Weekly Update #38
Mark Collins & Demetrius TSEAS
Regulatory News:
U.S. Department of Justice indicts 3 people for $1.89 billion cryptocurrencyCryptocurrency (or cryptocurrency) is a digital asset. fraud scheme: January 29, U.S. Department of Justice Announced the indictment of two individuals and the guilty plea of a third individual for allegedly co-founding HyperFund, also known as HyperTech, HyperCapital, HyperVerse, and HyperNation, for allegedly orchestrating a $1.89 billion cryptocurrency scheme. The defendants were accused of promising investors that they would pay out handsome profits through cryptocurrency mining operations that did not actually exist.
German authorities have seized $2 billion worth of Bitcoin in the country’s largest seizure to date.: January 30 German police announced the seizure of 50,000 bitcoins worth approximately $2 billion in the eastern state of Saxony. saxon state criminalA criminal is an individual or group of people who have been convicted. The National Police Agency said this seizure would be the largest ever in Germany. Police said they were investigating two men on suspicion of running a piracy website until the end of 2013. The investigation is still ongoing and no charges have yet been filed.
South Africa’s FSCA begins issuing first cryptocurrency licenses: South Africa’s Financial Sector Conduct Authority (FSCA) According to reports, it will begin issuing licenses to Crypto Asset Service Providers (CASPs) in the coming weeks. Under the licensing regime, consumers should only interact with licensed cryptocurrency companies, and lack of a license should be considered a ‘red flag’.
Argentina has removed cryptocurrency normalization provisions from its new economic reform.: January 27, iProUP, an Argentine technology outlet Reported provisions on . Asset regularization, which proposes a one-time tax on various types of previously undeclared assets, was left out of Argentina’s Bases and Starting Points for Freedom Act, an omnibus bill aimed at kickstarting President Javier Millay’s policy agenda. This part of the bill proposed a simple tax of 5% on all assets declared until the end of March 2024, 10% from April to the end of June 2024, and 15% from July to the end of September. The decision to remove asset legalization from the bill was reportedly based on delays in processing the motion in parliament.
ESMA in the EU consults on reverse solicitation and classification of cryptocurrency assets as financial instruments under MiCA.: On January 29, 2024, the European Securities and Markets Authority (“ESMA”), the EU’s financial markets regulator and supervisory body, We have published two consultation papers on guidance under the Markets in Cryptocurrency Asset Regulations (MiCA). station solicitation(One) And one is Cryptocurrency is classified as a financial product. The consultation ends on 29 April 2024. ESMA will consider the feedback received on the consultation in the second quarter of 2024 and is expected to publish its final report in the fourth quarter of 2024.
Department of Energy Investigating BTC Mining Companies: The U.S. Department of Energy (DOE) has launched a mandatory survey to assess the energy consumption of the cryptocurrency mining industry. BitcoinThe term “Bitcoin” refers to the Bitcoin network,…See more Price is the driving force. The Energy Information Administration (EIA) will collect data from commercial miners, focusing on changes in mining activity, energy sources and intensive mining areas, with the survey approved until July 2024. EIA
El Salvador’s Bitcoin-supporting president wins re-election: Nayib Bukele won a landslide victory with nearly 85% of the vote and will serve another five years in office. Bukele Twitter
BTC-e founder sentenced to 25 years in prison for money laundering: The indictment unsealed on Tuesday charges Aliaksandr Klimenka, a Belarusian and Cypriot, with conspiracy to launder money and operating funds without a license. serviceGeneral services including non-profits, forums, news sheets…See more business. Klimenka is said to have facilitated serious cybercrime and online money laundering activities through his control of the BTC-e digital currency exchange and could face up to 25 years in prison if convicted. DOJ
Cryptocurrency News:
Germany’s DZ Bank to pilot cryptocurrency trading this year: DZ Bank, Germany’s second largest bank Following the launch of the cryptocurrency storage platform in early November 2023, it is reported that cryptocurrency trading will be conducted on a trial basis this year.
Visa allows cryptocurrency withdrawals with debit cards in 145 countries.: January 30 VISA It is reported that a strategic partnership has been formed with a Web3 infrastructure provider. Transak introduces cryptocurrency withdrawals and payments through the Visa Direct platform. This partnership will allow users in 145 countries to directly convert more than 40 cryptocurrencies to fiat without relying on centralized exchanges. This new integration allows users to withdraw cryptocurrencies such as Bitcoin directly from exchanges. walletA wallet is a device (a hardware device, program, or service). Like MetaMask and Visa debit cards. Out-of-the-box integrations allow you to exchange cryptocurrencies for fiat and make payments at any of the 130 million merchants that accept Visa.
There will be no cryptocurrency ads expected in the Super Bowl: According to a CNN report, cryptocurrency exchanges are expected to be noticeably absent from advertising spots during Super Bowl LVIII on February 11. Companies are focusing on ‘fun, humor, and entertainment’ rather than financial technology. The shift away from AI and cryptocurrency companies in Super Bowl advertising following the collapse of FTX, eToro, Crypto.com, and Coinbase reflects a different trend than could be seen at Super Bowl LVI in 2022. CNN
From OPNX to shutter action: OPNX, a cryptocurrency bankruptcy claims platform and exchange launched by the co-founders of failed hedge fund Three Arrows Capital (3AC), is scheduled to shut down by February 14 and is giving users until February 7 to settle their positions and withdraw their funds. urged that. Following the collapse of a $10 billion hedge fund in June 2022, founders Su Zhu and Kyle Davies face additional difficulties as Teneo seeks to recover $1.3 billion from them after being accused of excessively leveraging investor funds. It is done. yahoo finance
Valkrie BTC ETF adds Bitgo as custodian. According to an SEC filing, Valkyrie selected BitGo as the custodian for its spot Bitcoin ETF. Valkyrie still plans to use Coinbase as its custodian, but aims to diversify its digital asset custodian by integrating BitGo. Second 8-K
Hacks and Exploits:
gibberish: Abracadabra.money suffered a $6.5 million hack on Ethereum due to a rounding issue in the CauldronV4 code, which allowed attackers to manipulate debt calculations and drain MIM liquidity from the cauldron. The Abracadabra team promised to restore the stablecoin’s peg by buying back MIM from the market and burning it, and despite the quick alleviation of the issue, MIM is currently trading at around $0.97. rect