Global investment firm VanEck has announced it will allocate 10% of the profit generated from its Ether futures exchange-traded fund (ETF) to Ethereum’s core developers for a period of “at least 10 years.”

Authorities in Singapore have arrested the Co-Founder of the bankrupt cryptocurrency hedge fund Three Arrows Capital (3AC), who was apparently attempting to flee the city-state from Changi Airport.

The Monetary Authority of Singapore has handed the Nasdaq-listed cryptocurrency exchange Coinbase a Major Payment Institution license, which allows Coinbase’s Singapore entity to provide more Digital Payment Token services to both retail and institutional customers.

Top stories in the Crypto Roundup today:

• VanEck to Donate 10% of Ether Futures ETF Profits to Ethereum Developers
• Co-Founder of Bankrupt Crypto Hedge Fund Arrested in Singapore
• Coinbase Gets Major Payment Institution License in Singapore

VanEck to Donate 10% of Ether Futures ETF Profits to Ethereum Developers

Global investment firm VanEck has announced it will allocate 10% of the profit generated from its Ether futures exchange-traded fund (ETF) to Ethereum’s core developers for a period of “at least 10 years.”

Protocol Guild is the beneficiary of this charitable act. The Protocol Guild is a group that works on the development, governance, and improvement of the Ethereum protocol. The guild comprises developers, researchers, and other vital participants collaborating to improve the Ethereum network.

They have various responsibilities, such as suggesting and evaluating upgrades to the protocol, ensuring its security and scalability, and more. The guild also plays a key role in bridging the gap between different actors in the Ethereum ecosystem, such as developers, miners, and users, to achieve a consensus on various matters.

The guild’s role is crucial given the decentralized nature of Ethereum, where protocol changes require broad agreement. The Protocol Guild helps to foster dialogue, provide technical guidance, and even offer governance models, to uphold the democratic and transparent values of the network.

VanEck expressed that it is fair for investment managers to give back some of their profits to the community that develops the cryptocurrency protocol. The firm urged other asset managers and ETF issuers to think about a similar approach, saying that traditional finance (TradFi) should reward the efforts of Ethereum’s core contributors.

VanEck is preparing to launch its Ether futures ETF, the Ethereum Strategy ETF (EFUT). Which will invest in standardized, cash-settled ETH futures contracts trading on exchanges registered with the Commodity Futures Trading Commission (CFTC).

Co-Founder of Bankrupt Crypto Hedge Fund Arrested in Singapore

Authorities in Singapore have arrested the co-founder of the bankrupt cryptocurrency hedge fund Three Arrows Capital (3AC), who was apparently attempting to flee the city-state from Changi Airport.

The arrest unfolded on Friday, according to the liquidators presiding over 3AC’s bankruptcy estate. Zhu and co-founder Kyle Davies have both been given a four-month imprisonment sentence, according to the financial advisory firm handling 3AC’s liquidation, Teneo.

While Zhu is now in custody, Davies’ whereabouts remain unclear. At its peak in 2022, Three Arrows Capital managed around $10 billion in assets, and filed for bankruptcy in mid-2022 amid a cryptocurrency market crash and a risky trading strategy that wiped out its assets and left it unable to repay lenders.

The hedge fund had numerous counterparties, and its collapse led to a wave of bankruptcies in the industry. With Zhu in custody, Teneo is looking to cooperate with him on issues related to 3AC, “focusing on the recovery of assets that are either the property of 3AC or that have been acquired using 3AC’s funds.”

Coinbase Gets Major Payment Institution License in Singapore

The Monetary Authority of Singapore has handed the Nasdaq-listed cryptocurrency exchange Coinbase a Major Payment Institution license, which allows Coinbase’s Singapore entity to provide more Digital Payment Token services to both retail and institutional customers.

Coinbase’s local banking partner in Singapore is Standard Chartered, and the company’s products were tailored to meet local demands. Its products include simple account funding options such as PayNow and FAST bank transfers, as well as fee-free USDC purchases.

The license sees Coinbase join a number of other cryptocurrency operators in the region with full licenses, including Crypto.com and Blockchain.com.

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