This weekly roundup of news from mainland China, Taiwan, and Hong Kong attempts to curate the industry’s top news, including influential projects, changes in the regulatory landscape, and corporate blockchain integrations.
It was a quiet week on the mainland as much of the Chinese crypto community was either in Lisbon or recovering from a week-long hangover after Shanghai Blockchain Week that ended last weekend.
The biggest blockchain-related news was the $ 130 million hack of the DeFi platform Boy X Highspeed, or BXH for short. BXH is a decentralized exchange that runs on BSC, Ethereum, HECO and OKEx.
🚨🚨 We’re sorry to announce that BXH has been attacked on #BinanceChain. Other chain assets are safe.
We cooperate with BSC and Peckshield for tracking and tracing. # BXH @HECO_Chain @BinanceChain @AnyswapNetwork @ O3Swap @renprotocol @cz_binance @peckshield pic.twitter.com/jNo8C53DM0
– BXH (@BXH_Blockchain) October 30, 2021
Even stranger than the name of the platform itself is the nature of the hack. Apparently the attacker somehow gained access to the admin key, which raises many questions about the security and decentralization of the project.
With this in mind, and the fact that the Chinese project claims to have enlisted the help of Chinese law enforcement agencies, there are suspicions that it may be an inside job. BXH has offered a large bounty of up to $ 10 million for those who can help return the funds.
Huobi does not give up the moon mission
The volumes on Huobi continued to decline and at times lagged behind Coinbase Pro and the Korean exchange Upbit. Last week, Huobi made up about 60% of FTX’s volume, but on Wednesday it was about 40%. It’s also about a third the volume of its main competitor OKEx. Huobi is now less than two months from its own deadline to close Chinese user accounts. Huobi will have to reorganize dramatically to regain the market share it has slowly lost on exchanges with less regulatory risk.
In a strong marketing push, Huobi announced a competition in which a user is sent into space aboard a private spacecraft. Not all of the details were given, but that announcement comes as the exchange celebrates its eighth anniversary, making it one of the older trading institutions in the industry.
PlatOn claims a partnership with Google Cloud
One of China’s more reluctant public chains announced on Twitter that it is entering into a partnership with the large cloud service provider Google Cloud:
“We will work together to deliver basic enterprise-level application technologies and platform services to global users, as well as research and development in blockchain technology, data protection and ecosystem building.”
The announcement didn’t attract much attention as it is unclear how much actual reciprocity is happening from the Google Cloud side. Despite the announcement, the token fell around 6% on Thursday.
Mining in Southeast Asia
The Southeast Asian country of Laos is investigating the mining of cryptocurrencies after China’s raid on mining. A Pilot project between the government and the private sector is expected to bring in around $ 194 million to the country’s total domestic revenue projected for 2022.
Laos shares a small southern border with China’s Yunnan Province, an area where many miners still follow the announcement from Yunnan’s Energy Administration in June, which clarified that national policies would apply to Yunnan itself.
Contacts report that although many miners have already left China, some are falling by the wayside to see if the regulatory environment changes or a better opportunity presents itself. Countries like Laos are interesting potential travel destinations as the regulations are still quite unclear. Traditionally, Southeast Asia has been home to many Chinese “offshore” businesses, such as gambling or casino games, that attempt to circumvent regulations or law enforcement.
CBDC is gaining traction
China’s central bank is back Boasting about the pull of its centralized digital currency, the e-CNY. Announcements at Fintech Week in Hong Kong showed that more than 140 million people now have access to accounts and over 62 billion transactions have been processed.
This is a big jump from last year and should come as no surprise given the amount of testing programs that have been rolled out across the country. Many franchise restaurants and retailers are already promoting e-CNY at outlets across the country.
It’s likely that the number will continue to rise, challenging the private apps Alipay and WeChat, both of which claim over 1 billion users each. Replacing these two will be a daunting task, largely due to the feature-rich nature of the Super apps. However, the central bank currency certainly has a lot more patience and the benefit of regulators who can tilt the market in their favor.