Day: June 14, 2023

The complex regulatory landscape surrounding the crypto industry faces pushback from House Financial Services Committee Republicans, who urge the SEC to rescind a proposed rule change on defining “exchange.” Opponents argue that the SEC’s overreach hinders innovation and technological advancements within the digital asset ecosystem, further impacting the broader U.S. economy.

XRP prices experienced a significant 8.5% drop in one day amid a digital asset market sell-off. The decrease coincided with Bitcoin and Ether losing crucial price levels after the Federal Reserve’s interest rate decision. Traders earlier anticipated a document release related to Ripple Labs’ ongoing lawsuit with the U.S. Securities and Exchange Commission that could boost XRP’s value.

According to the French stock market regulator AMF’s annual report, digital asset-related mediations and registered digital asset service providers (DASPs) significantly increased in 2022. This growth could indicate increased industry adoption but also raises concerns about potential disputes and the need for stronger oversight.

Coinbase Chief Legal Officer Paul Grewal opposes the SEC’s proposed rule change requiring decentralized exchanges (DEXes) to register, saying it’s impossible and fundamentally flawed. The rule change extends SEC authority to products ill-equipped for regulatory requirements and has been criticized by US lawmakers and crypto advocacy groups.

A Congressional hearing discussed the Digital Asset Market Structure Discussion Draft, aiming to establish a regulatory framework for digital assets. The industry seeks regulatory clarity amid concerns that insufficient action could have “devastating consequences” for the U.S.’s global digital economy competitiveness.

Apple recently rejected non-custodial Lightning-enabled bitcoin wallet, Zeus, after a disagreement concerning decentralized social media platform Damus. Zeus allegedly violated Apple’s guidelines requiring appropriate licenses for cryptocurrency transmission. The compromise between Zeus and Apple is essential for the growth and adoption of cryptocurrencies.

The SEC lawsuit against Binance and Coinbase raises questions about the regulator’s approach towards crypto, attempting to balance promoting innovation and ensuring investor protection. Critics argue that the current “regulation by enforcement” oversteps boundaries, impairing crypto sector growth, while the lack of a spot Bitcoin ETF in the US adds fuel to the debate.

The Federal Reserve’s decision to maintain current interest rates has sparked mixed feelings and impacted crypto markets like Bitcoin and Ethereum. This highlights the delicate balance the Fed must strike between supporting economic growth and controlling inflation, amidst ongoing regulatory challenges in the digital assets industry.

Binance, the world’s largest cryptocurrency exchange, is withdrawing from Cyprus ahead of the EU’s Markets in Crypto Assets (MiCA) legislation in 2022. The company plans to focus on regulated entities in countries like France, Italy, and Spain, aligning its business with MiCA to ensure compliance. Tightened regulations and recent legal challenges may prompt a shift in the crypto landscape, emphasizing regulatory compliance.

The European Parliament recently passed the EU AI Act, aiming to promote human-centric and trustworthy AI while protecting health, safety, and fundamental rights. The act restricts certain AI services and products, including biometric surveillance and predictive policing, while allowing generative AI models like OpenAI’s ChatGPT and Google’s Bard, provided they are clearly labeled. The challenge lies in balancing innovation and safety in AI development.

Binance Coin experiences a 9% bounce amid an SEC lawsuit, causing uncertainty for investors. Meanwhile, AI-powered platform yPredict’s native $YPRED token gains attention for its groundbreaking technology and promising investment potential.