The new Ethereum layer 2 platform BuildOnBase, launched by Coinbase, is poised to revolutionize the cryptocurrency industry by offering faster and cheaper transaction processing and improved security. With its staking mechanism and use of “optimistic rollups” technology, BuildOnBase aims to address the scalability issues that have plagued the Ethereum network for years. This move by Coinbase is part of its broader efforts to build the most trusted and easy-to-use cryptocurrency platform in the world and is likely to have implications not just for the cryptocurrency industry but for the broader blockchain space as well.
“Sam Bankman-Fried, the former CEO of cryptocurrency exchange FTX, has been charged with conspiracy to make unlawful political contributions and defraud the Federal Elections Commission (FEC). The charges against Bankman-Fried stem from his alleged involvement in a scheme to illegally funnel money to political candidates through a network of straw donors. According to the indictment, Bankman-Fried conspired with several individuals to make illegal contributions to federal campaigns, in violation of federal election laws.”
New York Attorney General Letitia James said that CoinEx’s “illegal conduct” had put New York investors at risk. “CoinEx’s failure to register with the DFS has left New York investors vulnerable to fraud and other forms of financial abuse,” James said. “We will not tolerate this type of illegal conduct in our state, and we will use every tool at our disposal to hold companies accountable for their actions.”
Agustin Carstens, the head of the Bank for International Settlements (BIS), has stated that cryptocurrencies have lost the “battle” against fiat currency. During a recent speech, Carstens acknowledged the benefits of digital currencies but ultimately argued that their lack of stability, association with illicit activities, and limited acceptance make them unlikely to replace traditional currencies in the foreseeable future.
FTX Japan, the Japanese cryptocurrency exchange, has announced that it will resume withdrawals on February 21st following a temporary suspension of withdrawals and deposits due to concerns over potential money laundering activities. The exchange has since taken measures to enhance its anti-money laundering and know-your-customer procedures and strengthen its internal controls. The announcement will be welcomed by FTX Japan’s customers, although some have called for the exchange to be more transparent about the reasons for the withdrawal suspension.
Investment management firm ARK Invest has released its BIG IDEAS 2023 report, highlighting ten areas of disruptive innovation that are expected to shape the future of the global economy. These areas include electric vehicles, automation, and genomics. ARK Invest’s CEO, Cathie Wood, is known for her innovative investment strategies and the firm’s BIG IDEAS reports have become a highly anticipated annual event.
Jump Crypto, a US trading firm, has been identified as the unnamed entity involved in the Securities and Exchange Commission (SEC) complaint against Do Kwon, the founder of the cryptocurrency project LUNA. The complaint alleged that Kwon engaged in manipulative trading practices and made false and misleading statements to investors. The involvement of Jump Crypto in these activities raises questions about the responsibility of trading firms in ensuring the integrity of the market.
Binance, the world’s leading cryptocurrency exchange, has suffered a major setback in its efforts to re-enter the US market. The company has announced that its settlement with the US Department of Justice will not include an immediate path for Binance to resume operations in the country, raising questions about the exchange’s long-term prospects.