Axie Infinity
Top 5 cryptocurrencies to watch this week: BTC, ETH, BCH, AXS, EOS
Published
11 months agoon
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If Bitcoin clears its overhead resistance level, ETH, BCH, AXS and EOS could resume their uptrend with surprising strength.
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Axie Infinity
Norwegian police recover $5.9M stolen from Axie Infinity Ronin hack
Published
4 months agoon
February 16, 2023By
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According to a press release published on Feb. 16 by Norway’s National Authority for Investigation and Prosecution of Economic and Environmental Crime (Økokrim), authorities have seized 60 million Norwegian Kroner ($5.85 million) in stolen cryptocurrencies linked to the Axie Infinity Ronin Bridge hack last March. According to senior public prosecutor Bender,
“Økokrim is good at following the trail of money. This case shows that we also have a great capacity to follow the money on the blockchain, even if the criminals use advanced methods.”
According to Bender, Økokrim worked with FBI agents and the U.S. Department of Justice to track the trail of stolen digital assets. “We as a society stand stronger in the fight against digital, profit-motivated crime,” she said, “This is money that can support North Korea and their nuclear weapons program. It has therefore been important to track the cryptocurrency and try to stop the money when they try to withdraw it in physical value.” The U.S. Department of Justice identified North-Korea backed Lazarus Group as the mastermind of the attack last April.
Authorities say that Sky Mavis, creator of the Axie Infinity NFT game and Ronin Bridge, will be notified of the seizure so that affected users “get the money back to the greatest extent possible.” Following a hack valued over $600 million at the time of incident, Axie Infinity reopened its Ronin bridge in June 2022 after its founders, along with external investment from Binance, reimbursed users a total of 117,600 ETH and 25.5 million USD Coin (USDC). The remaining 56,000 stolen ETH belonged to the Axie DAO Treasury and remains undercollateralized as Sky Mavis “works with law enforcement to recover the funds.”
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Axie Infinity
Top five crypto winners (and losers) of 2022
Published
6 months agoon
December 27, 2022By
admin
Cointelegraph looks back on the best and worst-performing cryptocurrencies of 2022 among the top 100 assets by market capitalization. We used the highest and the lowest year-to-date (YTD) returns through the close of Dec. 25, 2022.
Overall, Cryptoindex.com 100 (CIX100), an index that tracks the 100 best-performing cryptocurrencies, fell nearly 68% YTD, suggesting most top coins underperformed in 2022.

Stablecoins are naturally omitted from the list below. Similarly, coins tracking the value of gold and similar mainstream assets have also been ignored.
Instead, the coins mentioned below include decentralized currencies, smart contract tokens, exchange tokens and others.
Top five crypto of 2022
1. GMX (GMX)
- YTD return: 111%
- Sector: Decentralized exchange
- Market Cap: $379.4 million
GMX acts as a utility and a governance token within the GMX decentralized exchange (DEX) ecosystem and is the best-performing digital asset among the top 100 coins (excluding stablecoins).
GMX’s price uptrend mostly picked its cues from the collapse of FTX, a centralized exchange, and its listing on popular trading platforms — including Binance and Huobi Global — across 2022. In addition, the token rallied impressively in late November after its platform briefly surpassed its top DEX rival, Uniwap, in daily trading fees.

2. Trust Wallet Token (TWT)
- YTD return: 92%
- Sector: Payment platform
- Market Cap: $570 million
Trust Wallet Token (TWT) serves as a utility and a governance token within the Trust Wallet ecosystem. The token moved lower in tandem with the rest of the crypto market, mostly in 2022, but like GMX, its upside momentum increased amid the collapse of the FTX exchange in November.

As Cointelegraph reported, the FTX’s collapse boosted mistrust for centralized exchanges, which may have prompted investors to move their funds to self-custody wallets like Trust Wallet. The speculation could have played a major role in boosting TWT’s valuation.
3. Unus Sed Leo (LEO)
- YTD return: -3.5%
- Sector: Centralized exchange
- Market Cap: $3.44 billion
Unus Sed Leo (LEO) is native to the iFinex ecosystem. The token suffered losses in 2022, but at -3.5%, they were little compared to most top coins, including Bitcoin (BTC) and Ether (ETH), which lost over 65% in the same period.

One of the reasons why LEO outperformed most top-ranking assets could be iFinex’s pledge. Notably, the firm declared at the time of LEO’s private sale in 2018 that it would employ 27% of its revenue to buy back the tokens until the entire supply of 985.24 million units was removed from circulation.
IFinex also said it would use the funds it lost during the August 2016 Bitfinex hack to purchase LEO tokens. That explains why LEO rallied by more than 100% at the start of the year, given the uptrend came after the United States Department of Justice recovered 94,000 BTC from Bitfinex hackers.
The rally took LEO’s price to a YTD high of $8.15 in February. However, the token has dropped 55% since, though still remaining one of the best performers in 2022.

4. OKB (OKB)
- YTD return: -19%
- Sector: Centralized exchange
- Market Cap: $1.38 billion
OKB is the native token of the OKX exchange. It provides users discounts on trading fees, access to OKX’s initial exchange offering (IEO) platform, and voting rights for tokens to be listed on the exchange.
OKB trended synchronously with the broader crypto market in 2022, including its 150% recovery after bottoming out at around $9.50 in June. The token’s bullish retracement occurred despite the absence of a major market-moving event, suggesting it had been mostly speculative.

Overall, OKB’s volatile recovery helped it limit its YTD losses compared to most top-ranking assets.
5. The Open Network (TON)
- YTD return: -33.5%
- Sector: Smart contracts
- Market Cap: $3.52 billion
The Open Network is a layer-1 blockchain ecosystem developed by the Telegram founders Nikolai Durov and Pavel Durov. Its native token, TON, trended downward in line with other top crypto assets during most of 2022 but recovered impressively ahead of the year’s close.

TON’s recovery period coincided with back-to-back optimistic news. For instance, in October, Telegram announced that it would employ the Open Network to auction usernames. Similarly, the Open Network built a bot the next month that allows Telegrams users to trade cryptocurrencies in-app.
Nonetheless, TON failed to recoup all of its losses, still down 33.5% YTD at $2.36.
Related: Top-five most Googled cryptocurrencies worldwide in 2022
Worst five cryptos of 2022
1. Terra (LUNA)
- YTD performance: -99.99%
- Sector: Smart contracts
- Market Cap: $604 million
Terra (LUNA) became a debacle for the cryptocurrency sector after its market valuation crashed by 99.99% in May. The unraveling started with the implosion of Terra’s algorithmic stablecoin TerraUSD (UST), marking one of the biggest busts in the crypto industry’s history.

Terra’s implosion prompted its founder Do Kwon to suggest a fork to revive the project. Eventually, Terra underwent a chain split, with the old chain existing as Terra Classic and the new chain as Terra 2.0.
Luna Classic (LUNC) jumped nearly 100% after its launch in late May 2022 while LUNA (LUNA2) dropped around 40% in the same period.
2. FTX Token (FTT)
- YTD performance: -98%
- Sector: Centralized exchange
- Market Cap: $307 million
FTX Token (FTT) served as a native token to FTX, which collapsed after facing a liquidity crisis in November.

The token continues to trade across several exchanges but accompanies poor liquidity and volume. It is technically “dead” given the defunct status of FTX.
3. Solana (SOL)
- YTD performance: -93.35%
- Sector: Smart contracts
- Market Cap: $4.11 billion
Solana (SOL), a layer-1 blockchain protocol, crashed 93.35% YTD due to a sequence of bad news all across 2022. That includes six network outages in the year, a $200 million hack on a Solana-based wallet and Solana’s association with FTX.

More bad coverage appeared in the form of accusations that Solana is not as decentralized as it claims to be, resulting in SOL being one of the worst-performers of 2022.
4. Axie Infinity (AXS)
- YTD performance: -93%
- Sector: Gaming/metaverse
- Market Cap: $775 million
Axie Infinity Shard (AXS) serves primarily as the governance token for Axie Infinity, a play-to-earn (P2E) gaming ecosystem. It also acts as a legal tender in the Axie Infinity marketplace, where in-game nonfungible tokens (NFT) can be purchased.
The AXS market has consistently trended lower in 2022 due to underwhelming players turnout (which lowers the demand for tokens), a $650 million hack concerning Axie Infinity’s blockchain Ronin in late March and fears surrounding the unlocking of 8% of supply in October.

AXS is down approximately 93% YTD, becoming one of the worst-performing assets in the current bear market.
5. The Sandbox (SAND)
- YTD performance: -92.50%
- Sector: Gaming/metaverse
- Market Cap: $690 million
Like Axie Infinity, The Sandbox is a virtual platform where users can create, own and monetize their gaming skills using NFTs and The Sandbox (SAND), the platform’s utility token. But, despite initial success, the platform now has less than 500 unique users, according to data from DappRadar.
The lower turnout has affected SAND’s demand across spot exchanges, which, in turn, has pushed its price down 93.50% YTD, as shown below. Other factors behind the declining interest include a general lack of demand for riskier assets in a higher interest rate environment.

Other tokens that fell more than 90% YTD are Fantom (FTM), Avalanche (AVAX), Algorand (ALGO), Decentraland (MANA), BitTorrent (BTT) and others.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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Axie Infinity
7 biggest crypto collapses of 2022 the industry would like to forget
Published
6 months agoon
December 26, 2022By
admin
2022 has been a bumpy year for the cryptocurrency market, with one of the worst bear markets on record and the downfall of some major platforms within the space. The global economy is beginning to feel the consequences of the pandemic, and clearly, this has had an influence on the crypto industry.
Below is a breakdown of some of the biggest disappointments in the crypto space this year.
Axie Infinity’s Ronin Bridge hacked
In March of this year, Ronin, the blockchain network that runs the popular nonfungible token (NFT) crypto game Axie Infinity, was hacked for $625 million. The hacker took 173,600 Ether (ETH) and 25.5 million USD Coin (USDC) from the Ronin bridge in two transactions.
When the Lazarus Group started its attack, five of the nine private keys for the Ronin Network’s cross-chain bridge were hacked. With this vote, they authorized two withdrawals totaling $25.5 million in USDC and 173,600 ETH.
According to the Ronin group, Axie Infinity’s issues began in November 2021, when its user base had expanded to an untenable size. Consequently, the corporation’s safety rules had to be relaxed to fulfill client demand. After the initial phase of fast development was completed, the firm reduced its safety procedures.
Bridge hacks have accounted for 2/3 of the $3B that has been stolen from DeFi.@AxieInfinity‘s @Ronin_Network bridge hack has been the largest to date at $600M lost. pic.twitter.com/5IAuTqShMO
— Messari (@MessariCrypto) August 30, 2022
The main difficulty was a lack of a suitably decentralized network created by game developer Sky Mavis. The hacker acquired access to the private keys of five of Sky Mavis’ Ronin Chain’s nine validator nodes, enabling them to compromise the network. When the hackers gained control of five nodes, they essentially controlled over half of the network and were free to accept or deny whatever transactions they wanted. They obtained ETH and USDC via falsifying withdrawals.
The crime occurred on March 23, but it was only noticed on March 29, when a user reported being unable to withdraw 5,000 ETH from the Ronin bridge ATM. In the aftermath of the attack, Axie Infinity developers raised $150 million to reimburse the affected users.
TerraUSD/LUNA collapse
On May 7, when over $2 billion in TerraUSD (UST) was unstaked (removed from the Anchor Protocol), hundreds of millions of United States dollars were quickly liquidated. It’s unclear if this was a deliberate attack on the Terra blockchain or a response to rising interest rates. Because of the enormous outflow of cash, the price of UST fell from $1 to $0.91. As a result, market players started trading $0.90 in UST for $1 in Terra (LUNA).
When a considerable amount of UST was moved out, the stablecoin depegged. The availability of LUNA increased as more people sold their UST during the panic.

Following this fall, cryptocurrency marketplaces started to suspend trading pairs such as LUNA and UST. Following the initial accident in May, Do Kwon disclosed a rehabilitation plan for LUNA, and things seemed to improve. However, the currency’s value eventually fell. It was abandoned almost as soon as it began. Finally, Terra launched a whole new currency known as LUNA 2.0.
Investors lost a combined $60 billion due to the panic selling that accompanied the decline of TerraUSD Classic (USTC) and Luna Classic (LUNC), a related token.
On Sept. 14, a South Korean court issued an arrest warrant for Do Kwon. This happened four months after Terraform Labs’ LUNA and UST tokens collapsed. Do Kwon and five others were detained for allegedly violating regional market restrictions.
Three Arrows Capital collapse
When LUNA and Terra collapsed, the crypto hedge fund Three Arrows Capital (3AC), which had a peak market valuation of more than $560 million, suffered significantly. 3AC had invested heavily in several troubled cryptocurrency projects, including the play-to-earn game Axie Infinity, which lost $625 million to a North Korean hack this year, and the centralized cryptocurrency exchange BlockFi, which laid off hundreds of employees in mid-June.
The UST collapse shattered investor confidence and expedited the slide of cryptocurrencies, which was already underway as part of a bigger flight from risk. A flood of margin calls from 3AC’s lenders sought repayment, but the firm lacked the funds to meet the requests. In addition, many of the company’s counterparties could not meet their investors’ expectations, many of whom were retail investors promised 20% annual returns.
Related: Santas and Grinches: The heroes and villains of 2022
The crypto hedge fund eventually collapsed after taking on major directional trades and borrowing from over 20 institutions, and the founders defaulted on its payments.
Because the founders would not appear in court, the lawsuit proceeded without them. In a leaked court document filed with the Singapore High Court, the Singapore government was asked to accept liquidation proceedings and work with liquidators. As liquidators try to wind down the failed crypto business of Three Arrows Capital, U.S. Bankruptcy Judge Martin Glenn has issued subpoenas to the company’s founders.
Voyager Digital’s fall
On July 6, prominent cryptocurrency investment firm Voyager Digital filed for bankruptcy after crypto hedge fund 3AC defaulted on a $650 million loan. 3AC received a significant loan from Voyager with no security. When 3AC defaulted on all of its obligations and its owners left, Voyager lost a significant sum of customer money.
Trading, withdrawals, and deposits were all suspended when Voyager reported that 3AC would not repay its loan. In June, Sam Bankman-Fried, billionaire CEO of trading firms FTX and Alameda Research, presented Voyager with a $500 million line of credit to help them weather the market collapse.
On July 5, 2022, Voyager Digital Holdings filed for bankruptcy in the Southern District of New York. According to Voyager Digital, the corporation owes between $1 billion and $10 billion to its more than 100,000 debtors. Despite its debts, however, the company believes it has assets worth between $1 and $10 billion. They also guarantee that adequate money is available to pay off the company’s unsecured creditors.
In a September court filing, insolvent cryptocurrency broker Voyager Digital revealed that it would auction off its remaining assets.

Celsius crash and liquidity crisis
Celsius’s value plummeted on July 13, 2022, when one of the main crypto businesses, Celsius Network, declared bankruptcy. As the price of cryptocurrencies fell, investors on the Celsius network started withdrawing their Bitcoin (BTC) holdings in search of safer alternatives.
Consequently, panicked investors left Celsius in volume. Despite stating they were forced to do so due to “extreme market conditions,” Celsius Network halted BTC withdrawals, swaps and transfers on June 12. Users of the site understandably thought that Celsius had declared bankruptcy and would be unable to refund their money. The value of the Celsius cryptocurrency plummeted by 70% in only a few hours and fell further in the days that followed.
The crypto market has seen a significant sell-off due to the insecurity and falling prices of many major cryptocurrencies, which corresponded with the drop in the price of Celsius. In addition, due to escalating cash flow issues, Celsius announced 23% layoffs on July 3, 2022. When the time came, the company filed for bankruptcy on July 13, 2022.
Celsius had total liabilities of $6.6 billion and assets of $3.8 billion, resulting in a $1.2 billion hole in the company’s balance sheet due to the court ruling.
FTX collapse
FTX and its U.S. equivalent, FTX.US, filed for Chapter 11 bankruptcy on Nov. 11. The exchanges collapsed due to a lack of liquidity and money mismanagement, resulting in a large number of withdrawals from fearful investors.
Following the announcement of bankruptcy, FTX.US briefly restricted withdrawals on Nov. 11, despite earlier promises that FTX.US would be unaffected by FTX’s liquidity concerns. On the evening of Nov. 11, an alleged hack took more than $600 million from FTX wallets. The assault was revealed by FTX in its assistance channel on the instant-messaging network Telegram.
PSA: If you have a bank account linked to FTX US, change your bank account password and stop sharing data immediately.
Below is a screenshot of my bank account, which they tried accessing 40 mins ago pic.twitter.com/sdnaUFEzOW
— Mike McGuiness ᵍᵐ (@mikemcg0) November 12, 2022
According to some Twitter users, hackers were also attempting to get access to FTX-linked bank accounts. Plaid, a company that connects consumer bank accounts with financial applications, responded to “concerning public reports” by denying FTX access to their products, claiming that they had no proof that their tools had been used unlawfully.
Bankman-Fried was arrested in the Bahamas on Dec. 12 at the request of the U.S. government, which wanted him extradited for eight criminal offenses, including wire fraud and conspiracy to defraud investors. Bankman-Fried was eventually deported to the United States and is awaiting trial after posting a $250 million bail.
BlockFi bankruptcy
The collapse of FTX earlier in the month generated fear and uncertainty across the market. BlockFi, another cryptocurrency exchange, filed for Chapter 11 bankruptcy on Nov. 28. With assets and liabilities ranging from $1 billion to $10 billion, the firm had over 100,000 creditors. In addition, they had a $275,000,000 debt to Sam Bankman-Fried’s American subsidiary, FTX US. The application shows that the largest client has a balance of $28 million.
Following the demise of Three Arrows Capital, multiple firms, including the crypto company that operates a trading exchange and an interest-bearing custodial service for cryptocurrencies, had serious liquidity issues.
Related: Women who made a contribution to the crypto industry in 2022
BlockFi agreed earlier this year to accept a credit package from FTX worth up to $400 million to help it weather a liquidity restriction caused by the exchange’s exposure to the TerraUSD stablecoin’s collapse. As a result of these concerns, BlockFi was reliant on the performance of the cryptocurrency exchange FTX, which may now jeopardize its financial stability.
While 2022 may have been a tough year for the crypto market, there may be a silver lining. Investor sentiment seems to be improving, and the crypto market has always recovered from previous bear markets and platform collapses. The events of 2022 could pave the way for new platforms to learn from the mistakes of their predecessors.
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