CoinMarketCap News, August 30: Twitter (and Web3!) Has a Bot Problem. How Do You Get Rid of Them?
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CoinMarketCap News, August 30: Twitter (and Web3!) Has a Bot Problem. How Do You Get Rid of Them?

Created 5mo ago, last updated 1mo ago

Also today — the lawyer who was secretly recorded calling juries "idiots" and claiming he sues half the companies in crypto speaks out.

CoinMarketCap News, August 30: Twitter (and Web3!) Has a Bot Problem. How Do You Get Rid of Them?

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Editor's Note: How to Get Rid of the Bots

Molly Jane Zuckerman writes...

Bots have been on everyone's mind lately, and Elon Musk's most of all. Bots are the reason that Musk wanted to buy Twitter in the first place — to remove all the bots! And bots are the reason that Musk wants to now not buy Twitter at all — there are too many bots!

Bots flood your Twitter feed, comment about free giveaways, and send you DMs of fake private key seed phrases to somehow steal your money. Bots are everywhere.

And, it turns out, "everywhere" also means all over Web3. A tweet went viral this week that analyzed the amount of bots in a variety of Web 3 cryptocurrency games: more specifically, 60 games had 200,000 bots. According to this data sample, the average Web3 game is made up of 40% bots.
Now, we all know that Web 3 crypto token games are not quite as fun yet as Web2 games. In an earlier muse this month, we spoke about how the graphics and the game play for most play-to-earn games are quite far behind the traditional gaming world. It does, therefore, make sense that these nascent Web3 games — with gameplay centered around token earning rather than storytelling — would be filled with bots trying to make their owners/creators/handles somewhere on the internet a lot of money.
On the other hand, Web3 is supposed to be better than Web2. Web3 is all about censorship resistance, giving back control of your data to you rather than to companies that can profit off of it. I don't think that an ideal Web3 world has ever been imagined as 40% bots.

So, how can we solve the bot issue? At one point, it seems like Elon was about to give us a lesson in bot fighting after his acquisition of Twitter, but it seems like the bots (or the excuse of bots) sent him running.

Perhaps it will be in Web3 after all that an anti-bot solution could be found eventually — or in the Twitter comments. As one users wrote on the viral thread:

"If bots > humans in value extraction, then the game will consist mostly of bots. What's the solution? Align the incentives to behavior where humans > bots How? 🤷‍♂️ waiting to see."

Ava Labs lawyer hits back 🚨

The lawyer at the center of a damning Crypto Leaks article has claimed he was the victim of a "deliberate scheme to intoxicate" him. Secretly recorded videos of Kyle Roche featured in a piece alleging that his law firm and Ava Labs had formed an "extraordinary secret pact" to attack rival crypto projects. In a statement, Roche lambasted the article for containing "false statements and illegally obtained, highly edited video clips that are not presented with accurate context." He also insisted there is no pact between Roche Freedman and Ava Labs, adding: "They have never asked that I do anything underhanded, illegal or of questionable ethics." Ava Labs founder Emin Gün Sirer has described the article as a "scurrilous hit-piece."

Ethereum faces huge setback 😵

Ethereum could be at risk of a huge setback — days before the blockchain undergoes the most significant upgrade in its history. The cloud storage provider Hetzner — which hosts 15% of Ethereum's nodes — has warned that mining and staking is against its terms of service. Based in Germany, Hetzner is the second-most popular cloud services provider for Ethereum miners at present, while Amazon Web Services has 55% market share. In an official statement on Reddit, the company warned: "Using our products for any application related to mining, even remotely related, is not permitted. This includes Ethereum. It includes Proof-of-Stake and Proof-of-Work and related applications. It includes trading."

Fugitive crypto CEO arrested 👀

The fugitive CEO of a collapsed Turkish crypto exchange has been arrested in Albania. Faruk Fatih Özer was the subject of an Interpol red notice sent to law enforcement agencies around the world — and Turkish prosecutors want to sentence him to 40,000 years in prison. Thodex collapsed last year and it's estimated that thousands of customers lost $24 million — but Chainalysis puts this figure closer to $2 billion. Özer was captured in the city of Vlora at dawn on Tuesday, and work is now underway to extradite him. Last April, Özer had released a statement where he vowed to repay those who lost money and return to Turkey to face the consequences — but he never did.
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