Good Morning Crypto Enthusiasts!

Glad to have you back for another edition of the UseTheBitcoin.com newsletter.

1. Terraform Labs to End Operations: Terraform Labs will cease operations following a $4.47 billion settlement with the SEC, transferring control of the Terra blockchain to the community.

2. Tesla Investors Sue Elon Musk: Tesla shareholders have sued CEO Elon Musk and the board, accusing Musk of diverting resources to his new startup, xAI, at the expense of Tesla. The lawsuit claims Musk's actions have led to the loss of key AI talent and resources.

3. MicroStrategy Plans Stock Sale to Buy More Bitcoin: MicroStrategy plans to raise $500 million through a stock sale to fund additional Bitcoin acquisitions. The private offering of convertible senior notes is aimed at institutional buyers and will mature in 2032.

4. UwU Lend $5M Bounty: UwU Lend is offering a $5 million bounty for information leading to the hacker who stole $24 million across two attacks. The first attack, a price manipulation exploit, resulted in a $20.3 million loss, followed by a second attack stealing an additional $3.7 million.

5. 💡Feature of the Day - Holograph Exploited: Holograph's native token, HLG, dropped nearly 80% after an exploiter hacked the platform's operator contract, minting 1 billion additional tokens. The exploit led to a price collapse from $0.014 to $0.0029.

   
   All this and more in today’s headlines!

📰 News Highlights:

Terraform Labs to End Operations [Source][Source]

Terraform Labs is ceasing operations following a $4.47 billion settlement with the SEC, transferring control of the Terra blockchain to the community. CEO Chris Amani announced the decision, highlighting that the firm will wind down operations and sell key projects within the Terra ecosystem.

This move follows a significant legal battle over the collapse of the algorithmic stablecoin TerraUSD (UST) in 2022, resulting in a substantial settlement that includes $3.58 billion in disgorgement and a $420 million civil penalty.

As part of the transition, Terraform Labs will burn all unvested and vested tokens, allowing the community to take over governance of the Terra and Terra Classic blockchains. Amani stated that a community proposal would soon be posted to finalize the burning process.

Reactions from the community have been mixed, with some expressing optimism about the new direction, while others remain critical of past leadership decisions.

Tesla Investors Sue Elon Musk [Source][Source]

Tesla shareholders have filed a lawsuit against CEO Elon Musk and the company's board, accusing Musk of diverting resources and talent to his new startup, xAI. The lawsuit, filed in Delaware's Chancery Court, claims Musk's actions have created billions in AI-related value for xAI at the expense of Tesla.

Shareholders argue that Musk's "brazen disloyalty" has led to the loss of key AI-focused employees and resources, including the transfer of GPUs intended for Tesla to xAI.

The complaint highlights that Musk has directed significant AI talent, such as Tesla's computer vision team lead, Ethan Knight, to xAI.

Additionally, the lawsuit references Musk's January statement on X (formerly Twitter), where he expressed discomfort with expanding Tesla's AI efforts without significant voting control, suggesting his intent to develop AI products outside of Tesla.

MicroStrategy Plans Stock Sale to Buy More Bitcoin [Source][Source]

MicroStrategy has announced plans to raise $500 million through a stock sale to fund additional Bitcoin acquisitions, reinforcing its commitment to BTC as a treasury reserve asset.

The private offering of convertible senior notes, due in 2032, will be available to qualified institutional buyers and is subject to market conditions. The notes will bear interest payable semi-annually and will mature unless repurchased, redeemed, or converted earlier.

The net proceeds from the offering will primarily be used to acquire more Bitcoin, aligning with MicroStrategy's long-term strategy of using BTC as a treasury reserve asset.

The company also plans to grant initial purchasers an option to buy an additional $75 million in notes. The interest rate and other terms of the notes will be determined at the time of pricing.

UwU Lend $5M Bounty [Source][Source][Source]

The UwU Lend protocol is offering a $5 million bounty for information leading to the identification of the hacker responsible for stealing $24 million across two attacks. The first exploit, a price manipulation attack on June 10, resulted in a $20.3 million loss.

Despite UwU's offer to the hacker to return 80% of the stolen funds and keep the remaining 20%, the hacker carried out a second exploit on June 13, stealing an additional $3.7 million from various pools.

UwU's message to the hacker, posted on-chain, stated the bounty would be paid in Ether and issued before any fund recovery or legal action. Blockchain security firm Cyvers identified that both attacks were carried out by the same wallet address.

The second attack occurred while UwU was in the process of reimbursing victims from the first exploit, with over $9.7 million already repaid. The team is working with partners to freeze the hacker's accounts and has initiated an investigation involving law enforcement.

💡 Feature of the Day: 

Holograph Exploited [Source][Source]

Holograph's native token, HLG, plummeted nearly 80% after an exploiter hacked the platform's operator contract and minted 1 billion additional tokens, worth $14.4 million at the time.

The exploit, confirmed by Holograph on June 14, involved the malicious actor taking advantage of a smart contract vulnerability, minting the tokens across nine transactions. This led to a dramatic price drop from $0.014 to a low of $0.0029 within nine hours.

The hacker began converting the minted HLG into stablecoin Tether shortly after the exploit. Cryptocurrency researcher Matt Casto from CMT Digital suggested that the hacker might be a rogue developer who funded the operator contract address nearly a month ago.

😂 Crypto Meme of the Day: 

And that’s it for this today.

With all of the recent hacks taking place, remember to protect your crypto assets with today’s sponsor Trezor hardware wallets.

See you all tomorrow’s edition!

Jonathan Gibson
UseTheBitcoin.com