News of the Week

😮 Coinbase Announces Plans to List Additional Assets

Coinbase is the most conservative exchange in cryptoland, largely because it operates in the U.S. under the watchful eye of the SEC. The $8 billion-valued company trades fewer than ten cryptocurrencies to consumers but on Friday it announced a major expansion that could see it list up to 30 new assets. The crypto community reacted strongly to this announcement as some of the assets listed are dubious at best.

The trading-related revenues of exchanges are down as much as 50 percent over recent months and, while the numbers for Coinbase aren’t clear, there’s no doubt that its revenue is taking a big hit during this ‘crypto winter.’ That makes it easy to argue that Coinbase is widening its selection to increase potential volumes and, in turn, its revenue — particularly since it just raised $300 million from investors at a massive $8 billion valuation.

🤔 ConsenSys Undergoing Major Strategy Shift

ConsenSys is reorganizing. The company, which is working to build an internet of decentralized applications on the Ethereum blockchain, has entered a new phase called ConsenSys 2.0, which its leadership says will be marked by greater efficiency, accountability, and attention to revenue. Underperforming projects will get the axe, and the arm of ConsenSys that oversees venture investment will become more like a traditional startup accelerator.

The crypto boom of 2017 led to an astonishing hiring rate at ConsenSys: Since February, the company’s workforce has doubled to more than 1,100 people, spread across 29 countries. Much of that growth was funded by Lubin himself, who is said to be the world’s single largest holder of ether.

ConsenSys will initially lay-off 13% of its workforce with more job cuts in the future likely.

⚖️ SEC Delays ETF Decision, Again

The U.S. Securities and Exchange Commission (SEC) extended a rule change proposal allowing the nation’s first bitcoin exchange-traded fund (ETF), pushing the decision deadline to next year.

In a notice posted online, the securities regulator said it was extending the review period for the ETF to Feb. 27, 2019. The proposal was first submitted by money manager VanEck and blockchain startup SolidX, who partnered with the Cboe exchange earlier this year.

Under SEC rules, a decision on the proposal cannot be delayed any further, meaning the next notice must either approve or reject the ETF.

💰 Fidelity, Bitmain Lead Investment into ErisX

Crypto trading platform ErisX has closed a Series B funding round that raised $27.5 million, the company said Tuesday.

Bitmain, ConsenSys, Fidelity Investments, Nasdaq Ventures and Monex Group participated in the funding round, investing in the new derivatives and digital asset trading platform for the first time. ErisX, which is being built by derivatives market provider Eris Exchange, was previously announced as a platform for trading a number of cryptocurrencies, as well as bitcoin futures.

CEO Thomas Chippas said in a statement that the funding would go towards building up the platform, as well as growing the ErisX team.

👋 Ryan Zurrer Let Go by Polychain

Ryan Zurrer, a founding principal at $1 billion crypto-investment fund Polychain Capital was let go by the firm in recent months. Moving forward, Zurrer has chosen to advise firms, including Polkadot, a Polychain-backed blockchain project. His advisorship is bolstered by an existing role as a Web3 Foundation Council member.

Zurrer joined Polychain in 2016, according to Crunchbase. He left a considerable footprint as the chief “architect” of the Simple Agreement for Future Tokens (SAFTs) contracts, which promises future rights to unreleased tokens.

Zurrer is also now working closely with Commonwealth Labs, a California-based governance-for-blockchain startup he advised while at Polychain. Zurrer has since reconnected with Commonwealth.and has independently helped them secure key contracts, as well as personally investing in the project.