By Christopher Hamman
The crypto space has increasingly divided Capitol Hill.
Then again, so is most of the Country.
Peer-to-peer marketplace OpenBazaar is seeking a rebound from the ashes, and the G20 finance ministers are looking for a common crypto framework.
Plus, Core Scientific is picking up post-bankruptcy with a 900-machine hosting deal.
These are your decentralized diaries!
Bitcoin Tested $30k Price Levels, Holding at $29k
Despite regulatory and economic uncertainties, Bitcoin prices rebounded and tested a $30,952.68 high from a $28,544.50 low.
As of 4/17/23, Bitcoin prices are at $29,432.73. Ethereum remained the darling of the markets after the “Shapella” (Shanghai+ Capella) upgrade, with prices crossing $2k to $2,073.82 as of the same date.
The positive trend followed the Altcoins with Solana at $24.89, Polkadot (DOT) at $6.71, and Avalanche (AVAX) at $20.88.
Coinbase to Embrace Bitcoins’ Lightning Network, ERC-20 Recovery Tool Reclaims Over $150 Million
Coinbase CEO Brian Armstrong stated in a Tweeted response to a Bitcoin enthusiast that the cryptocurrency exchange will integrate Bitcoin’s Lightning Network, a faster and cheaper way to send tokens on the Bitcoin blockchain.
In other news, Will Robinson, the Vice President of Engineering at the cryptocurrency exchange, indicated in a podcast that an ERC-20 tool released late last year had recovered over $150 million in mistakenly sent tokens with over 10,000 users.
Similarly, a New York District Court filing signed by Judge Loretta A. Preska ordered Nikhil Wahi, brother to former product manager Ishan Wahi, to pay the exchange $469,525.50 as restitution alongside his ten-month prison sentence. Nikhil had been charged with insider trading alongside his brother and a friend in the first crypto-related insider trading case and sentenced in January.
OpenBazaar Set to Reopen After Shutdown
Former Project Lead of peer-to-peer crypto marketplace OpenBazaar and CEO of OB1, Brian Hoffman, has indicated in several GitHub and social media updates that a reboot is in the works.
OpenBazaar shut down in 2020 following financial issues and poor user growth.
Core Scientific to Host 900 Mining Machines Following Partnership with LM Funding America Inc.
Things seem to be looking up for the bankrupt mining firm Core Scientific following the revelation of a partnership with LM Funding to host 900 machines which will be online by the end of the month.
The arrangement provides LM Funding with a total mining capacity of 47 petahashes, with 4,600 online and active machines.
The U.S. House Committee on Financial Services Introduced Draft Stablecoin Legislation
The House Committee on Financial Services released a draft stablecoin legislation that, if passed, could change the financial services landscape.
The legislation covers, among other things, the possibility of Central Bank Digital Currencies, state-issued stablecoins, moratoriums on collateralized stablecoins, and enforcement actions.
Per a published memo for a hearing on April 19th, 2023, Dante Disparte, Chief Strategy Officer at Circle, Jake Chervinsky, Chief Policy Officer at the Blockchain Association, and others will be testifying before the committee about issues regarding stablecoins and other things.
In related news, Rep. Warren Davidson (R-OH) Tweeted his intention to introduce legislation that will fire the SEC Chief Gary Gensler.
As of 4/17/23, the Congressman followed through on his word and introduced the legislation, paving the way for Gensler’s potential ousting and the possible introduction of a crypto-friendly SEC Executive Director.
The CFTC Sued an Ex-Investment Banker
The CFTC filed a lawsuit against Rashawn Russell, an ex-Deutsche Bank investment banker at the US District Court for the Eastern District of New York.
The regulator alleged that Russell fraudulently coerced individuals to contribute fiat, Bitcoin, and Ether to his digital asset trading fund, promising a steady 25% return on investment from November, 2020 to July, 2022.
The CFTC also accused the banker of making false promises of compensation USDC stablecoins.
G20 Finance Ministers Seek Global Policy Responses Regarding Crypto Assets
At a press briefing on the sidelines of the annual spring meeting of the World Bank and International Monetary Fund (IMF), India’s Finance Minister Nirmala Sitharaman stated the need for a global framework on digital assets.
This followed a meeting of G20 Central Bank Chiefs and finance ministers co-chaired by Sitharman and Reserve Bank of India Governor Shaktikanta Das.
“The discussion on crypto assets highlighted that it couldn’t be confined to one part of the world. Its implications can impact both emerging & developed economies. Thus, global policy responses to crypto-assets are required.”, the minister said.
The Texas State Senate Passed a Bill that Restricts Incentives for Crypto Miners in Demand Response Programs
At the 88th legislative session, the Texas State Senate voted thirty to one to limit demand response program incentives set in place to provide incentives to minimize or reallocate energy use during peak periods for miners.
Before now, crypto miners had leveraged the incentives to cut mining costs when providing emergency reserves to the Texan power grid.
Governor Greg Abbott will sign the bill into law if the State House of Representatives passes it.
The Montana State House of Representatives Passed Pro Crypto Mining Bill
On the other hand, the Montana State House of Representatives passed pro-crypto mining Bill 178 after its third reading.
The bill prevents local authorities from restricting local operations and defines mining rights, passed by 64-35 votes and will be signed into law by Governor Greg Gianforte (R).
The legislation successfully scaled through the State Senate in February.
