens being collected and added back into the projects treasury where they can be used more efficiently going forward towards development or other initiatives taken up by project teams or community members alike . All liquidity providers who are eligible have until April 23rd 2021 before any remaining unclaimed tokens will automatically be transferred into said fund – giving them just under two months left to collect their originally earned rewards if applicable .

Overall these two votes signify how serious many stakeholders take decentralised finance – meaning that through effective voting mechanisms utilising governance systems such as these, projects like Sushiswap can effectively plan ahead whilst also securing enough funds necessary for future growth plans or maintenance operations when needed .

Argo Blockchain Regains Nasdaq Listing Thanks to Bitcoin Surge

• Argo Blockchain (ARBK) shares rose 14% on Monday after the company regained listing compliance with Nasdaq.
• This was thanks to a late December deal with Galaxy Digital to avoid bankruptcy and the recent rise in the price of bitcoin.
• Argo had to meet the requirement of having bids for its stock remain above $1 for 10 consecutive days to regain listing privileges with Nasdaq.

Argo Blockchain, a bitcoin miner whose shares are listed on both the London Stock Exchange and Nasdaq, experienced a surge in its stock price on Monday as it regained compliance with Nasdaq listing rules. The miner had been notified by Nasdaq on Dec. 16 that its shares didn’t comply with the exchange’s rules due to the closing bid prices for its stock being below $1 for 30 consecutive days. The miner was given until June 12 of this year to regain its listing privileges with Nasdaq before potentially being delisted from the exchange.

However, the miner was able to regain its listing privileges much earlier than anticipated with the help of a late December deal with Galaxy Digital, a digital asset merchant bank, to avoid bankruptcy. Moreover, the recent rise in the price of bitcoin has also contributed to Argo’s share price increase. The miner’s shares rose as much as 14% on Monday after the company met the requirement of having bids for its stock remain above $1 for 10 consecutive days.

The listing of Argo’s shares on both the London Stock Exchange and Nasdaq provides the miner with access to a much larger investor base, which could potentially lead to an increase in the miner’s market capitalization. With the recent surge in its share price, Argo has also become a more attractive investment option for retail investors.

At the same time, Argo’s listing on the world’s two largest exchanges also highlights the growing acceptance of cryptocurrencies in mainstream finance. As more investors look to invest in digital assets, the miner’s listing on both the London Stock Exchange and Nasdaq could be seen as a sign of the increasing mainstream adoption of cryptocurrencies.

Candy Digital Raises $38.4M in Series A Extension Round for Sports NFTs

• Candy Digital, a sports-focused NFT company, has raised $38.4 million in a Series A extension funding round.
• The announcement followed reports that sports merchandiser Fanatics was selling its 60% stake in the company.
• A new filing with the U.S. Securities and Exchange Commission (SEC) on Wednesday finally provided some financial figures.

Candy Digital, a sports-focused non-fungible token (NFT) company, has announced a Series A extension funding round earlier this month and has now raised $38,449,997 from 14 investors. The announcement followed reports that sports merchandiser Fanatics was selling its 60% stake in the company, but the amount was not included. A new filing with the U.S. Securities and Exchange Commission (SEC) on Wednesday finally provided some financial figures.

Candy Digital was established in 2021 by Galaxy Digital, Gary Vaynerchuk and Fanatics during a sports NFT boom, and debuted with a Major League Baseball (MLB) partnership. The startup raised a $100 million Series A round in October of that year at a $1.5 billion valuation.

However, the NFT industry has seen a recent downturn, which has made it difficult to sustain the hype of the industry. Despite this, the company has managed to raise the $38 million in an equity offering, more than half of the $68,188,480 overall that the company is seeking to raise in the sale. The offering opened on Jan. 3, the same day that CNBC reported that Fanatics was selling its stake to a group led by well-known financier Michael Novogratz’s Galaxy Digital.

This influx of funding from the Series A extension is expected to help Candy Digital continue to expand its reach in the NFT space. It will also provide the company with the resources it needs to grow its existing partnerships in the sports industry.

Although the NFT industry has seen its fair share of ups and downs in recent months, the success of Candy Digital’s Series A extension round shows that there is still interest in the sector. With the additional funds, the company is well-positioned to continue its growth and make an impact in the sports NFT space.

Yuga Labs’ Sewer Passes Project Yields $6 Million in Sales in Hours

Bulletpoints:
• Yuga Labs, parent company of Bored Ape Yacht Club, released its Sewer Passes NFT project, which granted holders access to a skill-based game called Dookey Dash.
• The project yielded over $6 million in total sales volume within hours of release.
• Those holding a Sewer Pass can play Dookey Dash from Jan. 19 to Feb. 8, with scores contributing to a broader narrative experience.

Yuga Labs, the parent company of popular virtual world Bored Ape Yacht Club, made headlines recently by releasing a new NFT project – the Sewer Passes. The Sewer Passes grant holders access to a skill-based game called Dookey Dash, and the project yielded over 4,000 ETH (over $6 million) in total sales volume within hours of release.

To be eligible for a Sewer Pass, holders of a Bored Ape Yacht Club (BAYC) or Mutant Ape Yacht Club (MAYC) NFT were able to claim a free Sewer Pass on Wednesday. Those who were able to obtain a Sewer Pass (whether through minting or purchasing on the secondary marketplace) will be able to play Dookey Dash from Jan. 19 to Feb. 8. Scores accumulated from playing the game will then be part of a broader narrative experience called “Chapter 1” at a later date.

The Sewer Passes are broken up into four tiers, based on whether the holder of a BAYC or MAYC NFT also holds a Bored Ape Yacht Club Pass, a Bored Ape Yacht Club Deluxe Pass, a Mutant Ape Yacht Club Pass, or a Mutant Ape Yacht Club Deluxe Pass. The tiers are divided into different levels of rarity, with the most rare tier being the Mutant Ape Yacht Club Deluxe Pass. Depending on the tier and rarity of the Sewer Pass, holders are granted different levels of access to the Dookey Dash game.

The game itself is a single-player platformer, which requires users to navigate an underground labyrinth while avoiding traps and monsters. Players will earn rewards such as exclusive NFTs and virtual currency, depending on their skill level and progress in the game.

The Sewer Passes have been met with widespread enthusiasm, with the project’s success demonstrating the potential for NFTs to become the backbone of new gaming experiences. With the Sewer Passes, Yuga Labs is helping to bridge the gap between the gaming and NFT worlds, and the project’s success provides a glimpse of the potential for NFTs to become a vital part of gaming experiences in the future.

Ethereum’s Shanghai Hard Fork: Markets Buzz with Speculation Ahead of Upgrade

• Ethereum’s upcoming upgrade in March, called the “Shanghai Hard Fork”, is the focus of frenzied speculation in crypto markets.
• Over 16 million ether, worth over $22 billion, have been deposited into the Beacon Chain staking contract since the successful shift to proof-of-stake.
• Brian Mosoff, CEO of Ether Capital, discussed the milestone of the second-biggest blockchain and the state of competing Layer 1s, as well as his outlook on the upcoming upgrade.

The crypto markets are abuzz with speculation around the upcoming Ethereum upgrade, known as the “Shanghai Hard Fork”. The upgrade is expected to take place in March, and traders are already placing bets on potential market scenarios that could follow its implementation.

The hard fork follows the successful shift to a proof-of-stake network last year, which was one of the biggest stories of the year in crypto markets. Since then, more than 16 million ether, worth over $22 billion, have been deposited into the Beacon Chain staking contract, according to Etherscan data.

Brian Mosoff, CEO of Ether Capital, discussed the milestone of the second-biggest blockchain and the state of competing Layer 1s. He noted that the surge in staked ether was a sign of the network’s growth and maturity, and said that he expected the trend to continue as more users join the network and more developers build applications on Ethereum.

Mosoff also expressed optimism about the upcoming Shanghai upgrade. He said that the upgrade could further strengthen the Ethereum network and propel it to new heights. He noted that the upgrade could potentially open up new opportunities for developers and users, and that it could create an environment of greater security and scalability.

Overall, Mosoff said that he was confident in Ethereum’s future and its ability to become a major player in the digital asset space. He concluded by saying that the Shanghai Hard Fork could be a major step forward for Ethereum and for the crypto markets in general.

Bitcoin Soars to $19,000, Biggest One-Day Increase in Two Months

• Bitcoin surged over $19,000, posting its biggest one-day return in two months.
• Security firms such as OpenZeppelin believe blockchain bridges can benefit from security features built during the ongoing bear market to help avoid huge attacks like those seen in 2022.
• Other markets such as the S&P 500, gold, and the Nikkei 225 also saw slight gains.

The crypto markets were abuzz on Thursday with Bitcoin (BTC) making a massive 5.6% jump to surpass the $19,000 level. This marked the biggest one-day increase in two months for BTC, pushing its market capitalization over $355 billion. The CoinDesk Market Index (CMI) also saw strong gains, increasing by 4.0% to $926.

The sudden surge was likely due to news of the U.S. government’s latest consumer price index (CPI) reading for December, which showed a 0.4% increase in consumer prices. This was the first time consumer prices have risen since the start of the pandemic. The news likely pushed the markets higher as investors reacted positively to the potential for increased consumer spending.

In addition to the positive news in the CPI, security firms such as OpenZeppelin are predicting that blockchain bridges can benefit from security features built during the bear market to help avoid some of the carnage of 2022. OpenZeppelin believes that using these security features, such as detection systems, can help prevent attacks from malicious actors and make the blockchain networks more robust.

Other markets also saw slight gains on Thursday, with the S&P 500 increasing by 0.3%, gold rising by 1.3%, and the Nikkei 225 closing unchanged.

Overall, Thursday was a positive day for the crypto markets, with Bitcoin leading the way. Security firms are also looking to capitalize on the bear market by developing security features that can help protect blockchain networks from malicious actors. With consumer prices finally increasing, investors are likely to remain positive in the short term, which should help the markets continue to move higher.

U.S. CPI Drops 0.1%, Bitcoin Slips $150 – Inflation Down But Still Above Fed Target

• The Consumer Price Index (CPI) dropped 0.1% in December, in line with expectations.
• On an annualized basis, the CPI was higher by 6.5%, in line with expectations and down from 7.1% a month earlier.
• Bitcoin (BTC) slipped about $150 on the news, with traders having bid the crypto higher in the days leading up to this morning’s report in hopes inflation might decline ever more.

The United States Department of Labor released their latest report on the Consumer Price Index (CPI) for the month of December, indicating that the index had dropped by 0.1% compared to the previous month. This was in line with economists’ forecasts, and marks the sixth consecutive month of slowing inflation since it peaked in June at 9.06%.

The core CPI, which strips out volatile items such as food and energy, was also up 0.3% in December, in line with forecasts. Annualized core CPI was up 5.7%, also in line with forecasts and down from 6% in November. These figures are still well above the U.S. Federal Reserve’s 2% target.

The news of the CPI sent ripples through the cryptocurrency markets. Bitcoin (BTC) dropped by around $150, as traders had been bidding the crypto higher in the days leading up to the report in hopes that inflation would decline even further. Bitcoin had risen from around $16,500 at the start of the year to a one-month high of $18,250 earlier on Thursday.

The news of the CPI also had an impact on other markets, with stocks also declining on the news. As investors begin to reassess their investment strategies in light of the latest CPI figures, it remains to be seen whether the drop in inflation will continue or if the markets will adjust accordingly.

In the meantime, the U.S. Federal Reserve has maintained its position of keeping its target interest rate near zero and continues to engage in quantitative easing in order to support the economy. It remains to be seen whether these measures will be sufficient to stave off further inflationary pressure and support the recovery of the U.S. economy.

Gemini Terminates Master Loan Agreement, Escalates Dispute With Genesis

• Gemini terminated the master loan agreement between its customers and Genesis, officially ending Gemini Earn.
• This move requires Genesis to return all assets outstanding in the program and is an escalation of a dispute between the two companies.
• Genesis released a statement saying they do not agree with everything Gemini has said and are disappointed by the public media campaign.

Gemini, the cryptocurrency exchange founded by the Winklevoss twins, has taken a major step in its ongoing dispute with Digital Currency Group’s (DCG) Genesis Global Trading. On Tuesday, Gemini announced the termination of its Gemini Earn program, which had been in operation for nearly two years. The move requires Genesis to return all assets outstanding in the program, ending the master loan agreement between the two companies’ customers.

Gemini sent an email to customers explaining the decision to terminate the agreement and the implications it had for the Earn program. In the email, Gemini emphasized that existing redemption requests would not be impacted by the termination and would continue to be fulfilled by Genesis. The email also noted that the termination was an escalation of the dispute between Gemini and Genesis.

In response to Gemini’s decision, Genesis released a statement saying that they did not agree with everything Gemini had said and were disappointed by the public media campaign. The statement added that the process of returning all outstanding assets would take some time, but that Genesis was committed to working with Gemini to resolve the issue in a timely manner.

The dispute between Gemini and Genesis is part of a larger battle between the Winklevoss twins and DCG, with the two companies competing for dominance in the cryptocurrency landscape. With the termination of the Earn program, Gemini is hoping to gain a competitive edge over Genesis and other crypto firms in the space. It is yet to be seen how this move will affect the rivalry between the two companies, but it is clear that Gemini is not backing down from the fight.