Fed Governor: US Regulators Prefer Keeping Crypto Separate from Banks
• U.S. Federal Reserve Board Governor Christopher Waller has reinforced the preference of U.S. regulators to keep crypto apart from banks, noting that this separation has kept the U.S. financial system out of crypto’s drama and expressing optimism that the sector can work out its recent issues. • Waller is supportive of prudent innovation in the financial system and encourages parts of the crypto universe to thrive, but believes banks should be cautious when engaging with cryptocurrencies due to heightened risk of fraud and legal uncertainties. • He does anticipate that the digital assets industry will mature over time and work out its governance, risk management and transparency issues for a better understanding of customer business models and risks involved. U.S Regulator’s Preference for Keeping Crypto Apart from Banks U.S Federal Reserve Board Governor Christopher Waller has emphasized U.S regulator’s preference for keeping cryptocurrency apart from banks in order to…
Crypto Exchange Bittrex Cuts 80 Jobs Amid Market Downturn
• Bittrex, a Seattle-based cryptocurrency exchange, is laying off more than 80 people due to the “new economic environment.” • This comes after multiple failures in the crypto ecosystem and sharp declines in cryptocurrency prices. • Many other exchanges such as Gemini and Coinbase have also announced layoffs recently. Bittrex Laying Off More Than 80 People Bittrex, a Seattle-based cryptocurrency exchange, is reducing its staff by more than 80 people due to the “new economic environment,” according to CEO Richie Lai. He cited market downturns triggered by multiple failures in the crypto ecosystem as the primary reason for the cuts. Market Conditions The company had been working “aggressively” to reduce expenses and increase efficiencies but were not successful, according to an email sent out by CEO Lai. The layoffs affected at least some employees in most departments across Bittrex. This comes after sharp declines in cryptocurrency prices and the collapse…
Coinbase Fined $3.6M by Dutch Central Bank for Crypto Violations
• Coinbase recently received a $3.6 million fine from the Dutch Central Bank (DNB) for violations of Dutch crypto registration procedures. • The fine is in line with one imposed on Binance last year and is justified by the gravity and scale of the violation. • Coinbase argues it is being punished for cooperating with the regulations, but still has the option to appeal. Coinbase, one of the world’s leading cryptocurrency exchanges, recently received a hefty fine from the Dutch Central Bank (DNB) for “very serious” violations of Dutch crypto registration procedures. The DNB sanctioned Coinbase with a penalty of 3,325,000 euros ($3.6 million), which is in line with the fine imposed on rival crypto exchange Binance last year. The DNB argues that the size of the fine is justified by the gravity and scale of the violation. Coinbase, who is now registered with the DNB, argues that it is…
Thena Surges to $90M TVL in First Week, Yields of Up to 222.86% Available
• Thena, a liquidity layer and decentralized exchange (DEX) on the BNB Chain, has experienced a massive uptick in total value locked (TVL) to $90 million from $5 million since its launch last week. • The protocol offers yields of up to 9.93% for liquidity providers that stake stablecoins, while yields of 222.86% are available to those who stake the platform’s native token, THE. • The decentralized finance (DeFi) sector has benefitted from the recent recovery in major crypto assets like bitcoin and ethereum. The BNB Chain-based DeFi protocol Thena has achieved an impressive feat in its first week of launch, with its Total Value Locked (TVL) surging to $90 million. Launched on the 10th January 2021, Thena is a liquidity layer and decentralized exchange (DEX) that enables users to swap assets at low costs and with fast settlement times. Thena’s protocol offers attractive yields of up to 9.93% for…
117 Parties Express Interest in Buying FTX Subsidiaries
• Around 117 parties have expressed interest in buying units of FTX, according to a legal filing posted Sunday. • The crypto company is currently undergoing bankruptcy proceedings and is looking to expedite the sale of LedgerX, FTX Japan, FTX Europe and the stock-clearing platform Embed. • The deadline for initial bids is fast approaching. As the crypto industry continues to grow, so do the number of acquisitions and transactions. This was recently highlighted when a legal filing posted on Sunday revealed that around 117 parties have expressed interest in buying units of FTX. FTX is a crypto company that is currently in the midst of bankruptcy proceedings. In order to expedite the process, the estate has prioritized the sale of its subsidiaries, LedgerX, FTX Japan, FTX Europe and the stock-clearing platform Embed. The reason for this is that it is the quickest way to separate the business and mitigate…
Ethereum’s Year of 2022: Major Milestones and Controversy
– Ethereum completed its radical shift to a new, vastly more energy-friendly system for powering its network in 2022. – This was marked with various issues such as concerns around censorship and record-shattering hacks on Ethereum-linked infrastructure. – The Merge, while reducing Ethereum’s energy consumption significantly, has led to charges of centralization and never spurred a long-hoped-for bump to the price of ether. Ethereum’s year of 2022 was one characterized by both major milestones and intense controversy. Having completed its radical transition to a more energy-efficient system, Ethereum had finally ticked off several boxes on its checklist toward creating a global computer and decentralized financial system. However, the year was not without its issues. The Merge, Ethereum’s massive upgrade to a more energy-efficient system for processing transactions, represented a major milestone for the blockchain. By switching to proof-of-stake from proof-of-work, the Merge marked a massive reduction to the network’s energy…
Kraken to Exit Japan and Cut 30% of Global Staff Amid Crypto Market Stagnation
• Kraken will exit Japan and deregister from the Financial Services Agency as of Jan. 31. • Kraken users in the country have until the end of next month to withdraw their holdings. • The company is prioritizing resources and investments to ensure the long-term stability of the exchange. Kraken, a leading cryptocurrency exchange, recently announced that it will be exiting Japan and deregistering from the Financial Services Agency as of January 31st. The decision to leave the country was prompted by “current market conditions in Japan in combination with a weak crypto market globally,” according to a blog post from the company. Kraken users in Japan have until the end of next month to withdraw their holdings. Cryptocurrency can be transferred to another wallet or Japanese yen can be wired to a local bank. The exchange is also taking steps to ensure its long-term stability, with a focus on…
Crypto Markets Remain Frozen Near Recent Support as CoinDesk Reviews Year’s Impactful Stories
• Bitcoin drifted lower in Tuesday trading, but prices remain largely frozen near levels they’ve held for a week. • CoinDesk revisited a few of its most impactful stories from the past year, including one that led to the implosion of crypto exchange giant FTX in November. • Bitcoin was recently changing hands at $16,700, off 1.3% over the past 24 hours but near its most recent support just under $17,000. On Tuesday, the crypto markets continued to show signs of relative stability, with Bitcoin (BTC) prices drifting lower but remaining largely frozen near levels they’ve held for a week. As the year draws to a close, CoinDesk is taking a look back at some of its most impactful stories from the past year, including one that led to the implosion of crypto exchange giant FTX in November. The market’s largest cryptocurrency by market capitalization was recently trading at $16,700,…
Nexo Urges Vauld Creditors to Back Acquisition Deal, Kroll Silent
• Nexo sent an open letter to Vauld creditors after Vauld announced it had suspended all withdrawals, trading, and deposits on its platform and had filed for creditor protection. • Nexo’s letter noted that the negotiations for the acquisition had been slow and challenging and that terms of the deal had been “misleading”. • Kroll, Vauld’s financial adviser, has not yet responded to a request for comment. Crypto lender Nexo has sent an open letter to creditors of Singapore-based rival Vauld, seeking to buy the company after Vauld announced it had suspended all withdrawals, trading and deposits on its platform, filed for creditor protection, and was looking at restructuring options. The letter, sent Monday, comes amid conflicting assessments of the acquisition process. Vauld said earlier in the day that the deal announced in July had “not come to fruition.” Nexo responded by saying talks were continuing and it still hoped…
Crypto Market Holds Steady as Investors Focus on ‘Good Deals and Ideas’
• Bitcoin held steady over the long Christmas holiday weekend at about $16,900. • Most other major cryptos were flat, although tinted more green than red. • Investor largely ignored crypto and the macroeconomic uncertainties that have plagued the world in 2022. The Christmas holiday weekend was a relatively calm one for the cryptocurrency market as Bitcoin and other cryptos largely held steady. Bitcoin, the largest cryptocurrency by market capitalization, was recently trading at about $16,900, just about where it stood 24 hours earlier and where it finished Friday as markets wound down for the holiday. Ether, the second-biggest cryptocurrency by market capitalization, was recently changing hands at slightly over $1,200, mirroring Bitcoin’s flat trading of the past three days. The overall cryptocurrency market was mostly flat, with most major cryptos tinged more green than red. This steadiness was a welcome sign for investors, given the macroeconomic uncertainties that have…