Innovation continued to rule the industry, with bad actors continuing to find new ways of performing their nefarious activities. Institutional interest also continued to rise.
The headlines:
- The FTC identified Bitcoin ATM scam risks;
- VanEck will shut down its Ethereum Futures ETF;
- A new Ethereum Foundation report is coming soon;
- North Korea is going after crypto ETFs (according to the FBI);
- Plus, Binance (now) offers fixed loans (read on to find out);
- And much more!
As always, these are your decentralized diaries!
Bitcoin is at $55k
Crypto market volatility continued, with Bitcoin’s prices hitting a $52,660.68 low from a $59,816.06 high. Bitcoin is currently at $54,961.14 (as of 9/9/24).
The altcoins are moving similarly. Ethereum (ETH) is at $2,300.95, Solana (SOL) is at $129.44, Avalanche (AVAX) is at $23.28, Chainlink (LINK) is at $10.35, and Polkadot (DOT) is at $4.16.
The FTC Identified Increasing Bitcoin ATM-Related Fraud
A September 3 FTC report revealed rising fraud cases via Bitcoin ATMs. The report showed a nearly tenfold increase in crypto scams via the avenue between 2020 and 2023. Losses crossed $65 million in H1 2024.
Consequently, those aged 60 and above were more than three times as likely to lose funds via Bitcoin ATMs.
Prosecutors Refuted Ryan Salame’s Allegations
The ongoing drama with shuttered crypto FTX continued, with federal prosecutors denying allegations from former exec Ryan Salame. Prosecutors indicated they never made any obligations regarding Michelle Bond, Salame’s partner.
Additionally, the lawyers indicated that Bond’s prosecution is likely. There is another hearing on the matter on September 12. Similarly, the SEC asserted its right to object to FTX’s repayments to its creditors in stablecoins.
The regulator indicated its position in a court filing released on September 6.
SEC Commissioner Uyeda Proposed an S-1 Crypto Form
During a September 3 fireside chat at the Korea Blockchain Week 2024 event in Seoul, South Korea, SEC Commissioner Mark Uyeda pushed for an improved registration process for digital assets. Moreover, Uyeda proposed an industry-specific S-1 registration form.
To buttress his point, Uyeda referred to index-linked annuities as an example. Furthermore, he highlighted that the regulator worked with sponsors to develop tailored registration documents. He further indicated that the crypto sector could follow suit.
In related news, in the ongoing case between Coinbase and the SEC, a New York Judge ordered the regulator to give the crypto exchange access to some documents. In addition, the court excluded SEC Chair Gary Gensler’s testimony.
VanEck Unveiled its Ethereum Futures ETF Closure Plans
In a September 6 post on its X (formerly Twitter) handle, investment behemoth VanEck revealed the shuttering and liquidation of its Ethereum futures ETF. According to the announcement, the move follows the approval of its spot Ethereum ETF ETHV.
Shareholders have a September 16 deadline to sell their shares. Liquidations and cash settlements will take place on September 23.
A Financial Statement is Coming Soon From The Ethereum Foundation
During an ask-me-anything (AMA) event on the “r/ethereum” subreddit, crypto researcher Justin Drake indicated that the Ethereum Foundation plans to release a financial report. The document will (expectedly) be similar (to) the one unveiled in April 2022.
According to Drake, the foundation spends around $100 million yearly and has approximately $650 million in its coffers.
Aptos Blockchain Introduced a Consensus Protocol
Layer 1 Proof-of-Stake (PoS) blockchain Aptos took its blockchain game further with the launch of Raptr, the latest iteration of its Byzantine Fault Tolerant (BFT) protocol. In a September 5 post on X (formerly Twitter), Head of Research at Aptos Alexander Spiegelman unveiled Raptr.
Additionally, the protocol has Directed Acyclic Graph (DAG) technology integrations and has high transaction thresholds.
The FBI Issued a North Korean Crypto ETF Theft Alert
In a September 3 announcement, the FBI warned about new efforts by North Korean hackers targeting crypto ETFs. According to the alert, the hackers target crypto employees via subtle social engineering campaigns.
The bad actors may (allegedly) use malware to steal crypto tokens. Moreover, the announcement revealed that the hackers have understudied crypto ETFs in the last few months.
Ripple CTO-Institutions will Have Stablecoins
During a September 8 social media event, Ripple CTO David Schwartz indicated that Ripple’s stablecoin will be institutional-focused. Schwartz made the revelation after an assertion from a user in the same position.
Furthermore, Schwartz cited the USDT and USDC tokens as examples, indicating that users and investors do not receive the stablecoins from the issuers.
Robinhood Settled with the California Department of Justice
Robinhood Crypto, the digital asset trading unit of the brokerage platform, settled with the California DoJ. The firm reached a $3.9 million settlement.
The move occurred after an inquiry into customer withdrawal issues between 2018 and 2022. California Attorney General Rob Bonta revealed the settlement.
He also stressed the importance of consumer protection in the industry.
Binance Unveiled Fixed Rate Loans
In a September 5 blog post, crypto exchange Binance introduced fixed-rate loans. Binance revealed the loans in FDUSD and USDC stablecoins. Users can borrow 50,000 USDC at 7.8% and 50,000 FDUSD at 11% for thirty days.
