CryptoCat.🇺🇦

the east asian energy crisis is getting worse by the day let's sum up what's happened so far: the Philippines became the first country to declare a national energy emergency. government offices moved to a 4 day work week, and President Marcos says grounding planes is a "distinct possibility." their fuel supply dropped from 57 days to 45 days in less than a month. South Korea is telling citizens to take shorter showers and charge phones during the day. they're considering banning naphtha exports, which means petrochemical production starts seizing up. Japan released 80 MILLION barrels from strategic reserves, the largest drawdown since they created the system in 1978. covers about 45 days. 95% of their crude comes from the Middle East. their refineries are canceling fuel exports and cutting production to prioritize domestic supply. (talked about this in my newsletter) Vietnam has 20 days of reserves. they just panic-bought 4 million barrels from non-Middle East sources, which covers six more days. India is running out of cooking gas. restaurants are shutting down, lines wrapping around LPG distributors in multiple cities. 90% of their LPG imports go through Hormuz. New Zealand has less than 40 days of combined fuel left, gas stations are going dry in parts of the country, and the government is dusting off 1979 era rationing laws. China and Thailand have both banned or restricted fuel exports to hoard domestic supply. Singapore and Indonesian petrochemical companies are declaring force majeure. the IEA released a record 400 million barrels from strategic reserves and then said it won't be enough. Brent peaked at $126, still sitting above $90 today. the crisis deepens in East Asia.

NEW: First look at X’s upcoming “Region Conversation Control” feature Users will be able to restrict replies to their posts based on specific geographic regions. (📸 Aaron)

Earlier today, a user attempted to buy AAVE using $50M USDT through the Aave interface. Given the unusually large size of the single order, the Aave interface, like most trading interfaces, warned the user about extraordinary slippage and required confirmation via a checkbox. The user confirmed the warning on their mobile device and proceeded with the swap, accepting the high slippage, which ultimately resulted in receiving only 324 AAVE in return. The transaction could not be moved forward without the user explicitly accepting the risk through the confirmation checkbox. The CoW Swap routers functioned as intended, and the integration followed standard industry practices. However, while the user was able to proceed with the swap, the final outcome was clearly far from optimal. Events like this do occur in DeFi, but the scale of this transaction was significantly larger than what is typically seen in the space. We sympathize with the user and will try to make a contact with the user and we will return $600K in fees collected from the transaction. The key takeaway is that while DeFi should remain open and permissionless, allowing users to perform transactions freely, there are additional guardrails the industry can build to better protect users. Our team will be investigating ways to improve these safeguards going forward.

Earlier today, a user attempted to buy AAVE using $50M USDT through the Aave interface. Given the unusually large size of the single order, the Aave interface, like most trading interfaces, warned the user about extraordinary slippage and required confirmation via a checkbox. The user confirmed the warning on their mobile device and proceeded with the swap, accepting the high slippage, which ultimately resulted in receiving only 324 AAVE in return. The transaction could not be moved forward without the user explicitly accepting the risk through the confirmation checkbox. The CoW Swap routers functioned as intended, and the integration followed standard industry practices. However, while the user was able to proceed with the swap, the final outcome was clearly far from optimal. Events like this do occur in DeFi, but the scale of this transaction was significantly larger than what is typically seen in the space. We sympathize with the user and will try to make a contact with the user and we will return $600K in fees collected from the transaction. The key takeaway is that while DeFi should remain open and permissionless, allowing users to perform transactions freely, there are additional guardrails the industry can build to better protect users. Our team will be investigating ways to improve these safeguards going forward.

guh

geopolitics → macro → crypto key indicators now: oil, DXY, UST 2Y/10Y we are still in the range but it's a typical time to stay cautious

Afghanistan’s education minister has announced that women are permanently banned from schools. UN Women has not said a word.