Several crypto exchanges are taking steps to adhere to recently imposed regulations by the UK government. These regulations require crypto entities to inform users about the risks associated with trading digital assets and to promote their services responsibly.
These measures have been implemented as part of the Financial Services and Markets Act in the UK, which has expanded its scope to include firms dealing with crypto and stablecoins, subjecting them to the same regulatory standards as traditional financial services.
Adapting to UK Regulations
In the case of Coinbase’s UK users, compliance involves disclosing their investor type and completing a form confirming their understanding of the high-risk nature of crypto investments, aligning with guidelines from the UK Financial Conduct Authority (FCA). In an email to its UK users, Coinbase has made it clear that both tasks must be completed to retain access to their accounts.
@coinbaseuk so you are telling us to complete the UK FCA declarations, Task 1 & 2 but they are no where to be found on the app or logging in on a computer, what a joke! I didn’t have this problem with other exchanges. pic.twitter.com/pwLOem6Yls
A similar approach was taken by the Seychelles-based OKX, which issued a statement on January 2 stating its intention to implement new requirements in compliance with rules set by the UK’s regulator. Starting from January 8, UK users on OKX will be required to complete two questionnaires.
The first questionnaire aims to ensure users are informed about the risks associated with crypto investments and will categorize users based on their investor profiles. The second questionnaire will inquire about users’ knowledge and experience in crypto investing to assess their understanding of certain topics and associated risks.
Users failing to complete these tasks risk losing access to their accounts.
Besides Coinbase and OKX, Crypto.com and Gemini have also expressed their commitment to meeting UK investor protection standards and ensuring that customers understand the risks involved in investing in crypto, the report said. They are actively working with local regulators to provide the necessary knowledge for users to make informed investment decisions.
Significance of January 8
The significance of January 8 lies in the fact that individuals using these platforms are obligated to complete a declaration detailing their investor profile and participate in a questionnaire focusing on financial services and regulations. This declaration requires users to identify themselves as either high-net-worth individuals or restricted investors, depending on specific criteria.
The ultimate objective of these procedures is to promote responsible trading and protect investors. As such, crypto firms are required to secure authorization or registration from the Financial Conduct Authority (FCA) to promote cryptoassets to retail customers.
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According to a Jan. 4 post on X, Uniswap led the Ethereum blockspace with an impressive 43 million transactions and 7.4 trillion gas, 4.5 times more than the second-ranking protocol.
Top Crypto Protocols of 2023
• Uniswap dominated Ethereum blockspace with 43M transactions, utilizing 7.4T gas; 4.5x more than #2 •USDT the top ERC20 with 33.6M sends from 6.2M unique addresses •1inch the most used aggregator •New 2023 entrant Banana Gun made 1.5M swaps pic.twitter.com/UIgE2DgA0a
Introduced in 2018 by Hayden Adams, a former Siemens mechanical engineer, the Uniswap blockchain operates with the Solidity programming language, a popular choice for many decentralized finance (defi) projects on the Ethereum platform.
Offering users the ability to provide liquidity to pools and trade decentralized tokens in pairs, including native crypto-to-crypto and crypto-to-stablecoins, Uniswap stands out for its open-source nature, encouraging contributions from a diverse community. The project has since garnered over three million unique senders.
The thread continues, highlighting Tether as the second protocol. It witnessed 33.6 million sends from 6.2 million unique addresses, making it a notable player in the Ethereum ecosystem, followed by Opensea, Metamask, and 1inch.
It is worth noting that the aggregator 1inch has emerged as the most utilized project, while the recently introduced entrant in 2023, Banana Gun, recorded 1.5 million swaps in the ninth spot on the list.
In a follow-up thread, the Coinbase Director cites analytics from Dune, presenting a compilation of the top 20 individual contracts, where Uniswap secures the leading positions in the first three spots.
According to Bloomberg, Coinbase Global has recently experienced a change in leadership within its custody division. The departure of Aaron Schnarch, former CEO of Coinbase Custody, has been confirmed by a spokesperson, who also revealed that Schnarch was replaced by Rick Schonberg in August.
Per the report, the transition aligns with Coinbase’s efforts to offer services to applicants of spot Bitcoin (BTC) exchange-traded funds (ETFs).
Coinbase Affirms Readiness For Bitcoin ETF Approval
Rick Schonberg, who joined Coinbase in 2021, aims to provide experience to his new role, having previously worked at reputable financial institutions such as Goldman Sachs, State Street, and Tagomi, according to Bloomberg.
Coinbase on the other hand, has emerged as the preferred choice for custodial services among Bitcoin ETF applicants, including industry giants like BlackRock, Franklin Templeton, and Grayscale Investments.
Custody services play a crucial role for potential managers of spot Bitcoin ETFs, as investors rely on these providers to securely safeguard their digital tokens.
Notably, a Coinbase spokesperson emphasized the company’s preparedness for ETF approval, stating to Bloomberg:
We have extensively prepared for ETF approval. Our systems have been designed and tested to handle added trading volume, increased liquidity, and general increases in demand on our systems.
Coinbase Custody, operating as a trust company, falls under the regulatory oversight of the New York Department of Financial Services and undergoes auditing by Deloitte & Touche.
Countdown To Historic Decision
The race to obtain regulatory approval for the first ETF directly investing in the largest cryptocurrency, Bitcoin, is entering a critical phase.
The US Securities and Exchange Commission (SEC) faces a deadline of January 10 to decide whether to approve a spot Bitcoin ETF application submitted by ARK Investment Management, led by Cathie Wood, and 21Shares, along with potentially other similar filings.
Overall, the departure of Aaron Schnarch and the subsequent appointment of Rick Schonberg within Coinbase Custody highlight the company’s strategy to the growing demand for custodial services from Bitcoin ETF applicants.
With the potential approval of spot Bitcoin ETFs on the horizon, the industry eagerly awaits the SEC’s decision, which will have far-reaching implications for the adoption and mainstream acceptance of cryptocurrencies.
The 1-day chart shows BTC’s sideways price action over the past 24 hours. Source: BTCUSDT on TradingView.com
Bitcoin, the largest cryptocurrency in the market, is currently trading at $42,100, representing a 1.1% decline over the past 24 hours.
In recent weeks, BTC’s price has been consolidating above $40,000, exhibiting sideways movement since the beginning of December. However, it has achieved a notable gain of over 11% in the last 30 days.
It remains to be seen how the price of BTC will react to the potential approval of these index funds by the largest asset managers in the world, and what other impact it will have on the overall crypto market.
Featured image from Shutterstock, chart from TradingView.com
Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.
According to on-chain firm Arkham Intelligence, a wallet linked to former U.S. President Donald Trump has moved over $2.4 million worth of ether (ETH) to the crypto exchange Coinbase in the past few weeks.
Arkham Intelligence had initially identified digital assets believed to belong to Trump in August, basing its findings on financial disclosures filed by the former President earlier that month.
Trump’s Ethereum Wallet Shows Sales Totaling $2.4 Million
About three weeks ago, a wallet associated with former U.S. President Donald Trump began sending Ethereum (ETH) to Coinbase, following months of accumulating Trump NFT royalties.
The peak balance in the wallet reached $4 million. According to Arkham Intelligence, based on the deposits, Trump has sold 1,075 ETH for $2.4 million.
Looks like Donald Trump is selling his ETH.
3 weeks ago he started sending ETH to Coinbase after months of accumulating Trump NFT royalties. His peak balance was $4 million.
In December 2022, Donald Trump released a collection of 45,000 NFTs priced at $99 each, which has amassed a total trading volume of 15,013 ETH ($35.4 million) on the NFT marketplace OpenSea. In April, Trump released a second NFT collection priced at $99 each.
Trump Digital Trading Cards generated $119,100 in trading volume between December 17 and 24.
Recently, Trump unveiled another set of digital trading cards that offer fans the chance to win perks such as dinner with him or a piece of the suit he wore when taken in by Georgia police after being indicted in August.
Meanwhile, the recent sales tracked by Arkham coincide with a 17% surge in ether over the past month. Ethereum, the world’s second-largest cryptocurrency by market capitalization, was trading at $2,376 at the time of reporting, up 6.7% over the past 24 hours.
Trump’s Connection with NFT INT LLC
The NFT drops and promotions associated with Trump were handled by NFT INT LLC, which operates under a paid license from CIC Digital LLC.
The website for Trump’s digital trading cards clarifies that NFT INT LLC is not owned, managed, or controlled by Donald J. Trump, The Trump Organization, CIC Digital LLC, or any of their respective principals or affiliates. The license for using Trump’s name, likeness, and image may be terminated or revoked according to its terms.
Previously, Trump has been listed as the manager, president, secretary, and treasurer of CIC Digital LLC, according to disclosures posted by Citizens for Responsibility and Ethics in Washington. These documents revealed that the former president owned up to $5 million worth of ether and had earned at least $4.9 million from NFT licensing fees.
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Several crypto industry stakeholders have pending lawsuits in the U.S. and other jurisdictions following a busy year for government prosecutors and digital asset attorneys.
2023 featured crypto’s largest court case to date coupled with a multi-billion dollar settlement between the industry’s largest exchange and several U.S. regulatory bodies. However, 2024 promises another series of court battles and crypto defendants arguing against illegal doings.
The U.S. Securities and Exchange Commission (SEC) sued multiple crypto businesses in what some proponents termed a “regulation by enforcement” campaign against blockchain assets.
Found a typo in the SEC’s brief. They refer to their “active regulatory and enforcement agenda” in crypto — think they actually mean “active regulation by enforcement agenda.” Don’t think any of us recall seeing the SEC’s crypto regulatory agenda… https://t.co/D2tuG3cSuW
According to SEC Chair Gary Gensler, the majority of these crypto assets qualify as securities and fall under the purview of existing financial policies. He views the ecosystem as rife with fraud and non-compliance.
The Commodity Futures Trading Commission (CFTC) kept apace with Gensler’s SEC, fielding 47 lawsuits involving digital asset operators accused of fraud and running Ponzi schemes. Indeed, the CFTC recorded its largest-ever win after fining Cornelius Johannes Steynberg of Stellenbosch $3.4 billion.
New cases are likely to emerge amid unresolved litigation and rolling enforcement action. These are the seven crypto cases to watch at press time.
Binance
Crypto’s largest exchange, Binance, reached a record-breaking $4.3 billion settlement with the CFTC, the U.S. Department of Justice, and the Treasury Department. Former CEO Changpeng Zhao also stepped down and pleaded guilty to at least one felony charge.
However, the SEC is still suing Binance and was notably absent from the multi-agency resolution announced in November. The SEC said Binance broke securities laws by operating an unregistered exchange and offering illegal securities like the BUSD stablecoin, a joint venture with Paxos.
Richard Teng, the new Binance CEO, would lead the company through an SEC lawsuit and adjust to the monitorship agreed upon with authorities.
Celsius
The bankrupt crypto lender is accused of defrauding thousands of investors under the leadership of ex-CEO Alex Mashinsky. Mashinsky denied wrongdoing after his arrest in July and indictment on seven criminal charges.
His trial will begin in September while Celsius faces suits from the CFTC and the SEC. A third lawsuit filed by the Federal Trade Commission was settled.
Coinbase
Like Binance, the SEC sued Coinbase in June. Coinbase allegedly failed to register its exchange and illegally provided staking-as-a-service to U.S. investors. Coinbase will square off with the securities watchdog in a Southern District Court of New York after denying the allegations.
The crypto exchange also saw its rule-making petition denied, although CEO Brian Armstrong said Coinbase would not give up.
Nice small win. We went to court to challenge the SEC’s refusal to create clear rules for the industry – and it worked (a court compelled them to respond).
Now that they’ve formally responded (with a no!) we can challenge their response in court, which helps us get one step… https://t.co/3RcTk1OVcp
While FTX founder Sam Bankman-Fried was convicted on all seven charges, including fraud at his exchange and crypto trading firm Alameda Research, a second trial to address severed counts may be held.
Federal prosecutors could sue Bankman-Fried for unlawful political donations and bribing foreign government officials. A New York court is scheduled to sentence the fallen crypto mogul in March. This is the same time a second FTX trial may be pursued. Bankman-Fried’s bid for a delayed sentencing was already refused.
Kraken
Kraken pulled out of New York, but the SEC still has a case against the Jesse Powell-founded crypto exchange. The SEC accused Kraken of commingling customer funds and operating an unregistered securities exchange. Kraken promised to respond.
David Ripley, Kraken CEO, said the company does not list securities, and the SEC does not have a regulatory structure to register compliant crypto firms.
We strongly disagree with the SEC claims, stand firm in our view that we do not list securities, and plan to vigorously defend our position.
As we have seen before, the SEC argues that @krakenfx should “come in and register” with the agency, when there is no clear path to…
Ripple partial victory in a multi-year legal tussle with the SEC over XRP sales was considered a turning point by many in crypto. The SEC said Ripple’s XRP sales to institutional and retail investors broke securities laws.
Judge Analisa Torres ruled that XRP sales on exchanges were not unregistered securities, while institutional offerings were. Either side may appeal outcomes as negotiations are expected to decide possible penalties for Ripple based on sales to sophisticated investors.
Tornado Cash
The U.S. Treasury sanctioned Tornado Cash in August 2022 for allegedly enabling money laundering and other criminal activity. Co-founders of the Ethereum-based mixing service also face legal action.
Tornado Cash developers Roman Storm and Roman Semenov stand accused of sanctions evasion and aiding money laundering. Both defendants deny the charges, and Storm was arraigned in Manhattan court.
Another developer, Alexey Pertsev, spent nearly nine months in jail before his release in the Netherlands pending a trial in March.
In a recent blog post, Coinbase CEO and Co-founder Brian Armstrong expressed the belief that cryptocurrency is not just a passing trend but represents the future of money.
Notably, Coinbase is on a mission to expand economic freedom for more than a billion people, emphasizing the transformative potential of the asset class in reshaping the financial landscape and empowering individuals globally.
Coinbase to Focus on Building Trusted and Compliant Products
The growing adoption of cryptocurrency is driven by consumers who expect their money to move with speed, reach, and autonomy that traditional financial institutions and online payment systems often cannot provide, according to Armstrong.
Many individuals seek alternatives to the current financial system, with 52% of adults aged 18-40, six in 10 Black Americans, and nearly half (47%) of Hispanic Americans actively exploring alternatives in the U.S.
As cryptocurrency usage expands, Armstrong states the company is focused on building trusted, compliant products and services, supporting developers, and advocating for fair regulations to make the benefits of crypto accessible globally. These services include Coinbase Wallet, Base, and an International Exchange.
Armstrong also highlights Coinbase’s international expansion strategy, “Go Broad, Go Deep,” which focuses on accelerating worldwide crypto adoption. The company, he noted, recently obtained licenses or expanded its presence in key markets, including Canada, Spain, and Bermuda.
Additionally, Ireland has been established as Coinbase’s EU MiCA entity location, further supporting its commitment to a global presence in the cryptocurrency space.
Coinbase Reaffirms Commitment to Crypto Innovation
Coinbase’s CEO also expressed the company’s commitment to building a runway with clear rules, partnerships, and trusted products and infrastructure to support current and future innovations in the cryptocurrency space.
Armstrong emphasized that Coinbase’s decision to become a public company in the U.S. reflects its commitment to the market, compliance, and transparency. The exchange believes its mission is more relevant than ever, especially in the face of threats to the American Dream and democratic values, which can only thrive in an environment of economic freedom.
Coinbase anticipates that the U.S. will eventually navigate and embrace the potential of crypto. In the meantime, the company will continue collaborating with countries that are progressing and embracing the next chapter of crypto, contributing to developing a more global, open financial system. Coinbase sees both crypto and itself as being in the early stages of their journeys.
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ARK Invest, headed by Cathie Wood, offloaded an additional 80,118 shares of Coinbase, valued at $13.5 million, from two of its investment funds, coinciding with the stock’s ongoing surge in December.
On Dec. 21, ARK Invest sold 68,769 Coinbase shares valued at $11.6 million from its Innovation ETF and 11,349 shares worth $1.9 million from its Next Generation Internet ETF.
With the recent sale of $30 million in Coinbase shares earlier this week, combined with the $108 million and $59 million worth of shares sold in the first and second weeks of December, Ark Invest’s total divestment from Coinbase this month has now reached approximately $210.5 million.
This strategy aligns with ARK’s policy of maintaining a cap on individual company exposure, aiming to keep it around 10% of its holdings.
Coinbase’s stock has been on a significant rise, hitting new yearly highs with a trading price of $168.03. This marks a 3.8% increase for the day, a 53.8% rise over the past month, and an impressive 400% growth year-to-date. However, it is still 50% below its all-time high from November 2021.
Grayscale BTC trust shares reduced
In addition to its Coinbase transactions, Ark Invest has also been reducing its holdings in the Grayscale Bitcoin Trust (GBTC). On Dec. 18, the firm sold over 809,441 GBTC shares from its Next Generation Internet ETF, totaling approximately $27.6 million, the largest sale in over a year.
Ark’s recent sales coincide with a narrowing of GBTC’s discount to net asset value, falling from over 40% in June to around 7.6%.
Increased investment in Block
While reducing its exposure to Coinbase and GBTC, Ark Invest has been accumulating shares in Block. On Dec. 18, the firm purchased 347,692 Block shares for its ARKW fund, totaling around $25.7 million. Additionally, it acquired 158,334 shares worth $12.1 million for its Next Generation Internet ETF.
Block, co-founded by Twitter’s (now X) Jack Dorsey, now represents 6.83% of ARKW’s total assets, with a market value of $116.9 billion.
Today’s Weekly Recap dives into U.S. regulators’ rejecting Coinbase’s petition for clear rules; the Ledger hack; SafeMoon’s bankruptcy; former U.S. President Donald Trump’s new NFTs; and the massive breach at NFT Trader.
Regulatory efforts
One of the highlights this week was a slew of events related to crypto regulations. Chairperson of the U.S. CFTC Rostin Behnam claimed in a CNBC interview on Dec. 12 that most crypto assets are commodities under existing laws, as opposed to the SEC’s stance.
Stablecoin issuer Tether reaffirmed its readiness to work with U.S. authorities in a letter shared with the U.S. Congress. The firm confirmed its emphasis on robust AML measures and proper KYC procedures to mitigate illegal financing.
Recall that the SEC argued last week that Binance’s admission of guilt in a Department of Justice lawsuit meant that the company was also guilty of the charges the agency leveled against it. Binance replied to this argument this week, claiming it was erroneous.
KuCoin exits New York, Sen. Warren introduces crypto bill
Seychelles-based crypto exchange KuCoin agreed to settle charges from New York regulators with a fine of $22 million, as the state amplifies its crackdown on non-compliant crypto entities. The exchange also agreed to exit the state, as part of the settlement terms.
U.S. Senator Elizabeth Warren introduced a bill on Dec. 11 to crack down on cryptocurrencies in a bid to tackle their use in terror financing, money laundering, and other illegal activities.
The bill, called the Digital Assets Anti-Money Laundering Bill, swiftly garnered support from other democratic lawmakers. However, the crypto community expressed dissatisfaction, claiming it is geared towards snuffing crypto innovation in the U.S.
SEC denies Coinbase’s petition for clear rules
Amid the clamor for regulatory clarity in the U.S., the SEC, which has continued its clampdown on crypto exchanges, insists the crypto industry already has clear rules. As a result, on Dec. 15, the securities regulator denied Coinbase’s petition, seeking that they enact clear rules.
Coinbase immediately responded to the denial, taking the case to the U.S. Court of Appeals. Pro-crypto attorney John E. Deaton argued that the SEC was in cahoots with Sen. Warren to gaslight U.S. citizens through its enforcement actions and refusal to make clear rules.
Update on Bitcoin ETF developments
Meanwhile, the SEC continued to engage the multiple asset managers looking to launch a spot Bitcoin ETF. On Dec. 14 asset management firm Valkyrie Investments filed a new S-1 with the SEC, opting for a cash-only method for its spot Bitcoin ETF.
This week, the SEC delayed another spot ETF filing. The agency was supposed to decide on the spot Ethereum ETF filing from Invesco Galaxy on or before Dec. 23. They shifted the deadline to Feb. 6.
With the multiple delays and the heightened anticipation of spot Bitcoin and Ethereum ETFs in the U.S. market, SEC Chairperson Gary Gensler disclosed on Dec. 14 that the regulatory body is now considering the applications with a fresh outlook.
Bloomberg ETF analyst James Seyffart revealed on Dec. 15 that Gensler and his staff again met with asset manager BlackRock this week to further discuss BlackRock’s iShares Bitcoin ETF vehicle.
Seyffart and his colleague Eric Balchunas forecasted that it is very likely that the SEC would approve multiple filings between Jan. 5 and 10. As the crypto community continued in anticipation, Google updated its advertising rules this week to accommodate crypto products such as ETFs.
Ledger Connect Kit faces exploit
This week was not devoid of hacks. SushiSwap CTO Matthew Liley at first sounded the alarm on Dec. 14, calling attention to an exploit targeting the Connect Kit tool from hardware wallet manufacturer Ledger.
The hackers had compromised the Ledger Connect Kit, uploading a malicious version of the tool that enabled them to siphon users’ funds when the users tried to connect to dApps that use the Kit, including SushiSwap, MetaMask and Lido. Up to $484,000 was stolen at the time of the disclosure.
In an update on the incident, Ledger revealed that the exploit occurred because a former employee had fallen victim to a phishing exploit, through which the hackers gained access to the employee’s NPMJS account. Ledger later confirmed that it had fixed the issue.
Trump releases new NFT series
Developments surrounding crypto adoption also made headlines this week as Trump released a third NFT series, which featured his infamous mugshots.
David Riegelnig, a former executive at Swiss-based investment bank Credit Suisse, made an entrance into the crypto scene with the launch of Rulematch, a crypto trading platform tailored for banks alone. The platform is to support BTC and ETH.
SafeMoon bankrupt, Do Kwon’s custody extended
SafeMoon’s struggles spilled into this week, following the SEC’s charges against its executives last month. The project filed for a Chapter 7 bankruptcy, which would result in a full-blown dissolution, so its assets could be sold to compensate creditors.
Meanwhile, Su Zhu, founder of defunct crypto hedge fund 3AC which went bankrupt last year, stood before a Singaporean court this week to answer questions regarding the collapse of the crypto hedge fund last year. This was his first appearance.
Authorities in Montenegro extended the custody of Do Kwon, founder of the collapsed Terra ecosystem, for two extra months. Recall that Kwon is facing a possible extradition to the U.S. or South Korea to answer for his alleged crimes.
The whole collection of the stolen NFTs, including 37 BAYC, 13 MAYC, four World OF Women and six VeeFriends, were worth roughly $2.4 million at the time of the hack.
The current holder of the NFTs claims that he has rescued the collectibles and asked for a 10% bounty to return the assets.
Market analyst ZachXBT told the NFT Trader users to proceed with the bounty very cautiously.
The Securities and Exchange Commission on Friday rejected a petition from Coinbase, the largest crypto exchange in the U.S., for a separate regulatory framework for the cryptocurrency industry.
“The commission concludes that the requested rulemaking is currently unwarranted and denies the petition,” the SEC wrote in a letter addressed to Coinbase’s chief legal officer, Paul Grewal.
Gary Gensler, the chair of the SEC, cheered on the denial in a separate statement, saying that he supported the commission’s decision because, he argues, existing laws and regulations already apply to crypto, the SEC already addresses the industry through rulemaking, and it’s important for his agency to maintain control over what resources it deploys to oversee its regulatory agenda. “As I said prior to the collapse of one of the largest noncompliant crypto intermediaries that cost investors billions of dollars,” he wrote, “meaningful engagement with the SEC is always welcome.”
Spokespeople for Coinbase did not immediately respond to a request for comment when contacted by Fortune.
The SEC’s ruling on Coinbase’s petition comes more than a year after the company filed its request with the agency, arguing that the “U.S. does not currently have a functioning market in digital asset securities due to the lack of a clear and workable regulatory regime.”
After the collapse of FTX in November 2022 and the subsequent arrest of the exchange’s CEO, Sam Bankman-Fried, the SEC, under the guidance of Gensler, has embarked on an extensive campaign against crypto.
In the first half of 2023, it targeted some of the largest players in the industry, filing suits against Gemini, Genesis, Terraform Labs and founder Do Kwon, as well as Justin Sun and Tron. In June, it launched salvos against two crypto heavyweights, first suing the world’s largest crypto exchange, Binance, and then filing a lawsuit against Coinbase. The SEC’s campaign has continued through the end of the year, with it most recently targeting another industry mainstay, the crypto exchange Kraken.
Most of its lawsuits against the industry’s top players are ongoing, even its litigation against Binance, which recently agreed to a $4.3 billion settlement with the Department of Justice for breaking anti-money laundering laws, among other crimes.
Coinbase, which positions itself as one of the industry’s do-gooders, has cried foul at the SEC’s extensive litigation against crypto, claiming the agency is “regulating through enforcement,” rather than rulemaking. Evidently, the SEC disagrees, and its lawsuit against Coinbase, which it alleges listed unregistered “crypto asset securities,” continues to wind its way through court.
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Coinbase Supports Bonk Inu (BONK): Coinbase, a major cryptocurrency exchange, has added Bonk Inu (BONK), a rapidly popular digital asset, to its roadmap, indicating a potential official listing soon.
Price Fluctuations Post Announcement: Following Coinbase’s announcement, BONK’s price initially surged by over 15%, but later fell by nearly 20%, mirroring the broader cryptocurrency market correction.
Bonk Inu’s Market Performance: Despite recent fluctuations, Bonk Inu remains one of the top-performing memecoins, with its value increasing by about 350% in the last 30 days, and its market capitalization exceeding $630 million, ranking it third among memecoins after Dogecoin and Shiba Inu.
One of the largest cryptocurrency exchanges by trading volume – Coinbase – has decided to add support to the digital asset that has recently turned into a sensation – Bonk Inu (BONK).
The marketplace put the token on its “roadmap” on December 12. Digital currencies placed in that section mean Coinbase is just one step away from officially listing them.
The exchange has previously warned users to refrain from dealing with such experimental assets before an official announcement.
BONK’s price briefly spiked by over 15% shortly after Coinbase’s interaction. However, in the following hours, it plunged by almost 20% in resonance with the overall correction reigning in the cryptocurrency market.
Still, the Solana memecoin is far from erasing all gains registered in the past few months. It has been among the best-performing assets of its kind, with its valuation exploding by nearly 350% in the last 30 days.
BONK Price, Source: CoinGecko
Its market capitalization currently stands above $630 million, making it the third-biggest memecoin after Dogecoin (DOGE) and Shiba Inu (SHIB).
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On Dec. 5, Coinbase unveiled changes to its Web3 wallet to make the product more user-friendly and streamlined.
One of the biggest updates was the introduction of the ability to send funds using a text message on popular social media messaging platforms such as WhatsApp and Telegram.
In a company blog post, the firm said that users can now instantly send money to friends and family worldwide for free directly within messaging and social media apps by sharing a link from Coinbase Wallet.
Coinbase stated that link sharing could be done with platforms such as WhatsApp, iMessage, and Telegram, social media platforms like Facebook, Snapchat, TikTok, and Instagram, or even via email.
It explained that when a recipient clicks the shared link, it takes them into the Coinbase Wallet app to claim or directs them to download the Coinbase Wallet app on iOS or Android.
Those without a Coinbase account will not be able to receive funds this way, so the move is a wider effort to expand its customer base.
If the link is not opened within two weeks, the funds will be automatically returned to the sender.
Currently, only USDC, which Coinbase has a stake in, can be shared via links on the wallet for free. Other crypto assets can also be sent and received, but they are subject to network fees.
Moreover, there are no KYC procedures to use Coinbase Wallet, but the company requires them to have a full crypto trading account.
Coinbase also rolled out a “simple mode” for the wallet app, minimizing the service to its core functions of sending and receiving money.
COIN on the Rise
Coinbase’s shares had a rough ending last year, alongside the entire crypto industry, and had dumped to around $35. However, COIN started to regain value almost immediately as 2023 began, and the recent positive market moves have helped the stocks skyrocket to a multi-year peak of $140.
This means that COIN is up by more than 300% YTD so far, making it one of the best-performing assets overall. In fact, CryptoPotatoreported last week that COIN, along with MicroStrategy’s MSTR, have soared by triple digits since the start of the year.
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The shares of Coinbase Global (COIN) have been on a tear in recent weeks, emphasizing its positive performance in 2023. While the recent resurgence experienced by the exchange’s shares coincides with the climate shift in the general cryptocurrency market, the latest price data reveals that COIN might actually be doing better than the market leaders, Bitcoin and Ethereum, since the turn of the year.
Here’s Why Coinbase (COIN) Is Up By 250% In 2023
A recent report by crypto intelligence platform IntoTheBlock has revealed that COIN is amongst the crypto-related stocks enjoying the overall positive trend in the cryptocurrency space. This positive momentum recently pushed the price of the Nasdaq-listed Coinbase stock to an 18-month high of around $115.
$COIN is up by approximately 250% this year, outpacing Bitcoin and Ether’s growth of 130% and 75%, respectively. One key factor driving Coinbase’s valuation is its trading volumes, with Q4 volumes already surpassing their figures for the last quarter with one month to go pic.twitter.com/71yl38jyeK
According to data from IntoTheBlock, the COIN shares have surged in value by more than 60% in the past three months. A look at the broader price chart shows that the stock has increased by approximately 250% year-to-date (YTD), outperforming Bitcoin’s and Ether’s YTD upswing of 130% and 75%, respectively.
In their report, the crypto analytics firm highlighted that one of the crucial factors behind Coinbase’s increasing valuation is likely to be its trading volumes. Notably, the company’s trading volumes in the fourth quarter have already surpassed the figures recorded in the third quarter, even though there is still December to go in the current quarter.
Additionally, IntoTheBlock cited the recovering market cap of the USDC stablecoin as one of the potential factors driving Coinbase’s valuation. The continued adoption of Coinbase-incubated Ethereum layer 2 network Base was also mentioned as another possible reason behind the resurgent COIN price.
Meanwhile, Binance’s troubles in the United States have also somewhat benefited its biggest competitor, Coinbase. Last week, the world’s largest exchange admitted to being guilty of violating anti-money laundering policies in the US, leading to the payment of $4.3 billion in fines and the resignation of founder Changpeng (CZ) Zhao.
As of the close of trading on Friday, December 1, the price of COIN stood at $133.76, marking a 7.25% increase in a single day.
Bitcoin And Ethereum Price
According to CoinGecko data, the prices of Bitcoin and Ethereum currently stand at $38,744 and $2,090, respectively. Ether has not witnessed any significant changes in price over the past week, while Bitcoin swelled by more than 2.5% in the last seven days.
With market caps of $757 billion and $250 billion, Bitcoin and Ethereum continue to maintain their positions as the largest cryptocurrencies in the market.
Coinbase (COIN) price continues to rally higher on daily timeframe | Source: COIN chart on TradingView
Featured image from Shutterstock, chart from TradingView
In a recent interview with Decrypt, Coinbase CEO Brian Armstrong confirmed the company’s decision not to issue a token for its layer-2 network, Base.
Contrary to previous speculations and a statement by Coinbase Chief Legal Officer Paul Grewal, Armstrong emphasized that there are no plans to create a Base network token. This announcement is significant as it reflects Coinbase’s strategic approach towards its layer-2 network development and its interaction with the broader crypto ecosystem.
Base, which launched in August, has shown remarkable growth, becoming the third-largest layer-2 network in terms of total value locked (TVL), boasting around $500 million in TVL and a million interacting wallets since its inception.
Layer-2 networks, built atop existing blockchain systems like Ethereum (ETH), offer faster and cheaper transaction capabilities, addressing scalability issues inherent in base layer networks. The rapid ascension of Base in this competitive landscape is noteworthy and highlights its potential impact on the cryptocurrency market.
Armstrong’s vision for Base extends beyond Coinbase’s proprietary interests. He envisions Base as a community-driven project, interoperable with the wider crypto ecosystem. Base’s foundation on the Optimism (OP) stack on Ethereum is a strategic move to ensure this broad compatibility and community engagement. This approach, coupled with Coinbase’s backing, aims to establish trust and stability in the network.
Moreover, Armstrong has set ambitious performance targets for Coinbase transactions, aiming for an “under one second and one cent” average transaction time. Achieving these objectives will necessitate substantial improvements to Base and broader integration of layer-2 solutions across Coinbase’s platform.
Armstrong elaborates, “That’s not just with Base,” adding, “That’s things like integrating the Lightning Network on Bitcoin, it’s integrating other layer-1s that are very fast, like Solana.” He notes that currently, about 7% of transactions through Coinbase use layer-2, with internal goals set to “get that number way up” as part of a “multi-year effort.”
Armstrong acknowledges the burgeoning interest from other exchanges in developing their layer-2 solutions, like Kraken and OKX, but cautions against a fragmented landscape where each application operates its own layer-2 network. He advocates for consolidation around a few layer-2 networks to optimize efficiency and interoperability in the crypto space.
U.S.-based cryptocurrency exchange Coinbase has revealed it received over 13,000 requests from law enforcement agencies.
According to Coinbase‘s latest “Transparency Report” published on Nov. 29, 2023 the crypto exchange says it received a total of 13,079 requests from law enforcement agencies from Oct. 2022 through Sept. 30, 2023, representing a 6% increase from last year.
U.S. law enforcement agency information type | Source: Coinbase
The U.S. appeared to be the most active country with 5,868 requests, a 57% share of the total amount of inquiries the exchange received during the reporting period. Coinbase highlighted in the report the data reflect the requests received and “not necessarily requests responded to.” It is unclear how much data Coinbase provided to law enforcement agencies, but noted that it aims to hand out “anonymized or aggregated data.”
“We also aim to provide anonymized or aggregated data that aids law enforcement and government agencies with their work, where it is possible to do so, instead of providing individual customer information.”
Coinbase Chief Legal Officer, Paul Grewal
In addition to the U.S., other countries such as Germany, U.K. and Spain also sent requests, with Armenia sending its requests to the San Francisco-based exchange for the first time in 2023.
Top countries sending law enforcement requests to Coinbase in terms of YoY increase | Source: Coinbase
Ukraine appeared to be the most active country in terms of year-over-year increase, surging the amount of its requests to Coinbase by over 300% in 2023, the data show. In 95.6% of requests, law enforcement agencies around the world were seeking information as part of a criminal case, with only 4.4% were related to civil or administrative legal actions.
Coinbase said it may produce certain customer information, such as name, recent login/logout IP address, and payment information “depending on the nature and scope of the request,” but pointed out it does not give any government in any jurisdiction “direct access to customer information on our or any third-party’s systems.”
In late November 2023, crypto.news reported that the Biden administration is urging Congress to consider the most significant updates to the Treasury’s sanctions authority since 2001. As per U.S. foreign trade representative Wally Adeyemo, there’s a need to introduce a “secondary sanctions regime” as the Treasury has already provided Congress a set of “common-sense recommendations to expand our authorities and broaden our tools and resources to go after illicit actors in the digital asset space.
Blast is the latest Layer 2 network to burst into the scene in the last week and has taken the decentralized finance (DeFi) world by storm already. This network which seemingly came out of nowhere has backing from Paradigm, and as its popularity has risen, it has surpassed Base and Cardano’s Total Value Locked (TVL) in less than a week after launch.
Blast TVL Crosses $565 Million
The Blast network was officially announced on November 21 and it quickly garnered support from crypto investors. In the first day, the network saw over $81 million in crypto locked. And in two days, the figure had quickly grown above $123 million.
Despite some of the FUD (Fear, Uncertainty, and Doubt) that has followed the launch of the network, investors have continued to bridge their assorted into it. By Sunday, November 26, the total value locked on the Blast network had officially crossed $544 million, according to data from DeFi tracker DeFiLlama.
Source: DeFiLlama
This figure puts the network’s TVL ahead of older competitors such as Coinbase’s Base. While Blast’s TVL sits at $544 million, the Base TVL is at $338.26 million. This means that Blast’s TVL is currently 60% higher than that of Base.
In the same vein, the Blast TVL is also way ahead of that of Cardano. Presently, the Cardano TVL sits at around $330.07 million, just a little lower than Base, and around 61% lower than that of Blast.
New L2 Draws Criticism From DeFi Investors
Amid the rapid growth that Blast has enjoyed, it has also drawn criticism from DeFi investors. The concerns have ranged from security to how the network is being run. One of the most pertinent criticisms has stemmed from the fact that all of the crypto being bridged to the network will be locked until next year.
The network revealed that investors will not be able to access their locked funds until February 2024. In addition, Blast promises users yield on their Ethereum (ETH) and stablecoins being bridged to the network, but with no readily discernible way of how this yield will be earned.
Some members of the crypto community have, however, figured out that the funds were being deposited into the Lido DAO protocol. Apparently, Blast is currently earning around $1.5 million a month by depositing the bridged funds into Lido. This has further raised concerns about the growing dominance of Lido, which is headed toward 33.3% and could pose a risk for the Ethereum network.
Nevertheless, Blast continues to dominate conversations around DeFi on social media. There is now a total of 266,130 ETH locked on the network, with the expectations of an airdrop happening in 2024.
56 companies have spent an estimated $20 million on crypto lobbying in the U.S., with America’s biggest digital asset exchange Coinbase leading the pack during 2023.
As of Nov. 21, crypto lobbying spending in 2023 had nearly rivaled numbers recorded during 2022 due to growing agitation from industry stakeholders and participants for clearer rules that protect U.S. investors without kneecapping domestic digital asset innovation.
Coinbase was the leading crypto advocate in Washington D.C., with over $2 million spent in 2023 so far, and more than $7 million directed towards lobbying policy makers since 2019 according to Coingecko data.
Other top spenders in that time, 2019 to 2023, include the Blockchain Association, XRP issuer Ripple, crypto.com and Binance with a combined total of over $10 million. Binance, Coinbase and Ripple have all faced enforcement actions from watchdogs like the Securities and Exchange Commission (SEC).
Crypto lobbying 2023 spends | Source: Coingecko
Also in 2023, the top-10 companies have contributed more than half of crypto’s total resources deployed towards supporting friendly regulatory policies. The number of lobbying entities increased from 19 to 56.
2023 was also on course to overshadow the previous year as the biggest year for crypto lobbying in terms of finances used, with 2022 reporting around $22 million from 57 organizations.
Coinbase has reportedly increased efforts to engage lawmakers on crypto regulations, coinciding with an exodus from the U.S. due to uncertainty around policies for the nascent digital asset industry.
The crypto exchange secured four national security experts for its Global Advisory Council to expand on the pitfalls caused by a lack of crypto regulations. Additionally, the ‘Stand With Crypto’ initiative backed by Coinbase raised $2 million to amplify crypto voices on Capitol Hill.
The downward trend in 2023 has failed to deter the steady pace of deals and investments in the digital market space. Binance Research’s latest report revealed that a substantial share of this sustained growth came from gaming and infrastructure projects.
While the traditional VC share surged to 45% since the beginning of the year, the report found that the gap between traditional and Web3 investors has gradually narrowed.
Investors Are Drawn Towards Gaming Industry
During the bullish market conditions of 2021 and early 2022, there was a consistent increase in total funding. Funding peaked in April 2022, totaling $6.8 billion, marking a substantial 361.8% surge from January 2021.
However, in the aftermath of the FTX contagion, there was a significant decline in funding between the second and third quarters of 2022, with only $2.4 billion of total capital invested in Q3. According to Binance Research’s analysis, the funding levels have stabilized.
Furthermore, there was an increase in the number of deal funds in January and February 2023, primarily driven by growth in the Infrastructure and Gaming sectors.
In the last four quarters, the gaming category secured the highest amount of funding with 87 deals. Although it claims the highest cumulative funding, gaming recorded the smallest average investment per deal, amounting to $7.42 million.
This indicates that investors perceive potential in the gaming industry. However, given the nascent stages of development in Web3 gaming, investment amounts remain “conservative.”
“The sustained investment from venture capitalists in the gaming industry signals a strong forecast for its expansion, accompanied by a rise in funding for AI and Data in recent quarters. Q3’23 saw a shift towards four main areas of interest, including DEX.”
Coinbase Ventures Tops as Non-Lead Investor
Binance Research’s findings reveal that prominent VC firms such as Pantera Capital, Dragonfly, Coinbase Ventures, a16z, and Polychain Capital frequently engage in co-investments. Notably, Polychain Capital and Coinbase Ventures stand out with the highest number of joint investments, totaling 40. This can be attributed, in part, to the fact that Olaf Carlson-Wee, the founder of Polychain, was Coinbase’s first employee and former Head of Risk.
Despite a quarterly decrease in the count of unique investors, the decline slowed to 5.9% in the last quarter. Coinbase Ventures has consistently led deal counts over the past four quarters, allocating 33.3% to DeFi and 39.2% to infrastructure. DWF Labs, a relatively new entrant, initiated its investment activities in October 2022.
Coinbase Ventures, with 49 non-lead investments, adopts a strategy of diversifying its portfolio by making smaller investments across a broader range of projects. This is in contrast with other investors, such as a16z, who prefer larger lead investments in a more selective number of projects.
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Singapore-based startup Dtcpay is set to launch a new payment system tailored for both cryptocurrencies and traditional fiat currencies.
Dtcpay reportedly entered into a strategic partnership with the open-source blockchain platform, PlatON, and Chinese payment solution provider, Allinpay International. The aim is to establish a privacy-protected digital payment infrastructure.
The collaboration will center around the creation of smart point of sale (POS) terminals, capable of supporting numerous digital currencies including Tether (USDT), Ethereum (ETH) and Bitcoin (BTC).
Previously known as the Digital Treasures Center, Dtcpay has made a name for itself offering state-of-the-art digital currency payment services, enabling partners and merchants to accept payments in both traditional and digital currencies.
In addition to the partnership with PlatON and Allinpay International, Dtcpay has also formed alliances with the verification platform Sumsub. This collaboration is intended to heighten the security and reliability of digital currency payments in key markets such as Singapore, Hong Kong, Dubai, the UK, and Europe.
In September, the company partnered with another Singapore-based firm, PoS technology developer Jeripay, to integrate crypto within Jeripay’s 8000 terminal network.
The collaborations come against a backdrop of continually evolving crypto regulations aimed at offering enhanced consumer protection in Singapore.
Major crypto firms such as Coinbase and Ripple are already licensed payment institutions by the Monetary Authority of Singapore (MAS), which is also exploring the potential of central bank digital currencies (CBDCs).
As a key component of this evolving landscape, Project Orchid, a retail CBDC research project, has completed its first phase. The project aims to create digital currencies for specific purposes, bringing together major banks and government agencies in a series of pilot trials.
Even though retail CBDCs are yet to become mainstream, the project’s report indicates that digital currencies not denoted in Singaporean dollars are gaining local traction.
To keep up with these developments, MAS is exploring the concept of programmable or automated execution of digital currencies tailored to predefined use cases.
The largest crypto exchange in the U.S. announced on Thursday that smaller investors, otherwise known as retail traders, are now be able to trade Bitcoin and Ethereum futures on its U.S. platform.
Customers can access the two new financial products through Coinbase Advanced, an offshoot of the exchange’s main platform that lets investors trade more financially complex crypto products. As opposed to CME, a U.S. derivatives exchange that also sells Bitcoin and Ethereum futures, Coinbase’s offering targets shallower-pocketed traders.
“These contracts offer lower upfront capital requirements and can be an affordable investment option for a broader range of retail customers,” the company wrote in a blog post announcing the products.
Coinbase’s unveiling of a futures contract in the U.S. for both Bitcoin and Ethereum, the two largest cryptocurrencies by market capitalization, comes as the exchange looks to diversify its products to compete with the likes of Binance, the largest cryptocurrency exchange in the world.
Futures allow traders to not only speculate on the future price of an asset but to gamble with more assets than they actually own. Customers can front, for example, $100 as collateral and trade $200 worth of crypto, magnifying their losses and gains as a cryptocurrency’s price waxes and wanes.
By most estimates, the global trading volume of the crypto derivatives markets, which include futures, far outpaces that of crypto spot markets, or the simple purchase or sale of cryptocurrencies. As of Wednesday, the 24-hour trading volume of crypto derivatives was approximately $37 million on Binance compared with just about $9 million in spot, according toCoinMarketCap.
Binance dominates the crypto derivatives market. The 24-hour trading volume of its nearest competitors OKX and BitMart was a little more than a fourth of Binance’s. If its recent product announcements are any indication, Coinbase, which has historically been more willing than Binance to play nice with regulators and avoid risky crypto financial instruments, is looking for a slice of that pie.
In April, the publicly traded crypto exchange announced that it had obtained a regulatory license in Bermuda. In May, it then launched a Bermuda-based offshore exchange, which specializes in futures. And then, in late September, it opened up its offshore exchange to retail investors.
The exchange’s most recent unveiling of crypto futures, however, is in the U.S., where it obtained a license to sell the risky financial instruments earlier this year.
Sam Bankman-Fried takes the stand on FTX’s collapse
Sam “SBF” Bankman-Fried testified this week in his ongoing criminal trial in the Southern District of New York, denying any wrongdoing between FTX and Alameda Research while acknowledging making “big mistakes” during the companies’ explosive growth. Highlights of his testimony include denying directing his inner circle to make significant political donations in 2021, as well as claims that FTX’s terms of use covered transactions between Alameda and the crypto exchange. Additionally, Bankman-Fried testified that he requested additional hedging strategies for Alameda in 2021 and 2022, but they were never implemented. The trial is expected to conclude within the next few days.
‘Buy Bitcoin’ search queries on Google surge 826% in the UK
Google searches for “buy Bitcoin” have surged worldwide amid a major crypto rally, with searches in the United Kingdom growing by more than 800% in the last week. According to research from Cryptogambling.tv, the search term “buy Bitcoin” spiked a staggering 826% in the U.K. over the course of seven days. In the United States, data from Google Trends shows that searches for “should I buy Bitcoin now?” increased by more than 250%, while more niche searches, including “can I buy Bitcoin on Fidelity?” increased by over 3,100% in the last week. Zooming out further, the search term “is it a good time to buy Bitcoin?” saw a 110% gain worldwide over the last week.
US court issues mandate for Grayscale ruling, paving way for SEC to review spot Bitcoin ETF
The United States Court of Appeals has issued a mandate following a decision requiring Grayscale Investments’ application for a spot Bitcoin exchange-traded fund (ETF) to be reviewed by the Securities and Exchange Commission (SEC). In an Oct. 23 filing, the “formal mandate” of the court took effect, paving the way for the SEC to review its decision on Grayscale’s spot Bitcoin ETF. The mandate followed the court’s initial ruling on Aug. 29 and the SEC’s failure to present an appeal by Oct. 13. To date, the SEC has yet to approve a single spot crypto ETF for listing on U.S. exchanges but has given the green light to investment vehicles linked to Bitcoin and Ether futures.
Coinbase disputes SEC’s crypto authority in final bid to toss regulator’s suit
The U.S. Securities and Exchange Commission overstepped its authority when it classified Coinbase-listed cryptocurrencies as securities, the exchange has argued in its final bid to dismiss a lawsuit by the securities regulator. In an Oct. 24 filing in a New York District Court, Coinbase chastised the SEC, claiming its definition for what qualifies as a security was too wide, and contested that the cryptocurrencies the exchange lists are not under the regulator’s purview. The SEC sued Coinbase on June 6, claiming the exchange violated U.S. securities laws by listing several tokens it considers securities and not registering with the regulator.
Gemini sues Genesis over GBTC shares used as Earn collateral, now worth $1.6B
Cryptocurrency exchange Gemini filed a lawsuit against bankrupt crypto lender Genesis on Oct. 27. At issue is the fate of 62,086,586 shares of Grayscale Bitcoin Trust. They were used as collateral to secure loans made by 232,000 Gemini users to Genesis through the Gemini Earn Program. That collateral is currently worth close to $1.6 billion. According to the suit, Gemini has received $284.3 million from foreclosing on the collateral for the benefit of Earn users, but Genesis has disputed the action, preventing Gemini from distributing the proceeds. Genesis filed for bankruptcy in January. It had suspended withdrawals in November 2022, which impacted the Gemini Earn program.
Winners and Losers
At the end of the week, Bitcoin (BTC) is at $34,143, Ether (ETH) at $1,789 and XRP at $0.54. The total market cap is at $1.26 trillion, according to CoinMarketCap.
Among the biggest 100 cryptocurrencies, the top three altcoin gainers of the week are Pepe (PEPE) at 72.08%, Mina (MINA) at 55.47% and FLOKI (FLOKI) at 53.33%.
The top three altcoin losers of the week are Bitcoin SV (BSV) at -10.27%, Toncoin (TON) -3.14% and Trust Wallet Token (TWT) at -0.82%.
“I should say, I am not a lawyer, I am just trying to answer based on my recollection. […] At the time [at] FTX, certain customers thought accounts would be sent to Alameda.”
“Without prejudging any one asset, the vast majority of crypto assets likely meet the investment contract test, making them subject to the securities laws.”
Gary Gensler, chair of U.S. Securities and Exchange Commission
“I do not believe there has been a single serious conversation regarding a settlement between Ripple […] and the SEC. The SEC is pissed and embarrassed and wants $770M worth of flesh.”
“He [Sam Bankman-Fried] thought he was going to take that money, and […] he would out-trade the market and put the money back and end up as a half-a-trillionaire, but it never works like that.”
Bitcoin beats S&P 500 in October as $40K BTC price predictions flow in
Bitcoin surfed $34,000 at the end of the week as attention turned to BTC price performance against macro assets. Data from Cointelegraph Markets Pro and TradingView showed BTC/USD holding steady, preserving its early-week gains.
The largest cryptocurrency avoided significant volatility as the weekly and monthly closes — a key moment for the October uptrend — drew ever nearer.
“I think Bitcoin will hang around this range for some time,” popular pseudonymous trader Daan Crypto Trades told X subscribers in one of several posts on Oct. 27. “Roughly $33-35K is what I’m looking at as a range. Eyes on potential sweeps of any of these levels for a quick trade,” he wrote.
FUD of the Week
UK passes bill to enable authorities to seize Bitcoin used for crime
Lawmakers in the United Kingdom have passed legislation allowing authorities to seize and freeze cryptocurrencies like Bitcoin if used for illicit purposes. Introduced in September 2022, the passed legislation aims to expand authorities’ ability to crack down on the use of cryptocurrency in crimes like cybercrime, scams and drug trafficking. One of the provisions of the bill permits the recovery of crypto assets used in crimes without conviction, as some individuals may avoid conviction by remaining remote.
Scammers create Blockworks clone site to drain crypto wallets
Phishing scammers have cloned the websites of crypto media outlet Blockworks and Ethereum blockchain scanner Etherscan to trick unsuspecting readers into connecting their wallets to a crypto drainer. A fake Blockworks site displayed a fake “BREAKING” news report of a supposed multimillion-dollar “approvals exploit” on the decentralized exchange Uniswap and encouraged users to visit a fake Etherscan website to rescind approvals. The fake Uniswap news article was posted on Reddit across several popular subreddits.
Kraken to suspend trading for USDT, DAI, WBTC, WETH and WAXL in Canada
Kraken will suspend all transactions related to Tether, Dai, Wrapped Bitcoin, Wrapped Ether and Wrapped Axelar in Canada in November and December. The suspensions may not surprise many Canadian cryptocurrency users, as they come on the heels of several other notable exchanges taking similar actions throughout 2023. OKX ceased operations in Canada in June after Binance announced its intention to do so in May.
5,050 Bitcoin for $5 in 2009: Helsinki’s claim to crypto fame
