The vulnerability was discovered after Taiwanese singer Jay Chou had a Bored Ape NFT stolen in April, prompting the researchers to look into the details of the attack. After the researchers responsibly disclosed their findings to Rarible, Rarible implemented a fix. Rarible removed the ability for users to upload SVG files to patch the vulnerability; it's not clear if they intend to restore that functionality.
The project has been delayed so many times that it has become a bit of a running joke — crypto critics regularly describe the Ethereum PoS migration as something that has been "only six months away" for several years now. Meanwhile, it has proven a useful way for Ethereum fans to dismiss the valid concerns about the enormous energy expenditure of their preferred blockchain, as though enormous emissions and e-waste are somehow a non-issue if there is some vague plan at some perpetually-in-the-future point to move away from them.
Anyway, Ethereum developers have projected new levels of optimism lately, with several of them describing "the merge" as imminent — I believe a June timeframe was the popular estimate. Unfortunately, this appears to have been just as unachievable as the prior "deadlines", with an Ethereum core developer stating it was now looking like it wouldn't happen until some time this autumn. This is particularly brutal timing, given Nilay Patel's interview yesterday with a16z's Chris Dixon, where he confidently pointed to an early July "merge" date (only to become substantially less confident when pressed on specifics). Anyway, see you this fall for the next hype cycle — between now and then, Ethereum will have again consumed energy comparable to the amounts used annually by some small countries, for little if any useful purpose.
In the order, the Commissioner alleged that the project was "leveraging interest in metaverses to perpetrate a high-tech fraudulent securities offering", and had been falsely claiming to their followers that securities laws don't apply to NFTs. "They are misleading purchasers by claiming they can simply avoid securities regulation by implementing illusory features or use different terminology," the Commissioner's announcement said.
The day after the announcement, Brown released a statement saying that he had been drawn in by the hope that NFTs would allow him to avoid "big companies whose sole focus is strong-arming away the rights to projects they've never been a part of to turn a big profit." He wrote, "I felt that if I didn't jump on it myself, someone else would, without the love, care, and artistry we believe in". He concluded that, given the response from his fans, he would not be continuing the NFT project. Some encouraged him to use the artwork that had already been created for merchandise or other non-NFT art sales.
The day after the announcement, crypto influencer "Cobie" wrote on Twitter, "Found an ETH address that bought hundreds of thousands of dollars of tokens exclusively featured in the Coinbase Asset Listing post about 24 hours before it was published, rofl". The wallet had spent around $400,000 on multiple currencies listed in the announcement, which certainly appears as though they knew about the contents of the announcement before it was published.
This is not the first time allegations of insider trading have been made based on Coinbase announcements. In February, a trader made a profit of over $700,000 by trading on what appeared to be advance knowledge of two upcoming Coinbase announcements.