Unibot suffered a major exploit, resulting in $560,000 in losses

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We have brought together the past week’s most exciting events in this Good Crypto digest. If you want to get these updates as soon as we post them, follow us on Twitter or Telegram.

quick weekly news

SOL surges on Firedancer testnet launch

Solana’s SOL has surged with 30-day gains of nearly 81% and a week-over-week rally of over 30%, driven by the testnet launch of Firedancer, the blockchain’s long-anticipated scaling solution.

On November 2, SOL surpassed $41, marking highs not seen since August last year. Despite being hailed as an “Ethereum killer,” SOL has significantly outperformed Ethereum, which recorded less than 11% gains in the last month.

Investment products tied to SOL have experienced substantial inflows in recent weeks, as reported by CoinShares. However, it’s important to note that SOL is still down about 84% from its all-time high of almost $260 on November 6, 2021.

At the Breakpoint conference on October 31, Solana Foundation’s executive director, Dan Albert, announced the Firedancer testnet launch, developed by Web3 firm Jump Crypto since last August.

Firedancer, a new validator client, aims to enhance speed, reliability, and validator diversity, with a mainnet launch expected in the first half of 2024.

Unibot suffered a major exploit, resulting in $560,000 in losses

A newly deployed contract by Unibot on October 29, a Telegram bot well-known for sniping trades on the decentralized exchange Uniswap, was reportedly exploited, resulting in approximately $560,000 worth of various memecoins being siphoned from users.

This went unnoticed until October 31, when Scopescan, a blockchain analytics firm, alerted Unibot users about the ongoing hack. The breach was caused by an exploit in the recently established contract, which led to the unauthorized depletion of cryptocurrency holdings belonging to several users.

Unibot eventually confirmed the incident, attributing it to a token approval exploit in their new router. They responded by suspending the router to contain the issue. This event had a detrimental impact on the market as the UNIBOT token’s value plummeted by 42.7% within an hour, dropping from $57.56 to $32.94.

Although the token’s price appears to be in the early stages of a recovery at the time of this writing, Unibot pledged to compensate users who suffered financial losses due to the contract exploit. Notably, cryptocurrencies like Joe (JOE), UNIBOT, and BeerusCat (BCAT) constituted a substantial portion of the affected assets, as revealed by weekly transaction data.

Kraken to share user data with IRS under court order compliance

Kraken, a United States-based cryptocurrency exchange, has confirmed its compliance with a court order to share the data of 42,000 users with the U.S. Internal Revenue Service (IRS). This data transfer will take place in early November.

The court order, which required Kraken to provide the IRS with a broad spectrum of records and data regarding its U.S. clients, was issued by the U.S. District Court for the Northern District of California in May 2021. Kraken initially resisted the IRS’s requests and contested the summons in court. Through these legal proceedings, the company successfully negotiated a significant reduction in the number of affected clients and the volume of client data to be shared.

Per the court’s instructions, Kraken is now obligated to furnish profile and transaction data for clients who conducted transactions exceeding $20,000 in any single year from 2016 to 2020, encompassing individuals who solely engaged in deposits and withdrawals without actual transactions.

PayPal granted FCA approval for cryptocurrency services in the UK

PayPal, the global payment leader, has obtained authorization from the Financial Conduct Authority (FCA) to provide cryptocurrency services within the United Kingdom.

Per official records from the FCA, PayPal has been officially registered to engage in “certain crypto asset activities” in the UK since October 31, 2023.

The FCA register highlights certain requirements and limitations on PayPal’s financial service activities. These include restrictions on new customer onboarding and limiting existing customers to holding and selling cryptocurrencies.

Furthermore, the company is prohibited from expanding its current range of cryptocurrency services. This encompasses activities like cryptocurrency exchanges, participation in initial coin offerings, staking, peer-to-peer trading, and decentralized finance operations such as lending and borrowing.

how the DCA bot operates

The DCA bot initiates a position using a Buy or Sell order, along with a predetermined Take Profit order in the opposite direction. Should the market move unfavorably, both DCA Long and DCA Short bots work to enhance profitability by executing additional Buy or Sell orders, thereby lowering your entry cost. Simultaneously, the DCA crypto bot automatically adapts your Take Profit to match the current position size and entry cost as these supplementary orders are executed.

With the DCA bot, you have the potential for profit in various market scenarios. Simply configure the bot to match the market cycle, considering the asset’s volatility, and choose one of the preferred modes.

Delve into these and other DCA modes in more detail with our article!

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top crypto meme of the week

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