CRYPTOCURRENCY
Crypto News
The definition of a cryptocurrency is a digital asset containing cryptographic protocols that make transactions secure and immutable. Cryptocurrencies are built on top of distributed ledger technology, blockchain — which allows it to be decentralized and immune to government control and interference. Transactions involving cryptocurrencies involve public and private keys, enabling minimal processing fees, allowing users to be able to make transfers without traditional third-party institutions.
The definition of a cryptocurrency is a digital asset containing cryptographic protocols that make transactions secure and immutable. Cryptocurrencies are built on top of distributed ledger technology, blockchain — which allows it to be decentralized and immune to government control and interference. Transactions involving cryptocurrencies involve public and private keys, enabling minimal processing fees, allowing users to be able to make transfers without traditional third-party institutions.
Signature Bank Under Investigation by US Government Bodies
Signature Bank is reportedly under investigation by both the Securities and Exchange Commission and the Department of Justice over concerns that the bank did not take adequate measures to detect potential money laundering by its clients. The bank was closed on March 12 as part of a series of bank closures that also included Silvergate Capital and Silicon Valley Bank.
Cryptocurrency Firms Deny Exposure to Troubled US Banks
Major cryptocurrency firms, including Tether, Crypto.com, Gemini, BitMEX, and others, have denied exposure to dissolved U.S. banks like Silicon Valley Bank and Signature Bank. The firms have taken to social media to assure their users that their funds are safe and accessible despite ongoing issues in the U.S. banking system.
Bitcoin Surges as US Inflation Rises
The price of Bitcoin surged over $26,000 as the US Department of Labor reported a 0.4% increase in the Consumer Price Index (CPI) for February 2023, with inflation rising by 6% over the last year. The cryptocurrency markets reacted positively to the news, with both Bitcoin and Ether experiencing price surges.
Cryptocurrency Community Debates Fallout from Closure of Major American Banks
The closure of three major American banks that serve cryptocurrency firms, including Silicon Valley Bank and Signature Bank, has sparked debate within the cryptocurrency community. The closure of Silicon Valley Bank, which held over $3.3 billion of USD Coin issuer Circle's $40 billion reserves, has caused particular concern. As a result, the cryptocurrency ecosystem is now exploring neobank services and other options to bridge the gaps exposed by the latest mainstream banking failure.
Euler Finance Suffers Flash Loan Attack, Loses Millions in Multiple Cryptocurrencies
Euler Finance, an Ethereum-based noncustodial lending protocol, suffered a flash loan attack on March 13, resulting in the loss of millions in Dai, USD Coin, staked Ether, and wrapped Bitcoin. The attacker stole nearly $196 million in multiple transactions, making it the largest hack of 2023. On-chain data indicates that the attack is related to a deflation attack that occurred one month ago, and the attacker used a multichain bridge to transfer funds from the Binance Smart Chain to Ethereum.
US Federal Reserve to Create Cryptocurrency Team Amid Concerns Over Unregulated Stablecoins
The US Federal Reserve is planning to establish a specialized team of experts to keep up with developments in the cryptocurrency industry, specifically focusing on stablecoins. The move comes amid concerns that unregulated stablecoins could put households, businesses, and the broader economy at risk. While acknowledging the transformative potential of cryptocurrencies, the Federal Reserve believes that appropriate guardrails need to be in place to ensure that the benefits of innovation can be realized.
Mt. Gox Creditors Given Extra Month to Register Claims, Distribution Deadline Delayed
The registration deadline for Mt. Gox creditors has been pushed back by another month, allowing creditors to file claims until April 6. The distribution of assets to creditors will now start from Oct. 31 instead of Sept. 30. Mt. Gox creditors have been waiting for years to get compensated for losses incurred because of the exchange hack in 2014. The extension in the deadline means that creditors will have another month to decide whether to take a lower amount now or wait another nine years to get the full amount.
Russian Crypto Advocates Urge Putin to Address Delayed Regulations
The Russian Association of Crypto Industry and Blockchain (RACIB) has written an open letter to President Vladimir Putin urging him to address the risks of delayed cryptocurrency regulations in Russia. The letter argues that Russia has been too slow to implement legal regimes for crypto adoption and highlights the potential complications of proposed amendments to the current crypto law.
European Asset Manager Believes Bitcoin is Not Doomed Despite Industry Collapse
A European asset manager, Amundi, believes that the ongoing cryptocurrency industry collapse does not mean that digital assets like Bitcoin are doomed to fail. Despite BTC's inability to protect investors from rising inflation, its limited supply may still attract attention if inflation remains high.
Binance Adds 11 Tokens to PoR Report
Binance cryptocurrency exchange has included 11 more tokens in its proof-of-reserves report, taking the total number of assets in its system to 24, valued at over $63 billion.