Saylor Gets Sued, FBI Warns of DeFi Exploits, and Crypto.com Drops $495M in Sponsorship: Hodler’s Digest, August 28
Coming every Saturday, Hodler’s Digest will help you track every important news that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more – a week on Cointelegraph in one link.
Top stories this week
US Fed Deputy Chairman Michael Barr favors a hard line on crypto, and the OCC is not acting any friendlier
Global crypto regulation remains a prevalent topic looming over the sector. Recent comments by United States Federal Reserve Board Deputy Chairman for Supervision Michael Barr and Acting Comptroller of the Currency Michael Hsu favored a tilt toward more government oversight. Barr expressed a desire for stablecoin regulation as well as crypto-related banking regulations. Hsu’s comments included looking at the industry cautiously.
GameStop is doubling down on crypto in a new partnership with FTX US
GameStop is teaming up with crypto exchange FTX US in a promotional partnership. So far, 2022 has seen GameStop pursue increasing involvement in the crypto space, evident in the launch of the NFT marketplace and the new gaming division devoted to Web3. GameStop has a long-term vision for crypto engagement, according to CEO Matt Furlong during a second quarter earnings call.
Binance: No Plans to Auto-Convert Tether, Though It ‘May Change’
This week, Binance revealed plans to phase out three stablecoins on its trading platform: USD Coin (USDC), TrueUSD (TUSD) and USDP Stablecoin (USDP). The three assets, as well as associated spot trading pairs, will no longer be tradable on the exchange. In addition, Binance plans to discontinue other services related to USDC on its platform, such as staking.
The move is essentially an attempt to centralize the liquidity of the exchange’s own stablecoin, Binance USD (BUSD), based on an explanation tweeted by CEO Changpeng Zhao. The exchange will convert users’ remaining holdings of USDC, TUSD and USDP to BUSD over a period of 24 hours, starting on September 29. However, a conversion of Tether (USDT) to BUSD was not included in Binance’s plans, although that may change, according to a Binance spokesperson.
Bank of Russia agrees to legalize crypto for cross-border payments: Report
Russia’s central bank is expected to allow cross-border crypto payments to and from the country, but digital asset payments within its borders will remain prohibited. The country banned crypto as a means of payment via previous legislation. According to Russian Deputy Finance Minister Alexey Moiseev, the government’s new approach to crypto is a response to changing circumstances globally following Russia’s invasion of Ukraine earlier this year.
A statement to the RIA Novosti media outlet from the Bank of Russia explained: “It is important to emphasize that we are not talking about the legalization of cryptocurrency as a means of payment on the territory of our country.“ A day later, news broke of Russia reportedly wanting to work with so-called “friendly” countries to set up a stablecoin platform for cross-border payments.
Britain’s finance secretary commits to making the country a crypto hub under new prime minister
Developments in the UK this week seemed positive for crypto adoption in the country. Among several comments about crypto, Treasury Secretary Richard Fuller said: “We want to become the country of choice for those who want to create, innovate and build in the crypto space.” The UK now has a new Prime Minister in Liz Truss, who in 2018 expressed that crypto’s potential should not be stifled in the country.
Winners and losers
At the end of the week, Bitcoin (BTC) is at $21,293Ether (ETH) on $1715 and XRP on $0.34. The total market value is at $1.04 trillion, according to CoinMarketCap.
Among the top 100 cryptocurrencies, the top three altcoin winners of the week are Terra (LUNA) at 218.74%, Terra Classic (LUNC) of 76.92% and Ravencoin (RVN) of 65.43%.
The top three altcoin losers of the week are Nexo (NEXO) at -11.74%, 1-inch mesh (1 INCH) of -8.75% and UNUS SED LEO (LEO) of -6.35%.
For more info on crypto prices, be sure to read Cointelegraph’s market analysis.
Most memorable quotes
“The biggest reason I’m bullish on Bitcoin is because the world is not in good shape right now, and Bitcoin is going to fix that.”
Prince Philip KarageorgevitchCrown Prince of Serbia and Yugoslavia
“Until they actually fix the supply side of certain things, like energy in particular, but commodities in general and logistics infrastructure, until that’s improved, it’s hard to have a more sustained solution to the inflation problem.”
Lyn Aldenindependent macro analyst
“You can’t go into a Starbucks in America and pay with Swiss francs or pounds. Still, both of these are real money. Context is important.”
Rockwell Shahco-founder of Invisible College
“There will always be GPUs mining some GPU-optimized chains, but I doubt we’ll get back to the revenue levels seen in the ETH proof-of-work at the top again.”
Andy LongCEO of White Rock
“Ether’s price may decouple from other cryptocurrencies after The Merge, as the stake rewards will make it similar to an instrument like a bond or commodity with a carry premium.”
Chain analysis report
“I want to send a clear, strong message to everyone in the crypto world – anyone who offers you free money is lying. It simply does not exist.”
FatManTerrapseudonym Twitter crypto-influencer
Prediction of the week
Bitcoin Analyst Who Called 2018 Bottom Warns ‘Bad Winter’ Could See $10K BTC
Pseudonymous crypto market analyst Filbfilb sees Bitcoin possibly falling to $10,000 during 2022. Global macro factors and mainstream market correlation could potentially affect Bitcoin’s price trajectory, according to comments from the analyst during an interview. Among a number of insights, Filbfilb noted that the current crypto bear market has some similarities to previous bear markets, but also includes differences. The analyst showed remarkable accuracy in calling Bitcoin’s bottom during the last bear market of 2018.
FUD of the week
Bitcoiner sentenced to federal prison warns users involved in OTC trading
Mark Alexander Hopkins, alias Rizzn on Twitter, claims he faces a prison sentence of 6 to 15 months. The crime? Allegedly failing to secure proper regulatory licensing for its peer-to-peer (P2P) Bitcoin trading crypto business. Hopkins’ home was raided by US authorities in 2019. Hopkins, also known as “Doctor Bitcoin,“ claims to have registered with the US Financial Crimes Enforcement Network, but complications arose when some of his P2P Bitcoin transactions were linked to a client involved in money laundering. Authorities claim that Hopkins did not perform due diligence on his clients, although he claims otherwise.
Which countries are worst for crypto taxation? A new study shows the top five
Crypto taxes vary globally. Coincub, a digital asset provider, recently published a study naming the five least favorable regions for paying crypto taxes. Belgium took the cake for the country with the worst crypto tax laws, requiring residents to pay as much as 50% in some cases, with 33% levied on crypto capital gains. Following Belgium on the worst crypto tax jurisdiction list: Iceland, Israel, Philippines and Japan.
Vermont’s financial regulator claims Celsius and CEO made ‘false and misleading claims’
Bankrupt crypto platform Celsius is facing allegations from the Vermont Department of Financial Regulation (DFR). The authority alleges Celsius and its CEO Alex Mashinsky knew about the project’s financial problems but continued to mislead the public into thinking all was well. The allegations also cite market manipulation of the project’s CEL assets. “By increasing its net position in CEL by hundreds of millions of dollars, Celsius boosted and supported the market price of CEL, thereby artificially inflating the company’s CEL holdings on its balance sheet and financial statements,” Ethan McLaughlin, assistant general counsel for DFR, said.
Best Cointelegraph Features
Turning On… Crypto Insider Trading Is Targeted – Finally! Part 1
“It took a few years, but the government’s crackdown on “insider trading” involving digital assets has finally arrived. It’s about time!“
Insider’s Guide to Real Crypto-And-Is: Part 1
“Just like everything else in life, there is an ebb and flow to our fortunes and life circumstances.”
What Will Drive Crypto’s Likely Bull Run in 2024?
Easier monetary policy, the decline in inflation, the change in Bitcoin’s mining difficulty and growing confidence in DeFi are factors pointing towards a renewed rise for crypto prices.
