Bitcoin & Cryptos: What Happened in Crypto Today?

What Happened in Crypto Today?
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What Happened in Crypto Today?

The world of cryptocurrencies has been buzzing with significant events and developments today. From legal battles and regulatory decisions to calls for fair treatment, let’s take a closer look at what happened in the crypto today.

Sealing of Documents: SBF’s Legal Battle Continues

Sam Bankman-Fried, the former CEO of FTX, has found himself entangled in a legal battle that has captured media attention. His lawyers recently made a move to seal documents related to an interview he gave to The New York Times. The reason cited for the sealing request is to avoid the public dissemination of sensitive information concerning his relationship with Caroline Ellison, who was once the head of Alameda Research.

Ellison, who was SBF’s girlfriend-turned-business-partner, had faced severe legal consequences herself. However, she managed to escape a potential 110-year prison sentence by striking a plea deal with the state attorney for the Southern District of New York. Now, SBF’s legal team fears that the interview could expose private details from Ellison’s journals, prompting them to seek a protective seal.

US Senate’s Focus on Crypto: The NDAA Amendment

The United States Senate recently passed the 2024 National Defense Authorization Act (NDAA), a substantial $886 billion bill. Among its provisions is a focus on the cryptocurrency industry. Specifically, the bill aims to target crypto mixers, anonymity-enhancing coins, and institutions involved in crypto trading.

The amendment within the NDAA was supported by senators like Cynthia Lummis, Elizabeth Warren, Kirsten Gillibrand, and Roger Marshall. Drawing inspiration from previous acts related to digital asset anti-money laundering and financial innovation, this amendment calls for the establishment of examination standards for cryptocurrencies.

These standards would assess risks and ensure compliance with sanctions and anti-money laundering laws. Furthermore, the amendment demands a study from the US Treasury Department to address anonymous crypto transactions, including the use of crypto mixers like Tornado Cash. Such mixers have been employed to anonymize transactions, but they have also been exploited by malicious actors for money laundering purposes.

Grayscale Advocates for Fair Bitcoin ETF Approvals

Grayscale Investments, a prominent player in the cryptocurrency space, has taken a stand in favor of a level playing field for Bitcoin exchange-traded funds (ETFs). The company is urging the Securities and Exchange Commission (SEC) to approve all spot Bitcoin ETF applications concurrently, rather than selecting “winners and losers.”

The appeal comes as the SEC is reviewing eight spot Bitcoin ETF filings, including Grayscale’s own. The company argues that the approval process should be equitable and orderly. Grayscale’s legal team maintains that spot ETFs and Bitcoin futures ETFs are inherently linked and should, therefore, be evaluated based on similar criteria.

Among the companies waiting for SEC approval are industry giants like Invesco, BlackRock, Valkyrie, VanEck, WisdomTree, Fidelity, and ARK Invest. Some of these applicants have taken measures to bolster their applications, including surveillance-sharing agreements with Coinbase.

Bottom Line

The crypto world has witnessed significant events today with “What Happened in Crypto Today,” from the ongoing legal battles of SBF to the US Senate’s focus on cryptocurrency regulation and Grayscale’s call for fair treatment in Bitcoin ETF approvals. As the industry continues to evolve, staying informed about these developments is crucial for all crypto enthusiasts and investors alike.

Featured image: Shutterstock

Disclaimer: Please note that this article does not provide investment advice or recommendations. It’s essential to understand that every investment and trading decision carries inherent risks. Readers are encouraged to conduct their own thorough research before making any financial decisions.

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