Here is the top crypto news of the day curated by CoinChapter.com.
Solana Foundation Removes Validators for Sandwich AttacksÂ
The Solana Foundation has taken action against a group of validator operators involved in malicious sandwich attacks targeting Solana users. The team has removed these operators from the foundation’s delegation program, which provides SOL tokens to validators to help them operate.
A sandwich attack is where an attacker places transactions around a victim’s transaction to manipulate the price and profit. The Solana Foundation had previously warned that they would not tolerate such activities. While the operators can still contribute to Solana’s permissionless blockchain, they will no longer receive SOL token subsidies from the delegation program.
Spot Ethereum ETFs Could Capture Up to 20% of Bitcoin ETF Flows
Spot Ethereum exchange-traded funds (ETFs) could potentially capture between 10-20% of the investment flows currently directed towards spot Bitcoin ETFs, according to Bitfinex’s head of derivatives, Jag Kooner. This prediction hinges on future SEC clarification regarding staking for spot Ethereum ETFs.
Kooner drew a parallel with the launch of gold and silver ETFs, which attracted significant investment and affected inflows into existing related financial products. For example, when silver ETFs like the iShares Silver Trust launched in 2006, investors diverted funds to them due to industrial demand for silver.
The analyst suggested that fund managers could reallocate resources to balance their exposure to both Bitcoin and Ethereum, diversifying their ETF portfolios, spreading risk, and potentially enhancing returns, similar to how they have done with related asset classes like gold and silver in the past.
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Another Crypto News of the Day: Friend.tech Token Drops 22%
The $FRIEND token of the social media platform Friend.tech has dropped 22%. This happened after the platform announced to migrate off the Base Ethereum L2 network developed by Coinbase.Â
The platform announced plans to migrate to its own network Friendchain. It called for users to secure a spot on the Friendchain testnet to qualify for a $FRIEND airdrop snapshot. However, some community members voiced skepticism about launching a new chain so soon.
Singapore Warns Businesses About Bitcoin Ransomware Threat
Singaporean authorities have issued an advisory alerting local businesses about the rising threat of an Akira ransomware variant targeting organizations in the country. The alert comes after receiving several complaints from victims of the Akira cyberattack.
Investigations by the FBI found that Akira ransomware has been targeting businesses and critical infrastructure entities. It is demanding payments in cryptocurrencies like Bitcoin to return control of compromised systems and data.
Authorities have advised businesses not to pay the ransom, as doing so does not guarantee data recovery and may encourage further attacks. They have recommended implementing measures like recovery plans, multifactor authentication, network traffic filtering, and system-wide encryption to mitigate the threat.
Crypto News: Base’s TVL surge overtakes OP Mainnet
The total value locked (TVL) of Ethereum layer-2 scaling network Base has surpassed $8 billion. It happened just days after it overtook Optimism’s OP Mainnet as the largest chain. As of June 10th, Base’s TVL stood at $8.05 billion, comprising $2.14 billion of canonically bridged value from Ethereum and $5.92 billion in natively minted assets.
Base’s change in TVL since June 16, 2023. Source: L2BEAT
Base’s ascent has been swift, notching the $1 billion TVL mark in just seven months after its launch in August 2023. It now trails only Arbitrum One in TVL among Ethereum scalers. Base also leads all Ethereum layer 2s in transactions per second over the last month, processing 64.86 million transactions.Â
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In today’s top crypto news curated by CoinChapter.com:
Solana Foundation Removes Validators for Sandwich Attacks: Solana Foundation has expelled several validator operators from its delegation program due to their involvement in sandwich attacks, which are transactions designed to manipulate prices for profit. These operators will no longer receive SOL token subsidies but can still participate in Solana’s permissionless blockchain.
Spot Ethereum ETFs Could Capture Up to 20% of Bitcoin ETF Flows: According to Jag Kooner, head of derivatives at Bitfinex, Spot Ethereum ETFs might attract 10-20% of investment flows currently directed towards Bitcoin ETFs, contingent on future SEC clarity on staking for these ETFs. This shift could mirror the investment behavior seen with gold and silver ETFs in the past.
Friend.tech Token Drops 22%: The $FRIEND token from the social media platform Friend.tech plummeted by 22% following the announcement of its migration from the Base Ethereum L2 network to its own network, Friendchain. The community has shown skepticism about this rapid move.
Singapore Warns Businesses About Bitcoin Ransomware Threat: Singaporean authorities have cautioned businesses about the Akira ransomware variant targeting local organizations, demanding cryptocurrency payments like Bitcoin to restore access to compromised systems. Authorities urge businesses not to pay ransoms and to enhance cybersecurity measures.
Base’s TVL Surge Overtakes OP Mainnet: Ethereum layer-2 scaling network Base has surpassed $8 billion in total value locked (TVL), overtaking Optimism’s OP Mainnet. Base reached this milestone quickly, hitting the $1 billion TVL mark just seven months post-launch, and now ranks second only to Arbitrum One among Ethereum scalers in TVL. Stay tuned to CoinChapter for more updates and insights on the latest in the crypto world.
