🚀 Fenbushi Capital Faces Significant Losses Across Multiple Tokens
#FenbushiCapital #SUSHI #COMP #UNI #AAVE #ETH #CryptoLosses #TokenInvestments
According to PANews, Fenbushi Capital has experienced substantial losses in several tokens. The firm reported a $2.44 million loss in $SUSHI, representing a 90% decline, a $2.27 million loss in $COMP, an 82% drop, a $1.53 million loss in $UNI, a 42% decrease, and a $499,000 loss in $AAVE, a 15% reduction. Three hours ago, Fenbushi Capital sold assets totaling $5.14 million at a loss. The assets sold included 136,094 $EIGEN worth $514,000, 146,537 $UNI valued at $1.13 million, 10.17 million $SNT worth $244,000, 10,681 $COMP valued at $509,000, 11,616 $AAVE worth $1.9 million, 344,086 $SUSHI valued at $276,000, and 219 $ETH worth $576,000.#FenbushiCapital #SUSHI #COMP #UNI #AAVE #ETH #CryptoLosses #TokenInvestments
🚀 Key Principles For Evaluating DeFi Token Investments
#DeFi #TokenInvestments #InvestmentStrategies #TokenHolders #BusinessModels #Valuation #ExecutionCapability #CryptoTrading #InvestmentPrinciples
According to Odaily, top trader Eugene Ng Ah Sio shared three essential principles for assessing the value of DeFi token investments in a Telegram group. Despite improvements in the regulatory environment in recent years, he believes there is still a gap in viable investment strategies. Ng emphasizes that project teams must prioritize the interests of token holders, placing them at least on par with equity holders. Additionally, business models should not rely entirely on cryptocurrency speculation cycles to avoid valuation failures during bear markets when trading volumes plummet. Lastly, the execution capability of the team is crucial, requiring either technical barriers or exceptional execution skills. Ng noted that currently, only a few protocols meet these standards, and he plans to invest when the time is right.#DeFi #TokenInvestments #InvestmentStrategies #TokenHolders #BusinessModels #Valuation #ExecutionCapability #CryptoTrading #InvestmentPrinciples
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🚀 Hong Kong Securities Group Opposes Proposed Digital Asset Management Regulations
#HongKong #SecuritiesAndFuturesPractitionersAssociation #DigitalAssetManagement #Regulations #CryptoAssets #VirtualAssetManagement #Bitcoin #CustodyRequirements #SFC #Web3 #TokenInvestments #ComplianceCosts #AssetManagement #CryptoRegulation #SelfCustody #ProfessionalInvestors #BTC
Hong Kong's Securities and Futures Practitioners Association (HKSFPA) has submitted feedback to regulatory authorities regarding the proposed digital asset management framework, expressing opposition to several restrictive measures. According to Odaily, the HKSFPA primarily objects to the removal of the current 'de minimis' arrangement. Under existing rules, institutions holding a Type 9 license (asset management) can allocate up to 10% of total fund assets to crypto assets without needing an additional virtual asset management license, provided they report to the regulatory body. The proposed framework seeks to eliminate this limit, requiring a full virtual asset management license even for a 1% allocation to Bitcoin.
The HKSFPA argues that this 'all-or-nothing' regulatory approach is disproportionate and could lead to significant compliance costs despite limited risk exposure, potentially deterring traditional asset management firms from entering the crypto asset sector.
Additionally, the HKSFPA has raised concerns about the proposed custody requirements. The proposal mandates that virtual asset managers use only Securities and Futures Commission (SFC) licensed custodians for asset custody. The association contends that this requirement is impractical for early-stage token investments and Web3 venture capital, possibly restricting local institutions from engaging in related activities.
The HKSFPA supports the direction of allowing self-custody and using qualified overseas custodians when serving professional investors.
Reports indicate that these regulatory suggestions are advancing. Hong Kong authorities have previously released a consultation summary on the related framework and are conducting a new round of consultations on the licensing system for crypto asset trading, advisory, and management services.#HongKong #SecuritiesAndFuturesPractitionersAssociation #DigitalAssetManagement #Regulations #CryptoAssets #VirtualAssetManagement #Bitcoin #CustodyRequirements #SFC #Web3 #TokenInvestments #ComplianceCosts #AssetManagement #CryptoRegulation #SelfCustody #ProfessionalInvestors #BTC