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Terraform Labs Files For Bankruptcy
Alpha-Team
January 22, 2024
🌐 Terraform Labs' Bankruptcy Filing
Terraform Labs Files for Bankruptcy: Terraform Labs, led by Do Kwon, filed for Chapter 11 bankruptcy in the U.S. Court of Delaware on January 21. The company, behind the failed TerraUSD (UST) stablecoin, reports estimated assets and liabilities between $100 million and $500 million.
CEO's Statement on Resilience: CEO Chris Amani emphasized the resilience of the Terra community amidst challenges. He expressed commitment to resolving legal issues while pursuing collective goals. This follows after the SEC postponed Kwon's fraud trial to March 25.
Legal Challenges and Kwon's Arrest: Terraform Labs' bankruptcy filing comes amid legal challenges, including a postponed fraud trial and SEC charges of securities fraud. Kwon, arrested in Montenegro in March 2023 for using false travel documents, faces potential extradition and legal actions in the U.S. and South Korea. Read More.
️ On today's Top Picks:
- ⚖️ Alameda drops lawsuit against Grayscale.
- 🖼️ Hanniabu releases Nethermind Bug POAP.
- 🪂 Frame airdrop deadline approaches.
- 💰 Sam Altman seeks funding for semiconductors.
Read time: ⏰ 6 minutes
Crypto News
• ⭐️ Terraform Labs files for Chapter 11 bankruptcy citing $100M-$500M in liabilities and assets.
• Nethermind execution client bug causes users to fail to process blocks on Ethereum.
• ⭐️ Alameda Research voluntarily drops lawsuit against Grayscale.
• FTX to be investigated by an independent examiner following court ruling.
• SEC acknowledges filings requesting the ability to trade options on spot Bitcoin ETFs.
• Hong Kong could debut spot crypto ETF by mid-year according to OSL executive.
• CFTC labels Debiex crypto exchange a bogus digital asset platform with $2.3M stolen.
• Blockfence uncovers coin scam operation responsible for $32M stolen from 42K victims.
Alpha
• ⭐️ Hanniabu releases Ethereum Resilience: Nethermind Bug POAP to celebrate minority clients and Ethereum's resiliency.
• Avail partners with Dymension for its Clash of Nodes testnet.
• WalletConnect airdrops Soundwaves NFT to Web3Inbox subscribers.
• Rainbow teases friendtech collaboration coming tomorrow.
• Tabi Chain testnet phase 1 to go live in February.
Airdrops
• Airdrops, what's been happening lately by Olimpio.
• ⭐️ Frame chapter 1 airdrop deadline is January 25th as Mainnet approaches.
• Farcana $FAR airdrop to occur within 14 days after the end of the Airdrop campaign.
• OrdiLaunch airdrop strategy by Crypto Snooper.
Finance News
• ⭐️ Sam Altman seeks funding to establish chip fabrication plants.
• Exxon Mobil $XOM sues activist investors to prevent climate proposals.
• Sony calls off $10B merger between their Indian operations and Zee Entertainment.
• Macy's $M rejects $5.8 billion bid to go private citing deal financing and valuation concerns.
• Spirit Airlines $SAVE rebounds as it appeals blocked JetBlue $JBLU merger ruling.
• Gilead $GILD tumbles after disappointing lung cancer study results.
Security and Exploits
• ConcentricFi exploited for ~$1.6M after social engineering attack on team member holding deployer wallet.
• SlowMist security report highlights ~$5M in losses last week.
Token Unlocks
• dYdX / 575.34K $DYDX / ~$1.6M / JAN 23
• Acala / 4.66M $ACA / ~$438.5K / JAN 24
• Yield Guild Games / 16.69M $YGG / ~$8.8M / JAN 27
• SingularityNET / 9.11M $AGIX / ~$2.5M / JAN 27
Funding
• Cadence, a perpetuals aggregator; raises an undisclosed amount in Strategic funding.
• Scallop, a money market on Sui; raises an undisclosed amount in Strategic funding from Cetus.
The Degen Farmer
Top stablecoin yield farms of the day, more than $3,000,000 in TVL. DYOR and step up your farming game!
| PROTOCOL | ASSETS | APY |
|---|---|---|
 Uniswap V3 (Ethereum) | WBAIUSDC | 406.29% |
 Notional V3 (Arbitrum) | NUSDC | 95.20% |
 Jones DAO (Arbitrum) | JUSDC | 43.12% |
 Vela Exchange (Arbitrum) | USDC | 39.45% |
 Aura (Ethereum) | DOLAUSDC | 36.32% |
 Solv Funds (Arbitrum) | USDT | 35.70% |
 Abracadabra (Arbitrum) | MIMUSDCUSDT | 32.53% |
 Merkl (Arbitrum) | STEURUSDC | 30.40% |
KelpDAO: Leverage your EigenLayer Re-Staking! 🪂 |  |
KelpDAO is a re-staking protocol. When you deposit sfrxETH or ETHx with Kelp, you get rsETH and start earning both EigenLayer Restaking Points AND Kelp Miles!
Bonus #1 → KelpDAO just announced a 100,000 bonus pool in Kelp Miles for every rsETH minted.
Kelp will likely convert their Miles into tokens down the road.
Bonus #2 → If you deposit ETHx in Kelp, you also get a piece of 1 million additional EigenLayer Points for 10 days (100k/day) - distributed by Stader Labs.
sfrxETH, from Frax Finance, is a newly listed LST on Kelp with deposits open right now. stETH caps are currently paused, due to EigenLayer constraints.
Bottom line: Restake with Kelp to get double-boosted points using ETHx. Also a warm welcome to the Frax community. Dive in and explore! 👇
That’s it for today’s edition! See you soon.
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