Good morning. Good morning, GN, GN, everyone. I will too close to the mic. I don't think you were too close, that was just crazy loud. All right, I'm excited. Today, Friday, February 21st. It's a really good day. It's Friday, sun is shining, the coins are green, and the SEC has dropped its case against Coinbase. The mood on CT, we are so back. Just a few days ago on Monday. It could not have been more over today on Friday, we are so back.
Of course, the question is, will this rally continue through the weekend and will Kanye throw a wrench into the plants? We're going to break it all down on today's show. Faroque is flying back home today. He will be back on with us on Monday, but we've got Mando and Logan in the house. Mando, Jim, how you doing? How you doing? I am doing fantastic man. Good to see that the market has come back from peak peak bear
market vibes a few days ago. It's kind of what we said, different things seem to be rallying. Definitely feels like a bit of an altcoin season is is starting to form which I think is very interesting to look at. It really does. I think we need to dig into that and see is it real? Is it a bit of a head fake? Can we trust it or not? So I think folks are very hesitant to to trust or even to mention it. I mentioned all season briefly on Twitter, people told me to,
to delete my posts and I did. Wow, what Jake said. I'm very superstitious. So I did, in fact. Logie GM, how are you doing? Hey, good morning, Tyler. Yeah, good morning here. More bullish headlines, what's not to be excited about? It's warming up a little bit outside, hopefully the sunshine in today, I'm feeling good. Warming up, just like the markets. All right, folks, what are we talking about on today's show? We're going to start with Mando's market report.
We got to talk about alts cooking, what's going on IP Barrett, Kaido, Utah passing Bitcoin reserve in the Senate. We got the SEC dropping their case against Coinbase, the latest from Kaido and that Kaido token, man, it just keeps grinding up. Talk about AI, rebounds, NFTS on a run, on the abstract. Are we actually going to get this Kanye token? We might. If we have time we might talk a little bit about punks recent punk purchases. Oh yeah, wow.
A little around the horn before we dive into although of course 2 robot spins to that two big spins to end the week before we dive into it. Shout out to our partners. Galaxis is a Web 3 platform empowering creators and brands to build unstoppable communities with full ownership and independence, trusted by icons like Donald Trump, Steve Aoki, Mike Tyson and the NBA, shaping together the future of engagement. And everyday we see people's
walls get drained. Fair Side is about to launch the fair alternative to insurance for crypto scams. Check out at Fair Side network on X. If you get drained, you won't be wrecked. All right, as always, we love our partners Manda.
We love our partners Manda. If you're ready, let's get into it. Yeah, there's a lot to really report on. It feels like over the last 24 hours, firstly, Bitcoin kind of headed back up towards the 100K area, which is kind of unsurprising that bit's been outperforming for for a little bit now or at least been been strong for a little bit now. We have seen this is ETH has has continued to outperform, notably outperforming Solana on the
week. Obviously, if you look at the three majors over the last weak, I think ETH is up about 4%. Sorry, just taking a minute here. Where is it? I'll have to bring up Coin Gecko. Yeah, ETH is up 4%, Slama's down 10%, and Bitcoin's up 2%. And ETH being up and the market not dying is the first time I've seen that in a long, long, long
time. And what you started to see is a little bit of this the foothills, let's say of some of the ETH related alts or just like more not memes and not AI and none of this stuff on Solana really like that's bounced, but like that's not what I'm seeing the majority of the mindshare moving towards right now. So yeah, it's a it's an interesting, it's different group of people kind of taking the forefront. I've seen things on bearer
chain. Obviously some of the newer coins are doing well, which has been very interesting. We're like, we didn't have a meta like that until until this time last year, I think, or maybe even I forget what it was when like new new launches would do really well. But you've seen Kaito IP Phantoms rebrand to Sonic. These have all done pretty well. So yeah, very interesting time. Yesterday the main mover was was IP story protocol, which you know, some NFTS still have an air drop too.
So go check your NFTS and that that move is is up around 150% in in a week. So a a decent move there. And that was the one that was kind of slightly, you know, had some FUD around it. Like people didn't really know what it was about. Was around just for maybe like a market maker move, market maker LED move there. But yeah, just people are still wanting to D Gen. This is kind of what I, I think I was saying before, like there's so, so much stables on chain right now, but like
there's money to do risky stuff. There's just been a bit of a paradigm shift to thinking what people are looking for. That's what that's what I'm starting to see. And that what I would say as an overarching thing I'm seeing is the return of D Gen. defy. And I would say the two things that epitomize that are Berra chain and Sonic Phantom. Both of these coins are up about 60% in the week.
And actually let me just break, break down Berra chain because Berra chain, I think people know newer, newer coin L2 with a bunch of different D5. It's got about 3 to 4 billion of TDL on it right now. But a bunch of people are on there D5 farming. It's got like a, a rewards, like a very active rewards program going on right now. So a lot of people have been making money on that.
The one that I have been more interested in is, is Sonic Phantom. If you just type, son, if you're on Twitter now, just type Sonic into your Twitter, you'll realize that like pretty silently, this thing's been going going a big gangbusters recently. And that's because the TVL has gone from around 550K last month to around 700 million in the state of the month.
And that had a big tech upgrade. So it's gone from being a pretty slow chain that was like known as Phantom in 2021, big created by Andre Cronier, who's like a Defy OG. And they did this big up upgrade and a raise. They did a $200 million raise and they, they, the TPS is now 10K. So it's actually fast or if not faster than Solana at current at current speeds. So it's it's and it's an E, it's an L1, it's not an L2.
But what I'm seeing is tons of trading activity and TV are moving to these sort of chains to do crazy stuff. So like them people have seen the matter seems to have been NFTS to memes to daily runner style memes. And now what I'm seeing is like move to D Gen. D Phi. So like why, why Berra chain and S are going to phantom a little bit more Sonic.
Now they've got this big rewards program going on till July where it's like $300 million of rewards till July and you can get like thousands of percents on on these like D Phi LP's at the moment. And I'm seeing like and some move towards there. I'm seeing all the D5 people talking about it right now, a bunch of Ogs in 2021 all like, yeah, we're all going to move to Phantom. And this isn't just like a pump. Like it feels as if there's actually TVL moving. Like I said, 700 million TBL.
So money is leaving Solana and I think it's finding a place to degen. That's what I'm saying. And at the moment it appears to be this sort of stuff. It appears to be L ones and particularly D5 so, and it'll be interesting to see if that that actually flows past just defy on these sort of like D Gen. defy chains to now memes and NFTS and
that sort of stuff. Like what I noticed yesterday is like the number one meme, for example, on Phantom was was like in the top movies on my on my deck Screener Screener. That's what I also had to pick up on it. I think it's something called. What's it called? Next. No, it's Shadow's, the D5 protocol. Shadow, to be clear, right now is the number one D5 protocol on Sonic and it's making as much as hype over $1,000,000 a day in fees.
So people are going like people are just owning Shadow because it's it it all the fees are used to for for, for, for that there. It's called like things with AG, but I'll find it, but it's it's like 15,000,000 up like 150%. I was like, that is I just see it. I can just see it now. Like the last few days I hadn't seen that many sole runners, although today that that has slightly changed. But what I'm seeing is other chains and I'll start to pick up
the mantle. And the two or three that seem to be the strongest right now are story protocol, Dera chain and Sonic. My the one I'm most interested in is Sonic just because of the the people moving there and just because I think it's actually like interesting tech in that it's, you know, now fast. It's not just an L2, but yeah, if you just type in Sonic, you'll see like all these people now suddenly talking about it, right? So you can, you can kind of feel the foothills of something.
And and this isn't this, this trades a 2.9 billion FTV fully unlocked like the because it's been unlocked since 2021. So it's not it's, you know, if you can bet this like Sui, which is similarly like a fast cheap chain, right? It trades at 30 billion FTP. It's a it's a little bit different to look at this chart because that it it like that upgrade happened last week of December. You have to look at the phantom chart.
The phantom chart goes back all the way to 2021 and and that that I think that was at like 4-4 dollars in 2021. But it begins with an FI. Don't know if I'll show it even to you because sometimes they don't. Yeah, they don't. Maybe if you're having Phantom, just type in Phantom Sonic. I'm sure somebody would have like onto X onto X, I'm sure somebody would have like done the whole chart so you can look back and like what it looks like if yeah, that that's what it looks like essentially.
But yeah, I'm that's what I'm starting to see and it's only really been over the last 2448 hours that I'm starting to see that sort of a movement. So overarching feels as though ether has done outperform and that is causing people to look away from salon because like the Seoul casino seems to have been challenged at least for the last week or so. And and look to other things. So broaden your horizons a
little bit. I think that's what that's what I was kind of doing for the last few days, looking at different things. And this is the this is one that picked up Bear Chain is another one. Like people are farming all that sort of stuff. But I feel as though D Gen. Defy might be having might be the next like Renaissance, like A. Narrative. And and that like then move back into things like NFTS and memes on those chains.
That's, that's kind of what I'm what I'm seeing if I'm, if I take a top down at the moment in terms of bullish stuff, bullish stuff for crypto, we we did have quite a lot. It does feel as though the SEC versus Coinbase has been dropped. I think that was kind of known for a few days now, if I'm honest, because they they did pause the lawsuit. The SE CS also allowed yield bearing stable coins. They obviously had that bullish
thing around Defy yesterday. So their fight against sexes indexes seems to be like seems to be fading a little bit here, which again is causing this sort of Defy renaissance I think as well. Like people thinking they can do a lot more with, with a lot more of this stuff. There's some bullish talk about the Bitcoin reserve, Vanek said. If you buy 1,000,000, if the the US buys $1 million of Bitcoin for its reserve, it may offset offset $21 trillion of debt.
Although that's, that's with their crazy, crazy estimates. Well, maybe not crazy, but that's what they're very high estimates. Arizona, Utah, both both extended their kind of, they look like they're heading towards bills around Bitcoin Reserve, which I think was bullish macro, nothing really going on. Gold continues to be very, very strong.
But the rest of the markets is kind of a it was kind of sideways yesterday and it was more like macro political stuff, so stuff around Ukraine, etcetera, etcetera. So nothing really did derail us there. But then yeah, that's, that's just what I'm seeing in the left curve stuff people like people are liking new new coins. So new coins are trading very well and and then secondly, this DJ and D 5 is really is really all over my timeline. So I agree with you. I'm a little hesitant here.
I'm just wondering is it still early on? I feel like it's still probably early on Bear train Sonic. I got I I know like Andy eight O 5 too. He's been tweeting about it and he had to tweet that pulled up on the stream. He said entire Sonic ecosystem, 5 XS and then CT starts talking about it basically. So like in my EX liquidity, if I move over now, but then if there's $300 million in rewards. Well, I wouldn't, I would say that that that is true for for Shadow, which is the main decks.
But but Sonic is like I just showed you the chart of Sonic, right? Like it's not, it's not all. Time highs, yeah. It's still well, well below where it could go, right. And it's not like it's some unbelievably high FTV thing. To put it in perspective, I think bearer chain is around $1.2 billion current market cap and around $5 billion FTV. This is 2.9, but it's all unlocked. And then something like story protocol I think is like 800 million and like 4 billion FTV.
So like they're all in and around the same area. But, but like, but but, but, but but Sonic's is, is fully, fully unlocked. But there's there's no doubt that like this is a, this is something that I mean, Anson has been treating talking about Sonic for months and like, it's kind of been around this level. I'm just saying that now might be the time where I'm seeing it it gain mind share, like
significant mind share. Yeah, and and people are looking for the next thing already like we we see how fast the space moves and folks are ready to move on. It is wild to think so. This is trading at 2.6 billion market cap, 2.9 FTB. Kaido is turning at 1.8. So this chain which is 7th, 6th and overall decks volume is a just a small premium to an info fi protocol. Yeah. This is the thing. Like I don't think you're late to this.
Like, yeah, it's up because there are some Ogs that are in it for a long time and they'll be like you're late, but but that's not crazy. Like SUI, like I just told you, SUI trades at $30 billion FTV, SUI has $1.6 billion TBL. So like that's and this is 700 million right now. So it's it's about a difference of two and a bit whether whether you're late or not, I'm just telling you this is what I'm this is what I think is is happening.
And I think it may be a bit more of a medium term thing. I don't think that this is only just begun in my or at least I had like a week ago. In my opinion, if it if it really did and if this is going to be more of a meta thing, I think this is going to be more than just. I think you're right. I did see this tweet from CBBI. Want to bring it up. I had it on earlier on the
stream. His theory was that the pumps we saw yesterday and a handful of coins, specifically Bera IP and Kaido, so this is phantom excluded, were effectively short squeezes. And so still kind of trying to balance like what is what is real organic buying versus, you know, what might be a different type of game playing.
And Kobe shared a post a few days weeks back saying that it was somewhat known that some of these teams were working with funds with, with these give back clauses to inject capital into their chart basically risk free and. Sorry, yeah, IP feels like that. Yeah, it does feel like that. And I no no shade, but like, I don't know that I've seen an alt go straight parabolic like this. Not not the DWF days yeah, this feels this one felt like a short squeeze, right.
There's a lot of hate on IP protocol. Everyone was like like these guys are going to be underwater on their last round. This isn't defy. So story protocol has some defy stuff on it, I think, but like generally this is defy. So this is a very different that was more like a altcoin short squeeze. What I'm what I'm seeing elsewhere from that from like D Gen. activities is. I'd agree. I think Bear Chain falls into more of the Sonic bucket than
the IP bucket. Also, just a word of warning, I know it's been increasingly popular for folks to short meme coins and people don't loudly want to short these new tokens and launches. Be careful. Be careful out there. You got to know who you're up against. Logie, I think the big news from this morning we got to talk about this a little bit was Brian Armstrong coming out and saying the SEC has dropped their case. Do you have a little bit more info on this one for us? Yeah.
So this stems from the 2000, sorry, 2023 lawsuit from the SEC, which basically alleged that Coinbase was, you know, selling unregistered securities And yeah, not a fully approved and settled at this point in time. This is Coinbase kind of coming out and saying that they've agreed with, you know, high-ranking members of the SEC to drop this suit. It needs an an official approval basically, which Paul Griewald, the chief legal officer at Coinbase indicated is expected to happen next week.
So of course, Mando mentioned, you know, some of this might have been known a little bit earlier this week, but some euphoria on the timeline. Of course, when the official stuff starts to trickle down. I imagine we'll get to run it back a little bit more next week. If and when that news does officially break, that is kind of off the table. I, this is of course good news, right? A few things that I sent to you Tyler, that stood out to me. I read the, the blog post from
Coinbase this morning about this announcement. 2 particular sentences. One was about the clarity, right? Which is something people have been fighting for, not just Coinbase, but many, many folks here, particularly in the United States and fighting for regulatory clarity about, you know, all their offerings,
etcetera. And Coinbase, this is from their blog says clarity will bring new inflows of capital into the US, update our financial system so consumers pay lower fees and help create economic freedom for all sort of blanket statement. But you know something I think we can all rally behind.
The next thing was, you know, even more bullish for me if you need to get bowled up if you need to this morning, The very next sentence was we believe we will eventually get to a point where the majority of global GDP runs on a crypto rails. They're they are of course, incentivized to say things like that. They're the infrastructure that would help, you know, potentially make that possible,
right. So it doesn't like stem too far from what you'd expect them to say, but it's just good to see that. And I was thinking back as I read that, I was thinking back to Brian Armstrong's quotes at Davos. Maybe if it was that a month ago at this point in time, which he indicated, you know, we'll see multi $1,000,000 Bitcoin and you know, lots of people throw out outlandish price targets, you know, Vanex etcetera. You can make up those what you will.
For some reason. This is just personally when I hear it from people like Coinbase and I hear it from people like Brian Armstrong, it it just has a little bit more oomph for me, you know, then then just like Sailor bowl posting or whatever. So yeah, just take all those things together. And this is we talked about earlier this week, Tyler, you know, a lot of these things feeling like we're going to look back and be like, man, they were hitting us over the head with all these headlines.
Like it was so obvious. You know, just feels like another one of those days. It feels like another one of those days. This pair of headlines from the SEC from these last two days is very significant. So they launched a crypto crime fighting unit to focus on real fraud across cybersecurity, across blockchain. And then the next day the news comes out that they've dropped their, their case against Coinbase so that they're dropping the fluff and they're focusing on more true fraud.
And like, this is exactly what we needed. Like the, I was very tired, to say the least of the crime season posts just running rampant across CT. And then we, we've seen what, what's happened with that. I don't think I think crime season's over. Well, Speaking of that, it looks like five years has been hacked. Oh geez Louise. Have you seen this five? It hacked for $1.5 billion. That's why the market is currently selling off guys. Sorry.
Yeah, looks like their hot wallet just got hacked for $1.5 billion ETH and it's being dumped on chain. I don't know if that's part of a broader hack, but yeah, not a good look. Oh no, this is exchange out. There probably. Welcome to Friday's in crypto where we feel so good and then I have as I'm trying to find the the tweets here folks bear with me. I've been official hot wallet hacked. It's a multi sig 1.5 billion man.
How's that even possible? I mean it can only really be private keys being being being fished. I think 1.5 billion is is pretty big I think for buybit if I'm honest. I know they probably make a lot of money but yeah, not a good look anyway. I mean, it's, it's caused a little bit of a dump. It's obviously dropped like 1 or 2% looks like. Terrible. Bitcoin, similarly, has moved about a percent and 1/2 Solana down a bit, yeah. We're definitely selling off here.
I mean, it's not a good look, but vibe it is probably the second biggest exchange in terms of volume out there. It's huge in Asia and you don't know, like if they've been hacked for that, they've been hacked for any of the other wallets that they have, yeah. All right, well, we'll see if more information comes out about this during the show. Hate to see it. Crime season, man. I was just getting bowled up. I, I was just calling for the end of crime season than a major exchange tax.
So there you have it. Let's move on, maybe talk about something a little bit lighter and then we'll, we'll circle back if we need to. Logie, you haven't had a chance to really. We talked about Kaido on Wednesday ahead of the AirDrop. I was on with OV yesterday and this thing's trading at almost $2.00. It's $1.92 right now. That's 1.9 billion FTV. The market cap's nearly half, half a billion at 460 million.
I showed you yesterday that I sold some of my tokens after the air drop, much lower than it is right now at this level. I think this is $35 per app. They paid out to the folks who didn't get nerfed, and some folks got even more than that. Like that, very early joiners, those who actually subscribe to the service got upwards of 40 to $50 per per app. This, this chart is surprising to me. This is not how I thought it would play out. I'm very happy to see it. We got some news out of the
Kaido team this morning. Actually a lot of news. So one, they used royalties to sweep the Genesis sanities. Those rallied 80% back to three ETH. I think they were down in the ones for a little bit. Yesterday we had you who come out and say they are going to prioritize NFT owners and stakers. I think there was a 70% APR on staking. But it it seems like they're heavily trying to prioritize, reward those who hold the token, stake it as well as the Mt
owners. Just curious for your thoughts reactions here now that we are about a full 24 hours post launch. Yeah, it's well, it's a little surprising to see. I think this, this price at this point in time, I mean like yesterday when we were talking about it, those pre markets at like what 1.2 to 1.4 even at you
know, down to one or whatever. It didn't seem completely outlandish just given the overall excitement about, you know, what was coming, some of the buzzwords here, right, AI, all that stuff, all those alignments. So that didn't seem super outrageous to me. I still, I guess just a little uncertain as to what the future looks like. Of course, you know, all these things they want to be super long term, they want to be very
aligned, Kaido aligned. That was mentioned like 3 or 4 times in the tokenomics and, and in other tweets and things I saw from the team yesterday. I just, I just don't know what's what's here moving forward. I mean, I feel like a lot of what's been shared has been a little bit shrouded in ambiguity, a little bit shrouded in buzzwords, and there's still uncertainty about like what those revenues and things look like. I don't know.
I don't know what to say. I mean, it doesn't surprise me at all to see where it didn't surprise me. I should say, to see the price where it was yesterday. It would surprise me to see it continue to rally, I don't know, 2 billion, three billion 4, but whatever like that, that would be a little surprising without a bit more insight into like what's actually going on here in the future, right, 'cause all we saw were those rumblings about the kind of decentralized Google
type thing, right? So. Yeah, I mean, I'm not certain I'm surprised to see it at 1.9 billion FTV here and that's shout out to them. That is an incredible launch. It is not easy to to launch your your protocols token and get to $2 billion. Amanda, I know you've been someone at arm's length to this. Curious if you have any reactions on Kaido.
You know, perhaps the vision or kind of the lack of some information they've shared because like they really haven't shared much with respect to, you know, how they're generating revenue. We still don't really have a whole lot of detail about their vision. Curious if you have to take. And they have a subscription
model. Do that's certainly one aspect of their and I'd say that's probably the primary aspect new generation and then you can assume that perhaps they're monetizing those pre tge projects who get on the launchpad in some. Yeah. So I think, I think that's partly it like that there's obviously been a social layer to to to drops for a while.
Things like layer three are very well known companies here which have raised a very high valuations before this seems to maybe web three that whole thing and potentially like, yeah, people actually get revenue from from their social yeah, their social score essentially doing doing doing different things. So I think that being said, like I that is completely finger in the air sort of stuff like this could have come at lots of different levels. In my opinion, no one would
really have known. So I think let's see, let's see where it where it all ends up. I can't say it looks cheap or or expensive at at this level until I know a little bit more. But new new mints are trading new new coins are trading very, very well. So it could just it could just be part of that, that whole meta this, this vibrant things. I, I I think we should really talk about it a bit more here. Like it looks like Zac XPT is is confirming that this is a this
is a hack. There were some rumours that this made us be a movement. Looks like the market is is really not reacting well to it now. I don't know if they have anything else tackets BTS yeah, confirm it's a security incident. It's it's mainly just affecting ETH and stake DEET, it looks like. But yeah, we haven't had one of these for a long time and the market is not liking it at all. Where? Sorry I'm looking for the tweet.
Is it a reply or what? I I just got an alert that Zack XPT has confirmed it. May be it's in his discord. I know he has his own like community right? All right, just trying to look for more content live on the show here, folks, Bear with us by bits Reportedly hacked for 1.5 billion. Yeah, this is huge. Very negative. Oh, so we we had this up already. I don't, I don't know how big
buy bits. I mean, I can only assume that they have enough money to cover this like, but one point 1.5 billion, like that's the sort of hole that FDX was in 3 billion hole. But like you, I mean, I think buy bits are not capitalized like FDX is, but like that's if you lose 1.5 billion, you lose $1.5 billion. Like that's not not small at all. Yeah. So 1.5 billion in end users funds potentially gone 400,000 ETH. 400,000 ETH Where is that gone? Worth $1.1 billion.
Let's see if there's. Yeah. I mean, I guess you can just put through tornado these days, right, But. Yeah, I guess I don't, I'm not even familiar with how you necessarily exit this or or how you get away with these funds. I'm trying to. Just as a I'm not sure if any of the listeners use bibit, but I'm I'm seeing some people on the timeline indicate that they are getting withdrawals through. So yeah, I guess that first call to action is if you're a bibit user, get a hold of your funds.
This guy's saying misleading flood planned wallet maintenance. No, it's not, Zach Expertise confirming that it is. So it is confirmed hack. All right, yes, here's the confirmation from Zach. So it looks like it is in his discord. ME steak teeth currently being swapped on Dexes for ETH. His sources confirm it's a security incident. Damn, maybe that's, I mean, finance in the past has come through to help some of these exchanges.
So is so is, so is Justin's son. So maybe we're going to see someone come in and and try and help. I bet here this is this wouldn't be good for the industry, you know what I mean? Right. Yeah, I mean. I mean, we're not nuking bitcoins form three 2% it looks like, it looks like it looks like Solana's down to 170. So that's down about yeah, 4 or 5%. Ethi, interestingly, it's actually it's down only about 3 or 4%. So it's not not getting absolutely destroyed here.
It's about that being the asset that's selling but. Yeah, it's down about $100. It's 2825, right before this news broke. Now 2729 A. Lot of money's going to leave exchanges here though, guys. Yeah, I think this is. I wonder if this is a part of the the Coinbase discussion I wanted to have before this broke was and that the future of their business model as a sex in the world where banks are going to start custody and crypto.
Like I feel like this is the type of headline that just pushes everyone to say like, OK, I'm just going to hold crypto with with my bank if I can. Yeah, aren't they? Aren't they? I mean, they're prone to the same potential issue though. Depends. Whether they custody, yeah, yeah, arguably I think the institutional might be, might be have to have stringent, more stringent custody services, but I don't know like I have no idea about this wallet. It's called a bynet.
It's called the by bit hot wallet, So. The raises the question of why? Why paper would have a? Is that our it's like our hot wallet where you're like degenning with it. I I have no idea. You've got to assume it has a it has a it has multi cigs on it like this. This would only really be the
North Koreans, I imagine. And it would be similar, I would say to like the Ronin hack, you know, two years ago where they managed to like do a fake job interview and, and install malware and all this sort of stuff like this isn't small. The the real hope is that, you know, other wallets haven't been compromised. I'm sure Biba has a lot more assets. It may not have than 1.5 billion. Yeah, one type. I'm curious what type of do they have any insurance mechanisms
like our our funds insurance? What does Coinbase have? Are we going to go up to 100,000? Yeah, but that's only if you're a prime customer. Like you have to pay the 35 bucks a month or whatever. It'd be a prime customer. And I think it, yeah, I think the number is 100,000. I have no clue how it works in buy bid is. What is that South Korea? Singapore. I'm not exactly sure where they're headquartered but. Like Singapore, yeah, I think, I think that it won't come to that.
I don't think the users will lose money here like this feels like not a bad actor sort of thing. I reckon people would come in and and save them if you needed to here. Like the the the last big hack we had in the exchange was was Xerax, which is that like the number one exchange in India, which got hacked similarly by by the North Koreans and I think users got about like 80% of their funds. But but obviously much smaller than than vibe it like this. Yeah.
Not fun to see. It looks like Ethan's continuing to dip here, so deck down to about to lose 2700. I imagine we'll get a pretty good post mortem here. Hasn't Vibe have been they've been leading the charge kind of on the transparency fund with regards to the liquidations and stuff, right? They just did that API update with coin glass and such. Remember, I I believe it was the Bibit CEO, maybe CEO founder that came out and said that that big, big liquidation, the biggest one ever, right?
It was closer to 10 billion as compared to 2 billion or something like that. So yeah, hope, hopefully in in. The he's he's pretty well blown. Yeah. He's like, he's pretty public as a figure, but I don't know who there's multiple owners of it of of bibit. Yeah. I'm just hopeful, you know, in the vein of transparency, which they've leaned into here in the last couple weeks, that we'll get like a really good breakdown of exactly what happened, hopefully. Yeah, yeah, I, I, I would reckon so.
Yeah, and hopefully soon. So the majors continue to fall here. Bitcoin 97250 E just lost 2700. Oh it's going fast now I'm seeing 26. What is it on hype? Stocks are also dropping, which you know, wouldn't be related to this I don't think, but probably playing a role all. Right, I'm still seeing 20 something hyper. Hyper is a little.
Well, I think a lot of hyper liquid bulls are like, I mean, I see the timeline of of people who are hyper liquid bulls, like being happy almost about this are like finding it funny because obviously this they've been questioned for a lot of this sort of stuff by these big perp sexes. So to see vibe it go down like this, I think is people might buy hyper liquid, so to speak, like if you were a big perp trader, which is what vibe is really known for.
It does a lot of spot, but it's mainly known for perps. Maybe you're moving to hyper liquid? Looks like we're seeing a slight rebound, so Bitcoin back 975 E 2720. The main, the main risk here would just be if there's other wallets which are compromised. I don't think there's a risk. I mean, I would say there's a very limited risk of, of buy bit being insolvent or something like that. Like this would be very, very
painful for them. But so they've sold 200 million, it looks like of the 1.5 billion. So I think that's probably why it's selling off because there's still 1.3 billion to sell. Other folks seeing it, it's trying to front run. It's probably a a part of this as well. Yeah. Ben Zhao just posted Yeah. Yeah. Can you? Send me the link to that. Yep, one SEC coming in, Tyler. Real quick while we wait folks. So we are still doing real bits. Ben's Coinbase is the code for
today. Coinbase is the code. We'll probably be doing that in about 10 minutes here. Appreciate everyone sticking on with us during this developing situation. He's downplaying it but it sounds I don't really understand what he's saying. He's saying fiber ETH multi sig cold wallet Just made a transfer to our warm wallet about an hour ago. So they made a transfer from their cold wallet to their warm wallet. It appears that this specific transfer was musked. I don't know what that means.
All the signers saw the Musk UI which showed the correct address and URL was from ATSAFE so they were using a notice to say. However, the signing message was to change the smart contract logic of our ETH cold wallet. So for some reason they signed something which changed the logic of their cold wallet. This resulted this resulted hacker took control of the specific ETH cold wallet we signed and transferred all the ETH in the cold wallet to his unidentified address.
So basically, they must have signed something on their cold wallet which meant a hacker could take control of it. And he has. He has moved it to his own funds. Ben Zhao has ended this for saying all withdrawals are normal. Please rest assured that all other cold wallets are secure. Oh baby, Can you imagine? Can you imagine their wrist department right now? We signed something. We signed something wrong on my Ledger. They signed it. And you like an injection thing?
What is masked? I don't know, I don't know the term masked and I've been in crypto for a while now. So, so maybe somebody else sent a potential, I just don't, I honestly don't know. So this is this interesting. Do you think, do you think he means masked? And it's masked as a hidden UI. So it looks like it's a legit signature and it's they put it by mistake. Yeah, maybe it does mean masked. Maybe it does mean masked. Yeah. So, so this doesn't seem like
the Ronin hack. So, so the good thing is is like they haven't, you know, this isn't like their private keys have been hacked and they're and they're all screwed. Like, this does seem like somebody's managed to like send somehow send them something to sign and they've all signed it and lost control of the. And customer funds withdrawals are normal. So some positive here. It seems localized man. This just also raises the question like if if the largest exchanges can't safely transact,
it's. Just it is a bit like this though, like there's so many if you sign the wrong thing you can just give away. I mean, we saw even an abstract the other day, like it's so much easier to inject malicious code into well, seemingly what I always see is this sort of stuff happens on Eve. I, I rarely see this stuff
happening on Solana, right? Like the idea you can sign something and it gives unlimited privileges to do other things is something that I know obviously we're even sponsored by people that, that, that do help with that, that sort of protection. But it does feel a little too easy if if if it's being done to Bob it. Yeah, these are the days when things like this happen. Like these are the times where I really sit back and question like, why the hell do we own
this stuff? You know, like the the immutability and all those pros that it provides. Like these things are really scary when they happen at at this level for sure. Like you mentioned. I mean, this is like these are experts in the space operating that just got got it's, it's tough. Yeah, I think the more assets you have, I think you have to really think about OPSEC, you have to think about splitting things up. And that makes it harder to manage. It's like, so I've got a family.
I need to make sure my wife something happens to me, knows how to access all this stuff. So that means I need to have this, all the instructions stored somewhere, which is another risk factor, right? Like it, it, it does paint the case for investing via the ETFs very, very easily. And, and I think when banks start cussing this stuff, I think we're going to see folks who want to use that. Yeah. Or just have something that like warns you, I guess with Nosis they probably don't have the
same sort of warning technology. I know Metamask and wallet guard and all this other stuff is like added like if you're using Metamask, they'll tell you like, oh, do not sign this. But I don't know if if if Nosis have have have probably got that. Well, I mean, the impossible part there, at least as indicated by Ben, is that the mast must whatever the UI showed the right address. Like that's that's terrifying if that's the case.
I mean, how am I? How is anybody supposed to know if it looks like the right address on your little screen? Like you're just going to click, you know, unless, yeah, there's some other way to ensure that it points out something was injected or whatever. But I mean, if it's showing the right address and everybody's seeing the right address, that's, I don't know. I mean, what?
What do you do There's? It's interesting this clearly something that they don't do that often, but they had told people they were going to do it. So they had told people in advance, hey, don't worry, we're doing this. So if you see any weird movements that that's why you saw that tweet that said like they told everyone they were
going to do this. So clearly a hacker was was warned that they were going to do this in the next in the next day and then like basically prepared this this ahead of time. It's like. So the hacker figured out like the exact time they were going to do the transfer like. Or or must have known that like it was coming very very soon, so. I appreciate them trying to Telegraph this in advance just so people don't get spooked. But I mean, the downside seems
is this. Yeah, Yikes. Well, we will see what else continues to come out of this. Just a few minutes left in the show. I don't know if we'll get any more details here before we close. Is this going to stop Kanye from dropping his coin? Of course, the natural seg. This was all already the risk overhanging the the trenches, you know, on everyone's mind. So this is no longer private or rumors or insiders. Coindesk published this story that there is a planned Kanye token.
It was apparently set to launch last night. They decided to push it. He's keeping 70% of the tokens, 10% for liquidity, 20% for investors. So make of that what you will. I will give shout out to Coindesk for this this headline self-proclaimed Nazi who said coins prey on fans plans XYZ token it's. Just the time for Kanye to release the coin. Like I just feel like. It's the worst possible time to launch a coin, yeah. It's gone full douchebag recently. So, so I don't know.
And I'm a big, I was a big Kanye fan. Like it feels like the guy needs. I don't know if a coin is going to help the guy's mental state. That's that's why I, I keep saying the argument that that he's got such a big fan base and like I'm a huge fan, but like, I, it doesn't make me want to go out and buy a token and, and we can always get into like rocket game and can you dump on the next guy? Maybe, maybe you can. So we'll see. They pushed it once. Will they actually deliver it today?
I don't know. Apparently it's going to be live from his website, so it's not even going to be like a typical token sale. I don't know. There's a lot of questions about how this is actually going to work. Just rounding through things quickly on a lighter, a lighter note, Abstract had a nice little win, the unchanged Genesis Heroes NFTS 45X yesterday. I think Abstracts has an ecosystem that needed some wins, especially after after this week.
So I think seeing some digital assets have some success on chain. This tied to one of the leading games. They've also got a token coming, the hero token. So excited, excited to see that. I think we we love that one. Trying to think if there's anything else. Oh Samus brat shout out to Sam. We had him on the show yesterday. He finished his primary sale for the Masks, 2.19 million, raised overall total 5.19 million. Yeah, well, very well deserved.
The game begins today, folks. I think he's already shared some more content about how to play. We got some alpha in the interview yesterday. If you missed that, go back and listen to it, get more insight from Sam himself about what he's actually looking for from players. I think we'll have to cut it there.