Zoom investor tells startup founders: ‘Forget the past three years’ and accept 50% valuation hit

Eugene Zhang, founding partner of Silicon Valley VC firm TSVC Spencer Greene, general partner of TSVC Courtesy: TSVC Eugene Zhang, a veteran Silicon Valley investor, recalls the exact moment the market for young startups peaked this year. The firehose of money from venture capital firms, hedge funds and wealthy families pouring into seed-stage companies was reaching absurd levels, he said. A company that helps startups raise money had an oversubscribed round at a preposterous $80 million valuation. In another case, a tiny software firm with barely $50,000 in revenue got…

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Ethereum just wrapped the final dress rehearsal for one of the most important events in crypto

Ethereum is the world’s second-biggest cryptocurrency, and it’s giving bitcoin a run for its money. Getty Ethereum, the second-largest cryptocurrency by market value, just ran a final dress rehearsal ahead of a years-awaited upgrade that’s been billed as one of the most important events in the history of crypto. Since its creation almost a decade ago, ethereum has been mined through a so-called proof-of-work model, involving complex math questions that massive numbers of machines race to solve and requiring an abundance of energy. Bitcoin mining involves a similar process. Ethereum…

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Hackers have stolen $1.4 billion this year using crypto bridges. Here’s why it’s happening

Mining the Worlds Second-most-valuable Cryptocurrency at Evobits I.T SRL An engineer inspects Sapphire Technology Ltd. AMD graphics processing units (GPU) at the Evobits crypto farm in Cluj-Napoca, Romania, on Wednesday, Jan. 22, 2021. The worlds second-most-valuable cryptocurrency, Ethereum, rallied 75% this year, outpacing its larger rival Bitcoin. Photographer: Akos Stiller/Bloomberg via Getty Images Photographer: Akos Stiller/Bloomberg via Getty Images Crypto investors have been hit hard this year by hacks and scams. One reason is that cybercriminals have found a particularly useful avenue to reach them: bridges. Blockchain bridges, which tenuously…

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Crypto criminals laundered $540 million by using a service called RenBridge to bypass exchanges

Dan Kitwood | Getty Images A major way criminals in the crypto world launder money is by sending digital assets across blockchains, bypassing a centralized service that can trace and freeze transactions. They use so-called cross-chain bridges to make it happen, and the dollar amounts are getting large. One particular cross-chain bridge called RenBridge has been used to launder at least $540 million in crime-related crypto cash since 2020, according to new research from blockchain analytics firm Elliptic. Included in that amount is $153 million in ransomware payments, meaning hackers…

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Sam Bankman-Fried’s crypto firms had deep ties to Voyager Digital and its bankruptcy wipeout

Sam Bankman-Fried, co-founder and chief executive officer of FTX, in Hong Kong, China, on Tuesday, May 11, 2021. Lam Yik | Bloomberg | Getty Images Sam Bankman-Fried became a crypto billionaire and one of the most famous players in the industry by building cryptocurrency exchange FTX into a top site used by traders and investors. His company was valued at $32 billion in January and currently has more than a million users averaging a total of nearly $10 billion in daily trading volume. But it’s still privately held, so the…

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Apple Card’s rapid growth, outside vendors blamed for mishaps within Goldman’s credit-card business

Apple CEO Tim Cook introduces Apple Card during a launch event at Apple headquarters on Monday, March 25, 2019, in Cupertino, California. Noah Berger | AFP | Getty Images When it was unveiled in 2019, Apple touted its new credit card as a gamechanger with unheard-of levels of simplicity and transparency. Behind the scenes, however, the card’s rapid growth and the new platform built by Goldman Sachs to service it created difficulties, resulting in failures more reminiscent of a traditional issuer than a customer-first disruptor, according to people with knowledge…

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Tornado Cash crackdown by Treasury puts honest crypto investors at risk of criminal exposure

A tornado is seen on a field in D’arcy, Saskatchewan, Canada June 15, 2021. Neil Serfas | via Reuters The Treasury Department’s crackdown on Tornado Cash was meant to stop criminals. But a lot of ordinary crypto investors with honest intentions are now at risk. “Every U.S. person is going to have to be very careful about transacting with Tornado Cash,” said Ari Redbord, head of legal and government affairs at research firm TRM Labs, in an interview. “Remember, sanctions are strict liability. Intent does not matter.” Tornado Cash is…

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Crypto mixing service Tornado Cash blacklisted by Treasury Department for alleged use in laundering

The U.S. Department of Treasury on Monday sanctioned the popular cryptocurrency mixer Tornado Cash, banning Americans from using a service that the government said, “launders the proceeds of cybercrimes.” “Despite public assurances otherwise, Tornado Cash has repeatedly failed to impose effective controls designed to stop it from laundering funds for malicious cyber actors on a regular basis and without basic measures to address its risks,” Under Secretary of the Treasury for Terrorism and Financial Intelligence Brian Nelson said in a statement. Crypto asset mixers are designed to obscure trails of…

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Bankrupt crypto lending platform Celsius withdraws motion to hire CFO back at $92,000 a month

Celsius on Thursday was sued by former investment manager Jason Stone, as pressure continues to mount on the firm amid a crash in cryptocurrency prices. Stone has alleged, among other things, that Celsius CEO Alex Mashinsky (above) was “able to enrich himself considerably.” Piaras Ó Mídheach | Sportsfile for Web Summit | Getty Images Embattled lending platform Celsius has withdrawn its motion to bring back ex-CFO Rod Bolger at $92,000 a month, prorated over a period of at least six weeks, according to a court document filed in the Southern…

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Bohemian noble family redefines modern aristocracy by selling NFTs to preserve and share a 700-year-old legacy

CNBC’s MacKenzie Sigalos and William Rudolf Lobkowicz in the Family Chapel of the Lobkowicz Palace depicting an early 18th-century altarpiece painting of St. Wenceslas, patron saint of the Czech nation. House of Lobkowicz PRAGUE — It is past midnight on a Friday at the Lobkowicz Palace in the Prague Castle complex. A 27-year-old Czech prince, William Rudolf Lobkowicz, is crawling on the hard stone floor, taking care not to trigger the alarms behind the guardrails that partition the castle’s daytime visitors from the 16th-century portraits hanging on the stone walls.…

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