Wed 01/31

Good Morning. WazirX and Binance feud get uglier, Hermès sues MetaBirkin, Binance will be launching crypto card in Brazil and more to read today. Happy Reading!

WazirX Says Binance Lied About Ownership As Dispute About India’s Largest Exchange Escalates: In Nov 2019, Binance published a blog post saying it had purchased WazirX. WazirX’s executives talked openly about the acquisition. But last summer, when WazirX’s Mumbai office was raided by officials on suspicions that it had helped 16 fintech companies launder money, Binance immediately distanced itself from WazirX. On Aug. 5, Binance CEO CZ tweeted that “Binance does not own any equity in Zanmai Labs, the entity operating WazirX.” A spokesperson for Binance told CoinDesk that reports of Binance’s ownership of WazirX were “a lie.” As per CoinDesk, On Jan. 26 Binance sent WazirX a letter requiring WazirX to meet two demands by the end of this month or risk Binance terminating its service agreement with WazirX by Feb. 3. First, Binance told the exchange to publish a pre-written “clarificatory statement” retracting WazirX co-founder Nischal Shetty’s previous statements that Binance owned WazirX. It also required WazirX to erase all mentions of Binance in its terms of service. On Friday, Zanmai, WazirX’s official name, responded to Binance’s demands in a letter obtained by CoinDesk. It fought back, claiming the demand letter was “unethical” and attempted to use “media pressure and threats to force Zanmai into issuing false and misleading statements as ‘clarifications.’”

Hermès V Metabirkin: NFT Trademark Issue Heads To Trial In Manhattan: Hermès filed a suit against digital artist Mason Rothschild after the artist released his Metabirkins NFT collection depicting the company’s Birkin bag. Hermès accused Rothschild of trademark infringement, for promoting and selling MetaBirkins, an NFT collection said to be inspired by the group’s Birkin bags. According to court docs filed on Jan. 23, Hermès argues the collection has improperly used its trademark and confused customers into believing that it supports the project. The court docs also reveal that Rothschild believes his work is protected under the First Amendment — which allows free expression. A number of legal experts have commented in the days coming up to the trial, noting the case could have implications for the NFT industry.

Mastercard Partners With Binance To Launch A Prepaid Crypto Card In Brazil: With the new card, Brazil’s citizens will be able to make purchases using crypto while benefiting from a real-time conversion system from 14 crypto assets to fiat at the point of sale. The card is being issued by a payment institution regulated by Banco Central do Brasil named Dock, and it allows new and existing Binance users in Brazil with valid national IDs to pay bills and make purchases using cryptocurrency. Cardholders will also benefit from certain perks, including up to 8% cashback in crypto on eligible purchases and zero fees on ATM withdrawals. Users will be able to manage their cards through the card dashboard on the Binance App and website.

Court-Appointed Examiner Confirms Celsius Operated As A Ponzi: An independent report into Celsius's business affairs confirms shady business practices and Ponzinomics. The report by former prosecutor Shoba Pillay looked into allegations the bankrupt crypto lending platform operated like a Ponzi scheme. She uncovered evidence of dodgy dealings, including CEL “buying sprees” to drive the token price higher, with insiders “benefiting the most” through timely cash outs. Celsius filed for bankruptcy on July 13, 2022, disclosing an approximate $1.2 billion black hole in its balance sheet.

Software Engineering Intern At Polygon

What Is An Airdrop: Airdropping is the placing of tokens directly into interested parties’ wallets. This can be done as a marketing tool as an incentive scheme It is also can be used to correct fraudulent changes in tokens.