NFT Recur Closure & Crypto News

NFT enterprise Recur ceases operations despite securing $50M funding

Recur, a platform specializing in nonfungible tokens (NFTs), has made the difficult decision to shut down its operations, marking a significant shift from its much-anticipated launch less than 24 months ago.

The company, in its announcement on August 18th, attributed this decision to the formidable challenges posed by the evolving business landscape:

"Unforeseen hurdles and shifts within the corporate environment have created insurmountable obstacles in our pursuit of delivering the standard of excellence and commitment we have always been dedicated to," the statement read.

Today, with heavy hearts, we must share some difficult news.

After much contemplation and consideration, we’ve decided to deprecate the RECUR platform, effective November 16, 2023.

Learn more: https://t.co/5NbiTQSAGo

— RECUR (@RecurForever) August 18, 2023

Data compiled by Dune Analytics illustrates a substantial decline in NFT trading volumes across the spectrum throughout 2023.

Recur stated that all dealings on both primary and secondary markets will be deactivated by August 31st. The remaining functionalities of their website, encompassing NFT withdrawals and conversions to USD Coin (USDC), will cease by November 16th.

To ensure continued access to NFTs, Recur advised users to migrate their holdings to self-custodied wallets before the specified deadline.

Originating amidst the NFT boom in 2021, Recur had managed to secure a substantial $50 million through a Series A funding round by September 2021, valuing the firm at $333 million at that juncture.

Apart from the widely recognized Ethereum co-founder Joe Lubin, prominent American entrepreneurs such as Cameron and Tyler Winklevoss and Gary Vaynerchuk had also invested significantly in the platform.

Mark Cuban criticizes OpenSea's call to abandon creator royalty fees

Mark Cuban, a distinguished American billionaire and an investor on the reality show "Shark Tank," has voiced his disapproval of OpenSea's recent resolution to discontinue enforcing creator royalty fees across diverse platforms.

OpenSea's announcement on August 17th unveiled their decision to deactivate the Operator Filter feature, which had empowered creators to blacklist NFT marketplaces that were lax on royalty fees. This change would take effect on August 31st, adopting a more "optional" model.

In a statement posted on August 18th, Cuban, an existing investor in OpenSea, expressed his belief that this decision was a "MAJOR error" and predicted a twofold impact on both OpenSea and the broader industry:

Not collecting and paying royalties on NFT sales is a HUGE mistake by @opensea. It diminished trust in the platform and hurts the industry. And I say this as an @opensea investor @DevinFinzer

— Mark Cuban (@mcuban) August 18, 2023

"Contrary to assertions that OpenSea's move was necessary to sustain its market dominance, Cuban countered that an optional royalty approach would stifle prospective NFT applications that extended beyond mere collectibles."

Devin Finzer, OpenSea's CEO, acknowledged that the on-chain royalty enforcement tool hadn't produced the desired outcomes due to competitor platforms such as Blur, Dew, and LooksRare circumventing the Operator Filter by integrating the Seaport Protocol. This allowed them to bypass OpenSea's blacklist and evade creator fees.

Numerous members of the NFT community interpreted this decision as potentially detrimental to NFT artists who sought to establish passive income streams.

Bitcoin miner suspends operations in Kazakhstan; stocks plummet 12%

Canaan, a notable Bitcoin mining company, has confirmed the temporary suspension of two exahashes (EH/s) of computational power in Kazakhstan to adhere to the nation's evolving regulatory framework.

In April, Kazakhstan's Ministry of Digital Development, Innovations, and Aerospace Industry introduced more stringent regulations, compelling Canaan to initiate the shutdown of mining rigs during the third quarter, according to an August 18th report from Cision.

Prospective miners are now required to obtain a specialized license as per the guidelines outlined in Kazakhstan's Digital Assets in the Republic of Kazakhstan. Canaan is reportedly in the process of securing a Type II license.

The China-based Bitcoin miner acknowledged the probable impact of this decision on its Bitcoin production and revenue, primarily stemming from decreased operational uptime.

According to Google Finance, Canaan's share price saw a decline of over 12.3% on August 18th, closing at $2.06.

In late July, Canaan sold 2,000 new A1346 Bitcoin miners to Stronghold, a fellow mining enterprise, for a sum approximating $3 million.

Fraudster drains $226K through phishing scam targeting friend.tech token

The emergence of friend.tech, a novel decentralized social media platform, attracted an unscrupulous actor who exploited the situation by generating a counterfeit friend.tech token, deceiving investors and illicitly amassing approximately $226,000 or 135 Ether (ETH).

CertiK, a blockchain security firm, disseminated details of this exploit on August 19th, outlining the large liquidity drain as the modus operandi of the exit scam.

#CertiKSkynetAlert ????

We have detected a large liquidity removal on a fake Friend Tech token.

ETH: 0x2cf82a3Ad32AA580110278022a6493b631044beF

The deployer gained 135 ETH (~$226.5k).

Not to be confused with legitimate projects.

Read more below:https://t.co/MciIPYFVdD

— CertiK Alert (@CertiKAlert) August 19, 2023

Following CertiK's lead, various experts in the field issued advisories, cautioning their followers against falling victim to this deceitful ploy masquerading as a legitimate venture.

❤️????????????

Do not buy the fake Friend Tech tokens listed on BASE.

They are all honey pots, and they are rugging.

The liquidity is all scam insiders and thieves.

They faked the volume with buy/sell bots

⚠️ pic.twitter.com/85MpQppPkP

— yourfriendSOMMI ❤️???????????? (@yourfriendSOMMI) August 21, 2023

The authentic friend tech protocol was unveiled on August 11th. Within just eight days, the platform managed to accumulate more than $1 million in fees, surpassing the comparable metrics of the Bitcoin network and Uniswap.

Nevertheless, certain commentators in the cryptocurrency realm predict that the protocol's buzz will persist for another six to eight weeks before tapering off.

Let me tell you one thing.

Something isn’t right about @friendtech.

???? Creators making money from a group chat that doesn’t even work when you can’t even reply directly to people?

???? The way pricing works is ridiculous and can be easily taken advantage of.

???? Pumps and dumps. pic.twitter.com/TJqcktEM6P

— Yazan (@YazanXBT) August 20, 2023

Built on Coinbase's layer-2 infrastructure, friend tech serves as a platform enabling users to acquire shares of friends and influencers. This investment affords them access to private chats with the designated user.

Additional headlines

Sources suggest that the U.S. securities regulatory body is poised to grant approval for multiple Ether futures Exchange-Traded Funds (ETFs) concurrently. This move, reported by The Wall Street Journal, follows indications that approximately 16 financial firms are awaiting regulatory endorsement, as the agency prepares to accept applications.

Tragedy struck on August 18th, as Cheems Balltze, a beloved figure in the online sphere, passed away after battling cancer. Though not the official mascot of the Shiba Inu (SHIB) or Dogecoin (DOGE) cryptocurrencies, the news elicited condolences from both cryptocurrency communities and admirers of internet memes, including the Dogecoin Foundation.