Meta has been exposed for earning approximately $16 billion in 2024 from a massive amount of fraudulent advertising.

The post The Channel Factories We’ve Been Waiting For appeared on BitcoinEthereumNews.com. Visions of future technology are often prescient about the broad strokes while flubbing the details. The tablets in “2001: A Space Odyssey” do indeed look like iPads, but you never see the astronauts paying for subscriptions or wasting hours on Candy Crush.  Channel factories are one vision that arose early in the history of the Lightning Network to address some challenges that Lightning has faced from the beginning. Despite having grown to become Bitcoin’s most successful layer-2 scaling solution, with instant and low-fee payments, Lightning’s scale is limited by its reliance on payment channels. Although Lightning shifts most transactions off-chain, each payment channel still requires an on-chain transaction to open and (usually) another to close. As adoption grows, pressure on the blockchain grows with it. The need for a more scalable approach to managing channels is clear. Channel factories were supposed to meet this need, but where are they? In 2025, subnetworks are emerging that revive the impetus of channel factories with some new details that vastly increase their potential. They are natively interoperable with Lightning and achieve greater scale by allowing a group of participants to open a shared multisig UTXO and create multiple bilateral channels, which reduces the number of on-chain transactions and improves capital efficiency. Achieving greater scale by reducing complexity, Ark and Spark perform the same function as traditional channel factories with new designs and additional capabilities based on shared UTXOs.  Channel Factories 101 Channel factories have been around since the inception of Lightning. A factory is a multiparty contract where multiple users (not just two, as in a Dryja-Poon channel) cooperatively lock funds in a single multisig UTXO. They can open, close and update channels off-chain without updating the blockchain for each operation. Only when participants leave or the factory dissolves is an on-chain transaction…

PANews reported on November 9th that Re7 Labs released a report on the impact of xUSD de-pegging, indicating that over $13 million in funds were affected by Stable Labs. The report stated: 1. Stream-xUSD: Stream's CEO has assured that the company's financial situation is stable and unaffected by market events. Stream has already partially repaid its lending positions on Plasma and $7 million worth of USDC held in Re7 Labs' vault on Worldchain. Meanwhile, to prevent further risk exposure, Re7 Labs has transferred all funds from the Earn vault out of the xUSD market. Furthermore, the cap on the xUSD market has been set to 0, and it has been removed from the Euler Earn vault's supply queue. 2. Elixir-deUSD and sdeUSD: After discovering last week that borrowers using deUSD and sdeUSD as collateral appeared to be associated with Stream, they began to reduce their risk exposure to Stream and Elixir. Specific measures included lowering investment limits and moving funds out of markets that included xUSD, deUSD, and sdeUSD. Currently, all borrowing positions using sdeUSD as collateral have been fully repaid on Plume. 3. Stable Labs-USDx and SUSDx: We communicated with Stable Labs CEO Flex this week and found that he may be in trouble. We have asked him to deposit liquidity so that users can close their positions. The funds affected by Stable Labs are approximately $13,114,000 and we have not yet received a response. Re7 Labs stated that it is seeking legal advice and will develop appropriate legal and strategic responses after a comprehensive assessment of all aspects of the incident.

The post Network States Are the Future, the Nation-State Model Is Dying: Author appeared on BitcoinEthereumNews.com. The nation-state model is eroding and losing relevance, according to Jarrad Hope, author of “Farewell to Westphalia: Crypto Sovereignty and Post-Nation-State Governance” and co-founder of Logos, a project developing blockchain tools and decentralized digital infrastructure for network states, sovereign communities that exist in cyberspace. “Modern nation-states are nearly 380 years old, predating even the scientific discovery of oxygen and gravity,” Hope told Cointelegraph, adding that the internet and blockchain present new tools for organizing society that allow people to build across geographies. These tools include inflation-resistant decentralized digital currencies, immutable ledgers for tamper-free records, smart contract platforms for automated financial and legal agreements, privacy-preserving protocols, and decentralized autonomous organizations (DAOs) for transparent community governance. Hope added:  “Traditional governance asks you to trust unelected bureaucrats, unfamiliar people, and opaque processes. Blockchain-enabled communities, by contrast, lean on transparent infrastructure that narrows the domain of trust.” The abstract for the Logos project. Source: Logos He also said that the biggest obstacle network states face is resistance from established nation-states and institutions, including multinational corporations, and pointed to the UK Online Safety Act as an example of centralized control over digital infrastructure. The slow emergence of network states is a popular topic in the crypto community, built on the core ideals of decentralization, transparency, equal access, immutability, and the right to privacy, central to the cypherpunk ethos at the heart of cryptocurrencies. Related: The EU’s two-tier encryption vision is digital feudalism Network states are being attempted, but they need more than blockchain to stay afloat Several attempts have been made to establish a network state or form micronations that declare independence, including Bitnation in 2014, a project that attempted to create a borderless, blockchain-based state. However, none of these efforts has yielded a successful and autonomous network state that functions as a sovereign nation…