TL;DR: Microsoft’s Activision acquisition could spur crypto adoption in gaming. Tether appointed its CTO as CEO. Leaked audio from Alameda’s Caroline Ellison revealed new details about the FTX crisis.

Crypto and Gaming Set for Boost Under Microsoft-Activision Deal

Microsoft’s record $68.7 billion acquisition of Activision Blizzard, the largest ever in gaming, could have major implications for Web3 and crypto adoption within the industry.

The deal unites Microsoft’s gaming, software and enterprise capabilities with Activision’s leading game franchises like Call of Duty and World of Warcraft. According to leaked documents, both companies had already explored potential crypto and metaverse plans.

“This massive new gaming powerhouse has all the ingredients to accelerate metaverse adoption for remote work and play, as well as crypto integration into triple-A games,” said Simon Wu, partner at Liberty Gaming Fund.

With the Xbox division focused on long-term strategic growth rather than short-term profits, Microsoft seems intent on dominating the future of digital interactive experiences. Crypto gaming and metaverse initiatives align with this vision.

CEOs Satya Nadella of Microsoft and Bobby Kotick of Activision have both expressed strong interest in expanding their companies’ presence in new digital spaces like the metaverse.

Under their combined umbrella, crypto and Web3 in gaming may finally gain mainstream traction.

Tether Appoints CTO Paolo Ardoino as New CEO

Tether, issuer of the widely used USDT stablecoin, has appointed its Chief Technology Officer Paolo Ardoino as the new CEO.

Ardoino will take over from current Tether CEO Jean-Louis van der Velde in December. The move reflects Tether’s efforts to grow its business beyond stablecoins into areas like Bitcoin mining, peer-to-peer platforms and renewable energy.

“Paolo has been leading Tether’s innovation and expansion strategy for years now, so he’s a natural fit for the top job as they diversify into new markets,” said Nicole Zhang, partner at DAO Ventures.

Ardoino will continue overseeing Tether’s technology as CTO. Tether remains the largest stablecoin by market cap, though its share of the total supply has dropped as competitors like USDC have gained ground.

The leadership change comes as Tether aims to improve transparency and maintain growth amidst increased regulatory scrutiny of stablecoins.

Leaked Recording Reveals Inside View of Alameda’s FTX Dealings

Leaked audio has provided new insights into Alameda Research’s improper use of FTX customer funds, as described by former CEO Caroline Ellison.

In a Nov. 9 staff meeting recording, Ellison said Alameda had borrowed heavily from FTX to make illiquid investments. When FTX issued margin calls, Alameda was unable to repay them fully, leading to the customer fund shortfall.

“This confirms Alameda leaned on FTX for financing while disregarding proper risk management,” said Kyle Chapman, partner at Solidus Capital.

Ellison admitted FTX gave Alameda special privileges to “borrow” user funds at will, illuminating the complete lack of separation between the two companies’ finances.

The leaked recording underscores the dire transparency and governance failures at these companies that led to their collapse. Without accountability, crypto’s merits fade to hype. Our reckoning must pave the way for rebuilding.

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