Hodler’s Digest, Aug. 4-10 – Cointelegraph Magazine

High Tales of The Week

XRP rockets 26% as Ripple execs hail $125M penalty as ‘victory’

The value of XRP surged 26% as a New York federal choose moved nearer to ending a three-year securities lawsuit in opposition to Ripple Labs, which executives are calling a “victory” for the business.

On Aug. 7, a choose ordered Ripple Labs to pay a $125 million civil penalty and mentioned the agency was “completely restrained and enjoined” from violating United States securities legal guidelines as a part of a case introduced by the Securities and Change Fee. Cointelegraph reported that the ruling seemingly places Ripple’s case with the SEC in its remaining levels for the reason that regulator initially filed the lawsuit in December 2020.

XRP rallied 26% to $0.63 after the information, recouping most of its losses from the broader crypto downturn since Aug. 5, based on CoinMarketCap information. On the time of publication, XRP was buying and selling at $0.59.

Ripple Labs CEO Brad Garlinghouse said in an X put up shortly after: “This can be a victory for Ripple, the business and the rule of regulation. The SEC’s headwinds in opposition to the entire of the XRP group are gone.”“The SEC’s unhinged marketing campaign in opposition to us is lastly over. Let’s all hope this ends this Administration’s struggle on crypto,” Ripple Labs co-founder Chris Larsen added in a put up on X.

India calls for $86M from Binance in unpaid GST taxes

Indian regulation enforcement companies have demanded 722 crore Indian rupees ($86 million) in unpaid taxes from crypto alternate Binance.

Binance, together with quite a few different offshore crypto exchanges, was banned in India in January 2024 for noncompliance with native rules. Nonetheless, in April, Binance revealed its intent to restart its crypto buying and selling operations within the area after paying pending taxes.On Aug. 6, the Directorate Normal of Items and Providers Tax Intelligence (DGGI) — an Indian regulation enforcement company — demanded 86 million from Binance underneath the Items and Providers Tax, based on The Occasions of India. An area supply cited within the report mentioned:

“Binance reportedly earned at the least Rs 4,000 crore from transaction charges charged to Indian prospects. Detailed investigation revealed that the earnings of those charges have been credited to the account of a Binance Group Firm — Nest Providers Restricted — primarily based in Seychelles.”

The DGGI discover to Binance is the primary tax demand levied by the Indian authorities on any crypto alternate. 

Moreover, Indian authorities despatched electronic mail notices to Binance workplaces in Seychelles, the Cayman Islands and Switzerland, which the crypto alternate ignored. Nonetheless, Binance later appointed an area counsel to formally resolve its tax obligations.

Bitcoin dips beneath $50K: Crypto market crashes 17%

On Aug. 5, the Bitcoin worth fell beneath $50,000 for the primary time since February, hitting a low of $49,351 earlier than bouncing again towards the $51,000 mark.

As BTC dominance hits 58% amid a collapse in each the altcoin and inventory markets, over 17% of the cryptocurrency’s whole market capitalization has been worn out. In keeping with CoinMarketCap, the crypto market’s whole market cap was roughly $2.16 trillion however fell to a low of round $1.76 trillion on Aug. 5.

Within the early hours of Aug. 5, the beginning of the Bitcoin worth decline resulted in $600 million of leveraged lengthy positions taken by merchants being worn out. This market crash additionally noticed Ether plummet, shedding virtually 20% of its worth in simply two hours. On the time of writing, the value of ETH was roughly $2,200 after recovering from a low of $2,172 at 7:25 am UTC on Aug. 5.

Donald Trump Jr. is launching a crypto platform to ‘tackle’ the banks

Donald Trump Jr. has introduced plans to launch a brand new decentralized finance cryptocurrency platform to deal with inequality in banking entry. Nonetheless, the platform continues to be within the early levels and can take a while to change into a actuality.

Throughout a Q&A session on subscription-based platform Locals on Aug. 8, Donald Trump Jr., the eldest son of presidential candidate and former President Donald Trump, mentioned he wasn’t launching a memecoin however engaged on a crypto platform to tackle the banks.

“What we’re speaking about is a bigger kind of platform” that’s very totally different and never a memecoin, he mentioned. Nonetheless, he added that it might be a “very long time earlier than we will do something,” not giving something away on a time-frame.

Trump Jr. didn’t present way more element on the platform however emphasised that it might goal the banking system:

“What we need to do is tackle a whole lot of the banking world. I feel there was a whole lot of inequality in that solely sure individuals can get financing. […] So this notion of decentralized finance is clearly very interesting to guys like me who’ve been debanked.”

Grayscale, Bitwise, NYSE American apply to record choices on 3 Ether ETFs

NYSE American LLC has proposed a rule change that may enable it to record and commerce choices for 3 Ether exchange-traded funds operated by crypto asset managers Grayscale and Bitwise.

In an Aug. 7 submitting to the Securities and Change Fee, NYSE American requested the SEC to “allow the itemizing and buying and selling of choices” for the Bitwise Ethereum ETF (ETHW), the Grayscale Ethereum Belief (ETHE) and the Grayscale Ethereum Mini (ETH).

NYSE American mentioned that permitting the buying and selling of choices on the three Ether ETFs would profit buyers by offering a low-cost funding software for gaining extra publicity to Ether. Moreover, the submitting mentioned introducing choices buying and selling would provide buyers a hedging mechanism to fulfill funding wants relating to ETH merchandise and positions.

Feedback on the proposal are anticipated to be submitted throughout the subsequent 21 days.Notably, NYSE American’s request for rule change would apply solely to Grayscale and Bitwise, the one spot Ether funds listed on its alternate. NYSE American’s request comes simply someday after the Nasdaq choices alternate requested the SEC to permit choices buying and selling on the BlackRock iShares Ethereum Belief (ETHA).

Winners and Losers

On the finish of the week, Bitcoin (BTC) is at $60,697, Ether (ETH) at $2,611 and XRP at $0.57. The entire market cap is at $2.10 trillion, based on CoinMarketCap.

Among the many largest 100 cryptocurrencies, the highest three altcoin gainers of the week are Sui (SUI) at 31.95%, Helium (HNT) at 27.14% and Zcash (ZEC) at 2.45%.

The highest three altcoin losers of the week are Lido DAO (LDO) at 22.67%, Synthetic Superintelligence Alliance (FET) at 20.91% and Beam (BEAM) at 19.17%.For more information on crypto costs, ensure that to learn Cointelegraph’s market evaluation.

Most Memorable Quotations

“This can be a victory for Ripple, the business and the rule of regulation. The SEC’s headwinds in opposition to the entire of the XRP group are gone.”

Brad Garlinghouse, CEO of Ripple Labs

“I feel individuals will likely be shocked by how rapidly ‘cross-L2 interoperability issues’ cease being issues and we get a clean consumer expertise throughout all the Ethereum-verse.”

Vitalik Buterin, co-founder of Ethereum

“If the SEC goes to have interaction in an unprecedented regulation by enforcement marketing campaign, the least they owe to these they aim – and the general public – is transparency.”

Paul Grewal, chief authorized officer at Coinbase

“To ideally time the following bull market entry, we purpose for Bitcoin costs to fall into the low 40,000s.”

Markus Thielen, CEO of 10x Analysis

“Telegram is at the moment one of many hottest platforms within the crypto world. With one billion customers and the bottom consumer acquisition value, it may rapidly and affordably onboard new customers into crypto.”

Ruslan Fakhrutdinov, CEO and founding father of X10

“Now, it’s doable to debate nation-states holding Bitcoin on the steadiness sheet. And if nation-states are going to purchase it, then it’s affordable for establishments, companies and people to purchase it as properly.”

Michael Saylor, co-founder of MicroStrategy.

Prediction of the Week

Bitcoin might fall beneath $50K if Magnificent 7 shares stage one other $500 billion loss

The “Magnificent Seven” shares have seen a pointy decline, threatening to carry extra downward strain on Bitcoin worth.

Magnificent Seven, a moniker for a few of the top-performing tech shares like Nvidia and Microsoft, misplaced over $650 billion in cumulative market capitalization throughout common buying and selling on Aug. 5.

Regardless of staging a slight restoration since, one other potential decline within the high tech shares might result in decrease Bitcoin costs, based on Akshay Nassa, the founding father of Chimp alternate. 

Nassa informed Cointelegraph:

“The correlation between inventory market efficiency and cryptocurrency values is well-documented; as main tech shares falter, investor sentiment typically shifts away from various belongings, together with Bitcoin.”

The correlation between Bitcoin and tech shares gained much more significance, because the tech-heavy Nasdaq has entered a major correction, which might spill over into the crypto area, based on Nassa.

Whereas shares are typically extra resilient to market volatility, one other decline within the Magnificent Seven might damage Bitcoin worth, based on Alvin Kan, the Chief Working Officer at Bitget Pockets.

Kan informed Cointelegraph:

“If the Magnificent 7, together with Amazon and Apple, are falling, buyers would need some type of insulation from much more dangerous belongings like Bitcoin. Which means that the intense capital flight within the broader monetary market may also weigh on Bitcoin worth.”

FUD of the Week

Bitcoin worth should flip $62K to keep away from worst ‘demise cross’ penalties

Bitcoin can beat its imminent “demise cross” if it flips $62,000 to assist, the newest evaluation says. In a devoted X thread on Aug. 9, widespread dealer Benjamin Cowen used historical past to recommend how bulls may keep away from a recent Bitcoin worth dive.

Current BTC worth motion has led BTC/USD to the door of one other shifting common crossover classically referred to as a “demise cross.” This includes the downward-sloping 50-day easy shifting common (SMA) crossing beneath its 200-day equal. At present, the 50-day and 200-day SMAs stand at $61,998 and $61,882, respectively, per information from Cointelegraph Markets Professional and TradingView.

The demise cross will get its identify from the idea that the crossover acts as a pre-warning for the draw back of the BTC worth as soon as it’s full.

As Cowen exhibits, nevertheless, the outcomes are sometimes blended. The final every day demise cross in 2023, in reality, precluded a bout of good points. “In 2023, BTC began its rally simply after the demise cross. It then bought above its 50D SMA and subsequently held it as assist earlier than going increased,” he famous.

Bitrace warns of latest crypto rip-off utilizing QR codes

In keeping with a social media put up by blockchain evaluation agency Bitrace, scanning the incorrect QR code might drain your pockets. 

Bitrace is warning of a brand new kind of crypto rip-off “the place theft is carried out by way of a fee QR code switch check, primarily deceiving customers into authorizing wallets.”

In keeping with the agency, the rip-off follows a particular sample. First, the scammer proposes that the consumer swap tokens over-the-counter — by way of a wallet-to-wallet switch quite than an alternate — and presents an alternate price that beats the market.

Additionally they provide a payment denominated in Tron’s TRX token in alternate for long-term cooperation. To achieve the consumer’s belief, they even make a small fee of USDT, a dollar-pegged stablecoin.

Lacking ‘Cryptoqueen’ Ruja Ignatova has belongings frozen by UK court docket

In an Aug. 7 ruling, the UK’s Excessive Courtroom of Justice issued a Worldwide Freezing Order in opposition to Ruja Ignatova, popularly referred to as the “Cryptoqueen,” and several other of her alleged accomplices within the OneCoin scheme.

Greater than 400 victims of the OneCoin collapse got here collectively to petition the court docket to freeze the belongings of Ignatova, OneCoin co-founder Sebastian Greenwood, Christopher Hamilton, and Robert MacDonald, who’re alleged to have helped launder funds on behalf of OneCoin, and 4 influencers who marketed OneCoin to the general public.

Moreover, enterprise entities Ignatova allegedly used to launder funds from OneCoin and buy belongings have additionally been subjected to the worldwide asset freeze. Ignatova is alleged to have defrauded buyers in an obvious $4 billion Ponzi scheme from the inception of Onecoin in 2014 till the 2017 collapse of the fraudulent venture and the disappearance of Ignatova. 

Ignatova was final seen in Athens, Greece in 2017 and has not been seen since, prompting the U.S. Federal Bureau of Investigation to put her on their Ten Most Needed record.

High Journal Tales of the Week

How Chinese language merchants and miners get round China’s crypto ban

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AI bubble not over but regardless of ‘trough of disillusionment’: AI Eye

The AI bubble is deflating and disillusionment is beginning to set in. However insiders and Wall Avenue analysts say there’s hope but. AI Eye.

Chinese language boomers becoming a member of crypto tapper cults, WazirX fallout worsens: Asia Categorical

Chinese language crypto tappers are wrecking households, WazirX faces a brand new fraud probe, Do Kwon’s flight residence delayed once more.

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Cointelegraph Journal writers and reporters contributed to this text.