CityLabs Secures 8.55% Stake in Gopax

Israel Doubles Down on Blocking Crypto Funding of HamasIn a move to disrupt the flow of funds to Hamas, Israeli authorities have ordered the closure of over 100 cryptocurrency accounts on Binance, the world’s largest crypto exchange.Photo by Leonid Altman on PexelsHeightened monitoring of crypto-related financingIsraeli authorities were already monitoring crypto accounts suspected of terrorism financing before the recent attack by the Palestinian militant group Hamas. Since then, they have requested information about hundreds of accounts on Binance, suggesting that the scale of their actions has grown significantly since October 7.A statement from Israeli police last week outlined that they had frozen crypto accounts related to financing of Hamas. According to a report on Tuesday by the Financial Times (FT), the Israeli authorities have taken matters further still, having closed more than one hundred accounts on Binance.Scrutinizing 200 additional accountsSources cited by the FT as being close to the situation have revealed that these actions were initiated in response to Hamas’s assault on October 7. Authorities have also sought information on approximately 200 additional crypto accounts, with most of them being held on Binance. While Binance has acknowledged blocking a “small number” of accounts since the summer, it emphasized its adherence to internationally recognized sanctions rules and declined to provide further comment.Governments and regulators have long expressed concerns that terrorist organizations might exploit lightly regulated crypto markets for financial transactions. However, the recent attacks on Israel and the subsequent crypto-based fundraising campaigns by Hamas have made these concerns more pressing.Tom Alexandrovich, the Executive Director at the Israel National Cyber Directorate, stated that cryptocurrency has become a major tool for terror financing during these times of conflict. He noted that the amount of crypto funds involved has significantly increased since the start of the attack.Tether freezes accountsTether, the issuer of leading US dollar stablecoin USDT, announced on Monday that it had frozen 32 addresses containing more than $873,000 due to their alleged links to “terrorism and warfare” in Israel and Ukraine. The exact timing of when these accounts were blocked and the distribution of assets between Israel and Ukraine were not disclosed.Notably, US financial regulators previously alleged that money held on Binance had ties to Hamas. A lawsuit by the Commodity Futures Trading Commission (CFTC) in the United States in March claimed that senior Binance executives had knowledge of “Hamas transactions” in 2019. Binance has refuted these allegations and expressed its intent to contest the lawsuit.Commentators within the crypto space fear that opponents of the development of crypto, like US Senator Elizabeth Warren, will try to capitalize on this issue by using the opportunity to further draconian regulation.Over the past two years, Israeli authorities have seized millions of shekels from crypto accounts with suspected ties to Hamas and other militant groups in the Middle East. A recent analysis by Elliptic found that crypto wallets associated with various suspicious Middle East groups have interacted and relied on the same crypto exchange services to convert crypto into sovereign currencies.

Korea’s Code Launches System to Detect Blacklisted Crypto WalletsCode, the only Travel Rule solution provider in South Korea, announced on Monday the launch of Protector, a detection system designed to identify blacklisted wallets in the cryptocurrency space. Established by a collaboration between three major Korean cryptocurrency exchanges (Bithumb, Coinone, and Korbit), Code aims to enhance security and compliance in the industry.Photo by Mariia Shalabaieva on UnsplashTravel RuleThe Travel Rule is a regulation that requires financial institutions to share information with each other about transactions to ensure their legitimacy and to prevent money laundering, terrorist financing, and other illicit activities.Wallet risk assessmentsThe Protector system of Code allows its members to assess risks associated with external wallets and take appropriate measures during the withdrawal and deposit of virtual assets. Risks will be categorized into three levels, represented by the colors white, gray, and black. A white designation signifies a normal status, gray serves as a warning, and black indicates a danger.Not only does Protector enable members to manage risks linked to crypto wallets more effectively, it also allows them to monitor the management status of Code’s Travel Rule.Streamlining regulatory complianceCode CEO Lee Sung-mi stated that the recently launched Protector system is designed to streamline regulatory compliance for Code members. By utilizing Protector, members can concentrate on their projects without being burdened by compliance concerns. Lee also emphasized that Code is committed to expanding its range of services for members in the future.The detection system was developed and is operated in partnership with Uppsala Security, a Singapore-based cybersecurity company specializing in blockchain-powered solutions.

UK-headquartered decentralized mobile network project World Mobile has teamed up with PT Professional Telekomunikasi Indonesia, better known as Protelindo, to launch a blockchain-based 5G mobile network. Founded in 2003, Protelindo is an Indonesian digital infrastructure firm that specializes in fiber optic networks and telecommunications towers. It owns and operates a large network of these towers in Indonesia, leasing them out to various mobile service operators.  The two firms acquired Combined Space Technologies (CST) earlier this year as a joint venture. CST had been originally founded in Cambridge in the UK, backed by Deutsche Telekom to the tune of $70 million. Successful demos of its proprietary technology had been completed in conjunction with British Telecom (BT) and Deutsche Telekom before World Mobile and Protelindo decided to purchase the company.Photo by Alessio Soggetti on UnsplashWorld Mobile StratosphericIn a press release published on Aug. 8, World Mobile outlined that through CST, the two companies have launched World Mobile Stratospheric.  World Mobile asserts that the establishment of this stratospheric connectivity platform is “unprecedented.” The project implicates the use of fixed-wing drone aircraft, which it proposes to use to host 500,000 simultaneous 5G handset connections while flying at altitudes of up to 20,000 meters. World Mobile Group Chief Business Officer (CBO), Charles Barnett, told Cointelegraph that each drone can provide wireless network coverage over an area of 15,000 square kilometers. Each aircraft will host 450 individually steerable beams in order to deliver the service within a defined geographical area. Low latencyBarnett outlined that the technology can achieve just six milliseconds of total latency with the service having the capability of providing 5G service up to 18 times cheaper per gigabyte by comparison with other similar technologies. It’s thought that the service will compete with space/satellite-based telecoms systems such as Elon Musk’s Starlink. While Starlink has brought internet to corners of the globe that were otherwise underserved, it has been criticized in terms of its interference with astronomy, increased space debris and the potential for atmospheric pollution. Additionally, the low-earth orbit (LEO) satellite-based service has much higher overheads. In comparison with World Mobile Stratopheric’s six millisecond latency, Starlink is much higher at 47 milliseconds. The system delivers directly to the consumer’s device, whereas Starlink is delivered to a satellite dish with significant cost implications for the user. Stratomast, the hydrogen-powered drone aircraft, can stay up for between six and nine days and produces zero emissions. While Starlink and World Mobile Stratospheric may compete, Barnett believes that Starlink is the better choice when delivering service to remote areas that lack any cellular connectivity at all, whereas Stratospheric is the best option in areas with a higher density of mobile users. Micky Watkins, CEO of World Mobile, said that the partnership proves how blockchain can unlock new models for global connectivity. He added:“It aligns infrastructure deployment with community participation and makes decentralized telecom not just possible, but scalable.” Watkins believes that by combining advanced aerospace technology with token-driven economics, the project is building a network that connects more people, faster, in an economically efficient and environmentally sound manner.