Over the weekend, a hacker gained unauthorized access to the X account of Ethereum co-founder Vitalik Buterin, using it to post a malicious link to his 4.9 million followers, draining approximately $691,000.

The disguised post posed as a free commemorative non-fungible token (NFT) offer from software company ConsenSys. Individuals who clicked on the link and connected their digital wallets with the intention of minting an NFT found their funds drained by the attacker.

Phishing is a growing cybersecurity threat within the digital collectibles space, while seemingly capitalizing off the ignorance and excitement of users on X, for the sole purpose of convincing users that the link or post they are clicking on is legitimate so they can steal personally identifiable information – in this case, access to a crypto and NFT wallet. 

Last year, $3.8 billion was stolen in phishing attacks, with hacking groups like The Lazarus Group responsible for most of them. 

While the exact number of victims from this attack is unknown at this time, blockchain investigator ZachXBT revealed on X that the hacker managed to steal approximately $691,000. The irony, however, is that following the attack, the hacker sent Buterin an NFT named “Vitalik.”.

Dmitriy Buterin, Vitalik’s father, shared a warning post to users, alerting them to the hijacking of Vitalik’s wallet.

The breach of Buterin’s X account is a stark reminder of the importance of online safety and security precautions when it comes to potential “phishing links” especially when it comes from highly influential accounts, that are commonly targeted for these attacks.

Always exercise caution when connecting your wallet or signing any transactions in the web3 space, as vulnerabilities can expose you to malicious actors. SIM swapping attacks are also surging and it’s crucial to stay informed; read our short guide on SIM swap attacks to ensure your digital assets remain protected.

Editor’s note: This article was written by an nft now staff member in collaboration with OpenAI’s GPT-3.

Two weeks after being declared “dead” by some, the next-gen social media platform Friend.Tech continues to hang on as its future viability remains to be seen. 

An anonymous crypto account on the platform, Herro, told CoinTelegraph that they expect the platform to be around at least until a potential Friend.Tech token launches within the next five or so months. 

“Prior to, and after that, its future will depend on the team,” the account explained, adding their belief that Friend.Tech will “reduce fees, increase creator revenue earned, and onboard non-crypto natives.” m

Friend.tech first came out kicking in early August, debuting on Coinbase’s layer-2 Base platform. It allows traditional and crypto-based influencers to sell “keys” that are directly linked to their X (formerly Twitter) profile, which allows fans/supporters to message them privately. The platform then takes a reported 5% cut from each transaction. 

By the end of the month, Coinbase’s payments risk manager Lisandro Rodrigues expressed his belief that Friend.tech was “dead” due to “greed and poor execution,” referencing the sharp decrease in the buyers and sellers.

Since as early as September 8, Friend.Tech has experienced an increase in its daily trading volume – $12.3 million, according to data from Dune Analytics. This marks the platform’s third-highest trading volume to date, surpassing OpenSea by more than $3 million. 

While there isn’t an on-the-record explanation as to why the platform has suddenly witnessed such a surge, a few contributory factors could be at play, such as an increase in traditional social media creators and non-crypto individuals and an increased number of app updates that enhance the user experience – the ability to upload photos and credit-card enabled purchases

X user @PancakesBrah, responsible for growth and business development at Friend.tech, emphasized that the platform is not exclusively for crypto enthusiasts.

“I love to see stuff like this bro…hammer[ing] home the point some people don’t get, this isn’t an app for just crypto bros, every vertical can find value on friend tech, everyone bro.”

Editor’s note: This article was written by an nft now staff member in collaboration with OpenAI’s GPT-3.

Web3 gaming and IP studio Animoca Brands, announced on September 11 that it successfully closed a funding round, raising $20 million to further develop its Mocaverse platform.

At the heart of the successful raise is the development of Moca ID, a key component of the Mocaverse platform, that will serve as a “digital ID” by and through an NFT collection that will enable users to participate in and navigate Mocaverse. 

The funding round was led by CMCC Global, with additional contributions from GameFiVentures, Liberty City Ventures, and Kingsway Capital. It also included investments from Animoca’s co-founder Yat Siu (in a personal capacity), Sky Mavis founder Aleksander Larsen, and Yield Guild Games founder Gabby Dizon.

The Mocaverse project is focused on providing Web3-native infrastructure tools to help users and developers build gaming and other entertainment products. 

The Moca ID will naturally provide access to Animoca’s extensive portfolio of 450+ companies and projects, opening up a user network of 700+ users. 

Mocaverse, according to Animoca, will empower users to “accumulate reputation” and “earn and spend loyalty points.” Embracing a DAO approach, Moca ID will also serve as a digital identity, reputation, and loyalty system for decentralized organizations.

The funding round, led by Asia’s blockchain VC investment vehicle, CMCC Global, is another testament to Siu’s ability to continue leading strategic investment and innovative growth throughout the nascent Web3 space. 

The $20 million was reportedly raised through the issuance of Simple Agreements for Future Equity (SAFEs) at a price of A$4.50 per share (A$31.3 million). 

What is a “SAFE?”

A SAFE traditionally involves an investor like CMCC Global, providing funding to a startup in exchange for the right to receive equity at a later date – subject to certain terms and conditions such as a valuation cap, discount rate, and conversion trigger. 

Unlike other traditional investment agreements, SAFEs are more flexible in that they don’t require interest payments or a maturity date – as they aren’t considered to be a loan that would need to be repaid. 

As between Animoca Brands and CMCC Global, the SAFE does contain a conversion trigger, where the SAFEs automatically convert into ordinary shares after six months. These “triggers” are usually followed by an event that activates that conversion of the investment into equity – e.g. a future financing round or acquisition. 

“Yat Siu has proved time and again his ability to lead Web3 in creative new directions and we are excited to be supporting him and the Animoca Brands team once again as they venture into the Mocaverse,” said Martin Baumann, co-founder of CMCC Global, in a statement to VentureBeat. 

Baumann continued by characterizing Mocaverse as a unique identifier in Animoca’s investment portfolio, where the project will eventually become “a portal for hundreds of millions of new users” who want to access Web3 and other metaverse ecosystems. 

Editor’s note: This article was written by an nft now staff member in collaboration with OpenAI’s GPT-3.

As the infrastructure for safely integrating generative artificial intelligence (AI) into the U.S technology sector continues to be addressed, governments at various levels in the U.S. are also grappling with how to use and regulate AI-powered tools like ChatGPT.

OpenAI, the parent company of ChatGPT, only continues to grow in reach and popularity. With its first office located outside San Francisco and a new facility in London, OpenAI is now expecting to open its second official office located in Dublin.

Federal Government

In July, ChatGPT’s creator, OpenAI, faced its first major regulatory threat with an FTC investigation that has demanded answers to questions involving the ongoing volume of complaints that accuse the AI startup of misusing consumer data and increasing instances of “hallucination” that makes up facts or narratives at the expense of innocent people or organizations. 

The Biden Administration is expecting to release its initial guidelines for how the federal government can use AI in summer 2024. 

Local Government

U.S. Senate Majority Leader Chuck Schumer (D-NY) predicted in June that new AI legislation was just months away from its final stage, coinciding with the European Union moving into its final stages of negotiations for its EU AI Act. 

On the other hand, while some municipalities are adopting guidelines for their employees to harness the potential of generative AI, other U.S. Government institutions are imposing restrictions out of concern for cybersecurity and accuracy, according to a recent report by WIRED. 

City officials throughout the U.S. told WIRED that at every level, governments are searching for ways to harness these generative AI tools to improve some of the “bureaucracy’s most annoying qualities by streamlining routine paperwork and improving the public’s ability to access and understand dense government material.”

However, this long-term mission is also hindered by the legal and ethical obligations contained within the country’s transparency laws, election laws, and others – creating a distinct line between the public and private sectors. 

The U.S. Environmental Protection Agency (EPA), for example, blocked its employees from accessing ChatGPT on May 8, pursuant to (a now completed) FOIA request, while the U.S. State Department in Guinea embraces the tool and uses it to draft speeches and social media posts. 

It’s undeniable that 2023 has been the year of accountability and transparency, beginning with the fallout and collapse of FTX, which continues to shake our financial infrastructure as today’s modern-day Enron.

“Everybody cares about accountability, but it’s ramped up to a different level when you are literally the government,” said Jim Loter, interim chief technology officer for the city of Seattle. 

In April, Seattle released its preliminary generative AI guidelines for its employees, while the state of Iowa made headlines last month after an assistant superintendent utilized ChatGPT to determine which books should be removed and banned from Mason City, pursuant to a recently enacted law that prohibits texts that contain descriptions of “sex acts.”

For the remainder of 2023 and into the beginning of 2024, city and state agencies are expected to begin releasing the first wave of generative AI policies that address the balance of utilizing AI-powered tools like ChatGPT with inputting text prompts that may contain sensitive information that could violate public records laws and disclosure requirements. 

Currently, Seattle, San Jose, and the state of Washington have warned its respective staff that any information that is entered into a tool like ChatGPT could automatically be subject to disclosure requirements under current public record laws. 

This concern also extends to the strong likelihood of sensitive information being subsequently ingested into corporate databases used to train generative AI tools, opening up the doors for potential abuse and the dissemination of inaccurate information.

For example, municipal employees in San Jose (CA) and Seattle are required to fill out a form every time they use a generative AI tool, while the state of Maine is prioritizing cybersecurity concerns and prohibiting its entire executive branch of employees from using generative AI tools for the rest of 2023. 

According to Loter, Seattle employees have expressed interest in using generative AI to even summarize lengthy investigative reports from the city’s Office of Police Accountability, which contain both public and private information. 

When it comes to large language models (LLMs) in which data is trained on, there’s still an extremely high risk of either machine hallucinations or mistranslating specific language that could convey an entirely different meaning and effect. 

For example, San Jose’s current guidelines with respect to using generative AI to create a public-facing document or press release isn’t prohibited – however, the likelihood of the AI tool replacing certain words with incorrect synonyms or associations is strong (e.g. citizens vs. residents). 

Regardless, the next maturation period of AI is here, taking us far beyond the early days of word processing tools and other machine learning capabilities that we have often ignored or overlooked. 

Editor’s note: This article was written by an nft now staff member in collaboration with OpenAI’s GPT-3.

A unique uprising is unfolding in the world of NounsDAO. Hundreds of NounsDAO holders are calling for a refund, leading to a potential treasury split. Due to the number of holders who are in favor of exiting, division of the project’s treasury seems inevitable.

This treasury exists for NounsDAO participants to “allocate resources for the long-term growth and prosperity of the Nouns project.” The NounsDAO treasury has funded over 158 projects and proposals to date, and the future of this will be in jeopardy if the treasury continues to shrink.

According to NounsDAO’s “rage quit” rules, if 20% of Nouns NFTs unite in their demand for this “fork,” they possess the authority to break away from the collective and claim their rightful stake in the project. When the fork concludes, holders will be able to split from the main group and take their share of around 35 ETH each. Auctions for Nouns have been currently around the 35-36 ETH range.

At the time of writing, there are currently 334 Nouns in the “fork,” with four days remaining. The current fork treasury is worth around 11858 ETH. 334 Nouns brings the percentage to almost 40% of Nouns wanting to leave the organization.

The financial ramifications are nothing short of staggering, with the current fork treasury commanding a worth of approximately 11,858 ETH.

The crypto community is voicing the unsettling notion that if NounsDAO, one of the most successful and well-known DAOs, is facing this challenge, it might not be hopeful for the future of other decentralized autonomous organizations.

However, according to user NiftyNoonNFT, there might be a silver lining in the situation that helps the NFT market in the short term. “[NounsDAO] exit may be a small liquidity event that helps the market,” they said in a tweet. “There will be thousands of ETH returning to the hands of NFT-natives.”

This intriguing juncture in NounsDAO’s journey can be traced back to the approval of a sweeping upgrade known as v3, a pivotal decision that bestowed upon disgruntled investors the recourse of peaceful exit through forking—a mechanism designed to safeguard the interests of all stakeholders. The ramifications of this experiment in decentralized governance are still unfolding, and the eyes of the crypto world remain firmly fixed on NounsDAO, watching to see the latest update.

Apple has reportedly acquired the rights to a book that tells the story of the disgraced FTX founder, Sam Bankman-Fried (SBF), according to an initial report from The Ankler. 

The upcoming book, “Going Infinite: The Rise and Fall of a New Tycoon,” will be authored by Big Short author Michael Lewis in a literary rights acquisition worth approximately $5 million. 

SBF was first arrested in December 2022 following the collapse of FTX. 

The Ankler first broke this news back in November 2022, revealing that Lewis had been part of an “old-school Hollywood bidding war” for the then-unwritten book as FTX’s and SBF’s stories were unraveling in real-time.

In Going Infinite, Lewis sets out to answer the question “Who was this rumpled guy in cargo shorts and limp white socks, whose eyes twitched across Zoom meetings as he played video games on the side?” 

Painting a “psychological portrait” and financial roller-coaster ride, Going Infinite is the latest piece of work from Lewis that seeks to bring readers into the mind of SBF, whose overnight rise and fall offers a real-world application of this generation’s “Enron” that involves high-frequency and risky trading, cryptocurrencies, philanthropy, bankruptcy, and the U.S. justice system.

In addition to the book, there are reports of at least eight Hollywood projects that center around SBF, including a profile documentary reportedly being directed by Nanette Burstein, known for her work on films about figures such as John McAfee and Hillary Clinton. However, this has not been confirmed. 

But is it too early?

Granted that SBF’s trial doesn’t start until October 3, it does seem way too early for a book detailing the rise and fall of the former FTX executive to even be pushed out to the market without touching upon the trial and its outcome. While

From strange fashion choices and media appearances to his social etiquette and incestuous business workplace dynamic, SBF’s story is certainly one that has captured the world’s attention and will be remembered far beyond his trial. 

With the ongoing writers’ strikes from SAG-AFTRA and WGA, the continued production of these Hollywood-adapted documentaries highlighting the trials and tribulations hailing out of the crypto and Web3 space, will continue to face hurdles until conversations surrounding the concern of fair pay and artificial intelligence are addressed. 

SBF’s Lawyers Now Get Unlimited Prison Visits

On August 25, a federal judge granted SBF’s lawyers permission to meet with him without restriction, according to a recently filed court order. 

The order stated that his lawyers are able to “take unlimited advantage of the legal visitation hours” at the Metropolitan Detention Center (MDC) in New York in preparation of SBF’s upcoming trial on October 3. 

SBF, who was previously granted bail, subject to strict home confinement and technology conditions, repeatedly violated the terms of his bail and landed right back in jail after efforts to intimidate witnesses and interfere with the legal process. 

The book is set to be released on October 3, coinciding with the first day of his trial. 

Editor’s note: This article was written by an nft now staff member in collaboration with OpenAI’s GPT-3.

X, formerly known as Twitter, has just updated its terms of service (again) to explicitly forbid data scraping and crawling its platform without prior written consent. 

The updated terms, set to take effect on September 29, 2023, introduce strict controls on unauthorized data collection methods and comes just eight days after it amended its Privacy Policy, stating that the platform will begin collecting users’ biometric data and professional education and employment history. 

The previous version of the terms permitted crawling as long as it adhered to the guidelines outlined in the robots.txt file – an instructional file given to “crawlers” (or programs) about what parts of a website they are allowed to visit. However, the revised terms have eliminated this provision, mandating that any form of scraping or crawling must secure explicit written consent from X.

Web Crawling vs. Web Scraping

While both may sound very similar, they operate for two different purposes. 

Web “crawling” grabs other web pages to create indices or collections of data, while web “scraping” downloads webpages to extract a specific set of data for analysis – e.g. product details, pricing information, SEO data, etc. 

Essentially, “web scraping” simply extracts publicly available data from a website and imports it into any local file/folder on your computer through the use of a “crawler” program that looks for the specific set of data the user is looking for and additional targets to crawl, while “web crawling” discovers target URL(s) or other links for the purpose of creating an index or multiple indices of data. 

Data scraping is one of the most effective ways to extract data from the web and doesn’t require an internet connection. 

In conjunction with the updated terms of service, X has recently made alterations to its robots.txt file. This file directs web crawlers, including those from Google, regarding which sections of the site they are permitted to access. These amendments have effectively curtailed access to specific data types, including likes, retweets associated with particular posts, and account-related information like likes, media, and photos.

The decision to bolster restrictions on scraping and data access comes on the heels of X’s recent platform modifications. These adjustments included temporarily preventing logged-out users from viewing posts and subsequently eliminating the login requirement for accessing tweets. 

X’s CEO, Elon Musk, cited the need for these measures in response to excessive data scraping, which was adversely affecting the platform’s performance for regular users.

Musk has vocally opposed companies scraping Twitter/X data for training AI models in the past. He previously issued a legal threat against Microsoft, alleging their unlawful use of the platform’s data for AI training. 

In July, Musk initiated a legal action against “John Doe” defendants involved in unauthorized data collection.

The impact of these stringent measures on data accessibility and X’s relationship with web crawlers, including those from tech giants like Google, remains to be seen.

Editor’s note: This article was written by an nft now staff member in collaboration with OpenAI’s GPT-3.

Beginning September 15, you will start to see more NFT gaming ads on Google, as the tech giant recently updated its cryptocurrency advertising policy. 

The updated policy will now permit advertisements for NFT games that enable players to purchase in-game items like virtual apparel, weapons, or armor, enhancing the gaming experience. 

However, the updated policy prohibits the advertisement of any and all “gambling or gambling services” – so don’t expect to see any ads for games that involve:

• Games that promote NFT wagering or staking in exchange for the opportunity to win anything of real-world value (including other NFTs);

• Games that allow players to stake NFTs in exchange for other digital currencies, including the promotion of “social casino games” that reward players with an NFT;

• Games that simulate casino gambling, such as poker, slots, or roulette that allow players to potentially win an NFT;

• Games that promote “real money gambling” destinations, including gambling-related advertisements that appear on your game’s destination.

To legally advertise gambling-related content that incorporates NFTs, developers and publishers are required to acquire the appropriate Google Ads certification and adhere to Google’s Gambling and games policy. 

The revised policy also prohibits NFT casino games and any social betting systems that enable users to wager NFTs, cash, or cryptocurrencies for real-world rewards. 

Developers and publishers seeking to advertise gambling-related content incorporating NFTs must adhere to Google’s Gambling and games policy and acquire the appropriate Google Ads certification.

Previous Blanket Ban on Crypto

This shift in Google’s advertising policy marks a notable change since March 2018, where Google enacted a blanket ban on all crypto-related advertising on its platforms. Ultimately, this raised questions about whether this ban would be permanent or subject to review. 

Scott Spencer, Google’s director of sustainable ads at the time, cited concerns of potential consumer harm as the reason for the cautious approach to cryptocurrency ads.

However, the tech giant lifted the ban in June 2021, permitting certain crypto-related companies, specifically “cryptocurrency exchanges and wallets targeting the United States,” to advertise on the platform. However, these companies were required to be registered with the United States Financial Crimes Enforcement Network as either a money services business or a federal or state-chartered bank entity.

It’s worth noting that the lifting of the ban didn’t leave a pathway for ICO advertisements, DeFi trading protocols, or other mechanisms that sought to promote the buying and selling of crypto or other similar products. 

The new policy shift signals a more nuanced approach to crypto and blockchain-related advertising, making this an interesting, but highly risky decision by Google’s parent company, Alphabet, to better publicize the nature of the NFT landscape.

Editor’s note: This article was written by an nft now staff member in collaboration with OpenAI’s GPT-3.

Last week, adidas announced the launch of their RESIDENCY program, a new digital art initiative offering a platform for emerging artists in the Web3 space. Activating globally on 7th September during Korean Blockchain Week in Seoul, and The Gateway Korea, the program presents adidas’s first-ever Limited and Open Edition NFT sale.

Adidas /// Studio proudly introduced the first two artists gracing their initiative: the enigmatic MonkeeMoto and the illustrious Adra Kandil, known popularly as DearNostalgia. Both artists’ newly created work is currently being showcased at The Gateway Korea and is now available to mint from September 6th to 11th.

The Limited Edition consists of 100 pieces for each artist and comes with a special hoodie, exclusively for event attendees. This package is priced at 0.15 ETH. The Open Edition is set at 0.03 ETH. Both will be open for purchase on September 6th, starting 9pm Korean Standard Time (2pm CET).

Adra Kandil aka Dear Nostalgia

Lebanese artist Adra Kandil melds modern truths and collective nostalgia through her unique blend of photography, collages, typography, and digital montages. Learn more about her story into the world of Web3 in our latest Next Up feature. The digital art collectible she created and is part of the limited edition open edition for RESIDENCY is “soles / souls / seoul.”

A visual narrative that delves into the essence of youth, reminiscence, and the drive for innovation. Step into an immersive experience that blurs the lines between reality and fantasy. “To live, to feel alive, to forever.”

The piece is currently minting on Manifold.

MONKEEMOTO

A visionary in the digital realm, MONKEEMOTO excels in digital artistry, web3 game development, and conceptual design. MonkeeMoto was also featured in last week’s Next Up feature, as we dove into his artistic journey. His latest piece “MOTO – CREATIVES” was the second addition to the RESIDENCY open edition and is also available to mint on Manifold.

“A Sakura Dreamscape:” This art piece was inspired to capture the essence of “Japan’s iconic & beautiful cherry blossom season and transform it into a vivid tapestry of imagination.”

The Limited Edition offer will end either when 100 NFTs are sold or by September 8th, 8pm KST (1pm CET). The Open Edition sales conclude on September 11th at 7am KST (12am CET). Attendees of the Korean Blockchain Week at the adidas activation can also acquire a specific adidas hoodie featuring the /// Studio’s distinct sideways trefoil along with the Limited Edition NFT. The mint is live until September 11, 12AM CET.

MetaMask, the world’s largest crypto wallet (and internet browser extension) finally introduced a way for users in the United States, Europe, and the United Kingdom to quickly convert their crypto holdings into fiat currencies (USD, GBP, UK).

Through the new “Sell” feature, MetaMask users are presented with real-time options, similar to how it works with Venmo or Cash App, to convert their Ethereum holdings (ETH) into their preferred fiat currencies – assuming they are available in their region. All they have to do is go to MetaMask and access the platform’s Portfolio section. 

This new feature comes just five months after MetaMask launched a feature that allows users to purchase crypto using fiat from their bank accounts, PayPal, and debit/credit cards. 

With over 22 million users, MetaMask has remained an industry-leading crypto wallet that (for the most part) is pretty navigable for those who have some basic knowledge or experience in the crypto landscape. 

It’s worth noting that the new “Sell” feature is limited to some state restrictions in the US, the UK, and select parts of Europe. However, MetaMask says that it has future plans to expand this service to more regions in order to better cater to its global user base, according to its blog post. 

How to “Cash Out”

To utilize the new “Sell” feature, MetaMask users must:

1. Connect their MetaMask wallet to portfolio.metamask.io.
2. Click on the “Sell” tab to initiate the process.
3. Select their region.
4. Choose the token and network they want to sell (e.g., ETH on Ethereum).
5. Select a fiat account destination available in their location (e.g., bank account or PayPal balance).
6. Enter the amount of cryptocurrency they want to sell (e.g., 0.5 ETH).
7. Real-time quotes from various available providers will be presented.
8. Users can select one provider to proceed with.
9. They will be securely redirected to the provider’s website to sign up and link their fiat account, then directed back to MetaMask Portfolio.
10. Users can select “Send ETH to [Provider]” to initiate the transfer from their wallet to their fiat account.
11. Confirm the transaction in their MetaMask wallet.

Similar to crypto transactions, MetaMask users will also have the ability to track their order’s progress in the “Sell” tab, subject to processing times depending on the chosen provider. Depending on the user’s financial institution, it may take a few days for funds to reflect in the user’s bank account.

The Cash-Out Fee

It is also worth noting that MetaMask users now have to consider two fees when cashing out crypto: the gas fee for network transactions and a transaction fee to providers like Moonpay. In a U.S. demonstration, a withdrawal of 0.05 ETH resulted in roughly 8% of the total amount being used for transaction costs. These costs may differ based on the user’s location and available withdrawal partners.

Editor’s note: This article was written by an nft now staff member in collaboration with OpenAI’s GPT-3.