Australia’s New Crypto Laws May Not Debut Until 2024

Audy Castañeda
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<strong>Australia’s New Crypto Laws May Not Debut Until 2024</strong>

Local reports claim that crypto laws will not be implemented in Australia this year. The documents reveal that stakeholder discussions for consultation papers will take place later in 2023. Final legislation could be passed in 2024 or even 2025, after Cabinet gives the go-ahead for final submission.

According to Treasury documents cited by media reports, a full crypto regulatory framework will not be implemented in Australia until after this year.

Australian Financial Review revealed Treasury discussions with Treasurer Jim Chalmers on how to regulate cryptocurrencies and the Web 3.0 sector.

Crypto Laws Still Away Despite Specialized ‘Policy Unit’

The report claims that the Treasury will consult with local cryptocurrency companies and draft new laws for the next year. This is based on the Treasury schedule, which was made public under Freedom of Information laws.

However, according to the documents, the Treasury now has a separate “crypto policy unit” within the organization.

The Australian government began its efforts to regulate the cryptocurrency industry by tightening regulations in the last two years. In August 2022, the regime announced the launch of a token mapping exercise.

Treasurer Chalmers noted that he would “keep up with developments and provide greater protections for consumers.”

He further added that “Treasury expects some stakeholders to be disappointed with the perceived delay in implementing a licensing regime,” according to the memo to CFO Chalmers. “For example, consumer groups seeking immediate protections and companies seeking regulatory legitimacy.”

Australian Regulators Expect Longer Bear Market

The report comes despite the fact that the FTX debacle has wreaked havoc on the industry.

Amid the apparent lack of urgency from the government, final legislation may not be passed until 2025. According to the report, the government intends to publish consultation documents in the second quarter of 2023.

In the meantime, it will reportedly hold stakeholder roundtables on cryptocurrency licensing and custody regulations in the third quarter of 2020 this year.

Reuters recently claimed that thousands of Australians now stand to lose millions of dollars in retirement income plans, thanks to cryptocurrencies. Investors reportedly used do-it-yourself pension funds to bet on cryptocurrency in the country, leading to losses.

Meanwhile, Australian citizens are a preferred target for cryptocurrency hackers amid rising online theft. According to an investigation by European authorities into four Serbian call centers, Australian wealth has made them a favorite target for scammers.

Despite the urgency of the railings, the document stresses that the government is counting on the crypto winter for now. The document says: “While much innovative development continues, consumer and investor demand for crypto assets has weakened significantly for now.”

According to the Treasury, current market conditions ease consumer protection and regulatory concerns somewhat. Since consumers have less demand for cryptocurrency assets at the moment.

Therefore, the Cabinet is not expected to receive any final submissions until near the end of this year. According to business analysts cited by the document, the timeline indicates that the legislation will likely not pass until well into 2024 or 2025.

By Audy Castaneda

XRP Bulls to Target Return to $0.38 on SEC vs. Ripple Court Rulings

Audy Castañeda
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<strong>XRP Bulls to Target Return to $0.38 on SEC vs. Ripple Court Rulings</strong>

On Monday, XRP bucked the crypto market’s downtrend, rising 0.92% to end the day at $0.37024. The news of the case SEC vs. Ripple provided support to the XRP price, with the SEC on the wrong end of various rulings. However, technical indicators remained bearish, indicating a return to below $0.35.

On Monday, XRP rose 0.92%. Partially reversing a 1.79% loss from Sunday, XRP ended the day at $0.37024. Despite the bullish session, XRP revised below $0.36 for the second time since Jan 11.

A bearish start to the day saw XRP slide to a mid-morning low of $0.35936. XRP fell through the first major support level (S1) at $0.3627, before rising to a high of $0.37362. Being range-bound from the first major resistance level (R1) at $0.3740, XRP pulled back to end the day at $0.37024.

SEC vs. Ripple Rulings Provide XRP Price Support

Monday was a busy session, with court rulings in the ongoing SEC vs. Ripple case supporting a bullish start to the week.

Defense attorney James Filan shared Judge Torres’ latest ruling via Twitter:

“BREAKING: Judge Torres issues Ruling on Parties’ Motions to Preclude Expert Testimony.”

While Presiding Judge Torres granted and denied both sides’ motions, the courts denied further SEC motions to exclude testimony, which should have put the defendants in a better position.

Amicus curiae attorney John Deaton had this to say:

“Ripple’s Motion to Exclude Expert No 1 from testifying is GRANTED as to his first opinion about the perceptions of a reasonable XRP purchaser and DENIED as to the remainder of his testimony. – Judge Torres – Now try and tell me XRP Holders don’t make a difference.”

Significantly, the rulings mean that Presiding Judge Torres will not wait until the end, and he could begin ruling on other pending motions.

Decisions on the Hinman Documents could have a material impact on the case and XRP. The SEC filed a Motion to Redact Certain Content after failing to protect all of the documents under attorney-client privilege. A ruling against the SEC could spark speculation about a deal.

The consensus is that the documents could affect the SEC and its case against the defendants.

XRP Price Action – Technical Indicators

XRP needs to avoid the $0.3677 pivot to target the first major resistance level (R1) at $0.3761. A move through Monday’s high of $0.37362 would indicate a bullish session. However, the broader crypto market and SEC vs. Ripple talk would need to support a breakout.

In the event of a prolonged rally, XRP would likely test the second major resistance level (R2) at $0.3820, and resistance at $0.3850. The third main resistance level (R3) sits at $0.3963.

A move of XRP through the 50-day EMA ($0.37399) and R1 ($0.3761) would give the bulls a run to the 100-day EMA ($0.37874) and R2 ($0.3820). A move of XRP through the 50-day EMA would send a bullish signal. However, if the 50-day EMA ($0.37399) is not broken, the major support levels will still be in play.

By Audy Castaneda

ETH Will Face Rising Resistance at $1,600 on Shanghai Update Delay

Audy Castañeda
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<strong>ETH Will Face Rising Resistance at $1,600 on Shanghai Update Delay</strong>

On Monday, Ethereum (ETH) ended a four-day losing streak, rising 0.06% to end the day at $1,566. Fed fear and regulatory scrutiny resurfaced, with a delay to the Shanghai update leaving ETH unchanged on the day. Technical indicators remain bearish, with less than $1,500 in sight.

Ethereum (ETH) was up 0.06% on Monday. Partially reversing a 0.13% gain on Sunday, ETH ended the day at $1,566. ETH failed to reach the $1,600 level for the third session in a row and ended a four-day losing streak.

A mixed start to the day saw ETH drop to a mid-morning low of $1,555. Finding support at the first major resistance level (R1) at $1,550, ETH rallied to a high of $1,583 before pulling back. The first major resistance level (R1) at $1,584 capped the rise on Monday.

Fed Angst and Crypto Regulatory Put ETH on the Defensive

It was another quiet session on Monday. There were no updates on the delayed update from Shanghai to provide direction.

The lack of news on updates left ETH in the hands of the broader crypto market. Increased regulatory activity and scrutiny from lawmakers continued to weigh on investor confidence. Fed Fear also resurfaced, as investors awaited testimony from Fed Chairman Powell later today.

On Monday, the US banking watchdog, the Comptroller of the Currency, delivered an anti-crypto commentary. The Head of Office reportedly compared the collapse of FTX to the collapse of the Bank of Credit and Commerce International (BCCI).

Michael Hsu reportedly said the following:

“We won’t be able to know which players are trustworthy and which aren’t until a credible third party, like a consolidated home country supervisor, can meaningfully oversee them.”

Hsu added that “Currently, no crypto platforms are subject to consolidated supervision. Not one.”

The comments come at a difficult time for the crypto market, with the collapse of FTX eroding confidence.

Investor apprehension ahead of Fed Chairman Powell’s testimony also tested buyers’ appetites. A shift to a more aggressive stance would weigh on riskier assets.

Ethereum (ETH) Price Action – Technical Indicators

ETH needs to avoid the $1,568 pivot to target the first major resistance level (R1) at $1,581 and Monday’s high of $1,583. A return to $1,580 would signal a bullish session. However, the Shanghai update news and crypto news wires should support ETH to support a breakout.

In the event of a prolonged rally, the bulls would likely test the second major resistance level (R2) at $1,596 and resistance at $1,600. The third main resistance level sits at $1,624.

A move through R1 ($1,581) would give the bulls a run on the 50-day EMA ($1,593) and R2 ($1,596). A move through the 50-day EMA would send a bullish signal. However, if the 50-day EMA ($1,593) is not broken, the major support levels will still be in play.

To sum up, it’s a quiet day on the US economic calendar. There are no US economic indicators for investors to consider, leaving Fed Chairman Powell to influence the NASDAQ Composite Index and the broader crypto market.

Investors should continue to monitor crypto news wires for updates from Silvergate Bank, Binance, and FTX. News of the ongoing SEC vs. Ripple case will also be influential.

For Ethereum, the Shanghai update news will need to be factored in alongside conversations from US lawmakers and regulators.

By Audy Castaneda

Lido Denies Rumors as Podcaster Apologizes for Spreading False Information

Audy Castañeda
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<strong>Lido Denies Rumors as Podcaster Apologizes for Spreading False Information</strong>

A recent rumor about Lido Finance’s staking process caused its token value to drop. The rumor was later debunked by the company, with one podcaster apologizing for spreading misinformation.

The cryptocurrency space is no stranger to rumors and misinformation. In the world of cryptocurrency, rumors and FUD (Fear, Uncertainty, and Doubt) spread like wildfire. The latest victim of this trend is Lido Finance, a decentralized finance (DeFi) platform that offers staking and liquidity services.

A recent tweet from a popular podcast host and Twitter user claimed that Lido Finance’s funds were compromised and its users were at risk. The tweet quickly went viral, causing panic among investors and traders.

However, it turns out that the tweet was nothing more than a rumor. The host later traced the statement and issued an apology, saying he was misled by someone claiming to be a developer for Lido Finance. However, the damage was done, and the dent serves as a reminder of the need for caution and due diligence in the cryptocurrency market.

Background of the Dent

Lido Finance is a DeFi that aims to make it easier for users to stake their Ethereum on Ethereum 2.0. By doing so, users can earn rewards for helping to protect the network and keep it operational. Lido Finance accomplishes this by pooling user funds and staking them on Ethereum, allowing even small-scale investors to participate in the process.

On February 28, 2022, a user by the handle @TrustlessState tweeted that Lido Finance’s funds had been compromised and its users’ funds were at risk. The tweet quickly went viral, and many users expressed concern and panic, selling their Lido tokens. The tweet also drew the attention of cryptocurrency news outlets, which reported on the alleged hack and its potential impact on Lido Finance.

However, it soon became clear that the tweet was based on false information. Lido Finance issued a statement denying the rumors and assuring its users that their funds were safe. The platform also launched an investigation into the dent and urged its users to be cautious and avoid spreading unverified information.

Rumor Track

Following the dent, the podcast host who had originally tweeted the rumor issued an apology. The host claimed that he had been contacted by someone claiming to be a developer of Lido Finance and that he had believed their false claims. The driver acknowledged that he should have verified the information before sharing it with his followers, and he apologized for the panic and confusion he had caused.

The dent serves as a warning to the cryptocurrency community, highlighting the importance of due diligence and verification of information before sharing it with others. It also underscores the need for companies and platforms to be transparent and proactive in addressing rumors and misinformation that can damage their reputation and that of their users.

While Lido Finance was able to debunk the rumors and reassure its users, the dent may have a lasting impact on the platform’s reputation and reliability. The dent also underscores the need for greater transparency and communication from DeFi platforms and other cryptocurrency companies, especially in the face of rumors and misinformation that can harm their users and their industry as a whole.

By Audy Castaneda

Deciphering the Decentralized Finance Scene amid Bearish Start to March and Arrests after Platypus Exploit

Audy Castañeda
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<strong>Deciphering the Decentralized Finance Scene amid Bearish Start to March and Arrests after Platypus Exploit</strong>

The decentralized finance space has seen some major developments this past week, and the US Commodity Futures Trading Commission (CFTC) is taking a closer look to explore potential issues in this fast-evolving space.

This week there was news of a notorious phishing scammer putting an end to his illicit activities, and an arrest by French police in connection with a major DeFi exploit. Along with this, a layer 2 scaling protocol released decentralized ID to the public, and DeFi market values ​​are tested with bearish dips.

CFTC Examines the DeFi Scene

The US Commodity Futures Trading Commission is set to take an in-depth look at decentralized finance this week at the CFTC’s inaugural technology advisory meeting with panels exploring “issues in decentralized finance.” It is important for the CFTC to understand the financial risks posed by DeFi platforms, especially with their rapid growth and lack of standard legal and regulatory frameworks.

CFTC research indicates that regulators are paying more attention to the industry and taking it more seriously as the sector continues to gain traction. The financial watchdog will most likely ensure that the DeFi space is compliant with regulations, oversee the proper handling of client funds, and examine the potential of DeFi solutions to provide client protection.

The Crypto Black Hat Calls It Quits

In another significant development, notorious cryptocurrency scammer “dragamonkeys”, who was behind the high-value Web3 thefts, declared that it would shut down its operations. The scammer claimed to have “packed up the store” and “will move on to something better.”

The monkey wringer who claims to be “only 14 years old” clarified on his Telegram channel that he would immediately stop all his activities, destroy all data and files related to his identity theft and phishing operations and that he would not be returning.

The scammer also offered some advice to “young cybercriminals,” advising them to stay away from “the pursuit of easy money” and only pursue this path with “the highest level of dedication.”

Polygon’s Zero-Knowledge Decentralized Identity

It’s been almost a year since Polygon, a Layer 2 scaling protocol for Ethereum, announced the development of a zero-knowledge decentralized identity solution, and now this product is finally released to the public.

The purpose of Polygon ID is to solve the problem of digital trust. It uses zero-knowledge proofs, a cryptographic technique, which allows users to verify their identity online without having to pass their sensitive data to a third-party service.

Platypus Finance Exploit Arrest and Compensation

In another development related to exploitation, Platypus Finance suffered exploitation of 9.1 million dollars on February 16 of this year. This led French police to arrest two suspects and seize a total of €210,000 worth of cryptocurrency. The investigations were mainly supported by the cryptocurrency exchange and ZachXBT Binance on-chain research.

The Platypus Finance team created a portal that allows users to see how much the platform owes them after the exploit. The portal contains several sections that provide compensation details and information to help users understand how much they are owed after the attack.

In conclusion, this week’s Finance Redefined newsletter has been filled with interesting developments that further explore the intricacies of the DeFi arena. As the space continues to grow and mature, it’s important to keep up with more updates.

By Audy Castaneda

Market Support Delivered by BTC

Audy Castañeda
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<strong>Market Support Delivered by BTC</strong>

It was a mixed Sunday session for the top ten cryptos, with MATIC leading a choppy session. A quiet Sunday left buyers dipping to tentatively return from the sidelines, while persistent headwinds left the market at a loss for the week. Crypto market capitalization increased by $4.00 billion, ending the day at $989.08 billion.

It was a mixed session for the top ten cryptos on Sunday. MATIC led the top ten while XRP, BNB, and ETH struggled. Despite the bullish session, BTC failed to reach $23,000 for the second day in a row.

There were no crypto events to distract investors on Sunday. The lack of events caused the dip buyers to come back from the sidelines. However, investor jitters about Silvergate Bank and sentiment towards intensifying scrutiny from lawmakers and regulators left the market range bound and modest gains.

While easing fear of the Fed removed a hurdle investors needed to address, investors face regulatory uncertainty and increased scrutiny from lawmakers. The FTX collapse has given the anti-crypto side of the aisle better footing, with the G20 looking to implement regulatory reforms to combat crypto malpractice and mitigate the risks cryptocurrencies pose to financial stability.

Amid increased scrutiny, investors will quietly wait for Ripple to make good progress in the ongoing SEC v Ripple case. A Ripple victory could ease the pressure on the crypto market, particularly if the Hinman Documents become a matter of public record.

Crypto Market Finds Modest Support for Dip Buyers

It was a bullish but range-bound Sunday session. In a choppy start to the day, the total crypto market capitalization fell to an early low of $978.69 billion before rising to a late high of $1.004 billion. However, a bearish end to the session saw the crypto market capitalization fall $4.00 billion, ending the week at $989.08 billion.

Despite the bullish end to the week, the crypto market cap ended the week down $45.68 billion. Friday’s $41.41 billion withdrawal did the damage.

24-Hour Sells Lower on Range-Bound but Bullish Sunday

Over 24 hours, cryptocurrency selloffs fell further below normal levels. Short positions had a higher proportion of liquidations, representing 54.75% of total cryptocurrency liquidations. This morning, 24-hour liquidations stood at $29.74 million, down from $48.97 million on Sunday morning (UTC).

Traders liquidated in the last 24 hours were also lower. This morning, traders settled stood at 13,019 compared to 32,246 on Sunday morning. Crypto liquidations were lowest for 12 and four hours, while highest for one hour.

According to Coinglass, 12-hour liquidations stood at $9.31 million, up from $40.79 million on Sunday morning, and four-hour liquidations fell from $28.07 million to $5.51 million. However, one-hour settlements increased from $0.482 million to $2.29 million.

In short, it was a mixed session for the top ten cryptos. BTC (+0.38), DOGE (+0.13%), and MATIC (+0.61%) avoided the red with modest gains, with ADA ending the day unchanged. However, a bearish finish to the session on Sunday left XRP down 1.79%, with BNB (-0.28%) and ETH (-0.12%) also in the red.

By Audy Castaneda

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