By Christopher Hamman
There were a few grey clouds on the horizon within the decentralized space, with regulatory crackdowns taking center stage.
The SEC continued its anti-crypto stance with Kraken receiving $30 million in fines.
Binance seeks to cement its role as the industry leader consortium plans.
And on a brighter side, local authorities are looking into ways of making gains in the crypto space, with Mississippi launching two pro-crypto bills.
Here are the decentralized diaries!
Bitcoin Went Sideways but Remained in the $21K Range
Following regulatory clampdowns, Bitcoin prices experienced a 4.97% seven-day drawdown and remained at $21,662.90 from a high of $23,335.44 and a low of $21,544.03.
The Altcoins have remained within similar activity ranges, with Ethereum at $1,487.79, Polkadot at $6.06, and Solana at $20.58.
On the flip side, public miners increased their Bitcoin production hash rates significantly in January, indicating a steadying of prices and increased demand in the next couple of weeks.
The Mississippi State Senate Passed a Crypto Miners Bill
The Mississippi State Senate passed the Mississippi Digital Asset Mining Act, which allows cryptocurrency business mining activities to occur within industrial areas. Homemining activities weren’t left out as they were also legalized with the passage of the act.
The bill prevents the Public Service Commission, which regulates utilities, from raising rates and pushed for regularizing noise limits alongside those set for data centers.
The act is awaiting harmonization with another bill with the State House of Representatives.
Binance is Set to Organize a Consortium to Rebuild Trust
According to media sources, cryptocurrency exchange Binance is mulling the creation of a crypto consortium to rebuild trust within the crypto space and weigh in on current regulatory efforts.
Key players, including projects, exchanges, and analytics firms have reportedly expressed interest in the effort.
The cryptocurrency exchange indicated that the consortium will be decentralized, operationally speaking.
Coin Cloud Filed for Bankruptcy
Following the FTX fallout, Bitcoin ATM operator Coin Cloud filed for bankruptcy in a District of Nevada Court.
According to the filing, Coin Cloud owes Digital Currency Group subsidiary Genesis $100 million as part of its liabilities and also owes Cole Kepro $8.5 million.
The Las Vegas-based firm has between $100 million to $500 million in liabilities, $50 million to $100 million in assets, and up to 10,000 creditors.
Robinhood Set to Buyback Shares Owned by FTX-Linked Entity
Based on its recently-released earnings report, Robinhood Markets Inc. plans to repurchase 55 million of its own shares owned by Emergent Fidelity Technologies and seized by the US Department of Justice in the ongoing FTX saga.
Emergent Fidelity Technologies is reportedly partly owned by the former FTX CEO Sam Bankman-Fried.
Earlier reports show that Robinhood had engaged the DoJ about the purchase.
Uniswap Completed BNB Chain Integration Vote
The governing body that oversees changes on the decentralized exchange Uniswap DAO voted to deploy to the BNB Chain.
The vote ended with 66% voting in favor of the deployment. Bridge providers raised several issues.
Andreessen Horowitz voted against the move with 15 million votes.
A bridge assessment committee was constituted to address future cross-bridge issues.
Kraken to Pay $30 Million in Fines to the SEC, Wound Down Staking Activities
Cryptocurrency exchange Kraken will pay the SEC $30 million in disgorgement, prejudgment interest, and civil penalties as part of a settlement that saw a shutdown of cryptocurrency staking activities.
In related news, SEC Chairman Gary Gensler indicated on CNBC’s Squawk Box that cryptocurrency exchanges would need to register and maintain compliance, citing non-compliance by several crypto-related businesses.
Affirm to Shut Down Crypto-Related Activities
In a letter to shareholders, Affirm CEO Max Levchin indicated that the BNPL FinTech company was closing shop on its crypto business. Levchin also said that Affirm will remain focused on its core business activities.
The announcement came as the company cut 19% of its human resources with a $322.5 million loss in the last fiscal quarter.
Binance Halted USD Deposits and Withdrawals
Binance.us, the US arm of the cryptocurrency exchange, announced a temporary suspension of deposits and withdrawals by US bank transfers.
Other deposits and withdrawal options, including credit cards and electronic wallets, have remained unaffected.
Binance had previously limited transfers to $100,000 and above via its banking partner Signature Bank.
SushiSwap Acquired Vortex Protocol
Automated market maker SushiSwap revealed the successful acquisition of the derivatives platform Vortex Protocol which offers traders up to 10x leverage for several digital assets.
The Sei Network-based platform is still in beta and will officially launch in Q2 2023.
The purchase is also a part of plans to launch SushiSwap on Cosmos, following indications from dYdx to do the same within the period.
Gemini Struck a Deal with Genesis
Tyler Winklevoss, Gemini’s co-founder, revealed that users who had their assets stuck with embattled crypto lender Genesis would get their assets returned soon.
Gemini signed an agreement in bankruptcy court with Genesis to allow users who participated in the Gemini Earn program to regain their assets.
In addition, Gemini will contribute $100 million of its funds to make up for any shortfalls.
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