Из жизни альткоинов

The US Securities and Exchange Commission (SEC) has taken legal action against Geosyn Mining, LLC, a Texas-based crypto mining and hosting company, and its co-founders, Caleb Ward and Jeremy McNutt, over allegations of engaging in unregistered and fraudulent activities.

Geosyn’s Alleged Fraud Scheme

According to the SEC, Geosyn, Ward, the company’s CEO, and McNutt, the firm’s then-COO, raised approximately $5.6 million from more than 60 investors between November 2021 and December 2022. 

According to the complaint, Geosyn told investors it would purchase, operate, and distribute crypto assets mined by mining machines, such as Bitcoin (BTC), for an undisclosed fee. 

However, the SEC alleges that the defendants made false claims, failed to disclose material information to investors, and failed to provide the services promised in their offering documents.

The complaint also notes that Geosyn falsely claimed to have favorable contracts with electricity providers, supposedly ensuring the mining machines’ profitable operation. 

Furthermore, the crypto mining company allegedly failed to disclose to new investors that they had not purchased mining machines for some previous investors, and they did not disclose that Geosyn was not fulfilling its stated services, including personalized mining strategies and 24/7 onsite monitoring. 

The SEC also alleges that Ward and McNutt misappropriated approximately $1.2 million for personal use and distributed around $354,500 to investors as purported profit distributions despite Geosyn’s “lack of profitability.”

The SEC has filed the complaint in the US District Court for the Northern District of Texas, charging the defendants with violations of antifraud and securities-registration provisions of federal securities laws. 

Ultimately, the SEC seeks permanent injunctions against all defendants, officer-and-director bars, disgorgement with prejudgment interest, and civil penalties, specifically against Ward and McNutt.

Crypto Users Warned By The FBI

The US Federal Bureau of Investigation (FBI) has issued a warning to American citizens about using unregistered cryptocurrency money-transmitting services. 

In a statement released by the FBI’s Internet Crime Complaint Center (IC3) on Thursday, individuals were cautioned against engaging with services that do not comply with federal law and fail to adhere to anti-money laundering (AML) regulations.

The FBI emphasized the importance of using cryptocurrency money-transmitting services registered as Money Services Businesses (MSBs) and following the necessary protocols to combat alleged illicit financial activities conducted by these companies. 

According to the Bureau’s statement, individuals who use unlicensed crypto money transfer services may experience “disruptions” to their finances during law enforcement actions, particularly if their crypto holdings are commingled with funds acquired through illegal means. The statement concluded with the following warning:

Cryptocurrency money transmitting services that purposely break the law or knowingly facilitate illegal transactions will be investigated by law enforcement. Using a service that does not comply with its legal obligations may put you at risk of losing access to funds after law enforcement operations target those businesses.

Featured image from Shutterstock, chart from TradingView.com 

В Государственную думу России внесена новая версия законопроекта о контроле за оборотом криптоактивов. Авторы предлагают с 1 сентября 2024 года полностью запретить «организацию обращения цифровой валюты», в первую очередь передачу от одного владельца другому.

The direction of where the Bitcoin price could be headed next has been a bone of contention among industry players. Numerous forecasts have been made for the pioneer cryptocurrency, but one crypto analyst maintains that Bitcoin continues to be bullish even through its current choppy movements.

Crypto Analyst Predicts Further Upside For Bitcoin

Crypto analyst Tony “The Bull” Severino took to X (formerly) Twitter to share their analysis for where they believe the price is headed next. The analyst who has been known to be bullish on Bitcoin since the FTX crash rocked the market has maintained his bullishness, believing that Bitcoin can move up from here.

In the chart shared with the post, the analyst outlines different points of the Elliot Wave Theory that could be playing out in the market right now. He explains that the current price movement may be playing out to a valid wave pattern. But nonetheless, shows what could happen if this does happen to be the case.

Using this wave theory, it would seem that the Bitcoin price is still quite bearish in the short term. With the third wave already completed, it puts the market in a position to play out the fourth wave. Usually, this fourth wave results in a price crash, and in this case, such a crash could send the price below $40,000.

I don’t think this is a valid #Bitcoin Elliott Wave count/pattern but this would really shake up bulls, yet still ultimately be very bullish. This would even chop me up pic.twitter.com/QIErb6wP2m

— Tony “The Bull” Severino, CMT (@tonythebullBTC) April 25, 2024

The crypto analyst warns that such a crash would be brutal, saying, “This would really shake up bulls, yet still ultimately be very bullish.” From the current price level, a crash below $40,000 would mean that the Bitcoin price would lose around 40% of its value.

BTC Price Still Set To Outperform

Despite the bearish expectations for the short term, Tony The Bull maintains his bullish outlook for the long term. Following the fourth wave in Elliot’s Wave Theory is the 5th and final wave, which is arguably the most bullish of all the waves

Related Reading: Robinhood Lists Shiba Inu For New York Users, Moves 3 Trillion SHIB

If the Bitcoin price plays out the way the analyst expects, then the bounce back could put the digital asset to six digits. However, it doesn’t stop there, as the analyst expects the price to cross $300,000, reaching a peak of $357,183, as outlined in the chart.

As for the timeline for this, the analyst shows an end time somewhere between 2025 and 2026. This gives it an around two-year window to play out, if it does turn out to be a “valid Elliot Wave count/pattern.”

Yao Qian, a prominent ‘pro-blockchain official’ in China, is under investigation by Chinese authorities for undisclosed “violations of law.”

The Background Of Blockchain Advocacy And The Current Crackdown

Qian, known for his pivotal role in developing China’s Central Bank Digital Currency (CBDC), has been a leading voice in the country’s blockchain initiative.

Qian’s efforts were instrumental in the conceptualization and rollout of the digital yuan, positioning China at the forefront of digital currency technology on a global stage.

The investigation, led by the Discipline Inspection and Supervision Team of the Central Commission for Discipline Inspection and the National Supervision Commission at the China Securities Regulatory Commission, has stirred concerns within the blockchain community.

Yao Qian’s contributions to the Chinese financial technology landscape have been noteworthy, serving in various high-profile government roles, including Director of the Science and Technology Supervision Department and the Information Center of the China Securities Regulatory Commission.

Yao Qian has also been a ‘staunch’ advocate for blockchain and digital currencies, arguing for issuing a state-owned digital currency as early as 2017 to enhance the market position of China’s local currency.

Wu Blockchain said, “He was the creator of China’s CBDC and served as the director of the central bank’s digital currency research institute.” However, Qian is now scrutinized by the same government, which is pushing for technological advancements.

The specifics of the allegations against Qian remain “vague,” with authorities citing “serious violations of discipline and law” without providing further details. The report particularly noted:

Yao Qian, Director of the Science and Technology Supervision Department and Director of the Information Center of the China Securities Regulatory Commission, is suspected of serious violations of discipline and law and is currently under investigation by the Central Committee.

Broader Implications For Blockchain And Crypto In China

Despite the ongoing investigation into one of its key proponents, the blockchain sector in China continues to see interest and development, particularly in areas not directly related to cryptocurrencies.

For instance, at a recent annual gathering of China’s political and industry leaders in Beijing, proposals were made to accelerate the development of blockchain technology to enhance government services, supply chains, and trade.

These developments indicate that while the country may be skeptical about cryptocurrencies, it recognizes the broader applications of blockchain technology.

Furthermore, China’s financial giants, like Harvest Fund and Southern Fund, are venturing into the international cryptocurrency space with applications to launch a new spot Bitcoin ETF through their Hong Kong subsidiaries.

This move is indicative of a nuanced approach to blockchain and digital assets, suggesting a potential softening of stance or at least an acknowledgment of the financial opportunities these technologies present on a global scale.

Featured image from Unsplash, Chart from TradingView

Asset management firm Pantera Capital has emerged as one of the successful bidders in an auction of discounted Solana (SOL) tokens conducted by the liquidators overseeing the bankruptcy of the former FTX cryptocurrency exchange.

The sale, which included approximately 2,000 SOL tokens, signifies Pantera Capital’s continued interest in expanding its Solana portfolio.

FTX Sells Additional Locked Solana Tokens In Private Auction

The auction, whose details have not been publicly disclosed, was confirmed to Bloomberg by a source familiar with the matter who requested anonymity. Neither Pantera Capital nor representatives of the FTX estate provided have commented on the recent sale. 

This recent acquisition follows a deal earlier this month in which the FTX estate sold a substantial portion of its $2.6 billion Solana token holdings at a discounted rate. 

According to knowledgeable individuals, Pantera Capital and Galaxy Digital were among the successful participants in the auction transaction.

The 41 million SOL tokens sold by the FTX estate are currently locked under a pre-agreed vesting period, making them unavailable for immediate trading in the market. These tokens will gradually become available for sale over four years.

Sources familiar with the sale indicate that the tokens were sold at a higher price than the previous auction, which fetched approximately $60 per token. 

Pantera Capital Aims To Launch Pantera Fund V 

According to Bloomberg, Pantera Capital is actively pursuing the launch of a new fund to raise more than $1 billion. The fund, dubbed “Pantera Fund V,” aims to provide investors with increased investment options across the spectrum of blockchain assets, including startup equity, early-stage tokens, and liquid tokens.

Should the fundraising efforts prove successful, the Pantera Fund V would be the largest fund raised since the tumultuous period marked by bankruptcies in the blockchain sector in 2022. 

The new fund is also designed with a minimum investment threshold of $1 million for qualified investors. The first close is slated for April 1, 2025. As Bloomberg notes, limited partners are expected to contribute at least $25 million. 

Insiders familiar with the matter, who preferred to remain anonymous, have indicated that the Pantera Fund V is anticipated to reach a similar size as its predecessor, which amassed approximately $1.25 billion in capital two years ago. 

Solana’s native token, SOL, has shown minimal fluctuations compared to Thursday’s trading and is currently valued at $144 per token at the time of writing. SOL has witnessed a significant surge of over 500% year-to-date, contributing to its market capitalization of $64 billion. 

According to CoinGecko data, this performance has propelled Solana to fifth place among the top 10 largest cryptocurrencies in the market.

Featured image from Shutterstock, chart from TradingView.com

Рост стоимости биткоина и эфира продолжался семь месяцев, начиная с сентября 2023 года. Похоже, в апреле эта серия закончится. Причины: экономическая ситуация на главном рынке, в США.

Crypto analyst Crypto Noan has revealed a profit-taking strategy that crypto investors can adopt as they invest in Shiba Inu (SHIB), the second-largest meme coin by market cap. This strategy would be most beneficial to those who need guidance in securing profits as the meme coin continues to make significant price gains. 

Price Levels To Secure Profits From Shiba Inu

In a chart shared on his X (formerly Twitter) platform, Crypto Noan highlighted four price targets from which Shiba Inu investors should look to take profits. The first take profit zone he highlighted was at $0.000028181. The second take profit zone was at $0.000032816; this serves as a moderate target for those who may not be satisfied with the returns at the initial take profit target. 

Related Reading: Investment Giant Morgan Stanley Considers Providing Spot Bitcoin ETF Options For Clients

Crypto Noan further highlighted $0.000039035 and $0.000043609 as the third and fourth take-profit zones, respectively. These price levels are no doubt reserved for those with crypto investors with great patience and a large risk appetite, considering that Shiba Inu will have to make a price gain of over 51% and 69% to attain those targets. 

Interestingly, Shiba Inu already hit the first and second take-profit targets at some point this year, considering that the crypto token rose to as high as $0.00003592 on March 5, according to data from CoinMarketCap. This also provides some relief to those looking to secure profits with this strategy, as there is a high probability that the meme coin could rise to such levels again once it continues its uptrend. 

Meanwhile, although Shiba Inu hasn’t come close to the third and fourth take-profit targets, crypto investors can still expect it to happen at some point based on other crypto analysts’ price predictions. One of these analysts is Xanrox, who predicted that Shiba Inu will see a 300% price gain before the year ends. Such a price move will ultimately take Shiba Inu even above those take-profit zones. 

Proper Risk Management For Shiba Inu Investors

To ensure proper risk management, Crypto Noan provided a price level that Shiba Inu investors should consider to exit their positions in case of significant price declines. The analyst highlighted $0.000022449 as the level at which investors should offload their Shiba Inu holdings and put the meme coin on their watch list in case its price sees a correction. 

The crypto analyst noted on the chart that the $0.000027036 price level is a good buy zone for those yet to invest in the meme coin. For anyone looking for a lower entry point, Xanrox previously remarked that 0.00002249 looks like a great level to invest in the crypto token.

At the time of writing, Shiba Inu is trading at around $0.0000257, up over 4% in the last 24 hours according to data from CoinMarketCap. 

In the latest updates on the court case between Ripple and the United States Securities and Exchange Commission (SEC), the Magistrate Judge Sarah Netburn, has ordered strict deadlines for the regulatory agency to respond to the crypto firm’s motion. 

Judge Issues New Scheduling Order

On Thursday, April 25, the magistrate Judge Netburn issued a new scheduling order regarding the years-long legal battle between Ripple and the US SEC. 

Former federal prosecutor and defense lawyer, James K. Filan shared details of the scheduling order in an X (formerly Twitter) post. The order states that the SEC has been granted a deadline of Monday, April 29, 2024, to file a rebuttal to Ripple’s Motion to Strike. Following this, Ripple is mandated to file a response within three business days. 

This order is a critical step in Ripple’s case with the SEC, as it will potentially address the SEC’s recent submission of its motion to strengthen the remedies and entry of final judgment. Previously, on April 22, the company filed a motion to strike the SEC’s newly submitted expert materials, arguing that the regulator had introduced the filings beyond the allocated time frame, thereby violating discovery rules.

The digital asset payment company had rejected the $2 billion penalty levied by the regulator earlier in April, contending that the SEC’s demands were excessive and petitioning the court to impose a civil penalty not exceeding $10 million. Ripple has remained defiant in its defense that XRP was not intended as an investment vehicle, as such, should not be classified as a security. 

More Updates On The Ripple And SEC Case

The Ripple and SEC case continues to be a major legal battle that could have significant implications within the broader cryptocurrency space and the financial industry. The court case keeps evolving, with new updates and changes occurring regularly. 

Related Reading: Shiba Inu Burn Rate Sees Massive 2,076% Spike In 24 Hours

Recently, Magistrate Judge Sarah was nominated as the District Judge in the Southern District of New York. As a result, she is preceding the Ripple and SEC court case, however has not issued a final ruling on Ripple’s penalty despite the SEC’s exorbitant demands. 

Despite having a pro-crypto stance, Magistrate Judge Netburn is determined to give a fair ruling, considering the cases of both parties and deciding on the penalties or conclusion of the case. Overall, the broader crypto industry is still watching as the legal battle unfolds, with the majority of the XRP community supporting Ripple’s stance and criticizing the SEC’s enforcement actions towards the cryptocurrency space.

Institutional investors in Canada are showing a strong appetite for cryptocurrencies, with a new survey revealing a significant surge in adoption rates. The report, conducted by KPMG in Canada and the Canadian Association of Alternative Assets and Strategies (CAASA), paints a picture of a booming crypto market fueled by investor confidence and a supportive regulatory environment.

Crypto Goes Mainstream In Canada

In 2023, a staggering 39% of surveyed institutional investors reported exposure to crypto assets, a sharp increase from 31% just two years prior. This newfound interest translates into action, with a significant portion of these investors allocating a substantial share of their portfolios to crypto.

The survey found that one-third of participating institutions had placed at least 10% of their assets in crypto, demonstrating a growing belief in the long-term potential of this asset class.

This trend is being met with a corresponding expansion in crypto-related services offered by financial institutions. The survey revealed that half of the participating financial service organizations now offer at least one type of crypto service, up from 41% in 2021.

These services encompass a wide range, including trading platforms, custody solutions for safekeeping crypto assets, and quantitative trading strategies specifically designed for the crypto market.

Crypto Diversification: Beyond Borders

The survey also highlights a growing trend of diversification within the crypto investment landscape. Investors are no longer putting all their eggs in the Bitcoin basket. While direct ownership of crypto assets remains popular, with 75% of crypto-exposed institutions holding them directly, a growing number are seeking exposure through alternative avenues.

These include regulated investment products like exchange-traded funds (ETFs) and derivatives, which allow investors to participate in the market without directly owning the underlying crypto assets. Additionally, some institutions are gaining exposure through venture capital or hedge funds specializing in the digital asset space.

Experts believe several factors are driving this surge in institutional crypto adoption in Canada. The crypto market rally of 2023, potentially fueled by economic factors like inflation, likely made crypto assets more attractive as alternative investment options and potential stores of value.

Furthermore, Canada’s progressive stance on crypto regulation is seen as a major confidence booster for institutional investors. The recent regulatory approvals for Bitcoin and Ethereum ETFs, alongside other supportive measures, have helped to legitimize the crypto market and mitigate some of the risk concerns previously held by institutional investors.

The Future Of Crypto In Canada

Looking ahead, industry experts predict continued growth in crypto adoption by Canadian institutions. However, they emphasize the importance of education and careful planning for investors entering this new and volatile market.

Canada’s crypto market appears poised for continued growth, fueled by a combination of strong investor interest, expanding service offerings, and a supportive regulatory environment.

Featured image from Pixabay, chart from TradingView

Paul Grewal, the Chief Legal Officer (CLO) of Coinbase, has become a major voice in the continuing discussion about the legal classification of Ethereum by the United States Securities and Exchange Commission (SEC), arguing in favor of the platform’s non-security status.

Broader Recognition Of Ethereum Security Nature

Taking to the X (formerly Twitter), the Coinbase CLO Paul Grewal expressed his belief in Ethereum as a commodity. According to Grewal, he knows ETH is a commodity, the entire crypto community knows this, and the Commodity Futures Trading Commission (CFTC). Thus, it is imperative that the SEC acknowledge its continued belief that ETH is a commodity and stop playing games.

He further expressed his appreciation toward Consensys for filing a lawsuit against the regulatory watchdog, opposing the illegal abuse of power by the agency.

On Thursday, Consensys claimed in its filing that the SEC has planned enforcement proceedings to regulate ETH as a security as part of a strategy to take control over the future of cryptocurrency.  They also claimed that the company’s MetaMask wallet software, which prompts users to self-custody Ethereum and other cryptocurrencies, was the main target of the SEC after receiving a Wells Notice letter indicating possible regulatory action.

The filing cited a prior declaration by the agency’s head, Gary Gensler, regarding the security status of ETH. In 2018, back when Gensler was a university professor, he affirmed that ETH is sufficiently decentralized, therefore it can not be considered a security.

Consensys believes by classifying ETH as a security, the agency should not be permitted to arbitrarily extend its jurisdiction to encompass governing the future of the Internet. In addition, the firm claims the SEC is being careless with its approach, thereby causing havoc for those involved in improving or managing crucial Ethereum-based systems.

The filing read:

The SEC’s unlawful seizure of authority over ETH would spell disaster for the Ethereum network, and for Consensys. Every holder of ETH, including Consensys, would fear violating the securities laws if he or she were to transfer ETH on the network. And the ability of anyone new to acquire ETH to use Ethereum’s repository of decentralized applications and services would be extinguished. This would bring the use of the Ethereum blockchain in the United States to a halt, crippling one of the internet’s greatest innovations. 

The company’s major purpose in filing a lawsuit against the SEC is to protect access for the numerous developers, organizations, and market players that have an interest in the Ethereum blockchain, as well as to guarantee that ETH stays a dynamic and reliable blockchain platform.

Blockchain Adoption Brings Revolutionalization 

Consensys aims to increase the use of blockchain platforms like Ethereum which they believe will contribute to improving and reshaping upcoming generations to govern several systems in the world. These include social, political, economic, and technological systems, making the world more transparent, inventive, and equal. However, this promising vision is now under challenge from the SEC.

It is noteworthy that Ethereum offers permission-free human ingenuity feature, not just Permission-free information. As a result, Consensys has stressed the need for transparency, urging those who are against the SEC’s regulatory measures to speak up.