UseTheBitcoin Weekly News Roundup (JUN 3rd - JUN 7th, 2024)

Stay in the loop with our weekly crypto digest as we get you up to speed on the hottest trends and events in the crypto space.

Here’s what happened in crypto this week:

Changpeng Zhao (CZ) Begins 4-Month Prison Sentence In California

According to a report from CNBC, former Binance CEO Changpeng Zhao (CZ) has begun serving his four-month prison term at a low-security federal facility in Lompoc, California. His legal team from Latham & Watkins has confirmed his incarceration.

Zhao was sentenced to four months in prison in April after admitting to facilitating money laundering on the Binance crypto exchange. Notably, this sentence was lighter than the three years sought by federal prosecutors.

President Joe Biden Vetoes Bill Overturning SAB 121

US President Joe Biden issued a veto against H.J.Res. 109, a resolution that would disapprove of the Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin No. 121 (SAB 121). 

Bides states that the approval of this Republican-led resolution would “inappropriately constrain the SEC’s ability to set forth appropriate guardrails and address future issues.” He also stressed that his administration would not “support measures that jeopardize the well-being of consumers and investors.” 

It can be recalled that Biden explained that he is eager to work with Congress to issue a regulatory framework to promote the responsible development of digital assets in the US.

Donald Trump Accepts Bitcoin Lightning Network Payments For Donations

Donald Trump has become the first Presidential candidate to accept Bitcoin Lightning Network payments for campaign donations. This move signifies a major milestone in integrating Bitcoin into mainstream politics, demonstrating Trump’s commitment to advancing Bitcoin’s future in the US.

Trump’s campaign has collaborated with OpenNode, a prominent Bitcoin and Lightning Network infrastructure provider, to facilitate these donations. Supporters can now also contribute to Trump’s 2024 presidential campaign using Bitcoin via the Lightning Network, for fast and low-cost transactions.

Australia’s First Bitcoin ETF Set To Begin Trading

Australia’s first Bitcoin Exchange Traded Fund (ETF) officially started trading on June 4th. The  Monochrome Bitcoin ETF will be the first of its kind in Australia, marking a significant milestone in the country’s cryptocurrency market. 

The introduction of a Bitcoin ETF provides a regulated and simplified path for investors to gain exposure to Bitcoin without the need to hold the cryptocurrency directly. This development is expected to attract a broader range of investors, including institutional investors, to the Australian cryptocurrency market.

Berkshire Hathaway Down 99.97% After NYSE Glitch

Multiple stocks on the New York Stock Exchange (NYSE) experienced sudden halts during trading hours on June 3rd, with shares of Berkshire Hathaway suffering a shocking 99.7% collapse due to the malfunction.

The massive drop was triggered by an unexplained technical issue at the NYSE, which impacted a slew of other large companies. The issue was resolved within a few hours, trading resumed, and BRK.A actually closed the day 0.59% in the green.

Thailand Approves Their First Spot Bitcoin ETF

The Thailand Securities and Exchange Commission (SEC) approved the first spot Bitcoin exchange-traded fund (ETF) in the country, making it available only to high-net-worth individuals.

According to a report from Bangkok Post, the newly approved fund, named ONE Bitcoin ETF Fund of Funds Unhedged (ONE-BTCETFOF-UI), will be distributed between May 31st and June 6th.

Ripple CEO Brad Garlinghouse Expects Spot XRP ETFs In 2025

Brad Garlinghouse, the chief executive of XRP developer Ripple, said he believes a flood of crypto ETFs, including for Ethereum, XRP, Solana, and Cardano, is “inevitable” but warned regulation will be “critical.”

“It is only a matter of time and it is inevitable there’s going to be an XRP ETF,” Garlinghouse told Fox Business.

His predictions are based on the recent launch of Bitcoin and Ethereum ETFs, and it is highly likely that other cryptocurrencies will also have ETFs by 2025.

Coinbase Debuts Smart Wallet Aiming To Bring 1 Billion Users Into Crypto

Coinbase has finally unveiled its promised Smart Wallet, a product it says it designed to reduce hurdles for new users looking to get started in the DeFi space.

Instead of traditional recovery phrases, apps, and extensions typically used to access DeFi apps and services, Smart Wallets use industry-standard Passkeys and a companion web portal that connects to multiple networks such as Base, Ethereum, Optimism, Arbitrum, Polygon, Avalanche, BNB, and Zora.

SEC Chairman Gary Gensler Says Ethereum Spoot ETF Launch “Will Take More Time”

After the SEC suddenly approved 19b-4 filings from eight issuers on May 23rd, several analysts expected the agency to respond to S-1 registration statements quickly.

However, in a recent interview with CNBC, SEC Chair Gary Gensler signaled that the final approval of spot Ethereum exchange-traded funds (ETFs) might face delays and the approval will “take some time.”

Gensler also pointed out that cryptocurrency firms were engaging in activities not permitted for traditional exchanges, indicating that the SEC’s stringent enforcement actions would continue under his leadership.

Vitalik Buterin Slams Celebrity Memecoins

Vitalik Buterin has expressed strong disapproval of the recent trend of celebrities experimenting with crypto through memecoins. 

In an X post, he pointed out that most celebrity-backed memecoins lack practical utility or a specific use case backing their creation. Buterin believes the primary goal of any project should be to provide a sense of accomplishment or satisfaction to participants, even if the project eventually fails.

Tether CEO Warns New Wave Crypto Airdrop Scam Emails

Tether CEO Paolo Ardoino warned that users should exercise extreme caution due to a potential new wave of crypto airdrop scam emails and urged to “beware of any emails suggesting crypto-airdrops received since 24 hours ago.”

Moments after Ardoino’s warning, CoinGecko appeared to share the same concerns, claiming there is an “ongoing supply chain email breach attack with an email newsletter right now.”

Paxos International Launches Yield-Bearing Stablecoin Lift Dollar (USDL)

Paxos International, a UAE-based entity of Paxos, introduced the Lift Dollar (USDL), a yield-generating, USD-denominated stablecoin.

USDL will be matched 1:1, backed by short-term US government securities, and overseen by a regulator. Additionally, all assets are safely positioned from a potential bankruptcy situation. However, the Paxos USDL will not be available in the US due to a lack of regulatory guidance.

Stand With Crypto PAC Hits 1 Million Advocates

The Stand with Crypto Alliance political action committee (PAC), launched by Coinbase in 2023, recently announced that over a million Americans have signed on as advocates to make their voices heard in Washington, D.C.

The group’s website also said it has collected millions in donations and aims to use that money to mobilize US crypto enthusiasts toward political outcomes that favor the technology.

Final Thoughts

So that’s it for this week!

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Have a fantastic week ahead!