Gary Gensler Is Believed to be a Politician Disguised as a Regulator

Leonardo Perez
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Gary Gensler Is Believed to be a Politician Disguised as a Regulator

Several lawmakers have vowed to remove him for causing further harm to investors.

As commissioner of the Democratic-affiliated SEC, Gary Gensler has changed his regulatory role to that of a politician seeking to be appointed Treasury Secretary, according to some congressmen.

The appointment of the 33rd Chairman of the United States Securities and Exchange Commission (SEC), Gary Gensler, on April 17, 2021, was considered a major relief in the crypto space. Nearly three years later, the former Goldman Sachs investment banker has turned against cryptocurrencies in what appears to pander to the Oval Office for future favors.

In a recent detailed article by the media outlet Fortune, Democratic Congressman Ritchie Torres argued that Gensler is simply a politician posing as a regulator. Additionally, Gensler has continued to advocate for the cryptocurrency market to be regulated by decades-old securities laws, which could significantly cripple web3 innovation in the United States compared to other jurisdictions.

Gensler’s Crypto War Stopped by Lawsuits

Having failed to work with the United States Congress to formulate clear crypto laws during the first months of his term, Gensler turned to the Howey test to regulate crypto assets, minus Bitcoin (BTC), as securities.

Furthermore, predecessor Jay Clinton, nominated by former President Donald Trump in 2017, left the current SEC administration to deal with the Ripple Labs case, which is expected to shed a lot of light on crypto assets in the United States.

In early July this year, the judge presiding over the SEC vs Ripple case ruled that sales of XRP on centralized exchanges do not constitute investment contracts and are therefore not securities. “Litigations over the SEC’s jurisdiction and others could short-circuit Gensler’s broader agenda if such lawsuits lead to court rulings that limit the agency’s powers,” Fortune noted.

Meanwhile, the odds of the US SEC approving a spot Bitcoin exchange-traded fund (ETF) increased significantly after the agency lost the case against Grayscale Investment. Interestingly, the US SEC has met with representatives of several Bitcoin spot ETF applicants, including BlackRock Inc (NYSE: BLK).

Debate Between the CFTC and the SEC

Regarding regulatory cryptocurrencies oversight, a Fortune journalist highlighted that the chairman of the US SEC has caused a lot of confusion even among lawmakers. Additionally, Gary Gensler has argued that Bitcoin is a commodity, placing it under the jurisdiction of the CFTC, but has continued to push for oversight.

Speaking to the media outlet, CFTC Commissioner Summer Mersinger cited the Coinbase Global Inc (NASDAQ: COIN) employee case involving insider trading. While the CFTC wanted to bring its case against the Coinbase employee, the US SEC claimed jurisdiction, leading to poor communication between the two agencies. “Cooperation between our law enforcement and theirs has virtually disappeared,” Mersinger told Fortune.

Gensler’s enforcement actions have often been stymied by lawsuits filed by the companies the SEC has targeted. Ripple (largely) rejected an effort to classify XRP as a security prior to Gensler’s tenure. Gensler’s aggressive approach could end up backfiring. “Litigation over [the SEC’s jurisdiction] and others could short-circuit Gensler’s broader agenda, if such lawsuits lead to court rulings that limit the agency’s powers,” according to Fortune.

Glance to the Future

While Gensler’s term is scheduled to end in June 2026, several lawmakers have vowed to remove him for causing further harm to investors. Meanwhile, the Fortune report highlighted that Gensler is seeking to be nominated for the position of Treasury Secretary, thus exposing the poor relationship with the cryptocurrency industry.

By Leonardo Perez

Cristiano Ronaldo May Settle Binance Lawsuit for $750,000 to Avoid Public Trial in the US

Audy Castañeda
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Cristiano Ronaldo May Settle Binance Lawsuit for $750,000 to Avoid Public Trial in the US

Portuguese soccer star Cristiano Ronaldo has been sued in a class-action lawsuit for promoting Binance, a cryptocurrency platform that was accused of violating US financial laws.

Superstar soccer player Cristiano Ronaldo is currently embroiled in a class-action lawsuit alleging damages to investors as a result of his support for the Binance cryptocurrency exchange.

“The evidence now reveals that the Binance fraud could only reach such magnitude through the offer and sale of unregistered products, with the willing help and assistance of some of the richest, most powerful and recognized organizations and personalities on the entire planet — such as the defendant Ronaldo,” the lawsuit states.

The lawsuit claims that Ronaldo’s collaboration with Binance to promote its NFT collections led unsuspecting investors to make investments in unregistered securities. Ronaldo may have to settle the case for $750,000 to avoid a public trial.

Ronaldo continues to promote Binance on his official website and social networks. More recently, on X, Ronaldo posted a Binance video and wrote that he was “cooking something” with the platform on Tuesday.

Legal Experts Suggest Ronaldo Could Settle Billion Dollar Lawsuit

Ronaldo was reported to have signed a multi-year deal with Binance to support his NFT collections, which included unique digital artworks and experiences. The collaboration sparked great interest among fans and collectors.

However, the lawsuit, filed on November 27 in the District Court of Florida, accuses Ronaldo of actively participating in the sale of what regulators have considered “unregistered securities” facilitated by the Binance platform. According to the complaint, people who registered for Ronaldo NFTs were more likely to engage in other activities on Binance, including investing in what they believed to be unregistered securities, such as the BNB coin and its cryptocurrency yield schemes.

The lawsuit claims that Ronaldo’s influential status and wide reach lured unsuspecting investors to the exchange, where they were allegedly tricked into making illegal investments. Recent reports suggest that Ronaldo may have to settle the billion-dollar lawsuit for $750,000 to avoid a public trial in the United States.

Legal experts, including digital asset lawyer Jemma Fleetwood, draw parallels with similar cases involving public figures such as Shaquille O’Neal, Floyd Mayweather and DJ Khaled, who settled comparable lawsuits for around $750,000. Fleetwood suggests Ronaldo’s legal advisers could seek a similar deal to avoid the potential financial and reputational impact of a public trial.

Legal Risks Loom for Sports Stars’ Links to Binance

Ronaldo’s situation is not unique among soccer players navigating the world of cryptocurrency endorsements. Former Barcelona player Andrés Iniesta also faced controversy for his support of Binance. In 2021, the Spanish midfielder participated in a campaign promoting the cryptocurrency company on his social media accounts.

The increasing involvement of football players in promoting NFTs and participating in cryptocurrency exchange activities has raised concerns among regulators about potential legal risks and compliance within the industry. While Cristiano Ronaldo continues to excel on the soccer field, he faces a significant legal challenge off the field. The billion-dollar lawsuit against him for his endorsement of Binance highlights the potential risks associated with celebrity endorsements of cryptocurrencies.

Overall, while Cristiano seeks to avoid a public trial, Ronaldo can settle the case for $750,000, following the example of other prominent figures who have faced similar situations. The outcome of this case will have implications not only for Ronaldo but also for the industry at large as it navigates the intersection of sports, celebrity and the evolving world of digital assets.

By Audy Castaneda

Binance Operating in the Philippines Without Authorization Faces Legal Consequences, And Other News

Leonardo Perez
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Binance Operating in the Philippines Without Authorization Faces Legal Consequences, And Other News

The cryptocurrency exchange, Binance, would be operating in the Philippines without having the required permits. This was reported by the country’s SEC.

One of the main cryptocurrency exchanges in the world, Binance, would be operating irregularly in the Philippines. The country’s Securities and Exchange Commission (SEC) issued a warning on Nov. 28, noting that Binance has been conducting operations without the authorization required to sell securities in the Philippines.

The SEC stressed the obligation of exchanges, such as Binance, to apply for registration and provide detailed information about the securities they offer to the public. Aspects such as the issue price and the nature of the securities must be transparent, according to the Philippine Securities Regulation Code (SRC).

In addition to the lack of a license, the SEC accused Binance of illegally promoting its services in the country. The regulator warned that those involved in promoting or trading on Binance could face legal consequences, according to Section 28 of the SRC.

Jack Dorsey Supports Bitcoin Mining Decentralization with New “Ocean” Pool

Jack Dorsey, co-founder of Twitter and prominent Bitcoin advocate, is taking a bold step towards decentralization in the world of cryptocurrencies. Dorsey led a $6.2 million seed funding round for Mummolin, the parent company of the revolutionary Bitcoin mining pool called “Ocean.” According to an announcement made on November 29.

The initial investment supports the launch of Ocean, a platform designed to decentralize and transform the Bitcoin mining process. The main objective of the new pool is to provide transparency to the mining process. Allowing miners to receive block rewards directly from the Bitcoin network, rather than relying on mining pools.

SEC Delays Approval of Bitcoin ETF and Seeks Public Opinions

The anticipated green light for Franklin Templeton Digital Holdings’ Bitcoin spot ETF has suffered a setback with the US Securities and Exchange Commission’s (SEC) decision to postpone its approval. Despite Franklin Templeton’s declaration of intent to list its Bitcoin ETF on the stock exchange, the SEC has opted for a pause, asking for public participation before making a decision on this and other similar products.

In its filing, Franklin Templeton Digital Holdings details its proposal to list and trade the Fund Shares under BZX Rule 14.11(e)(4), which regulates the listing and trading of commodity-based Trust shares on the Exchange.

Instead of a direct yes or no, the SEC seeks input from “commentators,” the general public, to better understand the risks associated with the Franklin Templeton Bitcoin ETF. The commission invites opinions on the product and specific considerations regarding Bitcoin market manipulation.

Amazon Drives Business Innovation with Amazon Q, its New Generative AI Assistant

Amazon has announced the launch of Amazon Q, an assistant powered by generative artificial intelligence. This new resource is specifically designed for enterprise applications. Marking another milestone in Amazon’s broader strategy to integrate generative AI into its ecosystem. Covering both the consumer field and the private sector.

Amazon Q aims to offer employees immediate and relevant tools to streamline tasks, accelerate decision-making, and foster creativity and innovation in the work environment. This AI assistant can be used for various functions, from conversations to problem solving, generating content, obtaining information and taking action, connecting to a company’s repositories of information, code, data and business systems.

By Leonardo Perez

Polygon Labs Announced Upcoming Product Updates and Planned Events for December

Audy Castañeda
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Polygon Labs Announced Upcoming Product Updates and Planned Events for December

Polygon Labs has had a good year and and managed to achieve several collaborations along the way.

The Polygon community is looking forward to several community updates being announced this year, starting with the Connect event in India. Polygon co-founder Sandeep Nailwal has shared some updates that the Polygon community should expect as the year ends. In an email on X (formerly Twitter), Nailwal promised the community “exciting days ahead.”

On November 29, Nailwal posted the following on X:

“Polygon fam, as we approach the year end, some exciting days ahead for us. Save the dates.

7/12/23: At Polygon Connect, we bring in an inflection point in the history of blockchains in India

14/12/23: Public demo of the next generation ZK product. Should be an important milestone for the entire Ethereum ecosystem.

20/12/23: We change the game for RWAs and institutional adoption.

Let’s keep building. Onwards!”

Polygon Labs Updates for 2023

The co-founder shared three dates for community events in the post. Polygon Labs will hold the Polygon Connect event on December 7 in India. The post also highlights a public demonstration of Polygon’s next-generation ZK product on December 14. Nailwal expects it to significantly benefit the entire Ethereum ecosystem.

Additionally, Polygon plans to announce products on December 20 that will improve RWA (real-world asset) and institutional adoption. The Polygon community is looking forward to these products, starting with Polygon Connect in India. The event is expected to offer attendees the opportunity to meet, network and collaborate with like minds in the industry, likely exposing themselves to new opportunities in the sector.

For the upcoming ZK product, community members can expect to see a reflection of how much work the Polygon team has put into improving their application of zero-knowledge proof technology. Improving RWA and institutional adoption allows Polygon Labs to serve a wide range of users, including individuals and corporations, across various industries. Last Wednesday, the official Polygon X account posted details of a zkEVM mainnet beta update. The release announced specific modifications, including improvements and fixes. According to the announcement:

“This update brings many significant changes to the zkEVM node, bridge and tester infrastructure, including changes to RPC, sequence, synchronizer and databases. also includes WebSocket improvements, along with other fixes.”

Polygon So Far This Year

Polygon Labs has had a good year and solidified several collaborations along the way. Last week, Polygon Labs announced that the Swiss city of Lugano, a popular tourist destination, has integrated Polygon with its MyLugano payment platform.

Although Lugano initially developed the app with USDT issuer Tether for crypto payments, adding Polygon’s PoS chain opens up the app’s 30,000 users to decentralized applications (dApps) on the network for better payments. In addition to improving payments,

Polygon is also helping Lugano launch a non-fungible token (NFT) collection. Last month, Hong Kong-based gaming software giant and venture capital firm Animoca Brands Corporation Ltd announced a strategic partnership with Polygon Labs and Amazon Web Services (AWS). The partnership gave rise to MoonRealm Express Accelerator, a platform to support future builders developing web3 projects that is planning its first hackathon in early 2024.

AWS has committed a $1.1 million investment to 500 eligible startups. AWS also plans to provide startups with cloud resources through AWS Activate, a program for founders starting their AWS journey. Polygon Labs will offer workshops to help builders with the necessary skills and will provide cash rewards for hackathons.

By Audy Castaneda

Bitcoin Decouples from XRP, BNB but Correlates with Dogecoin and Cardano

Leonardo Perez
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Bitcoin Decouples from XRP, BNB but Correlates with Dogecoin and Cardano

While increasing decorrelation suggests the market is maturing and becoming more sophisticated, secondary factors could cause some major altcoins to decouple and chart their courses away from Bitcoin’s narrow dominance.

Over the past two months, Bitcoin (BTC), the world’s most valuable cryptocurrency, has become increasingly decoupled from XRP, the native currency of the XRP Ledger (XRPL), and BNB, the currency that powers the broader Binance. While this is successful, Dogecoin (DOGE) and Cardano (ADA) remain mostly correlated with Bitcoin.

Bitcoin Moves Forward Unscathed

Bitcoin has more than doubled in value since the beginning of the year, leaving the horrors of crypto winter far behind. A closer examination revealed that the coin has remained stable in 2023, undeterred by developments affecting other cryptocurrencies in the market.

The latest Binance/Changpeng Zhao (CZ) Fiasco failed to give BTC a big scare. A similar story unfolded earlier in the year, when the prized asset managed to remain resilient despite scrutiny of other altcoins by US regulators.

According to AMBCrypto analysis of CoinMarketCap data, Bitcoin’s market capitalization has expanded from 39% at the beginning of the year to 51% by the end of November 2023. Meanwhile, the market share of some popular coins such as BNB dropped sharply.

XRP and BNB Decouple from Bitcoin

Trading data from Kaiko, a blockchain analytics company, @cryptobusy on X notes that the correlation between Bitcoin, XRP, and BNB has been contracting over the past two months. Meanwhile, the prices of BTC, Dogecoin, and Cardano have been moving synchronously even though the fundamental factors of each project have impacted the price action during this period.

Major altcoins like BNB, Ripple [XRP], and Solana [SOL] were the most untethered from the king coin, while BNB’s 60-day correlation with BTC fell from 80% in 2022 to 60% in 2023, XRP fell from 75% to 45%. On the other hand, Cardano [ADA] and Dogecoin [DOGE] still maintained a strong relationship with the king coin.

BNB, XRP, BTC Affected by Fundamental Factors

Still, there could be more that explains the decoupling, especially with BNB and XRP. Fundamental seismic events have impacted the BTC, XRP, and BNB ecosystems over the past two months. The U.S. Securities and Exchange Commission (SEC) is likely to approve multiple Bitcoin spot ETFs filed by several heavyweights, including BlackRock and Fidelity, in the coming weeks. Hopes that the regulator will authorize these derivatives that track BTC spot prices have catalyzed demand, lifting the coin to new highs in 2023.

Meanwhile, a US court ruled in favor of XRP being a utility when sold to retailers. The case initially forced prices higher, but the currency dropped in late Q3 2023 and 2024, only stabilizing as BTC recovered. BNB was negatively affected by the resignation of Changpeng Zhao, the founder of Binance, in November 2023. The Department of Justice also fined Binance a fine of $4.3 billion as a settlement.

When an asset stops reacting strongly to the price action of other similar assets, it makes financial sense to include them in the portfolio. Smart investors spread their investments across different cryptocurrencies, reducing their exposure to any one type of asset. Whether or not it is worth buying Bitcoin remains to be seen, as it is best to conduct some research before making major investments decisions.

By Leonardo Perez

How Bitcoin is Affected as USDT Holdings Rise

Audy Castañeda
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How Bitcoin is Affected as USDT Holdings Rise

The top ten Tether wallets held tokens worth $15.23 billion recently. Market indicators suggested that investors could expect a few days of slow moves.

Bitcoin [BTC] has shown a steady increase in its value in recent weeks as its value remained above the $37,000 mark. In fact, the price of the king coin recently surpassed $38,000. According to the latest data, things may improve further in the coming days as major players in the crypto market show confidence in BTC.

The most popular cryptocurrency has risen practically 130% from the $16,600 it ended last year, although its all-time highs are still far away: in November 2021 it reached $68,990.90.

The low supply of Bitcoins currently on the market helps raise the price. The supply in circulation is extremely low, according to Glassnode, and long-term investors are holding on to their reserves while waiting for prices to continue rising. The number of Bitcoins held in wallets with a minimum spending history recently hit a record high of over 15.4 million.

Bitcoin Is Still Bullish

CoinMarketCap’s data revealed that its price rose more than 4.5% over the past week. In the last 24 hours alone, BTC rose more than 3.3%. At the time of writing, it was trading at $38,225.01 with a market capitalization of over $747 billion.

As previously reported on AMBCrypto, it was interesting to note that Bitcoin holders show unwavering confidence in the king coin despite market fluctuations. The coin was experiencing strong momentum, coinciding with substantial positions by holders.

In the midst of this, Santiment recently posted a tweet pointing out a notable development. According to the tweet, the BTC supply on exchanges has continued to move to self-custody. While this reflected an increase in buying pressure, it also hinted at a decline in confidence in CEXs in the recent past. While this was happening, the 10 largest Tether [USDT] exchange wallets increased their holdings.

On November 28, Santiment posted the following on X:

“Bitcoin’s supply on exchanges has continued moving into self-custody, as exchange reputation continues to diminish. Meanwhile, the 10 largest Tether exchange wallets hold $15.23B, pushing exchange buying power to its highest level in 17 months.”

Any time the supply of stablecoins, including Tether, increases, it suggests that the market’s purchasing power is high. Therefore, buyers may put even more buying pressure on BTC in the coming days, which could result in a continued bullish rally over the next few weeks.

Is Bitcoin Really Ready for a Bull Run?

AMBCrypto then examined CryptoQuant data to understand if buying pressure on the coin was high. According to our analysis, the BTC currency reserve was falling, which seemed optimistic. Also, its binary CDD was green.

This meant that long-term holders’ movements over the past seven days were lower than average, reflecting their willingness to hold on to their assets. In fact, Bitcoin’s Coinbase premium was also in the green, suggesting that investors in the United States were buying the currency overall.

However, upon closer inspection, AMBCrypto found that investors could expect a few days of slow movement beforehand. BTC price action turned volatile. In particular, the MACD showed a fight between bulls and bears.

At the same time, the money flow index (MFI) recorded a slight decline and headed towards the neutral mark. However, the Relative Strength Index (RSI) remained bullish as it rose at the time of this news.

By Audy Castaneda

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