Category: Crypto market

FTX Payment Plans Take effect On January 3

Posted on by Olumide Adesina

FTX declared that a restructuring plan allowing customer repayment would take effect on January 3, 2025.

FTX stated that it had established a schedule for the first allocation of funds to exchange users, over two years after the company declared Chapter 11 bankruptcy.

The FTX debtors state that the first claim holders can anticipate repayments within sixty days of January. 3, 2025, if specific requirements are met.

BitGo and Kraken, according to the debtors, would help distribute recoveries to FTX users.  According to the exchange, other customer groups anticipating repayments “will be announced in due course.”. FTX CEO John J. stated, “We are in a good position to start distributing recoveries back to all customers and creditors, and we encourage customers to take the required actions to start receiving distributions as soon as possible.”.

A bankruptcy judge approved the FTX reorganization plan in October, which, once it went into effect, allowed debtors to return approximately 119 percent of the claimed account value for 98 percent of users. The plan states that users with claims worth $50,000 or less will be among the first “convenience classes” to receive repayments.

Mike Belshe, the CEO of BitGo, stated that the company was “proud to support FTX” by helping to disburse recovery funds. A third distributor, who will not be identified at the time of publication, will join BitGo and Kraken, according to the FTX customer claims portal.

FTX filed for bankruptcy protection in the US in November 2022,  just after the exchange’s liquidity crisis and the resignation of then-CEO Sam Bankman-Fried. FTX and Alameda Research executives were indicted in multiple cases, and three of them, including Bankman-Fried, are currently serving lengthy prison sentences.

 

Bitget Acquires Bitcoin Service Provider In El Salvador

Posted on by Olumide Adesina

Bitget, a cryptocurrency exchange, can now provide Bitcoin-related services in El Salvador.

Bitget obtained a Central Reserve Bank of El Salvador Bitcoin Service Provider (BSP) license as stated in a Dec. 16 announcement. , Bitget will be able to provide several Bitcoin-related services to its users in Latin country, such as secure custody options, payment services, and fiat currency exchanges.

The exchange is awaiting additional regulatory clearance from El Salvador’s National Commission of Digital Assets to obtain a permit as a digital asset service provider.

Bitget can also provide trading services for digital assets other than Bitcoin. El Salvador stands out as a trailblazer with its audacious acceptance of Bitcoin as legal tender, and Latin America has great potential as a center for cryptocurrency innovation. [. Min Lin, chief business officer at Bitget, stated, “We see El Salvador as a gateway to unlocking crypto’s potential as the world’s interest in it accelerates.”.

Additionally, Bitget has Lithuanian and Polish licenses to offer virtual asset services. The exchange returned to the UK in November after limiting access earlier this year to adhere to local regulations. Having just opened a subsidiary in Vietnam, the Seychelles-based company boasts over 45 million users globally.

El Salvador has been in talks with the International Monetary Fund (IMF) for a $1.33 billion loan, which would necessitate changing local laws to make Bitcoin adoption by companies optional rather than required.

The nation increased its cryptocurrency holdings after becoming the first country to accept Bitcoin as legal tender in September 2021. Its portfolio is valued at over $600 million, with 6,189 Bitcoin.

Ripple (XRP) launch RLUSD Today

Posted on by Olumide Adesina

Ripple formally announced (RLUSD) stablecoin launch on December 17. The stablecoin product will be available on top cryptocurrency trading platforms after its launch. Cassie Craddock of Ripple says Bitstamp will be on the list of exchanges.

RLUSD will be accessible on Uphold, MoonPay, Archax, and CoinMENA starting today In addition to Bitso, Bullish, Bitstamp, Mercado Bitcoin, Independent Reserve, and Zero Hash,. RLUSD will be accessible on the XRP Ledger and Ethereum, enabling widespread adoption for different applications, from cross-border payments to decentralized finance.

The CEO of Ripple, Brad Garlinghouse, stated that he anticipates stablecoin products being used more widely.  Garlinghouse also highlights that they provide “real utility.”.

The news has caused the XRP token to rise slightly amid Bitcoin’s new milestone. The market has largely priced in the upcoming stablecoin product launch. The RLUSD stablecoin was introduced following a massive rally in XRP.

The chief technology officer of Ripple, David Schwartz, recently cautioned against making predictions about the price of the highly anticipated stablecoin after someone indicated that they would be willing to pay $1,200 for a fraction of one token. Schwartz has cautioned that it won’t be long before the stablecoin’s supply stabilizes. In his remarks regarding the announcement, Schwartz stated that he anticipated increased liquidity on the XRP Ledger due to the RLUSD stablecoin. He further disclosed that developers and users “who want the benefits of XRPL, RLUSD, and XRP” have “countless” options.

Ripple emphasizes frequent audits and the announcement of future reserves, viewing this stablecoin as a model of stability, dependability, and transparency. The stablecoin is made for particular applications, such as international payments, business liquidity, and DeFi integration. I

 

Nasdaq and Bitcoin Remain in Demand As They Push to Another Record High

Posted on by Skerdian Meta

Today US  stock markets closed mixed, with Nasdaq continuing the bullish momentum to a new record high, as did Bitcoin which climbed away from the $100K level. Continue reading “Nasdaq and Bitcoin Remain in Demand As They Push to Another Record High” →

Forex Signals Brief December 16: FED, BOE and BOJ Meetings This Week

Posted on by Skerdian Meta

This week we have three major central bank meeting, although only the FED is expected to change rates, while the BOJ and the BOE are expected to keep interest rates on hold.

The FED starts the central bank saga this week

Continue reading “Forex Signals Brief December 16: FED, BOE and BOJ Meetings This Week” →

Ripple Warns Of RLUSD Scarcity, 1 RLUSD worth 511 XRP

Posted on by Olumide Adesina

David Schwartz, Ripple’s chief technology officer, warns investors not to be “FOMO” about possible “supply shortages” in the early going of the US dollar-pegged stablecoin.

X, Schwartz stated that even though the RippleUSD (RLUSD) stablecoin is intended to maintain a 1:1 parity with the US dollar, he anticipates significant volatility for the token right after launch, with multiple large orders for the digital asset

He pointed out that a few modest pre-market bids for the stablecoin, which has yet to be released, were inflating its value before its launch.

This was a reaction to a post on X that revealed that 1 RLUSD was worth about 511 XRP (XRP), or $1,244 at today’s exchange rates, on a Ripple wallet called Xaman. According to Schwartz, “someone is willing to pay $1,200/RLUSD for a tiny fraction of one RLUSD.”.

According to Schwartz, the bid indicated that the buyer desired “the honor” of purchasing the first piece of RLUSD to be offered for sale. However, you can be confident that when supply stabilizes, the price will return to nearly $1. “There is a serious problem if it doesn’t,” he stated. “Please refrain from investing in stablecoins out of FOMO; this is not a chance to become wealthy. On December. 11. The official Ripple account on X stated that the stablecoin would launch “soon.”

Ripple CEO Brad Garlinghouse also announced that RLUSD had received its final approval from the New York Department of Financial Services. “.

Ripple intends to use both RLUSD and XRP in its cross-border payments solution once it becomes available to serve its global clientele. Monica Long, the president of Ripple, stated in June that RLUSD was designed to be “complementary and additive” to XRP.

Some sources claim that because RLUSD and XRP will be paired, Ripple views RLUSD as “beneficial” for XRP. Although XRP’s substantial availability on exchanges will contribute to RLUSD’s increased liquidity, pairing will keep the stablecoin’s price steady to avoid de-pegging.

Brad Garlinghouse, CEO of Ripple Labs, stated that RLUSD will mainly target big institutional players. According to Schwartz, “someone is willing to pay $1,200/RLUSD for a tiny fraction of one RLUSD.”.

Texas Plans to Establish Strategic Bitcoin Reserve

Posted on by Olumide Adesina

Giovanni Capriglione, a Republican state representative, has formally applied to establish a strategic Bitcoin (BTC) reserve for Texas.

 

He claims that the bill strengthens the state’s position as a leader in digital innovation while also improving fiscal stability. Capriglione declared that the Texas Strategic Bitcoin Reserve Act (H) was being considered at an X Spaces event.

He distributed the paper emphasizing Bitcoin’s decentralized structure, limited supply, and potential as a tactical tool to bolster the resilience and financial stability of the American state.

The bill will fight inflation and protect from market fluctuations. He called the reserve a “win-win” investment that would encourage creativity and offer a comprehensive framework for handling cryptocurrency holdings.

According to the Act, the Texas state treasury should establish a Bitcoin reserve overseen by the state comptroller and run as a separate fund from the general revenue fund. Residents will be able to donate cryptocurrency and pay taxes and fees and the holdings will be kept for at least five years.

The framework emphasizes public involvement in the state’s financial innovation by allowing citizens to contribute Bitcoin to the reserve. The bill will become effective immediately if both legislative houses have a two-thirds majority; if not, they will take effect on September 1, 2025. September 1st is the law’s expiration date.

Capriglione’s proposal is part of a growing Bitcoin adoption movement in the United States. Other states have enacted legislation safeguarding the rights to self-custody and cryptocurrency mining in Oklahoma, Louisiana, Montana, and Arkansas. Furthermore, the momentum is consistent with President-elect Donald Trump’s pro-virtual currency views.

Senator Cynthia Lummis of Wyoming recently reaffirmed her pledge to create a Bitcoin stockpile while campaigning and urging support from the cryptocurrency community.

 

Binance Users Base Hits 246.5 Million

Posted on by Olumide Adesina

Binance received over $24 billion in user deposit inflows in 2024 as seen on DefiLlama. Digital asset prices have experienced a notable and long-lasting increase in the world’s biggest exchange by trading volume, which has surely contributed significantly to an uptick in the value of user assets.

Binance attributed its growth to a global upsurge in digital assets adoption, claiming in a blog post that its inflows exceeded those of ten other exchanges combined. The company listed the introduction of spot Bitcoin exchange-traded funds in major markets, regulatory successes, and historic price milestones as important motivators.

“These changes have brought millions of users to Binance, bringing its total number of users worldwide to nearly 250 million,” Binance stated in the report.

According to DefiLlama data, Bybit and OKX have the next-highest exchanges by inflows, at $8 and $2 billion and $5 and $3 billion, respectively. Data for websites like Coinbase and Gemini are not included in the list.

The next largest net inflows among cryptocurrency exchanges have been BitMEX, Robinhood, and HTX; according to DefiLlama data, their proof-of-reserves are $3.45 billion, $3.17 billion, and $2.12 billion, respectively.

Binance claims that because of a consistent increase in the price of digital assets, user assets under the exchange have more than doubled since the start of the year, greatly increasing the value of the assets in the exchange’s custody. “Anyone can use Binance’s proof-of-reserves (POR) system to confirm that we hold all user funds at a 1:1 ratio plus additional reserves.’ the company stated.

 

Bitcoin Millionaire Jailed For Crypto Tax Evasion

Posted on by Olumide Adesina

A Bitcoin investor was sentenced in the first cryptocurrency tax evasion case, marking yet another first for the industry. A press release from the US Department of Justice described an Austin native, Texas, who neglected to report $4 million in gains.

Frank Richard Ahlgren was sentenced to two years in prison by the US Department of Justice for fraudulently declaring the capital gains from the sale of $3.7 million worth of Bitcoin.

Taxpayers who sell cryptocurrency and make a profit or loss are mandated to report such transactions. The asset was trading at $495.56 when Alghren bought 1,366 Bitcoin in 2015. After two years, he sold 640 bitcoins for  $5,807.53 each. He would specifically receive $3.07 million from the trade.

He underreported gains made between 2017 and 2019 and filed false tax returns. He made his first Bitcoin investment in 2011, and the press release highlighted a number of high-profile trades that occurred during that time, leading to a total tax loss of over $1 million.

Alghren would use the money to buy real estate in Utah. Furthermore, they point out that most of the capital required for the sale was already acquired in 2015. However, the trade submitted false summaries of his gains and losses on his 2017 federal tax returns.

Bitcoin was the first cryptocurrency-based exchange-traded fund (ETF) in the world’s biggest economy. BTC’s value had risen steadily amid a surge in institutional investment interest.  However, that was amplified in November when Bitcoin hit six figures for the first time following Donald Trump’s reelection.

 

Coinbase Delists USDT, DAI, PAX, PYUSD, GUSD

Posted on by Olumide Adesina

Coinbase prohibits European users from trading specific stablecoins, such as Tether following MiCA regulatory requirements.

Coinbase Europe will delist non-compliant stablecoin tokens, including Tether, the biggest fiat-pegged cryptocurrency to adhere to more comprehensive guidelines established in the Markets in Crypto-Assets framework.

Tether has a $140.1 billion market capitalization and circulating supply, making it the biggest stablecoin operator. Tether primarily serves emerging markets in Southeast Asia and Latin America however, the EU is a significant economic region.

Additionally, Coinbase will not allow trading for stablecoins classified as MiCA noncompliant tokens, such as Maker’s DAI, PAX, PYUSD, GUSD, and GYEN.

The cryptocurrency exchange will notably support the USDC and EURC Circle stablecoins. Circle was the first stablecoin issue granted the first European stablecoin license under the new MiCA regulations. ‘Tether and other stable tokens that have been delisted may be relisted in the future, stated Coinbase, if they comply with MiCA.’

The industry has debated Tether’s future in Europe because MiCA was supposed to be in play this month.  Paolo Ardoino, the CEO of Tether, stated that the company plans to keep providing services to users in the EU. Paolo Ardoino did predict that MiCA might have endangered stablecoins in August of last year.  The company made record profits of billions of dollars by investing in data centers, and Bitcoin mining facilities throughout the year.