🦹🏻♂️ Record $760M Stolen in Exploits During ‘Hacktober’
Hello Defiers! Here’s what we’re covering today:
👀 Defiant Premium Story for Paid Subscribers (📜Scroll to the end!)
Trending in The Defiant
The open economy is taking over the old one. Subscribe to keep up with this revolution. Click here to pay with DAI (for $100/yr) or sub with fiat by clicking on the button below ($15/mo, $150/yr).
🙌 Together with:
Aave Grants is a community-led grants program, focused on growing a thriving ecosystem of contributors within Aave by funding ideas, projects and events that benefit the protocol or surrounding ecosystem.
Lumerin is revolutionizing Bitcoin mining with a decentralized marketplace for buying and selling hashpower. Help us test the network in beta and earn real BTC hashpower to sell, trade, or mine. Find out more!
Bad Month for DeFi Security Highlights Pitfalls of Freewheeling Practices
By Owen Fernau
NEWS Call it Hacktober.The crypto market suffered a record $760M in exploits in October, according to PeckShield, a blockchain security company which lists MakerDAO, DeFi’s largest protocol, as a customer.
VALUE Despite an exploiter’s move to return $50M to users last month, the total value of stolen funds in 2022 surged to almost $3B. That’s nearly double the $1.5B hackers took in 2021 and nearly 12 times the 2020 total.
V3 Deployment on Ethereum, a Stablecoin, and a Debit Card in the Works
By Samuel Haig
WORK TO DO A v3 deployment on Ethereum, a stablecoin, and a debit card. Aave, the trailblazing DeFi lending protocol, has a lot of work to do. The No. 4 DeFi protocol with $5.4B in total value locked has only completed one-twentieth of the work in its long-term strategic plan, according to Marc Zeller, the lead of Aave’s integrations team.
Goldfinch is a decentralized credit protocol with a mission to connect the world’s capital to the world’s growth, with yields generated by real-world lending to growing off-chain businesses, and loans fully collateralized by real-world assets. The protocol has been noted as having one of DeFi’s highest yields for USDC lending, with Investors earning a 7.8%—18.5% USDC APY, and up to 23% est. APY including GFI rewards.
Now, the protocol has announced Goldfinch Membership: empowering Goldfinch’s Investors and aligning the protocol’s participants with the network’s long-term success.
Investors on Goldfinch will be able to join a Membership Vault to:
Receive yield enhancements via Member Rewards
Support Goldfinch’s growth and expansion
Access exclusive communication channels and other benefits
Goldfinch’s global network of Investors have already loaned over $100M USDC, reaching over 1M people and businesses via the protocol’s Borrowers across 20+ countries, to earn yields uncorrelated to DeFi’s volatility. Goldfinch Membership is a new opportunity to further align Goldfinch’s Investors with the protocol’s long-term growth.
Upgrade your participation for enhanced yields from Member Rewards, and own the new global credit paradigm. Sign up for the waitlist today
Huobi Exchange Boots HUSD After Stablecoin Tumbles to 33 Cents
By Samuel Haig
FLASHBACK In a flashback to the dark days of May, HUSD, a stablecoin with a $62M market cap, lost its peg to the U.S. dollar and was delisted from the Huobi exchange on Oct. 28. The stablecoin slipped its peg and skidded to 33 cents from 99 cents.
Ethereum Co-Founder Says Pursuit of Institutional Capital May Bring Onerous Regulation
By Samuel Haig
MATURE After weeks of keeping his own counsel amid regulatory action in crypto, Vitalik Buterin, Ethereum’s co-founder and chief scientist, finally shared his thoughts on the subject over the weekend. His message: Buterin believes crypto isn’t ready to be integrated into mainstream finance and should take its time to mature.
“If DeFi Front-ends Catering To Americans Need To Be Licensed, DeFi in America Dies,” says Erik Voorhees
LIVE DEBATE Regulation is coming, and before it does, the crypto industry must know what it’s willing to sacrifice, FTX CEO Sam Bankman-Fried (SBF) argued in a live debate with ShapeShift CEO Erik Voorhees Friday.
Restructuring Plan Receives Overwhelming Support
PROPOSAL On Oct.26, the Sushi DAO approved a restructuring plan which will see the formation of three entities in the Cayman Islands and Panama, with each overseeing a core function of the protocol. The proposal garnered near-unanimous support from SUSHI holders, as more than 11M votes were cast in its favor, with a mere 178 votes against.
Ether Is Up 22% In Seven Days
By Owen Fernau
BEST WEEK After trading sideways through much of October, crypto markets had their best week since August with the top three digital assets leading the way — Bitcoin is up 8.9%, Ether is up 22.1%, and Binance’s BNB is up 12.5% in the past week, according to The Defiant Terminal.
DeFi Startups Don’t Have the Resources to Meet Proposed Norms
Guest writer Sameep Singhania rebuts Bankman-Fried’s proposals in response to regulatory pressure.
THREAT Sam Bankman-Fried’s proposal to set crypto industry standards undermines DeFi’s entrepreneurial spirit and presents an existential threat to the space’s leading DeFi teams and platforms.
BLUEPRINT On October 19, Sam Bankman-Fried, the CEO of crypto exchange juggernaut FTX, delivered one of the most provocative and controversial documents to hit the industry: a detailed blueprint for regulatory oversight and industry standards in the digital asset space.
📺 Weekly Recap: zkSync Goes Live, Multichain Questioned, MakerDAO Roadmap, Apple NFT Rules,, SBF Responds
The $60B Fall of Terra Worsened the Bear Market and Undermined DeFi
CONTENDER Terra was one of the blockchains based on the scalable and open-source Cosmos framework. Because Cosmos architecture allows far greater transaction speed and scalability than Ethereum, Terra became a top contender as an “Ethereum killer”.
FAILURE This all ended one of Terra’s key products, the TerraUSD (UST) stablecoin, depegged during rough market conditions in May 2022. Terra’s collapse, which vaporized about $60B worth of crypto market capitalization, made the project the byword for crypto failure during the 2022 bear market.
Ethereum staking appears to be the new favorite way for crypto traders to capture yield – so popular, in fact, that it’s driving the yields lower.
Now that he owns Twitter, Elon Musk has given employees their first ultimatum: Meet his deadline to introduce paid verification on Twitter or pack up and leave.
Trending in The Defiant
Arbitrum Co-Founder Says Ability to Process Transactions is Finite With its Nitro upgrade in the rearview mirror, Ethereum Layer 2 scaling solution Arbitrum is now turning its focus to research and development in hopes of solving its own major challenges long before they appear.
Multichain Questioned About Management of Millions in User Funds The vast majority of crypto lost to hacks this year was stolen from bridges, the technology that allows users to transfer digital assets between blockchains.
zkSync to Launch ‘Baby Alpha’ V2 as Skeptics Decry Marketing Hype Matter Labs is poised deployed zkSync 2.0 to the mainnet on Friday but skeptics questioned whether the iteration was ready for prime time.
🧑💻 ✍️ Stories in The Defiant are written by Owen Fernau, Aleksandar Gilbert, Samuel Haig, and yyctrader, and edited by Edward Robinson, yyctrader and Camila Russo. Videos were produced by Alp Gasimov. Podcast was led by Camila, edited by Alp.
Free subscribers to the newsletter get:
Daily news briefings
Sunday Weekly recap
General chat on The Defiant’s Discord server
👑Prime defiers get:
Full transcript of exclusive podcast interviews
DeFi Alpha weekly newsletter on how to put your money to work in DeFi by yyctrader and DeFi Dad
Weekly live DeFi Alpha call with yyctrader
Inbox Dump edition of The Defiant newsletter every Saturday with all the PR that didn’t make it to our content channels
Exclusive community calls with the team
Subscriber-only chats on The Defiant Discord server
Full access to The Defiant’s content archive
Click here to pay with DAI (for $100/yr) or sub with fiat by clicking on the button below ($15/mo, $150/yr).
You can start a prime membership for free right now with this link. You’ll get full access for 7 days. It’s 100% risk-free.
👀 Defiant Premium Story for Paid Subscribers
Collection By Rick and Morty Co-creator Second-most Sold in Last Week
HOT That didn’t take long. Art Gobblers, an NFT project from Rick and Morty co-creator Justin Roiland, began minting on Monday and immediately became one of the hottest collections of the month.
VOLUME By early Tuesday morning, the collection already accounted for 5,000 ETH in trading volume — worth about $8M — making it the second most-sold in the preceding seven days, according to data from Nansen.
To read the full story subscribe to The Defiant newsletter.
Keep reading with a 7-day free trial
Subscribe to DeFi, NFT & Web3 Insights - The Defiant to keep reading this post and get 7 days of free access to the full post archives.