Top stories this week
Judge rules XRP not a security in SEC case against Ripple
Ripple Labs won a victory in a New York District Court on July 13, with Judge Analisa Torres ruling partially in favor of the company in a case brought by the United States Securities and Exchange Commission (SEC) from 2020. According to court documents, Judge Torres granted summary judgment in favor of Ripple Labs, ruling that the XRP token is not a security, but only with respect to programmatic sales on digital asset exchanges. The price of XRP soared within minutes of the news breaking. The case has been ongoing since December 2020, when the SEC sued Ripple and two of its executives over allegations of offering an unregistered security. Despite the positive outcome, several lawyers have cautioned against celebrating too soon, noting that the decision is only partial and does not set a precedent. Additionally, the SEC may appeal the decision, which could result in reversal by a higher court.
XRP becomes the 4th largest crypto after Ripple’s partial victory over SEC
XRP became the fourth-largest cryptocurrency by market capitalization this week following Ripple’s partial victory over the SEC. The price of XRP jumped 98% in the hours following the decision, reaching as high as $0.93, according to data from TradingView. Meanwhile, its market cap jumped $21.2 billion to a new yearly high of $46.1 billion. The new decision also sparked a new wave of re-listing activity from major US exchanges, Coinbase, Kraken and iTrustCapital making the token available for trading on their respective platforms.
Celsius Network Fined $4.7 Billion by FTC, CEO Arrested for Criminal Fraud
US authorities have announced charges against the former CEO of bankrupt crypto lender Celsius, Alex Mashinsky, for securities fraud, commodity fraud and wire fraud. Former chief revenue officer Roni Cohen-Pavon and Mashinsky will also face charges of conspiracy, securities fraud, market manipulation and wire fraud related to manipulating the price of the Celsius token. Authorities arrested Mashinsky as part of the indictment, which includes seven counts. In parallel, the Commodity Futures Trading Commission announced a lawsuit against Celsius along with a $4.7 billion fine, claiming that its co-founders marketed the platform as a “safe place” for consumers to deposit their cryptocurrency while embezzling over $4 billion in consumer assets. Under similar allegations, the SEC also filed a lawsuit against the company. As Celsius cooperates with regulators, Mashinsky has pleaded not guilty to charges of misleading customers and inflating the CEL token.
Europe’s First Bitcoin Spot ETF Eyes 2023 Debut After Year-Long Delay
Europe’s first spot Bitcoin exchange-traded fund (ETF) is set to debut later this year after a long delay. The Bitcoin ETF, created by London-based Jacobi Asset Management, was supposed to debut in July 2022 but was postponed due to market conditions. The asset manager is now seeing a gradual shift in demand compared to 2022. A related development also took place in Argentina this week, as the country welcomed its first Bitcoin futures contract. According to Matba Rofex, the trading platform behind the investment vehicle, this is the first Bitcoin futures contract in Latin America.
Binance Downsizing Reaches 1,000 Employees
Binance has reportedly laid off hundreds of employees in recent weeks. According to former employees, the cuts were global and customer service workers were hit hard, especially in India. Including this week’s layoffs, more than 1,000 employees lost their jobs on the stock exchange. Prior to the slash, Binance’s global workforce was estimated at 8,000. The reorganization could cost Binance more than a third of its staff. The crypto exchange announced the 20% staff reduction on May 31, saying it was not to cut staff but to reallocate resources amid the ongoing US crackdown. Binance’s most enduring challenge would be an ongoing investigation into its operations and leadership by the US Department of Justice.
Winners and losers
At the weekend, Bitcoin (BTC) is at $30,227Ether (ETH) To $1,923 And XRP To $0.72. The total market capitalization is $1.21 trillion, according at CoinMarketCap.
Among the 100 largest cryptocurrencies, the top three altcoin gainers of the week are XRP (XRP) at 54.20%, stellar (XLM) at 37.88% and Synthetix (SNX) at 31.92%.
The top three altcoin losers of the week are eCash (XEC) at -21.82%, Bitcoin SV (BSV) at -16.75% and Manufacturer (MKR) at -7.87%.
For more information on crypto prices, be sure to read Cointelegraph’s market analysis.
DeFi Ditches Ponzi Farms for ‘Real Yield’
Are you still independent? Financial self-sovereignty and decentralized exchanges
Most Memorable Quotes
“This (Ripple decision) is a big deal. (…) It has been clear since this case was filed that this would have implications for the entire industry.
Sheila WarrenCEO of the Crypto Council for Innovation
“What I think is BlackRock, Invesco (and) the ETF provider group is a real signal that adoption is coming.”
Mike Novogratzfounder and CEO of Galaxy Digital
“I think the next round of crypto will be driven by crypto-powered consumer apps, but users won’t know it’s crypto unless they look closely.”
0xDesignerUI/UX designer Web3 pseudonym
“XRP is not a security. This victory for Ripple is a victory for the whole industry and a step towards regulatory clarity in the United States”
Ripple LabsRipple payment protocol developers
“(We) expect Bitcoin price to repeat its historic rally pattern before and after each Bitcoin halving.”
Berenberg Capital MarketsNew York-based investment firm
“I think if we want bitcoin to be more than payments, it needs more scaling solutions.”
Vitalik Buterinco-founder of Ethereum
Prediction of the week
Can the price of XRP reach $1? Look at these levels next
The price of XRP soared after a federal court ruling declared its sales on crypto exchanges to be in compliance with US securities laws. At the high of the week, the XRP/USD pair reached $0.93, its best level since December 2021.
Some indicators show that XRP’s ongoing price pump may not just be a short-term reaction to positive news for Ripple. For example, the duration of XRP’s massive pump coincides with its trading volumes reaching a 10-month high.
The number of transactions of XRP whales – wallets holding more than $100,000 – peaked in 2023, suggesting that wealthier investors are supporting the XRP rally. “If major whale and shark addresses increase their supply in this pump, then that’s a warning sign that the pump is just getting started,” said pseudonymous analyst Brian Q of the platform. Santiment data analysis.
From a technical standpoint, XRP may test the key $1 level in the coming days, but its potential to continue the rally beyond it looks weak at the moment. If the price of XRP decisively breaks above $1, its next price target by September will likely be near $1.35.
FUD of the week
Blockchain Association Calls for Prometheum Investigation Over Alleged SEC Deal
The Blockchain Association has submitted a letter to the US SEC calling for an investigation into crypto firm Prometheum. In the letter, the Blockchain Association asked the regulator to review the approval of Prometheum’s special purpose broker license by the Financial Industry Regulatory Authority. The group also raised concerns about the means by which co-CEO Aaron Kaplan secured a seat to testify before the US House Financial Services Committee in June. Prometheum has reportedly changed its public stance from a call for regulatory clarity from the SEC to an assertion that “there is a clear path to digital asset registration and legislation is not needed” in the country.
New York prosecutor charges hacker with $9 million for operating Solana-based exchange
A former security engineer for an international technology company has been arrested and charged for allegedly using a smart contract bug to steal $9 million in cryptocurrency from a Solana-based decentralized crypto exchange. The attack was carried out in July 2022 and involved exploiting a vulnerability in the exchange’s smart contracts to generate inflated fees with flash loans. The exploiter then returned most of the funds, but was allowed to keep $1.6 million as a white hat bounty. The indictment says the U.S. Department of Justice “will pursue criminal prosecution if a person intentionally uses a protocol in a way that was not *intended* to be used,” the attorney for the court said. cryptography Orlando Cosme on Twitter.
Algorand Algofi Decentralized Lending Protocol Will Be Shut Down By Year End
Algofi, the borrowing and lending protocol based on the Algorand decentralized financial blockchain, will soon be shut down. According to a July 11 announcement, “developers’ belief in the strength of Algorand’s technology and the new consensus algorithm has not wavered.” Liquidity Mining programs will be halted and several collaterals will be reduced to 0% until December. The Algofi protocol has a total value of around $25 million locked, down from its peak of $135 million in February.
Best Crypto Features
Experts want to give AI human ‘souls’ so they don’t kill us all
Interactive NFTs the future of sports, Vegas Sphere excites : NFT Collector
Tennis, golf and the UFC are all having a time in the land of NFTs as the Vegas Sphere has NFT collectors salivating.
China extends CBDC tentacles, Malaysia is Hong Kong’s new crypto rival: Asia Express
Blockchain’s most engaging reads. Delivered once a week.