2024-09-25 07:02

BTC broke $64,000 in late U.S. hours Tuesday as traders pushed the chances of a second consecutive 50 basis point rate Fed rate cut to 50%. PLUS: Floki fundamentals fuel a price surge. BTC is up 1% as it trades near $64K during the Asia business day. Polymarket traders are giving a 50% chance that the Fed makes another 50 bps cut. Bitcoin (BTC) showed signs of strength Wednesday as it retook the $64,000 level in early Asian hours, but later retreated, to reverse drawdowns from a day before, with alternative token Sui (SUI) leading gains in the broader market. BTC added 1% in the past 24 hours, data from CoinDesk Indices shows, while Solana’s (SOL) jumped 3% to lead gains among major tokens. Ether (ETH) was flat on the day amid signs of a fallout with institutional investors, while BNB Chain’s (BNB) showed signs of reversals after a 10% rally in the past seven days. The broad-based CoinDesk 20 (CD20) index, a measure of the price performance of the largest tokens by market capitalization, was up 2.4%. Outside of majors, memecoins and layer-1 token bets have led gains in the crypto market on continual demand and positive sentiment among traders. Sui Network’s (SUI) jumped 16% in the past 24 hours to extend weekly gains to nearly 50%, while dog-themed memecoins jumped over 5% on average. Floki’s FLOKI tokens zoomed 16% over the past week as its speedy and cheap trading bot crossed $75 million in volumes and crossed $1 million in net fees - with part of that amount now put aside to buy and burn FLOKI from the open market. Developers also said late Tuesday that Floki’s metaverse game Valhalla had signed a multi-year partnership with esports organization Alliance to boost users and visibility ahead of its release in November. Looking Ahead Bitcoin traders have received a boost in the past week as countries from the U.S. to China are easing monetary policy to combat a slowdown in thier economies - setting the bedrock for what can be a rush to riskier bets in the coming months. Expectations that the U.S. Federal Reserve will cut its benchmark interest rate by another 50 basis points at its November meeting is currently at 50% on Polymarket, while the possibility of a 25 bps cut is at 44%. Some traders say the Fed’s move ultimately influences other authorities to take similar steps, leading to a snowball effect. “The timing of the announcement suggests that the Fed’s policy played a key role in the PBoC’s decision,” Presto Research analysts said in a Wednesday note shared with CoinDesk. “There’s been chatter that what’s holding the PBoC back from being more aggressive in providing monetary stimulus is the risk of it losing efficacy due to capital flight, as CNY’s short-term rate has been below that of the USD since mid-2022.” “It’s becoming clear that the Fed has finally started its rate cut cycle, removing such concerns. This implies that we may see more from the PBoC as the Fed continues to cut rates and the negative rate differential narrows,” they added. https://www.coindesk.com/markets/2024/09/25/bitcoin-strength-continues-on-us-china-easing-floki-bot-crosses-trading-milestone/

2024-09-25 06:18

As many as four individuals have also been arrested. Binance says it has helped India's Enforcement Directorate to trace funds and arrest four people in a gaming scam. Victims were lured into online betting and gaming, promising easy earnings before trapping their funds. Binance, the world's largest cryptocurrency exchange by trading volumes, has helped India's Enforcement Directorate (ED), the authority investigating financial crimes, arrest four individuals in a gaming scam worth $47.6 million. Binance "provided critical intelligence that was instrumental in tracing the funds and uncovering the fraud network," an announcement said. "ED's investigation uncovered links to digital wallets together with deep cooperation from Binance's Financial Intelligence Unit (FIU)." The fraud is related to the Fiewin gaming app in which victims were lured into online betting and gaming, promising easy earnings before trapping their funds. The ED and Binance did not immediately respond to a CoinDesk question about whether the $47.6 million was recovered. "Public-private collaborations are crucial in tackling complex financial crimes," an unnamed representative from the ED cited by Binance said. "In this case, they (Binance) provided us with analytical support that contributed to the investigation." Earlier this year, Binance was one of two foreign exchanges registered with India's Financial Investigation Unit, a soft legitimization of sorts in a nation where crypto remains "unregulated." In 2022, the ED and Binance worked together to freeze millions as part of a money-laundering investigation relating to a gaming app called E-Nuggets. Read More: Binance Challenges $86M Indian Tax Showcause Notice: Source https://www.coindesk.com/policy/2024/09/25/binance-says-it-helped-indias-enforcement-directorate-trace-476-million-related-to-a-gaming-scam/

2024-09-25 04:10

The change comes as Crypto Twitter points out that Harris doesn't have a crypto policy in her platform. Stand With Crypto, a bipartisan advocacy group, has moved Democratic nominee Kamala Harris' rating to 'NA' from B. The democrats do not have a comprehensive crypto policy, unlike the Republican campaign. Democratic U.S. presidential nominee Kamala Harris is now ranked "N/A" by the political action committee Stand With Crypto, in a withdrawal of her previous rating of "B." Harris' prior rating of B was based on a quote from a recent speech she gave to donors, in which she said she would "invest in America's future" and encourage "innovative technologies like AI and digital assets while protecting consumers and investors." However, aside from that, her campaign has not articulated a crypto policy. Stand With Crypto labeled Harris's two-word mention of "digital assets" as "somewhat pro-crypto," and her general B rating came with the general descriptor of "somewhat supportive." So in that sense, the removal of the B rating could be seen as a downgrade of the organization's rating of the candidate, since its mission is to encourage politicians to explicitly espouse policies supportive of crypto. In contrast, the Republican campaign has laid out detailed crypto policies, which says it will "end Democrats' unlawful and unAmerican Crypto crackdown and oppose the creation of a Central Bank Digital Currency." Also, it promises to "defend the right to mine Bitcoin, and ensure every American has the right to self-custody of their Digital Assets." CoinDesk recently reported, citing campaign sources, that Harris' campaign isn't likely to include a deep dive into her crypto views. Sources that spoke to CoinDesk said her campaign is keeping digital assets policy broad and high-level, with crypto as one of several economic innovations she plans to highlight. The campaign is maintaining high-level discussions with crypto insiders, including executives from Ripple Labs and Coinbase. Speaking earlier with CoinDesk, Coinbase Chief Legal Officer Grewal expressed optimism about the Harris campaign's growing understanding of crypto industry needs, noting progress in both her and Republican candidate Donald Trump's positions. "All we want are sensible rules, and we'll follow them," he told CoinDesk. Grewal told CoinDesk that he hoped crypto would remain a non-partisan issue, with Circle's Jeremy Allaire later echoing the sentiment during an interview with CNBC, calling it a "purple" issue. Bettors on PolyMarket are giving Harris an edge, assigning her a 50-48% chance over Republican candidate Trump. https://www.coindesk.com/policy/2024/09/25/stand-with-crypto-group-moves-harris-rating-to-na-from-b/

2024-09-24 22:13

An influential adviser to DeFi lender Sky, formerly known as MakerDAO, now says its concerns have been adequately addressed regarding Tron founder Justin Sun's involvement in the custody of bitcoin backing the WBTC token. Sky, the decentralized finance lender previously known as MakerDAO, could consider pausing its plan to offboard wrapped bitcoin (WBTC) as collateral, following a fresh recommendation from an influential advisor. The development follows a lengthy discussion on the Sky discussion forum with Mike Belshe, CEO of BitGo, which was the sole custodian of the bitcoin backing WBTC until August, when a deal was cut to transfer custody to a strategic partnership with Tron founder Justin Sun. WBTC is a token that allows investors to use bitcoin (BTC) on other blockchains, such as Ethereum, and often is at the center of the DeFi lending space as collateral. WBTC currently has a $9.7 billion market capitalization. The influential Sky adviser, BA Labs, had expressed concerns about Sun's involvement with the project – a crucial consideration given that some $200 million of loans on the platform were in some way linked to WBTC collateral. Last week, Sky community members overwhelmingly voted to proceed with the adviser's recommendation to offboard WBTC as collateral, in a five-step process starting in early October. But discussions over the matter continued even after the vote, with Belshe posting extensively in the forum in recent days that the new custody arrangement was misunderstood, and that Sun would not have the ability to singlehandedly make changes to the structure. "They will not 'have the ability to direct changes to key management practices' at BitGo or BitGo Singapore," two of the entities overseeing the multi-signature keys controlling the new custodian, Belshe wrote on Sept. 20. Then on Tuesday, BA Labs wrote that "the additional details and clarity put us in a more comfortable position with the current state of WBTC operations and key management." The advisor noted that collateral exposure to WBTC had "fallen somewhat to current levels around $170 million of total borrowing," reducing the risk to a "more acceptable range." "While we continue to have concerns about BitGlobal serving as a signer for WBTC, we find it is no longer at a level requiring immediate collateral offboarding," BA Labs wrote. "Therefore, we recommend indefinitely pausing the collateral offboarding procedures." Wrapped bitcoin alternatives Sun, in response to some of the concerns raised about his involvement with the project, had told CoinDesk that WBTC has a "sterling track record that is unmatched by any competing offers recently floated by the skeptics." The drama around wrapped bitcoin has energized competitors offering alternative versions of the token, including dlcBTC, Threshold's tBTC and FBTC, which has the support of Mantle Network. And on Sept. 12, Coinbase, the biggest U.S. crypto exchange and a custodian in its own right, debuted its own wrapped bitcoin competitor, cbBTC. https://www.coindesk.com/tech/2024/09/24/sky-pauses-plan-to-offboard-wrapped-bitcoin-after-chat-with-bitgos-belshe/

2024-09-24 20:37

Traders Tuesday pushed the chances of a second consecutive 50 basis point rate Fed rate cut up to 61%. China overnight joined in what's now a near global monetary easing campaign by the major economies. Bitcoin took aim at rising past $65,000 for the first time since early August. A breakout above the $65,000 level is likely necessary to confirm a bull move, said one analyst. The price of bitcoin (BTC) took aim at more than a one-month high during U.S. afternoon trading hours on Tuesday as the tailwind of what's shaping up to be a near global monetary easing cycle continued to push crypto markets higher. Bitcoin at press time was ahead nearly 2% over the past 24 hours at $64,300. The price hasn't been above $65,000 since the first week in August. China overnight joined nearly all other major global economies in easing monetary policy to combat a slowdown in the economy. The news sent the Shanghai Composite higher by more than 4%, but provided only a small and brief bump in the price of bitcoin. Prices actually dipped under $63,000 in the U.S. morning hours after the Conference Board reported a sharp decline in consumer confidence in September, its headline index tumbling to 98.7 from 105.6 – the steepest monthly fall since August 2021. "Consumers’ assessments of current business conditions turned negative while views of the current labor market situation softened further," said the Conference Board's Dana Peterson. "Consumers were also more pessimistic about future labor market conditions and less positive about future business conditions and future income." The news though, sent expectations of the U.S. Federal Reserve cutting its benchmark interest rate by another 50 basis points at its November meeting to 61% from 50% a day earlier, according to CME FedWatch. Shortly after, the latest figures showed a sizable jump in the U.S. M2 money supply in August. The combination of easier China and U.S. monetary policies and rising money supply appeared to be the catalyst for bitcoin's sustained rise throughout afternoon trading. Gold too, liked the news, jumping 1.4% to yet another record high of $2,690 per ounce. With today's advance, bitcoin is now higher by more than 10% from week-ago levels, but it's hard to say there's been an upside breakout when the price remains below the level of just a few weeks ago. "Very psychologically difficult to flip from looking to trim on pops during chop to letting your winners ride," wrote well-followed analyst Will Clemente. "A confirmed change in market structure above $65,000 on BTC is the threshold for risk on and switching this bias in my opinion." https://www.coindesk.com/markets/2024/09/24/bitcoin-pushes-past-64k-as-monetary-ease-expectations-grow/

2024-09-24 20:08

Ellison will also have to forfeit about $11 billion dollars, a federal judge ruled Tuesday. NEW YORK — Former Alameda Research CEO Caroline Ellison was sentenced to 24 months – or two years – in prison by a federal judge on Tuesday. The judge said Ellison, 29, who will also have to forfeit about $11 billion, could serve the sentence at a minimum-security facility near Boston, where her family lives. She will also spend three years on supervised release after she serves her term. Despite the sentence, Judge Lewis A. Kaplan seemed sympathetic to Ellison, who was a key witness in the government’s trial against Sam Bankman-Fried – the founder and CEO of FTX and a former boyfriend of Ellison’s. "You were vulnerable and you were exploited," he said minutes before announcing his sentence. "You are genuinely remorseful." Kaplan noted Ellison’s cooperation, saying "I’ve seen a lot of cooperators in 30 years here, I’ve never seen one quite like Miss Ellison." Read all of CoinDesk's coverage here. Nevertheless, FTX was one of the greatest financial frauds ever perpetrated in this country, he noted, and cooperation wasn’t enough to spare Ellison a spot in prison. "In a case this serious, to be literally a 'get out of jail free' card is not something I can see my way through to," Kaplan said, before asking Ellison to rise and receive her sentence of 24 months in prison. Because the crime is federal, Ellison will serve at least 75% of her sentence before being eligible for parole. Ellison testified against Bankman-Fried during his criminal trial last year, alleging he tried to bribe foreign officials and deliberately shared misleading financial data with lenders. Her testimony was a "cornerstone" in Bankman-Fried's conviction, prosecutors said in a sentencing memorandum ahead of Tuesday's hearing. Bankman-Fried was convicted on all seven counts of fraud and conspiracy he faced, and was sentenced to 25 years in prison earlier this year. He's now appealing the conviction. Assistant U.S. Attorney Danielle Sassoon, one of the prosecutors who spearheaded Bankman-Fried's trial, echoed this memo during remarks on Tuesday before the judge. Unlike Bankman-Fried, Ellison was proactively cooperative with the Department of Justice, she said. It was not the first time she – or other speakers Tuesday – contrasted the pair. Where Bankman-Fried did not demonstrate remorse, Ellison did, and while Bankman-Fried's sentence was intended to deter him and others from committing any further crimes, Ellison's sentence should reflect her cooperation, she said. Ellison's own attorneys argued ahead of the hearing that she provided "extraordinary cooperation" and did not pose any recidivism risk. Both her attorneys and the probation department recommended that she be sentenced to time served, plus three years of probation. Ellison’s lawyer, Wilmer Hale Managing Partner Anjan Sahni, told the court that his client had been led astray by Bankman-Fried, who she formerly had a romantic relationship with. In her desire to please Bankman-Fried, Ellison participated in the fraud scheme but after FTX’s collapse, her lawyer said, "she has recovered her moral compass." Ellison, who spoke briefly before the sentence was read out, said she wanted to apologize to FTX and Alameda's former customers, her former colleagues, friends and family. "The human brain is bad at comprehending big numbers," she said, her voice wavering. "I can't even begin to imagine the pain I've caused." Ellison has approximately 45 days before she is required to surrender herself voluntarily to the Bureau of Prisons to begin serving her sentence. "If you had told me back in 2018 that I would end up pleading guilty to fraud, I would have told you you were crazy," Ellison added. "At each stage of the process it became harder and harder to extricate myself…I’m sorry I wasn’t brave." https://www.coindesk.com/policy/2024/09/24/ex-alameda-research-ceo-caroline-ellison-sentenced-to-two-years-in-prison-for-her-role-in-ftx-fraud/