FIFA World Cup 2022 and Football Fan Token, review by Crypto-Upvotes experts

What to expect from Football Fan Token during FIFA World Cup 2022. Which platforms have joined the sporting event, what happens to the coins of the national teams. And which of the competition-related assets are most attractive for investment

On November 20, the FIFA World Cup in Qatar kicked off and will run until December 18. Cryptocurrency community actively participates in the event. Many platforms are sponsoring it, and cryptocurrency exchanges are adding new fan tokens for football teams and announcing promotions related to the World Cup.

The championship is sponsored by Algorand Blockchain (ALGO), which will continue to help FIFA with developments related to digital assets after this event. World Cup 2022 is also sponsored by Crypto com, a crypto platform. Users of this exchange were able to attend matches and win official paraphernalia.

Crypto exchange Binance launched a promotion for fans called Binance Football Fever 2022. It allows you to win rewards during the Championship by completing tasks. OKX platform launched the OKX Football Festival promotion on the occasion of this event. In which platform users can win participation in NFT airdrop.

Huobi raffled off tickets to the FIFA World Cup 2022 in October, while Poloniex held the “Poloniex FIFA World Cup Carnival” with a prize pool of $100k. Platform MEXC launched a referral program that could win $4.5k, and Gate.io runs the Gate.io World Cup NFT Collection, with a pool of $10k and other prizes.

At the same time, a lot of championship-themed tokens and NFT collections have popped up online due to sports hype. Which have unclear tokenomics and unknown developers. If you want to join the digital celebration of football, it is worth carefully studying the history of each project and its financial component.

Fan tokens from football teams

In September, crypto exchanges MEXC, Gate and OKX added tokens for teams from Spain, Brazil, Argentina and Portugal ahead of FIFA World Cup 2022. The first two coins have been issued on the Bitci platform, while the second two support the Socios and Chiliz platforms.

Argentina – Argentine Football Association Fan Token (ARG)

Despite the fact that the championship has just started. And Lionel Messi’s team token has already seen a drop of 24% after Argentina’s loss to Saudi Arabia 1:2.

The result of the match was unexpected, as the Saudi team was considered the outsider in the group. The coin has since recovered slightly in the 24 hours since then, rising 4.2% to $5.61. Argentina’s next game is on November 26, their opponent is Mexico.

Brazil – Brazil National Football Team Fan Token (BFT)

The token had been around $1 at the start of the tournament, but dropped 10% on November 23 and is hovering around $0.69. The first match of the team will be on November 24, the Latin American team will play against Serbian team.

Spain – Spain National Football Team Fan Token (SNFT)

The first game of the Spanish national team will be on November 23. It will be played against Costa Rica. The rate of SNFT token before the match is at $0.35 and shows a daily decline of 2.2%.

Portugal – Portugal National Team Fan Token (POR)

The cryptocurrency POR is worth about $4.92 on November 23 and is up 2.9% per day. The team will play their first match against rivals from Ghana on November 24.

France Fan Token (FRA)

The French team’s first game was on November 22. The French defeated Australia 4-1. The FRA token increased by 147% to $0.0013 during the day. Next game of team will be held on November 26, the opponent will be Denmark.

FAN token function has changed

Although Fan tokens were designed to address utilitarian issues. And to enable loyal fans to become more involved in life for their favourite teams. But today, these coins are not being used in the way the developers intended.

Paradoxically, they were originally intended for purely technical functions. Now fan tokens have instead become a kind of “shares” for clubs, according to our Crypto-Upvotes experts.

Because tokens have become priced not in terms of their value to a fan, but in terms of their success and public reputation. In this regard, the fan-token market has become a totalizator. And it has already been compromised by the ability to manipulate the price regardless of the actual success of teams.

Where to invest?

If you consider the investment component of this segment, first of all, you need to keep an eye on platforms and blockchains. Which ones are placing such tokens, not the fan tokens themselves. For example, it looks more strategic to buy a conventional Chiliz (CHZ) token than a coin from some promising sports club.

CHZ cryptocurrency was released back in the fall of 2018 on Ethereum as a control token for a fan token ecosystem that was being created. And a year later, Chiliz Chain of the Ethereum network was created to reduce commissions. This project brought most of its fan community together under the Socios.com aegis. They became the first blockchain project to start issuing tokens for sports fans.

Cryptocurrency Shiliz (CHZ) is quoted at $0.183 on November 23. Before the start of World Cup 2022 it was worth $0.26, but by the evening of November 22 it was down to $0.17. For the previous day the coin grew in price by 2.2%.

In addition to Chiliz and its Social.com platform, Turkish platform Bitci is gaining momentum. It has already issued tokens for football teams of Brazil, Peru and Spain, Turkish national basketball team and many other sports teams. Which are mostly from Turkey and Spanish-speaking countries.

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The Singapore MAS regulator explained why did not include FTX in their list of dangerous exchanges beforehand

Singaporeans suffered big losses from FTX collapse due to switching to it after Binance was banned in that country. MAS explained why there were restrictions on Binance and no restrictions on FTX

Monetary Authority of Singapore (MAS) issued a statement explaining why crypto-exchange FTX – in advance of its collapse – was not included in the document. Which warns investors about the illegality of this company’s activities on state territory.

Singapore was the second hardest hit by the FTX crash. According to a CoinGecko report, Singapore accounted for 5% of global traffic to FTX.com. That is, on average, more than 241,000 unique users per month. Analysts attribute this to the fact that the ban of Binance exchange in 2021 in Singapore led to. That users of the exchange Binance moved to FTX.

The MAS, which serves as the country’s central bank, maintains an Investor Alert List (IAL). This list includes those companies that could be mistakenly perceived as licensed or permitted by the regulator. On September 2, 2021, Binance.com was included in this list.

In a November 21 statement, MAS explains why it treated Binance differently than FTX. And included Binance in the IAL list, while FTX did not. Despite the fact that both Binance and FTX are not licensed in Singapore. But Binance actively attracted users in Singapore and offered products in Singapore dollars. FTX did not, according to the MAS report.

In addition, Binance has received complaints about unlicensed customer referrals on its part. Binance was also investigated for possible violations of the Payment Services Act.

Regarding FTX, the regulator said there was no evidence that it attracted Singaporean users. And this platform did not offer products in Singapore dollars.

Conclusions from FTX fiasco

MAS also said that there are hundreds of such exchanges and thousands of other offshore organizations. Which accept investments. MAS does not have the ability to put them all on the IAL list. But that doesn’t mean it’s okay to deal with such organizations.

According to regulator, the most important lesson from the FTX fiasco is that transactions with any cryptocurrency on any platform are dangerous.

Our experts conclude that MAS was somehow interested in FTX. Because the blocking of Binance was done and the second top exchange, as if they did not notice. In any case, we agree with them that operations with any cryptocurrency on any platform are risks.

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Binance to create a fund to help cryptoprojects with liquidity crisis

Binance also plans to take a lead in setting global industry standards in wake of bankruptcy of FTX. Crypto-Upvotes expert review.

The Binance exchange will create a relief fund for crypto projects that are strong at the core but face a liquidity crisis, head Changpeng Zhao wrote on his Twitter page. According to him, this fund will be created to reduce negative impact of the FTX collapse on industry.

Head of Binance urged other participants of cryptoindustry to join this project as well. Tron blockchain founder Justin Sun was the first to respond, telling Binance that Tron, as well as Huobi Global and Poloniex exchanges, would support this project. A little later, developers of Ethereum Pow responded to this call.

In addition, Binance plans to take a lead in setting global standards in this industry. Zhao said this, speaking at a conference in Indonesia, according to Blomberg. Binance’s chief executive said there was a need for greater transparency in industry and close cooperation with regulators around the world.

 

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Binance declined to buy crypto exchange FTX

Binance CEO Changpeng Zhao explained he could not help FTX solve its problems. Crypto-Upvotes expert review

Crypto exchange Binance will not buy a trading platform FTX. This was announced by the head of the company Changpeng Zhao. He released an official statement explaining his decision.

As a result of the due diligence review, as well as recent news about mishandling of customer funds. And the alleged investigations by U.S. authorities, we have decided that we will not pursue a potential purchase of FTX.com.

“Initially, we had hoped that we could support FTX customers and provide liquidity. But the trading floor’s problems are beyond our control or ability to help,” Zhao wrote.

The cryptocurrency ecosystem has become more resilient over the years, he said. The head of Binance believes that in the future, over time, the free market will weed out those who use user funds in an untargeted way.

Following Zhao’s statement, cryptocurrency exchange FTX suspended withdrawals and urged users not to fund their accounts. At the same time, the head of another cryptocurrency project Tron, Justin Sun, wrote without elaboration. That he is developing a solution with FTX for holders of tokens TRX, BTT, JST, SUN and HT.

According to two people close to FTX, left without a buyer, Bankman-Fried is now looking for other sponsors. After Binance pulled out of the deal, he told FTX employees in Slack that he was “exploring all options.”

Binance confirmed its assets worth $70 billion

Binance published its cryptocurrency wallet addresses to confirm its capabilities. In particular, the company indicated that it holds 475 thousand BTC ($8.265 billion at current exchange rate), 4.8 million Ethereum ($5.76 billion) and 17.6 billion USDT.

Additionally, a trading platform owns 21.7 billion BUSD tokens, 601 million USDC and 58 million BNB ($16.82 billion). Total assets of Binance are estimated at $70.746 billion. In addition, crypto exchange pointed out that this is not complete information, all data will be presented in a report after audit.

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Bitcoin rate updated minimum for two years. This is the start of forming a “Bottom” ?

Bitcoin fell below $18 ths, other cryptocurrencies were also affected. Our Crypto-Upvotes experts pointed out reasons for market decline. And also told about its short-term prospects

In the evening of November 8 Bitcoin rate momentarily fell to a two-year low of $ 17.1 ths. As of November 9, Bitcoin cryptocurrency is trading at $ 17.2 ths, it has fallen in price by 10% over the past 24 hours.

Bitcoin price decline accelerated as the rate of cryptocurrency exchange token FTX (FTT) plummeted almost six-fold, from $19 to $3. Altcoin now trades at $4+ and shows a daily decline of 74%.

The FTT token collapse and the overall situation around the FTX crypto exchange caused the entire crypto market to fall. First, the FTX exchange lost liquidity and its own token price collapsed. And then Binance announced about buying this exchange.

Possible FTX and Binance deal attracted attention from regulators. As well as other reasons that helped Bitcoin collapse

FTX and Binance deal attracted regulators, raising antitrust concerns. Regulators have the power to block major mergers. If they fear it will limit market choice. And there are strict laws against anticompetitive behavior.

Among other factors in a declining market is the tension between China and Taiwan. Because China is a pretty big player in the crypto market. Taiwan makes chips for mining. So this factor is important and pressures cryptocurrency prices down.

Another reason, our expert called the U.S. Congress elections. At the moment, Republicans are expected to win the elections to House of Representatives.

Cryptocurrency market sympathizes, first of all, with the Democratic Party. At least by the volume of investments in their election campaign. Foreign representatives of the cryptoindustry are betting exactly on Democrats.

In addition, all these problems of crypto-industry coincided with the growth of stock indices and weakening of USD.

Crypto market at an early stage of formation of the “bottom” ?

Buyers could not take advantage of the moment to pass the level of $22.5 ths. While USD is under pressure, and stock indices are set to rise. Buyers have a chance to return Bitcoin price to $20 ths. Now we need to wait for volatility to decrease. And exchanges FTX and Binance clarified the situation and their further actions, said our expert.

Our expert added that the current situation, which now presses the crypto market, could be a culmination of decline. Because the current situation in crypto industry may be the initial stage of forming a “bottom”. Because for many market participants such prices are of interest to increase buying volume or to enter this market.

Now there should be a set of factors that will be able to raise the price up. Therefore now the L-shaped recovery, rather than a sharp reversal of a bearish trend is more probable. If the situation with China and Taiwan does not worsen. It is unlikely that anything else can hurt the market more than it already has.

 

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FTX has withdrawal problems amid conflict with Binance

FTX platform users have begun to report problems and delays with withdrawals from platform in Bitcoin and Stablecoin. Crypto-Upvotes excerpts explain what’s going on

Exchange responded with a message on Monday that slow Bitcoin withdrawals were caused by limited network traffic. And problems with stabelcoin transfers arose because banks were closed for the weekend. However, according to the FTX team, withdrawal rates are being restored.

Importantly, analysts at Nansen said on the morning of November 7. That over the past 24 hours FTX has received more than $257 million in USDC due to a noticeable outflow of deposits from FTX.

These funds were transferred from the firm Alameda Research. By that point, significant outflows from FTX’s Ethereum balance sheet had also been seen. It dropped from 493,000 ETH to 162,000 ETH. In total, more than $400 million in assets have been withdrawn from FTX in the last 24 hours.

Our experts explain what happened

Problems began against the backdrop of worsening situation in international cryptocurrency exchanges market. FTX head Sam Benkman-Fried said on October 27 that the exchange is working on the launch of its own Stablecoin. November 2, the media actively began to publish the results of the investigation, which conducted a team portal CoinDesk.

The investigation touched the exchange FTX and the trading firm Alameda Research. These two companies that are considered friendly for the reason that Sam Benkman-Fried owns 50% of FTX and 100% of Alameda Research. Journalists gained access to the second firm’s internal documents and found a large number of FTT tokens on Alameda’s balance sheet.

CoinDesk investigation and reaction from Binance CEO

According to the investigation, Alameda Research had $14.6 billion in assets as of June 30. Of that, $3.66 billion was “unlocked FTT tokens” and $2.15 billion was “FTT in collateral” or “collateralized tokens.” That’s the company’s largest asset and third-largest asset, respectively.

Experts have concluded that most of the net equity in Alameda Research’s business is its own centrally controlled token. Alameda Research said in response to the investigation that it didn’t reveal the full picture. And in fact, the company still has “more than $10 billion in assets.” That’s the amount CoinDesk didn’t mention.

However, the investigation still won – the head of Binance Changpeng Zhao said he would get rid of the FTT token. He recalled that as part of the FTX exit in 2021, Binance received approximately $2.1 billion in cash equivalent in BUSD and FTT tokens.

The head of Binance did not name the reason for the CoinDesk investigation. But he said he was making the decision because of “recent disclosures”. He promised that he would minimize the impact of the deal on the market and expressed his willingness to finalize it in a few months.

According to the head of Binance, the decision against a competitor in the form of FTX is not directed. Because it is important for Binance to maintain the sustainability of the emerging industry. In response, Alameda Research CEO Caroline Allison said she was ready to buy FTT from Binance at $22 per token.

Conclusions of our experts

Our experts suggest that the situation between Binance and FTX is related in part to Changpeng Zhao personal offense to Sam Benkman-Fried. Because Sam Benkman-Fried admitted recently that he is one of the main sponsors of Democratic forces in the U.S. elections.

The head of FTX, Sam Benkman-Fried, is accused of lobbying the U.S. authorities, something the head of Binance cannot do. His exchange often faces pressure and investigations from U.S. regulators. As well as accusations of misconduct for ignoring sanctions.

All this annoys Changpeng Zhao, so in retaliation, he wants to move significant liquidity in the market from one exchange to another. Specifically, from FTX to Binance. Selling FTT tokens after FTX exits may be the first step.

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Launchpads and review of startup sites for crypto projects

Our experts Crypto-Upvotes tell us how blockchain startups plan to raise funding. And also which Launchpads are trustworthy and what new projects will soon be fundraising.

Launchpads or startup platforms for crypto projects allow startups to raise initial funding for development. And investors can choose an attractive instrument for investing their funds.

Fundraisers are mostly held in Initial Exchange Offerings (IEO) formats – initial exchange offerings. And also Initial DEX Offering (IDO) – crowdfunding on decentralized platforms.

With these methods, it’s not the project creators who are looking for investors. Launchpad selects promising startups and promotes them. Startup platforms carefully check the project and its creators before launching a token sale – a token sale. Often after fundraising is completed, the exchange opens trading in this cryptocurrency.

The IEO and IDO have several advantages over the outdated fundraising model, ICO (Initial Coin Offering), analogous to an IPO in the traditional market. In launchpads, many more people can get early access to assets. And it’s easier for developers to promote a project and list tokens.

Despite the general downturn in the cryptocurrency industry, new projects continue to emerge and attract funding. In this article, we’ll talk about some of the platforms that are raising funds for startups.

Binance Launchpad

Binance Launchpad is one of the most well-known, easy to use and convenient platforms. To work with it, you need to pass a basic identity verification.

Before launching the tokensale, the Binance team conducts a rigorous vetting of the project and publishes a report. It takes startups at a relatively mature stage of development, with a strong and committed team.

This Binance incubator has launched well-known crypto projects such as Stepn, Axie Infinity, BitTorrent, SafePal, metaverse The SandBox, soccer clubs Lazio Fan Token and FC Porto Fan Token.

A total of 64 projects were launched on the site, raising a total of $ 109.7 million. The last of them was STEPN, which completed fundraising in March of this year. Binance Launchpad has not announced another IEO at this time.

Polkastarter

Polkastarter is a DEX platform developed on the Polkadot blockchain. It is also compatible with Ethereum, BNB Chain, Solana and other networks. Launchpad allows startups to raise funds by selling tokens or NFTs in a decentralized environment. The platform has launched 108 projects and raised a total of $48.5 million in funds for them.

This summer, the platform held fundraisers for 3 projects: Metaverse Planet Mojo sold $364k worth of NFT, and blockchain games WOMBAT and DEFY raised $600k and $200k respectively.

There are plans to have a token sale of a game project from developers Gameloft, Blizzard and Ubisoft. Their game metaverse CryptoCitizen plans to raise $650k.

Duckstarter

Duckstarter is an IDO blockchain startup and fundraising platform managed by the DuckDAO community. The platform launches in early 2021. It adheres to KYC principles and accepts USDC stablecoins.

A total of 66 projects have been launched on the platform, raising $3.47 million. The most recently completed tokenseals were fundraisers for gaming startups Bot Planet for $23.7k. As well as Sugar Kingdom for $100k in March of this year.

The IDO of the GEMS project will begin in early October. Its name is made up of the initial letters of the words GameFi, ESport, Metaverse and Social Fi. Project developers are positioning it as an ecosystem GameFi. Which allows eSports gamers to learn and immerse themselves in different Metaverse and GameFi worlds.

BSCPad

BSCPad was launched in March 2021. It hosted IDOs of such projects as Revomon, GameZone, Qmall.exchange, PureFi and many others.
The platform uses a token distribution system of 6 levels for users. It is based on the number of coins they contributed: bronze, silver, gold, platinum, diamond and blue diamond. In order to participate in tokenseals, users must pass KYC. As well as to deposit a certain amount of BSCPad platform’s native tokens for stacking.

The platform has conducted more than 100 fundraising rounds. Currently there are plans to launch a fundraiser for Taunt Battleworld. It’s an NFT fighting game simulator with the ability to earn money from developers at Amazon. The description of the project says that the game is set in a post-apocalyptic world. In which the gods have turned Earth into their own personal playground called Battleworld

DAO Maker

DAO Maker conducts token sales and sales of NFT crypto projects on its DAO Pad platform. This platform supports Ethereum, Solana, Polygon and other blockchains. Initial token offerings are in SHO (Strong Holder Offering) format. In it, each user gets a level corresponding to their funds. The more funds are in the wallet, the higher the chances of getting new tokens.

The platform has raised funds for a large number of popular projects, such as Infinity Pad, My Neighbor Alice and Seascape Network.

The SHO of the DeRace NFT project is currently being finalized. It’s a Metaverse in which players breed horses to race, have races, complete missions and earn rewards. According to the developers, blockchain technology provides transparent race results.

DAO Maker plans to tokenize the Muon Network project. This is a supercomputer in the form of a decentralized cloud computing network. It will be able to run any application and software and connect to all publicly available blockchains.

Another project launching on the platform soon will be Engines of Fury. This is a fighting game with rich 3D graphics and single-player and multiplayer modes.

GameFi

GameFi is a launchpad for blockchain game projects. It hosts fundraisers in the format of Initial Game Offering (IGO) or Initial Game Offering. Its only difference from IDO is that tokensales are conducted by gaming startups. In addition to initial token offerings, Launchpad conducts Initial NFT Offering (INO).

The platform features two pools for fundraising: the IGO pool, which requires tokenization. And also Community pool, which does not involve stacking. GameFi complies with KYC requirements, and users need to be verified to participate in IGO and INO.

More than 60 projects have been launched on the platform, including X-Metaverse, GameStation, Metawars, and many others. Currently there is an initial NFT offering from the DVISION WORLD project. This is a Metaverse where users can create and sell their own NFTs.

Tokensales for three more game projects have also been announced on GameFi. This is a platform project for developing and controlling characters in the Codyfight universe. As well as fighting games Evermoon and Engine of Fury (the same project that will hold a tokensale on Maker DAO). Start dates for these IGO have not yet been determined.

Poolz

Poolz is a decentralized launchpad that supports multiple blockchains. More than 90 IDOs have been held on this platform. The biggest recent fundraisers were for the NFT spaceship game Space Sip ($1 million) and the RPG Kryptomon ($450,000).

Users need to own at least 250 POOLZ tokens ($345) to participate in tokenseals. Top 100 native coin owners get priority access to IDO.

There are 9 crypto projects scheduled to IDO on the platform in the near future. These include a token sale to raise $500k from Moverse, a Web3 fitness project from move-to-earn. Also IDO for $250k from MeMusic, a service for earning audio content producers. In addition, Launchpad will launch tokensales for several gaming projects, the cryptocurrency Tofycoin. As well as the decentralized television platform Script Network.

TrustPad

TrustPad is a decentralized launchpad. It gives priority access to the most promising projects to TPAD native token holders. TrustPad supports most of leading blockchains. Verification of users is not required for all IDOs held on the platform, but only for part of them.

There have been 116 projects token seals held on this platform. They raised a total of $21.6 million. Among them were fundraisers such startups as QANplatform, BitHotel and Blocktopia.

TrustPad will hold several tokenseals in the near future. Among them is Animalia. It’s an online NFT game with collectibles on the theme of cryptomems. And also Metaverse Lifetise, where users can plan and build their lives. From owning a home, starting a business and getting married, to retirement.

The site also plans to raise funds to develop the Mizar trading platform with a wide range of tools. Here, traders can choose different strategies to allocate their capital. Upcoming is the IDO of the game project Medieval Empires. This is a complex multiplayer online strategy game. And the action of which unfolds in the modern territory of Turkey in late 13th century.

Red Kite

Red Kite is a launchpad that has raised more than $9.3 million for 70 cryptoprojects. Tokensales are open to holders of the PKF platform’s native cryptocurrency. Just like GameFi, IDOs on this platform take place in two pools. One is available to everyone. The other is only available to members of the Red Kite community.

MetaBeat, an NFT music platform, was the last to hold fundraisers on this platform. As well as the game universe of farmers Monsterra Community and the project category move-to-earn PULMx.

In the near future, the platform will host the IDO of the blockchain game The Unfettered. It is an upcoming action role-playing video game. It is about a mysterious and warlike woman, chosen by Gods, who fights subterranean monsters.

 

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Binance has launched a $500 million mining support project

Binance will issue loans to develop this industry. Also the company intends to launch products for cloud mining

The cryptocurrency exchange announced that it has launched a $500 million project on Binance Pool platform to support cryptocurrency mining industry. This project involves lending to companies. Which are engaged in mining Bitcoin and infrastructure of digital assets around the world.

Funding will be available for 18 to 24 months at 5-10%. This will be subject to security of physical or cryptocurrency assets satisfactory to Binance.

Also, company intends to launch products for cloud mining. So, cryptocurrency mining will be carried out with the help of rented equipment located in data centers of service providers. Binance Pool is currently looking for such providers to cooperate with.

On October 10, Bitcoin’s mining complexity increased by 13.5%. This was the strongest increase since May 2021. Meanwhile, at $20,000 per Bitcoin, the profitability of mining companies is already close to the cost of production. And in some cases it goes into negative values.

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Hackers attacked Binance network for $500 million. Now BNB Chain will decide the fate of blocked crypto-assets that hackers did not have time to withdraw

Hackers stole over $544 million worth of cryptocurrency from Binance network. But did not manage to withdraw most of it, Crypto-Upvotes expert

Blockchain BNB Chain returned to work after the BSC Token Hub bridge was hacked. Hackers managed to steal over $544 million worth of cryptocurrency. However, they were able to withdraw only $100 million. After that, the work of network was temporarily suspended.

Binance CEO published a link to a post on Reddit, which describes the details of the incident. In particular, it is claimed that according to initial estimates, hackers managed to take from $100 million to $110 million from BNB Chain network, while with the support of partners managed to freeze $7 million worth of cryptocurrency.

Hackers have $543 million worth of cryptocurrency at their address, $432 million of which remain in BNB Chain and cannot be withdrawn. At the same time, these funds are not the users’ cryptocurrency. Changpeng Zhao explained that hackers managed to create additional BNB tokens using a vulnerability.

Later, the BNB Chain team presented a code update. After it was activated by the network’s validators, the hackers’ accounts were blocked and asset transfers between BNB Beacon Chain and BNB Smart Chain were frozen.

BNB Chain will decide fate of blocked crypto-assets by voting

As decided by blockchain team, a vote will be held. As a result, it will decide such issues as freezing the funds in the hacker’s account. And using a mechanism to automatically burn BNB tokens to cover the remainder of stolen funds.

At the same time, the issue of introducing a reward of $1 million for “white hackers” will be put to vote. Who will be able to detect bugs in the system in future. Also, community will decide whether to announce reward for catching hackers in form of 10% of recovered funds.

BSC validator voting functionality will be turned on in the next few days after a BNB Beacon Chain update. Also, the team noted that a new management mechanism will be implemented in a BNB network to protect against possible future attacks.

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