The Regulatory State #32 - 5/9/22
Fidelity and Cowen are leading the Wall Street pack in adoption, both custodying assets and investing in ventures across the broker dealer (market making) tech stack in preparation for institutional adoption. SBF continues to pound the podium for CFTC and SEC clarity and cooperation, as EU officials continue to call for accelerating global regulatory parity.
Wall Street Reluctantly Embraces Crypto (WSJ)
CFTC, SEC Cooperation Key to Solving Crypto’s Regulatory Woes, FTX CEO says (Blockworks)
Crypto Exchange Binance Gets French Regulatory Nod in European Push (Bloomberg)
Top EU Official Calls for Global Crypto Agreement (CoinDesk)
Council of Europe Calls for Crypto Laundering Clampdown (CoinDesk)
Bitcoiners UNITE! Anti-mining legislation stalled in the NY state legislature. Saylor, Dorsey, and even Ken Griffin of Citadel fame continue to beat the drum of support last week in letters to the EPA and at the Milken Institute Global Conference respectively.
The NY Mining Moratorium’s Odds Just Got a Lot Worse (CoinDesk)
Saylor, Dorsey, Other Bitcoin Advocates Send Letter to EPA Rebutting House Democrats' 'Misperceptions' (Decrypt)
MicroStrategy Takes $170M Q1 Impairment Charge on Bitcoin Holdings (Decrypt)
Citadel CEO Ken Griffin Didn’t Want to ‘Help Fund the North Koreans’ by Entering Crypto (Decrypt)
Sen. Elizabeth Warren Questions Fidelity’s Plan to Put Bitcoin in 401(k)s (WSJ)
In capital markets this week, crypto is less an inflation hedge and more of a ‘super S&P’ on steroids (paraphrasing Cramer). Crypto banks Elon in his acquisition of Twitter, with Bitcoin mining continuing to be an attractive corporate development option, and the Galaxy acquisition of BitGo is yet to close on significantly depreciated BTC/ETH assets.
Fed Approves Half-point Interest Rate Hike, Crypto Trades Like Big Tech (Blockworks)
Binance Backs Elon Musk's Twitter Acquisition Bid With $500M (Decrypt)
Bitcoin Miner Argo Borrows Another $70M for Rigs From NYDIG (Decrypt)
SEC Fines Nvidia $5.5M for Not Disclosing Crypto Mining Impact on Gaming Business (Decrypt)
The Biggest Crypto Deal That Wasn't: A Closer Look at Galaxy's BitGo Purchase (Decrypt)
SEC’s regulation by enforcement is ramping up with 20 new hires on the newly branded Crypto Assets and Cyber Unit team. SEC Commissioner Peirce vehemently disagrees with the approach and mandate, as enforcement actions tick up.
U.S. Department of Justice Charges Florida Executive Over Alleged Involvement in $62,000,000 Crypto Fraud (Daily Hodl)
SEC Crypto Team Getting 20 More Officials in Bid to Crack Down (Bloomberg)
Hester Peirce Knocks SEC’s Plans to Add to Crypto Enforcement Staff (CoinDesk)
BitMEX Ex-CEO Hayes Asks for No Jail Time, Freedom to Travel (Bloomberg)
Crypto Bridge Heists Swiping $1 Billion Spur Race for Alternatives (Bloomberg)
US Officials Add North Korea-Linked Bitcoin Mixer, More BTC and ETH Addresses to Sanctions List (CoinDesk)
The MOOCH for the win…if midterms are any indication, the presidential race will put crypto on the grandest stage. States are signing orders this week to mirror Biden’s recent executive order requiring agency deep dives in order to develop informed policies and legislation.
SkyBridge Capital’s Anthony Scaramucci expects a pro-crypto presidential candidacy (CoinTelegraph)
California Gov. Gavin Newsom Signs Crypto Executive Order (Decrypt)
Hawaii Becomes Latest State to Approve Task Force to Examine Bitcoin, Web3 Technology (Decrypt)
Clear regulation is favorable regulation in the long term. Dubai is firmly grounded with smart and supportive regulatory framework, quickly executing a regulatory plan for Dubai to catch up with incumbent global crypto hubs. One of those traditional hubs, Estonia, is overhauling what was extremely friendly but loose pro-crypto regulations in order to normalize with FATF recommended guidelines supported by western countries.
Dubai’s Crypto Regulator Buys Land in the Metaverse for Headquarters (Blockworks)
Uzbekistan legalises solar-powered crypto mining (Reuters)
Argentina's Central Bank Bans Lenders From Offering Crypto Services (CoinDesk)
In Estonia, the Party’s Over for 'Hippie' Crypto Firms (CoinDesk)
Big Tech is here, both in name and person. Google is publicly spinning up a team to focus on web 3 products, Doodles gets a Billboard executive as CEO, and Twitter quickly begins releasing its decentralized code base.
Google Forms Web3 Team to Tap the Market's 'Tremendous Potential' (Decrypt)
Ethereum NFT Collective Doodles Names Billboard Executive as New CEO (Decrypt)
Twitter's Bluesky Releases First Code for Decentralized Social Media Network (Decrypt)
'Ethereum Killer' Dfinity Slaps Facebook's Meta With Logo Lawsuit (Decrypt)
NFTs…value or hype? Volumes on OpenSea are at an all time high, Coinbase’s launch barely sees 150 users, and Kraken tees up an NFT exchange with no gas fees. Freedom Squares raise $100M for Ukrainian support while Bored Apes price collapsed. Which direction are we going?
NFT Issuers Could Have to Centralize and Register Under EU's MiCA Rules, France Warns (CoinDesk)
NFTs Are Dead? OpenSea Just Set a New Daily Trading Record of $476M in Ethereum (Decrypt)
Waitlist Launches For Kraken NFT, Which Promises Zero Gas Fees (Decrypt)
Coinbase's NFT Marketplace Gains Fewer Than 150 Users in First Day Open to Public (Decrypt)
Freedom Squares Ethereum NFTs Turn Zelensky’s Words Into Ukraine Relief (Decrypt)
Bored Ape Ethereum NFT Price Drops 32%, Down $135K Since Last Week (Decrypt)
The information above does not constitute an offer to sell digital assets or a solicitation of an offer to buy digital assets. None of the information here is a recommendation to invest in any securities.