Mini Program: Daily Cryptocurrency Dynamics Summary
1. US SEC Chairman Gary Gensler: Bitcoin is not a security
According to Watcher.Guru’s disclosure on the X platform, Gary Gensler, chairman of the U.S. Securities and Exchange Commission, said that Bitcoin is not a security. Gary Gensler also said that for the crypto industry, not liking rules is different from not having rules.
2. The FTC cracks down on “deceptive” AI programs
The U.S. Federal Trade Commission said on September 25 that it will launch "AI Comply Operation" as part of a new round of "enforcement actions" to crack down on five companies that "rely on artificial intelligence to engage in deceptive or unfair practices that harm consumer interests." Lina Khan, chairman of the Federal Trade Commission, said in a statement: "It is illegal to use artificial intelligence tools to deceive, mislead or defraud others." She added that the enforcement action made it clear that "the law does not exempt artificial intelligence."
3. Trump Jr.: Willing to spend a huge amount of money to let Harris explain encryption and blockchain technology, but not with a teleprompter
Donald Trump Jr., the eldest son of Trump, posted on the X platform that he was willing to pay Harris to explain encryption and blockchain technology, but he could not use a teleprompter. The longer Harris spoke, the more money he would pay. Trump Jr. also said that he was willing to pay Harris to debate with his 15-year-old son on encryption and blockchain technology.
4. South Korean regulator: Crypto scammers who make more than $4 million may face life imprisonment
According to Decrypt, South Korea's financial regulator has issued a stern warning that life imprisonment will be imposed for cryptocurrency fraud cases with profits exceeding $4 million (about 5 billion won). The warning was issued after the enactment of South Korea's Virtual Asset User Protection Act in July 2024, which aims to prevent cryptocurrency crimes and is partly inspired by the Terra/Luna founder Do Kwon incident and the FTX collapse. Lee Bok-hyun, director of the Financial Supervisory Service (FSS) of South Korea, told 16 digital asset industry executives that financial regulators will continue to strictly enforce the bill. The new law also stipulates other penalties, including fines of 3 to 5 times the illegal profits and up to one year in prison. In addition, the bill requires virtual asset service providers (VASPs) to store at least 80% of customer funds in cold wallets and establish a cybersecurity incident reserve.
5. US SEC Chairman Gensler: The crypto industry will not be able to exist in the long run without investor protection
Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC), said in an interview that the crypto space will not be able to survive in the long run without proper investor protection. He stressed that the SEC's core responsibility is to ensure market fairness and protect investors from fraud and manipulation. Gensler also mentioned that although Bitcoin and other cryptocurrencies have technical potential, the regulatory framework must keep up with their development to safeguard market stability and investor interests.
6. Viewpoint: Macroeconomic announcements significantly affect Bitcoin’s volatility level, with CPI and the Federal Reserve’s interest rate decisions having the greatest impact.
In a newly released paper, Volmex Research stated that regularly released macroeconomic announcements significantly affect Bitcoin’s (BTC) realized and implied volatility in the cryptocurrency market. Through regression analysis of BTC price ranges and volatility levels, it is found that these events continue to cause volatility in the spot market and options market. The research also points out that CPI and Fed decisions have the greatest impact on volatility levels, confirming that these events are key drivers of uncertainty resolution. CPI typically results in sustained fluctuations of up to 24 hours, while the impact of the Fed's decisions dissipates relatively quickly, especially on measures of implied volatility. In addition, robustness checks using multiple time windows and incorporating Ethereum (ETH) prices further validate the findings. This finding provides traders and market participants with a basis for developing strategies to deal with the price volatility triggered by these important macroeconomic announcements, especially in the cryptocurrency derivatives market.
7. Fortune Magazine: Zhao Changpeng will be released early today, and his next move is expected to be to re-enter the encryption industry
Fortune magazine reported that this Friday, Zhao Changpeng will step onto the streets of Long Beach, California, as a free man for the first time, his first time in months. This is two days earlier than his official release date, because if the release date coincides with the weekend, the prisoner will leave the detention center in advance. According to a prison official, Zhao Changpeng can conduct supervised outings there and even go to the movies. Fortune magazine made some speculations about his next move after he was released from prison. Zhao Changpeng's first stop is likely to be Dubai or Paris, where his children live with their mother He Yi. In addition, the media expects that with Zhao Changpeng's release, more details of the Giggle Academy project launched before his imprisonment may emerge in the coming months. In addition to family and charity, Zhao Changpeng, who is now free, may turn his attention to his third pursuit-the cryptocurrency industry. However, in the field of cryptocurrency, Zhao Changpeng faces a major problem. According to his criminal settlement agreement, he must resign as CEO of Binance and stay away from any "daily" activities of the company. At the same time, the settlement agreement also requires Binance to accept two external monitors appointed by the US government to ensure compliance. Despite these obvious limitations, even if Zhao is no longer CEO, he will still be the company's largest shareholder, which should give him considerable influence over the company's future direction.
8. Forbes reporter: The US SEC may appeal the ruling in the Ripple case
Forbes reporter Eleanor Terrett wrote on the X platform: "A former SEC lawyer who recently left the agency told me that the SEC may appeal Judge Torres' ruling in the Ripple case in July 2023, in part because everyone in the SEC firmly believes that the ruling is wrong and should be appealed." It is reported that the SEC's appeal deadline is October 7.
9. Bitcoin is more strongly correlated with global liquidity than gold and stocks
According to a report by venture capitalist Lyn Alden, Bitcoin (BTC) has a correlation of 83% with global liquidity, surpassing all major asset classes. The report points out that Bitcoin usually rises when liquidity expands and adjusts when liquidity contracts, making it the "purest liquidity indicator." Between May 2013 and July 2024, Bitcoin's correlation with global liquidity reached 0.94, but weakened in the short term, with 12-month and 6-month rolling average correlations of 0.51 and 0.36, respectively. Liquidity is measured by M2 supply, including cash, bank account funds, etc. The report believes that global liquidity is a key driver of Bitcoin's long-term price performance, and investors can use this information to analyze Bitcoin market cycles. However, this correlation may weaken during major industry events or extreme market conditions.
10. Tether assists Dutch and US law enforcement agencies in combating cryptocurrency money laundering.
The Netherlands Fiscal Information and Investigations Bureau (FIOD), the National High-Tech Crime Unit (NHCTU) and the U.S. Secret Service jointly took action to successfully crack down on two cryptocurrency exchanges suspected of money laundering, with Tether actively participating and freezing a large amount of cryptocurrency. The investigation focused on Cryptex and pm2btc, which were accused of providing channels for criminal activities to convert cryptocurrency into fiat currency. In this operation, law enforcement agencies froze 7 million euros worth of cryptocurrency, marking a major victory in the fight against financial crime. Tether CEO Paolo Ardoino said the company will continue to support global law enforcement to maintain the security and integrity of digital finance.
11. Bank of New York Mellon obtains approval from the US SEC to provide cryptocurrency custody services
Bank of New York Mellon has received approval from the U.S. Securities and Exchange Commission (SEC) to provide cryptocurrency custody services.
12. Cryptocurrency hacker attack losses rise to $2.1 billion in 2024, with CeFi being the hardest hit
According to a report by Web3 cybersecurity company Cyvers, the cryptocurrency ecosystem suffered losses of up to $2.1 billion in the first three quarters of 2024 due to hacker attacks and fraud, which has exceeded the total losses for the whole year of 2023. Centralized finance (CeFi) platforms were particularly damaged, with a year-on-year surge of 984%, among which the theft of $305 million in Bitcoin suffered by Japanese exchange DMM was the most prominent. In contrast, the losses of decentralized finance (DeFi) platforms fell by 25% year-on-year, but they are still vulnerable to attacks due to the complexity of smart contracts. Cyvers called for the use of technologies such as cross-chain security protocols and real-time threat detection, as well as strengthened supervision to deal with emerging AI and quantum computing attacks.
13. Morocco plans to invest $1.1 billion to promote AI and blockchain, striving to become a global digital hub by 2030
Morocco announced the "Digital Morocco 2030" plan, which plans to invest $1.1 billion to promote the digitalization of public services, economic growth, and create 240,000 digital industry jobs with artificial intelligence (AI) and blockchain technology as the core. The strategy also aims to support the development of start-ups through AI and blockchain platforms and improve Morocco's global ranking in the United Nations Online Services Index from 100th to 50th. In addition, Morocco plans to increase digital export revenue to 41.5 billion dirhams by 2030 and expand 5G coverage to 70% of the country.
Article forwarded from: Jinshi Data