Weekly Roundup 04/24/26 (Finding Satoshi, KelpDAO retrospective, Insider weather betting, Coinbase's Quantum report) (EP.716)

Matt Walsh and Nick Carter discuss the "Funding Satoshi" documentary, which explores potential candidates for Satoshi Nakamoto, particularly Hal Finney and Len Sassaman. They highlight Finney's technical expertise and Sassaman's academic ties, contrasting their contributions to cryptography with the current crypto landscape. The emotional impact of the documentary is noted, especially regarding the early deaths of both figures and the importance of documenting perspectives from contemporaneous figures in crypto. The hosts also consider stylometric analyses to uncover insights about Satoshi's identity, while acknowledging their limitations.

In acquisition news, Bitnomial, a CFTC licensed derivatives exchange, was acquired for up to $550 million. Funding updates include Kaio raising $8 million for a blockchain focused on real-world assets, Bethog securing $10 million for a crypto-native online casino, and Cluster Protocol raising $5 million for a decentralized AI protocol.

The KelpDAO incident, where a liquid restaking protocol on Ethereum was hacked, raises concerns about vulnerabilities in DeFi. The attack, allegedly linked to North Korea, exploited Layer Zero infrastructure, leading to significant losses for Aave. This incident has prompted a reevaluation of risk-return profiles in DeFi and the adequacy of multi-signature security measures. The podcast discusses the importance of diligence in asset listings within DeFi protocols, as recent issues with Mithos highlight operational vulnerabilities.

New York Attorney General Leticia James has filed a lawsuit against Coinbase and Gemini for allegedly violating state laws related to illegal gambling through their prediction market products. This legal action may lead to similar lawsuits in other states. The conversation also addresses insider trading in prediction markets, including a notable incident involving manipulated sensor data in a Paris temperature market.

Coinbase's Quantum Advisory Group has released a position paper on quantum computing's implications for blockchain security, emphasizing the need for proactive upgrades. Concerns are raised about the impact of post-quantum signature schemes on blockchain performance, particularly for Bitcoin.

The podcast reflects on Sam Bankman-Fried's decision to withdraw his motion for a new trial, acknowledging the dissatisfaction among creditors regarding asset sales. Legal proceedings are discussed, including Justin Sun's lawsuit against World Liberty FI, which has been dismissed. The podcast also addresses Tether's freezing of $344 million on Tron, flagged for potential illicit connections.

MicroStrategy's recent purchase of $2.5 billion worth of Bitcoin indicates strong market activity, with their STRC product performing well. The potential for a Bitcoin price increase could serve as a "mini bailout," and MSTR currently has about 18 months of cash to support dividend payments. The New York Stock Exchange is actively pursuing crypto partnerships, reflecting a broader trend of Wall Street firms engaging with crypto.

The conversation briefly touches on the upcoming sports draft and concludes with an acknowledgment of the ongoing search for Satoshi.