Encryption Morning Report: Hashkey and several other institutions donate to support Hong Kong, Upbit suffers a Hacker attack.

Author: Shenchao TechFlow

Market Dynamics Yesterday

Multiple organizations donated to Hong Kong to support fire rescue and reconstruction efforts.

According to official news, HashKey Group announced an emergency donation of HKD 10 million to support the emergency assistance for the Tai Po fire in Hong Kong and the resettlement of affected residents. HashKey Group stated: “We extend our highest respect to the rescue personnel on the front lines and will continue to monitor the disaster situation, doing our utmost to assist our affected compatriots through this difficult time. We pray for safety.”

OKX announced a donation of 10 million HKD to support local emergency relief and post-disaster recovery efforts.

Binance announced that it will donate 10 million Hong Kong dollars to Hong Kong to support disaster relief and subsequent reconstruction efforts. Binance stated that it will donate to the disaster-stricken areas through relevant channels, supporting residents of Hong Fu Garden in rebuilding their homes. Binance also expressed condolences to all the affected people in Tai Po.

Avenir Group and its charitable foundation Avenir Foundation announced a donation of 10 million HKD to support emergency relief, housing for affected residents, and community recovery efforts following the fire in Tai Po District. Avenir Group expresses deep concern regarding this incident and pays tribute to the firefighters, ambulance personnel, and discipline forces involved in the rescue efforts. The relevant donations will be used to provide immediate support needed, including basic living supplies, temporary accommodation arrangements, and subsequent community reconstruction assistance, with the hope of bringing tangible aid to the affected families and helping the community return to normalcy as soon as possible.

Upbit disclosed that it was attacked, with approximately 54 billion won worth of tokens transferred to an unknown wallet.

According to official disclosures, the South Korean cryptocurrency exchange Upbit detected unusual withdrawal activity at 4:42 AM on November 27, with approximately 54 billion won (about 36 million USD) of Solana network-related digital assets being transferred to an unknown external wallet address.

Upbit stated that it will fully compensate users for losses using its own assets, ensuring that user assets are not affected. The exchange is currently undergoing a security check, and deposit and withdrawal services are temporarily closed.

The Uniswap “UNIfication” proposal has passed the preliminary vote with an overwhelming majority, launching a $15.5 million bug bounty program.

According to The Block, Uniswap's “UNIfication” governance proposal has received support from over 63 million UNI tokens in the preliminary Snapshot vote, with almost no opposition. The proposal aims to unify Uniswap Labs and the Uniswap Foundation under a coordinated governance framework while activating a protocol-level fee mechanism. Currently, a $15.5 million Cantina bug bounty program has been launched, covering the new fee switch smart contract in preparation for a full on-chain vote expected next week.

Bitwise updates its spot Avalanche ETF application documents, intending to add a staking feature.

According to CoinDesk, Bitwise has updated its application documents for the spot Avalanche ETF with the U.S. Securities and Exchange Commission (SEC), changing the code for the Avalanche ETF to BAVA and setting the management fee rate at 0.34%, which is relatively low compared to similar products.

The updated S-1 filing shows that the fund will allow staking up to 70% of AVAX holdings to earn additional tokens under Avalanche's proof-of-stake mechanism. Bitwise plans to take 12% of the staking rewards as fees, with the remainder going to shareholders.

Wormhole: The foundation has purchased $5 million worth of W tokens, which are included in the balance sheet.

Wormhole announced on social media that the foundation has purchased 5 million dollars worth of W tokens, to be included in the balance sheet.

Balancer DAO is discussing the distribution plan for the $8 million in assets recovered from the hacking incident.

According to CoinDesk, Balancer DAO has begun discussions on a plan to allocate approximately $8 million in recovered assets to affected liquidity providers.

These funds were quickly recovered by white hat hackers and internal teams after the attack occurred. According to a draft released by DAO contributor Xeonus, the plan includes structured payments to white hat hackers as well as a user compensation mechanism based on snapshot data of pool holdings at the time of the attack.

In addition to the 8 million dollars redistributed through the DAO, another 19.7 million dollars of osETH and osGNO was recovered by the white hat hacker StakeWise, which will be handled separately. Furthermore, 4.1 million dollars recovered internally in collaboration with Certora does not meet the bounty conditions due to a prior agreement.

According to previous reports, the protocol was attacked on November 3, resulting in losses exceeding 110 million dollars.

Bubblemaps accuses Edel Finance of “sniping” 30% of the supply during the token issuance, the co-founder denies the allegations.

According to blockchain analysis platform Bubblemaps, the decentralized lending protocol Edel Finance “sniped” (purchased) 30% of the EDEL token supply during its token issuance earlier this month, worth approximately $11 million.

Bubblemaps indicates that around 160 wallets obtained these tokens through coordinated strategies, with funds sourced from centralized exchanges, utilizing automated trading methods consistent with “sniping.” The platform points out that these wallets structured their funds through multiple layers of new wallets, with half of the purchased tokens distributed to 100 secondary wallets.

In response, James Sherborne, co-founder of Edel Finance, stated that the team plans to acquire approximately 60% of the token supply and lock it in a token release contract, in accordance with the project documentation. However, Bubblemaps questions this explanation, arguing that if the project team is sincere, they should pre-allocate the supply based on the tokenomics.

The Mantle network has launched the USDT0 cross-chain stablecoin service, enabling seamless circulation in the EVM ecosystem.

The Mantle network announced today that USDT0 has officially been launched on its platform, enabling smooth circulation across the EVM ecosystem through unified native USDT liquidity. This service eliminates the need for wrapping, removes liquidity fragmentation, and reduces trading friction.

Mantle has partnered with Bybit to become the first cross-border frictionless stablecoin standard network driven by an exchange system. Users can enjoy the capability of seamless cross-chain transfers and settlement of USDT on the platform, as well as native support for full-chain level stablecoin DeFi construction.

This network provides high-speed, low-cost, institutional-grade infrastructure, preparing for large-scale DeFi and RWA scenarios, further promoting capital efficiency in the on-chain economy and laying the foundation for the next stage of on-chain financial development.

Lido proposes a new development plan: shifting from a single staking product to a diversified DeFi platform.

According to the official announcement, the Lido protocol has released a new forum proposal outlining the development plan for transitioning from a single product staking service to a broader DeFi product portfolio.

The proposal includes four core strategies:

Expand the staking ecosystem: With Lido V3, stVaults transforms staking into a modular infrastructure aimed at integrators, node operators, custodians, and large allocators;

Protocol Elastic Upgrade: Introduction of the ValMart Validator Market, dynamically allocating stakes based on performance, cost, and decentralization to enhance DAO revenue and strengthen risk management.

Expand Lido Earn: cover DeFi advanced users, re-stakers, stablecoin holders, passive income earners, and on-chain treasury managers;

Vertical expansion and actual commercial applications proceed synchronously: small-scale trials + a single large bet, connecting on-chain and off-chain economic activities.

The proposal sets a three-year vision: to view staking as a mature and profitable product line rather than the entire business, to vertically build to capture more value, to horizontally expand into stablecoins and new asset classes, and to position Lido as a leading DeFi platform. Throughout the transformation process, core principles such as prioritizing security, measurable impact, and iterative validation will be maintained.

YZi Labs submitted a preliminary consent statement to the SEC, seeking to expand the board of directors of CEA Industries and elect additional directors.

According to YZi Labs, the company has submitted a preliminary consent statement to the U.S. Securities and Exchange Commission, seeking written consent from shareholders to increase the size of the board of directors of CEA Industries Inc. (NASDAQ: BNC) and to elect additional directors.

As a shareholder of BNC, YZi Labs stated that despite BNC completing a $500 million PIPE financing this summer and the significant rise in the price of its main asset BNB, the company's performance has still not met expectations.

Ella Zhang, the head of YZi Labs, stated that BNC's poor performance is directly attributed to ineffective strategic execution, insufficient communication with investors, and a lack of effective oversight. The company also expressed concerns about BNC's delays in submitting key SEC documents, the lack of updates for investors regarding digital asset inventory and net asset value, as well as the ongoing confusion among investors regarding the company's identity and strategy.

Naver and Dunamu plan to invest $6.8 billion to develop AI and blockchain technology.

According to a report by Theblock, South Korean internet portal giant Naver and Upbit's parent company Dunamu plan to invest 100 trillion won (approximately 6.8 billion USD) over the next five years to build next-generation financial infrastructure based on artificial intelligence and blockchain technology.

At the joint press conference held on Thursday, Dunamu President Song Chi-hyung stated that a “new global framework” covering payment settlement and the entire financial sector will be established. Naver CEO Choi Soo-yeon mentioned that the company sees new opportunities at the intersection of blockchain adoption and AI transformation.

Previously, NAVER officially announced that it would acquire 100% of Dunamu's shares through a share exchange.

Market Dynamics

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