Coinone to Launch New Ethereum Reward Service

Uniswap Competitor Maverick Protocol Raises $9M in FundingMaverick Protocol, a Singapore-centric DeFi project which aims to disrupt Uniswap’s dominance, has announced a fresh capital funding round.On Wednesday, Maverick announced that it successfully raised $9 million in a seed funding round led by Founders Fund. Prominent participants in the round include Binance Labs, Coinbase Ventures, Pantera Capital, and Apollo Crypto.It’s not clear what Maverick’s current valuation stands at, and in discussion with Fortune, Alvin Xu, one of the co-founders of Maverick Protocol, refrained from disclosing that valuation.Photo by Towfiqu barbhuiya on Pexels“Surgical approach to DeFi”Joey Krug, a partner at Founders Fund, expressed confidence in Maverick’s potential to contribute to the growth of the DeFi industry through its “surgical approach to decentralized finance.” Krug added that “Maverick has quickly established itself as a hub for liquid staking token trading whilst having greater capital efficiency for liquidity providers.”The injection of capital into Maverick comes at a time when crypto enthusiasts are seeking alternative platforms for purchasing and exchanging tokens. This shift in interest was sparked by the Securities and Exchange Commission (SEC) in the United States filing lawsuits earlier this month against two prominent centralized crypto exchanges, Binance and Coinbase.Following the news of the lawsuits, both Binance and Coinbase experienced significant outflows of cryptocurrencies. Simultaneously, the trading volume on decentralized exchanges, which are characterized by their lack of central ownership, surged from $1.2 billion the day before the Binance lawsuit was filed to $3.1 billion on the day the suit was made public, according to data from DefiLlama. These events occurred during the early afternoon when the SEC unveiled its charges.Crypto industry OGAlvin Xu has been actively involved in the crypto industry since 2018 when he joined the Tron Foundation and subsequently BitTorrent. For a time, he worked at Ethereum-centric blockchain infrastructure firm, ConsenSys, contributing to the development of the MetaMask wallet.In 2021, Xu embarked on the creation of Maverick Protocol, an automated market maker. Typically, market makers like Citadel Securities play a crucial role in traditional finance, matching buy and sell orders for stocks. In the crypto realm, where trading operates 24/7, Uniswap has gained popularity as it automates market making for a wide range of tokens.Xu believes that his new protocol can challenge Uniswap’s dominant position, stating: “That’s definitely our goal.” However, he acknowledges the substantial advantage Uniswap holds as a first-mover in the crypto world.Since its launch in March, Maverick Protocol, currently employing nine individuals, has set its sights not only on competing with Uniswap and other automated market makers but also on surpassing centralized exchanges such as Binance and Coinbase. Xu acknowledges that achieving this goal will require time and further development, stating: “I think it’s still early.”Maverick Protocol’s recent funding round provides a strong boost to its ambitions, stoking further competition with market leader Uniswap, while playing a role in shaping the future of DeFi.

Korean Financial Regulator Reveals Crypto Accounting Guidelines to Prevent Inflated Company ValuationsThe Korean Financial Services Commission (FSC) has announced new regulations to address accounting uncertainties in the blockchain industry, according to local news outlet KBS News. The rapid growth of the industry and the increasing impact of cryptocurrency transactions on corporate accounting have resulted in confusion due to the lack of clear guidelines.Last month, the National Assembly’s plenary session passed the Virtual Asset User Protection Bill, emphasizing the need for improved regulation. In line with this development, the FSC has introduced practical guidelines and measures to resolve accounting uncertainties.The FSC has introduced two measures to achieve this goal: virtual asset accounting guidelines and mandatory disclosure of virtual assets in annotations within financial statements.Photo by Beatriz Pérez Moya on UnsplashAccounting guidelinesThe virtual asset accounting guidelines state that when an issuer sells virtual assets to a customer, they must fulfill all obligations, such as the sales process, in order to recognize it as revenue. Any costs incurred during the issuance of a virtual asset and the creation of its platform should be recognized as expenses, unless there is clear evidence that these activities specifically contribute to the development of the virtual asset. Additionally, any reserved virtual assets after issuance cannot be treated as assets on the company’s balance sheet. These guidelines aim to prevent companies from artificially inflating the value of their companies using virtual assets.When recognizing virtual assets as assets or liabilities, virtual asset service providers (VASPs) must consider the concept of economic control. Economic control refers to the entity’s authority to dispose of a virtual asset without needing customer authorization.Virtual assets in annotationsFurthermore, companies are obligated to disclose their virtual asset transactions and holdings in annotations to the financial statement. This requirement ensures that users of corporate accounting information have sufficient details. Public companies holding virtual assets for investment purposes must state the basis for classifying the assets as assets or liabilities. They must also provide the book and market values of their virtual assets in their financial statements.Companies that have created or issued virtual assets are required to provide comprehensive information about the quantity and characteristics of these assets. They must also explain their revenue recognition methodology in the event of asset sales. Companies must provide disclosure regarding the historical utilization of cryptocurrencies that have been issued but remain unsold. This disclosure includes various factors such as portfolios and volumes.VASPs must disclose the volume and market value of virtual assets entrusted to them by customers for each asset, regardless of whether these assets are recognized as assets or liabilities. VASPs also have to provide information about the level of protection measures they have implemented to mitigate risks such as hacking.The FSC expects that these measures will enable readers of financial statements to make meaningful comparisons between VASPs while ensuring the provision of reliable information.The accounting guidelines, after incorporating industry feedback, are expected to undergo deliberations and resolutions by both the accounting standards review committee and the Korean Securities and Futures Commission, as per local news outlet Kyunghyang Shinmun. Once the guidelines receive final approval, they will be promulgated and implemented immediately. This process is anticipated to take place between October and November.Meanwhile, the inclusion of virtual asset disclosures in the annotations of financial statements will be enforced next January.

Seoul Prosecutors to Establish Dedicated Division to Combat Crypto CrimesSeoul Southern District Prosecutors’ Office announced that by the end of this month, it will establish a specialized division dedicated to investigating cryptocurrency crimes, according to local news agency Yonhap. This move marks the introduction of the first-ever cryptocurrency-focused investigation organization within South Korea’s prosecution system.Photo by Markus Winkler on UnsplashInvestigation and legal analysisThe newly formed joint cryptocurrency investigation division will prioritize its efforts on combating various crypto-related crimes, including fraudulent activities. Furthermore, the division will examine legal documents to determine whether certain virtual assets constitute securities.This introduction of a specialized division by the public prosecution is expected to streamline and expedite ongoing investigations into cryptocurrency-related cases, demonstrating the authorities’ dedication to addressing the emerging challenges associated with illicit activities in the crypto sphere.Investor protection effortsSouth Korea has been ramping up its initiatives to safeguard crypto investors. Notably, last month, the National Assembly’s plenary session passed the Virtual Asset User Protection Bill, which is scheduled to take effect in July of next year. Further strengthening the protective framework, the Financial Services Commission (FSC) recently announced a plan to require companies to disclose their virtual asset holdings in the footnotes of financial statements.