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Jim Rickards, an economist and investment banker, has warned about the establishment of a social credit system powered by the issuance of a central bank digital currency (CBDC). According to Rickards, this combination could be used to restrict the civil liberties of Americans by limiting their capabilities to travel and their reach on social media platforms. Jim Rickards on a Hypothetical CBDC-Fueled Social Credit System: ‘Yes, It Can Happen Here’ Jim Rickards, an economist with more than 40 years of experience in investment banking, has warned about a hypothetical social credit system in the U.S. powered by a central bank digital currency (CBDC). In his latest article, Rickards explains that issuing a CBDC would allow the government to get the data needed to construct such a system. Rickards stated that the information collected by monitoring transactions on a CBDC would facilitate “the creation of a social credit system that allows governments to punish those who engage in unapproved activity such as buying guns, donating money to the wrong political party, buying unapproved literature, etc.” While recognizing this might sound paranoid to some, Rickards compares these measures to the ones taken by the federal government to stop the Covid pandemic, declaring: Before the pandemic, you probably wouldn’t have thought that any of this was possible. But it all happened. When you think of it in that light, you begin to understand that some type of social credit system in the U.S. really isn’t that far-fetched. A System Built for Control In Rickards’ hypothetical system, implementing a CBDC would allow the government to control or block people’s movement to other cities or countries, limit their liberties by nullifying their opinions on social media, and even target them via intelligence agencies. Using the CBDC would be the only way of paying, and a social credit score would be the tool for limiting these actions. According to his forecast, this might be done deceptively, establishing measures to pursue extremists and criminals first. On this, he declared: It’ll all be made to sound very benign, even necessary, to support ‘our democracy’ against MAGA types, white supremacists, climate deniers and domestic terrorists. Others have also risen to criticize and sound the alarm against the issuance of a CBDC in the U.S. In May, Florida Governor Ron DeSantis signed a law prohibiting the use of CBDCs in the state. Presidential Candidate Robert F. Kennedy Jr. has also been vocal against CBDCs “because they are instruments of control and oppression, and are certain to be abused.” What do you think about Jim Rickards’ warnings? Tell us in the comments section below. View the full article

The tax administration of Japan has provided an exemption to companies issuing cryptocurrencies under a revision of the corporate tax rules. A local crypto media report described the move as a step toward improving the business environment for the digital asset sector in the country. Japan Tax Authority Gives Cryptocurrency Businesses a Tax Exemption Japan’s National Tax Agency (NTA) has issued a notice clarifying partial revisions to the country’s corporate tax regulations. Under the new rules, unrealized gains from cryptocurrencies issued by companies will no longer be taxed. The administration explained that such coins will be excluded from the market value evaluation of a company’s assets if certain conditions are met. While a number of other issues need to be addressed, the move can improve the business environment for companies working with cryptocurrencies, Japanese crypto news outlet Coinspot noted in a report. Under the current Japanese law, if a company holds crypto assets, they will be taxed as unrealized gains at the end of a tax period. The rule puts a burden on crypto companies and hinders blockchain innovation, causing some of these entities to relocate overseas, many have pointed out. With the revision, the rules for taxing company-issued digital currencies have been relaxed. This comes after a long-time push in that direction, the article points out. The revision was also included in the ruling party’s tax reform plan for the fiscal year 2023. To benefit from the new tax exemption, a company must be the issuer of the cryptocurrency in question and hold it continuously after the issuance while the crypto asset is subject to transfer restrictions, the report highlighted. The Japanese crypto community welcomed the change as something that will keep crypto companies home. However, some of its members, like the founder of the decentralized blockchain platform Astar Network, Sota Watanabe, insisted that the tax relief should also apply to holdings of tokens issued by other companies to allow for the expansion of domestic projects. Do you think the revised tax rules will convince more crypto companies to remain in Japan? Share your thoughts on the subject in the comments section below. View the full article

Around 50 Chinese nationals have reportedly been apprehended by Libyan authorities following allegations of running a cryptocurrency mining facility within the city of Zliten, local reports detail. Cryptocurrency mining is strictly prohibited by law in Libya. Libyan law enforcement officials have disclosed that the mining operation, situated in an abandoned iron factory, was effectively dismantled. Illegal Cryptocurrency Mining Operation Busted in Libya, 50 Chinese Nationals Arrested The New Arab, on June 23, 2023, published a report revealing the Libyan attorney general’s office’s announcement of the arrest of 50 Chinese nationals involved in crypto mining activities in Zliten. Siddiq Al-Sour, the attorney general (AG), shared visual evidence, including photographs and videos, showcasing the mining campus located in the eastern part of the Tripoli province. Furthermore, preceding the detention of the 50 Chinese individuals, ten individuals associated with the operation had already been arrested two days prior. As reported by middleeasteye.net, the Libyan attorney general’s office has expressed concern over the operation, stating that it “violates the law” and highlighting the utilization of “high-energy devices [that] harness a large amount of material to mine cryptocurrencies.” Additionally, the report mentions that Libyan officials are actively seeking experts to evaluate the extent of the impact on the “public interest.” While both accounts confirm the arrest of 50 individuals, specific information regarding the number of dismantled machines has not been disclosed. “The mining systems included a matrix of wires connecting digital conversion systems, data servers, fans, and high-voltage refrigerators,” middleeasteye.net staff writers declared. Despite the official prohibition of cryptocurrency mining in Libya, the country continues to entice miners due to its highly advantageous energy conditions. With electricity costs as low as $0.004 per kilowatt hour (kWh), which amounts to less than a U.S. penny, it is still an attractive location for setting up mining operations. Interestingly, in 2021, Libya achieved the highest Bitcoin production rate among all African regions across the continent, despite the ban on the practice. Similarly, China, where crypto mining is also banned, still accounted for 20% of the global hashrate in May 2022. What are your thoughts on the trend of cryptocurrency mining operations in areas where they are banned? Share your thoughts and opinions about this subject in the comments section below. View the full article

A U.K. citizen has been sentenced by а New York court to five years in prison for his role in a Twitter hack including the hijacking of accounts of U.S. political and business figures. The man is also responsible for the theft of large amounts of cryptocurrency in a SIM swap attack. Hacker Goes to Jail for Breaching Twitter Accounts of U.S. Officials and Business Leaders A British national got a five-year prison sentence for his involvement in a Twitter hack that targeted the accounts of leading U.S. politicians and businessmen. The hijacking is one of several crimes that he was charged with, including stealing cryptocurrency and cyberstalking victims. The sentencing comes after Joseph James O’Connor pleaded guilty in New York in May to participating in a number of online schemes including a Twitter hack that led to the impersonation of former U.S. President Barack Obama, President Joe Biden, Amazon founder Jeff Bezos, and billionaire investor Warren Buffett, among others, to advertise a Bitcoin scheme, Bloomberg reported. The guilty plea followed the extradition of the 24-year-old Brit from Spain in late April. During the sentencing hearing in Manhattan on Friday, O’Connor, who was known online as “PlugwalkJoe,” stated he was ashamed of his deeds. “I’m sorry to all the victims of my crimes. I’m here because I did stupid and shameful things,” he told U.S. District Judge Jed Rakoff. “I will never break the law again,” O’Connor promised and insisted in the courtroom: I want to live a life with meaning, not the idiotic, empty, hermit life I was living. Rakoff said he considered O’Connor’s relatively young age and autism in reaching the five-year sentence while prosecutors had sought seven years. The judge also noted O’Connor will be credited with the 23 months he already served before the sentencing. The accused also pleaded guilty to stealing over $794,000 from a Manhattan-based crypto company by SIM-swapping some of its executives and agreed to forfeit that amount. “O’Connor used his sophisticated technological abilities for malicious purposes — conducting a complex SIM swap attack to steal large amounts of cryptocurrency, hacking Twitter, conducting computer intrusions to take over social media accounts, and even cyberstalking two victims,” Manhattan U.S. Attorney Damian Williams was quoted as saying at the time of the guilty plea. O’Connor also admitted to “swatting” a 16-year-old girl in the summer of 2020 when he was calling the police and claiming she was planning to shoot people and later threatening members of her family. The report detailed he sent similar messages to a high school, restaurant, and sheriff’s department. What are your thoughts on the case of Joseph O’Connor? Share them in the comments section below. View the full article

Welcome to Latam Insights, a compendium of Latin America’s most relevant crypto and economic news during the last week. In this issue, the International Monetary Fund (IMF) reports interest in central bank digital currencies (CBDC) in Latam and the Caribbean is picking up, Lula criticizes the current international economic system, and Venezuela integrates the Russian Mir payments system. IMF Finds Interest in CBDC Picks up Steam in Latam and the Caribbean A report published by the International Monetary Fund (IMF) revealed that interest in central bank digital currencies (CBDC) remains high in Latam and the Caribbean. According to a recent survey with governments of the region, “half of the respondents were considering both retail and wholesale CBDC options.” Brazil is one of the countries experimenting with a two-tiered CBDC model, which is in its proof of concept stage. If issued, it would be connected to the “Open Finance” concept of the Central Bank of Brazil. The reasons for researching CBDCs in the region are diverse, including financial inclusion, monetary sovereignty, and strengthening the access and effectiveness of payment systems. Brazil’s Lula Declares Bretton Woods Institutions ‘No Longer Function’ Brazilian President Luiz Inacio Lula Da Silva stated that the institutions driving the current global financial order derived from the Bretton Woods agreement are outdated. At the closing of the summit for a new global financial pact, Lula stated: The Bretton Woods institutions no longer function and no longer meet the aspirations and interests of society. We have to be very clear about this. Lula, who also explained he would push a de-dollarization agenda at the next BRICS meeting, railed against the role of the International Monetary Fund (IMF) as a financing entity, accusing the institution of causing the bankruptcy of nations. He concluded: We cannot continue with the same institutions that are functioning erroneously, and the same goes for the United Nations Security Council… The representatives from 1945 cannot be the same as today. Venezuela Integrates Russian Mir Payments System The government of Venezuela announced that it was working to integrate Mir, a Russian card and transfer payment system, into its network. According to statements of Calixto Ortega, president of the Central Bank of Venezuela, almost 40,000 point-of-sale terminals were updated to receive payments from Mir-compliant cards. Ortega stated the central bank aims for 30% of the point-of-sale terminals to accept these cards and convert the payments made in rubles to national fiat currency. Venezuelan President Nicolas Maduro supported this development, stating: They tried to isolate us monetarily and financially, unfairly, with blockades and criminal sanctions, however, with the incorporation into the Russian Mir Payment System, we are building financial and monetary systems of the new world. To follow all the latest developments in crypto and the economy in Latin America, sign up for our Latam newsletter below. What do you think about this week’s Latam Insights report? Tell us in the comment section below. View the full article

Mary Daly, the president of the San Francisco Federal Reserve Bank, expressed her views this week, stating that she believes two additional rate hikes this year would be appropriate. However, she maintains a neutral stance regarding the forthcoming July Federal Open Market Committee (FOMC) meeting, emphasizing her desire to preserve flexibility by “maintaining optionality.” Fed’s Daly Doesn’t Want to ‘Trip the Economy up Into an Unforced Error’ During the June FOMC gathering, the U.S. Federal Reserve members decided to refrain from raising the federal funds rate for that specific meeting. Jerome Powell, the current chairman of the Federal Reserve, informed the media that the upcoming July FOMC meeting would be a “live” one, as it would determine whether or not the central bank would increase the interest rate during that period. Powell then testified before the House Financial Services Committee last Wednesday and indicated that the benchmark bank rate is likely to rise again this year. In an interview with Reuters, Mary Daly, the president of the San Francisco Federal Reserve Bank, expressed her belief that two more rate hikes would be a “very reasonable” projection. However, Daly also emphasized the need for caution and a gradual approach, given that the rate is currently at its highest level in 16 years. “It is, in my judgment, prudent policy … to slow the pace of policy as you near the destination,” Daly stated. During an interview with CBS’s “Face the Nation” last year, Daly discussed the Fed’s response to inflation and stressed the importance of caution and a “measured” approach. “History tells us with Fed policy that abrupt and aggressive action can actually have a destabilizing effect on the very growth and price stability we’re trying to achieve,” Daly said at the time. Now, Daly asserts that the situation is “about balanced,” and a measured approach is still necessary to navigate through the current economy. “I want to make sure that we balance those risks on both sides, of under- or over-tightening,” Daly said. “Adding another six weeks to our decision space, to me that seems optimal and prudent.” Daly stated that “taking a slower pace as we approach our destination means we save many Americans from either stopping short and wishing we had done more, or going too far and wishing we had done less.” In other words, Daly insists that if the central bank proceeds at a more gradual pace, it will be less likely to make mistakes that it may regret later. Daly told Reuters that she is committed to restoring price stability, but doing so requires caution. “What I want to do, while we resolutely work to restore price stability – give these people back some peace of mind, and lives and livelihoods – is make sure we are doing it as carefully as we can so we don’t end up inadvertently, in our rush to do it today, trip the economy up into an unforced error,” added the president of the San Francisco Fed branch. Last month’s consumer price index indicated that inflation is cooling, but at 4%, it still exceeds the Fed’s annual target of 2%. Americans are also grappling with the highest credit card debt since 1999, when the Fed began recording the figures, and a Newsweek poll shows that Americans are actively relying on credit cards to mitigate inflationary pressures. While a more restrictive monetary policy may be necessary, Daly is currently uncertain if it will achieve the desired balance. “More tightening may be required to get the economy sustainably back into balance. But do I know that? No….we are going to have to find the terminal rate by looking at the data,” concluded Daly. What are your thoughts on Mary Daly’s perspective of two rate hikes in 2023 and her emphasis on caution in monetary policy? Share your thoughts and opinions about this subject in the comments section below. View the full article

The third plenary of the Financial Action Task Force (FATF), held in Paris, found a lack of global adoption of the virtual asset recommendations established by the institution. According to evaluations, almost three-quarters of the jurisdictions are partially compliant or non-compliant with these recommendations. FATF Plenary Calls To ‘Close Gaps’ in Global Regulation of Virtual Assets The third plenary of the Financial Action Task Force (FATF), the global money-laundering watchdog, is calling to close the regulatory gaps in the compliance system of virtual assets. The meeting, held in Paris with the participation of more than 200 delegates, examined the adoption level of the recommendations of the institution regarding virtual assets and virtual assets service providers (VASPs). According to reports and evaluations, almost three-quarters or more of the jurisdictions present were either partially compliant or just non-compliant with these recommendations. A FATF plenary publication declared: Many jurisdictions have not yet implemented fundamental requirements, and more than half of survey respondents have not taken any steps towards implementing the travel rule, a key FATF requirement to prevent funds being transferred to sanctioned individuals or entities. The travel rule, part of the FATF recommendations, involves collecting the identities of the sender and recipient of a transaction. Also, depending on a designated threshold, the institution recommends requiring more data. This recommendation, relatively new for VASPs, calls for the organization of a set of communication rules and cross-border data-sharing protocols among participants of the cryptocurrency industry. Incoming Measures The FATF plenary explained that this lack of compliance with the proposed recommendations opens loopholes for criminals to exploit and established the closure of these regulatory loopholes as an urgent priority. The institution will publish an upcoming report urging countries to implement its recommendations to avoid criminals taking advantage of these gaps. The report, which will be published on June 27, will also highlight the risks of the activities of North Korea and the usage of virtual assets to finance its weapons of mass destruction program. The risks associated with decentralized finance activities and peer-to-peer transactions will also be addressed. In May, FATF president Raja Kumar urged the countries of the Group of Seven (G7) to “lead by example” by implementing the FATF recommendations in their respective regulations “so that no safe havens exist for illicit crypto transactions.” What do you think about the discussions and recommendations emanating from the FATF plenary? Tell us in the comment section below. View the full article

The Turkish lira fell to 25.74 per dollar just under a day after the central bank hiked interest rates for the first time since 2021. Although the rate hike decision was widely anticipated, the increase still fell short of the 21% that some analysts had predicted. Turkish Lira Down 21% Since the Start of 2023 The exchange rate of the Turkish currency — the lira — versus the greenback fell to a record low of 25.74 per dollar a day after the central bank hiked interest rates by 650 basis points to 15% on June 22. The currency’s latest fall means the lira has now depreciated by just over 27% during the first half of 2023. While the central bank was widely expected to abandon the recently re-elected President Tayyip Erdogan’s unconventional policies, a Reuters report said the hike had fallen short of analysts’ prediction of 21%. According to the report, some analysts believe a higher rate hike would have signaled the that Turkish government is about combating inflation. As recently reported by Bitcoin.com News, the lira’s fall in recent years and the subsequent price increases have forced many Turks to seek refuge in digital assets such as the stablecoin tether. Others have turned to gold and the greenback which is now in short supply. While Tayyip is reported to have initially resisted calls to end his unorthodox monetary policies, the country’s deteriorating economic situation is thought to have forced the Turkish leader’s hand. However, before increasing the interest rates to 15%, the central bank now led by the recently appointed governor Hafize Gaye Erkan, said the rate hikes would be gradual. The same sentiments were reportedly expressed by the new Turkish Finance Minister Mehmet Simsek. The End of ‘Erdoğanomics’ Meanwhile, the Wall Street giant Goldman Sachs suggested in a recent note that the central bank may have already started the phased adjustment of rates with the 6.5% hike. “The transition appears to be more gradual than we had thought,” the financial services giant reportedly said. According to the Reuters report, Turkey, whose inflation rate has continued to soar, kept interest rates pegged at 8.5% since 2021. Although the policy was widely criticized, President repeatedly defended the decision and vowed to keep the rates low as long as he was in power. However, just a few weeks after winning the elections, President Tayyip approved the policy U-turn that one report characterized as “the end of Erdoğanomics.” What are your thoughts on this story? Let us know what you think in the comments section below. View the full article

The Bank of England made an impactful move last Thursday, June 22, 2023, as it raised the benchmark bank rate to 5%, marking a significant 0.5 percentage point increase. This decision catapults the central bank’s rate to its highest level since 2008 and represents the most substantial surge in three months. Coinciding with this development, the National Institute of Economic and Social Research (NIESR) published a study on the same day, asserting that the escalated interest rates would translate into elevated mortgage payments, potentially pushing 1.2 million households in the U.K. towards insolvency in 2023. Bank of England’s Interest Rate Hikes Endanger 1.2 Million UK Households’ Financial Stability, NIESR Researchers Say In a noteworthy announcement on Thursday, the Bank of England (BOE) unveiled its decision to increase the key bank rate by 0.5%, propelling it to a solid 5%. Shedding light on the rationale behind this move, the BOE articulated in a blog post that inflation in the United Kingdom had reached a level deemed “too high.” With the annual rate hovering just below 9%, the central bank is steadfast in its objective to attain a 2% inflation rate. The BOE’s blog post divulges, “If you have a mortgage or loan, that means your payments may go up.” Following the upward adjustment of the benchmark bank rate by the BOE, the release of a study by the National Institute of Economic and Social Research (NIESR) shed light on a disconcerting outcome: higher interest rates are poised to plunge millions of Britons into the depths of insolvency. NIESR economist Max Mosley articulately expressed this concern, stating, “The rise in interest rates to 5% will push millions of households with mortgages towards the brink of insolvency.” Mosley further emphasized that it would be unrealistic for the government to anticipate U.K. households to weather these jolts to their financial stability. The NIESR economist said: No lender would expect a household to withstand a shock of this magnitude, so the Government shouldn’t either. Some investment should be done in forbearance agreements, giving households and lenders the ability to create payment plans that work for each other. Amidst the Bank of England experiencing its most rapid rate increase since gaining independence in 1997, the NIESR research resolutely underscores the far-reaching impact that millions of households are poised to endure. Startlingly, the researchers assert that a substantial portion of the population will bear the brunt of this economic upheaval, with their hard-earned savings at risk of vanishing into thin air. Notably, residents from Wales and the North-East are anticipated to face a disproportionately heavy burden in this unfolding scenario. “6% of households are projected to be insolvent by the end of the year as a direct result of rising mortgage repayments,” NIESR detailed. The BOE’s blog post on June 22 highlights an important distinction for debtors: those who opt for a fixed rate “won’t see any change until the end of [the] fixed period.” However, the central bank cautions that individuals with loans or mortgages tied to variable interest rates “might find that the cost of your repayments goes up.” Recent data from U.K. Finance in December 2022 reveals that approximately 17% (equivalent to 1.4 million) of the outstanding mortgages in the U.K. operate on variable rates. How do you think the Bank of England’s interest rate hikes will impact the overall economy and the financial well-being of households in the U.K.? Share your thoughts and opinions about this subject in the comments section below. View the full article

Veteran trader Peter Brandt recently branded BTC as a legacy coin that will ultimately outlast and outperform all “make-believe cryptos wannabees.” Some non-bitcoin maximalists have said the veteran trader’s remarks about bitcoin are misguided and called on him to remain flexible. Maximalist Ideology Veteran trader Peter Brandt recently riled altcoiners after he suggested that bitcoin will outperform and outlast what he described as “make-believe cryptos wannabees.” Brandt made the remarks after Mike Cautillo — a private investor at e-Holdings — concurred with his earlier tweet about BTC’s impending “decisive breakout.” $Bitcoin $BTC is the legacy coin and will outlast and out-value all of the make-believe cryptos wannabees https://t.co/uzeuKua1qk — Peter Brandt (@PeterLBrandt) June 19, 2023 Matthew Casterns, one of the Twitter users that responded to Brandt’s remarks, said he did not understand the reasoning behind the veteran trader’s assertions. Casterns argued that proclaiming BTC “will forever out-value everything” is misguided. He also urged Brandt to stay flexible. Another Twitter user, Allicnac, reminded Brandt about the Bitcoin network’s high transaction fees and long confirmation times and how these make the facilitation of efficient transactions impossible. The user ended the tweet by telling Brandt not to be “fooled by maximalist ideology.” However, in his subsequent tweets on the same subject, Brandt, who has previously clashed with the bitcoin “laser eye” movement, appeared to reaffirm his belief in BTC. In one of these tweets, the veteran trader shared a chart which seemingly points to a possible bull run. The burden of proof is increasing upon the bears in Bitcoin $BTC The retesting of the underlying H&S has been well supported and a possible falling wedge is being completed on daily line chart pic.twitter.com/fLnh31PkLA — Peter Brandt (@PeterLBrandt) June 20, 2023 “The burden of proof is increasing upon the bears in Bitcoin $BTC. The retesting of the underlying H&S has been well supported and a possible falling wedge is being completed on [the] daily line chart,” Brandt explained. What are your thoughts on this story? Let us know what you think in the comments section below. View the full article

A subsidiary co-owned by Crédit Agricole and Santander has registered as a digital asset service provider in France. The registration of Caceis, a company that specializes in offering financial services to institutional investors, allows the two major European banks to tap into the crypto market. Crédit Agricole Asset Management Unit Obtains AMF Registration in France An asset servicing business owned by France’s second largest bank, Crédit Agricole, and Spain’s biggest bank, Santander, has registered with the French financial markets authority, Autorité des Marchés Financiers (AMF) as a digital asset service provider (DASP). The registration, granted by the AMF earlier this week, will allow the entity, Caceis, to provide custody services for digital assets, including cryptocurrencies. At the end of 2022, the firm had 4.1 trillion euros ($4.51 trillion) in assets under its custody. The move adds a major traditional financial services group to the growing number of crypto companies registered by the French watchdog, Reuters noted in a report. The DASP list already includes subsidiaries of other big players in the French financial market such as Societe Generale and AXA. Caceis was established in 2005 through the merger of the asset management activities of Crédit Agricole and Caisse d’Epargne, a French cooperative banking group. With a 69.5% stake, Crédit Agricole is its majority owner while Santander has a 30.5% stake. France has been open towards the crypto industry. Among the companies it registered as DASPs is , the world’s largest cryptocurrency exchange. Binance has been under pressure from regulators, particularly in the United States where it’s engaged in a legal battle with the Securities and Exchange Commission (SEC). In May, French officials invited crypto companies seeking to escape the current crackdown in the U.S., which also affected leading U.S. digital asset exchange Coinbase, noting that France’s legal framework offers more regulatory certainty. “If American players want to benefit, in the very short term from the French regime, and from the start of 2025 from European arrangements, clearly they are welcome,” AMF Secretary General Benoît de Juvigny was quoted as saying. He was referring to France’s regulatory regime for crypto service providers known as PSAN and the EU’s recently adopted Markets in Crypto Assets (MiCA) rules which should be implemented in the next 18 months. Despite the generally positive attitude, however, a press report revealed that Binance’s entity in France was recently targeted in an investigation for suspected money laundering and illegal provision of digital asset services. A spokesperson for the exchange said the company had an “on-site visit” by regulators, clarifying this is “part of regulatory obligations to which all financial institutions must adhere.” Do you expect other major banks to attempt to obtain French registration as crypto service providers? Tell us in the comments section below. View the full article

From the latter half of 2022 and continuing into 2023, the concept of de-dollarization has gained significant traction, making its mark on the mainstream media. This surge in attention can be attributed to the concerted efforts of BRICS countries such as Brazil, China, and Russia, who are endeavoring to diminish the dominance of the greenback, preventing it from reclaiming its former position as the alpha currency. Although a prevailing sentiment suggests that the U.S. dollar’s global reserve status is on the brink of dissolution, there are dissenting voices asserting that the hype surrounding de-dollarization has been exaggerated. Decoding De-Dollarization: Unraveling the Shift Away From the Greenback’s Global Hegemony Two noteworthy subjects have captured considerable public interest as of late: the strategies pursued by the BRICS nations (Brazil, Russia, India, China, and South Africa) and the concept of de-dollarization, which has emerged as a prominent talking point. Although de-dollarization has garnered widespread coverage in the mainstream media, there remains a significant number of individuals who lack a clear understanding of its implications. The Visual Capitalist offers a comprehensive infographic on the U.S. dollar’s initial rise to being the most dominant, to the current de-dollarization trend. To begin with, it is widely held that the U.S. dollar has served as the global reserve currency for 78 years, starting from the establishment of the Bretton Woods Agreement in 1944. During World War I and World War II, the United States received gold payments from its allies, leading to its emergence as the largest global holder of gold at that time. However, the significance of this position diminished during the Nixon administration. A pivotal moment came when France discovered that the U.S. was printing more money for the Vietnam War than it possessed in gold reserves. Consequently, in 1973, the petrodollar system was established, with Saudi Arabia agreeing to exclusively accept U.S. dollars as payment for oil. This arrangement bolstered the dominance of the U.S. dollar for an extended period. However, the petrodollar’s strength has been weakened since tensions between China and Russia emerged. In January 2023, Mohammed Al-Jadaan, the Finance Minister of Saudi Arabia, expressed openness to accepting currencies other than the U.S. dollar in exchange for oil sales. In a parallel development, the BRICS bloc has been implementing various strategic measures to conduct trade using local fiat currencies instead of the greenback. Furthermore, BRICS nations have shown a keen interest in establishing a competing reserve currency to challenge the dominance of the U.S. dollar. Collectively, these decisions signify the ongoing trend of de-dollarization, reflecting a departure from the previously uncontested role of the U.S. dollar in global trade and finance. BRICS leaders are of the opinion that it is feasible to reduce the global reliance on the U.S. dollar, a notion supported by numerous market observers. However, there are plenty of skeptics who remain unconvinced about the vulnerability of the U.S. dollar. Despite the de-dollarization trend, the International Monetary Fund (IMF) does not foresee a swift transition in U.S. dollar reserves. Prominent American political scientist Ian Bremmer has dismissed the exaggerated claims of the dollar’s demise, while economist Paul Krugman has emphasized that the greenback will maintain its presence for the foreseeable future. De-dollarization essentially signifies the diminishing or potential loss of the U.S. dollar’s status as the global reserve currency, carrying implications for the global economy and potentially impacting various assets and currencies. In such a scenario, central banks would likely need to intervene in foreign exchange (FX) markets, necessitating the establishment of an alternative reserve unit with ample liquidity for intervention purposes. Data indicates the growing influence of alternative currencies, although the ultimate outcome of the de-dollarization trend remains uncertain. Its true impact on the U.S. dollar’s dominance will only be revealed over time. Will the global shift towards de-dollarization reshape the landscape of international finance? Or do you think de-dollarization is a whole lot of hot air? Share your thoughts and opinions about this subject in the comments section below. View the full article

U.S. Treasury Secretary Janet Yellen has defended the dominance of the U.S. dollar amid rising efforts by emerging countries to de-dollarize. Brazilian President Luiz Inácio Lula da Silva, in particular, is set to raise the issue of de-dollarization at the next BRICS meeting. “There is a very good reason why the dollar is used widely in trade,” Yellen argued. Yellen Defends US Dollar’s Hegemony U.S. Treasury Secretary Janet Yellen defended the global dominance of the U.S. dollar Friday at a press conference in Paris, where she attended a summit on global finance hosted by French President Emmanuel Macron. Brazilian President Luiz Inácio Lula da Silva, who also attended the summit, appeared on a panel with South African President Cyril Ramaphosa. Reiterating his call for countries to abandon the U.S. dollar and trade in their own national currencies or other alternatives, the Brazilian leader stressed that the use of the USD in international trade puts countries like Brazil at a disadvantage. Ramaphosa responded to Lula’s de-dollarization push by saying that “the issue of currency” would be “on the agenda” for the upcoming BRICS meeting, which South Africa is hosting in August, the Financial Times reported. The BRICS countries are Brazil, Russia, India, China, and South Africa. Commenting on emerging countries, including Brazil, pushing for de-dollarization, Yellen noted that it would be challenging for countries to find a viable alternative to the U.S. dollar, which has dominated global trade for decades. The treasury secretary was quoted as saying: There is a very good reason why the dollar is used widely in trade and that’s because we have deep, liquid, open capital markets, rule of law and long and deep financial instruments. While Yellen defended the U.S. dollar, she acknowledged in April that over time, the use of financial sanctions “could undermine the hegemony of the dollar.” She also said earlier this month that the ongoing trend of countries seeking to establish an alternative reserve currency to rival the U.S. dollar “is something that we simply have to expect.” In addition, she emphasized that no country is able to replicate the USD, including China. Meanwhile, a growing number of emerging markets are ramping up efforts to de-dollarize, including members of the BRICS economic bloc and the Association of Southeast Asian Nations (ASEAN). The BRICS also has a proposal for a common currency that is expected to be discussed at the upcoming summit in August. Do you agree with Treasury Secretary Janet Yellen about the U.S. dollar’s dominance? Let us know in the comments section below. View the full article

Rich Dad Poor Dad author Robert Kiyosaki has shared a very simple way of telling whether an economy is in a recession. “There is a lot of hot air about ‘Are we in a recession or not.’ The answer is simple,” the famous author claimed. Robert Kiyosaki on How to Tell if We’re in a Recession The author of Rich Dad Poor Dad, Robert Kiyosaki, has explained how to tell if the economy is in a recession. Rich Dad Poor Dad is a 1997 book co-authored by Kiyosaki and Sharon Lechter. It has been on the New York Times Best Seller List for over six years. More than 32 million copies of the book have been sold in over 51 languages across more than 109 countries. Kiyosaki tweeted Thursday: There is a lot of hot air about ‘Are we in a recession or not.’ The answer is simple. My rich dad said ‘If your neighbor loses his job, the economy is in a recession. You lose job, economy in depression. KISS. Keep It Super Simple. Be an entrepreneur. Never need a job. The famous author has cautioned about a recession multiple times. In January, he said, “We are in [a] global recession,” warning of soaring bankruptcies, unemployment, and homelessness. Kiyosaki has also voiced concerns about a depression. In February, he predicted that a “giant crash” is coming and a depression is possible. The renowned author has advised people to buy gold, silver, and bitcoin. He believes that these three investments are the best for “unstable times.” Last week, Kiyosaki stressed that more banks are about to fail. Many people believe that the U.S. economy is headed for a recession. Economist Steve Hanke recently predicted that an “ugly” recession is looming. Gold bug Peter Schiff expects a “massive” recession and a severe financial crisis. Bank of America is bracing for a mild recession. Bloomberg Intelligence’s senior commodity strategist, Mike McGlone, stated in April that the U.S. economy is heading toward a “severe deflationary recession.” Blackrock CEO Larry Fink, however, sees no major U.S. recession this year. What do you think about the statements by Rich Dad Poor Dad author Robert Kiyosaki? Let us know in the comments section below. View the full article

The U.S. Securities and Exchange Commission (SEC)’s former head of internet enforcement has warned that Binance’s recent motion accusing the regulator of ethical violations could expedite criminal charges against the crypto exchange. “Binance’s motion is provocative and Binance’s antagonistic, arrogant, accusatory, and unorthodox ethics battle-cry could fan the flames of whatever Binance-related criminal prosecution is cooking,” the former SEC official cautioned. ‘Binance Will Regret Having Ever Filed This Motion’ Former U.S. Securities and Exchange Commission (SEC) official John Reed Stark has provided insight into the potential consequences of Binance’s recent motion against the regulator, stating that it could expedite the process of bringing criminal charges against the cryptocurrency exchange. Stark is currently president of cybersecurity firm John Reed Stark Consulting. He founded and served as chief of the SEC Office of Internet Enforcement for 11 years. He was also an SEC enforcement attorney for 15 years. The former SEC official explained in a tweet Thursday that filed a motion on Wednesday asking the judge overseeing the SEC-Binance enforcement case to prevent SEC attorneys from making public statements asserting that Binance and CEO Changpeng Zhao (CZ) “have mishandled the assets of US-based customers.” The crypto exchange claimed that the securities regulator “has not presented evidence of any alleged commingling” and argued that the watchdog’s publicly stating that Binance has mishandled customer assets “risks tainting the jury pool,” Stark detailed, adding: My take is that Binance will regret having ever filed this motion. While acknowledging the potential benefits of Binance’s proposal, including the possibility of prompting the SEC to exercise more caution and restraint in its statements regarding the global crypto exchange, Stark emphasized: “Using litigation as marketing theater is never recommended when there exists a criminal indictment that is being contemplated or is already filed under seal, which is, IMHO, exactly the situation with Binance.” The former SEC internet enforcement chief continued: The stark reality is that Binance’s motion is provocative and Binance’s antagonistic, arrogant, accusatory and unorthodox ethics battle-cry could fan the flames of whatever Binance-related criminal prosecution is cooking and instigate criminal prosecutors to act now against Binance. Stark further pointed out that in its pleadings, the SEC stated: “It has also been widely reported that Binance and Zhao are under investigation by criminal authorities in the United States.” He emphasized, “This sort of statement in an SEC pleading is unusual and rare,” noting that “Normally, the SEC is silent about any sort of parallel criminal investigation, especially in its pleadings and public statements.” Stark believes that by mentioning the criminal investigation, “the SEC is obviously working with criminal prosecutors and FBI agents — and infers that criminal action could be imminent.” Stark opined: By poking the bear and accusing the SEC staff of ethical violations and by alleging that the SEC is making misleading statements about Binance’s alleged fraud and market manipulation, Binance is essentially daring the criminal authorities to prove Binance wrong. “This is not a good look for a company already entangled in dynamic and multi-faceted prosecutorial crosshairs,” he noted. The former SEC internet enforcement chief also pointed out that there are already reports that Binance is under investigation by French investigators for alleged money laundering. Earlier this month, Stark urged investors to get out of crypto platforms now, warning that “crypto platforms are under a U.S. regulatory/law enforcement siege which has only just begun.” Do you agree with former SEC official John Reed Stark that Binance shouldn’t have filed the motion above? Let us know in the comments section below. View the full article

The government of Venezuela has announced that it is currently working to integrate Mir, a Russian electronic card and transfer payments system. President Nicolas Maduro backed this integration, stating that this move is part of a de-dollarization push. More than 40,000 payment terminals are being adapted to accept Mir-compliant cards. Venezuela Integrates Russia’s Mir Payments System The government of Venezuela recently announced that it is integrating Mir, a Russian payments system, into its point-of-sale network, as part of a national de-dollarization push previously announced by President Nicolas Maduro. Calixto Ortega, president of the Central Bank of Venezuela, stated that the bank had finalized the necessary steps to “be connected to the interbank messaging of the Central Bank of Russia in order to be able to communicate with Venezuelan banks and Russian banks through this system.” In this first phase, more than 40,000 point-of-sale terminals will be able to interact with the Mir payments system. The Central Bank of Russia established Mir in 2017 to circumvent the sanctions that credit card providers — like Mastercard and Visa — enacted against the country in 2014. Ortega stated that the goal is for 30% of the available terminals to be connected to the Mir system to accept cards issued by Russian banks, denominated in rubles, to make payments in local currency in Venezuela. International Settlements Also Contemplated President Nicolas Maduro explained that this implementation was part of the construction of a new global payments system, away from Western sanctions and the influence of the U.S. dollar. Maduro stated: They tried to isolate us monetarily and financially, unfairly, with blockades and criminal sanctions, however, with the incorporation into the Russian Mir Payment System, we are building financial and monetary systems of the new world. In April, during a visit of Russian Foreign Minister Sergey Lavrov to Venezuela, Venezuelan Foreign Minister Yvan Gil communicated that the two countries were working to develop an alternative to SWIFT, the standard bank interconnection system, to free Russia and Venezuela from dollar hegemony. U.S. sanctions have affected the commercial relationship between companies of the two countries. In this sense, Ortega stated that this integration would provide “fluid communication to facilitate import and export transactions in our currencies, in bolivars and rubles,” hinting at the utilization of Mir to settle international transactions in the future. What do you think about the integration of the Mir payments system in Venezuela? Tell us in the comment section below. View the full article

According to a Newsweek poll conducted by Redfield & Wilton Strategies, 55% of Americans are “very” or “fairly” concerned about paying off credit debt this year. The total credit card balance of Americans is at its highest point since the U.S. Federal Reserve began tracking the data, and current metrics indicate that Americans are using credit to mitigate inflationary pressures. U.S. Consumers Rely on Credit Cards to ‘Navigate Costs Associated With Inflation’ While the most recent consumer price index (CPI) report from the U.S. Bureau of Labor Statistics indicates a cooling of inflation in the United States, Americans have turned to credit cards to offset the rising prices. According to a poll published by Newsweek and Redfield & Wilton Strategies, which surveyed 1,500 American citizens on May 31, approximately 30% of respondents have debt ranging from $1,000 to $5,000. Among Americans aged 22-34, around 22% have accumulated over $10,000 in debt, while 21% of U.S. citizens aged 35-44 also carry the same level of debt. Melissa Lambarena, a credit cards expert at Nerdwallet, stated to Newsweek that U.S. “consumers have been actively using their credit cards to navigate costs associated with inflation.” The Nerdwallet executive noted that increasing prices have caused some Americans to depend on their credit cards to meet their financial needs. According to statistics from Lendingtree, credit card debt has reached a record high for American consumers, citing consumer debt data from the Federal Reserve Bank of New York. “Americans’ total credit card balance is $986 billion in the first quarter of 2023, according to the latest consumer debt data from the Federal Reserve Bank of New York,” a Lendingtree report details. “That’s unchanged from the fourth quarter of 2022’s record number, leaving the balance the highest since the New York Fed began tracking in 1999.” American Credit Card Debt Has Risen Significantly Since Q3 2020, Credit Debt Has Surged on a Global Scale The all-time high represents a 17% increase compared to the year prior, indicating that millions of Americans are relying on credit more than ever before to cover their expenses. Credit card debt had been steadily rising until the pandemic hit, and in 2020, it significantly declined as Americans reduced their usage of these financial tools. According to Newsweek’s survey, 55% of U.S. residents express significant or moderate concerns about their ability to repay credit card debt this year. The statistics also reveal that this trend is particularly pronounced among younger age groups, specifically those aged 18-24. Moreover, Americans are not the only ones relying on credit card charges to make ends meet, as multiple sources indicate a global surge in credit card debt. Data reveals that the United States currently holds the highest amount of credit card debt, followed by Canada, the United Kingdom, and Japan. Conversely, Italy, Brazil, and India have comparatively lower average credit card debt. According to the Newsweek poll, certain experts suggest the necessity of “debt forgiveness” or propose that American consumers could potentially “benefit from payment holidays.’” What are your thoughts on the rising credit card debt in the face of inflation? Share your thoughts and opinions about this subject in the comments section below. View the full article

The Bored Ape Yacht Club (BAYC), a prominent non-fungible token (NFT) collection, has been experiencing a decline in its dominance. In the past 90 days, the minimum value of BAYC NFTs has plummeted from 64 ETH to just above 37 ETH. Furthermore, the floor value of the Cryptopunks NFT collection has been higher than BAYC’s since the final week of April. BAYC Loses Ground to Competitors in NFT Market The once-dominant Bored Ape Yacht Club (BAYC) has been facing a decline in both its market dominance and overall performance for the past three months. While BAYC used to reign as the leading collection in terms of trade volume, as evidenced by cryptoslam.io statistics, other collections have now taken the spotlight. In a recent turn of events, a collection of Bitcoin-based Ordinal NFTs surpassed BAYC in seven-day sales volume, marking a shift in the hierarchy. However, there is still a glimmer of hope for Bored Ape Yacht Club (BAYC) as its 30-day sales volume positions it as the top collection in terms of sales. When considering all-time sales, BAYC secures the second-largest spot, just behind Axie Infinity. Nonetheless, the impressive all-time sales volume of Cryptopunks is rapidly closing in on BAYC’s figures. BAYC boasts overall sales amounting to $2.89 billion, while Cryptopunks’ all-time sales tally reaches a notable $2.18 billion. BAYC collectors have faced a rough patch as the floor statistics of the collection took a significant hit over the past 90 days. According to archived data from coingecko.com on June 24, BAYC’s floor value stood at 64.2 ether on April 1, 2023. However, it has now dwindled to 37 ether or $70,810 based on the current ETH exchange rates. Considering the entire collection of 10,000 unique apes, the market capitalization reaches an impressive value of over $707 million. Coingecko’s report reveals that BAYC recorded a 24-hour volume of 6,339 ETH, amounting to just over $12 million. As of 11:07 a.m. (ET) on June 24, 2023, according to archived metrics from nftpricefloor.com, Cryptopunks reign supreme with the largest floor value of 49 ether. The web portal’s data also reveals that within a mere 24-hour period, BAYC plummeted to a low of 33 ether, showcasing the challenges faced by the collection. Additionally, archived records from theblock.co indicate that Cryptopunks’ floor value surpassed that of BAYC since May 5, 2023. In fact, even prior to that date, BAYC struggled to maintain its leading position, with Cryptopunks consistently taking the lead. The waning appeal of Bored Apes in recent times remains a mystery, but new collections, including those derived from Bitcoin, have been chipping away at their sales. Google Trends data reflects a sharp decline in global interest in the search term “Bored Ape Yacht Club” over the past 12 months. Around this very week last year, the search term reached an impressive peak score of 100 out of 100. However, the current week’s score has plummeted to a mere 10 out of 100. Notably, according to Google Trends, the top five countries showing the most interest in searching for the term “Bored Ape Yacht Club” are China, Singapore, Hong Kong, Myanmar (Burma), and New Zealand. What do you think the future holds for the Bored Ape Yacht Club? Will it regain its former dominance or be overtaken by new contenders in the NFT space? Share your thoughts and opinions about this subject in the comments section below. View the full article

Authorities in Australia have charged two individuals accused of operating a cryptocurrency scam that defrauded two companies of $5.5 million. Luxury vehicles worth $2.7 million including a $600,000 Ferrari have been seized by law enforcement. Ferrari Seized From Car Dealer Australian authorities have charged two alleged masterminds of a cryptocurrency scam that defrauded $5.5 million from two unnamed companies, a report has said. One of the men, Fabio Sa Alves, was arrested on June 16 in Sydney, and a day later, 6 luxury and classic vehicles, 11 motorcycles, cryptocurrency wallets, and designer watches were confiscated. According to a local report, law enforcement agencies have seized luxury vehicles valued at $2.7 million, including a Ferrari worth $600,000 taken from a car dealer in Marrickville. Australian law enforcement said Alves used the crypto scam to steal from the two companies in 2021. His accomplice, an unnamed 67-year-old, is accused of authorizing the funds and hiding the Ferrari. Residents Told to Deal With Approved Exchanges Only For his actions, Alves has been charged with three counts of “dishonestly obtaining financial advantage by deception” and for attempting to conceal the stolen funds. A court in Parramatta has since rejected Alves’ bail application and his next appearance is set for Aug. 24. However, Alves’ accomplice was granted bail by a court in Manly. Meanwhile, Gordon Arbinja, the Financial Crimes Squad Commander Detective Superintendent, told residents looking to invest in digital assets to work with approved crypto platforms. “When buying or selling crypto, make sure you use a digital currency exchange that is approved by AUSTRAC and always scrutinise all the details,” Arbinja reportedly said. What are your thoughts on this story? Let us know what you think in the comments section below. View the full article

PRESS RELEASE. VICTORIA, Seychelles, June 24, 2023 — Bitget, top crypto derivatives and copy trading platform, is honoring its official partner and soccer legend Lionel Messi’s birthday on June 24 in a unique and artistic manner. As a gesture of appreciation, Bitget has commissioned a graffiti wall featuring portraits of Messi in Buenos Aires, Argentina. This special gift is a testament to the platform’s exclusive partnership with Messi, aimed at promoting the mainstream adoption of cryptocurrencies. Bitget and Messi embody shared attributes of perseverance, continuous improvement, and resilience when confronted with challenges. Bitget’s unwavering commitment to progress is demonstrated through its consistent efforts in product development and service refinement. Similarly, Messi’s exceptional talent is honed through diligent work and practice, showcasing his relentless pursuit of excellence. Both exhibit unwavering determination and positivity despite setbacks and skepticism. These collective efforts have yielded remarkable achievements, such as Messi leading Argentina to a World Cup championship and Bitget attaining a prominent position as a top 5 derivative crypto exchange. “We greatly admire Messi for his talent and dedication,” said Gracy Chen, Managing Director of Bitget. “It is an honor to work with credible partners like him to achieve our shared goal of inspiring people to explore Web 3. By collaborating with respected leaders and brands, we aim to introduce more people to Web3 and advance decentralized finance opportunities globally. Together with Messi, we want to inspire and empower through this transformative new technology.” Chen added, “Bitget believes that partnerships with reputable and accomplished individuals or groups can help propel crypto into the mainstream. We are humbled that someone of Messi’s caliber. This graffiti wall expresses our gratitude for Messi’s support in helping newcomers discover the potential of crypto.” The graffiti wall is Bitget’s way of thanking Messi for his partnership and wishing him a happy birthday by celebrating him in an artistic fashion in the place he calls home. This creative will also be featured on Brave browser. Bitget looks forward to continuing to work with Messi to spread understanding about Web3 globally. As part of the long partnership with the football star, Bitget previously launched the “Make it Count” marketing campaign with an investment of $20 million to help uplift market and consumer sentiment during a difficult time for the crypto industry. About Bitget Established in 2018, Bitget is the world’s leading cryptocurrency exchange that offers Copy Trading services as one of its key features. Serving over 8 million users in more than 100 countries and regions, the exchange is committed to helping users trade smarter by providing a secure, one-stop trading solution. Bitget inspires individuals to embrace crypto through collaborations with credible partners, including legendary Argentinian footballer Lionel Messi, the leading Italian football team Juventus, and official eSports events organizer PGL. VICTORIA, Seychelles, June 24, 2023 — Bitget, top crypto derivatives and copy trading platform, is honoring its official partner and soccer legend Lionel Messi’s birthday on June 24 in a unique and artistic manner. As a gesture of appreciation, Bitget has commissioned a graffiti wall featuring portraits of Messi in Buenos Aires, Argentina. This special gift is a testament to the platform’s exclusive partnership with Messi, aimed at promoting the mainstream adoption of cryptocurrencies. Bitget and Messi embody shared attributes of perseverance, continuous improvement, and resilience when confronted with challenges. Bitget’s unwavering commitment to progress is demonstrated through its consistent efforts in product development and service refinement. Similarly, Messi’s exceptional talent is honed through diligent work and practice, showcasing his relentless pursuit of excellence. Both exhibit unwavering determination and positivity despite setbacks and skepticism. These collective efforts have yielded remarkable achievements, such as Messi leading Argentina to a World Cup championship and Bitget attaining a prominent position as a top 5 derivative crypto exchange. “We greatly admire Messi for his talent and dedication,” said Gracy Chen, Managing Director of Bitget. “It is an honor to work with credible partners like him to achieve our shared goal of inspiring people to explore Web 3. By collaborating with respected leaders and brands, we aim to introduce more people to Web3 and advance decentralized finance opportunities globally. Together with Messi, we want to inspire and empower through this transformative new technology.” Chen added, “Bitget believes that partnerships with reputable and accomplished individuals or groups can help propel crypto into the mainstream. We are humbled that someone of Messi’s caliber. This graffiti wall expresses our gratitude for Messi’s support in helping newcomers discover the potential of crypto.” The graffiti wall is Bitget’s way of thanking Messi for his partnership and wishing him a happy birthday by celebrating him in an artistic fashion in the place he calls home. This creative will also be featured on Brave browser. Bitget looks forward to continuing to work with Messi to spread understanding about Web3 globally. As part of the long partnership with the football star, Bitget previously launched the “Make it Count” marketing campaign with an investment of $20 million to help uplift market and consumer sentiment during a difficult time for the crypto industry. About Bitget Established in 2018, Bitget is the world’s leading cryptocurrency exchange that offers Copy Trading services as one of its key features. Serving over 8 million users in more than 100 countries and regions, the exchange is committed to helping users trade smarter by providing a secure, one-stop trading solution. Bitget inspires individuals to embrace crypto through collaborations with credible partners, including legendary Argentinian footballer Lionel Messi, the leading Italian football team Juventus, and official eSports events organizer PGL. For more information, visit: Website | Twitter | Telegram | LinkedIn | Discord For media inquiries, please contact: media@bitget.com This is a press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release. View the full article

According to a lawsuit filed this week with the U.S. Bankruptcy Court for the District of Delaware, FTX lawyers are seeking to claw back $700 million from K5 Global Technology, its subsidiaries, and the firm’s founders. The attorneys allege that the defendants received funds without undergoing any due diligence, and FTX did not obtain “equivalent value.” FTX Pursues Legal Action to Recoup $700 Million in Suspected Fund Misuse FTX lawyers seek to claw back $700 million in funds allegedly provided to K5 Global Technology, SGN Albany Capital, Mount Olympus Capital, and the founders of K5 Global, Michael Kives, and Bryan Baum. The attorneys aim to recover the funds from the defendants following reports of millions being channeled to these companies and founders in an alleged effort to amass influence. The attorneys maintain that FTX co-founder Sam Bankman-Fried (SBF) sought to utilize Kives and Baum for networking purposes. According to FTX lawyers, two days following the Super Bowl, SBF “gushed about Kives’s access to celebrities and politicians,” and reportedly stated that he is “probably the most connected person I’ve ever met.” Kives, a former aide to the Clintons, is purportedly associated with numerous A-list celebrities and high-profile connections. “Bankman-Fried stated that Kives and Baum were ‘something of a one-stop shop for relationships that we should utilize,’ and that they could provide ‘infinite connections,’ ‘potential unpaid partnerships with celebrities’ and ‘political relationships,’ and that they and FTX entities could ‘work together on electoral politics,’” the complaint details. The court filing adds: The FTX insiders, among others, took advantage of the FTX Group’s lack of controls and recordkeeping to perpetrate a massive fraud—lavishly spending the FTX Group’s assets on, among other things, private homes and jets, political and “charitable” contributions, and various investments. The K5 Transaction and Mount Olympus Transaction were two such investments. While FTX lawyers have filed a petition with the court to pursue the recovery of funds from the alleged K5 transactions, there are doubts about the potential outcome. “700m of the funds were transferred outside the 90-day preference window whereas only 100m were transferred within the 90 days,” an individual commented on Twitter regarding the court filing. “I don’t see how they get more than 100 and if this guy is really connected, he may avoid paying any of that back. I don’t think the estate will get much,” the person added. In a comment forwarded to Reuters, a spokeswoman for K5 stated that the FTX lawsuit did not have merit. “K5 was under the impression — like many others — that SBF was completely legitimate, and that they were entering into a fair, long-term, and mutually beneficial business relationship.” Will FTX’s legal pursuit of $700 million from K5 Global and its founders succeed? Share your thoughts and opinions about this subject in the comments section below. View the full article

The Winklevoss twins, founders of Gemini, a U.S.-based cryptocurrency exchange, have criticized the U.S. Securities and Exchange Commission (SEC) for its perceived anti-crypto stance and recent enforcement actions. In a recent interview, the Winklevoss twins commented that the regulatory environment in the U.S. felt like “third world, like Venezuela,” for builders in the crypto world. Winklevoss Twins Against SEC: Building Crypto in the U.S. ‘Feels Like Venezuela’ Tyler and Cameron Winklevoss, founders of Gemini, a U.S.-based cryptocurrency exchange, have criticized the regulatory environment that crypto builders face in the country with the recent enforcement actions of the U.S. Securities and Exchange Commission (SEC). In a recent interview with Balaji Srinivasan, former CTO of Coinbase, the Winklevoss twins explained the difficulties that existing regulation poses to cryptocurrency investors. They detailed that the launch of a rule-compliant cryptocurrency exchange in the U.S. involved getting a state license for every state served and a money transfer license (MTL), raising the costs to enter the crypto business. In addition, the Winklevoss twins criticized the “regulation by enforcement” approach of the SEC, stating: They won’t tell you what you need to do to comply. They won’t tell you these are the roads, they are paved, there’s a speed limit… There isn’t that path for people who want to comply. Furthermore, they explained that building in crypto in the U.S. “feels like Venezuela,” commenting that common protections do not apply in the crypto world. Further Criticism The Winklevoss twins further criticized the lack of clarity of the SEC regarding the classification of certain cryptocurrency assets. In the case of ether, the twins detailed that even though the Ethereum network is ten years old, there is still no clarity about how it will be classified, with SEC Chairman Gary Gensler refusing to answer a direct question on the subject in a congressional hearing in April. They declared: The only thing that that U.S. regulators seem to agree on is that bitcoin is a commodity but they won’t agree on any other crypto. Due to all of these complications, the Winklevoss twins believe that there will be a crypto “flippening” from America to Asia, where regions such as the Asia Pacific (APAC) and the Middle East and North Africa (MENA) will grow to be the largest source of revenue for Gemini. Compared to the U.S., where the twins explained the “environment is hostile and you can’t get anything done,” these jurisdictions offer friendlier crypto regulations. Others have warned about crypto fleeing to other, less hostile markets, including Coinbase CEO Brian Armstrong and U.S. Senator Cynthia Lummis. What do you think of the opinions of the Winklevoss twins on the state of crypto regulation in the U.S.? Tell us in the comment section below. View the full article

Cybersecurity researchers have found tens of thousands of devices storing Chatgpt credentials that have been infected with info-stealing malware. The account details have ended up being sold on the dark web, they said, pointing out that the Asia-Pacific leads by number of such offers. Increase of Compromised Accounts Testifies to the Growing Popularity of Chatgpt, Experts Say Singapore-based cybersecurity firm Group-IB has identified 101,134 stealer-infected devices with saved Chatgpt credentials over the past year. The compromised accounts were found within the logs of info-stealing malware traded on darknet markets thanks to its Threat Intelligence platform which monitors such marketplaces and stores a library of dark web data. The logs reached a high of 26,802 in May 2023, with the Asia-Pacific region seeing the highest number of Chatgpt credentials being put up for sale during the studied period — 40.5% of the stolen accounts between June 2022 and May 2023. The authors of the report noted that the increase of these offerings is an indication of the growing popularity of the chatbot. Developed by the Microsoft-funded artificial intelligence (AI) research laboratory Openai, Chatgpt was launched in November 2022 and has been finding applications in different fields. Group-IB underscored that more and more employees of various organizations are using the chatbot to optimize their work in areas such as software development or business communications. Chatgpt has also been making its way into the crypto space. In March, the leading U.S. digital asset exchange, Coinbase, announced it’s testing the product as a token verification tool. And in June, the blockchain analytics firm Elliptic said it intends to use it to support its intelligence gathering efforts. “By default, Chatgpt stores the history of user queries and AI responses. Consequently, unauthorized access to Chatgpt accounts may expose confidential or sensitive information,” Group-IB’s experts remarked. The data can then exploited for targeted attacks against companies and their employees, they elaborated. The analysis of underground marketplaces conducted by the cybersecurity firm revealed that the majority of logs containing Chatgpt accounts have been breached by the Raccoon info stealer. This type of malware collects saved account credentials, bank card details and crypto wallet information from browsers installed on infected devices as well as data from instant messengers and emails. Do you think the theft of Chatgpt accounts will be a growing trend in the near future? Tell us in the comments section below. View the full article

Brazilian President Luiz Inácio Lula da Silva has revealed his intention to raise the issue of de-dollarization at the next BRICS meeting. “Why Brazil and Argentina would trade in dollars. Why don’t we do it in our own currencies? Why can’t Brazil and China trade in their currencies? The question of why I need to buy dollars is on my agenda,” said the Brazilian president. Brazil Intends to Discuss De-Dollarization With BRICS Partners Brazilian President Luiz Inácio Lula da Silva stated Friday during the Paris summit on a new global financial pact that he intends to raise the issue of de-dollarization at the next BRICS meeting, Tass reported. The BRICS nations comprise Brazil, Russia, India, China, and South Africa. The economic bloc’s leaders’ summit is set to take place in Johannesburg, South Africa, on Aug. 22-24. The Brazilian president was quoted by the news outlet as saying (translated by Google): It’s not clear why Brazil and Argentina would trade in dollars. Why don’t we do it in our own currencies? Why can’t Brazil and China trade in their currencies? The question of why I need to buy dollars is on my agenda. And if it depends on me and only on me, then we will discuss this at the next BRICS meeting. Leaders from 50 states are gathering in Paris for a two-day summit on a new global financial pact hosted by French President Emmanuel Macron. The objective of the meeting is to reach a consensus on reforming the global financial system and develop proposals for further discussion in other forums. Last week, Macon reportedly expressed interest in attending the upcoming BRICS summit. However, Russia has opposed the French president’s participation, citing “a hostile and unacceptable policy” towards Moscow. The Brazilian president has been vocal about countries ditching the U.S. dollar in global trade and using their national currencies instead. He has also expressed support for the creation of a common BRICS currency, a topic that is expected to be discussed at the economic bloc’s upcoming leaders’ summit. Lula said in April: “I am in favor of creating, within the BRICS, a trading currency between our countries, just like the Europeans created the euro.” He also sees the BRICS bank as an alternative financial institution, stating in May: “We want the BRICS bank to strengthen as an alternative instrument for financing, and we will reinforce our cooperation with the African Development Bank.” What do you think about Brazilian President Lula intending to raise the issue of de-dollarization at the next BRICS meeting? Let us know in the comments section below. View the full article

Economist Peter Schiff has slammed Federal Reserve Chairman Jerome Powell over several key issues concerning the U.S. economy, the banking system, and the U.S. dollar. “Powell is a coward. He is not doing his job,” Schiff claimed, highlighting multiple factors affecting the economy that the Fed chairman overlooked in his statements before Congress this week. Peter Schiff Disagrees With Fed Chair Powell on Several Key Issues Economist and gold bug Peter Schiff has criticized multiple statements made by Federal Reserve Chairman Jerome Powell during his appearances before the House Financial Services Committee on Wednesday and the Senate Banking Committee on Thursday. Powell appeared before Congress this week to present the Federal Reserve’s semiannual Monetary Policy Report. Schiff expressed his disagreement with Powell’s remarks through a series of tweets over the past couple of days. In one tweet, he wrote: Powell acknowledged that the Fed’s growing balance sheet is a concern, but failed to address the primary challenge that the balance sheet will never stop growing because every time an economic or financial problem arises, the Fed quickly expands the balance sheet to new highs. Furthermore, the gold bug stressed in a follow-up tweet: “Powell is wrong to claim that the economy is being driven by a strong labor market. A weak economy and falling real wages are driving more workers to seek second and third jobs, and inflation causes retirees to return to the labor force to keep up with a rising cost of living.” Schiff detailed in another tweet that the Federal Reserve chairman “claims the common factor that explains why so many countries are now experiencing high inflation is the global pandemic.” However, he pointed out: What he overlooks are the far more relevant common factors of artificially low interest rates, quantitative easing, and government deficit spending. The economist added that the Fed chair stated that the Federal Reserve’s “massive losses on its bond portfolio don’t count, as they’re just paper losses.” Schiff exclaimed: “That’s BS. Plus, the Fed pays more on deposits than it earns on Treasuries. Those losses are real. The bills are sent to the U.S. government and become obligations of taxpayers.” Commenting on Powell reiterating his assurance to lawmakers during his Senate hearing that the U.S. banking system is sound and resilient, Schiff stressed: “The truth is that thanks to Fed monetary policy and Federal government interference, subsidies, and regulation, the U.S. banking system is insolvent and would have collapsed without government backstops.” Schiff similarly warned earlier this month that the Fed is destroying the banking system. The gold bug also commented on U.S. Senator Elizabeth Warren’s statements regarding the banking system. He said that while the senator from Massachusetts “is correct that our banking system is broken, she is wrong about who broke it.” The economist explained: “The problem is not too little government regulation, but too much. What we need is to get the government and the Fed out of the U.S. banking system, to allow free market forces back in.” Schiff further stated: “Powell is wrong to claim that increased government spending stimulates the economy. It doesn’t stimulate the economy, it actually stifles the economy. What it stimulates is spending and inflation. But the Fed Chairman doesn’t really understand economics. He’s a Keynesian.” He opined: Former Fed Chair Paul Volcker repeatedly advised Congress to cut spending or raise taxes, sharply criticized Federal deficit spending that he warned would stifle economic growth, lead to higher long-term interest rates and inflation. Powell is a coward. He is not doing his job. Another area in which Schiff disagreed with Powell concerns the U.S. dollar. The Fed chairman told lawmakers that he believes the USD’s status as the global reserve currency is a consequence of America’s economic dominance. Schiff argued: “Powell is wrong. The dollar’s reserve currency status was originally a consequence of America’s economic dominance, but it has since become the main prop upon which that economic dominance now rests. Once the dollar’s reserve status is lost, U.S. economic dominance will topple.” Do you agree with economist Peter Schiff? Let us know in the comments section below. View the full article