Presented every Sunday, the Weekly Market Recap offers a comprehensive overview of the latest headlines in the crypto market. This week’s edition, covering the period from Sep 10th to 16th, features a roundup of significant events and developments as follows:
U.S. August Unadjusted CPI Shows Slight Increase
In August, the unadjusted Consumer Price Index (CPI) in the United States saw a rise of 3.7% on an annualized basis, slightly surpassing the expected 3.6%. This marks the second consecutive monthly increase and has reached the highest level since May.
Additionally, the unadjusted core CPI for August stood at 4.3%, aligning with expectations but down from the previous month’s 4.7%. This represents the lowest level since September 2021 and continues to decline over six months.
According to The Wall Street Journal, the acceleration in consumer prices in August, driven by increasing energy costs, was the most rapid in over a year.
While the monthly core data may influence Federal Reserve officials to lean toward maintaining interest rates in their upcoming meetings, it may not fully resolve the ongoing debate about whether additional rate hikes are necessary this year to manage economic growth and sustain efforts to control inflation.
Notably, the International Energy Agency observed that Saudi Arabia’s decision to extend crude production cuts until the end of this year could potentially result in higher gasoline prices.
SEC Chairman Gensler Considers Bitcoin Spot ETP Applications
On September 12th, during a recent hearing, SEC Chairman Gensler indicated that the SEC is reviewing its decision regarding bitcoin spot ETFs.
Furthermore, he mentioned that the SEC is evaluating multiple bitcoin spot Exchange-Traded Product (ETP) applications, excluding Grayscale, and is awaiting recommendations from the SEC staff.
This development follows a court ruling that criticized the SEC for approving bitcoin futures ETFs while not providing sufficient reasons for disapproving a bitcoin spot ETF.
G20 Progresses Towards International Cryptocurrency Framework
According to a report from Cointelegraph on September 11th, the G20 is making strides toward establishing an international cryptocurrency framework.
This framework aims to have a cross-border impact by facilitating the automatic exchange of information regarding cryptocurrency transactions between different jurisdictions, commencing in 2027. The G20 urges swift implementation of the Cryptocurrency Asset Reporting Framework (CARF) and the Common Reporting Standard (CRS) amendments.
Additionally, they are calling on the Global Forum on Transparency and Exchange of Information for Tax Purposes to establish a coordinated and appropriate timetable for these changes. This move signifies the G20’s efforts to address the regulatory challenges posed by cryptocurrencies on an international scale.
Binance’s Weekly Market Recap
Binance US Executives to Depart
Krishna Juvvadi, Binance US Chief Legal Officer, and Sidney Majalya, Chief Risk Officer, are set to resign, as The Wall Street Journal reported on September 15th. Juvvadi played a key role in Binance US’s dealings with the SEC.
This follows the recent departure of President Brian Shroder, with Chief Legal Officer Norman Reed temporarily taking on the CEO role amidst workforce reductions.
Workforce Reductions at Binance US
Binance US has laid off one-third of its staff, and President Brian Shroder resigned on September 13th. The SEC’s lawsuit has significantly impacted Binance US, sharply declining monthly trading volume.
Norman Reed temporarily assumes the CEO role. Binance voiced concerns about the SEC’s impact on the industry and employment in the US.
Binance’s Aid Efforts in Earthquake and Flood-Affected Areas
Binance Charity Foundation announced a $3 million BNB airdrop to assist Moroccan earthquake-affected users on September 12th. Users in the Safi province of Marrakech can qualify based on Proof of Address (POA) completed before September 9, 2023.
Binance also pledged a $500,000 BNB airdrop to support post-flood recovery in Libya on the same day. Libyan users completing Proof of Address (POA) by September 11, 2023, are eligible for a $100 BNB airdrop.
CoinEX Exchange Hacked, $54M Stolen
On September 12th, CoinEx suffered a breach, resulting in a $54 million theft involving assets like ETH, TRON, and Polygon.
User assets are secure as the CoinEx User Asset Security Fund will cover losses. Withdrawals are temporarily suspended during the investigation and will resume once completed.
Huobi to Rebrand as HTX
On September 13th, Huobi’s English Twitter account changed to “HTX,” signaling its rebrand to HTX. This follows disputes over the Chinese name, initially “火必” and later “火币.” The Chinese brand name “火币” remains unchanged.
Bybit Contemplates UK Exit Due to New Regulations
Bybit CEO Ben Zhou announced on September 14th that new UK FCA regulations effective October 8th may lead to Bybit’s exit from the UK.
These rules, including a cooling-off period for first-time investors, may require the exchange to leave multiple countries. Bybit responded, expressing commitment to the UK market and ongoing negotiations with regulators to ensure responsible industry development.
FTX’s Weekly Market Recap
FTX Reorganizes $7B in Assets, Including $1.16B in SOL and $560M in BTC
FTX, facing bankruptcy, has reorganized $7 billion in assets, featuring $1.16 billion in SOL and $560 million in BTC. Filings reveal how executives, including SBF (Sam Bankman-Fried), received $2.2 billion in various assets leading to the bankruptcy.
The documents also disclose $200 million worth of Bahamian properties and a $4.5 billion investment in 438 portfolio items, not included in the $7 billion asset total.
FTX to Sell Coins: $50M This Week, $100M Weekly Limit Later
FTX plans to sell $50 million of altcoins this week and the next, increasing the weekly limit to $100 million afterward. They can protect Bitcoin and Ethereum through arbitrage, sell these assets with subsidiary approval, and aim to distribute cash to creditors before 2028. The full distribution plan should be finalized by Q2 2024.
PayPal Enables Crypto-to-USD Exchange in the US
On September 12th, PayPal introduced a cryptocurrency-to-USD conversion for its US customers. Users can convert their supported cryptocurrencies into US dollars directly within PayPal for shopping or transferring to their bank accounts. The service extends to wallets, DApps, NFT markets, and was integrated into MetaMask the same day.
Paradigm: Commitment to Crypto Investments, Plans for $1B Fund
Paradigm, a prominent venture capital firm, reaffirmed its commitment to cryptocurrency investments. Matt Huang, a partner at Paradigm, stated they intend to raise a $1 billion fund by year-end or early next year. Despite changes to its messaging, shifting to a “research-driven technology investment firm,” Paradigm remains actively involved in crypto.
Fundraising – Weekly Market Recap
Project Name | Amount (USD) | Notes |
---|---|---|
Fipto | €15 million | French financial technology firm |
Parallax | $4.5 million | Cross-border payment platform |
Mythic Protocol | $6.5 million | |
Mocaverse | $20 million | NFT series |
Flashwire Group | $10 million | |
Pahdo Labs | $15 million | A gaming startup, funding round led by a16z |
Range Protocol | $3.75 million | Blockchain asset management platform |
To learn more, please check out crypto-fundraising.info.
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