Genesis filed for bankruptcy, citing 3AC and FTX collapse as the culprit
The company will use $150 million in its cash on hand to finance the “restructuring process”
Genesis reportedly owes $3.5 billion to its top 50 creditors alone
The collapse of the FTX crypto exchange sealed Genesis’ fate
Genesis, a cryptocurrency lending and trading platform, filed for Chapter 11 bankruptcy on Thursday. According to a press release, the company is planning to restructure its business to “maximize value for all clients and stakeholders.”
Genesis’ parent company Digital Currency Group (DCG) has reportedly been in contact with creditors for some time before the bankruptcy process officially started, trying to reach a “holistic solution” that would be an “optimal outcome” for Genesis clients and Gemini Earn users.
Genesis outlined its path forward in the following statement:
“As part of its Chapter 11 filing, Genesis has proposed a roadmap to an exit including a Chapter 11 plan (the “plan”) that calls for a framework for a global resolution of all claims through, and the creation of, a trust that will distribute assets to creditors.”
“The plan contemplates a dual track process in pursuit of a sale, capital raise and/or equitization transaction that would enable the business to emerge under new ownership,” added Genesis.
The reason for the bankruptcy is rooted in the “extraordinary challenges” the company faced in recent months. First came the insolvency of the cryptocurrency hedge fund Three Arrows Capital, which put a considerable dent in Genesis’ financial standing. However, the final nail in the coffin was the bankruptcy of FTX, according to the press release.
At the time of the filing, the company had $150 million in cash on hand, which it plans to use to finance the “restructuring process”.
According to the bankruptcy filing, the total assets and liabilities between Genesis and its subsidiaries are estimated between $1 billion and $10 billion. Following the filing, Coinbase reported that Genesis owes as much as $3.5 billion to its top 50 creditors alone.
The Polygon blockchain underwent a hard fork on Tuesday aimed at alleviating gas spikes that come from sudden increases in transaction volume. The upgrade was first proposed last week in a blog post by the Polygon team, which outlined the coming changes.
Key takeaways:
The team’s goal was to smooth out spikes that occur during surges of high demand to “ensure a more seamless experience when interacting with the chain.” See the projected gas spike chart after the upgrade below.
In addition, the upgrade addressed “reorgs,” which are chain reorganizations that occur when a block is deleted from the blockchain to make room for a longer chain. This was achieved by decreasing the spring length from 64 to 16 blocks.
From a technical standpoint, the improvements in chain performance were achieved by decreasing sprint length (as mentioned) and by doubling the denominator value from 8 to 16. Overall, the upgrade has decreased block production from 128 seconds to 32 seconds.
Gas spikes occur primarily due to transaction-intensive decentralized applications (dApps), such as blockchain games and applications that leverage non-fungible tokens (NFTs).
According to the official post, the changes will not make any difference to the current system of Proof-of-Stake (PoS) rewards.
At press time, Polygon’s native MATIC token was trading at $0.944, up 6.6% from over the past seven days.
The severity and frequency of gas spikes are expected to flatten considerably post-upgrade. Source
BlockchainSpace CEO and Founder Peter Ing, Metasports CBO and Co-Founder Lars Hernandez, and Metasports CEO and Co-Founder Joe Josue are optimistic that the majority acquisition of Metasports will make waves in Web3 and bring great value to their stakeholders in the coming years.
BlockchainSpace (BSPC), the leading data aggregator and infrastructure provider for guilds and Web3 projects, is confident that 2023 will be a banner year following the majority acquisition of Intellectual Property (IP) House, Metasports.
Peter Ing, Chief Executive Officer and Founder of BSPC, believes the synergistic partnership with Metasports will bring more value to the partner guilds under BSPC’s flagship product, Guild Hub, and give Metasports an unbridled springboard to high-impact Web3 communities.
“BlockchainSpace is looking to scale faster this year. It doesn’t matter if it’s a bull market or a bear market – innovation doesn’t stop. We’ve always been focused on strengthening our resources to support our mission, with a more consolidated approach through Guild Hub,” stressed Ing.
Launched in late 2022, Guild Hub is BSPC’s initiative to help create legitimacy among Web3 communities by delivering an effective way of policing the community and providing a venue to create impactful and valuable partnerships. The Metasports acquisition will be instrumental in fostering further business growth, allowing BSPC to continue supporting the community.
“Esports and guilds are not going away as they are integral to Web3 gaming,” added Ing. “Metasports will be essential in serving these guilds.”
The acquisition of Metasports, with its proven capabilities in the gaming and content creator space, will further expand the opportunities for $GUILD token integration, solidifying BSPC’s position as a leader in providing comprehensive and user-friendly solutions for guilds and Web3 projects.
Metasports, which launched in December 2021, focuses on Web3 and Web2 gaming IPs across esports, creator networks, and news and media verticals. It has quickly proven its value in the Web3 space through the Lunacian Sports League (LSL), the first professionally organized and longest-running esports league for Axie Infinity, and the establishment of its Creator Business Management with renowned content creator KookooTV as the first partner.
While many veer away from high-risk decisions given the market conditions, the two companies view the acquisition as a strategic move based on a thorough understanding of the market, thanks to BSPC’s readily available and growing data sets through Guild Hub.
Joe Josue, CEO and Co-Founder of Metasports, is confident they can strengthen their commitment to enhance experiences around gaming and will bring value to their stakeholders through this acquisition.
“We saw an incredible opportunity to grow and invest in more IPs, and that’s when we started to seek venture. In BlockchainSpace, we found a partner that would be the backbone which we could build on Web3. By tapping BlockchainSpace’s infrastructure, we will finally be able to build technology-backed IPs, which is a powerful next step for us,” Josue shared.
With BSPC’s and Metasports’ sights set on scalability this year, both companies look forward to bringing in major changes that will not only impact their business development but contribute to the success and longevity of the growing global Web3 community.
About BlockchainSpace BlockchainSpace is the one-stop-shop for all guild needs that provides essential, scalable infrastructure, digital tools, financing solutions, and networking opportunities. To date, BSPC enables over 24,000 Guilds and 2 million players to scale in the Metaverse, successfully managing and growing their communities.
About Metasports Metasports is an IP House centered on Web3 gaming and esports across three verticals: Esports Experiences, Creator Networks, and News & Media.
Contact
Media Relations Officer Rafael Rex Botero ALPAS Consultancy rex@alpasconsultancy.ph
San Francisco, California, 18th January, 2023, Chainwire
Today, Coinbase has listed Kava and will launch a massive Learning Rewards Campaign to educate its user base about how Kava is leading the world to Web3.
Kava is a decentralized layer-1 blockchain that combines the speed and interoperability of Cosmos with the developer power of Ethereum. Kava has spent the last year building a deep integration with Coinbase that optimizes the process for Cosmos SDK chains to integrate with Coinbase helping to drive new liquidity to the Cosmos ecosystem.
Unlocking Cosmos Liquidity Coinbase’s native integration with Kava allows for easy listing of Kava ecosystem projects, KAVA staking on Coinbase, and unlocks DeFi usage for Coinbase users on Kava. Additionally, Kava worked with the Coinbase team to make it significantly easier for Cosmos chains to list on the exchange, unlocking access to liquidity for Cosmos projects and further driving the adoption and growth of the entire Cosmos ecosystem. The entire process whittles the timeline for integrating Cosmos SDK chains to Coinbase from 12-18 months to a single month. Cosmos chains can now be integrated as easily as ERC-20 tokens. A major step forward to increasing liquidity within the Cosmos Ecosystem
“It’s exciting to see Kava listed on the largest US-regulated exchange. Coinbase sets the standard as the most important on-ramp for new users and capital into the blockchain ecosystem. I look forward to growing Kava’s exposure to new users, which will have downstream effects for all protocols in the Kava Rise program and the Cosmos ecosystem.” — Scott Stuart, CEO of Kava Labs
Fueling Protocol Growth with Kava Rise
Kava was built from the ground up to optimize its resources for protocol growth, strengthened by its Cosmos-EVM technology that enables maximum scalability, speed, security, and developer support. In 2022, Kava combined on-chain and off-chain growth mechanisms into a single developer incentive program called Kava Rise.
Kava Rise aims to set a new standard for enabling growth and demand for thousands of Web3 protocols. Builders earn a share of Kava Rise’s $750M developer incentive fund via the program’s blockchain-based distribution method, designed to reward the top protocols every month based on usage. More than 50 protocols like Curve Finance, Sushi, and Beefy Finance have collectively brought more than $15M TVL into the ecosystem, showcasing the program’s ability to enable protocols to grow and thrive regardless of market conditions.
About Kava Kava charges Web3 growth with the best on-chain incentives and Cosmos-EVM sidechain tech. Join the network bringing millions into Web3 at kava.io
Contact
Media Manager Guillermo Carandini Kava Labs guillermo.carandini@kava.io
Cross-chain prime brokerage protocolPrimex Finance rolls out a major update to its application. Launching in two stages, Beta 0.3.0 introduces a variety of new features, as well as improvements and fixes of existing functionalities.
Starting on January 12th, 2023, Phase 1 was exclusively available for Primex Early Users, who could be the first to have a hands-on experience with Beta 0.3.0. From now on, Early Users will get privileged access to all major protocol updates in the future (beginning from Beta 0.3.0). In addition to the chance to test new releases before other community members,participants of the program also enjoy further benefits, such as direct communication with the Primex team and fellow Early Users via Discord, as well as the ability to participate in private challenges and earn exclusive prizes.
On January 18th, 2023, the Primex team will open access for the public to Beta 0.3.0, allowing anyone tolaunch the application and test the new release without restrictions.
Beta 0.3.0 introduces four new core features. As the first and the most important, Primex now deploys to two new blockchains: the Polygon Mumbai and Polygon zkEVM testnets. Consequently, users can now test Primex by trading and lending digital assets on DEXs across four different blockchains (Ethereum Goerli, zkSync 2.0 testnet, Polygon Mumbai, and Polygon zkEVM testnet). With the new multi-chain functionality, traders and lenders can now swap between different networks via a single interface.
“When we asked our community which chains we should deploy Primex on, Polygon was by far the top choice among voters. While we were happy about the results, they didn’t come as a surprise for our team. Mumbai is the testnet of Polygon PoS, the Layer 2 blockchain with the highest DeFi TVL that can achieve up to 7,000 TPS. On the other hand, zkEVM is a newer solution that uses ZK-rollups via the ultra-fast Polygon Zero technology to achieve a 90% fee reduction for users on Ethereum’s L2. For these reasons, it makes great sense to deploy Primex on the testnets of these two blockchains,” said Vlad Kostanda, Primex Finance’s Co-Founder.
Besides the above core features, the Primex team introduced additional changes to the protocol as part of the Beta 0.3.0 update, including:
Support for the OKX Wallet, which users can now utilize to connect their wallets to Primex alongside MetaMask and WalletConnect
The integration of the QuickSwap v2 DEX on Polygon Mumbai
Enhanced trading experience via a new bot that periodically synchronizes asset prices on the testnet with the mainnet
Improved UX for downloading trading history
The ability to see the date and time when an order or position was created on the trading page
Bug fixes related to the translation of the Primex application’s certain components and translation delays after a user switches between languages
Additional optimizations and bug fixes
About Primex Finance
Founded in 2021, Primex Finance is the first-ever cross-chain prime brokerage protocol that seeks to solve the DeFi market’s liquidity fragmentation issue by enabling spot margin trading backed by lenders across numerous DEXs and blockchains with a totally decentralized trade execution mechanism. In September 2022, the team advanced to the next stage of its roadmap by launching the platform’s Beta release. Recently, the project rolled out Beta 0.3.0, a major update to the protocol introducing a wide range of important features, functionalities, and fixes. For more information, visit Primex’swebsite andblog.
Contact
CMO Anton Demenko PrimexLabs OÜ anton@primex.finance
The Shiba Inu team has announced in a recent blog post that the launch of Shibarum is “imminent”
Shibarium is a layer 2 solution aimed at increasing transaction speed and lowering costs, enabling NFT and gaming use cases
The BONE token will be used as a gas currency, while each Shibarium transaction will burn SHIB and thus create a deflationary pressure
Shibarium to bring speed and cost improvements, use BONE for crypto rewards
In a blog post published on January 15, the Shiba Inu team outlined what we can expect from Shibarium, the upcoming Layer 2 solution that will make transactions in the Shiba Inu ecosystem both faster and cheaper.
Layer 2 refers to solutions that are built on top of a blockchain’s base layer (or “layer 1”) in order to improve scalability, reduce transaction fees, and increase overall efficiency. These solutions include things like off-chain transactions, state channels, and sidechains.
Off-chain transactions, for example, are transactions that take place outside of the blockchain itself, but are still securely anchored to it. This allows for faster and cheaper transactions, as they do not need to be recorded on the blockchain’s ledger. Shibarium falls squarely into this category of L2s.
“This layer aims, as a protocol, to work on top of existing blockchain networks, allowing for faster, cheaper, and more private transactions to be processed off-chain, while still relying on the security of the underlying blockchain,” the team explained.
The team also said that BONE would serve as the native gas token for facilitating the transactions within Shibarium. Initially, BONE was used as a governance tool within the Shiba Inu ecosystem, but now it seems that it will take on a more prominent role. The team explained:
“As previously announced, $BONE is the native token selected to pay for gas transactions and reward Validators and Delegators within the Shibarium protocol. Since its birth in July 2021, its main function has been linked to governance, but now also the much anticipated Shibarium launch.”
In addition, the team said that each Shibarium transaction would burn SHIB, which many believe could be the catalyst for a repeat of Shiba Inu’s 2021 bull run.
Following the announcement, both BONE and SHIB tokens saw significant moves to the upside, with the former gaining 29% in the past week and the latter increasing by 34%.
Tortola, British Virgin Islands, 18th January, 2023, Chainwire
Fasttoken (FTN) is excited to announce its initial exchange offering (IEO), set to take place from Jan. 18 to 20, 2023. A limited number of 10 million tokens will be available for public sale, with a price of 0.35 euro per token.
Fasttoken is the official cryptocurrency of Fastex, a complete Web3-driven ecosystem that includes Fastex Chain, Fasttoken, ftNFT marketplace, Fastex Pay and the ecosystem’s metaverse, Fastex Verse.
The Fastex ecosystem is designed to provide a seamless and integrated experience for users, allowing them to engage easily with the various features and services offered within the ecosystem. The Fastex Chain, which is set to have its test during February 2023, serves as the backbone of the ecosystem, providing an innovative, next-level consensus mechanism, proof-of-stake-and-activity.
The Fasttoken IEO presents an opportunity for users to be a part of the innovative and exciting Fastex ecosystem. With a limited number of tokens available, the Fastex community is now open to new members and offers the opportunity to become an early adopter. Fastex invites individuals to join and be a part of a growing community.
About Fastex Fastex ecosystem operates as a branded house for Fastex products, including Fastex Verse, ftNFT marketplace, Fastex Chain, Fastex Pay crypto payment system, Fasttoken and Fastex Exchange crypto & exchange platform.
Opening up a vast network of over 7000 users and more than 500 partners, Fastex aims to provide effective solutions for businesses and communities and make Web 3.0 technologies more accessible than ever.
With the increasing significance of utility-based crypto projects, various meme coins are upgrading their technology or practical offerings to remain relevant. Shiba Inu (SHIB) community is preparing the launch of Shibarium, the layer-2 upgrade of the traditional Shiba Inu ecosystem. Similarly, Dogecoin (DOGE) has shown a bullish trend through the past week, leaving investors hopeful. However, experts and investors are vouching for the immense growth of Snowfall Protocol (SNW), which is currently in the final presale phase. Read on to understand why the upcoming months look promising for these crypto projects.
Dogecoin (DOGE) tops the list of Social Engagements
According to the latest report published by the crypto social intelligence platform LunarCrush, comparing social engagements of top crypto tokens, Dogecoin (DOGE) has topped the list. Launched as a ‘meme coin,’ born out of the Internet culture, Dogecoin (DOGE) gained popularity as a fun, light-hearted cryptocurrency. After its humble beginnings, Dogecoin (DOGE) became the internet’s most preferred reward token, perpetually used on Reddit and Twitter.
Dogecoin’s primary utility token, DOGE, is currently trading at $0.08, projecting a 1.35% growth in the past 24 hours. However, the current price is approximately 80% lower than the ATH price of $0.74, as seen in May 2021. According to technical analysts, Dogecoin’s (DOGE) positive price trend is expected to continue for a few days. However, Dogecoin (DOGE) may not be the best choice for investors seeking manifold gains in the crypto network.
Shiba Inu (SHIB) ready to launch Shibarium
Launched anonymously as the ‘Dogecoin Killer’ in August 2020, Shiba Inu (SHIB) is another light-hearted, dog-themed cryptocurrency that aims to be an Ethereum-based counterpart to DOGE’s Scrypt-based mining algorithm. Shiba Inu’s (SHIB) developer confirmed through a tweet that their Layer-2 protocol, Shibarium, has entered the Beta testing phase. Moreover, Shiba Inu (SHIB) has entered a new partnership with the SaaS giant Wix, which will accept payments through Shiba Inu (SHIB) and 70 other cryptocurrencies.
Shiba Inu’s native token, SHIB, is trading at $0.00001042, showing a whopping 10% rise in the past 24 hours. Despite the growth, SHIB is trading approximately 88% lower than the ATH price of $0.000088, as seen in October 2021. Experts are optimistic about Shiba Inu’s (SHIB) bull rally in the short term. Only time will tell if Shiba Inu’s (SHIB) layer-2 ecosystem, Shibarium, will sustain long-term price growth.
Snowfall Protocol’s (SNW) astronomical presale about to end
Snowfall Protocol (SNW) is crypto’s first multi-chain transfer ecosystem that supports asset transfers across popular EVM and non-EVM compatible chains. By removing the technical barriers to interoperability, Snowfall Protocol (SNW) aims to make inter-chain communication simple, quick and hassle-free. Snowfall Protocol (SNW) capitalizes on Stable-coin and NFT bridges to allow smooth transfer of USDT, USDC, BUSD, or other stablecoins, and NFT assets across chains, using canonical token bridging and autonomous swaps. Moreover, Snowfall Protocol (SNW) offers staking benefits for investors participating in monthly raffles, consequently earning fees or more tokens from the bridges.
Overall, Snowfall Protocol (SNW) is the premier crypto ecosystem that paves the way for infinite interoperability, inclusivity, and untroubled communication among multiple blockchain networks. Snowfall Protocol is sustained through the native governance token, SNW, which has experienced a 500% rise through the presale. Initially launched at $0.008, the SNW token has hit $0.182 through the presale. The final presale stage is scheduled to end in February 2023. Experts are optimistic of 1000x returns from Snowfall Protocol (SNW) in the upcoming months, making it an ideal time for investors to jump in and enjoy maximum benefits.
Disclaimer: This is a sponsored article. The views and opinions presented in this article do not necessarily reflect the views of CoinCheckup. The content of this article should not be considered as investment advice. Always do your own research before deciding to buy, sell or transfer any crypto assets.
Cryptocurrency markets saw considerable upswing in the 2nd week of 2023, which has caused the total market capitalization of the sector to climb from $848 billion to over $1 trillion (an increase of more than 18% in a single week). The upswing was led by SOL (Solana), which gained more than 70% last week, but BTC, ETH and ADA also had an outstanding week in terms of price performance as all three coins appreciated by over 20%. Does this small bull-run mark the beginning of a reverse in the long-term market trend? Well, we don’t know about that, but one thing is for sure; cryptocurrency investors are starting to feel a bit more optimistic again.
3. Osmosis (OSMO)
Osmosis is a decentralized exchange (DEX) for the Cosmos ecosystem, which runs as an “appchain” on its own blockchain. This gives Osmosis greater control and much more flexibility compared to DEXs that must follow the code of a parent chain. Osmosis aims to become a cross-chain native DEX that connects all chains over IBC with the best trading and liquidity provision experience. To attain this goal, Osmosis is working with external developers to create, test and deploy features such as, margin, lending, credit, fiat on-ramps, DeFi vaults, NFTs, stablecoins, and more. OSMO, which is the protocol’s governance token, has a total supply of 1 billion and is currently changing hands at the price of around $0.85 per token. Since only 49% of all tokens are in circulation, this results in a total market capitalization of $425 million, which puts OSMO on the #80 spot.
OSMO/USDT trading rolled-out on KuCoin on January 13
After the listing on Binance in October, Osmosis got listed by another major crypto exchange last Friday, January 13. KuCoin announced the listing and enabled OSMO deposits a day prior on its official website and Twitter:
While users can trade OSMO/BTC, OSMO/BUSD and OSMO/USDT trading pairs on Binance, KuCoin for now only supports OSMO/USDT trading. Nevertheless, the KuCoin listing could additionally increase OSMO trading volumes as well as bring new liquidity for the Osmosis project. The KuCoin listing comes off the heels of a very successful 2022 for Osmosis, which has been named the most active project on the Cosmos network. In 2022, Osmosis saw over $17 billion in trading volume, which is more than 9x the total TVL within Cosmos ecosystem. Throughout 2022, Osmosis maintained on average of over 70,000 unique monthly visitors, from whom more than half of them performed 6 or more swaps per visit. This indicates that Osmosis DEX is a key gateway to liquidity not only within the Cosmos ecosystem but due to its use of Inter Blockchain Communication (IBC) protocol also to other ecosystems. Cosmos developers claim that there is significant potential for developments and collaborations in 2023 as well, meaning that OSMO might also prove to be a good mid to long-term investment.
2. Polygon (MATIC)
Polygon, previously known as Matic Network, is a leading Ethereum Layer 2 scaling solution. The Polygon Layer 2 network consists of several simultaneously run proof-of-stake sidechains that regularly push the data to Ethereum to create network checkpoints. Currently, there two bridges that allow users to move assets between Ethereum and Polygon, the first one being the Plasma bridge and the second one the PoS Bridge. The Plasma bridge delivers supersonic speeds and throughput and allows for an easy and fast exit to Ethereum mainnet at the same time. Together with several other features and tweaks, Polygon provides a major scalability improvement to the biggest smart contract blockchain. By successfully overcoming Ethereum’s most limiting shortcomings Polygon has become attractive for DeFi projects and is establishing itself as one of the key DeFi networks.
Developers aim to improve the network’s performance and stability through a recently announced Polygon hard fork
On Thursday, January 12, the Polygon team announced a hard fork of the Polygon mainnet. The hard fork, which is set to improve the network’s performance by reducing the severity of gas spikes and by reducing the time to finality (the time it takes for a block to be finalized after a transaction is included in it), is slated for January 17.
📢 GET READY FOR THE HARDFORK 🔥
The proposed hardfork for the #Polygon PoS chain will make key upgrades to the network on Jan 17th.
This is good news for devs & users — & will make for better UX.
After the hard fork, Polygon network will double the denominator in the equation that calculates the gas fees, which will result in a much flatter distribution of gas fees around peak traffic times. In other words, the update aims to eliminate ridiculous gas price spikes. The second change will decrease the depth of blockchain reorganizations, as a single block producer will only produce 16 consecutive blocks as opposed to the current 64. At the time of writing, MATIC is trading at $0.985 and is up by 22% in the last 7 days. Nevertheless, several cryptos, including BTC and ETH posted a similar weekly gain, meaning that the news about the upgrade might not have been fully priced-in yet. In addition, MATIC price has recently spiked above $1 level but then quickly retraced back to sub $1 levels. Another confident surge above this psychological price could lead to a sustained trading above $1 or even higher valuation.
1. Cardano (ADA)
Cardano is a decentralized blockchain platform focused at creating a smart contract-enabled environment on which developers can build decentralized applications (dApps). By utilizing a proof-of-stake (PoS) consensus model, Cardano aims to deliver a more sustainable, scalable, and transparent operation compared to other smart contract blockchains. The project was started in 2017 by Charles Hoskinson, a mathematician who was once part of the Ethereum developer team. Together with a team of co-workers, Hoskinson raised $62.2 million for Cardano’s development through an ICO. Today, the development of the project is overseen by three main organizations: the IOG, the Cardano Foundation and Emurgo. Hoskinson and IOG strive to follow the principles of academic peer review in the project’s development process. The native asset of the Cardano blockchain is called ADA, but in 2021 the project rolled-out an update, which allows users to issue other tokens on Cardano blockchain as well. In September 2021 smart-contracts debuted on the Cardano mainnet, which was a major milestone for the ecosystem.
Developing and deploying custom sidechains on Cardano will soon become a reality
Cardano developers Input Output Global (IOG), formerly known as Input Output Hong Kong (IOHK), will be releasing a software kit later in January that will enable developers to deploy sidechains on Cardano.
⛓️ The #Cardano sidechain toolkit was previewed at #IOScotFest, and we’re happy to share the first iteration is out now.
According to the IOG’s official announcement, the EVM-compatible and mission-specific sidechains will connect to the Cardano main chain through a bridge that allows asset transfer between the chains. The toolkit will allow developers of the sidechain to determine the sidechain’s own consensus algorithm and features. Nevertheless, the sidechains rely on the mainchain for security as the block finality is determined based on the main chain’s consensus. The sidechain toolkit has already been used to create a custom side chain as a proof-of-concept. IOG also revealed, that the toolkit is currently being audited and will be made available on public testnet later this month. Likely also because of the announcement, Cardano has been on a considerable upswing causing ADA to gain more than 20% in the past week. In addition, ADA looks poised for some further appreciation.
