According to Odaily, the Blockchain Association has voiced its opposition to the broker rules proposed by the U.S. Internal Revenue Service (IRS). The association argues that these regulations would impose an undue burden on investors, cryptocurrency companies, and the IRS itself. The association cites the Paperwork Reduction Act, stating that government regulatory bodies should not impose unnecessary paperwork requirements on individuals and entities within the financial system. The letter mentions that if these rules are passed, they would result in an additional 8 billion tax forms, wasting 4 billion hours of processing time, and annual compliance costs would reach $254 billion. This is a stark contrast to the IRS's initial estimate of total compliance costs being $136 million. Furthermore, the association believes that an annual compliance cost of $254 billion is unreasonable for a market that at most generates a $10 billion tax gap. In 2023, the association submitted a 39-page letter detailing comprehensive objections to these regulations. They believe these rules are extremely difficult to comply with for decentralized financial protocols, reflecting the government's misunderstanding of blockchain and cryptocurrency.

According to Odaily, Apple has decided to postpone the introduction of its new artificial intelligence technology to the European Union market, affecting hundreds of millions of users. The company announced on Friday that it will not release Apple Intelligence, iPhone Mirroring, and SharePlay Screen Sharing to EU users this year. The decision is due to concerns that the Digital Markets Act could force Apple to compromise the security level of its products and services. In a statement, Apple expressed concerns that the interoperability requirements of the Digital Markets Act might compel them to undermine the integrity of their products in a way that weakens user privacy and data security. Under the Digital Markets Act, Apple anticipates receiving a formal warning from EU regulatory authorities. The company is suspected of preventing some apps from directing users towards cheaper online subscription services. Earlier this year, Apple was fined 1.8 billion euros (approximately 1.9 billion dollars) by EU regulatory departments for this issue. The company's decision to delay the launch of its new AI technology in the EU is seen as a response to these regulatory pressures.

According to Odaily, the U.S. Securities and Exchange Commission (SEC) has concluded its investigation into Consensys' Ethereum 2.0 without filing any charges. However, this does not necessarily mean that the SEC has definitively determined that Ethereum is not a security. Rather, it provides another data point that the commission has concluded that it will not currently file a lawsuit alleging that Ethereum is a security. Teresa Goody Guillén, a partner at BakerHostetler law firm and former SEC litigation attorney, stated that the SEC's decision to drop the investigation could be due to the high litigation risk the agency would have to bear. An anonymous former SEC enforcement attorney echoed this sentiment, stating that the closure of the case does not necessarily mean that they have decided that it is not a security. Instead, they may have simply decided not to risk litigation. This development marks a significant point in the ongoing debate over the classification of cryptocurrencies as securities. The SEC's decision not to pursue charges at this time does not definitively resolve the issue, but it does indicate a potential shift in the regulatory landscape for Ethereum and similar digital assets.

According to Odaily, the Securities and Exchange Commission (SEC) of Nigeria has revised its rules concerning the issuance, trading platforms, exchanges, and custody of digital assets. In an official notice released to the public, the SEC outlined its plans to update these crucial regulations. As part of this regulatory reform, the U.S. SEC has launched a special compliance program called the 'Accelerated Regulatory Incubation Program' (ARIP). This program is specifically designed for Virtual Asset Service Providers (VASP), who are expected to complete their applications within 30 days of the announcement.

According to Cointelegraph: June 20, 2024 - San Francisco, CA – In the ongoing legal battle between Kraken and the United States Securities and Exchange Commission (SEC), Judge William Orrick suggested he is “inclined to deny” Kraken’s motion to dismiss, hinting at a significant development in the case that could classify digital assets on the exchange as securities.Key Points from the HearingDate & Venue: A hearing was held on June 20 in the U.S. District Court for the Northern District of California. Representing Kraken, attorney Matthew Solomon, and representing the SEC, attorney Peter Moores, presented their arguments before Judge Orrick.Judge’s Remarks: Judge Orrick indicated the plausibility of digital assets being offered and sold as investment contracts on the crypto exchange, making them securities under current laws.Competing ArgumentsKraken’s Position:- Legal Theory Dispute: Kraken's legal team disputed the SEC’s legal theory that considered the exchange an “ecosystem” for crypto asset securities.- Case Comparisons: Solomon referenced several cases including the SEC’s litigation against Terraform Labs, Telegram, and Ripple Labs. He argued the closest precedent to Kraken’s case was Coinbase’s.- Ecosystem Argument: Solomon criticized the SEC’s notion of an ecosystem for crypto, advocating for equal rule application across all sectors.SEC’s Argument:- Investment Contracts: The SEC's counsel focused on Kraken allegedly selling tokens as investment contracts, which would classify them as securities under the Howey Test.- Regulatory Compliance: The SEC pushed back against Kraken's theories, emphasizing regulatory standards should equally apply to crypto.Judge’s Leanings and Next StepsJudge Orrick did not issue a definitive ruling but clearly leaned towards denying the motion to dismiss. He suggested that “a year should be sufficient” for discovery if the case proceeds.Context and Background- SEC’s Enforcement Action: The SEC initiated its enforcement action against Kraken in November 2023, after Kraken had earlier settled with the SEC in February 2023, agreeing to a $30 million fine and ceasing its staking services for U.S. clients.- Related Cases: The court case comes amidst other high-profile SEC actions, including against Ripple Labs, and a resolved dispute with blockchain firm Consensys regarding Ether’s classification.Broader ImplicationsThis case is pivotal as it could set precedents for how digital assets are regulated and classified in the crypto industry. The court’s final decision could have far-reaching consequences for other exchanges and the treatment of cryptocurrencies under U.S. securities law.As Judge Orrick appears poised to advance the case, the crypto and regulatory communities await the final ruling with significant anticipation. This decision could redefine the legal landscape for digital assets, emphasizing the necessity for clear regulatory guidelines and compliance in the rapidly evolving crypto sector.

According to Odaily, a man in Melbourne County has been sentenced to two years in prison for identity theft. The charges include using fake identification to create cryptocurrency accounts on CEX. The court's decision marks a significant step in the ongoing fight against cybercrime and identity theft in the cryptocurrency sector. The man, whose identity has not been disclosed, was found guilty of using someone else's identity to open accounts on the cryptocurrency exchange platform. This case serves as a stark reminder of the potential risks and legal consequences associated with identity theft and fraudulent activities in the digital currency world.

According to U.Today, Ripple's Chief Technology Officer, David Schwartz, has drawn parallels between the Securities and Exchange Commission's (SEC) handling of Ethereum and China's past management of Bitcoin. This comes after Consensys, the developer behind the MetaMask wallet, suggested that the SEC is likely to conclude its investigation into Ethereum. Neil Hartner, a software engineer at Ripple Payments, expressed skepticism, implying that the investigation's closure might be more about public relations than providing regulatory clarity. Schwartz responded by comparing the SEC's actions to China's past behavior with Bitcoin. He pointed out that China used to alternately ban and unban Bitcoin, a strategy widely believed to manipulate the market for the benefit of Chinese oligarchs. By drawing this comparison, Schwartz implied that the SEC's inconsistent regulatory approach could be seen as similarly manipulative, favoring certain entities within the cryptocurrency market. Within the XRP community, this development has sparked a discussion, particularly among those who believe that Ethereum has received preferential treatment. Ripple's Chief Legal Officer, Stuart Alderoty, raised questions about whether this suggests that Ethereum transactions are not considered securities, and what it means for MetaMask and Ethereum staking. As the debate continues, the cryptocurrency community is calling for clearer and more consistent regulations. Schwartz's comments underscore the need for a transparent and predictable regulatory framework in the rapidly evolving crypto market.

According to Foresight News, a Hong Kong court has ruled that an individual, identified only as Huang, was operating an unlicensed securities advisory business. The Eastern District Court in Hong Kong found that Huang had set up and managed a Telegram chat group called 'FRANKY - Live Market Broadcast Valley' from January 2, 2018, to May 21, 2019. The group, which was open to the public for paid subscriptions, provided daily commentary on the performance of the Hang Seng Index and various Hong Kong-listed securities. Huang also responded to subscribers' questions within the group. Huang admitted to the charge of operating a business providing advice on securities without a license and was fined HKD 10,000. In addition to the fine, Huang was also ordered to pay the costs of the Securities and Futures Commission's investigation. Despite being a licensed representative of the Hong Kong Securities and Futures Commission, Huang was only authorized to act on behalf of the company to which he was affiliated. The case serves as a reminder of the legal requirements for operating a securities advisory business in Hong Kong.

According to Foresight News, the Financial Crimes Enforcement Network (FinCEN) of the US Treasury Department recently stated that cryptocurrencies are being widely used to support drug trafficking activities in Mexico, including the illegal trafficking of fentanyl. The cryptocurrencies involved include Bitcoin, Ethereum, Monero, and USDT. FinCEN has warned American financial companies to be aware of the criminal networks producing these dangerous narcotics. Cryptocurrencies, due to their anonymous nature, have become a preferred mode of transaction for illegal activities. The US Treasury Department is urging financial institutions to be vigilant and monitor any suspicious activities related to these cryptocurrencies. The use of digital currencies in illegal activities poses a significant challenge to law enforcement agencies worldwide. The warning from FinCEN comes as part of a broader effort to combat drug trafficking and other illegal activities funded through cryptocurrencies. The agency is working closely with other law enforcement agencies to track and disrupt these criminal networks. The fight against the misuse of cryptocurrencies in illegal activities is a top priority for the US Treasury Department.

According to Odaily, South Korea's Ministry of Strategy and Finance (MOEF) is reassessing its plan to tax virtual assets, originally scheduled to be implemented from January next year. This reassessment comes ahead of the announcement of a tax law amendment due next month, marking a stark contrast to the department's earlier stance of sticking to the original plan without reassessment. Experts have expressed concerns about the current tax framework, arguing that it is not effectively equipped to deal with the anonymity and decentralization characteristics of virtual assets. Notably, a recent study by the Congressional Budget Office highlighted significant flaws in the current legislation, particularly the reliance on cryptocurrency exchanges to provide transaction records necessary for taxation.

According to Odaily, Consensys has voiced its concerns over the proposed regulations and draft form 1099-DA by the United States Internal Revenue Service (IRS). The blockchain software provider believes that the information required by the proposed regulations and draft form is too extensive, leading to high compliance costs. Consensys emphasized that these provisions do not adequately consider the burden on potential brokers, especially those entities that traditionally have no reporting obligations. The company is urging a delay in the effective date of any reporting requirements related to software developers. Furthermore, Consensys is advocating for the introduction of multi-broker rules to alleviate the burden and costs for tens of millions of taxpayers. The company's stance highlights the ongoing debate around the balance between regulatory compliance and innovation in the blockchain industry.

According to CoinDesk, Ripple CEO Brad Garlinghouse is set to face trial in California over a civil securities lawsuit. The case alleges that Garlinghouse violated state securities laws in 2017. The court has dismissed several other claims made in the lawsuit, but the jury will hear arguments on whether Garlinghouse made misleading statements in connection with the sale of securities during a 2017 televised interview. The plaintiff alleges that Garlinghouse claimed to be 'very, very long XRP' while simultaneously selling millions of XRP on various cryptocurrency exchanges throughout 2017. Ripple's lawyers argued that the claim should be dismissed as XRP does not meet the definition of a security under the Howey Test and thus cannot give rise to a claim for misleading statements in connection with a security. Judge Phyllis Hamilton of the U.S. District Court for the Northern District of California, in her ruling, stated that Ripple's lawyers urged her to follow the reasoning of U.S. District Court Judge Analisa Torres. In a parallel case in the Southern District of New York, Torres ruled that XRP did not meet all the prongs of the Howey Test when sold directly to retail participants on crypto exchanges. However, Hamilton declined to follow Torres' legal opinion that XRP sold to non-institutional traders was not a security because those traders had no expectation of profits due to the efforts of others, one of the four prongs of the Howey Test. Hamilton wrote, 'The court declines to find as a matter of law that a reasonable investor would have derived any expectation of profit from general cryptocurrency market trends, as opposed to Ripple’s efforts to facilitate XRP’s use in cross-border payments, among other things.' Ripple’s Chief Legal Officer Stu Alderoty stated that the California court dismissed all class action claims and the one individual state law claim that survived will be dealt with at trial. He added that Torres’ ruling in the SEC case 'still stands' and 'nothing here disturbs that decision.'

According to BlockBeats, the US Commodity Futures Trading Commission (CFTC) is currently investigating Jump Crypto. Known as one of the leading participants in the high-frequency trading sector, Jump announced the establishment of its crypto division, Jump Crypto, in September 2021. At this point, it remains unclear whether the CFTC is considering levying any charges against the company.

According to Foresight News, Michelle Bond, the former CEO of the Association for Digital Assets Markets, is launching a new think tank called 'Digital Future'. The aim of this initiative is to assist in the formulation of new regulations for cryptocurrencies and artificial intelligence. Digital Future plans to collaborate with stakeholders and policy makers on issues related to financial services. The think tank is advocating for policies that enhance market integrity and stability. However, it is currently not supporting any legislation. The move by Bond is seen as a significant step towards the development of a more regulated and stable digital asset market.

According to Odaily, two individuals have been apprehended by the UK Financial Conduct Authority (FCA) and the London Police for allegedly running an illegal cryptocurrency business worth $1.3 billion. The FCA has expressed its commitment to preventing cryptocurrency companies from operating unlawfully. The suspects, whose identities have not been disclosed, are currently under investigation for their involvement in the illicit operation. The FCA and the London Police have not released further details about the case, including the specific nature of the alleged illegal activities. The arrest is part of a broader crackdown on illegal cryptocurrency operations in the UK. The FCA has been actively working to regulate the cryptocurrency market and prevent fraudulent activities. This case underscores the regulatory body's commitment to maintaining the integrity of the financial market and protecting consumers from potential risks associated with unregulated cryptocurrency operations.

According to Odaily, a draft law under review in Italy proposes hefty fines for individuals manipulating the cryptocurrency market. This is part of a broader plan to strengthen risk monitoring in the industry. The document, which is expected to receive cabinet approval later today, stipulates fines ranging from 5,000 Euros ($5,400) to 5 million Euros for insider trading, illegal disclosure of insider information, or market manipulation.

According to BlockBeats, Singapore has updated its national risk assessment to emphasize significant risks in the anti-money laundering sector, particularly in the financial industry. Digital Payment Token (DPT) service providers pose a greater vulnerability. The 126-page report highlights new risk areas not included in the previous report published in 2014, including virtual asset service providers and gem and precious metal trading. The updated risk assessment underscores the evolving nature of financial threats and the need for constant vigilance and adaptation. The inclusion of Digital Payment Tokens (DPT) service providers and virtual asset service providers in the report indicates a growing recognition of the role these entities play in the financial landscape and the potential risks they pose. The report also brings attention to the trading of gems and precious metals, an area not previously considered a significant risk. This inclusion reflects the changing dynamics of the financial industry and the need to consider all potential avenues for money laundering. The report serves as a reminder of the importance of robust anti-money laundering measures and the need for constant updates to reflect the changing landscape of financial risks. It also highlights the need for all sectors, including emerging ones such as digital payment and virtual assets, to be vigilant and proactive in mitigating risks.

According to CryptoPotato, the legal dispute between Ripple and the US Securities and Exchange Commission (SEC) continues to evolve with the resignation of the SEC’s Chief of Crypto Asset and Cyber Unit, David Hirsh. This development comes as the lawsuit enters its trial phase. Hirsh, who had been with the SEC for nearly a decade, dismissed rumors that he would join pump.fun, a Solana-based marketplace. The SEC initially proposed a $2 billion fine on Ripple, accusing it of conducting an unregistered securities offering by selling its XRP token. Ripple, however, argued that the fine should not exceed $10 million. The company cited the SEC's case against Terraform Labs, which agreed to pay a $420 civil penalty for fraudulent actions, as a precedent. Ripple also noted that there are no direct allegations of fraud in its lawsuit against the SEC. In response, the SEC revised its proposed fine to $102.6 million. The regulator argued that the penalty in the Terraform settlement, when compared to the gross profit of the violative conduct, was significantly higher at 11.7%. Applying this ratio to the $876.3 million in gross profits that the SEC is asking the court to disgorge from Ripple, results in the $102.6 million penalty. The outcome of the lawsuit could significantly impact XRP’s price. Some analysts predict a bull run if Ripple emerges victorious. However, the resolution of the legal battle is still pending, with both parties having submitted necessary data and complied with court rules over the past few months. The case is now awaiting the judge’s ruling.

According to U.Today, Stuart Alderoty, the chief legal officer at Ripple, has voiced his concerns following the U.S. Securities and Exchange Commission's (SEC) unexpected decision to halt its investigation into Ethereum. Alderoty referred to the SEC's decision as a significant victory for Ethereum studio Consensys, but expressed uncertainty about whether this implies that the company's offers and sales of the Ether token are not securities. He also noted that the legal status of Ether itself largely remains ambiguous. SEC Chair Gary Gensler has consistently declined to provide clarity on whether the Ether token can be considered an unregistered security. Alderoty is now curious about Gensler's response to such a question, given that the agency has abruptly concluded its investigation into Consensys. In April, Consensys, the Ethereum backer, filed a lawsuit against the SEC following a Wells notice of impending enforcement action. The company accused the SEC of causing harm to market participants and developers by attempting to classify Ether as a security. Consensys also defended its popular MetaMask wallet, refuting the SEC's allegations that it had breached securities laws by acting as an unregistered broker-dealer. In a surprising turn of events, the SEC decided not to recommend an enforcement action, which led to an increase in the price of the Ether token earlier this week. However, Alderoty stated that the status of MetaMask and staking remains unclear. Consensys CEO Joseph Lubin celebrated the decision as a victory for Ethereum and the wider cryptocurrency community. He said, 'It's a testament to the strength of decentralized technology and the unyielding spirit of innovation that drives our builders.' However, he emphasized that the struggle for a supportive regulatory environment is far from over.

According to U.Today, Ethereum has emerged victorious in a new regulatory development in the crypto market. The Securities and Exchange Commission (SEC) has closed its investigation into the cryptocurrency, deciding not to pursue charges alleging Ethereum sales as securities transactions. This decision aligns with recent ETF approvals that view the main altcoin as a commodity. The closure of the investigation was confirmed by Consensys, the company that developed MetaMask, marking a significant victory for developers and contributors. Ethereum 2.0, an upgrade designed to enhance scalability and sustainability through proof-of-stake mechanisms, was at the heart of this regulatory scrutiny. Charles Hoskinson, co-founder of Ethereum and creator of Cardano, supported Consensys' announcement. Hoskinson, whose own project, Cardano, has previously faced SEC inquiries regarding its ADA token, reposted the news and gave his silent co-signature. The timing of Consensys' news, amid reduced trading volumes due to closed U.S. markets, suggests an attempt to boost market sentiment. Despite speculation about the inevitability of the SEC's decision following the ETF approvals, Consensys' affirmation provided a noticeable boost to the altcoin markets in recent hours. However, market observers are waiting for the reopening of U.S. exchanges on Thursday to gauge the full impact on broader market dynamics. While the SEC's move is seen as positive for Ethereum, uncertainties remain around the pending MetaMask staking process, indicating continued regulatory challenges. In conclusion, Ethereum's clearing of regulatory hurdles, supported by industry figures such as Hoskinson, could be crucial in shaping future developments in blockchain technology and investor confidence.