🏂Avalanche and MakerDAO Race Forward Amid FTX Fallout

Hello Defiers! Here’s what we are covering today:

• Avalanche Surges to New High in Boost for ‘Subnet’ Strategy

• MakerDAO Brings Aboard Rocket Pool’s LSD Token

• FTX Hacker Offloads Over $59M of ETH and Sells for BTC

• Uniswap Riles Up Users With Plan to Share Wallet Addresses

• FTX Hack Mystery Deepens with Statement from Bahamian Regulators

• Grayscale Reassures Investors After Sister Firm Seeks Emergency Funding

• How Zero Knowledge Proofs Can Restore Digital Trust

• Weekly Recap: FTX Fallout’s Ugliest Turn Yet

• FTX Hacker is on the move

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Layer 1s

By Samuel Haig

Avalanche is on a roll. Even as crypto wrestles with existential questions in the wake of the FTX disaster, transaction volumes on Avalanche, a Layer 1 network, surged to new highs in the third quarter amid the growth of its DFK Chain subnet.

Read the full story on The Defiant

FTX Crisis: Hacks

ox59 still has over 200,735 ETH, worth around $236M, in its wallet

By Aleksandar Gilbert

The hacker behind one of the wallets that drained the failed FTX exchange is offloading several millions of dollars worth of Ether, causing a further slide in the cryptocurrency. 

Read the full story on The Defiant

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Ethereum Staking

By Samuel Haig

In a deal that may ratchet up competition for staking giant Lido, MakerDAO, the No. 1 DeFi protocol, has embraced Rocket Pool’s liquid staking derivative (LSD) token. Users can now use that token, rETH, as collateral for minting Maker’s DAI stablecoin. Oasis.app, a popular portal for MakerDAO, also launched support for rETH. Users can access leveraged exposed to rETH using Oasis’ “Multiply” feature. 

Read the full story on The Defiant

FTX Crisis: Regulators

By Aleksandar Gilbert

Bahamian regulators are not responsible for the $477M hack of bankrupt crypto exchange FTX on Nov. 11, according to blockchain research firm Chainalysis. Chainalysis is among several firms hired by FTX’s new leadership to assist in bankruptcy proceedings, according to court documents filed this week. 

“Some funds were stolen, and other funds were sent to the regulators,” Chainalysis said on Twitter. 

Read the full story on The Defiant

FTX Crisis: Contagion

By Owen Fernau

Grayscale, the issuer of the world’s largest publicly traded crypto fund, is hoping to reassure investors that the digital assets backing its products are safe. Grayscale is owned by Digital Currency Group, which is being scrutinized by investors after another subsidiary, Genesis Global Capital, reportedly sought an emergency loan of $1B last week in the wake of FTX’s collapse.

Read the full story on The Defiant

DEXs

By Samuel Haig 

Uniswap, the top decentralized exchange by trade volume, is taking flak after its new privacy policy revealed on Nov. 17 that Uniswap Labs may share wallet addresses with third parties in the event of regulatory or legal proceedings.

Read the full story on The Defiant

Opinion

By Evan Shapiro

Cryptography and encryption have enabled a degree of trust on today’s internet that allows us to use our passwords without having to think about whether someone will be able to watch our connections and steal them. 

Read the full story on The Defiant

Defiant Video

• Crypto Users Jump to DeFi Platforms in Wake of FTX’s CeFi Crash - Nansen Data Show Double-Digit Jumps in Users at MakerDAO, Aave, and Other Protocols

• Solana Endures ‘Crucible’ as FTX Connection Deletes 70% of TVL - Fall of SBF’s Empire Rocks Layer 1 As It Was Rebounding From Tough Year

• FTX Leadership Borrowed Over $1B From Alameda - Incoming CEO John Ray Cites ‘Complete Absence of Trustworthy Financial Information’

• DeFi Users Jump But Boom is a Mirage: Chainalysis - Data Shows Activity Spike Came from Existing Users and MEV Bot

• SBF Rues FTX Bankruptcy Filing As Screws Tighten: Report - Bankman-Fried Says Altruist Persona Was ‘Just PR’ in Wide-ranging Interview with Vox

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