The U.S. Federal Reserve's core Personal Consumption Expenditures (PCE) price index, regarded as the Fed's preferred inflation gauge, is set to be released at 20:30 tonight, according to Jinshi Data. Market expectations are leaning towards positive news, with hopes that the data will show a continued slowdown in consumer spending.Following recent statements from Federal Reserve officials, tonight's report will be closely monitored to see if it supports increasing expectations for potential interest rate cuts. This could lead to significant market volatility, and investors are advised to be cautious of potential risks.  

According to Cointelegraph, two top-level Hong Kong financial regulators have announced their intent to adopt reporting requirements set by the European Securities and Markets Authority (ESMA) for crypto over-the-counter (OTC) derivatives. On September 26, the Hong Kong Monetary Authority (HKMA) and the Securities and Futures Commission (SFC) shared a plan to align their OTC reporting requirements with global standards after reviewing responses to a consultation paper from March 2024. Hong Kong stakeholders and investors have indicated that crypto OTC derivatives investments cannot be classified under the existing traditional five asset classes: interest rates, foreign exchange, credit, commodities, and equities. Some stakeholders recommended using Digital Token Identifiers (DTI) to clearly identify crypto-asset underliers for OTC derivatives. In response, the HKMA and SFC noted that ESMA implemented DTI in reporting in October 2023. DTI currently serves as the core reference point for crypto asset service providers across Europe. The Hong Kong regulators revealed plans to replicate the mandate in their jurisdiction, citing the need for the Unique Product Identifier (UPI) in reporting transactions. They stated, “Given that the Digital Token Identifier has been included in the data field 'Underlier ID (OTHER)' as an allowable value in the upcoming consultation of version 4 of the CDE Technical Guidance, we will accommodate the use of DTI in our reporting requirements.” The authorities will continue to monitor the outcome of mandates placed by other jurisdictions and adopt a similar regime as deemed necessary. The new reporting requirements in Hong Kong are expected to be implemented by September 29, 2025. Additionally, Hong Kong recently marked a new milestone in developing its in-house central bank digital currency (CBDC), the digital Hong Kong dollar (e-HKD). On September 23, HKMA announced the launch of the second phase of the e-HKD pilot study, Project e-HKD+. Project e-HKD+ will focus on three themes: settlement of tokenized assets, programmability, and offline payments. The new phase will have its own sandbox and last about a year.

According to Cointelegraph, federal prosecutors have alleged that Adam Iza, the owner of the crypto trading platform Zort, Inc., paid three Los Angeles Sheriff’s Department (LASD) deputies to unlawfully file search warrants and access police data. This information was allegedly used to extort a victim for their cryptocurrency. An FBI affidavit filed in an LA federal court on Sept. 23 and made available on Sept. 26 claims that Iza, also known as Ahmed Faiq and “The Godfather,” boasted about paying $280,000 a month to the deputies. He is accused of using police information to coerce an alleged victim, identified only as E.Z., into handing over a laptop used to store crypto. A message obtained by the FBI reportedly shows Iza admitting to these payments. According to a November 2021 Riverside County Sheriff’s Department report reviewed by the FBI, E.Z. claimed that Iza attempted to kidnap him to access his crypto. E.Z. stated that while driving Iza, they stopped for food, and an SUV pulled up with two men, one of whom approached E.Z. with a handgun and told him to “get in the car.” E.Z. fled and called the police, believing Iza was behind the kidnapping attempt. Iza told responding officers that E.Z. had agreed to give him $300,000 for some crypto but became concerned about being kidnapped and texted his bodyguards for help. The men in the SUV were both former LASD deputies, with one claiming to own a security company and work for Iza. The former deputy said he held his gun by his side because he was told E.Z. was armed. The complaint alleges that E.Z. was subjected to a “campaign of intimidation and harassment” from Iza, including receiving intimidating messages showing his information in a police database. A private investigator hired by Iza claimed that Iza sent him photos of sensitive law enforcement data and a picture of a GPS search warrant on a phone number believed to belong to E.Z. The FBI later found a search warrant made by an LASD deputy accused of receiving payments from Iza, which included E.Z.’s number despite having no relationship to the case. The complaint claims that Iza, through Zort and other businesses owned by his then-girlfriend, made payments to three LASD deputies, with amounts occasionally reaching close to $200,000. Another person interviewed by the FBI claimed that Iza and E.Z. broke into their home, with Iza impersonating an FBI agent and stealing a laptop containing crypto. Iza was charged with conspiracy against rights and tax assessment evasions, with allegations that he concealed tens of millions of dollars and did not report any income taxes between 2020 and 2022. Iza’s lawyer and the LASD did not immediately respond to requests for comment.

According to Foresight News, Web3 football game Sorare has been accused of unlicensed gambling by the UK Gambling Commission. The commission stated that Sorare is alleged to have provided gambling facilities without holding an operating license, which is a violation of the 2005 Gambling Act. A court hearing is scheduled for October 4.Sorare has contested the allegations, arguing that the law has been misapplied. The company stated, 'The commission has misunderstood our business and incorrectly believes that gambling laws apply to Sorare. We firmly deny any claims that Sorare is a gambling product under UK law.' Sorare is a football fantasy league game that utilizes the Ethereum blockchain, allowing players to trade football cards.

According to PANews, Hong Kong's Wong Tai Sin District Crime Unit conducted an operation codenamed 'Lian Dou' from September 19 to 26, successfully dismantling a local syndicate involved in laundering money through cryptocurrency. The operation led to the arrest of 25 individuals connected to at least 39 fraud cases, with the total amount defrauded exceeding HKD 7 million. Among those arrested were the syndicate's mastermind, three key members, and 21 account holders, all suspected of 'obtaining property by deception' and 'money laundering.' Through in-depth analysis, the police uncovered that the local cryptocurrency money laundering syndicate had been operational since May 2023, involving at least 39 fraud cases across Hong Kong. The syndicate utilized puppet information to open both bank and cryptocurrency exchange accounts. Key members had clearly defined roles, using various types of fraud to deceive victims and deposit the money into designated puppet bank accounts. Subsequently, some key members used the same puppet information to open exchange accounts for peer-to-peer (P2P) transactions, purchasing cryptocurrency with the illicit gains. Other key members then transferred the 'cleaned' cryptocurrency to the mastermind's exchange account through the same platform or cold wallets. Additionally, the police discovered that the syndicate opened accounts on exchange platforms using shell companies to further conceal their identities. This 'money in, cryptocurrency out' method, coupled with the use of shell companies to hide identities, posed significant challenges to the police investigation.

According to Cointelegraph, the United States Securities and Exchange Commission (SEC) has secured a partial victory in its legal battle against blockchain firm Opporty International and its owner, Sergii Grybniak. The case revolves around allegations of conducting a fraudulent initial coin offering (ICO) by offering unregistered securities. In a memorandum dated September 24, US District Judge Eric Komitee ruled that the SEC had sufficiently demonstrated that Opporty and Grybniak unlawfully offered the sale of unregistered securities in the United States. The SEC initially announced its legal action against Opporty and Grybniak in January 2021, accusing them of conducting a fraudulent ICO by selling “unregistered digital asset securities.” Judge Komitee determined that the “OPP” tokens sold by Opporty and Grybniak during their ICO were investment contracts under federal securities laws, thus requiring registration with the SEC. The SEC also argued that the ICO pre-sale violated Section 5 of the Securities Act of 1933, which pertains to the registration and distribution of securities. Throughout the proceedings, Grybniak contended that the token sale did not require registration, citing Reg D/S exemptions. These exemptions apply when transactions do not involve public offerings, and purchasers are either accredited investors or the sales occur outside the United States. However, Judge Komitee found that Grybniak’s defense was reasonable but ultimately agreed with the SEC that Opporty and Grybniak failed to meet the exemption requirements of Regulation S, as they engaged in “directed selling efforts” within the US. The Opporty ICO, conducted between September 2017 and October 2018, raised $600,000 from nearly 200 investors both in the US and internationally. The SEC claimed that Opporty violated its rules by not registering the sale. Opporty marketed itself as a “blockchain-based ecosystem for small businesses and their customers,” primarily targeting the US market. The platform aimed to facilitate small businesses in listing their services and entering agreements via smart contracts.

According to PANews, the U.S. Securities and Exchange Commission (SEC) has accused TrueCoin LLC and TrustToken Inc., the companies behind TrueUSD, of making false statements regarding the stablecoin's backing. The SEC's investigation revealed that a significant portion of TrueUSD's reserves were invested in a high-risk offshore fund, contrary to claims that the stablecoin was fully backed by U.S. dollars or equivalent currency. TrueUSD representatives did not respond to requests for comment. Austin Campbell, head of a blockchain consulting firm, commented on social media platform X, stating, 'The first rule is not to deceive your investors and users, and this clearly violates that rule. It's ironic that TrueUSD would do this.' Campbell suggested that if the SEC's allegations are accurate, this case represents a textbook example of fraud, not necessarily unique to cryptocurrency. However, due to the brand effect of 'cryptocurrency,' TrueUSD's situation highlights a problem specific to the crypto sector. The media also referenced a previous report indicating that TrueUSD's ownership structure is complex and opaque, with control transferred to an offshore entity named Techteryx Ltd. and reserves moved to banks in the Bahamas. At the time, the company explained that the transfer was due to deteriorating banking conditions for U.S. crypto firms. The collapse of Silvergate Bank, Silicon Valley Bank, and Signature Bank had left many crypto companies scrambling for new banking solutions. TrueUSD's parent company, like many others, was urgently seeking alternatives to hold cash. While such actions might be rejected in other industries, many accepted them in TrueUSD's case. This acceptance is partly due to the core cryptocurrency principle of being trustless, meaning no need to trust third parties. Consequently, people believed that blockchain assets offered better solutions than traditional finance.

According to Odaily, Fox Business journalist Eleanor Terrett revealed on the X platform that a former SEC lawyer, who recently left the agency, indicated that the SEC might appeal Judge Torres' ruling in the Ripple case from July 2023. The former lawyer mentioned that the decision to appeal is driven by a strong belief within the SEC that the ruling was incorrect and should be contested. The deadline for the SEC to file an appeal is October 7.

According to BlockBeats, Morocco has announced the launch of its 'Digital Morocco 2030' strategy, allocating a budget of $1.1 billion. The initiative aims to transform the country into a global digital hub through the integration of artificial intelligence (AI) and blockchain technology. By 2030, the strategy seeks to create 240,000 new jobs in the digital sector, increase digital export revenues to 40 billion dirhams (approximately $4.15 billion), and boost the overall contribution of the digital economy to 100 billion dirhams (around $10.36 billion).The Moroccan government plans to utilize blockchain technology to develop a unified administrative service portal, which will manage services related to healthcare, education, and social security. Additionally, AI systems will be employed to analyze and process data in real-time, enhancing the quality of these services. The strategy also includes increasing 5G coverage to 70% of the country's land area, establishing 3,000 startups, and attracting global AI and blockchain technology companies to set up operations in Morocco, thereby contributing to the nation's growing tech ecosystem.

According to BlockBeats, on September 27, Federal Reserve Governor Cook expressed her wholehearted support for the Fed's recent decision to cut interest rates by 50 basis points. In her prepared remarks at Ohio State University on Wednesday, Cook cited a slowing labor market and easing inflation as key reasons for the rate cut. She emphasized that this decision reflects the Fed's growing confidence in maintaining a robust labor market while achieving moderate economic growth and sustainable inflation reduction through appropriate policy adjustments.Cook's speech also focused on the implications of artificial intelligence (AI) for American workers. She highlighted that AI has the potential to significantly and sustainably boost labor productivity. While acknowledging that AI might lead to job displacement, Cook also pointed out that it could create new job opportunities.

According to PANews, SEC Chair Gary Gensler has indicated that the digital asset custody structure proposed by BNY Mellon could be applicable to cryptocurrencies beyond Bitcoin and Ethereum ETFs. Gensler noted that BNY Mellon's proposed structure involves the use of individual crypto wallets, each linked to a separate bank account, and prohibits the commingling of these assets with the bank's own assets. Earlier this week, BNY Mellon acknowledged submitting a Bitcoin and Ethereum custody plan to the SEC's Chief Accountant's Office to safeguard customer funds in the event of the bank's insolvency. To date, the SEC has only approved ETFs for Bitcoin and Ethereum. Previously, BNY Mellon became the first bank to receive an exemption from the SEC's crypto accounting policy SAB 121.

According to CoinDesk, the U.S. Department of Justice's (DOJ) case against Tornado Cash developer Roman Storm will proceed to trial, as ruled by District Judge Katherine Polk Failla of the Southern District of New York (SDNY) during a telephonic hearing on Thursday. Judge Failla denied Storm's motion to dismiss the criminal charges against him, stating she had a lengthy order to read into the record to explain her reasoning. As of press time, she was addressing a motion to compel certain materials. Storm, along with fellow Tornado Cash developer Roman Semenov, was indicted last August on three charges related to their work with the privacy mixer: conspiracy to commit money laundering, conspiracy to operate an unlicensed money transmitting business, and conspiracy to violate the International Emergency Powers Act. Prosecutors have accused Tornado Cash and its developers of knowingly facilitating the laundering of over $1 billion, including hundreds of millions from North Korea's hacking organization, the Lazarus Group. Storm has pleaded not guilty to all charges. In his motion to dismiss filed in March, Storm's lawyers argued that he merely wrote Tornado Cash's code and that any criminal activities that occurred subsequently were beyond his control. Judge Failla also denied another of Storm's pending motions, which sought to compel the DOJ to produce documents from Dutch authorities. These documents pertain to the recent conviction of another Tornado Cash developer, Alexey Pertsev, for money laundering. The judge ruled that Storm's team had not demonstrated the relevance of the material from Dutch authorities, calling their arguments too speculative. Storm's trial is set to begin in New York on December 2 and is expected to last two weeks. If convicted on all three counts, he faces a maximum potential sentence of 45 years in prison.

According to Cointelegraph, consumer watchdog organization Accountable.US has published a report accusing finance giants Visa and Mastercard of operating as a duopoly to stifle competition in the debit and credit card payments sector. The report claims that the two companies have spent over $80 million lobbying against legislation that would allow competitors access to the payments market. Accountable.US alleges that Visa and Mastercard, which dominate the majority of credit and debit card transactions in the United States, are responsible for the high swipe fees faced by both consumers and businesses. Liz Zelnick, director of Accountable.US’ economic security and corporate power program, stated that the lack of competition is burdening small business owners and their customers with exorbitant swipe fees. She emphasized that these fees are a significant financial drain and called for Congress to take action against anti-competitive credit card companies. The report also references the US Department of Justice’s recent antitrust suit against Visa, which alleges that Visa engaged in practices to dissuade institutions from partnering with competing payment service providers. Zelnick highlighted that this lawsuit underscores the need for Congress to provide federal regulators with more tools to ensure a fair marketplace, advocating for the passage of the Credit Card Competition Act. The Credit Card Competition Act of 2023, introduced by US Senators Dick Durbin and Lance Gooden, aims to address these issues. The bipartisan legislation is also supported by current Republican vice presidential candidate J.D. Vance. However, the Senate has yet to schedule a date for discussion or a vote on the bill.

According to Cointelegraph, the United States Securities and Exchange Commission (SEC) will continue to seek modifications to the definitions of 'exchange' and alternative trading systems, as stated by chairman Gary Gensler at the US Treasury Market Conference on September 26.Gensler addressed issues impacting the efficiency and resilience of the US Treasury bond market. The proposed changes have faced significant criticism from the digital asset community. One of the SEC's measures to strengthen the Treasury market involved redefining 'dealer' to include more market participants, such as principal-trading firms that utilize algorithmic and high-frequency trading strategies. Despite criticism from pro-crypto politicians regarding the potential impact on digital asset trading, these changes were adopted in February 2022.Another contentious issue is the definition of 'exchange' and alternative trading systems, which also affects digital assets. A proposal from 2022 aimed to extend registration requirements for platforms acting as market makers for government securities. The proposal's wording suggested that other exchange platforms might also be subject to the new rules, raising constitutional concerns. When the proposal was revisited a year later, a section was added to specifically address decentralized finance (DeFi). Gensler noted that this update would close a regulatory gap among platforms, though the changes have not yet been finalized.Prometheum and tZero are notable examples of registered alternative trading systems. They are the first and only firms to receive special purpose broker-dealer status for digital asset securities, enabling them to provide custody of digital asset securities for retail and institutional clients. While Gensler did not mention cryptocurrency or DeFi in his presentation, he later appeared on CNBC to discuss crypto regulation, asserting that the crypto industry is sufficiently regulated by existing laws.

According to PANews, SEC Chairman Gary Gensler stated in an interview that the cryptocurrency sector will struggle to sustain itself without proper investor protection. He emphasized that the SEC's primary responsibility is to ensure market fairness and protect investors from fraud and manipulation. Gensler also mentioned that while Bitcoin and other cryptocurrencies have technological potential, regulatory frameworks must evolve to ensure market stability and safeguard investor interests.

According to Odaily, Federal Reserve's John Williams announced the formation of a new committee dedicated to the use and understanding of benchmark rates. This committee aims to assist the market in effectively utilizing and comprehending these rates. Williams did not provide any comments on the current economic situation or monetary policy during his announcement.Additionally, Federal Reserve Chairman Jerome Powell, in his brief opening remarks at the New York Federal Reserve, refrained from discussing monetary policy or the economic outlook.

According to BlockBeats, revised U.S. GDP data released on September 26 indicates that the American economy grew faster in 2023 than initially expected. Despite significant interest rate hikes by the Federal Reserve, increased business investment and consumer spending contributed to this upward revision. The GDP growth rate for 2023 has been adjusted to 2.9%, up from the previously estimated 2.5%. This revision was also influenced by an upgrade in residential investment, including residential construction. Additionally, the economic growth rate for 2022 has been revised upward by 0.6 percentage points to 2.5%, primarily due to higher consumer spending and business investment. The annual benchmark data from the U.S. Bureau of Economic Analysis (BEA) also revealed a significant upward revision in corporate profits for the previous year. Adjustments to inflation were minimal, while the savings rate saw an increase. Dave Wasshausen, Deputy Director of the BEA's National Economic Accounts, stated that the overall economic condition remains unchanged.

According to Odaily, the United States' economic indicators for the second quarter have been released. The core Personal Consumption Expenditures (PCE) price index annualized quarterly rate stood at 2.8%, matching both the forecast and the previous value of 2.8%. This measure is closely watched as it reflects the underlying inflation trends excluding food and energy prices.The actual Gross Domestic Product (GDP) annualized quarterly rate for the second quarter was confirmed at 3%, aligning with expectations and the previous figure of 3%. This indicates steady economic growth during the period.However, the actual personal consumption expenditures annualized quarterly rate for the second quarter was slightly lower than anticipated, coming in at 2.8% compared to the expected 2.9% and the previous value of 2.9%. This suggests a minor slowdown in consumer spending.Additionally, the final sales annualized quarterly rate for the second quarter was recorded at 1.9%, down from the previous value of 2.2%. This metric excludes changes in inventories and provides a clearer picture of demand in the economy.

According to BlockBeats, the number of initial jobless claims in the United States for the week ending September 21 was recorded at 218,000. This figure is lower than the expected 225,000 and marks a decrease from the previous week's revised count of 222,000. This is the lowest level of initial jobless claims since the week of May 18.

According to BlockBeats, Dubai's cryptocurrency regulatory authority has updated its marketing guidelines for virtual assets, requiring companies to include disclaimers that clearly outline investment risks. Starting October 1, companies promoting virtual assets in the UAE must feature a 'prominent' disclaimer stating that 'virtual assets may partially or completely lose their value and are subject to extreme volatility,' as announced by the Dubai Virtual Assets Regulatory Authority (VARA) on Thursday.VARA's CEO, Matthew White, emphasized that by providing clear and actionable guidance, they aim to help virtual asset service providers (VASPs) offer services responsibly while fostering market trust and transparency.