• Blockchain security firm PeckShield has uncovered a new crypto scam impersonating ChatGPT.
• The scam tokens are honeypots and have high sell taxes, leading to losses of nearly 100% for investors.
• Microsoft announced the launch of an AI-powered Bing search engine that is more powerful than ChatGPT.
New Crypto Scam Impersonating ChatGPT
Blockchain security firm PeckShield has discovered a number of cryptocurrency scams designed to take advantage of the popularity of the ChatGPT AI chatbot. According to PeckShield’s tweet, some of these tokens appear to be honeypots with high sales tax, resulting in losses of up to 100%.
What Are Honeypots?
A honeypot is a type of scam whereby malicious actors create fake crypto wallets in order to attract victims into investing or trading. The scammers often pose as legitimate businesses or organizations, promising services or rewards in exchange for cryptocurrency.
High Sales Taxes
Many legitimate projects use sales tax as a way to incentivize long-term holding and reward token holders. However, fraudulent projects often set their sales taxes at 100% in order to steal money from unsuspecting users. Two out of the three identified tokens had already dropped by almost 100%, while another one fell by 65%.
Microsoft Launches Bing Search Engine
Earlier this month, Microsoft announced the launch of an all-new AI-powered Bing search engine that utilizes OpenAI’s large language model – making it more powerful than ChatGPT. This has only further increased interest in the chatbot craze and led to even more scams trying to capitalize on its popularity; according to DEXTools, there are 175 coins called ‘ChatGPT’ issued on several different blockchains like BNB Chain, Ethereum, Arbitrum etc., showing hundreds of thousands dollars in trading volume.
It is important for investors to do their due diligence before investing any money into cryptocurrencies – no matter how promising they may seem – and always be aware that there are malicious actors who will go out of their way trying to take advantage of them.
• The Central Bank of the UAE (CBUAE) launched the Financial Infrastructure Transformation (FIT) program to facilitate digital transformation in the financial sector.
• The International Monetary Fund (IMF) issued a warning to El Salvador regarding the risks associated with Bitcoin adoption.
• The news is positive for Bitcoin, as it could boost its security and operational resilience while also improving customer experience.
CBUAE Launches FIT Initiative
The Central Bank of the United Arab Emirates (CBUAE) has introduced a Financial Infrastructure Transformation (FIT) program to facilitate digital transformation in the financial sector. This program will be rolled out in phases, beginning with various digital payment infrastructures and services. Additionally, this initiative will expand to include data management and regulation related digital infrastructures, which will help improve security, operational resilience and customer experience while reducing operating costs and enhancing regulatory compliance.
IMF Issues Warning To El Salvador
The International Monetary Fund (IMF) released a caution declaration following its recent visit to El Salvador where it contacted country’s financial representatives about the potential risks associated with Bitcoin adoption. The IMF warned that El Salvador should address any potential legal, technical or macroeconomic challenges before proceeding with any plans for widespread adoption of cryptocurrencies.
Positive News For Bitcoin
The news from CBUAE and IMF is positive for Bitcoin as it could boost its security and operational resilience while also improving customer experience. Additionally, more widespread implementation of cryptocurrencies would increase consumer confidence in digital assets as well as providing more avenues for investors to diversify their portfolios into crypto investments without worrying too much about volatility or lack of liquidity on some exchanges.
Death Cross & Price Prediction
On February 13th BTC/USD started trading at $21,796 but has moved between a high of $21,902 and low of $21,444 losing 6% over last week ending on February 12th forming its first-ever “death cross” pattern which many analysts think signals bearishness ahead. Although there is no way to know exactly how BTC/USD will react due to this new formation it goes without saying that prices may drop further given current market conditions so caution is advised when investing in cryptocurrency at this time.
Overall it can be concluded that despite short-term bearishness signaled by BTC/USD’s first-ever “death cross” pattern long term prospects remain bright given initiatives like FIT being implemented by CBUAE which aim to promote digital transactions as well as warnings by IMF addressing potential risks associated with cryptocurrency adoption such as legal challenges or macroeconomic instability which could impact prices drastically if not properly addressed upfront.
• Bitcoin neared its seventh “golden cross” in 10 years, whales discussed potential altcoins, and crypto assets under management surged 36.7%.
• Ethereum developers launched the Zhejiang testnet, Mike Novogratz endorsed Binance and a Premier League backed Sorare’s NFT fantasy football game.
• Changsha accepted digital yuan payments, frauds like BonqDAO lost $120 million and US Senators demanded answers from Silvergate over FTX’s misuse of customer funds.
Bitcoin Market Activity
This week in crypto saw Bitcoin nearing its seventh “golden cross” in 10 years, with analysts discussing which altcoins had huge potential for the future of the crypto world. Crypto assets under management surged by 36.7% in January and Grayscale’s situation remained delicate. Ark Invest CEO Cathie Wood also stood by her thesis that bitcoin would hit $500,000 by 2030.
Ethereum developers launched the “Zhejiang” testnet and Mike Novogratz endorsed Binance and urged success for CEO CZ. The first-ever NFT and metaverse assets-focused ETF announced closure due to market conditions, while Rally announced the closure of its sidechain operations due to a lack of funding. However, Premier League ignored the crypto chaos and backed Sorare’s NFT fantasy football game.
Over 300,000 stores and vendors in Changsha, China now accept digital yuan payments while India’s largest retailer Reliance Retail announced plans to accept payments in the digital rupee.
BonqDAO lost $120 million in a hack while CertiK revealed two individuals behind a several-million-dollar heavy scam. A Canadian man allegedly lost his home and his entire life savings after falling victim to a crypto scam; South Korean police were probing an $8 million dollar crypto scam; North Korean hackers finished laundering 17,278 ETH valued at over $27 million; and US said that crypto industry security vulnerabilities allowed North Korean hackers to steal more than $1 billion dollars over two years.
Silvergate & FTX Relations
US senators demanded answers from Silvergate over FTX’s misuse of customer funds; Australian regulators probed FTX before its collapse; Sam Bankman-Fried requested to meet with new FTX CEO John Ray; a South Korean ministry; local law firm; Samsung affiliate included on creditor list; Grayscale sued by Osprey Funds over how it promotes Grayscale Bitcoin Trust Fund; Coinbase won legal battle related to lawsuit by clients alleging platform facilitated sale of unregistered securities