Law & Policy

What happened in the crypto industry last week (Aug 5 - 11)?

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Head of web3&crypto practice at Buzko Krasnov law firm

2/ The SEC has asked the court to dismiss Coinbase's request for case materials, including the personal correspondence of Chair Gary Gensler. The regulator stated that it has already provided the exchange with 240,000 documents and processing an additional 3 million documents would be a "waste of time."

2/ The SEC has asked the court to dismiss Coinbase's request for case materials, including the personal correspondence of Chair Gary Gensler. The regulator stated that it has already provided the exchange with 240,000 documents and processing an additional 3 million documents would be a "waste of time." https://storage.courtlistener.com/recap/gov.uscourts.nysd.599908/gov.uscourts.nysd.599908.150.0.pdf

3/ US Congress members have called on the CFTC to ban political betting, arguing that it could influence the outcome of the US presidential election. Following this news, betting volume on Polymarket regarding the victory of one of the candidates exceeded $500 million. Coinbase later criticized the initiative to ban political event betting in the US, and companies like Gemini and Crypto.com also expressed their disagreement. https://www.merkley.senate.gov/wp-content/uploads/CFTC-Letter-FINAL.pdf https://assets.ctfassets.net/c5bd0wqjc7v0/3VBBjJzqNCvm1h0j7FyNqF/032dded059cf6532f2d51837a054bad6/2024.08.08._CFTC_Event_Contracts__RIN_3038_AF14_.docx.pdf https://x.com/cameron/status/1822119376482685020

4/ The bankrupt firm Celsius Network has sued Tether and its subsidiaries, accusing the USDT issuer of contract violations and wrongful liquidation of Bitcoin assets.

4/ The bankrupt firm Celsius Network has sued Tether and its subsidiaries, accusing the USDT issuer of contract violations and wrongful liquidation of Bitcoin assets. https://cases.stretto.com/public/x191/11749/PLEADINGS/1174908102480000000001.pdf

5/ The SEC has postponed its decision on Hashdex's application to register a Bitcoin and Ethereum index ETF until September 30, 2024. If approved, it would be the first index ETF based on Bitcoin and Ethereum in the US.

5/ The SEC has postponed its decision on Hashdex's application to register a Bitcoin and Ethereum index ETF until September 30, 2024. If approved, it would be the first index ETF based on Bitcoin and Ethereum in the US. https://www.sec.gov/files/rules/sro/nasdaq/2024/34-100681.pdf

6/ A New York court has approved a settlement between the FTX exchange, Alameda Research, and the CFTC, requiring them to pay $12.7 billion to FTX creditors. The document states that FTX and Alameda must pay $8.7 billion in restitution to those who suffered losses and $4 billion as a disgorgement fee.

6/ A New York court has approved a settlement between the FTX exchange, Alameda Research, and the CFTC, requiring them to pay $12.7 billion to FTX creditors. The document states that FTX and Alameda must pay $8.7 billion in restitution to those who suffered losses and $4 billion as a disgorgement fee. https://storage.courtlistener.com/recap/gov.uscourts.nysd.590934/gov.uscourts.nysd.590934.44.0.pdf

1/ On August 7, 2024, Judge Torres issued a ruling in the SEC vs. Ripple Labs case, ordering the company to pay a $125 million fine and prohibiting further violations of industry laws. The ruling specifically addressed institutional sales of XRP. Previously, the judge had ruled that retail transactions involving the token did not violate securities laws. https://storage.courtlistener.com/recap/gov.uscourts.nysd.551082/gov.uscourts.nysd.551082.974.0_1.pdf https://storage.courtlistener.com/recap/gov.uscourts.nysd.551082/gov.uscourts.nysd.551082.874.0_2.pdf