digital currency

BitKeep Wallet hits 10 million users driven by successful Arbitrum airdrop

In March, the platform claimed to have successfully onboarded over 560,000 new users.

Decentralized multichain digital wallet solution BitKeep Wallet has announced that it has surpassed 10 million users as of April. The platform has seen tremendous growth in recent months, with over 560,000 new users onboarded in March alone. The surge in users can be attributed to several successful campaigns with popular blockchains like Arbitrum and Sui.

BitKeep’s Arbitrum campaign saw the successful launch of ARBK. This native token recorded 708,800 on-chain transactions and was airdropped to over 100,000 users participating in campaign-related tasks and activities. During the campaign period, ARBK was exchangeable for ARB, the official native token of the Arbitrum chain, and ranked first on Arbitrum’s ecosystem popularity chart with 150,000 token-holding addresses, with an interaction volume of 330,000.

Following BitKeep’s recent success, cryptocurrency derivatives exchange Bitget has invested $30 million into the platform. As a result of the investment, BitKeep will be rebranded as Bitget Wallet but will continue to function as an independent entity both operationally and structurally. BitKeep will focus on building its ecosystem and independent tokenomics while protecting the rights and interests of existing BitKeepers and BKB holders during the transition process.

According to the announcement sent to Cointelegraph, BitKeep plans to continue expanding its Swap function by introducing new cross-chain support for Optimism and Conflux Space, as well as decentralized exchange aggregation support from Swappi, Camelot, and WOO Network. BitKeep has also set its sights on enhancing its range of products, with plans to explore MPC (multi-party computation) and AA (account abstraction). Additionally, the company shared that it is developing functionalities related to Web3 DID (decentralized identity) and is extending support for the zk-Rollup ecosystem.

Related: BitKeep completes compensation for $8M APK exploit, announces rebranding

On March 24, Cointelegraph reported that the recent Arbitrum (ARB) airdrop had garnered significant attention, as blockchain analysis platform Lookonchain reported that token hunters consolidated around $3.3 million worth of ARB into two wallets. The first wallet received 1.4 million ARB from 866 addresses, which were subsequently added to Uniswap for liquidity provision. This amount of ARB is currently valued at around $2 million. The second wallet received 933,375 ARB from 630 addresses, amounting to roughly $1.38 million. These consolidations suggest that some users are taking advantage of the airdrop by accumulating large amounts of ARB tokens.


Japan plans to form expert panel to explore digital yen: Report

The ministry’s panel will reportedly focus on developing a framework for a central bank digital currency based on a technical study carried out by the Bank of Japan over the past two years.

Japan’s Finance Ministry is planning to establish an expert panel in April to explore the feasibility of introducing a digital yen, Japanese news outlet NHK reported. 

According to the report, the ministry’s panel will focus on the creation of a framework for a central bank digital currency (CBDC) and will refer to a technical study conducted by the Bank of Japan (BOJ) over the past two years. The ministry intends to use the findings from the expert panel to prepare for the possible issuance of a digital yen.

CBDCs are digital versions of traditional currencies, such as the U.S. dollar, yen and euro, issued and backed by central banks. Unlike cryptocurrencies, which purport to be decentralized and not backed by any government or central authority, CBDCs are issued by a central bank and operate within a centralized system.

Although CBDCs are still in the early stages of development, opponents of central bank issued digital currencies have expressed concern that this technology would give monetary authorities unprecedented control over financial transactions. Additionally, some people argue that CBDCs are unnecessary and that traditional forms of payment are sufficient. 

Related: Russia delays digital ruble launch testing due to lawmaking process

Despite these concerns, many central banks worldwide are exploring the possibilities of issuing CBDCs, and the debate surrounding their use is ongoing. The United States, China, India and several European nations are already examining the viability of state-run digital currencies.

As previously reported by Cointelegraph, the Central Bank of the United Arab Emirates (CBUAE) is making progress toward the full launch of its CBDC, called the digital dirham, for domestic and cross-border payments. On March 23, the CBUAE announced it had signed an agreement with G42 Cloud and R3 to provide infrastructure and technology for the CBDC implementation. In addition to addressing payment challenges, the digital dirham is expected to promote financial inclusion as the country aims to become a cashless society.

French lawmakers propose ban on crypto influencer promotions

According to the proposal, individuals caught violating the prohibitions could face a two-year prison sentence and a 30,000 euro fine.

French lawmakers have proposed a ban on the promotion of certain financial products and services by electronic means, including crypto assets, in order to protect consumers from potential risks. 

The proposed amendment is to Bill no. 790, aimed at combating scams and excesses by influencers on social networks. The amendment also proposes placing a ban on advertising health products, gambling and video games using similar mechanisms.

The proposal reviewed by the Economic Affairs Committee targets commercial influencers who promote financial products and services that present a risk to consumers, such as investments in digital assets or fungible and nonfungible intangible property. 

If passed into law, only operators with approval from the Autorité des Marchés Financiers will be allowed to advertise crypto assets. The AMF is a regulatory body in charge of “the rules applicable to financial markets and market infrastructures, approves the corporate finance transactions of listed companies and authorizes financial services professionals and the collective investment products under its supervision.”

The proposed amendment seeks to place “a ban on advertising targeting financial products and services presenting a specific risk for the consumer, to deal with the abuses observed on social networks,” according to a translated version of the proposal. The new wording of the amendment will allow for exceptions to the prohibitions, which will be decided by the regulatory power.

The proposal states that violating these prohibitions could result in a two-year prison sentence and a 30,000 euro ($32,600) fine. The ban aims to protect consumers from the potential risks associated with certain financial products and services while allowing for flexibility in certain exceptions to the prohibitions.

Related: EU MiCA crypto regulation is a ‘balancing act’: Paris Blockchain Week 2023

The proposal to ban crypto influencer promotions in France coincides with Paris Blockchain Week, a gathering of professionals within the crypto, Web3 and blockchain industry. Cointelegraph is currently at the event providing updates and conducting interviews with attendees, panelists and organizers.

In an exclusive interview with Cointelegraph, Paris Blockchain Week founder and chairman Michael Amar shared his belief that large Web2 companies entering the Web3 space could be a positive for the ecosystem, as they bring with them resources capable of increasing mass adoption.

Stablecoins have plentiful machine-payment use cases in absence of euro CBDC: Report

The Digital Euro Association sees automated micropayments as a way for Europe to maintain its digital competitiveness, once regulations are in place.

Europe could lead the world in developing the Internet of Things (IoT) by harnessing the potential of stablecoins, the Digital Euro Association argues in a new report. Machine-to-machine (M2M) payment is a field poised for growth, and stablecoins, in particular, offer advantages for it, the report says.

There are growing use cases for M2M micropayments in industrial and home or office settings, such as handling charges for shipping containers and other fees along a logistics chain and pay-per-use fees for 3D printing, cloud storage and many other services. Currently, these uses are hindered by their potentially overwhelming volume and structural weaknesses, such as the need to layer application programming interfaces (APIs).

Stablecoins could increase scalability and reduce or eliminate intermediaries, thereby alleviating the usability and security challenges that APIs present, according to the report. The use of stablecoins would also eliminate human error.

Related: $100M fund aims to support the growth of decentralized machine economy

M2M payments also offer Europe a chance to take greater advantage of stablecoin technology, as many of its features are more applicable elsewhere:

“Outside of providing access to DeFi markets, typical stablecoin use cases have focused on improving financial inclusion or reducing the costs of cross-border remittances, which may not be so compelling in a European context.”

The European Central Bank has given M2M payments low priority for a digital euro design, even though “leveraging DLT technology in this context is being heavily explored.” Thus, stablecoin integration may be relevant in the long term:

“It is important that regulators foster growth in IoT and M2M payments, as it is key to maintaining the global competitiveness of the European digital economy.”

Regulators need to address a machine identity framework, stablecoin interoperability standards, guidance for unhosted wallets and other issues before the potential of stablecoins can be realized, the report says.


Coincover secures $30M in funding to strengthen digital asset security

The funding round was led by Foundation Capital, with follow-on investment from CMT Digital.

London-based digital asset protection firm Coincover has secured $30 million in a funding round led by Foundation Capital with a follow-on investment from CMT Digital.

According to Coincover’s announcement, the funds will be used to scale its operations, drive recruitment, develop new products and form partnerships to help strengthen the security of the cryptocurrency ecosystem, thereby providing even more comprehensive protection to businesses and individuals holding digital assets.

Coincover was founded in 2018 and launched in 2019 with the aim of providing trust to the digital asset industry. The company already works with over 300 businesses, including exchanges, wallets, hedge funds, family offices, banks and a number of digital asset custodians.

Coincover intends to tackle the security concerns plaguing the digital asset industry by offering businesses a solution that guards against both cyber threats and human mistakes. Coincover aims to lay the foundation for a more mature and trustworthy sector by reducing scams and fraudulent activities. The company’s offerings also claim to not only reduce the risk of moving and storing cryptocurrency but also change the perception of digital assets and foster increased confidence in the industry.

Coincover co-founder and CEO David Janczewski shared:

“At Coincover, we’re proud to prevent users from losing access to their cryptocurrency, whether that be through a mistake or the misfortune of being targeted by malicious online hackers. […] Through this new funding, we can supercharge our service for all existing and future customers — building a better and more mature digital asset ecosystem in the process.”

Related: VC Roundup: ZK proofs, DeFi protocol and longevity DAO attract investment

Despite a prolonged bear market, Web3 projects continue to raise capital to build and innovate within the ecosystem.

On Jan. 25, Cointelegraph reported that Injective launched a $150 million ecosystem fund to boost decentralized finance and Cosmos adoption. The ecosystem group was backed by a large consortium of venture capital and Web3 firms, including Pantera Capital, Kraken Ventures, Jump Crypto, KuCoin Ventures, Delphi Labs, IDG Capital, Gate Labs and Flow Traders. According to Injective, the consortium is the largest assembled within the broader Cosmos ecosystem.

India in ‘no hurry’ for CBDC as digital rupee pilot onboards 50K users

The central bank of India wants to proceed with CBDC testing in the smoothest way possible, deputy governor Rabi Sankar said.

The Indian government doesn’t want to rush its central bank digital currency (CBDC) pilot despite joining the CBDC race just a few months ago.

India’s recently launched CBDC pilot has amassed 50,000 users and 5,000 merchants since the Reserve Bank of India (RBI) launched the digital rupee pilot last year, local news agency The Economic Times reported on Feb. 8.

Announcing the first public milestones of India’s digital currency at a policy press conference, RBI deputy governor Rabi Sankar stressed that the government plans to proceed with CBDC testing in the smoothest way possible.

“We have our targets in terms of users, in terms of merchants. We will go slowly,” Sankar stated, noting that the RBI doesn’t want to push CBDC developments without having full awareness of its potential impact. He stated:

“We want the process to happen, but we want the process to happen gradually and slowly. We are in no hurry to make something happen so quickly.”

The latest announcement adds up to data from an official digital rupee application, which suggests that the pilot is taking no more users. According to data from the digital rupee app by the ICICI Bank, India’s CBDC program is full at the time of writing, suggesting that more users would be able to join the trial at a later date.

India’s e-RUPI app stopped registering new users. Source: Cointelegraph

Sankar noted that the digital rupee pilot project has recorded 770,000 transactions across eight banks since the trial launched on Dec. 1, 2022. The project is currently being carried out in five cities, with nine more cities potentially gradually joining the pilot soon. The official also said that five more banks are set to join the project in the near future.

Related: Russia’s Gazprombank recommends slow CBDC rollout fearing loss of income

As previously reported, the RBI officially debuted a wholesale CBDC in November 2022, launching a retail CBDC a month later. The Indian government initially announced CBDC plans in early 2022, declaring that a digital rupee would be a “big boost” for India’s economy. The RBI then proposed a three-step graded approach for its rollout, aiming for little or no disruption to the traditional financial system.

India’s CBDC developments came years after countries like China started aggressive digital currency rollout in April 2020. Despite massive efforts to promote the use of CBDCs, some former central bank officials claimed that the digital yuan’s usage has been low.

Cronos Labs to accept second cohort for $100M-backed Web3 accelerator program

The program aims to provide selected projects with upfront seed funding of $30,000 in addition to mentoring, masterclasses and support from industry experts.

Blockchain startup accelerator Cronos Labs has announced the opening of applications for its second cohort of the $100 million-backed Cronos Accelerator Program. 

The program begins on April 24 and will last for 12 weeks, with selected projects givupfront seed funding of $30,000. In addition, participants will have the opportunity to secure up to $300,000 in seed funding from Cronos Labs and receive mentoring, masterclasses and support from industry experts. The program is focused on the decentralized finance (DeFi), GameFi, SocialFi and Infrastructure verticals and will accept applications until March 24.

The selection of projects for the second cohort of the Accelerator Program will be based on various factors, including their market potential, the leadership team’s expertise, market compatibility and compatibility with the Cronos ecosystem. The main focus of the program is to encourage innovation and growth within the Cronos ecosystem in an effort to drive the broader adoption of Web3.

Ken Timsit, head of Cronos Labs, said the success of the accelerator program’s inaugural cohort provided the rationale for launching a second cohort. 

The second cohort of the Accelerator Program will be guided by experienced Web3 professionals, who have designed the program to offer a full range of benefits to support founders in developing their Web3 decentralized applications.

Related: Sandeep Nailwal-backed Web3 accelerator launches demo day for first cohort

In June, Crypto.com’s Cronos launched its $100M accelerator program for DeFi and Web3 projects, with the goal of supporting early-stage crypto projects with mentorship, funding and growth opportunities. 

Some of the companies supporting the Cronos Accelerator Program include Mechanism Capital, Spartan Labs, IOSG Ventures, OK Blockchain Capital, AP Capital, Altcoin Buzz, and Dorahacks.

Crypto.com originally launched the Cronos blockchain back in November 2021. 

Blockchain accelerator programs with a focus on Web3 development have grown over the past year. As reported by Cointelegraph, Web3 accelerator Beacon recently wrapped up its first cohort with 15 companies graduating. The second cohort plans to offer up to $8 million to 32 startups.

ECB executive board member outlines plans for digital euro to European Parliament

ECB board member Fabio Panetta affirms the ECB’s digital euro privacy policy and says the digital currency will never be programmable, but it may have an app.

The digital euro, should it come into existence, will preserve the role of the central bank by extending payment options beyond those offered by cash, European Central Bank (ECB) executive board member Fabio Panetta told a European Parliament committee Jan. 23.

Panetta expressed satisfaction with the progress of research on a potential digital euro. He told the European Parliament Economic and Monetary Affairs Committee:

“The ECB is at the global forefront of the efforts by central banks to design state-of-the-art digital payment solutions for both retail and wholesale transactions.”

Access to the digital euro would initially be open to consumers, businesses and governments within the euro zone, then be extended to individuals and businesses in the European Economic Area and finally to “selected third-party countries,” on the basis of agreements, Panetta said.

Related: Digital euro settlement, distribution options detailed in latest progress report

Accessibility and usability would best be delivered through a scheme that provided uniform rules, standards and procedures to allow the development of additional products and services based on it, Panetta said. Transactions with the digital euro should be free, with extra services from intermediaries available for voluntary use.

“The digital euro would never be programmable money,” Panetta said. “The ECB would not set any limitations on where, when or to whom people can pay with a digital euro.” The ECB will not seek access to personal data either, he told the committee:

“When it comes to the central bank, we propose that we do not have access to personal data. And it will be for you, as co-legislators, to decide on the balance between privacy and other important public policy objectives like anti-money laundering, countering terrorism financing, preventing tax evasion or guaranteeing sanctions compliance.”

The ECB is considering creating a Eurosystem app to assure that users can access services throughput the euro zone. Panetta added:

“When it comes to the hardware, people could pay either with mobile phones, physical cards or possibly other devices like smartwatches.”

Research will transition from the investigative to the realization stage in the third quarter of this year, Panetta affirmed. He concluded by reminding the legislators of their role in the digital euro project. “It has a clear political dimension in view of its broad societal implications,” echoing sentiments recently voiced by the Eurogroup of financial ministers.

More details emerge on Twitter Coins — and crypto’s not included

Tech blogger and app researcher Nima Owji said he didn’t find any indication that cryptocurrencies were involved.

References to crypto or blockchain technology are nowhere to be found in newly leaked images concerning “Twitter Coins” — the platform’s secret in-development digital asset. 

Many in the community have been hoping that the secret “Twitter Coins” project would involve cryptocurrency in some way after the project was first leaked in early December by tech bloggers Jane Manchun Wong and Nima Owji.

Members of the Dogecoin (DOGE) community have been especially hopeful given Twitter CEO Elon Musk’s affiliation with the token. In a Dec. 4 Twitter Spaces event, Musk said he was still interested in integrating crypto with the social media platform.

Cast your vote now!

However, newly leaked images of the project’s development shared by Wong and Owji on Jan. 10 are devoid of any mention of crypto or blockchain technology.

Owji tweeted that no leaks so far have provided any indication that crypto will be involved in Twitter Coins:

“It seems to be an in-app currency to support the creators. I didn’t find anything that relates it to *crypto* currency.”

The leaked images instead provide more light into the planned uses of the in-app digital currency.

One of the images is a screenshot of the purported purchasing splash page for Twitter Coins, which explains that the in-app currency will allow users to “support creators who Tweet great content.”

This appears to be in reference to the platform’s “Twitter Awards,” which was also leaked by Manchun Wong a week earlier, on Jan. 5.

According to a tweet by Wong, awards such as “Mind Blown,” “Bravo” and “Super Like” can be sent to content creators on the platform — at a cost denominated in Twitter Coins.

Screenshot of the list of Twitter Awards. Source: Jane Manchun Wong on Twitter

The feature bears similarities to Reddit’s tipping and rewards system, where Redditors use “Reddit Coins” to send awards to other users who make a post, comment or live video broadcast that they have enjoyed.

Related: Twitter data breach: Hacker put 200M users’ private information up for grabs

Even purchasing Twitter Coins won’t involve crypto payments at this stage. According to Wong, purchasing Twitter’s digital currency will be enabled through fiat using Stripe.

Stripe is a fiat-based payment processing platform that lets merchants accept credit and debit cards, bank transfers, and cash-based vouchers.

However, that’s not to say that crypto may not eventually play a part in the equation.

On April 22, Stripe announced it had begun supporting payouts to select Twitter content creators in USD Coin (USDC) with payouts taking place over the Polygon network.

Corporate America has finally taken notice of Web3 — US trademark lawyer

Trademark applications filed this year covered various disparate sectors.

This year saw an influx of trademark applications filed by various companies looking to get in on the Web3 action. By November, a total of 4,999 trademark applications had been filed in the United States for cryptocurrencies and digital-related goods and services — according to United States Patent and Trademark Office-licensed trademark attorney Mike Kondoudis. 

Kondoudis believes the future of the Web3 ecosystem looks “bright” and “mainstream adoption is inevitable.” To learn more about the impact of Web3 trademark applications filed on the future of the Web3 ecosystem, Cointelegraph interviewed Kondoudis.

Cointelegraph has covered a wide range of trademark application stories in 2022, ranging from luxury brands such as Hermès to car brands like Ford, all making a bid for the Web3 ecosystem. In our interview, Kondoudis revealed that he was surprised by the scope and mix of companies that havefiled trademark applications for the Web3 ecosystem.

Cointelegraph: What surprised you most about filed trademark applications for the Web3 space this year? Any interesting observations from your perspective?

Mike Kondoudis: One of the biggest surprises is the disparate sectors represented in this year’s Web3 trademark applications. We saw filings by grocery stores, pet food brands, sports teams and leagues, cities and landmarks, casinos/gaming companies, and even game shows. This was the year that Web3 seemed to get the attention of corporate America.

CT: Were you surprised by the kind of companies that filed trademark applications for the Web3 ecosystem? Do you have any statistics on the type of companies that filed the most trademarks for the Web3 space? For example, was it food companies, booze companies or car companies? 

MK: Yes, there were some surprises this year, and the wave of new Web3 trademark applications included some curious trademark applications. For example, we saw Web3 trademark filings by car rental companies. It is not entirely clear how much of a market there may be for virtual car rentals or rental car NFTs in the metaverse.

At the same time, we saw some sectors that were saturated — all of the major players filed Web3 trademark applications. Some of these sectors include fast food, financial services, clothing/apparel, luxury goods and footwear. 

Seeing the wide range of trademark applications filed this year hints that mainstream adoption of Web3 technology is inevitable and also reveals that the ecosystem has the potential to grow and thrive in the future.

CT: Based on filed trademark applications for the Web3 ecosystem, what do you believe the future of Web3 (blockchain tech like the metaverse, cryptocurrency and NFTs) will look like? 

MK: I think the future is bright and that mainstream adoption is inevitable. There are definitely macroeconomic forces and regulatory challenges to overcome in the near term. But, based on the Web3 trademarking activity I’ve seen, there are many major brands that are preparing to seriously invest in Web3 because they recognize the advantages and opportunities that blockchain technologies offer. That investment should ensure continued momentum toward the adoption of the Web3 ecosystem.

CT: Do you believe companies filing for trademarks in the metaverse, cryptocurrency and NFT space are playing a crucial role in the adoption of blockchain-based technologies?

MK: Yes, I believe that the companies filing new trademark applications in these spaces are essential to the widespread adoption and implementation of Web3 and blockchain-based technologies. There are several technological challenges that will need to be overcome for the widespread adoption of Web3, and that is going to take money and time. Today’s Web3 trademark filers represent the economic catalysts to fund the investment needed to overcome the technological challenges. And, their investment will, over time, bring the technology within reach of smaller and more modest companies.

A wide variety of companies — including healthcare, insurance and alcohol brands — have all filed trademarks for NFT-, cryptocurrency- and metaverse-related activity. However, those given examples may not be able to navigate the space as easily as other brands, such as clothing companies, due to regulatory hurdles they need to overcome to fully integrate with the space.

CT: Do you think companies may have to overcome and navigate regulatory challenges before being able to navigate the Web3 space?

MK: I think that this is a sector-by-sector issue. In more heavily regulated industries like healthcare and insurance, for example, I think there will be some growing pains as companies try to comply with regulations that may not have been written with Web3 in mind. In contrast, industries with fewer regulatory burdens like apparel or luxury goods seem to have had an easier path to Web3.

CT: Are trademarks for the Web3 ecosystem expensive to file? How much do you believe, on average, companies are paying to file for Web3-based trademark applications? 

MK: One of the attractive aspects of trademarks is that they are not expensive to file. Many new Web3 trademark applications can be professionally prepared and filed for less than $2,000. This makes them a relative bargain, especially when compared to the costs of fighting a brand dispute without a federal trademark registration.

CT: Do you think the cryptocurrency bear market has negatively impacted the number of companies that filed for trademarks in the Web3 ecosystem?

MK: Yes, the difficulties in the cryptocurrency market, coupled with concerns about a broader economic downturn, seem to have had a marked impact on the number of new Web3 trademark applications. The number of new trademark filings for the Web3 ecosystem has declined by about 40% over the second half of 2022.

A long bear market and current market conditions exacerbated by the sudden collapse of FTX have taken a toll on the entire ecosystem. Although the business potential of the Web3 ecosystem still remains enormous, Kondoudis projected that next year may not necessarily see growth in the number of trademarks applications filed for the ecosystem, due to various factors such as a bear market with no estimated end in sight and a widely anticipated economic downturn.

CT: Do you expect to see an increase in trademark applications for the Web 3 space filed next year? Or do you expect things to slow down? 

MK: We do not expect to see an increase. We expect to see about the same number of filings.

The number of new Web3 trademark filings has decreased over the second half of this year. This decrease appears to be in response to concerns about recession, other macroeconomic concerns, and the cryptocurrency bear market. Since these concerns will likely continue in 2023, we expect their effects to continue as well. 

CT: Any relevant thoughts and comments about trademarks filed for the Web3 ecosystem, as well as your thoughts/opinions on blockchain tech like the metaverse, cryptocurrency and NFTs? 

MK: The business potential of the Web3 ecosystem is significant. And, despite current headwinds, Web3 is going to continue to move toward mainstream adoption in the next few years. Brands will need protection in this ecosystem just as they do in the “real world” today. They’ll also need protection as they transition and/or expand into the virtual economy of Web3. That’s why so many companies have been filing Web3 trademark applications. 

The initial rush to file Web3 trademark applications seems to have run its course. We are now seeing the integration of Web3 products and services into mainstream trademarking strategies. Going forward, I would expect to see NFT, crypto and metaverse products and services included in trademark applications along with traditional or “real world” products and services.