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Gm! sujith.eth is back with another interesting (hopefully) weekly edition of web3. Today, you have two important things to do:

  1. Take your money out of centralized crypto lending companies and exchanges.
  2. Refer this newsletter to a friend 😉

What’s Happening in Web3

Let’s begin the show…

1. This FTX Thing Sucks Man…

  • Blackrock lost $24 millions in FTX.
  • The top 5 Alameda payables include 4.6M to AWS (1st), $80k Bloomberg bill (3rd), and $55k owed to Margaritaville Bahamas (4th). What the heck?😅
  • US regulator CFTC had +10 meetings with SBF in the 14 months before bankruptcy.
  • US Department of Justice demands fraud investigation of FTX, claims there is “substantial evidence” that SBF and other managers “engaged in fraudulent conduct”.
  • And Coinbase CEO, Brian Armstrong says…

And the way mainstream media is covering this whole SBF-FTX issue is only putting  a smile on one man’s face.

2. BlockFi files for bankruptcy

While we all thought Genesis is the next domino to fall, BlockFi – a crypto lender known for going bankrupt once a week since the Do Kwon effect, finally, filed for Bankruptcy.

  • The company apparently experienced ~$80 million in losses due to an overcollateralized loan to 3AC.
  • Then came SBF as a savior. FTX’s U.S. arm signed an option to purchase BlockFi in July.
  • Now that FTX has gone bust, the struggle reflected on the crypto lender. It paused withdrawals on Nov 10th citing FTX exposure.
  • Alameda defaulted on approximately $680 million of collateralized loan obligations with BlockFi, according to the bankruptcy filing.
  • It owes FTX US $275m (and the SEC $30m).
  • BlockFi says they have $355 million worth of cryptocurrency stuck on FTX’s exchange.
  • BlockFi sues Sam Bankman-Fried to seize his $575 million stake in Robinhood, Financial Times reports.
  • “So BlockFi is a creditor to FTX that lent to Alameda that lent to Emergent which is a shell company owned by SBF that bought Robinhood shares that were pledged as collateral to guarantee to BlockFi the loan to FTX that was used to bailout BlockFi itself” – @ayko2718
  • Block Fi… Uff! I am tired now… Simply put, a series of devastating events that were caused by crypto legends (or that’s what we all thought so then) playing with other people’s money lead to this bankruptcy.

By the way, is DCG fine?

3. Mysterious Deaths

Russian entrepreneur Vyacheslav Taran died in a helicopter crash. Tiantian Kullander, founder of Amber Group, died while sleeping. crypto-millionaire Nikolai Mushegian died by drowning.

All the 3 crypto bosses’ deaths happened in a very short frame of time (with very less gaps) and all happened in some mysterious conditions.

Read the full story here.

4. Apple wants their cut

Apple has blocked Coinbase Wallet’s latest release of its iOS app, reportedly claiming that the transaction fees required to transfer NFTs need to go through the iPhone maker’s In-App Purchase system. 

As Apple takes a 30% cut of all payments made through its platform, they are now requesting 30% of all NFT transfer gas fees.

Coinbase responded via a tweet thread

5. Magic Eden & Royalties

Magic Eden Launched OCP: Open Creator Protocol for creators to protect royalties on new collections.

With this, creators will be able manage marketplaces based on whether they respect royalties. If marketplaces do not respect royalties, creators will have the option to ban them from trading.

This is similar to what OpenSea did by creating a toolkit for Ethereum, allowing NFT creators to block trading platforms that will not charge licensing fees for the corresponding assets.

6. Market Overview

Let’s have a look at some weekly performances:

  • Bitcoin: +4.31%
  • Ethereum: +4.09%
  • Polygon: +11.29%
  • Solana: -0.53%
  • BNB: -3%

Fantom (+30%), Axie Infinity (+29%), GMX (+29%), Ethereum POW (+23%), and Uniswap (+20%) are the top 5 gainers of the week.

Quick Bites

  • Crypto is not a legal tender yet in Brazil, but for now, its use as a payment method has been approved.
  • Novogratz, the CEO of Galaxy Digital, has agreed to buy the assets of Bankrupt Celsius.
  • Ankr Protocol hacked.
  • Solana Blockchain’s TPS (Transactions Per Second) reached 8453.
  • Total Value in the $ETH 2.0 Deposit Contract goes over $20,000,000,000.
  • Italy is reportedly planning to impose a 26% tax on crypto gains.
  • OpenSea launches on BNB Chain. The leading NFT marketplace now supports 8 blockchains – including Solana, and Polygon.
  • “I like Bitcoin because the government can’t control it.”: U.S. Senator Ted Cruz
  • Frank, founder of Solana’s top NFT project Degods (it has done 2M+ SOL in sales) doxxed himself. Find more about him here.
  • Porsche introduces the collection of digital images aka NFTs featuring the 911 at Art Basel in Miami, Florida. In January 2023, the company plans to have 7,500 unique NFTs available.
  • Telegram to build decentralized crypto exchange and non-custodial wallet.
  • Kraken crypto exchange has fired 30% of its staff.
  • AAX, Hong Kong based crypto exchange halted withdrawals on Nov 14 citing a systems upgrade that would last 7-10 days. It’s been more than 2 weeks and still the withdrawals weren’t resumed.
  • Russian President Vladimir Putin suggests creating an independent, blockchain-based international payment system.
  • Just to make you smile:
  • The number of Bitcoin Whales (With Balance ≥ 1k) just reached a 2-year low of 1,665. Previous 2-year low of 1,671 was observed on 22 November 2022.
  • Hoo Exchange has deleted their website. Customers are not able to withdraw their crypto.
  • Ethereum L2 Optimism looks optimistic:
  • Ethereum balance on exchanges hit a 4 year low.
  • Fidelity officially launches crypto trading services to its 40 million clients.
  • You can now buy NFTs from 8 different marketplaces, directly on Uniswap (
  • Solana wallet Phantom is integrating support for Ethereum and Polygon.
  • Trader Joe, the Avalanche’s decentralized trading platform announced its “multi-chain” expansion into Ethereum layer-2 scaling solution Arbitrum One. It will be available on the Arbitrum mainnet in 2023.

Numbers Of The Week


Solana Foundation lost over $180M in crypto on FTX.


Beto O’Rourke returned a $1 million donation from SBF four days before Election Day, his campaign told The Texas Tribune this week.


After recording 947 smart contracts on 1st Jan 2022 Cardano’s smart contracts now stand at 3800 approximately. A 300% increase.


In November, investors withdrew $19.6 billion from crypto funds.


There are now over 950,000 addresses holding at least 1 Bitcoin. And I own FTT as an inflation hedge. We are not the same bro 😏

Interesting Tweets

FTX, BlockFi, Voyager, Celsius. These are not crypto failures. These are failures of basic operating principles and corporate governance enabling financial mismanagement–and malfeasance–at massive scale. [jonwe.eth]

Bitcoin miners have been selling relatively aggressively. Combined with the hash rate decline and thus today’s hash ribbon bearish cross, this indicates we are indeed in a period of miner capitulation. [Will Clemente]

Growing importance (& success) of Ethereum L2s in a single chart. ~4% of total gas use. [mhonkasalo.lens]

November was a remarkably shit month for mining. [Zack Voell]

Interesting Reads

Do You Know?

In November, 

Meme Of The Week 😂

Credit: Laurawolff.eth

Disclaimer: None of this is financial advice. This newsletter is strictly educational and is not investment advice. Please be careful and always do your own research.