Welcome to the latest edition of Cointelegraph’s decentralized finance newsletter.
A week full of positive developments in the DeFi space, including Nine-figure fundraisers, successful product launches and soaring token prices, was somewhat clouded by news of two serious security attacks.. Read on for the full scope of the developments throughout the week.
What you are about to read is the smaller version of this newsletter designed to be brief. For the full version of DeFi developments during the last week, leave your email at the end of the article.
Borderless Capital Launches $ 500 Million Fund to Support Algorand’s Ecosystem
Venture capital firm Borderless Capital announced the launch of ALGO Fund II this week, a $ 500 million initiative raised to support the creation of digital asset projects on the Algorand blockchain.
Announced via an Algorand Foundation blog post, the capital will specifically target decentralized applications, niche liquidity mining services, loans, credits, and yield farming, as well as non-fungible tokens.
We are excited to announce the launch of our $ 500M Borderless ALGO Fund II! Https: //t.co/EP0U6Ib8HV pic.twitter.com/okXf6GBFo8
– Borderless Capital (@borderless_cap) November 30, 2021
We are excited to announce the launch of our $ 500M Borderless ALGO Fund II!
Algorand is an open source decentralized blockchain most widely regarded for its speed, efficiency, security, and status as a potential competitor to Ethereum’s dominance.
Started in November 2018, Borderless Capital has already invested in more than 100 blockchain-related projects through its $ 400 million ALGO Fund I, including Tinyman, Yieldly, Opulous, and Flare Network, among others, as well as established successful accelerator programs on three major continents. industrial.
Iota Prepares to Launch a Decentralized Smart Contract Platform
Distributed ledger platform Iota announced the launch of the Assembly, a decentralized network of layer one smart contracts and the attached ASMB token this week.
Assembly will seek to drive the adoption of smart contract services and foster an environment for creators, developers, and community advocates that facilitates the expansion of the Iota ecosystem across Web 3.0 sectors, including the metaverse.
Expected to launch in 2022, Assembly will operate in parallel to Iota and will use the existing infrastructure of the network, especially the directed acyclic graphical structure, to operate as an interoperable and autonomous bridge that takes advantage of the benefits of scalability and security, among others.
Decentralized application developers will be able to create their own smart contract chains and set individual parameters for low-cost execution fees, a feature that will also allow service providers to issue stablecoin assets on-chain to incentivize validators.
In a recent Twitter post, Iota revealed that stakers can earn rewards in Shimmer (SMR) and ASMB tokens when launching the networks, indicating that “for every $ 1 MIOTA in stake, users receive $ 1 SMR and 4 microASMB every 10 seconds, for 90 days, once staking has begun. “
Stakers get not just 1 token but 2! And after the @shimmernet and @assembly_net network launch, you can receive even more rewards when securing both networks by staking $ SMR and $ ASMB.
Visit: https://t.co/gx9ucphSR2#IOTA pic.twitter.com/VjV77gPK5Q– IOTA (@iota) December 2, 2021
Stakers get not only 1 token, but 2! And after the launch of the @shimmernet and @assembly_net networks, you can receive even more rewards by protecting both networks by staking $ SMR and $ ASMB.
MonoX and BadgerDAO suffered attacks worth $ 150 million
Decentralized MonoX and BadgerDAO projects fell victim to sophisticated individual protocol attacks this week that resulted in more than $ 150 million in asset losses.
The MonoX platform suffered a single cyber attack on November 30 when a bug in the smart contract swap contract allowed manual manipulation of the price of MONO tokens, an asset that had just been listed on the Huobi exchange in the previous days.
After pushing the MONO token to what the team described as “sky high” levels, the hackers traded the funds for other assets on the platform and made lucrative profits.
In the days after the breach, the MonoX team confirmed that the losses totaled around $ 31 million, along with the release of a statement of regret, the gist of which read:
“Days like yesterday are horrible, there is no makeup covering the harsh reality of a contract that is exploited and people lose money. Our fans put their faith in a new project like us, and yesterday we let them down ”.
Similarly, but with no affiliation with the other, BadgerDAO was also the victim of financial exploitation this week. Although community members raised concerns on Discord regarding suspicious increases in allocation in the previous days, administrators did not perceive this to be a threat, as highlighted in this one. Tweet of 0xMoves.
According to blockchain analytics service PeckShield, BadgerDAO’s losses have accumulated $ 120 million as of this writing, including 2,078.76 Bitcoin (BTC), 30.27 Bitcoin with interest, and 151.32 Ether (ETH).
Badger’s team has now responded by opening a full investigation into the events, as well as pausing smart contract activity until security on the protocol stabilizes once more.
Token performance
Analytical data reveals that DeFi’s total locked value has risen 8.01% for the week to a figure of $ 159.5 billion.
Data from Cointelegraph Markets Pro and TradingView reveals that DeFi’s top 100 tokens by market capitalization performed reasonably well over the past seven days.
Terra (LUNA) shot up to record levels this week thanks to gains of 66.85%. Uniswap (UNI) achieved a healthy 14.3%, while Tezos (XTZ) registered an increase of 12.70%. Chainlink (LINK) and Oasis Network (ROSE) claimed fourth and fifth place this week with gains of 8.1% and 8%, respectively.
Thanks for reading our roundup of this week’s most impactful DeFi developments. Join us again next Friday for more stories, ideas, and education in this dynamically moving space.
Keep reading: