report

Feb 25 2021

Focus on DeFi ‘fairness’ benefits Holochain, Orion Protocol and Dodo

Bitcoin’s (BTC) strong bull run and the immense popularity of the decentralized finance space have attracted several new investors to cryptocurrencies. A report from Crypto.com shows a massive increase in crypto users as the figure rose from 66 million in May 2020 to 106 million by January this year.

*Crypto market data daily view. Source:* *Coin360*

Contrary to the popular notion that new crypto users are mostly speculating on the price, data from Unchained Capital shows that investors who bought in the past three to five years are still holding and are not yet tempted to book profits.

Unlike the 2017 bull market where many low-cap altcoins rallied, the current bull trend has rewarded projects with strong fundamentals. Let’s have a look at three such tokens and also analyze their charts.

HOT/USD

Holochain (HOT) aims to provide the solution for the scalability problems which may be a limiting factor in the crypto sector. Holochain wants to give control of data and privacy back to the people, eliminating large corporations and middlemen.

To achieve that, Holo, a distributed peer-to-peer hosting platform, acts as the link between the web and the Holochain apps. Holochain wants to make this technology available to users who can access the apps in a web browser. If this needs to be done, the technology must have vast scalability, fast speeds, and it should also be financially viable. The team at Holochain believes they are on the path to achieving this goal.

As part of the process, Holochain launched an app called Elemental Chat that runs on HoloPorts. The team is also planning to enable web users to log into Elemental Chat through the HoloPort. This will put the protocol’s scalability claims to the test and help to further fine-tune the project.

The team has also outlined the progress on the upcoming milestones of the Holo suite of products that will be progressively released in the future. If the team delivers on its promises, the protocol may attract investor attention.

HOT surged from $0.0007817 on Feb. 8 to an intraday high at $0.00424 on Feb. 21, a 442% rally within two weeks. This up-move had pushed the relative strength index (RSI) above 92 on Feb. 21, indicating the market was extremely overbought in the short term.

*HOT/USDT daily chart. Source:* *TradingView*

That resulted in profit-booking on Feb. 22 and 23, which pulled the price down to the 61.8% Fibonacci retracement level at $0.0021028. But the positive sign is that the long tail on the candlesticks on both days showed strong buying at lower levels.

However, traders who are stuck at higher levels are dumping their positions on rallies, as seen from the long wick on the Feb. 24 candlestick.

After the large intraday range of the past few days, the HOT/USD pair has formed an inside day candlestick pattern today, indicating a balance between supply and demand. The pair may now consolidate for a few days.

If the bulls can push the price above $0.00363, a retest of $0.00424 is possible. A breakout of this level could start the next leg of the up-move that may reach $0.0055629.

Conversely, if the bears sink the price below $0.0028, the pair may drop to the 20-day exponential moving average ($0.0020).

ORN/USD

As the decentralized finance space grows, many new projects are being announced on a regular basis. It becomes difficult for investors to keep track of all of them. Hence, a liquidity aggregator that connects to several decentralized and centralized exchanges in order to swap pools and provide access from a single platform may be sought after and this is what the Orion protocol (ORN) aims to do.

The protocol plans to offer its investor’s a variety of revenue streams. The Orion Liquidity Boost Plugin offers increased liquidity to its partners and has already onboarded Polkastarter and many other blockchain projects.

Orion’s Launchpad Liquidity has partnered with DAO Marker and DuckDAO, which will enable projects launch incubated projects on the launchpad’s own platform

Orion recently launched the staking calculator, allowing ORN token holders to calculate the staking rewards and attain APY’s of up to 38%.

After launching the first phase of the Orion Terminal’s mainnet on Dec. 15, the team plans to add several features like derivatives, leveraged ETFs, contract trading, NFTs, lending, margin trading and staking of any digital asset by 2021.

As more products are launched, the revenue is likely to increase and that may benefit ORN token holders.

ORN has been in a strong bull run this year. It rallied from $4.3014 on Feb. 8 to an intraday high at $15.20 today, a 253% rally in just over two weeks. As a result, the RSI has surged to above 91 levels, indicating the possibility of a short-term fall or a range-bound trading action.

*ORN/USDT daily chart. Source:* *TradingView*

The bears tried to stall the rally on Feb. 22 and Feb. 23, but the long tail and the positive closes of each day show that the bulls purchased the dips and resumed the rally.

However, today it looks as if traders booked profits and a retest of the 38.2% Fibonacci retracement level at $11.4379 is possible.

If the ORN/USD pair rises from this support level, it will indicate strong demand at lower levels. That could result in a retest of $15.20 and a breakout of this resistance may propel the pair to $20.

On the other hand, a break below $10.2759 could pull the price down to the 20-day EMA ($8.21). Such a deep fall could delay the next leg of the up-move.

DODO/USD

The DeFi space has been attracting investor attention in the past few months. However, the growing popularity has clogged the Ethereum network gas fees have soared to unsustainable levels. Therefore, traders are searching for options that are on competing networks and charge fewer fees. Binance Smart Chain has been one of the major beneficiaries of this trend.

DODO is a decentralized exchange that uses the Proactive Market Maker (PMM) algorithm, which the team claims is better than automated market makers. DODO offers several features such as trading, aggregation, initial DEX offerings, and mining.

DODO introduced Crowdpooling in January, and this feature aims to provide equal opportunity to investors by addressing the biggest issues being faced by new projects. If successful, Crowdpooling will help prevent frontrunning, insufficient liquidity, and the high costs associated with attracting liquidity. The first phase of the DODO V2 Beta crowdfunding pool called ‘ShuttleOne’ was a huge success as it was oversubscribed by 173 times.

DODO token was listed on Binance on Feb. 19 following the DODO V2 Public Beta launch on the Ethereum Mainnet and Binance Smart Chain on Feb. 22. There are also several incentive programs available on BSC.

DODO price rallied from an intraday low at $2.788 to an intraday high at $10 on Feb. 19. The token had strong listing gains but since then, the price has been in a corrective phase.

*DODO/USD 4-hour chart. Source:* *TradingView*

The bulls attempted to start a rebound off $3.50 on Feb. 23, but the bears continue to sell on minor rallies, indicating a negative sentiment. However, a minor positive is that the bulls have been defending the $4.50 level for some time.

If the price turns up from the current level and breaks above $5.660, the DODO/USD pair may rise to $7.50. This level is likely to act as a stiff resistance but if crossed, the pair could rally to $8.75 and then retest $10. The next leg of the uptrend may resume above this level.

Conversely, if the bears sink the price below $4.50, a drop to $3.50 is possible. The selling could intensify if the $3.50 to $2.788 support cracks.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Focus on DeFi ‘fairness’ benefits Holochain, Orion Protocol and Dodo

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Feb 25 2021

Chrome OS Now Second-Most Popular Desktop Operating System

For the first time in the annual desktop operating system market share reports, Chrome OS has passed macOS. According to 2020 numbers from market data firm IDC and a report on IDC’s data by publication GeekWire, Microsoft Windows still holds a commanding lead with more than 80 percent market share followed – for the first time – by Chrome OS with 10.8 percent and macOS with 7.5 percent.

As students in many communities have had to attend class virtually from home and their parents have had to do work remotely, too, PC sales jumped during the year. Chrome OS was a big part of that. The reality is, the COVID-19 pandemic has brought about exceptional shipment numbers for the notebook computer industry, with Chromebooks showing the most remarkable growth.

Increase Usage Means Increase Risk

Unfortunately, the door is open for attackers to potentially breach Chromebooks.

Chromebooks aren’t protected by traditional anti-virus solutions, unlike traditional desktops. The methods the “bad guys” use are the exact same methods they use to breach an Android or iOS device.

Meaning – for the school districts providing Chromebooks for remote education – students, teachers and administrators are facing the same privacy and security threats associated with laptops and mobile devices, without the same security measures.

And while mandated content filtering prevents students from accessing inappropriate websites from their Chromebooks – an outgoing risk – incoming risks perpetrated by predators or even fellow students are not being addressed.

These risks and threats include:

Bad WiFi: Loss of personal information, including grades and health data.
Phishing: Stolen credentials could be used to steal money or even compromise social media accounts.
Malicious App: Spyware and other malicious apps could expose data or deliver a device exploit.
OS Exploit: Cameras and microphones can be turned on, anytime day or night.
Risky App: Private information can be shared without any user knowledge or consent.

zIPS for Chromebooks

zIPS for Chromebooks is the first and only comprehensive, on-device, machine learning-based security solution for Chromebooks. Through the same machine learning-based technology that has been detecting and preventing attacks on millions of iOS and Android endpoints for years, zIPS for Chromebooks:

Identifies and blocks users from accessing phishing sites;
Detects malicious Wi-Fi networks and alerts users to disconnect from the network; and
Assesses all Android apps for undesired violations of privacy, or unsecure development practice.

zIPS for Chromebook’s on-device design also protects user privacy and provides local, continuous assessments of the endpoint. Additionally, administrators finally have centralized visibility into any attacks. Quick action and events can be correlated and viewed in external SIEM and data collection services.

For more information

To learn more about zIPS for Chromebooks, please contact us.

Chrome OS Now Second-Most Popular Desktop Operating System

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Feb 21 2021

Real Estate Investment Platform Fundrise Explains how Long-Term Net Return Is Most Appropriate Way to Measure their Performance for Investors

Fundrise, a real estate investment platform using Reg A+ to provide access to “eREITs and eFunds,” notes that it’s hard to imagine a single person or industry who may have been left untouched by the unprecedented events of 2020 (following the COVD-19 outbreak).

Fundrise is “no different,” the company acknowledged. While it has always been one of their “deepest-held” convictions that they need to make preparations for the unpredictable as though it were “inevitable,” the events of the past year were “beyond anything we could have imagined,” Fundrise admitted.

Because of these events, 2020 proved to be the “truest test to date” of the Fundrise platform, the “durability” of the business model they’ve developed, and the overall quality of our preparation, the company noted.

They also mentioned that at the end of the day, net return (over the long term) is “arguably the most appropriate way to measure our performance for investors, and given that last year saw the worst real estate downturn in over a decade, we are once again encouraged by the resilience of the portfolio.”

The company confirmed that the net Fundrise platform return was around +7.42% for the year, in comparison with about +20.95% for the stock market (as measured by the Vanguard Total Stock Market ETF) and -4.72% for publicly-traded REITs (as measured by the Vanguard Real Estate ETF).

The Fundrise team added that although they view these results as “further validation” of their direct-to-investor, “technology-enabled,” long-term approach, a single number “feels lacking in its ability to paint a full picture of all that transpired.” They also noted that as they take this time to reflect and evaluate their work, they’re hoping that by providing transparency into their decisions and actions, their investors stay well-informed and “clear-eyed” regarding what to expect from Fundrise moving forward.

The Fundrise 2019 year-end letter to investors (Jan 16, 2020) had noted that “some may call this approach too conservative, but our belief is that the investors who have achieved consistent success spanning multiple decades tend to spend more time protecting against the downside than they do regretting the upside they may have missed.”

Fundrise confirmed that they began the year in “awe” of a stock market that “seemed further and further disconnected from reality and concerned about what we felt was a general bubble forming across many different asset classes.” That’s why they’ve focused their attention on reminding investors of “what they could expect in the event of a sudden market downturn, as well as building out investment strategies” that they think are sustainable through “substantial near-term headwinds as a result of having strong long-term fundamentals.”

The Fundrise market report, published on February 12, 2021, noted:

“Similar to the stock market, the real estate industry was experiencing a K-shaped recovery where some asset classes, such as suburban apartments and industrial logistics facilities, were actually seeing increased demand due to the impact of the virus, as well as improved financing due to lower overall interest rates. Meanwhile, urban apartments, retail centers, office buildings, and hotels were all struggling to survive dramatic decreases in demand.”

The report continued:

“Unlike the stock market, distressed real estate assets were not ‘repricing’ — in other words they were not available for purchase at 30% less than their previous price. In fact, given that such assets would likely be priced lower by the market, most were not being offered for sale at all. Instead, as is logical, they were being held onto by their owners in a state of limbo as lenders and banks offered temporary forbearance.”

The report added that when faced with “fewer overall opportunities,” and in many instances assets that “arguably had yet to price in the impact of the pandemic on their operations, we chose to remain patient.” Fundrise also mentioned that they “generally held onto cash instead of deploying into overpriced assets,” and when they did actually engage in transactions, they mainly focused their acquisition efforts on those “same strategies” that they felt were well-positioned to “succeed over the long-term, regardless of near-term pricing inefficiency.”

While the 7.42% return recorded last year represents the weighted average performance of around 150,000 unique Fundrise investor accounts (as one figure), it “fails to capture the nuance of both what drove those returns, and how those returns were distributed across our increasingly large and diverse investor base,” the company explained.

They clarified:

“Our managed funds, which together make up the Fundrise portfolio, ended the year with approximately $265 million of cash on hand, which represents approximately 20% of the roughly $1.3 billion of collective equity. And while much of that is to be invested over the coming months (we ended the year with more than $350 million of deals under contract and expected to close during the first half of 2021), holding that amount of cash does serve to lower returns in the short run.”

The Fundrise report added:

“Although not representative or indicative of any actual or potential net performance for our investors, if one were to calculate the same income and appreciation earned from our real estate investments last year against a denominator which approximates historical cash levels, it would yield a hypothetical return much closer to our historical average platform performance.”

Fundrise notes that much of this success may be due to them consistently maintaining a “disciplined value” investment approach, led by their “most active strategy” of investing in affordably priced apartment communities in “growing cities throughout the Sunbelt.”

The Fundrise team concluded:

“In this coming decade, we believe that the application of technology will be transformative to real estate, one of the last old-line sectors still largely undisrupted. As a company built on the synthesis of real estate and technology, we believe we are uniquely positioned to help bring about that change, transforming operating costs, leveraging data more effectively, and challenging status quo practices — all for the benefit of our investors.”

Source

Feb 14 2021

Global Microlending Market Is Projected to be Valued at Over $340 Billion by 2027, with Funding Circle, Kabbage, Others as Key Players

The global micro-lending market is projected to reach a valuation of $343.84 billion by 2027, according to a new report.

The expected increase in adoption of microlending in developing countries may improve consumers’ lifestyle or standard of living. The anticipated shift from traditional lending to micro lending may reduce operational costs and lower market risks, the report noted.

Based on providers, the banking segment held the “major share” in 2019. By region, the market across the APAC area should remain “lucrative” during the forecast period (until 2027).

As mentioned in the report by Allied Market Research (AMR), the global microlending market was valued at around $134.35 billion in 2019 and is on track to surpass the $340 billion mark by 2027 (a CAGR of 12.6% from 2020 to 2027).

As noted in the report:

“High interest on small amounts and shorter repayment [schedules] … by micro lenders [could] restrain the growth to some extent. [But the] adoption of advanced technology in micro financing is projected to create lucrative opportunities in the near future.”

While highlighting some key developments, as they may relate to the Covid-19 outbreak, the report from AMR confirmed that the pandemic led to the shutdown of many micro and small businesses. This has negatively affected the global microlending market, the report added.

It also mentioned that the worldwide pandemic situation also “hampered the cash flow of several business operations, which in turn paved the way for lucrative opportunities for the frontrunners in the industry.”

The AMR report further noted that the Micro Finance Institute (MFI) segment may register the fastest CAGR of 14.0% from 2020 to 2027.

Based on end-users, the small enterprises’ segment represented almost 40% of the total market revenue during 2019 and is projected to grow steadily until 2027 (at least). Notably, the solo entrepreneurs or self-employed segment on track to record the fastest CAGR of 13.9% during the forecast period.

Based on geography, the APAC region generated the “major share” in 2019, garnering around “half of the global microlending market,” the report revealed. The same region is also expected to register the fastest CAGR of 13.0% by 2027. The other world regions analyzed in the report include North America, Europe, and Latin America.

Some of the key market players operating in the microlending industry include Accion International, BlueVine, Inc., Fundera, Inc., Funding Circle, Kabbage, Inc., Kiva, Lendio, LENDR, OnDeck, and StreetShares, Inc.

These industry players have adopted several key strategies such as forming strategic partnerships, expanding or diversifying their products, collaborating with other firms, and launching joint ventures.

As reported recently, New Delhi based SATYA MicroCapital, a microlending firm, secured over $21 million in additional funding.

As covered, Indonesia’s social security program provider, KMSB, has partnered with Logiq to offer microlending services to local residents.

Source

Feb 13 2021

$37.5 Million stolen from Alpha Finance in another DeFi attack

A recent report revealed that a hacker has succeeded in stealing $37.5 Million from Decentralized Finance (DeFi) projects Alpha Finance in a flash-loan attack.

Although many initially suspected that the vulnerability was found in Cream Finance, the latest finding showed that the exploit was visible in the Alpha Hormora V2 product.

This is not the first flash-loan attack, but it’s the largest ever. After the DeFi Cream Finance posted its details, indicating that the hack didn’t come from the protocol, Alpha finance posted an update on the Alpha Homora V2 as the origin of the exploit.

“Dear Alpha community, we’ve been notified of an exploit on Alpha Homora V2,” the Alpha project’s team stated.

Attack was perpetuated using a complicated process

The report about the attack revealed that it was executed by an experienced DeFi native due to the complex nature of the attack.

They borrowed sUSD using the Alpha Homora protocol, which also incorporates Cream. After borrowing the fund, they exchanged it for cySUSD by lending the funds back to Iron Bank.

In total, the perpetuators borrowed $5,647,242 worth of USDT, $3,997,921 worth of USDC, $4,263,139 worth of DAI, in addition to the 13,244 ETH borrowed.

With that, they were able to borrow the 13,244 ETH, $4,263,139 worth of DAI, $3,997,921 worth of USDC, and $5,647,242 worth of USDT. They carried out the entire transaction for 0.67 ETH, which is about $1,274.

An investigation into the incidence is ongoing

Alpha Finance has confirmed that investigation about the incident has already begun, and the vulnerability has been fixed to prevent further exploitation.

The project’s team also said it has a key suspect in mind, although no further detail was provided.

The team also announced that it has temporarily stopped borrowing from Alpha Hormora V2 until the situation is resolved.

The transaction notification on Etherscan showed that the bulk of the stolen funds was from a loan of 13,244 ETH.

Native tokens shed price

According to the report, the culprits seem to have sent 1,000 ETH to both Cream Finance deployer and Alpha Finance Lab deployer. They also seem to have sent some ETH through Tomato.cash, a privacy system that conceals the transaction history of Ethereum users.

Following the news about the hack, both native tokens have both dropped in prices, with Alpha more affected. As of the time of writing, the token is trading at $1.82, which is a 22% drop in price.

$37.5 Million stolen from Alpha Finance in another DeFi attack

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