John Deaton, a well-known figure in the cryptocurrency industry, recently offered his thoughts on the SEC head Gensler’s position about bitcoin.

This comes after Gensler remarked that BTC was not a security. Gensler believes that everything except bitcoin is security. Seeing Bitcoin Maxis applaud Gary Gensler’s claims that everything other than bitcoin is security is pitiful, according to Deaton. 

Deaton bases his argument on the point that Gensler did not let a spot bitcoin ETF be traded, but he did permit professional traders (investment banks) to trade futures and short ETFs.

What ETFs and why should you care

Exchange-traded funds (ETFs) provide investors with a simplified way to get exposure to bitcoin without having to purchase any of the cryptocurrencies themselves. This simplified investing strategy eliminates the need for customers to open an exchange account or manage cryptocurrency wallets, so saving them time and effort.

In conventional finance, an exchange-traded fund (ETF) is a kind of investment that mirrors the performance of another asset or a combination of assets. Exchange-traded funds (ETFs) provide a convenient option to invest in a wide variety of assets without having to physically possess any of them.

When it comes to bitcoin, an exchange-traded fund (ETF) simply follows the price of bitcoin.

An ETF (exchange-traded fund) that tracks bitcoin’s price allows investors to acquire exposure to bitcoin’s price appreciation without requiring them to go through the steps of actually purchasing bitcoin themselves (such as signing up for an exchange and through different verification techniques).

Yet, the bitcoin ETF is restricted in its own right. In October 2021, the ProShares Bitcoin Strategy ETF (BITO) became the first bitcoin exchange-traded fund (ETF). An exchange-traded fund (ETF) invests not in bitcoin itself but rather in bitcoin futures contracts.

Bitcoin spot ETF battle

Crypto businesses have proposed numerous bitcoin spot ETF designs to the SEC throughout the years. Several firms have legitimized the Bitcoin futures ETF. Despite having two “crypto-positive” chairmen, the SEC has refused to approve a bitcoin spot ETF in the US for years.

Jay Clayton, SEC chairman from May 4, 2017, until Dec. 23, 2020, likes bitcoin as a store of value. Clayton rejected all bitcoin ETF proposals. BITO operates without SEC clearance since it is registered with the 1940 Company Investment.

Gary Gensler, Clayton’s successor, authorized ProShares’ BITO. Valkyrie and Van Eck ETF applications were also approved. Grayscale may launch the first Bitcoin spot ETF.

Grayscale, which owns the first SEC-approved, publicly traded Grayscale Bitcoin Trust (GBTC), presented the Bitcoin spot ETF to the SEC in 2016. Due to a deadlock, the group withdrew in 2017. GBTC, like BITO, does not require SEC clearance to start operations. After a holding period, authorized investors may trade GBTC over the counter.

Grayscale threatened to sue the SEC in March 2022 if its current efforts to turn GBTC into the first bitcoin spot ETF failed. The SEC argues market manipulation is the biggest obstacle to bitcoin spot ETF registration.

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Shibu Inu could be in trouble amid massive transfers witnessed from SHIB wales just after Voyager also made reports of some Sell-offs of the meme coin.

The price of Shiba Inu could take a significant blow if there is a considerable drop in demand for the stock in the near term or the medium term amid these developments. 

Transaction alert: Whale moves 183 billion SHIB

A “smart money” investor reportedly carried out a sizable Shiba Inu transaction a few hours before the press time, as reported by an on-chain data source called Lookonchain. The whale recently transferred 182 billion SHIB to the cryptocurrency exchanges Crypto.com and Gemini, which is equal to around $2.3 million.

This came after Lookonchain yesterday said that Voyager is selling assets via Coinbase most of which are comprised of SHIB tokens. Coinbase has given Voyager $100 million USDC over the last four days. Since Feb. 14, Voyager has been sending assets to Coinbase almost daily.

A further major drag on the SHIB price is possible if Voyager is in fact selling all of its crypto holdings. However, the price of Shiba Inu had increased by over 1.5% in the previous twenty-four hours, according to CoinMarketCap as of the time of writing, showing that the developments’ impact is yet to be witnessed on SHIB’s price.

The SHIB whale could have a significant impact on SHIB’s performance

According to Lookonchain, if these transactions carry on, the price of the meme coin could see downward movements.

This could be related to when the whale moved a similar quantity of SHIB to Crypto.com in the past, causing the cost of SHIB to drop by 7% shortly after that. 

It was about the middle of December 2022 that the whale made a transaction to the Singapore-based exchange, which included the transfer of 200 billion SHIB worth 1.67 million USD, according to data provided by the blockchain analytic firm. In addition, the price of SHIB dropped by 7% around five hours following his move.

According to the data source, smart money purchased SHIB at a meager price. This was witnessed on August 2020, when the anonymous whale spent only 10 ETH to buy a staggering 15.28 trillion SHIB totaling the amount paid for the property to just $3,796.

After that, he traded SHIB on Uniswap and earned 1,967 ETH, equivalent to around $7 million. Moreover, the whale began selling Shiba Inu on centralized platforms when the meme currency was listed on exchanges such as Binance and Crypto.com.

He made purchases in SHIB whenever the price was low and sold his holdings in SHIB whenever the price was high. This intelligent money investor might significantly influence the price in the near term, even though it is impossible to say with absolute confidence that the whale will really sell their tokens.

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More than 150,000 ETH was staked in a single day on Lido Finance, which then activated one of its safety features. It will introduce a staking rate restriction. The new protocol safety feature is known as the “staking rate restriction.”

The “dynamic mechanism” was engaged once the daily staking limit of 150,000 ether was achieved, as stated in a tweet from the liquid staking protocol that was published on Feb. 25.

Lido discussed the “safety valve” in a related tutorial. It is meant to restrict the amount of staked ether that may be mined during significant inflows. This is done to handle any possibly undesirable impacts, such as rewards dilution.

According to the explanation, this indicates that it is only feasible to send this quantity of ETH to the Lido staking contracts for a duration of 24 hours.

The system works by setting a limitation on the number of ETH that may be mined, which is determined by the amount of ETH that has been deposited over the previous 24 hours. The capacity is replenished at a rate of 6,200 ETH per hour.

According to Lido, it operates by reducing how much total stETH can be mined at any one time per the most recent deposits and then replenishing this potential on a block-by-block basis.

Lido affirms that the mechanism that limits the staking rate will have an effect on any and all parties that may attempt to mint stETH, independent of the method.

Lido staking is gaining popularity

Lido is a method for liquid staking that can be used for digital assets. It gives users the ability to stake ether without requiring them to lock their tokens beforehand. When a user makes a deposit of ETH, Lido offers them a liquid variation known as staked ether (stETH). This kind of coin is recognized for offering customers staking incentives for each day the tokens are kept in their wallets.

By Feb. 27, more than $8.9 billion in ETH have been staked via the protocol, according to Lido Finance’s website, a huge increase from the $5.8 billion announced on Jan. 2. This follows recent news that revealed massive ETH stakes placed by Tron’s founder Justin Sun.

The most recent update from Lido comes as the number of Ethers r staking is said to have increased further in anticipation of the Shanghai upgrade. Midway through March sees the release of the Ethereum Shanghai update, prompting talk of potential effects on the Ether price.

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Kevin O’Leary, a venture capitalist who is also known as one of the key investors and a supporter who many times been outspoken about the FTX fiasco, has recently voiced some harsh opinions against unregulated crypto exchanges.

According to a post that the star of the television show “Shark Tank” made on Twitter on February 23, O’Leary predicted that digital asset exchanges would continue to fail unless the cryptocurrency industry were subjected to stringent new regulations.

O’Leary says more failures coming

O’Leary commented on the FTX collapse earlier in February, saying that he didn’t expect a lot more news or dialogue to come out of it other than about recovery but that the entire situation had “poked the bear in Washington,” as it drew the attention of the decision-makers to the need for regulating crypto, and that he didn’t expect a lot more news or dialogue to come out of it other than about recovery.

He also maintained his stance that the cryptocurrency market will witness an increase in the number of companies declaring bankruptcy, with projections of “another meltdown to zero” that will “keep happening over and over” and that regulation will reduce the impact that rogue players have on the market.

Most of the responses to his tweet suggested that O’Leary’s current views had much to do with his experience with FTX. This was indicated by blockchain architect MartyParty, who emphasized that “FTX was never a crypto exchange” but rather a “honeypot designed by a traditional finance criminal.” His tweet stirred criticism from the cryptocurrency community.

Others have mentioned that his tweet might have been a jab at Binance, as the venture capitalist hypothesized that FTX was put out of business deliberately by the competing cryptocurrency exchange while making a testimony to the Senate Banking Committee in December. 

Deaton responds to O’Leary

At the same time, a defense attorney by the name of John E. Deaton, who is well-known in the cryptocurrency community for his coverage of the lawsuit between blockchain company Ripple (XRP) and the SEC, responded to O’Leary’s tweet by quoting it and implying that O’Leary lacked the authority to pass judgment on the cryptocurrency businesses.

In particular, Deaton referred to Sam Bankman-Fried (SBF), the founder of FTX. SBF is awaiting trial for multiple counts of fraud and has been referred to as “the Bernie Madoff of crypto” by prominent figures in the industry, such as Robert Kiyosaki, the author of “Rich Dad Poor Dad.”

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According to Jeremy Allaire, Circle’s founder and CEO, there are better institutions than the US SEC to oversee stablecoins. The leader of Circle is quoted as saying that stablecoins are payment channels and not securities.

Circle’s USD Coin USDC is the biggest stable coin issuer in the world. Because of its $42.2 billion in circulation, it controls 31% of the currency market. According to charts, tether continues to dominate the stablecoin market with a supply of $70.6 billion and a market share of 52%.

The chief executive officer of Circle provided his opinions on the SEC and its recent actions to crack down on the cryptocurrency sector, including the stablecoin issuer Paxos, in an interview on Feb. 24 with Bloomberg.

Allaire seems to have taken issue with the SEC’s emphasis on stablecoins, stating that dollar-pegged “payment stablecoins” should be subject to the supervision of a banking authority rather than the SEC. This is the case.

Allaire asserts that there is a reason why governments all around the globe, including the government of the United States of America, expressly emphasize that payment stablecoins are payment channels and banking regulation activity.

When the SEC issued a Wells notice to BUSD issuer Paxos, Circle issued a statement last week confirming that it had not been the subject of an investigation by the SEC.

There are plenty of varieties, as we like to say. Not all stablecoins are made equal, but, obviously, from a policy standpoint, the consistent position throughout the globe is that this is a payment system, prudential regulator area.

Circle CEO Jeremy Allaire

The CEO of Circle, however, stated his support for a recent SEC proposal on crypto custody that would significantly restrict the ability of exchanges to act as custodians.

On Feb. 23, Allaire agreed with SEC Commissioner Hester Peirce’s suggestion that the agency consults Congress. However, some people think the SEC is trying to regulate and enforce crypto independently because of the absence of legislation.

Contrary to the prevalent tendency in the crypto industry, Circle is increasing its workforce by as much as 25%, according to the article.

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In reaction to the BIS governor’s comments that fiat had “won the war,” against crypto and that “technology doesn’t make for trustworthy money,” a few people in the crypto community have spoken out. 

Binance CEO CZ, Mike Novogratz, and ex-portfolio manager Travis Kling shared their thoughts on Agustin Carstens’ remarks.

Travis Kling: Agustin Carstens could be right

Kling maintains that BIS’s top brass could actually know something. In Kling’s view, bitcoin has not performed as a currency but as a losing share of software as a service company.

Kling explains that nothing seems likely to alter this trend very soon, as he anticipates that bitcoin will fluctuate in the future in much the same way as an underperforming SAAS stock would.

Even if stablecoins are the most widespread use of cryptocurrencies, Kling argues that this is hardly a victory for cryptocurrencies over cash. Instead, he views cryptocurrency as a means of gaining access to fiat currency, and more notably, the US dollar, which is in high demand.

“If you look at the current state of the cryptocurrency market, it’s easy to understand why he’s happy with fiat. Fraudsters and unethical actors have stomped all over the cryptocurrency market. Unfortunately, regulators have this situation firmly in their grasp, and there is currently not enough political will in Washington, DC, to mount a meaningful counterattack.”

Travis Kling, ex-portfolio manager.

Yet, Kling suggests there is still cause for optimism. He still is of the opinion that examining how much good crypto has done in the world so far and what the future holds before making any judgments is vital hence not entirely ruling out crypto.

In Novogratz’s opinion, Carstens has had a tenacious attitude that doesn’t bear up to the facts. Novogratz disagreed with the BIS head’s stance while replying to Kling’s thread.

Many fiat currencies have lost nearly half their value in the previous decade and both bitcoin and ethereum have seen tremendous price increases, something Vitalik believes Carstens should be aware of.

CZ replies to Novogratz

In his response to Carstens, CZ reiterates Novogratz’s view that this is not a war. Tech reportedly doesn’t choose fights, at least according to CZ.

“It’s up to you to utilize it or not, depending on your preferences. Yet the number of users is expected to grow… Well, let’s check it out.”

CZ, Binance CEO.

It is clear that to the BIS, there is a war on against crypto. For the crypto community, the industry is about building technology for the future. .

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Online music streamer Spotify is now testing a new feature called token-enabled playlists. It will allow users who possess NFTs to link their wallets and listen to music that has been handpicked for them.

The pilot is, however, only accessible to Android users in the United States, the United Kingdom, Germany, Australia, and New Zealand.

Fluf, Moonbirds, Kingship, and Overlord community members who own tokens may use the service. During the trial phase, which will last for three months, the curated playlists will be continuously updated, and only community members can access them using a unique URL.

Overlord, the Web3 gaming and media universe, also announced on Feb.22 that owners of its lizard-themed Creepz NFT project might access its community-curated “Invasion” soundtrack by connecting their Web3 wallets to Spotify.

The NFT band Kingship from Universal Music Group also said it had developed a token-gated playlist for token owners, which included songs by artists such as Queen, Missy Elliott, Snoop Dogg, and Led Zeppelin.

Apoorv Lathey, Liquidity protocols NFT lead developer, also tweeted a snapshot from the pilot that outlined, in step-by-step fashion, how users may access KINGSHIP’s selected playlist on Spotify. The screenshot indicates that NFT holders can connect to their Metamask, Trust Wallet, Rainbow, Ledger Live, or Zerion wallets.

Is Spotify looking to build on NFTs?

A Spotify representative claimed that it often ran a variety of tests in an attempt to enhance its customer experience.

According to the spokesman, some ultimately wind up paving the route for their more extensive user experience, while others serve as essential learnings.

Spotify did not share any other specifics about their future intentions to use the functionality more widely.

The worldwide streaming network, which has more than 489 million subscribers, has dabbled in the past with the concept of incorporating NFTs into the operation of its service. A small handful of musicians, including Steve Aoki and The Wombats, were granted permission by Spotify in May 2022 to advertise NFTs on their profiles.

Throughout this time, several web3 music platforms have emerged to decentralize the experience of listening to music. For instance, Audius is a crypto-linked streaming service that enables users to receive AUDIO token incentives for engaging with the service’s app. In addition, Royal and another block are two platforms that will allow composers to sell music royalties as fractionalized NFTs.

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Forbes writer Dr. Roslyn Layton has submitted an updated petition to the court to get permission to participate in the case and access the Hinman Speech documents.

A few weeks ago, Layton made the first proposal, demanding a release of the documents. Several people working in the bitcoin business think the legal dispute between the SEC and Ripple is the most important. Supposing Ripple is successful, it is anticipated that the commission’s attitude to regulatory matters will shift. 

Layton: The documents carry high stakes in the lawsuit

James K. Filan, a lawyer who supports XRP, logged onto Twitter and tweeted the updated petition that Layton had filed. Layton has emphasized in the motion to intervene that the stakes are “extraordinarily high” not just for Ripple but also for its chief executive officers and the multitudes of XRP holders who have suffered heavy losses in the billions of dollars as a result of the “SEC’s misguided attempt at supposedly protecting them.” 

According to the motion, the supposed guidance that Hinman offered in that speech has proven to be incomprehensible. Layton declared one cryptocurrency asset, ethereum (ETH), to be entirely outside the securities laws. At the same time, the SEC seeks billions of dollars in penalties from Ripple’s virtually identical offering for allegedly violating those laws.

Hinman’s position in the lawsuit

Since Hinman had a financial position in promoting ethereum to the exclusion of other currencies like XRP, this discrepancy has given rise to significant worries about possible conflicts of interest. These concerns stem from the fact that Hinman had a financial investment in promoting ethereum.

The Hinman Speech Papers will reveal whether ethereum’s SEC proponents had unwarranted interference in making Hinman’s message or whether administration officials assumed the advice offered in the speech was muddled or deviated too far from predetermined norms. These questions will be answered in the affirmative if the papers are released. As a result, providing access to the general public will be a fundamental need, as mentioned in the motion.

In addition, it said that the SEC’s argument that this Court has deemed the materials irrelevant is false. Yet, it also emphasized that the SEC had stated the papers are relevant to “the summary judgment motions” when it presented them in support of its summary judgment argument. This was one of the points that the court stressed.

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Stablecoins backed by fiat currencies may be exempt from regulation provided their reserves are liquid and undergo monthly audits, according to Canadian watchdogs. This comes as s new report by the CSA reveals a new set of guidelines for crypto entities, most of which were directed to stablecoin issuers.

The Canadian Securities Administrators, comprised of securities regulators from each of Canada’s ten provinces and three territories, compiled a list of new requirements for cryptocurrency companies that wish to remain legally compliant as stablecoin platforms stand in the middle of the agency’s crosshairs.

Algorithmic stablecoins won’t be allowed

Without the previous written authorization of the CSA, crypto asset trading platforms inside the nation will no longer be permitted to enable its consumers to acquire or deposit stablecoins or any other “Value Referenced Crypto Assets” (VRCAs) without approval. To get approval, it is necessary to fulfill the several due diligence criteria imposed by the administrators, one of which is to guarantee that the stablecoin is backed by fiat currency.

The CSA does not anticipate giving their agreement regarding a VRCA that is not entirely supported by a good reserve but instead maintains its value via an algorithm. This is because CSA does not plan to supply such a VRCA.

Canadian authorities choose to use the word VRCA rather than “stablecoin” since several cryptocurrencies that claim to be stable have shown otherwise. For example, TerraUSD (UST), the third-largest stablecoin by market size, lost its peg to the dollar in May last year due to algorithmic issues.

Only “highly liquid assets” (cash and cash equivalents) maintained with a licensed custodian are permitted for trading platforms to facilitate the purchase and sale of such tokens in compliance with the CSA. In addition, independent auditors must evaluate them periodically, and the results must be made public ” timely.”

Stablecoin issuance must comply with Canadian security laws

Since “fiat-backed crypto assets typically fit the definition of security,” distributions of these tokens must likewise adhere to Canadian securities regulations.

In the same vein as fiat-backed crypto assets, CSA would usually regard VRCAs tied to or backed by assets other than fiat money as a security and derivative. 

The CSA acknowledges that stablecoins serve several purposes, including payments and volatility hedging. Still, it also views them as riskier than fiat money, including the currencies permitted for trading on regulated crypto platforms. 

This development on stablecoins comes as the US SEC issued a Wells notice to Paxos earlier this month, stating that Paxos’ BUSD stablecoin is an unregistered security. This claim is widely disputed by those working in the field.

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One of the co-founders of Blur, an emerging marketplace for non-fungible tokens (NFTs), exposed his name in a discussion on Twitter. Pacman shared a picture of himself next to the web3 avatar he employs for interviews.

The formerly anonymous founder said in a post on Twitter why he had concluded that it was time for him to doxx himself and reveal his name to the world.

Pacman’s real name is Tieshun Roquerre

Pacman said in a series of tweets that he “enjoyed the anonymity” of using a pseudonym but that after one year since Blur’s debut, the community had “expanded immensely.” He believed it was time to “reveal his identity publicly.”

In addition to other personal information, he included information on his former firm, Namebase, which he had established and later sold. 

Pacman’s Crunchbase profile and LinkedIn profile fit these specifics and prior assertions Pacman has made about his experiences, which led to the disclosure of his identity, Tieshun Roquerre.

Further evidence of his identity is also accessible on his Instagram account, as well as on GitHub and other social media platforms.

Why is Blur making the news so much?

As of recent reports, Blur has been engaged in an ongoing standoff with its competitor market place OpenSea. Due to disagreements over fee charges, Blur recently advised its customers to refrain from selling off their NFTs on OpenSea.

This development saw OpenSea lose a segment of its marketplace. As the heat continued, OpenSea was forced to revert to zero fees to try to reclaim its customer base.

However, despite slight recoveries, Blur is dominant, recording significant strides in the NFT space. Despite the efforts, recent chart data still saw Blur overtake OpenSea to make up the top of the list for the better part of this week and late last week.

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Tom Emmer, a member of the U.S. House of Representatives, a watchdog involved in the post-FTX saga lawsuit, has proposed legislation prohibiting the Federal Reserve from issuing a CBDC to any individual directly in the U.S.

According to the CBDC Anti-Surveillance State Act, Federal Reserve banks may not supply products or services directly to a person, keep an account on that individual’s behalf, or issue an immediate central bank digital currency to an individual, unless as explicitly permitted under this act.

Specifically, it stipulates that the Federal Open Market Committee, in conjunction with the Board of Governors of the Federal Reserve System, prohibits using any central bank digital currency to act on monetary policy.

The bill stipulates that any digital version of the dollar must maintain its American ideals of privacy, individual sovereignty, and free market competition.

“Anything less invites the creation of a risky surveillance device.”

Tom Emmer, member of the US House of Representatives.

The bill attempts to prevent the formation of a CBDC in the United States due to the numerous problems that some fear would arise if such a corporation were allowed to operate inside the country. 

Bill receives backing from members of congress

There is bipartisan support for this measure in the House of Representatives, with many congress members expressing their approval.

For example, to prevent the Federal Reserve from launching a central bank digital currency, Rep. Barry Loudermilk said he was “happy to join forces with Representative Tom Emmer on legislation.” 

According to Loudermilk, peoples’ transactions shouldn’t be tracked endlessly, and the Fed should focus on achieving price stability and full employment. Rep. Andrew Biggs echoed this sentiment, saying that unelected bureaucrats could push the public to an authoritarian state.

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Agustin Carstens, the general manager of the BIS, recently delivered a speech on innovation and the future of money. The general manager, while taking note of CBDCs, proposed the introduction of a new sponsored smart contract platform.

Carstens says central banks need to push technology

Carstens discusses the necessity for central banks to keep up with changing technological trends and changes in the demands of users. According to him, this is necessary to ensure that banks, like the concept of CBDC projects, are made available in a manner applicable to the digital economy. 

He argues that to reap the most significant benefits from innovations in cash and payments, we need to think big and have a vision for the future monetary system and central banks’ role in driving innovation that meets evolving needs. If we do this, he said, we will be able to reap the most significant benefits from innovations in money and payments.

Mr. Carstens highlighted the development of smartphones as an illustration of innovation to underline that for innovation to thrive, it needs a solid and secure infrastructure that liberates the creativity and inventiveness of the private sector.

In addition, he pointed out that the different parts of a platform need to be able to collaborate effectively. On the other hand, he warned against dominating technology platforms that use network effects to suppress competition and trap clients behind “walled gardens.”

Central banks could revolutionize digital assets

The manager proposed that central banks, in their role as the watchdogs of the public’s faith in its monetary system, are in a position that is one of a kind to lay the groundwork for the infrastructure of the next generation, such as a unified programmable ledger in the context of a public-private partnership. 

Mr. Carstens stated that more interoperability and automated transfers might eventually benefit customers by making solutions that are more accessible, cheaper, and better fitted to their requirements, which would increase financial inclusion.

He observed that all potential advantages of programmability and composability might be attained on permitted platforms with varying degrees of centralization. The provision of the final settlement asset in the economy places a significant responsibility on the central bank.

As a result, the central bank has a crucial part to play in administering a unified ledger.

Understanding unified ledgers

A unified ledger is a digital infrastructure linking the monetary system with other registers of natural and financial claims. This might be accomplished via the use of a unified ledger. In addition, it would make smart contracts and composability possible, implying that several intelligent contracts might be packed into a single agreement.

Thanks to these features, any transactions using programmable money may be automatically integrated and automated.

Because of this, there is less of a need for human interventions that might cause transactions to be delayed. Moreover, there is less need to rely on intermediaries, and simultaneous payments and settlements are now possible.

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Alexis Ohanian, a co-founder of the social media platform, Reddit, reportedly spent $15,000 to purchase 50,000 ETH in 2014, when each coin was trading at $0.30. This haul is now worth over $82.2m at spot rates.

Alexis was so confident in the future of cryptocurrencies that he utilized the profits from an early investment in ethereum (ETH) to launch a venture capital (VC) company dedicated to the industry.

Ohanian, who back in 2019 lead a round for blockchain gaming and departed the social media behemoth in 2020, explained his early bet on the smart contracting platform to Forbes on Feb. 21 by saying he was drawn to the concept of a decentralized store of value partly because of his Armenian roots.

“The concept of a store of value that is not controlled by any one state is enormously enticing to any group of individuals who have in their consciousness or collective past any sense of persecution, particularly by a state. So, you could say that decentralized money has always appealed to me as if it were encoded into me.”

Alexis Ohanian: Reddit co-founder

He additionally revealed that he became interested in “unseizable property” when Turkish forces confiscated his family’s collection of antique carpets amidst the Armenian genocide during World War I.

How Alexis came to his decision

Ohanian stated he also used Coinbase, a cryptocurrency exchange, and learned about ethereum because he viewed the platform as a way for developers to create non-fungible tokens (NFTs) and other assets that could not be quickly seized.

Therefore, he made his first ETH investment but later said in an interview, “in retrospect, I didn’t spend nearly as much as I should have.”

Ohanian strongly supports self-custody due to his reluctance to have his possessions seized. He protects some of his most precious crypto assets by keeping them off exchanges more open to government scrutiny.

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After allegations of defrauding users in a rug pull, the team behind Friendsies, a non-fungible token (NFT) platform, has come out to dispute claims that they are “abandoning” the project.

Frendsies: Bad market situations forced the action

On Feb. 21, Friendsies creators announced on Twitter that they were placing a “hold” on the project and “any future digital commodities” for now. They cited obstacles in the market as some of the main reasons.

In their previous announcement, Friendsies said “it has been very challenging to move this project forward in a way that we can be proud of” because of prevailing market conditions, mainly volatility.

In a follow-up thread, posted around 17 hours after the announcement, the team revealed they were “overwhelmed” with hatred and threats. They also announced that they wouldn’t abandon the project as was thought.

There were concerns because 40 minutes after the initial announcement, the Friendsies Twitter account was deactivated.

Meanwhile, the Twitter account of Friendswithyou, who built the concept, was made private, which sparked accusations that the creators had “rugged” users for $5m

The Friendsies Twitter account has since been reactivated, with the creators assuring the community that they are not abandoning the project.

Friendsies NFT project might be struggling 

Launched in March of 2018, Friendsies is a collection of 10,000 NFTs on Ethereum. It was supposed to provide each holder with a unique “digital companion” that could be utilized in the metaverse, real-life events, art installations, and ultimately a play-to-earn game in the vein of Tamagotchi.

At this time, 3,323 individuals own Friendsies NFTs. 

According to the data provided by OpenSea, the collection has a trading volume of 3,775 ETH and a floor price of 0.012 ETH, equivalent to approximately $20.

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Coinbase’s net revenue for Q4 2022 was marginally higher than Q3 2022, despite a 12% decrease in transaction revenue.

According to the most recent financial report provided by the cryptocurrency exchange after the closing bell on Tuesday, the company generated net sales of $605m in the last quarter of 2022.

Coinbase’s annual net sales dropped by more than half 

The most recent data showed that the exchange grew its revenue by 5% when compared to the $576m reported in the previous quarter. 

Out of this, transactions generated over half of that income, $322m, with subscriptions and services generating the remainder at $283m. Compared to the previous quarter, the former increased by 12% from its prior quarter, while the latter increased by 38%.

Despite this, yearly net sales decreased from $7.4b in 2021 to $3.1b in 2022, reflecting a general slowdown in activity throughout the sector.

According to what the corporation claimed, isolated occurrences during the year 2022 made already precarious macro circumstances much worse.

“But, Coinbase and the cryptocurrency economy have shown that they can withstand adversity, and the foundations for the long run remain sound.”

Nonetheless, the organization has reduced staff by 20% and made other steps to control costs better to maintain spending manageable in Q1 2023. When the New York Department of Financial Services (NYDFS) settlement is considered, the company anticipates a cost reduction of 25% at the end of the quarter compared to Q4 2022.

Coinbase could be at the center of a new crypto dawn as the 2023’s regulatory scrutiny heats up

The research also said that 2023 has a good chance of being an important year for crypto policy in the United States and overseas. Due to FTX’s collapse in the previous year, there has been increased interest in the topic, which has prompted actions from authorities that Coinbase disapproves of.

Coinbase has reservations about such moves that look more meant to be punitive and reactionary than to address genuine consumer interests and the reality of how crypto operates.

The CEO of Coinbase, Brian Armstrong, has expressed his disagreement with the recent action taken by the United States Securities and Exchange Commission (SEC) to clamp down on Kraken’s staking business, which he feels did not break any securities laws. Although the SEC sent a Wells notice to the asset’s issuer, Paxos, arguing that stablecoins like BUSD constitute securities, his business claimed that stablecoins like BUSD fall under this category.

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The news that Hong Kong may soon let retail players trade significant cryptocurrencies like bitcoin and ethereum was first reported on Feb. 20.

Amid the changes, it is now being reported that Beijing supports the expansion. Speculation has it that mainland Chinese officials often visit Hong Kong to keep up with crypto developments.

This comes after Huobi, a cryptocurrency exchange, made the decision to apply for a license to open a Hong Kong branch of the company a few hours later.

Is China’s renewed support for crypto becoming evident?

Concerns have been raised over whether or not China is covertly supporting Hong Kong’s efforts to reassume its position as Asia’s crypto powerhouse. However, during the last several months, officials from China’s Liaison Office have regularly appeared at crypto events in Hong Kong.

According to Bloomberg, sources who know the situation said the authorities have been monitoring the status, requesting updates, and following up with calls. Hong Kong crypto entrepreneurs argue that the presence of Chinese leaders is putting to rest any concerns about Beijing’s commitment to turning Hong Kong become a global crypto powerhouse.

China wants to preserve Hong Kong’s status as a regulatory sandbox for cryptocurrencies while maintaining strict prohibitions on the mainland. However, after a significant crackdown in 2021, mainland and international corporations anticipate a return to Hong Kong.

Representative Nick Chan of the National People’s Congress asserted that according to the principle of “One Nation, Two Systems,” Hong Kong may pursue its interests without violating the “bottom line” or posing a danger to China’s economic stability.

The China crypto adoption dilemma

Recent developments in Hong Kong’s crypto industry have countered those seen elsewhere. Laws in advanced economies like Singapore and the United States have become more stringent.

Yet some, like Huobi’s Justin Sun, are still plotting a comeback.

As of now, there is yet to be concrete evidence that mainland China would lift its crypto prohibition. However, according to the sources, the mainland delegates are presenting their findings in Hong Kong to the highest authorities in China.

Seventy percent of web3 startups that joined Hong Kong’s accelerator program G-Rocket were founded by people of Chinese ancestry living outside of China, according to Duncan Chiu, a politician in Hong Kong who represents the technology sector.

The new licensing framework for digital assets in Hong Kong is expected to go into force in June.

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Raoul Pal, CEO of Real Vision and co-founder of the company, thinks that NFTs would behave similarly to ” high-end property” in the conventional economy and will outperform ether (ETH) during boom cycles in the crypto market.

The former executive at JPMorgan offered a rundown of what he felt most bullish about regarding NFTs in a video uploaded to YouTube and published on Feb. 20. The footage lasted one hour and covered critical use cases for the asset class, its underlying technology, and its potential performance compared to ether.

Pal asserts that it has a history of outperforming most of the market and hence believes the same thing will occur in the ETH economy.

Pal: NFTs could serve as means of storing property

In the recent YouTube video, Pal highlights that significant collectibles, such as CryptoPunks and BAYC, have evolved into status symbols in the cryptocurrency community. This is analogous to owning a luxury home, car, or item from a well-known brand that grants access to exclusive clubs, which he called “mini-network states.”

Pal proposed that non-fungible tokens (NFTs) may function to hold property in the ETH economy in the coming future.

The hedge fund manager also touched on the applications of NFTs in resolving contracts, saying that blockchain-based ledgers can provide verifiable clarity on what has been agreed upon between people. In contrast, smart contracts can, in essence, do away with the need for unnecessary third parties.

As a result of the fact that such collections have been able to maintain a respectable level of value throughout the lousy market, they might provide more significant upside potential than adverse danger. He also believes there will be a rise in the price of ETH in the future.

Pal’s NFT enthusiasm journey

In retrospect, the former hedge fund manager stated that in the year 2022, non-fungible tokens (NFTs) first began to attract his attention because he started to understand the power of what they represent and what they can do. This included transferring value using blockchains and automated smart contracts.

Since investing in NFTs, Pal said he has placed around ten percent of his ETH holdings in “premium NFTs,” such as CryptoPunks and BAYC.

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Attorney John E. Deaton, through a recent statement, reaffirmed his conviction that the SEC is not acting in line with the law but rather to strengthen its control over the expanding market. 

He believes this to be the case since the SEC’s primary objective is to increase its hold on the rising market. As a result, he went to great lengths on the Howey test and how it is used by the SEC.

In a tweet published today, Deaton explained the SEC’s reasoning for a summary judgment against Ripple. According to him, the defendants do not contest that they offered and sold XRP in return for money,’ which is sufficient evidence to prove the investment of money part of the Howey test. 

Per Deaton, every XRP exchanged on the secondary market comprises securities, which is true regardless of who the seller was or the circumstances surrounding the transaction. He continued by saying that the SEC bypasses the study and instead asserts that XRP, the token, is a replacement for the business.

He also explained that the purpose of the escrow account was to remind investors of the communal enterprise that XRP stood for. As a result, XRP is used to denote the collective endeavor in this context.

Deaton demonstrated why the test used by the SEC needs to be fixed. The regulator believes that any purchase of XRP immediately satisfies all three prongs of the Howey test since XRP stands for everyday business and investment contracts.

On a separate point, some people believe that the Howey test is more helpful in determining whether or not to pursue instances of fraud than when it is used to determine whether or not to register crypto assets as per the attorney. However, as Deaton pointed out to the SEC, he said that the Howey test is not used in this manner, and this situation does not serve as an instance of how the law operates.

Even if some despise Ripple and believe that XRP was sold as a security, Deaton thinks the SEC’s reasoning would establish a dangerous precedent if it were correct. 

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PeckShield, a blockchain security company, revealed that the bankrupt cryptocurrency broker Voyager has shifted $7.6 million worth of cryptocurrency assets in the last twenty-four hours.

Additionally, PeckShield reports that Coinbase received recent transfers of 2,500 ETH and 250 billion SHIB from the transaction.

According to what has been revealed, Voyager carried out transactions of a similar kind recently, sending 250 billion SHIB to Coinbase and 15,000 ETH to Binance.US and Coinbase, respectively. 

What happened at Voyager?

Back on July 22, the cryptocurrency broker Voyager Digital sought protection under bankruptcy laws after suffering losses due to the recent market instability and the unexpected failure of Three Arrows Capital.

The corporation, which has its headquarters in the United States, said that its assets ranged from around $1 billion to $10 billion at the time. Additionally, the company’s two subsidiaries applied for protection under the bankruptcy code.

More into Voyager’s troubles

To add to Voyager’s troubles, a couple of weeks ago, the United States signaled that the Committee on Foreign Investment (CFIUS) would investigate Binance’s purchase of Voyager which proved a hurdle in the company’s recovery plan.

Whenever a foreign investor wants to buy or combine with a U.S. firm and gain control, CFIUS must first assess the deal to ensure it won’t compromise American security. This is optional and may take as long as a year or more to complete, depending on the nature of the deal.

If discussions fail, the committee may use its power to halt any deal it determines to be damaging to U.S. interests.

Binance.US, the U.S. subsidiary of Binance, announced on Dec. 19 that it would purchase Voyager Digital’s assets for $1.022 billion. This move was seen as a way to provide clients of Voyager with a way to access their monies.

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In a recent Twitter statement, Binance announced the revival of its fan token engagement program, the Binance Fan Club. This new development aims to present consumers with even more incentives to connect with sports teams. 

The Binance Fan Club is a brand-new rewards redemption system included in the Binance Fan Token platform. Fan Tokens represent the future of fan interaction, according to Lisa He, Head of fan tokens at Binance. She showed optimism that the event marked a new era for sports fans to build experiences that last a lifetime. 

“We’re delighted to establish Binance Fan Club and watch the possibilities this has in the future to bring fans even closer to their favorite teams.”

Binance.

Binance is enthusiastic to see what this means for the future of cryptocurrency.

What does Binance have for fan token lovers?

Due to this new program, fans will now have the opportunity to earn points which can be redeemed for extraordinary prizes and once-in-a-lifetime events. Some examples of these opportunities include individualized video clips from players, VIP tickets, meet-and-greets, and complete meals.

Users can sign up for free and get a “Fan Club pass” badge by going to the homepage of the fan token website. Following this, users can accumulate “Star Points” by doing brief tasks such as researching fan tokens or participating in fan token activities such as their polls.

As one earns more Star Points, one’s level will climb, and the ability to access more valuable gifts will improve.

Fan tokens are gaining attention

The distribution of Binance Fan Tokens in October 2021 has proved to be an excellent means through which sports fans may get more connected with the teams they root for in a more meaningful manner.

Whether it’s voting for gamers of the month, casting votes on prizes they want to earn as fans, or redeeming event tickets into non-fungible tokens, fan tokens are an intriguing new way for fans to participate and feel like part of their favorite team. 

This is true whether the fans are voting on prizes they want to gain as fans or voting on rewards they wish to receive as players of the month.

Around 130,000 Binance’s Fan Token program participants have participated in activities that have put them closer to the action. Among these participants, over 5,000 have exchanged their Lazio game tickets for NFTs.

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Since digital assets emerged, US presidents have made headlines with their views on cryptocurrencies. As the United States celebrates President’s day, crypto.news takes a look at how current and previous US administrations have been treating cryptocurrencies.

Biden’s administration crusade against crypto

The Biden administration is one term that will go down in the memories of many crypto enthusiasts for the developments in the crypto space during its period, especially after the FTX doom and other collapses.

In March 2022, president Joe Biden signed an executive order directing the government to study the pros and cons of cryptocurrency. Reported disagreements between White House staff and Treasury Secretary Janet Yellen slowed the introduction of the strategy.

In the proposed bill, public safety was mentioned as the primary concern. The Biden administration requested the Treasury Department to evaluate cryptocurrency and suggest regulatory changes. To reduce threats to illegal financing and national security, the President demanded “unprecedented emphasis on concerted action” from government authorities. Biden also brought up the energy requirements of virtual currencies like bitcoin (BTC). He suggested that the government consider making crypto innovation less environmentally harmful.

The Biden administration, pushing for tighter crypto legislation, has also shown interest in developing a digital dollar.

As president Biden has only been in office for a short time, it is still being determined whether we should anticipate more public pronouncements on crypto as his cabinet members have widely varying perspectives on the crypto ecosystem. 

Clinton family thinks crypto has a whole world of possibilities

One of the early presidential adopters, Bill Clinton, allegedly got his first bitcoin in 2016 – more than 15 years after his two stints in office. While the Democratic US president received the crypto asset present from venture investor Matthew Roszak, reportedly with a grin on his lips, he has been relatively mum on the ecosystem.

But Hillary gave a keynote lecture at Ripple’s Swell conference in 2018, calling blockchain a platform for which the “permutations and possibilities are truly massive.”

What about Bush and Obama

After two terms in power, George W. Bush was in his last weeks when the bitcoin genesis block was created on January 2009. When he took office later that month, Barack Obama was the first sitting president of the United States to face questions about how to govern digital currencies and distributed ledgers.

Many people dislike the role of the government in the financial system, and the 44th president’s actions to cope with the 2008 financial crisis contributed to a rise in interest and acceptance of cryptocurrencies. But, on the other hand, Obama has yet to speak much, if anything, in public about this innovation.

However, last year saw an eye-catching development happen. The Twitter accounts of many prominent people, including Barack Obama and Joe Biden, were compromised last year. The latter responded by clarifying that Biden had no bitcoins amid the hacks.

Trump’s view on crypto

Donald Trump, a former host of The Apprentice, has been among the most outspoken public personalities supporting crypto and blockchain technology. Less than a year into his only administration, the price of BTC claimed an all-time high of about $20,000. As a result, the Securities and Exchange Commission (SEC) under Trump cracked down on ICOs after they had increased.

Trump tweeted his disapproval of cryptocurrency two years ago, calling bitcoin and other digital currencies “not money,” “extremely volatile,” and “based on thin air.” He also said that Facebook’s Libra token (now called Diem) has “little standing or reliability.”

His apparent disregard for digital assets went beyond angry posts on social media. For example, Trump allegedly instructed Treasury Secretary Steve Mnuchin to “go after bitcoin” as a means of retaliation for tariffs and trade restrictions imposed on China. The chat took place in May 2018.

Cryptocurrency has been seen differently by US presidents. Some leaders see bitcoin as a source of innovation and economic prosperity, while others are skeptical or hostile. From President Nixon’s severing of the gold standard to the Biden administration’s crypto sector regulation, the US government’s stance on cryptocurrencies has been impacted by a complex combination of economic, political, and technological considerations. As a result, the future of cryptocurrencies depends on future US politicians.

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