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Cosmos Co-Founder Wants To Fork ATOM to ATOM1

Cosmos Co-Founder Wants To Fork ATOM to ATOM1

Cosmos co-founder rallies for network fork, Tron's increasing use in terrorist financing, Paradigm criticizes Blast’s marketing, Inferno Drainer ceases operations.

Welcome to the first issue of Datawallet Daily this week. Here are the main stories that have been influencing the crypto world in the past day:

Cosmos Co-Founder Wants To Fork The Network

Jae Kwon, founder of Cosmos, is rallying for a network fork following the approval of Proposal 848, which caps ATOM inflation at 10%, reducing staking rewards. The proposal passed with mixed reactions, prompting Kwon to propose a split, citing ongoing internal disputes within the Cosmos community. 

The proposed fork, AtomOne, aims to retain the latest software while modifying tokenomics. Kwon suggests allocating the new ATOM1 token primarily to current ATOM stakers, with reduced shares for those who backed Proposal 848. This move, potentially leading to the largest ATOM airdrop, is seen as a way to resolve the ecosystem’s longstanding tensions.

Tron Network Increasingly Used by Terrorists, Reuters Report

In recent developments, Israel’s efforts to combat the financing of Iran-backed militant groups like Hamas and Hezbollah have focused on a growing crypto network, Tron. Known for its speed and cost-efficiency compared to Bitcoin, Tron has become the preferred platform for crypto transfers linked to these groups. Analysis by Reuters of crypto seizures by Israeli security services since 2021 indicates a rise in targeting Tron wallets. 

Financial crime experts note Tron’s popularity in these circles is due to its faster transactions and lower fees. Israel’s National Bureau for Counter Terror Financing has frozen numerous Tron wallets believed to be connected to terrorist organizations.

The trend reflects an evolving landscape in the fight against militant financing, where digital currencies play an increasingly significant role.

Blast’s Marketing “Cheapens the Work of a Serious Team”

Paradigm, a seed investor in the crypto protocol Blast, has criticized the project’s marketing strategy and operational decisions. Dan Robinson, Paradigm’s research head, is particularly concerned with Blast’s hasty bridge launch and a withdrawal freeze lasting three months. He  believes that these actions undermine the seriousness of the team’s work, stating, “much of the marketing cheapens the work of a serious team.

While Paradigm acknowledges Blast’s skilled team, there is a clear disagreement on the project’s strategy. Jarrod Watts from Polygon Labs also highlights issues with Blast’s centralization and potential security risks. 

However, in spite of these criticisms, Blast continues to make significant strides, amassing over $568 million in total value locked and gearing up for an airdrop next year.

Inferno Drainer Closes After Helping Steal $70M in Crypto

Inferno Drainer, a prominent crypto wallet-draining service, is shutting down after reportedly aiding in the theft of nearly $70 million in cryptocurrencies. The service, popular among phishing scammers, emerged as a key player after Monkey Drainer ceased operations in early 2023. 

Inferno Drainer charged a 20% fee on stolen funds and is responsible for victimizing over 100,000 users, according to Scam Sniffer analytics. The team behind Inferno Drainer thanked its users in a Telegram post, stating their infrastructure will remain for users transitioning to other services. 

Despite their shutdown, blockchain security firm CertiK highlights the ongoing threat from similar services in the crypto community.

Other breaking news

Wrapping up

That’s all for today’s edition, folks. Tron blockchain, and its founder Justin Sun, could potentially face issues due to Tron’s rising use by illegal entities. Blast’s aggressive marketing strategy, despite attracting significant investment, raises concerns among the project’s investors. In network governance, a Cosmos co-founder proposes the network fork, reflecting ongoing disputes within the Cosmos community. Finally, the shutdown of the notable Inferno Drainer is a positive step, but let’s not forget it is just one of many similar services. Stay tuned for further updates!