Meta lost $251 in a single day and how it impacts the Crypto market.
Good Morning FinTech, 6 February
Market Update:
Market’s have bounced back strongly this week as we have seen positive news of strong earning reports from Google and Amazon that has driven the market upwards.
Bitcoin Reclaims $40K as Ethereum and Altcoins Make Big 24-Hour Gains
The cryptocurrency market is making a recovery after a rocky start to 2022.
Bitcoin is once again above $40,000 after a rough start to the year. The biggest cryptocurrency by market cap is up 8% in the past 24 hours, according to CoinGecko figures, trading for $40,150.
The asset got off to a bad start in 2022, crashing to levels not seen since in six months. But the coin looks like it is making a slow recovery—despite still being down over 40% from its all-time high of $69,044.77 it touched in November.
Ethereum, the second largest cryptocurrency by market cap, is also up significantly: at the time of writing it was trading above $2,900—an 11% increase in 24 hours.
Metaverse Tokens Hold Firm as Meta Stock Tumbles
Meta is having a bad week, largely due to its bumbling Web3 initiatives.
There has been a 3.7% decrease to crypto's global market capitalization in the last 24 hours, which means price crashes all around have erased many of the gains made this week, but one group of tokens has weathered the red: Metaverse tokens.
Most of the top metaverse tokens appear to be up by double digits. Decentraland’s in-game utility token MANA crashed 2.5% overnight, but it’s still 18.7% up from last Thursday. It sells for $2.64 at the time of writing.
SAND, the in-game token for Animoca's blockchain project The Sandbox, had a little over 8.5% of its market value wiped out overnight, but it's 17.4% higher than it was last week and currently sells for $3.64.
Shares in Meta, formerly Facebook, plummeted 21% in pre-market trading today after the company warned investors that its first-quarter earnings will likely fall short of forecasts because of "increasing competition.”
Mark Zuckerberg blames TikTok, but a large part of the shortfall could also be attributable to the fact that Meta spent $10 billion on developing its recent Web3 Metaverse pivot, leaving it a less-than-usual margin for profit.
Gaming Giant Ubisoft Dives Further Into Crypto With Hedera Network
Ubisoft keeps enlisting crypto allies as it now turns to The HBAR Foundation and explores the Hedera ecosystem.
Video game publisher Ubisoft has agreed to enter the Hedera ecosystem.
Ubisoft will join Hedera’s Governing Council, run a node, and implement a Hedera track into its Entrepreneurs Lab program.
Ubisoft’s recent move to launch Tezos-powered in-game NFT items to its games might have been met with pushback from gamers—like many recent gaming-centric NFT projects—but that isn’t stopping the publisher from making more moves in the crypto industry.
Ethereum Data Firm Dune Analytics Hits Unicorn Status With $69,420,000 Series B
Dune Analytics says it's is now valued at $1 billion following sizable investments from Coatue, Multicoin Capital, and Dragonfly Capital.
Norwegian data firm Dune Analytics has raised $69.420 million in a Series B funding round, the company announced today. As a Web3 company, Dune allows users to view real-time analytics for a variety of different cryptocurrency metrics, such as NFT statistics, Solana transactions, and decentralized exchange (DEX) volume.
Tech investment firm Coatue led Dune’s Series B funding round. Multicoin Capital and Dragonfly Capital also participated. Following the raise, Dune has now reached unicorn status at a valuation of $1 billion, according to the company.
“Despite being radically open, Web3 data remains largely underutilized,” Dune co-founder and CEO Fredrik Haga said in the press release.
Bored Ape Creator Seeks Funding From Andreessen Horowitz at $5B Valuation: Report
Yuga Labs, the startup behind the Bored Ape Yacht Club NFT collection, is in financing talks with investment firm Andreessen Horowitz.
Yuga Labs, the startup behind the popular Bored Ape Yacht Club NFT collection, is in financing talks with Andreessen Horowitz, according to the Financial Times.
Yuga Labs is reportedly seeking to sell a multimillion-dollar stake in what would be a new funding round.
According to people described as having "knowledge of the discussions," the terms are subject to changes, and the talks may not necessarily lead to a deal.
However, people familiar with these talks also reportedly said that Yuga could potentially issue crypto tokens to investors and existing holders of Bored Ape Yacht Club NFTs.
Yuga Labs did not respond to the Financial Times' repeated requests for comment, and Andreessen Horowitz also declined to comment.
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