The first spot Ether ETF application has been submitted in the United States. Google Allows NFT Advertising, Crypto.com’s Mistake Will Put Mom in Community Service?! This week we bring you these stories and more in cryptocurrency.
Spot Ether ETF filed in the US
Cathie Wood’s Ark Invest is collaborating with 21Shares to explore launching the first spot Ethereum ETF in the United States. An application filed with the SEC names Coinbase as custodian. This means that the cryptocurrency exchange holds Ethereum backing the ETF shares. If approved, the fund will trade on the Cboe BZX Exchange.
Google Allows NFT Game Advertising
Google has updated its cryptocurrency advertising policy to allow advertising in blockchain-based NFT games. As long as the ad does not promote gambling, Google now allows promotions for NFT games that allow players to purchase in-game items, such as virtual clothing, weapons, and armor for player characters used in the game to enhance the user experience.
Kraken expands its services
Kraken, a leading US exchange, is expanding its services in the UK through Crypto Facility Ltd., which Kraken acquired in 2019. Crypto Facility Ltd. provides cryptocurrency derivatives for institutional investors and is currently seeking permission to provide asset custody services to a wider range of clients. . Kraken also launched support for PayPal deposits on its mobile app in the UK and Europe this week.
Thodex founder sentenced to 11,196 years in prison
Faruk Fatih Özer, founder of Turkey’s defunct cryptocurrency exchange Thodex, has been sentenced to a whopping 11,196 years in prison along with a $5 million fine. Thodex, once Turkey’s main exchange, suddenly shut down in April 2021, leaving its 400,000 customers without access to deposits totaling $2 billion. Özer fled to Albania but was arrested by Interpol last August.
Texas Paid Bitcoin Miners Millions
Bitcoin miners in Texas have temporarily suspended operations to ease the state’s power crisis. Riot Platforms, one of the largest mining companies, received $31 million in energy credits from the Electric Reliability Council of Texas (ERCOT) last August in return for agreeing to reduce energy consumption. These additional revenue streams greatly offset mining costs, establishing Riot as one of the most cost-effective Bitcoin producers in the industry.
Fair Value Accounting Is Coming to Bitcoin
The Financial Accounting Standards Board has approved new accounting rules for companies that hold or invest in digital assets. The new rules, which will take effect in 2025, require companies to report their digital asset holdings at their current fair value rather than the current standard of historical value. One of the largest corporate holders of Bitcoin is Michael Saylor’s Microstrategy. Microstrategy views this change positively, as CFO Andrew Wang wrote to the FASB in May supporting the original proposal.
The G20 proposed curbing cryptocurrency risks.
G20 countries were provided with a list of proposed measures to embrace digital currencies. Key measures proposed by the IMF and the Financial Stability Board include that cryptocurrency assets should not be granted official currency status or included in central bank holdings due to potential destabilization risks. The proposal further emphasizes clear tax treatment, international cooperation, and transparency for global stablecoin issuers to protect users and ensure timely redemption.
Australian mother sentenced for $10 million cashing
An Australian mother was sentenced to 209 days in jail and 200 hours of community work for accidentally trying to keep $10 million in deposits from Crypto.com. She reportedly told her a story about how she and her boyfriend had won a crypto.com contest, and she was accused of spending the funds on real estate and luxury items. But she won’t be behind bars any longer, as it amounts to her sentence before she was released on bail last year.
This is what happened in the cryptocurrency market this week. I will see you next week.