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  • FTX Launches $2 Billion VC Fund to Invest in Crypto Startups

    FTX Launches $2 Billion VC Fund to Invest in Crypto Startups

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    On January 14, FTX, a popular Bahamian-based
     
     cryptocurrency exchange 
    led by Sam Bankman-Fried, announced a launch of a new venture capital business unit called FTX Ventures. According to the Wall Street Journal media outlets, the exchange has pumped $2 billion fund into the new capital unit to focus on investing in crypto-industry startups. The allocation makes the FTX Ventures’ fund as one of the largest venture capitals in the crypto industry. FTX exchange disclosed that the $2 billion venture fund will be led by Amy Wu, a former General Partner at $10 billion venture capital firm Lightspeed.

    As per FTX exchange, the FTX Ventures will majorly focus on
     
     blockchain 
    and cryptocurrency investments. Wu talked about the development and stated that the fund will make strategic concentrated bets into companies in the crypto market, from Latin America, Africa, and beyond. She said that FTX Ventures is especially excited about consumer and social web3 as well as Web3 gaming applications. She further mentioned that the venture firm also targets layer-1 and layer-2 blockchain platforms, blockchain infrastructure, cross-chain protocols, crypto-fueled and NFT-powered video games, and wallet payment applications.

    “It’s not necessarily tied to the strategy of FTX. The objective is more to accelerate the adoption of blockchain technology. We want to be known for the value add that we bring, leveraging the resources, the expertise and the global network of FTX,” Wu elaborated.

    Why Crypto Startups Are Attracting Venture Capital Money

    The development by FTX cryptocurrency exchange to have launched its FTX Ventures’ fund comes at a time when the crypto and blockchain space sees a lot of interest from venture capital companies. Such interests translated into a significant amount of investments made in the space during the year 2021. Startups in the crypto and blockchain sector have become winners in the category of record-breaking fundraising. Venture capitalists bet big in cryptocurrency in the previous year, investing more cash than ever into emerging companies in the sector. Startups in the blockchain and crypto space were powered by a record $33 billion in ventral capital funding last year. That can be compared with the year 2020, which saw venture funding of about $3.1 billion.

    In 2021, about 43% of crypto funding went into firms involved in lending, investing, exchange services, and trading of cryptocurrencies. Meanwhile, 17% was channeled towards startups in Metaverse (a network of 3D virtual worlds), Web3 (a decentralized online ecosystem based on the blockchain), DAOs (decentralized autonomous organizations), and FTs (non-fungible tokens). Other categories that also attracted significant venture capital interest include decentralized finance, infrastructure, and custody.

    Crypto startups have become so profitable that they have begun attracting growth-stage capital. In the previous year, major crypto funds such as Hivemind, a16z, and Paradigm managed to raise billions of dollars to bet in crypto and blockchain startups.

    On January 14, FTX, a popular Bahamian-based
     
     cryptocurrency exchange 
    led by Sam Bankman-Fried, announced a launch of a new venture capital business unit called FTX Ventures. According to the Wall Street Journal media outlets, the exchange has pumped $2 billion fund into the new capital unit to focus on investing in crypto-industry startups. The allocation makes the FTX Ventures’ fund as one of the largest venture capitals in the crypto industry. FTX exchange disclosed that the $2 billion venture fund will be led by Amy Wu, a former General Partner at $10 billion venture capital firm Lightspeed.

    As per FTX exchange, the FTX Ventures will majorly focus on
     
     blockchain 
    and cryptocurrency investments. Wu talked about the development and stated that the fund will make strategic concentrated bets into companies in the crypto market, from Latin America, Africa, and beyond. She said that FTX Ventures is especially excited about consumer and social web3 as well as Web3 gaming applications. She further mentioned that the venture firm also targets layer-1 and layer-2 blockchain platforms, blockchain infrastructure, cross-chain protocols, crypto-fueled and NFT-powered video games, and wallet payment applications.

    “It’s not necessarily tied to the strategy of FTX. The objective is more to accelerate the adoption of blockchain technology. We want to be known for the value add that we bring, leveraging the resources, the expertise and the global network of FTX,” Wu elaborated.

    Why Crypto Startups Are Attracting Venture Capital Money

    The development by FTX cryptocurrency exchange to have launched its FTX Ventures’ fund comes at a time when the crypto and blockchain space sees a lot of interest from venture capital companies. Such interests translated into a significant amount of investments made in the space during the year 2021. Startups in the crypto and blockchain sector have become winners in the category of record-breaking fundraising. Venture capitalists bet big in cryptocurrency in the previous year, investing more cash than ever into emerging companies in the sector. Startups in the blockchain and crypto space were powered by a record $33 billion in ventral capital funding last year. That can be compared with the year 2020, which saw venture funding of about $3.1 billion.

    In 2021, about 43% of crypto funding went into firms involved in lending, investing, exchange services, and trading of cryptocurrencies. Meanwhile, 17% was channeled towards startups in Metaverse (a network of 3D virtual worlds), Web3 (a decentralized online ecosystem based on the blockchain), DAOs (decentralized autonomous organizations), and FTs (non-fungible tokens). Other categories that also attracted significant venture capital interest include decentralized finance, infrastructure, and custody.

    Crypto startups have become so profitable that they have begun attracting growth-stage capital. In the previous year, major crypto funds such as Hivemind, a16z, and Paradigm managed to raise billions of dollars to bet in crypto and blockchain startups.

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  • Coinbase Voices: Why I decided on a career in crypto | by Coinbase | Jan, 2022

    Coinbase Voices: Why I decided on a career in crypto | by Coinbase | Jan, 2022

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    Coinbase

    Coinbase Voices is a collection of employee stories that highlight the expertise of our Coinbase team and share their journeys to crypto. In this post, Carolina Verdelho, Senior Recruiting Manager, discusses her experience as an international recruiter and how she’s using it to help shape the future of Coinbase.

    Tell us about your journey to becoming a Sr. Recruiting Manager. What does your job entail?

    I’ve been in Recruiting for more than 15 years now, and have always worked with tech companies. I started my career in Brazil, working in traditional tech like Dell and Oracle, hiring people across all of Latin America in technical, sales and business positions.

    My first language is Portuguese, but because I had exposure to other countries from the start, I also learned to speak Spanish and English. I didn’t expect to get into Recruiting at first — in fact, it was my last choice of careers. Now, don’t even think about taking me away from it! It’s what I love.

    What made you want to work at Coinbase?

    I had worked for almost nine years at Facebook when I decided I needed something new. One day, I was talking with a friend and shared that I wanted to do something different, but didn’t know what that was. He pointed out that when I joined Dell, the company was going to Retail, and when I joined Oracle, it was launching software as a service. When I joined Facebook, no one knew what social media would turn out to be. I joined at a pivotal time in those companies’ journeys. He said, “I think you should do that again.” He works for a blockchain company and suggested that I try the crypto environment. I wasn’t sure, but I started doing some homework and changed my status to Open on LinkedIn. To my surprise, someone from Coinbase reached out to me, along with five other crypto companies. I thought, maybe my friend is right — maybe it is for me. From there, I started talking to people at Coinbase and learning more about what the company had to offer.

    Candidates often ask me during interviews: Why did you decide to leave Facebook and join Coinbase? I find myself giving the same answer that I gave when I joined Facebook nine years ago. At that time, it was a company of 4,000 global employees. I remember the VP of Engineering asked me why I wanted to join, and what I thought the company would be in five years. I told her, “I don’t know what this company is going to be in the next five years — and that’s exactly why I want to join. I want to help build it.” It’s the same for Coinbase — I don’t know where we’ll be in five years, but I want to help us get there.

    What project are you working on over the next 60 days?

    My role has changed quite a bit since I joined Coinbase in May of this year. I wear three different hats: I manage a Recruiting team hiring engineering managers in the United States; I’m helping to stand up recruiting efforts in Latin America, including Brazil and others; and, I’m doing the same for EMEA, in the UK, Ireland, Israel and more.

    Internationally, we are starting everything from scratch — hiring recruiters, finding agencies who will help us, and establishing a system for how to hire in each country. We’re in hyper-growth mode, and it’s an exciting time to be here — especially on the Recruiting team.

    What’s it like working for a remote-first company? What advice would you give to someone considering it?

    I was at Facebook when the pandemic hit and everyone went remote, and was later offered the opportunity to work from home full-time. When I was looking to join another company, that was one of the mandatory requirements for me.

    Remote work allows me to balance managing a family — a husband, kids and a dog — while also working and being as available as I can be. It doesn’t make sense for me to commute 30–40 minutes in the car when I could be doing something productive, like supporting my team or finding a solution to a problem. Working remotely is the best use of my time.

    I also love that we have a lot of tools that help us interact with each other. We use Slack and Google Meet to connect, so I don’t miss out on meeting people. I think I know people better now in this virtual environment than I did face-to-face. I get to know more about them and really talk to them instead of just seeing each other in passing.

    The one piece of advice I would give to people is to set boundaries. I make sure I have a dedicated workspace where I can be 100% focused on what I’m doing. When I’m there, my brain recognizes that I’m working. Then, when I’m done and it’s time to be with my family, I can close the door and detach from work.

    Finally, just because I can be at the computer at any time doesn’t mean I’m available at any time. If you don’t set boundaries upfront, things will be difficult. Use your ‘me’ time to be with your family, take care of yourself, exercise, read a book, go for a walk — get fresh air. It’s important to set aside time in your day to recharge, then hit the ground running when it’s time to work.

    What’s it like onboarding remotely?

    I really had a hard time the first two days at Coinbase — it was difficult for me to understand what was going on. I told my husband, “What have I done?” He reminded me that I was at a company for nine years and things would be different now. In the days following, people were very open to supporting me, explaining things, and helping me understand why we do things the way we do here.

    I think onboarding remotely is a bit of a challenge because you’re essentially opening a different computer in the same place you were working the day before, for a different company. After a few days, I started to catch on — I think giving time to acclimate to the culture and providing access to resources makes a huge difference. I had an amazing buddy who helped me onboard and was always available and checking on me. That was a total game-changer.

    What do you value most about Coinbase’s culture? What do you think sets it apart?

    I took a leadership course a few years back, where the teacher said that we should hire people not only by their skills or experience, but by their values, and that the values of the person should match the values of the company. Before I interviewed with Coinbase, I read the values and asked myself if I could work and operate following them. The answer is a huge yes.

    There’s a cultural value here that’s very important to me: Act Like an Owner. It might be because I’m driving a lot of things for international expansion, but I strongly believe that I shouldn’t expect or wait around for others to take care of something for me. I should own it and ensure its successful completion.

    I think what sets Coinbase apart for me is the winning combination of a solid business foundation, a very strong leadership team, and the excitement of hyper-growth. You don’t find this often. Being able to join this company and put your fingerprint on this growth and say, “Hey, I was the one who did this, who moved this needle or helped jumpstart that initiative,” that’s such a rare and exciting opportunity. Coinbase also gives people the responsibility and accountability to push the company forward — everyone feels like they’re a part of something bigger than themselves, and that’s something that I love.

    Tell us something about you that we wouldn’t know from your LinkedIn profile.

    Something not many people know is that my first job was working at the video rental store, Blockbuster. I was watching a documentary about the company a few weeks ago and thinking back on all that I learned in that experience: How to listen to people, how to approach people that I don’t know, how to offer my help and manage expectations. I learned a lot from that experience, and I’m very thankful.

    I can also say that I learned a lot from my recruiting experience there. I walked away thinking, how can I do better for people? How can I be respectful of their time and feelings? Maybe being a part of that process helped shape the Recruiting professional I am today.

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  • Australian Crypto Exchange BTC Markets Partners with Ajla Tomljanovic

    Australian Crypto Exchange BTC Markets Partners with Ajla Tomljanovic

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    One of the fastest-growing crypto exchanges in Australia, BTC Markets recently announced a partnership with Ajla Tomljanovic, a prominent tennis player in the country. According to the latest female tennis player rankings, Ajla currently stands at 45th position worldwide. In Australia, Ajla holds the second position.

    BTC Markets is the only female-led digital exchange in Australia. Due to the rising interest of retail and institutional Australian clients in digital currencies, BTC Markets experienced a strong surge in demand for its crypto trading products during 2021.

    “We’re excited to announce our sponsorship of rising tennis star and 2021 Wimbledon Quarter-Finalist, Ajla Tomljanović. Crypto moves fast on our exchange, just like Ajla on the court, & she encapsulates the promise and potential of Australia,” BTC Markets highlighted in a recent announcement.

    In addition, the tennis star expressed her happiness on the latest collaboration and mentioned that the clients of BTC Markets will have an opportunity to meet her in person. “I’m really excited to be partnering with BTC Markets, Australia’s largest crypto exchange. To celebrate, we’re giving away some prizes including the chance to meet me in person,” Ajla said.

    Crypto in Australia

    Crypto adoption in Australia is on the rise. In November last year, Perth Heat, one of the most successful baseball teams in Australia, announced that the club has decided to pay its players in Bitcoin. Furthermore, Perth Heat is holding BTC on its balance sheet. The Commonwealth Bank of Australia is planning to expand its presence in the global crypto market.

    “We are so proud to support the next wave of Australian talent with Ajla,” said the Chief Executive of BTC Markets, Caroline Bowler. “Cryptocurrency on BTC Markets is fast-moving, just like Ajla on the tennis court. We know our clients will be proud to cheer her on this summer.”

    One of the fastest-growing crypto exchanges in Australia, BTC Markets recently announced a partnership with Ajla Tomljanovic, a prominent tennis player in the country. According to the latest female tennis player rankings, Ajla currently stands at 45th position worldwide. In Australia, Ajla holds the second position.

    BTC Markets is the only female-led digital exchange in Australia. Due to the rising interest of retail and institutional Australian clients in digital currencies, BTC Markets experienced a strong surge in demand for its crypto trading products during 2021.

    “We’re excited to announce our sponsorship of rising tennis star and 2021 Wimbledon Quarter-Finalist, Ajla Tomljanović. Crypto moves fast on our exchange, just like Ajla on the court, & she encapsulates the promise and potential of Australia,” BTC Markets highlighted in a recent announcement.

    In addition, the tennis star expressed her happiness on the latest collaboration and mentioned that the clients of BTC Markets will have an opportunity to meet her in person. “I’m really excited to be partnering with BTC Markets, Australia’s largest crypto exchange. To celebrate, we’re giving away some prizes including the chance to meet me in person,” Ajla said.

    Crypto in Australia

    Crypto adoption in Australia is on the rise. In November last year, Perth Heat, one of the most successful baseball teams in Australia, announced that the club has decided to pay its players in Bitcoin. Furthermore, Perth Heat is holding BTC on its balance sheet. The Commonwealth Bank of Australia is planning to expand its presence in the global crypto market.

    “We are so proud to support the next wave of Australian talent with Ajla,” said the Chief Executive of BTC Markets, Caroline Bowler. “Cryptocurrency on BTC Markets is fast-moving, just like Ajla on the tennis court. We know our clients will be proud to cheer her on this summer.”



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  • WTF token launch drains 58 ETH

    WTF token launch drains 58 ETH

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    Fees.wtf is a simple service that shows Ether (ETH) users their lifetime spend on Ethereum blockchain transactions by measuring gas. You plug in your wallet address on their website and they tell me how much gas you spent. 

    The project released their token, WTF, in an airdrop Friday at midnight. Essentially, users would be able to claim WTF tokens as well as a “Rekt” NFT for 0.01 ETH. The Rekt NFT grants lifetime access to the pro version of fees.wtf.

    According to their Discord announcement, the initial launch would offer 100 million of WTF and the “circulating supply will be the main attraction in the tokenomics.” However, it didn’t quite go to plan.

    Following a series of frantic trading behavior between bots in the opening hours of the airdrop, one bot ran off with a reported 58 ETH, or $180,000. On Etherscan, 58 ETH was drained from the wrapped ETH (WETH) to the WTF liquidity pool.

    Social media channels were quick to respond because many airdrop participants lamented losing thousands of dollars in ETH. The WTF team chimed in two hours after the airdrop to calm their ranks:

    “Immediately on launch there was only a tiny bit of liquidity and there were ape bots that were chucking in 100s of ETH into a pool with an ETH or two of liquidity. They also had high slippage and ended up being sandwiched by the other bots which essentially drained all their ETH.”

    Basically, within five minutes of the token launch, poor liquidity pool management from the WTF devs left the liquidity pool exposed. As there was low liquidity, bots were able to manipulate the price of WTF to then sell for WETH.

    The bots would battle it out till one winner would take home the pot. In effect, the bot stole from users who provided liquidity to the pool, trying to claim their WTF tokens and Rekt NFT. The victor managed to send an “ultra-fast transaction at 3,000 Gwei”, making a 6x return on their initial investment.

    The WTF team sent out another Discord update two hours after the airdrop, stating that “The core contracts are all fine, this was a war on Uniswap.” The team added, “We hope no one was affected by it.” However, as has become a common occurrence in airdrops of late, lots of users lost a lot of money.

    The price graph of the token since launch paints a thousand words. The initial spike shows the bot activity, swiftly followed by a 10x loss in value.

    The official WTF Discord group is brimming with users sharing stories of losing money. Some are “shaking” with rage while death threats and lawsuit claims are rife.

    One Etherscan transaction points to one user losing 42 ETH, or $135,000, for 0.000044170848308398 WTF, effectively $0.01.

    Related: Recounting 2021’s biggest DeFi hacking incidents

    As daylight dawns on the project, some Twitter users have called out the project as a Ponzi scheme. The referral element to the project is spurious. Referrers of the WTF project claim a 50% on fees “to make wtf go viral,” while the WTF team earns 4% from each transfer. In total, the WTF team claimed almost half a million in token transfer fees in a little over 8 hours.

    Twitter user Lefteris Karapetsas didn’t mince his words:

    The WTF project states merely that the supply of tokens is “deflationary”, and that 40 million WTF tokens will go to their treasury. There is not a great deal of detail regarding the token distribution. Meows.ETH concluded their Twitter thread with a zen approach to the controversial project launch: 

    “If you were fortunate enough to claim a big amount of $WTF and cash it out for a profit, be happy. Unless you’re attempting to bot the initial liquidity, don’t FOMO into buying a newly launched altcoin with high slippage.”