Binance CEO CZ Clarifies Misleading Data on Crypto Outflows
Binance, the world's largest cryptocurrency exchange, has been under scrutiny due to lawsuits filed by the SEC.
Polygon Labs Responds to SEC's Claims of MATIC Being an Unregistered Security
Polygon Labs has responded to the SEC's allegations that MATIC is an unregistered security, stating that the token was developed and deployed outside the US and aimed at a global community.
Cardano Founder Charles Hoskinson and XRP Community Agree to Make Peace Amid SEC Lawsuits
Cardano founder Charles Hoskinson and the XRP community are reportedly making peace after a period of trolling and criticism.
Binance CEO CZ Dismisses Twitter "Insiders" Narratives on Altcoin Sell-Off
Binance CEO Changpeng "CZ" Zhao has criticized the various narratives circulating on Twitter about the reasons for the recent sell-off in altcoins, warning against trusting "insiders" who claim to know the true reasons for the market downturn.
SEC's Lawsuits and Robinhood's Decision Cause Significant Drop in ADA, SOL, and MATIC Cryptocurrency Prices
The cryptocurrency market is facing uncertainty following the Securities and Exchange Commission's (SEC) recent action against assets that may be considered securities. This has resulted in a significant drop in the value of popular cryptocurrencies such as Cardano (ADA), Solana (SOL), and Polygon (MATIC), raising concerns about their long-term sustainability. In the past 24 hours, these three cryptocurrencies have seen an average decline of 23% in their value, with a collective capital outflow of $6.04 billion in just one day. The SEC's lawsuits against crypto exchanges Binance and Coinbase for listing unregistered securities have also contributed to the drop in asset prices.
Binance Troubles Continue as TrueUSD Minting via Prime Trust is Paused
Binance, the world's largest cryptocurrency exchange, experienced a significant liquidation following the SEC's charges against the exchange and its CEO earlier this week. In addition, TrueUSD (TUSD) minting through Prime Trust has been paused, which could cause further issues for Binance as it recently started supporting TUSD stablecoin. However, TUSD minting and redemption services remain unaffected and will continue to operate normally, with reserves held in Prime Trust, First Digital, Capital Union, Manual, and BitGo. The crypto market has also crashed due to the SEC's actions, with over $350 million in crypto liquidation recorded in the last 24 hours.
SEC Allegations Against Binance and Coinbase Could Hinder DeFi's Future
The SEC's allegations against Binance and Coinbase could have negative consequences for the decentralized finance (DeFi) industry, which aims to provide financial services in a decentralized manner. The charges against centralized exchanges raise doubts about the future of DeFi, and may discourage developers and entrepreneurs from pursuing new concepts. Furthermore, the regulatory approach towards DeFi exchanges appears biased, creating an unlevel playing field compared to traditional financial institutions. To unlock the full potential of DeFi and promote financial inclusiveness and empowerment, regulatory measures should strike a balance between regulation and decentralization.
SEC Crackdown on Binance and Coinbase Leads to 444% Surge in DeFi Trading Volumes
Welcome to Finance Redefined, a newsletter that provides weekly updates on decentralized finance (DeFi) developments. The recent lawsuits by the US Securities and Exchange Commission (SEC) against centralized crypto exchanges Binance.US and Coinbase have resulted in a surge in DeFi trading volume. While the SEC's enforcement action against centralized exchanges has been widely reported, the regulator is also pursuing cases against the decentralized exchange (DEX) ecosystem. Crypto venture capital firm Paradigm has criticized the SEC's approach, arguing that DEXs are not securities exchanges. Additionally, a US district court has dismissed a lawsuit against DeFi protocol PoolTogether, which had raised $1.4 million through an NFT sale to fund its legal defense. Despite a bullish start to June, the DeFi market experienced a decline in the second week due to the SEC's enforcement action, with most of the top 100 DeFi tokens trading in the red and the total value locked falling below $50 billion. However, the median trading volume across the top three DEXs increased by 444% in the past 48 hours, as crypto investors turned to DeFi in response to the SEC's legal actions against centralized exchanges. Finally, at least $35 million worth of crypto has been stolen from Atomic Wallet users since June 2, according to an analysis by on-chain sleuth ZachXBT.
Grayscale Investments® Files Request for Withdrawal of Voluntary Registration Statement on Form 10 for Grayscale Filecoin Trust
Grayscale Investments has filed a request with the US Securities and Exchange Commission (SEC) to withdraw its registration statement on Form 10 for Grayscale Filecoin Trust. The SEC had requested that Grayscale withdraw the trust's registration statement, stating that Filecoin meets the definition of a security under federal securities laws. However, Grayscale believes that Filecoin is not a security and provided an explanation of its legal basis in response to the SEC staff's comment letter. Despite this, the SEC reiterated its request for withdrawal following naming FIL as a security in certain filings in federal district court.
Crypto.com Suspends Institutional Service in the US Due to Limited Demand and Market Conditions
Crypto.com has announced that it will suspend its institutional service in the United States from June 21 due to limited demand and testing market conditions. The platform's retail mobile application and platform will remain operational in the US, and American retail users will still have access to CFTC-regulated cryptocurrency derivatives trading. While Crypto.com remains open to a potential relaunch of its institutional exchange in the US, it recently received an official major payment institution license for digital payment token services in Singapore. The SEC's legal proceedings against Binance.US and Coinbase have caused criticism from the wider cryptocurrency ecosystem.
