On December 31, 2021, decentralized finance (DeFi) ecosystem platform MRHB DeFi raised US$5.5 million through an Initial DEX Offering (IDO). The IDO allowed global investors to participate directly in the funding rounds with no third-party mediator. From raising capital through an Initial Coin Offering (ICO) to launching an IDO—cryptocurrency has made possible new ways for startups to raise money with fewer hurdles. Here, we take a look at what an IDO is and how your startup can get started with one.
The cryptocurrency boom is well and truly here. However, when it comes to using cryptocurrency, there is no clear way of determining what is okay to engage in and what isn’t. After all, cryptocurrency is constantly evolving and keeping pace with this change is no easy feat. Regulating cryptocurrency is important, and some government officials have been working towards building some sort of a framework. Still, due to the dynamic nature of the currency.
Earlier this month, the owner of Bored Ape non-fungible token (NFT) number 3547, Maxnaut, made a disastrous error by listing the NFT for 0.75 Ethereum (ETH) instead of 75 ETH, which was how much Maxnaut wanted to sell it for. In doing so, Maxnaut lost US$250,000. The NFT was picked up really quickly, with the buyer paying a heavy gas fee of 8 ETH.
While Initial Coin Offerings (ICOs) have been lucrative for startups wanting to raise capital, they are not without their flaws. The lack of regulation often puts investors at risk. For instance, as of 2021, BitConnect, the offshore cryptocurrency lending program, duped investors out of over US$3 billion.
NFT” has been crowned Collin Dictionary’s Word of the Year for 2021. After all, NFTs, or non-fungible tokens, have amassed a following like no other over the past year. So much so that the use of this abbreviation increased by 11,000% in 2021. Collins Learning managing director, Alex Beecroft, told the Guardian,
The startup journey is a challenging one. There are difficulties at every turn, including getting along with your founders, overcoming lack of demand, ineffective marketing, hiring and a myriad of other obstacles. However, one of the most difficult challenges is making sure the startup has enough cash to stay afloat.
Cryptocurrencies are known to be very volatile. There are days when you can easily double or triple your investment, but there are also days when you lose everything in a second. Since the crypto market is still unregulated, it’s a cinch for traders to rig prices and influence the market in their favor.
Imagine that you and your partners come up with an excellent business idea. After drafting a thorough plan, all you need is the money to execute it. For that, you can set up a decentralized autonomous organization, or DAO. To join the organization, people buy tokens, gaining part ownership of your company while investing in it.
As of September 2021, Bitcoin’s market capitalization was US$782.65 billion. The cryptocurrency has been gaining massive ground, with over 2,300 US businesses accepting it as a form of payment and Paypal launching crypto services in their U.K. app. However, in spite of the surge in Bitcoin adoption, the currency isn’t quite as safe as one might think it is.
As of October, Tether, the largest stablecoin in the world, is the fifth largest cryptocurrency in the world. As of October 18, Tether has a market capitalization of over US$69 billion. However, to make sense of this development, let’s break down what a stablecoin is, and then look at the various kinds of stablecoins and what the future holds for them.
On September 14, Gary Gensler, the Chairman of U.S. Securities and Exchange Commission (SEC), said that he doesn’t see long-term viability for cryptocurrency. He emphasized the importance of regulating crypto and protecting the interests of investors.
According to a report by Financial Times (FT), China is planning to break up Ant Group’s online payment platform Alipay. The group has been instructed to create a separate application for its loan payment business. Ant Group’s shares have fallen by more than 4% since the news of the break-up first broke.