Welcome to the second edition of our weekly series, where we detail the happenings in the world of crypto, from local and global lenses. For our African readers, an eventful last week came with the double whammy of Bitcoin dips and distressing news by troubled crypto exchange Patricia, which announced that users' funds trapped since May 2023 may not be available till 2028, five years later—and at no compensation for expected gains in crypto assets.
On the global scene, Hong Kong’s Hashkey becomes crypto’s latest unicorn and more US crypto firms escaping the SEC’s heat find a welcoming home in France.

Let’s get into the cryptoverse!

Patricia sells its five-year payment plan to disgruntled users - Africa

Cryptocurrency exchange Patricia has announced a repayment plan for its customers, extending between two to five years, citing "expectation management purposes." Despite claiming to have repaid 24% of its customers, reports suggest only a few have received payments. Customers, deprived of access to funds for over eight months, now face a potential wait of up to five years. Unusual payment criteria include a video testimonial requirement for confirmation. Patricia, which previously announced investor support and made claims about raising 90% of the required funds, faces scepticism amid reports of layoffs and financial challenges. As the police identify new suspects in a ₦142.8 million hack, customers express anxiety, urging the company for prompt resolutions.

Btrust Builders launches cohort to train African Bitcoin developers - Africa

Btrust Builders has launched its January 2024 fellowship cohort, which will train 55 selected participants in Bitcoin and Lightning development. The three-month paid program will address the representation gap in Bitcoin solutions within Africa. Following the Qala acquisition in 2023, this cohort promises a thoughtful experience where top performers have the opportunity to transition into open-source internships or lucrative Bitcoin application roles, solidifying a pathway to sustainable careers and boosting the continent’s prospects in providing Bitcoin-based solutions.

Crypto gets a new unicorn - Hong Kong

HashKey Group, the operator of a licensed Hong Kong crypto exchange, raised nearly $100 million last week and got into the unicorn caucus. The company—which is involved in trading, venture funding, and asset management in Hong Kong and Singapore—now boasts a valuation exceeding $1.2 billion. While details of investors remain undisclosed, sources suggest OKX Ventures, associated with the OKX digital-asset exchange, is a lead contributor. HashKey plans to use the funds to expand its web3 ecosystem and enhance licensed products in Hong Kong. Since launching its trading service for retail investors in August, HashKey Exchange has amassed over 155,000 registered users, marking its ascent in Hong Kong’s tensioned crypto market.

Trump says no to American CBDCs - US

Former President Donald Trump expressed strong opposition to the creation of a central bank-issued digital dollar, asserting it would grant the federal government excessive control over citizens' finances. During a campaign stop in New Hampshire, Trump vowed never to allow the development of such a currency, emphasizing the potential threat to individual financial autonomy. Conservatives, including Trump's rival Governor Ron DeSantis, have raised concerns about government surveillance facilitated by a digital dollar. While the Federal Reserve is studying the concept, no decision has been made, and any progression would require legislative and executive support, according to the central bank. Trump's stance aligns with his populist agenda, resonating with privacy-conscious voters.

Gemini goes to France - Europe

Gemini Trust, the crypto exchange founded by the Winklevoss twins, has registered as a digital asset service provider with the French financial markets regulator. This move comes as part of Gemini's strategy to extend its services in Europe, particularly in France, amid increasing regulatory scrutiny in the United States. The company plans to make its products available to both retail and institutional users across France in the coming weeks. Gemini's entry into France follows a trend of crypto firms seeking regulatory-friendly environments in Europe, with France becoming an attractive hub for crypto activities under President Emmanuel Macron's supportive stance toward web3 technologies.
A ‘true’ stablecoin lost its peg - Asia

TrueUSD (TUSD), the world’s fifth-largest stablecoin, de-pegged last week, falling as low as 97 US cents in the Asian market. TrueUSD, notably overshadowed by stablecoin giants Tether and USDC, saw its value decline from a peak of $3.7 billion in October last year. The incident underscores the occasional challenges faced by stablecoins in maintaining their pegs. USDC temporarily de-pegged in the US banking crisis last year. The collapse of the TerraUSD stablecoin in 2022 exacerbated a crypto-market rout.

Hong Kong, spot Bitcoin ETFs are coming! - Asia

A Hong Kong financial services company aims to start an exchange-traded fund investing directly in Bitcoin this quarter as the city continues efforts to develop a digital asset hub. Venture Smart Financial Holdings Ltd. said it plans to apply with the Securities and Futures Commission to start the ETF. The regulator last month issued guidelines for spot crypto fund approvals for the first time.

That's it for this week!

Weekly CryptoStat: CryptoCurrency Hacks Declined by Over 50% in 2023
Source; TRM Labs

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See you next week!