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  • Binance.US to Resume USD Services by Early 2025, Says Interim CEO

    Binance.US to Resume USD Services by Early 2025, Says Interim CEO

    Binance.US, the American arm of the leading crypto exchange Binance, has announced plans to resume USD services for its users by early 2025, according to the platform’s interim CEO, Norman Reed.

    Binance.US Plans to Restore USD Service

    According to a blog post, Reed noted that Binance.US is making significant progress toward reinstating USD services and aims to accomplish this by early next year. He said it is an essential step toward rebuilding user trust and stabilizing the platform’s operations in the United States.

    “With 2025 approaching, our number one priority remains providing our community with the best experience and resources in crypto. To that end, we are focused on restoring USD services, so that users easily move money into and out of Binance. US. It is, without a doubt, the top-requested and most anticipated request from our customers,” Norman said.

    The executive made several commitments concerning the return of USD service in the US, fueling optimism among its users. Additionally, the interim CEO said that Binance.US is committed to cementing its reputation as the “best crypto platform for low fees and high rewards.”

    “Alongside the return of USD, we are committed to cementing our reputation as the best crypto platform for low fees and high rewards. We continue to offer unbeatable features such as 0% fee Bitcoin trading on BTC/USDC,” he added.

    The interim CEO further noted that the crypto exchange supports trading 160 cryptocurrencies and 20 different crypto assets, more than any other major on-chain staking platform in the US.

    As the firm plans to restore USD to the US, Reed stated users should expect new releases in the coming months as the platform continues to expand its product suite with features designed to help users do more with crypto. Also, it is leveraging new and impactful collaborations to improve the exchange’s infrastructure with expanded custody offerings, new wallet solutions, and other attractive benefits.

    Binance & SEC Battles

    Binance.US, launched in 2019, was created to offer regulated crypto trading services to US residents. However, in June 2023, the US Securities and Exchange Commission (SEC) filed a lawsuit against Binance, alleging that it had not properly registered Binance.US as an exchange. 

    Following the lawsuit, the exchange halted USD deposits but later implemented a temporary solution to facilitate such transactions. In October 2023, Binance.US revised its terms of service, announcing the discontinuation of USD support. In June 2023, the exchange had expressed its plan to transition into a “crypto-only exchange.” 

    In November 2023, Binance reached a $4.3 million settlement with the US government over allegations of sanctions violations, money laundering, and operating without a license as a money transmitter.

  • Bitcoin Miner Hut 8 Spends $100M in 990 BTC Purchase

    Bitcoin Miner Hut 8 Spends $100M in 990 BTC Purchase

    Florida-based Bitcoin mining firm Hut 8 has announced its purchase of  990 bitcoins for $100 million. The investment was executed at an average price of $101,710, bringing its total Bitcoin reserve to 10,096 BTC, currently valued at over $1 billion.

    According to an official press release, the company claims the latest purchase is part of its broader capital strategy to optimize its balance sheet performance and funding growth initiatives.

    With the latest purchase, Hut 8 believes it is well-positioned to drive platform expansion, create long-term value, and deliver strong returns to shareholders. The company’s flexible approach to managing its Bitcoin reserve will enable it to respond to emerging opportunities and navigate the crypto industry.

    Hut 8 Bitcoin Reserve

    Despite being a BTC miner firm, the company is unsatisfied with only mined bitcoins. Its Bitcoin reserve is built through low-cost production and strategic at-market purchases. The company pledges to continue actively managing and trading its holdings to unlock additional value.

    The company’s CEO, Asher Genoot, said that the Bitcoin reserve is a key component of the firm’s treasury strategy. He further emphasized that the approach will create a flywheel effect, aligning the company’s capital and operating strategies to accelerate value creation.

    Hut 8’s Bitcoin reserve will be a flexible asset, allowing the firm to leverage it through various strategies, such as option strategies, pledges, sales, or other approaches. Decisions on utilizing the reserve will be made on a case-by-case basis, prioritizing return on invested capital and guided by rigorous cost-benefit analysis.

    Other Bitcoin Miners Aggressively Buy BTC

    Despite market fluctuations, other miners also actively buy BTC from the open crypto market. Riot Platforms has accumulated 17,429 bitcoins. Its consistent buying has been seen as a vote of confidence in Bitcoin’s potential as a store of value and hedge against inflation.

    Another Bitcoin Miner, Mara Holdings, has also consistently purchased bitcoins. Focusing on BTC mining and accumulation, the firm positions itself for potential long-term growth and returns. Today, the firm has added 15,574 BTC to its holdings, bringing its Bitcoin portfolio to 44,394, worth over $4.4 billion.

  • El Salvador Eases Bitcoin Mandate in $1.4B IMF Loan Agreement

    El Salvador Eases Bitcoin Mandate in $1.4B IMF Loan Agreement

    El Salvador, the world’s first country to adopt bitcoin (BTC) as legal tender, has agreed to amend its stance on Bitcoin payments as part of a $1.4 billion loan agreement with the International Monetary Fund (IMF). 

    A $1.4 Billion Deal

    According to an official report, the Central American country is set to receive $1.4 billion from the IMF within the next 40 months after committing to actions designed to reduce its debt-to-GDP percentage.

    “The Salvadoran authorities and a staff team from the IMF have reached staff-level agreement on a 40-month extended arrangement under the Extended Fund Facility (EFF) for about US$ 1.4 billion (equivalent SDR 1,033.9 million, or 360 percent of quota) to address the balance of payment needs and support the government’s economic reforms,” the Salvadoran team said. 

    Furthermore, the team added that the agreement is subject to approval by the Fund’s Executive Board and contingent on the implementation of the agreed prior actions.  

    The IMF also noted that the process will minimize the potential risks and challenges associated with the Bitcoin initiative by the Fund’s policies. Legal changes will ensure that the private sector’s adoption of BTC remains optional. This adjustment is designed to alleviate concerns over forced adoption while maintaining Bitcoin’s legal tender status.

    The $1.4 billion loan from the IMF is expected to provide much-needed fiscal support to El Salvador, which has faced mounting economic pressures, including high debt levels and a struggling economy. The funds will support public finances, support social programs, and stimulate economic growth. In return, the government has agreed to implement fiscal reforms, including the voluntary BTC policy.  

    El Salvador Boosts Bitcoin Adoption

    El Salvador started purchasing BTC in 2021, and according to the National Bitcoin Office’s tracker, the country now owns 5,968.8 bitcoins, valued at approximately $602 million. 

    With recent progress in the country, American broadcaster Max Keiser said El Salvador is living America’s dream through BTC.  

    Keiser further noted that El Salvador’s president, Niyab Bukele, is one of the most popular leaders in the world and that, under his bitcoin strategy, the country has become one of the safest in the Western Hemisphere. 

    On October 28, 2024,  the country marked three years of BTC Acquisition and held nearly 6,000 BTC. At the time, El Salvador’s total Bitcoin holdings, comprising both mined and purchased units, exceeded $400 million, with a balance of 5,917 BTC.

  • Bitcoin ETF Inflow Streak Continues Despite Price Drop

    Bitcoin ETF Inflow Streak Continues Despite Price Drop

    United States-approved spot Bitcoin exchange-traded funds (ETFs) have shown resilience amid the recent waves in the crypto market. The funds recorded only seven days of outflow in November and started this month with a 14-day inflow streak. 

    Following the U.S. interest rate cut on Wednesday and the speech by Jerome Powell, Chair of the Federal Reserve Board, bitcoin (BTC) dropped by almost 5% to hit the $100,000 mark. Despite this sharp plummet, the ETFs closed the business day on the green side, signaling increased investor confidence in the world’s leading crypto. 

    Over $6 Billion in 14 Days

    According to data from ETF tracker Farside, between November 29 and December 18, 2024, U.S. spot Bitcoin ETFs have immersed about $6.35 billion from investors who have shown interest in BTC but do not want to go through the procedures of acquiring it from a crypto exchange or managing a self-custodial wallet.

    Notably, BlackRock’s Bitcoin Trust, IBIT, dominated about 90% of the inflow streak with a whopping $5.8 billion intake. Concluding Wednesday, the fund has recorded a massive net inflow of $37.4 billion with just seven outflow days since its debut in January.

    Trailing IBIT is Fidelity’s FBTC, which had an inflow of $1.08 billion within the 14-day period and just one outflow day. The other nine ETFs had minimal inflows, and only Grayscale’s GBTC stained the market with its ten outflow days.

    GBTC has recorded more outflows than the collective inflows of the other nine bitcoin ETFs, excluding IBIT. This is because of its high maintenance fee of 2.0%, while its competing ETFs are charged at just 0.25% per annum. Grayscale has launched a mini bitcoin trust, with the ticker IBIT, which has been on the green side with over $1 billion in inflows since its launch in late July.

    Crypto ETFs in the U.S.

    Following the approval of spot BTC and ether (ETH) ETFs in America earlier this year and their positive impact on the market, asset managers have developed more confidence and filed for other crypto ETFs, including spot Solana and XRP ETF.

    Meanwhile, the forthcoming resignation of U.S. crypto-pessimistic Chair Gary Gensler in January has boosted optimism that the ETF applications may be approved early next year. 

  • $744M in Crypto Longs Liquidated. Why the Market Dip?

    $744M in Crypto Longs Liquidated. Why the Market Dip?

    Over $865 million of perpetual contracts were liquidated following Jerome Powell’s speech after the last FOMC meeting. Longs took the biggest hit at around $744 million, while shorts accounted for around $121 million. The fact that longs were more massively liquidated suggests that many traders were caught off guard by the market’s sudden move.

    The Federal Open Market Committee (FOMC) meets eight times annually. During these meetings, the committee thoroughly examines economic and financial conditions, formulates monetary policy decisions, and evaluates potential risks to achieving its objectives of long-term price stability and sustainable economic growth.

    Powell’s Speech Sparks Crypto Market Dip

    The recent drop in the value of Bitcoin and other assets like ETH, SOL XRP, and DOGE can be attributed to the Federal Reserve’s cautious stance on future interest-rate reductions. Powell’s shift triggered a retreat in crypto investments, leading to a drop in Bitcoin’s value of over 5%. According to CoinMarketCap, the largest crypto dipped to a low of $99,047.

    The Fed’s decision to lower interest rates again while hinting at fewer future cuts has created uncertainty in the market. This has made investors cautious and led to increased volatility. Chair Jerome Powell emphasized the need for further progress on inflation before making further rate reductions.

    However, despite the recent dip, Bitcoin has experienced significant growth since the United States election, surging 50% in value and reaching a record high of $108,316 earlier this week. President-elect Donald Trump’s pledge to free crypto from U.S. regulatory shackles has buoyed investor confidence, with some experts predicting a good floor and outlook for Bitcoin.

    Not Only the Crypto Market

    The impact of Powell’s speech was not limited to the crypto market; it had far-reaching consequences across various sectors. The stock market plummeted by 3% while yields on the 10-year treasuries reached their highest in seven months. The recent market reaction is the worst after-meeting selloff since the onset of the pandemic.

    Tom di Galoma, head of fixed income at Curvature Securities, noted that markets were unprepared for the latest Fed announcement. While officials predicted only two rate cuts over the next 12 months, Galoma said: “Powell is moving to neutral and waiting for the next administration to push their agenda and see then what he may need to do.”

    On the other hand, BTC is currently trading at $101,751, indicating some support below $100,000.

  • Arthur Hayes Says Trump’s Inauguration May Trigger Crypto Sell-Off

    Arthur Hayes Says Trump’s Inauguration May Trigger Crypto Sell-Off

    Analysts and experts in the digital asset sector anticipate favorable market movements following President-elect Donald Trump’s January 2025 inauguration, yet Arthur Hayes, co-founder of BitMEX, offers a contrasting viewpoint.

    He warned against the optimistic outlook regarding Trump’s quick crypto regulatory changes, pointing out the gap between investor hopes and the practical hurdles of policy implementation.

    Hayes’ View on Crypto Sell-Off

    According to his Trump Truth blog post, Hayes revealed that his investment fund, Maelstrom, intends to reduce certain holdings initially, aiming to repurchase at reduced valuations during the first half of 2025.

    Contrary to numerous forecasters, Hayes is skeptical that the United States and other countries will soon begin accumulating national Bitcoin reserves.

    Hayes noted that the market assumes Trump and his administration can instantly deliver economic and political breakthroughs. He emphasized the gap between crypto investors’ hope and the lack of swift, viable political solutions.

    The executive further anticipated that implementing any crypto policy reforms would probably take considerably longer than market participants might assume.

    “The market will instantly wake up to the reality that Trump has at best one year to enact any policy changes on or around January 20th. This realization will lead to a vicious sell-off in crypto and other Trump 2.0 equity trades,” Hayes said.

    Hayes predicted a sharp downturn in the crypto market near Trump’s inauguration, followed by a surge-driven boom phase later in 2025.

    The executive also anticipates a significant market decline around Trump’s January inauguration, prompting Maelstrom, the investment fund operated by his family office, to exit certain positions with plans to reinvest at reduced valuations.

    Hayes added that Maelstrom intends to reduce specific holdings ahead of time and reacquire key assets at more favorable prices within the first half of 2025.

    BTC Surpasses Price Mark

    With several opinions about the crypto sector, the crypto market has experienced a significant surge following Trump’s win in the November presidential election. By early December, BTC had exceeded the $100,000 mark for the first time, profiting investors.

    Numerous experts have predicted that Trump’s proposed crypto policies could push Bitcoin and decentralized finance into widespread adoption.

    The crypto asset’s performance has attracted more retail and institutional investors, who have added BTC to their portfolios. Several countries also plan to make Bitcoin a reserve asset.

  • Ohio Lawmaker Proposes Bitcoin Reserve Bill to Enable State BTC Purchases

    Ohio Lawmaker Proposes Bitcoin Reserve Bill to Enable State BTC Purchases

    An Ohio lawmaker has introduced a bill that could position the state to embrace Bitcoin (BTC). The proposed legislation seeks to establish a state Bitcoin reserve, allowing Ohio to purchase and hold BTC as part of its financial assets.

    The bill, HB 703, introduced by Representative Derek Merrin, aims to modernize Ohio’s financial strategies by integrating bitcoin into its treasury. The legislation noted the creation of a framework for the state to acquire, hold, and potentially utilize BTC in various capacities, including as a hedge against inflation and a tool for diversifying state financial reserves.

    “The U.S. Dollar is being rapidly devalued, and our State Treasurer should have the authority and flexibility to invest in Bitcoin when determining proper asset allocation. Ohio must embrace technology and protect tax dollars from eroding,” Merrin said.

    Merrin further noted that he anticipates the incoming Trump administration will seek to create a national bitcoin reserve, just like Senator Cynthia Lummis proposed to help America’s balance sheet.

    The Ohio lawmaker also stated that he expects the bill to serve as a foundation for Ohio’s upcoming legislative session, given that it comes just two weeks before the 135th General Assembly concludes on December 31. Merrin hoped that the bill will lay the groundwork for legislators to address it promptly in the coming year.

    “Bitcoin is revolutionizing finance and will reshape world economies. We must have sound money — it’s like digital property rights for everyone who owns it. This legislation sets up the framework for Ohio’s state government to harness the power of Bitcoin and strengthen our state finances,” he added.

    Bitcoin As a Threat to US Economy

    If passed, the bill could have far-reaching implications for Ohio and other states considering similar measures. Advocates argue that holding the crypto asset could provide a hedge against the volatility of fiat currencies and protect against economic downturns. Critics, however, have raised concerns about bitcoin’s volatility and potential risks.

    Peter Schiff, CEO and chief global strategist of Euro Pacific Capital Inc., believes investing in BTC is not wise. He notes that Bitcoin poses a national security threat to the US economy. The American stock broker goes further, adding that government officials squander the public’s funds to purchase the digital asset.

    BTC As a Reserve Asset

    Meanwhile, other states, like Texas and Pennsylvania, have filed similar legislation to establish Bitcoin reserves. On October 30, 2024, Florida Chief Financial Officer (CFO) Jimmy Patronis pushed to include BTC in state pension funds.

    The CFO also proposed that the State Board of Administration (SBA) could establish a “Digital Currency Investment Pilot Initiative” within the framework of the Florida Growth Fund.

  • South Korean Congressman Bags 6-Month Jail Term for Concealing Over $6.8M in Crypto

    South Korean Congressman Bags 6-Month Jail Term for Concealing Over $6.8M in Crypto

    A South Korean lawmaker has been sentenced to six months in prison for failing to disclose over 9.9 billion won, equivalent to $6.8 million in crypto assets.

    According to a local source, Kim Nam-kuk, the convicted Congressman, was found guilty of violating South Korea’s Public Official Ethics Act. This act mandates the disclosure of all significant assets, including crypto holdings.

    Kim Converts Cash to Crypto

    The prosecutors noted that Kim deliberately concealed his crypto portfolio by transferring assets across bank accounts to conceal significant profits from crypto investments. This reportedly occurred during his property declarations in 2021 and 2022, while he converted the remaining funds back into crypto to align with his declared total assets.

    This case has gained significant attention due to the ongoing debate over digital asset taxation and regulatory policies in South Korea. Prosecutors also argued that this scheme enabled Kim to avoid thorough examination by the National Assembly Ethics Committee, concealing the substantial profits he earned from crypto investments.

    By altering his financial disclosures, Kim obstructed the committee’s ability to assess his assets accurately, an offense that carries serious legal repercussions in South Korea.

    South Korea’s Crypto Implementation

    Kim’s actions unfold amid the Democratic Party’s ongoing discussions on virtual asset taxation policies. He has openly criticized the party’s efforts to impose stricter crypto tax regulations, dismissing them as ineffective attempts to gain public support.

    However, the Democratic Party has proposed to amend tax laws, raising the tax deduction limit for virtual assets to 50 million won (over $37,000).

    A November report revealed that the country’s ruling Democratic Party of Korea (DPK) has finalized plans to implement a long-awaited crypto tax in January 2025. Initially scheduled for 2022, the country’s 20% tax (22% including local taxes) was postponed following resistance from investors, but modifications to address these concerns are provided.

    Significant changes involve increasing the tax exemption limit from 2.5 million won ($1,795) to 50 million won (approximately $35,500) in annual profits, significantly decreasing the number of investors impacted.

    Meanwhile, the lawmaker’s six-month sentencing comes as a Chinese official received a life prison sentence for selling sensitive and classified state secrets to an unauthorized third party for crypto. Ministry of State Security agents uncovered the official’s activities, revealing he had received over $140,000 via crypto transactions involving Monera tokens.

  • Bitwise Unveils Solana Staking ETP in Europe as US Approval Delays

    Bitwise Unveils Solana Staking ETP in Europe as US Approval Delays

    Asset management giant Bitwise has unveiled a Solana staking exchange-traded product (ETP) in Europe under the ticker symbol BSOL. The company is seeking regulatory approval in the United States for its Solana exchange-traded fund (ETF).

    The Bitwise Solana Staking ETP is designed to provide institutional and retail investors with a seamless way to gain exposure to Solana (SOL), one of the leading blockchain platforms known for its scalability and speed.

    According to a recent announcement, the asset manager has listed its Solana-based crypto-staking ETP on the Frankfurt Stock Exchange’s Xetra trading platform, collaborating with Marinade, a self-custody automation solution.

    Bitwise Introduces Minimal Fees

    The recently launched ETP also provides stakers with an annual yield of 6.48%, surpassing European rivals such as 21Shares, which delivers a return of 5.49%.

    The report noted that BSOL’s management fee is competitively priced at 0.85%, significantly lower than the 2.5% charged by 21Shares.

    BSOL, a fully backed ETP issued in Germany, aims to provide top-tier staking rewards, minimal ownership expenses, and enhanced performance compared to other Solana staking offerings available on the market.

    A Clear & Transparent Structure

    In addition, BSOL offers investors a clear and transparent structure for assessing performance. Listed primarily on Deutsche Börse XETRA, European investors can gain exposure to staked SOL at an affordable, liquid, and transparent price.

    Commenting on the latest development, Hunter Horsley, CEO and Co-Founder at Bitwise, said:

    “At Bitwise, we continue expanding our product suite to provide investors with access to the opportunities in crypto through high quality vehicles they can trust. Solana is one of the rising star assets in the space, and we’re thrilled to be launching BSOL, the third staking ETP we are launching this year, after the Ethereum and Aptos staking ETPs in February and November, respectively.” 

    While Bitwise continues to await approval of a Solana ETF, the asset manager has experienced significant growth, recently surpassing $12 billion in total client assets. The introduction of BSOL represents the second offering launched in Europe since Bitwise completed its acquisition of top crypto asset manager ETC Group in August.

    A Spot Solana ETF Approval

    In line with a Solana ETF, Matthew Sigel predicted that the likelihood of a spot Solana ETF receiving approval in the US would be “overwhelmingly high” by late 2025.

    Bitwise also launched its first Solana ETP in Europe, ESOL, in August following the acquisition of ETC Group. BSOL incorporates staking rewards directly, addressing ESOL’s significant shortcomings. At the time, Bitwise’s Assets Under Management (AUM) rose to $4.5 billion.

  • Trump Meets Crypto.Com CEO as Firm Withdraws SEC Lawsuit

    Trump Meets Crypto.Com CEO as Firm Withdraws SEC Lawsuit

    United States President-elect Donald Trump met with Kris Marszalek, the crypto exchange Crypto.Com CEO, at Trump’s Mar-a-Lago estate following the company’s unexpected decision to withdraw its lawsuit against the US Securities and Exchange Commission (SEC).

    According to a recent Bloomberg report, the duo discussed Trump’s proposal for a national Bitcoin (BTC) reserve, financial departments, and appointments in his administration linked to the crypto sector.

    Crypto.Com Files Lawsuit Against SEC

    Earlier this year, Crypto.com filed a lawsuit against the SEC, challenging the regulator’s classification of certain digital assets as securities. The case became a flashpoint in the ongoing debate over the SEC’s regulatory reach and the need for more straightforward crypto asset rules.

    However, in a statement issued Monday, Crypto.Com announced its decision to withdraw the lawsuit, citing “productive dialogue with regulators” and a renewed focus on collaboration.

    The company also noted that its primary objective is to stop the SEC’s unlawful overreach and violation of federal law. Crypto.Com argued that the agency’s failure has led to an unfair landscape in which certain firms are singled out while others face no scrutiny.

    After being issued a Wells notice, which signals possible enforcement action, Marszalek announced in October that the exchange planned to file a lawsuit against the SEC to safeguard the future of crypto.

    Trump & Armstrong to Discuss Personnel Appointments

    Following his victory in the US presidential election on November 5, Trump has also made appointments indicating a preference for individuals supporting the crypto sector. Before the election, the president-elect introduced his digital asset project, World Liberty Financial.

    Alongside Marszalek, Trump met with Coinbase CEO Brian Armstrong in November to discuss key personnel appointments. This was the first meeting between the two since Election Day. According to a report from the Wall Street Journal, the private sessions are also part of Trump’s ongoing plans to finalize his cabinet and government heads.

    Trump Appoints Wingmen

    Following the meeting, the president-elect announced former PayPal COO David Sacks as his “AI and crypto advisor” and nominated former commissioner Paul Atkins as his candidate for SEC chair.

    In his post, Trump expressed his confidence in Paul Atkins as his pick for SEC Chair, citing his extensive experience in financial regulation. The US President claimed Atkins’ background as CEO of Patomak Global Partners and Co-Chairman of the Digital Chamber’s Token Alliance demonstrates his expertise in digital assets.