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Crypto exchange Binance has been ordered by Belgium’s Financial Services and Markets Authority (FSMA) to cease providing any crypto exchange and custody wallet services in the country. The Belgian financial regulator stressed that it “takes the view that by offering such services in Belgium from countries that are not members of the European Economic Area, Binance is in violation of that prohibition.” Belgian Regulator Orders Binance to Cease Crypto Services in the Country Belgium’s Financial Services and Markets Authority (FSMA) announced Friday that it has ordered cryptocurrency exchange to “cease immediately all offers of virtual currency services in Belgium.” The FSMA noted that “Binance is offering and providing exchange services in Belgium between virtual currencies and legal currencies, as well as custody wallet services, from countries that are not members of the European Economic Area.” The financial regulator emphasized: “The FSMA takes the view that by offering such services in Belgium from countries that are not members of the European Economic Area, Binance is in violation of that prohibition.” The announcement details: By way of its decision dated 23 June 2023, the FSMA has therefore decided to order Binance to cease, with immediate effect, offering or providing any exchange services in Belgium between virtual currencies and legal currencies, as well as custody wallet services. “Failure to comply with this prohibition is subject to criminal sanctions pursuant to Article 136 of the Belgian Law on the prevention of money laundering and terrorist financing,” the regulator warned. In addition to ordering Binance to cease crypto activities in Belgium, the FSMA stated that it has “demanded that Binance take immediate measures” to return to Belgian clients “all cryptographic keys and/or all virtual currencies that Binance holds for their account, or to transfer these to entities governed by the law of an EEA member state and duly authorized by their domestic law to carry out such activities.” Belgium’s Crypto Regulation The financial regulator explained that providing exchange services “between virtual currencies and legal currencies and of custody wallet services (VASP) remains an unregulated activity, except as concerns combating money laundering and terrorist financing (AML/TF).” The FSMA noted that the European Union’s Markets in Crypto-Assets (MiCA) regulation, which was published in the Official Journal of the European Union on June 9, “will introduce more general rules, and in particular prudential rules, governing activities relating to crypto-assets.” The regulator clarified: These rules, with direct effect in Belgian law, will enter into force in January 2025. In the absence of specific regulations, the common law and relevant provisions of the Belgian Criminal Code are applicable to crypto assets, the FSMA noted. Binance is facing increased regulatory scrutiny across multiple countries. The U.S. Securities and Exchange Commission (SEC) has filed charges against Binance, CEO Changpeng Zhao (CZ), and Binance US. In addition, Binance has ceased operations in the United Kingdom. The exchange has also pulled out of the Netherlands and is seeking to deregister in Cyprus. Furthermore, French investigators are investigating Binance on allegations of money laundering and regulatory breaches. What do you think about Binance being ordered to halt its crypto services in Belgium and its decision to withdraw from multiple countries? Let us know in the comments section below. View the full article

The Bank of Tanzania (BOT) has reiterated that shillings remain the East African country’s sole legal tender. The apex bank said residents quoting prices in foreign currency or those refusing payment in Tanzanian shillings are in violation of the Bank of Tanzania Act 2006. The central bank said only commercial banks and Bureaux de Change are allowed to determine exchange rates. Rejecting Payment in Shillings a Violation of the Law The Tanzanian central bank has said the practice of demanding or quoting prices in foreign currency is illegal and that those refusing to accept payment in Tanzanian shillings are in violation of the Bank of Tanzania Act 2006. In a June 20 press release, the bank also reiterated that only commercial banks and Bureaux de Change are allowed to determine exchange rates. The latest warning by the Bank of Tanzania (BOT) came barely a month after the apex bank told the country’s authorized forex dealers to only trade with licensed international foreign currency brokers. As reported by Bitcoin.com News in early June, the Tanzanian central bank viewed the forex restrictions as a step that helps to “foster macroeconomic stability and safeguard the stability of the financial system.” 2017 and 2007 Forex Prohibitions Still in Effect Meanwhile, in a warning apparently aimed at those ostensibly seeking to dollarize the economy, the Tanzanian central bank reiterated that the Aug. 2007 and later, Dec. 2017, prohibition on foreign currency payments between citizens is still in effect. Still, the press release stipulates the few instances wherein the quoting or payment in foreign currency is not forbidden. “Prices to be paid by tourists or non-resident customers may be quoted and paid in foreign currency. These include services such as accommodation, travel, airport and visa, transit trade and cargo handling. Tourists and non-residents who pay in foreign currencies must provide their identification documents such as passport and certificate of incorporation for companies for proper capturing and classification of statistics,” the BOT said in the statement. However, according to the central bank, for goods and services such as rentals, education and medical fees, prices should be quoted in Tanzanian shillings which remain the only legal tender. The same rules also apply to transport services, electronic products and telecommunication services. Register your email here to get a weekly update on African news sent to your inbox: What are your thoughts on this story? Let us know what you think in the comments section below. View the full article

David Hunter, the chief macro strategist at Contrarian Macro Advisors, predicts an interesting development for global markets in the fourth quarter of 2023. According to him, global markets will experience a remarkable surge, aptly described as a “melt up.” However, this surge will be short-lived, as a substantial downturn is expected to follow. Hunter emphasizes that after this rise and fall, we won’t witness the same lofty peaks of the 41-year secular bull cycle for many years to come. Contrarian Macro Advisors Exec Anticipates Global Markets’ ‘Melt Up’ in Q4 2023, Warns 80% Downturn Will Follow In an interview with Kitco News’ lead anchor and editor-in-chief, Michelle Makori, David Hunter delved into the realm of the economy, unraveling a compelling narrative of a potential “melt up” scenario. Renowned for his remarkable knack for forecasting economic cycles and identifying market trends ahead of the curve, Hunter unveiled his forecast. He painted a picture of the S&P 500 soaring by a staggering 36%, while the value of gold would ascend to $3,000 per ounce by October. However, Hunter cautioned that these bullish scenarios will be fleeting, as an imminent and significant market bust looms on the horizon, paving the way for a profound recession. “My S&P target is six to seven thousand,” Hunter explained during his interview with Makori. “My targets are gold to $3,000 pre-bust and silver to $60 pre-bust … We’ll probably see most of the melt-up move by the end of the summer, which could mean Labor Day, but it could stretch into September.” So what exactly is a melt up? Traditionally, these market phenomena resemble bull traps, serving as deceptive and unreliable signals of an impending market surge. The gains experienced during a melt up are often viewed with skepticism because, despite the temporary upward momentum, the underlying fundamentals of the market continue to deteriorate. Throughout history, melt-ups have frequently paved the way for subsequent meltdowns, reminiscent of the notable ‘Fall Melt-Up of 2011,’ aptly dubbed the ‘Great Surprise.’ Hunter suggests that we have found ourselves nearing the culmination of a significant 41-year secular bull run that commenced in 1982. Hunter stressed: That is when the disinflation trend began and interest rates peaked out. I think the highs of this bull market will not likely be seen again for decades. Throughout the turbulent economic history of the United States, significant transformations such as the notorious ‘Great Depression’ and the formidable ‘Great Recession’ were marked by the occurrence of tantalizing melt-ups. These preludes to market busts enticed investors with their deceptive allure. Prior to the infamous stock market crash in 1929, an extended period of prosperity propelled stock prices to unprecedented heights, witnessing a staggering quadrupling in value from 1920 to 1929. Fueled by misguided optimism, investors fell victim to the illusory signals of the melt-up, succumbing to the temptation of borrowing extensively to pour more funds into the market. According to Hunter, the U.S. Federal Reserve’s implementation of quantitative tightening measures has surpassed the optimal threshold, pushing it into the realm of going “too far.” Economist Steve Hanke echoes this sentiment, as he recently emphasized that the current monetary tightening bears an uncanny resemblance to the contractionary policies witnessed in “1938 or 1939.” In a recent interview, Hanke drew attention to the parallels between the present circumstances and the historical instances of economic shrinkage. While speaking with Makori, Hunter insists “We are in uncharted territory.” “The formula is, really, economic fragility caused by the pandemic, plus potentially the biggest policy error [over-tightening] in history by central banks, and plus leverage,” Hunter said. “You’ve got a formula which takes a normal recession into something far worse.” Hunter explained that the type of “bust” he envisions will entail markets recording an 80% drawdown, and while he predicts gold will reach an all-time high this year, precious metals like gold and silver will drop back to today’s levels. “I don’t think very many assets are going to be able to escape a deflationary bust,” Hunter added. The macro strategist concluded, however, that gold and silver will see upsides following the bust, and both could rise ten times higher in value after the bottom. What are your thoughts on David Hunter’s forecast of a ‘melt up’ followed by a significant market downturn? Share your thoughts and opinions about this subject in the comments section below. View the full article

A lawyer representing Onecoin victims has urged Bulgarian authorities to reopen an investigation into the crypto pyramid scheme and seize assets to compensate his clients. The attorney is asking officials in Sofia to take into account developments he considers related to the case, including the recent murder of a Bulgarian crime figure in South Africa. Attorney Hopes New Bulgarian Chief Prosecutor Takes on Onecoin Investigation Dr. Jonathan Levy, a legal representative for people affected by Onecoin from several countries, has filed a new request that Bulgaria’s acting top prosecutor reopens an investigation into the multi-billion dollar crypto Ponzi scheme and seize associated assets for restitution of the victims. In a letter to the Bulgarian Ministry of Justice, Levy is turning attention to recent events that he believes are connected to the case. These include the murder of Bulgarian organized crime figure Krasimir Kamenov in South Africa, linked to the recently fired chief public prosecutor of Bulgaria, Ivan Geshev, and the fugitive founder of Onecoin, Ruja Ignatova. Geshev was removed from office by Bulgaria’s Supreme Judicial Council earlier in June and replaced by Borislav Sarafov as Acting Prosecutor General. In December 2021, Levy filed a petition with the Bulgarian Constitutional Ombudsman, accusing Geshev of protecting Onecoin which allegedly continued to operate through affiliated entities in Bulgaria. The U.K. lawyer now insists that Onecoin must be shut down, the responsible persons arrested and their assets seized. In support of his latest request, Levy presents a sworn declaration by Onecoin’s former Compliance Officer Duncan Arthur, a citizen of the Republic of Ireland and the Republic of South Africa, which details the scam’s contacts in Africa. Kamenov, who was assassinated in Cape Town in late May, along with his wife and two other victims, has been accused of involvement in the murder of a top police official in Sofia and connected to the disappearance of Ruja Ignatova and a reported 230,000 BTC in her possession. Cryptoqueen’s Whereabouts and Fate Still Unknown According to an article published in February by the Bulgarian website Bureau for Investigative Reporting and Data (Bird.bg), the “missing Cryptoqueen” was killed in Greece, in November 2018, a year after she boarded a plane bound for Athens. The report claims the conclusion is based on evidence obtained during the investigation into last year’s murder of the ex-head of a criminal police department in the Bulgarian capital. Both may have been murdered by a crime group associated with Kamenov, according to the information. However, Jonathan Levy requested an investigation suggesting Ignatova’s death may have been faked by the criminal organization. “Geshev then belatedly sought Kamenov’s arrest but not before Geshev claimed he had narrowly escaped a bomb plot,” the attorney noted. “I am requesting the Acting Chief Prosecutor review this new material and our previous requests and take action now against the Onecoin organized crime gang in Bulgaria and the former Chief Prosecutor Geshev who we accuse of deliberate nonfeasance. And in particular seize the assets of the OneCoin gang for the benefit and restitution of victims,” Levy wrote to the Bulgarian Justice Ministry. Launched in 2014 as a multi-level marketing (MLM) network based on a non-existent cryptocurrency, Onecoin is believed to have defrauded more than 3 million investors globally of over $4 billion. Its mastermind, Bulgarian-born German national Ruja Ignatova, was last seen on Oct. 25, 2017, at the airport in Athens, and is still wanted by Interpol, Europol, and the U.S. Federal Bureau of Investigation (FBI). According to South Africa’s Daily Maverick newspaper, Kamenov may have had information about her. The publication also revealed that around 2018, Ignatova’s brother and Onecoin co-founder, Konstantin, posted photos on his Instagram showing he had visited Cape Town. He was arrested in Los Angeles the following year and pleaded guilty to Onecoin-related charges while seeking witness protection in the United States. Ruja’s business partner, U.K. and Swedish national Sebastian Greenwood, also pleaded guilty in December 2022. Do you think investigators will get to the bottom of the Onecoin case? Share your thoughts on the subject in the comments section below. View the full article

In the rapidly evolving world of Web3, where data security and privacy are paramount, innovative solutions are needed to protect sensitive information and establish trust within the decentralized ecosystem. This sponsored article delves into the concept of Zero Trust and explores how it serves as the foundation for a revolutionary platform called Mind Network. By combining the principles of Zero Trust with cutting-edge encryption techniques, Mind Network aims to empower users, developers, and businesses to secure their data, smart contracts, and AI models on the blockchain. Mind Network recently closed its seed round fundraising, led by Binance Labs and co-invested by SevenX Ventures, HashKey Capital, Arweave SCP Ventures, etc. Mind Network was incubated by Binance Incubation Camp Season 5 and selected into Chainlink BUILD Program. The Rise of Zero Trust Security Traditional security paradigms in Web2 environments relied on the assumption of trust within a centralized infrastructure. However, the increasing frequency of data breaches and cyberattacks has exposed the vulnerabilities inherent in this approach. Enter Zero Trust Security, a modern strategy built on the principle of “never trust, always verify.” Zero Trust assumes that breaches have either already occurred or are imminent, prompting the need for continuous verification of every request, irrespective of its origin. Zero Trust Principles for Enhanced Security Zero Trust Security operates on several core principles that ensure robust data protection and access control: Verify Explicitly: Each request, regardless of its source, must be explicitly authenticated, authorized, and verified before granting access. Use Least-Privilege Access: Access permissions are granted at the most minimal level necessary, reducing the risk of unauthorized access and potential data breaches. Assume Breach: Zero Trust assumes that breaches are inevitable, which prompts continuous monitoring, verification, and mitigation measures throughout the system. Challenges in Web3 Security and Why Zero Trust The decentralized nature of Web3 introduces unique security challenges that demand innovative solutions. These challenges include: Data Privacy and Ownership Web3 emphasizes individuals’ control over their personal data, financial transactions, and user interactions. However, existing applications often lack proper encryption and access control support, risking user privacy. On-Chain Data Protection Exposing wallet addresses and smart contract interactions in public ledgers poses security threats and potential financial losses. Protecting this data is crucial to maintaining user trust in decentralized systems. Decentralized Storage Risks Decentralized storage systems rely on untrusted node operators to store and compute data, creating potential vulnerabilities and compromising data confidentiality. Trust and Reliability Ensuring trust and reliability in decentralized systems during computation and state updates is vital to prevent financial losses and maintain the integrity of the network. Why does Web3 need Zero Trust? Data Ownership and Privacy challenge needs to remove intermediary or superuser who is assumed to be trusted. It meets the second principles of Zeo Trust to use least-privilege access. Zero Trust assumes breaches are inevitable, which is the foundation to On-Chain Data Protection challenge. Zero Trust can promote verification explicitly to Decentralized Storage Risks challenge. Therefore, a Zero Trust implementation is demanded in Web3. Introducing Mind Network: Empowering Web3 Data Security Mind Network is a pioneering platform that brings Zero Trust principles to the Web3 landscape. Built on the foundation of a Zero Trust Data Lake, Mind Network focuses on securing data, smart contracts, and AI models in a decentralized manner. By utilizing Zero Knowledge Proof (ZKP) and the patented Adaptive Fully Homomorphic Encryption (AFHE) technique, Mind Network enables end-to-end encrypted computation and storage for on-chain private data. Mind Network offers a comprehensive set of solutions designed to enhance security and privacy in Web3 applications: Encrypted Read and Write Solution Developers can securely connect their decentralized applications (dApps) to Mind Network, enabling encrypted read and write operations on sensitive data. Encrypted data remains inaccessible to Mind Network and its node providers, ensuring privacy and security. Encrypted Content Sharing Solution Mind Network enables the secure sharing of encrypted data between dApps using tokenized access control. This solution is invaluable in data marketplaces, private subscription services, and other scenarios requiring controlled data sharing or monetization. Privacy-Preserving Computation Solution Developers can perform privacy-preserving computations on encrypted data within Mind Network. This allows for various use cases, including executing order books, credit evaluations, medical research, and legal protection. Secure Data Verification Solution Mind Network provides a solution for verifying users’ encrypted data and computation results. This allows decentralized applications (dApps) to verify specific rules without accessing the content, ensuring the integrity of social connections, voting results, asset positions, risk scores, and more. Secure Data-Driven Smart Contracts Solution Mind Network collaborates with Chainlink to address data transfer limitations from off-chain to on-chain smart contracts. Encrypting data and performing computations on encrypted inputs ensures privacy and security for use cases such as trading signals, financial models, on-chain gaming, and more. Securing AI Models with Mind Network’s Zero-Trust Solution Mind Network’s Zero-Trust AI Solution offers robust protection for AI models, mitigating the risk of unauthorized manipulation and ensuring end-to-end security. Enabling encrypted input and output safeguards against unpredictable damage to financial markets and user interests. Mind Network’s Zero-Trust AI Solution defends against unauthorized manipulation and addresses additional risks. It can potentially mitigate model collapse, preventing decreased accuracy and biased outputs over time. Furthermore, it tackles the challenge of ‘proof of human data,’ verifying the authenticity and integrity of training datasets. By adopting this secure framework, AI models can operate with transparency and trust, bolstering confidence in AI-driven systems across industries. Mind Network’s Zero-Trust AI Solution provides a reliable foundation for deploying AI models in finance, healthcare, and other domains. It promotes responsible AI adoption, safeguarding against potential harm and ensuring the integrity of decision-making processes. Use Cases for Mind Network dWeb Use Case: Mind Network serves as a secure data lake for decentralized web applications, allowing them to persist front-end data using decentralized storage while accessing encrypted data from Mind Network. This use case applies to UGC platforms, social and gaming platforms, DeFi, and middleware protocols. TradFi Use Case: Traditional financial institutions can leverage Mind Network to generate risk profiles for crypto investor customers while preserving their privacy. By encrypting customer wallet lists and combining them with on-chain data, risk assessments can be performed without compromising user confidentiality. This use case extends to areas like fraud detection, compliance, and anti-money laundering (AML). AI Use Case: Mind Network addresses privacy protection challenges in social networks by combining encryption and social relationships. For instance, photos can be pre-processed, encrypted, and stored on Mind Network, giving users control over their data and access based on their social connections. DeFi Use Case: Mind Network enhances transparency and control in trading platforms by encrypting trading positions and order books, enabling secure and private trading without exposing sensitive information. This use case applies to spot, derivative, dark pool, and cross-chain exchanges. Team The Mind Network team comes from a solid background, with special mentions for the CTO, George, who was a researcher at Cambridge University and has had his research in cryptography adopted by the United Kingdom government and high-street banks, and Dennis, the CSO, is the first white hat hacker to hack Tesla in 2014. The rest of the team is assembled with serial entrepreneurs, award-winning scientists, and Web3 marketing veterans. Investors and Partners Mind Network has closed its seed round fundraising. This round is led by Binance Labs and co-invested by Comma3 Ventures, SevenX Ventures, HashKey Capital, Big Brain Holdings, Arweave SCP Ventures, Meridian Capital, etc. Mind Network was incubated by Binance Incubation Camp Season 5 as the only data project and selected into Chainlink BUILD Program. Even early, Mind Network established strong partnerships with Binance, Chainlink, Consensys, and Arweave. It acquired early supporters, including well-known global banks, insurance companies, and various dApps and protocols. Final Recap Mind Network’s innovative Zero Trust Data Lake presents a groundbreaking solution for securing data, smart contracts, and AI in the Web3 ecosystem. By implementing Zero Trust principles and leveraging advanced encryption techniques, Mind Network empowers users, developers, and businesses to maintain privacy, protect sensitive information, and establish trust within the decentralized landscape. Mind Network paves the way for a more secure and privacy-focused Web3 future with its comprehensive suite of solutions. For more information about Mind Network, please reach out to us on: Website: https://mindnetwork.xyz/ Twitter: https://twitter.com/mindnetwork_xyz Medium: https://mindnetwork.medium.com/ Gitbook: https://mind-network.gitbook.io/mindnetwork/ Github: https://github.com/mind-network Discord: https://discord.gg/UYj94MJdGJ Telegram: https://t.me/MindNetwork_xyz This is a sponsored post. Learn how to reach our audience here. Read disclaimer below. View the full article

While as much as 66% of surveyed African residents claimed to have been exposed to digital assets like bitcoin, about 82% of respondents said they have never owned crypto. The findings of the survey study suggest that the adoption of crypto is more significant in poorer African countries than in better-off countries like Kenya and South Africa. Poor Nations Africa’s Leading Crypto Countries According to a study by Kasi Insights, a Kenyan research firm, as much as 82% of surveyed Africans have never owned crypto. Of the remaining 18%, only 8% of the respondents admitted to being holders of digital assets such as bitcoin. In contrast, as much as 66% of the respondents said they have been exposed to crypto. However, only 8% said they had “a considerable amount of exposure to crypto.” As noted by the authors of the report, these and other findings appear to undercut the belief that residents of the African continent have largely embraced and adopted crypto. In some cases, the findings also appear to debunk popular beliefs about the extent of adoption and the African continent’s leading crypto countries. To illustrate, the report points to the different crypto adoption levels seen in different countries. “Kenya, while often dubbed the ‘Silicon Valley of Africa,’ isn’t as prominent a participant in the African crypto market, and neither is South Africa. Instead, we’ve seen that poorer countries have higher adoption, awareness, and usage, as shown by Namibia and Angola,” the report said. Government Support Key to Adoption The findings of the survey, which was carried out in 19 African countries, also appear to suggest that government support or endorsement is needed if the mass adoption goal for crypto is to be achieved. The report also urged crypto market participants to “consider developing relationships with local authorities to generate more awareness and influence favourable regulation.” Concerning the demographics of African crypto users, the study findings show millennials leading the pack with 60% while the baby boomer generation accounts for just one percent of the African continent’s crypto investors. The survey data also shows that men account for 54% of African investors. Meanwhile, when asked why they invested in digital assets, a third of the crypto investors said they did it so they can “make money quickly.” Approximately 28% of the respondents said they became crypto investors because they wanted to diversify their portfolios while 17% only did so because they did not want to miss the opportunity. Register your email here to get a weekly update on African news sent to your inbox: What are your thoughts on this story? Let us know what you think in the comments section below. View the full article

Nikolaos Panigirtzoglou, a managing director at JPMorgan, believes the release of the Hinman docs in the Ripple vs. SEC case will influence crypto regulation. Panigirtzoglou stated this document release is likely to start a race for other cryptocurrency projects to become more decentralized and look “more like ethereum” to avoid being labeled as securities. JPMorgan Managing Director Nikolaos Panigirtzoglou: Hinman Docs Might Spark Decentralization Race Nikolaos Panigirtzoglou, managing director at JPMorgan, has recently examined the effect that the release of the Hinman docs, a series of internal discussions and emails the U.S. Securities and Exchange Commission (SEC) had before the 2018 speech of Former SEC Official Willian Hinman, will have on future crypto regulation. To Panigirtzoglou, who also serves as cross asset market strategist at JPMorgan, the speech will influence how cryptocurrency regulation will be carried out eventually by the U.S. Congress “in a way that ethereum would avoid being designated as security.” Panigirtzoglou stated: Senior leadership at SEC did not believe that ether was a security in 2018 … SEC officials had reservations about Hinman including a direct statement on ether in his speech because ‘it would be difficult for the agency to take a different position on ether in the future.’ The Ethereum Dilemma The JPMorgan strategist believes one of Hinman’s declarations — which declares that “if the network on which the token or coin is to function is sufficiently decentralized, the assets may not represent an investment contract,” — explains why the SEC has refrained from acting against ethereum while still targeting its competitors this year. Panigirtzoglou explains that ethereum could be put in the same category as bitcoin to be regulated by the Commodity Futures Trading Commission (CFTC) as a commodity; however, he states that these “sufficiently decentralized” assets might also be put in another category that “would involve more restrictions and investor protections than currently envisaged for commodities but less onerous than those required for securities.” No matter what is decided in that regard, Panigirtzoglou commented that the Hinman docs will be a catalyst to bring more decentralization to the crypto space, as they “would likely intensify the race among major cryptocurrencies and their respective blockchains to become more decentralized and look even more like ethereum in order to avoid being designated as securities.” Ripple CEO Brad Garlinghouse has also recently criticized the SEC’s stance on crypto enforcement after the release of the Hinman docs. Garlinghouse stated that even with this internal debate, the SEC “weaponized the lack of regulatory clarity,” deciding to charge Ripple for conducting an unregistered securities offering. What do you think about the possible effect of the Hinman docs on cryptocurrency regulation? Tell us in the comments section below. View the full article

After the Bitgo acquisition deal to purchase Prime Trust fell through, it seems that crypto firms that have worked with the custodian are experiencing problems. On Thursday, Seattle-based fintech startup Stably announced the need to “temporarily pause” certain services and operations. According to reports, the bitcoin payments platform, Strike, is also encountering difficulties and has purportedly suspended direct deposits. Stably to Halt Services, Customer Email Shows Prime Trust Issues May Be Giving Strike a Headache The cryptocurrency custodian, Prime Trust, has become a subject of widespread discussion on crypto forums and social media on June 22. Reports revealed that Prime Trust has suspended withdrawals and deposits, a fact confirmed by customers who utilized the services of Prime Trust. Seattle-based crypto firm Stably shared this information through a blog post. In a letter from Prime Trust, it was stated that the firm received an order from the Nevada Financial Institution Division, and it expressed hope to “return to business as usual as soon as possible.” The Prime Trust situation should be a lesson that your bitcoin is not “safe” on any 3rd party custodian, even if it’s one that plebs tell you is fine b/c “all your sats are in a trust account w/your name on it” Learn to self custody. It’s the only way to truly own your bitcoin. — Justine Harper (@mshodl) June 22, 2023 This has caused inconvenience for Stably, leading the company to temporarily suspend the majority of its services. On Thursday, the stablecoin issuer TUSD stated that it remained unaffected by the situation, despite having conducted business with both firms. “Prime Trust has suspended all deposits of fiat and digital assets,” TUSD said on Twitter. TUSD is is not affected by this situation. We have no exposure to Prime Trust and maintain multiple USD rails for minting and redemption. Rest assured, all your funds are safe with TUSD.” In an official report published by the Nevada Financial Institution Division, Prime Trust encountered a critical financial predicament on or around June 21, 2023, resulting in its inability “to honor customer withdrawals due to a shortfall of customer funds caused by a significant liability on the respondents’ balance sheet.” The division further states that Prime Trust has violated its fiduciary obligations and has consequently been mandated to cease and desist all business operations. Prime Trust has refrained from making any Twitter announcements concerning the issue. Prime Trust has collaborated with several companies, including Abra, Augeo, Swan Bitcoin, Binance US, Dapper Labs, and Strike. In May, Swan Bitcoin informed its customers that it would be moving assets from Prime Trust to Bitgo and Fortress Trust. Just before Bitgo backed away from the Prime Trust deal, the custodian Prime Trust’s subsidiary Banq filed for Chapter 11 bankruptcy protection. All @Swanbitcoin customer funds were transferred from Prime Trust to Fortress and BitGo. There is zero precedent for clawback of customer funds from individual bankruptcy-remote TRUST accounts– it’s the whole point. Unlike the unsecured creditors of Celsius and FTX, Swan client… — Cory Klippsten Swan.com #Bitcoin (@coryklippsten) June 22, 2023 There are reports suggesting that the bitcoin payments company Strike is facing challenges due to its association with Prime Trust. A customer alleges receiving an email from Strike indicating the suspension of direct deposits and temporary disruptions in card services. However, according to Strike’s status page, it states that all services are currently operational. Right now the crypto community and armchair sleuths are trying to figure out which firms have direct exposure to the crypto custodian. What are your thoughts on the impact of Prime Trust’s suspension of services on the crypto industry? Share your thoughts and opinions about this subject in the comments section below. View the full article

The International Monetary Fund’s (IMF) economists have cautioned that banning cryptocurrency “may not be effective in the long run.” Instead of outlawing crypto, they suggest countries should address “the drivers of crypto demand, including citizens’ unmet digital payment needs.” IMF Economists on Crypto Adoption, Banning, and Regulation The International Monetary Fund (IMF) published an article titled “Interest in Central Bank Digital Currencies Picks Up in Latin America and the Caribbean While Crypto Use Varies” on Thursday. The article is authored by IMF senior economist Rina Bhattacharya, economist Dmitry Vasilyev, and Mauricio Villafuerte, a division chief in the IMF’s Western Hemisphere Department. The IMF economists highlighted that four Latin American countries (Brazil, Argentina, Colombia, and Ecuador) ranked among the top 20 countries globally in terms of crypto adoption according to Chainalysis. However, they stressed: Crypto asset adoption also presents numerous challenges and risks, particularly for vulnerable LAC [Latin America and the Caribbean] countries with a history of macroeconomic instability, low institutional credibility, substantial capital flows, corruption, and extensive informal sectors. The economists explained that crypto regulations vary across Latin America and the Caribbean countries. While noting that El Salvador has made bitcoin legal tender, they pointed out: “Other countries like Argentina and the Dominican Republic have prohibited the use of crypto assets due to concerns about their impact on financial stability, currency and asset substitution, tax evasion, corruption, and money laundering.” Noting that “Crypto assets present risks that vary by country circumstances,” the economists concluded: While a few countries have completely banned crypto assets given their risks, this approach may not be effective in the long run. The region should instead focus on addressing the drivers of crypto demand, including citizens’ unmet digital payment needs, and on improving transparency, by recording crypto asset transactions in national statistics. What do you think about the IMF economists’ advice regarding crypto? Let us know in the comments section below. View the full article

The BRICS leaders’ summit will take place in a couple of months, and French President Emmanuel Macron has reportedly expressed interest in attending. However, Russia believes it would be “inappropriate” for the French president to attend. “Clearly, leaders of states that pursue such a hostile and unacceptable policy towards us” are inappropriate BRICS guests, said a top Russian official. Russia Says No to Macron Attending BRICS Summit Russian Deputy Foreign Minister Sergey Ryabkov was asked by reporters Thursday about the possible participation of French President Emmanuel Macron in the upcoming BRICS leaders’ summit. South Africa is currently holding the BRICS presidency and is hosting the summit in Johannesburg from August 22 to 24. The BRICS nations comprise Brazil, Russia, India, China, and South Africa. The Russian official told reporters that Russia has informed its South African partners that the presence of the French president at the upcoming BRICS summit would be “inappropriate.” He was quoted by Tass publication as saying: “We have sent a signal that, with all due respect to the prerogatives of the host [South Africa] to invite individual guests, it is necessary to proceed from the fact that BRICS is an alliance of countries that categorically rejects the use of unilateral sanctions for resolving foreign policy issues. Given this, the presence of Western officials would clearly be inappropriate there.” Ryabkov was further quoted by RIA news agency as saying: Clearly, leaders of states that pursue such a hostile and unacceptable policy towards us, discussing with such emphasis and conviction that Russia should be isolated on the international stage, and share the common NATO line on inflicting a so-called strategic defeat on us — such a leader is an inappropriate BRICS guest. “And we are not hiding this approach of ours, we have told our colleagues from South Africa. We expect that our point of view will be fully accepted,” the official added. Kremlin spokesperson Dmitry Peskov recently said that Russia does not know in what capacity or for what reasons Macron might attend the BRICS leaders’ summit, Tass conveyed, quoting Peskov as saying: “Frankly speaking, we don’t know in what capacity or why. We don’t have such information at hand.” French Foreign Affairs Minister Catherine Colonna said Tuesday following talks in Johannesburg with her South African counterpart, Naledi Pandor, that Macron would consider taking part in the BRICS summit should he be formally invited. She noted that the decision to invite the French president “must be taken, not by France, but by the BRICS and first and foremost by South Africa, which is the host of the summit.” Do you think French President Emmanuel Macron should attend the BRICS leaders’ summit? Let us know in the comments section below. View the full article

Federal Reserve Chairman Jerome Powell has discussed the threat of de-dollarization and the risk of the U.S. dollar losing its world’s reserve currency status. He believes that the USD hegemony is a consequence of America’s economic dominance. Fed Chair Powell on Threat of De-Dollarization, USD Losing Reserve Currency Status Federal Reserve Chairman Jerome Powell addressed de-dollarization concerns during his testimony before the House Financial Services Committee on Wednesday. Congressman Ritchie Torres (D-NY) asked the Fed chair: “As you know, the U.S. has foreign adversaries, particularly the CCP, that seem intent on de-dollarization. How seriously should the threat of de-dollarization be taken in your view?” Powell replied: “The status of the United States, of the dollar as the world’s reserve currency, is a very important thing to us.” He added: I think the reason we have that status is largely due to our great democratic institutions, the rule of law, and the fact that we have, generally speaking, had strong levels of price stability. “And, I think the dollar will remain the reserve currency as long as those things are in place,” he opined. The lawmaker further asked Powell whether he thinks the U.S. dollar’s global reserve currency status is “the cause of America’s economic dominance or a consequence of it. The Fed chair replied: To me, it’s more of a consequence. “Also there tends to be an equilibrium where one currency becomes the accepted global standard and that has been the dollar for some time, and I expect that it will, for some time, continue to be,” Powell further explained. Some people disagreed with the Fed chairman. Economist Peter Schiff, for example, tweeted: “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.” Meanwhile, a growing number of countries worldwide are ramping up their de-dollarization efforts, including members of the BRICS economic bloc and members of 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 group’s upcoming leaders’ summit. What do you think about the statements made by Fed Chair Jerome Powell regarding de-dollarization and the U.S. dollar’s reserve currency status? Let us know in the comments section below. View the full article

Licensed since last year, the world’s largest digital asset exchange, Binance, has now launched a trading platform in Kazakhstan. The move comes amid increased pressure from regulators in other jurisdictions, like the U.S., and after Binance’s decision to pull out of several European markets. Global Leader Binance Sets Up Licensed Exchange in Kazakhstan Amid Euro Exit, U.S. Crackdown The leading platform for coin trading in the world, Binance, announced the launch of a cryptocurrency exchange in Kazakhstan. The exchange will offer users in the Central Asian nation exchange and conversion services, deposits and withdrawals of fiat money, and custody of crypto assets, a press release detailed on Wednesday. Binance was licensed to operate in Kazakhstan in October, 2022. The authorization, granted by the Astana Financial Services Authority (AFSA), allows it run a digital asset platform and provide custodial services at the Astana International Financial Center (AIFC), the country’s financial hub. It plans to expand the suite of services and the list of supported assets to at least 100 this year. Binance Launches a Regulated Digital Asset Platform in Kazakhstan, with local banking support.https://t.co/FMtG2qz3RW — CZ Binance (@cz_binance) June 21, 2023 The move comes as the global exchange finds itself under increased regulatory scrutiny elsewhere. Binance is fighting a legal battle with the U.S. Securities and Exchange Commission (SEC) which accuses it of selling assets that the authority deems to be unregistered securities and mishandling customer funds. The crackdown has resulted in a significant drop in the market share of its Binance US platform. This month, Binance also announced it’s exiting the Dutch market as it was unable to obtain registration as a virtual asset service provider in the Netherlands. Its firm in Cyprus applied to be removed from the country’s register of crypto service providers and Binance’s subsidiary in Britain cancelled its U.K. regulatory authorization. The exchange said it wants to focus on fewer regulated entities in Europe. The permanent license gave Binance the status of a regulated entity in Kazakhstan. The crypto company has been assisting local authorities in the development of the legal framework for the sector. Kazakhstan, a mining hotspot since China cracked down on the industry two years ago, enforced a new law this year, designed to regulate its crypto space, including the licensing of AIFC-registered exchanges. Another leading crypto spot exchange, Bybit, was recently licensed, too. customers in Kazakhstan will be able to use the services of a domestic bank, Freedom Finance Bank, allowing them to transfer fiat funds to their accounts on the new platform through two payment channels — bank cards and regular bank transfers. The global exchange at Binance.com will continue to be available in Kazakhstan as well. Do you think Binance is shifting focus from developed economies such as the U.S. and the EU to emerging markets in other regions? Tell us in the comments section below. View the full article

With 13.15 million ordinal inscriptions on the Bitcoin blockchain, demand has continued to keep network transfer fees high, as the average fee to transact onchain is 0.00012 BTC or $3.54 per transaction. Moreover, since June 18, 2023, average fees on the Bitcoin blockchain have increased by more than 92%, rising from $1.84 to the current transfer cost. Bitcoin Fees Rise While Backlog of Unconfirmed Transfers Remain Bitcoin fees have increased by 92% over the past four days, as reported by bitinfocharts.com on June 22, 2023. According to data from bitinfocharts.com, average fees have remained above the $1 threshold since April 23, approximately 60 days ago. On May 8, the average fee reached a 2023 high of $31 per transaction. The surge in fees can be attributed to frequent financial transfers broadcasted across the chain and the influx of Ordinal inscriptions, which have resulted in an increased transfer count. Median-sized transfer fees have also risen, and as of press time, bitinfocharts.com data shows that the median fee on-chain on June 22, 2023, is 0.000053 BTC or $1.60 per transfer. This follows a low of $0.694 per transaction recorded on June 18, indicating a surge of more than 130% in median-sized fees within four days. Furthermore, archived statistics from mempool.space indicates that there’s approximately 339,936 unconfirmed transactions as of 1:01 p.m. (ET) on Thursday afternoon. Meanwhile, according to mempool.space data, the current high-priority network transfer fee on-chain is $1.59 per transaction, while a medium priority fee is $1.17, a low priority fee is $0.92, and the no-priority fee stands at $0.50. Furthermore, archived metrics from June 19, 2023, reveal that in a span of three days, the capacity on the Lightning Network increased from 5,408.88 BTC to the current 5,427.05 BTC, representing a growth of 0.33%. What are your thoughts on the rising Bitcoin network transfer fees and the number of unconfirmed transactions? Share your thoughts and opinions about this subject in the comments section below. View the full article

PRESS RELEASE. Hong Kong, Hong Kong, 21st June 2023, Chainwire. The Earn Network, a community-driven marketplace for liquid investments, is happy to announce the successful completion of its Seed Funding round that raised $2.7 million from VCs and Angel investors. As per the announcement, the round was led by Shima Capital. The event saw the participation of other investors including: DFG, Jsquare, LD Capital, Cronos Labs, GTS Ventures, Bixin Ventures, ViaBTC Capital, Mars DAO, and Mirana Ventures. Notably, the new funding will be used to further develop new product categories on Earn Network’s marketplace. The Earn Network has already developed DeFi Staking and soon will be adding three more categories – Lending, Liquid Staking & Native Restaking. In addition, the funding will also help the platform hire more professionals to join its expert team, grow the community and establish new relationships with more base layers and projects. The Earn Network claims that existing centralized and traditional investment platforms are unable to harness the substantial value that arises from the decentralized finance (DeFi) ecosystem and its wider landscape. As a result, billions of dollars in potential investment opportunities and economic growth remain untapped, limiting the potential benefits for investors and hindering the overall development of the global economy. The Earn Network solves this by providing a “no-code” solution, where any individual can leverage secure and audited templates to create their custom financial products, like staking or borrowing pools. No more hidden fees, middlemen or tedious processes. A fully self-custodial, peer-to-peer platform allows both parties to freely transact. The user-friendly interface opens the door to any investor that is ready to explore new yield-bearing opportunities. Bartek Pozniak, CEO of the Earn Network, said: “Our goal is to onboard millions to generate billions in the DeFi economy. We’ve set an ambitious goal to create a leading financial marketplace that’s ready for tomorrow. We want to create a renowned and user-friendly investment platform that gives equal opportunities to every participant worldwide.” says Bartek Pozniak, CEO of the Earn Network”. About Earn Network The project was founded in the second quarter of 2022. It’s run by a team of 9 individuals who are at the top of their fields. The Earn Network reaches over 150,000 users through its own native platform and affiliated yield-earning sites including MyCointainer.com. A few prominent projects such as Avalanche, Decimal, or Cronos are already collaborating with the Earn Network to deliver new use cases for crypto communities. To try out the Earn platform, one simply needs to visit earn.network. Access to the platform is available via desktop or through the mobile version. At all times, the user remains 100% in charge of the funds, and interest is paid directly to the wallet. Website | Twitter | Telegram | LinkedIn | Facebook | Discord Contact Bartosz Pozniak contact@earn.network 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

A member of the eurozone is amending its constitution in order to guarantee citizens the right to cash payments. The move comes amid growing fears that a digital version of the common European currency may eventually become the only means of payment in the eurozone, despite currently being touted as merely an alternative. Lawmakers in Slovakia Approve Constitutional Provision Preserving Cash Payments Slovaks will have the right to buy goods and services with cash guaranteed under an amendment to their constitution approved by a sizable majority in the nation’s parliament. According to a report by the Euractiv news portal, 111 out of 150 members of the legislature backed the respective draft law. The legislation aims to protect physical payments in case that the use of the digital euro becomes mandatory in the eurozone, of which Slovakia is a member. The digital version of the euro area’s single currency is still under development led by the European Central Bank (ECB). The amendment was proposed by the right-wing, Eurosceptic Sme Rodina (We Are Family) party. “It is very important that there is a provision in the Constitution based on which we can defend ourselves in the future against any orders from the outside, saying there can only be digital euro and no other payment options,” Miloš Svrček, one of the law’s authors, was quoted as stating. EU institutions claim they don’t intend to replace cash with the new central bank digital currency (CBDC) but rather supplement it. However, critics suspect that transactions with it will be controlled by the ECB and fear digital euro payments may become mandatory across the eurozone. Marián Viskupič, a liberal lawmaker, commented: It may be initially sold as an alternative, but gradually it will become apparent that it can only be exclusive. Viskupič added that the digital euro would facilitate the “monitoring of a person’s entire life” by the ECB and described the CBDC project as “a social engineer’s dream”. Far-right members of the legislature took a similar stance, warning about “total loss of privacy.” Meanwhile, the National Council, as Slovakia’s parliament is called, also passed an amendment protecting the interests of merchants refusing to accept cash for “appropriate or generally applicable reasons.” Among them are operators of card-only vending machines and shopkeepers worried about robberies, for example. Do you expect other members of the eurozone to adopt legislation preserving cash payments? Share your thoughts on the subject in the comments section below. View the full article

According to Christopher Goes, the co-founder of privacy-focused blockchain Namada, many privacy protocols have not gained traction primarily because “the user experience hasn’t been up to par.” Part of the reason for this is that existing solutions such as Zcash “often require that users use a specific asset in order to receive privacy.” Another privacy solution, Tornado Cash, offers what Goes described as “suboptimal privacy in order to maintain efficient compatibility with a legacy transparent system.” ‘Privacy Loves Company’ Meanwhile, in his written answers sent to Bitcoin.com News, the Namada co-founder stated that while privacy-preserving protocols have seemingly gained traction, this has not translated to better privacy for users. Goes explained that this may be because the “anonymity sets are currently fragmented across an ecosystem of separate tokens, applications, and platforms.” In order to bring about an improved and better experience for users, Goes said protocols like Namada — a “proof-of-stake L1 for interchain asset-agnostic privacy” — are working on “providing a unified privacy set in which all assets can partake and all chains can connect to.” The co-founder also confirmed reports that Namada has proposed “a shielded airdrop of its NAM token to holders of Zcash and Osmosis.” Below are Christopher Goes‘ answers to all the questions that were sent to him via Telegram. Bitcoin.com News (BCN): Most of the blockchains out there are pseudonymous and transparent. Now there is this misconceived notion among the general public that using blockchain is anonymous and even “shady.” In your view, where does this notion come from and what needs to be done to change the perception? Christopher Goes (CG): I don’t know all the memetic history, but I’d guess that this notion comes primarily from two factors: First, a confusion between pseudonymity and anonymity. Identities in transparent blockchains like Bitcoin and Ethereum aren’t real names, but rather pseudonymous public keys or addresses. This may seem like sufficient privacy, but the problem is that as soon as an adversary figures out the link between an address and a real identity, they can use the transaction graph to find all the other associated addresses, transactions, and funds. Even if an adversary doesn’t know your real identity directly, they can use statistical linking techniques which take into account metadata such as timing, amounts, and fees, and crawl the internet for messages referencing an address on social media, emails, or payment providers. Second, the network effects of surveillance technology. Bitcoin and Ethereum’s privacy models haven’t changed, but at first, they didn’t have so many users and starting a surveillance company wasn’t worth the effort – so early users might not have been de-anonymised even though they could have been. Now that these systems have lots of usage, many surveillance companies have optimised their algorithms, collected lots of data, and formed relationships with various parties who purchase their surveillance services. I think the perception is already changing – primarily as people see surveillance in action. Now the technology must catch up, for privacy is not a feature that can be added on top but rather a part of the definition of a system itself. Privacy is the freedom to selectively reveal oneself to the world, and people want to be free. BCN: There is no shortage of privacy-preserving protocols and solutions out there. However, what do you think is the biggest privacy problem that these protocols or solutions have not been able to solve yet and why? CG: Personally, I think that there is a great shortage of privacy-preserving protocols. There are thousands of blockchains, smart contracts, and wallets – 99% of them aren’t privacy-preserving, and all of them should be. Transparent blockchain protocols are easier and cheaper to surveil than the existing financial system by an order of magnitude. In the long run, none of them will survive. I think by and large privacy protocols haven’t gained traction simply because the user experience hasn’t been up to par. Privacy is hard to build well, and existing solutions often either require that users use a specific asset in order to receive privacy (such as Zcash), or offer suboptimal privacy in order to maintain efficient compatibility with a legacy transparent system (such as Tornado cash). Designing a system which avoids these tradeoffs requires control over the architecture and extensive cryptographic, distributed systems, and system design expertise, which don’t coexist in many places. BCN: Namada, the Layer-1 blockchain you co-founded, refers to itself as “Anoma’s first fractal instance.” For our readers, can you explain what Anoma, fractal instance, and Namada are? CG: At the risk of being pedantic, I’m not sure what it means to co-found a blockchain. I have co-founded an organisation which plans to propose a genesis block for a blockchain that we call Namada. Whether or not the blockchain starts is up to the community, not us – we only develop software and make proposals. Anoma is an intent-centric architecture for decentralised, privacy-preserving counterparty discovery and settlement. Anoma can be used in many different specific configurations and with different security models. While everyone benefits from agreeing on a sufficiently general protocol, there is no one-size-fits-all security model, as appropriate security choices can only be made for a particular context of interaction. Specifically, we expect security domains to correspond to the real topology of commerce, which is localised – if you live in Seattle, you trade most with people in Seattle, somewhat less with people in North America, and very rarely with people in Tibet. Interactions within the context of Seattle should be settled on an instance of the protocol controlled by the people of Seattle – this is what we call a “fractal instance,” and we expect many of them to emerge, specialised to specific areas of commerce, physical localities, and circles of trust. Namada is a sovereign proof-of-stake blockchain, using Tendermint BFT consensus, which enables multi-asset private transfers for any native or non-native asset using a multi-asset shielded pool derived from the Sapling circuit. Namada includes full IBC protocol support, a natively integrated Ethereum bridge, a modern proof-of-stake system with automatic reward compounding and cubic slashing, a stake-weighted governance signalling mechanism, and a dual proactive/retroactive public goods funding system. Users of shielded transfers are rewarded for their contributions to the privacy set in the form of native protocol tokens. Namada does not implement the full Anoma protocol, which is still in development. Rather, it is focused on providing, supporting, and promoting privacy, now – and the design of Namada makes choices to that end. Namada is not a fractal instance focused on a specific locality (such as Seattle), but rather one focused on a shared interest and value: privacy, and the freedom for which it is required. BCN: With the growing number of blockchains, it has become more important than ever before to enable communication and transfer of assets between different chains. What are some of the challenges in ensuring composable user privacy across different blockchain ecosystems? CG: Privacy-preserving protocols are gaining traction, but this doesn’t necessarily lead to better privacy for users, as anonymity sets are currently fragmented across an ecosystem of separate tokens, applications, and platforms. By and large, these privacy-preserving protocols have been designed separately, without consideration as to how they would work with each other. Namada aims to unify these anonymity sets by providing a unified privacy set in which all assets can partake and all chains can connect to. Privacy loves company – the more assets, the more chains, and the more users, the more privacy for everyone. BCN: Can you tell us how Namada works to facilitate privacy-first interchain transactions and whether it’s capable of making privacy accessible at scale? What chains does it support? CG: Namada implements something we call the multi-asset shielded pool (MASP). The MASP is an upgrade to the Sapling circuit (originally developed by the Electric Coin Company) which adds multi-asset functionality so that different assets can be used in the same shielded pool and an observer cannot distinguish between them. The MASP treats all assets equally, so it can scale to any number of them users might like. At launch, Namada will connect to the Cosmos ecosystem through IBC and to the Ethereum ecosystem through an integrated Ethereum bridge, so any chains or assets accessible in either of those ecosystems can be sent to Namada, held privately in order to earn shielded set rewards, and transferred privately with the MASP. BCN: Namada is reported to have recently proposed a shielded airdrop of its NAM token to holders of Zcash and Osmosis, both of which happen to be privacy-focused chains. What’s the logic behind forging closer ties with competitors? CG: I consider Zcash, Osmosis, and other privacy-preserving chains more generally to be allies, not competitors. Either privacy-preserving systems survive or George Orwell will no longer be considered a fiction writer. We need to work together, and there will be plenty of pie to share around in the end. We’ve chosen to propose alliances with Zcash and Osmosis in particular because those two projects have contributed to essential public goods without which Namada couldn’t exist and because we have high hopes for continued collaborations in the future. More broadly, we hope to do our part to contribute to a positive-sum blockchain ecosystem, forged in a recognition of the preeminent importance of public goods and backed by economic relations of mutual credit between chains and assets. What are your thoughts about this interview? Let us know what you think in the comments section below. View the full article

The International Monetary Fund (IMF) is working to develop a platform that would serve as an interoperability layer for central bank digital currencies (CBDCs), allowing for settlements among different countries. According to statements from IMF Managing Director Kristalina Georgieva, this would avoid the underutilization of CBDCs for domestic purposes. IMF Working on CBDC Cross-Border Integration Platform The International Monetary Fund (IMF) is building a solution to integrate and support cross-border payments among central bank digital currencies (CBDC). According to IMF Managing Director Kristalina Georgieva, this would prevent underutilization of these currencies, expanding their usage to international markets. At a conference in Morocco, Georgieva reinforced the need for interoperability. She stated: CBDCs should not be fragmented national propositions. To have more efficient and fairer transactions we need systems that connect countries: we need interoperability. Georgieva also remarked on the need for CBDC regulation on a global scale to support this interoperability use case. The failure to reach agreements on this subject would lead to the growth of cryptocurrencies as a substitute for the void created, Georgieva explained. The official added that 114 central banks were involved in CBDC exploration projects, with ten already arriving at the finish line. Some CBDC projects are already live. China is already using its CBDC, the e-yuan, to pay salaries in some regions of the country, while the Venezuelan petro, a state-issued digital currency, is facing a liquidation amidst a cryptocurrency corruption probe, according to recent reports. Also, the European Central Bank (ECB) is in its final phases of deciding on issuing a digital euro that would be focused on providing payment rails to Europeans. A Case for CBDCs Georgieva stressed the benefits that the issuance of CBDCs might bring to countries adopting them, stating that if implemented currently, they might “help to increase inclusion” and “strengthen the resilience and efficiency of payment systems.” The executive also commented that CBDCs could “make cross-border payments and remittances cheaper,” as the cost of transferring money across borders stands at 6.3%, an industry that brings service providers $44 billion annually. Georgieva, who has advocated for anti-crypto regulation in the past, established differences between cryptocurrency assets and CBDCs, clarifying that, for her, the latter should be backed by assets. Furthermore, she stated that cryptocurrencies backed by assets could be considered investment opportunities, calling unbacked cryptocurrencies “speculative investments.” What do you think about the IMF’s work on a CBDC interoperability platform? Tell us in the comment section below. View the full article

The founder of a German-based political and economic think tank has cautioned that attempts to de-risk from China “will only lead to the self-destruction of the economies of the West.” She stressed that de-risking policies would hurt their originators more than they could hurt China. The Risks of De-Risking From China The founder of the Schiller Institute, Helga Zepp-LaRouche, expressed concerns about the adverse consequences of Western countries’ efforts to de-risk from China in an interview with Global Times reporter Li Xuanmin, published on Monday. The Schiller Institute is a German-based political and economic think tank with stated members in 50 countries. “The politicians pushing for ‘de-risking’ don’t seem to understand what every competent industrialist knows, that it is not possible to instantly replace China’s trade and investment partnership, since China offers very well-built infrastructure and a qualified labor force, which still has to take years to be built up in other countries,” she explained, cautioning: So the ‘de-risking’ policy is prone to hurt its originators more than it could hurt China, as we have seen already with the blowback coming from the sanctioning policy. The Schiller Institute founder was further asked whether the G7 countries could push their de-risking strategy with China. “The G7 countries will only do so at the expense of their own economies,” she replied, adding: “We have this year the 10th anniversary of the Belt and Road Initiative (BRI), and there are presently 151 countries and 30 major international organizations who are cooperating with China under the initiative, which has become one of the major locomotives of the world economy.” She noted: “Extremely belatedly the G7 discovered this at their recent summit in Hiroshima, Japan, and they said: ‘Oh, we should talk more to the so-called ‘swing’ states, like Brazil, Indonesia, and India.'” However, Zepp-LaRouche pointed out that the G7 “obviously overlooked that some of them are already members of the BRICS, and the other has reportedly also applied for membership in the BRICS.” The BRICS nations comprise Brazil, Russia, India, China, and South Africa. More than 19 countries have either applied to join the economic bloc or have expressed interest in joining. Zepp-LaRouche concluded: The attempt to ‘de-risk’ from China will only lead to the self-destruction of the economies of the West, and threatens to lead to the absolute sidelining of the European continent in terms of world history. Last week, Treasury Secretary Janet Yellen told the House Financial Services Committee that ceasing trade with China would be “a big mistake” for the U.S. However, she emphasized: “De-risk? Yes. Decouple? Absolutely not.” Zepp-LaRouche argued that “the ‘decoupling’ and the ‘de-risking’ push are just the same,” adding: “Behind it is the geopolitical intention to contain China’s economic rise by cutting it off from certain advanced technologies.” The think tank founder stressed: “But that train has left the station already, given the fact that China is leading the world in terms of numbers of patents, as well as key areas of science and technology, such as 5G technology.” Do you agree with Zepp-LaRouche? Let us know in the comments section below. View the full article

Billionaire investor Mark Cuban, a Shark Tank star and owner of the NBA team Dallas Mavericks, has provided some suggestions on how the U.S. Securities and Exchange Commission (SEC) should regulate the crypto industry, including how the regulator should handle multi-function crypto tokens. His recommendations followed a series of enforcement actions by the securities watchdog, which included charging the Nasdaq-listed crypto exchange Coinbase. Mark Cuban’s Suggestions for SEC’s Crypto Regulation Shark Tank star and the owner of the NBA team Dallas Mavericks, Mark Cuban, has engaged in a lengthy discussion on Twitter about how the U.S. Securities and Exchange Commission (SEC) could regulate the crypto sector. The discussion followed a series of enforcement actions taken by the SEC against a number of prominent cryptocurrency exchanges, including and Coinbase. Citing how the securities watchdog went after the Nasdaq-listed crypto exchange Coinbase for securities law violations as an example, the billionaire described in a tweet Saturday that the current non-crypto-specific registration process offered by the SEC “doesn’t deal with how the token will be traded after the fact.” He suggested: By doing a crypto-specific registration process, the transparency for the enterprise could increase dramatically. They could eliminate anonymity. Require disclosure on how wallets are secured and maintained. What the wallet addresses are. How and where the token will be traded. Etc. Coinbase and several other crypto firms have insisted that they tried to register with the SEC but were unable to. “There is no path to ‘come in and register’ — we tried, repeatedly,” Coinbase CEO Brian Armstrong stated after the SEC filed charges against his crypto trading platform. Cuban also responded to a tweet by lawyer John E. Deaton, who described Saturday: “If you read the Hinman speech still on the SEC website, it states ‘strictly speaking, the token — or coin or whatever the digital information packet is called — all by itself is not a security, just as the orange groves in Howey were not.’ Jay Clayton wrote a letter to Ted Budd in 2019 publicly agreeing with Hinman that the investment contract does not ‘strictly inhere to the asset’ and it’s only about how the asset is packaged and offered.” However, SEC Chairman Gary Gensler has said on multiple occasions that all crypto tokens, other than bitcoin, are securities. Regulating Multi-Function Crypto Tokens The Dallas Mavericks owner tweeted on Sunday in reply to Deaton: “I think the other common element of all the assets mentioned in Howey is that they are single function. There has never been a test of the multi-function utility of a token. When an asset is multi-function, it’s impossible to determine the intent of the owner, buyer, or seller, which is why the SEC needs to offer a registration process that is specific to crypto tokens and future multi-function digital assets.” Cuban added: “Thinking more of the need for a different form of registration for multi-function tokens by the SEC, there is a legal precedent. Look at content. There are trademark, copyright, clearance permissions, music licensing for live, music licensing for on-demand or for sale, video licensing rules, public domain, and more. All content is now digital. All will remain digital.” The Shark Tank star opined: If we can have a legal framework for digital content that encompasses different media types, the SEC can do the same for token registration for different types of tokens. What do you think about Mark Cuban’s suggestions on how the SEC should regulate the crypto industry and deal with multi-function crypto tokens? Let us know in the comments section below. View the full article

The cryptocurrency exchange backed by Charles Schwab, Citadel Securities, Fidelity Digital Assets, Paradigm, Sequoia Capital, and Virtu Financial has launched and completed a new funding round. The platform offers the trading of four cryptocurrencies. EDX Crypto Exchange Launches EDX Markets announced Tuesday “the successful launch of its digital asset market and the completion of an investment round with new equity partners.” According to the announcement and the new exchange’s website: Products traded on EDX include bitcoin (BTC), ethereum (ETH), litecoin (LTC), and bitcoin cash (BCH). EDX offers “a unique, non-custodial model designed to mitigate conflicts of interest,” the announcement adds. In addition, the platform has “introduced a retail-only quote to the crypto markets, allowing participants the benefit of better pricing for retail-originated orders” and plans to launch EDX Clearing later this year “to settle trades matched on EDX Markets.” The company also recently closed a funding round with the participation of new strategic investors, including Miami International Holdings, DV Crypto, GTS, GSR Markets Ltd., and HRT Technology. The firm’s founding investors include Charles Schwab, Citadel Securities, Fidelity Digital Assets, Paradigm, Sequoia Capital, and Virtu Financial. Bitcoin.com News first reported Schwab, Citadel, and Fidelity planning to launch a cryptocurrency trading platform in June last year. EDX Markets launched at a time when the U.S. Securities and Exchange Commission (SEC) is cracking down on unregistered cryptocurrency trading platforms and securities tokens. The securities regulator has charged the Nasdaq-listed crypto exchange Coinbase with several securities law violations. SEC Chairman Gary Gensler has also stated that all crypto tokens, other than bitcoin (BTC), are securities. Supporters of EDX Markets are not the only ones remaining bullish about the U.S. crypto industry despite regulatory uncertainty. Blackrock, the world’s largest asset manager, filed to launch a bitcoin trust with the SEC last week. This move is widely regarded as an application for a bitcoin exchange-traded fund (ETF), which the SEC has so far rejected all applications for. What do you think about financial heavyweights launching a cryptocurrency exchange? Let us know in the comments section below. View the full article

Britain’s financial regulator has approved a request by Binance to cancel its regulatory permissions in the United Kingdom. The move comes as the world’s leading cryptocurrency exchange takes steps to focus on fewer European markets amid increased scrutiny from regulators and ahead of Europe’s new crypto rules. Binance No Longer Authorized to Provide Regulated Activities and Products in the U.K., FCA Says Binance’s subsidiary in Britain, Binance Markets Limited (BML), has recently filed a cancellation request for its regulatory authorization. On June 7, the U.K.’s Financial Conduct Authority (FCA) announced the request was completed on May 30, 2023. According the FCA’s Financial Services Register, the entity, which was previously authorized by the regulator, “can no longer provide regulated activities and products.” In an update on its interactions with the company, the Authority stated: Following the completion of the cancellation of permissions the firm is no longer authorized by the FCA. No other entity in the Binance Group, except Binance Markets Limited, holds any form of authorization or registration to conduct regulated business in the United Kingdom, according to the exchange’s listing on the FCA website. Even before the cancellation, BML was not operating in the U.K. as on June 25, 2021 the FCA imposed certain requirements which prohibited the company from carrying out any regulated activities without its prior written consent. At the same time, “the Binance Group appear to be offering U.K. customers a range of products and services via a website, Binance.com,” the Authority remarked in its supervisory notice two years ago. It has since warned Brits against trading on the exchange. Binance’s U.K. Move Coincides With Exit From the Netherlands, Cyprus The news of the cancelled license comes when the world’s largest crypto exchange finds itself under increased scrutiny by regulatory bodies in various jurisdictions. In the U.S., the Securities and Exchange Commission (SEC) sued the entities operating its American subsidiary for violating securities laws. Binance US recently avoided the freezing of its assets thanks to a deal with the SEC. In Europe, Binance has been taking steps to reduce its footprint in terms of maintaining a number of subsidiaries seeking regulated status in multiple jurisdictions, ahead of the implementation of the European Union’s newly adopted Markets in Crypto Assets (MiCA) legislation. The exchange said it intends to focus on some regulated units in EU countries such those in France, Italy, and Spain. Last week, announced it’s exiting the Dutch market as it has been unable to register as a crypto service provider. It had been fined by the central bank of the Netherlands for operating without registration. Earlier, Binance’s entity in Cyprus applied to be removed from the country’s register of digital asset service providers. Do you think Binance plans to exit other European jurisdictions? Share your thoughts on the subject in the comments section below. View the full article

In the most recent data, non-fungible token (NFT) sales for this week have experienced a rise of 11.60% compared to the previous week. Moreover, the number of individual buyers purchasing NFTs in the past seven days has jumped 95.20%, reaching a total of 664,096 buyers. This Week’s NFT Sales See a Modest Rise of More Than 11%, Bitcoin-NFTs Still Hold Second Position According to data from cryptoslam.io on June 20, 2023, the past week has seen a modest increase in NFT sales, with a recorded total of just over $146 million. This marks an approximate rise of 11.60% compared to the previous seven days. Despite a slight dip of 1.99% in the number of NFT transactions, which amounted to 2,271,293 last week, there has been a surge of over 95% in the number of NFT buyers. Statistics show approximately 664,096 buyers have been recorded in the past seven days. Out of the total NFT sales amounting to $146 million, a significant portion of $85.43 million was attributed to ETH-based NFTs, while $21.38 million came from BTC-centric NFTs. It is worth noting that Bitcoin-based NFTs have consistently maintained their second position among blockchains in terms of sales for several consecutive weeks. Notably, ETH-based NFT sales experienced a spike of 18.11% within a week, whereas BTC-based NFT sales saw a jump of 10.84% compared to the previous week. Rounding out the top five blockchains for weekly NFT sales, we have Solana, BNB Chain, and Mythos following behind ETH and BTC. This week, the leading position for NFT sales belongs to the collection called Uncategorized ordinals, which amassed $12.18 million in sales. Following closely behind is the Grails II collection sold by the luxury auction house Sotheby’s, which generated approximately $7.67 million in sales. Completing the roster of the top five collections include the Bored Ape Yacht Club (BAYC), Dmarket, and Gods Unchained NFT card sales. Mutant Ape Yacht Club (MAYC) and Azuki are right on the heels of the top five contenders. Additionally, among the five most expensive NFT sales this week, two noteworthy NFTs from Sotheby’s Grails II collection secured spots on the list, with the top sale reaching $5.4 million. Additionally, two NFTs originated from the Uncategorized ordinals collection, while one NFT emerged from the BNB chain. What are your thoughts on the 11% rise in NFT sales and the surge in buyers this past week? Share your thoughts and opinions about this subject in the comments section below. View the full article

Romanian prosecutors have officially submitted documents to the court, seeking the seizure of 21 bitcoin valued at $563,000 from Andrew Tate, a controversial social media influencer. The British-American ex-kickboxer, who gained a significant online presence, was charged with grave offenses of human trafficking and rape on December 29, 2022. Despite the charges, Tate vehemently denies all accusations leveled against him and his associates. Luxury Cars, Watches, and Bitcoin: Prosecutors Target Andrew Tate’s Assets in Ongoing Legal Battle According to a press release issued by Romania’s Directorate for the Investigation of Organized Crime and Terrorism on June 20, 2023, Andrew Tate, along with three co-defendants, has officially been indicted. Tate, a polarizing personality recognized as a former world kickboxing champion, garnered attention as a prominent social media influencer on platforms like Twitter and Tiktok. His involvement in a high-profile case emerged in December 2022 when he was apprehended as a suspect in a complex legal matter involving human trafficking and rape. The charges against him also encompassed the accusation of leading an organized crime group. On April 3, 2023, Andrew Tate and his cohorts were released from incarceration and placed under house arrest. Presently, Romanian prosecutors have formally levied charges against Tate, accusing him of “committing the crimes of constituting an organized criminal group, [and] human trafficking.” According to the allegations, Tate and his associates are purported to have deceitfully lured women into the sex trade, operating not only within Romania but also extending their activities to other nations. The prosecutors are seeking the court’s authorization to confiscate Andrew Tate’s stash of bitcoin (BTC), estimated to be approximately 21.080 BTC, valued at just over $563,000 based on current exchange rates. In addition to the crypto assets, law enforcement aims to seize a considerable number of luxury automobiles and watches, four of Tate’s operating companies, and multiple caches of cash consisting of U.S. dollars, European euros, and British pounds. Furthermore, the prosecutors requested that Tate and his enterprise contribute upfront to cover some of the legal expenses. As part of the ongoing legal proceedings within the Bucharest court, prosecutors strongly advised that Tate and his associates remain under house arrest. What do you think about the case against Andrew Tate? Share your thoughts and opinions about this subject 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, reports indicate that the Venezuelan government will liquidate the petro, Ripple partners with the Central Bank of Colombia, and Brazil issues a cryptocurrency legal decree. Venezuelan Government to Liquidate the Petro The Venezuelan petro, one of the first cryptocurrencies issued by a nation and backed by natural resources such as oil and gold, is allegedly set to be liquidated. According to reports from Bloomberg Linea, a Latam-focused news outlet, three people linked with Sunacrip, the Venezuelan cryptocurrency watchdog, stated the decision has already been made. The Petro blockchain will be stopped after the government reimburses big petro holders, including department stores that received petro payments. The liquidation of the Venezuelan petro comes three months after Venezuelan President Nicolas Maduro named a new restructuring board for Sunacrip due to its alleged involvement in a $20 billion “Crypto-PDVSA” corruption scheme. The former head of the institution, Joselit Ramirez, was also arrested in relation to this scheme. The petro faced operational problems in May, with its blockchain stopping a couple of times, and reports of hundreds of accounts being blocked after these incidents. Ripple Partners With Central Bank of Colombia to Research Blockchain Tech Ripple, a cryptocurrency-focused company, has partnered with the Central Bank of Colombia to research and implement its technology in blockchain applications. The partnership will be part of the third phase of blockchain experimentation led by the Colombian Ministry of Information and Communications Technologies. The Central Bank of Colombia will develop pilot applications to evaluate the efficiency of blockchain-based protocols in the payment tech and data management fields. A press release explained the Ripple central bank digital currency (CBDC) platform will be tested in a controlled environment without compromising public resources. In July, the Colombian government announced the development of a Ripple-based system to issue land registry certificates. Brazil Issues Cryptocurrency Legal Decree The government of Brazil has issued a new cryptocurrency decree that defines the rules left out of the previously approved cryptocurrency law. The document, signed by Brazilian President Luiz Inacio Lula Da Silva, Economy Minister Fernando Haddad, and Central Bank President Roberto Campos Neto, designates the Central Bank of Brazil as the regulator of the cryptocurrency industry in the market. The central bank will authorize exchanges to operate in the country and will also have supervisory power over other operations of the crypto market. The securities regulator (CVM) will only have authority over digital assets classified as securities. 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

Storing your digital assets on a cryptocurrency hardware wallet such as Trezor is considered to be one of the safest ways to secure your funds. If you have lost your PIN number to access it however, you might be afraid your money is completely gone as there is no-one else that can remember it for you. This is not too rare, as the wallet recovery experts from KeychainX estimate there are several thousands Trezor wallets with a lost PIN. The company itself is currently recovering over $10M locked in Trezor wallets. The experts also explain how you can recover your lost PIN. How to Hack a Trezor Hardware Wallet The first step to recover your lost Trezor PIN is to understand all the risks involved, as it requires using side channel attacks, and messing with the physical hardware. The process can result in destroying the wallet or losing access to the assets forever so don’t do anything until you are sure you know what you are doing. You can only try 16 times to enter a PIN to a Trezor and get it wrong before it deletes the stored keys. And you can consider yourself lucky because Ledger only gives you 3 attempts, so that’s even riskier, and the process for hacking a Ledger is so costly doing it for wallets with under $2 million is not even worth it. If you still want to try to hack your Trezor yourself, the best place to start is reading this article from KeychainX on the matter. It showcases the whole process, including images of opening up the device and connecting it to the hardware needed to crack the PIN. You will also learn that much of the tricks out there for doing this were only true for older Trezor bootloaders (1.7 or below firmware) but even with newer Trezor bootloaders (+1.8.1 firmware) it is still possible to crack the seed and PIN but much harder. So what are the actual steps to hack the hardware wallet? First you need to break the case of the Trezor and remove a few capacitors to increase the strength of the signal. Then, attach a few wires to your Trezor and run a side channel attack by glitching your Trezor using overvolting. Once the Trezor is glitched, connect it to an FPGA board and initiate an upgrade process on your bootloader. While doing this, Trezor will backup your seed info to memory. Then, dump the memory to a file and decrypt the file to read out your pin and/or seed. Also keep in mind the process can take you anywhere from an hour to a year. All this should make it clear why it is better to let the experts handle it if you want to minimize the risk to your assets. KeychainX – A Name You Can Trust Finding anyone you can trust to handle your crypto wallet and potentially gain access to all the assets stored in it is a very daunting task. If you also need to trust them to know how to crack the delicate hardware in a process that is very risky and can destroy the unit forever such as here, this becomes almost impossible. Luckily, KeychainX has operating since 2017 and it has an almost perfect 4.9 ‘Excellent’ score on Trustpilot. Over the years team has been successful recovering funds from bitcoin wallets, Metamask, Blockchain, hardware wallets, Dogecoin, Ethereum presale wallets, Multibit and more. As one of the leading experts in the field of crypto wallet recovery, KeychainX CEO Robert Rhodin, often appears publicly at industry events, where you can see him in person. The company also has patents registered in reputable jurisdictions such as New Zealand, Australia, U.S., EU, Brazil, Japan and Russia, with 15 more territories pending. These patents for a keyless crypto wallet using biometrics and geometrics as well as a decentralized social recovery method (see video below for details). To learn more about the company visit KeychainX.io or just send an email to KeychainX@protonmail.com directly to talk about crypto wallet recovery. This is a sponsored post. Learn how to reach our audience here. Read disclaimer below. View the full article