Bitcoin funding rate hits record low, Binance is involved in another lawsuit

Recently, the currency circle has been experiencing ups and downs. There have been significant changes in the Bitcoin derivatives market, with the average annualized funding rate over the past seven days hitting a new low in nearly a year and a half. The seven-day average annualized funding rate on August 20 was -2.5%, reaching its lowest level since March 2023, according to cryptocurrency expert K33 Research. This data shows that in the Bitcoin perpetual futures market, investors’ bearish bets are more prevalent, and their positions have increased significantly.

The risk of short covering is rising, which could give Bitcoin the opportunity for a sharp rebound. Short covering is when an unexpected jump in prices forces fast-money traders to unwind bearish bets, pushing prices higher. However, the current Bitcoin market sentiment is sluggish, with its price struggling to stand above $60,000 due to factors such as Mt. Gox’s repayment of Bitcoin and the U.S. government’s sale of seized tokens.

Meanwhile, Binance and its former CEO Changpeng Zhao face new challenges. Three cryptocurrency investors have filed a new class-action lawsuit in the U.S. District Court for the Western District of Washington in Seattle, claiming that Binance failed to prevent money laundering, preventing them from recovering their stolen assets. The investors said the stolen funds were sent to Binance to eliminate traces.

Changpeng Zhao admitted to violating U.S. anti-money laundering laws in November 2023 and resigned as CEO of Binance. Binance also agreed to pay a $4.3 billion fine for a “civil regulatory enforcement action.” In April this year, Zhao Changpeng was sentenced to four months in prison. He started serving his sentence in June and will be released in September. The lawsuit puts Binance in a difficult position. #美联储何时降息？ #美国CPI数据连续第4个月回落 #美国7月PPI低于预期 #币安世界第一 #币安热门推荐 $BTC $ETH