ConsenSys Launches MetaMask Staking, Eurojust Stops Major Crypto Fraud Network, LendHub Loses $6M in an Attack

Get your daily, bite-sized digest of cryptoasset and blockchain-related news – investigating the stories flying under the radar of today’s crypto news.
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Investment news

• Major Ethereum (ETH)-focused blockchain company ConsenSys announced the launch of MetaMask Staking, a new feature directly incorporated in the MetaMask Portfolio dapp. “MetaMask Staking will increase access to staking by allowing MetaMask users globally to stake crypto (ETH) with leading liquid staking providers, Lido and Rocket Pool,” said a press release. Through this new feature, users can compare the rewards rate, network control, and popularity of different liquid staking providers and choose the one they want to stake with, it added.
• Société Générale, a French multinational investment bank and financial services company, minted $7 million as a loan of DAI from the stablecoin’s issuer MakerDAO on January 12. The vault has a debt ceiling of $30 million, according to data aggregated by MakerBurn.
• Crypto payments company Wyre lifted its depositing freeze and 90% withdrawal limit after receiving financing from a strategic partner. “This additional capital will help us continue to deliver on our mission to simplify and revolutionize the global financial ecosystem,” the company announced on Twitter.

Legal news

• A crypto fraud network operating from Bulgaria, Cyprus, and Serbia has been dismantled through coordinated action with the active support of Eurojust and Europol, said Eurojust, the European Union’s cross-border agency for fighting organized crime. “The network operated professionally to set up call centres, which defrauded numerous victims in Germany, Switzerland, Austria, Australia, and Canada for at least tens of millions of euros,” it said.
• A US federal district court in San Diego ordered that over $17 million in restitution be distributed to approximately 800 victims from over 40 different countries due to their investment losses in the massive BitConnect investment scheme, which defrauded thousands of investors worldwide, announced the US Department of Justice (DoJ). “BitConnect operated a textbook Ponzi scheme by paying earlier BitConnect investors with money from later investors,” it said.
• Failed FTX exchange can put for sale its European and Japanese units, as well as the derivatives arm LedgerX and stock-clearing platform Embed, according to an order by a US judge. Sale notices will be published within three business days, with indications of interest to be received between January 18 for Embed and February 1 for FTX Europe and Japan.
• Troubled crypto lender Nexo will sue Bulgaria for the actions of the law enforcement authorities against the company, referring to the raids at the company’s offices in Sofia, the Bulgarian News Agency reported. The company plans to seek compensation for damages caused by the abrupt police interruption, it said.
• The creditors of the Singapore-based troubled crypto lender Hodlnaut rejected the restructuring plan and prefer to liquidate the company, reported Bloomberg. The creditors argued that restructuring plans are not helpful and are calling for immediate liquidation and distribution of remaining assets among creditors to maximize the remaining value.

Security news

• Decentralized finance (DeFi) lender LendHub lost $6 million of crypto in an attack, the team reported on Friday. The attack occurred on January 12, and the lender added that it contacted blockchain security firms and crypto exchanges to assist with tracking the stolen crypto.

CBDC news

• TASCOMBANK, a major Ukrainian commercial bank, recommended utilizing blockchain technology after using the Stellar (XLM) network for an electronic money pilot, a Stellar announcement said. “The results of the pilot project presented the openness of the bank’s infrastructure to blockchain solutions in the future. JSC TASCOMBANK could provide an appropriate level of financial services using blockchain assets, taking into account all regulatory requirements,” said Sergii Kholod, the First Deputy Chairman of the Board of TASCOMBANK.

Metaverse news

• Domain and digital identity platform Unstoppable Domains announced a new way to connect Web3 digital identity with a metaverse identity following integration with Ready Player Me, a cross-game avatar platform for the metaverse, said the press release. Users can link their custom Ready Player Me avatars as a PFP in their Unstoppable profile so they can own their digital identities from the real world to the virtual world. Registered Ready Player Me users will also receive a $50 credit to claim their unique Web3 domain from Unstoppable Domains, it added.